Plant-based food in Europe: Assessing current demand and future prospects

Transcription

1 Plant-based food in Europe: Assessing current demand and future prospects FoodValley Proteins of the Future, Wageningen October 2018 David Ingemar Hedin, Senior Analyst

2 ABOUT EUROMONITOR INTERNATIONAL Euromonitor International network and coverage 2

3 3 Top 5 protein sources in the largest markets

4 4 HISTORICAL MARKET DEVELOPMENT Consistent growth in Western Europe, set to keep going Vegan consumption is taking off only in some Eastern European markets Meat substitutes incl. tofu and milk alternatives EUR million, current terms with fixed 2018 ex. rate Western Europe Meat Substitutes Western Europe Milk Alternatives Eastern Europe Meat Substitutes Eastern Europe Milk Alternatives

5 Percentage of respondents Less than 10% of consumers prefer food without animal products 5 Share of consumers per country 2017 agreeing with the statement I prefer food not containing animal products France Germany Poland United Kingdom

6 6 Reasons for substitution of dairy and meat DIGESTION ISSUES HEALTHY DIETS CONSUMER AWARENESS ETHICAL CONCERNS

7 7 Over 10% of consumers avoid dairy Share of consumers per country agreeing with the statement I am trying to limit my intake of dairy France Germany Poland United Kingdom

8 8 Over 20% of consumers avoid meat Share of consumers per country agreeing with the statement I am trying to limit my intake of meat Germany France Poland United Kingdom

9 8 FOOD TRENDS FOR food megatrends 2018 the hierarchy Healthy Living Premiumisation Ethical Living Experience More Shopping Reinvented Healthy Living is at the top of the food pyramid, impacting almost all categories and geographies in food. Brought by Generation X, lived by millennials and furthered by Generation Z, ethical living is the fastest spreading foods megatrend. Shifting Market Frontiers Middle Class Retreat Connected Consumers

10 THREE KEYS TO SUCCESS 10 Keeping the narrative initiative

11 THREE KEYS TO SUCCESS Polarbröd: Long-term brand building in Sweden 11 Has bought wind mills to power the bakery Managers participate in media with debate articles relating to agriculture Real Northener marketing - stuffed reindeer in stores etc. Particitpates in debates at the annual politicians meeting in Almedalen Picture by Pette Palander Picture by Pette Palander Increases sales 7% while sales of packaged bread in Sweden decreased 12% See payback of investments in institutional sales

12 THREE KEYS TO SUCCESS 12 Offering superior variation, choice, adaption

13 13 Variation beyond the veggie burger Picture by Picture by Picture by Sweden, similar concept to Beyond Burger (US), beetroot juice makes the burger bleed. A Dutch made product sold as private label in Sweden. The marketing phrase is a plant based burger for meat lovers Sweden, a followup on the dirty gourmet meat substitute. The Swedish brand has added recipies and a visuality that was missing in plant based eating. The actual meat substitute is made in Holland Sweden, Vegme varies assortment around consumption occassion, ingredient source and culinary tradition. This burger with Swedish seaweed fits well in a market with high growth and low share of dometic products.

14 THREE KEYS TO SUCCESS 14 Lobbying for policy support Government-linked research agency RIVM advises people to avoid too much animal protein. Discussions of meat-tax hikes. FoodValley incubator holds seminar on plant protein. Danish Consumers Coop. Society since 2011 features vegetables as the base of diets with meat as a small side. Denmark researches ways to adapt quinoa to the Danish climate. Sustainable GMO? The French food safety agency, ANSES, urges consumers to considerably reduce meat and delicatessen consumption and boost pulses and vegetables intake.

15 15 What s next (and what isn t?) Picture by Picture by Jean and Fred Meat processors try moves into snacking with snackable, shelf stable processed meat. Meat substitutes could do very well in snacking as it in many markets is not associated with meat. Our view is that it will take time for the insect protein to find an appetising form that still adds value and uniqueness. Likely to start in sports nutrition, energy bars and protein pasta. Our view is lab grown meat in large scale, fermented plant based Casein and other real animal protein substitutes are still a few years away from being commercially viable.

16 16 Investments gaining intensity Paulig Group (EUR650 million turnover) majority invests in Gold&Greens Tyson Foods (USD32,300 million turnover) minority invests in Beyond Burger Nestlé (EUR80,000 million turnover) majority invests in Sweet Earth 2017 Tyson Foods (USD32,300 million turnover) increases stake in Beyond Burger to >5% Tyson Foods (USD32,300 million turnover) minority invests in Memphis Meats Kerry Group (EUR6,104 million turnover) majority invests in Dutch Ojah PHW Gruppe (EUR2,840 million turnover) minority invests in SuperMeat cultured chicken meat and becomes distributor for Beyond Burger in Germany

17 Thank you for listening! David Ingemar Hedin, Senior Analyst