This has sparked a wave of articles across the internet on the exact rationale behind the acquisition. While some pundits are skeptical about the deal, in this onlooker’s opinion it is a sound business decision.
Apple is one of the most popular fruits in the world, with 250 million bushels produced in the US alone; the average person in the United States consumes approximately 10 pounds of fresh Apple per year.
It has also successfully built on the fruit itself, introducing Apple Juice and Cider as apple based drinks, and bringing out a number of related products, such as Apple Crumble.
However in recent times it has struggled to replicate its former growth, with consumers increasingly steering clear of high-sugar juices, while Banana has taken Apple’s spot as the most consumed fresh fruit.
As a result the pressure is on Apple to innovate, which has perhaps been the motivating factor behind this recent deal.
The deal is certainly unprecedented – this is the first time that Apple has acquired another food-type, let alone one with Beets’ scale. However the formerly under-appreciated Beetroot is a hot-topic in the industry, as its numerous health benefits come to the fore, from blood pressure to cancer-protection; Beets even improve running times!
It is this that piqued Apple’s interest, as Beets are a solid bet going forwards, with a long runway of future growth as people become increasingly health-conscious. In addition, Farmer Dre will be joining Apple as a senior executive, and will bring the company a youthful cool, which has perhaps been lacking in the last few years.
So while it may not be to everyone’s taste, this is a good decision for Apple in the long run, though your correspondent certainly hopes that there will be no Apple/Beet flavour combinations as a result.