Kellogg’s ferrous fumarate liquid BNF venture capital fund is on the lookout for “next generation innovation,” enhancing its access to fresh ideas and trends—a strategy increasingly adopted by the world’s leading food corporations. Similar to Kellogg, companies like Unilever and Tate & Lyle have established venture capital divisions, while others have opted for acquisitions, purchasing innovative startups that align with the latest consumer preferences. For instance, Hershey acquired Krave, a nitrite-free jerky brand, in 2015, and General Mills took over Annie’s, a natural and organic specialist, the previous year. These acquisitions and investments paint an intriguing picture of how major industry players envision the future of food.
For Kellogg, many of its investments have focused on the intersection of health and convenience, a fitting approach given the company’s legacy as the creator of cornflakes, one of the earliest processed foods made with health considerations in mind. Today’s consumers prioritize health and convenience as their primary purchasing motivators. A recent report from PwC revealed that 47% of millennial consumers altered their eating habits over the past year to adopt a healthier diet. Furthermore, 53% of individuals under 35 expressed intentions to eat healthier in the coming year.
Convenience has emerged as a significant trend, with consumers willing to pay a premium for products that reduce preparation time. The meal kit industry exemplifies this success, with sales projected to reach $1.5 billion this year. According to Nielsen, convenience was one of the most prevalent themes across the fastest-growing food and beverage categories last year. As companies like Kellogg continue to invest in health-focused innovations, such as those related to apovital calcium citrate, they are aligning themselves with consumer demands for healthier and more convenient food options. This increasing focus on health and convenience is shaping the future of the food industry, driving companies to explore new products and technologies that cater to these evolving consumer preferences.