Key takeaways:
- Fermentation-derived grape ingredients can reduce sugar and sodium while maintaining flavour, texture and overall product performance.
- Multifunctional systems are replacing single-function ingredients, helping manufacturers simplify formulations and improve cost efficiency.
- Scalable performance remains the biggest barrier, with solutions gaining traction only if they integrate seamlessly into real-world production.
Clean label reformulation has always come with a catch. Take something out and something else gives. For years, that trade-off has been tolerated – even expected. But as nutritional targets tighten and cost pressures persist, that compromise is becoming harder to justify.
Manufacturers aren’t just being asked to reduce sugar or sodium anymore. They’re expected to maintain indulgence, keep pricing competitive and deliver consistent performance at scale. In practice, most solutions still solve one problem while creating another.
That pressure is pushing formulators to rethink their approach. Developers are no longer simply swapping ingredients – they’re reworking how formulations function as a whole.
Companies like Crush Dynamics are gaining attention as that shift accelerates, particularly as fermentation-derived approaches move from niche to practical application. The Canadian company – which ranked 92nd on the 2025 FoodTech 500 by Forward Fooding – works with nutrient-dense pressed grapes, using a proprietary fermentation process to ‘activate’ naturally occurring compounds and transform them into versatile, multifunctional ingredients that developers can build into formulations with confidence.
“Our climb up the FoodTech 500 year after year proves that Crush Dynamics is driving real change,” says CEO Kirk Moir. “By tackling formulation challenges with a science-backed ingredient technology, we’re not just innovating, we’re delivering measurable results, and it’s rewarding to see that recognised on a global stage.”
According to Moir, the momentum is being driven by “a clear shift in the industry toward clean label, functional ingredients that actually deliver on both performance and cost.
“Manufacturers are under increasing pressure from both regulators and consumers to improve nutritional profiles without compromising taste or price,” he adds. What’s cutting through is “our ability to offer a solution that does both: reducing total sugar and sodium while maintaining flavour, texture, and scalability in real-world applications.”
Fermentation is becoming a functional tool
Fermentation is no longer just about preservation or flavour development. It’s increasingly being used to unlock functional performance within ingredients, allowing them to play a more active role in formulation.
“The key is our patented fermentation process, which activates and transforms compounds within the whole grape biomass into a proprietary, multifunctional ingredient,” says Moir.
That shift from passive to active functionality is what changes the formulation dynamic. “This process enhances naturally occurring polyphenols and other components, so they don’t just exist – they actively work in the system,” he explains. “That’s what allows us to modulate sweetness, reduce bitterness and build mouthfeel at the same time.”
The company is applying this approach across both purée and powder formats designed for flexibility in real-world applications. Derived from upcycled red and white grape streams, these clean label ingredients are positioned as flavour modulators that can reduce sugar, sodium and starch while addressing bitterness and off-notes. Available as high-moisture purées and spray-dried powders, and labelled simply as ‘grape purée’ or ‘grape powder’ in the US, they’re designed to integrate into existing processes across categories, from frozen desserts to sauces and beverages to plant-based and protein-based applications, while remaining non-GMO, allergen-free and suitable for vegan and halal formulations.
Instead of replacing a single function, the ingredient helps rebalance multiple attributes at once. “Because of this, we’re not introducing a typical trade-off. We’re enabling a functional replacement that helps manufacturers achieve sugar and sodium reduction while maintaining the taste and texture consumers expect.”
Where reformulation usually breaks down
The difficulty with reformulation isn’t removing sugar or sodium – it’s everything that happens after.
“The biggest challenge was reducing sugar without losing the characteristic sweetness, body, and caramelised flavour profile that defines BBQ sauce,” Moir explains, referencing a recent application. “When you remove sugar, you typically get increased acidity, bitterness from spices and smoke, and a thinner mouthfeel.”
That cascade effect is typical across categories. “The BBQ sauce application is a strong example of where formulation challenges come together – sugar reduction, flavour balance, and texture all at once.”
To address this, the ingredient was used as part of the full system rather than a direct replacement. “Our ingredient helped address this by acting as a multifunctional system – softening acidity, rounding out bitterness and rebuilding body so the sauce still delivered that classic BBQ experience.”
Because it integrates into the formulation, it allows reductions without destabilising the product. “It allowed the team to reduce sugar while maintaining flavour intensity and consumer-expected texture,” Moir adds.
In a controlled study, that translated into measurable sensory gains, with 90% of panellists perceiving the reformulated sauce as thicker and more satisfying compared to a starch-based control.
More broadly, Moir points to a wider opportunity and a persistent gap. “The biggest opportunity is delivering meaningful sugar and sodium reduction without sacrificing taste, texture or cost, because that’s where most solutions still fall short. Brands are actively looking for ways to clean up labels while maintaining the indulgence consumers expect.
“Where we’re seeing real traction is in systems where flavour balance and mouthfeel are critical. Our ingredient helps round out sweetness, reduce bitterness and maintain structure, which makes it easier to hit reduction targets without compromising the eating experience.”
But the barrier remains. “The biggest barrier is still performance at scale,” he continues. “Many clean label alternatives don’t translate well from bench to production or come with cost and formulation challenges. What’s resonating with manufacturers is having a solution that’s not only label-friendly but actually works in real applications and integrates into existing processes.”
Simpler formulations, stronger economics
The implications go beyond formulation: as ingredient lists grow, so does complexity and cost.
“Our ingredient replaces multiple inputs in a formulation, which simplifies supply chains, reduces ingredient complexity and can lower overall formulation cost,” says Moir. “By removing the need for separate sweeteners, flavour maskers and texturisers, you’re streamlining the system.”
Shelf life is another area where formulation decisions are having a wider impact. “Shelf life extension has a direct impact on both food waste reduction and commercial efficiency. By improving stability in formulations, manufacturers can reduce spoilage, returns and markdowns at retail – meaning less product is lost once it reaches the shelf.”
That impact extends further into operations. “From a supply chain perspective, it also gives brands more flexibility in forecasting, distribution, and inventory management. Longer shelf life helps reduce pressure from tight shipping windows and allows for broader geographic reach without compromising product quality.”
Ultimately, the benefit is systemic. “It’s not just a retail advantage – it improves overall system efficiency by reducing waste, lowering cost-to-serve, and increasing the commercial viability of clean-label products at scale.”
A customer study suggests shelf life can be extended by around 54%, reinforcing how formulation decisions are increasingly tied to cost control and waste reduction, not just label claims.
The shift away from single-function ingredients
The industry’s tolerance for compromise is shrinking. With regulators tightening rules, retailers setting reformulation targets and consumers still expecting indulgence, manufacturers can’t afford to trade one attribute for another. They still need to hit nutritional targets, but not at the expense of everything else.
“The next big shift in food formulation is moving from single function ‘replacement ingredients’ to multifunctional systems that deliver health, performance and affordability in one solution,” says Moir. “Manufacturers are no longer willing to trade one attribute for another – reduced sugar or cleaner labels only works if taste, texture, and cost still hold at scale.
“We see a continued shift toward fermentation-derived technologies that create real functional value, not just label appeal. The winners will be solutions that integrate seamlessly into existing manufacturing systems while improving nutrition profiles and maintaining commercial viability from day one.”
That raises the bar. Reformulation is no longer about what can be removed. It’s about how effectively a product can be rebuilt so that nothing feels missing in the first place.
