Foodservice companies are facing increasing pressure due to growing consumer awareness of environmental, social, and governance (ESG) issues. Many companies, as a result, are adopting various technologies to infuse carbon reduction targets and environmentally friendly mechanisms to future-proof businesses and create tomorrow’s winners.
Listed below are the key technology trends impacting ESG performance, as identified by GlobalData.
Blockchain will likely have a fundamental impact on foodservice businesses by helping to manage and control supply chains, add greater visibility at every stage of the supply chain, and record ethical and environmental credentials.
During the pandemic, efforts to introduce blockchain into commercial spaces have been driven by the heightened global concern for product safety and a consumer focus on familiar and trustworthy products.
Blockchain’s ability to track production aligns with consumer demand for proof of safe packaging and provenance.
Digital marketing and ordering are business-critical for operators globally, having gained significant traction during the pandemic. Digital technologies increasingly allow foodservice businesses to develop greater insight across the entire value chain, including areas beyond sales and marketing where digital technologies are better established.
However, the large amounts of data available increases the risk of cyberattacks and data security breaches. Digitalisation, therefore, heightens the need for businesses to develop a strong cybersecurity strategy and data handling protocols.
The popularity of social media has changed how consumers think and shop, creating opportunities for foodservice. However, social media’s ability to engage and connect consumers can also mean that ill-judged online campaigns can easily go viral.
Consumer feedback, both positive and negative, is immediately visible to a global audience and brands must be prepared to respond swiftly when necessary. Foodservice companies have been facing increased scrutiny over all aspects of ESG, including food safety and cleanliness standards, engagement with social and environmental causes, and quality of service.
This is an edited extract from the ESG – Top Trends by Sector – Thematic Research report produced by GlobalData Thematic Research.