‘We have a tremendous opportunity to use our global scale to influence positive change’

PepsiCo launches Nutrition Greenhouse incubator: ‘The latest food innovation is coming from both big & small players’

By Rachel Arthur

- Last updated on GMT


Related tags Nutrition Pepsico functional beverage beverage

PepsiCo has launched an incubator programme to help nurture the ‘best and brightest’ entrepreneurs in the nutrition, health and wellness sectors. Eight ‘breakthrough brands’ will benefit from a €25,000 ($26,500) grant each, and access to experts from PepsiCo.  

After the six-month programme, one winning company will be awarded €100,000 ($106,200) to continue its expansion.

PepsiCo is now calling for applications from entrepreneurs to take part in the programme. The deadline is May 15.

What do entrepreneurs get out of this?

The Nutrition Greenhouse programme is PepsiCo’s first nutrition-focused incubator programme in Europe.

Consumer demand for more nutritious food and beverages continues to rise, making it an ‘exciting space’ for the industry, says PepsiCo.

“We have a tremendous opportunity to use our global scale and resources to influence positive change and our ‘Nutrition Greenhouse’ programme aims to help nurture some of the best and brightest entrepreneurs in the food and beverage sector,” ​says PepsiCo. 

PepsiCo will give emerging brands guidance on areas such as brand optimization, product development, supply chain management, customer acquisition and distribution.

There will also be a focus on areas that affect the early life of a business, such as business planning, corporate structuring and fundraising.

Other aspects covered will include how to gain distribution and listings in large retailers; how to manage cash flow; cut-through brand marketing; and how to build a sustainable supply chain.

Who can apply?

Nutrition entrepreneurs with a market-ready health and wellness brand

Brands with sales of €2m or less; not in competition with PepsiCo or its brands

Businesses operating in the European marketplace

Deadline to apply: May 15

Full conditions & applications: 

woman factory entrepreneur istock LiudmylaSupynska

The eight companies will also have the opportunity to partner with PepsiCo experts from brands such as Quaker, Alvalle, Naked and Tropicana.

The exact support will depend on the nature of each selected business.

The eight breakthrough brands will be selected on the basis of:

  • Product and brand qualities (nutrient profile, potential health claims, natural or organic sourcing, clean label and other factors that appeal to consumers, as well as the obvious qualities of taste, brand presentation and value for price)
  • A clear focus on consumer health (includes human performance, condition-specific functionality and healthy lifestyles and life stages).
  • Scalable business model.
  • Uniqueness in the market.

‘Harnessing the best of both organisations’

In 2006 PepsiCo launched its ‘Performance with Purpose’ – a journey to transform the way the company does business ‘to deliver strong financial returns in a way that is sensitive to societal needs’.

Its goal is for the rate of sales growth of nutrition products to outpace the rate of sales growth of the balance of its portfolio.

“We want to connect with entrepreneurs who share our Performance with Purpose vision,” ​a PepsiCo spokesperson told this publication.  

“By working together, and harnessing the best of both of our organisations, we can put innovative new nutritious products into the shopping baskets of people across Europe.

“The latest food innovation is coming from both big and small players, so there are real commercial gains to be made on both sides when you bring the most talented entrepreneurs together with the expertise and distribution networks of large business like ourselves.”

The programme will be led by Juan Ignacio Amat, vice president, nutrition, PepsiCo Western Europe and Sub-Saharan Africa.

PepsiCo generated approximately $63bn in net revenue in 2016, driven by a F&B portfolio that includes Frito-Lay, Gatorade, Pepsi-Cola, Quaker and Tropicana.

PepsiCo says it is ‘working to offer more whole grains, fruits & vegetables, dairy, protein and hydration as we expand our nutrition portfolio’.
Some examples of products are:

  • J7 Apple Juice in Russia (contains the fibre of one apple in every glass).
  • Quaker Oats ‘Super Goodness’ range in the UK to meet increasing consumer demand for simple, wholesome ingredients. The range includes Super Grains containing protein, fibre, and omega 3+ as well as the Super Fruits varieties containing Vitamin B6, C, D and Mineral Zinc to support the immune system. 
  • Tropicana Essentials Probiotics, the first brand to bring probiotics to the mainstream juice consumer. 

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