Young people desire brand owners to shift from being part of the problem to becoming part of the solution, asserts Floor van der Horst, from FrieslandCampina Ingredients. In their analysis of the early life nutrition sector, FrieslandCampina Ingredients conducted research which unveils the sector’s reshaped future. This research, titled “Vision 2030 – Early Life Nutrition: Shining a light on new growth opportunities in a market under pressure,” empowers brand owners to prepare their businesses and innovation pipelines for the next era.
According to Van der Horst, the parents of 2030, who are currently in their 20s and belong to generation Z, hold beliefs, attitudes, and priorities that greatly differ from earlier generations. These individuals have experienced unprecedented circumstances such as political unpredictability, climate concerns, a pandemic, and a global recession in their early adulthood. As a result, they prioritize matters such as financial independence, holistic health, emotional well-being, and ethical responsibility. It is crucial for brand owners to address these specific concerns in order to appeal to this new generation of parents.
Van der Horst highlights that young people are demanding brand owners to transition from being seen as part of the problem to becoming part of the solution. Gen Z is cautiously optimistic but also skeptical, making it essential for brands to establish themselves as trustworthy and ethically responsible with credible claims. Woolly goals and ambiguous statements must be replaced with clear and evidenced sustainability claims on packaging.
Sustainability is a key focus for Gen Z and is already driving transformation in the food sector. Van der Horst predicts that the early life nutrition field will also witness this shift, with increased demand for alternative proteins, natural ingredients, and locally-sourced ingredients. This is likely to result in a rise in hybrid (plant:dairy) and plant-based offerings. Nevertheless, when incorporating plant-based infant milk formulas (IMF), it is essential to ensure that their nutritional quality is not compromised by studying their safety and digestibility.
As consumers expect more from the foods they eat and the nutrition they provide for their children, early life nutrition brands will increasingly leverage technological advancements, according to Seven Hills Strategies. Technologies such as precision fermentation and cell culture will play a significant role in the preservation of bioactive proteins and native structures during processing. Expansion of cell-based production of human milk components, facilitated by precision fermentation and cell culture, is expected. The collaboration between FrieslandCampina Ingredients and Triplebar Bio Inc is a prime example of this strategy.
FrieslandCampina Ingredients, in collaboration with Annalise Market Intelligence, has identified three types of markets with distinct characteristics. Thus, propositions need to be tailored according to the specific needs of different markets. Premiumisation is expected to continue in markets like the US, the UK, and Mexico, while growing birth rates and rising dairy consumption present growth opportunities in emerging markets. Successful early life nutrition brands should possess six core attributes, including mental health propositions and hybrid formulations to cater to growing consumer awareness of environmental impact. The adoption of more localized strategies and the disappearance of the mid-price segment are anticipated.
In conclusion, the future of the early life nutrition sector demands brands to adapt to the changing needs and priorities of the parents of 2030. By addressing sustainability concerns, leveraging technological advancements, and tailoring propositions for specific markets, brands can position themselves as part of the solution and meet the evolving demands of the new generation of parents.