Innovation and The Dynamic Latin American Consumer

scenarioDNA connecting ideas to culture

Tim Stock, scenarioDNA

innovation & the dynamic latin american consumer

presentation for Florida Ice & Farm

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helloI’m an anthropologist

I help companies connect their

strategies to culture

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latin america is about to double its growth

By 2020, Latin America will have doubled its GDP from 2010 levels, bringing it to 9% of the global GDP. (source: EIU)

2010

2020

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GDP doubles


the middle class is driving this growth

Get ready for an increasingly demanding consumer.

50%growth in La5n America in the last decade

30%of the

popula5on

4


costa rica is poised for 2020

92%of Costa Rica’s energy is based on renewables

global leadershipthe world is looking to Costa Rica as an example of best

prac5ces

Sustainability leadership is the perfect foundation to build upon.

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talent is booming for innovation

Smart and inspired people are the foundation for delivering on exciting new opportunities.

6

world robotic olympiad held

in sochiTico college

engineers were big winners.


costa rica offers global inspiration

Scientists are exploring the Nicoya Peninsula to understand the factors contributing to its significantly higher rate of longevity compared to the rest of the country.

la pura vida

sense of purpose & belonging

tradi5onal diet: maize & beansstrong social networks

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triple bottom line

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perfect conditions


triple bottom line

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peopleplanetprofits


triple bottom line

10

future proofing


placing people at

the center

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cultural insights

strategy

leadership


triple bottom line

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transformative innovation


transformative innovation

growing things right

sourcing

making things right

processing

framing things right

packaging

presenting things right

retail

keeping up with how they make

things

kitchen

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supporting shared beliefs

community


the dynamic latin american consumer

They won’t accept what former generations considered suitable.

knowledge emotion

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control


transformative sourcingsourcing

processing

growing things right

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packagingretail

communitykitchen


back to basics

“I don't want to see dices or quarters. I tell my cooks: "I want it to look like Hobbit veg." Like out of Pan's Labyrinth, all gnarly and weird looking.” - Alex Molitz

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Image: Renée S. Suen All rights reserved

chef alex molitz

brings technique to fresh and local at Farmhouse Tavern in Toronto.


diverse crops lead to biodiversity

stanford universityresearch in Costa Rica shows that forest intermingled with cul5vated land

rescues biodiversity.

Cultivating in the broader context of nature.

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technology yields transparency

Networking farms through sensors and environmental monitors will raise urban agricultural yields and give consumers trusted information about origins of produce.

cityfarm project

MIT is experimen5ng with cuJng-‐edge data science and powerful sensors to "listen" to plants' physiological

needs.

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people want to know everything

sourcemapdetails the loca5on, farm condi5ons and history for each of Stoneyfield Farm’s

ingredients.

People crave a deeper level of knowledge about their food.

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evolving standards

organic valley

The co-‐op’s Transparency and Con5nual Improvement

web page provides informa5on on topics such as standards that go beyond

USDA requirements.

Real standards require proof of an ongoing effort.

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transformative processing

sourcing

processing

packaging

making things right

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retailcommunity

kitchen


staying in tune with global flavors

The average taste buds are getting far more sophisticated.

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mccormicktheir 2015 flavor

forecast expands to include Middle Eastern & Asian

spices.


global flavors go mainstream

More brands will follow. Companies need to get ahead of where flavors are going next.

heinzlaunched a new

ketchup flavor that includes the popular red Thai hot sauce,

Sriracha.

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new twists cross categories

craft liquorCharbay Hop

Flavored Whiskey and Hophead Hop

Vodka.

Flavors and techniques are borrowed from other product categories.

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consumers seek healthy rituals

Brands need to keep up with new diet combinations that are constantly being “hacked” by culture.

coffee blocks

Full of healthy fats from grass fed bu\er and coconut oil to start the day on a solid founda5on.

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transformative packaging

processing

sourcing

packaging

retail

2626

framing things right

communitykitchen


smarter labels

The European Union has approved the use of iron oxides and hydroxides on the skin of fruit used to make laser markings stand out more clearly without penetrating peel.

laser foodetched labeling onto fruit skin can be scanned to access more details about the supply chain

behind the produce.

2727


waste not want not

Waste will continue to be top of mind for many product developers.

nfc sensorsMIT researchers are

working on technology that sends a text to users when their food begins to spoil by detec5ng

gases in the air.

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smarter single use packaging

Our desire for convenience and on-the-go food will also lead to more sustainable options for single-use condiments packaging. Small details matter.

softpacka concept project by Portuguese designer Carlos Pereira is made from gela5ne. The cells are biodegradable, compostable and

edible.

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simple steps will have big impact

reduction of packaging is the simplest means toward lessening environmental impact, either in size reduction, or amount of different materials, or both.

sou hair & bodycare

The packaging requires 70% less plas5c and 60% less CO2 than bo\les. 1000 empty pouches can be transported in the same space as 28 conven5onal

bo\les.

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healthy living will be critical

Aware of obesity issues will likely have them change their diet and lifestyle habits, creating markets for fresh food, supplements, healthy living products and services.

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just add water

nutrition ecosystemapplianced turn “flavor pills” into nutri5ous meals


indie brands are solving problems

A lot of the innovation that has begun in preparation for the future has started within the sector of smaller independent makers. They are more open to taking risks.

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rogers family coffeelaunched a single-‐cup coffee pod that is 97%

biodegradable


transformative retailretail

packagingprocessing

sourcingcommunity

kitchen

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presenting things right


urbanization is spreading

The rate of urbanization increases steadily at 2.06%. More urban centers will grow by 2030.

64%of Ticos live in

ci5es

more than

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The broader implications of “always on” must be integrated into all new strategies.

free public wifi

Costa Rica is in discussions to offer this via na5onal

LED public ligh5ng system

the always on consumer

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Don’t break their flow

The utility of experiences is critical.

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siri?a recent 10-‐day lack of Siri in Costa Rica prompted many iPhone users to switch carriers.


apps that facilitate urban logistics

Solve everyday problems.

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easy taxian app in Costa

Rica that uses GPS to signal nearby par5cipa5ng taxis

that a fare is wai5ng.


the fluidity of online shopping

We know what we want and we want it quickly and efficiently.

amazoninaugurated its fourth call center in Costa

Rica Q4 ’14 and hired 1000 new employees

in the fields of technology,

innova5on and customer service.

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new era of food delivery

Ordering food is no longer about avoiding cooking. It is about learning new tastes.

delivery hero

Local food delivery services are growing quickly.

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subscriptions to new rituals

With commerce becoming more fluid, brands should embrace new ways of telling the story.

pacta small batch

coffee subscrip5on

service

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grocers will invest in local delivery

walmart to gocurrently

running in 3 US ci5es

The growing ease of delivery will have food manufacturers creating specialized bundles for this market.

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retail as local factory

juice press

an innovator in cold press

juices leads in techniques

Food trends focused around freshness challenge techniques of processing and make them visible to the consumer.

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packaging

community

transformative community

processingsourcing

retailkitchen

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supporting shared beliefs


maikol yordan

More than 1/10th of the popula5on have

seen it. Most-‐a\ended film in Costa

Rican history.

demand for better relatable brands

Make the brand relevant and in sync with who they are.

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demand for better relatable brands

By 2020, Costa Rica will see an ever more increased demand for higher value brands and services that offer both tangible and intangible value in all categories.

CAT Store at multiplexa store that demonstrates

the dynamic and evolving tastes

of Ticos

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localizing is essential in dynamic markets

favela holding

a service focused on connec5ng big, interna5onal

companies such as P&G with local entrepreneurs

Proving your commitment at the grassroots level is critical.

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giving local food producers a boost

Being connected to innovation in local communities is critical to keeping up with how food tastes and rituals are changing.

whole foods local producer loan programallowed Firefly Kitchen

take the next steps to grow their fermented food

offerings

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retail as third place

New concepts cultivate local community and bridge the emotional space between store and home.

hy-vee market grille

Des Moines-‐based chain is rolling out

restaurants within the supermarket including

nutri5onists and cooking classes

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transformative kitchenskitchen

packaging

processingsourcing

retailcommunity

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keeping up with how they make things


the growing kitchen

Urbanization and increased concern around food production are leading consumers to turn to new technologies to cultivate their own chemical-free produce at home.

the groveMIT graduates have

developed an aquaponic system housed inside a wooden cabinet, that can be used to grow fresh vegetables and herbs within a domes5c

kitchen.

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the connected kitchen

Appliances in 2020 will give recipe suggestions and plan a timeline for preparing and cooking food.

LG’S SMART REFRIGERATORtext a photo of

what’s inside to let you know what you

are missing

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the intelligent kitchen

Appliances will learn as you use them and synchronize with health and tastes.

sectorqube’s maid

a smart oven that learns users’ tastes

and habits

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the efficient kitchen

In 2020, more of what we do manually will be automated.

the flatey machine

produces freshly baked tor5llas from individual dough pods in less than a

minute.

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3D food printing is designed to take care of the difficult and time-consuming parts of food preparation that discourage people from cooking at home.

natural machinesworking with food manufacturers to

create pre-‐packaged capsules that can be

loaded into 3D printers

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the couture kitchen


the emotional kitchen

future hunter-gather a virtual grocery shopping concept devised by UK-‐based student Pan Wang. visualizes food that is

then delivered.

Technology will find ways to connect us emotionally to the source of food.

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scenarioDNA connecting ideas to culture 56


exciting times

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are you ready to transform your brands?

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thank you.

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Email

@timstock

[email protected]

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Innovation and The Dynamic Latin American Consumer