Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.
Invenire White Paper
MAKING THE UNWANTED
DESIRABLE
© Invenire Market Intelligence 2016 INTELLIGENCE • STRATEGY • COMMUNICA...
Invenire White Paper
Rise of the responsible
consumer
© Invenire Market Intelligence 2016 INTELLIGENCE • STRATEGY • COMMUN...
STARTWITHADREAM
Anything is possible.
Big dreams are the reason
why the world changes for the better.
Let’s explore your f...
Invenire White Paper
© Invenire Market Intelligence 2016 INTELLIGENCE • STRATEGY • COMMUNICATION • TALKS | doorbell@inveni...
The three potential paths
to better business
Invenire White Paper
© Invenire Market Intelligence 2016 INTELLIGENCE • STRAT...
Invenire White Paper
© Invenire Market Intelligence 2016 INTELLIGENCE • STRATEGY • COMMUNICATION • TALKS | doorbell@inveni...
Invenire White Paper
© Invenire Market Intelligence 2016 INTELLIGENCE • STRATEGY • COMMUNICATION • TALKS | doorbell@inveni...
Invenire White Paper
© Invenire Market Intelligence 2016 INTELLIGENCE • STRATEGY • COMMUNICATION • TALKS | doorbell@inveni...
Upcoming SlideShare
Loading in …5
×

WHITEPAPER: "Making the unwanted (insects) desirable" - unlocking the commercial potential of edible insects

At a time when first-world consumers are hungrier for proteins and the global food crisis is escalating, edible insects offer potentially one of the best solutions to meet these demands. They are high in nutrients, especially protein, and can be produced efficiently with extremely low environmental impact.

But there's more to insects than (only) protein! To unlock the full potential of insects – both technically and commercially – the business models to commercialise insects should be reconsidered. This whitepaper explores potential business paths to scale-up insects, beyond just protein.

Want to explore and understand the opportunity of edible insects, and other new sustainable ingredients?
Check out our edible insects online learning course at Invenire Academy. The course, "Making the unwanted (insects) desirable" provides a deep understanding of the current market for insects and their business market potential. With edible insects as an example, this course is aimed to help you learn new approaches to help effectively sell new, sustainable ingredients. The course is run through easy-to-understand videos and hands on activities to deepen your learning, and develop new tools to sell sustainable ingredients. It also includes 5 comprehensive Market Analysis and Insight Reports plus other bonus materials.

Find out more about the online course - http://invenire.teachable.com/p/making-the-unwanted-insects-desirable/

Related Audiobooks

Free with a 30 day trial from Scribd

See all
  • Be the first to comment

  • Be the first to like this

WHITEPAPER: "Making the unwanted (insects) desirable" - unlocking the commercial potential of edible insects

  1. 1. Invenire White Paper MAKING THE UNWANTED DESIRABLE © Invenire Market Intelligence 2016 INTELLIGENCE • STRATEGY • COMMUNICATION • TALKS | doorbell@invenire.fi | www.invenire.fi Unlocking the commercial potential of edible insects At a time when first-world consumers are hungrier for proteins and the global food crisis is escalating, edible insects offer potentially one of the best solutions to meet these demands. They are high in nutrients, especially protein, and can be produced efficiently with extremely low environmental impact. To be a real solution, insects need to become big! Within animal feed, insects can deliver a big sustainability impact already in the short term. But to harness the true sustainability impact insects can offer, they should be used in human food as well. That requires quantity and penetration across many categories. Insects need to impact the mainstream, because quite frankly, the snack bars on the market today with 5% insect protein are not going to save us from a food crisis. This whitepaper explores the potential paths to unlock the wider commercial potential of edible insects for human food.
  2. 2. Invenire White Paper Rise of the responsible consumer © Invenire Market Intelligence 2016 INTELLIGENCE • STRATEGY • COMMUNICATION • TALKS | doorbell@invenire.fi | www.invenire.fi Without a doubt responsible food is an increasing trend, which is a perfect fit with edible insects! There are two major trends that are creating opportunities for insect protein: THE SHIFT TOWARDS MORE SUSTAINABLE PROTEINS HAS ALREADY STARTED While consumers in industrialised countries may not actually be protein-deficient, protein fortification and high protein claims have become a huge trend in the past few years. While Western Europeans have the highest protein consumption globally – at 49 grams per capita daily – sustainable proteins are gaining increas- ing attention. Europeans are spending more on meat alternatives. For example, in 2015 Swedish and U.K. consumers spent more than double per capita, about €5, on meat alternative foods compared to the USA. The meat substitutes market value in some European countries is even experiencing growth rates higher than 20% yearly. (Source: Euromonitor International, 2016). Figure 1. Meat Substitutes market size and forecast*, retail value €mn at year-on-year exchange rates (source: Euromonitor International) Figure 2. Animal/Dairy and Plant proteins, Western Europe, All Packaged Product Categories, volume tonnes (source: Euromonitor International) Protein Types, Western Europe, Volume mt Meat Substitutes - Retail Value €mn Sweden United Kingdom Plant proteins Animal & Dairy proteins 350 300 250 200 150 100 50 0 200 000 180 000 160 000 140 000 120 000 100 000 2012 2013 2014 2015 2016* 2017* 2018* 2015 2016* 2017* 2018* 2019* 2010*
  3. 3. STARTWITHADREAM Anything is possible. Big dreams are the reason why the world changes for the better. Let’s explore your future growth opportunities together, and make your better business ideas a reality. Invenire White PaperNNETOAFOROTVEOCAANENVRONENTAACT WILLInGneSS to PaY for PoSItIve SocIaL anD envIronMentaL IMPact Taste, price and other core benefits still matter. However, more than half of global consumers are willing to pay more for products and services from companies that are committed to positive social and environmental impact (Source: The Nielsen Company, 2014). But consumers who take sustainability aspects into consideration in their buying decisions do it in different ways. Some rely on ecolabels like organic or Fair Trade, some are flexitarians, vegetarians or vegans, and some consciously avoid products they deem unsustainable. Evidence of growing interest is strong, as every second consumer checks product packaging to ensure sustainability (Source: The Nielsen Company, 2014.). © Invenire Market Intelligence 2016 INTELLIGENCE • STRATEGY • COMMUNICATION • TALKS | doorbell@invenire.fi | www.invenire.fi Figure 3. Key ethical purchasing factors, Global market size and forecast*, €mn at 2015 fixed exchange rates (source: Euromonitor International)FRV Key Ethical Purchasing factors, Global, retail value €mn Sustainable Trade and Farming incl. Fairtrade Vegetarian/Vegan 2015 2016* 2017* 2018* 2019* 2010* 35 000 30 000 25 000 20 000 15 000 10 000
  4. 4. Invenire White Paper © Invenire Market Intelligence 2016 INTELLIGENCE • STRATEGY • COMMUNICATION • TALKS | doorbell@invenire.fi | www.invenire.fi The death valley of insects Despite the big media hype, the edible insects industry is still in its infancy. There are only a few larger scale edible insects producers globally – and even those are small companies who produce small quantities. Existing production is mostly low-tech and includes a lot of manual labour. The lack of industrialisation is one of the major roadblocks preventing larger scale use. Another obstacle in the EU is restrictive regulation, which is holding back many players from actively developing insect-based products. In fact, there’s a big risk insects will never take off sizeably in human food. The main reasons are:CFA • SCALE BARRIER: TOO BIG A CHASM TO CROSS currently the average price for edible insect powders is 10 – 50 times higher than whey or soy proteins. for the mainstream food industry, prices need to be competitive and supply volumes comparably big. Most food players want ready to use new ingredients, without taking the risk involved in ‘time and money consuming’ scale-up. also, the food industry doesn’t desperately need a new protein source. Soy rules with its low price, whey with its good amino acid profile. The driver for quick scale-up of production is simply lacking. • MENTAL BARRIER: LACK OF MARKET PULL Let’s face it! No one really WANTS insects. They disgust most people and we’re not used to eating them. There’s no consumer demand, no market pull. And although some industry professionals can see the big opportunity, most are reluctant to work with insects. Neophobia is practically hindering the developments. Many believe plant-based proteins are all that are needed as sustainable alternatives. • SYSTEMIC BARRIER: BROKEN FOOD SYSTEM Altogether, the traditional food value chain will be an extremely slow route for commercialising insects. Insect farming won’t leap into big volumes quickly, due to the resistance and lack of demand at every step in the long value chain. In fact, the traditional food value chain could even be a trap for the insect opportunity. Long and complex value chains with poor transparency could easily create new sustainability problems such as adulteration and social injustice, as well as safety and hygiene risks. These problems would hinder gaining consumer trust and acceptance even further. To conclude, traditional commercialisation paths and food value chains are full of barriers and lacking the drivers to make insects big. If insects are seen purely as an alternative protein ingredient, they can’t compete with existing solutions - therefore the commercial potential is limited!
  5. 5. The three potential paths to better business Invenire White Paper © Invenire Market Intelligence 2016 INTELLIGENCE • STRATEGY • COMMUNICATION • TALKS | doorbell@invenire.fi | www.invenire.fi BEALEADEROFCHANGENA When you decide something is important, that’s the moment you start to lead change. Invenire can help integrate growth and sustainability into your company’s Dna – to be strategic, effective and thrive. Insects can’t be just as good as existing solutions for sustainable protein. They need to be superior! Rationally thinking, it is easy to understand the benefits insects could offer: a complete protein source with a mild and nutty taste, and the possibility to produce them efficiently and sustainably. But there’s much more to insects than just that. To unlock the full potential of insects – both technically and commercially – the business models to commercialise insects should be reconsidered. In fact, the opportunities are unlimited, if you start searching business opportunities through the following paths: 1) AIM FOR INCREASED EFFICACY AND SAVINGS Stop seeing insects (only) as a protein ingredient. The beauty of them is that they are also great natural bioconverters and waste managers. Well-designed circular economy solutions based on insects could offer enhanced efficacy and cost savings - with a sustainable and nutritious protein ingredient as a bonus! Think about new business opportunities through… • Reducing waste streams and their costs • Maximising the use of material and energy flows • On-site circular economy solutions
  6. 6. Invenire White Paper © Invenire Market Intelligence 2016 INTELLIGENCE • STRATEGY • COMMUNICATION • TALKS | doorbell@invenire.fi | www.invenire.fi ROVEAOTONANANEERENCE 2) ProvIDe a SoLUtIon anD an eXPerIence Stop asking “Why would consumers want to eat insects?”. Forget insects and think about what burning consumer problem you could solve. Don’t force them to make a conscious decision to eat insects. Insects will thrive in “good-tasting” solutions that make intrinsically sustainable choices easy. This is about social innovations that can alter demand and consumer behaviour. Think about new business opportunities through… • Making life easier and more meaningful • Providing new experiences • Utilising services and digital technologies 3) ADD VALUE BY RETHINKING PRODUCTION Insects can technically be grown anywhere – in homes, restaurants, cities, communities, farms etc. Forget long value chains; insects can – and should – be produced close to the point of consumption, whether it is in developed or developing countries. There is an opportunity to start building the value chains from scratch, with the possibility of embodying transparency, traceability and trust. Think about new business opportunities through… • Giving power within food production back to consumers • Utilising robotics and automatisation for growing insects anywhere • Producing food within cities and communities
  7. 7. Invenire White Paper © Invenire Market Intelligence 2016 INTELLIGENCE • STRATEGY • COMMUNICATION • TALKS | doorbell@invenire.fi | www.invenire.fi AATN Why better business needs new thinking Businesses in the current food value chain are struggling with competition, profitability and poor long-term growth prospects. At the same time, businesses can no longer ignore their responsibility to our planet and people. Sustainability opens up new opportunities for future business! So far, sustainability has been an underutilised asset to make profitable business. The problem is that it’s difficult to create good business with a slightly greener or more socially conscious version of an existing product. Instead, the real sustainability business makers are creating innovations that disrupt existing categories. and this doesn’t mean merely creating sustainability innovations, but improving other product features just as drastically. also, for the top sustainability performers, sustainability isn’t a separate function or department within the company. Instead, it is integrated into core structures of the business, including organisational structure, cost structure and governance structure. this means sustainability then becomes a revenue driver, not a drag. Lastly, to create bigger impact, sustainable businesses should target mainstream customers and consumers, not only the “super green” niche groups. Better business is not built in the same way that current problems are. new ways of thinking are imperative for the future! Further reading: Williams E.F. (2016) Green Giants: How Smart Companies Turn Sustainability Into Billion-Dollar Businesses.
  8. 8. Invenire White Paper © Invenire Market Intelligence 2016 INTELLIGENCE • STRATEGY • COMMUNICATION • TALKS | doorbell@invenire.fi | www.invenire.fi As CMO of the Future, Invenire empowers leaders to make change happen. Better business for People Planet and Profit. Through excellent Design, Strategy and Conversations, we help leaders act on their values and purpose. Together we craft innovative business strategies that enable profitable growth with sustainability at the core. We create impact that matters. HEALTH. HAPPINESS. RESPONSIBILITY. EMPATHY. CREATIVITY. EFFECTIVENESS. www.invenire.fi | doorbell@invenire.fi | +358 40 8228 848 MAKEREALIMPACTTHATMATTERS Better business starts by taking action. Hire Invenire as your Chief Marketing Officer (CMO) of the Future. Together we can build brands with purpose and conversations that sell – with customer happiness at the core. We wrote this whitepaper Get in touch and see us at the HiEurope Conference! Virpi Varjonen Strategist and Ingredient Market Expert virpi.varjonen@invenire.fi +45 2938 6104 Twitter: @vvarjonen LinkedIn: virpivarjonen THE FUTURE OF NUTRITION Unlocking the commercial potential of insect proteins Monday 28th November, 13:30 – 14:00 MODULE 3A: NATURAL TO THE NEXT LEVEL New natural: embracing the potential for organic claims Tuesday 29th November, 15:30 – 16:00 Johanna Tanhuanpää Sustainability and Market Intelligence Expert johanna.tanhuanpaa@invenire.fi +358 40 8228 140 Twitter: @jtanhuanpaa LinkedIn: johannatanhuanpaa MODULE 8B: PERSONALISED NUTRITION Explaining bio-hacking: is there a marketing opportunity for food companies? Thursday 1st December, 11:00 – 11:30

    Be the first to comment

    Login to see the comments

At a time when first-world consumers are hungrier for proteins and the global food crisis is escalating, edible insects offer potentially one of the best solutions to meet these demands. They are high in nutrients, especially protein, and can be produced efficiently with extremely low environmental impact. But there's more to insects than (only) protein! To unlock the full potential of insects – both technically and commercially – the business models to commercialise insects should be reconsidered. This whitepaper explores potential business paths to scale-up insects, beyond just protein. Want to explore and understand the opportunity of edible insects, and other new sustainable ingredients? Check out our edible insects online learning course at Invenire Academy. The course, "Making the unwanted (insects) desirable" provides a deep understanding of the current market for insects and their business market potential. With edible insects as an example, this course is aimed to help you learn new approaches to help effectively sell new, sustainable ingredients. The course is run through easy-to-understand videos and hands on activities to deepen your learning, and develop new tools to sell sustainable ingredients. It also includes 5 comprehensive Market Analysis and Insight Reports plus other bonus materials. Find out more about the online course - http://invenire.teachable.com/p/making-the-unwanted-insects-desirable/

Views

Total views

380

On Slideshare

0

From embeds

0

Number of embeds

1

Actions

Downloads

16

Shares

0

Comments

0

Likes

0

×