Auténtica 2024 highlights the key factors that will shape the food industry’s future
Changes in consumption patterns, the rise of food e-commerce, new direct-to-consumer sales channels, and a shift towards healthier and more sustainable consumption will define the industry’s path.
Leaders from large-scale distribution, retail, the food industry, hospitality, and fine dining gathered in September at Auténtica 2024 to explore the latest premium and gourmet products that respect their origins, promote sustainability, and embrace innovation. The knowledge shared by the 233 experts participating in the second edition of Auténtica Premium Food Fest has been consolidated into six key trends that the food industry should focus on in the coming year to once again highlight the value of the Mediterranean diet and the quality of its products.
Market Stability
The consumer goods market has returned to stability after the pandemic, with an overall growth of 2%, including 1.7% in-home consumption and 2.7% out-of-home, according to data from Kantar presented at the second edition of Auténtica. The market has reached a “new normal,” where the balance between in-home and out-of-home consumption has stabilized.
Consumer Spending Adjustments
In recent months, consumers have adjusted their spending habits to cope with rising prices. Inflationary pressures have led many to shift towards lower-priced products, reflecting significant changes in managing their expenses. Furthermore, there has been a noticeable reduction in spending on dining out, particularly for leisure purposes. Despite these adjustments, Spain’s food service sector is expected to see moderate growth in the coming years, with a projected increase of 2.6% in out-of-home food spending by 2025.
The Evolution of Private Labels
Private label brands experienced notable growth during the pandemic, with a five-point increase over the last two years. However, this rapid growth is expected to slow down in the coming years as economic conditions stabilize. The increased focus on private labels during the pandemic stemmed from their competitive pricing and quality-to-price ratio, but as the economy recovers, the market share between private labels and manufacturer brands is likely to balance out.
E-Commerce and Hybrid Sales
Although electronic goods and fashion still dominate e-commerce sales, the food sector has seen significant growth in online purchases. Between 2019 and 2021, there was a major leap in food purchases through digital platforms, and by 2025, 9.2% of all food purchases are expected to be made online. However, 91.8% of sales remain in physical stores. Hybrid sales, where consumers order online and pick up products in-store, are becoming increasingly popular and beneficial for both online and physical retail models.
New Direct-to-Consumer Sales Channels
Technology is reshaping how consumers purchase and receive products. In countries like China, farmers are bypassing traditional distributors to sell directly to consumers, a model also adopted by manufacturers using apps to connect with buyers. Social media platforms like TikTok have become digital marketplaces, particularly in the U.S., where small businesses use these platforms to promote and sell their products. This trend underscores the growing importance of social media as a sales channel, complementing both online and physical retail.
A Shift Towards Healthier and More Sustainable Consumption
In recent years, consumer preferences have shifted significantly toward healthier and more sustainable options. Despite this shift, one of the major challenges is overcoming the barriers that prevent sustainable and healthy consumption from being accessible to all. The transition to sustainable practices has often led to higher food prices, making these products less accessible to some consumers. In this context, it is crucial to leverage Next Generation EU funds to help companies invest in innovation, adopt environmentally friendly practices, and transition towards more sustainable production models.
