PMA s&h FinalReport 03062020 RH

THE FUTURE OF GLOBAL PRODUCE CONSUMPTION

OVERVIEW

2020

To all the valued members of the Produce Marketing Association,

As PMA continues its vision to grow a healthier world, one of the ways we will accomplish this is by arming you with the latest understanding of consumer behaviors and attitudes to guide your business strategy and tactics as well as uncovering the larger influence global cultural movements impacting the fresh produce and floral industry.

Developed in collaboration with the cultural agency sparks & honey, this series of reports identifies five global shifts, how these macro shifts are manifesting, how they will evolve in the future, and their impact on our industry. A very special thank you to the PMA volunteer member leaders, past and present, from around the world who contributed their perspective to bring color, context and candor to this report for their fellow PMA members.

Culture never stops evolving, not even during a pandemic.

Macro trends evolve slowly and create seismic, lasting cultural shifts. I would encourage you to ponder, question and contemplate each chapter of the report. Ask yourself - what are the implications - good or dire - for my business and industry. Please spend time with the insights provided and explore them further with your teams and peers for deeper discussion.

I am glad you are investing time to explore the future. You are a vital part of it and as always, PMA is here to help.

Lauren M. ScottChief Strategy & Membership Officer

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Lauren M. Scott Chief Strategy and

Membership Officer

Copyright © 2019 Sparks & Honey. All Rights Reserved.

Guiding Question

WHAT ARE THE GLOBAL SHIFTS IN CULTURE THAT WILL IMPACT THE GROWTH AND CONSUMPTION OF PRODUCE?

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Project Objective

Explore the cultural shifts impacting and shaping culinary culture, new cultural semantics in food marketing, emerging technology that will influence the growth and consumption of produce. Identify opportunities for the produce industry to grow & thrive within thisbroader context.

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Mine over 41 million signals* in our cultural intelligence platform (QTM) to illuminate signals, expert opinions, and key cultural trends from shaping the growth and consumption of produce.

Interview five members of our Advisory Board for expert insight and context on areas ranging from packaging to food waste, precision nutrition to marketing.

Methodology

Cultural Listening Cluster Analysis Shift Contextualization Implications & Recommendations

Identify considerations, implications and early signals of change that can inform strategies across PMA’s different functional areas.

Develop these ~5 shifts resulting from the analysis of coalescing of mega- and macro-trends and synthesized through an evidence-based narrative (Q TM outputs, expert insights, semantic analysis, patents/startups and more) that can clearly outline threats and opportunities, and inform priorities for PMA.

Identify dominant trends, commonalities, and connections across the top 20-30 Elements of Culture from within our trends taxonomy - landing on the ~5 trend clusters that represent larger critical shifts impacting the category.

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WE USE TECH-LED CULTURAL INTELLIGENCE TO HELP ORGANIZATIONS UNDERSTAND AND TAKE ADVANTAGE OF ACCELERATING CHANGE

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Copyright © 2020 Sparks & Honey. All Rights Reserved. 7

PatentsAcademiaStartupsMarkets

Search

Social

Reviews

Music

Video

TRANSLATING CULTURE INTO STRUCTURED DATA We do this by leveraging our system, QTM which synthesizes human and machine intelligence, sifting through the signals of culture and categorizing them against our proprietary taxonomy and scoring algorithms.

Vertical

Cultural Intelligence Platform


newspace age

forest bathing

disasterdesign

air rights

long view

adaptivedesign

augmented reality rights

alternativeproteins

cellularlabriculture

digitalimmortality

maximalism

open

magic

background asforeground

absurdism

infobesity

augmentedintelligence

deeppersonalization

timepoverty

noah’sarchive

extremesafety

artletics

immersive

marketfragmentation

sleep asfoundation

outsiderswelcome

tech drugs

droneeconomy

neo-celebrity

defictionalization

beauty rx

supermoney

enterpriseincubators

brand civilservants

humanpremium

moodgeisting

brandactivist

tabootoppling

play

raw

low rez

ephemeral

outsiderswelcome

biomimicry

deathpositivity

premiumfriction

realitymanipulation

neural

reskilling

technomaladies

memorymanagement

foster tech

self-sustainingenergy

eco hacking

simplexity

mixed reality

crossculturalism

majorminorstones

edible tech

extrasensory

imperfect

visceral

femalegaze

unbanking

socialshopping

digital detox

wellnessdesign

warm tech

clean

life logic

wastepositive

predictivesystems

aspiration

flattening

new sobriety

shadowworld

constantconnection

micro tribes

access economy

corporatecoin

C

frictionless

smallscaling

singletons

privacy rights

extremism

smart

longevity

hack life

powerwoman

mindmanagement

anti-science

datadivinity

newsemantics

crowdeconomy

newmasculinity

hyperculture

unfree

information inequality

ancientwisdom

refreshedclassics

snack media

blurred ID

sustainability

radicaltransparency

ageism

shifting soils

urbanization

globals

work shift

self made

distributedtrust

microeconomies

squealing

modernfamily

provenance

mashup

robotseverywhere

unmoney

trolling

quantifiedlife

kidult

moralimperative

income gap

lifeextension

third act

livingmatter

unmoney

super human

nano

bottomless wellness

A compass to navigate change• A living taxonomy of mega

and macro trends

• Enables the analysis of the“what” and the “why,” microand macro

• A springboard for deeperresearch and scenario planning

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The Elements of Culture

Adriëlle Dankier Commercial Director, Nature’s Pride

The Netherlands

Paul MastronardiPresident & CEO of Sunset Produce

Canada

Miles ReiterCEO of Driscoll’s

United States of America

Ted TaylorHead of New Ventures & Business

Development of Taylor Farms United States of America

Tommie van Zyl CEO of ZZ2 South Africa

Patrick VizzoneInternational Head of Food, Beverage &

Agribusiness, Head of Hong Kong Coverage, ANZ Banking Group

Hong Kong

Expert Contributors Global Produce Industry Leaders



Expert Contributors Select Members of Sparks & Honey Advisory Board

Shen Tong Entrepreneur & Investor, Environmental

Activist, Speaker

Megan Burritt Food Entrepreneur, Value Chains & Sustainability Consulting, Speaker

Dr. Sunita Maclaren Co-Founder, Metakura, Pioneering Safe

Therapies In Energy Metabolism

Victor Penev Nutritional Data Scientist, Food

Tech, Investor, Speaker

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Dr. Nathan Walworth Climate Scientist, Experience Designer, Co-Founder of NEXUS Futurism Group

and CôVALENCE


Our cultural intelligence system QTM draws from a wide universe of historical signals to surface cultural insights through data, clustering and pattern matching

41 million+ signals accessible inthe QTM interface, with 100-150K new signals added daily

700K+ signals identified in secondsto develop quantitative insights on core consumer-facing global topics

70+ Elements of Culturequantified to offer structure and qualitative metrics

10 sparks & honey AdvisoryBoard members and category expert guidance

5 shifts produced through patternmatching process, augmented with machine insights

QTM, sparks & honey’s Cultural Intelligence System automatically map

shifts within the platform

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5 Global Shifts Impacting the Future

of Produce

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Source: QTM

Elements of Culture new

space age

forest bathing

disasterdesign

air rights

long view

adaptivedesign


alternativeproteins


digitalimmortality

maximalism

open

magic


absurdism

infobesity


deeppersonalization

timepoverty

noah’sarchive

extremesafety

artletics

immersive

marketfragmentation

sleep asfoundation

tech drugs

droneeconomy

neo-celebrity

defictionalization

beauty rx

supermoney


brand civilservants

humanpremium

moodgeisting

brandactivist

tabootoppling

play

raw

outsiderswelcome

deathpositivity

premiumfriction

realitymanipulation

reskilling

technomaladies

memorymanagement

foster tech


eco hacking

crossculturalism

majorminorstones

edible tech

extrasensory

femalegaze

unbanking

socialshopping

digital detox

wellnessdesign

warm tech

wastepositive

predictivesystems

aspiration

flattening

new sobriety

shadowworld

constantconnection

access economy

corporatecoin

C

smallscaling

singletons

privacy rights

extremism

smart

longevity

powerwoman

mindmanagement

anti-science

datadivinity

newsemantics

crowdeconomy

newmasculinity

hyperculture


ancientwisdom

refreshedclassics

snack media

radicaltransparency

ageism

shifting soils

urbanization

self made

distributedtrust

microeconomies

squealing

modernfamily

provenance

robotseverywhere

trolling

quantifiedlife

kidult

moralimperative

income gap

lifeextensionthird act

livingmatter

unmoney

bottomless wellness

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Source: QTM

newspace age

forest bathing

disasterdesign

air rights

long view

adaptivedesign


alternativeproteins


digitalimmortality

maximalism

open

magic


absurdism

infobesity


deeppersonalization

timepoverty

noah’sarchive

extremesafety

artletics

immersive

marketfragmentation

sleep asfoundation

tech drugs

droneeconomy

neo-celebrity

defictionalization

beauty rx

supermoney


brand civilservants

humanpremium

moodgeisting

brandactivist

tabootoppling

play

raw

outsiderswelcome

deathpositivity

premiumfriction

realitymanipulation

reskilling

technomaladies

memorymanagement

foster tech


eco hacking

mixed reality

crossculturalism

majorminorstones

edible tech

extrasensory

imperfect

femalegaze

unbanking

socialshopping

digital detox

wellnessdesign

warm tech

wastepositive

predictivesystems

aspiration

flattening

new sobriety

shadowworld

constantconnection

micro tribes

access economy

corporatecoin

C

frictionless

singletons

privacy rights

extremism

smart

longevity

powerwoman

mindmanagement

anti-science

datadivinity

newsemantics

crowdeconomy

newmasculinity

hyperculture


ancientwisdom

refreshedclassics

snack media

blurred ID

radicaltransparency

ageism

shifting soils

urbanization

self made

distributedtrust

microeconomies

squealing

modernfamily

provenance

mashup

robotseverywhere

trolling

quantifiedlife

kidult

moralimperative

income gap

lifeextensionthird act

livingmatter

unmoney

super human

bottomless wellness

28 Topically Relevant Elements of Culture for the Produce Industry

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Climate Adaptation

Five Interconnected Shifts Point To Future Scenarios For the Future of Produce Consumption

wastepositive

wellnessdesign

eco hacking

The devastating effects of climate change are having major impact on the environment, as issues of water scarcity, soil depletion, pollution, carbon emissions, and biodiversity loss continue to threaten human health and the global food supply. As such, a significant challenge for brands, institutional and government leaders will center on the need to balance the growing demand for produce with the future of the environment.

Globalization 4.0

life logic

globalsancientwisdom provenance

simplexity flattening

Under the rising tide of economic nationalism and global trade wars, the concept of globalization is evolving as we know it. Today’s growing shift towards multi-localism means that brands and institutions will need to radically re-engineer their supply chains, shifting towards locally-sourced and personalized food products which align with consumers’ changing preferences for hyper-local flavors and ingredients.

Population Diversification

mindmanagement

livingmatterclean

longevityquantified

life

Today, a growing number of personalized eating regimens are surfacing to reflect consumers’ changing lifestyles and dietary needs. As aging populations in the west opt for healthier, nutrient-dense options, a growing swath of young and middle class consumers are subscribing to a ‘wellness’ mindset which motivates them to seek fresh and organic. More than ever, consumers are leaning into functional ingredients, microbiome-friendly meals and plant-based fare, which all satisfy a range of needs.

Precision Technology

edible tech simplexity

raw hack life

biomimicry

nano

Science, technology, economics, and consumer demand are aligning to create a future in which advanced technologies are used to improve food production, retail and commerce, as well as optimize human health and agricultural performance. With looming threats of food shortages and resource scarcity, food biotechnology is becoming a favored solution to solve a number of issues, from the climate crisis, to obesity.

Accelerated Urbanization

timepoverty hack life

wellnessdesign work shift

The rapid growth of mega-cities and urban populations is changing the way people live, eat, grow and shop for food. As urbanization drives demand for fresh produce and simultaneously displaces large tracts of farmland, innovations in retail and agriculture will also reshape the entire produce landscape, with people opting for more local options in uber-convenient formats.

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EOC clusters with definitions

Globalization 4.0 Global and local zones of influence are converging to inspire new flavors and ingredients.

simplexity

life logic

provenance

ancientwisdom

globals flattening

People are migrating, traveling and moving to farther horizons

Leveraging the interconnected ecosystem of life

People are preserving and celebrating history and heritage

Democratization resulting in homogenization of culture, gender and economy

People are turning to traditional ingredients and spiritual practices, including pagan

spirituality and mystical influences

The art of hiding complexity—imagined, crafted and executed with great care

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longevity

mindmanagement

livingmatter

cleanquantified

life

A fixation on purity in experience, output and ingredients

People are living longer, more vital lives and being kept alive

People are focused on mental health to achieve overall health, especially

during times of high stress

Creating and redesigning products and experiences to put visual enjoyment first, while changing behaviors due to constant surveillance

People are self-monitoring; personalized medicine; citizen doctor

People are embracing the microbial world along with

new organic ecosystems

Population Diversification Shifting global demographics and social factors are driving demand for personalized eating regimens.

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raw

simplexity

nano

biomimicry

edible tech hack life

Science and tech that can be ingested, and/or science and tech to modify and manufacture new foods

and sustenance

Raw, pure and unrefined experiences, places, people and things

The art of hiding complexity—imagined, crafted and executed with great care

People are exploring the universe’s smallest elements, as well its biggest

People are making new choices, breaking stereotypes and expectations

Design that copies nature or is inspired by natural forces, behaviors, patterns

and structures

Precision Technology Advancements in biotech, AI and robotics intelligence are revolutionizing the future of food.

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wastepositive

wellnessdesign

eco hacking

urbanization

People are struggling with resource shortages, seeking alternatives

A drive and desire to eliminate or repurpose waste to create new things

People are living on new land due to desertification, flooding, deforestation, dams and mining

People are moving to cities, and megacities are building up

Hacking nature in sophisticated and ingenious ways for specific purposes, by

harnessing or manipulating natural processes

Products, spaces and experiences designed for physical or mental

wellbeing and health

Climate AdaptationThe numerous effects of climate change will continue to impact and reshape the global food supply.

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work shift

hack life

wellnessdesign

timepoverty

urbanization

People are struggling with resource shortages, seeking alternatives

People are working in new ways, new places and different times

People are making new choices, breaking stereotypes and expectations

A drive and desire to eliminate or repurpose waste to create new things

People are moving to cities, and megacities are building up

Increasingly busy work and personal schedules are repositioning time as the

most valuable resource

Accelerated Urbanization Global urban centers of the future will drive new consumption patterns and ways of living.

20

timepoverty hack life

wellnessdesign work shift

livingmatter

edible tech simplexity

biomimicry nano

quantifiedlifelife logic

mindmanagementclean

longevity raw

globalsancientwisdom provenance

simplexity flattening hack life


Shift scoring highlights the distribution of today’s cultural conversation around produce

Climate Adaptation

The devastating effects of climate change are having major impact on the environment, as issues of water scarcity, soil depletion, pollution, carbon emissions, and biodiversity loss continue to threaten human health and the global food supply. As such, a significant challenge for institutional leaders will center on the need to balance the growing demand for produce with the future of the environment.

wastepositive

wellnessdesign

eco hacking31% OF THE CULTURAL CONVERSATION

The rapid growth of mega-cities and urban populations is changing the way people live, eat, grow and shop for food. As urbanization drives demand for fresh produce and simultaneously displaces large tracts of farmland, innovations in retail and agriculture will also reshape the entire produce landscape, with people opting for more local options in uber-convenient formats.


20% OF THE CULTURAL CONVERSATION

Precision Technology


Science, technology, economics, and consumer demand are aligning to create a future in which advanced technologies are used to improve food production, retail and commerce, as well as optimize human health and agricultural performance. With looming threats of food shortages and resource scarcity, food biotechnology is becoming a favored solution to solve a number of issues, from the climate crisis, to obesity.

Population Diversification


Today, a growing number of personalized eating regimens are surfacing to reflect consumers’ changing lifestyles and dietary needs. As aging populations in the west opt for healthier, nutrient-dense options, a growing swath of young and middle class consumers are subscribing to a ‘wellness’ mindset which motivates them to seek fresh and organic. More than ever, consumers are leaning into functional ingredients, microbiome-friendly meals and plant-based fare, which all satisfy a range of needs.

Globalization 4.0


Under the rising tide of economic nationalism and global trade wars, the concept of globalization is evolving as we know it. Today’s growing shift towards multi-localism means that brands and institutions will need to radically re-engineer their supply chains, shifting towards locally-sourced and personalized food products which align with consumers’ changing preferences for hyper-local flavors and ingredients.

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- AI & robotics &machine learning

- Predictive analytics- GMOs- Food safety & security- Precision nutrition- Big tech- Flavor enhancement- GMOs- DNA kits- Microbiome health- Precision targeting- Cellular labriculture

- Ancient grains- Indigenous foods- Safety & recalls


Identification of topics driving the cultural conversation around our global shifts

- Carbon emissions- Water scarcity- Pollution- AgTech- Deforestation- Soil health- Labor practices- Food waste- Packaging- Ethics & Sourcing- Circular economy- Vertical farming &

hydroponics- GMOs

Source: QTM 2020

- Ethicsglobals

- Trade tariffs &sanctions

- Protectionist policies- Global flavors &

ingredients

- Politics & economicnationalism

- Food sovereignty

- Aging populations- Growing middle class- Keto diets- Plant babies- Microbiome health- Global migration

patterns- Personalization- Biodiversity- Organic- Gluten-free- Plant-based proteins &

veganism

- Retail innovation- Last mile delivery- Growth of megacities

& urban centers- Food security- Local food movement- No-prep meals- Shifting migration

patterns- Food safety- Growing middle class- Vertical farming &

hydroponics

Climate Adaptation


Precision Technology Population Diversification

Globalization 4.0

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For more information, contact our consumer trends expert:

Eileen O’LearyInsights & Analytics Director +1 (302) [email protected]

Thank you.

PMA s&h FinalReport 03062020 RH

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