From Goldfish to Gut Health: The Evolution of Functional Snacking

The snacking industry is undergoing a transformation, driven by a growing demand for health-conscious and functional foods. Consumers are no longer satisfied with traditional snacks—they seek options that align with their wellness goals and dietary preferences.

To explore this shift, I spoke with Kevin Head, Director and Head of the D365 Food & Beverage industry at RSM. His insights reveal three key themes: emerging industry trends, the role of Microsoft technologies, and real-world success stories from RSM’s clients. Together, these perspectives illustrate how innovation and intentionality are reshaping the future of snacking.

Industry Trends: From Indulgence to Intentionality

The snacking landscape has undergone a seismic shift. What was once dominated by convenience and indulgence, think Goldfish crackers and sugary granola bars, is now being reshaped by a new wave of health-conscious consumers. As Kevin Head noted, “People look more now than they probably ever have at labels, right? And what’s in their food and what’s in their products.” This growing awareness has fueled demand for functional ingredients and personalized nutrition.

The rise of apps like Cal AI, which use artificial intelligence to scan food labels and track macros, reflects a broader trend: consumers want transparency, control, and health benefits from their snacks. Whether it’s gut-friendly probiotics, protein-packed bites, or low-glycemic alternatives, snacking is no longer just about curbing hunger, it’s about fueling performance and wellness.

This evolution is also being driven by generational shifts. Millennials and Gen Z are not only more health-conscious but also more tech-savvy. They expect the brands they support, and the companies they work for, to reflect those values. As Kevin Head put it, “They don’t want to work on a 30-year-old AS400 application. They want to work with AI. They want to work in modern applications.”

One Microsoft: Modernizing the Food & Beverage Stack

The food and beverage industry is undergoing a digital awakening. Historically focused on product quality and distribution efficiency, many companies in this space have lagged in adopting modern technology. But that’s changing rapidly. As legacy systems become increasingly difficult to maintain, and less attractive to younger, tech-savvy talent, companies are turning to Microsoft’s cloud ecosystem to modernize operations and futureproof their businesses.

RSM’s One Microsoft practice plays a pivotal role in this transformation. On the ERP side, Microsoft Dynamics 365 Finance and Supply Chain Management (F&SCM) is helping clients streamline production process, warehouse movements, and financial operations. RSM has also developed proprietary IP like their Commodity Contract Management (CCM) module, which is especially valuable for any commodity-based businesses. Another standout is RSM’s enhancement of Trade Promotion Management (TPM) capabilities, which helps food and beverage companies optimize pricing strategies and compete effectively in crowded markets.

On the Microsoft Dynamics CE (Customer Engagement) side, RSM is delivering tailored solutions that go beyond traditional CRM. Field Service is a major area of innovation, particularly in the bottling and distribution space, where RSM has built tools to manage service operations for both large and small bottlers. Sales modules are also widely used, often integrated with ERP and TPM systems to provide end-to-end visibility from customer engagement to product delivery.

These tools are not just about efficiency, they’re about enabling growth, attracting talent, and staying competitive in a rapidly evolving market. Whether it’s through cybersecurity improvements, AI integration, or regulatory tracking, RSM’s One Microsoft approach is helping food and beverage companies modernize with purpose.

RSM Success Stories: Scaling Innovation from Dairy to Dressings

RSM’s impact in the food and beverage industry is best illustrated through its partnerships with companies that have embraced digital transformation to modernize operations and scale growth.

Taylor Farms, one of North America’s largest producers of fresh salads, turned to Microsoft Dynamics 365 Supply Chain Management and Finance to unify its operations across 22 production facilities. With RSM’s support, the company standardized processes, improved data consistency, and enhanced productivity. The result: a scalable, cloud-based infrastructure that supports Taylor Farms’ mission to deliver fresh, high-quality products efficiently across food service, retail, and deli segments.

Tillamook, a 100+ year-old farmer-owned dairy cooperative, partnered with RSM to transition from spreadsheets and outdated legacy systems to a cloud-based Microsoft Dynamics 365 platform. This move enabled the company to streamline back-office operations, improve inventory visibility, and respond to demand volatility—especially critical during the COVID-19 pandemic. The transformation also laid the groundwork for national expansion, allowing Tillamook to enter new markets and channels with confidence.

Mizkan America, a 220-year-old Japanese-owned food manufacturer known for brands like RAGÚ®, Bertolli®, and Nakano®, faced the challenge of unifying its vinegar and sauce operations, which were running on separate ERP systems. RSM led a full-scale transformation to Microsoft Dynamics 365, consolidating operations into a single platform. This not only resolved reporting and integration issues but also positioned Mizkan for future growth and acquisitions. Their CIO praised RSM’s Rapid Verification Model and deep industry expertise as key to the project’s success.

These stories highlight how RSM’s One Microsoft approach, combining industry-specific knowledge with scalable cloud solutions, empowers food and beverage companies to modernize, grow, and thrive in a rapidly evolving market.