Food Business News - February 11, 2014 - (Page 9)

Editorial EDITORIAL STAFF Editor-in-chief Morton I. Sosland Executive editor, markets Neil N. Sosland Editor L. Joshua Sosland Executive editor Keith Nunes Senior editor, markets Jay S. Sjerven Managing editor Eric J. Schroeder Senior editor, markets Ron Sterk Associate editor Jeff Gelski Assistant editor, markets Laura Lloyd Internet editors Monica Watrous Maggie Young Graphic designer, market graphics, data Christina Sullivan PUBLISHING STAFF Chairman Charles S. Sosland Vice-chairman L. Joshua Sosland President and publisher Mark Sabo Associate publisher G. Michael Gude David DePaul Bruce Webster Vice-president, chief financial officer Melanie Hepperly Audience development director Don Keating Advertising manager Nora Wages Director of design services Sadowna Conarroe Circulation manager Judith Tinberg Digital systems analyst Marj Potts Manager of advertising design Becky White Director of e-Business Jon Hall Director of on-line advertising and promotions Carrie Fluegge Promotions manager Lon Davis WE'RE EAGER TO RECEIVE YOUR FEEDBACK: E-mail or write to us at Food Business News, 4800 Main Street, Suite 100, Kansas City, Mo, 64112 February 11, 2014 KEITH NUNES Cause marketing gaining momentum ause marketing and building social that is guaranteed to "fully and safely" biodeawareness are becoming larger compo- grade when composted. The packaging is a nents of new product introductions. A component of the company's stated goal of progrowing number of consumers no longer want ducing "healthy food for a healthy soul." to feel good only when they consume a prodThe Endangered Species Chocolate Co. inuct. They also want to feel good about the prod- vited visitors to "indulge in a cause." The comuct and the company that produced it. pany donates 10% of its net profits annually to Phil Lempert, the chief executive officer of environmental non-profits that are focused on and the Lempert Re- wildlife conservation and habitat preservation port, summed the trend up Jan. 28 during a worldwide. presentation at the International Dairy Foods The food service market research firm TechAssociation's annual Dairy Forum, which took nomic also notes social responsibility and susplace in Palm Springs, Calif. tainability are becoming a more important as"Cause marketing is becoming more im- pect of menu development. In a survey, across portant - especially as we see more natural all food service segments, restaurant operators disasters," he said. "People want to do business with people who care about Fifty-three per cent of restaurant operators each other, because we are all in this together. We've seen this trend rise since surveyed said having an actionable social re9/11. Those who take care of communities are rewarded with sales." sponsibility strategy will be necessary to remain Food and beverage companies have long histories of practicing social recompetitive in the next two years. sponsibility, whether it is through hunger relief, disaster aid, local community involvement or environmental stewardship. But the trend today is extending beyond expressed strong commitment to social initiacompanies to product lines and even to specific tives for a variety of reasons, including positive brands. Smaller companies are capitalizing on impact on the environment, improved reputathe trend in an effort to differentiate products tion and better food and beverage quality. Fiftythree per cent of the operators surveyed said and menu items. General Mills, Inc.'s Muir Glen Organic brand having an actionable social responsibility stratearned the John Muir Conservation Award this egy will be necessary to remain competitive in past year for the brand's promotion of environ- the next two years. "Incorporating sustainability and social remental conservation. Such chocolate processors as Cargill, Hershey and Barry Callebaut sponsibility elements into a food service operahave initiated programs around responsible tors' business is no longer a 'nice to have,'" said Wade Hanson, a principal with Technomic and cocoa sourcing. Sustainably produced confectionery was a director of the study. "Consumers now expect key trend at this year's ISM tradeshow in Co- that the food service venues they visit exhibit logne, Germany. Fair Trade and responsibly social consciousness and sustainability points, sourced were components of many new prod- just like consumers are making the effort to do uct introductions, and the market research in their own lives." An interest in brand differentiation by tapping firm Innova Market Insights noted that one of the top trends in the confectionery category into the issues consumers care about is propelis ethical business practices, especially in the ling the trend of cause marketing. If implementchocolate segment where new product activity ed correctly such programs have the potential positioned on an ethical platform continues to to lift a product and a brand above the fray in a competitive category. The challenge facing comexperience growth. At the Winter Fancy Food Show in San panies is execution. In this day of instant comFrancisco in January, some brands went even munication and social media, missteps or a lack further. Carrington Co. L.L.C., Closter, N.J., of- of follow through have the potential to undo the fered tea products in "eco-friendly" packaging benefits of good intentions. FBN C FOODBUSINESS NEWS ® 9

Table of Contents for the Digital Edition of Food Business News - February 11, 2014

Food Business News - February 11, 2014
Post to buy PowerBar from Nestle
Beverage ingredients in the spotlight
Beef prices are red hot
Table of Contents
Web Contents
Editorial - Cause marketing gaining momentum
Green Mountain, Coca-Cola form partnership
McDonald’s is learning less is more
F.D.A. proposes sanitary food transportation rule
Price increase still planned for Chipotle
Inside Tyson Foods’ prepared foods strategy
Beef, chicken drive gains for Tyson
Meat costs will hinder Hillshire in second half
Meijer to build dairy facility in Ohio
Hershey seeks to set new bar in spreads
Washington - Putting the new farm bill in focus
Health and Wellness - Digesting the additional benefits of gut health
Are designer fibers on the horizon?
Ingredient Innovations - Making cereal more satisfying
More satiety strategies
Beverage Business News - Beverage ingredients in the spotlight
New Food Products
Ingredient Market Trends - Weather woes continue to affect markets
Ingredient Markets
Supplier Innovations and News
Ad Index
Food Business in the News

Food Business News - February 11, 2014