Increasing consumer expectations around health, well-being, sustainability, and food security are driving companies to examine consumer signals in the marketplace to determine their relevance and evolution.
Among the many opportunities available to companies, ADM has identified eight that point the way for innovation and renovation now and into the future.
Read our report or check it out here.
Global Trends Framework for 2023
In their lives and in their consumption choices, consumers are rethinking what is really important to them – what they consider important, what they emphasize, and what they expect from others.
So what does the global trends framework look like for 2023? There are macro forces and enduring consumer trends which form market growth drivers.
The macro forces include: demographic changes, economic and political impacts, technological acceleration, and shifting lifestyles.
Enduring consumer trends, on the other hand, can include: food security, sustainability, and health with well-being.
Source: Global Consumer Trends Driving Market Growth, ADM report
8 Market Growth Drivers
Below is a list of the eight market growth drivers:
Source: Global Consumer Trends Driving Market Growth, ADM report
#1 Balanced Wellness
Consumers’ approach to health and well-being is increasingly intentional and mindful, aiming to achieve balance across all areas of life, including the physical and spiritual. Companies can take advantage of this trend.
Among growth opportunities for businesses are:
- Focusing on nutrient-dense products specifically designed for vulnerable populations, including children and the elderly,
- and highlighting purposeful indulgences for mental and physical well-being.
#2 Proactive Personalization
In wellness and eating, consumers are increasingly prioritizing individual differences rather than a ‘one size fits all’ approach.
Companies should use recommendations and solutions based on technology tailored to specific conditions, health needs, and segments of the consumer population (e.g., gut health, women’s health, gamers, kids, etc.) as well as customized diagnostics, ongoing tracking, and nutrition advice.
#3 Modern Pet Parenting
It is becoming increasingly common for households to elevate pets to the status of family members and consider them a part of their emotional well-being. As a result, companies can gain many growth opportunities by providing proactive and personalized nutrition/supplements that are good for both physical and mental health benefits.
It’s also good to promote healthy treats and additions to pet food for emotional well-being and targeted nutrition.
#4 Trust & Traceability
Traceability efforts must communicate not only what’s in a product but also where the ingredients were sourced, how/where the product was produced, who made it, and under what conditions.
Therefore, businesses should speak to the entire supply chain about clean ingredient panels and promote recognizable, simple ingredients. They also ought to include narratives of provenance, as well as connections with indigenous farming practices and global culinary traditions.
#5 Expanded Protein Choices
In search of a more resilient food system that aligns with customers’ needs in terms of nutrition, sustainability, and exploration, more people are adopting a flexitarian diet.
A number of opportunities exist for growth, including:
- Making affordable and easy-to-prepare protein alternatives,
- and providing real, simple ingredients as consumers aspire to ‘whole-food health’ in alternatives to meat and dairy.
#6 Social Impact
Consumers are challenging the status quo more and more with their voices and purchasing power. In today’s world, social responsibility includes not only people and animals in the supply chain but also to the accessibility of the product.
Therefore, companies can:
- Promote fair compensation and support for farmers to connect consumers to producers worldwide,
- integrate equitable sourcing narratives with modern wellness concepts,
- integrate inclusivity and diversity throughout the supply chain.
#7 Earth-Friendly Production
There is a growing concern among consumers about a range of environmental issues, including climate change, pollution, fossil fuel use, resource use, packaging, and plastics. Innovative, technology-driven solutions are required that go beyond simply minimizing waste and resource use to restoring and rebuilding the environment in a way that is safer and more sustainable for people and the planet.
Every business can:
- Demonstrate a commitment to long-term sustainability by communicating measurable milestones and goals,
- provide products that reduce food waste, mitigate climate change, and restore local ecosystems,
- communicate in a way that emphasizes soil health, biodiversity, and environmental benefits.
#8 Experimental Eating
Consumers desire new experiences and are finding adventure through food, discovering new flavors, textures, and colors via unique spices and botanicals, nuanced culinary preparation methods, and global/regional recipes with authentic flavor profiles.
Among the opportunities for growth are:
- Focus on foods/flavors that offer both pleasure and wellness, especially emotionally,
- offerings that are seasonal and limited-time in order to inspire excitement and urgency,
- the inclusion of virtual activities and affordable prices will democratize experiential products.
Over to You
Global macro forces, a lingering pandemic, and new and growing social and economic tensions are forcing companies to adjust their priorities. The year 2023 is also filled with these factors, which is why it’s so important to run your business in line with consumer and market trends and demands.
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