The industry spotlight has recently shifted to IFF with its recent announcement on the opening of its new Innovation Centre in Singapore, which is also the first in its global network of research, creative and application centers to integrate the technologies, capabilities and expertise of all 4 business divisions namely Nourish, Health & Biosciences, Scent and Pharma Solutions.
This new centre is also IFF’s largest in the region, signifying the group’s commitment to this part of the world.
AFBR has the opportunity to interview Michelle Lee, Regional Marketing Leader, Greater Asia, IFF to gain more in-depth insights on IFF and its proprietary solutions for customers to assist them in their New Product Development (NPD) efforts, while at the same time offers them a better understanding of consumer trends.
The following are excerpts of the interview with her:
Can you elaborate further on IFF proprietary solutions and how they can assist customers in their NPD efforts and understanding of consumer trends ?
Consumers today are ‘finding their way’ up the value chain, paying greater attention to the ingredients used in food and drinks. Food and beverage (F&B) manufacturers are hard pressed to anticipate emerging trends and how to better meet changing consumer expectations.
The reality however is that it is tough to predict the future of food. Some food trends have been prevalent for so long that they may sometimes result in ‘tunnel vision’ or lead to the birth of too many ideas that dilute the focus of innovation. That is why early, and precise trend detection is imperative. Detecting early signals in the market empowers food flavors and ingredient manufacturers to respond to trends with agility and to ensure that food solutions are built to meet consumer aspirations and customer needs accurately.
IFF’s PANOPTIC is a proprietary tool that affords a 360°, outside-in and inside-out approach to deriving consumer insights. It tracks
(a) Market & Sensorial trends in the short term (0 – 3 years) – Changes in the market, consumer experiences and sensorial expressions
(b) Lifestyle trends in the mid- to long term (3 – 5 years) – Changes in people’s values, needs, motivations, aspirations, and behaviors
(c) Societal trends in the longer term (5 years and beyond) – Macro drivers shaping IFF’s business landscape
By enlisting external trend and foresight partners, advanced analytics, in-house experts, and proprietary research, the PANOPTIC allows us to innovate and make strategic decisions creatively through a shared understanding of the most influential trends re-shaping the world.
Once the PANOPTIC has identified the right consumer insights and trends, these are then funnelled into the broader IFF PRODUCT DESIGNTM process which guides customers onto the definition of the opportunity, ideation, and innovation, concept validation and finally, commercialisation.
Proprietary tools in sensory and consumer science, market intelligence, future trends analysis, consumer segmentation, bolster the overall process. These pave the way for faster product development and higher predictability of success with consumer-relevant product differentiation.
How do these solutions adapt to the specific requirements of Asian customers?
What the PANOPTIC and IFF PRODUCT DESIGN frameworks do for customers are to offer a strong understanding through market insights around flavors, texturizing, protein solutions, probiotics, sensory capabilities, etc., hyper customized solutions that address individual customer needs, and a stronger position from which customers will enjoy commercial success later on.
The PANOPTIC is especially useful for Asia which features a multitude of cultures and palates. Consumers in different parts of the region can be driven by very similar yet different preferences. The PANOPTIC distils, defines, and nuances these differences.
What does IFF foresee to be the top consumer trends for 2023 in ASEAN which will affect customer business in this part of the region ?
These are some of the key trends and opportunities we see continuing into 2023.
Redefining Value
Post Covid-19, people are now looking for both indulgence as well as affordability. In the wake of several socioeconomic and inflationary pressures, pocket-friendly meals have gained more public preference. F&B manufacturers, backed by innovation & insights, have the tools to tackle this paradox.
This is especially so in ASEAN, where the diversity of taste is vast and the need to consume affordable foods is also rapidly rising. To meet the consumer demands of affordable nutrition, organizations now need to focus on redefining value, leveraging innovative approaches such as IFF’s PRODUCT DESIGNTM, which provides support from conceptualization to commercialization of a product.
Plant-based / alternative proteins
Home to 60% of the global population, Asia presents immense opportunities for plant-based foods to complement traditional protein sources. The Asia-Pacific plant-based food and beverage market for one is projected to grow at a CAGR of 9.45% from 2021-20281.
Consumers have become more health and environmentally conscious of their food choices. With rapid population growth, plant-based foods will play a role in fulfilling future nutritional needs and food systems. F&B manufacturers have the power to rethink food design and production, as well as the ingredients used, to create ‘better for people and planet’ options.
Personalized nutrition
People are now more than ever conscious about their overall health and wellness. They are now focused on consuming products which provide nutrition and boost immunity. This global personalized nutrition market is projected to reach US$64 billion by 20402, with Asia expected to undergo significant growth. Aside from seeing a greater appreciation for healthier foods, better fitness and better mental wellness, there is an increasing demand for customized health and food experiences and convenient services.
There is today also a higher availability of people’s health-related data and acceptance of new digital solutions. In addition, the ageing population in Asia and prevalence of lifestyle-related diseases (NCDs) are some of the main factors driving the growth and opportunities in this space.
What makes IFF proprietary solutions unique and why should customers consider IFF seriously as their valuable partner?
To stay ahead of the competition, F&B manufacturers need food solutions that promise convenience and value more than just single ingredients and complex in-house formulations. Businesses also need ingredient partners who are agile, commercially savvy, and well-networked.
Coming back to our design philosophy, we do not just chase trends. We study and let the insights define what will drive our innovation process and concepts. Co-creation is also important to us. We work closely with our customers end-to-end, to create market- ready solutions and recipes.
Our success is built on a foundation of research and development, where our experts are constantly working on broadening the portfolio of flavors and ingredients, introducing cutting-edge processes that ensure the highest quality ingredients, and delivery systems. Few food flavors and ingredients manufacturers today are equipped to offer the scale, expertise, experience, and capabilities that we possess.
Can you briefly elaborate on how IFF new Innovation Center in Singapore can play a more active role in reaching out to customers in this region?
IFF’s new Innovation Center in Singapore is the first in its global network of research, creative and application centers to integrate the technologies, capabilities, and expertise of all 4 business divisions: Nourish, Health & Biosciences, Scent and Pharma Solutions.
Having all “under one roof” means proximity to our customers across Greater Asia, which enables us to co-create and transform ideas into targeted solutions that address emerging consumer needs and global trends with greater agility and speed-to-market.
Today, we provide our customers with end-to-end product design capabilities from consumer sensory and cognition intelligence to industry scale-up expertise.
For example, if we take a functional yogurt and dairy beverage, we can provide expertise in consumer intelligence, recipe design, color, aroma, taste, texture, functional ingredients, sustainability, and long shelf life – all under one roof – which few in the market are able to provide.
