Home Cooking Makes A Comeback - Produce Business · 2019. 5. 22. · continues to thrive....

APRIL 2009 • VOL. 25 • NO. 4 • $9.90

inside... PUNDIT GETS AN AWARD • MARKETING TO LATINOS • MARKETING TO KIDS • FRESH-CUT INDUSTRY REPORT • FRESH GUACAMOLEAUSTRALIAN AND NEW ZEALAND FRUIT • CALIFORNIA CHERRIES • SOUTHERN FRUIT • SPRING GRAPES • SWEET ONIONS • TOMATO SALES • MELONS RETAIN VALUEREGIONAL PROFILE: LOS ANGELES • MUSHROOMS ON THE MENU • WALNUTS • MAXIMIZING SPACE IN THE FLORAL SECTION

HomeCooking Makes

A ComebackCreative, targeted marketing, brand recognition

and ready-made, fresh-cut products make new at-home cooks a boon for produce departments.

HomeCooking Makes

A Comeback

Starts on Page 67

ALSO INSIDE

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APRIL 2009 • VOL. 25 • NO. 4

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FEATURESDEBUNKING MYTHS OF THE LATINO MARKET (PART I OF II). . . . . . . . . . . 32As the U.S. Latino community evolves, stores that overcome common misperceptions and generalizations will fully realize the opportunity presented by this important and diverse market segment.

STORES APPLY MARKETING TACTICS TO GAIN KID-CUSTOMERS . . . . . . . . . . . . . . . . 37Field-trips, store tours and informational handouts make marketing to kids, and their parents, a breeze.

FOCUS ON FRESH-CUT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48In the current economic climate, retailers and distributors alike need to put fresh-cuts front and center in order to retain current consumers and gain new ones.

FRESH GUACAMOLE HITS ITS STRIDE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53With advances in high-pressure processing, fresh, packaged guacamole has an improved flavor profile that brings increased sales of both the guacamole and the avocados themselves.

AUSTRALIA AND NEW ZEALAND’S MARKET EVOLUTION. . . . . . . . . . . . . . . . . . . . . . . 56Traditional import patterns may change in the face of increased economic pressure and competition from other countries South of the equator.

CALIFORNIA CHERRIES OFFER WINDOW OF OPPORTUNITY, HOWEVER SHORT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61California cherry growers express strong optimism about the 2009 crop.

MAKE WAY FOR SOUTHERN FRUIT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 75Fresh supplies of Southern melons, peaches and blueberries provide retailers with an array of opportunities to boost spring sales in the produce department.

FAST AND FURIOUS DEAL FOR SPRING GRAPES. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 79The fast-paced, short time frame for the spring desert grape harvest yields challengesand opportunities alike for prepared and flexible retailers.

RETAIL PRODUCE PROFILESAFEWAY PUTS PRODUCE FIRST. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44Safeway runs full-steam ahead with its Lifestyle store renovation.

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COVER STORYHOME COOKINGMAKES A COMEBACK. . . . . . . . . . . . . 20Creative, targeted marketing, brand recognition and ready-made, fresh-cut productsmake new at-home cooks a boon for produce departments.

COMMENTARYTHE FRUITS OF THOUGHTStaircase Of Value . . . . . . . . . . . . . . . . . . . . . . 8

RETAIL PERSPECTIVEBalancing Production, Pricing And Consumption . . . . . . . . . . . . 128

EUROPEAN MARKETNew Thinking On Small Formats . . . . . . 129

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APRIL 2009 • VOL. 25 • NO. 4

IN EVERY ISSUETHE QUIZ . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

WASHINGTON GRAPEVINE . . . . . . . 10

PRODUCE WATCH . . . . . . . . . . . . . . . . . 12

RESEARCH PERSPECTIVES . . . . . . . . 16

COMMENTS AND ANALYSIS . . . . . . 17

FLORAL WATCH . . . . . . . . . . . . . . . . . . 125

INFORMATION SHOWCASE . . . . . 130

BLAST FROM THE PAST . . . . . . . . . 130

SPECIAL FEATURESFROM THE PAGES OF THE PERISHABLE PUNDITPrevor Wins An Award, But The Industry Gets The Prize . . . . . . . . . . . . . . . 18

REGIONAL PROFILE:LOS ANGELESLovely Los Angeles. . . . . . . . . . . . . . . . . . . 112Focusing on new, international products and a growing ethnic market, the Los Angeles market continues to thrive.

Mother’s Love You . . . . . . . . . . . . . . . . . . . 118Mother’s Market and Kitchen pleases health-conscious consumers with a stellar produce department and plenty of meat-free options.

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Change Service requested: POSTMASTER: Send address changes to PRODUCE BUSINESS, P.O. Box 810425, Boca Raton, FL 33481-0425.PRODUCE BUSINESS (ISSN 0886-5663) is published monthly for $58.40 per year by Phoenix Media Network, Inc., P.O. Box 810425, Boca Raton, FL 33481-0425.

DEPARTMENTSMERCHANDISING REVIEWS: Sweet Onion Creativity Leads To Category Growth . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 82Even in a rough economy, sweet onions are a solid growth item.

10 Ways To Sell More Tomatoes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 93Proper display techniques, variety and frequent promotions will encourage tomato sales.

Despite A Slow Economy, Melons Retain Value . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 105Smart marketing techniques, new varieties and consistent product keep melons moving.

FOODSERVICE MARKETING:Marvelous Mushrooms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 119As consumers focus on health and value, mushrooms are becoming an all-important addition to the foodservice industry.

DRIED FRUIT AND NUTS:Win Big With Walnuts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 123Discover profit potential behind this flavorful nut by taking advantage of cross-merchandising and consumer education opportunities.

FLORAL AND FOLIAGE MARKETING: Make The Most Of Limited Space In The Floral Department . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 126Creative companies find new ways to maximize merchandise space.

SPECIAL SECTION

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THIS MONTH’S WINNER:Doug SwickBuyerDilgard Frozen Foods, Inc.Fort Wayne, IN

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How To WinTo win the PRODUCE BUSINESS Quiz, the firstthing you have to do is enter. The rules aresimple: Read through the articles andadvertisements in this issue to find theanswers. Fill in the blanks correspondingto the questions below, and either cut alongthe dotted line or photocopy the page, andsend your answers along with a businesscard or company letterhead to the addresslisted on the coupon. The winner will bechosen by drawing from the responsesreceived before the publication of our June issue of PRODUCE BUSINESS. The winnermust agree to submit a color photo to bepublished in that issue.


AA PP RR II LL 22 00 00 99 •• VV OO LL .. 22 55 •• NN OO .. 44

President & Editor-in-Chief • JAMES E. [email protected]

Publisher/Editorial Director • KEN [email protected]

Managing Editor • JAN [email protected]

Special Projects Editor • MIRA [email protected]

Assistant Editor • AMY [email protected]

Assistant Editor • JENNIFER LESLIE [email protected]

Circulation Manager • KELLY [email protected]

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Production Director • DIANA [email protected]

Production Leader • JACKIE TUCKER

Production DepartmentFREDDY PULIDOJOANNA ARMSTRONG

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Contributing EditorsMEREDITH AUERBACH, CAROL M. BAREUTHER, MIKEDUFF, JACQUELINE ROSS LIEBERMAN, LISA LIEBERMAN,COLLEEN MCGINN, JODEAN ROBBINS, JON VANZILE,TRISHA J. WOOLDRIDGE

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SANDY [email protected] [email protected] [email protected] Department MarketingE. SHAUNN [email protected] Solutions and Integrated SalesJIM [email protected] insertion orders, payments, press releases,photos, letters to the editor, etc., to:PRODUCE BUSINESSP.O. Box 810425Boca Raton, FL 33481-0425Phone: 561-994-1118 Fax: 561-994-1610E-mail: [email protected]

PRODUCE BUSINESS is published byPhoenix Media Network, Inc.James E. Prevor, Chairman of the Board P.O. Box 810425Boca Raton, FL 33481-0425Phone: 561-994-1118 Fax: 561-994-1610Entire contents © Copyright 2009Phoenix Media Network, Inc.All rights reserved.Printed in the U.S.A.Publication Agreement No. 40047928

Doug Swick has been reading PRODUCEBUSINESS for as long as he can remember. Abuyer at Dilgard Frozen Foods Inc. for 23years, Swick relies on the publication tokeep him up to date. “There’s so muchinformation in the magazine about newitems, packaging technologies and all thedifferent suppliers. It really helps to keeptrack of everything,” Swick notes.

While the name of the company mightbe deceiving, Dilgard Frozen Food Inc. is afull-service, full line distributor and brings ineverything from fresh meat to fruits andvegetables for its foodservice clientele,which are mainly small independentlyowned restaurants in the Fort Wayne area.

Prior to his tenure at Dilgard, Swickworked for Marsh Supermarkets and Super-valu. He looks forward to wearing his carbonfiber-heated vest at football games. “Despitemy Indiana location, I am a ClevelandBrowns fan. I try to see them whenever theyplay in Cincinnati. I also love the outdoors,and spending time outside in the winter.”

QUESTIONS FOR THE APRIL ISSUE1) Name four varieties of tomatoes grown by Mastronardi. ________________________________

2) When will this year’s PMA Foodservice Conference and Exposition be held?______________

____________________________________________________________________________________

3) What is the address for Sambrailo Packaging’s corporate office? _________________________

____________________________________________________________________________________

4) At which booth will you find CHEP during the United Fresh show? _____________________

____________________________________________________________________________________

5) What is the fax number for the Brea location of PuraVida Farms?________________________

____________________________________________________________________________________

6) Who is the comptroller for East Coast Growers & Packers Inc.? _________________________

mailto:[email protected]



















Reader Service # 69

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Staircase Of Value

In our mad rush to deliver value during these economic times,there is great danger we will inadvertently and unnecessarilymove the produce industry from the normal distribution ofdemand along a range of value propositions and head straight tothe bottom. This is of no small import as a generation of work

on issues such as food safety, sustainability and traceability threat-ens to be lost in the avalanche of “value.” Yes, this recession seemscertain to hit long and deep, and it has citizens from the rich to thepoor reevaluating their spending.

Yet value — rather than being seen as an absolute fealty to thelowest price possible — is best seen as a staircase. Imagine the stair-case of consumer purchases, climbing from economy products upthrough core products, passing on to premium products and thenreaching the rarified luxury products.

Regardless of where consumers find them-selves on this staircase, they can economizeand enjoy greater value in three ways: First,consumers can be offered a lower price on theproducts with which they are familiar. Second,consumers can be offered the same quality, butwith a marketing change, perhaps a switch to aprivate label or a requirement to buy a largerpack. Third, consumers can take one step downthe staircase of value and buy, for example, pre-mium products, rather than luxury products.

In the vast majority of cases, this is whatconsumers define as value: products similar towhat they have typically purchased, but at abetter price — not an opportunity to totallyabandon the products they have enjoyed andbuy the cheapest thing the market can produce.

Of course, retailers have powerful influence on consumers, andif retailers are promoting products that fall on the lowest steps ofquality — defined both explicitly in terms of the goods themselvesand implicitly in the inclusion of a range of supply chain responsi-bilities, such as sustainability — we will be quite effective in drivingthe consumer to the bottom. Coincidentally, we will also erase mostof the industry’s profits at the same time.

Yet this is all very unnecessary and not in the best interest ofconsumers. In fact, as consumers look to trade down, each retaileris given an opportunity to woo and win new, more upscale cus-tomers. This is visually obvious at retailers such as Wal-Mart, whereconsumers who are clearly strangers to the store can be seen navi-gating the seemingly infinite aisles of supercenters across the land.

The truth is that value is an amorphous term, and different con-sumers perceive it differently. One group of consumers, for exam-ple, is right now cancelling their memberships at warehouse clubsto save the fee, which may explain why Sam’s Club is now offeringa $10 coupon with new memberships.

Some consumers identify value as a reduction in their cash out-

lays, so they use up their home inventory of canned and frozengoods and thus, in their minds, eat for free for a while. They are notinterested in warehouse clubs and club packs at supermarketsbecause they don’t want to make a large cash outlay, even if theprice per pound is very good.

Other consumers see value in precisely the opposite way. Theyhead to club stores and look for sales in the grocery store as stock-up opportunities. Some are even buying secondary freezers specifi-cally to take advantage of such opportunities to save money bystocking up.

Even within a store, consumers who are trading down by buyingprivate label goods are really offering stores a sampling opportunityto prove the quality of their offerings. Are these products really asgood as national brands at lower prices? Will the consumers stick

with the products, especially when prosperityreturns? Certainly, much depends on how con-sumers enjoy the experience with those pri-vate label goods.

Consumer behavior during tough timestends to become risk-averse, and this maymean that suppliers and retailers would dowell to rethink merchandising and marketingapproaches, especially efforts to get consumersto try new items.

More demos and sampling are important tomake the trial of new products essentially risk-free. More generous return-and-exchange pro-grams may also merit consideration. Restau-rants such as California Pizza Kitchen havelong attempted to increase business by encour-

aging consumers to try new types of pizza. The promise? If you trysomething new and don’t like it, just tell your server and your oldfavorite will be served at no additional charge. One could easilyadopt such a policy boosting sales of different specialty produceitems, for example. It is certainly worth an experiment.

It is important for retailers and suppliers alike to think of thespace they occupy in the minds of the consumer. A chain such asWhole Foods may feel the pressure to offer value, but it needs tokeep in mind that the prototypical Whole Foods customer is attract-ed to the store because of a belief that the products offered are bet-ter than those offered elsewhere. Better may mean higher qualityor produced in accordance with more humane values or better forthe environment. Whatever the case, simply rushing to create valueby showing it can sell some things cheaply is probably a strategymore likely to alienate than retain customers.

Think of that staircase of value and how you can offer value onluxury goods, premium goods and core offerings. Don’t assume thata leap to the bottom is the only option. With patience, testing andan avoidance of panic, you may find a landing where you and yourconsumers can be happy together. pb

By James Prevor President & Editor-in-Chief

THE FRUITSOF THOUGHT

As consumerslook to tradedown, each

retailer is givenan opportunity

to woo and win new, more

upscale customers.

Reader Service # 75

http://www.veggiesmadeeasy.com

Like them or not, everyone wouldhave to agree that it didn’t takelong for the Obama Administrationand new Congress to heat up thepace in Washington, DC. After sev-

eral years in which the past Administrationwas mostly defending the status quo, thesenew folks are indeed all about change. Thehard question for the produce industry iswhether the kind of change they have inmind is for the best.

Food safety presents probably the mostconfusing area. Most in the produce indus-try came to grips several years ago with theneed for comprehensive reform andstronger federal oversight of food safety.After seeing whole commodity groupstrashed and consumer confidence in anyand all fresh produce sagging, we agreedthat government action was needed torestore confidence in a system that seems tolurch from one crisis to another.

On March 12, I had the honor of testify-ing again before the House of Representa-tives during the eighth Congressional hear-ing on food safety, where United Fresh hasappeared since the spinach outbreak in2006. We called on Congress back then, andagain now, to ensure that any food safetyregulation must be commodity-specific andbased on sound science; consistent for indi-vidual crops whether grown domestically orimported; and require mandatory federaloversight for public confidence and equityacross the entire industry. Those same prin-ciples are now incorporated in many of thefood safety bills under debate in Congress,and it is that constancy of effort and mes-sage from the produce industry that hasconvinced members of Congress to listen toour voice on food safety law.

Yet, today, the Obama Administrationhas appointed new leadership at the Foodand Drug Administration, and some mem-bers of Congress have ratcheted up therhetoric on food safety such that no one seesthe final outcome clearly. As the clichégoes, the light at the end of the tunnel couldbe the train coming at us if we’re not care-ful. Diligence and constancy must continue

to mark the course ahead.Another area where we’d better dig in

and prepare for a roller coaster ride is thetopic of labor regulation, immigration andthe notorious card check bill now mas-querading as the Employee Free Choice Actin Congress.

Mislabeled by supporters as pro-worker,the card check bill would actually denyworkers the right to a secret ballot in deter-mining which, if any, union to recognize forcollective bargaining. The secret ballot is aprinciple of democracy that members ofCongress enjoy along with thousands ofofficeholders at the local and state level.Even the bill’s proponents have written inthe past to pro-union organizers in othercountries about the importance of givingworkers the right to a secret ballot. Now,when they think that simply “checking acard” instead of having a secret ballot wouldbe a faster way to organize unions, they areready to abandon this principle. This is leg-islation that both workers and managementneed to soundly reject.

To this end, United Fresh has created acomprehensive card check information cen-ter for the industry on our Web site,www.unitedfresh.org, and recently formedgrassroots networks in eight key stateswhere Senators likely hold the fate of cardcheck in their hands. While many of thestates are not traditionally large producersof fruits and vegetables, there are thousands

of individuals in each state affiliatedthroughout the produce supply chain to aidin the opposition to card check.

Meanwhile, there’s no action in Congresson comprehensive immigration reform tosecure a legal and stable workforce. NewLabor Secretary, Hilda Solis, recently movedto suspend the minor improvements in theH2A guest worker regulations adopted inthe last Administration. The vise is simplycontinuing to tighten around produce com-panies that need labor for harvesting, pack-ing houses and processing plants. The fightfor policies contained in the AgJobs bill isback; and it’s even more critical and chal-lenging than ever.

But, all is not a crisis, for President andMrs. Obama seem to understand the criticalimportance of good nutrition and increasingconsumption of fresh fruits and vegetables.Just look at the positive words coming fromthe White House almost daily it seems.Even more important, the Administrationitself seems more willing to put their moneywhere their mouth is, with an extra billiondollars proposed in the President’s USDAbudget above current spending on nutritionprograms in schools. We’re seeing theObama team begin to recognize the impor-tance of the new fruit and vegetable vouch-ers in the Women, Infants and Children(WIC) Federal Feeding Program. That effortalone will now bring some $600 million innew fruit and vegetable purchases for theseneedy mothers and their children. We’realso seeing fruits and vegetables moving to ahigher profile in the healthcare debate, asprevention of disease takes center stage.

So, all is not lost in DC, but it is a call toaction to everyone in the produce industry.Now is the time to get involved in theseissues that will likely shape our industry, forbetter or worse, in the coming years. Getinvolved in your local associations and com-modity groups and get involved with us hereat the national and international level.

There’s an old saying — government isnot a spectator sport. If we sit on the side-line and watch, we’ll get exactly the kind ofresults we earn.

A Busy Month in WashingtonA report on the inside happenings of government.

WASHINGTON GRAPEVINE

All is not lost in DC,but it is a call toaction to everyone inthe produce industry.Now is the time toget involved.

SUBMITTED BY TOM STENZEL,PRESIDENT & CEO, UNITED FRESH PRODUCE ASSOCIATION • UNITED FRESH PRODUCE ASSOC.


http://www.unitedfresh.org

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Produce Watch is a regular feature of Produce Business. Please send information on new products, personnel changes, industry, corporate and personal milestones and available literature,along with a color photo, slide or transparency to: Managing Editor, PRODUCE BUSINESS, P.O. Box 810425, Boca Raton, FL 33481-0425, or e-mail us at [email protected]

Reader

Reader Service No. 300

PRODUCEWATCH

SOUTHERN SPECIALTIES INC.POMPANO BEACH, FLTim Meissner was hired as chief operating officer.He brings a broad range of produce industry expe-rience. His career has included positions in retail,foodservice, produce distribution and grower appli-cations management. He most recently worked asvice president of sales at River Ranch Fresh Foods.

BOSKOVICH FARMS INC.OXNARD, CAStuart Burke was hired as sales representative forits fresh-cut division, where he will sell the compa-ny's fresh-cut and value-added product line. Hewill be responsible for purchasing outside produceand cost management. He previously worked assenior personal banker for Affinity Bank.

Brian Lombardi joined the FOB sales desk. He previ-ously worked as sales/broker for ASG Produce, wherehe managed more than 50 local, national and interna-tional buying brokers of fruits and vegetables. He alsoworked for Cal Sun Produce, where he gained wide-ranging experience in produce sales, shipping andfield-work.

SALYER AMERICAN FRESH FOODSMONTEREY, CAJoe Kaslin has been named sales manager. Hisduties will include leading efforts of the domestic andexport sales and administrative teams. He bringsmore than 30 years of sales experience in fresh-cutproduce and previously spent 23 years helping Salyersecure a prominent position with the industry.

TRANSITIONS

DMA SOLUTIONS INC.IRVING, TXDana Davis was appointed to associate partner.She began working for DMA in June 2008, support-ing a variety of projects for key clients. She bringsmore than 10 years of produce experience in mar-keting, sales and business development. She mostrecently served as founder and president of TygerSales and Marketing LLC and was with theProduce Marketing Association for nine years.

SEALD SWEET INTERNATIONALVERO BEACH, FLGarry Rowe joined the sales team. He will special-ize in deciduous commodity sales and offer SealdSweet's fresh citrus and other fresh produce com-modities. He previously worked for C.H. RobinsonWorldwide Inc. and brings more than 17 years ofexperience in produce sales.

GIUMARRA VBM INTERNATIONAL BERRYLOS ANGELES, CAAndrew Smith has joined Giumarra's East Coastsales team, filling a newly created position. Hepreviously worked for Pacific Trellis Fruit, wherehe managed quality control on the East Coast forits import grape program. He also has past experi-ence working with Del Monte Fresh Produce.

Ben Reilly joined Giumarra's East Coast fieldstaff, filling a newly created position. He graduatedwith a degree in agribusiness from the Universityof Queensland. In 2007, he received the PMA/PackFamily Scholarship, which gave him the opportuni-ty to attend the 2008 PMA Fresh Summit inOrlando, FL.

SUN WORLD INTERNATIONAL, LLCBAKERSFIELD, CAGene Coughlin was named the category direc-tor of citrus, watermelon and peppers. He previ-ously worked as Sun World's category managerof tree fruit. He joined Sun World as a sales rep-resentative, moving on to hold positions as thecategory manager of both citrus and tree fruit.

Rick Paul will assume a new category directorrole, focusing on table grapes and stone fruit. Hebrings 20 years of experience in produce sales,and dedicated 16 of those years to the individualcategory management of grapes and stone fruit.He will assist customers with long-term, strategicgrowth plans for the categories he represents.

Denise Smith was promoted to sales planningmanager. She joined Sun World in 1997 as a cus-tomer service representative, most recentlyworking as sales support manager. Combiningher intricate knowledge of the company's salesand operations with familiarity of research-basedindustry trends will allow Sun World to ensurethe services it offers are in line with the needs ofits customers.

NOBLE JUICESWINTER HAVEN, FLRich McCleeland has joined the company asnational sales manager, filling a newly createdposition aimed at expanding outreach andboosting sales. He has vast experience in thefood and beverage industry.


PRODUCE BUSINESS is accepting nominations for its Fifth Annual 40 Under Forty Project, which recognizes the produce industry's top young leaders.

Honorees will be selected based on their professional accomplishments, demonstrated leadership and industry/community contributions. To be eligible, nominees mustbe under the age of 40 as of January 1 (People born after January 1, 1969).

To nominate someone, please fill out this form by March 1, 2009, and fax back to 561-994-1610.

Once nominated, the candidate will receive forms from us to fill out asking for detailed information. A candidate only needs to be nominated one time. Multiple nominations will have no bearing on selection.

ABOUT THE NOMINEE:

First Name ___________________ Last Name ____________________________Approximate Age ____________________________________________________Company __________________________________________________________Position ____________________________________________________________Address ____________________________________________________________City ______________________________ State ______Postal Code ____________Country ___________________________________________________________Phone ____________________________ Fax ____________________________E-mail _____________________________________________________________

In 100 words or less, describe why this person should be nominated:(You can use a separate sheet for this)__________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Nominee's Professional Achievements:______________________________________________________________________________________________________________________________________________________________________________________________________

Nominee's Industry/Community/Charitable Activities:______________________________________________________________________________________________________________________________________________________________________________________________________

ABOUT THE NOMINATOR:First Name ___________________ Last Name ____________________________Company __________________________________________________________Position ____________________________________________________________Address ____________________________________________________________City ______________________________ State ______Postal Code ____________Country ___________________________________________________________Phone ____________________________ Fax _____________________________E-mail _____________________________________________________________

Nominator information is for our use only and will not be shared with candidate or have a bearing on selection.

For more information email: [email protected]



Produce Watch is a regular feature of Produce Business. Please send information on new products, personnel changes, industry, corporate and personal milestones and available literature,along with a color photo, slide or transparency to: Managing Editor, Produce Business, P.O. Box 810425, Boca Raton, FL 33481-0425, or e-mail us at [email protected]

PRODUCEWATCH

MASTRONARDI UNVEILSPARTNERSHIP WITH DISNEYMastronardi Produce/Sunset, Kingsville, ON,Canada, announced that it will begin market-ing gourmet greenhouse produce with DisneyGarden packaging this spring. Mastronardi willship its first Disney Garden cases in earlyApril, beginning with products that featurestars from Disney's High School Musical.

RIVERIDGE DEBUTS RED PRINCEAPPLE IN NORTH AMERICARiveridge Produce Marketing Inc., Sparta, MI,announced its North American launch of the RedPrince apple. The Royally Crisp Red Prince appleprovides a rich, full flavor with mildly sweet tasteexcellent for fresh eating or for use in salads andbaking. In 1994, the Red Prince originated on theborder of Germany and Holland.

UNITED FRESH TOHONOR COSTCO’S SHAVEYThe United Fresh Produce Association, Washington, D.C.,will honor Heather Shavey, Costco Wholesale's assistantgeneral marketing manager for fresh foods and produceat the 2009 Reception Honoring Women in Produce at thePalazzo Hotel in Las Vegas, NV. Shavey will be honoredfor her innovation and continued service to the produceindustry.

DOMEX AND PBH CREATEEDUCATIONAL VIDEOSDomex Superfresh Growers, Yakima, WA,has teamed up with the Produce For BetterHealth Foundation (PBH), Wilmington, DE,to create short, instructional videos thatfocus on how to select, prepare and storefresh apples, pears and cherries. Availableon PBH’s Web site, the videos are aimed atincreasing consumption. Michael Marks,Your Produce Man, produced them.

MANN PACKING TO LAUNCHSPRING PROMOTIONMann Packing Co., Salinas, CA, is gearing up for itsannual Swing Into Spring on-pack offer promotion.The marketing efforts began March 1 and includedinstant, redeemable coupons placed on 200,000packages of 8-ounce String-Less Sugar Snap Peas and6-ounce Snow Peas. The offer is good for $1-off sav-ings for any two packages of the purchased Mann'sproducts.

OCEAN MIST GOES WAX-LESSOcean Mist, Castroville, CA, has madeefforts to replace its waxed cartons withnew wax-less, recyclable packagingencapsulated in a thin film that makesthe cardboard waterproof. As of January,all of Ocean Mist Farm’s celery crop wastransitioned into the wax-less cartons andthe company is developing plans to tran-sition its other commodities.

PATRICK FARMS LAUNCHESTRACEGAINS SYSTEMPatrick Farms, Omega, GA, selects PositivelyAssured Traceability, a system created byLongmont, CO-based TraceGains to protect thecompany's brand against unwanted claims andto leverage traceability information to improveprofits. The new system allows instantaneoustraceability and continuous compliance.

AWE SUM ORGANICS OFFERSNEW CROP ORGANIC APPLESAwe Sum Organics Inc., Santa Cruz, CA, is offeringall varieties of fresh, New Crop Organic Apples fromNew Zealand and Chile during the import apple-shipping season. The season will open with RoyalGala and Granny Smith in April, shipping throughAugust. Fuji will ship from April through September.Braeburn and Pink Lady start in May and gothrough September.

DUAL PALLET RACK ANDSTORAGE SYSTEMTwinlode Corp., South Bend, IN, launched itspallet rack and storage system that features adouble-wide design, allowing loading andunloading of two pallets at a time. Twinlode’sheavy-duty structural steel systems doubleproductivity, maximize storage space and saveon labor and equipment costs.

ARTISAN LETTUCE PACKAGINGTanimura & Antle, Salinas, CA, introduced new,exclusive, scalloped, clamshell packaging for its4- and 6-count packages of Artisan Lettuce,which are available for retail and club storesales. To ensure freshness and a longer shelf life,the packaging was customized to protect theheads and showcase the product's freshness.



Reader Service No. 306 Reader Service No. 307



FRIEDA’S PRESENTS NEWPACKAGING FOR CRÊPESFrieda’s Inc., Los Alamitos, CA, launched newpackaging on French-style crêpes. Frieda’sFrench Style Crêpes now boast an elegantlyredesigned package, a larger round shape and aspecial sales-building shipper-display box pro-gram for retailers. The packaging featuresvibrant colors and mouthwatering food photog-raphy.

IPC SURVEY SHOWSAMERICANS LOVE POTATOESIn celebration of Potato Lover’s Month, the Idaho PotatoCommission (IPC), Eagle, ID, conducted a national sur-vey, which revealed that potatoes are America’s favoritevegetable. More than 95 percent of Americans who eatpotatoes say the tuber makes it on their plate an averageof two days per week.






NEW PRODUCTS

ANNOUNCEMENTS

CORRECTIONSIn our February issue, Scott Seddon, marketing and advertising specialist for Pero Packing & Sales Inc., headquartered in Delray Beach, FL, was

quoted as saying the company grew cauliflower. The company does not grow cauliflower. Also in our February issue, we incorrectly listed the title of Mr. Alberto Maldonado. He is the general manager of Apache Produce Imports LLC, in

Nogales, AZ, a distributing partner of Melones Internacional for its Plain Jane brand of greenhouse vegetables. We regret the errors.


Reader Service # 88

http://www.pma.com/foodservice

http://www.pma.com/foodservice


We’ve been hearing a lot about theEconomic Stimulus Plan and var-ious bailouts recently, which lendnew fuel to the age-old debate ofhelping yourself versus asking

the government to help you. Lucky for us, ourindustry was built on hard work and entre-preneurship — a labor of love if you will — tobring high-quality, healthy products to con-sumers. Could any of you imagine our indus-try lining up on Capitol Hill demanding weneed a handout? And where should we rankcompared to those industries that alreadyhave gone to the trough, in terms of our eco-nomic impact?

Well, now we have an answer to that latterquestion. Produce Marketing Association’s(PMA) recently released economic impactstudy gives us — for the first time ever — agood sense of our place on the national eco-nomic scale. We now know we contribute$554 billion annually in total economicimpact and the 2.7 percent of all jobs withinthe United States. The results of this unprece-dented industry-wide study will help all of uson a wide range of initiatives, from federalpolicymaking to individual business pursuits.From field to fork, our industry now has someaccredited, hard numbers to back us up bothon a macro and micro level.

The study demonstrates the role ourindustry plays in stimulating the U.S. econo-my. From an economic perspective, the studyfound we are a significant income-generator,providing $36 billion in direct wages and$71.8 billion of total wages each year. Thesefigures account for 1.7 million direct, full-timeequivalent (FTE) jobs, an additional 1 millionripple-effect jobs and 1.9 percent of all U.S.employment. Our total impact is 4.23 percentof U.S. Gross Domestic Product (GDP). Withinthe agricultural sector, produce and floral pro-duction is one-third of total U.S. animal andcrop production.

Helping Industry Members Help Themselves

The numbers also reflect the significantand real value our industry adds to our prod-ucts. The study reports $1 of production valueultimately generates $16.75 of total economicvalue, as produce and floral products move upthe supply chain. A general economic rule ofthumb is that as added value approaches 20percent, it shows the industry is doing some-thing valuable with the raw material, ratherthan marking it up for handling.

These big numbers will help PMA and ourpartner organizations in our mission toadvance the industry’s interests at the federallevel, while the granular detail also providestools and information for our members tohelp themselves at the regional and locallevel. As opposed to lobbying for a bailoutpackage, our industry can use this informa-tion to support self-help efforts, by providingbackup for loan applications, grant proposalsand business development or expansionplans. Additionally, the employment informa-tion at the local level can help maintain exist-ing jobs, develop future jobs and prevent fur-ther job loss.

The study shows how the industry touch-es every state and congressional district in thecountry. While California, not surprisingly, isa leader in many areas of the study, the notedimpact of other states and districts not tradi-tionally considered to be major produce play-ers may be a new revelation. Florida, Texas,New York and Pennsylvania round out the topfive states, each accounting for more than

100,000 direct and ripple-effect employ-ment, or total impact employment, while 15states exceed 50,000 total impact employ-ment. Every congressional district benefitsfrom at least 1,500 direct fresh produce andmass-market floral industry jobs, and atleast 2,200 total jobs with more than half ofcongressional districts attaining an impactlevel of $1 billion or more.

The credibility of the study’s non-profitresearch firm, Battelle, and the standardsused to develop the study give us high con-fidence in the data’s value. A team of eco-nomic researchers and industry expertsalike tested the study model, and resultswere validated against other establisheddata. Its field-to-fork perspective incorpo-rates all levels of production, distribution,marketing and foodservice. This inclusivemodeling will allow all members of theindustry to benefit from this study.

The beauty of this study is that it showsan industry rich with economic value andsuccess. Left to our own invention, ourindustry has grown nationally while stillproviding a crucial comprehensive localcomponent. In an increasingly analyticalbusiness environment, the produce industrynow has real-world numbers to use withfederal, state and local government, banksand even zoning boards to validate that wemust be highly-valued economic contribu-tors — and that we’re not waiting for thenext bailout.

Left to our own invention, our industry has

grown nationally while still providing a

crucial comprehensive local component.


could boom and one’s own market sharecould still fall.

Aside from helping lobbyists for the trade,the PMA study has another benefit: It helpsto build the confidence of an industry that,though one of the world’s oldest and onenewly invigorated by the emphasis on health,has often thought of itself as old-fashionedand not very sexy, compared to computersand semiconductors and all kinds of high-tech industries.

Yet, now we have good evidence that thetrade is critical — that we matter. We alreadyknew that we mattered to 300 million Ameri-cans because we provide healthy sustenance,but we also provide good jobs, economic heftand make a real contribution to the economy.

Now, hopefully, each firm will take thisshot of confidence and use it to build up itsown business in these recessionary times andbe a bit more aggressive about trying to boostbusiness. After all, recessions are part of abusiness cycle, which means there may belows, but there are new highs yet to come, asexecutives in the produce industry plan forhow to come out of this downturn positionedto win. Thanks to the new PMA research,they know they won’t be charging into thepost-recession future all alone. They nowknow they are part of a mighty army charg-ing forward, together.

For delivering that realization throughfunding this study, PMA certainly deserveshigh kudos.

It is terrific that PMA has funded a studyto ascertain the size and scope of theproduce industry. This data is intriguingto all who toil in this trade and essentialto those looking to make the case for fed-

eral or state action to help the industry.PMA certainly attempted to create a “gold

standard” study and deserves praise for thathigh standard. It is, however, in the nature ofthese things that differentiate industries to beinherently duplicative in these types of stud-ies. So although it may be true that weaccount for 2.7 percent of all U.S. jobs, it isalso true that if you add up all the studiesdone by all the industries, the percentage ofjobs accounted for by all the different indus-tries would substantially exceed 100%.

Why? Well, if the supermarket industrydoes a study of its impact, it will count manyof the “produce” employees as supermarketemployees. If the restaurant industryattempts to quantify its impact, it will countemployees and sales as “restaurant-related”that PMA counted as “produce-related.” If thetransportation business wants to showcaseits significance, it would count all those pro-duce hauling trucks as “transportation,”although they fall into the PMA study as partof the impact of the produce industry.

The fact that states with high populationsbut small produce production bases oftencounted as substantial parts of the produceindustry in the PMA study is really testamentto the value added in marketing and distribu-tion. If nobody lived in California and nothingwas processed in the state, so California onlycontributed raw product, this productioncolossus would drop quickly and substantial-ly in the rankings of the states.

Of course, this is just the flip side of thegrower’s common lament that they receivetoo small a percentage of the retail price fortheir produce.

Although one can imagine all kinds ofuses for this data, such as persuading thefederal government to invest in updating ahalf-century-old water infrastructure, thisstudy is really an investment by PMA in arm-ing the trade’s public policy advocates with

additional data. When it comes to individual companies, it

is more important to pay attention to themicro than the macro. In fact, this subjectwas recently brought up in a joint presenta-tion this author conducted with Steve Lutz,executive vice president of the PerishablesGroup, anchoring PMA’s Produce SolutionsConference. In the Dick Cavett-style discus-sion with industry consultant Kevin O’Connorfilling the Dick Cavett role, we tried to empha-size that the prospects for most produce com-panies are far more influenced by what thosecompanies do than by changes in the grossdomestic product.

Sure as John F. Kennedy reminded us a“rising tide lifts all boats,” if you have a twopercentage-point share of the national marketfor, say, cucumbers, it is nice if cucumberconsumption is on an upswing and if all yourexisting cucumber customers just buy morecucumbers than they did last year. Thatmakes life easy.

But the truth is that cucumber consump-tion probably doesn’t correlate with GrossDomestic Product increases and that, even ifit did, different retailers are going to grow atdifferent rates. So, even in boom times, one’sgrowth is heavily dependent on how one haspositioned oneself. For example, is the suppli-er consciously aligned with retailers that aregaining market share? If not, if one is alignedwith a stagnant or declining chain, then theeconomy could boom, cucumber consumption

Confidence-Building Information

Now, hopefully, each firm will take this

shot of confidence and use it to build up

its own business in these recessionary

times and be a bit more aggressive about trying to

boost business.


From The Pages Of The Per i shable Pundi t

W ill anyone care if an industry member, say, Bryan Silber-mann or Tom Stenzel, or, in this case, Jim Prevor, wins anaward? If the award is for the right thing, I think so.

That’s why I’ve taken over today’s Pundit — to tell you about justsuch an award and why it is so significant to the industry.

My name is Ken Whitacre, and for those of you who don’t knowme I’ve partnered with Jim since the launchof PRODUCE BUSINESS in 1985. Personally, Jimand I go back longer than that. We were fra-ternity brothers in college.

When we were single, we shared anapartment and we were both each other’sbest men at our respective weddings. So I’vehad the chance to know Jim “up close andpersonal,” and although I don’t have Jim’sgift of prose, I’ve had the privilege — and Iconsider it a great privilege — of readingand editing every word he has written forthe past 24 years.

As I sit here writing, seeped in those mil-lions of words written by Jim, I want toexplain that although Jim’s name is on thisvery special award, it’s really the industrythat has received an incredible present, andthat’s what this award is all about.

There was once an editor by the name of Timothy White. Heworked for Billboard magazine, and he came to be the conscience ofthe music industry. He helped it to be better when he could, and hedefended the music industry when defense was appropriate. If youhappen to be a fan of rap music, you may have heard his name ashe was so prominent he even made the lyrics of an Eminem song:“Let me recite ‘til Timothy White pickets outside the Interscopeoffices every night.”

When Timothy White passed away, a decision was made byAmerican Business Media (ABM), the association for business-to-business media, which includes Business Week, Forbes.com andcountless business-to-business magazines and Web sites, to present aspecial award for editorial integrity.

This association holds an annual award competition — the JesseH. Neal Awards — and the awards are given in various categories forexcellence in journalism. Jim has been honored in past years as awinner in the category of Editorial, Commentary and Opinion Jour-nalism. This year he is nominated again, this time in the Hard Newscategory for the unique work he did in PRODUCE BUSINESS and Perish-ablePundit.com in wrestling with the Salmonella Saintpaul crisis this

past summer.The Jesse H. Neal award is very prestigious and difficult to win.

It is often referred to as the Pulitzer Prize of the Business Press, andmerely to be nominated is a great honor. But this year, in addition tobeing nominated for the Jesse H. Neal award, Jim is being awardedsomething different, not just in degree, but in kind. He has been

named the recipient of The Timothy WhiteAward for Editorial Integrity.

Paul Conley, a well-known commenta-tor on business journalism, has called theaward the “most important award in busi-ness-to-business journalism,” and I knowthat it is the one most meaningful to Jim.Here is how the criteria for the award isexplained:

The Timothy White Award recognizesexemplary leadership in the face of the chal-lenges and pressures that editors face daily.Named after the longtime editor of Billboardwho served as the moral compass of the musicindustry by tackling controversial issues beforesuccumbing to a heart attack in June 2002, theaward is given to an editor whose work dis-plays courage, integrity and passion.

Criteria:The editor being nominated should have followed White’s lead by:• Standing up to outside pressures — whether from advertisers,

industry executives or upper management — that threaten to inter-fere with the goal of placing readers first and maintaining indepen-dent, honest and ethical journalism.

• Serving as the conscience of the audience that his/her publicationor Web site serves and fearlessly supporting important industrycauses. Although courage, integrity and passion are the primerequirements for this award, the nominee should also:

• Uphold the integrity of business-to-business journalism asdefined in the American Business Media’s Editorial Code ofEthics and other professional standards.

• Mentor editorial colleagues and other members of the publica-tion to instill the highest ethical standards.

ABM does not necessarily give this award annually. It’s reservedas a kind of Special Oscar for individuals who exemplify courage,integrity and passion in an extraordinary way.

Obviously, Jim has a lot of friends in the industry, so I know hewill get a lot of e-mails and notes congratulating him on this

From Jim Prevor’s Perishable Pundit, Jan. 22, 2009

Prevor Wins An Award, But The Industry Gets The Prize

Jim always makes aplace for the little guy —the Mexcan farmer, theHonduran grower, the

regional processor or thelocal wholesaler. Hemakes sure that the

voiceless have a chanceto be heard.


achievement. These are people who care about Jim and will be gladfor his accomplishment and success. But I would make the case thatthose who don’t know Jim, who have no personal relationship withhim, should still be pleased by this award. After all, what is an indus-try but a series of institutions and how can an industry be any betterthan the quality of those institutions?

Thomas Jefferson once said, “If a nation expects to be ignorantand free, in a state of civilization, it expects what never was andnever will be.”

It is equally true that an industryexpecting to advance depends crucial-ly on the institutions that inform andeducate its members, crucially on theforums available for analysis anddebate, crucially on someone havingthe courage to bring it all together,someone not afraid to speak the truth.In this industry, Jim Prevor is thatinstitution.

The specifics of the merits forwhich Jim won this award include hisexemplarily service to the industryduring various food safety crises, suchas the spinach and the SalmonellaSaintpaul crises, when he frequentlyworked around the clock to determineand analyze the story. (How many ofyou recall those daily Pundit editionsreleased at 3 and 4 a.m. for weeks onend?)

The award also recognizes Jim’swillingness to tell it like he saw it,even if that meant alienating impor-tant advertisers or readers. The serieswe have run on Sunkist, Ocean Sprayand Tesco’s Fresh & Easy fall intothese categories.

The award also is partly given for engaging and encouraging hon-est dialog in the industry and partly for representing the industry tothe general public. Whether on CNN, Fox Business Channel, NPR,the BBC or being quoted in hundreds of media outlets, Jim wasthere, credible as an independent editor and analyst, helping theworld to better understand the industry.

Timothy White was well known for caring about the little guy,the small artist who might not get the attention of the big recordlabel. In much the same way, Jim always makes a place for the littleguy — the Mexican farmer, the Honduran grower, the regionalprocessor or the local wholesaler. He makes sure that the voicelesshave a chance to be heard.

Yet mostly, this award is for building a culture at PRODUCE BUSI-NESS, PerishablePundit.com and our other magazines that is builtaround the notion that telling the truth is primary and that, in this

business, success depends ultimately on reputation — whatever theshort term cost.

Jim has been published in The Wall Street Journal and is a steadypresence on TV and radio programs. If it were not for a quirk of his-tory, I think Jim would have somehow devoted his life to big con-sumer publications and would probably be guiding the Presidentright now. But Jim’s destiny was always tied to the produce industry.

Jim is the great-grandson of Jacob Prevor, who ran a producewholesaling operation on the old Wallabout Produce Market in

Brooklyn; he is the grandson ofHarry Prevor, who was a wholesalerand auction buyer on the old Wash-ington Street Market in Manhattan;and he is the son of Michael Prevor,who moved the family business tothe Hunts Point Market in theBronx and made it a leader in theimport and export trade.

Out of his tie to that history grewa fierce allegiance to the trade, andso he has devoted his life to makingit stronger and better.

It is easy to assume that ifChurchill hadn’t been born, Britainstill would have stood up to theNazis and never surrendered. It iseasy to assume that if Einstein had-n’t existed, the theory of relativitywould have been invented by thenext guy or that if George Washing-ton hadn’t been in the picture, theRepublic would have still done justfine, and that if Lincoln had notbeen there to be so obstinate aboutthe Union, it still would haveendured.

So, in our little industry, it’s easyto assume that if Jim didn’t scribble, someone else would and noth-ing would have changed. But watching other industries, I think thisassumption would be incorrect. People with intellect, knowledge,perseverance — or in the specifics of this award, “integrity, passionand courage”— don’t have to work in our industry. They have manyother opportunities and if they did not work in this industry, wewould all be poorer for it.

Congratulations to Jim on being named the 2009 recipient of TheTimothy White Award for Editorial Integrity. Though Jim acceptsthe award, it is the industry that has won the prize. I doubt he’ll beincluded in any rap songs, though maybe someone will one dayname a produce variety after him. In the meantime, if you wouldlike to send a note of congratulations and appreciation for what Jimhas contributed to the industry, please write to [email protected] www.perishablepundit.com

www.perishablepundit.com From The Pages Of The Per i shable Pundi t

Jim received his award during a banquet at thefabled Rainbow Room atop Rockefeller Center inNew York City on March 19, 2009.

http://www.perishablepundit.com




http://www.perishablepundit.com

BY JACQUELINE ROSS LIEBERMAN

Home CookingMakes A Comeback


Creative, targeted marketing,brand recognition and ready-made, fresh-cut products makenew at-home cooks a boon forproduce departments.

As a result of a suffering economy,more people are preparing food athome. While there is no way toknow exactly how many peoplehave switched from eating out

regularly to dining in, here is what we do know: In2008, 82 percent of consumers ate home-cookedmeals three or more times a week — up from 75percent in 2006, according to Sloan Trends Inc.,based in Escondido, CA, a company that providescouncil and business- building ideas to partners inthe food, beverage and supplement industries.

Many in the industry assume that the numbershave grown even higher as restaurants reportdeclining sales. People who are beginning to giveup a lifestyle of mainly dining out and taking in —or home-cook converts (HCCs) — are oftenclueless when it comes to buying and preparingfresh produce.

It would be easy for these new home-cooks toeat out of cans and freezers, and surely some do.But common sense tells us that most wouldrather continue eating the types of foods to whichthey have grown accustomed. Indeed, accordingto Bellevue, WA-based The Hartman Group, aprovider of consumer insights and marketing strat-egy, consumers are not changing their food prefer-ences and they are not abandoning their interest inquality food experiences, despite the fact that theyappear to be dining out less often.

Produce departments stand to gain a greatdeal from these consumers, especially if produceexecutives are willing to educate them on how tocreate the foods they love, as well as offer prod-ucts that save time and money, without reducingthe quality of the meals they wish to enjoy.

Reader Service # 15

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Stacey Larson, president of Consumer EffectsInternational, based in Rocklin, CA, a leadingshopper marketing agency that specializes in retailsales program development and execution, notes,“With the latest trends showing consumers notonly have to, but want to, eat at home moreoften, resources are needed at the point-of-sale toensure a wide variety of products are purchased.Consumers have been dining out and have losttouch with the ease of ‘how-to’ in the kitchen.”

Since the 1980s, the number of meals providedby foodservice has risen while the number ofmeals made at home has declined. When statisticsbecome available for 2009, we may see a reversal.Chick Goodman, vice president of sales and mar-keting for Herb Thyme Farms, a grower and ship-per of both conventional and organic, fresh, culi-nary herbs headquartered in Compton, CA, seesthis “as an opportunity for the retailers to turn thetides. I think it’s one of the retailer’s biggest oppor-tunities in 10 years,” he declares.

PRODUCTS MAKE IT EASYOne of the easiest ways for retailers to reach

HCCs is by offering convenience-oriented prod-ucts. Today, there are more of these in producedepartments than ever before.

For example, Sargento Foods Inc., based inPlymouth, WI, recently introduced its Salad Fin-ishers and Potato Finishers — kits designed for

produce departments that help consumers turnpotatoes and bagged salads into either completemeals or side dishes similar to what they wouldfind in restaurants with minimal effort.

Barbara Gannon, vice president of corporatecommunications at Sargento, explains the product:“Finishers contain premium ingredients such asmarinated, flame-grilled, diced, whole chickenbreast; smoked, real bacon crumbles; toastedpecans and delicious Sargento shredded, naturalcheeses. These components are individually pack-aged for freshness,” Gannon says. “People arelooking to replicate restaurant meals at home. Ourresearch tells us that most of the Finishers con-sumers are food adventurers — those looking forunique dining experiences at home.”

With items such as these, “Consumers do nothave to purchase larger quantities of each of theseingredients and spend time preparing them bycooking, dicing, toasting, shredding, etc.,” addsGannon. “Consumers have just the amount theyneed for a meal without any waste. Finishers offerretailers a good margin without the spoils of manyother items in the produce department. Eachpackage has a ‘use by’ date, which allows for easyrotation and assurance of freshness.”

According to Gannon, Finishers not only add aring to the produce department, they also encour-age sales of traditional produce items. “Most peo-ple who purchase Finishers also buy bagged salads

Producedepartments stand to

gain a great dealfrom these con-

sumers, especially ifproduce executives

are willing to educatethem on how to

create the foods they love.

or potatoes. In fact, our research indicates thatconsumers who purchase Finishers eat salads andpotatoes more often than before,” she reveals.

Mongiello Sales Inc., part of FormaggioCheese Specialties Inc., in Hurleyville, NY, recent-ly introduced Just Add Lettuce, what the comp-many calls a “3-D” salad dressing. Designed for theproduce department, these refrigerated jars —available in Italian, Spanish and Greek flavors —contain all the components needed to createrestaurant-style salads, minus the lettuce. For

Rea

der

Serv

ice

#85

http://www.kirkey.com

http://[email protected]

Reader Service # 5

http://www.carliforniaavocado.com/retail


example, the Greek dressing includes red onions,herbs, Feta cheese and even stuffed grape leaves.

The dressings are ideal for consumers wholove the flavor of restaurant salads but who eitherdon’t have time to eat out or don’t want to spendthe money. “People don’t want to change whatthey eat,” says John Stanton, corporate chef atFormaggio. “People want quality. They wantsomething that tastes good.”

The jars are also ideal for cross-merchandisingdisplays. “There will be recipes included on the jarlabels. With the Greek salad dressing, you cantoss it with pasta, for example, and eat it hot orcold,” suggests Stanton. “People can also use it as

dip for bread or crackers.”Retailers have jumped on the bandwagon with

private-label cooking kits. Austin, TX-basedWhole Foods Markets offers fresh-cut starter kitsfor soups, salads and side dishes in its produce sec-tion. One such product — a Southwestern Cornand Sweet Potato Soup Starter Kit — includesblack beans and fresh-cut sweet potatoes, bellpeppers, corn, onions, garlic and chipotle chiles.Consumers need only sauté the vegetables, dumpin the container of beans and corn, add store-bought broth or water and simmer for a home-cooked meal, and all of this only takes about 40minutes. The recipe is fool-proof and no time is

In 2008, 82 percent of

consumers atehome-cooked meals

three or more times aweek — up from 75

percent in 2006.

wasted shopping, chopping or measuring. Cleanupis quick, too, because the only equipment neededis a pot, a stove and a spoon.

Robert Schueller, director of public relations atMelissa’s World Variety Produce Inc., headquar-tered in Los Angeles, CA, says the company isresponding to the home-cooking trend with prod-ucts designed to educate consumers, save themtime and make it easier for them to consume freshproduce every day. For example, “The Guacamoleand Salsa Kits were created to educate consumersabout how to make delicious salsa and guacamolerecipes. They attempt to make home cooking‘fool-proof.’ Many people do not know all the tra-ditional ingredients that go into a restaurant-styleflavor profile using all fresh ingredients without theheavy preservatives you find in store-bought,canned, jarred and tub salsas and guacamoles,”Schueller explains. “The kits typically take five to10 minutes to prep, and the flavor is worth thetime and money.”

Schueller recommends merchandizing thesekits next to fresh tomatoes and avocados, “wherethe customer is given a choice to create his or herown recipe or buy Melissa’s kits.”

Fresh vegetables in microwaveable, steambags are another growing trend in produce depart-ments. For example, C.H. Robinson WorldwideInc., a transportation, logistics and sourcing com-pany, headquartered in Eden Prairie, MN, createdFresh ‘n Easy, a line of fresh vegetables with saucein heat-and-serve bowls. These offer all the easeof frozen vegetables in sauce, but with a freshproduct that consumers love.

Recently, an array of these steamable, freshvegetable products have arrived in the market-place, with green beans, vegetable medleys, broc-coli and potatoes leading the pack in popularity,according to the Denver, CO-based United StatesPotato Board. Tim O’Connor, president andCEO, is “looking forward to the growth of steam-able products, because it matches up conveniencewith the value of fresh foods,” he says.

Busy but strapped consumers who areeschewing restaurant lunches and brown-baggingit at work can find suitable — and increasinglybetter — replacements for the sometimes staidand uninteresting meal options in the produceR

ead

erSe

rvic

e#

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Reader Service # 72


pre-cut items,” she asserts. “This allows them tocook a meal at home and utilize their time effe-ciently. To make a meal from scratch involves a lotof time and labor. Fresh-cut can allow people toincorporate more produce with less effort.”

Any home cook looking to save time in thekitchen can find a useful, fresh-cut product in theirlocal supermarket. United Fresh Produce Associa-tion’s (UFPA) communications manager, PatrickDelaney, notes from his Washington, DC office,“There’s been a real increase in the variety offresh-cut products available. It used to be justpackaged salads. Then we saw some fruit packs.Now, you have a whole array of items.”

“Fresh-cut produce is a clean, ready-to-useproduct,” notes Alamo. But in addition to savingconsumers time and effort, fresh-cuts can alsosave them from unpleasant kitchen chores. AsAlamo points out, “It’s torture to peel and chop anonion. Why not let someone else take the tearsout of it for you?”

Melissa’s, which recently introduced a numberof fresh-cut products, has seen a great deal of suc-cess with its peeled, baby red beets for a similarreason. “Ever made beets from scratch?” asksSchueller. “To peel, cook and cool is about a 45minute process, not to mention the bright redmess beets leave behind in your kitchen. Why gothrough all of that if you can buy a product thattastes like it was just peeled and steamed right outof the package?”

“Speaking as someone who doesn’t cook much— it’s tremendous — not only for time, but forease of cooking,” says Delaney. “Often, peoplewho aren’t familiar with cooking aren’t comfort-able with prep work.”

Many consumers believe they are paying aprice for this convenience. According to theUFPA, 82 percent of consumers surveyed saidthat pre-packed produce was more convenientthan whole, fresh produce, while 86 percent saidthat whole, fresh produce was less expensive.

But UFPA’s latest statistics demonstrate thateven in the third quarter of 2008, when budgetsbegan tightening, many were still willing to pay

Whole Foods offers a variety of fresh-cut vegetables for the ease and convenienceof home cooks.

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department. For example, Ready Pac ProduceInc., located in Irwindale, CA, recently redesignedthe Bistro Salads the company first introduced in2003 to reflect the results of its consumer-drivenstudy, which revealed that consumers were look-ing for satisfying restaurant-style salads with plen-ty of nutrition and 300 calories or less. To accom-plish this, Ready Pac used premium ingredients toincrease the flavor of these single-serving saladbowls, while simultaneously reducing the sodiumcontent by 30 percent and the fat content by 50percent, as well as increasing the levels of vitaminsand minerals by almost 60 percent.

Ali León, senior director of strategic businessdevelopment for Ready Pac, adds, “We’veremoved some of the common allergens.” Newpackaging for the compartmentalized bowls alsoallows for more eye-catching displays and is moreenvironmentally friendly. Even the utensils areimproved. “We changed to a scooped fork design,which makes tossing the lettuce with dressing andother components easier,” reveals León.

“One of the things we know from the researchwe’ve done is consumers are making multiple pur-chases of the Bistro Salads, with an average pur-chase of 2.3 bowls per shopping trip,” disclosesLeón. But because these are grab-and-go items,they don’t seem to eat into sales of other produceitems. “It becomes an incremental sale for theretailer,” she continues. “Consumers are buyingboth bagged salads and Bistro Salads.”

FRESH-CUTS POISED TO GROW

Convenience products needn’t be complicatedto win over home-cook converts. With theincreasing number of HCCs, even the simplestfresh-cut items have the potential to take off likenever before. According to Nelia Alamo, directorof sales and marketing for Oxnard, CA-basedGills Onions LLC, a grower and processor offresh-cut red and yellow onions, “Fresh cut prod-ucts offer the ultimate convenience to consumers.Many families have two working parents who arerunning in a million different directions. They need

http://www.mmtropicals.com



they don’t want to buy a 20-lb. bag.”It may seem counterintuitive, as smaller pack-

ages cost more for both the retailer and the con-sumer, but spoiled produce is worthless to theconsumer. “Everyone’s going to say it has to be ata low price, but when we look at sales people arewilling to pay for convenience, and those smallerpackages are another level of convenience,”Delaney adds.

Whether small packages or larger, value-sizesare right for your store depends largely on yourstore’s demographics, notes Delaney. “Dependingon their client base, retailers may say their cus-tomers love the big package size, and others may

say they need to carry the whole variety of sizes,”he explains.

BRING THEM IN WITH BRANDS

Brand recognition has always helped sell boxesof cereal, cans of soup and slices of cheese. Today,they are increasingly found in the produce depart-ment, as well.

C.H. Robinson carries a number of fresh pro-duce items under well-known brand names,including Tropicana Citrus, Mott’s sliced applesand Welch’s grapes. Bud Floyd, vice president ofproduce marketing, explains the importance of


“Fresh cutproducts offer

the ultimateconvenience to

consumers. To makea meal from scratch

involves a lot of timeand labor. Fresh-cutcan allow people to

incorporate moreproduce with less

effort.”— Nelia Alamo

Gills Onions LLC

slightly more at retail for fresh-cut produce thanthey did a year before. One theory is that fresh-cut produce can mean the difference betweenconsumers making a dish themselves or payingeven more to have someone else make it for them.

Wise shoppers know that the price differencemay not be as great as it first appears. As Alamopoints out, “On a fresh-cut product you can, inmost cases, see the quality of the finished productbefore you purchase it. You are getting a consis-tent cut and 100 percent usable product — youdon’t have to pay for the waste and product youwould be throwing away if you cut it yourself.”

Schueller believes that fresh-cut produce isalso gaining popularity, “because of the packagingtechnology that allows for this generation of fresh-cut to offer a good shelf life, unlike older packagingtechnology, which had a much shorter shelf life.Some of our fresh-cut offers — the peeled shallotsand Cipollini onions — remain fresh for over 14days. Other fresh-cuts, such as the peeled babybeets, steamed lentils and sliced carrots have a 9-month shelf life.” Retailers benefit because there isless shrink, and consumers are happy because apackage can remain in their refrigerator for morethan a few days.

And while canned or frozen produce is easy toprepare, “Taste is the most important reason tobuy fresh or fresh-cut produce,” adds Schueller.

Smaller packaging may also encourage sales toHCCs, especially those in smaller households.Demand for healthful snacking options, such assingle-serve packs of sliced apples or peeled, minicarrots may also play a role. “We’re seeing smallerfamilies in general,” notes UFPA’s Delaney.“Because of the perishable nature of produce, R

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“Our experience has

been that when weimplement programs

that include educa-tional tools, such asrecipes and tips, wehave seen lifts from

10 percent to 150percent, depending

on the product.”— Stacey Larson

Consumer Effects International

would like to recreate the recipe at home for theirfamilies, pick-up a bilingual — Spanish and English— recipe card,” she explains.

But the program doesn’t stop there. Publix hasthought of everything, including a one-stop loca-tion in the store that groups all of the necessaryingredients for the featured meal. “For customerconvenience, we have an adjacent kiosk that con-tains all the ingredients used to create the meal,”adds Brous. “Customers can simply gather all theitems needed to replicate the dish at home. Eachrecipe is meant to take 30 minutes or less of preptime. Cooking time varies. As another customerbonus, we work hard to incorporate our sale itemsinto the Simple Meal of the week. For instance, ifchicken breasts are on sale this week, the maindish will feature chicken breasts.”

Another chain of supermarkets, H-E-B, in SanAntonio, TX, offers “The Cooking Connection,” afamily-friendly demonstration kitchen designed toprovide easy meal solutions with simple recipesand products. The kitchens are open seven days aweek and demonstrate several recipes each day,such as Cheesy Beef Enchilada Soup with Avoca-dos and Veggie and Olive Pasta Salad. Consumerswho like the recipes can pick up recipe cards anditems used in the recipes at the kitchen.

RECIPE CARDS AND CREATIVEMERCHANDISING TECHNIQUES

When demonstrations and cooking classes arenot possible, something as simple a recipe card canstill make a difference. According to Apopka, FL-based Try-Foods International, 80 percent of con-sumers will purchase ingredients for a recipe theypicked up while shopping.

“Our experience has been that when weimplement programs that include educationaltools, such as recipes and tips, we have seen liftsfrom 10 percent to 150 percent, depending on theproduct,” says Larson of Consumer Effects Inter-national. “Providing these types of educational tipsthat are concise, easy to read and accessed in-store captures the attention of the shopper in

today’s environment.”While offering exclusive recipes can help

lift a store’s sales, many brands, such asTropicana Citrus, offer retailers take-

home recipes to place in displays.Many offer consumer Web sites withadditional meal ideas, as well.

Schueller of Melissa’s agrees.“Recipe cards are a tool we always use

to give consumers ideas on how to usethe products, so we always encourage

using brochures and recipe cards. Exceptthat’s tough for the retailer. Our package typi-cally offers serving suggestions, maybe a recipe

or two and leads them to our Web site, whereconsumers will find at least three recipes for everyitem stocked at Melissa’s.

Herb Thyme Farms is another produce com-pany that places recipes on and inside its packages.

place some level of the program in each one of itsnearly 1,000 stores across the Southeastern Unit-ed States.

The program — whose motto is “It’s Simple -Stay in, Save Money”— is designed to inspireshoppers with in-store cooking demonstrations ofeasy-to-prepare meals, such as Grilled Salmonwith Fresh Fruit Chutney and Spinach MashedPotatoes, Southwestern Pizza with Jalapeno Cae-sar Salad and Chicken Confetti Spaghetti withSouthern Green Beans.

Maria Brous, a spokesperson for Publix, clari-fies the concept. “Apron’s Simple Meals is a pro-gram created for the beginner cook to the cookconnoisseur. Each week, all of our stores featureat least one Simple Meals recipe. We have mealspecialists who prepare and serve the meal of theweek. Customers sample the dishes, and if they


Ready Pac offers Bistro Salads as a possible solution for home-cook converts.

brand recognition. “If you’re in your local super-market and you’ve got 30 minutes to shop, you’remore likely to pick up a product with which youalready have an established relationship,” explains.“You recognize that brand and you trust it’s goingto be of good quality.”

In light of recent food scares, brands can alsohelp assure customers that they are getting a safeproduct. As Floyd notes, “In all of our minds wewonder, ‘Is this product safe? Who is behind thisproduct and do I trust them?’” He points out thatbrands have more to lose if an item of theirs isfound to be unsafe, and consumers can take com-fort in that.

Placing branded, non-produce items within theproduce department that are meant to comple-ment produce items, such as Sargento Finishers,also encourages sales, according to Sargento’sGannon. “The Sargento brand image is high-quali-ty, and that positive imagery and consumer brandtrust has now extended from the dairy depart-ment to the produce department,” she explains.

With brands comes a certain level of guaran-tee, as well, because if a consumer finds an itemfalls below his expectations, there is a company hecan contact. In the case of the brands C.H.Robinson carries, consumers can contact a 1-800number and speak to someone in customer ser-vice. “We respond with a coupon and a letter say-ing we’re sorry you had a bad experience, or a let-ter saying we’re happy you had a good experienceand a coupon,” says Floyd.

EDUCATING THE CONSUMER

One of the first steps in reaching inexperiencedHCCs is with in-store cooking classes, which arebecoming increasingly popular at supermarketsaround the country. For example, Lakeland, FL-based Publix Super Markets is currently expand-ing its Apron’s Simple Meals program as a result ofthe its success in helping customers prepare simpleand tasty meals. In the next year, Publix plans to

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Goodman believes that instructing people precise-ly how to use fresh herbs is an ideal way to addincremental sales. “Fresh herbs are an ideal bas-ket-builder,” he declares, “because they allow peo-ple to enjoy the flavors they have learned to loveat restaurants with very little additional work orexpense at home.”

When HCCs first find themselves cooking athome, they may attempt childhood comfort foods,such as meatloaf and mashed potatoes. But, saysGoodman, “After a couple of weeks, people gettired of the five dishes mom knows how to cook.Show them how to do rosemary mashed pota-toes, salmon with dill. Show them how to get

those restaurant flavors.”Displays with fresh herbs that encourage shop-

pers to buy a number of items can be a boon. “Interms of ring for produce, all of a sudden you’vegot a $12 or $13 produce ring and it doesn’t takeaway from people who came in to buy their toma-toes, potatoes and lettuce,” says Goodman. Healso recommends holding promotions that encour-age consumers to “make home-cooking fancy.”

This past September, Wegman’s Food MarketsInc., headquartered in Rochester, NY, began offer-ing “Take it. Make it.” meal options. Customerscan watch meals being assembled at stations instores and may either “take it” from a prepared

“After a coupleof weeks

people get tired ofthe five dishes momknows how to make.

Show them how todo rosemary mashed

potatoes, salmonwith dill. Show them

how to get thoserestaurant flavors.”

— Chick Goodman

Herb Thyme Farms

foods display case or find the ingredients conve-niently packaged together for purchase if theywant to “make it” at home. According to the com-pany’s press release, “Offering the same collectionof dishes in ready-to-eat and make-it-at-home ver-sions expands choices for customers and invitesthem to see, taste and explore new culinary expe-riences with more confidence.”

Another cross merchandising technique —meal deals — is well known at Kansas City, MO-based Hen House Markets, a division of BallsFood Stores. The stores offer weekly bundledmeal deals that allow consumers to spend lessthan $3.50 per person to feed a family of four. Forexample, one week shoppers buying a HarvestDinner Pie at one of the stores for $13.99 alsoreceived a free bag of Green Giant Fresh BroccoliMedley, a bag of Dole Classic Iceberg Salad Mixand six dinner rolls.

The US Potato Board’s O’Connor recom-mends placing steamable, microwave, plastic bags,such as Ziploc’s Zip’n Steams, in the producedepartment with the components necessary tomake a “meal in a bag.” The technology allowsconsumers to create a unique cooking environ-ment in their microwaves. “It’s the same thing thatmost people’s grandmothers used to do with apressure cooker, but in a microwave,” explainsO’Connor. A display utilizing these bags “wouldbe an excellent way to put multiple items togetherand create excitement for the consumer,” he adds.

Whether with demos, recipe cards or displays,when done correctly, any of these techniques willencourage HCCs to enjoy their new cookinghabit and hopefully continue to do so even afterthe economy improves. According to Goodman,“If the retailer shows people how easy it is to cookrestaurant-quality food, this is a chance to lockthem in.” pbR

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According to the most recent Census counts, thenation’s Hispanic population increased by 1.4 mil-lion people to reach 45.5 million on July 1, 2007.“This is 15.1 percent of the estimated total U.S. pop-ulation of 301.6 million,” explains Laura Sonderup,marketing director for Hispanidad, a Denver, CO-based company that provides integrated marketingservices to reach the Latino market.

The rapid growth of the Latino segment indi-cates even greater potentia for the future. “TheCensus Bureau estimates in 2050 the Latino popula-tion will increase to 29 percent,” states MaggieBezart, marketing director for the Santiago, Chile-based Chilean Avocado Importers Association(CAIA) and president of Bezart Marketing Commu-nications, headquartered in Aptos, CA. “Additional-ly, 45 percent of U.S. children under the age of five

are minorities, according to the National Vital Sta-tistics Reports.”

The buying power of this segment is highlightedby Gabriela Alcantara-Diaz, chief strategic officerfor Machado/Garcia-Serra Communications (MGS),a national, multicultural, integrated marketingcommunications agency in Coral Gables, FL. “In2007, total U.S. Hispanic buying power was $895billion, making it the richest Spanish-speakingcountry in the world,” she says.

The more fashionable term, Latino, now helpsdefine this group in terms of its diversity and evolu-tion in the U.S. marketplace, including Portuguese-speaking Brazilians, as well as those from Spanish-speaking countries. Robert Schueller, director ofpublic relations for Melissa’s World Variety Produce,in Los Angeles, CA, explains, “The Latino popula-tion continues to soar throughout the United Statesby way of migration and immigration of people andthe culture.”

The U.S. Hispanic market is not a monolithicaudience, and recognizing differences in sub-seg-ments increases sales opportunity. “Acculturationlevels, language preferences, country of origin andsocio-economic indicators make for unique sub-groups within the segment,” details Sonderup. “It’sunrealistic to expect a single strategy to work forthe entire Hispanic consumer market — only seg-mented approaches will result in successful mar-keting initiatives.”

“In the broad spectrum, the Latino marketplaceis changing,” states Karen Caplan, president of Frie-da’s Inc., in Los Angeles, CA. “More and more busi-nesses are recognizing you can’t speak in generalityabout this market.”

“At Publix, we’ve known for decades the impor-tance of being reflective of your customer base andhaving items available that appeal to them,” advisesMaria Brous, director of media and communityrelations for Publix, in Lakeland, FL. “Invest yourtime and resources in building a team who under-

It’s no secret Hispanics comprise a signif-icant and growing percentage of theU.S. population.

Debunking Myths Of The Latino Market (Part I of II)As the U.S. Latino community evolves, stores that overcome common misperceptions and generalizations will fully realize the opportunity presented by this important and diverse market segment.

B Y J O D E A N R O B B I N S

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http://www.brookstropicals.com


stands the Latino customer.” Greater awareness about some common

misunderstandings and questions concern-ing this growing customer group will helpcompanies build even greater business withtheir potential Latino customers.

MYTH 1 : I T ’ S NOT WORTH THE EFFORT

The Latino customer is especially valu-able to produce because of the group’spropensity to allocate a high percentage ofspending on food, particularly produce.“Hispanics are an important segment forsupermarkets because they purchase onaverage 11⁄2 to 2 times more than the normin food,” reports Dick Spezzano, president ofSpezzano Consulting Service, in Monrovia,CA. “They’re much higher spenders in theproduce department as well. A recent pro-ject for a Hispanic-targeted store showedtheir produce distribution is almost 21⁄2

times that of a conventional supermarket.” “This group could be considered the per-

fect consumer,” says Mike Potts, vice presi-dent of sales for Turbana Corporation, head-quartered in Coral Gables, FL. “They repre-sent a large, rapidly growing target market.Their families tend to be larger with good,disposable income. They cook from scratchand are very loyal.”

director for Brooks Tropicals LLC, headquar-tered in Homestead, FL. “The Latinolifestyle is based on eating with your family,eating home-cooked meals. Ensuring theirfamily’s health by preparing fresh foods andencouraging them to exercise is a commonpractice among all Latinos. Ironically, agrowing concern is the development of badeating habits as acculturated Latinos arefaced with the United State’s abundance ofcheap, low-quality food,” she adds. “ManyLatinos and Latino organizations are gettingout the important, but basic message: theold ways are the best ways. Latinos appreci-ate fresh produce as a way to combat badeating habits.”

MYTH 2 : MY STORE I SN ’T IN MIAMI OR L .A .

Although the more traditional Latinoareas, such as Los Angeles, Miami and NewYork, continue to be the most highly popu-lated, many businesses may be surprised tofind Hispanics in their own back yard. Son-derup explains, “As the Hispanic populationcontinues to grow at an explosive rate,increases are not exclusive to traditionallydense areas like Miami and Los Angeles.Significant growth is being seen in placeslike Des Moines, Kansas City and LittleRock,” she discloses. “Smart retailers will dig

“The Census Bureau

estimates in 2050

the Latino popula-

tion will increase to

29 percent.”

— Maggie BezartChilean Avocado

Importers Association

Reaching out to Latino consumers ismoney well-spent. “Hispanic consumersabsolutely over-index in their consumptionof food purchased for preparation at home,”reveals Hispanidad’s Sonderup. “Further-more, Hispanics cook dinner at home anaverage of 5.6 times per week and 53 per-cent cook dinner at home nightly.”

Schueller adds, “Hispanics spend 40 per-cent more on fresh produce than the typicalnon-Hispanic consumer.”

“If there is any ROI to be had in produce,focusing on Latinos will deliver desirableresults,” says Mary Ostlund, marketing

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a little deeper to understand the composi-tion of the community they are serving.”

“I heard this doubt expressed once froma grocery store manager whose location wasin the same town in which one of our cus-tomers had just opened a store,” reportsOstlund. “I knew my customer’s tropicalsection was doing very well out there, and itwasn’t that big of a town.”

“No matter where you’re located in theUnited States, you’ll have some Latino cus-tomers,” agrees Spezzano. “The Southwest,Chicago, New York and Miami obviouslyhave huge groups, but there are also manyenclaves in other cities and towns.”

Due to migration, mixed marriages andprofessional advancement, Latinos are end-ing up in the four corners of the country.Sonderup reports, “National and state esti-mates by race, Hispanic origin, sex and ageshow the Hispanic population exceeded500,000 in 16 states.”

Daniel Herrera, marketing manager forFood Lion LLC, based in Salisbury, NC,offers an example. “In North Carolina, thereis a large and increasing Hispanic/Latinopopulation,” he says. “We want to be theneighborhood grocery of choice, so thismeans there are different segments of thepopulation to which we need to appeal.”

Migration due to work opportunities or

increasing job skills has an effect. “Retailersin suburban areas with major processing orautomotive plants are well aware of the buy-ing power of their Latino shoppers,” main-tains CAIA’s Bezart. “These smaller areaswith independent or regional retailers aregenerally overlooked by major supplierswith promotional budgets for targeting theLatino shopper. However, these retailerstend to have more flexibility and creativityat store level.”

“Another dynamic we’re finding is the re-settlement of Latinos,” adds MGS’ Alcantara-Diaz. “They’re mobility-driven by accultura-tion and jobs — some professionals are set-tling in other areas because they can bringforth better job skills, and their bilingualability gives them an asset on their resumefor better jobs.”

Stores can use available demographicinformation to discover the niches in theirmarketplace. “Looking at demographics willshow retailers how this consumer group isin many more areas than just Miami orL.A.,” suggests Turbana’s Potts.

“Stores can find out the one-, two-, andfive-mile demographic, along with incomelevel,” suggests Spezzano. “With this infor-mation in hand, they should be able to puttogether a store-by-store marketing plan.”

Customer interaction is another highly

valuable tool in tailoring your plan. “Themore hands-on approach of many indepen-dent retailers really works,” states Spezzano.“They are on the floor talking to their cus-tomers and really getting to know theirneeds and wants.”

“Ask your produce manager to be obser-vant and to pay attention to what people saythey’re looking for,” advises Frieda’s Caplan.“Look at the size of families, talk to the cus-tomers and ask them what they need.”

MYTH 3 : H ISPANIC MEANS MEXICAN

It’s important to be respectful of Latinos’culture and history and to realize the Latinogroup is not homogenous. There are manydifferent subgroups, none of which want tobe categorized by sombreros or mariachibands. “It is imperative to understand thedifferences in your consumer communitybefore creating campaigns,” advises His-panidad’s Sonderup.

Publix’s Brous adds, “A successful retailermust know the differences — large andsmall — among the various nationalities.Product selection for each sector will be dif-ferent. We have had a wealth of experiencein this arena and have served the Hispanicpopulation for over 40 years in our SouthFlorida market.”


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“When marketing to our Latino guests,we must be respectful and consistently rele-vant to their culture,” underlines JanaO’Leary, spokesperson for Target Corp.,headquartered in Minneapolis, MN. “Whentranslating our Brand Promise, we must finda balance between the two different culturesour Latino guests often live in and alsoreach them through all mainstream chan-nels in both cultures.”

Migration from all over Latin America isaffecting the make-up of the market. “Theface of Latinos is constantly changing in theUnited States because different countriesare increasingly represented now,” saysVeronica Kraushaar, president and CEO ofViva Global Marketing LLC, located inNogales, AZ.

Alcantara-Diaz further explains, “Whatwe’re finding now, primarily driven by theEastern U.S., are Latin neighborhoods, butnot necessarily comprised of a singular eth-nic group. These Hispanics are learningfrom each other and they’re also mixing inmarriage and families.”

“They may live together in the samecommunity, but they have different likesand dislikes in food, music and many otherareas,” adds Spezzano.

Making sure the product mix and attrib-utes reflect the different origins is crucial.“For example, those from El Salvador maybuy the same product as someone fromMexico, but they expect it to be in differentstages of ripeness, and will use it in differentways,” explains Food Lion’s Herrera.

“Not targeting the product and messageto the proper demographic and nationality isa crucial mistake,” states Kraushaar.

MYTH 4 : I ’M SELL ING TO F IRST GENERAT IONIMMIGRANTS

The U.S. Latino community is increas-ingly diverse, even as far as birthplace. “Inmarketing, it is necessary to look at classify-ing the generations,” says Herrera. “Market-ing to first generation Latinos is differentthan marketing to third-generation Latinos,who may have become more cultured in theAmerican way of life.”

“Target guests are young, well-educated,moderate-to-better income families who liveactive lifestyles,” describes Target’s O’Leary.“The Latino guest exemplifies these charac-teristics and also brings a cultural perspec-tive when shopping in our stores. We striveto make our marketing relevant to all guestsbased on their own cultural experienceswhile also keeping our Brand Promise of‘Expect More. Pay Less’ consistent in all ofour marketing efforts.”

Companies that overlook the second and

third-generations are missing out on seriousopportunities. “One-third of the U.S.’s His-panics are immigrants, so the balance iscomprised of Hispanics born in this coun-try,” reports Hispanidad’s Sonderup. “By2020, the Hispanic population is expected toreach 60 million — over 18 percent of theU.S. population. Second and third-genera-tion Hispanics, a more acculturated seg-ment with stronger English proficiency, willprimarily boost this growth.”

“There is a considerable difference interms of language, marketing maturity,media consumption, purchase patterns andcultural traits,” notes CAIA’s Bezart. “Thelonger they have lived in the United States,the more likely they will be naturalized toour culture, behavioral patterns and expec-tations. The acculturation also depends onsocio-economics — the more educated, themore adaptable to the culture. Acculturatedhouseholds tend to have smaller families,marry later and have higher educationattainment and higher average income.”

Understanding the acculturation and

what it means with respect to food traditionswill help a retailer evolve with the secondgeneration customer. “More and more Lati-nos are thoroughly assimilated into theU.S.,” explains Viva’s Kraushaar. “Third andfourth generations, for example, may speakmainly English at home, yet they remainfaithful to some of the habits and cookingstyles of their home country.”

“American-born Latinos don’t use all thetraditional Latin ingredients,” remarksMelissa’s Schueller. “So you are dealing witha dual-custom demographic, which impartsa combination of both cultures in the meal.”

Newer issues, like health, may influencesome Latinos to return to tradition. “Storesmay see a resurgence of interest in an oldstaple produce item as the second or thirdgeneration recognizes the health benefits,”explains MGS’ Alcantara-Diaz. pb

**For the continuation of this article,please look to our next issue, where wewill continue to explore the advantages ofaccurate and creative marketing tech-niques for the Latino population.

Latino Specific Stores

Agrowing number of retailers havesuccessfully built specific Hispanic-oriented stores to serve heavily Lati-

no populated areas. These retailers includeregional chains like Publix’s Sabor and HEB’sMi Tienda, as well as smaller independentchains like Superior, Sedanos, SuperKingand Cardenas.

The success of these chains is due princi-pally to their flexibility and consistency intheir ability to service their specific Latinocommunity. Robert Schueller, director ofpublic relations for Melissa’s World VarietyProduce, based in Los Angeles, CA, explains,“They know their market and customer.Their message, products and merchandisingare all a perfect fit for their exact demo-graphic. They have knowledgeable, bilingualemployees, do bulk merchandising and offerHispanic items not only in produce, butthroughout grocery, meat, seafood, dairyand deli.”

Publix Sabor stores offer consumers avariety of Hispanic and Caribbean productsthroughout the entire store. The producedepartment has been expanded to carry avariety of roots and vegetables, a full line ofjuice blends and nectars and jars of sliced orchunked tropical fruits. The deli offers cus-tomers 10 feet of authentic, Hispanicfavorites, such as roast pork, white rice,

beans, plantains and over 50 new recipescreated especially for Publix Sabor.

The stores also feature a full-service meatdepartment to accommodate consumers’special requests — meat cut their way. “Wehave added the products and services toenhance the shopping experience of all ofour customers with the traditional customerservice, quality, variety, value and freshnessour consumers have grown to expect overthe past 75 years,” said Maria Brous, directorof media and community relations.

These stores focus on the small changesthat make a big difference. “Shopping bas-kets are bigger,” says Dick Spezzano, presi-dent of Spezzano Consulting Service, inMonrovia, CA. “Produce bags or plastic bagsare longer and hold more produce, becauseLatinos tend to buy larger quantities. A suc-cessful Latino market is not one with 600items, but rather 300 items displayed in theright quantity at the right price,” he explains.

“The focus is on the perimeter of thestore. Usually the first thing an operator doesis take out a few grocery aisles to makeroom for the perishable increase they wantto showcase,” adds Spezzano. “Then theytake out a few SKU’s. Those are the toughdecisions many chains have a hard timemaking until you really understand what dri-ves the Latino market.” pb


What’s more worrisome, the childhood obesityrate is climbing. Some 16.3 percent of U.S. 2- to 19-year-olds are obese, according to 2003-2006 datafrom the National Health and Nutrition Examina-tion Survey (NHANES).

Joel Gittelsohn, PhD, associate professor at theJohns Hopkins Bloomberg School of Public Healthin Baltimore, MD, underlines the significance of thehome food environment. Making sure the home isstocked with healthful foods, such as fruits and veg-etables, “is an effective way to address the childhoodobesity epidemic,” he notes.

Savvy supermarket retailers have recognized thisfact, and many have embarked on creative andinnovate ways to positively influence the eating andbuying habits of the next generation of shoppers.

IN -STORE PROGRAMS Kid’s Day at Meijer Inc., headquartered in Grand

Rapids, MI, “has taken on a healthful focus in recentyears,” says lead dietitian and healthy living advisor,Shari Steinbach, M.S, R.D.

Held on select Saturdays, the half-day programfeatures a treasure hunt through some of the 40departments within the super center. Kids accumu-late stamps or stickers after participating in activi-ties set up at each stop. In the produce department,this might mean sampling a fruit or vegetable ormaking of a simple fruit or vegetable recipe.

Field-trips, store tours and informational handouts make marketing to kids, and their parents, a breeze.

B Y C A R O L B A R E U T H E R , R . D .

Kids aren’t eating enough fruits and vegetables. Only21.4 percent of 9th to 12th graders eat five or moreservings of fruits and vegetables daily, according tothe Centers for Disease Control’s 2007 Youth RiskBehavior Surveillance System data.

STORES APPLY

MARKETING TACTICS

TO GAIN

KID-CUSTOMERS


At Save Mart, in Modesto, CA, producedepartments are transformed into a storytime zone, says food and nutrition supervi-sor, Sharon Blakely. “Books are read aboutproduce. For example, The Trouble with Cau-liflower, I Will Never Not Ever Eat a Tomato,and Muncha Muncha. Afterwards, fruits andvegetables are sampled. Each child is givena ‘Sticking to Fruits and Vegetables’ stickersheet to collect PLUs from produce theyhave eaten. The completed sheet can bereturned for free produce. SuperProduceStory Time has also traveled into localneighborhoods visiting the California StateFair, local Farm Days and libraries.”

Blakely adds, “Giving children the oppor-tunity to try produce is a great way to sell.In addition to Story Time, Save Mart hasproduced recipes and publications, such asIn Good Taste, catered specifically to chil-dren. A kid-friendly recipe, such as PizzaSalad, has been sampled in-store, and a sup-porting recipe card is then given to the par-ent and the child to take home. The itemsare easy to find near the demo station forparents to buy.”

STORE TOURS & MOREMeijer and Hen House Markets, a 29-

store chain based in Kansas City, KS, are

Hen House Markets has teamed up with the Field Trip Factory to coordinatestore tours for grade school children and other local youth groups.

Research Backs Effectiveness Of

Characters On Packages

A ccording to a consumer researchstudy completed in May, 2008, byagribusiness marketing students

at California Polytechnic State Universityfor Oviedo, FL-based Duda Farm FreshFoods Inc., having a recognizable charac-ter on a fruit or vegetable productincreases the likelihood that childrenwill want to eat it. Over two-thirds ofrespondents said their kids ask for asnack because they notice the characteron the packaging.

Nichole Towell, Duda’s marketingdevelopment manager, believes, “The

key for fresh fruits and vegetables ingaining more share of the consumers’stomach is making convenient andportable products. Add to the conve-nience a kid-friendly character and youhave a win-win situation.”

“Creating a kid-friendly snack desti-nation within the store will not only fuelsales, but will create future retailer loyal-ty on behalf of kids. Children snackmore than adults do and sales of kids’food and beverages are growing, espe-cially the introduction of healthy foodsand snacks,” adds Towell. pb

among some 16 retailers nationwide thathave teamed up with the Field Trip Factory,a Chicago, IL-based company that coordi-nates store tours for grade school childrenand other youth groups in the community.

Steinbach explains, “Field Trip Factorymakes all the arrangements, while we pro-vide them with content for the A HealthyMe! tour script that one of our in-storeemployees will use to give the tour. The pro-duce department is always a major stop.We’ll sample something new, like a newvariety of apple, or something unusual thatkids may not have tried, such as a kiwifruit.”

At the conclusion of the tour, we pass outcoupons for Meijer-brand fruits and vegeta-bles and coloring sheets that provide theweb link to our healthy meal-planning site,”continues Steinbach. “The point is to givethe kids something to take home and sharewith their parents.”

Similarly, Jennifer Egeland, R.D., naturalfoods buyer at Hen House Markets,remarks, “Our Be A Smart Shopper tourstresses nutritious food choices and exercisein a fun way. For example, in the producedepartment we’ll teach kids about locallygrown fruits and vegetable, something ourstores are known for. Then, we’ll samplesomething unusual like a pomegranate.”

Egeland adds, “Kids get a really nicegoodie bag at the end of the tour. It containsa brochure that talks about the Food GuidePyramid, temporary tattoos, water bottles,fun recipes, a pedometer and coupons forour supplier partner’s products. This pastyear, it was Naked Juice.”

Price Chopper Supermarkets, headquar-

Photos courtesy of Hen House Markets

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tered in Schenectady, NY, is redesigning itsSupermarket Sleuth: Kids Finding Clues for aHealthy Weight Supermarket tour, says con-sumer services manager, Maureen Murphy,“In these tough economic times, we’vefound several schools don’t have the budgetfor transportation, so we’re looking at a wayto make the tour interactive and take theminto the classroom instead. We’ll still be pro-viding in-store tours as well, along withbooklets that teachers can use to reinforcewhat the kids learned in-store back in theclassroom,” says Murphy.

Another way that Price Chopper Super-markets teaches kids and parents aboutgood nutrition is through its Luvin’ Lunch-box program. Murphy explains, “We identifyitems in our weekly ad at different points inthe year that are healthful, economical andkid-friendly with the Luvin’ Lunchbox logo.Each of the items selected fit into the U.S.Dietary Guidelines for Americans.” The ideais that the ad will help parents and kids savetime choosing foods that meet their nutri-tional needs and taste preferences.”

SEASONAL PROMOTIONSBack-to-school time in the fall is ripe for

kid-oriented produce promotions at Dier-bergs and Schnuck Markets. Carole Walker,

advertising and account executive for Dier-bergs Markets Inc., a 23-store chain head-quartered in St. Louis, MO, notes, “We runthe Kid’s B.E.E. Healthy or Kid’s Better Eat-ing & Exercise program when kids headback to school, when the focus is on health,eating and exercise.”

Laura Dierberg Padousis, the family-owned retailer’s vice president, launchedthe program three years ago, based on nutri-tional science from the American HeartAssociation (AHA). The four-week programfeatures an in-store sampling fair on selectSaturdays and Sundays, along with a cutebee character, Kid’s B.E.E. Healthy logo onshelf-talkers next to kid-friendly nutritiousfoods throughout the store and in weeklyads. Last year, for example, Crunch PakSliced Apples at 2-for-$4 and GrimmwayFarms Baby, Peeled Carrots at 3-for-$4 werefeatured in the first week’s ad.

Two new elements were added last year,reveals Walker. “One was a multiple-choicequiz each week. For example, one of thequestions was: ‘What is the most healthfulsnack? Nachos? Potato Chips? Or baby car-rots?’ The other element was our focus on alocal boy who had lost 24 pounds the previ-ous summer by attending a weight-losscamp in the area. He served as our role

model for good eating habits.”Each September, Schnuck Markets Inc.,

based in St. Louis, MO, hosts its annual two-month health and fitness education programfeaturing track-and-field Olympian, JackieJoyner Kersee, called Fruits & Veggies —More Matters with Jackie Joyner Kersee.Now in its seventh year, the programincludes a variety of POS materials, spon-sored by nearly a dozen produce companies.Also on display are brochures targeting kidsand parents alike containing Joyner-Kersee’s five steps to better fitness, fun factsabout good nutrition, and the More Mattersfitness challenge — a 30-day fitness test.

Mike O’Brien, vice president of produceat Schnucks, expresses, “The program endswith a kids’ fun run at Six Flags theme park.Jackie runs with the kids and talks abouthealth and nutrition focusing on fruits andveggies, and we pass out fruit to the racers.”

COOKING CLASSES & MEAL IDEAS

Publix Supermarkets Inc., in Lakeland,FL, has partnered with the Produce for Kids(PFK) campaign for the last eight years, andmost recently integrated the PFK promotioninto the store’s Apron’s cooking program.

Maria Brous, director of media and com-

http://www.westmorelandsales.com

noy, “We’ve implanted radio-frequencyidentification chips in each produce item.There’s a PC with a chip reader at thecheck-out counter where kids can scan eachitem. When they do, up pops a picture ofthe item with corresponding nutritionalinformation on the screen. We also haveinformational signs on the walls that offernutrition tips, such as how to include moreproduce in the diet.”

The key, Vannoy adds, “is making theconnection to healthy eating and gettingkids and their parents to think shopping inour stores for healthful foods is fun.”

Weis Markets, based in Sunbury, PA, alsosteps out into the community to promotegood eating. This happened most recently inJanuary at a mall-based health fair orga-nized by a local hospital. Elizabeth Stark,R.D., L.D.N., healthy living coordinator,explains, “We hosted three tables. On thefirst, we sampled black bean guacamole.The kids were unsure at first, but they reallyliked it after they tried it. We tied this recipesampling into games at the second table. Forexample, we set up Bean-Go, similar toBingo, using dried beans as markers. Final-ly, on the third table, we offered shop-smart


munity relations, explains, “Our stores par-ticipate in a PFK Day where kids are invitedto make PFK-approved recipes with a PublixApron’s meal specialist. Stores also haveword searches, scavenger hunts and otheractivities to engage children and developmore healthful eating habits that includefresh fruits and vegetables. In addition tothe signage within our produce depart-ments, such as shelf cards and toppers, shelftags and recipe brochures, PBS Kids andpublic broadcasting have joined in the funwith Hooper and the Fresh Idols. Our part-nership teaches kids and parents creativeways to make eating and cooking healthyand fun.”

Kids have become a key target audienceat a St. Louis, MO-based Save-A-Lot Ltd.,where Mike Kemp, director of perishables,notes, “Research has shown that we have ahigh number of children who shop withtheir parents. They are an important seg-ment for us, and as a result we’ve started tostock items like fruits and vegetables withDisney-theme character packaging.”

In addition to stocking character-themedpackaged produce, Save-A-Lot will expandon last fall’s Fuel Your Family program,which offered a complete meal for four forthe same price as a gallon of gas, disclosesKemp. “We plan to offer meal, snack andeven lunchbox solutions together in a bun-dled display. The idea is to make it easierfor busy moms to provide quick, nutritiousmeals for their family.”

COMMUNITY EVENTSKids can learn how to shop for healthy

foods at The Children’s Museum in Seattle,WA, courtesy of Metropolitan Markets, a six-store chain based in Seattle, WA. In fact, the740-square-foot mini Metropolitan Market inthe Museum, which opened this past Sep-tember, was named the Best Hands-OnTraining for Mundane Grown-Up Tasks bySeattle Magazine’s Best of 2008 awards.

Darrell Vannoy, product managementdirector of Metropolitan Market, discloses,“The Museum came to our owners 20 yearsago and asked for a donation to set up theexhibit. It’s always been one of the mostpopular exhibits. When they came to us lastyear and asked us to revamp the display ona larger scale, we readily agreed.”

The mini supermarket comes completewith realistic refrigerated cases and a largeset for meats, seafoods and produce. Thefruit and vegetable replicas, which includesapples, oranges, bananas, grapefruit,berries, broccoli, cauliflower, eggplant andbroccoli, are made of a weighted, high-quali-ty plastic to look and feel real.

On the education side, continues Van-


and health information targeted towardsadults. The response was excellent. Over1,000 kids participated at our tables.”

RETA ILERS REACHOUT TO SCHOOLS

Food Lion LLC, based in Salisbury, NC, isa key supporter of Fit for Motion, a youthleadership development program that teach-es young people and their families how tolive a healthful lifestyle. The impetus forthe program, which is a collaborationbetween Rowan Regional Medical Center,the YMCA of Rowan County and Rowan Sal-isbury School District, came when a studyshowed that 40 percent of first and secondgraders in the Central Piedmont area ofNorth Carolina are overweight or obese.

Jennifer Speck, corporate communica-tions specialist, details the company’s partic-ipation, “Food Lion supports the program byproviding the student workbooks. The stu-dents use these workbooks during the eightweekly sessions. During the eight weeks,one session is devoted to involving the par-ents. Food Lion provides healthy snacks forthe parents and children during this session.Additionally, Food Lion provides parentswith information on our Guiding Stars pro-gram, so they can identify nutritious prod-

ucts while grocery shopping.”Produce plays a role in Fit for Motion in

several ways, Speck adds. “For example, twoof the weekly sessions focus on the foodpyramid and healthy snacks. In the work-book, there are sheets on healthy snacksthat encourage kids to eat vegetables, go forcolor and eat a variety of dark vegetablesdaily. As far as fruit, the workbook alsoencourages variety and stresses the fact thatfresh fruit is better than fruit juice.”

Last October, Safeway Foundation Inc.sponsored the placement of 81 Fruits & Veg-gies — More Matters Creative PocketsAdopt-A-School kits in classrooms in Mary-land, Virginia and Washington, D.C. Eachschool received 500 bookmarks to distributeas they liked and three kits, each of whichcontained one teacher apron, six teaching

cards, 116 flashcards and nine reproduciblemasters. The standards-based nutrition cur-riculum in this kit was developed to showchildren ages two through seven that any-time is a great time to celebrate with fruitsand veggies.

Gregory Ten Eyck, chair of the SafewayFoundation/Eastern Division, says, “Westrategically looked at schools in areas wehad markets. I knew that including Fruits &Veggies — More Matters Creative Pocketskits in classrooms would be beneficial tochildren and their teachers, especially sincethe materials arrived to them at no cost. Thekits make age-appropriate nutrition educa-tion easier for teachers and more fun fortheir students. In the end, many teacherscalled to arrange store tours for their stu-dents to further their learning.” pb

No Need To Re-Invent The Wheel

While retailers can certainly cus-tomize their programs, there’s noneed to invent programs from

scratch that teach kids and their familiesabout healthful eating. There are a numberof different organizations that offer ready-to-use materials.

PPrroodduuccee ffoorr BBeetttteerr HHeeaalltthh FFoouunnddaattiioonn((PPBBHH)):: Fruits & Veggies — More Mattersadvertising materials — everything from adslicks to radio scripts and recipes are avail-able to retailers, says Bryant Wynes, seniorexecutive of retail marketing for the Wilm-ington, DE-based organization. “In addition,we encourage retailers to link to our Website. There’s nutrition information there formoms, as well as handouts that retailers candownload and print. One retailer, for exam-ple, distributed the handout as part of theirstore’s anniversary celebration. Kids whocolored it and brought it back received afree piece of fruit.” PBH has also developeda school tour curriculum. “Some retailershave used it as is, while others have takenthe information and integrated it into theirown program. The tour is full of activitiesthat retailers can do to help kids learn aboutfruits and vegetables.”

PPrroodduuccee MMaarrkkeettiinngg AAssssoocciiaattiioonn ((PPMMAA))::Crunch the Numbers is a Scholastic-devel-oped, math-based curriculum using fruitsand vegetables, sponsored by the Newark,DE-based PMA. “This is perfect for retailersto offer to school kids and teachers,” saysKathy Means, vice president of governmentrelations. “This tool offers a unique opportu-

nity to make a connection with the schoolsin the community. Produce managers, forexample, could contact schools and talkabout the program. The easiest way to getthe ball rolling is to print a few samplesfrom the Web site and take them over to theschool. Teachers can get overwhelmed withall the information coming their way, so ithelps to bring it to their attention. Retailerscan go one step further and take a fruit orveggie tray with them when they go to theschool. They can also use this as a hand-outat store tours.” Crunch The Numbers is freeto teachers and available to all PMA mem-bers.

PPrroodduuccee ffoorr KKiiddss ((PPFFKK)):: Produce for Kidspromotes healthy lifestyles for children byeducating kids and parents about the bene-fits of eating fresh fruits and vegetables dur-ing annual fall and spring campaigns, whilealso supporting charitable children’s causes. Benefits to retailers include a completeturnkey promotional campaign that is easyto implement with colorful advertising andPOS materials. Vice president of marketing,Kari Volyn, says, “Sponsors, produce suppli-ers, share the cost of the campaign resultingin substantial savings. At the same time, thecampaign has proven its ability to increasesales across all categories.”

Since its creation in 2002 by Vidalia, GA-based Shuman Produce Inc., PFK has raisedmore than $1.2 million for local Children’sMiracle Network hospitals. PFK also partnerswith PBS KIDS to educate parents onhealthy eating and raise funds for PBS. pb

Save Mart distributes produce samples during its kids’ tours.

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http://www.fruitsandveggiesmorematters.org

http://www.pbhfoundation.org

During this time, it has evolved from a main-stream supermarket to one that has made producea point of emphasis in a new format that has per-ishable food as its point of differentiation.

The Lifestyle store prototype emerged as a testseveral years ago and has continued to roll out intothe teeth of the recession, helping Safeway copewith a changing consumer environment. In fact,Lifestyle stores have been critical to sales’ and earn-ings’ gains the supermarket chain has made overthe past several years.

A remodeled store in San Francisco’s Japantownprovides an example of the latest merchandising

that Safeway Lifestyle units offer. The 48,000-square-foot store, located on the corner of Websterand Geary Blvd., reopened as a Lifestyle store atthe end of 2008. The interiors reflect the latestthinking in the concept, which has evolved into awarmer format that includes décor touches meantto provide a marketplace atmosphere. Additionally,it incorporates many of the ideas that went into theLifestyle concept at its inception, among themmaking produce a showcase department.

Certainly, the location of Safeway’s headquar-ters — east of San Francisco Bay in the town ofPleasanton and not far from California’s CentralValley — had an influence on the development ofthe Lifestyle store concept. Both as a center of agri-culture and food culture, the region is ripe with anappreciation of fruits and vegetables. The regionalinfluence remained significant during the initialLifestyle store tests, which were conducted inNorthern California.

PRODUCE ON PARADEFrom the start, Safeway based both the product

mix and merchandising on artisan, gourmet andfresh product. At the Japantown store, that’s evi-dent in merchandising intent on “making quality,fresh, great-tasting produce the star in the depart-ment,” according to Geoff White, Safeway’s groupvice president of produce.

To establish that position, Safeway refurbishedthe produce department resemble a farmer’s mar-ket. In executing that idea, White notes Safeway hasadded new produce department fixtures, lightingand refrigerated display cases to establish an “over-all higher focus — from field to plate — on improv-ing quality for our customers.”

Safeway’s latest merchandising efforts place asmuch attention on the product as possible. The drycase features the rich colors of peppers to drawconsumers and uses extended fixtures — mini-tables emerging from the lowest tier of the case —pushed into the floor space to give customers pauseto review special price deals being offered.

Lifestyle has been extremely important toPleasanton, CA-based Safeway Inc. over thepast decade.

Safeway Puts Produce FirstSafeway runs full-steam ahead with its Lifestyle store renovation.

B Y M I K E D U F F

CASE STUDYRETAIL PRODUCE PROFILE


Reader Service # 80

http://www.champagnemango.com

http://www.cirulibrothers.com


Direct lighting highlights display tablesorganized by product type or theme, includ-ing a tropical table featuring mangos,coconuts, pineapples, kiwis and multiplebanana varieties. Moreover, presentationsextend out from the central locus to includeancillaries, so the apple table — featuring awide array of apple varieties — is comple-mented by lower-profile, secondary fixturescontaining nuts, dried fruit and otherhealthy bag- and tub-wrapped treats, includ-ing product under Safeway’s O Organic pri-vate label.

A few lucky products get serious startreatment in baskets on small display tableswith direct illumination. At the Japantownstore, this was true of avocados and tomatil-los, which were complemented on lowershelves by jarred salsas, tub artichoke heartsand bottles of olive oil.

Fresh-cuts are prominent in the refriger-ated cases, and include bagged salads underthe Fresh Express label, tub salad kits andvarious cut fruit and vegetable offerings,including Mann Packing Light Bites. Also ondisplay are Safeway’s own private labelproducts, including bagged salads under theEating Right label. Introduced in the firsthalf of 2007, Safeway’s brand was developedto combine taste with nutritional efficacy. Itmakes shopping for health-conscious con-sumers easier by incorporating a nutritionalicon system to help them quickly identifyproduct attributes they seek. Since its intro-duction, the Eating Right label has grown toinclude more than 150 items.

Safeway also uses the Eating Right labelas a leader in produce department shelf sig-

nage, which reminds shoppers that thebrand is available elsewhere in the store.Items the signs promote can range fromsnacks and pasta to juice and breakfast bars.

Tie-ins are important, too, in Lifestylestores. For example, produce shoppers at theJapantown Safeway are greeted by a fullrefrigerated juice section at the back end ofthe department. As soon as they turn thecorner into the back end of the store, shop-pers have access to a refrigerated, conve-

nience foods case that’s essentially a sec-ondary display of fresh-cuts accompanied bydrinks. A small satellite fixture sits besidethe case to provide salad dressing for shop-pers who might want to put together aquick, healthful meal.

HEALTHY L I FESTYLEThe rational behind the Lifestyle store

emphasis on fresh and flavorful hasstrengthened in last the decade as aware-ness between food and nutrition has spread.“More than ever before, consumers desire toeat fresh, high-quality, great-tasting, healthyfruits and vegetables to improve their diets,which will improve their health conditions,”explains White.

As the association between health andnutrition has become more firmly estab-lished, more consumers than ever are takingsteps to improve their diets and looking forhelp to ensure they do so effectively. Giventhe circumstances, it’s not surprising thatSafeway made produce one of the major pil-lars of the Lifestyle store format.

Going forward, Safeway will continue toenhance its Lifestyle stores and look for thesupport of vendors to help it satisfy theevolving consumer preference for morehealthful products. In produce, that meansdealing with issues that are most importantto its shoppers. As such, Safeway will workwith produce suppliers to “continue to seekways to create high quality, nutrionallydense, tasty products,” explains White. Inorder to accomplish this goal, White adds

Lifestyle’s Approach ToLocal And Organic

O rganics have always been prominentlymerchandised in Lifestyle store pro-duce departments, but recently they

have taken on a bigger role. An additional,recent expansion of organic operations hastaken Safeway back into the San Francisco ter-minal markets. There, the company can dealwith supply issues involving a range of productsthat now exceed the core items that have themost consistent availability. Among the compa-nies it has worked with is Earl’s Organic Pro-duce on the San Francisco Wholesale ProduceMarket, which helps facilitate seasonal andshort-buys for the supermarket.

Organic fruits and vegetables are displayedunder banners in the middle of the producesection using display cases that highlight theirorigins. Bulk and bagged products are avail-able, too, and the range of fruits and vegetables

runs the gamut from a wide variety of applesand garlic to avocados and even juice.

Local produce is also an area of focus forSafeway. In fact, the signage that tops the drycase reads, “Fresh From the Fields” as areminder that the supermarket has a particularpenchant for freshness. Of course, living adja-cent to America’s foremost fruit and vegetablegrowing region would do that just by proximity,but Safeway has learned that consumers havean array of interests, including freshness, localfood traditions and cleaner environments,which recommend local produce to them.Whether it’s Georgia peaches or Californiaasparagus, local produce offers a food retailer away to tie more tightly into a community. “It isand will always be a main focus for our storesto support locally grown products and farmers,”White asserts. pb

Safeway is looking to partner with supplierswho can help it “improve farming practicesand packaging, while placing environmentalprotection at the top of their list.”

The emphasis on healthier, more envi-ronmentally friendly products providedSafeway with the credibility to create OOrganics, a line of organic food. Launchedin December 2005, the O Organics linereached a total of 300 food and beverageproducts in 2008.

In April 2008, Safeway announced that itdeveloped a division dubbed the Better Liv-ing Brands Alliance, which markets the OOrganics and Eating Right brands into retailand foodservice channels, both in the Unit-ed States and internationally. The sub-sidiary focuses on partnerships with manu-facturing, marketing and distribution com-panies as brand licensees. Lucerne FoodsInc., a Safeway subsidiary that marketsdairy products to external customers, wasdesigned to manage O Organics and EatingRight licensing as a member of the BetterLiving Brands Alliance.

Safeway has received recognition for pro-viding its customers with better nutritionaloptions in its Lifestyle stores. In November,2008, Health magazine named Safeway oneof America’s Healthiest Grocery Stores,ranking it No. 2 on its Top 10 list of StandoutSupermarket Chains. The magazine citedthe O Organics and Eating Right brands asreasons for the recognition, along with thebenefits associated with the expanded pro-duce departments in Lifestyle stores.

B IGGER AND BETTERThe Lifestyle store format has become a

jumping off point, in addition to a proto-type. An upscale, urban version was intro-duced mid-decade in Oak Brook, IL, as partof Safeway’s Dominick’s Finer Foods Inc.

chain. Just last year, the Lifestyle store for-mat became the basis for a mini-store exper-iment the company launched in LongBeach, CA. At 15,000-square feet, The Mar-ket, as it was dubbed by Safeway, was devel-oped in reaction to the roll out of former e-commerce partner Tesco’s Fresh & Easyconcept. The mini-store could also place theretailer in good standing as it weighs exist-

ing and potential small-store competitionfrom Trader Joe’s, Wal-Mart and Supervalu.

Safeway intends to apply the Lifestylestore prototype throughout the chain. Whendiscussing year-end sales results, MelissaPlaisance, senior vice president of finance,reveals Safeway completed 20 new Lifestylestores and 232 remodels that brought exist-ing units up to the standard in fiscal year2008. By year’s end, Safeway operated 1,300Lifestyle stores, which represented 73 per-cent of total operating Safeways. “Our

Lifestyle transformation is expected to be 88percent complete by the end of 2010, andthen essentially finished off in the year2011,” Plaisance adds.

Safeway chairman, president and CEOSteve Burd notes Safeway continues to workon its Lifestyle store concept, along with theproducts offered in the context it provides.For example, Burd mentions the companyhas been working on an entrée salad line,testing it in 70 stores in Northern California.Safeway concluded that the format was onlya partial success, with high quality but alsohigh shrink, and essentially reengineered itbefore expanding it beyond the initial testmarket. “We’re still in the process of reengi-neering some of the packaging,” Bird says,“but we’ve completed the work on the saladside. What we’ve done with all of these prod-ucts has dramatically increased shelf life,with no deterioration in quality, and I thinkthe salads are going to hit the stores some-time in the second quarter. It’s a real step upin our gain and has extended shelf life andshould virtually eliminate shrink in thatentrée salad category.”

Burd reveals the Lifestyle store initiativehas been executed based on the original con-ception that quality and consistent value areattractive to a lot of shoppers who want toeat better. “When we outlined our strategyon Lifestyle stores, it was with an effort todifferentiate, reach for quality and create anew shopping experience.” pb

Safeway Japantown Store1335 Webster StreetSan Francisco, CA 94115(415) 921-4557Open 7-days a week6 a.m. to 12 a.m.


“Our Lifestyle

transformation is

expected to be 88

percent complete by

the end of 2008.”

— Melissa Plaisance Safeway


Nonetheless, these categories need to be aggres-sively maintained to retain customers and set thestage for future growth. The alternative may meanlosing ground to canned and frozen fruits and veg-etables.

Recently, Fresh & Easy Neighborhood MarketInc., based in El Segundo, CA, was sufficiently con-cerned about shifting sales patterns to begin sellinga rather simple form of value-added produce — a99-cent value pack. The 99-cent packs were anextension of Fresh & Easy’s broader value-addedfood business, which includes a range of fresh-cutproducts. Brendan Wonnacott, a Fresh & Easyspokesman, remarks the company’s central foodprocessing facility, combined with its purchasingvolume and efficient distribution, allowed the Tescosubsidiary to develop the 99-cent packs as a con-spicuous value.

In its range of value-added produce, Wonnacottnotes Fresh & Easy offers consumers value andquality. With its emphasis on fresh, rather thancanned or frozen fruits and vegetables, it also elimi-

nates elements consumers are avoiding, such aspreservatives, while promoting factors they areembracing, such as convenience. “They are lookingfor something prepared, but without all the artifi-cial colors and flavors,” clarifies Wonnacott.

COST AND CONVENIENCEPrice is certainly on consumers’ minds these

days, but they weigh various factors when deter-mining value and developing a specific range ofpersonal preferences. Many still see value in thequality and convenience, and for many food retail-ers fresh-cuts have emerged as a signature and sig-nificant store element.

At Albany, CA-based Andronico’s Market Inc.,fresh-cuts are particularly conspicuous in the com-pany’s recently refurbished San Francisco flagshipstore. The store offers bagged salads and a few addi-tional items from outside vendors, but the heart ofits value-added produce presentation is store-processed fresh-cuts. “It’s a very important piece ofthe puzzle — profitable and about five to eight per-cent of sales — depending on the season,” statesBill Andronico, the company’s president and CEO.

Like Andronico’s, four-store operation StewLeonard’s Danbury LLC, based in Norwalk, CT, hasbuilt a reputation on providing company-processed,private-label food, including a wide array of value-added produce, both packaged and in its hot andcold food bars. It even provides an extensive rangeof cut produce as part of its catering menu, includ-ing crudités, fruit salad, a berry bowl, a signatureStew’s salad, potato salad, cole slaw and a carvedwatermelon basket. Stew Leonard’s director of pub-lic relations, Rachel Begun, says, “In general,because of the economy, more people are are cook-ing at home, and as a result, more people are shop-ping for produce, including fresh-cut. “

Fresh-cut sales remain strong at Stew Leonard’sas an alternative to restaurant and take-out food forthose who still are too time-pressed or simply impa-tient to process produce themselves. “Fresh-cut isstill value versus eating out,” Begun points out.“People are buying more bulk as well becausethey’re shopping more for home cooking, but we’re

While fresh-cut and value-added producehave become mature categories, given theeconomic reality, they may not be poised forrapid sales advances right now.

Focus On Fresh-CutIn the current economic climate, retailers and distributors alike need to put fresh-cuts front and center in order to retain current consumers and gain new ones.

B Y M I K E D U F F

Reader Service # 54


not seeing a decline in fresh-cuts. Peoplestill need the value and convenience.”

Fresh Direct LLC., the web-based homedelivery retailer in Long Island City, NY, hasseen a decline in basic fresh-cut items sincethe recession has deepened. Customer feed-back indicates that bulk and raw items havebecome more attractive as shoppers havebecome more concerned with savingmoney. Still, Steve Druckman, chief market-ing officer at Fresh Direct, observes somesegments among the broad range of value-added produce that the company offers,from entire ready-to-eat meals to salads to

side dishes, continue to grow. For example,Fresh Direct’s Microwave-Ready Veggies &Side Dishes continue to draw convenience-oriented consumers. “The last few months,we have seen a sales increase of 22 percent,”Druckman remarks.

CONSUMERS WANT CHOICES

Providing options is to the point. In aneconomy sent reeling in recent months,consumers are finding their own ways tocope, according to Lorri Koster, co-chair-woman and vice president of marketing at

Salinas, CA-based Mann Packing Co. Inc.That often means consumers will spendmoney on affordable conveniences, likefresh-cuts. “The snacking category is also ofinterest to us,” admits Koster. “A lot of ournew product introductions have been in thatsegment over the past couple of years. We’rereally targeting children and adults.”

Mann developed portion sizes not onlywith kids in mind, but also for people whoare brown-bagging it to work or who like tograze all day, but want to do so in a healthi-er way. In merchandising the segment,Koster remarks some retailers have had suc-cess with dedicating snacking areas. Othershave seen a boost from placing snack itemsnext to party platters, near the deli counterand on end-caps, visible locations where tar-geted consumers will encounter productand consider purchasing it more often.

This theory doesn’t only apply to snackproducts. Mann developed the One StopPlatter Shop, a turnkey merchandising pro-gram designed to promote holiday andevent sales. It includes three elements: tra-ditional large and small party platters withranch dip; tailgaters vegetables also withranch dip; beef bites and cheddar cheesecubes or vegetables; turkey bites and moz-zarella cubes; and Veggiecatessens — combi-nations of multi-grain items such as pitachips, sourdough breadsticks and pretzelcrisps with hummus, spinach dip and ready-to-heat artichoke dip.

Building off an enhanced promotionalcalendar, Mann has extended its range ofseasonal party platters to include variousoccasions, creating one labeled with a tie fordads’ and grads’ season in June, for exam-ple. Mann even offers an all-green partyplatter for St. Patrick’s Day.

“Packaging serves

not just to protect

the product and

keep it fresh and sta-

ble from the field to

the fork, but also as

POS material in

many cases.”

- Rick AntleTanimura & Antle

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http://www.inlineplastics.com

ATTENT ION-GRABBERSGetting the consumer’s attention is a

critical element in generating fresh-cut salestoday, given the category’s maturity. To gen-erate growth, vendors and retailers musteither draw new shoppers into the categoryor entice more purchases from existing cus-tomers.

Chiquita Brands International Inc., head-quartered in Cincinnati, OH, is drummingup interest through new product introduc-tions, including Fresh Express Tender RubyReds and Sweet Tender Greens, ChiquitaGourmet Cafe single-serve and ChiquitaPineapple Bite pushups. Bryan Brown, aChiquita spokesman, notes the U.S. intro-duction of that product line is expectedsometime during March or April.

Candice Blackmoore, director of market-ing for Apio, Inc., based in Guadalupe, CA,admits the maturity of the fresh-cuts catego-ry combined with economic pressure meansit’s important to find methods of meetingevolving consumer demand. Thus, Apio hasintroduced 18-ounce packages of cut vegeta-bles — six ounces larger than its standardpacks — for consumers who are looking fora bulk value in everyday consumption orwho are building their own party trays. Forthose consumers who would still rather pur-

chase party platters, but don’t need any-thing too large, Apio has “come out with acouple of tray formats in a 22-ounce size,”Blackmoore reveals. “We’ve developed apetite vegetable and cheese tray, for exam-ple. A retailer might not want to carry a 40-ounce tray year-round, and the smaller sizeis doing relatively well right now.”

With many consumers still looking forconvenience, but reluctant to pay for restau-rant fare or take-out, value-added retailmeals have gained appeal. The recentlyintroduced Distinctively Dole meal kitshave quickly gained ground in the market,

says Westlake Village, CA-based Dole FoodCo. Inc. communications manager WilliamGoldfield. “At the end of 2008, they con-tributed 15 percent of total kit sales andhelped Dole grow its kit business by 5 per-cent,” he says. “Not only did we launchthese new products, but we also investedheavily in the category with a strong con-sumer and POS program to build excitementand draw consumers to the kit segment.”

Ready Pac Bistro Salads can act as avalue-added product for both consumers andretailers as they provide ready-to-go, healthymeals for shoppers and a store-wide array ofdisplay and merchandising options for theretailer, notes Ali León, senior director ofstrategic business development at Irwindale,CA-based Ready Pac Produce Inc.

“Current economic concerns are com-pelling consumers to eat out less often andbrown- bag it more frequently for lunchtimemeals,” León adds. “Consumers also remainchallenged planning meals, especially onweekdays when time is short. Supermarketsare responding with meal solutions andquick-stop, grab-and-go areas for both lunchand dinner. Since all Bistro Salads includetoppings and dressings, consumers don’thave to shop for and chop their own ingredi-ents, yet they can still enjoy a fresh, healthy


Getting the

consumer’s attention

is a crucial element

in generating fresh-

cut sales today,

given the category’s

maturity.

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and quick meal.”Ultimately, the realities associated with a

recession compel fresh-cut producers andretailers to double their efforts in the catego-ry as much to hold onto current consumersas to gain new ones. To that end, Mann isdoing more promotions with outside part-ners. “We really ramped up our efforts thisyear with partners like Almond Accents andMinute Rice, adding more value to the pack-age,” Koster discloses. “Getting that trial isour challenge. Getting new consumers isvery challenging right now, and we mayneed to add even more value.”

Dionysios Christou, vice president ofmarketing for Del Monte Fresh Produce

N.A. Inc., based in Miami, FL, points out thecompany is developing a spring/summerpromotion that is still under wraps. Heexpects it to be well received. “Many retail-ers are requesting Del Monte’s marketingsupport with merchandising and promotion-al initiatives.”

Chiquita is developing consumer promo-tions including Fresh Funds, “a first-of-itskind consumer loyalty program in the freshproduce industry,” Brown explains. “Theprogram is designed to increase purchasefrequency, promote awareness and trial andreward consumers with points for purchas-ing Chiquita and Fresh Express fruit andvegetable products.” pb

Innovative Packaging

Of course, packaging is a critical element inthe fresh-cuts equation, and while techni-cal innovations are usually the driver,

today’s consumer preference is playing a roll aswell. A produce executive for a western coopera-tive, who asked to remain anonymous, believesclamshells have emerged as an alternative productto bags for certain consumers. “I think everyone istrying to come up with a new niche in the markettoday,” he points out. “Clamshells have become abigger part of business, but that has to do withseparating the product from bagged. Clamshellsgive it a premium look. It may be exactly thesame product except for the way it’s packed.”

Maria Brous, director of media and communityrelations for Lakeland, FL-based Publix Super Mar-kets Inc., reveals clamshells have become a grow-ing part of the chain’s fresh-cut presentation andcan help define how a product might be used andwho might enjoy it. “For instance, we have a BerrySmoothie Mix,” she says, “which is just the rightmix of berries to add to milk and ice for a delicioussmoothie, or atop ice cream or cereal, or to eveneat right from the container. Also, we have FreshAttitudes, salads which are grown on the EastCoast, as opposed to West Coast, throughout theyear. They are also packaged in a clamshell.”

Chiquita is another produce purveyor that seesthe use of clamshells growing. “We launched threefamily-size clamshells that have significantly out-performed sales of similar bags,” Brown remarks.“We are pleased with distribution penetrationtoward key consumers and early sales results ofthese fresh and convenient new products.”

Tanimura & Antle Inc., headquartered in Salinas,CA, is offering a more elaborate twist on theclamshell. Its new line, Tanimura & Antle ArtisanLettuce, is offered in what the company describesas “ a scalloped clamshell,” designed to accommo-date four heads of lettuce in a package that uses

up to 12 percent less material than similarly sized,square-sided clamshells. The product containspetite heads of Oak, Tango or Gem lettuce in amixture of red and green varieties that come fourto a standard-pack and six to a club-pack.

Rick Antle, Tanimura & Antle CEO, explains thethought process behind the creation of his newclamshells. “The new Artisan Lettuce clamshellpackaging was developed based on the necessityof providing the perfect environment for both thelongevity and presentation of the product,” hesays. “The contoured shape maximizes productshelf life and visibility. This product packagingspeaks to the consumer, as the customer needs tosee freshness and variety, plus value.”

For Tanimura & Antle’s hydroponically grownLiving Lettuce, the company has crafted aclamshell package that highlights its unique attrib-utes, particularly the distinctive concept of ship-ping the product with the roots intact. “Packagingserves not just to protect the product and keep itfresh and stable from the field to the fork, but alsoas POS material in many cases,” Antle remarks. “Infact, this clamshell packaging won the PMA 2008Impact Award for Excellence in Packaging for itsmarketing message.”

Another consideration fresh-cut packaging mustaddress is food safety. Last year, Del Montereleased Safe-T-Fresh packaging, manufactured byShelton, CT-based Inline Plastics Corp., which isdesigned with a tamper-proof, no-leak feature thatalso maintains the product’s fresh quality andappearance, Dionysios Christou, vice president ofmarketing, says. Moreover, “As a result of the posi-tive results and feedback, we have decided toexpand the packaging to more Del Monte fresh-cut products,” he adds. “At the 2008 PMA FreshSummit in Orlando, Florida, the packaging’s spe-cial attributes were recognized with the PMAImpact Award in Food Safety.” pb

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http://www.producepro.com

http://www.miatech-advantage.com


Today’s guacamole dips are made from ripe avo-cados and include all-fresh ingredients, yet theystill maintain a long shelf-life, along with the lookand texture of fresh-made guacamole. As a result,manufacturers report steadily rising category salesand predict that the newer, fresh guacamole willhelp introduce consumers to avocados, thusincreasing the avocado market nationally.

According to Steve Martin, director of businessdevelopment for Oxnard, CA-based Mission Pro-duce Inc., which launched the Mr. Avocado brandof fresh-made guacamole within the past year,“There’s a lot of activity in this category. I’ve seenresearch that indicates fresh guacamole is the No. 1product in the dip section.”

Fresh guacamole is possible because of a tech-nology called ultra-high pressure (UHP) processing.UHP technology has been available for many years,but the founders of Fresherized Foods, based in FortWorth, TX, first used it in the creation of fresh gua-camole a little more than a decade ago.

During processing, the guacamole is exposed topressure of about 87,000 pounds per square inch,effectively killing the microbes that cause spoilageand oxidation, without damaging the delicate avo-

cado or any natural additives. The result is a refrig-erated product with a shelf life of about 30 daysthat tastes almost like fresh-made guacamole. Ifrecent sales trends are any indication, this is atrade-off consumers are willing to make.

“Avocado consumption is growing and trends arefavorable,” states Jay Alley, vice president of salesand marketing with Fresherized Foods, manufactur-er of the category-leading Wholly Guacamole prod-uct. “This is well over a $50 million-a-year retailbusiness, and that doesn’t even include clubs orWal-Mart,” he adds.

THE DEL I OR PRODUCE QUEST ION

Stores that offer fresh guacamole vary widely intheir marketing approach. Some stores offer theproduct with their dips in the deli section, along-side tabbouleh and hummus. Others offer it in theproduce section, stocked near refrigerated dress-ings. Few offer it in the meat department, nearskirt steaks and other cuts used in popular Mexicancuisine. “We feel it can be a produce item, but italso does well in the deli section with the dips,”adds Martin.

Alan Ahmer, vice president of sales and produc-tion for the processed products division of SantaPaula, CA-based Calavo Growers Inc., believes thatwhen stocked in the produce section, the idea offreshness comes naturally. “It has the connotationit’s fresher when it’s merchandised in the producedepartment, rather than in the deli department,”Ahmer explains.

Raul Gallegos, senior director of produce andfloral for Bristol Farms, headquartered in Carson,CA, reveals that the chain does not carry mass-pro-duced brands of fresh guacamole. “We have a pri-vate-label guacamole that is made fresh daily in ourcommissary and then shipped out to our stores. It’sincredibly popular and is definitely replenished ona daily basis.”

The risk, of course, is that offering preparedguacamole dip next to fresh avocados threatens tocannibalize fresh sales. But none of the fresh gua-camole makers think this is a problem. Instead,

Packaged guacamole has come a long way from thefrozen, preservative-laden products of years past.

Fresh Guacamole Hits Its StrideWith advances in high-pressure processing, fresh, packaged guacamole has an improved flavor profile that brings increased sales of both the guacamole and the avocados themselves.

B Y J O N V A N Z I L E

New guacamole dips will convert first-time buyers into repeat customers.


they predict that fresh guacamole will act asa gateway product, introducing new con-sumers to the taste of avocados and encour-aging them to buy the whole fresh fruit inthe future. Ahmer believes that “a lot of peo-ple’s first taste of an avocado is guacamole.We see that the highest population densityin the United States is found in the North-east, but the pounds-per-year of avocadoconsumption is still low there. There’s a lotof room for growth, but I don’t believe gua-camole will ever replace fresh avocados.”

Gallegos agrees, and merchandizes hiscompany’s guacamole alongside the avoca-

the flavor and texture like they do today.” The new guacamole dips, however, easily

convert first-time buyers into repeat cus-tomers. “When you taste this product versusa frozen guacamole, the difference istremendous,” Ahmer says. “The UHPprocess makes an excellent guacamole.”

The trick is getting consumers to try it.The most obvious sales technique is to offerproduct samples, but in-store sample-tablestend to reach relatively few customers.According to Fresherized Foods’ Alley, “It’smost effective to tie in promotions with spe-cial events, and not just the Super Bowl,which is the single largest guacamole-con-sumption day on the calendar.

“Almost every month, there’s a reason fora retailer to get behind guacamole and offeran expanded display,” he adds. “But we alsotry to educate the retailers that they don’thave to give the product away during SuperBowl. People are going to buy guacamolethat day anyway.”

Cross-merchandizing is also important.“We like to bundle the ingredients used inour fresh gaucamole, and display that along-side of the product,” Gallegos states. “We’llalso include any necesary or helpful kitchengadgets in the display.”

Like many value-added products, gua-camole sales are sensitive to pricing, so pro-motions are a highly effective way toincrease sales. Retail margins on guacamoledip tend to be equivalent to other prepareddips, so there is room to offer some promo-tional pricing without rendering the catego-ry unprofitable.

“Consumer awareness is going to drivesales,” asserts Martin. “Once they taste it,consumers will be pleasantly surprised withthe quality, taste and flavor.” pb

dos. “A sale is a sale, whether it’s in produceor deli,” he remarks.

DRIV ING SALESNo matter where the UHP guacamole is

displayed, the challenge remains the same:convince customers that it’s a better productthan previous versions of processed gua-camole. Older guacamole was an inferiorproduct compared to the new dips.

“When you look at the frozen products,there were a lot of preservatives and unnat-ural additives included to give it shelf-life,”Mission’s Martin states. “They didn’t have

“Avocado consump-

tion is growing and

trends are favorable.

This is well over

a $50 million-a-year

retail business,

and that doesn’t

even include clubs

or Wal-Mart.”

— Jay AlleyFresherized Foods

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http://www.missionpro.com

Reader Service # 103

http://www.calavo.com


Citrus, apples, pears and kiwifruit are freshly har-vested and rushed to U.S. markets. In the case ofmost citrus varieties and kiwifruit, markets can offerthese fruits without competing with domesticallygrown crops.

Retailers can utilize Australian and New Zealandfruit to provide a year-round selection, and con-sumers — unless they are diligent label readers —may be less aware of seasonality and origin. What isnot yet known, however, is if consumer attitudeshave changed, driven by tougher economic timesand perhaps the urge to buy U.S.-grown products.

AUSTRAL IAThe season for Australian citrus is summer, grad-

ually edging into fall as shown in the chart below.The real volume is in navel oranges. Due to compe-tition from South Africa and South America thatmore easily reaches the East, Australian distributionis targeted west of the Mississippi.

According to Stu Monaghan, national sales man-ager for Fort Pierce, FL-based DNE World Fruit Sales,“In a sense, summer citrus from Australia becomes avery valuable niche item for retailers. Navel orangeshipments from July through October have devotedfans because of the large, exceptionally bright andclean fruit. Some East Coast retailers opt to pay theextra shipping to get Australian quality.” Monaghan

adds, “For the same reason, we have excellent salesto gift packers and re-packers, in addition to retailersand foodservice distributors. Australian citrus is mar-keted as conventionally grown, but a good share ofthe crop is grown close to organic. At this time, how-ever, few growers plan to certify their orchards.”

Adam Bazarnik, director of produce for the nine-store chain of Woodland, CA-based Nugget Markets,agrees, “For our customers, we can offer beautifulcitrus in the summer. It’s higher in price and there’slots of other fruit so we may not promote it as often,but our customers recognize the kangaroo on thesticker and want it to be available. We start withNavels and move on to Mineolas.”

“Retailers can create more of a citrus departmentor destination by adding Australian supplies of Mine-olas and Tangelos, differentiated tangerine varietiesincluding Daisy in July and August, Ellendales inAugust and September and Honey tangerines in Sep-tember and October,” suggests Monaghan. He alsopoints to small supplies of blood oranges from Aus-tralia available in August.

Building highly visible displays emphasizes con-sumer choice during peak soft-fruit season, and Aus-tralian citrus helps attract and hold shoppers in theproduce department.

Headquartered in Milford, OH, Marvin Lyons,director of produce of Biggs, an 11-store subsidiary ofSupervalu, admits, “With our location, we don’t useas much Australian citrus as we would if we weremore Western, but we regard quality import citrus asan item of opportunity and nice business to deliverin summer to our customers.”

The marketing mantra for fruit importedfrom down under — Australia and NewZealand — focuses on its counter-seasonalnature.

Graphic courtesy of DNE World Fruit Sales

Australia And New Zealand’s Market Evolution Traditional import patterns may change in the face of increased economic pressure and competition from other countries South of the equator.

B Y M E R E D I T H A U E R B A C H

Reader Service # 41

http://www.zesprikiwi.com


NEW ZEALANDFruit from New Zealand seems to be on

an upward trajectory in both volume andnumber of items. Over the past couple ofyears, Giumarra of Wenatchee, based inWenatchee, WA, has imported small quanti-ties of specialty citrus. Sales manager Jason

Bushong notes, “In July and August, wehave Mandarins, Yen Ben lemons for theEastern half of the country and Meyerlemons in the West. For us, these fill nichewindows. Because they are from NewZealand, the normal cold treatment used forcitrus is not needed, and both color and fla-

vor are better preserved.” By far, the volume of New Zealand fruit

imported to the United States is in apples,pears and kiwifruit. In most cases, the vari-eties of these fruit are largely counter-sea-sonal to those grown domestically.

As North American marketing manager

“We’re looking for-

ward to an excellent

season. The cost of

transportation is

down and exchange

rates promise success

for New Zealand

growers, U.S. retail-

ers and, of course,

consumers.”

— Greg ReinauerAmerifresh Inc.

Beginning in May, Zespri conducts in-store demonstrations to bring kiwifruit tothe attention of consumers.

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Reader Service # 89

http://www.pma.com/freshsummit


for Tauranga, New Zealand-based ZespriInternational, Karen Brux lives and breathesNew Zealand kiwifruit. Starting in May, sheworks in-store with retailers and in otherpublic venues to bring kiwifruit to the atten-tion of consumers. Awareness and con-sumption of the fruit is still relatively lowcompared to other summer fruits, and thecompetition is tough.

“Our education effort is to let peopleknow about the great flavor and nutritionprofile of Zespri kiwifruit,” explains Brux.“We guarantee Brix levels so the fruit ripenswell. We’ve also expanded packaging andrecommend retailers price by the package,such as a 1- or 2-pound clamshell or 1-pound plastic bag, or by the pound ratherthan by individual fruit. Our research indi-cates it’s a good way to increase sales.”

Brux also notes that Zespri’s kiwifruit arecertified organic. “Both green kiwis and ourproprietary gold kiwis are available asorganic, which could give us an advantagein the marketplace. Our primary competi-tion comes from Chile, but in 2008, NewZealand had larger market share.” In aneffort to raise consumer awareness, Bruxasserts, “We will be doing sampling in-storeand at events, such as women’s cycling andwith mom’s groups for moms and kids. Forcertain promotions, we will provide a chefto do demos.”

The Oppenheimer Group is optimisticabout consumers’ reactions to imported pro-duce during difficult economic times,“Zespri kiwifruit is the perfect fruit fortoday’s consumer,” asserts Brux. “Obviously,we’re all more cautious than ever aboutwhere and how we spend our money, but ifyou’re looking for fruit that represents themost value for your dollar, kiwifruit is themost nutrient-dense fruit available. Oneserving contains more potassium than abanana, the vitamin C of two oranges, andthe same amount of fiber found in a bowl ofbran cereal. It’s the perfect fruit for today’scost-conscious, value-focused consumerwho, now more than ever, needs to stayhealthy to get through these times.”

Pears constitute a small portion ofOppenheimer’s imports into U.S. markets.According to David Nelley, director ofpipfruit (the New Zealand term for applesand pears) and pineapple categories forThe Oppeneheimer Group, headquarteredin Vancouver, BC, Canada. “Only about 6percent of our imports are pears, made upof Bosc, Comice and Taylor’s Gold, availableMay through July. They complement U.S.Bartletts and lead into domestic winterpears when fall comes.”

AN APPLE A DAY. . .Apples are a popular crop in many coun-

tries. An early, unanswered question iswhether consumers will develop a strongerpreference for domestically produced fruitdue to the current economic climate.

Nelley answers the question by pointingout that his company “focuses on freshlyharvested New Zealand apples and on pro-prietary varieties with the Enza label. A pre-mium apple will sell as an affordable luxuryand a variety such as Jazz fits all the criteria— good looking, good supply, great, distinc-tive flavor. It’s impossible to ignore with themarketing support it has. We’ve seen anuptick in demand and popular appeal fromMay to October.

Nelley adds the company will offer anew variety of apple in the coming months.“Envy is a tempting, new, proprietary vari-ety we will offer this year in small quanti-ties beginning in June and lasting through

“Both green kiwis

and our proprietary

gold kiwis are avail-

able as organic,

which could give us

an advantage in the

marketplace. Our

primary competition

comes from Chile,

but in 2008 New

Zealand had larger

market share.”

— Karen BruxThe Oppenheimer Group

October. It’s large and red with stripes. It’salso very sweet and holds its color, evenafter cutting,” Nelley describes.

Greg Reinauer, senior vice president ofScottsdale, AZ-based Amerifresh Inc., notesthe volume of New Zealand apple importshas been delayed a couple weeks until mid-April, largely to allow existing WashingtonGala and Fuji supplies to move through thesystem. New Zealand has good sizing, most-ly 80s and larger, which appeal to U.S. con-sumers. “Usually at the end of March orApril, we begin getting shipments of NewZealand varieties, such as Royal Gala andBraeburn, with promotable volume and pric-ing by May 1,” Reinauer discloses.

Nelley says that Oppenheimer “brings ina full range of varieties from New Zealandthat are counter-seasonal to freshly harvest-ed, domestically grown apples, and backsthem with strong promotional support indi-vidually planned for large or small retailers.”

Regarding domestic competition, Nelleyreveals, “We find our competition is morefrom other countries than from Washingtonstorage apples. We will do sampling andcouponing to targeted demographic groups.We will also have a contest to win a trip toNew Zealand that will attract attention. Aconsumer price range of $1.99 to $2.99 isthe sweet spot that moves volume.”

“I’m looking forward to an excellent sea-son,” says Reinauer. “The cost of transporta-tion is down and exchange rates promisesuccess for New Zealand growers, U.S. retail-ers and, of course, consumers. There’s aslight premium for most New Zealandapples, but consumers like large, fresh fruitand the quality looks to be outstanding forthis season. We’re all working to make surethese apples stay appealing and accessiblefor shoppers.”

Both Nelley and Reinauer estimate largercrops due to increased sizing and more vol-ume. According to Reinauer, “The 2008 NewZealand crop was down about 10 percentfrom 2008, but the 2009 crop is expected toincrease 16 percent, making up lost groundand pushing it above typical averages.”

Nelley pins estimates of Oppenheimersupplies to be up this year by as much as 20percent, and also expects more organicapples. “As much as 25 percent of the cropwill be organic, with Pink Lady leading a fullbasket of organic varieties,” he states.

Consumers will continue to have plentyof choice in the upcoming season, and mar-keters of fruit from down under are veryconfident. Regardless of crop varieties, goodquality always sells. What remains to beseen is whether consumers will changetheir behavior and buying patterns inresponse to the troubled economy. pb

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While every crop prediction includes a warningpreface about last minute rain or wind, growers andmarketers believe the 2009 California cherry crop ison track to be excellent.

F IRST OUT OF THE GATELong considered the product that kicks off the

California soft fruit season, California cherries havean enviable window of opportunity that is gettinglarger. For about the last 15 years, acreage has beenincreasing by more than 1,000 acres per year, muchof it in the South Joaquin Valley, and host to earlyharvested varieties such as Tulare, Sequoia and

Brooks, driving increased volume into early May.Jim Culbertson, executive manager of the Cali-

fornia Cherry Advisory Board, based in Lodi, CA,explains, “With consistent weather, the industryshould at least match last year’s crop of 8.7 million(18-lb.) boxes. We’ve seen shifts to earlier producingvarieties in the South. It takes eight to ten years foran orchard to reach full production so a good num-ber of acres now reach full production every year.”

According to Mike Collins, category manager forChinchiolo Stemilt California LLC, in Stockton, CA,“We pack 12 or 13 varieties of sweet red cherries aday, and in California there are at least eight vari-eties packing more than 100,000 boxes each.”

Taking his point a step further, Mike Jameson,director of sales for Morada Produce Co. LP, head-quartered in Linden, CA, says, “This crop is grow-ing. We’ve had great chill hours over the winterand the cultural practices we now use put morecontrol in the grower’s hands. We’re producing abetter piece of fruit — varieties with good size,firmness, ability to travel well and, most impor-tantly, good shelf life.”

While consumers are typically aware of varietynames such as Bing and Rainier, retail producebuyers have become more sophisticated and trackindividual varieties to fulfill certain needs andoffer unique flavor profiles. Maurice Cameron,cherry commodity manager for Trinity Fruit SalesCo., headquartered in Fresno, CA, is the exclusivesales agent for Lodi, CA-based Warmerdam Farms,touts the company’s proprietary variety, Sequoia,noting, “This variety is the earliest Warmerdampicks. It’s large, peaking on 101/2 row size, darkmahogany in color and it is resistant to rain. It hasa higher acid level than the Rainier so it has a rich-er, more complex flavor.”

Another strong early variety is Tulare. RossWestbrook, president of Primavera Marketing Inc.,in Linden, CA, calls this variety “a duck,” payingtribute to its resistance to rain, which makes it amore reliable variety if weather intervenes. Brooksis another variety expanding the early end of the

Amid the doom and gloom of the daily eco-nomic headlines, there’s a bit of cheer fromthe cherry orchards of California.

California Cherries Offer Short Window Of OpportunityCalifornia cherry growers express strong optimism about the 2009 crop.

B Y M E R E D I T H A U E R B A C H


season. Making use of early varieties movesthe crop in the right direction — away fromthe beginning of the Washington season,and taking better advantage of cherries’marketing window.

A Northern California retailer with morethan 100 stores who wished to remainanonymous describes his view of Californiacherries, “It’s a strange beast because thecrop is susceptible to rain damage. We lovepromoting cherries, but often hesitate at thebeginning of the season. We set ads aboutthree weeks in advance and the last chanceto make a substitution is just about 10 or 11days out. Sometimes you hold your breathat the beginning of the season.”

Roger Pepperl, vice present of marketingfor Stemilt Growers Inc., based inWenatchee, WA, comments, “Our recom-

“With consistent

weather, the industry

should at least match

last year’s crop of

8.7 million (18-lb.)

boxes.”

— Jim CulbertsonCalifornia Cherry

Advisory Board

mendation to retailers is to run two to threeads from May 1 on. We suggest planning onone to two organic cherry ads and at leastone Rainier ad. We think May begins thereal season and our practice is to leave cher-ries on the tree a couple of extra days formore flavor.”

The Northern California retailer agreeswith this approach and says, “We get thebest results with three conventional ads,usually with one or two followed by anorganic ad. We always try to set up a Rainierad at the peak of the season when qualityand quantity are greatest. Cherries are agreat ring for us.”

For any retailer, the size of the ring isimportant. PW Markets is a nine-store chainheadquartered in Milpitas, CA. Jim Pohn-dorf, produce manager, describes his pro-

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“For us, the consumer is the customerand it’s up to us and our retailers to alwaysservice that goal,” reveals Goforth. “Wemainly work with regional chains because itallows us a closer presence. The verticalintegration of our company lets us be morehands-on throughout growing, harvest,packing and at the retail level.”

PURPOSEFUL PACKAGING Packaging plays an ever-increasing role

in sales of cherries. Once sold in bulk, theindustry can now attribute much of shrinkto handling at display. Only in export —about 35 percent of the crop — do bulkpacks dominate. Most are packed in 2-lb.press lock or slider plastic bags and 1- or 2-lb. clamshells, which can significantlyincrease the per-pound cost. Any clamshelltends to be a net weight package with a UPCcode, while bags are random weight with aPLU designation.

According to Goforth, “We use packagingthat works for the individual chain. Thepacking we took on puts us in the early sea-son with good size. Our retailer partnersdevelop large displays that shout ‘pride ofproduct’ and pass that message on to con-sumers. We’re still a small to medium-sizedplayer, but we plan to grow as we have withother products such as blueberries, apricotsand white-fleshed tree fruit.”

ORGANICS AND SUSTA INABLE GROWTH

Organic cherries are increasing but, infact, the segment is estimated at only 3 per-cent of the crop or less. It is not certain thatgreat growth is anticipated.

Trinity’s Cameron cites some of the com-pany’s practices of sustainability as not onlygood for the health of people and the envi-ronment, but also as a means to distinguishthe product and attract high quality retailpartners. “Warmerdam Packing has installedsolar panels into the roof of the packingshed, producing enough electricity to runthe shed and partially cover the needs of thecooler. That’s a longterm investment wethink will pay off. We have placed a barcodeon the bag to improve traceability. Ourclamshells are made from 70 percent post-recycled PET plastic. We also manage waterto the packing shed and filter it for subse-quent reuse in fields.

While the payoff isn’t always black andwhite, Cameron maintains, “The payoff mayor may not in any given year be a bigincrease over market in FOB, but we find itdoes mean increased orders, some extrareturn and a comfort level for us and ourcustomers that we are in this for the longterm and doing it in the right way.” pb


gram, which includes building big displaysas soon as California cherries are available,using both dark, sweet and Rainiers. Hedescribes, “We spec 11 row-size fruit in bothbag and bulk and run at least two ads duringthe season. It’s what our customers expectand they buy plenty.”

S IZE COUNTSVirtually all participants in the California

cherry deal think of cherries as one of theultimate impulse items in the producedepartment. The season is incredibly short— often less than eight weeks — and itmoves fast, more a sprint thn the marathonother fruits experience. Mike Collins ofStemilt/Chinchiolo estimates, “75 percent ofthe crop is shipped between May and earlyJune.” That allows just a small window tocatch consumer attention, remind themhow much they love cherries and work forrepeat purchases.

Large cherries, while more expensive,have the ability to make the sale. Morada’sMike Jameson remarks, “Size sells alongwith firmness, and retailers increasingly askfor bigger cherries, usually 101/2 or larger.Marketers and retailers who use smallercherries for promotion operate at the lowend and cause some damage. We believe ininvesting in premium product.”

Regarding pricing, Jameson continues,“Pricing over the last five to seven years hasbeen strong, firm and stable. Consumers aregetting better product and growers are alsogetting rewarded. For retailers, cherries area high-profit item and they are seeing excel-lent results.”

Pepperl agrees, “When Stemilt boughtthe Stockton operation, we brought in mostof the techniques we developed in Washing-

ton. The change in the product is big. This isa high- cost/high-risk crop so we do every-thing we can to improve the quality of thefruit and make it less risky. That also meanswe go at pricing very analytically and urgeretailers to do the same. More are determin-ing specifications to suit their needs andsticking with them during periods of regularsales and promotional pricing.”

Jameson, too, stresses the importance ofgrowing and handling procedures. “We knowthat the right cultural practices mean larger,higher-quality cherries. It’s the combinationof science, art and understanding whatimproves each variety. The right ratio ofpollinators, winter pruning, thinning toallow in more light and increase carbohy-drate level in the fruit, and varieties suitedto the climate and soil are what make cher-ries big,” he sums up.

Perhaps one of the major measures ofquality progress is that the industry used tomeasure productivity in tons per acre. Nowmore growers, shippers, marketers andretailers judge it by size volumes per acre.

EMERGING TRENDS Don Goforth, director of sales and mar-

keting for Reedley CA-based Family TreeFarms Inc., outlines the company’s entryinto cherries, “This is really a new crop forus. We had grown a few Rainiers for others,and cherries had been on our radar for sometime. Over the winter, an opportunity pre-sented itself. We took on a large share of theITO program, working with a select group oflike-minded growers. They understoodquickly what it meant to pack Family Farmsproduct. We also hired Tony Yasuda, formerhead of the ITO program, as director ofgrower development.”

Rewarding Rainiers

Rainier, the bright yellow cherrybrushed with a warm red blush,started life as one of the pollinators

carefully spaced out among trees of darksweet cherries in an orchard. There’splenty of private opinions on how manyRainier trees are needed to produce a topcrop of dark, sweet cherries. It’s easy tounderstand why such a great deal of timewent by before Rainiers earned their ownorchards. It may very well have been an“ah-ha!” moment.

Only in the last decade have Rainiercherries captured the attention and devo-tion of consumers with their lovely con-trast color and super sweet taste. Defi-

nitely less complex in flavor, these cher-ries provide the intense sweetness manyconsumers prefer. So fragile, they aretreated extra gently because every bump,mar and bruise shows. To compensate,Rainiers carry a premium, rewardinggrowers and retailers alike.

Ross Westbrook, president of Primav-era Marketing Inc., headquartered in Lin-den, CA, explains, “They are sweetbecause they are low in acid. They arealso harder to grow well and these factorsmay limit volume growth and keep themspecial. They bloom early and are har-vested late and they need more mainte-nance and attention.” pb


http://www.stemilt.com


SEQUOIA™, BROOKS,TULARE,

RAINIER & BINGS

“Sun Tree” & “Sequoia” brands

BAGS AND

CLAMSHELLS AVAILABLE

559-433-3777fax: 559-433-3790

David F. White, "Mo" Cameron,

John Hein, Vance Uchiyama,

Dennis Surabian Jr., Oscar Ramirez

Fresno, CA

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Specializing in CherriesLabels: Morada, Henry's, Sweet Dreams,Ala Carte, A'la Mode & Classic Cherries

Varieties: Bing, Tulare,Brooks, Chelan, Rainiers & Corals

Sales: Mike Jameson, Steve Jost, David Paganucci & Matthew Rocha

209.546.1816Fax: 209.546.1822

www.moradaproduce.com

P.O. Box 659, Linden, CA 95236 500 N. Jack Tone Road, Stockton, CA 95215

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Packed in bags, clamshells,Metric, 5 kilosPlease Call Rich

209.931.9420Fax: 209.931.9424

FRESNO OFFICEJim Cousins

559.448.1860Fax: 559.261.9842

FEATURING THE FOLLOWING LABELS:PRIMA FRUTTA® • PRIMAVERA®

FRUTTA FRESCA® BRANDS

Bing, Brooks, Tulare, Garnet, Chelan & Rainier Cherries

Primavera Marketing

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http://www.moradaproduce.com



http://www.farmfresh.com

http://www.stemilt.com


United Fresh 2009April 21 to 24 — Las Vegas, NV — Sands Mega Center

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EBS3 SYNGENTA SEEDS INC.Boise, IDSyngenta is a world-leading agribusinesscommitted to sustainable agriculturethrough innovative research and technol-ogy. The company uses its uniquelybroad product portfolio, including cropprotection, seed care and seeds, to tailorsolutions to individual customer needs.

300 WEIGHPACK SYSTEMS INC.Las Vegas, NVWeighPack introduces its first HFFSmachine, the Swifty R2B. Horizontal formfill and seal technology integrates bagmaking, filling, sealing and printing in oneautomatic process. The Swifty uses lami-nated roll stock film to create a variety ofdifferent pouch styles and can produceup to 120 bags per minute.

305 FTNON - FOOD TECHNOLOGYNOORD-OOST NEDERLAND B.D.Salinas, CAThe new FTNON centrifuge is made forflexibility. A variety of products — largeor small — can be dried soon after oneanother. With this design, the chance ofproduct damage is minimal. The result is

a considerableimprovement ofquality and shelf lifeof the end product.

416WEST COAST SUPPLIESRancho Cordova, CAWest Coast Supplies specializes in servic-ing the packaging and ingredient needsfor food processors from coast to coastand abroad. Whether it’s food ingredi-ents, corrugated boxes and sheets, vent-ed or stretch films, netting, or machinery,we are able to assist your needs for all ofthe requirements you have.

522 TRACEGAINS INC.Longmont, COWith TraceGains’ Positively AssuredTraceability you can print unique customlabels for Sam’s Club, Kroger, GS1-128compliance (Produce Traceability Initia-tive), and any other labeling requirement,right in the field and in the shed. Imple-

mentation is quickand cost-effective.

525 LAMOTTE CO.Chestertown, MDLaMotte now distributes the Hygiena

ATP meter and test swabs to testfor bacterial and proteinresidues on food surfaces. Thedevice, designed with state-of-the-art electronics is extremelysensitive and can quickly deter-

mine the cleaning efficiency andhygienic status of surfaces andwater. This palm-sized meter iseconomical and easy to use.

530 FOOD IRRADIATION PROCESSING ALLIANCEMinneapolis, MNIrradiation, which uses electron beams, x-rays or gamma rays to eliminate harmfulbacteria like E. Coli O157:H7 and Salmo-nella, is one of the most effective toolsavailable to reduce or eliminate harmfulbacteria and make vulnerable foods assafe as possible. FIPA represents the irra-diation service industry, manufacturers offood irradiators and suppliers of cobalt-60 sources.

604 ESI GROUP USABloomfield Hills, MIESI Group USA is anationwide design/buildgeneral contracting and constructionmanagement firm. We specialize in ware-houses, distribution centers and foodser-vice facilities. Our experience and knowl-edge enable us to provide you a guaran-teed maximum price. Our single sourceresponsibility approach will respond toyour company’s need for a cost-effectiveand functional facility.

720COUGAR PACKAGEDESIGNERS INC.West Chicago, ILCougar Package Designers is launchingits new Spiritus Food Packaging Solution.This process uses patented SLB technolo-gy, enabling manufacturers to pack fresh-cut fruit and vegetables, extends shelf life,reduces discards and lowers costs. Spiri-tus’ SLB technology creates a modifiedatmosphere without vacuum at anystage, thus ensuring no harm to the tex-ture and appearance of products.

810 BOSCH PACKAGINGTECHNOLOGYRaleigh, NCBosch Packaging Technolo-gy provides equipment forharsh operating environ-ments. The Bosch SVE3800AB high per-formance continuous motion bagger isyour solution for superior product han-dling, package presentation and flexibili-ty for fresh produce, IQF frozen foodand vegetables, running at speeds up to120 bpm.

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813SAMBRAILO PACKAGINGWatsonville, CASambrailo Packaging is a family-ownedcompany that has served the produceand floral industries since 1923. We havebuilt our reputation on service and quali-ty. Known for our design- to distributionpackaging innovations, Sambrailo trulydoes whatever is best for the produce.

SPONSORED BY


http://www.chep.com/onepallet

820 SORMAC B.V.Venlo, NetherlandsThe Sormac delivery program consists ofmachines for fresh processing of vegeta-bles, such as potatoes, onions, carrotsand leafy greens. For onions, Sormac sup-plies custom-made processing lines. Forall essential parts, such as infeed hoppers,onion peelers, roller inspection belts,waste conveyors and weighing machines,

advanced solu-tions are available.

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827IEH LABORATORIES & CONSULTING GROUPGreeley, COThe IEH Laboratories network offers ana-lytical services in microbiology and foodchemistry, as well as consultation onHACCP reassessment & validation,spoilage, food-borne illness epidemiolo-gy and crisis management. IEH offers 12-hour multiple-pathogen testing for grow-er inputs, raw materials and finished pro-duce products.

832 IDAHO TECHNOLOGY INC.Salt Lake City, UTWe are excited to announce that the Lis-teria test used with the R.A.P.I.D. LT foodsecurity system has been granted perfor-mance-tested status by the AOACresearch institute. The assay uses real-time PCR technology to identify the pres-ence of Listeria in food and environmen-tal samples.

930 ALCHEMY SYSTEMS LPAustin, TXSISTEM is a training andcompliance manage-ment platform createdby Alchemy Systems. Byusing hand-held remotesand interactive courseware in English andSpanish, SISTEM increases employeecomprehension and improves retention.SISTEM also includes a web-based Learn-ing Management System.

924ECOLAB INC.St. Paul, MN 55102Ecolab helps customers produce safer,high-quality products, continuouslyimprove operational efficiency andenhance environmental stewardshipthrough best-in-class sustainability pro-grams. Products include antimicrobialwater additives for fruits and vegetables,including organic, advanced cleaning andsanitizing technologies, personnel hygieneprograms, pest elimination services andtotal water management programs.

927 SADEX CORPORATIONSioux City, IASadex Corporation is a food irradiationprovider. Using electron beam technolo-gy, the Sioux City facility has the capacityto process 150 million pounds of freshfruits, vegetables and leafy greens incombination annually. Sadex Corpora-tion also provides cold pasteurizationservices to the food industry in the onlyrefrigerated facili-ty of its kind.

928, 929LOWRY COMPUTER PRODUCTBrighton, MILowry Secure Visibility is a set of elec-tronic data collection and inventorymanagement applications developed toenhance a company’s investments in aSQF (Safe Quality Food) 2000 HazardAnalysis and Critical Control Points(HACCP) plan. Secure Visibility fulfills PTIrequirements and provides growers,packer/shippers and processors a costeffective solution.

932 MILLER-LEAMAN INC.Daytona Beach, FLMiller-Leaman announcesits new FiltraFlume; amulti-staged filtration sys-tem designed for flumewater applications. The system employsa stainless steel strainer, high-efficiencyhydro-cyclones and an automatic, self-cleaning Turbo-Disc Filter, substantiallyreducing the level of suspended solids inthe water,.

1000 URSCHEL LABORATORIES INC.Valparaiso, INThis year’s Urschel booth features theDiversaCut 2110 Dicer, DiversaCutSPRINT Dicer and the TranSlicer 2000Cutter. The SPRINT is designed for smallto medium processors, while the 2110 is

designed for medium to largeprocessors. The TranSlicer2000 Cutter offers three inter-changeable styles of slicingwheels for maximum versatility.

1008 BEST NVCentennial, COSorting the goodfrom the bad, theright from thewrong, the fresh from the not fresh, is acorporate policy. BEST’s optical sortersguarantee quality, efficiency and reliabili-ty. Equipped with laser, camera, Fluo,infrared, or x-ray, the sorters detect color,structure, shape and density variationsfor fresh products.

1024 CHARLIE’S MACHINE& SUPPLY INC.Boulder, COSmall machines doing big jobs and bigmachines at small prices is the name ofour business. Hands-on demonstrationsawait you at our booth. Come peel, slice,dice and wedge — carrots and lettuce toapples and pineapple. Small to large vol-ume, CMS provides equipment for yourfresh-cut food processing needs. Bothcustom and used equipment is available.

1208 MATRIX PACKAGING MACHINERY INC.Saukville, WIMatrix Packaging Machinery has becomesynonymous with delivering innovativemachinery at the most value for your

dollar in the packaging industrytoday. Matrix is proud to exhibit

the Elite Premier bag-maker,our fully stainless steel machinethat is designed for severe dutywash-down applications. Stop

by for a demonstration.

1218 HMC MARKETINGKingsburg, CA2009 marks the 30thanniversary of our Lunch Bunch grapes.Building on a tradition of investing andinnovating for quality, HMC offers year-round supplies of value-added grapes inall forms. The holy grail of fruit, “goodtasting tree fruit,” is being delivered fromour orchards in California.

1221 NATURESEALWestport, CTCalling all fresh-cut, frozen and driedfruit and vegetable processors: if youneed to extend the shelf life of cut pro-duce NatureSeal has the solutions! Ourformulations are comprised of FDA-approved GRAS ingredients and arealways sulfite-free. We willalso work with you to cus-tomize the perfect productfor your needs.

1230GOODNATURE PRODUCTSOrchard Park, NYGoodnature Products’ pas-teurizers are used for many differentapplications, including treatment solu-tions, juices and syrup. Our all-in-onedesign HTST pasteurizers are skid-mounted and can be up and running injust a few hours. They can be fully cus-tomized to meet all of your temperatureand timing needs.



1013 HEAT AND CONTROL INC.Hayward, CASee new technology for conveying,inspection and weighing, including thelatest Ishida fresh products weigher; washdown X-ray inspection system and check-weigher; ultra-sensitive CEIA THS21metal detector and FastBack horizontalmotion conveyor; and product blendingand sorting systems.Arrange to test your prod-ucts at our demonstrationcenters in CA and PA.

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HOLLANDIA PRODUCECarpinteria, CAHollandia Produce is home to LiveGourmet living butter lettuce, Living 3-in-1 lettuce, Living upland cress and Livingarugula, harvested with their roots intactto preserve freshness. We say it’s“Absolutely freshbecause it’s stillalive!”


1231 HERRMANNULTRASONICS INC.Bartlett, ILIn our packaging lab, wehave the capability to sealdifferent types of packages. We offer fastand airtight ultrasonic packaging sealingsolutions. We develop and deliver thecomplete solution for the packagingmachine and incorporate ultrasonic seal-ing — fast, safe and airtight.

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1302 ATLAS PACIFIC ENGINEERING CO.Pueblo, COFor over 60 years, Atlas Pacific has beenthe leading manufacturer of deciduousfruit processing equipment, offering awide range of machinery to automatical-ly feed, orient, optionally peel, core, seedcell and slice (wedge and ring) applesand pears, pit (de-stone) peaches andapricots and de-stem fresh and/or brinedcherries. Come see our industry standardfresh-cut apple slicer.

1319 RIVER POINT FARMSHermiston, ORRiver Point Farms, America’s largestonion producer, controls the processfrom seed to sandwich. Supplying whole,peeled and processed onions to meetspecific customer needs. River PointFarms provides the most consistent, reli-

able onion supply in thecountry.

1322 DADE SERVICE CORPORATIONDaytona Beach, FLDade Service Corporation specializes inthe design and construction of: producedistribution centers, produce packingand cooling facilities, tomato ripeningrooms, pressurized avocado, banana andfruit ripening rooms, forced-air coolers,coolers and freezers and designing fordurability, energy efficiency and foodsafety. We serve the entire United Statesof America.

1325 APIO INC.Guadalupe, CABreatheway offers modified atmospheretechnology for virtually any packageconfiguration. Bring your fresh fruit orvegetable packaging challenges by theB r e a t h e Wa y / A p i obooth for more infor-mation. Ideal packageatmospheres can dra-matically increase shelflife and improve theeating experience.

1331 AGRA-BEST LLCBakersfield, CAAgra-Best is committed to producing thehighest quality broccoli and cauliflowerharvesting and production equipment inthe industry. Our machines are custombuilt to your needs and are designed todeliver convenience and cut consistency.The design is also key to reducing cross-contamination and will reduce labor by60 to 70 percent.

1408KEY TECHNOLOGY INC.Walla Walla, WAStop by to learn about our processautomation innovations for fresh-cutprocessors. Talk with our industry marketexperts about our exciting line of fresh-cut produce solutions including sorters,washers, dryers, sizers and more. See livedemonstrations on our Optyxcamera/laser sorter and AVSealer Pack-aging Machine.

1417 HARPAK INC.South Easton, MAWhether you’re packaging fresh pro-duce, fruit cups, juice or salads, Harpak ispoised to supply all of your primary orsecondary packaging needs. Harpakproudly represents Mondini, CAMA andHooper Engineering. We offer a com-plete line of packaging and filling equip-ment including tray sealers, piston fillers,pocket fillers, form/fill seal, RSC carton-ing and wrap-around, tray erecting, casepacking, robotics and sleeving units.

1600 DEL MONTE FRESH PRODUCENORTH AMERICA INC.Coral Gables, FLDel Monte Fresh offers retailers andfoodservice operators an array of innova-tive solutions to address the changingtastes and lifestyle needs of today’s con-sumers. Our extensive distribution net-

work allows just-in-timedeliveries of our premium,high-quality, fresh prod-ucts to your doorstep.

1616ALLEN LUND CO.Le Cañada, CASince 1976, AllenLund Company hasprovided shippers with all means of over-the-road services utilizing a substantialand reliable carrier base to handle dry,refrigerated, flatbed and internationalshipments. Our nation-wide offices moni-tor all freight using advanced technologyand communication infrastructure 24hours a day, 7 days a week.

1800 CALIFORNIA STRAWBERRYCOMMISSIONWatsonville, CAVisit our booth to learn about the Cali-fornia Strawberry Commission’s priorities— food safety, trade relations, research,nutrition, public policy and marketingcommunications for an industry thatproduces 88 per-cent of the coun-try’s strawberries.

1802DOMEXSUPERFRESH GROWERSYakima, WADomex Superfresh Growers is an inter-national fruit marketing firm. We growand market both conventional andorganically grown domestic and import-ed apples, pears, cherries, peaches andapricots.

1900 COLORFUL HARVEST LLCSalinas, CAColorful Harvest grows pre-mium, quality, fresh pro-duce including strawberries year-round — sweet and red all the waythrough, blueberries, raspberries, black-berries, melons, sweet red corn, rainbowcrunch carrots, orange, purple and greencauliflower, purple broccoli and more.

1908 BEACH STREET FARMS LLCWatsonville, CABeach Street Farms, a premiergrower/shipper of conventional andorganic berries, is committed to provid-ing the highest quality berries available.Growing in the heart of the Californiastrawberry-growing regions of Northernand Southern California, supplies are

available almostyear-round.


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PRODUCE CAREERS INC.Arroyo Grande, CAProduce Careers was founded in 1999and has clients throughout North Ameri-ca. It has emerged as the produce indus-try’s No. 1 recruiting firm filling executiveand middle management positions in alljob categories.

1613CHEPOrlando, FLCHEP is the global leader in pallet and container pooling, combining superior technologyand an asset base of more than 300 million pallets and containers. As a supply chain part-ner to many of theworld’s largest compa-nies in 45 countries,CHEP delivers value,quality and provenenvironmental impact.

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2006 FOX PACKAGING SERVICESMcAllen, TXFox Packaging continues to lead the pro-duce industry with the smartest packag-ing solutions. The Fresh Mesh line of bagsis designed to run on most existingequipment. It increases shelf life and isthe most versatile package in the indus-try. Choose the bag consumers reach for.

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2013 DNE WORLD FRUIT SALESFort Pierce, FLDNE World FruitSales will show-case its line offresh summer citrus from Australia,South Africa, Chile, Mexico and Peru. Weoffer an array of fresh quality navels,Clementines, Minneolas, lemons, limes,Midknights and several other specialtyvarieties. Let DNE help you grow yoursummer profits and develop a customprogram for your needs.

2205 AG-PAK INC.Gasport, NYAg-Pak supplies industry-leading producepackaging equipment. We offer weighing,bagging, optical sorting, washing and pol-ishing equipment from the world’s bestmanufacturers, featuring NEWTEC. Ourbooth will feature a complete line ofweighing and bagging systems and therevolutionary NEWTEC Celox RV12 opti-cal potato grader — making automateddefect grading a reality.

2208 CALIFORNIA GIANT BERRY FARMSWatsonville, CACalifornia Giant Berry Farms launched anational sweepstakes promotion April 1,2009 in support of its spring and summerstrawberries. Consumers can enter dailyfor a chance to win grand prizes and mer-chandise. Visit our booth for details onthis exciting consumerpromotion backed withnational advertising andpublicity campaigns.

2213 IFCO SYSTEMS Tampa, FLIFCO invites United Fresh attendees toexplore environmentally-sustainable andcost-saving transport packaging solutions.From reusable plastic containers thatreduce emissions, energy use and wasteto reusable pallets and palletrecycling programs that divertmillions of tons of waste annu-ally, IFCO’s services meet thedemands of our customersand our environment.

2217ACCU-LABEL INC.Fort Wayne, INAccu-Label was incorporated in 2002after the overwhelming success of theORB-it labeling systems developed in2001. From its inception, Accu-Labelcontinues its commitment to providing avariety of environmentally friendly, pres-sure-sensitive labeling solutions to freshproduce packinghouses across NorthAmerica. Our primary products are:ORB-it Vision Labeller, ORB-it Over-Top,STIC-it, ORB-it and STIC-it Labels.

2317BASKET EASEPrior Lake, MNOur program, the Easy Does It Fruit Bas-ket Program, provides all the suppliesyou need for your in-store fruit basketprogram, including containers specifical-ly designed for fruit baskets in plastic,wicker and bamboo forfast and easy assembly.Baskets are available inkits with wraps, bows,inserts and directions, allin one box.

2400 NATURIPE FARMS LLCNaples, FLNaturipe Farms is the right choice forfresh, premium berries. First in blueberrysales globally, we offer a full spectrum ofvarieties including strawberries, blackber-ries, raspberries and cranberries. “In seasonlocally — In SeasonGlobally,” NaturipeFarms is the source forall varieties, all seasons,conventional andorganic.

2401 PRINCE EDWARD ISLANDPOTATO BOARDCharlottetown,Prince Edward IslandPrince Edward Island Potatoes are worldfamous. Our rich, red soil and cool oceanbreezes make PE Canada’s leading pota-

to producing province. Wegrow and pack russets, whites,reds, yellows, organic and spe-cialty potatoes. Visit us to seegreat spuds.

2404NNZ INC.Lawrenceville, GAWhile most compa-nies have one or twoitems to offer, NNZInc. can supply all yourpackaging needs for earth-friendly, sus-tainable, renewable, recyclable, com-postable and environmentally-safe pack-aging. From film to trays to netting tolabels, NNZ can supply it all.

2407 DISCOVERYGARDEN’SOakdale, CADiscovery Garden’sspecializes in propri-etary variety potatoes — Sierra Gold,with a Russet skin, and Sierra Rose, with ashiny red to dark mahogany skin. Theseunique potatoes have the rich, creamytexture of a yellow potato. Both potatoeshave a remarkable cooking flavor.

2408 MISSION PRODUCE INC.Oxnard, CAMission Produce is a global packer,importer, processor and distributor ofavocados and asparagus. Our ripeningand distribution centers in California,Denver, Chicago, New Jersey, Atlanta,Dallas and Seattle enable just-in-timedelivery to customers nationwide. New

at Mission is ouryear-round aspara-gus program.

2410 CAVENDISH PRODUCECharlottetown,Prince Edward IslandCavendish Produce is your one-stop sup-plier of top quality potatoes. Russets,whites, reds, yellows, blues, fingerlings,organics — we have what you’re lookingfor. Retail or foodservice, orders arepacked to bring you value through pre-mium products and packaging. We areyour Fresh Potato Specialists.

2415 DREAM FOODS INTERNATIONALSanta Monica, CAOur Volcano Lemonand Lime Bursts areplastic squeeze bottlesmade with organic juiceand essential oil. The products are reces-sion-proof as sales increase when con-sumers substitute them for fresh lemonsand limes. Consumers continue to buythe product for the great flavor!

2419 CONWED GLOBAL NETTING SOLUTIONSMinneapolis, MNConwed introduces Vexar netting withEcocycle Technology: a safe, earth-friend-ly packaging solution that has a reducedlifetime compared to standard plasticnetting. Conwed exclusively makes net-ting with Ecocycle Technology for allautomated produce packaging equip-ment including: form fill and sealmachines, soft net automatic weldingmachines and clipping machines.


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2406 VAL VERDE VEGETABLE CO. INCMcAllen, TXVal Verde Vegetable Co. is your leafygreens experts handling a completeassortment of leafy greens, cabbage, car-rots, broccoli crowns, limes and now, spe-cialty vegetables. Come by to see somegreat, Texas-grown bitter melon, snakegourd, Chinese okra,Opo squash, longsquash, Indian eggplant,Daikon and Methi leaf.

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2421 BARD VALLEY MEDJOOL DATEGROWERS ASSOCIATIONBard, CABard Valley Medjool Date Growers aregrowers and shippers of the world’sfinest Medjool Dates. We offer bulk and

consumer Packs. We are“unquestionably thebest.”

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2431NEW JERSEY DEPARTMENT OF AGRICULTURETrenton, NJThe New JerseyDepartment of Agri-culture represents NewJersey’s vast agricultur-al industry and usesthe Jersey Fresh marketing and advertis-ing program to showcase the 100 differ-ent varieties of fruits and vegetablesgrown in the Garden State.

2500 SAN MIGUEL PRODUCE INC.Oxnard, CASan Miguel Produce, makers of Cut ‘nClean and Jade, introduces new organicand Asian value-added cooking greensfor retail, wholesale and foodservice.

2503 PRIMARY PACKAGE INC.Tulare, CAPrimary Package specializes in materials,equipment and technologies for freshproduce consumer packaging, includingNIR (near infrared) sorting and gradingtechnologies, new packaging materials,traceability systems and packagingequipment.

2505 HARVESTMARK BY YOTTAMARKRedwood City, CACompliant with GS1 and the ProduceTraceability Initiative, HarvestMark is theleading, on-demand traceability platformfor the fresh food industry. Today, morethan 100 million produce products havebeen enabled with HarvestMark trace-ability to speed response time to suspect-ed recall events anddeliver valuable busi-ness intelligence.

2513ALLIANCE RUBBERCOMPANYHot Springs, ARAlliance Rubber Company has manufac-tured rubber bands in the USA since1923 to meet your banding needs. Wewere the first to recognize the need forstandard PLU bands and custom-imprint-ed rubber bands and adapt them tocomply with COOL requirements. Wenow offer standard and custom-printedProTape.

2520WILKINSON INDUSTRIES INC.Fort Calhoun, NEWilkinson introduces its latest sustain-able solutions: EcoServe Deli Squares,which are square, sustainable-food pack-aging made with NaturesPLAstic. Madefrom renewable energy sources,EcoServe comes in 8- to 40-oz. sizes, allof which use the same inside-fitting lid,saving on SKUs. These are great for indi-vidual or bulk packingof deli and restaurantcarryout items.

2600WELL-PICT BERRIESWatsonville, CAWell-Pict’s latest developments include:our re-engineered 2-lb. strawberryclamshell to reduce shipping costs, ourredesigned website at www. wellpict.comand new winter strawberries from Flori-da.

2607SUNKIST GROWERS INC.Sherman Oaks, CAThe growers of Sunkist are dedicated todelivering high-quality, fresh citrus,sourced from around the globe andbacked by 116 years of expertise in sales,advertising, promotion and transporta-tion. Sunkist is the world’s leading citrusmarketer, and our name is your assur-

ance of premiumquality, excitingtaste and excep-tional service.

2613 DRISCOLL’SWatsonville, CAFor over 100 years, Driscoll’s has beenone of the leading fresh berry companiesin the world. We offer a full selection ofconventional and organically-grownstrawberries, raspberries, blackberriesand blueberries. For berry lovers andpeople leading a healthy lifestyle,Driscoll’s is the brand that delights con-

sumers every time.

2805 & 2808CH ROBINSON WORLDWIDE INC.Eden Prairie, MNC.H. Robinson is one of the largest pro-duce sourcing and non-asset based thirdparty logistics companies in the world.C.H. Robinson sources the highest qualityproducts, while integrating value-addedlogistics, distribution and informationreporting services. We provide our cus-tomers with complete, customized sup-ply-chain solutions that meet each cus-tomer’s needs.

2813KPG SOLUTIONS INCLongwood, FLKPG Solutions is the premierprovider of software, con-sulting and hardware solu-tions for the worldwide foodindustry. Let us show you how tosave and grow your business by 1 to 2percent.

2818 MASTRONARDI PRODUCE LTD.Kingsville, ONMastronardi Produce/SUNSET is a pio-neer and industry leader in the gourmet,greenhouse industry that grows andmarkets nationally-recognized brands,such as Campari cocktail tomatoes,Splendido grape tomatoes and Cham-pagne cocktail tomatoes under its Sunset

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3006 PRODUCE PRO INC.Woodridge, ILProduce Pro’s comprehen-sive, all-in-one software isdesigned specifically for dis-tribution of produce and other perish-ables. We can help you achieve completeand accurate product traceability — askus how.

3013PRODUCE BUSINESSBoca Raton, FLInitiating industry improvement since1985, PRODUCE BUSINESS is the most wide-ly distributed publication in the industry.Exclusively edited for buy-ers, it provides a monthlydialogue of marketing, mer-chandising, managementand procurement informa-tion that helps buyersaccomplish the industry’s9-to-13-A-Day goal.


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2705 AIRDEX INTERNATIONAL INC.Henderson, NVWorldwide-patentedAirdex is the “world’slightest pallets,” weighingonly seven to 10 pounds,but able to carry 3,500pounds. Dramaticallyreducing CO2 emissions with no defor-estation, AIRDEX pallets are: sanitary,shock-absorbing, thermal-insulating, recy-clable, repairable and SPM-compliant.We will slash your cargo costs.

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3122 PAKSENSEBoise, IDPakSense’s booth willfeature the ultra-wireless,temperature monitoringlabel. The ultra-wirelesslabel allows users towirelessly download time and tempera-ture information and analyze data on areader before unloading a perishableproduct from a container.

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Warm temperatures, rich soil and locally grownadvantages make Southern fruit harvested in thespring the crème of the fruit crops.

Retailers are becoming aware of the opportuni-ties of buying Southern fruit, particularly melons,peaches and blueberries, and they’re finding plentyof ways to highlight their health benefits, spectacu-lar flavor attributes and delightful taste.

“When you look at any of the popular fruit cate-gories — peaches, blueberries, strawberries, melons— everyone thinks toward the West,” explains Mar-tin Eubanks, director of marketing for the SouthCarolina Department of Agriculture (SCDA), basedin Columbia, SC, and former executive director ofthe South Carolina Peach Council (SCPC), also inColumbia, SC. “But, if you look at the area fromFlorida through Virginia, you’ve got that samegrowing area as California,” he adds. “Our climatesour certainly different and product makeup may bedifferent, but our fruit possesses very high qualityand flavor. Plus, when you factor in the carbon foot-print aspect, it just makes sense for retailers east ofthe Mississippi to buy locally.”

BUYING LOCAL Consumers are continuing to become more

interested in purchasing locally grown produce,

motivating retailers to stock produce departmentswith fresh, locally grown fruit. Produce from localgrowing areas uses less non-renewable resources,fossil fuels and chemicals, making it an environ-mentally friendly alternative to receiving producewith a large carbon footprint imported from distantstates or countries.

According to Eubanks, 90 percent of consumersin South Carolina prefer a locally grown South Car-olina piece of fruit when it’s available over fruitshipped from somewhere else. “We see tremendousprofit potential in locally grown fruit,” he notes.“The opportunity is certainly there, and I’m surethe numbers hold true in Florida, Georgia andNorth Carolina.”

Transportation from growers has become a vitalpart in selling local fruit, adds Mike Jardina, presi-dent and CEO of Forrest Park, GA-based J.J. JardinaCo. “We can get product in sometimes the same dayif we run short. This also helps us to keep it fresh.We are able to pull load volume and store it in ourwarehouse for the retailers to pull as needed.”

Lane Southern Orchards, in Fort Valley, GA, pri-marily does business with major retailers and a fewwholesalers along the East Coast. “The idea of aGeorgia peach growing on a tree one day andpotentially being delivered to the store within a dayor two has to be appealing,” states Duke Lane III,vice president of sales. He suggests retailers go theextra mile to promote Southern fruit as locallygrown using signage and even farm tours. “Let peo-ple know at the store level exactly where their fruitcomes from. We have operated a large retail marketon our farm for nearly 20 years. While they are vis-iting our farm, we offer guided farm and packing-house tours.”

Some growers are incorporating photos and sto-ries about the farmers on its packaging, notes FrankFunderburk, executive director of the GeorgiaPeach Council (GPC), in Byron, GA. “It’s all abouthow you market locally grown.”

Eubanks agrees, adding, “Consumers want toknow where their fruit is coming from. The carbonfootprint involved is definitely on everyone’s mindsthese days.”

Chalmers Carr III, president and CEO of RichSprings, SC-based Titan Peach Farms Inc., also

The South has a reputation for breedingsome of the country’s most flavorful, sweet-est and, most importantly, profitable fruit.

Make Way For Southern Fruit Fresh supplies of Southern melons, peaches and blueberries provide retailers with an array of opportunities to boost spring sales in the produce department.

B Y A M Y S H A N N O N

Ninety percent of South Carolina consumers prefer locally grown fruit.


notices this trend. “We’re having the sameconversation with every retailer. Consumerswant to know their supporting local growers— every day. The length of peach seasonhas increased from mid-May through mid-September. We’re starting earlier than inyears past. We cover the true peach season.”

Dickey Farms Inc., a peach packing-house based in Musella, GA, gets its peachesto the market in very short order, stressespresident Robert Dickey III. “They’re reallyfresh. We can pick them today and havethem out the next day.”

Rosemont Farms Corp., a grower, shipperand producer, headquartered in Boca Raton,FL, sells its Athena cantaloupes to retailersand wholesalers — all east of the MississippiRiver. “We even have some processors nowthat are seeing what a great item this is fortheir customers,” expresses Daniel Whittles,director of marketing and product develop-ment. “Foodservice operators are a little lesslikely to get excited about it because it forcesthem to change the size specs in somecases, which isn’t a favorite thing to do inthe foodservice world. From a flavor profile,though, it’s a winner within all segments.”Additionally, buying local is a huge draw forRosemont’s customers given the freightadvantages due to regional proximity, con-tinues Whittles.

“This was especially true this past year,when high fuel prices raised the cost oftransportation,” explains Dickey, who workswith mostly large retailers.

“Our proximity to the marketplaces inthe South is closer than many of our com-petitors,” notes Carr. “We’ve got a muchmore edible peach while theirs has a betterappearance at the store level. We offer prod-uct that consumers will buy and then comeback for more.”

General Produce Inc., located at the Geor-gia State Farmer’s Market in Forrest Park, GA,works with grower/shippers and sells a lot ofpeaches directly to independent retailers,says sales and procurement managerAndrew Scott. “We really support locallygrown product.”

With so much emphasis put on locallygrown produce, it’s important that retailerseducate consumers on where their fruitcomes from. “Their customers will be morepleased with Southern fruit knowing it’slocally grown,” states Dickey. “We’ve gotmore attractive fruit than we ever havebefore. Plus, there’s a really good value outthere with peaches.”

OVERCOMING CHALLENGESPlanning promotions around certain vari-

eties can sometimes prove difficult due toripening dates being affected by various

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weather conditions. “It’s important to have asteady supply of product throughout theseason,” advises Lane of Southern LaneOrchards. “On our farm, we grow more than

30 varieties of peaches. This allows us tohave consistent supply from mid-Maythrough August.”

“The weather definitely presents some

challenges,” explains General Produce’sScott. “It all depends on whether we get thatlate spring freeze.” South Carolina, in partic-ular, can be especially vulnerable, he adds.


Distinct Commodities

MELONS: Rosemont Farms Corp., a grower, shipper and produc-er in Boca Raton, FL, does some work with watermelons, but itsAthena cantaloupe program is most notable. “The growth in thiscategory over the past few years has been strong, due to both thevariety and the ever-improving cooling and post-harvest prac-tices that have expanded the radius of distribution available tothe top-tier producers such as Rosemont Farms,” states DanielWhittles, director of marketing and product development.

Rosemont’s Athena melon program is anchored from its oper-ations in Tifton, GA, where it planted 500 acres of the variety forthe 2009 season. An additional 200 acres were planted at Rose-mont’s Plant City, FL farm. In Tifton, the season runs from June1 through July 20, while the Plant City crop will run from May10 through June 5.

For retailers, the benefits of buying these delicious, high-Brixcantaloupes are endless. “They’re cooled and handled with abest-in-class system,” increasing shelf life for retailers and con-sumers, notes Whittles. “They’re packed at a best-in-class facilityunder industry-leading, food-safety standards. We offer a choiceof PLU-labeled packs, including boxes or high-graphic bins.”

Watermelon growers are increasing acreage in South Caroli-na, points out Martin Eubanks, director of marketing for theSouth Carolina Department of Agriculture (SCDA), in Columbia,SC. “We work fairly closely with the South Carolina WatermelonBoard [SCWB, Columbia, SC].”

Gordon Hunt, director of marketing for the National Water-melon Promotion Board (NWPB), headquartered in Orlando, FL,says joint promotions organized by state and regional watermel-on associations are helping to drive consumer demand. “In thepast 20 years, we’ve seen a major increase in seedless watermel-on — almost 80 percent of watermelon is now seedless. Today,we’re actually seeing prices rise on seeded watermelon in theSouth because people are looking for it, but they’re having prob-lems finding it,” he reports.

“They want it for church picnics and seed-spiting contests.Still, the fastest-growing section is in the minis. Watermelon isparticularly a Southern fruit. It follows the sun. You have productfrom Florida all the way up through Delaware and Maryland.Plus, it’s all family-owned farming — there are no corporate enti-ties. It’s by and large quintessential American farming,” he adds.

PEACHES: Georgia-grown peaches are particularly a bigdraw this time of year, according to Robert Dickey II, presidentof Dickey Farms Inc., a Musella, GA-based operating peach pack-inghouse. “Georgia is steady in production over the past fewyears. We’ve had a couple of challenges with the weather, butwe’re looking for a good crop this year,” he remarks.

According to Frank Funderburk, executive director of GeorgiaPeach Council (GPC), headquartered in Byron, GA, “We’re defi-nitely seeing an increase in Georgia peaches. We were stagnantfor the past several years, but we’re planting more now.” Geor-gia’s four major peach growers work with 50 or so varieties andeach plant between 1,600 and 3,200 acres of peaches each sea-

son, he adds.“We we’re pretty consistent from 2002 to 2006,” reports

Chalmers Carr III, president and CEO of Titan Peach Farms Inc.,headquartered in Rich Spring, SC. “I think we would have feltthe first big impact of additional crops in 2007, but because of thefrost, we actually experienced a 75 percent loss instead. In 2008,we had a 40 percent crop loss due to a hail storm and an earlyfreeze,” he reveals.

Beginning in mid-May, Lane Southern Orchards, based inFort Valley, GA, plans to harvest nearly 5,000 acres of peaches.“Georgia peaches are the juiciest, sweetest, best-tasting peachesin the country,” reports Duke Lane III, vice president of sales.“Our climate and soils are perfectly suited for growing juicy,high-Brix fruit, which we carefully harvest at its peak of maturityto give consumers the best-tasting peach possible. After all, tasteis what the consumer is looking for and what will bring themback for more.”

J.J. Jardina Co. Inc. is a wholesaler, headquartered in ForrestPark, GA, that specializes in Southern peaches, strawberries andblueberries. “We sell approximately 200 loads per year of peach-es, as well as small amounts of blueberries and strawberriesdepending on weather conditions and competition from berrycrops in other states this time of the year,” reports Mike Jardina,president and CEO.

General Produce Inc., a wholesale produce house located atthe Georgia State Farmer’s Market in Forest Park, GA, works withan array of peach varieties from Georgia and South Carolina.“Peaches are a big hit because they’re so popular among con-sumers,” states Andrew Scott, sales and procurement manager.

“Obviously, we’re a bit prejudiced, but because they’re notshipped a great distance, we can let them stay on the tree a littlebit longer, giving them a much better taste than fruit shippedfrom places further away,” explains Funderburk. “They may notalways look as pretty, but the taste is always there.”

Dickey agrees, pointing out that the taste of Georgia peachesplays a major role in persuading consumers to make repeat pur-chases. “They have very good eating quality.”

BLUEBERRIES: SunnyRidge Farm Inc., a Winter Haven, FL-based family-owned and operated grower, packer and shipper ofblueberries, strawberries and blackberries, has berry farms inGeorgia and Florida. Blueberries grown in these states help sup-plement supply from SunnyRidge’s growing regions in North,Central and South America, providing its customers with a plen-tiful year-round supply. “Florida will be starting up soon and willget heavier into March,” explains Stanley Scarborough, produc-tion manager. “We sell direct to Sam’s Clubs and Publix.”

In South Carolina, production of blueberries has increased,particularly over the past three years. “They’re drawing quite abit of attention from growers,” notes SCDA’s Eubanks. “A lot ofthis is due to positive marketing that educates consumers on thehealth benefits of eating blueberries. Blueberries are little power-houses when it comes to nutrition.” pb


For Georgia peaches, late freezes are thebiggest challenge, states GPC’s Funderburk.“In the past, we’ve had late freezes in themiddle of April. Poor weather in the pastfew years has reduced crops 40 to 50 per-cent. Some growers lost a total of 70 per-cent. Drought is not as big of a fear. Con-versely, we have had times when we get toomuch rain, which can cause diseases andcause the fruit to lose its flavor.”

Supply can certainly vary during thepeach season, adds Dickey. “That’s kind ofhow Mother Nature does things in theSouth. Sometimes we have not enough andother times we have too much. So it’s a chal-lenge to get it matched up.”

Swings in temperature and excess rain-fall can disrupt the supply chain, particular-ly for cantaloupe, watermelon and strawber-ries, adds SCDA’s Eubanks. “Spring weathercan be very unpredictable. It may rain inSouth Georgia, but not rain in Florida orSouth Carolina.” To overcome such vari-ables, some sales agents and growers oper-ate in multiple states. “That keeps supplymore consistent,” he continues. Justbecause growers in one region experience afreeze, it doesn’t mean everyone was affect-ed by it, Eubanks stresses. “We don’t wantretailers to think our products aren’t avail-able elsewhere.”

WORKING WITH BUYERSWith weather having such a varying

effect on production, it’s critical that grow-ers, retailers and all parties involved com-municate product availability and shipmentrequests in a timely manner. “Weather issomething everyone has to deal with,”expresses Eubanks. “It’s the nature of thebeast. The key to that is communication. Aslong as the grower and retailer communi-cate, demand can be met,” he adds. “As astate agency, we work with retailers todevelop and promote local efforts throughconsumer campaigns.”

Titan Peach’s Carr says it’s all aboutanticipating volume and communicatingthat volume. “We try to give them a heads-up on when to ramp up shelf space.”

On the wholesaler end, Jardina of J.J.Jardina adds, “Most of our growers will letus figure it out and set the market price toensure good movement of the product,therefore maximizing the profit by sellingthe entire crop and not having losses bydumping product.”

According to Lane, “We offer promotionaldollars during peak harvesting periods tohelp drive sales.”

Developing good relations with growersand brokers can go a long way, says GPC’sFunderburk. “Simply get a dialogue going

and talk about what you can do better to sellyour peaches in the store.”

“We’re constantly passing informationonto our growers about what the season islooking like,” notes Gordon Hunt, directorof marketing for the National WatermelonPromotion Board (NWPB), in Orlando, FL.“Retailers like it. They want to hear whatthey should plan and reasons why theyshould stock more or less watermelon.”

Rosemont schedules promotions manyweeks or months in advance to create thegreatest lift. “We make sure we have thesizes and packs that they prefer,” adds Whit-tles. “We make sure we don’t have rejec-tions. This past year, we shipped 3 millionmelons without a single melon rejected.”

General Produce’s Scott suggests runningads highlighting fruit from Georgia andSouth Carolina. “That’s what draws peopleinto the stores.”

Some growers team up with retailers toimprove packaging and the marketability oftheir fruit. “Exploring your marketingoptions is important,” explains Funderburk.“A lot of younger generations are coming inand doing some very innovative things.”

It’s also important for retailers to under-stand that Southern fruit, particularlypeaches, need to be handled differentlythan fruit grown in California. “California

peaches, for example, are harvested so theycan go across the country, and thus, arefirmer,” according to Titan’s Carr. “Southernpeaches are harvested when they’re moremature, and they have a shorter shelf life.”

EVOLV ING VAR IET IES &FLAVOR ATTR IBUTES

Southern Orchard’s Lane points to atremendous turnover of varieties in peachesduring the past 10 years. “While we growover 30 varieties, very few are the samevarieties we grew 20 years ago. Varietiesnow are larger and redder in color, butmaintain the same sweet taste that Georgiapeaches are known for.”

Dickey of Dickey Farms agrees, adding“We’re growing larger fruit and the newervarieties are getting redder in color.”

Another noteworthy trend appears to besome retailers and grower/shippers promot-ing peaches grown in Georgia and SouthCarolina as “Southern peaches,” as opposedto designating the state where they camefrom. “We’ve been in business for 50 yearsand things have changed in the past coupleof years,” says Scott. “South Carolina is nowproducing more peaches than Georgia, sosome shippers are benefiting by promotingthem as Southern peaches for volume andquality purposes.” pb

Spring Mechandising Opportunities For Southern Fruit

The South Carolina Department of Agri-culture (SCDA), in Columbia, SC, devel-oped Certified South Carolina, a coop-

erative effort among producers, processors,wholesalers and retailers to brand and pro-mote South Carolina products. “It’s a full-blown consumer campaign,” explains MartinEubanks, SCDA director and former execu-tive director of the South Carolina PeachCouncil (SCPC), based in Columbia, SC.“We’ve produced print ads and run televisionand radio ads to drive consumer demand.‘Nothing’s Fresher. Nothing’s Finer’ are thewords we’re using to build that brandimage,” he adds. “We’re telling consumers tolook for our Certified South Carolina prod-ucts locally in their stores.”

Since many retailers have different meth-ods of showcasing locally grown product,the SCDA is working with them to developindividual programs. “They all want to sup-port their local producers,” Eubanks explains.“We’re trying to enhance their local effortsthrough our programs, so when consumerscome in the store, they can make an

informed decision. Groups, such as the SCPCand the South Carolina Watermelon Board[SCWB, Columbia, SC], are doing what theycan with limited resources.”

Samplings at the store level go over verywell in persuading consumers to make pur-chases, particularly repeat purchases. “Justremember that you can’t slice them andleave them out exposed to air,” reports FrankFunderburk, executive director, GeorgiaPeach Council (GPC), in Byron, GA.

With watermelon, “We plead with retail-ers to show the cut product and sampling iseven better,” states Gordon Hunt, director ofmarketing for the National Watermelon Pro-motion Board (NWPB), in Orlando, FL. “Thisis particularly true in the South. Unless it’son the consumers’ list, it’s not going to jumpout at them,” displayed in it’s whole form.”

Other merchandising ideas for boostingSouthern fruit sales include cross-merchan-dising strawberries, melons and blueberriestogether and adding recipes for fruit saladsor fruit served with shortcake and whippedcream topping. pb


“We represent the start of the new grape seasonfor all areas,” says Jerry Havel, director of sales andmarketing for Fresh Farms, in Rio Rico, AZ. “Thequality is some of the best grapes grown anywherein the world and we have the volume to promote.”

Nick Bozick, president of Richard BagdasarianInc., headquartered in Mecca, CA, notes the impor-tance of promotion when selling spring grapes.“The spring deal is a promotion-driven season dueto the high volume moved in a short time period,”he says.

The constrained time frame combined with thehigh volume makes for an exhilarating business.“The deal is fast and furious,” states William Sykes,president of The Sykes Co., based in Rio Rico, AZ.“We have to market anywhere between 15 and 18million boxes of grapes in a window of six to sevenweeks. We need all the information we can get andwe have to work with the retail sector to determineour peak periods.”

Gary Blank, president of Spectrum Produce Dis-tributing Inc., in Tucson, AZ, adds, “The biggestchallenge with the spring grape deal is its intensi-

ty.” Apart from that, there are many other variablesthat factor into spring grape promotions. “It’s diffi-cult to give prices to a chain store when youhaven’t started picking yet, but it all happens so fastand within a limited time frame,” continues Blank.“So many factors can affect it, such as the weatheror even sugar content.”

As growers, handlers and retailers continue tomake improvements and learn from the past,spring grapes have become an exciting and verypromotable product. “Spring grapes have reallyimproved in quality and quantity,” states Keith Cox,produce buyer/category manager for Abingdon,VA-based K-VA-T Foods Stores Inc., which operatesthe retail chain Food City.

TR ICKY T IMINGMany different factors play into the timing,

availability and pricing of the spring deal. JohnPandol, director of special projects for Pandol Bros.Inc., in Delano, CA, explains the time-sensitiveissue. “The spring desert grape deal should be con-sidered May 15 to July 15, plus or minus a few dayson either side. More than 70 percent is shipped dur-ing the first 40 days, peaking the last five or sixdays of May, into June and the first days of July.”

“Typically, Mexico gets started in the early partof May but it’s always hard to say how the weatherwill affect the timing,” notes Blank. “Once we get astart date, a lot of the shippers can put a templateover a calendar and determine which weeks will begood to promote.”

Weather, transportation and other logistical fac-tors all have a hand in determining the start of theseason, especially for Mexican product. “The springdeal out of the desert tends to be more volatile thanthe Chilean or California deals,” says Jeff Parker,business manager for produce procurement atUkrop’s Super Markets Inc. in Richmond, VA.“Weather, Nogales crossings and transportationbecome more of a concern with this product.”

Lingering Chilean product can also affect pric-

Just as spring ushers in a renewal of nature,the spring grape deal brings a rebirth toretail produce promotions.

Fast And Furious Deal For Spring GrapesThe fast-paced, short time frame for the spring desert grape harvest yields challenges and opportunities alike for prepared and flexible retailers.

B Y J O D E A N R O B B I N S

Research shows that promoting three varieties of grapes will boost sales.


ing and sourcing for some. “Effects on theearly spring deal can depend on how muchcarry over we have from the Chilean deal,”says Cox. “If there are ample supplies fromChile when the Mexican deal starts, thenthe cost will be very competitive. On theother hand, if the Chilean grapes have driedup, then you’ll see a higher cost, which, inturn, will cause higher retails in the marketplace. Each year is a little different.”

“Depending on how well the Chileangrape quality holds up versus the desertdeal crop will be the determining factor inwhen we make the move to the Sonoma

product,” says Parker. “We do like to get intothe new crop product as soon as possible,but only if the quality is good. The earlierthe deal starts in Sonoma, the sooner wewill be able to promote.”

FOCUS ON FRESHNESSVeronica Kraushaar, president and CEO

of Viva Global Marketing LLC in Scottsdale,AZ, and representing the Sonora Grapegrowers organization AALPUM in Hermosil-lo, Mexico, notes, “The freshness of thespring deal is one of the most promotableaspects for retailers, and one consumers

have responded to the most. After the longwinter season, retailers and consumers alikeare excited about the new, fresh crop andthe new varieties offered.”

Retailers can play up consumer’s sum-mer fever with fresh, sweet, juicy grapes.Fresh Farms’ Havel notes, “Retailers arelooking for something exciting to promote ata time when the consumers are looking fora healthy, light summer snack. It’s a perfectmatch for everyone involved.”

Gonzalo Avila, vice president for MalenaProduce Inc., in Rio Rico, AZ, also recog-nizes that the natural season change helpspromote grapes. “The desert deal comes inat a nice time when the weather is changingand consumers look for more fruits likegrapes,” he says.

By providing top-quality, fresh grapes,retailers can build demand. “When we beginour harvest in Mexico, we reintroduce avery high quality, fresh grape to the marketplace,” explains Havel. “This is a very wel-come event for all retailers. They are readyfor fresh product, rather than handling prod-uct that’s almost two months old.”

“We promote the Spring grapes as a front-page ad item and give them plenty of frontand center space when merchandising ourdepartments,” declares Parker. “We sourcejumbo product with excellent color, and wewill price it right on promotion.”

PROMOTING VAR IETYHaving the right variety of grapes and

providing ample options for customers willincrease sales. “We try to promote all vari-eties at some point during the year,” says K-VA-T’s Cox, “because this gives the con-sumer a chance to try a grape they normallywouldn’t purchase.”

Cindy Plummer, vice president of domes-tic marketing for the California Table GrapeCommission, reports that consumers areenticed to buy more grapes when there aremore varieties available. “Advertising threeor more varieties of grapes in an ad pro-duces the highest sales lift,” she adds.

Economic considerations are affectingthe availability of some varieties in the mar-ketplace. “Perlettes are historically an earlymarket variety,” explains Sykes of the SykesCompany. “Normally, growers could dependon the wholesale market to be accepting ofthese grapes, but they’re very expensivegrapes to farm. Growers from Mexico aredropping Perlettes because they can’t getthe big money for them anymore. We’llprobably see less volume and trade in thisvariety this year.”

Other varieties may benefit because theyare very marketable. “ Flame seedless is oneof the best varieties,” expresses Sykes. “It’sR

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probably one of the more marketable vari-eties we have right now, because it’s alwaystasty and has a powerful crunch. Also, theSuperior, from Mexico, has had a big impact.We’ll probably see less and less Thompsonfrom California, because now it’s comingfrom Chile and the variety is less popularthan it used to be.”

Staple varieties continue to hold theirplace, while others are introduced to themarketplace. “The Sugraones are the pre-dominant white grape coming out of Mexi-co,” reveals Spectrum’s Blank. “Black seed-less and Red Globes are two other mainvarieties taking up most of the volume fromMexico. Occasionally we will also get aRuby Seedless.”

“We are harvesting more and more blackseedless grapes from Mexico and finding thedemand to be excellent,” adds Havel ofFresh Farms. “Our late variety, the RedGlobe, is a very large seeded grape and isincreasingly popular in the United States. Itoffers the consumer a very good tasting, dif-ferent grape — with a seed.”

ECONOMIC ADVANTAGEAs consumers struggle with economic

woes, grapes offer an easy way for retailersto help their customers find alternatives toeating out. Sykes believes, “The economymay be causing people to eat more at home.This provides retailers an opportunity topromote more products that are easy to eat,like grapes. The fruit has always been theleader for ads and promotions.”

Cross-promotions with cheese and wine,displays using grapes as part of an upscalerecipe and even new packaging options mayencourage consumers to trade-up in the pro-duce department, as they’re trading-downwith restaurants.

“Our studies show over 95 percent ofconsumers purchasing grapes eat them as asnack,” says Viva’s Kraushaar. “Value is highbecause consumers don’t need to purchaseother, less healthy snacks. This season weare also providing POS recipes, as well asadditional recipes on the Sonora SpringGrapes Web site to provide more ideas forusing grapes.”

Packaging also can help position product.Sykes explains, “The bag is still very popu-lar, but some retailers are offering otheroptions. Costco has a four-pound clamshell,which promotes value. In California, they’repacking tri-color, which can be promoted forparties and entertaining.” Moreover, Skyessuggests “retailers consider customer pricepoints and opportunity, and then tailorpackaging options to fit consumer needs.”

The value provided by grapes is a goodsell. Kraushaar reports, “We are currently

researching the overall value proposition ofgrapes, especially compared to other itemsthat may not have the freshness, shelf lifeor versatility. These are important factors intoday’s tough economy.”

CONVERT ING CHAOS TO OPPORTUNITY

Clear and consistent communicationwith suppliers can help retailers turnchanges in the deal into profits. Skyes notes,“Retailers find great benefit if they commu-nicate with us and really get involved withthe information we’re putting out. It can be

difficult to react to changing market condi-tions, but those who can react the quickestwill see the greatest opportunity.”

“The winners in this deal are those retail-ers who plan ads three weeks out, at themost, and can produce ads on short notice,”adds Pandol.

Consumer education always helps sellmore product. “We have produced a rackflyer, which can be customized with thechain logo,” says Kraushaar. “It helps edu-cate the consumer at POS on the benefits ofgrapes. We are seeing more retailers wantingthis type of information.” pb



MERCHANDISING

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MERCHANDISING

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Sweet Onion Creativity Leads To Category GrowthEven in a rough economy, sweet onions are a solid growth item.

B Y T R I S H A J . W O O L D R I D G E

As a segment of the onion catego-ry, sweet onions have shownsignificant growth over the pastdecade. And while a few sweetonion distributors are somewhat

Sweet onion demand continues to grow despite a weak economy.

concerned with the current turbulent econ-omy, most believe that demand will contin-ue solidly — especially in regards to certainvarieties. Though sales are expected to besolid, stores can still take out a little insur-ance on their sweet onion sales by main-taining a creative outlook when it comes tomerchandising and promoting the common-ly used specialty item.

“Sweet onions are finding their way intomore houses,” says Dan Borer, Northwestsales manager for Keystone Fruit MarketingInc., in Greencastle, PA. “People are startingto use them on a daily basis.”

“We consider the Vidalia onion a special-ty item, but people are cooking with themoften at home,” notes Jason Herndon, vicepresident of operations at Lyons, GA-basedL.G. Herndon, Jr. Farms Inc. “The fact thatmore people are cooking at home and arewilling to spend an extra few cents on aVidalia, forgoing the white table clothrestaurants, is a good sign for us.”

Steve Probestfield, a store manager fromOkie’s Thriftway, headquartered in OceanPark, WA, adds, “What I’ve noticed is thatsweet onions sell better than regular onions.They are going out the door pretty fast.When they go on sale, we can’t keep themon the table.”

Mark Carroll, a produce store manager ofLos Angeles, CA-based Gelson’s-MayfairMarkets, agrees, “I haven’t seen a downturnat all, given the economy.”

OVERALL MARKET OUTLOOK

Before detailing specific merchandising

advice, an overview of the sweet onion cate-gory and what to expect for 2009 is helpful.The overall outlook is good, but there arestill a few cautionary suggestions.

“With the economy the way it is, it wouldseem that there would be more pressure onsweet onion pricing and premium productsin general,” says Richard Pazderski, directorof sales and marketing for Bland Farms LLC,out of Glennville, GA. “However, we havenot seen this trend. The markets seem to beoperating normally with respect to supplyand demand.”

Not to mention, “Onions, potatoes andcarrots pretty much hold their own,” statesHerndon. The sales of Peruvian and Mexi-can onions are stable. Retail buyers agreethat the market is staying strong for theseitems,” most likely because they are basicand popular ingredients in many recipes.

Keystone’s Borer further explains, “Saleshave swung away from the restaurant to theretail side.”

Senior vice-president of fresh sales, RickAlcocer, of Duda Farm Fresh Foods Inc., inOviedo, FL, offers a slightly different pointof view. “The category continues to growand remain strong, but competition has cer-tainly limited FOB price,” he remarks. “Costcontinues to escalate, so there is a chancethat growers will limit supplies if they arenot able to recuperate their cost.”

However, some growers believe it’s tooearly to predict what the crop will look likefor the 2009 season, let alone try to guess atpricing. “I think we are still a little early tobe determining crop size,” admits John Shu-man, president and director of sales for Shu-man Produce Inc., based in Reidsville, GA,which offers year-round supplies of sweetonions. “That said, we certainly have a pic-ture of the crop in our mind. It feels veryclean — high-quality and disease-free — butit’s simply too early to predict pricing.”

Herndon agrees, revealing, “We haven’teven spoken with the industry in detail

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about pricing. We’re hoping to be at $20 or$25 for a 40-lb. unit, but at this point, it’s tooearly to pin down a specific price point.”

Bob De Bruyn, president and owner ofDe Bruyn Produce Co., based in Zeeland,MI, states, “Onions are not part of an elasticeconomy,” meaning onion prices don’tchange rapidly with the market. For exam-ple, lower costs of fuel freight now are stillcalculated against the higher cost of fuel andfertilizer when they were planted.

Year-round availability also has an effecton pricing. Brian Kastick, general managerfor OsoSweet Onions/Saven Corp., inCharleston, WV, points out that when onionsare imported, they are more expensive. Forretailers to maintain more consistent pricesand quality, he suggests they commit to aprogram with a company that can follow aproduct from seed to seed-bed to storage toshipping. While retail buyers may run into ashipper with a great one-time deal based onan overproduction somewhere, that shippermay not be around when the store is experi-encing a short. A program will keep producton the shelves consistently.

Derrell Kelso, Jr., president and chiefexecutive officer of Stockton, CA-basedOnions, Etc. Inc., adds, “The year-roundaffect on price has made the highs a little

higher, and the lows a little lower, but likeanything else, it goes in cycles.” It alsodepends on varieties and brands. OsoSweet,for example, stays high. They pre-sell, andKelso notes there is no fluctuation at all.

Matt Curry, president of Brooks, OR-based Curry & Co Inc., discusses the impactof availability. “Pricing continues to bereflective of the supply of sweet onionsavailable. This winter, the sweet onion mar-ket was very good. That’s mainly becausePeruvian and Chilean sweet onions were inshort supply. There is still good demand,even during these tough economic times forthe right amount of supply.”

Shuman admits that pricing is a sensitiveissue right now, “but Vidalias are going toremain a bit more expensive than othersweet onions. It costs more to grow aVidalia. The Granex varieties are moreexpensive and yield less crop, but that iswhat produces the sweet, mild flavor profileour consumers expect. As a result, we incura higher price per unit than other onions,”he explains. “Not to mention, the area itselfis a challenge. There is such an excess ofhumidity in Vidalia that as an industry, wehave had to adopt certain cultivation prac-tices. I believe, as an industry, we havedone an excellent job in working with these

challenges, but taken together, they lead tohigher input costs.”

Like with Peruvian and Chilean onions,Maui onions are also short this year. Weath-er had the most impact, explains KarenCaplan, president of Frieda’s Inc., in LosAlamitos, CA, but also fuel costs because theonions must be flown to the continentalUnited States. This left sales “not as great asthey could be.”

PROMOTIONAL PRESENCEFor retailers, a lot of sweet onion ship-

pers, growers, and interest groups makematerials available to help retailers promote

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Vidalias are among the most recogizedvarieties of sweet onions.

http://www.hendrixproduce.com

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Opportunity In Economic Strife

It’s hard to find communication that doesn’t reference the shakyeconomy and how it affects whatever is being discussed in a neg-ative manner. But does it always have to be negative? What good

can be made of the situation? Let’s look at some of the silver liningwhen it comes to sweet onion merchandising.

Steve Roberson, president of Hazelhurst, GA-based RobersonOnion Corp. states, “There is always opportunity in adversity.” One ofthe things he offers is to “advertise the effective cost per serving of aVidalia onion.” By showing the calories and nutrients in a serving,and then putting a price on the serving, the consumer can see exact-ly what the value of the product is. “It’s a gourmet item with a highprice point, but the price difference between a regular onion and aVidalia onion is insignificant. It’s not a staple item, but the cost isvery little to have a gourmet option.”

According to Brian Kastick, general manager of OsoSweetOnions/Saven Corp., in Charleston, WV, people are eating more pro-duce and more raw food as they begin to eat at home more fre-quently. For those who cook at home, “whether it’s a fancy steak ormacaroni and cheese, a sweet onion adds volume and flavor with-out costing much. You can use onion not only as an accent to ameal, but also as a vegetable portion.”

One of the problems with this economic market, however, pointsout Bob De Bruyn, president and owner of Zeeland, MI-based De

Bruyn Produce Co., is that people’s psychology is very tuned intosales, but at the same time, it’s been dulled. They expect everythingto be on sale, so they won’t buy unless they perceive an especiallygood sale or good bargain. “Sales have lost the ‘got to run and get itbecause it’s on sale’ urgency. People just expect sales. They’re notspecial anymore.”

A chance to test different packaging is another opportunity thatmany companies are exploring. Matt Curry, president of Curry &Company, in Brooks, OR, explains, “I am currently seeing retailersstrategizing to create value packs for the consumer. Depending onthe price point of the packaged sweet onion, they want to promotevalue to the consumer. Retailers are considering different pack sizesthat they would not normally consider in order to create categorygrowth.”

Chris Eddy, director of sales for Frontera Produce Ltd., in Edin-burg, TX agrees, “Every shopper is looking for value. If that means a5- or 10-pound bag of sweets, we provide that. It can last all weekrather than just a few days.”

“In the end, it’s all about value,” summarizes Keystone Fruit Mar-keting’s Dan Borer. “There’s a higher retail ring, but people will paymoney to get the results they want. Even though the ring is higher, itdoesn’t mean it’s not a good value — in fact sweet onions are a bet-ter value.” pb

and sell more onions. The research and pub-lic relations moves can help at the retaillevel or be aimed directly at consumers in

order to boost sales, as well as product andbrand awareness.

A very active force in promotions is the

Vidalia, GA-based Vidalia Onion Committee(VOC). Wendy Brannen, executive director,shares many 2009 projects. First, based on

Reader Service # 10

http://www.realsweet.com

Creative Cross-

Merchandising

Seasonal promotion offers thechance to show consumers howwell sweet onions work with

grilling and summer holidays. Theseitems alone offer a wide array of crosspromoting: meat, peppers, mushrooms,potatoes and bagged salads. However, alittle imagination among retail execu-tives can take cross-promoting evenfurther.

Dionysios Christou, vice presidentof marketing for Coral Gables-basedDel Monte Fresh says, “Sweet onionsoffer many cross-merchandising oppor-tunities because they can be combinedwith so many different items, especial-ly in the produce department. By cross-merchandising, retailers have theopportunity to not only increase salesof sweet onions, but also sales of relat-ed products. We recommend cross-mer-chandising onions with other DelMonte products, such as avocados,tomatoes, peppers, packaged salads,fresh basil, garlic and dressings.”

Dwayne Smallwood, produce man-ager for Okie’s Thriftway, reveals, “Wecapitalize on Walla Wallas when theyare in season by tying in Concordonion ring mix.”

Rick Alcocer, senior vice-presidentof fresh sales for Duda Farm FreshFoods Inc., in Oviedo, FL, says,“Casseroles are back as people aretightening their belts. Cross-merchan-dise all the ingredients for a casserolewith each component displayed togeth-er near the front of the store. Includerecipes for the casserole.”

“Try a Hawaiian Day,” suggestsKaren Caplan, president of Los Ange-les, CA-based Frieda’s Inc. “Tie in alltropical fruits, along with Hawaiiansweet potatoes and Maui onions.”

“In Europe, the ingredients for a meal are all laid out in a basket with recipe cards,” notes Brian Kastick, general manager for OsoSweetOnions/Saven Corp., in Charleston, WV.

Cross-merchandising doesn’t alwaysrequire moving items around the store.A detailed flyer, advertisement or sig-nage can suggest cross-merchandisingto customers, as well. pb


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promotion. “Two and a half million 2-literA&W bottles will have a neck dangler withrecipes and coupons related to Vidaliaonions,” details Brannen.

OsoSweet onions also employ celebritychefs to help promote sweet onions. Kasticktalks about “Cheffy Baby,” who has doneseveral videos for the OsoSweet Web siteand has also appeared on national televisionstations across the United States offeringrecipes that use OsoSweet onions. It’s a softsale that highlights the sweet onion’s uniqueflavor and shows consumers how to use it.

Jessica Peri-Cummings, a salesperson at

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consumer feedback, three cities will be tar-geted with aggressive promotions: NewOrleans, LA; Nashville, TN; and New York,NY. Retailers in these cities can expect visitsfrom celebrity chefs, in-store demos, prod-uct crossovers and a lot of attention to boostbrand awareness. On top of that, New York-ers will also see Vidalia teamed up with theNational Watermelon Promotion Board.Together, they will distribute recipes, suchas Vidalia and watermelon salad, and coop-erate to boost each other’s sales.

Additionally, VOC is working with A&WRoot Beer for a nationwide Fourth of July



www.plantationsweets.com

Peri & Sons Farms Inc., headquartered inYerington, NV, describes how the companypromotes its onions to its target demograph-ic. “We have associated a cute, fun characterwith marketing our Sweetie Sweet Brand inorder to relate to moms and kids,” saysCummings. “The idea is to grab their atten-tion with the character in order to increasetheir purchase decision.”

In addition to large-scale, nationwideprograms of direct-to-consumer marketing,many companies support retailers by offer-ing free promotional materials, such as ban-ners, POS information, recipe cards and sig-nage. Most of these items can be obtainedeasily from Web sites or requested from themarketing department.

THE POWER OF BRANDINGThe effect of much of this outside pro-

motion is brand demand. When it comes tosweet onions, there are definite brands thatare not only recognized by consumers, butsought out, such as Vidalia, Walla Walla, OsoSweet, Texas 1015 and Maui. Retailers canplan marketing campaigns based on thesebrands to spark excitement, draw on famil-iarity and illustrate the value of the higherprice points associated with these specialonions. The power of this branding shows

itself in sales figures.“With sweet onions available year-round,

we have not noticed the price of our morewell known varieties being affected,”remarks Pazderski of Bland Farms. “On thecontrary, when the well known varieties areavailable, most people are willing to pay alittle more for them because they know thatthey are buying a product that has shownconsistency through the years where sweet-ness is concerned. The lesser known vari-eties or those that don’t have a proven trackrecord do typically trade lower.”

Brannen of the VOC adds, “Three out offour consumers, without prompt, nameVidalia as their favorite sweet onion.” Shefurther illustrates the importance of brand-ing by using herself as an example. “I mayforego a lot of things, but I will still buy Tideand I will buy Heinz ketchup,” she disclos-es. “We think there is enough brand loyaltywhere we’re not too concerned this yearwith the economy.”

Many varieties, such as Vidalia, Texas1015 and Walla Walla, have a following and areputation that, if marketed, can reallyexplode. Barry Rogers, president of theSweet Onion Trading Corp., in Palm Bay,FL, shares an example, “We had some beau-tiful South American onions; they looked

perfect. But Vidalia season started, and thatended the season for the South Americanonions. People just wanted the Vidalias.”

Carroll of Gelson’s states, “We usuallymarket per variety. If it’s Vidalia, we’ll makesure to note that.”

Furthermore, many of the brands areonly around for limited seasons. This short-er availability helps create an urgency todrive customers to purchase these sweetonions, while they’re still around.

‘ T I S THE SEASON OF SWEETIn addition to buying specific sweet

onions while they are in season, retailerscan also expand the idea of seasonality bydrawing on the symbolism of certain brands— such as spring and summer for Vidalia orWalla Walla. Furthermore, the spring, sum-mer and holiday seasons offer their ownways to promote sweet onions.

Shuman Produce’s John Shumanremarks, “Vidalias carry serious brandrecognition and still bring excitement to theproduce department. Retailers can takeadvantage of the fact that these onions are aspring crop and really promote outdoorgrilling and fresh eating ideas. They go greaton a burger or in a salad.”

“Sweet onions are a sign of spring; mer-


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Sweet Integrity

More than the economy, the greatest enemy to maintainingthe premium price point of sweet onions is the lack of con-sistency in flavor and sweetness. As the category grows

with more varieties, it becomes harder and harder to maintain quali-ty. Furthermore, less scrupulous people may mislabel cheaperonions for a higher price point.

Jessica Peri-Cummings of Peri & Sons describes, “One majorproblem I have seen is that imposter sweets are quoted alongside oftrue sweets, which negatively impacts the price. There are manyshippers that don’t care about the integrity of the sweet onion cate-gory and will sell their Spanish yellows in a carton and put a sweetonion sticker on it in order to get a higher return. Sweet onions arecostly to produce and store, and truly should get a premium if theyare the real deal!”

“People need a realistic picture of a sweet onion,” says Kathy Fryof the Walla Walla Sweet Onion Commission. “It should taste like asweet onion.” When there are a variety of sweet onions, there canbe a wide range of taste, and often the taste is still pungent with ahigh Pyruvic acid despite the sweet flavor.

While the season for sweet onions as a category has stretched toyear-round, different varieties have different seasons. However, theproblem with the stretching to year-round is that the more varietiesexist, the wider the range of consistency. There is more variation, sothere is a higher chance of the quality not being so consistent, andthis variance does affect pricing. If there is more of a chance for a

consumer to have a poor eating experience with the lack of consis-tency, that drives down the price points.

To insure against lower quality, many groups are working withthe Collins, GA-based National Onion Labs Inc., a third-party organi-zation that certifies sweet onions.

“The challenge we have as suppliers of fresh produce is inconsis-tency,” says Dan Borer of Keystone Fruit Marketing. “Once a con-sumer finds what they like, it’s a challenge to get it every time. Oneway to ensure sweet onion consistency is certification.” Though it’simpossible to test every onion, “It’s a better opportunity for consis-tent sweetness.” In fact, certification can be an added promotion forstores to ensure higher customer satisfaction and the value of thehigher rings for sweet onions.

Barry Rogers of the Sweet Onion Trading Co. agrees that certifi-cation helps ensure better tasting onions year-round. “A certificationprogram is a way to get repeat business. Make sure it tastes sweetevery time. Run promotions for certified sweet or certified extrasweet. It’s a way to draw extra attention to the category.”

Oviedo, FL-based Duda Farm Fresh Foods Inc. also supports certi-fication programs. Rick Alcocer, senior vice-president of fresh sales,notes, “Each producer or marketer of onions has a different interpre-tation of a true sweet onion. Independent, third-party certificationthat tells the retailers, and thus the consumer, that the onion truly issweet, and a distinct sticker or notification that the consumer canidentify truly sweet onions.” pb

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http://www.ososweetonions.com

chandise them like that,” suggests ChrisEddy, director of sales for Frontera ProduceLTD., headquartered in Edinburg, TX. “Peo-ple are looking for them, and looking for thechange of season.”

Rogers agrees, “Vidalia onions come outwhen it’s time to promote barbeque, duringthe spring and summer. It’s time to expandthe SKU and shelf space. It’s time to pro-mote happiness.”

Onion Etc.’s Kelso adds, “In March, it’s St.Patrick’s Day, and you can display sweetonions as ‘a taste of spring.’ In April, thereare two weeks of Christian and Jewish holi-days to promote.”

On the other side of the calendar, Kastickof OsoSweet offers, “In the winter, we sendsome onions in their wooden crates. It’s agreat marketing tool because you can builddisplays with them.”

REC IPE FOR SUCCESSOne of the keys to marketing sweet

onions is to include recipes, so consumersknow why these items are being cross-mer-chandised. Even if a store isn’t activelycross-merchandising, including recipe cardswith the sweet onions helps sales by lettingthe customer know what can be done withsweet onions.

Sweet Onion Trading Corp.’s Rogers dis-covered the power of recipes when therewas a lot of resistance to changing packag-ing. Many didn’t want to change the packag-ing because it would cover up the onions.However, with the change, “When we start-ed putting recipes on the labels, we receiveda great deal of consumer feedback. Manypeople had an interest in the sweet onionrecipes,” he notes.

The VOC is also dedicated to providingrecipes, which is accomplished throughcelebrity chefs and in-store promotions, aswell as through the VOC’s Web site andnewsletter. Retailers and consumers, alike,are welcome to download delicious recipesfor Vidalia onions.

“I think that it’s best to approach thisfrom a culinary standpoint by offering dif-ferent recipes at the store level that callspecifically for sweet onions, where thesweet onion is actually needed to add a spe-cific flavor to the dish,” maintains Pazderskiof Bland Farms.

“This could be easily accomplished withnew, exciting salads that require fresh, fla-vorful onions that really have something toadd to the dish other than texture,” Pazders-ki continues.

Herndon of L.G. Herndon agrees. “Anytime you have a great looking display withrecipes nearby, it gives people an idea.They’ll pick up a few onions and build that

recipe around them.”

DAZZLE WITH YOUR D ISPLAY

Simple but effective merchandising canalso be done with sweet onion displays.

“If people are walking in the store andsee sweet onions with a great in-store pro-motion, you don’t need to advertise,” saysOnion Etc.’s Kelso. “If they are just sittingunadorned in the potato and onion aisle, it’snot a draw. Always have big displays, espe-cially on holidays.”

Steve Roberson, president of Hazelhurst,GA-based Roberson Onion Corp. agrees,

“People want sweet onions. Give them aprominent, attractive display that’s easy tosee.” He also adds, “Make Vidalias the mostprominent attraction — anything that putsthe Vidalia name out there so customersknow it’s there. Customers want Vidaliaonions, but often, they just don’t see them.”

Kathy Fry, director of marketing for theWalla Walla Sweet Onion Marketing Com-mittee in Walla Walla, WA, also discusses theimportance of drawing customers to thebrands they are loyal to and displays high-lighting limited availability.

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plays,” says Fry. When you’re paying a littlemore, you should try to display, ‘Walla Wal-las have arrived!’”

“I like to see supermarkets put emphasison sweet onions by allotting a little largerarea for the product and creating large dis-plays to generate excitement about the cate-gory,” says Pazderski. “For us, bin promo-tions have proven to be very successful atthe store level. With bins, it’s just easier tocreate some separation for the product andget it into a higher traffic area than the nor-mal location on the produce shelf.”

“It’s a sensory perception market, somarket to the senses,” suggests Kelso. Theconsumer needs to perceive the value of theonions, and that doesn’t necessarily requirediscounts. “Aggressive pricing doesn’t buildsales; you just have people buying cheap,”he points out. “The grower gets rid of theproduct, but doesn’t make money. Whatworks really well are large displays at fairvalue, not necessarily on sale.”

When building the display, there aresome basic care points to keep in mind, too,as produce manager for Okie’s Thriftway,Dwayne Smallwood, points out. “There is ahigh water content, so it’s much easier tobruise the onions, and they are a little moreperishable. Stay on top of them, becausedamaging is very easy.”

VOC’s Brannen agrees that the key to dis-plays is the combination of a lot of tried andtrue information, such as rotating out badproduct, keeping things fresh and communi-cating to customers.

SWEET EDUCAT IONAn important part of merchandising to

increase sales on premium products is edu-cation. If a customer is going to buy some-thing with a higher price point, he or sheneeds to know why it’s worth the extramoney. In fact, education is Duda FarmFresh Foods’ Alcocer’s favorite way to mer-chandise sweet onions, especially “makingconsumers aware of the health benefits ofonions,” he remarks. “Shelf-talkers displayedby the onions can show what each type ofonion contains and how it is a healthfuladdition to meals.”

When creating the perfect display, edu-cational materials are important elements toinclude. Dionysios Christou, vice presidentof marketing for Del Monte Fresh, head-quartered in Coral Gables, FL, explains,“POS material can enhance onion displaysand retailers can put up small signagearound the product describing the healthbenefits, nutritional information and properhandling instructions. We also encourageretailers to use information brochures, price

cards and onion recipe cards to attract andeducate consumers.”

Cummings of Peri & Sons suggests“retailers help educate consumers on everyonion flavor profile — whites, reds, Spanishand sweets — to increase onion purchases ingeneral. Consumers need to know whichonion to use for certain recipes to enhancethe flavor.”

Caplan of Frieda’s also points out theimportance of education when it comes toMaui onions. “When people — especiallythose on the West coast and when they areon vacation — have Maui onion rings, theyare fascinated with the flavor profile, so pro-mote that Maui onions are from Hawaii,which makes them different from sweetonions grown in Georgia or Texas.”

The category of sweet onions is alreadystrong and has a solid consumer demand,even in a less than solid economy. Further-more, growers, shippers and even categoryorganizations dedicated to sweet onion vari-eties, such as Vidalia, Texas 1015 and WallaWalla, consistently work hard to promotesweet onions directly to consumers. Withhigh demand and the existing support,retailers need only use a little creativity andeffort to make the most of this premiumproduct and enhance the profits it brings tothe department. pb

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MERCHANDISING

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MERCHANDISING

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10 Ways To Sell More TomatoesProper display techniques, variety and frequent promotions will encourage tomato sales.


It wasn’t long ago that if you needed atomato, there weren’t too many options.Today, supermarkets carry an averageof 10 to 12 different varieties. Thisexplosion of choice has transformed the

category into a major profit center and onethat represented a 6.7 percent dollar contri-bution to produce department sales for the52-week period ending November 29, 2008,according to statistics supplied by The Per-ishables Group Inc., in West Dundee, IL.

Mike Kemp, director of perishables forSt. Louis, MO-based Save-A-Lot Ltd., notes,“Tomatoes are probably the No. 3 categoryfor us in terms of produce sales and profits.That’s because they’re an item most con-sumers don’t buy by themselves, but alongwith other ingredients to make salads, sand-wiches and salsas.”

1 . FEATURE ROMAS , F I ELD-GROWN & V INE -R IPES

The anchor of the tomato category atSave-A-Lot, says Kemp, “is the Roma. It’sgreat for all consumer groups from Anglosto Hispanics, and for everything from saladsto salsas. For us, the plain, round, fieldtomato is second.”

According to Perishables Group data forthe 52-week period ending November 29,2008, Roma tomatoes represented a 13 per-cent dollar and 22 percent volume contribu-tion to produce department sales, whilefield-grown tomatoes represented a 19 per-cent dollar and 20 percent volume contribu-tion. Together, these two varieties make upalmost one-third of tomato category dollarsand nearly half of its volume.

Mark Munger, vice president of market-ing for Andrew & Williamson Sales Co. Inc.,

Supermarkets carry an average of 10 to 12 different varieties of tomatoes.

headquartered in San Diego, CA, knows thecurrent economic downturn is presenting asales challenge for higher-priced items inthe category, but views it as a boon for basicfield-grown, Roma and vine-ripe tomatoes.“We’ve seen a fairly significant increase insales of the staples — Romas and largerounds — and this has played well for us.”

Chris Cunnane, director of tomato salesfor Philadelphia, PA-based Procacci Bros.Sales Corp., agrees and adds, “I’ve seen adirect correlation over the last severalmonths with the worst economic news andits effect on value-added tomato sales. Con-sumers are falling back to a comfort zoneand this has invigorated sales of Romas andround field tomatoes.”

Field-grown tomatoes are indeed per-ceived by customers as a value, according to

Samantha Winters, director of education andpromotion for the Florida Tomato Commit-tee (FTC), based in Maitland, FL. “Retailersshould work with their customers’ naturaltendency to seek out value and spend theirsavings at the gas pump on fresh produce bystocking ample supplies of field tomatoesand displaying them front and center.”

2 . MAKE HOTHOUSE -GROWN TOMATOES A CATEGORY STAPLE

Peter Kroner, director of business devel-opment for Eli & Ali’s Love Tomatoes, head-quartered in Brooklyn, NY, believes the sta-ple of the hothouse-grown tomatoes “is thecluster or tomato on-the-vine (TOV). It dri-ves the category.”

TOVs are the best sellers at Metropolitan


Last year, BC Hot House Foods Inc.,headquartered in Langley, BC, introducedTomato Gems, a mix of different varieties ofgreenhouse-grown, small tomatoes packagedin a 10-ounce clamshell. Senior director ofmarketing Craig Laker, explains: “Our maingrower tested over 70 different varieties and

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“We’ll carry as much

and as many

heirlooms as possible

in the summer. We’ll

display educational

signs to describe

each one’s flavor

and entice customers

to try all the

different types.”

— Ed Laster Metropolitan Markets

stabilized at a lower category share thanthree years ago. That being said, there aresome exciting new beefsteak varieties in themarket, such as our beef-on-the-vine prod-uct, that are showing good prospects forgrowth. It’s a nicer looking, better-tasting,longer-lasting product than most consumersassociate with beefsteak.”

Jay Colasanti, co-owner of Red Zoo,headquartered in Ruthven, Ontario, notes,“There will always be a place for largertomatoes. However, the beefsteak tomatohas given way to the more flavorful, smallervarieties. Over the last three years, therehave been several new varieties of cocktailtomatoes that are surpassing the originalmarket leader in several categories, primari-ly taste. But every bit as important as taste isthe fact that the new varieties have betteron-the-vine presentation, and a longer shelflife as well.”

Grape tomatoes are becoming very com-monly grown in protected farming environ-ments, Colasanti adds. “These products aremuch more consistent in size, quality andtaste than open-grown greenhouse grapetomatoes, and they are less affected by radi-cal weather conditions. There are currentlyhundreds of acres of greenhouse-growngrape tomatoes throughout Jalisco, Mexico.”

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Markets, an upscale six-store chain based inSeattle, WA. “It’s our mainstay tomatobecause they’re consistent year-round in fla-vor, quality and availability,” asserts producespecialist, Ed Laster.

At Bigg’s, an 11-store chain in Milford,OH, produce director, Marvin Lyons, adds,“We see a lot more interest in the hothousetomatoes today. TOVs are big for us. Actual-ly, any TOV sells well, including the Romasand Camparis.”

While TOVs are not among the core 52-week offerings at Save-A-Lot, “We’ll bring inhothouse varieties throughout the year, andit is flavor that drives this category, evenmore so than price,” says Kemp.

According to Perishables Group data forthe 52-week period ending November 29,2008, hothouse TOVs represented a 30 per-cent dollar and 27 percent volume contribu-tion to produce department sales, while hot-house round tomatoes represented a 12 per-cent dollar and 12 percent volume contribu-tion. Together, these two varieties make upnearly one-half of tomato category dollarsand over one-third of its volume.

As for beefsteak tomatoes, Dwight Fergu-son, chief executive officer of Wilcox, AZ-based Eurofresh Farms, remarks, “If they’renot still declining, then they have at least


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found 10 he thought tasted excellent. Theseinclude cherry, grape and cocktail tomatoesin red, yellow and orange. On average theypossess a Brix of nine or 10, so they’reincredibly sweet.”

On the horizon, a seedless, hothousetomato may be available to retailers in thenext one to three years, maintains DougHeath, a fresh market tomato breeder forSeminis Vegetable Seeds, based in WoodlandHills, CA. “These offer consumers threemain attributes. First, they’re a novelty. Sec-ond, their flavor is outstanding. Third, thereare people with digestive disorders whocan’t eat seeds. This has prevented themfrom enjoying tomatoes, but they can eatthis product.” Heath adds, “The seed hasbeen available to the home gardener for acouple of years. It’s featured in Burpee’s2009 catalog. We’re now at the stage of work-ing through the greenhouses to get it intocommercial circulation.”

3 . MARKET SNACKABLEGRAPE AND CHERRY TOMATOES

Snacking tomatoes, which include cherryand grape tomatoes, represented a 26 per-cent dollar and 19 percent volume contribu-tion to produce department sales, according

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Education is necessary for consumers to understand the allure of varietals.

to Perishables Group data for the 52-weekperiod ending November 29, 2008.

At Metropolitan Markets, Laster reveals,“We carry as many as 10 different varietiesof cherry tomatoes — red, yellow, orange,teardrop, pixie, hybrids — depending on theseason and line-price them. They each have

a different flavor profile, as well as add colorand interest to the display.”

Cherry or grape tomatoes “are one of ourcore 52-week-a-year items,” says Save-A-Lot’sKemp. We alternate between the twodepending on the market. For example,grape tomatoes have recently been short

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and expensive so we’ve been carrying thecherries until the market settles down forthe grapes.”

Ed Angrisani, co-owner and partner atTaylor & Fulton, in Palmetto, FL, remarks,“In many markets, cherry tomatoes havefallen by the wayside in favor of grape.”

According to data provided by HoffmanEstates, IL-based FreshLook Marketing LLC,grape tomatoes represented 18.1 percent ofthe dollar share of the tomato category forthe 52-week period ending January 29,2009, while cherry tomatoes representedonly 5.3 percent.

4 . ADD HE IRLOOMS TO THE MIX

Bigg’s Lyons remarks that heirloomtomatoes “are pricey and not really showinggrowth in our stores right now, but they doreally well in the summer at the peak oftheir availability.”

At Metropolitan Markets, Laster adds,“We carry as much and as many heirloomsas possible in the summer. We’ll displayeducational signs to describe each one’s fla-vor and entice customers to try all the dif-ferent types. Our best seller is a mixed boxof six or seven varieties.”

Robert Schueller, director of public rela-

tions for Melissa’s/World Variety Produce,in Los Angeles, CA, notes the significance ofstocking heirlooms at the right time. “Heir-loom tomatoes are available year-round, buttheir real season is June through Septem-ber. In the winter, they are more expensiveand not as colorful.”

Melissa’s markets a 10-pound box ofmixed heirlooms that all have the samePLU-number and a 6-ounce clamshell ofmixed, baby heirlooms. Schueller reveals,“We have seen double digit growth fromyear to year in this category in the past.”

Yet, heirlooms remain a niche item.According to data provided by FreshLookMarketing, native/home-grown tomatoesrepresented 1 percent of the dollar share ofthe tomato category for the 52-week periodending January 29, 2009.

“In the past year, the growth rate in salesof heirloom tomatoes has been 10 to 15 per-cent annually,” adds Schueller.

The economic downturn is undoubtedlyaffecting the sales of heirloom tomatoes.Procacci’s Cunnane admits, “In the summerof 2007, we got 50 calls in two hours for ablack heirloom tomato. We’re not seeingthat kind of demand now, due to the econo-my. To prevent this, some retailers havetemporarily reduced pricing on our

UglyRipes to $1.99 to $2.49 per pound in aneffort to recapture some of this movement.”

Chris Cervini, president of Lakeside Pro-duce Inc., based in Leamington, ON, notesthat “heirlooms are continuing to remainstrong in certain demographic areas becauseconsumers enjoy the taste and variety,” andthus don’t mind paying a bit more. “Howev-er, there are certainly areas that are tradingdown,” he adds.

Schueller believes consumers like to seeall the novel colors, shapes and sizes in heir-looms. Nonetheless, over 50 percent of salesare red varieties that look like a traditionaltomato. “To increase sales, it’s important toeducate consumers about how to differenti-ate the various types and how to use them,”he suggests. POS materials, such as signageand recipe cards, can accomplish this.”

5 . OFFER AN ORGANIC OPT ION

At Bigg’s, best-selling tomatoes, such asRomas, rounds and TOVs are offered inorganic, as well as conventional. “We do a lotof organic,” remarks Lyons. “In fact, organicproduce, including tomatoes, has its owndisplay area.”

Meanwhile, at Save-A-Lot, Kemp notes,“We haven’t brought in organic tomatoes yet,


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kept at their best, Christou notes. “Uponarrival, retailers should inspect productdates and package integrity. Tomatoes arebest when stored at temperatures between55° and 60°F, and it’s important to promptlyplace tomatoes in unrefrigerated displays orstorage to avoid extreme temperatures.Tomato inventories should also be checkedand managed constantly to ensure First In,First Out (FIFO).”

“During these challenging economictimes, it’s very important to maintain clean,high-quality displays,” adds Cervini. “Withconsumers being more conscious of theirpurchases, having the right quality produceon the shelf is key. We can’t give consumersa reason not to purchase our product by dis-playing poor produce.”

Chris Veillon, marketing manager forMastronardi Produce Ltd., headquartered inKingsville, Ontario, adds that at display,there should be “proper turnover so spoiledfruit is removed and only the best tomatoesare on the shelves.”

For customers, Munger suggests “placing‘Do Not Refrigerate’ signs within the display.We can do all we can to maintain propertemperature throughout the distributionchain, but if consumers put tomatoes intheir refrigerator, taste will be impacted andso can repeat sales.”

7 . G IVE CONSUMERS A PACKAGING CHOICE

Consumers like to touch and feel theirproduce. Alejandro Canelos, Jr., co-founderand chief operating officer for MelonesInternacional, headquartered in Nogales, AZ,believes this is why “bulk product still out-sells packaged.”

“However, consumer surveys suggestgrowing acceptance for clamshell or bag-packed product. I suspect more awarenessof food safety has contributed to this,” addsEurofresh’s Ferguson.

At Bigg’s, Lyons states, “I’m seeing morepackaging. For example, we carry a TOV in abag. The fruit stays on the vine better thisway. But then again, the bag is net, so theconsumers can still see and feel the product,as well as smell the aroma.”

Bulk displays are popular at MetropolitanMarkets. “Yet, the product dictates the pack-aging,” says Laster. “For example, the WestCoast tends not to like packaging, but con-sumers accept it to protect the product.”

At Save-A-Lot, packaging offers a mer-chandizing option. “When we get a goodprice on Romas, we’ll merchandize them in5-pound boxes,” reveals Kemp. “We’ll alsosell field-tomatoes in tray packs and grapeor cherry tomatoes in clamshells.”

Munger believes packaging also offers a

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because with limited space and SKUs, wehaven’t been able to justify carrying twosimilar items.”

Even though consumers may have fewerdollars in their pockets due to the economy,Andrew & Williamson’s Munger sees contin-ued growth of organics. “On the average, thecost is about 20 percent higher than conven-tional for an organic, field-grown tomato,” hesays. “It’s all about choice. People whochoose to eat healthfully are still going tobuy healthfully.”

Cervini agrees. “We are finding that trueorganic buyers will remain that way, as theyfeel they are getting a better quality andmore healthful product,” he reveals. “As forthe occasional buyer, if the retail price is notthat far off from the conventional tomatoes,they will more than likely make that switchto organic.”

6 . HANDL ING MANTRA :DO NOT REFR IGERATE

Dionysios Christou, vice president ofmarketing for Del Monte Fresh ProduceN.A. Inc., headquartered in Coral Gables,FL, underscores the significance of goodreceiving and handling practices as part of asuccessful tomato program. “There are sev-eral components retailers should follow andmaintain in order to make sure tomatoes are


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8 . DES IGNATE A D ISPLAY DEST INAT ION

Tomatoes are a destination category inthe produce department. At Save-A-Lot,there is a specific merchandizing method.Kemp explains: “Tomatoes are displayed ina 4x4-tier merchandiser with black shelving.Tonnage items, such as Roma tomatoes, areat the base of the display. More specialtytomatoes are set at eye level to garnerimpulse sales, while the top level isreserved for grape and cherry tomatoes.”

Red Zoo’s Colasanti notes, “Merchandis-ing tomatoes on a slightly sloped display

rack works well for best eye appeal, and bestconsumer selection. Display surface exten-sions or end caps bring a lot more attentionto the item for promotions.”

At Save-A-Lot, end caps and half-binslocated near the main tomato display, “areused for featured or ‘Hot Buy’ items,” dis-closes Kemp.

Metropolitan Market’s Laster details hismerchandizing techniques. “Within the dis-play, the percentage of space allotted toeach of the 20-plus SKUs we carry is dictatedby price, availability and what sells themost. Obviously, this changes and allows for


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direct communication route to the con-sumer. “We’ve missed telling the story of aproduct. For example, heirlooms were justthrown out there. Leverage packaging tocarry the story. Use it as a vehicle to edu-cate the customer,” he suggests.

On another point, Red Zoo’s Colasantithinks that some product focus has beenlost. “In the past, as an industry, we’ve puttoo much emphasis on our labels and wehave lost the product display completely.Our new packaging is all about very large,clear surfaces that expose the product, withminimal label area to cover the product,” heexplains. Our newest Amorosa packagingproved us correct with trial sales doublingper store over night. This proves two impor-tant scenarios: the packaging works andconsumers are subject to impulse purchas-ing decisions.”

Consumers continue to demand moreenvironmentally friendly and green packag-ing and look for this in their tomato packag-ing as well, says Christou. “By the end of2009, Del Monte plans to have introducedall of our new ‘Eat Healthy, Live Healthy’graphics for our tomato packaging, includ-ing new designs for the boxes and tags. Ourpromotions and packaging are strategicallyfocused on our ongoing healthy lifestylecampaign, which encourages consumers toincorporate more fresh fruits and veggiesinto their everyday lives,” he explains. “Thepackaging designs will show images of peo-ple engaged in healthful, fun-filled activitiesand give a fresh, new look to traditional pro-duce favorites.”

“With consumers

being more

conscious of their

purchases, having

the right quality

produce on the shelf

is key. We can’t give

consumers a reason

not to purchase our

product by display-

ing poor produce.”

— Chris CerviniLakeside Produce Inc.

http://www.aliforniatomatofarmers.com


a dynamic display from week to week.”Melissa’s Schueller recommends, “giving

heirloom tomatoes as much as 20 percent ofthe display space — front and center — per-haps in a basket, at the height of their avail-ability in the summer. These are a trendyitem that pulls customers in.”

When it comes to choosing what items tostock and display, Del Monte’s Christoumakes it clear the consumer comes first.“Successful retailers focus on addressing thepreferences and tastes of consumers in theirparticular market. Retailers should under-stand their demographics in order to stockthe tomato varieties that are in demand intheir region and showcase the productseffectively,” he explains.

“For example, it would benefit a retailerto promote Roma tomatoes in an area wherethere is a high concentration of Hispanicconsumers. However, those shopping at aclub store might prefer the lower-priced,round and Roma tomatoes, while those whocan afford to shop at pricier outlets maylook to the greenhouse tomatoes for appear-ance and variety,” Christou adds.

Norma Standerford, marketing and com-munication manager for Boise, ID-basedSyngenta Seeds Inc., suggests, “Use signageto tell time-starved consumers how they canuse each type of tomato in the display. Thisis a way to make multiple sales.”

Tomatoes, like other categories in theproduce department, are an impulse buy.“Consumers consider visual appeal to be animportant part of a quality produce depart-ment, so retailers should remember to keeptheir tomato displays clean and organized atall times,” stresses Christou. “POS materialwill enhance the display as well. Retailerscan put up small signage around the productdescribing the health benefits, nutritionalinformation and proper handling instruc-tions. We also encourage retailers to useinformation brochures, price and recipecards to their full potential in order to attractand educate consumers.”

9 . CROSS -MERCHANDISE Summer is a ripe time for cross-merchan-

dising tomatoes with other meal-makingingredients. At Bigg’s, for example, “We’ll putnet bags of grape tomatoes on clip strips bythe salads,” says Lyons. “Also, we’ll put large,round tomatoes over in the meat depart-ment next to the burgers.”

Similarly, “At Save-A-Lot, we’ll bringpackages of pre-cooked bacon into the pro-duce department to tie in with tomatoes andlettuce for a BLT promotion,” says Kemp.

Christou knows tomatoes offer manycross-merchandising opportunities becausethey can be combined with many different

items. “We recommend cross-merchandisingtomatoes with avocados, onions, peppers,fresh basil, garlic and dressings,” he sug-gests. “It can also be effective to cross-mer-chandise tomatoes with non-produce items,such as sandwich products, pastas, delimeats and mozzarella cheese.”

Eli & Ali’s Kroner notes, “We’ll do in-store demos with tomatoes, mozzarella andolive oil.”

Recipe cards are another way to makesales. “For example, a recipe for a tomatoand mozzarella salad automatically suggeststhe purchase of cross promotional products.You can take it a step further and offer a 10percent off coupon on the back of the card.A real out-of-the-box idea is to link this per-cent off to olive oil or balsamic vinegar sothat you create a bundled idea, cross-pro-mote the ingredients and assure that sec-

ondary purchase at the same time,” explainsVillage Farm’s Kling. “Now, to get reallyinnovative, the store can list its Web site onthe card and tell customers to visit for addi-tional recipes. The card can even list links toWeb sites of companion products and sellthis as an advertising opportunity to theother companies.”

10 . ADVERT ISE , PROMOTE ,REDUCE PR ICE

Bigg’s cycles through different varietiesof tomatoes in its ads each week, saysLyons. “This gets consumers to try some-thing they may not have usually bought.”

Different types of tomatoes are periodi-cally featured as ‘Hot Buys’ at Save-A-Lot.“We may bring in and feature a particulartomato for two to five weeks in a row, andthen not carry it for awhile. It’s all market

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Food Safety & Tomatoes

T omatoes — red round, red Roma,and red plums — were the first focusof the Salmonella St. Paul outbreak

last year. Even though this fruit was vindi-cated, it turned the spotlight even moresharply on food safety. This is a topic thattomato grower/shippers and state organi-zations have actively addressed.

Dan Edmeier, director of sales for King-dom Fresh Produce Inc., based in Donna,TX, notes, “Today, before you can even dobusiness, retailers want confirmation ofthird-party audit certification. Traceability isa hot button. But, to do it the way retailersand government want is difficult for manygrower/shippers due to the costs. The tech-nology is there, though.”

If you ask Chris Cunnane, director oftomato sales for Philadelphia, PA-basedProcacci Bros. Sales Corp., his company“can trace every grape tomato right back tothe farm or lot. We’re looking at traceabili-ty on PLU labels in the future.”

Florida was the first state in the countryto adopt a comprehensive food safety pro-gram with mandatory government inspec-tions and audits for tomato handling, pro-duction and packing. These Good Agricul-tural Practices (GAPs) and Best Manage-ment Practices (BMPs) were adopted asstate regulations, effective July 1, 2008.

Samantha Winters, director of educa-tion and promotion for the Florida TomatoCommittee (FTC), headquartered in Mait-land, FL, points out the program “includesannual registration of all packers andrepackers of tomatoes in Florida facilitated

by county extension offices, education,training courses and workshops on foodsafety practices and regulatory inspectionsand audits by state inspectors with theFlorida Department of Agriculture and Con-sumer Services.”

Ed Beckman, president of Fresno, CA-based California Tomato Farmers (CTF), anorganization that represents about 80 per-cent of the fresh tomatoes produced in Cal-ifornia, says, “We’ve established ‘The FreshStandard,’ a set of mandatory guidelinesthat are the most stringent for the produc-tion of fresh field tomatoes in North Ameri-ca. The guidelines focus on three areas:food safety/traceability, social accountabili-ty and sustainability, while CTF’s programfocuses on five primary areas: water quali-ty; soil amendments; environmental condi-tions and risks; worker health and hygiene;and harvesting, packing and shipping.”

Beckman adds, “These standards forfood safety have served as the foundationfor the new, second edition of the SupplyChain Guidance for Food Safety in FreshTomatoes that’s quickly become the stan-dard buyers look for when they are pur-chasing of tomatoes.”

“Our efforts with the Florida industryare to sync our respective program require-ments so that a single audit standard canbe used in multiple geographic regions,”says Beckman. A single audit, one by gov-ernment auditors, based on 100 percentcompliance, would improve the credibilityof auditing and reduce the time and cost ofmultiple, duplicative auditing.” pb

driven,” asserts Kemp. “This gives our con-sumers a chance to buy different things.”

Andrew & Williamson’s Munger agreeswith these approaches. “Core items don’tmake good advertising items. Consumersare already going to buy them,” he pointsout. “The best bet for incremental sales is topromote higher ring items, while still keep-ing ample space for the core items.”

While tomatoes are a year-round catego-ry, there are times during the year whencertain varieties are in greater demand thanothers. Del Monte’s Christou points out,“Most peaks occur right before holidays orevents like Thanksgiving, Super Bowl,Christmas and the Fourth of July. Romatomatoes, for example, have a higherdemand around Cinco de Mayo because ofthe growing Mexican consumer segment inthe United States, who might use the fruitfor salsas. Slicing tomatoes have a higherdemand during summertime events, suchas the Fourth of July, when barbeques are avery popular activity.”

The downturn in the economy makes itimperative to offer attractive promotionalprices at retail. Procacci’s Cunnane men-tions, “I’ve been out talking with retailersabout what I call If/Then ads, meaning Iask them what price we need to be in orderfor them to run, for example, a 2-for-$3grape tomato ad or vine-ripes at 99-cents perpound. It’s important to us to work withretailers in this way in order to get the unitsmoving again.”

Lakeside’s Cervini agrees on the impor-tance of promotions. “During tough eco-nomic times, consumers are looking fordeals. We find having promotions that offer2-for-$1 or something along this line worksreally well,” he suggests.

Tomatoes are rarely used as a loss leader.However, Cunnane discloses, “There was asmall chain in the West with a large Latinotrade that ran an ad offering five pounds ofRomas for $1. They lost money on the ad,but it accomplished the goal of bringing peo-ple into the store.”

To help bring retails down, Kronerasserts, “Suppliers need to create value. Forexample, we’ve taken tomatoes that havecome off the vine and packed them in bulkor in 12- or 16-ounce containers. This offersthe opportunity to retail a TOV by-productfor $2.99, rather than $3.99 per pound.”

With less people going out to eat inrestaurants and more people eating athome, it’s important to stress the value intomatoes, says Village Farm’s Kling. “Letcustomers know that spending money ontomatoes offers them not only good taste,but something for their health and well-being as well.” pb



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A p r i l 2 0 0 9 • P R O D U C E B U S I N E S S 105

MERCHANDISING

REVIEW

MERCHANDISING

REVIEW

Despite A Slow Economy, Melons Retain ValueSmart marketing techniques, new varieties and consistent product keep melons moving.

B Y L I S A L I E B E R M A N

With the way the economyis going, consumers aretaking a good, hard lookat everything they buy.That means produce —

like every other commodity — is going tohave to pull its weight. For some produceitems, such as melons, which cost less perpound than most fruit, this could turn out tobe a good thing.

Steve Martori, owner of Martori Farms,headquartered in Scottsdale, AZ, sees themelon’s glass as half full, even during atough economy. “Everyone is sensitive tothe economy and they’re going to be lookingwhere they can find the best value,” he says.“And when you’re looking from the stand-point of feeding a whole family and what apound of melon is going to cost, it’s going tobe very attractive to consumers.”

Recently, the National WatermelonBoard (NWB), in Orlando, FL, commis-sioned a study to show the value of water-melon. Compared to other fruits, such asstrawberries, which are $2.72 per pound,and clementines, which cost $1.32 a pound,seedless watermelons ring in at 32 cents perpound, while the seeded variety is only 26cents per pound — one of the cheapestfruits in the produce department.

Nationwide, watermelon sales are on therise. Retail sales increased from 1.1 millionpounds in 2007 to 1.3 million pounds in2008. Even sales for mini melons, whichaverage 80 cents per pound, increased from131 million pounds in 2007 to 134 millionpounds in 2008. Rob Everitt, produce man-ager for Greenlife Grocery, a three-store,full-service, natural grocery chain, based inAsheville, NC, thinks the weather has some-thing to do with it. “Once the temperaturegets above 80 degrees, people just crave it,”

he says. “It seems like we sell more water-melon every year.”

While melon sales overall are on the rise,sales of fresh-cut melons are declining. Cutmelon sales dropped from 286,000 poundsin 2007 to 284,000 pounds in 2008. Accord-ing to Stephanie Simek, marketing and com-munications manager for the NWB, “For thepast several years, fresh-cut sales wereincreasing because people were willing topay for convenience,” she says. “You wereeven seeing cut melon in conveniencestores like 7-Eleven, but some of that maybe changing now.”

Even though consumers may not be ableto pay as much for fresh-cut melons as inthe past, Martori knows consumers stillwant convenience. “Certainly, there’senough people out there who want fresh-cutand want the convenience, so package sizesmay drop to address the need for lowerprice points,” he explains. Rather than elimi-nating certain fresh-cut package sizes alto-gether, Martori plans to increase his overallmelon offerings in an effort to capture moremarket share. “I think in fresh-cut, whenyou have different customers with different

needs, you want to be sure you’re not miss-ing any sales,” he adds.

Brent Harrison, president of Al HarrisonCo. Distributors in Nogales, AZ, agrees thatit’s important to offer consumers a variety ofmelons. “Within the watermelon category,we carry seeded and seedless watermelons,as well as yellow flesh and mini melons,” hereveals. “Even though seedless melons havegotten more popular, I think it’s still impor-tant to carry the seeded variety becausethere are people out there — especially kids— who enjoy spitting the seeds out.”

NEWER , LONGER LAST ING VAR IET IES

In the past few years, cantaloupes andwatermelons have become a lot more versa-tile. There’s a plethora of cantaloupe vari-eties available at retail, including the Harpervariety, which has a longer shelf life andhigher Brix than many varieties, accordingto Lou Kertesz, vice president of FreshQuest Inc., based in Pompano Beach, FL.

Fresh Quest is in its second year of ship-ping Harpers from Arizona and Californiaduring the domestic season, and importing

Making melons a destination in the produce department will encourage sales.


them from Honduras and Guatemala duringthe off-season. Kertesz believes that in manyways, the Harper variety solves one of thetraditional problems that cantaloupes havehad, which has been lack of consistency.“For some people, the fruit may not besweet enough, or firm enough, or the colormight not be good enough,” Kerteszexplains. “Or it may be sweet enough, butstill not have good flavor. Those are thetypes of issues that prevent a good sale, butthe Harper variety has consistent flavor,Brix levels and a long shelf life.”

Milas Russell, Jr., president at Sandstone

Marketing Inc., headquartered in Yuma, AZ,is also selling a number of unique can-taloupe varieties, including the Hammimelon, which has a long shelf life and 14 to16 percent Brix. Russell also has anothervariety, which is best described as the“Superlope,” he says. “We’ve been offeringthis melon to fresh-cut processers for years.But now, we’re offering the melon to retail-ers, too because it has a very distinct flavorprofile. It also has such a long shelf life thateven after sitting on the shelf for four or fivedays, it doesn’t get that sunken discoloredlook,” Russell states.

While these types of melons requiremore handling than conventional varietiesand may cost a bit more at retail, Russellbelieves that most consumers are willing topay more for better taste. Another goodthing about these melons is that they havethin rinds and small seed cavities with veryintense colors and great flavor,” continuesRussel. “In the end, the consumer has a bet-ter eating experience, which translates intomore of a perceived value for consumers.After all, who wants to pay $4 or $5 for amelon that doesn’t have any flavor?”

Another company creating a new varietyof watermelon is Deerfield Beach, FL-basedAyco Farms. President Avi Nir began hisbusiness six years ago and specializes in theMiniMe — a personal, seedless watermelongrowing in popularity that range in sizefrom 3.5 to 6.5 lbs. “People are becomingmore familiar with it,” remarks Nir. “It has adifferent flavor profile, a bit crunchier witha higher Brix level, and there’s a consistencyin flavor.”

THE IMPORTANCE OFDEMONSTRAT IONS

Martori of Martori Farms also importscantaloupes with higher Brix levels and alonger shelf life from Central America. Oneof the challenges in selling these new typesof varieties is that they tend to have more ofa greenish background on the netting thantraditional cantaloupes do, which can beproblematic for consumers. “Consumershave been trained over the years to associ-ate that greenish background with fruitthat’s not as mature, but these new varietiesare different,” Martori explains. “They’regreener on the outside and they look morelike a honeydew since we clip the stems andthere’s no incision. But the color and the fla-

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— Steve DabichDulcinea Farms

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Reader Service # 91

When It Comes To WATERMELON…It’s All About Value & Versatility!!

A D V E R T I S E M E N T


VERSATILITYWatermelon shouldn’t be restricted to picnics, fruit platters, and buffet tables.

Watermelon’s versatility is astounding and it can be incorporated into variousproducts to be promoted to customers. Cross-merchandising opportunities andincremental sales of complementary items abound with this great fruit.

Its sweetness is an ideal pairing for spicy dishes. Flavors pairing well withwatermelon include fresh herbs like mint, salty foods (e.g., prosciutto, pancetta)and sweets like dark chocolate. Its crunchy, sweet texture can be incorporatedinto salads, salsas or desserts.

Watermelon’s versatility also appeals to its customer base. Watermelon isenjoyed by people of all ages – adults and kids alike enjoy the sweet flavorand fun presentations, so be sure to merchandise and promote to a widedemographic.

Not only is watermelon delicious, it also offers numerous health benefits.Low in fat and cholesterol-free, watermelon can be incorporated into healthybreakfast dishes and drinks or savory dishes – a big selling point for calorie- and health-conscious shoppers or diners.

Watermelon is the ultimate hydrator and has a vast nutritional profile,including high levels of the antioxidant lycopene, an excellent source of theimportant amino acid, citrulline, and is a good source of vitamins C, B1, B6and a source of vitamin A.

Top quality watermelon is available in the United States all 12 months of the year, includingfrom local growers around the U.S., from Aprilthrough October. Watermelon production followsthe summer sun, so starting in the south andmoving north, wherever your watermelons comefrom you’ll know that it was summer weatherwhen they were grown and harvested.

Although about 200 to 300 types are grown inthe United States and Mexico, around 50 are verypopular. Currently, the most common types are:

Red: Seedless, Round Seeded, Oblong

Yellow

Mini or Personal size

Orange

VALUEIn these tight economic times when consumers are looking for

value, watermelon is a tremendous deal. Retailers and foodserviceoperators can promote the value proposition of this beneficial fruit bylisting pricing on a per-pound or even per serving basis. Educating consumers on the real value will increase sales.

On a per-pound basis, watermelon is the cheapest item in the produce section. Additionally, 70 percent of a watermelon is edible and 30 percent is comprised of the rind. If the approximate cost of a 20 lb watermelon is $6.00, or $0.30/lb with rind, and you cut theentire watermelon into chunks, there would be 14 pounds of usablewatermelon which equals approximately 28 cups at $0.21/cup.

The rind can also be carved into a serving vessel or incorporated intoa centerpiece presentation. In some countries, pickled watermelon rindis a delicacy and can make an appealing condiment for a cheese plate.

The combined versatility, value and nutritional benefits of watermelon result in a great product at great value for the consumer. There are very few other products offering the expansive use at the

per-serving price of watermelon.

MAKE THE MOST OF THIS SEASON1. Promote value per serving or per pound

2. Showcase versatility – provide unique recipes

3. Add a health benefit to signage (change weekly) – see

watermelon.org for USDA-approved facts

4. Display ample variety

5. Cross-merchandise with items like chile peppers,

herbs, prosciutto or chocolate

6. Have a watermelon carving demonstration

7. Use promotional tools available from

watermelon.org retailer section

WATERMELON’S VALUE PROPOSITIONHere are some guidelines as to what the average watermelonwill yield:Wedges: The average 20 lb watermelon yields about 53, 6-ounce wedges, each 3/4” thick.Cups: There are approximately 11/2 to 2 cup servings per 1 lb.Yield by Percentage of Weight: 100% whole watermelon = 70% edible watermelon + 30% rind. For example, the average 20 lb watermelon yields approximately 14 lbs of edible fruit, leaving 6 lbs of rind.Cost per Serving: If the approximate cost of a 20 lb watermelon is $6.00, or $0.30/lb with rind, and you cut the entirewatermelon into chunks, there would be 14 pounds of usable watermelon which equals approximately 28 cups at$0.21/cup. If you cut the whole 20 lb watermelon into 2 lb slices, it is approximately $0.60 per slice.

A D V E R T I S E M E N T


The National Watermelon Promotion Board(NWPB) is based in Orlando, FL, and represents1,500 growers, shippers and importers. Throughresearch, communications and marketing initiatives, the NWPB is finding new ways to enhance market opportunities for farmers and promote the nutritional, culinary and convenience benefits of watermelon.

The National Watermelon Association (NWA)in Plant City, FL, has members in 30 states andCanada. The purpose of the Association is to promote the best interests of the WatermelonIndustry from production to consumption. NWAis constantly seeking improvements in the growing, grading, handling, transportation, distribution and sale of watermelon.

watermelon.org

http://www.watermelon.org

http://wwwwatermelon.org


vor on the inside are much more intensethan other melons.”

Since consumers are often unfamiliarwith new cantaloupe varities, Martori knowsthe best way to sell new melon varieties isto do in-store demonstrations, or to at leastdisplay wrapped, cut melons to show con-sumers what the fruit looks like inside.

Steve Dabich, director of sales and devel-opment at Dulcinea Farms LLC , headquar-tered in Ladera Ranch, CA, also likes theidea of in-store demonstrations. However, heknows they can be expensive, so Dulcinea iscontributing funds to help retailers withtheir sampling programs. “We feel that thefruit has to be tasted in order to sell well, sowe’ve hired an outside company to do somein-store demos for us,” Dabich says.

CONSISTENCY COUNTS Dabich notes Dulcinea also wants to pro-

mote its mini watermelons, since some ofthe newer melons are such an improvementover the older varieties. “We’ve made littlemodifications at the field level so that wehave sweeter, more consistent melons,”Dabich explains.

In addition to working with newer vari-eties, Dulcinea also switched its offshoreprogram from shipping product in contain-

ers from Central America to importing itfrom Mexico. “We’re doing more product outof Mexico because we get a turnaround timeof two to five days, reveals Dabich. “Whenwe were doing containers, it was more likefive to seven days.”

Dabich recognizes the importance of get-ting consistent melons into supermarkets.Now, more than ever, consumers need tofeel they’re getting what they pay for, heremarks. “The general consensus amongconsumers is that they want to make surethey are getting a good value. Perceivedvalue, which is quality as well as price, iseven more important than it was a year agobecause of the economy. If you disappointthe consumer on the quality of a melon forone sale, you’ve lost a repeat customer,”warns Dabich.

COUPONS AND PROMOTIONS

Since consumers are so much more priceconscious these days, more people seem tobe taking the time out to use coupons. Dul-cinea Farms is taking advantage of this fact.“We’re putting more coupons out next to ourmelon displays,” reveals Dabich.

Jerry Johnson, national brand managerfor Sundia Corporation, based in Oakland,

CA, is taking it one step further. Instead ofputting coupons only on melon displays,Sundia is affixing coupons directly on thewatermelons themselves. “The watermelonis the Nascar of auto racing,” Johnsonremarks. “Out of the entire fruit and veg-etable category, there is so much room toput stickers on watermelons.”

Last year, Sundia embarked on a jointpromotion with SC Johnson’s Ziploc. “Weput stickers on watermelons with couponsfor Ziploc, and the consumers were able topurchase the melons and receive discountson any Ziploc purchases. The promotionalso worked the other way, too, where if youpurchased two Ziploc products, you’d get adiscount on a watermelon. We got a greatresponse to that because either way, theconsumer was saving,” explains Johnson.

Johnson believes the idea of doing jointpromotions with watermelons and otherproducts is beginning to catch on with retail-ers throughout the country. “You see retail-ers out there who will do whole picnic orbeach displays in the melon section wherethey might set up teak outdoor furniturewith an umbrella and display products you’dnaturally pick up for a picnic in addition towatermelon, such as paper cups, napkinsand disposable plates,” says Johnson.

Martori of Martori Farms suggests retail-ers that want to increase melon sales shouldhave at least 50 melons or more on display.“The more the better,” Martori says. “If youhave watermelon, you should at least have afull bin of seedless and a full bin of seeded.With cantaloupes, you want to have half adozen cartons on display, and if you havevariety melons, it’s better to have two vari-eties with 10 or 15 melons of each varietythan to have a bunch of different varieties

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Steve Martori of

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http://www.groweralliance.com

with only one or two melons each.” Ultimately, one of the best ways to sell

melons is to make them a destination pointin the produce section. “When you havecantaloupes, honeydew and watermelon indifferent locations of the produce aisle, youdon’t do as well as when you have them inone location. You want to have them all inone place — the same way you have citrusin one place,” suggests Martori.

S IZE MATTERSIn order to maximize melon merchandiz-

ing effort, produce departments need to cre-ate as large a display as possible without giv-ing up too much linear shelf space. Often,retailers hesitate to create a large displaybecause they are concerned about shrink.“Understandably, melons are fairly large,but retailers make the mistake of notputting enough fruit on display becausethey’re afraid of shrink,” expresses Martori.“However, they must keep in mind thatsales velocity of melons significantlyincrease with larger displays.”

Since melons aren’t like kiwis or orangesthat can be stacked up high on top of oneanother, Paul Bristle, produce buyer forGrand Rapids, MI-based Meijer Inc., sug-gests retailers create waterfall displays byusing slanted European tables and thenstacking single layer cartons in front of thedisplays. “With watermelons, we’ll have any-where from six to eight bins all in one dis-play area,” Bristle notes. “That mass eyeappeal really seems to increase sales.”

The size of watermelons has beendecreasing over the past several years.According to Bristle, “Ten years ago, theaverage watermelon was a 20 or 22-pounder.Now, the largest moving size watermelonwe have is 15 pounds. They’re easier to han-dle and they’re also a lot easier for the con-sumer to deal with. They want to be able tobuy watermelons that they know they’ll be

able to finish, instead of having to throwpart of it away.”

Another easy-on-the-arms melon is AycoFarm’s MiniMe. At a maximum of 6.5 lbs,“they’re easy for the consumer to handle,”notes Nir. “What’s more, with the economythe way it is, consumers don’t have to giveup purchasing produce altogether. Instead,they have the option to buy a smaller andless expensive watermelon that has lesswaste and more flavor. It also gives our dis-tributors a break because they are cheaperto transport per unit.”

With cantaloupes, shippers are reporting

different trends when it comes to sizing. “Wehave three optimal sizes with melons — the6-, 8- and 9-counts. Due to economic times,the eights gaining popularity because peoplewant to see more melons in a case,” saysDulcinea’s Dabich.

Martori says that in recent years, morebuyers want to purchase larger-sized mel-ons. “But there might be a reversal of thattrend in light of the economy,” he says.“Then again, there are other retailers outthere looking to gain more market share, sothere are some who are upgrading. We’vebeen hearing a lot about both strategies.” pb


Displaying wrapped, cut melons edu-cates consumers on what the fruitshould look like inside. R

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LOVELYLLOOSSANGELESFocusing on new, international products and a growing ethnic market, the Los Angeles market continues to thrive.

BY COLLEEN MCGINN

MARKETPROFILE

provides a very important service to the industry as a whole. Manyyears ago, it was purely distribution. Now, it’s distribution and mainte-nance. We stabilize the market and clean it up.”

Perishable products on the market could not survive without accessto transportation, and the market has easy access to truck, boats andplanes. “We are located in the hub of transportation near LAX [LosAngles International Airport] and Union Station, so every single truckgoes through this area. And it’s where all the freeways meet. Californiahas year-round produce. If it’s going to grow, it grows in California. Ourproximity to fields and transport brings in opportunities,” explainsRobert Schueller, director of public relations for Melissa’s/World VarietyProduce Inc.

A demographic snapshot of Los Angeles shows a rainbow of huesnot often seen on television and movies: 47 percent is Latino or His-panic, 13 percent is Asian, 10 percent is African-American and about 30percent is Caucasian. This diversity is reflected in Los Angeles cityneighborhoods: Thai Town, Philippino Town, Little Armenia, LittleTokyo, Chinatown, Little Persia and even a Little Ethiopia, and thus, onthe market as well. Further out of the city and into Orange County,there are dense ethnic populations: Chinese in Monterey Park, Indiansin Artesia’s Little India and Japanese in Gardena. Inside the indepen-dent stores in these neighborhoods, Los Angeleans will find produceunique to each cuisine, all of which originated at the market.

SHOPPING THE WORLDSince large chain stores started buying from central offices, they no

THE MARKET

t he Los Angeles Wholesale Produce Market is the physical corner-stone of the Southern California produce industry and a vibrantmarketplace. Even if companies have moved away and are not

“on” the market, they still buy from and sell to the market. They allhave a guy or two walking the market daily, looking for deals and check-ing out the new arrivals. Many wholesaler distributors now use themarket in addition to online sales. Produce buyers and sellers may notneed the market every day, but when they do, it’s a lifesaver. It’s ashowroom for the highest quality produce from local growers andaround the world. It’s a destination and departure point, a resting pointand a repacking point for thousands of pounds of fruits and vegetablessix days a week.

Currently, the L.A. Market has more than 25 major companies and60 tenants. Having 550,000 square feet of refrigerated warehouse spaceand occupying 30 acres of land, the market sits adjacent to all theancillary needs of the industry: storage, shipping, repackaging and cut-ting operations. “Everyone needs L.A. at some point or the other forstaging product in the distribution chain,” says David Weinstein, salesand procurement representative at Heath & Lejeune Inc.

The market feeds many of the 10 million residents of the 4,000square miles that is Los Angeles County. It’s the distribution center forfresh produce coming from the fields and orchards of California andthe first distribution point for produce coming in and out of Asia, Aus-tralia and New Zealand. Richard Flamminio, president of Umina Bros.Inc, believes, “Occassionally, people lose sight of the wholesale market.They might think of club stores and retail stores first, but the market

Reader Service # 30

http://www.coastproduce.com

Bill Brooks of Westlake Produce Co.

Alan Pollack of Coosemans L.A.

Katie Ricketts ofHeath & Lejeune

David Weinstein ofHeath & Lejeune

Richard Flamminio ofUmina Bros.

Emily Fragoso of Coast Produce Co.


MARKETPROFILE

Alex Dupre of J B JDistributing Sales/Veg-Land Sales

Wes Liefer of PuraVida Farms

Omar Reynaga ofCoosemans L.A.

Johnny Matiasevichof J B J Distributing/Veg-Land Sales

Allen Fisher of TheBanana Co.

Bob Morse of Davalan Sales

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longer walk the market as they once did. “Iwouldn’t know a chain store buyer if I sawone,” admits Robert Morse, a salesman atDavalan Sales Inc. “We increasingly deal withthe tremendous influx of immigrant buyerswho buy for small, ethnic stores that havemaybe a couple of locations. We have some-where up to 40 different nationalities repre-sented here, and they come on a daily basis,”he adds.

Norm Sugano, vegetable sales representa-tive at Morita Produce, a 34-year veteran of the

market, agrees, “We used to have chain storesdown on the market buying, but now we ser-vice mainly small ethnic chains. But thebiggest change is the buyers. They used toreally know produce, when it came in, whatvarieties were in, and when they would behere. Now people are buying off computersand email,” reveals Sugano.

Coast Produce Co. Inc. takes advantage ofthe influx of immigrant buyers, aggressivelycourting them on behalf of their chain storecustomers, launching Coast Caliente and

Coast Asia, geared toward Hispanic and Asianconsumers, respectively. According to Coast’sdemographic research, Latino families eattogether and cook more often than the averagefamily. Hispanics also shop more often, andthey want produce that is ripe and the fruitsand vegetables that are suitable for their cui-sine. “Food is important to ethnic buyers sowe try and maintain a sensitivity to that andteach our retailers to be sensitive to thoseneeds,” notes Emily Fragoso, Coast Produce’smarketing manager.

http://www.tavillasales.com

Davalan’s Morse is also well-versed in thebuying preferences of his ethnic customers.“We have a large community of Armenians andthey are sometimes tough on price, but theyare always looking for tasty fruits. I find it veryinteresting because not only are they pricebuyers, they are taste buyers, too. If they find afruit they like, they will buy it even if it’s expen-sive,” he explains. “They will look for a varietyof fruit, such as guavas, passion fruit, rambu-tan, lychee nuts, and baby kiwi.”

Paying attention to the needs of con-sumers is always important, as is anticipatingtheir needs. Companies on and off the marketare making a great effort to retain and capturecustomers across traditional sales lines.Nancy Betancourt, director of national salesfor Tavilla Sales Co., reveals, “If I am sellingpineapples to a customer and we have otherproducts they might need I am going to makean effort to sell them those, as well. Even if I

don’t book the sale, it’s good for the company.We are very committed to selling service.”

CONVENIENCE AND FRESH-CUT

“Customers are looking for value for theirmoney,” expresses Melissa’s Schneider. “Ournew, peeled boiling onions, pearl onions,shallots and Cipolline onions offer the valuethey are looking for. It saves consumers time

and they are willing to pay for that.” Focusing on fresh-cuts for the food service

market, Gabe Mora, owner of L.A. Fresh CutCorp., has created a niche businesses of cater-ing to small, custom orders. “We will custom-cut any size or shape requested. We do thou-sands of cuts,” he asserts.

His operation is quite flexible, and manycustomers call in orders with just hours oflead-time. “I keep the operation small because


Gabe Mora of L.A.Fresh Cut

Dennis Weiss ofBrostoff–Celle

A ccording to LAX, it’s becoming a majorcargo distribution center. Each day,1,000 cargo flights link L.A. to the

world. It has two major handling facilities: the98-acre Century Cargo Complex and the 57.4-acre Imperial Complex, in addition to a num-ber of terminals on the south side of the air-port. Most importantly, it’s only 15 minutesfrom the market.

The Ports of L.A. and Long Beach comprisethe fifth largest seaport complex in the entireworld, and are the largest and second-largestcontainer ports in the United States. The portshandled 8.4 million twenty-foot equivalentcontainers (TEUs) in 2007. By 2020, the ports

are projected to handle 36 million TEUs. Closeto half of the containers that move throughthe ports of L.A. and Long Beach have originsor destinations east of the Rocky Mountains.Approximately 40 percent of all U.S. water-borne containers move through these twoports.

Located in the hub, at the meeting point ofthree freeways, trucks serving the market areminutes from Interstates 10 and 5, along withthe Harbor Freeway. However, rollercoaster fuelprices have caused some smaller, independenttrucking services to go out of business. Thereis also the issue of retrofitting older trucks tomeet new EPA regulations. pb

One If By Land Two If By Sea

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option. Looking for a better way, Alex Dupre,director of fresh-cut at J B J Distributing/Veg-Land Sales, in Fullerton, CA, decided it’s notonly the physical spaces that need to be clean,but the negative spaces as well.

Research shows that most cross-contami-nations occur from airborne mold spores,viruses and other forms of bacteria that comein contact with surfaces. Looking for a way tokill these airborne contaminants, Dupre dis-covered that UVC light (ultra violet light, sub-type C) was his answer. UVC light has beenused in hospitals to sterilize rooms after dis-ease contamination.

To sterilize Veg-Land rooms, air is HEPA-fil-tered for particle matter then treated with UVClight. Dupre has also designed a portabledevice to sterilize the drains, wall seams, floor,

Jimmy III and Jimmy Matiasevich of J B J Distributing/Veg-Land Sales

Elana and Rick Lejeune of Heath & Lejeune

tables and equipment. This prevents any pos-sible buildup of mold spores or contaminantsand insures 24/7 sterilization. “This ultimatelygive us better shelf life and a better way tohelp maintain our food safety program on thecutting edge,” offers Dupre.

LOCAL AND ORGANICAlthough organic constitutes a small per-

centage of overall fresh produce sales, it’s anarea of continuing growth. “I know people saythat organics are too expensive, but I have sixguys selling organic produce full-time, and weare still very busy,” says Jimmy Matiasevich,sales representative at J B J.

Others on the market say their customersaren’t willing to pay a premium for organicproduce, especially when the economy is tight.

Doug Strenger and Jennifer Giron of Davalan Sales

MARKETPROFILE

I want to be able to accommodate last minuteorders. If a company is looking for thousandsof pounds cut, I say no, because I don’t wantto tie up my workers doing just one job,”explains Mora.

FOOD SAFETYAnyone handling produce has to be

focused on food safety. Mora keeps a staff offood safety experts on site at all times. “Thereis no way to cut corners, not if you want to stayin business,” he admits. “But it’s also expen-sive, and sometimes I think our customersdon’t understand how much money it costs torun this place.”

Organic fresh-cut is beset by the same con-tamination concerns as conventional produce,but cleaning with harsh chemicals is not an

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have 100 acres available for cultivation. Wenever could have afforded to lease this land inthe recent past,” admits Matiasevich.

If the real estate market continues itsdownward trend, Heath & Lejeune hopes thatLos Angeles County will return some land toits agricultural roots. “If the price of landcomes down, hopefully small farmers canstart farming in LA again,” says Lejeune.

Dennis Weiss, president of L.A. wholesalerBrostoff-Celle Inc. wants the chain store buy-ers to come back to the market. “We offer all

the services any national chain would need:packaging, re-packaging, storage, shipping andlogistics. We can also source any type of pro-duce anyone needs. It’s all here at the market.If chain stores come to us, we can source pro-duce locally and get it to their docks on time,”he asserts.

Wes Liefer, director of Brea, CA-based PuraVida Farms LLC, knows his retail services arevaluable. Although the company was originallya distribution and brokerage firm on the L.A.market, he wanted to branch out and sell toretail chains, which required shipping andlogistic services. “Produce is a perishable com-modity. Buying direct causes logistical issues,a headache retailers don’t want to deal with.We can solve that problem by being the grow-er, shipper and distributor all at once. pb


MARKETPROFILE

(Left to right) Tony Padina, Evelyn Beltran,Brianne Del Bene, Trish Duran, Jim Krouseand Jim Lucas of Eureka Specialties

(Left to right) Robert Schueller, Chef Tom Frakerand Bill Schneider of Melissa’s/World VarietyProduce

“A lot of conventional produce is being sold aspesticide-free and that’s a good thing. If giventhe choice, everyone would choose pesticide-free, but people aren’t going to pay 50 percentmore for organic,” admits Alan Pollock, ownerof Coosemans LA Inc. Pollack also says restau-rants are hesitant to put organic produce onmenus if they aren’t certain they can accesssupplies consistently.

Tapping into consumer demand for localproduce, Coast Produce launched the Farmer’sSelect campaign. Seasonal fruit is merchan-dised so consumers become familiar with thefarmer and his products via words and pic-tures. Storytelling is instrumental to the suc-cess of this program as it adds an emotionalelement between shopper and grower.

Heath & Lejeune also supplies a list of

locally grown produce to select customerswho express interest. However, the company isnot seeing much of a demand. “If a buyer hasthe choice between a locally grown strawberryand strawberry that’s not, they will choose thebest tasting of the two,” says Rick Lejeune,president of Heath & Lejeune. “Consumers areaccustomed to getting whatever they want,whenever they want it and we don’t see localas a big movement so far,” he adds.

THE FUTUREJ B J has turned the crumbling real estate

market into an opportunity to grow moreorganic produce. “We were offered a lease on100 acres of land that had been cleared for ahousing development that lost funding. Theground was cleared and ready to go. We now

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m other’s Market and Kitchen is afive-store Costa Mesa, CA-basedsupermarket chain with a unique

vision. As the company motto states: “We arededicated to manifesting truth, beauty andgoodness in the context of a natural productsstore, offering a selection of high-quality nat-ural foods, health and related life-style prod-ucts and information.”

In practical terms, it’s a vitamin store cumdeli cum beauty counter cum juice bar cum full-service grocery store all under one roof. Justdon’t look for the meat department, becausethere isn’t one.

Catering to a health-conscious customer,the kitchen serves prepared raw and cookedfoods, including sandwiches, salads, soupsand dessert. The adjoining juice bar servesorganic smoothies, juices and nutritionaldrinks. Committed to improving the health ofcustomers, Mother’s also sponsors in-storelectures by experts in nutrition, beauty, vita-mins, herbs and supplements.

However, the produce department is thereal star at Mother’s. John White, producemanager, keeps his 2,800-square-foot producedepartment stocked with artfully displayedfruits, vegetables and produce-related items.

February has White focused on SouthernCalifornia citrus. Cara Cara navel oranges andPixie tangerines are merchandized front andcenter. He views the winter slowdown in Cali-fornia produce as an opportunity to promoteexotics. “Winter is a good time to promotepineapples, coconuts, papayas and other trop-ical fruits,” he notes.

Interested in bringing in the Caribbean Redpapaya to Mother’s, White has been stumpedby the volume orders needed to truck it infrom Florida. Hesitant to take such a big riskon an unknown fruit, White waited for it tocome to Los Angeles. Luckily for him, a whole-sale partner, Melissa’s/Worldwide Variety Pro-duce Inc., recently began bringing in theCaribbean Red from Belize. He started withsmall orders to gauge reactions from cus-tomers and keep an eye on the shelf life andripening process. White and his customershave been very pleased with the test batch. Hehas increased his order, making it a part of hisweekly specials.

The store sampling program gets theCaribbean Red papaya into the carts of hisshoppers and is an instrumental part of newproduct introduction at Mother’s. Being ableto taste fruit in advance makes customers feelsafe about investing in new products. His cus-tomers are also savvy about what they eat andknow produce from top to bottom. “Our cus-tomers love it,” he adds. “It combines thelargeness of Mexican papaya with the sugar ofa Hawaiian. Plus, the price is right.”

A diet rich in organic vegetables is a staplefor health-conscious eaters and White tries tokeep 85 percent of the department stockedwith organics. “We usually have about 99 per-cent of row crops coming in organic and weare usually able to supply organic most of theyear. In the winter, our organic produce comesfrom Mexico and South America,” he remarks.

Reducing one’s carbon footprint is also acommon ideal of the health-conscious con-sumers who shop at Mother’s, and White’scustomers prefer locally grown items, whenpossible. “We try to do as much as we canlocally because customers look for it,” hereveals. “When I write my store ads, I try topromote produce as locally grown.”

Mother’s Markets also have their own dis-tribution center allowing White to buy in larg-er volume than a stand-alone store. However,he has picky customers and needs to keep hisproduce stellar. “I look at the market every day

and buy daily to keep it fresh. I buy six days aweek,” he says.

White works closely with growers to ensurehe has an adequate supply of product beforewriting his weekly ads. “I have a steady stableof growers that I try and stick with,” heremarks. “I don’t cherry-pick on price. I wantthe relationship to work in the long-term, and Istick with the deals I make, even if I can get theproduct cheaper.”

Having easy access and close proximity toCalifornia growers is helpful to White, but hestill relies on the Los Angeles Wholesale Mar-ket. “We can’t always buy in quantity,” he says.“I utilize wholesalers and I have people whocan service me that same day. It really worksfor us. Without the market, I couldn’t do it. It’sa valuable asset.”

White also uses the Market to work in con-ventionally grown produce when necessary.“We can’t always have organics, so we dependon the market for conventional produce whenwe need it,” he notes.

White credits Louise Perez of Melissa’s withbringing in great recipe items, which are any-thing that comes into the produce departmentwith a recipe tag on precut or pre-baggedproducts. “Customers can get ideas from therecipes, and buy more produce,” he asserts.

Mother’s has a high concentration of Melis-sa’s fresh produce as well as shelf products inthe produce department. Having Melissa’sspices and dried items in the produce marketis good for sales and cross-merchandising, andis something White would like to do more of inhis produce departments.

“We keep the salad dressings near the let-tuce and the basil near the tomatoes andsometimes olive oil, but I would like to seemore cross-merchandising with other aspectsof the store. It would be nice to have thingslike kitchen utensils in the produce section,”expresses White. pb

Mother’s Market and Kitchen151 E. Memory LaneSanta Ana, CA 92705(714) 542-6667Open 7-days a week8 a.m. to 10 p.m.

RETAILPROFILE

MOTHER’SLLOOVVEESSYOUMother’s Market and Kitchen pleases health-conscious consumers with a stellar produce department and plenty of meat-free options. BY COLLEEN MCGINN

John White, produce manager at Mother’s Market and Kitchen.


FOODSERVICE

MARKETING

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MARKETING

Marvelous Mushrooms As consumers focus on health and value, mushrooms are becoming an all-important addition to the foodservice industry.


Mushrooms are indeed mush-rooming in their mentionson restaurant menus.According to informationfrom Food Beat 2008, a mar-

ket research firm based in Wheaton, IL, assupplied by the San Jose, CA-based Mush-room Council, 77 percent of the Top 200restaurant chains now have mushrooms ontheir menus. Bart Minor, Mushroom Councilpresident, says, “These references highlightmushroom’s versatility and cross everyfoodservice segment from Italian to Mexicanand from every part of the menu from burg-ers and pizzas to entrées and salads.”

This trend looks like it is here to stay.Specialty mushrooms were ranked amongthe Top 10 hottest produce items by 1,600American Culinary Federation-memberchefs from across the nation in the Washing-ton, DC-based National Restaurant Associa-tion’s 2008 “What’s Hot, What’s Not” survey.

What’s driving this trend? Flavor is onefactor. Fred Recchiuti, general manager forBasciani Mushroom Farms, headquarteredin Avondale, PA, points out, “Mushroomshave umami, what we call the ‘fifth’ tasteafter salty, sweet, sour and bitter. Umami ismost often described as a savory, brothy,rich or meaty taste sensation. Other foodssuch as aged cheese and meat also haveumami. That’s what makes a MushroomCheddar Cheese Burger so popular; it com-bines three foods with umami tastes.”

Another factor is cost. Recchiuti adds,“We’re seeing operators use more mush-rooms and less meat. In other words,they’re reducing or replacing the protein ina dish with mushrooms. Mushrooms pro-vide great plate cover and presentationwhile lowering food costs, and that’s vitallyimportant to foodservice operators today.”

WHAT’S HOTAccording to Mike Reed, director of sales

for the western region for Monterey Mush-rooms Inc., in Watsonville, CA, the mainstay

Many varieties of mushrooms can be included in an Asian Mushroom Stir-Fry.

in foodservice applications “is the white but-ton mushroom. It’s definitely the most pop-ular and highest volume-seller.”

Kevin Donovan, national sales managerfor Phillips Mushrooms Farms LP, headquar-tered in Kennett Square, PA, adds, “Somefoodservice operators are looking for some-thing new and different, as well as for value.As a result, they are switching to brownmushrooms like Cremini and Portobello.”

More chefs are looking for flavorenhancement “like they get from Shiitakeand other specialty mushrooms,” believesBill Litvin, national account manager forGiorgio Foods Inc., based in Temple, PA. “Wemight see more widespread use of Shiitakemushrooms in the future, due to its greatmeaty flavor with firm texture. It’s a greattasting item that is not yet widely used.”

According to the Mushroom Council, Shi-itake mushrooms are now appearing incasual dining chains such as California PizzaKitchen (CPK), headquartered in Los Ange-les, CA, and are especially popular in menuitems with an Asian twist. For example, themain ingredients in the CPK’s SingaporeShrimp Rolls are shrimp, rice noodles andShiitake mushrooms.

Shiitakes are found on fine-diningmenus, too. For example, chef Gary Donlickat Pano’s & Paul’s in Atlanta, GA, offers cus-tomers a Warm Baby Spinach and Water-cress Salad with Smoked Bacon and CandiedShiitake Mushrooms. In Seattle, WA, chefTom Douglas at Etta’s Seafood, tops freshlygrilled Aleutian King Salmon with a fragrantShiitake Relish.

Chef Dewey LoSasso, of North One 10 inMiami, FL, as quoted by the MushroomCouncil, says, “Shiitake and Portobellomushrooms can work with fish, meat or forvegan inspirations. They have the perfecttexture, whether grilled on the BBQ, pan-seared with olive oil or topped on a salad.”

The popularity of televised cookingshows has also sparked a significant interestin wild mushrooms, such as Porcinis,Chanterelles and Morels, expresses Reed.“However, this segment is very small, lessthan one-tenth of 1 percent of total foodser-vice mushroom sales.”

LABOR-SAV ING VALUE -ADDED IN DEMAND

According to the Mushroom Council,restaurant chains are increasingly turning to

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a wedge-cut.”De-stemmed mushrooms are also in

demand. Recchiuti adds, “Some chains wanttheir mushrooms de-stemmed if they’re

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Buying Tips

Mike Reed, director of sales for thewestern region of Monterey Mush-rooms Inc., in Watsonville, CA,

notes, when it comes to purchasing freshmushrooms, “Foodservice buyers are moredemanding today in the precision of theirspecs. With slow traffic to restaurants, theyare looking for full utilization of the prod-uct, the best product for the applicationand a variety of sizing and grades for dif-ferent purposes.

“For example, you pay a premium pricefor a large stuffing mushrooms, so youdon’t want to slice it up. A No. 2 is betterfor slicing. Medium-size mushrooms offer avariety of usages, while small button mush-rooms are used for sautéing as a side dish,”adds Reed.

Since mushrooms are a highly perish-able product, Reed adds, “Ideally, it’s bestto schedule daily or every other day deliv-

ery. Then practice first-in, first-out. Mush-rooms have about a 7- to 10-day shelf life.”

For maximum shelf life and quality, BartMinor, president of the San Jose, CA-basedMushroom Council, recommends, “Keepmushrooms cool, and in a container thatallows them to breathe. The optimum tem-perature to store fresh mushrooms is at 34°F. Each degree above that can lead to ashorter shelf life.”

In addition, Fred Recchiuti, generalmanager for Basciani Mushroom Farms,based in Avondale, PA, says, “Mushroomsdon’t like temperature fluctuations. Storethem in the back of the cooler and awayfrom the door.”

Reed adds, “Don’t put them in the directline of a fan or blower, since this can speeddiscoloration. Also, don’t store them nearpungent items as mushrooms may absorbstrong odors.” pb

pre-cut and de-stemmed mushrooms. Mon-terey Mushrooms’ Reed discloses, “Backroom labor is now being pushed to the sup-plier. The benefit of doing this for the opera-tor is transferring the risk of employees cut-ting themselves with a knife or cross-conta-minating the mushrooms with a knife theyused to cut chicken to the company supply-ing the mushrooms. Consistency and costare other benefits.”

Giorgio’s Litvin agrees, adding, “It’s stillmore cost effective for customers if we slicethe mushrooms on our equipment than ifthey slice the mushrooms by hand. We canalso offer specific sizing to meet preciseneeds, such as to use for stuffing or kabobs.”

In foodservice, there’s a trend towardwedge-cut, rather than sliced mushrooms.For example, The Olive Garden, an Orlando,FL-based chain, uses wedge-shaped mush-rooms in its Chicken Marsala.

Reed explains the preference, “Wedge-cutmushrooms satisfy operators’ needs to dif-ferentiate themselves with a unique shape.Also, they don’t tend to shrivel up and disap-pear in a dish like sliced mushrooms might,and they offer a fresh, homemade appear-ance, which diners appreciate.”

There’s a convenience factor, too, revealsBasciani’s Recchiuti. “Diners find that

sautéed button mushrooms served wholetend to slide around under their fork andoften end up on their laps, or on the floor.This slipping doesn’t happen as much with

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going to use them to make stuffed mush-room caps. Not only does this reduce laborcosts in the kitchen, there’s a lot moreusable portion in a 10-pound box — some 30percent more — and this helps with trans-portation costs.”

DEL IC IOUS CREAT IV ITYMushrooms have traditionally appeared

in salad bars, side dishes and in the case ofspecialty mushrooms, in sauces. Televisionchefs have helped promote mushroomstremendously, reports Giorgio’s Litvin.“From Emeril to Rachael Ray, they all havetouted the benefits of using fresh mush-rooms in a variety of dishes.”

The Mushroom Council’s Minor reveals,“Operators from all segments like to usemushrooms prominently as a signal ofvalue, freshness and a premium product tothe consumer. In a rough economy, that’smore important than ever.”

In the QRS arena, for example, Miami,FL-based Burger King, offered a Mushroom& Swiss Steakhouse Burger promotionnationwide this past November. Prior to this,Carl’s Jr., headquartered in Carpinteria, CA,offered limited-time promotions on its Por-tobello Mushroom Six-Dollar Burger. Theburger featured Portobello mushroomssliced and sautéed in a sauce and servedatop a charbroiled Angus beef patty.

Pizza remains an important segment formushrooms, as well. In fact, mushrooms arethe most popular vegetable topping, thirdbehind pepperoni and sausage, and 18 per-cent of all pizzas served in foodservice havemushrooms, according to MenuMine 2009,published by the Foodservice Research Ser-vice, Oak Park, IL.

In casual dining, Applebee’s, based inLenexa, KS, offers menu items such as aGrilled Chile-Lime Chicken Salad, whichfeatures fresh-sliced mushrooms as aningredient. Applebee’s also ran a ‘Make

Room for ‘Shrooms’ server promotion lastNovember in 378 of its franchised locationsnationwide. Servers that sold the mostmushrooms won American Express giftcards, which were provided by the Mush-room Council. In addition to the serverincentive contest, some restaurants featuredtabletop cards funded by Kraft Foods to fur-ther promote mushrooms as a steak topper.The Mushroom Council also supported thispromotion by providing a tip sheet forservers to help them sell more mushrooms.Results of the 128 restaurants in Applebee’s:Apple American Group LLC indicated there

was an 80.5 percent increase in mushroomdishes ordered.

Diann Banaszek, marketing partner forApple American, says, “Versus control, wefar exceeded our sales expectations of mush-rooms toppers, add-ons and items. Addition-ally, our servers have been educated on thebenefits of mushrooms and are continuingto suggestively sell them. “

P.F. Chang’s China Bistro, based in Scotts-dale, AZ, features mushrooms in nine of itsdishes. These include an Asian MarinatedNY Strip with a side of mushrooms andasparagus and Wok-Charred Beef with mari-


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nated mushrooms and roasted sweet pep-pers. Robin Stotter, research and develop-ment chef at P.F. Chang’s, was quoted in theMushroom Council’s Third Quarter 2008publication, The Savory Connection, as say-ing, “Mushrooms are a subtle vehicle thatcarry any flavor. When I’m developing anitem, I know that adding mushrooms willimprove the quality and flavor of the food.”

On the fine dining or white tableclothside, David Burke & Donatella, in NewYork, NY, serves Cavatelli with Braised ShortRibs, Truffle Mousse and Wild Mushrooms.Minor declares, “White table cloth restau-rants are using a lot of mushrooms, andmultiple varieties as well.”

According to information supplied by theMushroom Council, a module of the 100most high-profile independent trendsettersin Food Beat’s 2008 database showed thatmushrooms were on all 100 of these restau-rants’ menus.”

PLENT IFUL OPPOR TUNIT IESThe increasing diversity of U.S. con-

sumers makes marketing to all segmentskey to the continued use and growth ofmushrooms in foodservice. Certain ethnici-ties, such as Asians and Italians, are tradi-tionally big consumers of mushrooms,reveals Giorgio’s Litvin. “Others — Hispanic,

Mediterranean and Cajun/Creole — offerhuge opportunities.”

Harvey Mitchler, sales and marketingmanager for Champ’s Mushrooms Inc., inAbbotsford, BC, agrees and adds, “Thebiggest single demographic that hasn’t reallyembraced mushrooms is Hispanics. Howev-er, there are many Hispanic dishes that takenicely to mushrooms, such as quesadillasand fajitas. It just takes education.” AtHugo’s in Houston, TX, chef Hugo Ortegamakes his Mushroom Tamales with buttonand Shiitake mushrooms.

March through May, Moe’s SouthwestGrill, headquartered in Atlanta, GA, is pro-moting its mushroom-containing Phil E.Cheese Steak Burritos and Quesadillas in amobile marketing campaign that sends $2-

off coupons to the phones of customer sub-scribers via text messages.

Mushrooms are also a growing part ofthe breakfast category. According to infor-mation supplied by The Mushroom Councilfrom Food Beat 2008, mentions of mush-rooms in breakfast applications increasedby 13 percent over the past year. Some ofthe newest mentions include Dunkin’Donuts, which offers an Egg White VeggieFlatbread Sandwich that is filled withcheese, bell peppers, potatoes and mush-rooms, and Starbucks, which sells a VeggiePiadini, made with portabello mushrooms,spinach, cheese and scrambled eggs.

The mushrooms-for-breakfast concepthas gone upscale as well. For example, atAtwood Café in Chicago, chef Heather Ter-hune serves an Egg White Frittata that con-tains tomatoes, spinach, goat cheese and amix of Cremini, Oyster and Chanterellemushrooms.

“Consumers are increasingly seeingmushrooms as healthy option,” states TheMushroom Council’s Minor. “Mushroomshave a healthy halo and many health-con-scious consumers and vegetarians are eatingmushrooms as a meat alternative. As restau-rants continue to offer more healthfuloptions, we think they’ll be using moremushrooms as well.” pb

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Mushrooms can be used as a meat sub-stitute in a Portobello Sandwich.

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Win Big With WalnutsDiscover profit potential behind this flavorful nut by taking advantage of cross-merchandising and consumer education opportunities.

B Y A M Y S H A N N O N

Showcasing the versatility of walnuts through creative displays will boost sales.

As salad consumption, interestin healthful foods and favorableattitudes toward this nutritiousnut have led to an increasinglystrong demand of walnuts, pro-

duce departments have all the more reasonto keep them front and center. “We’ve seensteady growth in the past few years as saladconsumption seems to be on the rise, alongwith a surprisingly steep climb in organics,”notes Stephanie Blackwell, president ofAurora Products Inc., based in Stratford,Connecticut.

“As an industry association, we do nothave retail scanning data. However, I didhear that IRI [Information Resources Inc.,Chicago, IL] trend data indicated that thenuts category as a whole has been increas-ing,” reports Michelle McNeil, marketingdirector for the California Walnut Board &Commission (CWBC), in Folsom, CA.

In Canada, walnut sales are also on therise, explains Danielle D’Agostino, vice pres-ident of Faye Clack Communications Inc.,the Mississauga, ON, Canada-based nichecommunications agency that represents theCalifornia Walnut Commission (CWC) inCanada. Faye Clack works with a variety ofwalnut products, including in-shell, shelled,halves, pieces and candied.

“In 2007-08, California walnut importsinto Canada reached 14.6 million pounds,”D’Agostino reports. “That’s an increase of 76percent since 2000-01, when California wal-nut shipments into Canada totaled less than8.3 million pounds.”

In order to keep this momentum, it’simportant that retailers inform consumersabout the health benefits of walnuts, espe-cially since their perception has changed sodramatically in the past decade. In the1990s, Americans believed nuts wereunhealthy. In 2004, the U.S. Department ofAgriculture (USDA) gave walnuts a healthclaim that they can reduce the risk of coro-nary heart disease, according to the USDAEconomic Research Service (ERS).

“If you build it, they will come,” advisesD’Agostino. “If you build better and biggerdisplays of walnuts in the produce depart-ment, consumers will buy them.” Still, thebest advice is to always keep walnuts readilyavailable in places consumers will see them.“The age-old adage applies here, too. Out ofsight, out of mind,” she adds.

VALUABLE COMMODITY While all nuts contribute to overall sales

in the produce department, walnuts — ifprominently promoted — hold their own asa major profit producer. “Conventional wal-nuts rank No. 3 behind almonds andcashews,” according to Blackwell. “Organicwalnuts, however, rank No. 1 above allorganic dried fruits and nuts.” Aurora pack-ages an array of all-natural and organicdried fruits, nuts, granolas and trail mixes. Itworks primarily with the California Chan-

dler variety in light halves and pieces. Chan-dler walnuts are light-colored, English wal-nuts.

The majority — 99 percent — of U.S. wal-nuts are grown in California, adds McNeil.“California walnuts are English walnuts, thepredominant variety grown here in theUnited States. California represents two-thirds of world trade.” CWBC includes theCalifornia Walnut Board (CWB) and the Cali-fornia Walnut Commission (CWC). The Cali-fornia walnut industry is made up of morethan 4,000 growers and 59 handlers.

In April 2008, the Walnut MarketingBoard became the CWB to provide origindesignation to the product it represents.CWB is funded by mandatory assessmentsof the handlers. The CWB is governed by aFederal Walnut Marketing Order. It pro-motes usage of walnuts in the United Statesthrough publicity and educational programs,

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nuts have the ability to be used in a varietyof ways or in multiple meal parts, differenti-ating them from other nuts. According tothat research, “Walnuts are credited forbeing used in baking (80 percent), as asnack (63 percent) and in salads (57 per-cent).”

Faye Clack’s D’Agostino agrees, adding,“The walnut is the only nut that contains asignificant amount of heart-healthfulOmega-3s. Omega-3 fatty acids can helpreduce LDL cholesterol levels when eatenin place of foods that are high in saturatedor trans fat. Walnuts contain no trans fattyacids, cholesterol or sodium. They provideprotein, essential vitamins, minerals andhealth-promoting antioxidants.”

Blackwell points out that walnuts pro-vide 94.6 percent daily value of omega-3fatty acids. “They are also high in man-ganese and copper.”

According to McNeil, walnuts are theonly tree nut with a significant source ofAlpha Linolenic Acid (ALA), the plant-basedform of Omega-3 fatty acids that the bodydoes not make, and needs to be consumedthrough food sources. “Walnuts have beenproven to reduce the risk of cardiovasculardisease, lower cholesterol, aid in satiety,slow cancerous tumor growth and aid dia-betics in insulin regulation.”

Highlighting these attributes throughPOS materials, demonstrations and signagecan significantly educate consumers andpersuade them to purchase walnuts. pb

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Selling Walnuts OnA Year-Round Basis

W hile walnuts produce a heftyring at the checkout counterduring peak seasons, such as

the in winter holidays, retailers can takeadvantage of the nutritious nut by pro-moting usage ideas and health benefitsyear-round.

Michelle McNeil, marketing director,California Walnut Board & Commission(CWBC), headquartered in Folsom, CA,says while many retailers merchandisein-shell walnuts in the produce sectionduring the holidays, some display shelledwalnuts at other times of the year. “Show-casing walnuts versatility through usageapplications is key,” she explains.

“The more ways in which consumersknow how to use walnuts, the more like-ly they are to purchase and repurchasethe product,” McNeil continues. “POS,shelf tags/talkers, recipes and in-store

demonstration are certainly excellentways to demonstrate the product and itseveryday usefulness.”

Stephanie Blackwell, president ofAurora Products Inc., based in Stratford,CT, suggests selling walnuts with thebagged salad mixes next to a tub ofAurora Natural’s Salad Fixin’s.

To really push walnuts year-round,retailers must remember to highlighttheir health attributes. “The health angleworks here, too, but more importantly it’sabout accessibility,” states DanielleD’Agostino, vice president of Faye ClackCommunications Inc., Mississauga, ON,Canada. “People are always in the pro-duce department and are more likely topick up walnuts when merchandised withother healthful options. It’s definitely animpulse purchase, and we want to turn itinto a habitual purchase.” pb

“Walnuts have been

proven to reduce the

risk of cardiovascular

disease, lower cho-

lesterol, aid in sati-

ety, slow cancerous

tumor growth and

aid diabetics in

insulin regulation.”

— Michelle McNeilCalifornia Walnut Board

& Commission

and provides funding for walnut productionand post-harvest research.

PROPER CARE & CROSS -MERCHANDIS ING

Walnuts, like other produce items, areharvested at their peak and then stored inclimate-controlled environments to main-

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tain their freshness. Selling walnuts in theproduce department as opposed to the gen-eral grocery aisles makes sense because,“The produce aisles are replenished morefrequently than grocery aisles,” explainsCWBC’s McNeil. “Therefore the walnut prod-uct will be fresher, too.”

Retailers should also educate consumerson the importance of properly storing wal-nuts once they are purchased and broughthome. “Walnuts should be stored in therefrigerator or freezer to maintain optimalfreshness,” recommends McNeil.

Aurora’s Blackwell reminds retailers tocross-merchandise walnuts with lettuce andother salad ingredients. “They cross-mer-chandise well as a salad topping.”

“Merchandising walnuts in the produceaisles makes for great opportunities to cross-promote them with other fruits and veg-gies,” adds McNeil. “They’re the ultimatehealthful crouton for salads.”

CHIEF ATTR IBUTESThe benefits of walnuts continue to

evolve as new research reveals the nutri-tious value packed into the tasty treat. Con-sumer knowledge of the benefits is alsoevolving, notes McNeil. “In recent researchconducted by our industry, 67 percent ofconsumers believe walnuts are healthful,while 75 percent of consumers who are buy-ing walnuts more often are doing so becauseof their health benefits.”

Another major benefit is versatility. Wal-

http://www.aboutpeanuts.com


CELEBRATING 35 YEARSContinental Flowers Inc., Miami, FL, is celebrat-ing 35 years in the floral industry. Recognized forits Alstroejewels Alstroemeria varieties, the grow-er/importer also is known for its Forever Youngrose variety and its Dos Niñas Collection.


CALIFORNIA-GROWN SHOWCalifornia Association of Nurseries and GardenCenters, Sacramento, CA, is hosting the California-Grown Show June 3 at the Orange County Fair &Event Center in Costa Mesa, CA. The show is thecenter piece amidst a series of events beginningJune 2 with a Retail Educational Program and Tour.



FLORALWATCH

Floral Watch is a regular feature of PRODUCE BUSINESS. Please send information on new products, personnel changes, industry, corporate and personal milestones and available literature, alongwith a color photo, slide or transparency to: Managing Editor, PRODUCE BUSINESS, P.O. Box 810425, Boca Raton, FL 33481-0425, or e-mail us at [email protected]

VAUGHAN INC., SANFORD, FLJudith Giraulo joined the foliage companyas lead designer. Universal Studios, OprahWinfrey, Martha Stewart, Bill and HillaryClinton and Princess Diana have either beenclients or happy recipients of Giraulo's innov-ative designs. In addition to creating newproducts for wholesale, Giraulo creates aretail line of gift plant items for the compa-ny's Internet sales division.

ATLANTA WELCOMES SUPER FLORALDiversified Business Communications,Portland, ME, will host the Super Floral Showat the Georgia World Congress Center inAtlanta, GA, June 10-12. Educational sessionswill be held June 10. The floral and foliageproducts show is geared for volume buyers.

VASES STORE FLATVazu USA, Cleveland, OH, is increasing its line offlat expandable flower vases by offering additionalcolors and designs. The easy-to-use Vazu createsexcitement and brings impulse sales to floraldepartments. Reusable, the stores-flat vase isinventory-friendly and turns bouquets into instantgifts for all age groups.

LONG LASTING NEW ROSERoses & Roses, Quito, Ecuador, introduced theAmor Verde and several other new rose vari-eties in Miami during the World Floral ExpoMarch 10-12. Featuring a large head, the long-stemmed, pale green, bicolor rose presentswith hints of pink blush. Under correct condi-tions, the longest lasting new rose variety issaid to last nearly one month.

ENVIRONMENTALLY TRUEWald Imports Ltd., Kirkland, WA, offersBio Pots made from bamboo fiber,which is pure, natural and non-toxic.Fast-growing bamboo needs no chemi-cal fertilizer to grow and is naturallyprotected from plant diseases. Thebiodegradation rate can reach 65 per-cent in 60 days after being disposed andcan effectively last two to three yearswhen utilized outdoors and approximately two years indoors.


TROPICAL EASEARTropica, Valle del Cauca, Colombia, intro-duces a Do-It-Yourself tropical arrangementkit. Inspired by the ancient Asian art of ike-bana and modernized with the use of tropi-cal flowers and cut foliage, each box containsmaterials and instructions necessary to cre-ate a sophisticated floral arrangement. Thekit was awarded Best Novelty Product at the2009 Miami World Floral Expo.


COVER COLLECTIONA-ROO Company LLC, Strongsville, OH,introduces the Toscana Lifestyle CoverCollection. Ideal for the home or office, thecovers have a hand-modeled earthenwarelook and are available in granite blue, coralpink, sunset, moss green and terracotta.Decorative Liner Sheets in matching colorsare also available for this collection.

AMAZING ORANGEFable Farms Ltd, Pitt Meadows, BC, Canada, showedbrilliant orange Anthuriums in its World Floral Expoexhibit March 10-12 in Miami, FL. The dyed apricotAnthuriums have strong stems, long vase life andthey are greenhouse-grown without pesticides.


ANNOUNCEMENTS


TRANSITIONS

NEW PRODUCTS



FLORAL

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FOLIAGE

MARKETING

FLORAL

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FOLIAGE

MARKETING

Make The Most Of LimitedSpace In The Floral DepartmentCreative companies find new ways to maximize merchandise space.

B Y J O N V A N Z I L E

Alfonso Cano, assisant retail pro-duce director for Anaheim, CA-based Northgate Gonzalez LLC,a Southern California super-market chain with 29 locations,

knows that every square foot counts. Cano’sjob is to entice his shoppers to buy as muchfloral as possible — even though his depart-ment shares space with the produce section,and many of his floral departments aren’tfully staffed. “Our produce people aren’tmotivated to sell floral,” he says, referring tothe produce supervisors who end up over-seeing his floral departments.

Moreover, they often don’t understandwhat success looks like in the floral depart-ment, and it’s all relative. “They’re so usedto moving volume,” Cano states. “If youhave one bucket that has three $20-bouquetsand you sell one, that’s pretty good. But tothe produce guys, if they sell five cases ofbananas, that’s good.”

With this kind of pressure, Cano doeswhat successful floral retailers do all overthe country: he makes sure that every inchof the floral department is merchandised tosell the most amount of product as possible— that means using the floors, the countersand even the walls.

FLEX IBLE SPACEMarcy Britigan, president of MEI Special-

ty Refrigeration and Fixtures in LaGrangePark, IL, observes floral departments arebecoming more efficient in terms of utiliz-ing space. “In the past five to seven years,floral departments have been readdressed,”she notes.

Britigan’s company focuses on helpingfloral departments squeeze every last nickelfrom their selling space. Interestingly, thisoften means being able to scale down asrapidly as being able to scale up. With the

exception of fixed cooler space, successfulfloral departments feature displays that canexpand and contract to fit the season andinventory, allowing the floral department tospill out into the rest of the store duringpeak season.

Recently, a number of products havebeen introduced to make the floral depart-ment more flexible than ever before. MEIhas a series of five nesting, display tables.When all five tables are grouped together,it’s a big display, “but as the product sellsthrough, you can nest the smaller tablesunderneath each other,” Britigan explains.

Alternatively, MEI offers a bucket dis-play stand with a flexible capacity rangingfrom one to nine bouquet buckets. As thebuckets empty, the display can be easilyreconfigured so it always seems full.

MEI is not alone in offering space-savingsolutions. Primescape Products in BuffaloGrove, IL, offers a 3-foot tree frame thatholds up to 29 6-inch potted plants on threetiers. Originally designed for poinsettias, the

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tree frame can be used throughout the yearto easily display potted and floweringplants. A half-diameter version holds 18plants and can sit flush against the wall. Byusing floor or counter space, the visual pre-sentation expands even more.

According to Joe Barnes, marketing com-munications manager for Primescape, “Inboth cases, it’s appropriate to put plants onthe floor. You can put 11 plants around thefull-diameter tree and six plants around thehalf-diameter.” He recommends retailersallow for a 4-foot diameter floor or counterspace with the full-diameter tree frame.Placed against a wall, the space-friendly,half-diameter tree frame requires only 21⁄2

feet of depth and four feet of width. Theframe is collapsible and easy to store whennot used for fresh floral displays.

GOING VERT ICALWall space can also be an important and

profitable sales area. At Northgate, Canogoes vertical whenever possible. Vertical dis-

Successful floral departments feature displays that can expand and contract to fitthe season and inventory.


have a refrigerator capacity of about 60 per-cent of their peak sales volume. “For thosefour or five key holidays when you needextra space, you borrow back-up refrigera-tion from dairy, where they can temporarilystore items until they can get them on thefloor,” she explains.

The most common mistake Britigan seesin floral departments is too much refrigera-tion, which is usually caused by overopti-mistic sales projections. In this case, short ofswitching out larger coolers for smallerunits, Britigan sometimes suggests storesexperiment with their product mix. “Refrig-erators can’t really expand and contract,”she says. “What’s available is merchandisingflexibility. You can change from all bouquetsto arrangements. You can merchandise cool-ers so they always seem full.”

At Northgate Markets, only a few of thestores have full-service floral departments,but even the stores with self-service depart-ments typically have some kind of refrigera-tion. “The probability of success with coolersis about 50 percent higher, because there’sless shrink,” Cano reveals.

When estimating the crucial refrigeration

space, Britigan often advises her clientsbegin with a planogram for each cooler. “Ifyou have got a 6-foot cooler and you can getanywhere from x to y bouquets per bucket,you figure out how many buckets you canget in six feet of space and how much shelfspace you have got, and then you workbackwards from there,” she explains. “Refrig-eration depends on sales projections.” pb

plays include shelving, bucket racks andeven coolers. Ideally, shelving should beeasy to move and break down. Flexibility isimportant because empty shelves discour-age sales.

Avery Imports in Batavia, NY, offers aflexible, lightweight shelving unit thatincludes some of the key elements in verti-cal displays: visibility and space. The 81-inch unit has four shelves for displayingitems, a slanted top to keep attentionfocused on the products and the option ofadding lights. Terri Lawson, an executiveassistant at Avery, maintains, “It’s a gooddisplay piece for showcasing items. You canput ceramics, glass or wicker baskets inthere and you can add lights.” The units alsoare easy to disassemble, which makes itconvenient for storing.

Millstadt, IL-based Micky’s Minis special-izes in space-saving products, including ver-tical plant displays that feature the compa-ny’s trademark miniatures. Bill Byland, vicepresident, notes, “One display offers 24plants. Everyone is feeling the crunch inspace, so it makes sense to go vertical. Itespecially helps with minis, because if youscatter them around the store, it reduces thevisual impact of the display.”

In any kind of display, visual impact isessential and this often translates into light-ing. Plants, especially, must be well lit tosell through, and top shelves, or deepshelves, can sometimes be pooled withshadows that obscure the products for sale.“One of the key things floral managers over-look is the importance of lighting,” Britiganasserts. “It’s not just the refrigerator cases,but floor spaces, too. You must have proper

With the exception

of fixed cooler space,

successful floral

departments feature

displays that can

expand and contract

to fit the season and

inventory, allowing

the floral depart-

ment to spill out into

the rest of the store

during peak season.

lighting to make the displays show off.”

THE HOL IDAYS : A SURE TH ING

The calendar is studded with additionalsales opportunities for floral departments,even beyond Valentine’s Day, Mother’s Dayand Christmas. Northgate’s Cano makes aneffort to reach out to Hispanic shopperswith floral promotions planned around Díade los Muertos — the traditional MexicanDay of the Dead — and other, lesser-knownholidays that are rarely celebrated in theUnited States.

This opportunity in holiday sales, how-ever, comes packaged with a challenge:space is at a premium, and an overstuffedfloral department can be as off-putting asempty shelves. “Fortunately, this is onetime of year that floral quickly becomes astorewide priority,” says Cano. “Sales are asure thing, so we get into the front or centerof the store.

During holidays, MEI’s Britigan urgespositioning displays on end caps or near thestore entrance, where consumers are morelikely to make an impulse purchase. Coolerspace can be borrowed from dairy or otherdepartments to keep overflow inventoryfresh until it, too, can be displayed. In thefloral department itself, even floor spacecan be used effectively.

The trick with far-flung displays and bor-rowed cooler space is maintenance. Therisk of shrink rises considerably whenthere’s more product exposed on the salesfloor and when sales velocity increases. ButCano has an easy solution. He relies on hissuppliers, an increasingly common trendthroughout the industry. “We get a lot ofsupport from our suppliers,” he admits.“They’re experts in floral, so we’ve told oursuppliers that our guys at the retail leveldon’t care about flowers like you do. We’llallocate space for floral and motivate ourvendors to sell it for us.”

THE COOLER QUEST IONOf all the space questions involved, per-

haps none is as crucial as the cooler space.Refrigerator space is by far the most expen-sive square footage in the floral department,but it’s also one of the most lucrative. Prop-erly stocked coolers can display products forsale, store inventory, and reduce shrinkageby maintaining inventory life.

However, poorly allocated refrigeratorspace can seriously eat into overall floralmargins. Too much space results in emptycoolers that reduce sales and waste precioussquare feet, and too little space representslost opportunity for additional sales.

Britigan usually recommends her clients

Vertical shelves increase the visibilityand space within a floral department.


Balancing Production,Pricing And Consumption

Regardless of the effort put forth, controlling the laws ofsupply and demand for perishable product has been, andwill continue to be, a lost cause, unless some form of pro-cessing occurs that modifies shelf life. The primary vari-able becomes the degree of supply and demand change

for each item compared with corresponding changes for other itemscompeting for the consumer’s dollar.

Recently, a substantial amount of concern was generated regard-ing the reduction in banana supplies, which has translated intohigher costs for retailers. Consumer demand has remained littlechanged even in the current economic climate. This is due to thefact that non-advertised retails have remainedrelatively consistent, putting pressure on boththe percentage and the dollar margins for thishigh volume item. The caveat is that manyretailers are concerned consumers will reduceconsumption if prices rise significantly. Natu-rally, that is initially what will happen, but noone wants to be the first to raise prices.

On the other hand, as long as demandexceeds production there’s only one way costscan go. However, only when retail prices areraised enough to cause consumers to reducetheir consumption patterns will retail demanddecrease. Then, producers will have to stopraising prices and adjust marketing programs tomove excess supplies. Initially, this will mostlikely manifest itself in larger volume dis-counts, promotional retails, stimulating con-sumption and starting a new marketing cycle.

The case for balancing supply and demandis much easier with bananas because of the relatively limited num-ber of suppliers who employ varying promotional approaches. Insituations where supply is somewhat limited, controlling promo-tional pricing programs is perhaps the easiest way to adjust chang-ing supply levels to potential consumer demand.

When retailers find limited promotional product cost offeringsfor a particular item, the tendency is to maintain everyday pricinglevels for extended periods of time. For a staple item as relativelyinelastic as bananas, sales and profit dollars during a non-promo-tional period may actually exceed the results during a similarlength time period, even when promotions are being offered.

In the meantime, when an important item receives less promo-tional effort, then promotional efforts shift to alternative itemswithin the department, providing increased opportunities for otherproduce production groups to alter consumer consumption pat-

terns. A reasonable example is the increased featuring of berriesthis winter by several retail chains.

Astute analysis of sales’ results may identify promotional pro-grams and combinations of items with greater elasticity to produceimproved sales and profit results. Too often, marketers fall into toonarrowly defined promotional guidelines without an exact vision ofthe next great opportunity for consumer response.

A review of recent history shows many retailers are so aware ofcompetitive pricing that it requires only limited time for others tofollow to a higher price level during times of curtailed supplies,when margins are under pressure. The greatest concern is the pric-

ing action taken by the company having thelargest share of consumer market penetra-tion. A market research study several yearsago confirmed local competition had thelargest impact on produce pricing.

Perhaps the most important action to con-sider when raising retails is to do so in smallincrements. Raising prices four or five centsper unit is not nearly as much of a consumerturn off as changing in ten cent increments inan effort to keep the retail ending in a ninedigit. In actuality, pricing in numbers endingin anything other than nine for multipleitems may be even more effective. The smat-tering of non-nine priced items offer the pos-sibility of establishing a new dynamic todevelop a more profitable produce achieve-ment.

It wasn’t that long ago when the numberof produce SKUs maxed out at about 200.

Today, there are two to three times that amount. With so manychoices, the average consumer remembers the pricing for very fewitems, apart from those most frequently purchased. In fact, con-sumers tend to remember prices for those items that interest themthe most at any given time.

A quarter century earlier, numerous people thought consumerswould drastically reduce produce purchases if retails went abovespecific price points. Since then, price levels and variety havesteadily increased. Products with balanced supply and consumptionpatterns achieve a steady price level. The pricing-profitability riskcomes when production exceeds consumption. Retailers havelearned consumers respond slowly to non-advertised price changes.Therefore, substantial cost declines by producers have oftenbecome necessary before retailers institute promotional pricingbringing consumption back in balance with production. pb

By Dave DiverRETAILPERSPECTIVE

A delicate balance

between supplyand demand isnecessary to

keep retailersafloat in atroubled economy.


New Thinking On Small Formats

In France, the decline of fresh fruit and vegetable purchases is agenerational problem and the industry as a whole is trying tofind solutions. This project is currently under study at UNFD,the French Specialty Retailers’ Association. We see all efforts tohave produce more conveniently available, via vending

machines or new retail store formats, as part of an attempt by theindustry to wrestle with this generational problem. Data indicatesthat each successive generation is consuming less produce on a percapita basis.

Nonetheless, in France, fresh produce — as opposed to canned,dried or frozen — still represents the majority of weekly fruit andvegetable purchases. Unfortunately, over the last decade, the fre-quency of shopping trips has declined. In a 2007 study of shoppingbehaviors, 42.5 percent of buyers are trendingaway from regular trips to the supermarket afew times a week, instead shopping only oncea week. They drive to a big store in the sub-urbs and load up their cars with a week’sworth of food all at once, an ominous trend forconsumption of fresh fruits and vegetables.

To really enjoy fresh produce, it needs tobe purchased more than once a week. Thegeneral problem is that fresh produce, espe-cially if purchased ripe, is not easily storable,so once-a-week consumers eat it in a day ortwo and then wait until the next week to buymore. In the meantime, these consumers usecanned or frozen products, or prepared saladswith longer shelf lives.

So how would it be possible to address thisproblem and turn the fresh factor into a realproduct benefit? Our goal, as an associationand as an industry, is to make it easier for these consumers to findfresh fruits and vegetables near the places where they live or work,providing more access to convenient, ready-to-eat products. This isa good way to increase consumption, especially for young peoplewho consume less produce.

In France, we still eat for pleasure, but there are generationaldifferences with fresh produce consumption. The elderly, such asmy 82-year-old mother, continue to eat more fruits and vegetables,but I buy fewer fruits and vegetables than my mother did when shewas my age, and my niece buys still fewer fruits and vegetablesthan I did when I was her age. The young don’t want to bother withshopping, but they would like to eat healthy.

Many people work in and around Paris and other large cities inFrance and are using public transportation daily to commute towork. If people pass by small shops and buy only what they needfor the evening, that might be incentive to buy more fresh producemore frequently. They could buy some for lunch and then some for

dinner, and it wouldn’t be that heavy to carry. This concept wouldwork well for young people and couples, but perhaps not as easilyfor big families.

People in the suburbs have less choices than they had before.The traditional small shops of France are disappearing outside thecities and being replaced with massive supermarkets. Unfortunate-ly, people do not enjoy this type of shopping; there is no pleasure,no romance, in buying food. They do it once a week, as a chore,and are done.

One could assert that with the increase in fuel costs, people willgo back to shopping within close proximity of their homes, so thefuture is not that clear. I think it is clear, however, that people don’twant to waste time in food purchases.

Our project idea early on was to have smallshops on the streets where you walk, similarto a newsstand. There, consumers could buyready-to-eat fruit or salad. The aim is to makeit quick and easy.

I thought about delicate, fresh fruits likestrawberries. If you buy strawberries on Satur-day, you eat them on Sunday or, at the latest,by Monday. People might buy strawberriesmore often if they could find small shops ontheir commute to conveniently take withthem on the train to go home.

The idea would be to offer ripe fruit so con-sumers could eat it the same day as they pur-chase it. They could stop by the shop at lunchtime, and then we could have a second offerfor dinner, like fresh soup, ready-to-eat salads,or fruits.

The French Specialty Fruit Retailers’ Asso-ciation is trying to find a solution based on one of their strengths,namely proximity. At their request, Ctifl is currently studying thefeasibility of copying the dense network of news stands in urbanzones and the use of these stands as outlets for fresh fruit and veg-etables. What would be the ideal assortment for the small booths?How would they be fitted? How would they be restocked?

Specialty retailers in France represent 10 percent of fresh fruitand vegetable sales. They would be the obvious type of retail storesto implement this concept, but small format supermarket outlets,such as Carrefour Market or Monoprix, might also show interest.

Small stores, vending machines and newsstand clones are allattempts at dealing with the same problem. Only by developing aviable supply chain for small, omnipresent outlets can we encour-age the frequency of consumption that is crucial to offering fruitsand vegetables, both whole and fresh-cut, at the peak of their flavor.And only by offering fruits and vegetables at the peak of their flavorcan we hope to build consumption.

By Catherine RotyCatherine Roty, market researcher at the Paris, France-based trade association, Ctifl, wrote to the Perishable Pundit

on January 13, 2009, with some unique and fascinating ideas on new techniques to combat the decline of fresh produce purchases in France. Below is an excerpt from her letter.

EUROPEANMARKET

To reallyenjoy freshproduce, itneeds to bepurchasedmore than

once a week.


A&A Organic Marketing, Inc. . . . . . . . . . . . . . . . . . . 107 ....................77 ....................831-768-0300 ..............831-685-0302Abbott & Cobb . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 111 ..................109 ....................800-345-SEED ..............215-245-9043Albert’s Organics . . . . . . . . . . . . . . . . . . . . . . . . . . . 102 ....................37 ....................800-996-0004 ..............610-444-0316Maurice A. Auerbach, Inc. . . . . . . . . . . . . . . . . . . . . . 25 ....................72 ....................201-807-9292 ..............201-807-9596Awe Sum Organics, Inc.. . . . . . . . . . . . . . . . . . . . . . 104 ....................94 ....................831-462-2244 ..............831-462-2552Basciani Foods, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . 122 ....................78 ....................610-268-3044 ..............610-268-2194Bland Farms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 85 ....................79 ......................800-VIDALIA ..............912-654-3532Blue Book Services. . . . . . . . . . . . . . . . . . . . . . . . . . . 68 ....................60 ....................630-668-3500 ..............630-668-0303Brooks Tropicals. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33 ....................55 ....................800-327-4833 ..............305-246-5827Calavo Growers, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . 55 ..................103....................800-4-CALAVO ..............805-921-3272California Avocado Commission . . . . . . . . . . . . . . . . 23 ......................5 ....................800-344-4333 ..............714-641-7024California Leafy Greens Marketing . . . . . . . . . . . . . . . 25 ....................95 ....................916-441-1240California Tomato Farmers . . . . . . . . . . . . . . . . . . . . . 99 ....................96 ....................559-261-2630 ..............559-261-9804Canadian Produce Marketing Association . . . . . . . . . 80 ....................71 ....................613-226-4187 ..............613-226-2984Capital City Fruit Co., Inc. . . . . . . . . . . . . . . . . . . . . . . 94 ....................39 ....................515-981-5111 ..............515-981-4564Chep USA Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 74 ..................104 ..................800.CHEP. USA ..............407-422-4614Christopher Ranch . . . . . . . . . . . . . . . . . . . . . . . . . . 102 ....................68 ....................408-847-1100 ..............408-847-0581Ciruli Brothers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45 ....................80 ....................520-281-9696 ..............520-281-1473Coast Produce Company . . . . . . . . . . . . . . . . . . . . . 113 ....................30 ....................213-955-4900 ..............213-689-1298Curry & Company . . . . . . . . . . . . . . . . . . . . . . . . . . . 83 ....................35 ....................800-929-1073 ..............503-393-6085Del Monte Fresh Produce. . . . . . . . . . . . . . . . . . . . . 132 ....................43 ....................800-950-3683 ..............305-520-8495Dole Fresh Fruit Company . . . . . . . . . . . . . . . . . . . . . . 2 ....................64 ....................818-879-6600 ..............818-879-6628Dole Fresh Vegetable Co. . . . . . . . . . . . . . . . . . . . . . . 49 ....................54 ....................800-333-5454 ..............831-754-5243dProduce Man Software. . . . . . . . . . . . . . . . . . . . . . 120 ....................67 ..................888-PRODMAN ..............650-712-9973Duda Farm Fresh Foods, Inc. . . . . . . . . . . . . . . . . . . . 62 ....................48 ..................866-792-DUDA ..............561-978-5708Earthbound Farm . . . . . . . . . . . . . . . . . . . . . . . . . . . 101 ......................6 ....................888-624-1004 ..............831-623-7886East Coast Brokers & Packers, Inc. . . . . . . . . . . . . . 131 ....................81 ....................800-557-7751 ..............863-869-9850Eureka Specialties, Inc. . . . . . . . . . . . . . . . . . . . . . . 116 ....................22 ....................213-488-6470 ..............213-488-6480Eurofresh Farms, Ltd.. . . . . . . . . . . . . . . . . . . . . . . . . 96 ....................74 ....................520-384-4621 ..............520-384-4187Family Tree Farms . . . . . . . . . . . . . . . . . . . . . . . . . . . 66 ....................97....................866-FLAVOR-1 ..............559-595-7795Family Tree Farms . . . . . . . . . . . . . . . . . . . . . . . . . . . 63 ....................13....................866-FLAVOR-1 ..............559-595-7795Family Tree Farms . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 ....................14....................866-FLAVOR-1 ..............559-595-7795Family Tree Farms . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 ....................15....................866-FLAVOR-1 ..............559-595-7795Famous Software LLC . . . . . . . . . . . . . . . . . . . . . . . . 11 ....................16 ....................800-444-8301 ..............559-447-6334Farmington Fresh . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66 ..................110 ....................209-926-3518 ..............209-926-3588Florida Department of Agriculture . . . . . . . . . . . . . . . 34 ....................49 ....................850-488-4303 ..............850-922-0374Fresh Farms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 81 ....................82 ....................520-377-0878 ..............520-377-0661Fresh Partners AB . . . . . . . . . . . . . . . . . . . . . . . . . . 122 ....................58 ..................46-8-742-1215 ............46-8-742-6201General Produce, Inc.. . . . . . . . . . . . . . . . . . . . . . . . . 76 ....................12 ....................800-782-5833 ..............404-361-1841Giorgio Fresh Co. . . . . . . . . . . . . . . . . . . . . . . . . . . . 120 ....................65 ....................800-330-5711 ..............610-429-3810Giorgio Fresh Co. . . . . . . . . . . . . . . . . . . . . . . . . . . . 104 ....................66 ....................800-330-5711 ..............610-429-3810The Giumarra Companies. . . . . . . . . . . . . . . . . . . . . . 58 ....................19 ....................509-663-4409 ..............509-663-7113Global Organic Specialty Source, Inc. . . . . . . . . . . . 101 ....................44 ....................877-952-1198 ..............941-358-6551Grower Alliance, LLC . . . . . . . . . . . . . . . . . . . . . . . . 110 ....................42 ....................520-761-1921 ..............520-377-9189Heath & Lejeune, Inc.. . . . . . . . . . . . . . . . . . . . . . . . 116 ....................31 ....................213-614-1909 ..............213-614-6856Hendrix Produce, Inc.. . . . . . . . . . . . . . . . . . . . . . . . . 84 ....................27 ....................800-752-1551 ..............912-685-4420Herb Thyme Farms. . . . . . . . . . . . . . . . . . . . . . . . . . 102 ....................83 ....................831-476-9733 ..............831-476-3710L.G. Herndon Jr. Farms, Inc. . . . . . . . . . . . . . . . . . . . 92 ......................8 ....................912-565-7640 ..............912-565-7158Idaho Potato Commission . . . . . . . . . . . . . . . . . . . . . . 5 ....................73 ....................208-334-2350 ..............208-334-2274Inline Plastics Corp. . . . . . . . . . . . . . . . . . . . . . . . . . . 50 ......................2 ....................800-826-5567 ..............203-924-0370J J Jardina Company, Inc. . . . . . . . . . . . . . . . . . . . . . 76 ....................11 ....................404-366-6868 ..............404-366-1386JBJ Distributing, Inc. . . . . . . . . . . . . . . . . . . . . . . . . 117 ..................105 ....................714-992-4920 ..............714-992-0433JBJ Distributing, Inc. . . . . . . . . . . . . . . . . . . . . . . . . 103 ..................106 ....................714-992-4920 ..............714-992-0433Kerian Machines, Inc.. . . . . . . . . . . . . . . . . . . . . . . . . 98 ....................45 ....................701-352-0480 ..............701-352-3776

Kern Ridge Growers, LLC. . . . . . . . . . . . . . . . . . . . . 104 ....................84 ....................661-854-3156 ..............661-854-2832Keystone Fruit Marketing, Inc. . . . . . . . . . . . . . . . . . . 86 ....................21 ....................800-498-1577 ..............717-597-4096KPG Solutions, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . 22 ....................85 ....................407-331-5151 ..............407-331-5158Lakeside Organic Gardens . . . . . . . . . . . . . . . . . . . . 103 ....................46 ....................831-761-8797 ..............831-728-1104Tom Lange Co. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 106 ....................26 ....................217-786-3300 ..............217-786-2570M&M Farm, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 ....................36 ....................800-634-7898 ..............305-233-0813Mann Packing Company, Inc.. . . . . . . . . . . . . . . . . . . . 9 ....................75 ....................800-884-6266 ..............831-422-5171The Marketsol Group, LLC . . . . . . . . . . . . . . . . . . . . . 35 ......................1 ....................956-782-9933 ..............956-782-9937Mastronardi Produce, Ltd. . . . . . . . . . . . . . . . . . . . . . 95 ....................86 ....................519-326-1491 ..............519-326-8799Melones International/Apache Produce . . . . . . . . . . . 97 ....................40 ....................520-281-2282 ..............520-761-1829Miatech. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32 ....................34 ....................800-339-5234 ..............503-659-2204Mission Produce, Inc. . . . . . . . . . . . . . . . . . . . . . . . . 54 ....................17 ....................888-549-3421 ..............805-981-3660MIXTEC Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 92 ....................50 ....................626-440-7077 ..............626-440-1557Morada Produce Company . . . . . . . . . . . . . . . . . . . . 66 ....................47 ....................209-546-1816 ..............209-546-1822Mother Earth . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 103 ....................38 ....................610-869-7211 ..............610-869-4729National Watermelon Promotion Board . . . . . . 108-109 ....................87 ....................407-657-0261 ..............407-657-2213New Harvest Organics, LLC . . . . . . . . . . . . . . . . . . . 102 ....................53 ....................520-281-0231 ..............520-281-0237Nickelodeon . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39 ....................24 ....................212-846-4942 ..............212-846-1822Nobles-Collier, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . 94 ....................98 ....................239-657-4401 ..............239-657-4407Northern Plains Potato Growers Assn. . . . . . . . . . . . 24 ....................70 ....................218-773-3633 ..............218-773-6227Pandol Brothers, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . 62 ....................28 ....................661-725-3145 ..............661-725-4741Phillips Mushroom Farms . . . . . . . . . . . . . . . . . . . . 121 ....................18 ....................800-722-8818 ..............610-444-4751Plain Jane. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 97 ....................40 ....................520-281-2282 ..............520-761-1829Plantation Sweets. . . . . . . . . . . . . . . . . . . . . . . . . . . . 88 ......................7 ....................800-541-2272 ..............912-684-4545Primavera Marketing, Inc. . . . . . . . . . . . . . . . . . . . . . 66 ....................25 ....................209-931-9420 ..............209-931-9424Produce for Better Health Foundation . . . . . . . . . . . . 43 ....................59 ....................302-235-2329 ..............302-235-5555The Produce Marketing Association . . . . . . . . . . . . . 15 ....................88 ....................302-738-7100 ..............302-731-2409The Produce Marketing Association . . . . . . . . . . . . . 59 ....................89 ....................302-738-7100 ..............302-731-2409Produce Pro Software . . . . . . . . . . . . . . . . . . . . . . . . 32 ....................61 ....................630-395-0535 ..............630-572-0390PuraVida Farms . . . . . . . . . . . . . . . . . . . . . . . . . . . . 116 ....................90 ....................714-671-1501 ..............714-686-9253PuraVida Farms . . . . . . . . . . . . . . . . . . . . . . . . . . . . 107 ....................91 ....................480-588-7012 ..............714-686-9253Ray Farms, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 91 ....................92 ....................800-692-3093 ..............912-654-9065Red Blossom Farms, Inc. . . . . . . . . . . . . . . . . . . . . . . 30 ....................99 ....................805-981-1839 ..............805-693-0032Roberson Onion Co.. . . . . . . . . . . . . . . . . . . . . . . . . . 89 ......................9 ....................912-375-5760 ..............912-375-3610Ruma Fruit & Produce Co., Inc. . . . . . . . . . . . . . . . . . 26 ..................100 ....................800-252-8282 ..............617-387-7894Sambrailo Packaging . . . . . . . . . . . . . . . . . . . . . . . . . 51 ....................20 ....................800-563-4467 ..............831-724-1403Samra Produce & Farms inc. . . . . . . . . . . . . . . . . . . 117 ..................107 ....................213-486-0086 ..............213-486-0076Saven/OSO Sweet . . . . . . . . . . . . . . . . . . . . . . . . . . . 90 ....................51 ....................231-946-9696 ..............231-946-1420Shuman Produce, Inc. . . . . . . . . . . . . . . . . . . . . . . . . 87 ....................10 ....................912-557-4477 ..............912-557-4478Silver Creek Software . . . . . . . . . . . . . . . . . . . . . . . . 115 ..................101 ....................208-388-4555 ..............208-322-3510Stemilt Growers, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . 65 ..................108 ....................509-662-9667 ..............509-663-2914Stemilt Growers, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . 66 ....................29 ....................509-662-9667 ..............509-663-2914Sweet Onion Trading Company . . . . . . . . . . . . . . . . . 89 ....................57 ....................800-699-3727 ..............321-674-2003Tanimura & Antle, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . 7 ....................69 ....................800-772-4542 ..............831-455-3915Tavilla Sales Co. of Los Angeles. . . . . . . . . . . . . . . . 114 ....................76 ....................213-622-4435 ..............213-622-0004Trinity Fruit Sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66 ....................32 ....................559-433-3777 ..............559-433-3790Umina Bros., Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . 115 ....................23 ....................805-488-6658 ..............805-488-0976United Fresh Produce Association . . . . . . . . . . . . . . . 31 ......................3 ....................202-303-3400 ..............202-303-3433Virginia-Carolina Peanut Promotions. . . . . . . . . . . . 124 ....................56 ....................252-459-9977 ..............252-459-7396Weis-Buy Farms, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . 94 ..................102 ....................239-433-3530 ..............239-433-3773Well-Pict Berries. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62 ......................4 ....................831-722-3871 ..............831-722-6340West Coast Tomato, Inc. . . . . . . . . . . . . . . . . . . . . . . 98 ....................33 ....................941-722-4537 ..............941-729-6778Westmoreland Sales . . . . . . . . . . . . . . . . . . . . . . . . . 40 ....................93 ....................866-538-3819 ..............519-322-1988Zespri International . . . . . . . . . . . . . . . . . . . . . . . . . . 57 ....................41 ....................650-368-2870 ..............650-745-1419

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I n 1906, Steven Pandol Sr., emigrated to the United States from present-day Croatia, before eventual-ly settling in Fresno, CA. Steven and his wife, Margaret, had three sons, Jack, Matt and Steve Jr.The family business, which incorporated in 1957, Pandol Bros.Inc., now headquartered in Delano, CA,got its start in the 1940s when Steve and

Margaret purchased a 160-acre farm near Delano. Shown in this March 3, 1957 photo are Steve Pan-

dol, Jr;, Antoinette Zaninovich Pandol; Steve Pandol,Sr.; bride and groom, Lucy Tudor Pandol and Matt

Pandol, Sr.; Margaret Pandol; Winnie Zaninovich Pandol; and Jack Pandol. SteveJr. and Jack Pandol both married the sisters of Martin Zaninovich of JasmineVineyards Inc., in Delano, CA.

For more than 70 years, Pandol’s philosophy has focused on providing its cus-tomers with the world’s finest produce and service, states John Pandol, son ofLucy and Matt Pandol, Sr. Today, the innovative import and export company is aglobal leader in providing grapes and an array of other fresh produce.

Since the inception of Pandol Bros., the produce industry has changed tremendously. “It’s gone from where production drove allactivities to where marketing drives all activities,” John Pandol explains. “You used to plant a variety of grapes and worked with it untilit reached its maximum growth potential. Nowadays, if nobody wants it, you end up pulling it out.”

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With the proper blend of the best of tradition and state-of-the-art technology, we take great pride in providing our customers with the very best tomatoes.

Year-round—from Pallet to Plate, the choice is clear.

Batista Madonia Jr. Sales Manager

Batista Madonia Sr. President & CEOEvelyn M. Madonia, Executive Vice President/Secretary-Treasurer

Stephen Madonia All Growing Operations

GROWERS • PACKERS • BROKERS • SHIPPERS

800-557-7751 or 863-425-3500Fax: 863-869-9850

Rosemary Madonia, Comptroller

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Home Cooking Makes A Comeback - Produce Business · 2019. 5. 22. · continues to thrive....

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