Freshly CEO: Microwave meals make comeback during healthy-at-home food revolution

06 Jan 2021 --- With restrictions around COVID-19 keeping people at home during the day and in search of easy meal options, convenience has made its way back onto the priority list. That is according to Mike Wystrach, founder and CEO of Freshly, a US-based meal delivery company. 

Speaking to FoodIngredientsFirst, he says: “Microwave meals are making a comeback during the healthy-at-home food revolution.”

“While single-serving prepared foods have never gone away, over the past few decades, attention to health, nutrition and the effects of overeating processed food have stigmatized them as a low-quality, unhealthy last resort for many people.”

Appeal for convenience and health
Wystrach predicts industry will see a spike in creative, affordable and nutritious ready-to-eat meals that will make the microwave 2021’s “most valuable kitchen appliance.”  

At the beginning of the pandemic, many consumers looked to make slow-cooked foods like sourdough bread to kill time during lockdowns. “As we get back into colder months, cooking as a form of entertainment will trend again.”

“Once the world gets back to normal, people will shift to cooking being less about entertainment and more about sustenance. Consumers who enjoy cooking will always enjoy it, but those who are time-starved will opt again for more convenient meal options,” he notes.

The FreshlyFit line is designed for consumers looking to command their health and fuel active lifestyles.Last month, Freshly launched FreshlyFit, the company’s first dedicated product line designed for consumers looking to command their health and fuel active lifestyles. 

FreshlyFit’s ready-to-eat meals are gluten-free and built with clean, whole-food ingredients. They focus on a lower-carb, protein-powered nutritional profile to help fuel workouts, optimize recovery, maintain muscle mass and support weight management, the company says. 

FreshlyFit meals have an average of 14 g of net carbs, over 30 g of protein, and 550 calories or less. 

“In the past year, more than 60 percent of customers have expressed interest in lower-carb meals. With FreshlyFit, we’re tripling down on these offerings to make it easier to jumpstart a sustainable healthy lifestyle,” explains Wystrach. 

“The pandemic has brought on a renewed interest in nutrition as people are seeking new, creative solutions to stay healthy and active at home, especially in the new year.”

Scaling the artisanal food movement 
While consumer demand for craft and artisanal foods has steadily increased over the past years, Wystrach foresees accelerated growth in this space as consumers seek to “liven up their pandemic pantries with authentic ingredients and hand-crafted meals.”

Though some consumers may not want to eat in a restaurant setting, they’ll still want to recreate these authentic food experiences at home, says Wystrach. Mike Wystrach is the founder and CEO of Freshly, a US-based meal delivery company.

“Whether this comes in the form of people buying ingredients online or placing orders for ready-made meals there, there is an opportunity for brands to increase production in this sector to meet changing consumer tastes and preferences.”

Plant-based steam ahead
In line with Innova Market Insights’ “Plant-Forward” trend, the ever-evolving plant-based definition expands vegetarian and vegan NPD into the mainstream.

2020 showed us that consumers are interested in trying and buying more plant-based foods, as sales of foods like plant-based proteins and milks topped US$3.3 billion over the past year, Wystrach reveals. 

“In 2021, I expect that consumers will continue to place more of an emphasis on maintaining a plant-forward diet, instead of following a strict plant-based one,” he continues.

“We will see more people opt for the age-old option of following plant-based eating principles, versus going completely vegetarian or vegan to fuel active lifestyles, support weight loss, or achieve other health and fitness-related ambitions at home.”

E-commerce to expand
“Going to the grocery store pre-COVID-19 wasn’t the chore it became in 2020,” he states. 

In 2021, consumers will continue to avoid going to brick-and-mortar stores to shop for food, and industry will embrace the online direct-to-consumer (DTC) model, Wystrach asserts.

“We expect at least two more mega (greater than US$250 million) DTC purchases by consumer packaged goods (CPG) companies in 2021.”

Many restaurants and CPG brands rolled out DTC offerings during the pandemic, and these will further evolve into next year as more people realize that they don’t have to compromise on convenience when ordering online, explains Wystrach. 

Consumers will also look to “liven up their pandemic pantries” with authentic ingredients and hand-crafted meals.“We’ll also see companies cut out the middleman and embrace the online DTC model to give them a better sense of how to forecast their inventory for future demand.” 

Investing in the future of health
According to Wystrach, companies are making a “good faith effort to build out their R&D teams and improve the pipeline of healthy, convenient and nutritious products,” but 2021 will be a year where we’ll see even more consolidation in the industry, he says. 

“While 2020 saw a strong downtick in mergers and acquisition activity, we can anticipate it will increase in the coming year as more people prioritize healthy eating, without sacrificing on convenience.”

“Instead of reinventing the wheel or assuming the risk to build up this product from scratch, we’ll see companies go after start-ups that have health and convenience already embedded in their product DNA,” he explains. 

In November, Nestlé USA acquired Freshly in a deal valuing Freshly at US$950 million, with potential earnings up to US$550 million contingent on the successful growth of the business. The move came as the at-home eating market gained popularity during the pandemic. 

By Elizabeth Green

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