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Archive for August, 2008

Health Marketing Gets A Black Eye

In late July, the Los Angeles City Council approved a one-year ban on the construction of new quick-service restaurants, a move designed to allow more health-themed eateries and food stores to open up. The ultimate goals is to encourage better dietary choices among the local population, made up primarily of lower-income minorities.


untitled.jpgThe strategy is questionable, but the goal is noble. If anything, the situation in South L.A. (and evident in many poorer communities throughout the country) accurately reflects the findings of a new study published in the September issue of the American Journal of Public Health. The report reviewed 20 advertising and marketing studies during the period 1992-2006 and found glaring disparities in the way products were sold. Researchers believe the differences help explain the high obesity rate in the black population.


The study didn’t only lament the proliferation of QSRs with their emphasis on good-tasting, but nutritionally void food items. Also missing from these neighborhoods are food stores (read: supermarkets) that offer fresh fruits and vegetables, and other better-for-you food items. Sure, there are corner shops and bodegas, but they’re still more likely to carry high-calorie snacks and soft drinks than produce.


The report notes there are larger economic forces at work here, and a good measure of cultural resistance. These types of reports are nonetheless upsetting because the solution is simple, yet evasive. What the L.A. fathers did was a step in what promises to be a difficult road. But if supermarkets are serious about their commitment to health and wellness for all customers, then siting stores in the inner cities and poorer neighborhoods within their marketing area will have to be part of their growth. And the sooner, the better: The growth of wellness to include all races, incomes and ages is inevitable.

Super Juices, Super Profits

If you had asked someone what an acai berry or mangosteen was five years ago, all you’d get would be a furrowed brow, and perhaps some choice words (“a what berry!?”) These days, of course, many consumers know that these are antioxidant-rich “superfruits”, and that the best place to find them is in bottled smoothies and juices from companies like Naked Juice, Odwalla, Sambazon and others.


odwalla_small.jpgA new report from the Beverage Marketing Group shows that these drinks are fast becoming the stars of the beverage aisle. Sales crossed the half billion-dollar mark in 2006, and last year the category grew by 13% with an additional $75.2 million.


The report points out that dollar sales have grown at a higher rate than volume, indicating the influence of premium pricing. At the D’Agostinos next door to the office here, I’ve noticed that these juices run anywhere from $3 to $7. Those seem like pretty steep prices for something that’s gone in a dozen gulps. But studies have shown that the fresh fruits and antioxidants inside have all sorts of protective qualities, and that seems to really be hitting home with health-conscious shoppers. It’ll be worth watching if that interest can weather this down economy.


The price may be premium, but I have to admit: Most of these “superjuices” are pretty tasty. Look for me milling around their booths at the next natural foods trade show.

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All About Allergies

For those with food allergies, eating a meal can feel like stepping onto a minefield. As someone who’s allergic to peanuts — who has felt that sudden roof-of-the-mouth itch and shortness of breath on many occasions — believe me, I know. You ask questions, you read ingredients labels, you stay as vigilant as you possibly can, and then… a Caesar salad almost does you in (true story).


gech_0001_0002_0_img0118.jpgManufacturers are required to list in plain language any of the top eight food allergens that their products contain, and many of them have gone a step further to state any possible cross contamination risks. These caveats can be helpful, but on the whole they’re pretty confusing. Is “may contain peanuts” the same as “manufactured in a facility that also processes peanuts”? Technically it is, but most consumers don’t know that. And according to the Food Allergy & Anaphylaxis Network, there are at least 30 different versions of this warning out there. Yeesh….


On September 16th, the Food and Drug Administration hopes to start clarifying things. That’s when the agency will hold a public meeting on allergy labeling — a first step in creating a labeling plan that is both “clear and uniform”, according to the FDA. It’s around that time that the FDA will also release a finalized version of its definition for “gluten free”; its proposal, in short, stipulates that a product can contain no more than 20 parts per million of gluten in order to receive this label.


Here’s hoping the FDA develops clear standards for people with food intolerances. Believe me, it’d be a big help for the more than 15 million of us out there.

Nutty Ideas

Nuts have a lot going for them these days, and that’s good news for retailers, who perennially wrestle with those bulk floor displays erected in the produce department (or wherever else they can fit) during the holiday months.


Hopefully, consumers will help buy down those displays a bit faster this year, now that tree nuts are getting more positive ink. A report out in the current issue of the Journal of Nutrition notes that tree nuts like almonds, Brazils, cashews and walnuts promote weight management because the consumer feels full; they also have a beneficial impact on chronic diseases including heart disease and diabetes.


nuts.jpgThe Food and Drug Administration gave its blessing in 2003 with a qualified health claim for nuts and heart disease, recommending 1.5 ounces of nuts per day. But researchers have found that few people actually consume this much; other studies show a large percentage eat roughly half of the recommended amount.


So, here’s everyone’s reminder: Nuts are an excellent source of vitamin E and magnesium. They are high in folate, beta-carotene, vitamin K, lutein+zeaxanthin, phosphorus, copper, selenium, potassium and zinc. And here’s something not everyone knows. Nuts are an excellent source of antioxidants, and in some cases have amounts comparable to broccoli and tomatoes.


If there’s anything holding sales back, it’s consumers who continue to think of nuts only as snacks. Researchers think that, with their improving health profile and ability to make you feel full, nuts have potential to be promoted as an alternative protein and meat substitute. Is that nuts, or what?

Juice Story is the Pits

About six years ago a co-worker asked me if I’d heard the news about grapefruit juice causing inadvertent overdoses when taken with certain medications. She was taking on of the drugs mentioned in the story she’d heard and was curious.


juice.jpgI was familiar with the reports — grapefruit juice was found to interfere with blood pressure medication, though no one had said outright to stop drinking it. Soon, these meds came with advisories on the bottle, and pharmacists were talking to customers. Grapefruit juice sales took a hit, until the industry responded with an updated promotional strategy. But it worked. Sales begin ticking up again.


Now grapefruit has company. The same researcher at Western Ontario University reports that orange and apple juices may block the effectiveness of other prescription pills. A new study found the three types of juice affect a chemotherapy drug, some beta-blocker drugs used to treat high blood pressure, and cyclosporine, taken by transplant patients to prevent organ rejection.


I love fresh juices, and I also take allergy pills. Will this stop me from ingesting one or the other? Heck, no! I just won’t take them around the same time. But the fact that the news keeps coming up relating juices to prescription medications is something staff dietitians and store managers should be aware of. This is just the sort of food tidbit that makes it into the consumer news and results in snap, all-or-nothing decisions regarding purchases. Time for the juice industry to go back to the drawing board.

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Love the Overalls, Darling

Here in New York City, farming and locally grown food isn’t just popular — it’s trendy. The PS1 Contemporary Art Center in Queens — part of the Museum of Modern Art — recently installed an urban farm in its main courtyard. The concept came out as the winner of a recent design contest PS1 conducted for young architects, and it includes 260 tall cardboard tubes, each filled with soil and crops like strawberries, tomatoes and Swiss chard. There’s a chicken coup, too, which apparently got mixed reactions from the hipsters who showed up for a recent Saturday dance party.


amish-farming-dutch-country.jpgFarmers, meanwhile, are gaining quite a following as well. And some of them apparently have groupies. A recent New York magazine story looks at one particularly productive upstate grower, Amy Hepworth, who sells to the famous Park Slope Food Coop in Brooklyn. She’s a popular draw at the coop’s meetings, and some devotees even like to get up early to witness her morning food deliveries.


New York isn’t the only city in the country that’s grown fond of farming culture. People all over are buying locally grown food at farmers markets and grocery stores. They’re also getting their own hands dirty as they start to grow more food themselves in this down economy.


Given the helter-skelter pace of the city — or even the suburbs these days, for that matter — is it any wonder people yearn for simpler things? Supermarkets would do well to keep these lessons of freshness and simplicity in mind when it comes to marketing. Better yet, bring farmers into stores, and see if they don’t gain their own following.

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Industrial Park of Dreams

Dayton is a rural community in Washington State’s Columbia County, tucked into the southeast corner, near the shared border of Oregon and Idaho. Unemployment hovers around 7%, which is higher than the national average. The region’s population has been making a difficult transition diversifying from from its agricultural roots.


It’s here that officials plan to open what they’re billing as “the world’s first organic food processing eco-industrial park.” It’s an interesting idea. The complex is to be sited within the Port of Columbia, and called Blue Mountain Station. Port officials have teamed up with specialists in food production to develop an integrated, certified organic food facility connecting the many links that stretch from farmer to retailer.


logo.jpgWorking as a small, artisinal company under the Blue Mountain Station umbrella brings certification expertise as well. Companies seeking to go USDA-certified organic will be able to tap professional assistance during the transition, according to Port of Columbia officials. They noted that Washington is a leader in the organic food industry. Washington State University, in nearby Pullman, created the first organic farming degree in the United States.


The Organic Trade Association estimates the organic market will grow by 18% a year though 2010. Current economic issues aside, there’s still plenty of demand out there for interesting, high-quality new products crafted by small manufacturers. There are enough people out there, even among traditional shoppers, to fuel development of the organic category and help get worthy initiatives like this off the ground.

What I Ate on My Summer Vacation

I just returned from Cape Cod, where my family has vacationed for years. Economics played a part in the decision to go (gas prices, primarily), but there was also a sense of greenness about the whole venture that wasn’t present in years past. There were more reusable shopping bags, fewer water bottles and, most surprisingly, a real interest in seeking out local food — whether corn from Mashpee or Wellfleet oysters.


But that’s the problem. There was also taffy from Provincetown, fried clam strips from Falmouth (that’s mine show below, waiting for another lemon wedge), and cranberry coffee cake from Hyannisport. We swam, we hiked, we biked and played …. and we ate like horses. Nothing was off limits. One fellow who usually prides himself on his dietary regimen made no apologies for the giant mason jar of cooking oil he ended up going though during the week we were up there.


food2.jpgThis kind of behavior begs the question: Does going on vacation include all body parts? Everyone knows we take time off to clear our heads. But can your stomach leave behind the rigors of soy yogurt and omega 3 gel caps for a double scoop of peppermint stick ice cream pocked with streaky, chewy red candies?


We rented a house this year, so we were able to cook, at least, the big meal of the day. Because stores (including Roche Bros., Shaw’s and a new Super Stop & Shop that positioned its wellness section up front with produce) were nearby, we were able to purchase some pretty healthful stuff like yogurt, lots of salad and even seafood. The ability to cook in and go shopping at a supermarket, instead of eating out all three meals, was a saving grace, and allowed us to maintain some semblance of our usual diets.


Did I tell you about the local bakery that makes only cupcakes?

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Whole Hubris

First it was poor financial results. Right after that, it was an embarrassing meat recall that blew up across the mainstream media. These are trying times indeed for Whole Foods, the super natural chain that, at one point, could do no wrong.


whole-foods-market-wild-oats-buy-2-22-07.jpgFor many people, especially those fond of the “whole paycheck” moniker, this is a delicious tale of corporate hubris. The company unabashedly — some would say arrogantly — sold premium food at premium prices. And what happens? Whole Foods’ pricing plan turns against it in the down economy, and a pesky strain of E. coli suddenly makes its food seem not so premium anymore. Add to that the newly revived court battle with the Federal Trade Commission over the Wild Oats merger, and we practically have a Greek tragedy on our hands.


It’s easy to say “I told you so”, especially since Whole Foods refused to back off even the tiniest bit from its premium image. The company was also expanding fast — probably too fast.


But Whole Foods has done so much right, and that can’t be overlooked. Through the success of its quality and sustainability standards, they’ve pushed the supermarket industry towards more responsible retailing. Just recently they rolled out their humane meat rating system, which was five years in the making. This is unfortunate timing considering the recall, but its still a major innovation for the industry.


Is Whole Foods completely virtuous and flawless in its mission? No — it’s all part of a profitable business plan. But that’s not what’s most important. What’s most important is that, one way or another, these higher standards advance the food industry and eventually make their way to the shopper.

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Bagging Sales

It took a bit of coaxing, but eventually retailers warmed up to the idea of selling reusable bags. It’s a snazzy bit of green marketing, companies figured — a simple, cost-effective way to say, “we care about the environment”. That much was easy to figure out.


reusable_bags.jpgBut did anybody really see these bags as a hot sales opportunity? Well, if they didn’t previously then they will now: According to the NPD Group, sales of reusable shopping bags increased by 72% between May 2007 and May of this year.


The more you think about it, the more this makes sense. Buying a reusable bag is one of the easiest “green” decisions that a consumer can make. There’s no trying to figure out which is the most sustainable or the best value, or which one truly offers a fair wage to workers in developing nations (though that may not always be the case). Often, the only dilemma is: Which color should I choose?


The Cincinnati Enquirer reports that Meijer has sold 800,000 bags in its 182 stores since last October. Kroger, which sold 2.5 million bags last year, expects to sell 10 million this year. Other retailers are rolling out promotions and bag design contests. The creative possibilities, it seems, are numerous.


In the end, reusable bags may become a necessity. Cities like New York, Los Angeles and Seattle have either passed or are debating plastic bag bans and fees. That’ll be interesting to follow, but it shouldn’t take legislation to get retailers to offer alternatives, especially now with all the profits out there to be…. bagged.

About

REFRESH is a blog without peer. As a web-based companion to Penton Media’s Supermarket News (SN) and SN Whole Health magazines, REFRESH offers unique content on the subjects of supermarkets, wellness and sustainability. The interactive format attracts retail food industry professionals, lifestyle advocates and everyday consumers. We invite you to read on and get REFRESHed!

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