Key Takeaways
- Oobli focuses on sweet protein technology, shifting from consumer products to B2B collaborations.
- The company partners with major players like Ingredion and Mars to reformulate sweetener systems in food and beverages.
- Oobli has discontinued its teas, now relying on partners to integrate their sweet protein solutions into existing products.
Oobli’s Strategic Shift in the Sweetening Market
In 2023, Oobli began gaining traction with its innovative sweet teas and chocolates aimed at promoting its precision-fermented sweetener. Positioned at the crossroads of the protein-maxxing and healthier eating trends, the idea of utilizing protein as a sweetening agent initially appeared promising. However, recent developments in the food industry, particularly the rise of MAHA and GLP-1s, have shifted the focus for food companies. This evolution has led businesses to revamp their offerings and expedite new product launches to align with these trends.
In a recent discussion on The Spoon Podcast, Oobli CEO Ali Wing emphasized the company’s dedication to becoming a sweet protein technology platform. “We really make our money and our business model is as a specialty ingredient that can be something that replaces sugar or changes sweetening systems in packaged food and beverages,” Wing explained.
Transitioning from direct consumer products to a B2B model aligns with the realities of the consumer packaged goods (CPG) sector. Rather than competing to build a standalone brand in a market crowded with capital-intensive ventures, Oobli aims to collaborate with companies that possess extensive distribution networks. Partnerships are integral to their strategy, enabling the reformulation of sweeteners rather than focusing on shelf ownership.
Wing described this collaborative approach, stating, “We kind of think of our partners like Ingredion as an ‘and strategy.'” For projects requiring close cooperation, Oobli is open to co-investment in formulation development, while established partners assist in additional product formulation efforts.
In particular, Oobli has fostered significant partnerships with Ingredion, an ingredient supplier, to integrate sweet protein solutions into existing sweetener systems. Additionally, they are working with Mars to explore various facets of its enterprise. This integration helps address the complexity of sweetening systems, as Wing noted, “most packaged goods very rarely has one sweetener, and it’s usually a sweetener system.”
Despite initial forays into consumer products with teas, Oobli has since shifted focus, discontinuing these offerings. The move aims to allow larger food brand partners to spearhead the integration of their sweet protein solutions. This change comes in response to market demands for healthier sweeteners and increased nutrient density, a particular priority for GLP-1 users. As Wing stated, “Sweet proteins show up really well in both those places.”
As Oobli adjusts its business model to suit the changing landscape, the focus remains on aligning with industry giants to harness the potential of sweet protein solutions, positioning itself as a key player in the evolution of sweetening systems within the food industry.
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