Food Business Review

Perspectives on The New Normal: Post COVID-19

Food Business Review | Tuesday, June 30, 2020

Considering supply chain disruptions and labor shortages, foodservice entrepreneurs are facing deep-rooted disputes caused by COVID-19 may be of greater significance.

FREMONT CA: The most imperative short-term challenges are labor shortages and supply chain disruptions faced by foodservice operators which are eventually accelerated by COVID-19. Many market shifts caused by the pandemic are proving to be structural rather than transitory, and which are vital in terms of where consumers eat and how they interact with restaurants habitually. It is insignificant to say that consumers no longer want on-premises dining, but it is pointless for many chains. This transition necessitates a shift in resources to digital formats that are more conducive to consumer preferences, particularly those of younger consumers.

According to NPD's analysis of the US foodservice industry, lunch business improved by 4 percent during the reported period compared to 2020 and 21. On-premises dining was also on the run, although despite the advances, traffic levels for all dayparts were still substantially below pre-pandemic levels.

Stay ahead of the industry with exclusive feature stories on the top companies, expert insights and the latest news delivered straight to your inbox. Subscribe today.

The National Restaurant Association released a poll underscoring the problems that owners face. In the long run, online ordering for delivery and takeout is likely to continue to grow in 2022. Operators are being forced to react to changing consumer preferences and become more digitally aware.

The restaurant industry’s largest companies such as Starbucks Corp., Seattle, drive-thru and mobile ordering accounted for nearly 70 percent of US company-operated shop sales in the first quarter of January 2022. The company was up by 15 percent over pre-pandemic levels, with this hope the management team anticipates that the current growth trend will continue.

Yum! Brands, Inc., headquartered in Louisville, Ky., has been aggressive in expanding its digital capabilities. Dragontail Technologies, a food preparation company that automates kitchen flow, driver dispatch, and custom order tracking, will be acquired by the owner of Kentucky Fried Chicken, Pizza Hut, and Taco Bell. Yum! has also purchased two startups. Tictuc, based in Tel Aviv, Israel, allows customers to order food through messaging and social media apps, while Kvantum, based in Plano, Texas, uses artificial intelligence to generate marketing performance insights and consumer analytics.

The NRA survey contains rationales for such investments. Amidst the US adults who responded, 54 percent said buying takeout or delivering food is essential to their way of life. Millennials had a higher percentage at 72 percent, while Gen Z had a lower percentage at 66. A common insight into the pandemic was that stay-at-home orders accelerated retail e-commerce growth by five or six years.

More in News

Fueled by rising demand, cold chain food logistics is rapidly evolving, powered by advanced technologies and sophisticated freight management solutions. Cold chain logistics tends to receive less attention than other forms of food logistics. However, it presents more significant challenges and risks, underscoring the necessity for distributors and all participants in the supply chain to refine their logistics strategies. Cold chain logistics is a distinct sector within food logistics that aims to ensure the secure transportation of perishable food items. This process guarantees that the products are kept at the appropriate temperature throughout each phase of the supply chain. This particular logistics sector necessitates meticulous planning, cutting-edge technology, precise management, and some of the most sophisticated packaging and refrigeration solutions available. An in-depth examination reveals the unique challenges faced by this industry, as well as the innovative technologies that are facilitating opportunities for growth on a global scale. The primary issue in transporting perishable food items is ensuring the safety and quality of the products throughout the shipping process. However, various factors complicate this task within cold chain logistics. They are: Condensation and Temperature Changes Due to Faulty Equipment: A prevalent issue encountered is essential equipment failure, even if only briefly. Fluctuations in temperature can lead to risks such as freezer burn, condensation, and damage to products. Sudden equipment malfunctions represent a significant concern within the logistics management framework due to the potential damage that can occur in minutes. The most effective strategy to mitigate these risks is to ensure the availability of backup support to monitor and maintain precise temperature levels consistently. Collaborating with reputable cold chain logistics firms, particularly those equipped with cutting-edge technology for product oversight, can provide valuable assistance. Human Errors: Errors in refrigerated logistics frequently stem from human oversight. Only highly skilled professionals should actively manage logistics. Inefficiencies in operations or inadequate equipment management can significantly increase the risk of food product damage. Training on appropriate handling techniques and best practices in cold product management is vital for addressing these issues. Furthermore, technological innovations that automate various tasks and processes may substantially support operational management. High Costs: Cold chain logistics requires significant capital investment, which entails substantial expenses for specialized equipment, refrigerated transportation, temperature monitoring systems, and energy usage. The upkeep of cold storage facilities and refrigerated vehicles, particularly those adhering to rigorous standards, can incur considerable costs. These elevated operational expenses may pose challenges for smaller enterprises, hindering their ability to offer competitive pricing, especially in low-margin sectors such as the food industry. ...Read more
The nutraceutical industry is continually evolving, with an increasing number of food-sourced products assuming expanded roles in nutrition. Consumers are increasingly interested in diets that promote better health while also helping to prevent diseases. It is essential to stay informed about these changes, as the dynamic nature of the market continually introduces innovations and new trends. The sector is also moving toward personalized nutrition due to genomics and data analytics advancements. These solutions specifically cater to one's genetic profiles, lifestyle factors, and health conditions, thus targeting and delivering measures for health relief more effectively than one-size-fits-all product solutions. This reflects a broader move in the healthcare industry towards personalized medicine. Consumer acceptance has pushed the market for plant-based nutraceuticals towards sustainable and ethical consumption. Antioxidant activity and overall health support have seen an increase in ingredients such as turmeric, spirulina, and green tea extract. The next grower will happen in ingredients that are antioxidant- and anti-inflammatory-driven, such as turmeric, spirulina, and green tea extract. In particular, the traction of plant-based diets is increasing demand for plant-based nutraceuticals that support a plant-based lifestyle, including plant-based protein powders and algae-extracted omega-3s. Functional foods, synthetically designed with nutrients or bioactives, are growing in popularity in the nutraceutical industry. Probiotics are supplemented into various food matrices such as yogurt, beverages, or snack foods to enhance gut health. Fortified foods, including vitamins, minerals, or phytochemicals, are being developed to correct deficiency or promote wellness. Digital Health Technologies: Enabling the Consumer Interaction Transformation Towards Nutraceuticals. Wearable Health Trackers and Mobile App Technologies: Allows continuous tracking of health metrics, personalized feedback, everyday monitoring of nutrient intake, and guidance on personal goals related to nutraceutical treats. This gives informed advice concerning nutraceutical treats, enhancing consumer engagement for better data-driven health decisions. This integration enhances consumer engagement and personal health goals. One key trend relating to the nutraceutical industry is sustainability. Priorities are high on sustainable nutraceutical products that are environmentally friendly and focus on the new wave of consumer-set awareness concerning nature. Companies have adopted such practices to be sustainable, responsible for procuring their raw ingredients, using recyclable packages, and generally reducing their carbon footprints. Companies are also increasingly demanding transparency in their sourcing and production methods, and consumers are looking for products from companies that will align with their values in the future. The nutraceutical regulatory environment is developing; governments and authorities focus more on safety, efficacy, and quality issues. This leads to more guidelines and regulations to ward off false claims in product advertisements and protect the promises made by the products. It soothes consumers and calls for more investment in compliance and quality control for product safety and quality. ...Read more
European food manufacturers face a structural shift in how products are conceived, validated and brought to market. Precision fermentation, synthetic biology and alternative protein research are expanding the range of available functional ingredients, yet development risk remains high. Fragmented workflows, legacy formulations and iterative bench testing continue to drive costs and delays. Regulatory divergence across markets, raw material variability and sustainability expectations further complicate decision-making. Executives evaluating a food biotechnology partner must look beyond novel ingredients and examine how effectively innovation is translated into manufacturable, compliant and commercially viable products. The most credible providers integrate scientific modelling, regulatory intelligence and process understanding into a unified development framework. Digital tools that generate theoretical formulations without accounting for processing conditions, shelf-life behaviour or regional compliance requirements rarely survive scale-up. What distinguishes serious platforms is their ability to embed intelligence within real production environments, aligning formulation logic with equipment constraints, supplier realities and cost parameters. Confidence at the design stage reduces failed trials, shortens iteration cycles and clarifies investment decisions. A second point of differentiation lies in how emerging biotechnologies are applied. Precision fermentation and alternative proteins offer functional and nutritional advantages, but their value depends on predictable performance within finished products. Producers require a predictive formulation approach that evaluates ingredient functionality, stability and regulatory feasibility together rather than sequentially. Integration of side streams from regional agro-industrial processes, such as brewer’s yeast or fruit processing residues, can improve resource efficiency and nutritional profiles, provided their variability and interaction effects are modelled in advance. Practical application and scalability determine whether innovation becomes a commercial asset or remains an experimental exercise. Environmental performance has also moved upstream into the design phase. Waste reduction, efficient raw material use and clean-label expectations are largely determined before pilot production begins. Food biotechnology partners that treat sustainability as an afterthought introduce risk. Those that incorporate environmental and nutritional parameters into early formulation modelling enable management teams to balance cost, compliance and brand positioning without retroactive reformulation. Vivatra , headquartered in Belgrade, positions itself within this more integrated model of food biotechnology. Its Vivatra Product Design Engine functions as a domain-trained, data-driven platform that combines food science knowledge, regulatory insight and process modelling to support decision-making early in development. The platform is applied within the client’s existing R&D and production context, evaluating equipment, constraints and raw material variability before formulations are finalised. Its work spans clean-label sauces, reduced-sugar reformulations, fruit-based structural systems and shelf-stable dairy alternatives. Projects have included significant sugar reduction in HoReCa portfolios, elimination of modified starches and stabilisers and the development of additive-free frozen desserts using fruit side-stream matrices to achieve texture and melting behaviour comparable to conventional formulations. Collaboration with academic institutions supports validation in areas such as shelf-life modelling, while investor backing enables broader deployment across European producers. For executives assessing food biotechnology partners in Europe, Vivatra represents a disciplined choice grounded in integrated design intelligence, regulatory awareness and demonstrated translation of advanced science into scalable products. ...Read more
Oils and fats, derived from both plants and animals, are essential in cooking and nutrition, providing vital nutrients, enhancing flavors, and improving food texture. In addition to their importance in our diets, these fats have various industrial applications. However, while oils and fats offer numerous benefits, they can also pose health and environmental risks if misused or consumed in excess. Pros: Nutritional Benefits and Culinary Versatility Source of Essential Fatty Acids : Oils and fats are rich sources of essential fatty acids, like omega-3 and omega-6, which the body cannot produce independently. These fats are critical for reducing inflammation, maintaining robust cell membranes, and enhancing mental performance.   Energy Source : Fats are rich energy sources since they have more than twice as many calories per gram as proteins or carbohydrates. Lipids have a high energy density, making them essential for meeting daily caloric requirements and sustaining physical activity. Enhances Flavor and Texture : In cooking, oils and fats contribute to the sensory appeal of food by improving flavor, imparting richness, and creating desirable textures. Whether used for sautéing, frying, baking, or salad dressings, oils and fats are integral to creating diverse and satisfying culinary experiences. Nutrient Absorption : Certain vitamins, such as A, D, E, and K, are fat-soluble, requiring fats for absorption and transportation within the body. Incorporating healthy fats into meals helps ensure efficient absorption of these essential nutrients. Versatility in Cooking Methods : The optimal cooking methods for different types of oil depend on their smoke point. Extra virgin olive oil and other oils with lower smoke points are better used in salad dressings and low-heat cooking; avocado and peanut oils, however, have more excellent smoke points and are ideal for frying. Cons: Health Considerations and Environmental Impact High Caloric Density : Even while fats are an essential source of nutrients and energy, if consumed in excess and are not balanced with overall calorie intake and physical exercise, they can cause obesity and weight gain. Saturated and Trans Fats : Certain fat sources, especially those derived from animal products and partially hydrogenated oils, contain high concentrations of saturated and trans fats. Excessive consumption of these fats can elevate cholesterol levels and heighten the likelihood of cardiovascular ailments. Environmental Impact : The production of oils, especially palm oil and soybean oil, has raised concerns about deforestation, habitat destruction, and biodiversity loss in regions where these crops are cultivated. Sustainable sourcing practices and certifications are crucial for mitigating these environmental impacts. Processing Methods : Oil refining and processing can diminish their nutritional quality by reducing levels of beneficial compounds such as antioxidants and phytochemicals. Opting for minimally processed or cold-pressed oils preserves more of their natural nutrients. Allergies and Sensitivities : Some people may be allergic to or sensitive to particular oils, including soybean or peanut oil. It's critical that those with known allergies carefully read labels and avoid oils that could cause negative responses. Balancing Consumption for Health and Sustainability To harness the benefits of oils and fats while mitigating potential drawbacks, consider the following tips: Choose Healthy Fats : Choose unsaturated fats; these have been connected to lowering cholesterol and decreasing the risk of heart disease. For instance, these fats can be found in olive oil, avocado, canola, almonds, and seeds. Moderation is Key : Consume fats in moderation and maintain a balanced diet rich in various nutritious foods, including fruits, vegetables, lean meats, and whole grains. Read Labels : Pay attention to labels and choose oils and fats that are minimally processed and free from harmful additives or trans fats. Consider Sustainability : Select oils labeled sustainably sourced or certified by groups such as the Roundtable on Sustainable Palm Oil (RSPO) to support sustainable practices. ...Read more