This shift toward plant-based eating was evident at this year’s SupplySide West show in Las Vegas. Attendees walking the insanely huge show floor were able to learn about the latest and greatest plant-based ingredients and solutions for supplements and food and beverages. From proteins and flavors to gums and coatings, the list of plant-based offerings spanned nearly every ingredient category.

That said, the real buzz came from the SupplySide West and Food Ingredients North America (FiNA) co-branded three-hour workshop, “How to Win in the Booming Plant-based Nutrition Sector” that focused on the booming market for plant-based food and beverage products.

I kicked the session off with a quick review of current and forward-looking market data on the plant-based foods revolution. According to Innova Market Insights, plant-based product claims increased by 62% globally between 2013 and 2017 with growth occurring across every food and beverage category. Ingredients seeing an uptick in use include plant proteins, active botanicals, sweeteners, herbs and seasonings, and colors. In the U.S. alone, sales of plant-based food and beverages hit $4.5 billion, up from $3.4 billion in 2019, according to data from the Plant-based Foods Association (PBFA). Further, plant-based sales grew 11% compared to conventional sales that only grew 2%.

Next up was Michele DeKinder-Smith of Linkage Research & Consulting who discussed factors driving consumers to shift to plant-based eating. She noted five macro trends driving the plant-based trend—wellness, nature knows best, responsible consumerism, personalization and convenience without compromise. She noted plant-based is mainstream and will continue to growth with higher appeal among younger generations who base their purchasing decisions on key attributes including organic, non-GMO and sustainable. This means there is a wealth of opportunity for innovative brands to differentiate based on motivations and engagement. She advised brands to consider the role of health-focused claims to increase category and product appeal.

Geri Burdak of CloverQuest Group followed next and focused on how to Recognize whitespace in the category and launch a winning product. While plant-based nutrition is certainly not a new concept, she said new product development, innovation and technology are driving new creative plant-based products to market. She noted a number of hurdles facing the market, noting although progress has been made, protein alternatives still underperform in taste, texture and nutrition. She also many plant-based products have as many as 15 to 20 ingredients, which causes a disconnect with consumer expectations for clean label and minimally processed products. Brands looking to launch a product in this space must focus on clean label, improve the nutritional profile, improve taste and texture, and market the products properly.

Daniel Karsevar of PlantBased Solutions took the stage next and focused on ingredient developments in meat and dairy alternatives. He said in response to consumer and environmental needs, scientists and food companies are pushing the limits to find and use the most diverse, allergen-free, sustainable and unprocessed plant-based ingredients. Amid this changing ingredient landscape, a few notable newcomers stand out: algae, mycelium, unique legumes, vegetables, nuts and grains. These ingredients bring with them a new caliber of “clean” and sustainable, offering functionality without the multi-layered baggage that gluten and soy have come to carry.

Continuing the formulation discussion was Ed Dudley of Griffith Foods who discussed how to select the appropriate plant protein, and how to modulate and manipulate those substrates to provide the desired finished product attributes. He noted formulating with plant proteins requires a juggling act when it comes to balancing the functionality, sensory impact, nutrition profile, regulatory status and cost impact of the various ingredients. Two main challenges unique to plant proteins include perfecting functional and sensory attributes.

Will McCormack of Synergy Flavors followed with tips for overcoming organoleptic challenges associated with plant proteins. He focused on effective flavor solutions to help formulators develop successful plant-based products that balance the clean label requirement with consumer taste expectations and cost-in-use constraints. He said success can be achieved by utilizing descriptive analysis and sensory mapping to determine the best flavor pairing and masking agents.

Mary Mulry of foodwise One took the stage next to discuss supply chain issues and opportunities for plant ingredients. She highlighted five key issues—quality, nutrition, regulatory, sustainability and cost. In addition, brands must also consider whether they are manufacturing the product or using a co-packer. This will determine ingredient procurement, packaging and distribution strategies. What’s more, claims and certifications are becoming critical components as more consumers seek out products that are organic, natural, kosher, non-GMO, gluten free, allergen free and more. She also touched on the topic of sustainability, which is becoming more important to consumers and stakeholders. Brands must be transparent about their supply chains and strive to achieve sustainable ingredients.

Ryan Fournier, an associate with Morgan Lewis, concluded the session with a discussion of regulatory issues facing the plant-based food sector. He note market growth and investment in the areas of plant-based meat (PBM) products and cell-cultured meat (CCM) products continues to expand in size and scope at staggering levels. The significant growth of the PBM market (and the expected growth of the CCM market) in such a short period has led to an explosion of legislative efforts related to PBM and CCM products, particularly concerning labeling. He outlined the current landscape of federal and state law activities, detailing specific bills and pending legislation, and addressed the important issue of preemption. He wrapped up his presentation with an update on the National Bioengineered Food Disclosure Standard (NBFDS or Standard) that requires food manufacturers, importers, and certain retailers to disclose information about whether food offered for retail sale is bioengineered (BE) or uses BE food ingredients.

More details of the workshop can be found at “How to Win in the Booming Plant-based Nutrition Sector”. Download the “Plant-based revolution” digital magazine to find out more about challenges and opportunities for plant-based food and beverages.

Emphasis on natural ingredients and avoiding added sugars is driving the anti-artificial and functional ingredients movement among consumers who seek healthier alternatives in foods and beverages. While healthy food has often outpaced beverages, a recent proliferation of nutrition and performance drinks have emerged to quench consumer thirst for functionality, clean label and healthy lifestyle choices.

According to a 2017 Mintel report, nearly one-third of consumers have increased their consumption of nutrition or performance beverages. At the same time, consumers are becoming increasingly turned off by ingredients they consider unnatural or frivolous, including added sugars and artificial sweeteners. 

Non-alcoholic beers… with a twist

Already a staple in Germany, non-alcoholic beers are gaining traction in the U.S. as a viable sports recovery beverage. A 2012 study revealed that runners who were randomly assigned to drink one liter of non-alcoholic beer before and after the Munich Marathon reported less inflammation and fewer incidences of upper respiratory tract infections post-race than runners who drank a placebo.¹

Most beers already include malt as a key ingredient; non-alcoholic beers reduce the health risks of alcohol while retaining the benefits of malt, including high antioxidant content and substantial amounts of polyphenols,² which are plant compounds with anti-inflammatory properties.³ In the U.S., it is common to add unique flavors, both for extra sweetness and fruitier notes; this is where malt extracts in particular are leaving their mark on the market.

Popular brands like Heineken are jumping on this trend, as the brand introduced its “Heineken 0.0” to the U.S. in January 2019. Beyond already-established brands, companies like Athletic Brewing Co.—whose name ties fermented beverages in directly with fitness/athleticism—have sprouted up to create “non-alcoholic brews with refreshing craft taste,” according to its website. Such start-ups have identified a gap in the beverage market and capitalized on increasing consumer demand for all-natural, good-for-you beverages that support active lifestyles.

Energy drinks

A subset of the energy drink niche revolves around alertness and brainpower: an emphasis on balanced blends featuring nootropics and botanical ingredients are on the rise as consumers seek energy-boosting beverages without facing the caffeine consequences. Malt extract contains hordenine, a natural stimulant reported to boost focus, energy and motivation.⁴

A report from Grand View Market Research posits that the natural and organic energy drink sector will occupy 40% of the total energy drink market by 2025, meaning enormous opportunities for malt-based energy exist in this burgeoning sector.

In Asia and Europe, malt-based drinks such as Ovaltine and Nestle’s Milo are popular among children. Here, the type of sugar makes a significant nutritional difference because malt extract is comprised of glucose and maltose, as opposed to fructose. Malt also has the added benefit of having soluble fiber and protein. Beverages using malt extract have the potential to gain traction in other geographical regions and become a mainstay go-to energy drink for athletes and non-athletes alike.

Kombucha and specialty teas

Malt extract is also popular in kombucha and other fermented drinks, as well as in certain specialty teas. A benefit of malt extract driving the trend is purely logistical: it eliminates the need for a conventional brewing operation. This is a plus particularly for start-up beverage manufacturers seeking to limit operational infrastructure as they gradually build business. Here, utilizing malt extract eliminates the need for a contract brewery, since it is already brewed.

Malt extract is essentially wort—grinded, mashed and water-filtered malt barley—that has been sent to an evaporator for water removal rather than a fermenter. Beverage manufacturers using malt extract, need a bottling plant to enter the emerging yet still-niche malt-based beverages market.

Blending oats and malt barley, the extracts provide excellent binding properties with mild sweetness and a pleasant oat taste and aroma. Oat offers improved texture.

Additionally, oat milk has a longer shelf-life and is considered much more functional than standard dairy milk. This alternative is ideal for consumers who are making a switch to dairy-free ingredients, and also aligns with plant-based diets. Fortunately, oat milk is a viable substitution to several dairy-based favorites, including coffee creamers.

As consumers increasingly seek functional natural beverages, manufacturers are, in turn, doing what comes naturally: adapting to meet market demand. As bodybuilder and weekend warriors branch and segment into a broader nutritionally focused target landscape, myriad opportunities exist. Permeating these possibilities is the attractiveness of malt and oat extracts as versatile, clean label, multi-functional sweeteners for a variety of malt-based beverages, from energy drinks to non-alcoholic beer offshoots. The rise of natural, plant-based nutritional drinks, specialty teas and oat milk further exemplify consumers’ willingness to explore new beverage options, and marks an era of opportunity and growth.

Peeyush Maheshwari, Ph.D., is director of business development for Malt Products Corporation (MPC), a manufacturer of malted barley extract and other natural, nutritious sweeteners. MPC supplies a line of natural sweeteners serving a wide range of industries, such as bakery, confectionary, beverages, snack foods and cereals, pet food, animal nutrition, and pharmaceutical. Its manufacturing facility is located in Dayton, Ohio.

 

References

1. Scherr J et al, “Nonalcoholic beer reduces inflammation and incidence of respiratory tract illness.” Med Sci Sports Exerc. 2012 Jan;44(1):18-26. DOI: 10.1249/MSS.0b013e3182250dda.
2. Quifer-Rada P et al. “A comprehensive characterisation of beer polyphenols by high resolution mass spectrometry (LC-ESI-LTQ-Orbitrap-MS).” Food Chem. 2015 Feb 15;169:336-43. DOI: 10.1016/j.foodchem.2014.07.154.
3. Hussain T et al, “Oxidative Stress and Inflammation: What Polyphenols Can Do for Us?” Oxid Med Cell Longev. 2016;2016:7432797.
4. Barwell C et al. “Deamination of hordenine by monoamine oxidase and its action on vasa deferentia of the rat.” J Pharm Pharmacol. 1989 Jun;41(6):421-3.

The probiotics category continues to evolve as consumer interest in the microbiome and overall gut health fuels demand. As a result, researchers are discovering new health benefits of probiotic strains, while manufacturers improve technologies and techniques to drive solutions. Developments such as spore-forming probiotics and microencapsulation have made probiotics more resistant to processing, inspiring a host of innovative delivery formats, especially in foods and beverages.

However, not all strains are created equal. Probiotic strains each possess distinct characteristics. Each one is unique, and these properties may influence safety, efficacy and their suitability for certain applications.

For beverages, the form of the probiotic strain is dependent on the finished product type and distribution channel. For example, live and active cultures are generally used in refrigerated products such as drinkable yogurt, kefir and kombucha, while the more robust spore form of microorganisms are often used in non-refrigerated beverages, noted Joe Farinella, vice president of research and development, Imbibe.

“In terms of specific strains, yogurt drinks are made by adding lactic-acid producing bacteria, such as lactobacillus bulgaricus and streptococcus thermophillus, into a dairy base and fermented at elevated at thermophillic temperatures,” he said. “These strains do not survive the digestive tract, so yogurt drinks can be fortified with additional, hardier organisms like bifidobacterium and other forms of lactobacillus due deliver increased probiotic effect.”

Kefir drinks contain similar bacteria strains to yogurt; however, they also contain various yeast strains (e.g. candida humilis, saccaromyces unisporous), Farinella cautioned. Kombuchas contain a more elaborate cocktails including bacteria (e.g., acetobacteria, gluconacetobacter) and yeasts (e.g., saccaromyces, zygosaccharomyces)

“Engineered” probiotic drinks, like Kevita probiotic soda contain the spore form of bacteria, such as bacillus coagulans. “The spore form is much more robust and not only can survive higher temperature exposure from the production process, but also survive in acidic environments and are more likely to reach the intestine,” Farinella added.

Formulating foods and beverages with probiotics requires a fundamental understanding of foods and beverage formulation, and how manufacturing impacts probiotics’ physiological effects, noted Kantha Shelke, principal, Corvus Blue LLC.

Food and beverage products must meet several criteria to ensure probiotics meet their definition, according to the World Health Organization (WHO): “probiotics are microorganisms that need to be alive when administered and need to be administered in amounts adequate to have a health benefit.” Shelke said the definition does not stipulate what an adequate amount is. However, regulators in, for example, Canada and Italy require a minimum dose of 109 colony forming units (CFU).4

“Meeting these criteria is particularly challenging in food and beverage formats because the associated processes can be harsh, and the ingredients can challenge viability, yield and often even the selection of the culture media ingredients (and therefore, the type of microorganisms) because of allergen issues for optimized dosage and functionality, even at the end of shelf life,” Shelke said.

Farinella said ensuring an effective dose of probiotics from production through purchase and consumption is the biggest challenge to formulating probiotic beverages. Live, active cultures used in refrigerated products are sensitive to the high temperatures needed during the manufacturing process, while the spore form of bacteria tends to be stable in high temperature conditions. In both cases, he said, it is important to overdose the product with probiotics during the batching step in order to ensure delivery of the desired amount post-production.

Probiotics chalk up big win

Keenan Smith, founder and CEO of Goodwolf, took home the top prize at the 2019 Natural Products Expo East Pitch Slam. Goodwolf makes water kefir, a raw, living probiotic drink from traditionally fermented kefir crystals. Capitalizing on two fast-moving categories—fermentation and sparkling water—Smith, a former natural foods sales broker, decided to put his energy and expertise into his own company. Click here to watch him explain the origins of kefir crystals, as well as the legend of the two wolves and the evolution of the Goodwolf brand.

Learn more about formulation considerations for creating probiotic-rich foods and beverages by reading the full article in INSIDER’s Probiotic digital magazine.

 

As people become more conscious of what goes into the foods and beverages they consume, and the potential impacts—good or bad—of those dietary choices, mindsets and habits begin to change.

In the 2019 SupplySide West/FiNA [Food ingredients North America] education session “The Shift from Sugar to Natural Sweeteners,” those evolving consumer mindsets and the behaviors that (slowly) follow became clear. Data, trends, scientific knowledge and personal experiences were shared by the following:

• Darren Seifer, food & beverage industry analyst, the NPD Group;
• Ali Webster, Ph.D., RD, associate director, nutrition communications, International Food Information Council (IFIC);
• Eric Pierce, vice president of business insights, NEXT Data & Insights, Informa Markets;
• Amanda Hartt, market research manager-trends, NEXT Data & Insights, Informa Markets;
• Alex Woo, CEO, W20 Food Innovations;
• Ben Goodwin, co-founder, Olipop;
• Sarah Meis, senior vice president, marketing and innovation, Lily’s Sweets

Taking each presentation as part of a whole, the whole picture of this shift away from sugar took shape.

The session included data from various surveys of different consumer populations, all of which pointed toward a consumer base that believes in the need to monitor or eliminate sugar intake. It also showed that, while slow, consumer intentions to move away from sugar are becoming their practice.

IFIC’s 2018 Food and Health found 38% of respondents considered their diets extremely or very different today than 10 years ago, compared to just 28% who reported little or no change. And, among those who said their diets have changed, limiting sugar intake was the top reported difference, surpassing both carbohydrates and fat as the top dietary avoidance. Seifer reported that, in 2014, sugar overtook fat as the most-avoided dietary item in their Dieting Monitor survey for the first time, with nearly 70% of adults looking to avoid or eliminate it from their diets.

Based on Webster’s IFIC data, we also can see why many Americans are looking to avoid sugar, and the reasons overwhelmingly point to health concerns. Of the top four reasons given by those who claim not to use any sugar at home, three had to do with health and/or weight concerns. The top reason given for cutting back on sugar, according to Webster, was “I don’t need to add sweetness,” showing that in addition to health concerns (or perhaps because of them), the desire for overly sweet foods and drinks is also declining. Webster also showed data indicating sugar (27%) was considered the most likely ingredient in foods or drinks to cause weight gain—more than carbs (23%), fats (13%) and protein (3%). This assumption permeates consumer shopping habits as well; Webster showed that, even if nutritional information is identical, sweeter tasting foods and drinks are perceived to be “less healthy.”

With the “why?” about the shift away from sugar answered, the next question addressed is the “what?”. That is, what are people doing to decrease their sugar intake, and what can brands do with this information?

The answer to the first question, it seemed, was a little bit of everything. According to IFIC data, a switch to plain water from caloric beverages was the top sugar-avoidance choice, with more than 60% of respondents doing so. The vaguer, but same idea of “eliminating certain foods and beverages from my diet” was the second-most-selected option; no longer adding table sugar to foods and closer inspection of food labels while shopping were also popular choices. In terms of specific foods and beverages, soft drinks, candy, baked goods such as cookies and cakes, and frozen desserts such as ice cream were the top choices being avoided, albeit gradually.

Seifer also noted some concrete examples of ways consumers are avoiding sugar, such as a slight decline in cereal consumption and slight increase in egg consumption at breakfast, suggesting a potential shift from sugary breakfast foods to more savory options. The same is being seen at snack times, with a steady decline in options such as candies and donuts and an increase in options like protein bars, fresh fruit and meat snacks like jerky.

The problem with expecting consumers to avoid sugar and sugary foods just because they might be unhealthy is an obvious one: People still like sweet things, especially as a treat or reward. Consumers are aware that foods like ice cream and candy are often unhealthy; they just ultimately eat them anyway.

That is where natural sugar replacements come in. People don’t want to give up sweets as much as they want to give up the poor health effects of those sweets; it is up to brands to deliver those indulgences without the drawbacks.

Unfortunately, brands trying to formulate or re-formulate products that deliver on sweetness without the sugar face an uphill battle. Webster noted 4 in 10 consumers have a negative perception of low- or no-calorie sweeteners (LNCS), which include acesulfame potassium (Ace-K), aspartame, saccharin, stevia and monk fruit, to name a few. Some of the reasons for the negative perception include belief that these sweeteners are unhealthy and dislike for the taste. That said, the top drivers for LNCS use are avoidance of the alternative (sugar) and calorie content, meaning those who seek to avoid sugar are using that avoidance as a reason to try alternatives.

As it becomes clear that, even with some negative connotations regarding certain LNCS, consumers are willing to try them over table sugar, the question becomes which sweeteners to use. Based on data presented by Hartt and Pierce, consumers are looking for several qualities in their natural sweeteners, including reduction of calories, reduction of total sugars added, recognizable and “non-chemical sounding” names and organic and/or non-GMO status.

Alex Woo of W20 Food Innovation provided insight into how to accomplish these things using natural sweeteners such as stevia (going into detail about the benefits and drawbacks of several extracts, such as rebaudioside-A and -M), monk fruit and erythritol. He explained the science behind which sweeteners are more or less sweet or bitter compared to table sugar, how long certain sweeteners take to hit “peak” sweetness on the taste buds, and which off-notes may be present and for how long. He also explained how combining multiple sweeteners—called stacking—such as stevia with monk fruit can allow the best of each ingredient to shine and overcome their disadvantages.

The session concluded with Ben Goodwin and Sarah Meis, representing Olipop, a functional and sugar-free “sparkling tonic” in the soft drink category, and Lily’s, a stevia-sweetened chocolate, respectively. The pair discussed how the information presented earlier—consumer desires and actions, scientific approaches to flavor, etc.—had real-life impacts on their companies and how they do business. The two also shared how and why their companies chose the specific ingredients they did, how to engage with consumers, how to go about spreading their sugar-alternative messaging, and how to handle a consumer base who may want to eat healthier, but not always be willing to act on those desires.

Hartt and Pierce also presented data comparing Natural Products Expo East and West shows from 2017 and 2019 that showed many other brands are getting in on the natural sweetener bandwagon. From 2017 to 2019, products utilizing monk fruit as a sweetener increased by 88% at Expo West; other non-sugar sweeteners such as erythritol (23%) and honey (8%) also saw increases, while cane sugar use decreased by 12%.

Overall, the session made the current state of sugar and alternative sweeteners quite clear: Consumers want to avoid sugar and know why they feel that way—but may need advice (and a friendly push in the right direction) to act on those desires in a meaningful way.

For more from Alex Smolokoff, listen to his interview with Sandy Almendarez, where the two discuss trends seen at SupplySide West 2019, including collagen everything, natural colors and help getting through the stresses of daily life.