Top Food Business Trends to Watch Out for in 2021
2020 has been a challenging year for the food industry, with lockdowns and social distancing norms disrupting operations and supply chains. However, the pandemic has also led to an accelerated adoption of new technologies, consumer behaviors, and business models. As we move towards 2021, food businesses need to be aware of the top trends that will shape the industry in the coming months. Let’s take a deep dive into the most significant food business trends to watch out for in 2021.
Trend 1: Plant-Based Foods
According to a report by Grand View Research, the global plant-based food market is expected to reach $74.2 billion by 2027, growing at a CAGR of 11.9%. The demand for plant-based meats, dairy products, and alternative proteins is surging as consumers become more health-conscious and environmentally aware. Besides, the COVID-19 pandemic has exposed the vulnerabilities of animal-based agriculture, leading to new innovations in the plant-based space. Businesses should explore the opportunities in plant-based foods to tap the growing demand and differentiate themselves from the competition.
Trend 2: Delivery and Takeout
The pandemic has accelerated the shift towards online ordering, delivery, and takeout, with more customers preferring to order from the comfort of their homes. According to a survey by Hospitality Technology, 78% of consumers have used delivery or takeout options during the pandemic, and 38% plan to continue using them even after the pandemic. Moreover, businesses that offer contactless delivery, curbside pickup, and other safety measures are gaining customers’ trust and loyalty. Therefore, food businesses need to optimize their delivery and takeout services and invest in technology to streamline the processes.
Trend 3: Sustainability
Sustainability has been a buzzword in the food industry for some time, but it’s becoming more critical than ever. Consumers are increasingly concerned about the environmental and social impact of their food choices, and they expect businesses to be transparent and responsible. Food businesses can adopt sustainable practices such as reducing food waste, using eco-friendly packaging, sourcing locally grown ingredients, and supporting fair trade. By doing so, they can not only contribute to a better world but also attract customers who value sustainability.
Trend 4: Data Analytics
Data analytics is no longer a luxury but a necessity in the food industry. With the help of big data, businesses can gain insights into consumer behavior, market trends, supply chain efficiency, and operational performance. Data analytics can help businesses identify opportunities for growth, optimize pricing and promotion strategies, and improve customer experience. Moreover, advanced analytics tools such as artificial intelligence and machine learning can enhance the accuracy and speed of decision-making. Therefore, food businesses that leverage data analytics can stay ahead of the competition and drive business growth.
Conclusion
The food industry is undergoing a significant transformation, driven by changing consumer preferences, digital disruption, and global challenges. The four trends discussed in this article- plant-based foods, delivery and takeout, sustainability, and data analytics- are just a few examples of the changes that are reshaping the industry. However, food businesses that adapt to these trends and embrace innovation can thrive in the new normal and provide value to their customers.
