Alteration in consumer food behaviour due to Covid-19 in India

Since Coronavirus hit the world, the world has seen a huge change in the way consumers shop and consume. From impulse buying to essential shopping, there has been a trend of careful spending. 

A similar trend has also been witnessed by the food and beverage industry. 

During the post-covid era, we saw a surge in outdoor dining which has now again, due to the second wave, come to a standstill. The combination of having to cope with increased demand, paired with restrictions on manufacturing and regulation processes has made it very difficult for everybody – from the producer to the consumer. 

Mr Akshit Gupta, Director at Asha Ram & Sons, presents his views and thoughts on the changes in the trends in the food and beverage industry.  

How has Covid changed the food and beverage industry? 

As many as 85% of consumers in India are shopping more health-consciously and are also focussing on limiting food wastage. Having said that, the F&B industry accounts for ~3% of Indian GDP. 

To offset the challenges faced due to covid and regain profitability, the industry has been adapting and innovating since. Producers have come up with new offerings, new and healthier recipes while maintaining hygiene protocols to gain loyalty. 

Changing and Upcoming Trends in Food Consumption: 

Akshit tells us how he and his clients have been viewing changes in consumer preferences. Some of the changes are:  

1. Organic is the new way of living: Sustainability and going organic is not just a fad term for business owners now, but an absolutely necessary path to be taken. Choosing unadulterated food in its purest format is the trend. To support the consumer needs, we have been on a trail to source the purest and healthiest ingredients from over the world. 
2. Check on detailed nutritional information: Considering that the pandemic has caused a negative effect on immunity, consumers have become more concerned about the contents of each packaged food and want to know whether or not an ingredient is an allergy-causing agent. Owing to this fact, businesses now have to be transparent and declare the contents very clearly along with their nutritional facts.
3. Shift to plant-based meals: Sales of foods like plant-based milk/proteins has topped $3.3 billion over the past year. The choice of a vegan diet and quick adaptation has also given the opportunity to a lot of restaurants to tweak their offerings with vegan options. 
4. Shift to artisanal, local baked goods: Catering to the fact that safety is important, there has been a rise in local bakeries with artisanal products which emphasise the safety steps by producing small fresh batches every day. This has led to an increase in sales of such bread and other baked goods which are not only different in taste but also come from struggling chefs and bakers, who have now got the chance to fly high. 

Despite challenges like lockdowns and guest restrictions for restaurants, the industry has been on its front foot to innovate and cater for the ever-changing needs of consumers. We at ARS too are continually on the lookout for new and better ways to serve our clients with the healthiest ingredients and anything that they need to fulfil their needs.