Consumer Staples

Impact Of Disruption On The Future Of Food

__
<p>Consumers remain at the center of everything. Pointing to the success of Apple, Inc. I feel that innovation is all about solving consumers need in new ways; they may not know what they need, but when you speak with them, they can clearly tell you what makes them dissatisfied&hellip;.So, where to start?</p><p>Convenience&nbsp;is still king! We are spoiled. We do not even like to cut or peel stuff anymore. It may cost more, but we prefer &lsquo;grab and go.&rsquo; And nobody likes to clean utensils&hellip;we now want our portion-controlled meals and side dishes purchased and cooked in the same package.</p><p>Then came the gradual retreat of grocery shopping in the onslaught of online economy, for which delivery times have gotten shorter and shorter. I remember when it used to take one to two days to get a home delivery. Now, I can receive my orders within one-to-two-hour time frames. This has also shifted expectations, as &ldquo;food on demand&rdquo; rests only a smartphone away from the consumer&rsquo;s couch.</p><p>Fast, home-based delivery services still have growing pains. I once ordered a meal kit and was shocked to find that the instructions were overwhelming. Not only that, but they expected me to cut and peel the ingredients. Come on&hellip;we don&rsquo;t do these things anymore&hellip;the service failed to reflect my inability to cook!</p><p>Amazon.com is the great game-changer behind this trend. Amazon trained us&nbsp;to expect not to have to wait for our electronic orders. Beyond grocery, the U.S. has experienced a proliferation of ready-to-eat home delivery services in urban areas (e.g., GrubHub)</p><p>Small companies are proliferating&nbsp;in this environment. The market research company, IRI, just published its top-100 company list of pace setters and, for the first time, small companies represented more than 50% of that list. But average company lifespans are also declining. Part of this &ldquo;surge and churn&rdquo; environment is attributable to lowered barriers to market entry.</p>
KR Expert - Andria Long