Marketing whole insects versus insects as processed ingredients in packaged foods

Reverberi, M. (2021). The new packaged food products containing insects as an ingredient. Journal of Insects as Food and Feed, 7(5), 901-908.

Important: While based on the work performed by the above researchers, this article is a unique piece of content created by Intersect, designed to offer a summary of important takeaways for busy readers.

Table of contents

1. Introduction

2. Materials and methods

3. Findings

4. Conclusion

Introduction

This research paper discusses the conceptual distinction between the traditional, culturally-sanctioned practice of consuming whole insects (entomophagy) and the more recent use of farmed insects as processed ingredients in packaged foods (Packaged Processed Insects or PPIs). 

Traditionally, entomophagy involves the local consumption of whole insects collected from the wild, primarily in non-Western countries.

In contrast, PPIs are produced on a light-industrial scale, largely in Western countries, using ingredients made from farmed insects like mealworm flour or cricket flour to create foods such as crackers, pasta, energy bars, and meat substitutes.

The key differences between traditional entomophagy and PPIs include the consumer motivations, distribution and production channels, and the perception of sustainability and nutrition benefits associated with PPIs.

Whereas traditional insect consumption is driven by taste preferences within an informal economy, the selling points of PPIs emphasize their sustainability and nutritional value.

The paper notes that the need to distinguish between whole insects and processed insects as an ingredient has arisen in recent years, as the PPI category has emerged, with most processed insect products appearing on the market in the past decade.

The paper provides examples of some pioneering PPI products, such as cricket-flour cookies, chips, meatballs, and pasta.

Materials and methods

The methodology section of the research paper outlines the process of selecting and surveying protein-based insect (PPI) makers. The selection of PPI makers was based on BugBurger, a blog known for featuring a large number of insect start-ups.

From the 70 PPI makers listed, 11 were selected based on criteria that prioritized innovative products and diversity in food categories.

These selected entities were then sent a questionnaire consisting of 10 standardized questions.

Interviews with the PPI makers were conducted, with three via email and eight via teleconferences to facilitate open conversation and idea exchange.

 

Findings

Targeting consumers and selling points

The paper discusses the targeting strategies and selling points used by producers of plant-based and protein-rich (PPI) insect-based food products.

The authors note that PPI makers face the challenge of appealing to mainstream consumers or targeting niche markets.

While PPIs have the potential to be mass market products, factors like consumer bias against eating insects and high production costs may hinder their widespread adoption.

Younger consumers, particularly those aged 20-40, and more educated individuals are seen as more receptive to insect-based foods. Gender also plays a role, with men slightly more inclined to try these products.

In terms of selling points, taste is considered the primary driver, as consumers are unlikely to repeatedly purchase a product they do not find delicious.

Nutritional value, such as high protein, mineral, and vitamin content, is the second key factor.

Sustainability and environmental benefits are also becoming increasingly important selling points, although the available research on the sustainability of farmed insects is limited compared to crickets.

Packaging and consumer trust

The research paper discusses the packaging and consumer trust in the context of edible insects, also known as PPIs (processed powdered insects).

The authors note that:

• The image of consuming whole insects can evoke negative emotions in Western consumers, which is why most PPI packaging does not feature actual images of insects, though stylized drawings of insects may be included in logos and package labels.

• Consumer trust is highlighted as a critical factor, especially as Western consumers tend to associate insects with pests and diseases, regardless of how the insects are farmed and processed.

• Modern, well-designed industrial packaging would likely instill more confidence compared to the traditional paper bags used in some PPI packaging, as the former aligns with the packaging of mass-market consumer products and conveys a sense of normalcy and standardization.

While paper bags are a cost-effective option for small-scale productions and are commonly used for natural, organic food products, they may not align with consumer perceptions about edible insects.

Therefore, the optimal strategy for marketing an insect ingredient may be to transparently communicate the insect content through text while avoiding visual representations of insects on the packaging.

Protein source or superfood?

In the period from 2015 to 2020, cricket energy bars have emerged as a popular choice among producers of protein-packed products. This trend reflects a strategic move to target the fitness niche by offering an alternative protein source.

Comparing cricket-based protein products with commonly used sources like whey, it is evident that insects may be perceived as more expensive, potentially limiting their appeal to consumers.

Furthermore, the prevalent use of the term "insect protein" may downplay the broader nutritional benefits of these products, undermining their potential as a "superfood."

Definition

Superfood A superfood is a nutrient-rich food considered to be especially beneficial for health and well-being.  Superfoods are typically high in vitamins, minerals, antioxidants, and other essential nutrients, and are believed to offer various health benefits, such as boosting immunity, reducing inflammation, and enhancing overall vitality. Examples include berries, leafy greens, nuts, seeds, and certain fish like salmon.

 

Interestingly, the term "superfood" is widely used to describe protein-packed insect products, without facing any legal barriers. While regulatory constraints may limit the claims made on product packaging in multiple countries, the term "superfood" can still be utilized to communicate with the market and media.

This suggests that, despite the challenges of market competition and pricing, the use of "superfood" to describe protein-packed insect products may serve as a valuable marketing approach to highlight their nutritional benefits.

The challenge of entering supermarkets

The research paper discusses the challenges that start-up companies face in getting their novel plant-based protein (PPI) products onto the shelves of traditional retail outlets, particularly supermarkets.

• While e-commerce allows these companies to reach consumers more easily and cost-effectively, physical retail exposure in supermarkets and other brick-and-mortar stores is crucial for building consumer trust and credibility.

• Supermarkets have high turnover expectations that can be difficult for new PPI products to meet, and they often require industrial certifications like ISO or BRC that can be challenging for small start-ups to obtain.

• Some companies have found success partnering with co-packers that can help ensure food safety standards.

• Organic and specialty food shops have also proved to be a good fit for PPI products, but obtaining organic certification can be problematic, especially for products like cricket-based foods where the entire production process may not be certified.

Overall, the paper highlights the significant hurdles that PPI start-ups must overcome to gain mainstream retail exposure, which is essential for wider consumer acceptance and adoption of these novel protein alternatives.

The paper outlines the two main options for product prototyping - using a shared kitchen or engaging an R&D center.

Shared kitchens are viable for simple products, while more complex products may require the specialized equipment found at co-packer facilities or university research centers. 

The premium pricing of PPI products is attributed to several factors. Smaller production batches result in higher per-unit costs from co-packers. Export-related fees can also significantly increase the final retail price. Crucially, the high cost of insect ingredients, although declining over time, remains a major driver of PPI product pricing.

The paper examines the differences in insect ingredient costs between regions and farming models, with Western factory farms and smaller-scale Asian farms representing two divergent approaches. The insect content of PPI products has been increasing over time, further impacting the overall product cost structure.

The bias about eating insects

The research paper discusses the bias against eating insects in the Western world. Several explanations have been offered for this bias, including the perception of insects as pests and the cause of agricultural damage.

Additionally, the differences in climate and economies between tropical and colder regions may contribute to this bias.

However, the majority of the reasoning revolves around psychological and emotional factors, particularly food neophobia, which is an innate human reaction against unfamiliar foods. This food taboo often translates into a taste preconception, even though Western people do not actually know what insects taste like. 

Definitions

Food neophobia Food neophobia is the fear or reluctance to try new or unfamiliar foods. Food neophilia Food neophilia is the strong desire or enthusiasm to try and enjoy new or unfamiliar foods. People with food neophilia are adventurous eaters, keen on exploring diverse cuisines and culinary experiences.

 

The paper suggests that recent analyses have distinguished between whole insects and processed insect products, and have focused on Western countries such as Germany, the United States, and Italy.

These studies can help producers of processed insect products (PPI) make informed choices about product development and marketing.

Simply pointing out that many non-Western populations have historically eaten insects is unlikely to be an effective strategy in convincing European and North American consumers to try edible insect products.