Food processors searching for more Keto-friendly products are met with difficulty in sourcing the specialty ingredients required to produce high-quality Keto foods at price points that the market will bear. See how Essex eased the strain for a National company!
Believe it or not, the Keto diet has been around for nearly 100 years! Originally introduced in the 1920’s as a treatment for epilepsy, the diet was widely used for nearly two decades, but declined when the use of antiepileptic drugs grew in popularity. Over the past 10-15 years, there has been a resurgence in the use of the diet for health benefits, and weight loss.
The Keto Diet is more than a temporary diet for those who find success – it’s an eating lifestyle that that focuses on eating minimal carbohydrates and high levels of healthy fats, fiber and protein. Keto is gaining in popularity each year. According to a recent industry study, contributing to this popularity is the use of Keto eating habits to treat many conditions, including Alzheimer’s, cancer, and diabetes, amongst other ailments. By 2024, the ketogenic food market expected to reach $12.35 billion USD, at an estimated CAGR of 5.3% during the five-year period of 2019-2024.
While food processors are answering the consumer demand for more Keto-friendly products, sometimes they are met with difficulty in sourcing the specialty ingredients required to produce high-quality Keto foods at price points that the market will bear.
Recently, a small, start-up manufacturer of Keto baking mixes reached out to Essex Food Ingredients frustrated with the complexity of their supply chain. The manufacturer produces keto-friendly baking mixes utilizing co-packers across the United States.
the United States. They were in the early stages of product development. Sourcing multiple Keto-friendly ingredients with higher minimum order quantities (MOQs) from many suppliers was proving to be a strain on their process. Having the same ingredients shipped to several co-packing sites across the Country added to the pressure. The product costs were exceeding the target price for their products.
The Essex team quickly went to work studying the manufacturer’s current ingredient list, and how we could ease the strain by analyzing the logistics requirements of shipping to multiple co-packers nationwide. Essex handled all the ingredients the manufacturer required for their formulas. We were able to introduce stock items into the formula, and supply the entire ingredient deck, which controlled product costs while the customer launched and scaled. Our broad network of distribution centers, along with our partnership with all the top ingredient manufacturers in the industry, allowed us to create a logistics plan that lowered shipping and MOQ costs. Partnering with Essex allowed the company to order smaller quantities of multiple ingredients to each copacker and fill supply chain.
As the customer grows, Essex has the bandwidth to adapt and supply large quantities of each ingredient to each location at extremely competitive rates.
One-stop-shopping with Essex saves time and money, by eliminating the costs associated with working with multiple suppliers, including many orders, many invoices, high shipping costs, and the time spent sourcing each ingredient.
Essex is the ideal partner for food manufacturers and processors who want to preserve their reputation for great tasting products. Using us as your food ingredient distributor allows you to focus on what you do best: Growing your business! Let us source your ingredients, secure forecasted inventories, process multiple invoices, and manage & build relationships with ingredient manufacturers while YOU develop the products consumers demand.
Our staff of industry experts and position in the supply chain, paired with our strong relationships with the industry’s top ingredient manufacturers allow us to source your ingredients – even the most hard-to-find ingredients – quicker than anyone. The same position allows us to create warehousing and logistics plans that work for your operational priorities. We have low minimum order quantities which will allow you to only order what you need, and develop a plan for future shipments, when you need them.