TRENDBOOK Food Trends Polish Perspective 1
Content Introduction 4 Across generations 5 Ageing population 6 Smartfonization / Smartphone power 7 Biotechnology 8 Big Data and machine learning 9 Advanced Materials and Manufacturing 10 Globalization 11 Startups and innovations 12 New era for supermarkets 13 Food waste under the radar 14 Nutrition facts awareness 15 Snacking is in fashion 16 Souping 17 We want greens! 18 New meaning of comfort eating 19 Healthy yet inexpensive 20 Tradition with a twist 21 Superfoods 22 Made to order 23 Foodtruck power 24 Cooking is in style 25 New face of Fast Foods 26 Safety above all 27 Environment matters 28 Travelling here and there 29 Migration 30 2
Packaging power 31 Healthy body 32 Bitter-sweet 33 Clean label 34 Well crafted 35 Quality over price 36 Eating at work 37 Allergies 38 The growing wealth 39 Drones, robots and virtual reality 40 Insects 41 Tablets 42 Diets that heal 43 Collony colapse 44 Food chain 45 Circular design 46 Home growing 47 Polarization of societies 48 Less cooking, please! 49 prepared by Ola Jarosz, Project Performer, ola.jarosz@innovatika.com Radek Rejsel, Designer, radek.rejsel@innovatika.com 3
Food is a crucial part of our lives: it not only feeds us and delivers valuable nutrients to our bodies, but is also a source of pleasure, business and various challenges. It is now one of the most important topics of governing authorities and international organizations. The following trends reflect the change that has been affecting (or is starting to affect) various aspects of food: from production, consumption, to the lifestyle that comes with eating habits or technology changes that slowly affect all of those. And while some of them focus on the Polish market, most of them can be aligned with the global movements. And so the trends take from what s now to take a look into the future hopefully in a format that is easy to digest. Bon Appetit! 4
ACROSS GENERATIONS In the 21st century representatives of different generations live next to each other while having different values, skills and attitudes. Amongst a population of a given country so called digital natives (people not knowing the world without technology) and digital immigrants (those not familiar with technology) are co-existing. Multigeneration management and meeting different needs and values is one of the key challenges of companies across sectors. 5
AGEING POPULATION It is estimated that in 2035 the average age in Poland will reach almost 50 years, which makes the country one of the oldest societies according to the UN. Facing the social and economic consequences resulting from aging population will be a challenge for the governments across Europe. 6
SMARTFONIZATION / SMARTPHONE POWER The estimated number of smartphone users around the world exceeds 2 billion and is still growing. It is predicted that more than one-third of the world s population will use smartphones in 2018. Smartphones are constantly offering new features and more and more people are making daily transactions with them: from banking, booking tickets or accommodation to many types of shopping. 7
BIOTECHNOLOGY Biotechnology is growing at a rapid pace. Its application to food production (including genetic modification), especially for rarely cultiv ated plants, can increase agricultural productivity, crops range and resistance of plants to various diseases. At the same time, genetic engineering advances can also lead to breakthroughs in human health by e.g. eliminating malaria or treating diseases such as cystic fibrosis with changing genetic codes. Both types of interference - in plants or humans - are a source of moral and health controversies. 8
BIG DATA AND MACHINE LEARNING Food companies are already turning to process automation (part of artificial intelligence) solutions. Big data and machine learning are allowing analysis of huge amounts of data and constructing predictive or analytical models, which are designed to understand and predict customer behavior. Big data and machine learning processes are improving work efficiency, transforming industries and improving communication between machines. On the other hand, more and more data is collected about each user, which is raising privacy controversies. 9
ADVANCED MATERIALS AND MANUFACTURING With new technologies, advanced materials and manufacturing developments are entering the markets. Nanomaterials and metamaterials are now being used in electronic and medical products, energy industry, transportation and consumer goods. The availability of 3D printing and 4D printing (building objects that can change their form e.g. in response to the environment or in time) is raising. The increased mechanical and electrical properties of new materials suggest that more often than not they will perform better than conventional materials and consequently, will revolutionize most industries 10
GLOBALIZATION Italian lasagna is not enough now we want more! The connected world has made us more knowledgeable and more aware of other cultures. Consequently, the demand for a more diversified choice and higher authenticity of ethnic cuisines has been rising. At the same time, a lot of countries are experiencing growing pride in local and regional food, which is also making it more available. 11
STARTUPS AND INNOVATIONS It is estimated that in 2016 over $ 1 billion was invested in the startups of the food industry in Silicon Valley only. More and more innovations are being introduced to the market: amongst them, new alternatives for meat products or healthier versions of popular spices (e.g. sodium-free salt). But Innovations go even further recently, and the idea of beef production in 3D printers (!) has come to light (currently the project is awaiting approval from the US Food and Drug Administration). 12
NEW ERA FOR SUPERMARKETS Uncertain is the future of traditional supermarkets. Their share of the market as well as sales have been slowly yet steadily falling for the past decade, losing to smaller, but specialized or high-quality stores. There are also innovations being introduced, such as shops that eliminate the human factor in the payment process the shopping cart is inserted into a scanner that automatically scans and counts all the products in it. There is also a supermarket where there are no registers at all the products are charged at the time of taking them from the shelf and the charge is taken from a credit card directly. 13
FOOD WASTE UNDER THE RADAR Consumer awareness is increasing we not only want to know what is included in the product, but also what does the production process look like. There are more and more consumers that are against throwing out food and want to be clearly informed about produced food waste. That is reflected in the actions of governance - both the United States and the European Union have set targets for reducing food waste. New campaigns, initiatives and stores are targeting the limitation of this phenomenon as well. 14
NUTRITION FACTS AWARENESS We know more and more about nutrition. We are also increasingly more aware of the influence of particular nutrients on our body and we can now distinguish the most valuable ones. As a result, the demand for protein-rich products, better fats (virgin olive oil, nuts, avocados) or more favorable carbohydrates (complex over simple) is growing. 15
SNACKING IS IN FASHION More and more often we go for small, easy to transport products that combine taste, health and time-saving values. Snacks are becoming more popular: especially those high in protein, containing natural nutrients/specific nutrient-free (no-dairy, gluten free), or snacks enhanced with superfoods. Juices and beverages in more and more innovative forms are an integral part of the snacking fashion as well. 16
SOUPING Europe has become fascinated with soups and those are becoming a very strong competitor to the juice diet. Healthy food enthusiasts stress the filling nature of soups while them retaining their digestive and flavor advantages. The fashion for soups lasts all year and is fueled and inspired by seasonal ingredients. 17
WE WANT GREENS! The demand for green is going up - the number of people declaring themselves as vegetarians or vegans is steadily growing, and the food industry follows that trend. In the period of five years (2011-2015), the number of vegetarian products offered increased by 25% (from 8 to 11%) and vegan products by a whooping 257% (from 1 to 4%). 18
NEW MEANING OF COMFORT EATING As the technological development, urbanization and fast pace of life are taking over, there is a growing demand for products of relaxing properties or that can be eaten late in the evenings before bed. There are new products being introduced to the market that have the potential to take on the role reserved until now for teas help with sleep or body regeneration thanks to the use of herbal ingredients, such as chamomile or lavender. There are also new products that are supporting digestion and are allowed to be eaten even late in the evening. 19
HEALTHY YET INEXPENSIVE Products of organic or natural origin or those deliberately free of specific nutrients (e.g. gluten) are often much more expensive than their normal versions. This is controversial due to the lack of access to healthy food for people belonging to the less privileged parts of society. Various innovative activities and campaigns of the key players in the food market are being launched in 2017, aiming to make healthy and high-quality product available even to the poorest. 20
TRADITION WITH A TWIST Modern consumers want a mix of tradition and modernity on their plate - both in their own and international cuisine. Traditional recipes with an innovative twist are gaining popularity, leaving plenty of room for innovation based on what is known and loved. 21
SUPERFOODS Superfoods is a group of products that contain nutrients that are particularly important for our health and improving the functioning of the body. Superfoods are for example seeds, nuts, berries, citrus fruits or oily fish, but they also include popular exotic products such as chia seeds, gooseberries, cupuacu, lychee or teff (or their local equivalent, such as linseed replacing chia seeds). 22
MADE TO ORDER We order more and more food - Polish market of delivered meals ordered on the Internet is valued at PLN 200 million annually, with a prospect of increasing several times over the next few years. There are two business models for portals serving food orders: aggregators portals where many restaurants are presenting their offer and the customer orders from one of them (e.g. UBER Eats), and new portals that allow you to compose a meal from multiple restaurants (e.g. main from restaurant X, and dessert from restaurant Y). 23
FOODTRUCK POWER The foodtruck market in Poland is developing rapidly. They take on a business model of flexibility: instead of a permanent location they are exactly where things are happening and are working only then hours-wise which is cutting down costs dramatically. Food trucks offer interesting menus, often international cuisine and authentic regional dishes from different parts of the world. But they are also standing out with their looks not only the food, but also the vehicles themselves are carefully and thoroughly designed. 24
COOKING IS IN STYLE Cooking is in style! In recent years both globally and in Poland more and more television programs devoted to cooking or cooking blogs are being launched. The chefs salaries are steadily rising and the prestige of their profession increases (with some of them gaining the status of celebrities). Popular cooking and baking classes are available, and new courses such as food styling are being created to meet the demand. 25
NEW FACE OF FAST FOODS The face of fast foods is changing - now fast does not have to mean bad. Once associated with cheap, unhealthy and fatty foods, nowadays many of this kind of restaurants offer interesting and more qualitative menus. Often these are regional kitchens and so-called street food from all over the world. There are also places to sell fast-food takeaway only in fit, vegetarian or vegan versions. 26
SAFETY ABOVE ALL Consumer awareness is also evident in demanding food safety. There are emerging applications that can be used during shopping and that inform consumers about unhealthy ingredients of a product based on a bar code scan. Recent initiatives are also taking place at much higher levels - the European Commission has recently launched a competition of a 1,000,000 budget for the construction of a non-invasive food scanner that will display the nutritional values and potential hazards of a food product (such as allergens or preservatives). 27
ENVIRONMENT MATTERS We do not want the food industry to harm the environment. More and more consumers are researching details of production and are seeking whether a company exploits natural resources, uses animal testing or cheap labor. There are websites and applications that allow consumers to keep track of every step of your product life from a seed in the ground to the shelf in the store. 28
TRAVELLING HERE AND THERE People are traveling more and more - the number of Poles traveling abroad has been growing steadily throughout the years. It is directly linked more people exploring new cuisines and opening up to new flavors. One study has shown that local foods - spices, snacks - are one of the most popular souvenirs. All this contributes to the globalization of the cuisines and to the expansion of taste experiences. 29
MIGRATION In many places in the world, migration and population mobility are increasing due to political or economic factors. Migration often plays a role in reducing regional unemployment. At the same time, the influx and mixing of the populations is bringing access to regional products and services of the migrants (e.g. restaurants of exotic cuisines or spice shops). 30
PACKAGING POWER Packaging is becoming increasingly important, and consumers notice its aesthetics and quality. Manufacturers and brands recognize the value of investment in design - they employ design and branding specialists and use innovative new materials. Packages become smart or even interactive, they entertain the consumer (such as glowing beer bottles) and are designed to be useful even after using the product. 31
HEALTHY BODY Gyms and various sports disciplines are thriving. We are aware of the value that physical activity brings to our lives and health. New and innovative equipment is being introduced, such as underwater treadmills the runner exercises being submerged in water waist-down, which reduces the load on joints with increased muscle strain. Ever elite sports (e.g. squash) are now becoming available to everyone. Alongside with education about physical activity, we also know more and more about the diet that will support it on the way to a healthy, strong body. 32
BITTER-SWEET Although sugar is still a desirable ingredient that provides the looked-for flavors of food, more and more consumers and producers want to limit its usage. One of the largest food brands has declared a 20% reduction of sugar in its products by 2020. Natural, low-calorie sweeteners are also gaining in popularity as a replacement for sugar. 33
CLEAN LABEL The clean label is a new trend of consumer demand. This concept assumes the incorporation of only original and natural ingredients in the product and avoidance of artificial colors and preservatives. Products that are simple and consisting of natural ingredients only are gaining popularity (e.g. cream cheese of two ingredients: cheese and salt, honey made of: honey and raspberry concentrate). In recent times, one of the world s largest food brands has announced that in the next few years it will remove artificial coloring from all food products, leaving the natural shades of its products, including their famous chocolates. 34
WELL CRAFTED Between 2011 and 2015, the number of products containing the word craft was increased by almost 250%, mainly in categories of alcoholic beverages, bakery and confectionery markets. Consumers are beginning to pay attention to the artistry of the production and its qualitative, inventive value as well as appreciate the aesthetic qualities that are associated with this trend. 35
QUALITY OVER PRICE At present Polish export goods are attractive on foreign markets mainly due to their price, which is, in turn is achieved mainly thanks to relatively low labor costs. With the increasing prosperity and consumer awareness, price is no longer the key, giving the first place to the quality of products. 36
EATING AT WORK As many as 46% of Poles eat breakfast at work - and it is in the workplace that we eat more and more of our meals (on average two meals a day, usually sandwiches or lunches). The popularity of catering companies servicing workplaces and the diversification of their offerings are also increasing. 37
ALLERGIES It is estimated that around 20-30% of the population suffers from allergies and that number doubles every 10 years. Over 17 million Europeans suffer from food allergies, in Poland around 8.6% of children and 5.4% of adults. Food intolerance (e.g. gluten, eggs, milk and dairy products) is affecting an increasing number of people, resulting in demand for niche products. 38
THE GROWING WEALTH Societies are getting richer Poland being one of the countries that grow rich the fastest in Europe. This has a key impact on changing eating habits in the years 2006-2014, Poles eating out expenses increased more than threefold. As quantity is giving way to quality, restaurants and qualitative ingredients shops are seeing an increased consumption. 39
DRONES, ROBOTS AND VIRTUAL REALITY The use of advanced technologies such as augmented / virtual reality (AR/VR) does and will have a huge impact on the transformation of society - especially in the media and entertainment. Drones and robots can revolutionize the delivery of meals so far drones are delivering burritos at Virginia Tech Campus and another company tests the first robot that moves on the sidewalks and delivers ordered meals. 40
INSECTS There is an increasing popularity of insects in the European diet. Enthusiasts and experts point out that insects are the best substitute for animal protein (larvae of some butterflies or beetles contain three times more protein than beef), and their production is ecological and energy- -efficient. And thus, it is quite likely that we will introduce fried grasshoppers or dishes stuffed with larvae into our diet. 41
TABLETS Science fiction has been feeding us for a long, long time with a vision of pills loaded with nutrients that replace our meals. And while it is not currently possible to provide the right energy values with tablets, further research is ongoing in this direction, and technology development may make it possible in the future. 42
DIETS THAT HEAL More emphasis is placed on the role of nutrition in the prevention and treatment of various diseases. There is growing consumer awareness of products that have a proven impact on the fight against diseases such as diabetes, cancer, arthritis or bone or heart diseases. At the same time, there are initiatives and social actions taking on an educational function and informing society about connections between food and health. 43
COLLONY COLAPSE The reasons why the bees are dying at a massive scale are not really known but we do know that pathogens, pesticides and parasites have their contribution to the phenomenon. Bees pollinate about 75% of plant species used by humans. Some of the plants are completely dependent on honey bees (bees have to pollinate them in order for the plant to produce fruit), while other plants are only partially dependent (bees increase the ability of plants to produce better and healthier fruits). The loss of certain plant species or the reduction of their diversity resulting from losses in bees populations can have irreversible, tragic consequences not only for the economy, but for the entire food chain. 44
FOOD CHAIN INTERFERANCE People are increasingly interfering in the food chain - and the effects of those actions are getting stronger and stronger. While positive impacts, such as supporting reproductive processes of endangered species are indeed happening, the human factor plays a primarily destructive role, mainly through energy production, agricultural expansion, pollution, destruction of natural habitats, overfishing and hunting. As human population increases, food and shelter requirements increase too affecting soil, aquatic ecosystems and food production. 45
CIRCULAR DESIGN Innovators, entrepreneurs and key companies in the markets are no longer thinking of production as linear (start-end of a product life). Closed- -loop or circular economy assumes a rational use of resources in a way that the materials contained in the waste can be reused. These assumptions are implemented by world-wide business models (for example, one world-class company delivers a service of a working engine, instead of just selling the engine so they can control the repair and disposal/reuse of the parts). Nowadays packaging that can be used after finishing the product is also being designed. 46
HOME GROWING We want to be fully aware of the production of the plants that we use in the kitchen. Domestic cultivation and products that allow it even in small apartments (such as mini sets for the home production of herbs, mini-greenhouses) are gaining popularity. Home-grown crops can also partially respond to the disappearance of natural goods caused by increased human interference in the environment and the food chain. 47
POLARIZATION OF SOCIETIES We are experiencing the polarization of societies - our attitudes and views on important issues of political and social life are increasingly differentiated. This phenomenon can lead to deep social conflicts and widening inequalities between social groups. The potential consequences of growing polarization may also impact the economy including the import or export of food. 48
LESS COOKING, PLEASE! There is a growing number of passionate cooks - but also people who declare aversion to cooking (from 29% to 38% since 2014). More and more of the society can afford to live cooking-free - with the phenomenon of getting more affluent, we often use catering facilities and order ready- -made food. And if we are cooking, most Poles prefer meals that do not take much preparation time. Thus, the popularity of so called single-pot dishes and fast snacks is growing. 49
Sure you have some reflection on how to use those trends in your organisation. Let us know! We will be happy to share our experience and support you in building successful products and businesses around those trends. 50