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Posts Tagged ‘natural’

Natural and Green Appeal

21 Mar

According to a recent article in FoodProductDesign.com, two paths,”natural” and “green” are being incorporated into food product design, development and marketing. In 2009, Chicago based research firm, Mintel in their Global New Product Database announced that the No. 1 claim on food labels was “natural”.  Sales of food that carried “natural” on the label were $23 billion in 2008. Natural color ingredients showed a significant shift in the trend for developing and marketing new food products.

Green products that attend to social and environmental issues have also seen a big surge in sales. Terms such as “biodegradable”, “locally grown”, “eco-friendly”, “sustainable”, “fair trade”, and “cage-free” are popular product descriptions and market positioning that are influencing consumer purchases. Packaged Facts projects that food products with these ethical claims will see a growth rate up to 57% through 2014.

Designing and developing new food products with “natural” of “green” claims can make a difference in your product success. However, make sure that consumer expectations are met, and the perceived value, especially for more-expensive products, encourages them to spend on the new product.

 

Distribution Channels

21 Mar

How do you get your product distributed once you determine your retail channels. Below is a list of different distribution channels

Specialty/Gourmet Foods Distributors: Mainly dry groceries.

  • Stores Served: Specialty / Gourmet, Health / Natural, Supermarkets, Convenience Stores (C-Stores)

Health/Natural Foods Distributors: Mainly dry foods some frozen and refrigerated foods

  • Stores Served: Health/Natural, Specialty / Gourmet, Supermarkets

Rack Jobbers: Dry groceries, usually high volume items

  • Stores Served: All types, including food service accounts.

Wholesalers: These supply supermarkets with most of their inventory. Huge variety of groceries, dry, frozen, refrigerated, frozen, plus HBA, and sundries

  • Stores Served: Mainly Super and C-Stores, but some Specialty and Natural.

Warehouse Distributors: Anything and everything in pallet quantities.

  • Stores Served: Usually Their Own; Clubs, Drug, Department Stores

Food Service Distributors: Anything and everything a food service operation uses.

  • Stores Served: Supermarkets, Restaurants, Hotels, Delis, Schools, Hospitals…
 
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