Innovation in the food and drink sectors is generally driven by trends in diet and health, technology, farming and the environment, plus demographic and social change. However, far and away the sector’s biggest driver for change over the past few years has been globalisation: the international integration of markets means that cross-border trade is increasing and retail has become a global business. Global, multi-market foods and drinks now account for the majority of purchases and so have become a major area of focus as companies seek to accommodate such mega trends as Asianisation of the product mix.

In terms of food consumption, thanks to the move from traditional meal times to snacking and dashboard dining, food is increasingly available through non-traditional convenience outlets such as petrol stations, kiosks and vending machines. The net result is a growing range of foods that can be prepared in less than 15 minutes and ‘snacked’.

At the same time, the widely evident sustainability agenda is now driving concern across the board from reducing packaging and lowering distribution mileage through to limiting water consumption and reducing carbon footprints. As ‘doing the right thing’ has become a mainstream issue for middle class consumers around the world, food and drink companies have had to respond quickly to this major shift. Sustainability now ranks alongside lifestyle and health as a significant driver of consumer interest.

Although taste is still the primary factor in most food and drink choice, nutrition is rising fast. As health concerns increase, companies have been quick to seize on the demand for functional food and drink with products, such as probiotics and prebiotics, that either have some specific nutritional or dietary benefit or can be targeted as such, being king. The buzzword here is neutraceuticals which can be found in most major companies’ innovation strategies.

Lastly, there is also strong focus on improving the core production of foods and drinks by including new biotechnology and genetic modification to develop better texture and flavour, longer shelf life and easier shipment, better yield and higher nutrient value.