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These days, a single viral post can turn a humble dish into a global sensation overnight.
"Over the past two decades, social media has completely transformed consumer behaviour across all sectors, particularly across the food, beverage and agribusiness (FBA) supply chain."
After thousands of years of trying to get children to eat vegetables, suddenly one quirky TikTok video can transform something like cucumber into the next trendy superfood, which every kid wants to eat.
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TikTok creator Logan’s viral “Eating an entire cucumber” trend. Photo Credit: Logan Moffitt
Meanwhile, while whipped coffee (or “dalgona”) may have had humble beginnings in Macau in the 1990s, when it hit TikTok in early 2020 it suddenly became a global sensation – helped by the fact that it gave millions of people in Covid quarantine something to do.
Over the past two decades, social media has completely transformed consumer behaviour across all sectors, particularly across the food, beverage and agribusiness (FBA) supply chain.
The use and impact of social media has evolved dramatically – from a simple way to share photos on MySpace and Flickr, into a fundamental driver of social behaviour, which impacts everything from product demand to agricultural practices.
Social media platforms like TikTok, Instagram and Pinterest don’t just set trends – they have redefined the ways in which consumers discover, engage with, and purchase products.
This has also meant that around the globe, the pace at which food trends spread has accelerated enormously, forcing stakeholders right across the entire food supply chain to change the way they adapt to consumer preferences.
The early days
Launching in 2003, MySpace was arguably the first major social media platform, allowing FBA brands to directly promote their products in a more interactive way.
Over subsequent years, MySpace was overtaken by Facebook and Instagram as crucial marketing tools for FBA companies to both raise brand awareness and engage customers.
One early example was the online campaign by Kraft in 2009 to seek a name for its new cheesy spread version of Vegemite.
The online poll was one of the first of its kind, and while the ultimate selection of the name iSnack 2.0 was arguably not a success (it was changed within months to Cheesybites), it did create huge online publicity around the product.
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Vegemite’s online campaign where in 2009 the company crowdsourced the name of a new product.
Newer platforms
Since it was launched in 2016, TikTok has rapidly grown in popularity, especially among younger demographics. By some estimates, every month around 8.5 million Australians are active on TikTok, and over one billion globally.
TikTok’s short form video content has become the new focus for viral food trends.
For example, in 2021, the baked feta pasta trend led to feta cheese shortages in supermarkets in many countries.
One prominent recent example was the TikTok cucumber salad trend, which has seemingly remained strong across 2024, with prominent TikTok identities coming up with innovative new salads based around cucumbers.
Despite some media reports of cucumber shortages in Australia, this was apparently not the case - though supermarkets did report being “thrilled” to see this social media trend encouraging more Australians to eat fruit and vegetables.
Other newer social media platforms have also been increasingly influential.
For a while, Instagram felt like the platform that your new date used to take photos of his or her restaurant meal to send to their friends, while you waited patiently.
In a way, FBA companies have utilised Instagram in a similar fashion, creating “Instagrammable” products, designed to look as good as they will presumably taste.
Companies like Starbucks have relied heavily on Instagram marketing, using the platform to launch seasonal and limited-edition drinks, using visually striking photos and fan-created images which followers will replicate.
In Australia, Four Pillars Gin effectively uses Instagram to showcase their bottles in creative settings and provide recipes for cocktails made by top bartenders.
Snapchat, the quirky app that lets users send disappearing messages and share fun stories with snazzy filters, has become a playground for younger audiences, especially Gen Z and Generation Alpha.
These platforms are also being increasingly used upstream in the food supply chain, by agribusinesses and farmers, for themes around promoting sustainability, exchanging farming practices, and providing consumers with more transparency on the food supply chain.
For example, many organic farms utilise Instagram and Facebook to attract environmentally conscious consumers and strengthen the brand of their products.
The Australian “Grain Growers” group uses Facebook to share success stories about precision agriculture, as a way of seeking to improve efficiency and productivity across the agricultural supply chain.
Through posting videos on Instagram of cows grazing, “Dairy Farmers” of Australia is seeking to provide consumers with a greater awareness and comfort with their food source, and at the same time increase sales of their products.
In terms of larger agribusinesses harnessing social media, GrainCorp, a major grain handling company, uses LinkedIn to share advancements in grain storage, attracting partners interested in efficiency.
Similarly, farm machinery firms like Case IH showcase their latest equipment on Instagram, appealing to farmers looking for productivity gains.
Viral trends, the pitfalls and promises
New social media platforms may have their advantages for FBA companies, but they also come with some risks.
One major concern is supply chain risk, where rapid shifts in consumer demand triggered by viral trends can lead to shortages.
For instance, the whipped coffee craze during the COVID-19 lockdowns reportedly caused instant coffee shortages across Australia as supermarkets struggled to keep up with skyrocketing demand.
In contrast, the rise and fall of the energy drink Prime, launched by prominent YouTubers Logan Paul and KSI, and heavily promoted on platforms like TikTok and YouTube, highlights a risk that comes with short term viral-driven consumer demand.
This scenario underscores the importance of cautious inventory management for businesses reliant on short-lived social media hype, as the initial buzz may not necessarily sustain long-term sales.
Unlike the brief hype around Prime, celebrity-endorsed tequila brands have proven resilient, thanks to savvy social media use. A multitude of big names – including George Clooney, LeBron James, Dwayne “The Rock” Johnson, Kendall Jenner and Mark Wahlberg - have successfully leveraged their fame and these platforms to build longterm demand.
Celebrity-endorsed tequilas thrive due to combing the famous names with quality and lifestyle appeal; consumers want to experience the luxury and authenticity these celebrities embody, often highlighted on visually rich platforms like Instagram and TikTok.
In pitching to new generations of consumers, companies must also be careful around compliance and reputational risk, around such areas as ensuring that claims that a product is “healthy”, “organic”, or “sustainable” are verifiable.
Social media’s global impact
The impact of new social media platforms on FBA companies varies widely across global regions, shaped by local habits and the popularity of specific platforms.
In China, for example, WeChat and Douyin dominate the social media landscape.
Brands like Haidilao, a popular hot pot restaurant chain, utilise these platforms for live-streaming promotions that boost customer engagement and sales.
This model contrasts sharply with the situation in India, where TikTok’s ban in 2020 has left a gap that regional platforms like Moj are slowly filling. Despite these challenges, Indian food brands like Haldiram’s have turned to platforms like Instagram to promote traditional snacks, effectively reaching a younger audience eager to connect with their cultural roots.
The European Union (EU) presents a more complex landscape for FBA companies using social media due to stringent regulations on advertising and data privacy. For example, a beverage company aiming to launch a targeted campaign on Instagram must ensure that it complies with data privacy laws, which restrict the collection and use of personal data for ad personalisation without explicit user consent, limiting the extent to which it can personalise ads. Furthermore, cultural differences can affect platform usage; while Instagram thrives in many EU countries, others, like Germany, have seen a rise in alternative platforms like Telegram.
The future
As platforms like TikTok, Instagram and Snapchat continue to evolve, their influence on the FBA supply chain is expected to grow even further, particularly through the increasing integration of e-commerce into social media platforms.
Platforms like Instagram and TikTok are increasingly incorporating direct shopping features, allowing users to purchase food products directly from a post or video.
Artificial intelligence (AI) and predictive analytics will also play a crucial role in the future of the Australian food and beverage supply chain.
These technologies will enable companies to accurately forecast demand, streamline their supply chains, and minimise inefficiencies.
For instance, a popular café could use AI to analyse social media trends and predict an increase in demand for plant-based menu items, allowing them to adjust their inventory accordingly.
Similarly, a local winery might leverage predictive analytics to anticipate customer preferences for specific wine varieties during certain seasons, optimising production schedules to meet consumer demand effectively
Social media has evolved from a mere marketing tool into a powerhouse reshaping the food, beverage, and agricultural supply chain.
What began with Facebook and Instagram has transformed into a vibrant ecosystem, with TikTok leading the charge in sparking viral trends that can change consumer tastes in the blink of an eye.
Companies that master these platforms can unlock tremendous opportunities to boost sales and enhance brand visibility, but they must also navigate the challenges of unpredictable demand.
Sara McCluskey is head of Diversified Industries, ANZ Institutional
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The views and opinions expressed in this communication are those of the author and may not necessarily state or reflect those of ANZ.
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