At first glance, the dietary supplements business couldn’t be more different than the food and beverage industry. Both have unique brands and regulatory frameworks to navigate.
With that said, the industries share similar supply chains that include many of the same stakeholders, consumer calls for transparency, and obstacles in bringing new products to market.
That’s why it made so much sense for TraceGains, the leader in food safety, quality, and compliance management software in the food and beverage space to acquire Healthnotes in July.
When I first spoke with TraceGains CEO Gary Nowacki, we realized that while our industries might be different, we’re trying to accomplish the same thing. An advanced network platform where manufacturers and suppliers collaborate to speed along new product development (NPD) while simplifying the management of complex regulatory and quality issues. We decided we might as well do it together.
Supplements customers, their suppliers, and ultimately retailers, can now benefit from a new combined network. TraceGains Network can help power a push toward new products and functionality that extends well beyond Healthnotes’ quality control and regulatory solutions to help our customers with the challenges they face in procurement, R&D, and NPD.
For more than 20 years, retailers have been taking advantage of the Healthnotes ingredient database to help their customers make better decisions. With TraceGains, there are tremendous opportunities to rapidly expand the ingredient and regulatory databases to support the needs of the food industry, especially in the natural food space, where new products, novel ingredients, and claims like “organic” and “non-GMO” need additional compliance support.
Food manufacturers have recognized a profound shift in consumer demand, with nearly 16 percent of new products launched in 2015 making non-GMO claims. In 2012, less than 3 percent of products made such claims. New organic claims have seen a similar arc, doubling in that same time frame.
At TraceGains, we not only recognize these trends in the marketplace but embrace the opportunity to serve both industries. TraceGains eases the administrative burden of both manufacturers and suppliers with standard forms used for sharing information more easily. In addition, the data shared in the qualification process becomes a digital asset that can be used to create reports and dashboards that provide powerful insight to drive process improvement.
I’ll be part of the panel discussion “How Blockchain & Related Technology is Transforming the Supply Chain” at SupplySide West 2018 at 1:30 p.m. on Wednesday, Nov. 7 at Mandalay Bay in Las Vegas. You can set up a time to meet here.