What’s hot in the food industry?

Trends for entrepreneurs to take note of:

Changes in consumer eating habits are having a profound influence on the food industry. Throughout the U.S., consumers are increasingly labeling themselves not as calorie counters or being on a diet, but rather, as looking to eat clean, pure, and wholesome foods.

Included in these currently popular dietary trends are paleo, bulletproof, plant-based, allergy elimination (gluten, dairy), and clean-eating, amongst others. Large food manufacturers have been on a buying spree, snapping up small startups who are on the front lines of these trends.

Underlying this shift are Americans looking to dietary solutions to health problems, as well as seeing nutrition as a core tenant of maintaining health. A focus on gut health is playing a pivotal role as all age groups are driven to change their diet with a hopeful look toward health and longevity. As such, most of these eating trends result in restricting the amount of sugars and carbohydrates and demanding higher, mostly plant-based, protein. 

Be aware that the new rise in herbivorism is not just about identifying as a vegan or vegetarian. It is about a conscious effort to eat more plants and fewer animal products — viewed as more sustainable for both personal health and the environment. This trend toward plant-based eating has been further bolstered by the Federal Dietary Guidelines Advisory Committee’s recommendation that Americans eat less meat.

Based on this change in consumer habits, the following are eight trends you should be watching and considering when formulating a new food product or food-based business, or adjusting your current offerings.

1. Alternative “Milks” and Flours
This includes, but is not limited to, non-dairy milks and gluten-free flours. Seed and nut milks are starting to flood the marketplace as reports of growing dairy intolerance and the questionable safety of soy have hit the media. If consumers do purchase milk or other dairy products, they are choosing full-fat varieties.

Flours made from pulses (i.e., chickpeas, lentils, dried beans) are replacing traditional wheat-based flours. Going a step further: sprouted flours are providing benefits of increased digestibility, higher protein content, reduced glycemic load, and are a good source of fiber.

2. Grass-Fed
The trend is basically grass-fed everything including all dairy, meat, eggs, protein powders, and jerkies. At the Summer Fancy Food Show, which just took place in June in New York City, buyers saw this as a top trend. New products, many from startups or small- to mid-size businesses, included grass-milk yogurt, grass-fed beef jerky, grass-fed milk lassi, and ice cream with a base of grass-fed milk.

3. Uncommon
The new and unusual are being seen in all categories from meat and seafood to produce. This trend is being elevated due to a couple catalysts. First, consumers are looking for new experiences. They prefer quality experiences over quantity of stuff. Second, more people are conscious not to waste food. 

Consumers are embracing the idea of mindfulness when it comes to their food. This involves taking the time to enjoy what they are eating rather than just mindlessly filling up on conventional processed food. 

Deemed “ugly produce” once unpicked, cosmetically challenged produce is making it directly to shelves as well as providing food manufacturers with new inputs for food products. Food manufacturers are developing products such as sauces for this historically wasted produce, which used to be deemed unsalable due to minor imperfections. The food industry is also seeing cuts of meat once overlooked becoming more mainstream. 

4. Local
The locavore trend has been hot for a while due to the increasing awareness of how food-miles impact the environment. But now this movement is being increasingly influenced by the appeal of the concept of eating as our ancestors did, simply and seasonally. Again, as consumers move more toward experience and less toward stuff, this also plays into the idea of eating in season being about the pleasure of the moment. 

While the locavore movement has historically helped support sales from farmer to consumer at farmers’ markets, these direct sales are on the decline. This year, farmers are experiencing fewer people buying produce directly at market as the time and willingness to cook at home has started to evaporate. While consumers still want the benefits of local goods, they are now buying many of these local items via prepared food. 

5. Hot sauces and spices
Deemed the “sriracha effect,” the increasing awareness of the health benefits associated with eating spicy foods has pushed consumers to embrace them. 

6. Clean labels
With this trend think of the word “no.” As in no preservatives, no additives, no growth hormones, no artificial ingredients, etc. Manufacturers have begun to consistently change and announce their change to fewer ingredients in their legacy products.

7. Protein
Alternative proteins and especially plant-based proteins (quinoa, flax, pea, chia) are in demand. At the Winter Fancy Food Show snacks made with cricket flour, hemp snacks, and pasta made from non-wheat sources such as edamame were popular. Coming onto the radar are both insects and algae as sources of alternative protein sources.

8. Organic and “Natural”
The natural and organic food category continues to garner support and growth. The pushback on GMOs (genetically modified organisms) plays into this trend. An increasing number of products are being labeled by the manufacturer as GMO-free regardless of the lack of regulation requiring them to do so.

Karen Livingston is a business advisor at the Onondaga Small Business Development Center (SBDC) at OCC. Contact her at livingsk@sunyocc.edu.