Millennials And Mergers: How Food Manufacturers Should Respond To The Changing Food Industry

The article discusses the impact of mergers and acquisitions in the food industry and the changing consumer landscape, particularly with the rise of millennials and Generation Z. These younger consumers are less brand loyal, tech-savvy, active on social media, and prioritize factors like food origin and sustainability. Traditional food companies have been slow to adapt to these changes, creating opportunities for smaller companies to deliver niche products and disrupt established categories. When acquiring smaller brands, food manufacturers should carefully consider their processing strategy, including options such as operating out of existing plants, integrating manufacturing processes into current campuses, or partnering with co-packers. It's important to assess efficiency, scalability, and potential impacts on product quality. Being nimble and responsive to the marketplace is crucial, and companies should build flexibility into new facilities and renovations to accommodate changing consumer demands. The article suggests working with fully integrated design-build firms for faster project execution and informed decision-making. Choosing a partner with market expertise is emphasized for accurate estimates and successful outcomes.