How will COVID-19 impact consumer food attitudes in 2021?

The COVID-19 global pandemic dramatically changed consumer attitudes about food. Will these changes continue through 2021?

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(Andrea Gantz)
(Andrea Gantz)

The COVID-19 global pandemic dramatically changed consumer attitudes about food. Will these changes continue through 2021?

During CFI NOW: 2020 Epiphanies & Our Crystal Ball, Charlie Arnot, CEO of The Center for Food Integrity moderated a panel discussion between Susan Schwallie, Executive Director, NPD Group and Kevin Ryan, Malachite Consulting.

2020 saw a colossal shift in demand from foodservice to retail. The widespread closure of restaurant dining rooms, schools and conferences shrank foodservice activity, while retail stores experienced high demand as consumers stockpiled food for at-home dining.

“We’re starting to talk about what happens if the vaccine comes into play by Summer 2021,” Schwallie said

“If that happens, what will we see the restaurant recovery look like, how hard will it come roaring back and what does that mean to food manufacturers who are now going to be coming off crazy sales in 2020 and how do they manage that? We’re going to have an opposite reaction going on that will need to be managed through and understood more.”

Lifestyle interrupted

Consumer lifestyles have been interrupted in every possible way during 2020. Some shoppers are looking to convert their foodservice dollars into upgraded dining experiences at home.

“There’s definitely, in my mind, an increase in premiumization,” said Ryan. “The people doing really well can’t get to a high-end restaurant right now. So how do you treat yourself at home?”

Others are experiencing a heightened need for value.

“Then there’s the other side. Forty percent of people within COVID-19 have said that they are food-insecure at one point or another,” Ryan added

Restaurant metamorphosis

Virtual brands were a hot trend in 2020. For example, Bloomin’ Brands, the parent brand of Outback Steakhouse, recently opened Tender Shack while Brinker International, who owns Chili’s and Maggiano’s, is betting big on It’s Just Wings.

Virtual kitchens operate within actual restaurants, but cook food that may be sold under a different name on third-party delivery platforms, like DoorDash, Uber Eats or Grubhub. In a sense, these help restaurants optimize search engine optimization, or SEO, online. Consumers ordering food delivery tend to search for a menu item, like wings or Chinese food, rather than by a restaurant name.

“I think you’re starting to see this restaurant metamorphosis happen,” Ryan said. “Restaurants have been hurt really bad and they’ve been forced to innovate.”

Golden age of alternatives

Meat alternatives – in the form of both cell-based and plant-based meat – captured consumer attention in 2020. This trend is likely to continue in 2021, as meat alternative brands diversify and fight for dominance.

“I think this is coming in 2021 and definitely beyond,” Ryan explained. “I think the next phase that we’re going to see is cheaper, faster and healthier. You’re definitely going to be seeing a lot of companies trying to make meat alternatives as cheap as possible.”

View our continuing coverage of the novel coronavirus (COVID-19) pandemic.

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