As a food business owner, what is your most technological piece of equipment? I’m betting it’s not the drink dispenser.
Coca-Cola is looking to change the soft drink industry. This summer, Coke started testing its new dispenser called the Freestyle in California, Georgia, and Utah. The dispensers resemble computer kiosks and blow regular fountains away. Each can pour over 100 varieties of soda, juice, tea, and flavored water. To offer that many flavors in such a small space, Coke has developed new syrups that are highly concentrated and only require a few drops to make an entire cup of beverage. Coke borrowed this technology (aka “microdosing”) from the medical industry. Microdosing is used to deliver a precise amount of anesthesia to surgery patients. Each syrup is loaded into a cartridge similar to an ink cartridge for a printer.
Not only does the Freestyle employ potent (and tiny) flavor cartridges, but it also houses some pretty technologically-advanced hardware. Each Freestyle has a dedicated IP range and contains a wireless internet card. This allows up-to-the-minute point-of-sale data to be sent directly back to Coke Headquarters. With this data, Coke can see what cartridges are low and need to be re-ordered and customer drink preferences depending on day, time, region, type of restaurant, etc. For example, one Freestyle test site has delivered data that consumption of Caffeine-free Diet Coke severely increases in the late afternoon showing that consumers are worried about drinking caffeine and sugar later in the day. With this information, the LCD screen on the Freestyle can showcase caffeine-free and sugar-free beverages during those hours. This could possibly entice customers who might just get tap water or not get a beverage at all.
The Freestyle can also be used to test new Coke products. In the past, Coke would bottle new beverages, send them to market, and hope for success. Now Coke can try new drinks in the Freestyle simply by sending recipes via the internet straight to the device. If the flavor is a hit, Coke could then consider bottling it.
YouTube video http://bit.ly/5s20X5
Freestyle article http://bit.ly/7dRcjo
As a food business owner, what do you think about the Freestyle? Do you think this will help you with ordering, inventory, and availability of different drink choices? As a consumer, are you excited to test the Freestyle or is it too high tech?
Friday, November 20, 2009
Friday, November 13, 2009
Making this holiday season a happy one for your customers
With the recession still in full swing, customers may not be in the best of moods this holiday season. Budgets are tighter but gifts still need to be purchased. As an agricultural product retailer, how can you drive customers to your business?
Coupons are king this holiday season. In the Benchmark Survey on Consumer Coupon Behavior, 30% of consumers said the would choose a retailer that offered coupons and 20% said they would leave one store and go to another if they offered coupons. To inform customers about your coupons, get blogging! Write about your deals in your own blog and then send info to coupon sites, people who tweet about deals on Twitter, and other deal bloggers. Don't forget about search engine optimization (SEO) or pay per click ads (PPC) when you are adding content to your website. Include info about the holidays in your blog entries and articles and use holiday keywords.
One type of coupon/discount is to offer free shipping. Shipping may be costly, but a recent study by Shop.org reported, "Of those intending to run free shipping offers almost 80 percent will make them conditional, which usually means a customer must purchase a specific item or spend a set dollar amount to qualify.” By offering free shipping (even if it is conditional), customers may perceive this as a discount.
People want to give back to those in need this holiday season, but might find it hard to do so with limited income. You can help customers provide for the needy when they are purchasing your goods. For example, with every $50 or more purchase from Oregon Growers and Shippers (www.oregongrowers.com), they will donate a jar of their marionberry jam to the Oregon Food Bank. Also to drive customers to their site, Oregon Growers and Shippers is sending recipes that use Oregon products to bloggers.
Holiday article
http://www.openforum.com/idea-hub/topics/money/article/how-to-avoid-the-bah-humbug-spirit-from-consumers-this-holiday-season-janet-thaeler
As an ag entrepreneur, what are you doing to drive customers to your business this holiday season? Have you already or do you plan to employ any of the tactics I mentioned above?
Coupons are king this holiday season. In the Benchmark Survey on Consumer Coupon Behavior, 30% of consumers said the would choose a retailer that offered coupons and 20% said they would leave one store and go to another if they offered coupons. To inform customers about your coupons, get blogging! Write about your deals in your own blog and then send info to coupon sites, people who tweet about deals on Twitter, and other deal bloggers. Don't forget about search engine optimization (SEO) or pay per click ads (PPC) when you are adding content to your website. Include info about the holidays in your blog entries and articles and use holiday keywords.
One type of coupon/discount is to offer free shipping. Shipping may be costly, but a recent study by Shop.org reported, "Of those intending to run free shipping offers almost 80 percent will make them conditional, which usually means a customer must purchase a specific item or spend a set dollar amount to qualify.” By offering free shipping (even if it is conditional), customers may perceive this as a discount.
People want to give back to those in need this holiday season, but might find it hard to do so with limited income. You can help customers provide for the needy when they are purchasing your goods. For example, with every $50 or more purchase from Oregon Growers and Shippers (www.oregongrowers.com), they will donate a jar of their marionberry jam to the Oregon Food Bank. Also to drive customers to their site, Oregon Growers and Shippers is sending recipes that use Oregon products to bloggers.
Holiday article
http://www.openforum.com/idea-hub/topics/money/article/how-to-avoid-the-bah-humbug-spirit-from-consumers-this-holiday-season-janet-thaeler
As an ag entrepreneur, what are you doing to drive customers to your business this holiday season? Have you already or do you plan to employ any of the tactics I mentioned above?
Friday, November 6, 2009
Smart Choices program put on hold
Around this time last year, I wrote about the introduction of the Smart Choices program. The program was designed by The Keystone Center, a non-profit organization specializing in creating solutions for public health problems. The intent of the program was to create a voluntary front-of-package symbol that identifies more nutritious choices within specific product categories. Some of the major proponents of the labeling system include Coca-Cola, ConAgra, General Mills, Kelloggs, Kraft, Pepsi, Unilever, and Walmart.
Sounds like a good program, right? So why has the program been suspended? Since it's kickoff, Smart Choices has taken a lot of heat for what it considers "nutritious". Critics are concerned that the Smart Choices guidelines are too lenient and are marketing processed foods as nutritious. Some of the products that contain the Smart Choices logo include foods high in sugar, such as Froot Loops cereal and Cracker Jack.
On October 20, 2009, the FDA communicated plans to reassess front-of-package labels and how consumers are interpreting these labels. Quickly after the FDA's announcement, The Keystone Center put a hold on the Smart Choices program. Mike Hughes, Chair of the Smart Choices program and VP for science and public policy at The Keystone Center says, "Our nutrition criteria are based on sound, consensus science. But with the F.D.A.’s announcement this week that they will be addressing both front-of-package and on-shelf systems, and that uniform criteria may follow, it is more appropriate to postpone active operations and channel our information and learnings to the agency to support their initiative."
Smart Choices article
http://www.mediapost.com/publications/?fa=Articles.showArticle&art_aid=116056
As a consumer, how do you feel about the Smart Choices program? Do you think it is based on sound nutrition guidelines? Are you hoping for more regulated labeling?
As a producer, are you looking for a front-of-package label to put on your nutrtious product? Should this label(s) be designed voluntarily by groups such as The Keystone Center or should it be federally overseen by the FDA or other government agency?
Sounds like a good program, right? So why has the program been suspended? Since it's kickoff, Smart Choices has taken a lot of heat for what it considers "nutritious". Critics are concerned that the Smart Choices guidelines are too lenient and are marketing processed foods as nutritious. Some of the products that contain the Smart Choices logo include foods high in sugar, such as Froot Loops cereal and Cracker Jack.
On October 20, 2009, the FDA communicated plans to reassess front-of-package labels and how consumers are interpreting these labels. Quickly after the FDA's announcement, The Keystone Center put a hold on the Smart Choices program. Mike Hughes, Chair of the Smart Choices program and VP for science and public policy at The Keystone Center says, "Our nutrition criteria are based on sound, consensus science. But with the F.D.A.’s announcement this week that they will be addressing both front-of-package and on-shelf systems, and that uniform criteria may follow, it is more appropriate to postpone active operations and channel our information and learnings to the agency to support their initiative."
Smart Choices article
http://www.mediapost.com/publications/?fa=Articles.showArticle&art_aid=116056
As a consumer, how do you feel about the Smart Choices program? Do you think it is based on sound nutrition guidelines? Are you hoping for more regulated labeling?
As a producer, are you looking for a front-of-package label to put on your nutrtious product? Should this label(s) be designed voluntarily by groups such as The Keystone Center or should it be federally overseen by the FDA or other government agency?
Wednesday, October 28, 2009
Bait-and-switch at a restaurant near you
Restaurants (and most businesses) are struggling in the current economy, so promotions seem to be running high to get people in the door. But can these promotions actually keep a customer from coming back?
Recently, my husband and I went to a chain restaurant because they were advertising $5 burgers or chicken sandwiches. It seemed like a pretty good deal seeing as the regular price was around $8-10. I ordered a Coke and my husband ordered a beer. When the check came, I was very surprised. The sandwiches were $5 each, but my Coke was $2.80 and the beer was $2. A Coke costing more than a beer? Obviously, I felt ripped off. I've never had a soft drink cost more than 50% of the entree price!
Things like this seem to be happening all too frequently. In a recent casual dining study by Intellaprice (a market analysis company), side dish prices are up 8%, desserts 7%, and bar beverages 2%.
casual dining article http://www.supermarketguru.com/index.cfm/go/sg.viewArticle/articleId/806
As a customer, are these bait-and-switch tactics leaving a bad taste in your mouth? As a restaurant owner, have you raised your prices on "extras"? How do you keep customers coming back after promotions?
Recently, my husband and I went to a chain restaurant because they were advertising $5 burgers or chicken sandwiches. It seemed like a pretty good deal seeing as the regular price was around $8-10. I ordered a Coke and my husband ordered a beer. When the check came, I was very surprised. The sandwiches were $5 each, but my Coke was $2.80 and the beer was $2. A Coke costing more than a beer? Obviously, I felt ripped off. I've never had a soft drink cost more than 50% of the entree price!
Things like this seem to be happening all too frequently. In a recent casual dining study by Intellaprice (a market analysis company), side dish prices are up 8%, desserts 7%, and bar beverages 2%.
casual dining article http://www.supermarketguru.com/index.cfm/go/sg.viewArticle/articleId/806
As a customer, are these bait-and-switch tactics leaving a bad taste in your mouth? As a restaurant owner, have you raised your prices on "extras"? How do you keep customers coming back after promotions?
Friday, October 23, 2009
Use IT to Market Effectively
Times are tough. Money is tight and business owners are having to make difficult decisions. Cutting back on marketing can appear to be an easy and quick way to decrease expenses. However, it's during a recession that it becomes ever more important to maintain and grow your business. You want to be in a position to take advantage of recovery when it comes, rather than playing catch up.
I came across this article today on the importance of marketing in recovering from this economic recession. (Ok, I'll admit it, the article was sent to me by my sister since her husband was interviewed for it). In any case, the article contains some excellent tips for using technology to effectively market and grow your business in our current economy. The tips offered are just as important when times are good. And while the examples are not related to agriculture, it's the principle behind them that should be focused on.
As a farmer or ag business owner, do you see ways to use the tips offered to improve the effectiveness of your marketing? We'd like to hear from anyone with examples to share.
"Marketing Important in Recovery"
I came across this article today on the importance of marketing in recovering from this economic recession. (Ok, I'll admit it, the article was sent to me by my sister since her husband was interviewed for it). In any case, the article contains some excellent tips for using technology to effectively market and grow your business in our current economy. The tips offered are just as important when times are good. And while the examples are not related to agriculture, it's the principle behind them that should be focused on.
As a farmer or ag business owner, do you see ways to use the tips offered to improve the effectiveness of your marketing? We'd like to hear from anyone with examples to share.
"Marketing Important in Recovery"
Friday, October 16, 2009
Can convenience stores extend the shelf life of fresh fruit?
When purchasing a snack at a convenience store, more and more customers are looking for a healthy option. Many convenience stores are starting to sell fruits and veggies, but are facing problems with the very short shelf life. For a store like 7-Eleven (which is estimated to sell 27 million bananas this year), this is a major problem.
7-Eleven has partnered with Fresh Del Monte to create a plastic wrap that slows respiration by keeping most oxygen and moisture out. By wrapping a green banana in this wrap, a banana will stay firm for about 5 days as compared to an unwrapped banana which has a shelf life of only 2 days. 7-Eleven will be testing these wrapped bananas in 27 Dallas-area stores. If the test goes well, the chain expects the wrap to be used in most of its stores by early 2010.
banana wrap article
As an ag entrepreneur, would you use this wrap on your fresh produce? Do you think that this wrap will help you sell more produce and allow you to sell in new venues (like convenience stores, gas stations, rest stops, etc)? As a consumer, would you buy produce wrapped in plastic?
7-Eleven has partnered with Fresh Del Monte to create a plastic wrap that slows respiration by keeping most oxygen and moisture out. By wrapping a green banana in this wrap, a banana will stay firm for about 5 days as compared to an unwrapped banana which has a shelf life of only 2 days. 7-Eleven will be testing these wrapped bananas in 27 Dallas-area stores. If the test goes well, the chain expects the wrap to be used in most of its stores by early 2010.
banana wrap article
As an ag entrepreneur, would you use this wrap on your fresh produce? Do you think that this wrap will help you sell more produce and allow you to sell in new venues (like convenience stores, gas stations, rest stops, etc)? As a consumer, would you buy produce wrapped in plastic?
Wednesday, October 7, 2009
What does 'natural' mean?
The USDA has recently announced that it is working on a definition for the terms 'natural' and 'naturally raised'. Currently, these terms are used voluntarily. As you can imagine, this has led to a lot of confusion and misleading claims. To determine a definition, the USDA is looking to mesh the current definitions of the Food Safety and Inspections Service (FSIS) and the Agricultural Marketing Service (AMS).
The FSIS allows meat and poultry products to use a 'natural' label "provided that the product does not contain any artificial flavor or flavoring, coloring ingredients, chemical preservative, or any other artificial or synthetic ingredient and that the product is not more than ‘minimally processed.’” Minimally processed is then further defined to include “traditional processes used to make food edible or to preserve it or to make it safe for human consumption e.g., smoking, roasting, freezing, drying, and fermenting, or those physical processed which do not fundamentally alter the raw product and/or which only separate a whole, intact food into component parts, e.g., grinding meat, separating eggs… and pressing fruits to produce juices...all products claiming to be natural or a natural food should be accompanied by a brief statement which explains what is meant by the term natural…”
The AMS allows products to be labeled as 'naturally raised' if the meat comes from "animals that have been raised entirely without growth promotants, antibiotics [small exception], and have never been fed animal by-products…and aquatic by-products.”
These two statements aren't that helpful because of the room for loop holes. The USDA hasn't yet announced a final definition, but hopefully it is more clear than the statements given by the FSIS and the AMS.
USDA to define natural article
As an ag entrepreneur, do you advertise any of your products as 'natural'? Do you think a clear definition from the USDA will help or hurt you? As a consumer, do you find more value (and trust) in a USDA definition?
The FSIS allows meat and poultry products to use a 'natural' label "provided that the product does not contain any artificial flavor or flavoring, coloring ingredients, chemical preservative, or any other artificial or synthetic ingredient and that the product is not more than ‘minimally processed.’” Minimally processed is then further defined to include “traditional processes used to make food edible or to preserve it or to make it safe for human consumption e.g., smoking, roasting, freezing, drying, and fermenting, or those physical processed which do not fundamentally alter the raw product and/or which only separate a whole, intact food into component parts, e.g., grinding meat, separating eggs… and pressing fruits to produce juices...all products claiming to be natural or a natural food should be accompanied by a brief statement which explains what is meant by the term natural…”
The AMS allows products to be labeled as 'naturally raised' if the meat comes from "animals that have been raised entirely without growth promotants, antibiotics [small exception], and have never been fed animal by-products…and aquatic by-products.”
These two statements aren't that helpful because of the room for loop holes. The USDA hasn't yet announced a final definition, but hopefully it is more clear than the statements given by the FSIS and the AMS.
USDA to define natural article
As an ag entrepreneur, do you advertise any of your products as 'natural'? Do you think a clear definition from the USDA will help or hurt you? As a consumer, do you find more value (and trust) in a USDA definition?
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