Covid-19 lockdown: A beacon of hope | Editor’s comment
The ‘new normal’ that Covid-19 lockdown has brought to our lifestyle is a fertile ground for ‘better-for-you’ food and drink brands
The instinct to survive the Covid-19 lockdown has put pressure on the food ecosystem. No matter where in the world you live, chances are you have seen the sales of home delivery and cook-at-home items skyrocket, and shoppers’ attitudes towards drink and food shift from stockpiling to comfort food and binge drinking.
The headline “Americans drop kale and quinoa to lock down with chips and Oreos” that Bloomberg wrote on 21st March summarised the sentiment in the market at the time the Covid-19 crisis hit the world. The feeling, however, was short-lived.
Two months on it’s clear that the ‘new normal’ gradually settles among consumers and lifestyle choices are once again taken the lead in the purchase of food and drink.
What strikes me the most is to appreciate the world has surrendered to Covid-19, and that this new era has become somewhat of a boon to the challenger brands with health-supporting products on the market: sales of immunity-boosting drinks like orange juice and probiotics, for example, have gone up between 20%-40% in this period.
The investors’ appetite also dropped in the early days of the crisis, but the swing of investments we now see, from private equity to crowdfunding, is slowly returning to pre Covid-19 levels.
“This new era has become somewhat of a boon to the challenger brands with health-supporting products on the market”
The crowdfunding success the British maker of no added sugar, vegan and vitamin-packed ice cream Perfect World achieved with its campaign on Seedrs in May is a testament to the positive mood on the fundraising front. This is particularly true when a brand and its proposition addresses a niche audience.
The consumers’ behaviour we have seen emerging amid the global Covid-19 lockdown is a beacon of hope and heralds opportunities that lie ahead for ‘better-for-you’ food and drink brands.
These have been unprecedented and turbulent times for everybody, but the time has come to look forward and seize the good that awaits on the horizon.