• 🍄 Meati Faces False Ad 
• 🇨🇦 Canada’s Grocery Code of Conduct
• 🇨🇭 Nestlé Touts Strong Organic Growth
• 🥇 Siete Goes For the Gold
• 📈 Trends At IFT First & Another PRIME Lawsuit

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Plant-based milk chocolate is plentiful, but many of the products position themselves in a near identical way: boasting simple chocolate bar formats and common flavor combinations (we see you, Sea Salt, or better yet, Salted Caramel).

Within that landscape, LOVO Chocolate has honed a unique position, aiming to “punch out” a new arena that embraces traditional chocolate-making techniques while elevating the flavor profiles of various plant milks.

“We set out originally on the wrong path – originally we tried to make it taste like milk chocolate,” explained co-founder Courtenay Vuchnich, noting that the brand concept had been in incubation for nearly six years.

Launched online in 2023 by Vuchnich and Simon Lester (who you may recognize as the founders of dark chocolate brand Pascha), LOVO has already secured substantial support for its 4-SKU alt-milk chocolate bar line with a footprint spanning 1,500 retailers nationwide including Safeway, Albertsons, Fairway and more. Earlier this summer, LOVO expanded once again, adding 260 Walmart stores across the Midwest and Florida to the mix.

As for the products, the brand is currently selling four flavors – Almondmilk, Coconutmilk, Hazelnutmilk and Oatmilk varieties – which were all crafted in the homeland of milk chocolate: Switzerland. The products are sweetened with sugar, contain Rainforest Alliance-certified cocoa and carry an SRP of $5.99 per 2.8 oz. bar. 

“We knew from the beginning we wanted it to be plant milk. We wanted it to be vegan, but we wanted it to be really for the flexitarian – the person who wants something that’s better in a category without giving anything up. It’s not like the chocolate consumer is unhappy with their chocolate,” Vuchnich said.

While they may not be unhappy with their chocolate, Vuchnich saw an opportunity to tap into a different category that they were perhaps equally passionate about: plant-based milk. After learning that within a single household, consumers often buy multiple different plant-based milks for distinct purposes she said she had an epiphany.

Nosh Insiders can access the full story to learn more about how Vuchnich landed on this unique product position, how it is performing among consumers and get her insight on the potential upside to the current challenges around cacao prices.

Meati is facing a class action lawsuit alleging the company falsely advertises its steak and chicken analogues as “made from mushroom root.” The plaintiff claims they are actually made from the mycelium of neurosporo crassa, a red mold that commonly grows on bread. 

📝 In the complaint, filed in the U.S. District Court of Eastern California on June 24, customer Serena Caldeira claims Meati lies about its products’ main ingredient and cited internal research that showed consumers wouldn't purchase or pay the higher prices if they knew the reality of the products. 

👀 The plaintiff also alleges this deception is “particularly dangerous” because consuming high levels of mold can cause severe allergic reactions in consumers and “can potentially lead to death.” 

⏪ This isn’t the first time the alt-meat maker has found itself entangled in a lawsuit; in 2021, Meati and The Better Meat Co. sued each other over allegations of stealing confidential trade secrets and “tortious interference” on the creation of the mycelium now in question. Last month, a judge shot down many of Meati’s claims in the three-year-long dispute saying the company had “not supported its opposition” to BMC. 

Catch Up On The Company: Meati Raises $100M, Locks In Kroger Deal As ‘Path to Profitability’ Accelerates

Walmart, Loblaw and all other major retailers in Canada have agreed to join the country’s Grocery Code of Conduct, which was developed by government and industry leaders to improve transparency and fair competition across the supply chain.

🛒 What does this mean? The proposed code is set to be implemented by June 2025 and features provisions on fair and ethical dealing, commercial agreements, payments and charges, and other items, including a process for delisting products. 

🤝 The code aims to protect suppliers and is expected to help stabilize prices and promote transparency as the consumer products industry continues to grapple with empty shelves, rising prices and shopper frustration, according to multiple reports.

📝 The code also lays out a structure for stocking and promotional fees as well as a process for dispute resolution. As the U.S. grocery space continues to grapple with rising prices and strained supplier relationships, maybe we should look to our northern neighbor for inspiration... 

Nestlé is projecting a strong sense of momentum and “real internal growth” as it reports organic revenue growth of 2.1% in the first six months of 2024, the company announced today in its half-year earnings results.

❤️‍🩹 Nestlé CEO Mark Schneider noted that divisions within the company, such as Nestlé Health Science, are “recovering as planned” and the business is preparing for “a strong second half” with new innovations expected to help maintain growth.

📊 Although total reported sales fell 2.7% to CHF 45 billion (around $51.1 billion), the conglomerate benefited from other metrics including a 1.8% EPS increase, 2% organic growth in retail sales, and 10.6% improvement in ecommerce.

☕ Coffee proved to be the largest contributor to organic growth, up “mid single-digit” with Nescafé, Nespresso and Starbucks all performing well. Waters also rose, with “continued momentum” for sparkling brands S.Pellegrino and Perrier.

Mexican-American food brand Siete will bring back its Local Legends campaign to support U.S. Women’s National Team members Naomi Girma and Jenna Nighswonger in the 2024 Olympic Games. 

📺 Siete will celebrate each player’s hometown as part of the partnership with community viewing parties in San Diego, Calif. (Girma), and Huntington Beach, Calif. (Nighswonger).

⚽The move is further validation that Siete is a true soccer fan, recently announcing a sponsorship of its hometown MLS club, Austin FC, and a partnership with NWSL side San Diego FC. 

👋 The food brand’s Summer of Soccer will also see it take over the San Diego Wave Fan Fest during their match against Angel City FC on Aug. 24. 

What was on the floor at IFT First? Why is PRIME in more legal hot water? And would anyone really wear 5-Hour Energy cufflinks? 

This week Nosh managing editor Monica Watrous and senior reporters Lukas Southard and Brad Avery explore the latest news from the CPG industry.

🥼 After a couple days in Chicago last week, Lukas shares what trends proliferated the show floor of the Institute of Food Technologists’ yearly expo including weight reduction ingredients, alternative sweeteners and a number of innovative new products.

🧑‍⚖️ Later in the show, Brad digs through PRIME’s most recent legal issues, this time raising the ire of the U.S. Olympic Committee over a LTO Kevin Durant hydration drink.

Listen to the full episode on Nosh.

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