Transformation and disruption was a topic in an article in the Sunday Philadelphia Inquirer. I read about the demise of Sears & Roebuck titled The Big Stumble. They believed they had no competitors. The New York Times dubbed them "The Amazon of the gilded age." Those of us in the baby boom generation remember Sears.  As a young boy I remember thumbing through the catalog, dreaming of what I could buy if I had the money.

What does that have to do with my food community? If you don’t learn from History you will repeat it. As we have seen Amazon has transformed the industry by being the New Age Sears. Instead of the printed catalog we go to our phones or tablets of computers to see what they have to offer. My browser even has an Amazon assistant to drive me to their site.

The adoption of electronic devices has truly transformed our universe and will continue to out perform all the more traditional methods we have grown used to in our everyday lives. Netflix is now the way a lot of people watch TV and you have seen the transformation of the grocery industry with customer pick up and more advanced delivery methods. The Protein market, where a lot of my readership make their living, is going through some disruption all their own. Forbes reported that Beyond Meats is getting ready for an IPO. As stated in the Forbes article:

“Plant based foods have been showing up on shelves across America, thanks to consumer demand and seemingly impossible partnerships. Look no further than Tyson Foods, the largest meat processor in the world, who owns at five percent stake in Beyond Meat. One would think Tyson views Beyond Meat as a competitor, but in reality they understand that meat companies of the future are likely to become ‘protein’ companies instead.”

The chart tells the story about plant based protein foods
made in the lab.

The article goes on to inform us the Meat industry has grown only 2% a year while the alternative channel (plant based protein foods) is growing at 22% poised to make a lot of money. Since 40% of consumers are seeking more plant based food Cargill, Walmart and McDonalds are looking to provided more plant based products.

Some choices:
•    Become an Amazon not a Sears
•    Leverage the digital revolution to reduce labor costs and implement Best Business Practices
•    Get involved in Plant based protein sooner than later





 

 

 

Issue 643 - Blocking and Tackling Revisited

I have decided to get away from all this technology discussion and dust off the archives from 11 years ago in the interest of getting back to basics. My longtime readers remember about blocking and tackling, Vince Lomabardi taught us what that meant. Making more bottom line profit is about the basics.

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