Plus, lessons on how to win at Whole Foods͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ 
 
 
January 13, 2025
BevNET CPG Media
Nosh

In this issue of Daily Briefing

  • ⏪ Winning At Whole Foods
  • 🚲 Bar Bakers, TruFood Now Tandem Foods
  • 🍫 Hershey CEO to Retire
  • 🔎 GAO Urges FDA to Strengthen Inspection Efforts
  • ♥️ How To Help: L.A. Fires Relief Efforts

📰 Today's Top Story

⏱️ Pursuing A Platform? Know When It's Time To Pivot

⏱️ Pursuing A Platform? Know When It's Time To Pivot

Companies across the CPG spectrum – from large conglomerates to one-woman-shows (as we are about to hear) – have been pushed to take a more critical look at their assortments in recent years and shift focus to what is performing best. 

But as you rationalize SKUs and look for your new path forward, how do you know it's time to throw in the towel on one idea and start innovating again from scratch on another?

For Xeba Zareie, founder and CEO of gut health pudding brand Preme, it became evident once she felt her “energy [was] no longer being used to the best of its abilities.”

“There comes a time when as a founder, you’re going down a route and you can kind of see that that route is actually not going to meet your vision that you want to achieve,” Zareie said. 

That’s what led Zareie to begin looking into drink mixes nearly a year ago. In September she put Preme fully on “pause,” halting pudding production and distribution as she geared up to pivot into a new, higher-margin aisle.

The brand relaunched direct-to-consumer on Friday with three drink mix SKUs that will be available for a three-month limited test run online before moving into retail, Zareie told Nosh. Her big idea is to build a platform around gut-friendly products for all, but in order to do that she first needed to be able to reach as many people as possible (read: DTC).

By putting its original, premium-positioned, cold-chain pudding line on hold and shifting to a shelf-stable product, Zareie believes Preme can prime a more realistic path to profitability while effectively scaling its mission and impact.

“I’m such an idealist,” said Zareie. “As a founder, I’m [trying to] bring my idealism into reality. But I think [I’ve learned] we have to meet reality where it’s at sometimes.”

Nosh Insiders can access the full story to learn how Zareie has repositioned for long-run gains.

 

✨ What You Need to Know ✨

⏪ Nosh Live Replay: Winning At Whole Foods

⏪ Nosh Live Replay: Winning At Whole Foods

Whole Foods Market has long served as a launching pad – and “dream” retailer – for many emerging food and beverage brands, but many founders don’t know how to get a foot in the door. 

🌱 At Nosh Live, Casey Gaston, executive leader of Local and Emerging Brands, discussed the standards and qualities Whole Foods buyers are seeking when evaluating potential suppliers and breaks down a common misconception about snagging coveted shelf space.

🎥 Watch the full video to learn how to prepare a strong pitch, properly calibrate growth ambitions, and forge the best path for success within Whole Foods Market.

 

🚲 Bar Bakers, TruFood Unite As Tandem Foods

Snack industry co-manufacturers Bar Bakers and TruFood Manufacturing have officially combined operations, today debuting under a new unified identity, Tandem Foods.

💬 “This [deal was] about seizing an opportunity to create something greater than the sum of its parts,” Tandem CEO Michael Buick told Nosh.

🏭 The combined company now operates eight facilities, producing better-for-you snacks spanning categories such as baked goods, bars, chocolate molding, cookies, wafers and granola. 

🌐 The rebrand will also bring a full website redesign, complete with a new color scheme and tagline: “Powered by Collaboration.”

 

🍫 Hershey CEO to Retire in 2026

Michele Buck, CEO of The Hershey Company, will retire on June 30, 2026, after nearly two decades at the confectionery giant. She has led the charge at Hershey for the last eight years.

🔎 A board-appointed special committee is searching for her successor both internally and externally.

🗣️ What they said: “Michele has made innumerable marks on Hershey, including serving as the key architect of the company’s expansion into broader snacking categories, driving sustainable international growth, and building advanced capabilities and growth platforms to evolve Hershey into a stronger and more diversified business.” - Victor Crawford, lead independent director of the board at Hershey 

⏪ The news comes one month after Hershey rejected a preliminary takeover offer from Mondelēz International.

 

🔎 GAO Urges FDA to Strengthen Inspection Efforts

The U.S. Government Accountability Office (GAO) reported last week that the U.S. Food and Drug Administration (FDA) has failed to meet its domestic and foreign inspection targets since fiscal year 2018. Here are some key takeaways: 

  • Under the Food Safety Modernization Act (FSMA), the FDA must inspect each domestic high-risk food facility at least once every three years and each non-high-risk facility every five years, equating to 75,000 facilities annually
  • According to GAO’s data, the agency has conducted an average of 8,353 domestic inspections per year from 2018 to 2023. 
  • FDA officials said the inspection targets are “unrealistic” and “unachievable” but haven’t set an alternative target or worked with Congress to address the issue.

What’s next? GAO is urging the FDA to determine the appropriate size and workload, identify and implement additional procedures to minimize incidences of attempted (incomplete) investigations at domestic facilities and develop and implement a formal performance management process for food safety inspections. 

 

♥️ How To Help

📦 L.A. Fires Relief Efforts

As the L.A. area continues to reel from the ongoing firestorm, here are some ideas for helping both the citizenry and the food and beverage community.

  • Regarding Her is collecting donations to help women-owned food and beverage businesses recover. 
  • L.A.-based donut shop Fonuts is collecting and distributing gluten-free food donations at its 8104 W 3rd St. location. 
  • Frontline Impact and Global Empowerment Mission is collecting CPG food donations to distribute to displaced individuals and frontline workers. Businesses can learn more about how to donate here. 
  • West Side Food Bank is accepting donations at its 1710 22nd St. location in Santa Monica and also accepts donations of large collections of food by appointment. 
  • L.A. Community Fridges operates 15 locations around the city. Food donations can be left at any of the locations.

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