Popular viral ingredients can break the supply chain

Social media has transformed how food and beverage trends emerge. A single TikTok video can propel an obscure ingredient from niche curiosity to global must-have in a matter of weeks. But while consumer demand can scale overnight, supply chains rarely can.

Recent examples include matcha, pistachios used in Dubai-style chocolate, and butterfly pea flower, the vibrant blue botanical that became a social media sensation in drinks. As companies rush to capitalize on these trends, many discover that sourcing enough high-quality supply is far more challenging than generating consumer interest.

The problem is simple: information travels faster than infrastructure. Farmers, processors, manufacturers and logistics networks cannot instantly expand production to meet sudden spikes in demand. The result is often ingredient shortages, price volatility and inconsistent product quality.

The lesson from these hypes is clear. Trend spotting is no longer enough; scalability must be considered from the earliest stages of product development. In today's market, the biggest risk isn't missing the trend, it's being unable to deliver once consumers discover it.

Lidl takes a significant step towards online grocery with Click & Collect launch

Lidl has made a notable move into online grocery retailing with the launch of a new Click & Collect service in Ireland, signalling a potential shift in the discounter’s long-standing cautious approach to e-commerce.

The pilot programme allows customers to order groceries through the Lidl Plus app and collect their purchases from designated parking spaces at participating stores. Orders must be placed by midnight the previous day, with a minimum basket value of €30 and a collection fee of €4.99.

Unlike Lidl’s previous online initiatives, the new service is fully integrated into the retailer’s digital ecosystem. Product selection, payment processing, collection slots and customer communications are all managed through the Lidl Plus app. This level of integration suggests the platform has been designed with scalability in mind, making a future rollout across additional markets considerably easier.

The assortment available online is extensive, covering fresh produce, dairy, cheese, ready meals, beverages and a broad range of ambient grocery products. Notably, promotional non-food items remain excluded from the service.

Lidl has historically resisted entering the online grocery sector directly, relying instead on third-party delivery partners in selected markets. The new model indicates a strategic rethink, driven in part by changing consumer expectations and advances in digital retail capabilities.

The Irish market offers a compelling test case. Tesco has reported strong online growth through its Click & Collect proposition, helping strengthen its position in the market. Online grocery sales continue to gain importance across Anglo-Saxon markets, where digital shopping penetration is considerably higher than in many continental European countries.

Industry observers view the Irish launch as more than a local trial. While the company has not disclosed a timetable for expansion, the initiative could mark the beginning of a broader international e-grocery strategy for one of Europe’s largest discounters.

Sugar taxes in Europe: What FMCG businesses need to know

Sugar taxes have become a significant policy tool across Europe as governments seek to combat obesity, diabetes, and rising healthcare costs. Rather than targeting sugar directly, most schemes focus on sugar-sweetened beverages, encouraging reformulation and healthier product choices.

Several countries have implemented sugar-related taxes, including the United Kingdom, France, Portugal, Ireland, Norway, and Hungary. Other markets continue to evaluate similar measures, often as part of broader public health strategies.

The results have been notable. The UK's Soft Drinks Industry Levy is widely regarded as one of the most successful examples. Rather than driving large declines in sales, it incentivized manufacturers to reformulate products. Within a few years, the average sugar content of soft drinks fell substantially, while many brands were able to maintain market share. Similar trends have been observed in Portugal and Ireland, where reduced sugar levels and shifts toward lower-sugar alternatives have been reported.

For FMCG manufacturers, sugar taxes have accelerated innovation in reformulation, alternative sweeteners, and portfolio diversification. Retailers have also adapted by expanding shelf space for low- and no-sugar products and strengthening private label offerings in healthier categories.

Looking ahead, European regulators continue to prioritize nutrition and public health, with discussions expanding beyond beverages to broader food categories, front-of-pack labelling, and marketing restrictions.

Why 'longevity' could be the next big disruptor in personal and home care

For years, sustainability has dominated conversations in personal and home care. Yet according to futurologist Helga Hertsig-Lavocah, the next wave of innovation may be shaped by a different concept: longevity. 

And longevity isn’t just about living longer. Longevity resonates strongly with consumers because it empowers them to take an active role in managing their health and well-being. This sense of personal agency becomes particularly valuable during periods of uncertainty, when many external factors feel beyond individual control. By focusing on physical and mental health, consumers can create a greater sense of stability, predictability, and control in their daily lives. Health, wellbeing, independence and quality of life are becoming intertwined with purchasing decisions, creating new expectations of the products people use every day.

At the same time, the reality of sustainability is evolving. While consumers continue to express concern about environmental issues, economic pressures have made value, convenience and effectiveness equally important. The challenge is no longer how to persuade consumers to make sustainable choices, but how to make them the easiest and most beneficial option.

Hertsig-Lavocah argues that the most successful innovations will be those that align personal benefits with wider environmental goals. Products that simplify routines, reduce waste, support wellbeing and deliver clear value are likely to resonate more strongly than those relying on sustainability messaging alone.

This shift requires a fresh perspective on product development, consumer engagement and category growth. As traditional assumptions about sustainability are challenged, new opportunities are emerging for businesses prepared to rethink what consumers really need from personal and home care products.

These themes will be explored further by Helga Hertsig-Lavocah, Senior Futurologist and Founder of Hint Futurology, during the free PLMA Lunch & Learn webinar, "Longevity and Sustainability in Personal & Home Care: What's Next."

When? 24 June, 12.30-13.30 CET. Are you a PLMA member or retailer/wholesaler? Request a registration link here.

Private label innovation is growing in stature

For years, private label products were largely viewed through the lens of value: reliable, affordable alternatives that followed trends established elsewhere. While that perception still exists in some corners of the industry, recent developments suggest a significant shift is underway. Across FMCG categories, retailers are increasingly using private label as a platform for genuine innovation.

The evidence is mounting. According to Mintel, private labels in the UK launched more new products than brands last year for the first time on record. More importantly, many of these launches are not simply incremental line extensions. They reflect emerging consumer trends, new consumption occasions, and evolving expectations around health, convenience, sustainability, and experience.

This year's PLMA trade show in Amsterdam highlighted just how far private label innovation has progressed. Showcased retailer products tapped into some of the most dynamic trends in FMCG, including functional beverages with added fibre or protein, globally inspired flavour profiles such as matcha and chilli, premium frozen snacks, and new concepts in beauty and personal care.

Winning private label awards products ranged from bubble yogurt infused with tropical fruit flavours and carbonated mate tea to spicy mango ice cream and tinned sea bass fillets, concepts that demonstrate creativity, category expansion, and consumer insight rather than simple imitation.

Perhaps most striking is the growing willingness of retailers and their supplier partners to move earlier on emerging trends. Industry observers note that private label teams are becoming more agile, experimenting with functional nutrition, premium positioning, transparent ingredient communication, and emotionally engaging packaging. In many cases, retailers are actively helping to shape trends rather than waiting for them to mature.

This evolution reflects the changing role of private label within modern retail strategy. No longer focused solely on price and margin, retailers increasingly see exclusive products and differentiated propositions as ways to build loyalty and strengthen their brand identity.

Carrefour structures employees' TikTok store promotions

Carrefour is taking a measured approach to the growing presence of employees on TikTok, aiming to balance creativity with consistency. Across its stores, staff are increasingly using social media to highlight products, promotions and everyday store life. Some of these posts gain significant traction, helping to drive footfall and sales at a local level.

Rather than tightly controlling this activity, Carrefour allows initiatives to emerge from employees themselves. Many accounts are created voluntarily by younger staff who are comfortable with the format and quick to adopt trends. These individuals act as informal ambassadors, presenting products in a direct and relatable way that traditional marketing often struggles to match.

To support this, Carrefour has introduced a framework to guide participation without limiting it. The company began by training a group of employees to communicate online more effectively. It has since expanded its efforts by sharing weekly content guidelines with stores. These outline current themes, highlight promotions and suggest relevant trends or music that can be used in posts. The intention is to provide direction while leaving room for personal adaptation.

This balance between central coordination and store-level autonomy is key. Individual outlets are encouraged to tailor content to their own customers, reflecting local demand and stock availability. In practice, this means that products featured online are typically available in-store, reducing the risk of disappointing customers who arrive after a viral post.

Carrefour emphasises that participation must remain voluntary and responsible. Employees are expected to follow clear guidelines to ensure content remains appropriate and aligned with the brand.

The approach reflects a broader shift in retail communication. By enabling employees to create content while providing structure behind the scenes, Carrefour is turning everyday store activity into a practical marketing tool that connects directly with shoppers.

Eroski debuts AI-driven online shopping via WhatsApp

Spanish retail group Eroski is testing a new route to online grocery shopping by bringing the entire journey into WhatsApp, using artificial intelligence to handle customer requests and fulfil orders quickly. The pilot, currently under way in Bilbao, centres on “Eroski Smart Shop”, a service that allows shoppers to build a basket through a simple chat interface and receive delivery in around an hour.

The concept is straightforward: customers send a message, voice note or even a photo of a shopping list via WhatsApp. The AI system interprets the request and generates a proposed basket, which the shopper can review, amend and approve before payment. The experience is designed to feel conversational rather than transactional, removing the need to navigate a conventional e-commerce site or app.

What sets the model apart is the level of personalisation built into the interaction. The system can suggest recipes and meal ideas tailored to dietary preferences, household needs and budget. Where a request is generic, it defaults to the most economical option, but it will switch to specific brands if the customer asks, adjusting choices dynamically within the chat.

Eroski is positioning the initiative as a response to shifting consumer expectations, where speed and convenience are increasingly non-negotiable. Industry data backs this up: digital touchpoints now influence a large majority of grocery purchases, even when the final transaction happens elsewhere. Time saving, rather than price, is often the primary driver for using online channels.

The choice of WhatsApp is also strategic. With billions of users globally and strong adoption across age groups, including older consumers, it offers a familiar and accessible platform. By embedding shopping into a daily communication tool, Eroski is aiming to lower barriers to entry and broaden digital engagement. The year-long pilot across nine stores will assess customer uptake and operational performance. 

Beatriz Santos from Eroski will share details of the company’s private label strategy driven by data and AI at PLMA’s Pre-show seminars on Monday 18 May. Admission to the seminars is complimentary to all registered visitors and exhibitors in possession of a valid 2026 World of Private Label entrance badge. Click here for a detailed programme.

Tesco will switch from barcodes to QR codes at POS

Europe’s transition towards next-generation product identification under the GS1 Sunrise 2027 initiative has entered a more tangible phase, with recent activity signalling a shift from pilot to practice. The initiative itself is not a mandate to replace traditional barcodes, but a coordinated commitment that, by the end of 2027, retail point-of-sale systems will be capable of scanning two-dimensional codes like QR codes.

What has changed in recent months is the level of operational commitment. Rather than isolated trials, retailers are beginning to embed QR codes into live assortments. Tesco’s decision last month to replace 1D barcodes with 2D QR codes across the entire own label product range marks a notable change. This move builds on two years of pilots and demonstrates that the technical and process challenges, ranging from scanning reliability to data integration, are now sufficiently resolved for real-world deployment.

QR codes structured to GS1 standards can encode batch, date and serialised information, enabling far greater precision in inventory management and recalls. Retailers can isolate affected batches rather than entire product lines, while dynamic data opens the door to improved stock rotation and waste reduction. In addition, the new codes offer consumers, through a smartphone scan, access to extra data like ingredients, allergens, and traceability.

The industry consensus continues to favour a dual-marking period, where 1D and 2D codes coexist to ensure interoperability during the transition. 

Tesco’s move therefore acts as a practical benchmark rather than an outlier. It indicates that Sunrise 2027 is no longer a distant systems deadline but an active transformation underway, with early adopters beginning to define how quickly the rest of the European market will follow.

Europe’s convenience revolution: Proximity retail on the rise

Across Europe, easier is in. Proximity retail is undergoing a transformation, changing how consumers shop and how retailers compete. Once seen as a supplementary channel, convenience stores are becoming more central to grocery strategies, driven by different lifestyles, urbanisation and the demand for immediacy.

A key driver is the overall fragmentation of shopping habits. The traditional weekly supermarket trip is in decline, replaced by more frequent, smaller purchases. Consumers increasingly prioritise speed, accessibility and flexibility, often making last-minute decisions about meals. This behavioural shift has elevated the role of neighbourhood stores, which are now positioned as essential daily touchpoints rather than occasional top-up destinations.

Retailers are responding with targeted expansion and increasingly differentiated concepts. Chains such as Carrefour have built extensive networks of compact urban stores, now numbering in the thousands, reflecting the scalability of the model. In the UK, Tesco is prioritising smaller “Express” formats over large stores, recognising their stronger economics and alignment with urban shopping patterns.

Elsewhere, innovation is accelerating. In Germany, Rewe is testing fully automated neighbourhood formats such as the nahkauf Box, offering 24-hour, staffless access to a curated range of essentials in rural communities. The group is also expanding on-the-go concepts like Rewe Express at petrol stations, combining grocery retail with foodservice to meet demand from customers on the move.

In Spain, DIA has rebuilt its business around dense networks of small neighbourhood stores, while in Belgium and France, Intermarché and Coopérative U are rolling out urban convenience formats tailored to local catchments and high-footfall locations. These formats are increasingly designed around fresh, ready-to-eat and purpose driven shopping.

At the same time, the convenience model itself is evolving. The boundaries between retail and foodservice are blurring, with stores integrating meal solutions, snacking and services into a single proposition. This hybridisation reflects a broader convergence of consumer needs, where shopping, eating and services are seamlessly combined.

Despite strong momentum, the sector faces challenges. Rising operating costs, pressure on traditional categories and intensifying competition, particularly from discounters moving into neighbourhood locations, are testing profitability. Nevertheless, the direction of travel is clear: proximity retail has become a cornerstone of Europe’s grocery landscape, redefining both convenience and customer expectations.

Amazon on top, but grocery giants dominate European retail rankings

Amazon has overtaken Schwarz Group to become Europe’s largest retailer by gross merchandise value (GMV), according to the latest European Top 50 ranking from Retail Cities. The report includes companies in the consumer goods, restaurant, specialty, fashion, and e-commerce sectors. However, the report underscores the continued dominance of grocery retailers, which occupy every position from second to twelfth place.

While Amazon’s rise reflects the growing influence of ecommerce and platform-based models, the rankings reveal that traditional food retail remains the backbone of European consumer spending. Schwarz Group, alongside other major grocers such as Aldi, Edeka and Tesco, continues to command significant scale, with the grocery sector benefiting from its essential role in household expenditure.

The 2026 report, based on Retail Cities’ business intelligence database, uses GMV to measure total ecosystem sales across physical stores, ecommerce and franchise operations. This methodology highlights the resilience of large supermarket groups, whose extensive store networks and increasing investment in digital capabilities have enabled them to maintain strong positions in the rankings.

European retail spending exceeded €4.5 trillion in 2025, growing by €162 billion, or 3.7%. The Top 50 retailers captured €103 billion of this increase—around 64% of total growth—raising their combined share of consumer spending to 41%.

Although ecommerce players recorded faster growth rates overall, no physical retail segment matched the scale and consistency of grocery. The concentration of grocers in the upper tier of the rankings illustrates the sector’s defensive strength, even amid subdued real-term growth and inflationary pressures.

According to the Retail Cities European Top 50 Report, the findings point to a dual dynamic in European retail: rapid innovation at the top, led by Amazon, alongside enduring market power among large grocery operators that continue to anchor the industry.