Eric Cronert

The acquisition of Siete Brands by PepsiCo is generating significant attention today. Following Diageo's acquisition of Ritual and Mars' partnership with Kellanova, it raises an important question: is M&A the primary avenue for innovation and growth in the food industry? I’m also interested in how consumers of these smaller brands perceive these large CPG acquisitions. Will this shift influence their loyalty and purchasing decisions? #FoodIndustry #MergersAndAcquisitions #ConsumerPerception #Innovation #BrandLoyalty #CPG #MarketTrends

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 🌱 Plant-Based Surge Continues! 🌱 A new report from the Plant Based Foods Association (PBFA) and the retail merchant Kroger highlights a significant trend that we all support: plant-based food sales are on the rise for the fourth consecutive year! The report insights show plant-based alternatives making their way into more baskets, with shoppers seeking nutritious, eco-friendly choices that fit their budgets. As the demand for these products increases, brands and retailers have an incredible opportunity to innovate and meet evolving consumer needs. Fava ingredients can make a real impact in plant-based products foods that consumers want for great taste and texture! What do you think is driving this shift? Are we looking at a long-term change in eating habits? #PlantBased #SustainableFood #FoodIndustry #ConsumerTrends #Innovation #HealthyLiving #SustainableFood #FoodIndustry #ConsumerTrends #Innovation #HealthyLiving #FavaBeans #FavaFlour #FormulatewithFava

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I have to say, some of the stats in this article from Prepared Foods Magazine absolutely blew me away. I mean, I knew #spicy and hot profiles were popular but the fact that up to 95% of consumers say they love spicy foods is incredible. I was also amazed that 74% of consumers indicate they use hot sauce at every meal. Of course, spicy and heat live on really broad spectrums which I think this interview with Chef Denton from Frito-Lay does a great job in discussing. As such, it's possible for just about every brand whether #CPG or #foodservice to play in this space. I also loved how they got into the issue of flavor complexity and the role of ingredients that balance that heat, from vinegar to tropical fruits. It's often easy to think of heat and "spicy" as the more provocative options at the farther end of the spectrum. But the level of heat can also be occasion or emotional state based. Is a ghost pepper the right level of heat for a quiet night reading at home or a romantic dinner out. Maybe, for some consumers but likely not for all. Or, will a subtle level of sweet heat be lost in a night partying with friends? As Mike Kostyo and I always say, it's about finding ownable and defensible spaces that are also uniquely brand relevant. Just chasing a trend because there's data to suggest it's growing is unhelpful if it creates dissonance with consumers and doesn't carve out any space that creates competitive differentiation. https://lnkd.in/g93EWeGj #foodandbeverageindustry #snacks #consumerinsights #consumerbehavior #trends2024 #innovation

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Not quite West Coast or New England–style, the reemerging label is confusing at best … For a long time, two regionally termed IPA subcategories have dominated U.S. beer cans: “West Coast” signaled clear and bracingly bitter with a piney, citrusy, resinous hop profile, and “New England” meant juicy, hazy and sweeter with tropical hops. Suddenly, however, a label that’s maintained alower profile since craft beer’s early days is showing up on more tap lists … muddying that understanding: “American IPA.” What even is this style? The name suggests some overarching combination of the two coastal substyles, a less-than-helpful and vague umbrella term, or, potentially, its own new thing. The answer, it seems, is all of the above. From the late 1970s into the 1990s, brewers started making IPAs based on their knowledge of English IPAs, but with an American twist. Thus “American IPA” made sense. But two things happened to erode that simple definition. For one, American craft beer took off, and American-brewed IPAs overtook English-style ones. For another, West Coast and New England substyles appeared, further delineating the category. “American IPA” all but disappeared as a label. Now, we’ve started to see the ‘American IPA’ return as a ‘style.” Yet did it ever really leave? While it’s agreed that an American IPA should not be hazy or as sweet as a New England IPA, an American IPA can still capture certain NEIPA notes with tropical fruit characteristics. “It can embody the West Coast’s visual clarity while incorporating the hop profile typical of the East Coast,” says Daniel Sickmen, head brewer at Virginia’s Lost Barrel Brewing, where an American IPA is a menu staple. The “American IPA” label leaves the door open for people to explore some range in terms of bitterness, sweetness, malt character and hop character, and learn what they like. For that reason, American IPA might at this point be more of a vibe than a style. It’s an IPA living in the middle of the tropical-sweet and piney-bitter extremes, open to brewer interpretation as well as to consumer discovery. It’s big, it’s bold, it’s intense. And you know it when you taste it. “The best IPAs are ones we drink with friends.” — Stephen Carter King Read the entire article at: Punch Drink .com Cheers🍻! #ConsumerBehavior #EmergingTrends #BrandAwareness #BusinessIntelligence #Beer #CraftBeer #IPA #AmericanIPA #Microbreweries #Pubs #Taprooms #Brewpubs ✦✦✦ Stephen Carter King Chief of Growth and Marketing and Strategy • Beer Market Analyst • Beerconomy & Co. CEO • Thought Catalyst • Sherpa • Advisor & Speaker sharing beer market trends, insights, forecasts and scoop via The Beerconomist

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It's no surprise that the "swicy" trend – a delightful blend of sweet and spicy – is heating up snack and beverage aisles everywhere, as Whole Foods Market predicted this in our Top 10 Food Trends for 2024 under "Complex Heat." Sales of spicy food and drinks have increased by 9% year-over-year, as highlighted in a recent CNN article. I love seeing this trend come to life across our aisles at Whole Foods Market. I have been making Italian subs, heroes, grinders, or sandwiches (depending on where you're from) for years. While some ingredients never change, I rediscovered Mama Lil's Peppers, which have become my go-to this summer. They are mildly spicy and delicious. I also love using Divina Market Chopped Calabrian Peppers from Italy, sourced by our long-time supplier FOODMatch, who were recently honored here in Austin as Whole Foods Market Supplier All Star. What other summer food trends are you trying? https://lnkd.in/gd7VU_EY #TeamWFM

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Community Call: Whole Foods Market - Updates for Local and Emerging Brands Kristin Sherman, Principal Local Forager at Whole Foods Market, and Casey Gaston, Executive Leader of Local and Emerging Brands, join Community Call to share essential updates and strategies for local and emerging brands who want to get their products on shelf including: *Changes to how the local and emerging team operates *Current differentiation and innovation the team is looking for *Inside tips for submissions and pitching *Distribution recommendations *Pricing strategies *Special diets and macro trends of note

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Naturally Minnesota is looking for the most deserving champion in the Food, Ag, and CPG sectors for the Distinguished 5P Awards. Winners will be announced during FAI 2024. ‍ You can nominate someone for your favorite P, or you can nominate them for all five! Nomination form here https://lnkd.in/g2Yg_mZT The application deadline is Aug. 9.  WHAT ARE THE 5 P'S? Passion: Emotion, Delight, Excitement, Commitment, Enthusiasm, Zeal Prosperity: Affluence, Success, Influence, Diversity People: Care, Compassion, Concern, Diversity, Inclusion, Equity, Integrity, Transparency Planet: Care, Concern, Compassion, Continues Improvement, Regenerative, Solutions that Restore Purpose: Drive, Reason, Intention, Intent, Determination, Tenacity, Dedication

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“Growing a CPG company, especially in the food and beverage space, ‘is astronomically harder today,’. ” Paul Voge you said it, man. So many truth bombs dropped in this article about the challenges and difficulties growing and scaling a CPG brand in today’s world. The cruel reality is that it takes a whole lot of money or a whole lot of time (and most times both) along with a fair amount of luck to have a chance at making it. If you dont have a ton of money then you better have a ton of time, some good fortune, and a product that can withstand many changes of the seasons (and "trends"). For most emerging brands today its all about survival and just finding a way.  There are lots of traps out there– lots of shiny objects– lots of vanity metrics hoping to be noticed and cared about–but at the end of the day sometimes its just about living to see another one. Here’s to all you day-to-dayers and week-to-weekers out there that are all just finding a way. Keep finding it.

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One thing people underestimate about the Food & Beverage industry is how consumer trends have a DIRECT impact on M&A trends. IFT First in Chicago is one of the most important food shows I have attended that brought some of these trends to the forefront, bringing together thousands of exhibitors to showcase the latest innovations, technologies, new products, and ingredients in the food and beverage industry. Here are some key trends from this year's event that will have a direct impact on the M&A market: Ultra-processed Foods: Confusion around minimally processed, processed, and ultra-processed foods persists. Companies like Chobani are working to educate consumers and reduce stigma, a crucial effort for market acceptance. As strategic buyers look to become more acquisitive, they add a diligence stream regarding how their potential target's products are processed and whether they can substantiate their marketing/packaging claims. Health Benefits: Products emphasizing higher protein, sugar reduction, and clean labels are in demand, reflecting consumer priorities for long-lasting health benefits. Companies that continue to play in the more indulgent sectors will need to focus on ingredient quality and transparency to sustain growth. Alternate Sweeteners: As consumers seek to reduce sugar without sacrificing taste, innovation in alternate sweeteners is vital. Companies that can provide great-tasting products with low-sugar alternatives that consumers can trust will be in demand in the future. At Greenwich Capital Group LLC, we closely monitor these trends and ensure our clients and potential clients understand how to position their company before a sale. Companies ignoring these shifts risk negative perceptions in M&A processes, potentially impacting their salability and value by not aligning with consumer preferences. #IFT2024 #FoodInnovation #IngredientTrends #HealthyEating #FoodTech #MandA https://lnkd.in/gzcfRxkF

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Customer-centric (customer-centered, customer first) was a corporate buzzword that littered mission statements, marketing slicks, slogans, emails, etc., but lost its impact due to corporations' repeated failures to deliver on the promise. I fear the same fate for "Innovation," which is used everywhere but seldom delivered consistently. The "Innovation Gap" discussed in Adam Melonas article published by Forbes Business Council below must be solved before "Innovation" becomes another hollow buzzword. Innovation, not Renovation, is what will drive profitable, volume-led growth for CPG companies. Critically, the innovation, from idea to shelf, must be in months, not years.

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🚨 National Beer Wholesalers Association 87th Annual Meeting is just around the corner, and Bud Dunn will be hosting a seminar you won’t want to miss: Incentives vs Entitlements: How to Get More Effort from Your Team 📅 Monday, September 30, 2024 🕗 8:00 – 9:15 a.m. If you’ve ever struggled to keep your team consistently motivated, this session is for you. We’ll be diving into the psychology behind motivation and discussing how to use strategic incentives to build a high-performance culture. Here’s what you’ll take away: ✔️ Proven strategies to inspire dedication and hard work ✔️ How to balance incentives with expectations ✔️ Practical tools to align your team’s effort with your company’s goals Whether you’re leading a small team or managing a large operation, this talk is designed to help you get the best out of your people—no more guesswork, just actionable steps that drive real results. 🗓️ Add this to your NBWA agenda and be sure to stop by Booth 713 to learn how VXP Tech can help you leverage AI to improve your sales and profitability. 💪 #NBWA2024 #Leadership #TeamPerformance #Incentives #BeerIndustry #HighPerformanceCulture #VXPTech

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In April 2024, average weekly #grocery spending rose to $129, with a 10% increase from last year and 17% from 2022, per Purdue University's Consumer Food Insights report. The top factors for choosing stores were #price, #food selection, and fresh produce availability. Rural consumers prioritized price (44%) more than urban consumers (31%), while urban shoppers focused more on food selection (20% vs. 12% rural). Food #inflation stabilized at 6.3%, hinting at stability. Household food insecurity decreased to 11%.

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Molson Coors Beverage Company takes a majority ownership stake in ZOA Energy, a "better-for-you" energy brand co-founded by celebrity actor Dwayne “The Rock” Johnson The deal is a natural development after the 2021 distribution deal September 2023 minority stake purchase by MCBC, and a clear sign of Molson doubling down on its transition to a 'total #beverage' company "ZOA’s portfolio features better-for-you energy drinks and pre-workout supplements, all made with high-quality ingredients, according to the company, like electrolytes, B & C vitamins, and zero sugar. It comes in 12-ounce cans with 160 milligrams of caffeine in flavors like Frosted Grape, Tropical Punch, Strawberry Watermelon, and Cherry Limeade." Reportedly, ZOA’s highlights a 50% repeat purchase rates, and 30% of consumers being 'new to category' meaning less dependence on costly MS% fight over the same consumers vs the category incumbents Zoa's omnichannel presence is also a point to highlight: - 25k+ retail locations - 86k+ points of distribution - Significant DTC business - 3P #eCommerce: top 10 energy drink brands on Amazon #food #fmcg #cpg #strategy Frederic Fernandez & Associates

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Got a minute? How about a “Macro” minute? Our short form update to the Beverage Alcohol business has been getting positive feedback and we appreciate it. Kaleigh Theriault and I have the latest 4 week ending 5/18/24 NIQ reporting available. One of the views that many of you seem to enjoy is what the business looks like when we create a 4th mega category for Ready to Drink. 🍸 RTD – continues to show some positive impact this period with dollars +1.3% but volume is down over -2%. When viewed on its own, RTD is well over a 12 share of the total alcohol dollars off trade. FMB and Spirits based cocktails are driving momentum while Seltzers are declining growth. This view shows you how volume challenged the Beer, Wine and Spirits segments remain when we exclude RTD.  Most category dollar revenue continues to flirt with flat growth, going into the pivotal summer selling season. 💡 Let me know if you want to get the update details, and please continue to share your thoughts and commentary. 😂 And just because …. Why did the data analyst go broke?  Because he lost his cache! 😆 OK, back to my day job.

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A big week for CPG: In case you somehow missed it, PepsiCo, Inc. announced this morning it has entered into a definitive agreement to acquire Siete Family Foods Foods for $1.2 billion. The transaction is expected to close in the first half of 2025. Palm Tree Crew Investments is taking a deeper stake in the beverage business with a new investment into functional Cove Soda. Terms of the deal were not disclosed. Lucky Beverage Co. has closed an oversubscribed Series A round netting $11.75 million to bring the beverage brand’s total investment to $26.5 million. Stoked Oats announced it is moving beyond the breakfast aisle for the first time with the launch of a new innovation today: Stoked OatRice, an alternative rice product made from unprocessed oats grown in Regenerative Organic Certified (ROC) fields in Alberta, Saskatchewan and Montana. Once Again Nut Butter Collective announced today it has acquired California-based, organic almond manufacturer Big Tree Organic Farms as it seeks to increase efficiencies and reduce its environmental impact for its West Coast industrial customers. Mezcla is unveiling new branding as it enters its next phase of growth following a recent funding round that brings its total backing to more than $8 million. Additionally, the plant-based bars, which feature a puff-crispy texture, are rolling out to more retail shelves by year-end. Big Picture Foods has been acquired by the Atalanta Corp. for an undisclosed sum. The Regenerative Organic Certified (ROC) food brand sells a line of naturally fermented organic olives, peppers and capers sourced directly from small farmers across the Mediterranean region. Founded in 2021 by husband-and-wife duo Chris and Daniela Jensen, Big Picture sells its products in about 1,000 doors nationwide. Weak market conditions, particularly in the quick-service restaurant category, have led Lamb Weston to restructure. As part of its plan, the company will close a processing facility, curtail manufacturing in North America and reduce its global workforce.

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🦔 Hedgehog alert! 🦔 Tillamook County Creamery Association has had an unrelenting focus to reset America's dairy standards for years. With a hedgehog-like focus (where my Jim Collins fans at??), the brand has been chipping away at this 5-year brand ambition through smart and thoughtful product and sub-category expansion (cream cheese launch, butter product improvement, differentiated shredded cheese, ice cream pints), intentional geographic expansion, consumer-led positioning, rebranding and packaging updates, and last but not least, ownable marketing messaging. I should know, having had the pleasure of leading the ice cream category for several years in service of this broader goal. What are some other hedgehog brands (and companies) you love?

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