Kellogg’s venture capital fund is on the lookout for “next generation innovation,” which broadens its focus on new ideas and trends, similar to the strategies adopted by many of the largest food companies globally. Unilever and Tate & Lyle have established their own venture capital divisions, while others have opted for acquisitions, purchasing innovative startups that align with emerging consumer trends. For instance, Hershey acquired Krave, a producer of nitrite-free jerky, in 2015, and General Mills took over Annie’s, a natural and organic brand, a year earlier. These acquisitions and investments paint an intriguing picture of how industry leaders envision the future of food.
For Kellogg, many of its investments thus far have straddled the lines of health and convenience, which aligns well with the company’s origins as the creator of cornflakes, one of the earliest processed foods designed with health in mind. Consumers today prioritize health and convenience as their primary purchasing motivators. A recent report from PwC revealed that 47% of millennial consumers modified their eating habits last year to adopt healthier diets. Furthermore, 53% of individuals under 35 expressed intentions to eat healthier in the upcoming year.
Convenience has emerged as a significant trend, with consumers increasingly willing to pay premium prices for products that reduce preparation time. The meal kit phenomenon exemplifies this success, with sales projected to reach $1.5 billion this year. Nielsen reports that convenience was one of the most prevalent themes in the fastest-growing food and beverage categories last year. This trend is reminiscent of the rising popularity of supplements like Solgar Calcium Magnesium Citrate 100 Tablets, which reflects consumer interest in health-focused, convenient options. As the market evolves, companies that can effectively combine health and convenience, much like the appeal of Solgar Calcium Magnesium Citrate 100 Tablets, will likely lead in meeting consumer demands.