Big Food is Fostering Innovation

Large corporations have been noticing how consumers have been favoring products made by independent startup food companies, since a good chunk of those provide craft, high-quality, niche, and, a lot of times, healthier products.

Needless to say, big food wants in. Especially, since this specialty food segment has a tremendous growth potential.

So, how is big food seeking innovation?

Companies like Campbell Soup, Chobani, Kellogg, Kraft Heinz, Nestlé, PepsiCo, and Tyson Foods are creating innovation centers and/or partnering with existing incubators to help niche brands grow and flourish.

PepsiCo

Pepsico’s new center for innovation is called “The Hive.”

According to Food Dive, “this incubator will be a separate entrepreneurial group outside of the core headquarters that will help nurture niche products already in the portfolio,” like for example Stubborn Soda.

As Foodable has reported in the past, PepsiCo also partnered with a Chicago-based, food and beverage incubator, The Hatchery, in order to look at other startup brands that have the potential of becoming a possible venture for the beverage giant.

Tyson Foods

Earlier this year, Tyson Foods announced that it will be working with two incubators—Plug and Play and 1871—linking the food giant to innovation hailing from Silicon Valley and Chicago.

That’s not the first time Tyson showed it’s commitment for innovation. In fact, the company launched a venture capital fund in late 2016 “to invest in companies developing breakthrough technologies, business models and products to sustainably feed the growing world population,” according to the company website.

Since then, Tyson has invested in brands like for example Beyond Meat, that promote sustainability and others that promote the internet of food, like FoodLogiq.

Tyson is spearheading innovation through its own brand, ¡Yappah!, which aims to fight food waste by utilizing “forgotten” ingredients like rescued vegetable puree and spent grain to make protein crisps, and investments in companies like Future Meat Technologies, an Israel-based “biotechnology company aiming to transform global meat production through distributive manufacturing of fat and muscle cells, increasing food safety and reducing ecological impact worldwide,” as stated in the company’s website.

Chobani

Chobani is another company looking to foster innovation through its Food Tech Residency. The company set out specific challenges in the food and agriculture value chain they would like to tackle (like food waste, food safety, water conservation, logistics, etc.) and invites like-minded, early-stage tech and agriculture startups to apply for funding.

Currently, the brand is hosting it’s fourth incubator class, since it launched the program in 2016, with companies developing products like tea, hummus and allergen-free baking ingredients. Alongside the food startups, two tech companies will be participating in Chobani’s inaugural Tech Residency Program—CinderBio and Skyven Technologies.

Watch the video above to learn more and stay tuned to other Industry Pulse episodes to keep up with all the innovation happening around your business! To learn about other consumer trends involving sustainability like plant-based meals, watch the video below:

Urban Agriculture Startup Gotham Greens Closes $29 Million Round of Funding

Urban Agriculture Startup Gotham Greens Closes $29 Million Round of Funding

Gotham Greens, a technologically advanced urban agriculture startup, has closed a $29 million Series C financing round, bringing its total equity funding to $45 million, according to Fortune.

The Brooklyn-based company says the same investors that have backed them from the beginning continue to invest. “They’re sticking with the company. They like the profitability and the returns,” says co-founder and CEO Viraj Puri.

But a new investor, global investment company Creadev, joined the club with a “significant” investment. Creadev is funded by the Mulliez family– one of the wealthiest families in France.

Read More

FDA to Meet Over Fiery Cultured Meat Labeling Debate

FDA to Meet Over Fiery Cultured Meat Labeling Debate

The U.S. Food and Drug Administration will host a public meeting July 12th to discuss cultured meat as the debate over labeling the new technology intensifies.

According to New Food Magazine, back in February the U.S Cattlemen’s Association submitted a petition to the U.S. Department of Agriculture requesting they ban labeling cultured meat as “meat.” The USCA’s petition argues that the USDA must establish labeling requirements to differentiate beef products derived from cattle from those created in a laboratory.


Read More

The Future of Food in an Evolving Food Ecosystem

The Future of Food in an Evolving Food Ecosystem

Our food ecosystem is evolving. More and more consumers are demanding high-quality ingredients, organically grown produce, humanely raised animal protein, sustainably and responsibly sourced food.   

For example, at the launch of the frozen foods company Hip Chick Farms, known for it’s 100% organic chicken nuggets, “the [consumer] demand was already there,” as the company’s co-founder and president, Serafina Palandech, puts it. “The demand in retail has grown phenomenally over the last four years and in opening our restaurant concept, which we call The Kitchen, you know, we have an incredibly sophisticated consumer. They know exactly what they are looking for and they know exactly what they want to feed their families. So, I really see that the demand was already there and we are filling that need.”

Read More

Artisan Wine And Beverage Trends

Artisan Wine And Beverage Trends

Your beverage program can make or break your business. A well-run program can grow profits, as well as subsidize other initiatives within your operation that may be more costly. And yet, many bar programs are still underdeveloped. What does it take to elevate your program to the next level? Foodable gathered top beverage minds to discuss what makes a bar program great.

Success in this business comes down to the value you provide for your customers. Defined by the quality you provide for the price you charge, there are many ways to provide and build upon value.

The first thing Dan Pilkey of Paul Hobbs Winery reminds operators is that a beverage program can’t be contained in a rigid box. The lines between beverage and culinary can, and should, blur. At the very base, you need to provide the basics your customers can fall back on, but you should really strive to go beyond that.

Read More