AFRICA HOSPITALITY WEEK 24 – 26 JUNE 2018 GALLAGHER CONVENTION CENTRE
FLAVOURS SHAPING
THE FOOD LANDSCAPE
While natural flavours are growing in demand, they are ten times pricier than their synthetic counterparts. Fig is Firmenich’s flavour for 2018. When determining major trends like this, Marco says they look to various other industries, including fashion, and what is trending locally and internationally. Interestingly, colour impacts consumers’ experience of flavour, with lighter coloured food items seen as having less strong flavour.
Bruce Cohen and Marco Monteiro
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he world of flavours is huge, with around 30 flavour houses present in South Africa, most of which are giant multinationals. Bruce Cohen, editor of Food & Beverage Reporter opened his session positioning Firmenich South & East Africa’s MD Marco Monteiro as head of the third-largest flavour house in the world. They represent some of the most notable flavours and fragrances in myriad everyday food and non-food items and although the critical factor for consumers, make up only 0.05 to 0.1% of the formulation of a product and are usually referred to as simply “flavouring”. Consumers are looking for better tasting products with more nutrition, says Marco, and this is where flavour is so important. Foods that are lower in sugar, salt, MSG and fat still need to be tasty.
Marco’s trends to watch include: • Millennials are adventurous and want flavours outside of the norm • Street food is coming into a retail offering • Cooking shows on TV impact consumer demand • Mix of local and international flavours to create new and interesting combinations • Flavours from across Africa, such as fermented fish and river fish from West Africa mixed with cardamom and chilli • Flavourings to improve or mask the original taste of nutritious yet less palatable foods such as alternative proteins • New ways to take cost out of the supply chain without losing flavour • Non-GMO and natural flavours are big • Sugar-free • Flavoured water Constant flavour innovation pushes up growth in categories of food and beverages, Marco explains.
DA I LY NEWS
DAY 3 B R O U G H T TO YOU BY
HOSPITALITY LEADERSHIP FORUM DAY 3 PROGRAMME TIMES
TOPICS
10:30
TECHNOLOGY: WHAT DOES THE FUTURE LOOK LIKE? Panelists: Leon de Fleuriot, Head of Kwesé Play, Kwesé | Adam Burt, Area IT director Africa & Indian ocean, Radisson Hotel Group | Gillian Saunders, Deputy CEO, Grant Thornton
11:30
SECURITY & COMPLIANCE: MITIGATING RISK AND EXPLORING OPPORTUNITIES IN A NEW DIGITAL ECONOMY Panelists: Marc Sternberg, Managing director, Spark ATM systems | Tinus Janse van Rensburg, Regional manager cyber security – Africa Cisco | Daniella Kafouris, Associate director: governance, risk & regulatory, Deloitte & Touche | Lucien Pierce, Partner, Phukubje Pierce Masithela Attorneys | Esther McLean, Senior manager, IT advisory, Grant Thornton | Busisiwe Mathe, Director: risk assurance cyber security & privacy PwC
13:00
DIGITAL MARKETING & BRANDING: ATTRACTING TOMORROW’S GUEST TODAY Moderator: Ross Kata, Head of marketing and sales, Legacy Hotels & Resorts Panelists: Annabelle Schreuders, Marketing director, Spier Wine Farm | Tara Turkington, CEO, Flow Communications | Alexis Bekker, Head of sales & marketing, Lux Resorts | Henry Van Der Walt, Digital brand manager, Hyatt Regency | Martin Kubler, CEO, sps:affinity | Kristin Louw, Head of digital product & client strategy, Spark Media
14:45
RECRUITMENT & TRAINING: RETHINKING HUMAN CAPITAL AND RE-ENGINEERING YOUR STAFF TO ‘LIVE’ THE BRAND Panelists: Nokuthula Kamwendo, Director of HR, Four Seasons Hotel, The Westcliff | Peter Thomas, Cluster director human resources SA, Hilton Hotels | Joyce Osborne, Training Manager, Tsogo Sun Academy | Nando Legasa, Group HR manager, AHA Hotels & Lodges | Ashnie Muthusamy, Group manager: transformation, talent and change Sun International | Nancy Gaylard, Director, Not Just Consulting | Gee Ruwona, Director of HR, Hyatt Regency
FOOD LEADERS FORUM DAY 3 PROGRAMME TIMES
TOPICS LEGISLATIVE UPDATE
11:00
OPENING REMARKS BY CHAIR
11:05
SALT REDUCTION – MAINSTREAMING THE ROLE OF REFORMULATION Xolile Mbatha, Research, nutrition and development director, Kelloggs
11:40
PROPOSED FOOD LABELLING REGULATIONS: IMPLICATIONS FOR MONITORING, EVALUATION AND FOOD COMPOSITION Janusz Luterek, Partner, Hahn & Hahn Attorneys THE FUTURE OF INNOVATIVE PACKAGING
12:20
PANEL DISCUSSION: THE FUTURE OF PACKAGING Panelists: Syann Matthee, Packaging specialist group good, Nando’s Group Services | Theo Govender, Acting packaging manager, Coca-Cola Bottling SA
13:00
HOW NEW TRACEABILITY SOLUTIONS WILL SOLVE FOOD FRAUD Speaker: Dr. Hennie Ras, Principle specialist: traceability and operations visibility, IQ Logistica Thentic
13:30 – 14:00
UNCOVERING CRITICAL AREAS IN HALAAL FOOD Moulana Mohamed Saeed Navlakhi, Theological director, South African National Halaal Authority
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AFRICA HOSPITALITY WEEK
DEVELOPMENT AND INVESTMENT OUTLOOK Seven property experts weighed in and predicted the growth of hospitality development going forward. 15. People want to work and live in the same space; this has seen increased investment in developments that combine retail, commercial, and residential components. 16. Hotel owners and operators must invest in technological offerings, making it simpler to make reservations and engage with the hotel. 17. It is essential that owners invest in feasibility studies by reputable third-party consultants. These studies will make it easier to access funds from banks, and provide a realistic timeline for completion, short and long term pipelines, occupancy rates and future financial standings.
Speakers engage on the topic of hospitality investment and development at the Food Leaders Forum at Africa’s Big 7.
1. There is a lot more interest from South Africans investing outside of SA. Regions of particular interest are Mozambique, Zanzibar and Madagascar.
are dominating inter-African travel. Strict visa regulations above the SADC region is putting South Africa on the backfoot.
2. For developers, there is increased demand for short-stay, sectional title apartments.
7. The near future will see softer branding approaches by global brands, as owners embrace flexibility.
3. Individual investors want to get involved in hotel and other hospitality ventures.
8. Investors are looking at growing into tier-two cities, where there is an abundance of untapped possibility. Cities are congested, and visitors are looking for a new experience.
4. African hospitality markets were largely similar 8 to 10 years ago. However, each country’s market has matured and have to be analysed separately. 5. There have been significant positive changes in Zimbabwe and Angola, which are seeing increased foreign investment. 6. Air travel within Africa is becoming easier. Ethiopian and Kenyan airlines
9. Mixed use developments are hugely popular and the current go-to hospitality investment, but many developments have failed due to poor planning. 10. Medical tourism is on the rise, and many mixed-use developments are incorporating medical suites into their offering.
11. Hotels don’t generate enough interest by themselves, they need linkages to popular brands to gain traction; such as golf courses, shopping malls, wellness centres, etc. 12. There has been significant take up of hotel operators wanting to partner with retail brands. 13. Demand for each type of aspect in the mix is helpful for the entire development. The different elements complement each other, but it is crucial that the phasing and unlocking of each element is done carefully. It can take up to 10 years to see balanced returns across all offerings in the mixed-use development. 14. Central Business Districts in Africa need to be developed. Government is taking notice and investing in air hubs, improved roads and infrastructure, etc.
18. Growth is coming from domestic travellers, and local brands are in tune with what today’s travellers want. 19. Construction companies and architects must have hospitality experience. They must have a fundamental understanding of the unique components of how people move and what they want from a hospitality experience. 20. Have more drinks with your bankers! Hotels are risky and banks are hesitant to give loans to an entity that will only show long-term profitability.
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Construction companies and architects must have hospitality experience. They must have a fundamental understanding of the unique components of how people move and what they want from a hospitality experience.
BAKERITE
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AFRICA HOSPITALITY WEEK
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FIVE MINUTES WITH LEAH BESSA Africa’s Big 7 speaker and Co-founder of Gourmet Grubb. What do you believe has been the key change in the F&B sector over the past five years? I think the biggest shift in the food and beverage sector has been the massive health trend that has picked up over the last few years. As a result, food companies have been focusing on both super food ingredients and those that are high in protein. I believe one of the main drivers behind this change is that consumers have become more aware of what goes into the food that they are consuming, as well as what those foods do to their body. This knowledgeable consumer base has created a demand for products and meals that are nutritious and have far less refined ingredients. This has resulted in more alternative food sources being introduced into meals and products across the entire food industry. Where do you see the three key challenges in the industry over the next five years? Sustainability and environmentally friendly farming. The biggest challenge for the food industry is sustainable food production and sustainable food manufacturing. As a result, a
lot of research is going into the unsustainability of traditional farming and food production, and looking for novel farming methods and novel food ingredients that are considered sustainable to produce and less taxing on the environment. Natural ingredients and clean labelling. Consumers are no longer just buying products without reading and researching the ingredients on the label. This has created a demand for products and meals that are honest, nutritious and have far less refined ingredients. This means food manufacturers are going to have to reformulate products to remove all the unwanted additives and fillers that consumers no longer want in their products, whilst still trying to maintain the functionality and taste of their existing products. I believe there is a going to be a massive shift in the eating patterns of meat products. Consumers are looking for appetising meat alternatives that are considered healthier and less taxing on the environment. Plant based protein options are already on the rise, and it is predicted to become even more popular in the near
future. To this point, far more dairy alternatives will enter the market as well, for very similar reasons, as well as animal welfare concerns regarding the farming of dairy cows. The F&B sector is undergoing huge change. What are the three tips you would give for success in the coming five years. Firstly, I’d say take the time to understand your target market. Delve into the things that really drive them as people, and focus on ways to really connect with your target market on a level that makes them feel that you as a company/brand are really serving their needs/desires. Be flexible. The industry is changing at such a fast rate that the only way to remain relevant is to be flexible. Focus on quality. With expenses becoming ever increasing it is tempting for companies to try and cut costs at every corner, but I believe it is important that these cost reductions shouldn’t be at the cost of the quality of the product. Consumers notice these small changes and that’s where you lose their trust and loyalty.
And are there any specific areas in the (sub-Saharan) African F&B market that you believe are unique? The insect market, specifically Mopane worms are incredibly popular in sub Saharan Africa. What I find interesting, is that despite its popularity, it is quite unregulated and not much is understood about it’s economic potential.
Leah Bessa
LATEST F&B TRENDS DISRUPT AND DELIGHT
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he latest food and beverage trends are disruptors of a happy-making kind. Outlining what the hospitality industry and consumers can look forward to next are Christele Chokossa, research analyst at Euromonitor International; Wendy Alberts, CEO of the Restaurant Association of South Africa (RASA); and Raynor Damons, head chef of signature brands at Famous Brands; with Tyron Sharnock from Blendid Frozen Smoothies in Johannesburg moderating. Wendy says major trends reflect the changing attitudes of consumers,
such as health and wellness, as well as restaurateurs looking for ways to meet customer needs in a costeffective manner. She notes the challenges restaurateurs face when retailers create meals under a particular price point, leading consumers to expect a similar cost in restaurants. To survive in this challenging economy, she says restaurateurs are looking at cheaper cuts of meat such as oyster steak; smaller portions and bite-sized foods; decorative plates and plating techniques; and always ensuring value for money. “Restaurateurs are making available products and dishes that
are special and different to those offered by retailers,” she adds. Wendy’s snapshot of what’s in: • Brunch is booming • Mid-afternoon is big • Healthy meals for children • Carb-substitutes • Interesting herbs and spices • Street food • Buddha and poke bowls • Avocados • Local • Organic • Craft and artisanal food and drinks • Exotic products like squid ink • Micro-greens • Signature milkshakes that double as meals • Juicing • Innovative production of ice cream e.g. rolling • Speciality teas • Exciting non-alcoholic drinks • Smaller, interesting crockery and glassware Christele says consumers are increasingly looking for unique restaurant experiences, with valueadded offerings such as craft beer tasting. Halaal cuisine is also growing in demand with more options available. She agrees that wellness and mindfulness are affecting diners’ food
choices and says that social media also impacts trends. “Consumers know what they want – they’re looking for creativity, something new. Local flavours are also popular, such as rooibos,” she explains. Christele says there is a market across the LSMs and budget needs to be taken into account. Africa’s growing use of mobile phones is also a positive for delivery services. Raynor notes that convenience is big and growing and includes a wide range of options that are readyto-eat and pick-up-and-go. On the alcoholic beverages side, he says gin remains popular with the next big thing being rum – “the love drink” – followed by vodka and bourbon. On the food front, he says on trend are: mushrooms; black pepper; sumac; pretzels; sustainable seafood; soft herbs like chervil and tarragon; with Asian cuisine making a comeback and Mexican cuisine in a category of its own. When designing a menu, he says they look at what’s happening in the market locally and internationally, and which drivers are impacting consumer choices, such as delivery systems like UberEATS and Mr D Food. He says a new area for competitive advantage is the choice of packaging when using a delivery service.
Tyron Sharnock, Wendy Alberts, Christele Chokossa, and Raynor Damons. BROUGHT TO YOU BY
04 AFRICA HOSPITALITY WEEK
GROWING A
NUTRITION ECONOMY
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limate change and food security are challenging topics. Locally and internationally they are all-encompassing areas of concern, affecting the entire food supply chain and hitting consumers in poorer countries hardest. Examining the future of food in a changing world is at the heart of the work done by Leigh Hildyard, programme policy officer in the United Nations World Food Programme’s regional office in Johannesburg, and Rose Grealy Kransdorff, CEO of Econocom Foods, owner of e’Pap Technology trademark. Leigh is working with the South African government on linking smallholder farmers to the formal market, including institutional feeding opportunities. Rose has an 18-year track record of building and advocating nutrient replete communities and populations. Leigh says populations need to become part of the solution, with an emphasis on “building resilient communities”. The four areas her work focuses on when looking at markets includes: “availability; accessibility; affordability; and access”. The scope is broad, encompassing community assets such as roads, water and digital and financial literacy. The “Purchase for Progress” (P4P) project in sub-Saharan Africa and Asia recognises that smallholder farmers produce up to 80% of food
that lands up on people’s plates. Extreme weather conditions brought on by climate change among other challenges causes a lot of hardship for these farmers. Storage is a particular challenge, with a large percentage of crops lost at harvest or storage stage due to pests, heat and humidity. This leads to a loss of income as well as waste of water, land and labour during production. In addition to providing assets to communities to combat these issues, P4P also encourages national governments and the private sector to buy food in ways that benefit smallholders. Looking at the challenge from another angle, Rose says that Africa will soon be a continent of two billion people who need to be nutrient replete in order to survive and thrive. The way the most popular grains are processed (degermed and dehulled) means a great reduction of nutrients. “Stunting in Africa is a big problem, with malnourished mothers feeding babies breast milk that is not rich enough to produce a nutrient replete baby,” she notes. “We need to see every single child as a national treasure. We need the political will to address the nutrition economy at the highest levels.” Nutrient replete is when the body functions optimally because it receives and absorbs all the macro and micro nutrients it needs daily. Most grain is grown for yield and profit
and processed for shelf life, with scant focus on its nutritional value. The result is “hidden hunger”, where people are fed and may feel full, but the poor nutrient value of their meals results in iron or zinc deficiencies and children under the age of five are under threat of dying from the direct or indirect consequences of malnutrition. There is a revolution in fortification and nutrition technology. Cooperation is needed: “International and national policies and multisector vested interests have to tweak ‘common practice’ to meet the requirements for maximum nutrient density food,” she explains. Rose says that how governments, industry, social and civic players tackle the root cause of the food crisis is key. Five key questions: 1. How can shareholders cooperate to create a nutrition economy? 2. How can industry set key performance initiatives to reflect nutrient replete contributions in all food? 3. How can governments incentivise industrial players to repurpose common milling practices to achieve maximum nutrient density? 4. How can agricultural industry cooperate with agricultural ecology players? 5. How can the national consumer education enlighten our population about nutrient density in our food?
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Africa’s Big 7 @AfricaBig7 · 8h The day has finally come and is now live!!! The halls are buzzing with excitement. Exhibitors have amazing products to showcase not forgetting the different food products from different countries and bags full of goodies! Make your way here and come join in on the experience! 26
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Food Focus @FoodFocusSA · 4h Hygiene audits & factory/kitchen blindness .... There are risks, you need to identify the problems in your facility says Food Consulting Services. The photos are just scary @AfricaBig7 - the R364 Masterclass 12
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Africa’s Big 7 @AfricaBig7 · 6h “South Africa is a good example of women’s progress. We have a female Minister of Defense! Where else in the world would you find that? But now we need to see more women in higher positions and sitting on boards.” says Deputy Minister of Tourism Elizabeth Thabete at @AfricaBig7 19
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Africa’s Big 7 @AfricaBig7 · 1h Come and taste premium Tunisian Olive Oil presented by Carthage Enterprise at #AfricaBig7 at the Gallagher Convention Centre. Hall 2, Stand P15. Open today until 5pm. 16
CONTACT US Publisher: Lance Gibbons
dmgevents @dmgeventsglobal · 3h At dmg events we give our attendees an experience to remember. Exhibitions are no longer just a stand to display your products. See what @HotelShowAfrica, @AfricaBig7 & @SAITEXAFRICA have to offer this year. #dmgevents #eventprofs #SAITEXAfrica2018 #TheHotelShow #AfricaBig7
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Peel’s Honey @Peels_Honey · 6h Katie running the #PurePeels stand at the @AfricaBig7 expo at @GallagherCC - building brand support for pure SA honey, supporting SA beekeepers, and helping local job creation! @the_dti @DAFF_ZA 13
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