Business Objective
Our client is a European market insights firm in the Food & Beverage industry.
Their core offering is a one-of-a-kind platform which provides insights on product launches, ingredients, flavors, etc. They needed accurate forecasts of the ingredient lifecycle to empower F&B manufacturers, as well as identify emerging or declining ingredients.
Challenges
- Unlike a product lifecycle which can be determined based on product sales, ingredient lifecycle is based on the number of new product launches over time
- Need to analyze over 2,000 unique ingredients, requiring models for each ingredient
- Data about 2 million F&B product launches in 75 countries.
Solution Methodology
- Processed data from multiple sources – usage of ingredients across food categories, launches across companies, adoption by companies, articles related to food and health, patents and approvals in published journals
- Carried out region-wise analysis and developed metrics such as penetration of an ingredient in the ingredient’s group, semi-annual growth factor, and adoption by top F&B brands
- Developed models to forecast ingredient uptake for future time periods. Classified ingredients as Emerging, Growing, Stabilized, or Declined.
- The resulting model could accurately track and forecast ingredient usage across products – a very critical input for ingredient manufacturers.
Business Impact
- The models provide enhanced insights to brand managers and ingredient manufacturers.
- Emerging ingredients evince keen interest from not only top brands in the F&B industry but also ingredient manufacturers wanting to keep a tab on production capacity.
