Who’s on top?

Lab-grown meat has potential but it’s not yet ready for prime time, says Jo-Ann McArthur, president of Nourish Food Marketing in Toronto. “It’s going to be quite niche for a while because it doesn’t really have any proven commercial viability.” In Canada, it will likely show up first in fine dining restaurants to build cachet and interest early adopters and influencers.

She adds consumers will have to be convinced the process makes meat in a more beneficial way than traditionally raised beef, for instance. It may be easier for consumers to support sustainably raised, certified humane or grass-fed beef.

On the other hand, “consumers have been very accepting of vertical farming,” which McArthur describes as more of a tech play than a traditional farming play. As well, younger generations tend to be open to the marriage of science and food. “They understand that science is probably going to be a big part of feeding the world,” in the future, McArthur says.

Getting the name right will be another critical step, she says. Terms like “labgrown” or “cellular meat” are not consumer-friendly, while “cultivated” or “clean meat” are.

Advocates of the technology should also learn from the poorly handled launch of GMOs, says CFIN’s McCauley. Communication and education will be key in avoiding consumer confusion.

Somogyi notes that research suggests cultivated meat produces about onethird of the carbon-dioxide of beef production. In addition, “the speed at which the energy efficiency of cultivated meat is becoming more efficient is far greater than the efforts at making conventional meat more efficient.”

He forecasts that by 2030, conventional meat production could lose 20% of its market share to cultured meat and plant-based meat replacements.

The first lab-grown meats will be in the form of chicken nuggets or hamburgers that will be sold in the frozen section of grocery stores. Once the technology can mimic steak and other meats, “I would suspect it is likely to be sold next to conventional meat,” says Somogyi.

McCauley says it could take 50 years before lab-grown meat results in a major shift in agriculture. “I don’t think it’s the end of farming or the end of going to a steakhouse. That behaviour is ingrained culturally in Canada.”

New Deloitte report reveals the world’s biggest retailers

IT’S BEEN QUITE a year (or two), but despite ongoing disruption, global retail remains resilient.

The total retail revenue of the top 250 retailers around the world grew by 5.2% to US$5.1 trillion in fiscal 2020 (July 1, 2020 to June 30, 2021), according to Deloitte’s new Global Powers of Retailing 2022 report. That’s up from 4.4% growth in the previous period. However, 69 companies reported declining sales, 14 more than in the previous year.

“Despite a year of economic fits and starts, retail appears to be on an upward trajectory, with innovation in digital and sustainability as exciting bright spots in the face of the disruption and uncertainty,” said Evan Sheehan, Deloitte’s global retail, wholesale and distribution leader, in the report. “Unfortunately, churn is likely to stick with us for a while, so anticipating customer needs has never been more critical. The retailers that can get consumers what they want, where they want it, and when they want it will be the ones that continue to win—no matter where they operate.”

The top three global retailers all held on to their spots: Walmart is No. 1, with US$559.15 billion in retail revenue, followed by Amazon (US$213.57 billion), and Costco (US$166.76 billion). Other grocery, pharmacy and mass merchandise retailers in the top 10 are Kroger at No. 6 (US$131.62 billion), Walgreens Boots Alliance at No. 7 (US$117.7 billion), Aldi in the eighth spot (US$117.04 billion), and Target at No. 10 (US$92.4 billion).

What makes the top three tops? Walmart’s 6.7% revenue growth was fuelled by growth in comparable store sales, along with a rapid rise in e-commerce sales. The report notes that U.S. e-comm sales grew by 79%, as Walmart made significant investments in this space. At No. 2, Amazon achieved the highest retail revenue growth among the top 10. Retail revenue (first-party retail sales only) soared by 34.8% as consumers did more online shopping during the COVID-19 pandemic. However, the report notes that higher demand was partially offset by fulfillment network capacity and supply chain constraints. In third place, Costco’s retail revenue was up by 9.2%, driven by an 8% increase in comparable sales, along with new warehouse openings, including nine in the United States and one in Canada.

How did Canada’s “big three” grocers fare? Loblaw ranked 25th on the top 250 list, with US$38.66 billion in retail revenue, up six spots from the previous fiscal year. Empire landed at No. 50 with US$21.58 billion in retail revenue, up five spots from the previous period. Metro is No. 79, with US$13.37 billion in retail revenue, up five spots from the previous period.

Also are on list: Alimentation Couche-Tard, which landed at No. 88 with US$12.11 billion in retail revenue; and Save-On-Foods, which holds the 201st spot with US$5.48 billion in retail revenue. CG

canned tomatoes

Great taste plus love of Italian cuisine elevates premium tomato products

With home-cooking increasing exponentially in the last few years, consumers are looking for ways to elevate their standard fare with great-tasting ingredients. Premium canned tomatoes offer an easy way to improve flavour in everything from stews and sauces to pizza—and they’re available year-round. Here’s why consumers are looking to premium tastes for their canned tomatoes.

Authentic Italian gaining favour

Not only is Italian-inspired cooking on the rise, the preference for authentic Italian products, rather than just Italian-sounding ones, keeps increasing as consumer opt for healthy foods. Canned tomatoes are no exception. The research shows that consumers perceive made-in-Italy products with better quality and craftmanship, and are willing to pay a premium for it.

Pizza sauce on the rise

Pizza is one of those Italian-inspired foods that Canadians have gravitated towards throughout the pandemic. According to market research from NielsenIQ, more than three-quarters of Canadian households bought some sort of do-it-yourself pizza last year, and the pizza sauce category enjoyed tremendous growth in 2021.

Indulging at home

It’s been a long pandemic and shoppers are ready to treat themselves. “Consumers have been missing that restaurant experience being limited to take-out during the pandemic, so they want to replicate that special meal,” says Laura Dal Bo, Director, Marketing, Communications & Import Brands at Italpasta Ltd., the exclusive importer of Mutti tomato products. “They’re looking to make economical meals feel more special with the addition of indulgent ingredients.”

Fresh-tasting tomatoes year-round

Consumers are discovering that a good, canned tomato can be used in a variety of ways and is often more flavourful than fresh in winter months. With good manufacturing practices, tomatoes are very well preserved by canning as their colour and overall quality remains intact. Given that grocery shoppers like to be inspired with meal ideas, grocers are encouraged to pair canned tomatoes with other meal prep ingredients such as meats, pastas and dairy. Beyond Italian fair, canned tomatoes can fit into a wide range of other world cuisines, too. “Putting pairings together on display saves time for the consumer and increases basket size,” says Dal Bo. “We’re seeing a lot of experimentation through different flavours and that’s one of the key reasons that Mutti launched its new Pizza Classica—to give consumers the option to get creative with their spices, yet still enjoy an authentic Italian pizza at home.”

Product Spotlight

Mutti Organic Range, made from 100% Italian tomatoes, has a bright red colour and intense flavour. Like all Mutti products, tomatoes are processed at peak ripeness and packed within 24 hours of being picked to ensure a fresh taste. Great pizza combines fresh ingredients, a great dough and an excellent sauce. As a base for homemade pizza, Mutti Pizza Classica gives consumers that authentic Italian pizzeria taste to enjoy from the comfort of their home.