BCBusiness

November 2014 Politics for Sale

With a mission to inform, empower, celebrate and advocate for British Columbia's current and aspiring business leaders, BCBusiness go behind the headlines and bring readers face to face with the key issues and people driving business in B.C.

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O ver the years, Greg Blake, co-founder of Daiya Foods, has watched his product track around the grocery store— from the produce sec- tion (think tofu) to the natural foods aisle and fi nally by the milk— with much anxiety and anticipation. When Kraft is on the next shelf up, "there's a real expectation of moving more product." Daiya—the East Van- couver company that pioneered a dairy-, gluten- and soy-free cheese-like substance— saw its manufacturing capacity double and sales rise 50 per cent in 2013. Now under a new CEO—Terry Tier- ney, previously CEO of Whole Foods' in-house coff ee brand, Allegro— Daiya wants to move past shreds, spreads and blocks, with packaged foods, such as frozen pizza, in its sights. Blake says the success of Daiya and its growing list of competitors in the vegan/vegetarian processed-foods mar- ket—Tofuti's dairy-free pizza, Tofurkey and Silk—is tied to the increasing popularity of veganism and the hunt for a dairy- free substance that mimics the texture and consistency of cheese. (The Daiya product on shelves today is a composite of tapioca and arrowroot fl ower, palm, coconut and canola oils, fl avouring and proteins from peas.) Shifting consumer preferences have led to a boom in the food- aller�y and -intolerance market, projected to be worth $26.5 billion by 2017 according to Global Industry Analysts. Blake decided to create a composite free of whey, casein and soy because he and his co-founders saw the market opportu- nity for a dairy- and gluten-free cheese— often the hardest food for those with dairy sensitivities to give up. "Consumers are not making the conces- sions they would have in the past," says the long-time vegan. Since launching in 2009, Daiya has moved from the natural health food stores to conventional grocers and expects to be in 14,000 stores across North America by year's end, up from 12,000 at the end of 2013. The company has also landed contracts that will see its products served in cafeterias at the Google Campus, Microsoft and the University of California Berkeley. Ready to move past its just-for-vegans reputation and solicit a new kind of customer, Daiya is leaning heavily on in- store sampling, says Blake. "We want to get to a point where someone comes back from their doctor, has been told to watch their cholesterol, they buy and taste Daiya and say—'I think I can do this.'" ■ november 2014 BCBusiness 23 Fakin' it It can bubble, melt, stretch and spread. Now thanks to rising consumer aller�y anxieties and cheesy technological advantages, Vancouver-based Daiya Foods hopes to take fake cheese to the next level by Jacob Parry m A N U f A C t U r i N g The Experts So, this thing you're selling—is it cheese? How healthy is your "cheese" compared to the competition? Pretend you're on Dragons' Den and you need an inves- tor: Why buy your cheese? Jonah and Andrew Benton Benton Brothers Fine Cheese As far as we're con- cerned, non-dairy cheese isn't cheese so it's not really much of a comparison. Cheese has been consumed for thou- sands of years. The dairy-free sort may have lots of health benefi ts, but it's not cheese. It's a simple, natural product. And it tastes good. Greg Blake Co-founder, Daiya Foods Absolutely. We compare ourselves against a dairy-based gold standard (which I won't disclose). No cholesterol, and much less saturated fat compared to dairy-based cheese. Everyone knows someone who's lac- tose intolerant. We off er a no-compro- mise alternative with the stretch, melt and creamy characteris- tics that eaters desire. Cheddar Cheese vs. Daiya Nutritional information Calcium protein Fat Saturated Fat Cholesterol 360 mg per food guide portion 12.5 g per food guide portion 16.5 g 10.5 g 52 mg none 2.5 g per food guide portion 11.25 g 5 g none

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