Three Consumer Groups Driving America’s Food Revolution
America's food revolution

Three consumers groups, with their own individual agendas, are in active revolt against unhealthy foods.

 

 

Look no further than soda sales to see how large this revolt has grown. For the first time in U.S. history, bottled water sales have exceeded soda sales!

No restaurant or grocery store is immune. While overall food sales grew a paltry .05% during 2016, the sale of natural foods and beverages grew 7%. Today, natural food sales represent about one-third of all food sales.

This business trend is not just about food sales.

The same consumers that are revolting against unhealthy foods are also driving a retail revolution that threatens legacy brands like Macy’s and Sears. Every business must align with the following three consumer groups to grow sales.

Millennials demand cool, diverse and meaningful products

2017 is a milestone year for the millennial generation.

They have now moved past the baby boomer generation to be the demographic group with the largest earned income buying power. This makes the millennial generation the economically most powerful consumer group revolting against unhealthy foods.

Millennials want their food and beverages to be:

1.   Cool

2.   Affordable

3.   Diverse

4.   Engaging

5.   Healthy

6.   Sustainably produced.

Silverwood Partners’ Top Ten Food Trends captures how millennials are reshaping the food industry.

By my estimate, these eight of their top ten trends are millennial generation driven:

1.   Emergence of personalized nutrition

2.   Better for you snacks

3.   Growing popularity of meal-kit delivery

4.   Plant-based waters move beyond coconut

5.   Sustainability driving development of cellular agriculture

6.   Brick and mortar grocery retail declining

7.   New food labels target added sugar

8.   Ice cream innovation.

The millennial generation is also pushing an Amazon-like definition of food procurement convenience. This new definition of convenience includes:

1. Digital search, engagement and ordering

2. Expanded, and continuously refreshed, food diversity

3. Food delivery choices and convenience, most especially door delivery.

Next- Moms are demanding affordable healthy (and diverse) food

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