FEWS-Weekly Food News

What is FEWS?

FEWS- Weekly Food News, is a FREE weekly email subscription that highlights the previous week's top food & beverage stories. Written in a "like-able" and "plain jane" POV, FEWS aims to inform every type of subscriber. We've highlighted a few examples of our emails below! 

Want to subscribe?  FEWS drops into your inbox every Monday morning as you're dragging into work, pouring your first (or second) cup of Joe. Plug your email into the box to the right and click "Sign Up!"  

July 23, 2018

Morning FEWS peeps,

We are thrilled to announce the first ever FEWS Takeover. Once a month, we'll be collaborating with food industry professionals to bring inside information straight to your inbox. You'll hear from writers, business owners, and other successful foodies passionate about all things food & beverage. Get excited. We've got some ground to cover this week, so let's dive in! 

• Chef'd got Tossed. Meal-kit company Chef'd has announced plans to suspend all operations indefinitely. With over 400 employees and multiple offices including Los Angeles and Chicago, the shutdown may come as a surprise. After closing a $35 million funding round last year led by some key corporate players, Chef'd seemed to be on the rise. According to sources, the company was in process of raising $100 million this year but was unsuccessful.

• Dirty Lemon gets lil dirtier. Functional beverage company Dirty Lemon just hopped on the CBD bandwagon, releasing their new CBD infused elixir +cbd. This release follows a popular movement within the functional beverage space utilizing the oil in everything from cold-brew to kombucha to IPAs. Cannabidiol (CBD oil) is proven to tackle anxiety, diffuse stress, decrease muscle and joint pain, and improve quality of sleep. Although extracted from marijuana, CBD doe not produce the "high" affect like THC does. Time to grab bottle and v i b e  o u t. 

• Big Corp Avengers? The Fantastic Four? Sustainability Squad? Four of the nation's leading food giants will be combining forces to help save the planet. Mars, Danone North America, Nestle USA, and Unilever United States are banding together to create the Sustainable Food Policy Alliance (SFPA). The organization will focus on five key areas: consumer transparency, nutrition, people and communities, the environment, and food safety. In their words, "The Sustainable Food Policy Alliance was founded on the principle that food companies can and should be doing more to lead and drive positive policy action for the people who buy and enjoy the foods and beverages we make, the people who supply them, and the planet on which we all rely." So the big question... When is Marvel/DC picking up this movie deal?

Investment Roundup

• Constellation Brands acquires Texas-based Four Corners Brewing. Link
• Krispy Kreme to buy Insomnia Cookies for undisclosed amount. Link
• Netherland-based Mosa Meat closes $8.8 million funding round. Link
• opChips sells its UK and European business to KP Snacks. Link

*FEWS Takeover* 

Coffee culture: step aside.

Nashville, Tennessee, is home to thriving coffee joints, including Barista Parlor, CREMA, and Frothy Monkey, among others. Hipsters abound; cameras capture cortados and flat whites. Yet the new scene of ethically sourced, relationship-grown teas have started in the Nashville trend.

Tea culture abounds in other parts of the world. London, India, and China traditionally house some of the world’s best teas and tea culture. Teahouses spread to the United States, and concentrated in parts of New England and the South. Since 2012, US tea sales have increased by 27% totaling $12.5 billion in annual sales (2017). Buyers are paying attention to this growth and looking to tea to ride the wave of new health trends. The evolution of sweet iced tea serves as a southern mainstay. Soft drink metrics indicate that bottled teas are on the rise, with RTD options making up almost 50% of the total tea market share. Whether iced, bottled, or steeped, tea reflects millennial emphasis on healthy beverages, and its positive effects in a healthy lifestyle.

Today, Nashville’s growing tea market reflects trends within the greater United States, and mirrors tea’s popularity in world-wide consumption. The city is home to High Garden Teas, an apothecary that emphasizes herbal blends, nature, and a commitment to the environment. Its gorgeous, wooded interiors invite escape in north Nashville. Firepot Nomadic Teas also recently opened along the trendy lanes of 12th Avenue South.  The company supports female entrepreneurship, and supplies chai blends to some of Nashville’s best coffeehouses. Firepot emphasizes the importance of tea through education, organic sourcing, and cultivating relationships with the growers. Teas also reflect diversity; Firepot sources tea from around the world, including Kenya, Nepal, Japan, Washington, and Hawaii. Awareness, wellness, and appreciation make teas a welcome addition to the sustainable, ethical market—and the palate.

June 9 ,2018

Food. Something that everyone needs and many love. It's something that defines cultures, religions, and even has the power to create war. Nobody knew this more than Anthony Bourdain. From his first kitchen job shucking thousands of oysters to starring in his famous TV show "Parts Unknown," Bourdain loved to show his passion for food. But it was more than food he loved, Bourdain loved bringing people together. Whether in Tehran shinning a light on Iranians living within the oppressive government system, or in Detroit- highlighting citizens rebuilding their communities in a forgotten city, Anthony Bourdain connected his viewers with the real-life perils of others. May we all remember his passion and ideas on the power of food. 

"If I'm an advocate for anything, it's to move. As far as you can, as much as you can. Across the ocean, or simply across the river. Walk in someone else's shoes or at least eat their food." -Anthony Bourdain

June 4th, 2018

Morning FEWS’ers.
 

Thanks for all the feedback regarding our logo options! We appreciate your comments, which is why we've decided to keep our design process open. In the meantime we'll use the original logo (above). If anyone has ideas, we'd love to hear/see them! Enough of the admin stuff.... let's get to it!
 

•    Snack Attack. According to a recent study, millennials are willing to take a $7,600 pay cut in exchange for a better work environment. SnackNation is fully responsible for the snack aspect of that 'better work environment.' SnackNation curates and delivers over 5,000 better-for-you snacks to thousands of offices across the country. Based in Culver City, CA, the company recently announced the close of a $12 million funding round. Plans with that moulah? Expand their snack offerings into new distribution channels such as hospitality and transportation, and scaling up their direct-to-consumer platform. 
 

•    JAB Holdings adds another. Food & Beverage conglomerate, JAB Holding Company announced the acquisition of Pret-A-Manger, London-based sandwich and salad chain. Known majority for their food, Pret-A-Manger also serves up organic coffee... no surprise here. To refresh your memory, JAB Holdings also owns Krispy Kreme, Panera, Pete's Coffee, Caribou, Stumptown, and Keurig. Quite the buzzing portfolio.  
 

•    Chicken Crisps...mmmh. Tyson Foods announced the launch of YAPPAH!, upcycled "protein crisp" made from chicken trimmings, juice by-product, and spent grain from Molson Coors. I kid you not. The name, which ultimately stands for less food waste, aims to utilize ingredients that would otherwise be discarded in the manufacturing process. The launch will include four flavors: chicken and carrot curry, chicken and celery mojo, chicken IPA white cheddar, and chicken shandy beer. Best part- the packaging resembles a 16oz beer can. The product is set to trial in Chicago with a national debut in 2019... that is pending consumer feedback of course.

Beer Industry Quick Facts
•    Green Flash Brewing hires former Anheuser-Busch President of mergers & acquisitions as new CEO. Link
•    Ball Corporation and Imbibe partner to release beer can widget to enhance innovation within nitrogen craft beers. Link
•    Yahoo Brewing Company plans to open new destination brewery in Nashville, TN. Link

The New Wave Food Company
The Food & Beverage industry has evolved. Sure trends have changed, ingredients have simplified, and health foods have reclaimed their spot in your daily diet; however, the change is deeper than that. There’s a new business model within the industry, and it’s driven by millennials. Think about the large food corporations running the industry in the 90’s and early 2000’s. What was their business model? In short, it was “build a facility and produce as much product as possible.” It involved high overhead and capital expenditure to do so- millions of dollars went into manufacturing facilities, warehouses, trucks, trailers, employee parking lots, etc. There was a crevice size gap between startups and large corps with regards to resources. Well, that’s all changing.
 

Co-Packers. Co-Manufacturers. Outsourcing. These terms highlight a new business model. One that allows founders and CEO’s to run a company from their local WeWork, or even in their home office. Co-mans (co-manufacturers) are independent businesses that process, store, and often ship product for you. Usually these co-mans own multiple manufacturing facilities with numerous processing options. Startups have the capability of ‘shopping’ for the perfect co-man, which include factors such as capabilities, contracts, price, and geographic location. You'd be surprised at how many of your favorite drink or snack brands only have a HQ office, without any production facilities. 
 

Is the New Wave Food Model a bad thing? No way. Co-Packers and Co-Manufacturers give entrepreneurs viable means to create/expand their startup. It provides more competition within categories, which will continue to pressure large corps to drive innovation. In turn, churning out newer products and investing in new brands. It's a cycle that's proving successful, as food & beverage investments are at an all-time high. 
 

Basic Example: Cole is starting a low-sugar energy drink company, which utilizes all natural ingredients and flavors. Based in NYC, Cole rents an open-desk spot at the WeWork in Brooklyn. The past three years, Cole has designed his perfect recipe at home, selling his product at farmers markets across the city; however, he now has pre-orders at a nation-wide grocery store and is ready to outsource production. The next few months, Cole visits 13 co-manufactures to find the best fit. He’s looking for a co-man who has ingredient + material storage, pasteurization capability, and one who will also ship his energy drink SKUs to cross-docking facilities. After 5 months, Cole finds the perfect partner and begins contract negotiations. Boom, nation-wide product.

May 7, 2018

Buenos días Ladies and Gents, 
 

Hope everyone ate some tacos, drank some margaritas, and commemorated the Mexican army's victory at the Battle of Puebla... We're getting creative here at FEWS, we added a #hashtag and a meme to this week's subscription. Whoa. Excited? Should be. Time to dive in and learn some stuff. 

•    #beetsdontkalemyvibe. If you frequent Sweetgreen, you probably already know. The fast-casual, better for you salad chain announced the return of their fan-favorite menu item, "Beets Don't Kale My Vibe" on Tuesday. Last summer Sweetgreen partnered with Kendrick Lamar to create the crazed salad, which consist of: Kale + Choice of protein + Wild Rice + Roasted Beets + Pickled Onions + Local Goat Cheese. It's pretty damn good.
 

•    AB-InBev is going green. A few weeks ago we discussed the beverage giant's pre-order of 40 electric Tesla Semis. This week, Anheuser-Busch announced they will be ordering "up to" 800 hydrogen semis from Nikola Motor Company. Testing on the semis will begin later this year; however the actual launch is aimed for 2020. If you aren't aware, AB-InBev pledged a pretty hefty dream to use 100% renewable energy by 2025. Transitioning the entire fleet is definitely a good start. 
 

•    Tyson Ventures > Food Inc. Do you remember the documentary in 2008 that shone a light into Tyson Food's chicken farming operations? The same documentary that convinced hundreds of millennials to become vegetarians? Well, Tyson Foods finally listened. And they're crushing it. Tyson Ventures, Tyson's venture capital fund, was launched in 2016 to invest in "innovative products and technologies." The firm harbors an impressive portfolio, including Beyond Meat (plant-based meat), Memphis Meats (cultured meat), and Future Meat Technologies (FMT). FMT, Tyson Venture's most recent investment, is a biotechnology company who aims to create a more cost-efficient lab-grown meat product, capable of differentiating muscle from fat. If you're confused as to what is plant-based vs. clean meat vs. lab meat, we dive into that below! 
 

•    Verb /vərb/ (noun): Verb Energy, the caffeinated, green tea-based snack bar announced their official re-brand this week. The company, which was founded in a Yale dorm room, has revamped their package, bar and target consumer. Instead of the 190 calorie packed bar, the new afternoon pick-me-up contains a guilt-free 90 calories and sells for a friendly $1.50. The bars contain as much caffeine as one shot of espresso and come in three flavors: maple blueberry, simple cocoa, and peanut butter. The founders decided to transition the target consumer from college students seeking caffeine, to urban millennials and women. Oh yeah, you can order the Verb Energy bars via text message too. 

"Looks Like (Alternative) Meat's Back on the Menu Boys!"
Rewind about 10 years ago and think of the word meat. What did that look like? Burgers, steaks, hot dogs, pork, chicken... The terms "plant-based" and "clean-meat" didn't exist. And if they did, not for the general consumer. Now you have over 10 different alternative meat companies filling the butcher counters at your local grocery store. There are even meat-free burgers available at fast food restaurants nation-wide. So let's dive in and dissect this non-meat, meat phenomenon. 
 

 1. Plant-based meat: defined as meat deriving from plants. Pretty self-explanatory, right? Since plant-based meats come from 100% plant-based ingredients, they have no cholesterol. No animals or animal products are used in the manufacturing process of these proteins. From burgers to bratwursts to bacon to seafood, plant-based meats have evolved to fill every sector. What's so good about these meat-free proteins? To start, plant-based alternatives are the most cost efficient, with many options even priced below real meat. Reason being, most plant-based meats are able to be mass produced by the manufacturer. Most common ingredients for these products are: soy, chickpeas, beans, and other vegetables. Companies with largely recent success, like Impossible Foods, are even utilizing beet juice in their burgers to simulate "bleeding beef." It's seemingly working, as they partnered with White Castle this month to launch the "Impossible Slider" in more than 1,000 restaurants. Marketing for plant-based options are a no brainer too... Vegan. There ya go. 

• Key Players: Beyond Meat, Impossible Foods, Tofurkey, Field Roast, Sweet Earth Natural Foods, Good Catch Foods, New Wave Foods.

 2. Clean-meat: (also known as lab-grown or cultured-meat) is produced by taking a small sample of animal cells and replicating them outside of the animal. Once the stem cells are cultivated, they take approximately six weeks to grow into "muscle fibers." The result yields 100% real meat without antibiotics, E. coli, salmonella, or animal waste. Fun fact, approximately 20,000 fibers are combined to create one average sized burger. Seems like a lot of work, right? Well, it is... not to mention expensive. The current production price of this clean-meat is around $10,000 per kilogram. According to the founder of FMT, Yaakov Nahmias, FMT has "brought it down to $800 per kg today, with a clear roadmap to $5-10 per kg by 2020." Seems like a whole lot of work ahead of them. Pros of lab-grown meat? It's actual meat. The fat and muscle fibers are real, which means when your mouth is watering for that fatty burger or gristly steak, the product actually satisfies you. Plus, nutritionally you consume the amino acid building blocks of real meat.  

• Key Players: Memphis Meats, Future Meat Technologies, Mosa Meat, Modern Meadow, Finless Foods

March 26,2018

Good Monday to all you crazed foodies out there, and welcome to FEWS- Your Weekly Food News. Every Monday, We'll be dropping a line in your inbox highlighting the previous week's top stories in all things food & beverage. This could be a huge story about an FDA recall, or maybe a few suggestions for your mid-morning snack. Regardless, it'll be a delicious subscription... you have my word. 

How about we start it off right, yeah? Let's get down to the "nitty gritty" for all you HQ peeps. Here's your weekly recap of what went down in the Food Industry this week. 

•    Albertsons wants to fend off Amazon. The grocery store acquired Rite Aid this month in attempts to secure a future spot in pharmaceuticals. It is rumored that Amazon is making moves in the Pharm world soon.

•    The plant-based milk market is expected to reach $3 Billion by 2020- almost 1/5th of the entire milk value. The decreased demand has not only caused processors to consolidate operations, but a recent article links the decline in dairy farmer sales to an increased risk of farmer suicide. 

•    Have you seen pictures of the new Tesla Semi? Large Corp. Food & Beverage companies are drooling over it, and when I say drooling I mean pre-ordering. PepsiCo pre-ordered 100, Anheuser-Busch has ordered 40, and Sysco is taking 50. 

•    Kroger and Target are whispering about a merger. According to several sources with "knowledge on the matter," merger talks between the two retail giants began last summer. This may remind you of the Sysco-US Foods merger proposal, which was denied. FTC better keep a close eye on this one. 

•    In a report published this week, the CDC analyzed 2017's most common food poisoning cases. The number one culprit- Campylobacter, a pathogen found in raw poultry. The second most common- Salmonella, also a pathogen found in raw poultry and eggs. C'mon America... COOK YOUR CHICKEN!!

 
Meal Kits. Are they in or out? 
Blue Apron, Hello Fresh, Plated, Instacart, The Purple Carrot, Marley Spoon, and many more. Are meal kits actually sustainable? Well, Blue Apron might need to answer that question quickly. After it's IPO at $10 per share, their stock has managed to plunge 80% in nine months, while losing over 300k customers. Just when a buyout was seemingly their only option, Dickerson (CEO) announced that Blue Apron meal kits will now be accessible to the general public in retail grocers. Still, a buyout may be their best bet. To continue on Blue Apron's troubles, German-based meal kit company Hello Fresh, has now surpassed Blue Apron in customer growth, while increasing their US revenue by 90% in 2017.

Larger grocers and other food companies are beginning to understand the role meal kits play on busy American consumers. Kroger, Publix, Giant, and Stop & Shop have all partnered with Instacart, to give their stores a digital presence. Albertsons recently made moves and acquired meal-kit purveyor, Plated. Wal-Mart teamed up with Google Home to push home delivery meal kits, which will be available in 40% of US homes. Martha Stewart partnered with Marley Spoon, to provide meal kits for all diet needs. The Purple Carrot, a plant-based meal kit service, partnered with Tom Brady to provide TB12 performance meals to those wanting whole plant nutrition. 

So the question still remains, who's ahead of the curve and who is left in the dust? I'd say Hello Fresh is leading the category. Grocery stores utilizing digital platforms (i.e. Instacart) to deliver meals may be the way of the future, as opposed to sole business concepts built upon meal prep. Unless that business model is providing something grocers cannot, like specified markets (TB12, Whole 30, Kosher, Halal, etc.).     

As for Blue Apron.... pssst (somebody better get Target/Kroger on the phone ASAP).