Kerry eyes foodservice growth: Social media sharing is challenging operators, says new VP

15 Feb 2019 --- Kerry is eyeing further growth opportunity in the foodservice space, with plant-based trends and social media sharing creating new potential for operators within this dynamic environment. “With our deep knowledge in food & beverages and innovation, foodservice is leading in essence and ahead of the curve in adopting trends. It is therefore a very important market for us to focus on,” Karl Buiks, VP of Foodservice, Marketing & Strategic Planning, Kerry Europe & Russia, tells FoodIngredientsFirst.

Buiks stresses how the foodservice is inherently flexible when compared to CPG. “What we have seen, for example, is the creation of truly ‘instagrammable’ foods in foodservice. This is also the case in beverages, where we are increasingly stepping away from simple cola, beer and coffee. This moves very fast in foodservice, where you have baristas and mixologists. CPG and retail will closely follow the trends, but of course with a bit of a delay,” he notes.

From January 1, 2019, Kerry began allocating further resources behind foodservice to leverage the deep knowledge and experience that the company already has in this space in multiple markets. “We have made it part of our European leadership team that foodservice is now leveraged across the board and is really one of our key priorities across Europe,” he says.

A few weeks into the year, the Kerry Foodservice business debuted at Sirha 2019 in Lyon, France. At Sirha, Kerry showcased innovative food and beverage foodservice concepts across QSR, Food to Go and On-Trade, in response to the trends emerging across the foodservice landscape. Convenience continues to be a mega trend influencing the foodservice landscape, causing channel boundaries and store concepts to blur, the company notes.

Buiks joined Kerry in September 2018 as VP of Foodservice, Marketing & Strategic Planning, Kerry Europe & Russia. Prior to Kerry, he held roles at two blue-chip companies, most recently FrieslandCampina both as Managing Director in Russia and heading up the company’s Foodservice division. He had previously spent 16 years at PepsiCo, in a variety of roles including Category Director for Beverages.

Karl Buiks, VP of Foodservice, Marketing & Strategic Planning, Kerry Europe & RussiaAs traditional QSR operators continue to respond to the consumer demand for health alternatives and permissible indulgence; the definition of “fast food” is evolving. In response, Kerry Foodservice has developed Future QSR, a concept built on their understanding of micro-channel trends, consumer behavior and innovative QSR concepts.

Social media has changed the way we eat and drink with consumers expecting every dish and beverage to be #Instaworthy, Kerry notes. As part of its identification of future beverage trends, Kerry Foodservice commissioned proprietary research to understand the evolution of beverage trends globally. The study, launched at Sirha, shows that social sharing is now impacting the progression of beverage trends through menus and these insights can help the industry identify future beverage trends. Not only is the beverage market highly competitive but consumers are increasingly educated, interested and adventurous, which has driven a need for operators to constantly innovate and create stand-out products.

The research, conducted by Initiative, includes a study of key beverage influencers and analysis of trending keywords. It reveals the trends which are expected to influence the beverage market in the coming year.

In the on-trade channel creative, sophisticated and tailored beverage concepts continue to be at the forefront of innovation. With a greater emphasis and demand for low/no alcohol alternatives and low sugar options, operators are being challenged with meeting multiple consumer needs while continuing to deliver on experience. At Sirha, Kerry showcased how they can help customers with these challenges with a mix of on trend, innovative and aspirational cocktail concepts.

Instagram-ability and plant-based trends are particularly shaping NPD, Buiks believes. “The look and feel of beverages is now much more important than it was in the past,” he explains. “You can really see that not only taste, but also presentation is really important. It creates a more curious, interested and adventurous consumer base. We talk more about it because it is shared on social media and this creates more openness for innovation. This is part of our new reality in beverages,” he adds.

Plant-based trends are even more prominent in foodservice than in the CPG sector, as they are so much more visible and confronting. “Clearly we are all working on the plant-based revolution. We are all considering meat alternatives, but in beverages you also have to look for dairy alternative solutions to address what vegans want. If you go outside on the streets, you are confronted with this trend even more than you would be in regular channels. You will see that foodservice needs to come with an answer and it is doing so,” he says.

Kerry Foodservice Ginger Cold-Brew Lemonade concept
(Sirha 2019)The rise in botanical beverages is also taking place amid this new dynamic. “In the past we called these types of beverages ‘water plus.’ If you add botanicals to it, you make it healthy, back to nature. It is honest and it doesn’t contain a lot of calories, which you have with other beverages. There are opportunities for the market to play in this area,” he adds.

Kerry Foodservice identified five top trends from Sirha 2019. They are as follows:

Plant Protein: The continued growth of veganism is spurring consumer demand for plant protein; a trend showing no sign of slowing any time soon. Highlighting the versatility of plant protein to vegans, vegetarians and flexitarians alike, operators presented plant protein in formats that were both indulgent and health focused. Kerry Foodservice showcased a vegetarian-friendly breakfast pot, prepared with their plant-based Cereshred.

Holistic Wellbeing: Health and wellbeing continues to be one of the most influential macro trends dominating the food and beverage industry. Consumers are taking the trend to another level, considering the impact their diet can have on mental wellbeing and beauty routine. Sirha highlighted how foodservice operators are introducing fermented beverages, aligning to the consumer interest in gut health.

Fusion Food: Global flavors continue to inspire food and beverage innovation. Sirha highlighted a focus on Asian fusion flavor and modern Mediterranean cuisine. Kerry Foodservice illustrated its take on this trend through our refreshing ramen shots flavored with soy, ginger and lime.

Instagram-ability: Instagram and social sharing is at the core of foodservice innovation, as appearance becomes increasingly important. Exhibitors across Sirha showcased intricate displays, color and layering, to attract the eye and enhance experience.

Modern Convenience: Automation continues to be a key consideration for suppliers and operators alike. Similarly, time scarce consumers are seeking solutions that reduce time from order to delivery, without any compromise on taste and experience.

Buiks is confident for the future of the European foodservice segment, despite constant market shifts. “The segment is growing and healthy, with certain challenges being faced,” he notes. “Many of these come from how fast consumers are moving. I think Kerry is well placed because we are close to the future of foods. We understand what is happening and needs to happen through insights, but also how to answer them,” Buiks concludes.

By Robin Wyers