The Nostalgic Nut

JAN

UA

RY 2015

INSIDE:

THE PUNDIT EXAMINES LOS ANGELES TIMES ARTICLE ABOUT MEXICAN LABORMUSHROOM MARKETING • AL’S SUPERMARKETS • MEXICAN PRODUCE

CHILEAN FRUIT (PART II) • CONTROLLED ATMOSPHERE APPLESSPECIALTY CITRUS • SPROUTS FARMERS MARKET • FLORIDA STRAWBERRIES

TROPICAL FRUIT MERCHANDISING • CHEFS CATER TO VEGETARIANSTOFU • CLAMSHELLS • SOFTWARE • PEANUTS

EXCLUSIVE

THE NEW YORK PRODUCE SHOWAND CONFERENCE RETROSPECTIVE

SUPERFOODS:Marketing Magic or Produce Pretenders?

WWW.PRODUCEBUSINESS.COMJAN 2015 •VOL. 31 • NO. 01

$9.90

PB Jan-Cover_Layout 1 1/7/15 12:11 PM

DOLE Fruit_Ad 1/3/15 9:11 AM Page 1

http://www.dole.com

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.

cover story25SUPERFOODS: MARKETING MAGIC OR PRODUCE PRETENDERS?Delivering big at the register despite scientists’ skepticism

72

JANUARY 2015 • VOL. 31 • NO. 01 • $9.90

commentary14 THE FRUITS OF THOUGHT

Whole Foods’ Reaction To Organic-Margin Squeeze Threatens Efforts To Boost Consumption

118 RETAIL PERSPECTIVEIs Retail Pricing Dampening Produce Consumption?

120 EUROPEAN MARKETInternational Retailing

features36MEXICAN PRODUCE POSITIONED FOR FUTURE GROWTHQuality, consistency, availability and proximity put Mexican produce in the right place at the right time.

44CHILE MAINTAINS ITS PLACE AS A ‘GO-TO’ WINTER PRODUCE SOURCE (PART II)Well-established categories will yield greater impact with some specialized promotion.

48SELL MORE SPECIALTY CITRUSCategory is growing as consumers embrace these healthy varieties.

56A PACKAGING SHIFTProduct protection, merchandising appeal and sustainable qualities have led to an increased presence in produce departments.

61MARKETING MUSHROOMS BEYOND BLENDABILITY While the category grows browner and more exotic, trends using mushroom versatility and blendability shine this winter.

67SOFTWARE: FROM FOOD SAFETY TO INVENTORY CONTROLEfficiency and reduced waste may pay for traceability technology.

72TAKING A BITE OUT OF WINTER Best marketing and merchandising practices for controlled-atmosphere apples during the coldest season.

77SQUEEZING MORE OUT OF TOFUEducation, samples and smart marketing are key to increasing sales.

107A TASTE OF SUNSHINE IN THE WINTER Florida strawberries are highly recognized during winter months because of their availability, versatility and profitability.

61

48

PRODUCE BUSINESS / JANUARY 2015 / 3

TOC_Layout 1 1/7/15 1:39 PM Page 1

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.

special insert83THE NEW YORK PRODUCE SHOW AND CONFERENCE RETROSPECTIVEThe 5th Annual Celebration of Fresh Produce

departmentsMERCHANDISING REVIEWS

80 TOP WAYS TO INCREASE SALES OF TROPICAL FRUITIndustry insiders share tips on the bestways retailers can merchandise and manage the category.

FOODSERVICE PROFILE110 CHEFS ACROSS

RESTAURANT LANDSCAPE CATER TO MEATLESS DINERS Plant-based fare now considered part of foodservice’s fabric.

DRIED FRUIT AND NUTS114 THE NOSTALGIC NUT

Sports games, holidays, and other gatherings are key to peanut sales.

special features20FROM THE PAGES OFTHE PERISHABLE PUNDITDamaging Los Angeles TimesArticle About Mexi-can Labor, Though Incomplete And Unbalanced,Puts Retailers And Receivers On Notice: In ATransparent World, Retailers In AmericaAre Now Responsible For Their Supply Chains.

23ASCENDENT INDEPENDENTS: AL’S SUPERMARKETS How one independent retailer took a risk to compete with evolving grocery chains and held its own as a produce destination with personalized service.

65RETAIL PROFILE: SPROUTS TAKES THE FARMERS MARKET CONCEPT TO SUPERIOR LEVELSSprouts Farmers Market allures consumerswith quality produce and dynamic visuals.

80

110in this issue6 THE QUIZ

8 WASHINGTON GRAPEVINE

10 PRODUCE WATCH

16 FORWARD THINKING

18 RESEARCH PERSPECTIVES

19 COMMENTS AND ANALYSIS

121 INFORMATION SHOWCASE

122 BLAST FROM THE PAST

CORRECTIONIn the November 2014 issue ofPRODUCE BUSINESS, there wasa typo regarding the tempera-tures for storing asparagus.Chloé Varennes, marketingmanager for Redondo Beach,CA-based Gourmet Tradingwas quoted as saying: aspara-gus had to be stored at 32F to26F. The correct temperaturesare 32F to 36F. Our regrets forthe error.

4 / JANUARY 2015 / PRODUCE BUSINESS

JANUARY 2015 • VOL. 31 • NO. 01 • $9.90

TOC_Layout 1 1/6/15 3:58 PM Page 2

Produce 4 Better_Ad 12/24/14 10:47 AM Page 1

mailto:[email protected]

JANUARY 2015 • VOL. 31 • NO. 01 • $9.90

P.O. Box 810425 • Boca Raton • FL 33481-0425 Phone: 561-994-1118 • Fax: [email protected]

PRESIDENT & EDITOR-IN-CHIEFJames E. Prevor

[email protected]

PUBLISHER/EDITORIAL DIRECTORKen Whitacre

[email protected]

VP EDITORIALEllen Koteff

[email protected]

SPECIAL PROJECTS EDITORMira Slott

[email protected]

INTEGRATED CONTENT EDITORMichele Sotallaro

[email protected]

PRODUCTION DIRECTORDiana Levine

[email protected]

PRODUCTION LEADERJackie Tucker

PRODUCTION DEPARTMENTSunshine GormanFreddy Pulido

Christopher Sizemore

EVENT COORDINATORJackie LoMonte

[email protected]

EDITORIAL INTERNMadeline Mesa

[email protected]

CONTRIBUTING WRITERS

Carol Bareuther, Mark Hamstra, Mindy Hermann,Bob Johnson, Oscar Katov, Keith Loria, GillMcShane, Kristen Pope, Jodean Robbins,

Anthony Stoeckert, Lisa White

ADVERTISINGEric Nieman, Associate Publisher

[email protected]

Linda [email protected]

Katrina [email protected]

Sandy [email protected]

Kelsee [email protected]

Bill [email protected]

Ellen [email protected]

Gino [email protected]

FLORAL DEPARTMENT MARKETINGE. Shaunn Alderman

[email protected]

Send insertion orders, payments, press releases,photos, letters to the editor, etc., to

PRODUCE BUSINESS, P.O. Box 810425 Boca Raton, FL 33481-0425

PH: 561.994.1118 FAX: 561.994.1610

PRODUCE BUSINESS is published by Phoenix Media Network, Inc. James E. Prevor, Chairman of the Board

P.O. Box 810425, Boca Raton, FL 33481-0425. Entire contents © Copyright 2015

Phoenix Media Network, Inc. All rights reserved. Printed in the U.S.A.

Publication Agreement No. 40047928

Photocopies of this form are acceptable. Please send answers to: JANUARY QUIZ PRODUCE BUSINESS • P.O. Box 810425 • Boca Raton, FL 33481-0425

This issue was: o Personally addressed to me o Addressed to someone else

Name ______________________________ Position ______________________________

Company __________________________________________________________________

Address ____________________________________________________________________

City _______________________________________________________________________

State _____________________________________ ZIP _____________________________

Phone ______________________________ Fax __________________________________

How To Win! To win the PRODUCE BUSINESS Quiz, the first thing you have to do is enter. The rules are simple: Readthrough the articles and advertisements in this issue to find the answers. Fill in the blanks corresponding to the questions below, and either cut along the dotted line or photocopy the page, and send your answers along with abusiness card or company letterhead to the address listed on the coupon. The winner will be chosen by drawingfrom the responses received before the publication of our March issue of PRODUCE BUSINESS. The winner must agreeto submit a color photo to be published in that issue.

QUESTIONS FOR THE JANUARY ISSUE1) What brand of grapefruit is known as “The Sweetest Texas Reds”? ________________________

______________________________________________________________________________

2) How many apple brands are shown on the CMI ad? ___________________________________

______________________________________________________________________________

3) Which type of Navel orange is promoted on the Sunkist ad? ____________________________

______________________________________________________________________________

4) What is the name of the category manager who has laryngitis on the Idaho Potato ad? ________

______________________________________________________________________________

5) Which company is partnering with Avocados from Mexico for a “Football Fiesta”? ___________

______________________________________________________________________________

6) What is the website address for Prime Time Produce?__________________________________

_______________________________________________________________________________

Jonathan Raduns grew up on a vegetablefarm in western New York. As an adult, hedecided to dedicate his career in produce tohelping farms and retailers improve profits.

After graduating from Rochester Instituteof Technology with a degree in food market-ing and distribution, he worked at Rochester,NY-based Brothers International Food Corpo-ration (a full service direct importer, distribu-tor and supplier of bulk packaged food

THIS MONTH’S WINNER

JONATHAN RADUNSOwner/Merchandising ConsultantMerchandiseFood.comSomerdale, NJ

WIN A FITBIT “CHARGE”A perfect way to start a healthy New Year, this sleek wristband is essen-

tially a personal trainer. Track your steps, calories burned, floors climbed,active minutes and sleep by monitoring your activity. The device includesCaller ID, shows daily stats, current time and monitors sleep results on abright OLED display. By connecting to an app on your smartphone or com-puter, FitBit enables you to manage your diet and exercise. The rechargeablebattery lasts seven to 10 days. The large-size band adjusts to wrist meas-urements of 6.3 inches to 7.9 inches and is 21 millimeters wide.


ingredients for the food and beverage indus-try) and participated in Wegmans’ Food Mar-kets management program.

Eventually, he started his own company,Merchandise Food LLC — a retail and mer-chandising consulting company aimed to helpretailers improve financial results.

“We just finished a project with FreshX-perts [a Lee’s Summit, MO-based produceconsulting firm specializing in areas of mar-keting expertise] and Beuhler’s Fresh Foods.We worked with Beuhler’s on an extensive,year-long reinvention process for their freshproduce department,” says Raduns, who isalso a PRODUCE BUSINESS 40 Under Forty recip-ient. “We coached them on growing business,improving merchandising techniques, opera-tional concerns and shrink management.

produce quiz

Quiz_Layout 1 12/31/14 11:58 AM Page 1



















Center 4 Produce Safety_Ad 12/12/14 3:22 PM Page 1


http://www.centerforproducesafety.org

On November 20, PresidentObama announced a series of“Executive Actions” regardingimmigration. The President’sactions contain many facets,

but the one that garnered the most atten-tion has been deferred deportation forcertain immigrants. At various times, thePresident’s executive orders were portrayedas amnesty for illegal immigrants or asimmigration reform. In reality, the Presidenthas done neither. Most troubling for thefresh produce industry is the fact that theseactions do nothing to provide the desper-ately needed long-term relief to agricultureemployers who constantly must scrambleto recruit and maintain a skilled, dedicatedworkforce. And even worse, Congress isshowing little indication they will act onmuch-needed relief soon.

The deferred deportation portion of thepresident’s action works like this: an indi-vidual who has continuously resided in thiscountry without legal authority since January1, 2010, and/or who is the parent ofsomeone who is a U.S. citizen or legalpermanent resident as of November 20,2014, is eligible to apply for deferred depor-tation. Following a background check andverification of family relationship, the indi-vidual will be given documentationevidencing authority to remain and work inthe U.S. for an initial period of three years.

Other criteria for qualifying for deferredaction for parents of U.S. citizens and lawfulpermanent residents include:

n They are not a law enforcementpriority due to terrorism or espionageor otherwise pose a danger to nationalsecurity.

n They were not apprehended whileattempting to unlawfully enter the U.S.at the border or ports of entry.

n They are not convicted felons.n They have not been convicted ofsignificant or multiple misdemeanors.

Also, the President’s order establishesnew requirements for those who can qualifyfor deferred action under the Deferred Actionfor Childhood Arrivals (DACA) program. Theseindividuals must:

n Be under the age of 31 as of June 15,2012.

n Arrived in the U.S. before their 16thbirthday.

n Continuously resided in the U.S. sinceJune 15, 2007.

Technically, the President’s action shouldhave no visible impact on the current work-force. Under existing law, all employers mustverify the authority of their workers to work inthe United States or face penalties. This isaccomplished by the I-9 Employment Verifica-tion process. Assuming the employer hasdutifully complied with I-9 requirements, thereshould be nothing to suggest the ExecutiveAction would apply to any current worker.Over the course of the next 180 days, the

BY JULIE MANESDIRECTOR OF GOVERNMENT RELATIONS,UNITED FRESH PRODUCE ASSOCIATION

Administration will be issuing guidelines thatshould clarify how these actions interface withthe work authorization requirement of existinglaw, as well as how employers can protectthemselves in various scenarios. Without thatclarification, it is best for employers to resistthe urge to “do something.” United Fresh willwork closely with our agriculture counterpartsto ensure the Administration is educated onthe needs of agriculture employers, and wewill share those updates with you as soon aswe have them.

However, with this announcement, we arereminded again that our elected leaderscontinue to abdicate their responsibility toaddress one of the most critical problemsfacing our nation, a flawed and outdatedimmigration system. This Executive Orderdoesn’t address any long-term solutions,which can only be done through congres-sional action. The need for fundamentalreform of our nation’s immigration system isabundant. Bottomline, we believe bothCongress and the President need to ratchetdown the rhetoric and come to the table to get this done in 2015. We at United Freshwill keep working hard to make that goal a reality.

Immigration Executive Order Brings More Uncertainty To Produce Industry

With this announcement, we are remindedagain that our elected leaders continue toabdicate their responsibility to address one of the most critical problems facing

our nation, a flawed and outdated immigration system.


Grapevine_Layout 1 12/22/14 5:25 PM Page 1

For Booth Sales, Sponsorship and Registrations in the UK, Europe, Asia and Africa Tommy Leighton T: +44 (0)20 3143 3222 • Email: [email protected] Email: [email protected] • Email: [email protected]

For Booth Sales, Sponsorships and Registrations in North America, South America and Oceania Ellen Rosenthal, Felicia Schianodicola, Eric Nieman, Bill Martin, Sandy Lee, Shaunn Alderman, and Priscilla Lleras

T: +1 561-994-1118 • Email: [email protected] Email: [email protected] • Email: [email protected]

London PS_Ad 12/12/14 4:54 PM Page 1








produce watch

Produce & 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].

CHURCH BROTHERSSALINAS, CAKori Tuggle, a produce executive with more than 15years of marketing experience, is joining ChurchBrothers, LLC, as vice president of marketing.Tuggle will report to chief exec-utive, Steve Church, andwork closely with thesales and new busi-ness developmentteams, as well asbe responsiblefor marketingand other corpo-rate priorities.

J&J FAMILY OF FARMSLOXAHATCHEE, FLAs J&J Family of Farms continues to expand into theWestern region of the U.S., the company recentlyhired Mari Danielson, who will serve as its Westernsales manager. Danielson, who was previously thesenior sales executive for Sunfed, brings a widerange of produce experience to this new position.

SWEET SCARLETTS AND WONDERFUL HALOS ARRIVE IN STORES NATIONWIDEThe makers ofWonderful Pista-chios, LosAngeles, CA-based POMWonderful andWonderful Halos launch Wonderful Sweet ScarlettsTexas Red Grapefruits to produce aisles nationwide.Sweet Scarletts are grown, packed and shipped inTexas by Paramount Citrus.

SAMBRAILO PACKAGING PARTNERS WITH CCOFSambrailo Packaging, Watsonville, CA, partners withCalifornia Certified Organic Farmers (CCOF).Sambrailo will donate a portion of the sales gener-ated through the CCOF online store for Go Greener!clamshells to CCOF in support of the Future OrganicFarmer Grant Fund.

NEW LOCATION FOR NEPC PRODUCE AND FLORAL EXPONew England Produce Council, Inc. announces its annual expo: NEPC BY THESEA. This year it is scheduledfor Wednesday, September 16,2015 and ThursdaySeptember 17, 2015 at theoceanfront Chatham Bars Innin Chatham, MA. At the newvenue, the exhibit space islimited, so participantsshould reservebooths early.

MELISSA’S RELEASES POTATO COOKBOOKMelissa’s Produce, Los Angeles, CA, adds anotherspecialty cookbook to the company’s series. TheBaby Dutch Yellow Potato (DYP) is the perfectcooking potato, and there are 154 recipes in DYP'sThe Perfect Everyday Potato Cookbook. Recipes aregrouped according to the seasons of the year,incorporating the fresh harvests of the day toenhance, support and combine with the DYP.

TRANSITION

THE ANDREW SMITH COMPANYSALINAS, CAThe Andrew Smith Companyhires industry veteranDudley Brinan as salesand outside procurementmanager. In his new role,Brinan will maximize effi-ciency and minimizecustomer logistics. Truckspicking up freshproduce fromAndrewSmithCompany, and its affiliate Colorful Harvest, can relyon Brinan’s 20 years of experience to source,procure, and consolidate the balance of itsloads.

Another addition to the Andrew Smith Companysales division is StevenGarza. Garza comesto the positionhaving previouslyserved in salessupport, logisticsand marketing withAndrew SmithCompany affiliate

Colorful Harvest.

HALOS SEASON BEGINSMandarins from Wonderful Halos are back inseason and now available in produce aisles nation-wide. In season through April, Halos are a sweet,seedless and easy-to-peel family snack. ParamountCitrus, Bakersfield, CA, continues to push itsmarketing campaign to promote its Mandarinbrand, Wonderful Halos.

NATURE FRESH FARMS LAUNCHESMOBILE MICRO GREENHOUSE Nature Fresh Farms, Leamington, ON, built a mobilemicro greenhouse and is the first micro greenhouseof its kind with a completely mobile unit. Theproject received much praise at the Royal Agricul-tural Winter Fair in Toronto and at the June 2014United Fresh Convention. Highlighting the core 11elements in the growing process, the greenhouse isequipped with live plants that are growing toma-toes, a complete irrigation and heating system, aswell as a contained area with live bees.

TRANSITIONS TRANSITION

ANNOUNCEMENT

ANNOUNCEMENT

ANNOUNCEMENT

ANNOUNCEMENT

ANNOUNCEMENT

ANNOUNCEMENT

Watch_Layout 1 12/24/14 11:25 AM Page 1


Paramount Citrus A1_Ad 12/15/14 12:17 PM Page 1

http://www.paramountcitrus.com


produce watch

Produce & 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].

EAT SMART LAUNCHES VEGETABLE KIT FOR SUPERFOOD LINEEat Smart is bringing something new to the saladkit category in North America. Apio, Inc., Guadalupe,CA, launched two new Eat Smart GourmetVegetable Salad Kits as part of its superfoodproduct line. All ingredients are pre-cut, pre-washedand pre-measured, so consumers just need to mixand serve.

DEL MONTE FRESH PRODUCE WILL OPEN FRESH CUT FACILITY IN CANADADel Monte Fresh Produce N.A., Inc., Coral Gables,FL, announced that its first state-of-the-art Cana-dian distribution center, which opened in Januarythis year, is now being complemented by theopening of a fresh-cut facility in Oshawa, ON. Thefacility services the Toronto, Montreal and Ottawametropolitan areas with fresh produce.

CHIPOTLE AND LOCALECOPIA INC.ANNOUNCE FLORIDA FARM WINNERSChipotle Mexican Grill, in partnership with Locale-copia Inc. (a Palm Beach, FL-based non-profitorganization supporting local, sustainable busi-ness), announced the 10 Florida farm winners of“The Chipotle Cultivate 10” award. “The ChipotleCultivate 10” winners will receive a one-yearmembership to Localecopia with its many member-ship benefits including exposure to potentialbuyers, sellers, industry experts and other farmers.

A.J. TRUCCO REBRANDS KIWISTAR KIWIFRUITA.J. Trucco, Inc., Bronx, NY, announces the re-launchof its KiwiStar brand. KiwiStar has been on the

market foralmost 15 years,and completed arebranding initia-tive with anupdated logo,new design andconsumer-friendlypackaging. All ofthe new pack-aging highlightsthree easy stepsfor consumers toeat kiwifruit:“Slice. Scoop.Enjoy.”

LOCUS TRAXX WORLDWIDE AND PATTERSON COMPANIESANNOUNCE EDI INTEGRATIONLocus Traxx Worldwide, Jupiter, FL, announced anew partnership with Plant City, FL-based PattersonCompanies (a third-party logistics provider ofperishable and non-perishable goods). The impor-tance of this integration is to preventtransportation problems and to monitor deliveriesto thousands of Patterson Companies’ customersannually. The Patterson structure providescustomers with domestic, as well as internationalreach in both the perishable and non-perishablemarkets.

“HUNGRY FOR FOOTBALL”PROMOTION PROVES TO BEGREAT SUCCESS Avocados from Mexico (AFM),Dallas, TX, announcedsuccessful results forits “Hungry for Foot-ball” promotion. Thecampaign, launched onSept. 8, 2014, broughtin more than 92,000consumer sweepstakesentries. AFM is nowgearing up for “GuacFiesta,” the company’snext campaign, whichends February 1, 2015.

WP RAWL CELEBRATES 90 YEARSWP Rawl, Pelion, SC, will celebrate its 90th year as afamily-operated business in early 2015. Thecompany plans to commemorate the anniversary byhosting a reception for the fresh produce industryat Southeast Produce Council’s Southern Exposurein February. WP Rawl will also host an event foremployees.

BALOIAN FARMS LAUNCHES NEW WEBSITE The recent launch of Fresno, CA-based Baloian’snew website is another step toward its total brandpositioning, which included the launch of severalnew products. The new website, Baloianfarms.com,showcases the depth and variety of its products, aswell as showcase many of its new items in a moreconsumer-friendly style.

NEW PRODUCT ANNOUNCEMENT ANNOUNCEMENT

ANNOUNCEMENT

ANNOUNCEMENT

ANNOUNCEMENT

ANNOUNCEMENT

ANNOUNCEMENT

ANNOUNCEMENT

RUBY FRESH POMEGRANATE SNACKCUPS ADDED TO SCHOOLSRuby Fresh, Firebaugh, CA, reported several schooldistricts added 2-ounce pomegranate aril snackcups to their lunch menus this past fall. RubyFresh’s 2-ounce pomegranate snack cups are indi-vidually sealed and the ideal size for a healthy,energy-packed snack for kids of all ages.

Watch_Layout 1 12/22/14 7:25 PM Page 2


PRODUCE BUSINESS is accepting nominations for its Eleventh 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 March 1, 2015 (People born after March 1, 1975).

To nominate someone, please fill out this form by April 11, 2015, and fax back to 561-994-1610 OR go to our website at producebusiness.com and look for the40 Under Forty icon to link to the online application.

Once nominated, the candidate will be interviewed by one of our editors, and will receive forms to fill out asking for detailed information. A candidate only needs to benominated 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]


BY JIM PREVOR, PRESIDENT & EDITOR-IN-CHIEFFor many years, the organic industry provided a disproportionate

share of the industry’s profitability, extending from growers toretailers. It makes sense. The requirement that land being used forconventional growing cannot be certified organic without a three-yeartransitional period holds supply in check. As Wal-Mart learned in itsvarious efforts to sell more organic produce, even the mighty powerof its PO cannot instantly and magically summon massive increasesin the production of organics.

Anyone in the business knows that growers are their own worstenemies — anxious to plant as much as they can and often under-mining their own markets. This is not their fault; it is a kind of “tragedyof the commons” problem in which the individual interest trumps thecommunal interest. Allowing one’s own animals to graze “on thecommons” before someone else’s eat the grass is a classic example.

There is, however, indication now thatthe organic market is at a tipping point, andalthough the category may continue to grow,it will not be disproportionately profitable inthe future. Part of it is seen in the salesnumbers. In its most recent survey, theOrganic Trade Association found that organicsales increased 11.5 percent year-on-year. That is growth, but notSilicon Valley-style growth. One doesn’t get the sense that the produc-tion is straining to meet the demand.

And some of this growth is not really representing increaseddemand for organics at the consumer level. Some of the growth inorganics at the fresh produce level is accounted for by retailersdeciding to go 100 percent organic on low-volume items such asherbs. This is not because consumers are screaming for organic items.It is because there is a certain segment of the market that wantsorganic and others that don’t care. These are not deeply price-sensi-tive items as they are bought in low quantities, so if retailers cansimplify their operations, avoid multiple SKUs and just sell organic,they would do so as it allows them to simultaneously access thewhole market and simplify their operations.

However high-end food retailers around the country tell us thatthey are finding resistance to higher prices on organics, and thisresistance is leading to margin compression in the category. Thismakes sense as well. With all food retailers looking to sell organics,from giant Wal-Mart on down, consumers have more choices and willincreasingly resist paying more for parity products that they can buyelsewhere less expensively. It is a natural outgrowth of the existenceof national organic standards. If the government sets the standards,then one can get the same product whether one buys organic baggedsalad at Whole Foods or the “Bargain Basement.”

This, of course, is a very big problem for a retailer such as WholeFoods. It can reduce prices to be competitive, but that is a direct hit

Whole Foods’ Reaction To Organic-Margin Squeeze Threatens Efforts To Boost Consumption

fruits of thought


to profitability. To maintain its pricing differential, it needs to main-tain a positioning differential — thus its first national advertisingcampaign, which is themed around a “values matter” tagline.

The idea is simple, persuade consumers that even though otherretailers may offer products that appear to be the same or similar,they are actually very different. Why? Because Whole Foods has“values” that other retailers do not have, and these values are usedas a kind of filter to select what products are sold in its stores. Sowhat seems like a parity product is not, because the back story thatWhole Foods created — the way the growth of the products affectsthe environment, the way the labor is treated, etc. — is very different.

In produce, Whole Foods is promoting a “responsibly grown”program with an elaborate “good, better, best” matrix. Unfortunately,using terms like “responsibly grown” on proprietary programs isspecifically designed to make the offerings of other retailers look

“irresponsible.” This would be unreasonable under any

circumstances. Whole Foods is a compara-tively small organization. It sells only a tinypercentage of the produce sold in America,Canada and the U.K., which are the marketsit operates in. It doesn’t make much sense to

say that its less-than-1-percent market share is the only responsiblygrown produce.

The criteria is not very transparent for earning the various levelsof “responsible growing.” Most of what is known is idiosyncratic andnot widely recognized as “responsible” or “irresponsible.” Forexample, Whole Foods wants to ban certain legal pesticides, but ithasn’t presented any analysis that what replaces those pesticidesimproves the food, the environment or anything else.

And it is not even clear there is much of a difference. Mostproduce at Whole Foods comes through the same supply chain thatis used by the rest of the world. That is why Whole Foods wasrecently mentioned, for example, in the big Los Angeles Times serieson abused Mexican laborers [further details in the Perishable Punditexcerpt on page 20]. The company doesn’t have unique capabilitiesto monitor worldwide production sites.

Whole Foods is straining to find a new point of differentiation ina world in which organic is being commoditized. But in the course ofdoing this, if it implies that consumers should shy away from producesold by other retailers because their produce is “irresponsibly grown,”it will hurt the health of consumers as they avoid produce altogetherand buy less healthy products. A decline in produce purchasing willbreak the market for farmers. Values do matter, but what values arebeing expressed by a program that casts aspersions on perfectlyhonorable producers and scares consumers away from fresh produce?

With its ‘responsibly grown’ campaign, WholeFoods casts aspersions on other retailers’

produce offerings and ultimately hurts overallefforts to increase consumption.

Jim's Column_Layout 1 1/7/15 1:19 PM Page 1

Mann Packing_Ad 12/31/14 11:58 AM Page 1

http://www.veggiesmadeeasy.com

JANUARY 7 - 9, 2015POTATO EXPO 2015Conference Venue: Rosen Shingle Creek,Orlando, FLConference Management: National PotatoCouncil, Washington, D.C.Phone: (202) 682-9456 • Fax: (202) 682-0333Email: [email protected]: potato-expo.com

JANUARY 8 - 11, 2015SOUTHEAST REGIONAL FRUIT AND VEGETABLE CONFERENCE Conference Venue: Savannah Int’l Trade andConvention Center, Savannah, GA Conference Management: Georgia Fruit &Vegetable Growers Association, LaGrange, GAPhone: (877) 994-3842 • Fax: (706) 883-8215Email: [email protected]: gfvga.org

JANUARY 11 - 13, 2015WINTER FANCY FOOD SHOW 2015The West Coast’s largest specialty food and beverage event.Conference Venue: Moscone Center, SanFrancisco, CAConference Management: Specialty FoodAssociation, New York, NYPhone: (212) 482-6440 • Fax: (212) 482-6555Email: [email protected]: fancyfoodshows.com

JANUARY 15 - 16, 2015UPPER MIDWEST REGIONAL FRUIT & VEGETABLE GROWERS CONFERENCE & TRADE SHOWConference Venue: St. Cloud River’s EdgeConvention Center, St. Cloud, MNConference Management: Minnesota Fruit &Vegetable Growers Association, Ham Lake, MNPhone: (763) 434-0400Email: [email protected] • Website: mfvga.org

JANUARY 21 - 23, 2015PMA FIT LEADERSHIP SYMPOSIUM Conference Venue: Omni Dallas Hotel at Park West, Dallas, TXConference Management: Produce Marketing Association, Newark, DEPhone: (302) 738-7100 • Fax: (302) 731-2409Email: [email protected] • Website: pma.com

JANUARY 21 - 23, 2015CULINARY INSTITUTE OF AMERICA -WORLDS OF HEALTHY FLAVORSLEADERSHIP RETREATConference Venue: Culinary Institute ofAmerica at Greystone, St. Helena, CAConference Management: Culinary Institute of America, St. Helena, CAPhone: (707) 967-1100Email: [email protected] Website: ciachef.edu

JANUARY 21 - 23, 2015TPIE - TROPICAL PLANT INDUSTRY EXPOSITIONConference Venue: Broward ConventionCenter, Fort Lauderdale, FLConference Management: Florida NurseryGrowers & Landscape Association, Orlando, FLPhone: (407) 295-7994Email: [email protected] Website: fngla.org

F O R W A R D T H I N K I N G

JANUARY 25 - 27, 2015SWEET POTATO CONVENTIONConference Venue: Gaylord Opryland Resort, Nashville, TNConference Management: Sweet PotatoCouncil, Columbia, SCPhone: (803) 788-7101 • Fax: (803) 788-7101Email: [email protected]: sweetpotatousa.org

FEBRUARY 4 - 6, 2015FRUIT LOGISTICA 2015Conference Venue: Berlin ExhibitionFairgrounds, Berlin, GermanyConference Management: Messe Berlin GmbHPhone: +49(0)30/3038-2406Website: fruitlogistica.com

FEBRUARY 8 - 11, 2015NATIONAL GROCERS ASSOCIATION’S SHOWConference Venue: The Mirage, Las Vegas, NVConference Management: National Grocers Association, Arlington, VAPhone: (703) 516-0700 • Fax: (703) 516-0115Email: [email protected]: nationalgrocers.org

FEBRUARY 11 - 14, 2015BIOFACH 2015Conference Venue: Exhibition Centre, Nurnberg, GermanyConference Management: NurnbergMesseGmbH, Nurnberg, GermanyPhone: +49 (0) 9 11.86 06-83 28Website: biofach.com

FEBRUARY 16 - 19, 2015NATIONAL WATERMELON CONVENTION 2015Conference Venue: La Quinta Resort & Spa, LaQuinta, CAConference Management: National Watermelon Association, Inc., Lakeland, FLPhone: (863) 619-7575 • Fax: (863) 619-7577Email: [email protected]: nationalwatermelonassociation.com

FEBRUARY 24 - 26, 2015CONVENIENCE DISTRIBUTOR CONFERENCE & EXPO 2015Conference Venue: Paris Hotel, Las Vegas, NVConference Management: American Wholesale Marketers Association, Fairfax, VAPhone: (703) 208-3358 • Fax: (703) 573-5738Email: [email protected]: awmashow.com

FEBRUARY 26 - 28, 2015SOUTHERN EXPOSURE 2015To promote the consumption of fresh fruits &vegetables in Florida, Georgia, Alabama, Missis-sippi, Louisiana, Tennessee, North Carolina, SouthCarolina, Kentucky and Virginia through goodfellowship, cooperation and mutual interest amongits members.Conference Venue: Caribe Royal Resort &Conference Center, Orlando, FLConference Management: Southeast ProduceCouncil, Inc., East Ellijay, GAPhone: (813) 633-5556 • Fax: (813) 653-4479Email: [email protected]: seproducecouncil.com


To submit events to our Forward Thinking calendar,please email [email protected]

Trade Calendar_Layout 1 12/22/14 12:52 PM Page 1














NYPS H 2015 V2_Ad 12/26/14 4:31 PM Page 1

http://www.nyproduceshow.com

RESEARCH PERSPECTIVE

Working Women Consider Healthy ProducePurchases Throughout The WorkweekBY TARA L. PETERS, DIRECTOR OF MARKETING, WORKPLACE IMPACT

WorkPlace Impact is a national marketing services company that has studiedworking consumers for more than 25 years. The company has a network of844,000 businesses across the country and represents 57 million employees.In addition to generating research data from this network, the company helpsconsumer packaged goods and retail marketers reach consumers at workduring the workday.

support their healthy eating habits. Addedto that, the current study suggests thatworking women like to take their timewhen making their produce-buying deci-sions. Produce was the leading categorythat working women give thought tothroughout the entire path to purchase,with 41 percent indicating that they maketheir decisions both pre-store and in-store.This has particularly strong implications

for produce marketers, indicating that theirmessages should target working womenduring the entire path to purchase.

Convenience-Oriented Shopping PatternsWhile not asked directly about their pref-

erence for convenience, the data shows thisis one of the greatest influences on theshopping patterns of working women, andit starts with making a shopping list. Ninety-five percent indicated that they make ashopping list so they won’t forget an item;

45 percent said they do so to save time inthe store. This indicates that the workingwoman’s shopping trip is strategic andfocused. The shopping list serves itspurpose well by helping women navigatethe store as quickly as possible, and itprevents them from needing to make atime-consuming additional trip for aforgotten item. While some marketers continue to view

grocery shopping as a task that is plannedat home, the data shows otherwise. Eighty-four percent of working women said theyregularly/occasionally add items to the listat work. One reason this occurs is becausewhen it comes time to make the shoppingtrip, it’s often between the hours of 9 a.m.to 5 p.m., Monday through Friday. Forty-nine percent of respondents indicated theymake multiple trips to the grocery storeMonday through Friday, and 46 percentregularly do so on their way to or from workor during a lunch break. What this demon-strates is that due to the nature of theirhectic lifestyles, working women have noother choice but to blend grocery shoppingwith their workday activities. These insights show that the shopping

patterns of working women evolved tokeep pace with the increased blending ofwork life and home life. Marketers have anopportunity to drive growth by keepingpace with this trend, and one way to dothat is to include reaching women duringthe workday.For a full copy of the study, From Plan-

ning to Purchase: The Shopping Patterns ofWorking Women, please email WorkingWomen Shopping to [email protected].


It’s no secret that grocery marketersfocus much of their energy andbudgets on reaching women. While

some men may be doing more groceryshopping than they did in the past, femaleconsumers remain the primary purchasedecision makers for weekly householdsupplies. Yet with the influx of women intothe workforce since the mid-1900s, theprofile of the female purchaser changedsignificantly. According to the Bureau ofLabor Statistics, women now represent 47percent of the American workforce. Thatmeans 68 million women leave their homesevery workday and head to schools, offices,hospitals and other places of employment.Therefore, while working women still makemost of the household grocery trips, theirshopping patterns changed significantly. A new study, From Planning to Purchase:

The Shopping Patterns of Working Women,reveals the behaviors of this valuable demo-graphic and equips produce marketers tobetter meet working women where theyare on their unique path to purchase.

Working Women Are ConcernedAbout Health And WellnessOne strong characteristic that influences

the shopping pattern of working women istheir strong focus on health and wellness.Not only are they responsible for ensuringtheir families eat healthy, they are in theworkplace — an environment that is quicklybecoming a key battleground for influ-encing healthy lifestyles. Since employerswant healthy employees and are concernedabout lowering their healthcare costs, manybusinesses are establishing wellnessprograms that encourage healthy eating.Working women are taking notice.According to the study, 96 percent of

working women regularly shop theperimeter aisles, and according to 2012research, Working Women Healthy LifestyleSurvey (also conducted by WorkplaceImpact), fresh fruit was the leading foodthat working women take to work to

One strong characteristicthat influencesthe shoppingpattern ofworking womenis their strongfocus on healthand wellness.

Perspective and Analysis_Layout 1 1/6/15 3:17 PM Page 1




Do working women have differentneeds than women who do nothave paid employment? It seems

like that probably would be true, but thenature, extent and even the cause is notclear.

After all, women who don’t have paidemployment can still be very busy — thereis volunteer work, children, spouses,elderly parents etc., which can all draintime. And even if the needs are different,it is not clear that it is the work in and ofitself that makes them different. Forexample, many people who do not havepaid employment may have very high-earning spouses. If so, it may be affluencethat causes both spouses not to work andchanges in food purchasing habits.

This study is intriguing but raises as manyquestions as it answers:

1) Strong focus on health and well-ness: Is it true that working women have astronger focus on health and wellness thanwomen without paid employment? Thereis no comparison group in the study, so wejust don’t know.

2) Responsible for ensuring their fami-lies eat healthy: Once again, do womenwho work feel more responsible forkeeping their families healthy than womenwho do not? There is no evidence for this.

3) Businesses are establishing wellnessprograms that encourage healthy eating— working women are taking notice. Dosuch corporate programs lead to behavioralchanges? Maybe women who are notworking have more time to go to the gymand get equally motivated in another way.

4) Ninety-six percent of workingwomen regularly shop perimeter aisles.

But doesn’t almost everyone shop theperimeter aisles? It is not clear that workingwomen “over index” here.

5) Fresh fruit was the leading foodthat working women take to work tosupport their healthy eating habits.

The wording here is a little confusing.That fresh fruit would be the No. 1 snackto “support their healthy eating habits”does not surprise. But isn’t this the samefor women without paychecks?

COMMENTS & ANALYSIS

Non-Working Women Need To Be Studied TooBY JIM PREVOR, EDITOR-IN-CHIEF, PRODUCE BUSINESS

6) Working women like to take theirtime when making their produce-buyingdecisions.

The idea here is that working womenplan for purchase of fresh produce andevaluate the produce again in-store. This isalmost certainly true but, once again,hardly seems a unique trait to workingwomen.

7) Produce was the leading categorythat working women give thought tothroughout the entire path to purchase,with 41 percent indicating that theymake their decisions both pre-store andin-store.

This is kind of inherent in the nature ofproduce. One plans on buying apples, butdetermines the variety after seeing what isoffered that day. The frustrating part ofthis research, though, is that despite thisbeing an accurate description of the wayworking women shop, there is virtually noreason to believe — and certainly the studydoesn’t tell us — that women without paidemployment behave differently.

8) While not asked directly abouttheir preference for convenience, thedata shows this is one of the greatestinfluences on the shopping patterns ofworking women.

The fact that a woman is not workingdoes not mean she wants to spend herwhole life in the kitchen, and many non-working women have the means to doother things, so convenience can still beimportant. Sure some women, bothworking and non-working, have loads ofstaff to help them, so they may not careabout convenience, but what percentagecould that possibly be?

9) Ninety-five percent indicated thatthey make a shopping list so they won’tforget an item.

Yes, but do non-working women wantto forget things? For this study to be partic-ularly helpful, you need a comparative studywith women who don’t work for pay so wecan see if they approach things differentlyfrom working women.

10) Forty-five percent said they do soto save time in the store. Once again, just

because a woman doesn’t have paidemployment doesn’t mean she wants tohang out in the supermarket all day.

11) Some marketers continue to viewgrocery shopping as a task that isplanned at home, but the data showsotherwise.

In fresh produce, this has never beenthe case. New-crop peaches just in,bananas not ripened properly, cross-merchandising promotions — all thesethings have always changed producepurchasing right at the store.

12) Eighty-four percent of workingwomen said they regularly/occasionallyadd items to the list at work.

There are a thousand reasons —including hearing an ad on the radio or afriend mentioning a sale at the market —why a working woman would add orsubtract things to the list during the day.But guess what? Non-working women dothe same thing.

13) One reason this occurs is becausewhen it comes time to make the shop-ping trip, it’s often between the hours of9 a.m. to 5 p.m., Monday through Friday.

Working women may run into a store topick up something for their own lunch atan office, and while there, they mayremember they need cans of soup or othergrocery items. But, for the most part,working women aren’t likely to do a lot ofperishable food shopping until the workday is done. It is not clear exactly how theshopping hours of working women differfrom those of non-working women.

14) Forty-nine percent of respondentsindicated they make multiple trips to thegrocery store Monday through Friday,and 46 percent regularly do so afterwork or on a lunch break.

Once again, the question is how doesthis differ from non-working women?

The advice WorkPlace Impact gives is fine. Produce vendors should look toinfluence people at a variety of times and in a variety of ways. But for research about a particular population segment to behelpful, we have to have a point of reference.


Perspective and Analysis_Layout 1 1/5/15 8:14 PM Page 2

A few months ago, we started getting calls from U.S. pro-duce executives who expected to be criticized in a reportin the Los Angeles Times. They wanted to know how to

position their companies and activities.Well, now the four-section/photo-montage series is out, and

the series is a blockbuster. There is a more than decent chance it willwin a Pulitzer Prize, and everyone in the produce industry shouldread it and watch the videos.

It may win the Pulitzer because it is thorough and large, andshows a substantial commitment of resources, and because it fitsideologically with those who judge these sorts of things. But in theend, it is a piece that is incomplete and not very well thought out.However, the industry would be very foolish to ignore it.

The gist of the story is that many workers in the fields in Mex-ico are not only very poor but are forced to live in horrible situationsand are treated poorly — wages withheld, food kept scarce, etc.

More specifically, there is an accusation that American compa-nies have not intervened to ensure good treatment of workers,even though they have intervened to ensure food safety and qual-ity for American consumers. As the piece explains:

American consumers get all the salsa, squash and melons theycan eat at affordable prices. And top U.S. brands — Wal-Mart,Whole Foods Market, Subway and Safeway, among many others— profit from produce they come to depend on.

These corporations say their Mexican suppliers have committedto decent treatment and living conditions for workers.

But a Los Angeles Times investigation found that for thousandsof farm laborers south of the border, the export boom is a story ofexploitation and extreme hardship.

The Times found:· Many farm laborers are essentially trapped for months at a

time in rat-infested camps, often without beds and sometimeswithout functioning toilets or a reliable water supply.

· Some camp bosses illegally withhold wages to prevent work-ers from leaving during peak harvest periods.

· Laborers often go deep in debt paying inflated prices for ne-cessities at company stores. Some are reduced to scavenging forfood when their credit is cut off. It's common for laborers to headhome penniless at the end of a harvest.

· Those who seek to escape their debts and miserable livingconditions have to contend with guards, barbed-wire fences andsometimes threats of violence from camp supervisors.

· Major U.S. companies have done little to enforce social re-sponsibility guidelines that call for basic worker protections suchas clean housing and fair pay practices.

One issue is that the author has not managed to quantify any-thing. Obviously, if people are held as prisoners etc., this is horribleand unacceptable. But even assuming everything in the stories isaccurate, how often this happens, what percentage of crop it rep-resents . . . we are left not knowing if this is a regrettable anecdote

or a substantial problem.We just recently learned that in writing the University of Virginia

(UVA) rape story, which appeared in Rolling Stone magazine, thejournalist went to visit many universities before she found one withthe story line she wanted.

How many camps the author heard about that would NOT con-firm this dramatic story is not told. There seems to be an effort toidentify horror stories, not to depict the actual standards of labor inMexico. Sometimes the story even tells on itself:

Martinez and Santiago were among at least 100 peasants re-cruited in the spring of 2013 by a labor contractor for Bioparques.He touted jobs at the giant export farm: Workers would earn 100pesos (about $8) a day. Meals would be free, along with housingand child care.

After a 550-mile bus ride, the laborers arrived at Bioparques.Their home for the next three months was the Bioparques 4 camp,managed for the company by the labor contractor.

It was nothing like the company's main labor compound, whichhad a school, day care and other amenities.

This account of conditions in the camp is based on interviewswith 13 laborers who lived there that spring. The Times interviewedsome in their home villages in Huasteca and others by phone. Thepaper also spoke to Mexican labor inspectors and Bioparques em-ployees and visited the camp.

But wait, why write this whole story on this particular camp anddevote exactly one sentence to “the company’s main labor com-pound, which had a school, day care and other amenities”? Wouldit make more sense to assess the "main" labor compound? Theanswer is that the author and the newspaper were looking for thePulitzer Prize win. It is doubtful a nomination will come from a storysaying that in the main compound everything is good, but thereare a few outliers needing to be reformed.

The bigger issue, though, is that all Mexican labor camps aregoing to be lousy. Indeed all American labor camps are going to behorrid — when viewed through the prism of an upper-middle classAmerican.

When members of the trade called us, their first instinct was tofight — to point out they were following or exceeding industrystandards. We advised them to take another tack, because unlessthey provided a two-bedroom condo with swimming pool, noth-ing in any of these camps would prevent an earnest journalist fromfinding much that the American people will find repugnant.

Yet, a thoughtful approach reveals the complexity of the prob-lem. This is not a new industry. The workers who travel hundredsof miles from the most impoverished corners of Mexico to pick pro-duce are not pioneers. Virtually every one of them has a friend orrelative who has already gone down this path. So they have inti-mate acquaintances with full knowledge of the pros and cons ofworking in the fields, and yet they choose to do so.

This is really the important question to study. Why do they

Damaging Los Angeles Times Article About Mexican Labor, Though Incomplete And Unbal-anced, Puts Retailers And Receivers On Notice: In A Transparent World, Retailers In America Are Now Responsible For Their Supply Chains.FROM JIM PREVOR’S PERISHABLE PUNDIT 12.15.2014


Pundit_Layout 1 12/31/14 11:17 AM Page 1

Paramount Citrus A2_Ad 12/15/14 12:19 PM Page 1

choose to do so? The almost certain answer is that, difficulties andall, they believe this path offers a better alternative than any otheralternatives available to them.

The author states, “a Los Angeles Times investigation foundthat for thousands of farm laborers south of the border, the exportboom is a story of exploitation and extreme hardship.” There ishardship without a doubt, but for the poor, life is always hard andit is odd to call "exploitation" the providing of an alternative thatpeople view as a better alternative than any other choice they have.

After failing to address why such workers voluntarily sign up forwhat is supposedly such horrible work, the author claims basicallythat many of the workers are prisoners:

At the labor camp for Bioparques de Occidente, they and otherfarmworkers slept sprawled head to toe on concrete floors. Theirrooms crawled with scorpions and bedbugs. Meals were skimpy,hunger a constant. Camp bosses kept people in line with threatsand, when that failed, with their fists.

Escape was tempting but risky. The compound was fenced withbarbed wire and patrolled by bosses on all-terrain vehicles.

When the mistreatment of workers at the camp was finally ex-posed, Mexican authorities made arrests, imposed fines and prom-ised to make an example of the company. A year and a half later,however, the case of Bioparques speaks more to the impunity ofMexican agribusiness than to accountability.

Yet in the story on “company stores,” the author makes thepoint that the workers often return the following season:

For Luis Hernandez, the night watchman at Campo Isabeles,the end of the 2014 harvest meant heightened vigilance. When-ever he saw someone leaving, he checked with the Gastelums tomake sure the laborer had paid his debts, he said.

But Israel Gastelum didn't worry much about getting stuck withunpaid bills. Most laborers return for the next harvest, he said, andtheir jobs, and debts, would be waiting.

"If they don't pay me now," Gastelum said, "there's alwaysnext season."

There is a contradiction here. How on the one hand can theauthor say that people are being held prisoner, desperate to es-cape, and yet also say they will return voluntarily next year?

Most of the story is less about American companies than thegeneral dysfunction of the Mexican state. Many of the activitiesthe author finds objectionable are already against the law — suchas withholding wages and child labor. Yet when an explanationfor withholding workers’ pay is provided by industry participants,no exploration of the matter is given. Perhaps the workers don’twant their wages given while they are encamped, because theymight get robbed or they might be tempted to spend the moneyrather than save it for their families.

Maybe a little more reporting would reveal why the wagesare withheld in the first place. What happened in the past when,say, weekly or monthly payments were followed? The article issilent in this area.

The article attacks the stores that are on the work camps. Theauthor explains that there are efforts to improve the situation:

The federal government, sensitive to the fraught history ofcompany stores, operates its own discount outlets in somecamps and sends mobile stores to others. Some agribusinesseshave formed cooperatives to sell staples to laborers at lowprices. But such efforts have been too limited to break the gripof the tiendas.

But there is no quantification of these efforts and, for thatmatter, no indication that the company stores are excessivelyprofitable or paying excessive rents to the camp owners.

After all, these stores provide credit to penniless people andpay to locate where transportation is not necessary — to com-pare their prices to a discount store that doesn’t give credit andis a car ride away seems unreasonable.

Perhaps the biggest issue, which the article does not exploreat all, is what the consequences would be of upgrading the situ-ation of the field hands. Suppose there was really an effort togive workers the kinds of environments that would make Amer-icans proud of their food supply chain? The one thing that is forcertain is it would raise the price of the product and, as it did so,the labor situation would change.

Other growing areas would become more competitive andwould take business away from the Mexicans.

As prices rise, consumers will shift consumption to other prod-ucts, which these laborers wouldn’t be involved in producing.

The series begins with a video explaining that no machine ex-ists to harvest peppers, tomatoes or eggplant. But that is not ex-actly true. Tomatoes for processing are mostly mechanicallyharvested. It is more correct to say that with labor so inexpensive,it doesn’t pay to develop or utilize robotic technology to pickthese items for the fresh market.

So if the cost of harvesting goes up, then mechanization atvarious levels will make sense. Our desire to ensure better con-ditions for these poor laborers could end costing them their jobs,and leaving them worse off than before.

And the journalists will lose interest, because the world is filledwith very poor people; it is the opportunity to think that Americanconsumers and retailers can fix this problem that is of interest.

So we have this extensive, high-production-value PulitzerPrize-level material, which is really just a hit job on the industrywith zero effort to quantify their charges, no effort to provide abalanced view of the situation and no level of intellectual en-gagement to explore the real world consequences of raising thecost of labor in a very poor country.

Yet, as we said at the beginning, the industry would be foolishto ignore this series. Part of this is a function of the capacity of someindustry members to promise more than they can deliver.

Whole Foods is specifically mentioned in the article in no smallpart because it runs around the country pronouncing itself as aunique kind of chain in which “values matter” — though, as wepointed out in a piece titled “A Walk Through Whole Foods AndWhy Its ‘Responsibly Grown’ Campaign Is Bad For Farmers,”Whole Foods actually buys from the same supply chain as every-one else. The company does not have 2,000 people in Mexico care-fully monitoring daily behavior in the produce patch, which isprobably what it would take to be true to this mantra.

In fact, many retailers over-promise and under-deliver. Havingpolicies is cheap. Getting people to sign promises under threat oflosing the business is easy. Actually getting change made and sus-tained is very expensive and difficult.

Transparency on the supply chain is increasingly going to bedemanded, and this article is neither the first nor the last. Thenewspaper’s effort in putting together graphs showing the flowof produce is a game-changer. It is telling retailers from WholeFoods to Wal-Mart that you own your supply chain and you willbe held responsible for all that occurs within it.

FROM JIM PREVOR’S PERISHABLE PUNDIT 12.15.2014


Pundit_Layout 1 12/31/14 11:18 AM Page 2

PHOTO

COURT

ESY OF

Fresh out of the Navy in 1946 at the end of World War II,Al Pontius wondered how he could dive into civilian lifeagain. One of his most memorable experiences pre-wartime was working at a food market in La Porte, IN.Two friends serendipitously approached him about

forming a partnership to buy a grocery store (known as Hoosier FoodMart) in Michigan City, IN. Pontius didn’t hesitate selling his car to payfor his cut of the business deal. In a few months, Pontius risked it allagain when he bought out his partners and became sole proprietor ofThrifty Food Mart, which was the grocery business they established.

Simultaneously, just as Pontius’ store was gaining traction, largegrocery chains were pushing out mom-and-pop stores in Indiana. Asthese stores closed, Pontius hired former owners who brought a wealthof experience, plus their own customer base. Coupled with Pontius’belief in the importance of customer service, the result was an inde-pendent retailer strong enough to compete against the growing chainstores. Pontius eventually grew his empire from one store to six storesunder the Lakeshore Foods Corporation and named all of his storesAl’s Supermarkets.

Although Pontius died in 2006, his son, Gil, continues the tradi-tion as president and chief executive. Pontius’ granddaughter, Alexis,is vice president of Al’s Supermarkets.

Bob Bline, who is produce vice president of the six-store enter-prise in Indiana — two in La Porte, two in Michigan City, one inSouth Haven and one in Buffalo — as well as a 41-year Lakeshore

Al’s SupermarketsHow one independent retailer took a risk to compete with evolving grocery chains and held its own as a produce destination with personalized service.BY OSCAR KATOV

Foods veteran, says the foundation Pontius built was “the beginningof who we are now, as the Lakeshore Foods Corporation.

“We put a lot of faith in the experience of our staff. Our producemanagers — collectively in the six stores — probably have 250 years

ASCENDENT INDEPENDENTS


Al Supermarkets_Layout 1 12/31/14 12:05 PM Page 1

ness, but we generate 25 percent of the grossprofit. Produce is a profitable department.”

Al’s Supermarkets also keeps current withits look and atmosphere for the customers’shopping enjoyment.

“We have been remodeling storesthroughout the past decade,” says Bline. “Wehad some stiff competition in 2008 when twoWalmarts opened in our area, which had aprofound effect on our company and thecommunity. So we had to retool ourselves abit. The good thing is: we’re still here, we’restill profitable, and we’re still a good employerfor 400 employees.” pb


Al’s Supermarkets’ produce department is very important to the success of the company. The store values its partnerships — some going back 32 years.

of experience, and that’s just with six people.Our points of differentiation are: to be moreconnected with our local growers, to practiceour operational skills at the best level, beingaccurate in our pricing, and to meet the needsof our customers to maintain relationships ofloyalty.”

Good working relationships are alsoevident in the retailer’s dealings with thegrowers it showcases in Produce. Theappointment of Angela Hamilton as producespecialist serving as liaison between thegrowers and stores’ produce managers hasgone a long way to streamline the process.

“Angela made many good contacts withlocal growers and works closely with themduring each season for vegetables, fruit, sweetcorn, tomatoes, peppers and cucumbers,” saysBline. “We had some great bin-apple offer-ings this year with orchard-picked apples, andour customers really embraced that offering.We have been as much as a dollar under themarket, thanks to our bin program.”

When Bline was asked about meeting the

demands of customers in freshness and main-taining delivery schedules with the company’ssix stores, he gives credit to the services of thecompany’s wholesaler. “We rely heavily onTitle Food Service in Indianapolis. We havea 32-year relationship with them, and theycover all our needs.”

“Of course there are things we do inpromotion that go beyond Title’s services,”says Hamilton, “We do an autumn harvestweek, and of course, some of this activity alsocorresponds with the timing of our localfarmers. We’re blessed to be so close toMichigan, and we consider southwestMichigan and northern Indiana as our localgrowing areas.”

“You know it’s a trust business with localfarmers,” says Bline. “Really, it’s a handshakebusiness with friendships that are long-standing, powerful and deep.”

Bline says Produce is the major depart-ment in all six stores. “If Produce is doneright, you will have a successful company. Wemay do only 10 percent of a store’s total busi-

Al Supermarkets_Layout 1 12/31/14 12:05 PM Page 2

Imagine a world where visiting the produce department is as important as visitingthe doctor for warding off disease. That is the appeal of a superfood, which isdefined by Oxford Dictionary as “a nutrient-rich food considered to be especiallybeneficial for health and well-being.”According to the late New York Times political columnist William Safire, the word

superfood was first used in 1915 by a newspaper in Kingston, Jamaica, to describea particular wine. It reemerged in the 1990s, with the promotion of spirulina (blue-green algae). By the early 2000s, popular books included the word superfoods intheir title; stars of the day included broccoli, spinach and berries. Superfoods tooka brief detour into the realm of superfruits around 2009, when exotic fruits such asacai, goji berries, and camu camu made the list of Superfoods for Dummies by BrentAgin, MD and Shereen Jegtvig, MS. Restaurants too incorporated superfruits, namedas one of 2009’s hot trends by the National Restaurant Association. By 2014, super-fruits dropped to No. 63.

Superfoods today are the “big tent” of the produce department, an all-inclusive group

SUPERFOODS:Marketing Magic or Produce Pretenders?

Delivering big at the register despite scientists’ skepticism

BY MINDY HERMANN, RD

PRODUCE BUSINESS / JANUARY 2015 / 25PHOTO COURTESY OF POM WONDERFUL

Coverstory_Layout 1 12/31/14 10:50 AM Page 1

The marketing of superfoods is prohibitedin the European Union unless accompanied bya specific medical claim supported by crediblescientific research. As such, caution reigns.The website of London-based awarenesscharity Cancer Research UK states “youshouldn’t rely on so-called superfoods toreduce the risk of cancer. The term superfoodis really just a marketing tool, with little scien-tific basis.”

HEALTH ORGANIZATIONSEMBRACE SUPERFOODS

Despite a unified consensus, many hea l thorganizations eagerly promote superfoods. TheAlexandria, VA-based American Diabetes Asso-ciation highlights those that have a lowglycemic index (less effect on blood sugar) andhigh content of key nutrients, such as dark leafygreens, citrus, sweet potatoes, berries, andtomatoes. The New York City-based NationalKidney Foundation names apples, blueberries,kale, strawberries, spinach and sweet potatoesas kidney-friendly superfoods. The City ofHope cites its research showing certain super-foods, namely mushrooms, pomegranates, andblueberries, may have the ability to combatcancer without affecting healthy tissue.

SUPERFOODS PREVAIL IN THE INDUSTRY

In the absence of an official definition, theindustry created its own.

of nutrients and created a list of 41 items.Watercress tops the list, followed by the leafygreens Chinese cabbage, chard, beet greens,spinach, and others. Kale, the superfoodposter child, ranks 15th.

Supermarket rating systems yield inconsis-tent results. Whole Foods Market’s AggregateNutrient Density Index (ANDI) assigns eachfood a score from zero to 1,000 based onnutrient density. Leafy greens score highest,ranging from 516 for chicory to 1,000 formustard greens, kale and watercress. Non-leafy green vegetables follow, with scores of296 to 502. Popular superfoods like nuts (33to 103) and fruits (71 to 207) have relativelylow ANDI scores. NuVal (a rating system usedin more than 30 retailers around the U.S.,including Kroger and Hy-Vee) generates scoresbetween zero and 100. Although fruits andvegetables generally score in the 90s, somefoods considered to be super score lower,namely avocado (88) and nuts (average 59).Most regular produce items get three starsfrom Hannaford’s Guiding Stars, but garlic,onions, persimmon and dates get two.

Like the term “natural,” superfood does nothave a regulated definition. “There is no scien-tific or regulatory definition of ‘superfoods’ inany country of which I am aware,” says JeffreyBlumberg, Ph.D., F.A.S.N., F.A.C.N., C.N.S.,director, Antioxidants Research Laboratory,Jean Mayer USDA Human Nutrition ResearchCenter on Aging, Boston, MA.

of berries, leafy greens, fruits and vegetableswith bright colors, nutrition standard bearerssuch as oranges (vitamin C) and carrots(vitamin A), and nuts and seeds.

AN AGREED-UPON IDENTIFICATION IS ELUSIVE

“The term superfood is freely used butloosely defined,” says Joanie Taylor, director,consumer affairs and community relations forSt. Louis-based Schnuck Markets, Inc. Thefamily-owned company operates 98 storesand 93 in-store pharmacies in Missouri, Illi-nois, Indiana, Wisconsin and Iowa.

It is difficult to identify what makes somefoods more super than others. Oxygen RadicalAbsorbance Capacity units (ORAC) is a meas-urement for antioxidants that was developedby the Bethesda, MD-based National Insti-tutes of Health’s National Institute on Aging— a division of the U.S. Department of Healthand Human Services focused on researchinitiatives for health and aging. It was thoughtfoods with higher ORAC values, specifically,berries, would be the most effective at neutral-izing the cell-damaging free radicals thatcontribute to disease. The U.S. Department ofAgriculture later removed the ORAC databasefrom its website, because antioxidant capacitydoes not predict effects on human health.

Recently, a Rutgers University researcherJennifer di Noia defined “powerhouse” fruitsand vegetables based on their concentration



Naturipe_Ad 12/12/14 4:56 PM Page 1

http://www.pma.com/eatbrighter

http://www.naturipefarms.com

“We refer to nutrient-dense leafy greensand vegetables as superfoods, because theymake a significant impact on our consumers’lives,” notes Tristan Simpson, chief communi-cations officer, Ready Pac Foods Inc.,Irwindale, CA. “Superfoods are complex anddeeply nutritious, and they make it easier forconsumers to lose weight, build immunityagainst illness, aid in digestion, and improvejoint, skin, and heart health.”

“The term superfoods refers to foods thathave a high concentration of vitamins andminerals, and provide other various healthbenefits,” says Bruce Bolton, supply manager,Robinson Fresh, Eden Prairie, MN. “Quite oftenthe identification of these particular foods isdecided by regional food enthusiasts and theirpopularity then quickly spreads.”

“We don’t define it in our marketing atMelissa’s Produce,” says Robert Schueller,director of public relations for Los Angeles, CA-based Melissa’s/World Variety Produce. “It’s a‘marketing term’ used on foods that have goodto elevated nutritional profiles.”

Many items not under USDA marketingorders are actively marketed as superfoods.Bil Goldfield, director of corporate communi-cations, Dole Food Company and Dole FreshFruit, Westlake Village, CA, notes the termsuperfood describes fruits and vegetablessuch as strawberries, oranges, and spinachthat are high in certain nutrients that canbenefit health.

A growing number of products call out theirsuperfood status on their packaging. The EatSmart line from Apio Inc., Guadaloupe, CA,displays a round medallion with the number ofsuperfoods in the product. San MiguelProduce, Oxnard, CA, offers a SuperKALE Saladunder its Cut N Clean banner. Other SanMiguel products list key nutrients but don’t usethe word ‘superfood.’

The Emeryville, CA-based SCS Global Serv-ices offers an Antioxidant SuperfoodCertification. “Our Live Gourmet Living UplandCress displays the certification because it wasproven by SCS to contain high quantities of theantioxidant lutein,” says Vincent Choate,director of marketing, Hollandia Produce, L.P.,Carpinteria, CA.

In the U.S., items covered by USDAmarketing orders cannot use the word. “We canonly communicate approved nutritionalmessages,” says Ann Segerstrom, a consultantto the California Avocado Commission. “Ashealthful and nutritious as avocados naturallyare, claims like “super fruit” have to be substan-tiated in specified journals.”


EMERGING SUPERFOOD TRENDSWhile it is impossible to predict the next kale, these superfoods hold

promise for 2015 according to experts:

Kalettes, Lollipops, and others, kalesprouts resulted from 15 years of tradi-tional breeding and hybridization. Theycan be cooked like kale or eaten raw ina salad.

The Foxy Produceorganic line recentlyintroduced organicBroccoLeaf, theoften-discarded leafof the broccoli plant.Resemblingcollards in appear-ance and use,broccoli leaves arerich in calciumand vitamins C, A, andK; they also provide folate and potas-sium.

Look to farmers markets and nichegrowers for expansion of the producerainbow. Different colors — golden orpurple cauliflower, purple Brusselssprouts, ruby red artichokes — mean awider array of potentially-beneficialphytochemicals.

Technology-Aided BreedingNot to be confused with GMOs,

technology-aided breeding createsnew produce varieties withenhanced benefits. St. Louis-basedMonsanto’s Beneforté broccoli

contains twoto three times

more of the plantnutrient gluco-raphanin thantraditional broc-coli. Thecompany’s Fres-cada head lettuceis a cross betweeniceberg and aromaine, with the nutrition of romaineand the crispiness of iceberg.

Nutraleaf Burgundy Leaf Lettuceand Burgundy Romaine are being culti-vated and marketed by CoastlineFamily Farms, Salinas, CA. The deeppurple lettuces are high in antioxidantsand excellent sources of vitamins A andC. They also have better shelf life thanregular red lettuce.

Packaged Blends “Package blends of mixed greens are

trending,” says Bruce Bolton, supplymanager, Robinson Fresh, Eden Prairie,MN. “They offer numerous combinationsand give consumers easy access tomultiple varieties in a single purchase.”

“We expanded into salad kits withmixtures of greens and vegetables plusunique dressing,” says Garrett Nishimori

of Oxnard, CA-based San MiguelProduce Inc.

“Our popularEnerCHI mixcombines BokChoi, Asianmustardgreens, snowpeas, spinach,and carrots.”

Apio Inc.,Guadalupe, CA, recently launched twonew Eat Smart Gourmet VegetableSalad Kits, a Beets & Greens VegetableSalad Kit with six superfoods and aRoasted Yam Salad with eight super-foods. The Dole Power UpGreens line includescombinations ofbaby kale or springmix with greens.Each is promotedfor its numerousvitamins andminerals. ReadyPacBistro Bowl ChoppedSalads combine nutrient-dense super-foods such as kale, broccoli, cauliflower,red and green cabbage, and blackbeans.

Juice Blends The new Harvest Sensations Ready

to Juice line includes four varieties ofpre-washed, pre-cut vegetables andfruits, each providing two servings offresh fruits and vegetables: Cool CarrotCraze, Kale Blast, Lemon Ginger Twist,and Spinach Splash.

Hybrid VarietiesThe kale sprout is a new vegetable

cross between red kale and Brusselssprouts. Sold under the brand names


Sun Pacific_Ad 1/2/15 11:46 AM Page 1

http://www.sunpacific.com

health. In addition to supermarket dietitians,suppliers, trade associations and grower/ship-pers are valuable resources.

“Produce department personnel can helppeople have good experiences through simplestrategies such as sampling, recipes, and in-store messaging,” says Amy Myrdal Miller, M.S.,R.D.N., founder and president, Farmer’sDaughter Consulting, LLC, Sacramento, CA.

“Our produce managers are available andvisible for answering customer questions,” saysMeredith Mensinger R.D., L.D.N., corporatedietitian, Redner’s Markets, Reading, PA. “Wealso run a highly successful sampling programwhere shoppers can try new items and learnhow they pair with other ingredients.”

SUPERFOODS ALONE MAY NOT PUSH NEEDLE

“Produce sales are as much art as science,”notes Ed McLaughlin, Ph.D., director, FoodIndustry Management Program, Cornell Univer-sity in Ithaca, NY. “Consumers purchase fruitsand vegetables based on perceived benefitsthat can include convenience, value-addedfeatures, recipes, fun, freshness, color, and local.Taste and price matter. By and large, nutritiondoes not sell; it is the back story.”

Still, consumers say they’re interested. TheMintel Group found 56 percent of soupconsumers want more superfoods in their soupand 65 percent of parents want added super-foods in baby foods. Many buy produce forspecific nutrients or to reduce disease risk.

Growth occurs at the intersection of nutri-tion, convenience, and taste, for example, inprewashed superfood baby greens.“Prewashed baby kale is perfect for the kale-curious,” says Samantha Cabaluna, vice pres-ident, marketing and communications,Earthbound Farm, San Juan Bautista, CA. “Ittakes away the intimidation.”

The appeal of drinking nutrients continuesto elevate superfoods, particularly kale, chardand other nutrient-dense greens. San Jose, CA-based Global Industry Analysts Inc. predictsthe global commercial smoothie market alonewill reach $9 billion in 2015.

“We see a direct link between blender andproduce sales,” observes Tim Provost, publicrelations director for the home-blendercompany, Blendtec, Orem, UT. “Our salesdoubled from 2013 to 2014, and we expect thesame in 2015.”

“Smoothies are convenient,” says nutritionconsultant Karen Ansel, M.S., R.D.N. “Peoplemight not have the time to sauté a bunch ofkale, but sneaking it into a smoothie is easy andit softens the strong flavors.”

in circulars.”In contrast, Schnuck’s does not promote

items as superfoods, but instead responds tochanging trends such as the rapid rise, fall, andleveling off of kale. “We still sell much more kalethan we used to, because it no longer is just agarnish that nobody ate unless they werehungry,” observes Taylor. “Customers todayexpect to see it in our stores.”

Taylor sees a tremendous opportunity forproduce managers to educate team memberson talking to customers about foods and

RETAIL PLAYS A ROLESuperfoods are increasingly promoted at

the retail level on packaging and signage —despite the absence of a superfood definition.Weis Markets, Sunbury, PA, initiated a super-foods program in 2014. “We created a list of 25superfoods that stand out for their nutrition,and we promote them throughout the store onsigns that list their key nutrients,” explains BethStark, R.D., L.D.N., lifestyle initiatives manager,Weis Markets Inc. “We also highlight thesefoods in articles in our magazine and call-outs



http://www.freshorigins.com

Giumarra_Ad 12/23/14 11:28 AM Page 1

http://www.naturespartner.com

http://www.giumarra.com

TO MANY, ALL PRODUCE IS SUPER

Nutrition experts tend to roll their eyes atthe term “superfoods,” noting it’s moremarketing than nutrition and it needlessly pitsfruits and vegetables against each other.

“Either nothing is a superfood or everythingis — depending on how you define the term,”says Matt Fitzgerald, author of Diet Cults: TheSurprising Fallacy at the Core of Nutrition Fads.“Superfoods were not discovered, they wereinvented. Look at potatoes: they are prettysuper on balance, so why is spirulina a super-food and potato is not?”

“Some fruits and vegetables have moreresearch behind them because of funding, sojust because a fruit or vegetable isn’tsupported by a mountain of studies thatpromote its benefits doesn’t mean it’s notincredibly healthy,” says Ansel.

“I have an issue with superfoods becauseconsumers can’t go wrong in the produceaisle,” says Joan Salge Blake, M.S., R.D.N.,Boston-based spokesperson, Academy ofNutrition and Dietetics. “Let’s focus on helpingconsumers eat more fruits and vegetables.”

Industry members too downplay the super-food designation. “The reality is all fruits andvegetables are good for you,” says CarlyScaduto, senior communications manager,vegetables, Monsanto, St. Louis, MO. “We wantto help boost consumption of all produce, andeveryone will benefit.”

SPOTLIGHT ON SUPER SALESAND SUPER NUTRITION

With two-year sales growth of approxi-mately 20 percent for blueberries and spinach,30 percent for mangos, and a whopping 90percent for pomegranate, according to


PHOTO

COURT

ESY

OF

CALI

FORNIA

AVO

CADO C

OM

MIS

SION

LOOK TO RESTAURANTS FOR THE FUTURE

Restaurants often usher in food trends, sothe next superfood might be gathering steamon a restaurant menu. According to Chicago,IL-based Datassential, the Top 10 fastestgrowing items in fine dining are exotic citrussuch as Meyer lemons, blood oranges and yuzu,dried fruit, pomegranate, and root vegetables.

“Keep an eye on what’s served at smallerchains,” advises Myrdal Miller of Farmer’sDaughter Consulting. “They are more nimbleand in touch with Millennials, which is the groupdriving kale.”

“Preparation method is highly importantwhen dealing with superfoods such as cabbage,broccoli, and kale that contain compounds thatsmell and taste bad,” says Ryan Hutmacher,“The Centered Chef” and consulting chef,Weight Watchers, Chicago, IL. “Roasting andother dry-heat cooking methods allow thecompounds to evaporate. When preparing asalad with kale or other greens, balance bitter-ness with richness from a healthy fat, andaccent with sour, sweet, or both.”

“Even though we first introducedJerusalem Artichokes to American consumersin 1965 (and renamed them Sunchokes® acouple of years later), they have been one ofthe top trending vegetables with chefs in thepast four years,” says Karen Caplan, presidentand cheif executive for Los Alamitos CA-based Frieda’s Inc. “They are a flavorfulalternative to potatoes, parsnips, and squash,and many chefs are including them in theirwinter menus.

“Celery Root continues to be growing inpopularity, so much so that when there aregaps in supply from U.S. growers, we areimporting from Europe,” says Caplan.

Coverstory_Layout 1 1/5/15 12:25 PM Page 5

http://www.thechiaco.com.au


Idaho Potato_Ad 12/12/14 3:36 PM Page 1

http://www.idahopotato.com/retail

senior director of marketing, POM Wonderful. “Berries and cherries have deep, colorful

hues from anthocyanins and flavonoids, antiox-idants that help protect the brain’s neuronsfrom oxidation and inflammation,” says TodayShow nutritionist Joy Bauer, M.S., R.D.N. “Theselittle gems are also packed with vitamins,minerals, and fiber.”

Each type of berry has its own uniquenutrient and antioxidant profile. One serving ofstrawberries has more vitamin C than anorange, along with potassium, the B vitaminfolate and fiber. Research shows strawberryeaters have healthier blood cholesterol andlower levels of inflammation markers. An extractfrom blueberries appears to slow the growthand spread of a particular type of breast cancer.Compounds in raspberries are said to protectagainst cancer and heart disease. More than50 studies examined the potential health bene-fits of tart cherries, primarily as juice, and creditthem with easing arthritis and muscle pain andaiding sleep.

According to the U.S. Highbush BlueberryCouncil, U.S. per capita fresh and frozen blueberry consumption is projected toincrease from 2.4 pounds in 2013 to 3 pluspounds in 2015, with 70 percent of house-holds purchasing blueberries within a one-month period in 2013.

Cranberries are called America’s OriginalSuperfruit and are supported by more than375 original research and review articles abouttheir health benefits, particularly for the urinarytract. They also were studied for potential inaiding heart health, cancer prevention, andbacterial infections. Despite this, per capitaconsumption is stable.

Chicago, IL-based FreshLook Marketing Group,the sales value of a superfood designation ishard to ignore. The following produce itemsstand out.

Kale continues to be one of the main super-foods in the industry, observes Bolton ofRobinson Fresh. “When we began marketingand distributing fresh kale greens in 2009, themain market was for packaged cooking greensrather than salads, as it is today.”

“Pre-washed, packaged baby kale and kaleblends have only been out for a few years, buthave seen meteoric yearly growth upward of500 percent,” says Earthbound’s Cabaluna.

Smoothies also propel kale. “One quarterof Vitamix blender owners say they use kalein their smoothies,” says Laura M. Pegg,account executive, Falls Communications,Cleveland, OH, an agency for marketing andcorporate communications, branding, investorrelations, crisis and reputation management,creative, public relations and media relations.

CATCHING A RIDE ON KALE’S COATAILS

Other leafy greens are catching a ride onkale’s coattails. “The kale market is becoming


PHOTO

COURT

ESY

OF

WEI

S M

ARKET

S

saturated, paving the way for other conven-ient, healthy-packaged options such ascollards, mustard greens, and turnip greens,”says Bolton. “Whether they are viewed assuperfoods will depend on how aggressivelyfood marketers and the media promote theirbenefits.”

“We evolved our business from cookinggreens into chard, mixed greens, Asian greens,and now salads from dark greens withoutlettuce or spring mix,” says Garrett Nishimori,marketing manager and corporate chef, SanMiguel Produce Inc., Oxnard, CA.

Watercress is enjoying new attention for itshigh nutrient-density and is one of a handful ofitems currently bearing a Superfood Antioxi-dant Certification.

Pomegranate has been transformed byPOM Wonderful, Los Angeles, CA, from nichefruit to ubiquitous superfood. Pomegranatesand their juice currently are promoted as anexcellent source of antioxidants, and POMWonderful provided more than $35 million tosupport pomegranate research.

“Fresh pomegranate sales rose from100,000 cartons in 2001 to more than 2million cartons in 2008,” says Dahlia Reinkopf,


http://www.bigredtomatopackers.com

(CLO

CKW

ISE)

PHOTO

S CO

URT

ESY

OF

U.S

. HIG

HBUSH

BLU

EBER

RYCO

UNCI

L, N

ATIO

NAL

MANGO B

OARD A

ND T

HE

MUSH

ROOM

COUNCI

L

With two-year sales growth of approximately 20 percent for blueberries and spinach, 30 percent for mangos, and a whopping 90 percent for pomegranate, accordingto Chicago, IL-based FreshLook Marketing Group. Mushroom production has been climbing steadily since the 1970s, according to the Vegetables and Pulses Yearbook2014, published by the USDA.

sium and fiber, as well as vitamin D whenexposed to UV light. “They are very low in calo-ries and can be blended with ground meat tolower calories, saturated fat, and cholesterol.”

“Nuts were a high fat nutrition no-no,”says Maureen Ternus, M.S., R.D., executivedirector, International Tree Nut Council,Davis, CA. “In 2002, our petition for a heartdisease health claim was supported by morethan 40 studies. Today, more than 200research abstracts cover almonds, walnuts,pistachios and others.”

Documented benefits of eating nutsinclude a lower risk of dying from heartdisease, stroke, respiratory illness, or cancer.All nuts provide healthy fat, along withprotein and several minerals, and each standsout for its individual mix of nutrients andantioxidants. pb

Mango, like pomegranate, transformedfrom specialty to everyday superfood. Inaddition to its antioxidants, a cup of mangoprovides 100 percent of the Daily Value (DV)for vitamin C, is high in vitamin A, rich infolate, provides fiber, vitamin B6, and themineral copper.

Dates provide 16 vitamins and minerals,including fiber and more potassium by weightthan bananas. Date production dropped by 25percent between 2011 and 2013, althoughthey appear to be more readily available than inthe past.

Mushroom production has been climbingsteadily since the 1970s, according to theVegetables and Pulses Yearbook 2014,published by the USDA. Mary Jo Feeney, M.S.,R.D., F.A.D.A., food and agriculture consultant,Los Altos, CA, says mushrooms provide potas-

Avocado is wildly popular across the U.S.According to the Hass Avocado Board andCalifornia Avocado Commission, supplyincreased from about 570 million pounds in theearly 1990s to projected sales of 1.8 billionpounds (3 billion avocados) in 2014.Avocados contribute nearly 20 vitamins,minerals and beneficial plant compounds, alongwith healthy fat. Research shows eatingavocado with tomato sauce or carrots increasesabsorption of vitamin A. Avocado eaters havebeen shown to feel fuller after eating, have amore nutritious diet, weigh less, and havehigher levels of “good cholesterol” than thosewho do not eat avocados.

Sweet potatoes deserve to be eaten year-round for their abundant carotenoids, vitaminC, fiber, and antioxidants, all in a 100-caloriemedium-sized potato.



Mexico has established a place as a revered produce tradepartner with the United States, and continues to enjoyincreasing exports. According to SAGAPA (theMexican department of agriculture), from January toJune 2014, the total value of agricultural exports

reached more than U.S.$11.6 billion. SAGARPA reports the principalag exports are beer and tomatoes, followed by avocados, peppers,tequila, sugar, raspberries, blueberries, blackberries, grapes, cattle, straw-

Mexican ProducePositioned For Future GrowthQuality, consistency, availability and proximity put it in the right place at the right time.

BY JODEAN ROBBINS

berries and cucumbers.The country’s success comes from its ability to provide consistent

quality product. “Mexico brings the benefit of consistent supplies to abuyer,” says Darvel Kirby, business director of produce for UnitedFamily of Supermarkets in Lubbock, TX, operating 66 stores underfive unique banners — United Supermarkets, Market Street, Albert-sons Market, Amigos and United Express.

“Mexico is able to provide us with crops we would otherwise need


Mexican Produce_Layout 1 12/31/14 11:05 AM Page 1

Avocado F Mexico_Ad 12/19/14 10:31 AM Page 1

http://www.avocadosfrommexico.com

to transition away from,” asserts MarokaKawamura, produce director for New LeafCommunity Markets in Santa Cruz, CA, witheight stores. “Mexico is invaluable to ourorganic program.”Proximity to the United States combined

with high production standards afford Mexicoopportunity. “It’s about fresh product,” saysMaggie Bezart Hall, vice president of tradeand promotion for Avocados from Mexico inIrving, TX. “Product can be in any market areawithin one to two days compared to otherimports shipped in containers for 21 to 29days. Mexico offers year-round supply and thehighest food safety protocol.” No sleeping giant, Mexico is positioned to

take advantage of circumstances for futuregrowth.“I believe Mexico is in a perfect place for

the future,” says Bill Vogel, president of TheVision Companies in Los Angeles. “As waterissues plague our growth, we will be looking toMexico as a source on many of our stapleitems. Mexico has land, water, fantasticgrowing seasons and the infrastructure tohandle additional production. I suspect nearlya doubling of exports from Mexico during thenext 15 years.”

PROTECTED AGRICULTUREGROWING STRONGProtected agriculture, incorporating green-

houses, shadehouses and other protectionsfrom the environment, continues to makeheadway in the market. “Mexican greenhouseproducts are very important,” says AlfonsoCano, produce director at Northgate Markets,a 38-store chain in Anaheim, CA. “The mainreason is because the vegetables grown thereare a staple in many diets and recipes.” In 2012, SAGARPA reported 21,530

hectares or 53,000 acres of protected agricul-ture in Mexico. Estimates from AMHPAC,the Mexican protected agriculture associationin Culiacan, Sinaloa, Mexico, show at least 80percent of the production is exported to theUnited States. “Protected agriculture grew atan average of 1,700 hectare per year from 2000to 2012,” reports Alfredo Diaz Belmonte, chiefexecutive of AMHPAC.“The rise in protected agriculture is the

biggest thing to happen in the Mexicanindustry over the past several decades,” saysAlejandro Canelos, director at ApacheProduce Imports in Nogales, AZ. “This willcontinue.” Protected agriculture in Mexico is mostly

dedicated to the production of three products,though others are rising in popularity.



http://www.groweralliance.com

2014 MARKETING EXCELLENCE AWARD WINNERS

• California Avocado Commission

• California Giant Berry Farms

• Duda Farm Fresh Foods

• Grimmway Farms/Cal-Organic

• National Watermelon Association

• Columbia Marketing International (CMI)

• Idaho Potato Commission

• National Mango Board

• Ocean Mist Farms

• C.H. Robinson

• Sunkist

• Wholly Guacamole

To participate, send us the following for eachentry:

1. Your name, company, address and phone.

2. Type of business.

3. Names and dates of promotion (must have takenplace between June 1, 2014 and June 1, 2015).

4. Promotion objectives.

5. Description of promotion.

6. Promotion results (sales or traffic increases, mediaattention). What made this program a success?

7. All support materials used in the promotion – suchas POP, ads, posters, TV commercials.

High-resolution images to illustrate the promotionare encouraged. (Please do not send any produce)

TURN YOUR MARKETING

INTO ANAWARDINGEXPERIENCE

Right now, and on through June 6, 2015, we’retaking entries for the 27th Annual MarketingExcellence Awards Program, presented byPRODUCE BUSINESS. The awards recognizeexcellence in marketing in each of six categories:retailers, foodservice, wholesalers, shippers,commodity organizations and allied service/productproviders. Print, broadcast and other media areeligible to win.

SEND ENTRIES TO:

PRODUCE BUSINESS MARKETING EXCELLENCE AWARDS

5400 Broken Sound Blvd. • Suite 400 • Boca Raton, FL 33487

Deadline for entries is June 6, 2015

For additional information, call: 561-994-1118, Ext. 101

PBH Awards_Layout 1 12/15/14 12:20 PM Page 1

product helps move greenhouse items.”“The enclosed environment allows for

easier control of difficult factors in farming,such as insect development and sunburn,”explains Vision’s Vogel. “While production isnot cheap for higher density items, including

house grown. One hundred percent of ourgrape tomatoes are greenhouse grown and 50percent of our Romas are green house grown.”

Greenhouse benefits include lower costsand consistent quality. United’s Kirby says,“Consistently having good retails and quality

“Mexico�s Secretary of Agriculture�s estimatesindicate 70 percent of the entire protectedsurface is used for growing tomatoes,” saysDiaz Belmonte. “Sixteen percent is forgrowing bell peppers, 10 percent for cucum-bers and the remaining 4 percent is destinedto growing other varieties of peppers, berriesand eggplants, among others.”

“The most popular greenhouse items areanything in the tomato category,” says JaimeChamberlain, president of J-C Distributing inNogales, AZ. “After that is the pepper cate-gory. Cucumbers have also gone undergreenhouse. Currently, 75 percent of our toma-toes are greenhouse grown. One hundredpercent of cucumbers are greenhouse grown.Seventy percent of our bell peppers are green-


“It inspires confidence if we have a majorityunder greenhouse protection. It’s more conducivefor retailers to ask suppliers if it is greenhouse.Greenhouse grown should inspire confidence to go into contract.”— Jaime Chamberlain, J-C Distributing







http://www.crownjewelsproduce.com

http://www.lisainc.us

“While the input cost of building assets isobviously higher, once the assets are built, thecost of production in greenhouses should actu-ally be lower on a per unit basis,” saysCanelos. “This assumes building the right typeof greenhouse in the right climate and growingthe right product. Additionally, greater consis-tency of production makes producers morelikely to be able to take advantage of goodmarkets when they occur.”

Greenhouse may inspire buying confidence.“It inspires confidence if we have a majorityunder greenhouse protection,” says Chamber-lain. “It’s more conducive for retailers to asksuppliers if it is greenhouse. Greenhouse grownshould inspire confidence to go into contract.”

CAPITALIZING ON ORGANIC DEMAND

Mexico is increasingly capitalizing on theorganic market’s growing demand. “Thedemand from customers and retailers requiresorganic and makes it a growing category,”states Kirby.

“We handle many organic items fromMexico,” reports New Leaf ’s Kawamura.“Those of primary importance includebananas, zucchini, sweet and hot peppers,eggplant, cucumbers, beans, avocados,melons, basil, asparagus, peas, mangos, plan-tains and coconuts.”


nProducts To Watchavocados has begun to produce in volume,”says Kellen Newhouse, vice president ofsourcing for WestPak Avocado Inc. inMurrieta, CA. “This new volume is arrivingin July, August and September, whensupplies are historically at their lowest. Thishas provided great quality and consistencyyear-round.”

“USDA will be releasing more municipali-ties within the state of Michoacan,” saysBezart. “This will allow for an even strongersupply of Fresh Avocados from Mexicothroughout the year.”

Mexico continues to expand variety.SAGARPA reports during the secondtrimester of 2014, the value of Mexicanvegetable exports grew to U.S.$3.1 billion,representing 27 percent of the total value ofMexican ag exports to the United States.Tomato and pepper exports increasedU.S.$990 million and U.S.$628 million, respec-tively. Cucumbers increased to U.S.$279million and asparagus grew to almostU.S.$200 million.

“There is still a large amount of growth in

According to SAGARPA, the top 10 prod-ucts registering the greatest incrementalgrowth during the first six months of 2014were berries (raspberry, blueberry andblackberry) with a growth of 45 percentover the same period in 2013. Avocadosgrew 26 percent.

Avocados represent an importantMexican-sourced product. “As an industry,we had a good year in 2013 with more than1.7 billion pounds of avocados in themarket,” reports Maggie Bezart Hall, vicepresident of trade and promotion forAvocados from Mexico in Irving, TX. “ForAvocados from Mexico (AFM), it was a greatyear as we continued as the market leaderwith more than 1.1 billion pounds — morethan 65 percent of the total volumemarketed in the United States. To put this inprospective, California marketed 460million, Chile 51 million, DominicanRepublic 1.9 million and Peru 47 million.”

Mexican avocado volume continues togrow. “Recently, the new plantings ofMendez variety trees producing Hass

the hot pepper category,” says ChristopherCiruli, chief operating officer for CiruliBrothers LLC in Rio Rico, AZ. “It is also worthwhile to note the first available fruit ofthe season is mangos, starting in Februaryand March.”

“Winter or hard squash is becoming morepopular,” says Jaime Chamberlain, presidentof J-C Distributing in Nogales, AZ. “Also,increasing in interest are more European andmini cucumbers—items historically consid-ered more Canadian. These are becomingavailable much earlier out of Mexico.”

Part of the growth is attributed to expan-sion of production areas. “Nayarit isexpanding to service more of the shoulderseasons of fall and late spring,” says AlejandroCanelos, director for Apache Produce Importsin Nogales, AZ. “Culiacan will continue togrow, as always.”

“There is not one state in Mexico thatdoesn’t export something 365 days a year,”asserts Chamberlain. “There are many oppor-tunities in each state in Mexico — fromJalisco to Guanajuato to Chiapas.” pb

high quality produced. In most greenhouseoperations, nearly 85 percent of productionmakes a No. 1 product.”

tomatoes, peppers and cucumbers, the highpotential remains. The other benefit is the


Kawamura adds, “In the 15 years I’ve beenin the industry, I’ve seen a huge increase invariety of organic Mexican produce. Thedemand is there, and the timing of the Cali-fornia and Mexican season work welltogether.”

Organic production in Mexico promisesbetter pricing as supply increases. “The largeopportunity for organic production growth inMexico will definitely bring down prices asthe supply grows,” reports Mayra Velazquezde Leon, president of Organics Unlimited inSan Diego, CA. “We have seen increasedimports and higher organic production ofberries, peppers, tomatoes and bananas due toexpansion of growing areas in Mexico.”

Avocados and bananas are at the organicforefront. “Organic avocados are regularlyavailable in good volume throughout theyear,” says Kellen Newhouse, vice presidentof sourcing for WestPak Avocado Inc. inMurrieta, CA.

“We are continually increasing organicbanana production in Mexico, convertingconventional growers to organic growers,”says Velazquez. “Our bananas from Mexicoship a shorter distance, decreasing the exten-sive handling which can harm the quality and


also lower the product’s carbon footprint.Organic production under protected envi-

ronments is not very common but does exist.“AMHPAC does have some grower membersgrowing and exporting organic producegrown under protected environments,” saysDiaz Belmonte. “USDA’s AMS does report agrowing amount of organic tomatoes andorganic bell peppers imported in the UnitedStates during the past couple of years.”

Diaz Belmonte adds, “It seems highlylikely organic production grown underprotected environments is increasing inMexico, however we don’t have enough datato confirm or deny it. Personal perception ofsome industry members indicates demand for organic produce is increasing in theUnited States and protected ag growers willhave to adapt to the needs of that nichemarket.”

WHAT THE FUTURE HOLDSChanges in the shipping options and logis-

tics may make transit more effective. “TheNogales port of entry has recently been over-hauled and expanded,” asserts Apache’sCanelos. “This will greatly improve the effi-ciency of crossing at this border. If Texas canachieve allowing overweight truck permits inthe Free Trade Zone, as Arizona has, that willbe very helpful as well.”

Christopher Ciruli, chief operating officerfor Ciruli Brothers LLC in Rio Rico, AZ, says,“With the renovation and expansion of theMariposa port, product crossings are expeditedmore efficiently, meaning product is arrivingfaster to our warehouses, and consequently, toour customers.”

Alternative modes of transportation mayalso play a role. “There’s a lot of talk aboutgoing back to using rail to bring product in

“The more these consumers become aware of the programs and the good they are doing, the more they increase sales.”— Mayra Velazquez de Leon, Organics Unlimited


http://www.convention.cpma.ca


PHOTOGRAPHY BY DEAN BARNES

nUpping Sustainable Effortsmango crop has been certified by RainforestAlliance for the past few years.”

Avocados and bananas are taking advan-tage of the positive aspects of sustainablepractices.

“Fair Trade and sustainable farmingprograms are growing in Mexico and FairTrade avocados are currently available,” saysMaggie Bezart Hall, vice president of tradeand promotion for Avocados from Mexico inIrving, TX.

“While Fair Trade certified is not growingin bananas in Mexico, sustainable farmingpractices are,” reports Mayra Velazquez deLeon, president of Organics Unlimited in SanDiego, CA. “Demand for our GROW bananas,which offers education and health programsto the communities where the bananas aregrown, continues to expand. It is a very largeportion of the bananas we ship.”

Sustainability programs are an increas-

Fair Trade is another category withgrowing demand in the marketplace andgrowing availability in Mexico. “Fair Tradeand sustainability are being taken seriouslyby the Mexican industry,” says AlejandroCanelos, director for Apache ProduceImports in Nogales, AZ.

“Sustainable agricultural practicescontinue to grow,” reports Christopher Ciruli,chief operating officer for Ciruli Brothers LLCin Rio Rico, AZ. “Mexico is an industry leaderin water conservation; all of Ciruli Brothers’growers use drip irrigation. Mexican growershave been farming these areas for morethan 100 years and they understand thatwater conservation is a huge thing.”

Many products are currently certified onthese types of programs. “Products includebell peppers, tomatoes, avocados, cucum-bers, melons, squash and mangos,” explainsCiruli. “Part of Ciruli Brothers’ Champagne

ingly important tool for marketing. “As anorganic produce company, we find ourconsumer buyers are very concerned aboutsocial responsibility in the growing of theproducts they purchase,” says Velazquez.“The more these consumers become awareof the programs and the good they aredoing, the more they increase sales. Use ofPOP materials to promote the social side ofthe program is invaluable.”

“It’s important retailers work with theirsuppliers to establish a price point thatmakes sense so the grower can see a return,allowing for keeping these types ofprograms going and growing,” suggestsCiruli.

“The industry demands these programsand companies must have them survive,”concurs Darvel Kirby, business director ofproduce for United Family of Supermarketsin Lubbock, TX. pb

too difficult with the new weather patterns. It’smaking a difference in how we plant and whatwe plant for.”

Mexico may also continue to face challengesoutside the production and business arena.

“Certain U.S. industry segments threatenedby product from Mexico continue to use thepolitical arena to maintain protectionist poli-cies,” says Canelos. “The recently raised floorprice for tomatoes from Mexico is a goodexample. This is a non-tariff trade barrier. Infairness, Mexico has its own protectionisttendencies, and any particular product war(such as the tomato war) should be viewed aspart of a larger, overall trade relationshipbetween two neighboring countries with theirown domestic political realities to consider.”

“There are still major U.S. retail chains thatactively prefer U.S.-grown product,” saysCanelos. “And there are Canadian chainspreferring Canadian-grown product. Whilethey might be satisfying the immediate desiresof an ignorant customer base, these policies areshortsighted. Retailers that focus on the qualityand consistency of the product, and not thecountry of origin or the means of production,will ultimately prevail.” pb

from Mexico,” reports Canelos. “The root ofthis talk is the price of gasoline and diesel. I’mnot sure how practical this is, but there is a lotof chatter.”

Climatic changes also affect the business.“From a production standpoint we’re seeing aclear change in weather patterns,” explains

Chamberlain. “It’s something we’ve beenlooking at for the past few years. For example,we have many more rains further into the fallseason and this forces people to think differ-ently. For example, historically you’ve hadpeople attempting to do beans for Thanks-giving. Now, people forget it because it’s just

Mexico also faces labor challenges andmost recently was caught under fire bythe Los Angeles Times. This month’s

Perishable Pundit highlight on page 20critiques the exposé and provides

commentary.


Avocado From Mexico Ad 1_Ad 12/24/14 11:17 AM Page 1


Avocado From Mexico Ad 2_Ad 12/24/14 11:21 AM Page 1


Well-established categories will yield greater impact with some specialized promotion.BY JODEAN ROBBINS

Chile contributes a substantial amount of fruit volume andvariety during the U.S. winter months. According to SteveMonson, senior sales representative at Robinson Fresh inEden Prairie, MN, “Chile is one of the largest exporters ofoff-season produce from the Southern Hemisphere and

provides an abundance of quality produce when the United States is

Chile Maintains ItsPlace As a ‘Go-To’Winter Produce Source


PART II

experiencing winter.” “If a retailer is selling blueberries, grapes or stone fruit during the

winter months, chances are the fruit is from Chile,” says Karen Brux,managing director of the Chilean Fresh Fruit Association (CFFA)North America, based in San Carlos, CA. “As the largest fruit exporterin the Southern Hemisphere, Chile exports more than 800,000 tons of

Chilean II_Layout 1 12/22/14 4:57 PM Page 1

extended production season. If any new vari-eties are to be introduced from this region,growers will be searching for varieties yieldingin January to start their season earlier.”Over the past few seasons, Oppenheimer

has encountered good results with a new plumvariety with the working name of RR1. Myersexplains, “It is a late-season plum helpingretailers dovetail into the California stone fruitseason. Tango oranges also enjoyed success inthe North American market.” Packaging provides new options for Chilean

exports as well. “The trend toward presentinggrapes in gusseted or pouch bags has becomevery commonplace in Chile, after being intro-duced only three years ago,” says Monson.“This trend continues to increase in popularityand will likely help drive fixed weight bag salesin the United States. Many Chilean growersare now shipping bulk product to global desti-nations for the product to be packed specificallyfor its destination market.”“We enjoyed success with the pouch bags

last year and are looking forward to developingthis even more,” reports Kneeland.“At Del Monte, we are continuously

researching and introducing new and innova-tive packaging for our products,” saysChristou. “This not only allows us to keep upwith the changing consumer demands andpreferences, but it also offers sustainable solu-tions and helps retailers reduce shrink.Clamshells and fixed weight bags, as well asgrapes packed in a carry bag, are becomingmore popular every year.”The Oppenheimer products that promote

the “Eat Brighter!” campaign feature various

WHAT’S NEW?Not content to rest on past success,

Chilean exporters continue to seek out thenew. “North America is the largest market forChile and growers/exporters want to knowwhat they can do to better serve this market,”says CFFA’s Brux.“Chile seems to always be looking for

opportunities wherever it presents itself,” saysPaul Kneeland, vice president of produce,floral, seafood and meat for Kings FoodMarkets in Parsippany, NJ with 25 Kings andsix Balducci’s stores. “The growers areforward-thinkers. Two examples of this areavocados and Chilean citrus.” New varieties remain crucial to future

success. “Researchers are currently focusing ondeveloping new varieties of stone fruit andgrapes,” says Del Monte’s Christou. “There isgreat interest in finding stone fruit varietiesthat are larger, higher in color with loweracidity and have a longer shelf life allotting forthe two-week trip from Chile. Grape researchfocuses on larger size and bridging the varietalgap. This season should see three to four newgrape varieties on retail shelves that theconsumer will love.”“Chile developed many new kiwi varieties

as the popularity of this item continues toincrease,” says Robinson’s Monson. “Althoughgrapes are one of the main produce itemsgrown in Chile, and new varieties are beingtested, there are not as many new grape vari-eties from Chile compared to new varietiesfrom California. California grape growersexperiment with new varieties to fill supplygaps while Chilean varieties enjoy a more

fruit to the United States annually, and morethan half of that is supplied during America’swinter months. Consumers expect retailers tohave year-round supply of their favorite fruits,and Chile makes it possible.”Ramping up promotion will drive sales

during winter and into other seasons. “Retailersin the United States should take advantage ofthe opportunity to promote these items to driveyear-round produce sales,” says Monson. Evan Myers, executive director, South

American Imports for the OppenheimerGroup, in Vancouver, B.C. agrees. “By stockingfruit from Chile, retailers can keep preferreditems on the shelf all year round. Chile enablesretailers to offer up certain special opportuni-ties, like cherry ads at Christmas and theintroduction of new varieties.”“I promote that Chilean products are ‘new

crop’ at the times of the year when our prod-ucts are unavailable or out of storage,” saysRick Rutte, produce/floral director for NorthState Grocery Inc. in Cottonwood, CA, with19 stores. “It definitely helps sales. It worksespecially well with apples, citrus, cherriesand grapes. Advertising new crop crispinesssells product.”

KEY PRODUCTSChile has ample variety of key products for

the produce department. “The principal fruititems traditionally exported during the winterare grapes, blueberries, apples, oranges, cher-ries, peaches, plums and nectarines,” saysDionysios Christou, vice president marketingwith Del Monte Fresh Produce in CoralGables, FL.“Key Chilean items to advertise during

winter months are blueberries, stone fruit andasparagus,” says Richard Stiles, director ofproduce and floral for Redner’s Markets inReading, PA, with 44 stores. “These are keycategories and you need to promote to helpincrease sales in the department.”“Oppy offers blueberries, grapes, apricots,

cherries, nectarines, peaches, plums and pluotsduring the winter,” says Myers.According to the CFFA, cherries are

available November through January, blue-berries from November through March,grapes from December through May andpeaches, plums and nectarines fromDecember to April.“Retailers should be promoting stone fruit,

including peaches, nectarines and plums inFebruary and grapes in March and April, asthese are typically the peak volume times forthese items,” says Monson.



variety from Chile and builds beautiful displayswith information highlighting the unique tasteof the Muscat grape. This brings attention tothe grape category overall, and they see salesincreases across all varieties.”

Communicating health and wellness isanother driver. “It’s often about selling thequality and health attributes of the products,”says Stiles. “Chilean items fit well with sellinghealth aspects.”

“Give consumers season-appropriate usageideas and wellness messages,” agrees Brux. “Forpeople committing to a healthier lifestyle inthe New Year, we have commodity-specifichealth messages available. For example, theCFFA is currently working with a registered

Sesame Street characters on wraps, labels, bagsand more. “Oppy is prepared to offer ‘EatBrighter!’ Sesame Street-themed packs acrossvarious categories from Chile,” says Myers.

ATTRACT ATTENTIONDisplay size, placement and visibility are

crucial to increasing sales. “During February,when various stone fruits are in their peak fromChile, retailers should merchandise these itemsin larger displays near the front of the store, asthey can easily be a complement or substitutefor berries,” advises Gina Garven, categoryinsights manager at Robinson Fresh.

“POS and signage always attract attentionto the product and help increase impulsesales,” says Christou. “POS and signage canbe informative on product quality, intro-ducing new varieties, highlighting seasonalproducts, providing nutritional informationor recipes. Del Monte offers a variety of POSmaterial showing nutritional value and bene-fits, as well as recipe cards that not onlyattract consumer attention but also educateconsumers on the product.”

“I group similar items together in a high-traffic location in my departments,” says Rutteof North State.

Cross merchandising of Chilean productsresults in increased sales for a variety of items.“We cross merchandise not only withinproduce but within different departments,”explains Stiles. “For example, we’ll set blue-berries back by bakery or put them next topancake mixes — or we’ll bring pancake mixinto produce.”

“Merchandise grapes with baby carrots orother healthy lunchbox items to inspire newideas for packing children’s lunches,” suggestsGarven.

Think creatively to merchandise aroundholidays. “One idea is to promote stone fruitduring the months leading to Valentine’s Day,”says Garven. “These can be promoted as atopping or additional ingredient for a poundcake or another sweet dessert. In March andApril, when the weather starts to warm up andthe summer merchandise begins to roll out,retailers can promote grapes in a picnic basketpromotion with complementary items such ascheese and crackers.”

Retailers should communicate the uniqueselling points of their Chilean deal toconsumers. “For example, a large retail chain isflying in all their Chilean stone fruit to offerwhat they believe is the freshest, best-tastingfruit. We’re helping them develop POScommunicating this,” says Brux. “Anotherlarge retail chain brings in a Muscat grape


The Chilean Fresh Fruit Association hasunique retail marketing programs for each ofits products and works with retailers acrossthe United States and Canada.



http://www.mixtec.net

grapes recipe via a video sent out to its300,000-plus customer database.” Working with the retail and supply

communities, CFFA develops targetedprograms. “During the 2013-14 season, theCFFA launched a very successful trial of apromotion called the Great Grape Giveaway,”reports Brux. “Retailers loved it. A total of 298stores from 17 retail chains across the UnitedStates participated in the promotion. I thinkwe had such strong support because it was funand easy to enter, and was a nice incentive forproduce managers. We hope to expand on itin 2015, and hopefully double the number ofstores participating.” “The Chilean Fresh Fruit Association does

a great job of supporting the full range ofChilean produce at retail, delivering a consis-tent message and driving sales throughsignage, videos and more,” says Myers. “We work with retailers on custom POS

and promotion programs for their stores,”explains Brux. “In early 2014, for example, wedesigned a large co-branded blueberry posterthat reinforced some key blueberry healthmessages. The CFFA has also sponsorednumerous health and wellness programs devel-oped by specific retailers. You can’t be aneffective marketer without tailoring yourprograms to fit customers’ needs.” pb

are in peak season. Robinson Fresh works withretailers to build and tailor programs specificto their business needs. These programs haveincluded produce manager display contests,social media market support, as well as in-storepoint-of-sale materials.”The Chilean Fresh Fruit Association has

unique retail marketing programs for each ofits products and works with retailers across theUnited States and Canada to develop in-storeand online promotions. “The CFFA hasnumerous usage ideas and correspondingimages for everything — from a cherry, wildrice and quinoa salad to cherry chocolate chipmuffins to smoked salmon with blueberrycompote or a festive green grape salsa for St.Patrick’s Day,” says Brux. “Consumers arefamiliar with summer usage ideas for items likecherries, blueberries, grapes and stone fruit, butwhat about during the cold winter months?We worked with one retail chain to introduceour roasted Brussels sprouts and Chilean

dietitian from a large retail chain in the North-east to supply short sound bites on all of theChilean fruits.”

COMMUNICATE IN-STOREFor many retailers, the best promotion

avenue is directly with customers. “Samplingand in-store signage are our best methods ofreaching our customers,” says Rutte. “Outsideads are not as effective for us.” “Supermarkets can really take advantage of

the in-store promotional tools offered bysuppliers,” says Redner’s Stiles. “They do agood job of creating the message. It’s up to usto follow through and use what they haveavailable.”“A variety of promotional tools can help

consumers connect or better understand wheretheir winter produce comes from,” saysGarven. “More consumers are looking toincrease their knowledge of the produce theyare purchasing and want to know when items


“A VARIETY OF PROMOTIONAL TOOLS CAN HELPCONSUMERS CONNECT OR BETTER UNDERSTAND WHERE THEIR WINTER PRODUCE COMES FROM.”— Gina Garven, Robinson Fresh

nGo SocialCFFA and has changed the way its merchan-disers work with retailers. “For the past fewyears, we have placed a strong emphasis ongiving retail marketing staff the informationand images they need to reach theircustomers on their Facebook pages or othersocial media outlets,” explains Karen Brux,managing director of the Chilean Fresh FruitAssociation (CFFA) North America, based inSan Carlos, CA. “This has become a keycomponent of our retail marketing programsand probably one of the most cost-effectivemeans of reaching consumers withcompelling information about fresh fruitsfrom Chile.

Outreach to retail nutrition specialists isanother aspect of social media marketing.“Supermarket registered dieticians (RDs)often play a key role in retail social initiatives,and we work directly with them on nutrition-related information,” says Brux. “We havesponsored numerous PBH programs,bringing together produce organizationsand supermarket RDs, and our merchan-disers have developed strong relationships

Chilean products are increasingly part ofsocial marketing. “Social media and web-based marketing are essential to reach bothcurrent and potential customers,” says Diony-sios Christou, vice president marketing withDel Monte Fresh Produce in Coral Gables, FL.“Retailers can utilize social and digital mediato help encourage participation in their in-store promotions by creating buzz, providinginformation and connecting to consumersanytime, anywhere. The social media expertsof the Del Monte marketing departmenthave the skills and resources to support ourcustomer’s social media campaigns.”

“I use social media and web tools toeducate our customers on varieties, ripenessand other product knowledge,” says RickRutte, produce/floral director for North StateGrocery Inc. in Cottonwood, CA. “It is agrowing influence, especially with youngerconsumers. Customers are more likely to buyif they have some information on the prod-ucts. Recipes are especially useful in oursocial media.”

Social media is of huge importance to the

with RDs throughout the country.”Social media provides an easy way to

connect consumers to growers. “Socialmedia is meant to help engage customers,”says Michela Calabrese, director at Interrup-cion* Fair Trade in Brooklyn, NY. “It’s a greatway to tell a story. With Taste Me, Do Goodwe tell the story about where the product iscoming from and how it is made. Behindevery product is a place and a community.We use social media as a way to bring thatstory, and positive impact, to customers.”

“Social media is having a remarkableimpact on how we experience our food andhow we shop for it,” says Evan Myers, execu-tive director, South American Imports for theOppenheimer Group, in Vancouver, B.C.“There’s long been a curiosity about whereour food comes from, but social mediamakes it possible for consumers to virtually‘meet’ the grower and engage with him orher. Retailers, marketers and growers thatcreate these kinds of opportunities solidifythe relationship between the shopper andthe product.” pb


There’s a David and Goliath story going on in the citrus category. That is, specialtycitrus represents a small slice of sales compared to the big four — oranges, grapefruit,lemons and limes — which collectively contributed 64.1 percent of category dollarsales for the 52 weeks ending Sept. 27, 2014, according to data supplied by theChicago -based Nielsen Perishables Group.

Yet, there are many varieties of citrus that are starting to take a bite out of the big four’sdollars. For retailers, this is a tale with a happy ending. Offering customers both the Davids and

the Goliaths in the citrus category is the best way to increase total category sales atretail. This is especially true during the months of December through May, whenthe availability of different kinds of specialty citrus jumps from six to 20 or more.

What exactly is specialty citrus? Some industry professionals base theirdefinition on variety.

“When one says grapefruit, we think reds, pinks orwhites. Oranges? Navels or Valencias. I define specialtycitrus as varietal citrus out of the norm,” says JohnSavidan, director of produce merchandising at Bristol

Farms, a 15-store chain headquartered in Carson, CA. “I think our customers have come to understand that besides

the ‘standard’ varieties, we carry unique varietals throughoutthe year. Oro Blancos, cocktail grapefruit, Pumellos or MelloGolds in our grapefruit category, for example,” says Savidan.Others differentiate between mainstream and specialty citrus

on the basis of volume.

SELL MORE

SPECIALTYCITRUS

Category is growing asconsumers embrace thesehealthy varieties.BY CAROL BAREUTHER

TOP PHOTO COURTESY OF SUNTREAT PACKING AND SHIPPING CO.BOTTOM PHOTO COURTESY OF FRIEDA’S INC.


Specialty Citrus_Layout 1 12/22/14 6:32 PM Page 1

Booth Ranches_Ad 12/31/14 11:24 AM Page 1


http://www.boothranches.com

peel. It’s less acidic in taste than grapefruit.Availability from California runs from mid-October through mid-May and out of Floridafrom September to the end of December.“Our best specialty item is Pumellos from

Florida due to the dollars they generate andthe eating experience they deliver to theconsumer. We have planted all new trees asgreening knocked our volume in half. Today,we are doubling our volume and we areprojected to triple in a couple of years,” saysW.G. Roe’s Genthner.

UP & COMERS. “Blood oranges, keylimes, pixie tangerines, kumquats andBuddha’s Hand citrus are all specialty citrusthat we carry seasonally,” explains Acme’sSchneider. “Blood oranges would be something I’d add

if I were a retailer who wanted to expand mycitrus category and drive impulse sales,”recommends Karen Caplan, president ofFrieda’s Inc., in Los Alamitos, CA. Blood or Moro oranges have a maroon

colored interior. They are available out of Cali-fornia from December through mid-April.“In addition to key limes, Kaffir limes are

seeing more demand because they’re used inThai and Indonesian cooking. Finger limes —which some call citrus caviar because when youbreak them open there are several greenish-white to pink vesicles inside that pop on yourtongue — have seen a big uptick in foodservicebut may take longer to catch on at retail dueto their difficulty to grow and high price,”explains Melissa’s Schueller.Sumo Mandarins and pixie tangerines are

the best-selling specialty citrus at Bristol

South Africa starting in June and Australia inAugust.“The Cara Cara is an excellent piece of

citrus that eats uniquely different from conven-tional Navel oranges,” explains Dan Barboa,West Coast sales manager for Capespan NorthAmerica, headquartered in Gloucester City, NJ.“Plus, it has the health benefit of containing thephytonutrient lycopene.”Meyer lemons, thought to be a cross

between a regular lemon and a Mandarin, aresweeter tasting and less acidic than lemons.They are available from October to Marchfrom California and July through Septemberout of New Zealand.“Meyer lemons first became popular when

used in foodservice drinks,” says RobertSchueller, director of public relations forMelissa’s/World Variety Produce, in LosAngeles. The grapefruit-looking Pumello is also

picking up in demand. The Pumello is a largepiece of fruit with a thick dark greenish-yellow

“Mandarins have been the fastest-growingcitrus item in California for many years nowand would not be classified as specialty citrus,”explains Bob DiPiazza, president of SunPacific, in Pasadena, CA.Indeed, Mandarins represented the largest

sub-segment of the citrus category at 33.0percent of sales during the 52-weeks endingSept. 27, 2014, according to Nielsen Perish-ables Group data, compared to 31.6 percentfor oranges, 15.9 percent lemons, 10.5 percentlimes and 6.1 percent grapefruit.“It is the combination of variety (different

or unique) and small percentage of the citruscategory that is what creates the opportunityfor the retailers,” says Darrell Genthner,director of marketing and business develop-ment for W.G. Roe & Sons, in Winter Haven,FL. “They can take a specialty item anddevelop it into a signature role.”

WHAT’S MOVING MAINSTREAM“We are finding that many specialty vari-

eties of citrus are becoming more popular intoday’s ‘foodie’ culture,” explains JoanWickham, advertising and public relationsmanager at Sunkist Growers, based inValencia, CA. “As such, our growers have beenexpanding production of these newer varieties;and as more volume continues to becomeavailable, we are able to promote the variety tobuild sales.”

MAINSTREAMERS.“Cara Cara Naveloranges and Meyer lemons are gaining popu-larity because customers are attracted to thetaste,” says Jay Schneider, produce director atAcme Markets, a 110-store chain headquar-tered in Malvern, PA. “These fruits havebecome more available now versus a few yearsback, and retail at prices more reasonable.Consumer demand is driving this trend.”Cara Caras have a pink seedless flesh. They

are available from December through May outof California, with more limited volumes from


Sumo Mandarins is a popular specialty citrus item at retailers such as Carson, CA-based Bristol Farms andRochester, NY-based Wegmans.

PHOTO COURTESY OF MELISSA’S

Buddha’s Hand

PHOTO COURTESY OF FRIEDA’S

Meyer Lemons


LGS_. 12/16/14 6:07 PM Page 1

http://www.lgssales.com

ence year after year. For us, the Sumo’s justcontinue to steam roll every other item andrule the citrus category when they are avail-able,” says Savidan.

Farms.“These types of varietals are gaining trac-

tion and are ones that inspire our customers tokeep coming back for the best eating experi-


nA Trio Of Ways To Sell More

under the brand names Cutie and Halos.“We’re seeing a lot of pouch bags today that

are conducive to communicating purchasetriggers to the customer. For specialty citrus,the packaging cannot be generic looking. Thebag or label should carry its own uniqueness inorder to improve sales,” says Capespan’s Barboa.

There is a clear trend toward packagedspecialty citrus, as it provides many benefits toboth retailers and consumers.

“If a retailer is interested in selling in bulk, itis absolutely key for them to provide informa-tion about the item, or it will get lost in theshuffle. The benefits of packaged specialtycitrus is that the packaging often provides theeducation consumers need to get that crucialtrial on something that may not be familiar tothem. Pouch bags and Giro-style mesh bags arealso quite popular. Both allow great visibility soconsumers can inspect the fruit inside toensure they are getting the highest quality,”explains Sunkist’s DeWolf.

The UPC code on packaging can assurespecialty citrus — especially that which lookslike its mainstream counterpart on the outside— gets the right ring by the checker.

“Make sure packaging is visible in a display,”says Kim Flores, director of marketing for Seald-Sweet International, headquartered in VeroBeach, FL. “If not, you are missing an opportu-nity to let the packaging work for you by callingout good messaging.”

Promote The Premium. “Specialty citruscommands a premium, because it costs apremium. Price isn’t as essential as having ourcustomer taste the product. We hang our hat on

Spotlight The Specialties. “We tie in CaraCaras or other specialty items on the ‘main-stream’ Navel display to draw attention tothem,” says Acme Market’s Schneider.

One of the best tactics to use when intro-ducing something new is to display theproduct as a wing display, stack display (in frontof produce case) or as an auxiliary display — allin the customer traffic flow so it stands out.

“Take Pumellos, for example. You can usethe original cartons to build a wing display nextto the grapefruit display. Now you have theopportunity for a customer to switch theirpurchase from grapefruit to a more premiumPumello,” explains W.G. Roe’s Genthner.

Large, impactful displays in high-trafficareas, such as at the entrance, is how specialtycitrus is merchandised at Bristol Farms. Thechain will also run multiple displays byfeaturing an item in other locations within the store.

“As all retailers, we have to juggle depart-ment space. During peak season, we will featurecitrus, so we force ourselves to make room.Other times, we have to really pick and chooseour varietals. We taste and mix the varietiesbefore we bring them in to ensure we’ve got thebest ones and try and relay this message to ourconsumers,” says Bristol Farms’ Savidan.

Produce companies realize that it is verydifficult to expect a retailer to create space fornew and seasonal items.

“We prefer to provide a solution via displayunits, high-graphic stackable display trays orconsumer cartons that can be placed directlyon the floor in front of the main tables,” explainsJulie DeWolf, Sunkist Grower’s director of retailmarketing. “Many of our display units are theexact height of the display tables, so retailerscan easily create what we call a ‘waterfall’ effectby extending the table space with a displaythat features a new or unique item. Addition-ally, many varieties ship in high-graphic traysthat draw attention and look great stacked.

“We will also use high-graphic bins on prod-ucts like the Cara Caras,” says Acme’s Schneider.

Play Up The Pack. A stealth way to call outspecialty citrus is to make good use of pack-aging. Marketers have become adept atassuring their product catches the consumer’seye. Think of the success of Mandarinsmarketed in brightly colored boxes and bags

offering our customers the highest quality fruits and vegetables available withinthe marketplace, and it’s unfortunate that manytimes the best-tasting items end up being themost expensive,” explains Bristol Farms’ Savidan.

“Supply and demand more consistentlydictate price than even retailers do, so for vari-eties with little acreage in the ground, weusually see higher prices at retail,” explainsSunkist Grower’s DeWolf.

It is important to communicate to shopperswhy specialty citrus is priced at a premium.

“Cara Cara Navels, for example, look just likea conventional Navel on the outside, so aconsumer might wonder why they should pay apremium for this specialty item. This is whereour communication efforts are so vitally impor-tant. Packaging, as well as display units, canrelay the flavor profile, nutrient content andcopy about what makes this variety unique. Wehave a number of display units and each has aspace for an interchangeable header card thatcan give consumers this information,” saysSunkist’s DeWolf.

The grower/shipper community can affectpricing through promotional strategies likehigh-value introductory couponing, whichprovides a great trial incentive.

“Additionally, sampling programs helpconsumers understand the uniqueness of a newvariety and should be employed whenfeasible. Once consumers know they like acertain variety, price becomes much less of afactor, so we need to do our job as marketers toget that fruit into their hands for the first time,”asserts DeWolf. pb

Sumo Citrus is the brand name of anorange-Satsuma Mandarin mix developed inJapan and exclusively grown and marketed bySuntreat Packing & Shipping Co., in Lindsay,


Sunkist_Ad 12/15/14 11:14 AM Page 1


mailto:familystories.sunkist.com

anything out of Texas at the peak of its seasonin January,” says Capespan’s Barboa.

Instead of one, retailers can now offershoppers a variety of lemon from which tochoose.

“Seedless lemons are novel and variegatedpink lemons are great for making pinklemonade,” explains Frieda’s Caplan.

Seedless lemons are available out of Cali-fornia from November to May.

UNDER THE RADAR. Yuzu, a hybridof an ancient type of citrus and a sourMandarin, is prized for its juice used inJapanese ponzu sauces. The Sudachi is a crossbetween a very sour type of citrus and aMandarin. It looks like a Yuzu and is slightlysmaller than a lemon. Calamondin comes fromthe Philippines and is a kumquat and sourMandarin hybrid.

“These are all very niche items that willtake the general public some time to appre-ciate,” says Melissa’s Schueller. pb

strong fragrance. We’ve sold more over a fewweeks this fall than I’ve seen over the course ofa year,” says Bristol Farms’ Savidan.

Beyond this, there are other types of citrusthat are poised to continue gaining consumeracceptance. These include varietal tangelos,grapefruit and lemons.

“The Sugar Belle, which is a cross betweena Honeybell Tangelo and a Clementine,started harvest in early December and finishedup around the beginning of January,” explainsDave Haller, vice president of sales andmarketing at Green River Marketing, Inc., inVero Beach, FL.

“We had a final pack-out of around 2,500boxes and distributed them nationwide, as wellas sold them as gift fruit. Right now demandexceeds supply, but we have more trees in theground and expect increasing volume over thenext few years.”

Specialty grapefruit such as the Oro Blancoand Melo Gold, both crosses between a whitegrapefruit and Pumello, as well as the CocktailGrapefruit, a Mandarin-Pumello cross, areblossoming in volume.

‘The cocktail grapefruit eats and juicesexceptionally well. I don’t think it compares to

CA. The fruit is orange-size, seedless, sweet,juicy and easy-to-peel.

“Our goal is six weeks of supply this season,up from four last season,” explains Al Imbimbo,vice president of sales. “We like to get supplyup to a four-month window from February toMay and have plantings in the ground tosupport this in the next five to six years.”

Newer varieties of easy-peel Mandarins aremoving mainstream to fill specific marketniches.

“Late season Ojai Pixie tangerines andGold Nugget Mandarins are extending theseason of this popular category into May,” saysSunkist’s Wickham.

Kumquats are now available year-round,although supplies can be shorter in the fall.

“Kumquats are a great item to add to showthat you have variety in your citrus category.We’ll be introducing a new variegatedkumquat in January,” says Frieda’s Caplan.

Buddha’s Hand citrus, available from latefall through early winter, is a novelty that iscatching the attention of shoppers.

“Extremely unique items like Buddha’sHand were first introduced by chefs. They aresought after for decoration, zesting or their


For a preview of what’s in development for specialty citrus,

visit ProduceBusiness.com

Specialty Citrus_Layout 1 12/31/14 11:27 AM Page 4

http://www.txcitrus.com

PBH Industry_PB House Ad F/P new.qxd 12/15/14 1:06 PM Page 1

http://www.producebusiness.com

popular in the past 10 years, and we’re seeingextensive growth in usage with all commodi-ties,” says Kurt Zuhkle, Jr., president andchief executive of Kurt Zuhkle & Associates,Inc., based in Easton, PA. The companyprovides clamshells for the majority ofproduce packers in the United States “We also offer custom thermoforming forcustomers to meet a niche that is becoming

A PackagingShift

When plastic clamshell packagingwas developed in 1987 forDriscoll’s, it revolutionized theindustry.

In recent years, clamshells have become asolid choice for a variety of produce packaging,especially given the growth of fresh-cut fruitand vegetables and packaged salads.“This type of packaging has become more

more common with retail chains.”Clamshells, or rigid thermoformed pack-

aging, continue to grow and evolve in theproduce industry due to their ability to protectproduct and enhance merchandising at theretail level. “We are seeing a lot of growth in single

serve designs, portion control packaging, multi-pack snap apart packaging and a new push fordesigns that will allow for enhanced mobility,”says Roman Forowycz, group president andCMO of Clear Lam Packaging, Inc., head-quartered in Elk Grove Village, IL.“Clamshells offer ease of use; they are simpleto eat out of the package and are easy to disposeof, which are key attributes consumers want.”The patented packs are just one product in

a produce packaging industry that’s growingfaster than produce production as a whole,according to Cleveland, OH-based The Free-donia Group, a market research firm. Demandfor produce packaging, valued at $4.8 billionin 2012, is projected to increase 3.3 percent peryear to $5.7 billion in 2017.Although corrugated boxes will remain the

leading produce packaging type through 2017(TOP TO BOTTOM)PHOTOS COURTESY OF INLINE PLASTICS


Product protection,merchandising appeal and sustainable qualitieshave led to an increasedpresence in produce departments.

BY LISA WHITE

Clamshell_Layout 1 12/31/14 1:23 AM Page 1

“The multipacks can be produced frompreformed cups or economically produced inline on horizontal form fill seal packaging, justlike yogurt cups,” says Forowycz. “They canbe made from renewable plant-based plastics toreduce the use of petroleum-based plastics andto minimize the carbon footprint.”

The new snap-apart multipacks are avail-able in a variety of sizes, from four-packs orsix-packs for retail distribution up to 12 packsfor club store formats, in addition to singlepacks for C-store distribution. There are stan-

lower costs and a reduced impact on the envi-ronment,” says Forowycz.

In addition, smaller single-serve clamshellsizes are now being introduced.

Clear Lam recently developed a multipacksnap apart packaging concept to meet growingdemand from health-conscious consumerslooking for convenient grab-and-go portioncontrol packaging for cut fruits and vegetables.The individual cups can be easily separatedand the design makes it easy for consumers tohold and transport.

and beyond due to the low cost, light weight,protective performance, graphics capabilitiesand a well-established recycling infrastructure,plastic containers will experience the fastestgains among major produce packaging typesthrough 2017 due to growth in berry produc-tion and expanding applications for clamshells,according to ReportsnReports, a Dallas-basedmarket research firm.

CHANGING SHAPESPackaging suppliers say there is no one-

size-fits-all where clamshells are concerned.Standard sizes available include one-half

pint, 1 pint, 1 quart, 2 pounds, 3 pounds, athree-pack or a four-pack that fit into a 5-pound box for shipping to meet weightstandards.

Typically, the leafy green products are avail-able in standard retail packs that contain 5, 11or 16 ounces of product. Cut fruit clamshellsare available in either round or rectangularshapes in 8-, 16-, 24- or 32-fluid ounce sizes.

“Traditional clamshell sizes have been inrectangular and round sizes of 8-, 12-, 16-, 24-and 32-ounce sizes, but many more sizes andshapes are being developed to meet specificapplications,” says Jack Tilley, market researchmanager at Inline Plastics Corp., based inShelton, CT. “We work with our customers tomaximize the number of containers that canfit into a box and/or a pallet.”

Today, newer clamshell shapes are beingdeveloped in response to growth in healthygrab-and-go snacking.

For example, Inline has introduced a line oftamper-resistant clamshells in snack cup sizesgeared for on-the-go snacking.

One-piece hinged containers, where the lidis attached to a base, also have become morepopular.

There has been increased use of smoothrectangular- and square-shaped clamshells,which provide better cubing, improved spaceutilization and the ability to store more inven-tory on department shelves.

“We also are seeing a wide variety of rigidcontainers with flexible lidding films insteadof rigid lids,” says Clear Lam’s Forowycz.“This is a design trend from Europe that ismoving into North America.”

These new films seal to RPET containers,and in some cases, can also reseal multipletimes. The lidding films can create the optionfor controlled or modified atmosphere pack-aging to help extend product freshness andreduce shrink.

“By removing rigid lids, overall plasticusage could decrease, which would deliver



http://www.producepackaging.com

dard sizes for the traditional commodity prod-ucts, such as pint berry containers or 5-ouncelettuce containers.

Although clamshell sizes will vary slightlyfrom brand to brand, most are similar in foot-print.

“To maintain processing efficiencies, aproduct line will share a common footprint,including the width or length of the openingand shape, but have varying depths,” saysForowycz. “CPG companies can add addi-tional differentiation and recognition by


incorporating design elements into the trays,as well as use unique colors.”

Typical material types used to formclamshells for the produce industry includeRPET, or recycled polyethylene terephthalate,a strong, durable and recyclable material,and PLA, or polylactide, a biodegradable ther-moplastic aliphatic polyester derived fromrenewable resources, such as corn starch.

Clamshell containers continue to be usedfor a wide variety of produce items in bothsingle-serve and family sizes.

(TOP TO BOTTOM)PHOTOS COURTESY OF PRECISION PACKAGING PRODUCTS

“Certainly, we see clamshells used prima-rily for salads, take-out and to-go foodservicepackaging,” says Steve Langdon, vice presidentof sales at WNA, based in Covington, KY,parent company of Precision Packaging Prod-ucts and ParPak. “We find the most popularshapes are rectangle and square for clamshellpackaging, however, single round hydroponiccontainers are very popular, since theseconform to product shapes, such as lettuce.”

Typically, for the loose-leaf products, deeptubs with flat lids assist in the automation ofthe filling process.

A variety of round, square and rectanglebowls with an assortment of depths and struc-ture designs best display the produce, as wellas add to its shelf life.

Since most of the leafy green and cut fruitproducts are ready to eat, there has been signif-icant development in the design of tamperevident packaging, which enhances both foodsafety and consumer confidence.


“Our clientele doesn’t want any plastics andwill bring clamshells back to us for recyclingor to send to local farms,” says White. “I thinkpeople have the idea that anything sold inthese containers is processed, and this turnsthem off.”

Instead, the store mainly sticks with card-board berry containers that are compostable.

“There has been a lot of talk aboutbiodegradable clamshells, but I haven’t seenany of the organic providers, even big ones,saying anything or offering them as far as I

The only items carried in clamshells areberries, figs and packaged salads.

“We stay away from clamshells, eventhough they can be recyclable, because ourcustomers don’t want them,” says RobertWhite, produce manager. “If we have a choicebetween loose Brussels sprouts or those inclamshells, we’ll choose them loose.”

Many of The Living Earth’s customersbring their own reusable grocery bags to carryhome the store’s 100 percent organic produce,the only type available at the store.


CLAMSHELL BENEFITSThe Santa Rosa, CA location of G&G

Supermarkets, which also has a Petaluma site,typically receives more delicate products —including berries, grape tomatoes, Camparitomatoes, alfalfa sprouts and fresh herbs — inclamshell packaging.

“This packaging has its pluses andminuses,” says Ted Romero, produce managerfor G&G’s Santa Rosa location. “It’s a goodprotector for delicate items and provides accu-rate ring-ups due to the UPC codes, plus itstacks well and creates attractive displays.”

Unlike plastic bags, clamshells are rigid tobetter protect products and can help decreaseshrink due to damaged produce.

“There’s also new manufacturing methodsthat can create custom clamshells for items likea 9-ounce tomato or 12 ounces of broccoli,”says Zuhkle of Kurt Zuhkle & Associates.“The packaging can literally be molded to theproduct.”

Newer packaging technology has the high-speed ability to fill, close and label to save timeand labor.

Produce departments also are experiencingthe merchandising benefits of clear clamshellpackaging.

“By spotlighting the quality of the pack-aging’s contents, it increases impulse buying atthe store level,” says Inline Plastics’ Tilley.

Along with product protection and addedvisibility for produce, clamshells provide excel-lent stackability to create powerfulmerchandising displays.

“Also, some of the newer designs thatincorporate lidding films will extend productshelf life, provide tamper evidence, reclose andenhance merchandising through printedgraphics,” says Forowycz. “As a result, CPG’sand retailers can create products that targetchildren or adult consumers and communicatemore directly with their target market.”

One area that other food packaging indus-tries are looking at is decorating the plastic topresent marketing brand recognition and curbappeal.

“The use of colored lid borders is one wayof achieving that effect,” says WNA’sLangdon.

OVERCOMING CHALLENGESDespite many benefits, clamshell pack-

aging has had to overcome the stigma of beingplastic.

The Living Earth, a Worcester, MA-basednatural food store with one location, is knownfor its sustainability. For this reason, the storetries to avoid all excess packaging.


http://www.inlineplastics.com

http://www.inlineplastics.com


resistance features of different clamshellpackaging products.

One downside to clamshells can becondensation from temperature variations,which can cause spoilage.

This can compromise shrink benefitsnormally seen with this type of packaging.

“Most clamshells are well ventilated, butthere are times we deal with condensationissues, especially when there’s temperaturecontrol issues, such as with a truck’s refriger-ation system,” says Romero at G&G.

Other industries are moving to packagedesigns that would replace heavy, bulky,preformed rigid containers, trays, cans andjars that do not cube well.

Clear Lam’s PrimaPak technologyproduces a semi-rigid, stackable and reclos-able package from a roll of film that isdesigned to reduce bulk and rigidity. Theproduct can be used for a variety of cutvegetables and fruit, along with leafy greens.

“It significantly reduces truck shipmentsby removing the need to ship empty

containers to processors,” says Forowycz. “Italso enhances cube throughout the supplychain and reduces cost.”

Many predict that clamshell containerswill continue to be popular based on theadaptable packaging designs that can accom-modate a wide variety of produce andfoodservice packaging needs.

“This adds an element of single-useconveniences where one container can beused to package a variety of items and thenall the package needs is a different label,” saysLangdon.

It also is predicted that the marketwill see continued growth in single-servedesigns, portion control packaging and a newpush for designs that offer mobility and easeof disposal.

“Reducing plastic use and increasingpackage cube are the main goals,” saysForowycz. “We are already seeing a “less ismore” trend with packaging fueled by thebuying patterns of Millennials and Genera-tion Xers.” pb

know,” says White. “It would be a good idea,since our type of customer is more into thesecorn-based clamshells that break down easierthan regular clamshells.”

With the majority of packaging manufac-turers, sustainability has been a major focus forseveral years now. The challenge has been tocreate practical or actionable initiatives thatmake sense. Also, cost is always a big factor inthe development of new product lines.

There are a number of manufacturingmethods clamshell manufacturers use toincrease the sustainable qualities of thesecontainers. For example, Inline’s PET materialfor its containers is produced using a processthat achieves high-energy efficiencies so thatthe carbon footprint of the material is as low asmaterial containing 50 percent post-consumerrecycled material.

Clear Lam has focused its efforts onreducing its impact on the environmentthrough internal systems and processes, as wellas on developing products that deliver someform of sustainability benefit.

The company’s three main categories ofsustainable packaging include packagingmade from renewable raw materials, such asbio-plastics; packaging that incorporatessome form of recycled plastic or paper; and packaging that delivers lighter weight benefits.

“This final category is not just aboutmaking packaging materials thinner, butincludes changing packaging designs to thosethat can eliminate heavy preformedcontainers or those that can remove lids andPVC shrink bands,” says Clear Lam’sForowycz. “We feel sustainability has becomea normal part of doing business today, and itis no longer the exception.”

Many are noting that clamshells made ofPET (polyethylene terephthalate) arebecoming more popular than OPS (orientedpolystyrene) due to the more sustainableformats available.

Companies continue to reduce theamount of plastic in packages by reducing thegauge/weight and looking at the types ofmaterials and their manufacturing processes,all to reduce carbon footprint. Also, greencompanies such as Eco-Products are nowoffering a wide variety of clamshell containersmade from PLA, a plant-based plastic, as wellas the use of post-consumer recycled blends(PCR) of PETE.

In addition to environmentally friendlymaterials, produce departments also shouldbe aware of the tamper-visible, proper secureclosure, venting, ability to label and crush

(TOP

TO B

OTT

OM

) PH

OTO

S CO

URT

ESY

OF

CLEA

R L

AM

PAC

KAG

ING A

ND INLI

NE

PLA

STIC

S

Clear Lam’s PrimaPak technology produces a semi-rigid, stackable and reclosable package from a rollof film that is designed to reduce bulk andrigidity. The product can be used for a variety ofcut vegetables and fruit, along with leafy greens.


MARKETING MUSHROOMS BEYOND BLENDABILITYWhile the category growsbrowner and more exotic,trends using mushroomversatility and blendabilityshine this winter.BY BOB JOHNSON

(TOP TO BOTTOM) PHOTOS COURTESY OF GOURMET MUSHROOMS, INC.


As the holiday season winds down and heathy cooking amps up, one quality aboutmushrooms catching the cooks’ eyes is the unique ease with which they can beminced and mixed with ground meats.

“We are seeing a great interest in the blendability of mushrooms,” says KevinDonovan, national sales manager at Phillips Mushroom Farms, Kennett Square, PA.

“You chop up the mushrooms, cook them and add to ground beef or turkey. It greatly reduces thefat content and makes for a juicier burger or meatloaf.”

As word of their nutritional value spreads, mushrooms are growing in sales; the Brown Porta-bella and Baby Bella are growing faster than most, and varieties bearing colorful names.

“We’re growing 25,000 pounds of specialty mushrooms a week; it might be up to 27,000pounds by now,” says Bob Engels, chef liaison for Gourmet Mushrooms, Inc, Sebastopol, CA.“Specialty mushroom is something beyond Shiitake or Portabella. We’re growing seven mush-rooms including Trumpet Royale, also called King Oyster, or Maitake Frondosa, which isHen-of-the-Woods.”

While the category grows browner and more exotic, trends using mushroom versatility andblendability shine this winter — making meat dishes leaner, richer in vitamin D, juicier, andpossibly more economical.

NOW WE’RE COOKINGAs cooks prepare to strut their stuff with warm dishes to suit the colder season, smaller mush-

rooms are convenient traditional ingredients. “Using sliced Baby Bella or sliced Buttons are always popular around the holidays,” says Peter

Wilder, marketing director of To-Jo Mushrooms, Avondale, PA. “Casseroles with mushroomsare always a big hit.”

The large social gatherings clustered near the end of the year create special opportunities for

Mushrooms_Layout 1 12/22/14 4:37 PM Page 1

as continuing to educate consumers on thehealth benefits of mushrooms. We supplyplenty of information to that effect on ourwebsite for consumers,” says Bill Litvin,senior vice president for sales and nationalaccount manager at Giorgio Foods Inc.,Temple, PA. “Giorgio likes to provide ampleopportunities for consumers to gain accessto nutritious and delicious recipes. Weprovide recipes on our product packages, aswell as having a QR code on our labels thatlink to recipes.”

The recent emergence of exotic and inter-esting mushrooms magnifies the importance ofshowing and telling customers how to usethem.

“The first thing people ask when they seeour mushrooms is ‘how do I use them,’” saysEngels from Gourmet Mushrooms, whichproduces only specialty varieties. “We alwaysinclude recipes in our packaging.”

BELLAS AND BEYONDThe once obscure Brown varieties have

(almost overnight) claimed a major share ofmushroom supermarket space.

“The big change is the popularity of theBrown mushrooms, the Baby Bellas and Porta-bellas,” says Paul Frederic, senior vice presidentsales and marketing at To-Jo Mushrooms.“They are really in demand. We’ve seen theshift over the past couple of years.”

This shift continues as the most recentstatistics show healthy growth for the largePortabellas. “According to the October ship-ping report provided by The MushroomCouncil, Portabella mushrooms posted double-

but maintain taste, texture and flavor.”This industry group includes a wealth of

information on the nutritional, economic andculinary benefits of blending on its website(MushroomCouncil.org).

“Mushroom blendability is the solution toimproving heavy winter dishes, making themhealthier without sacrificing flavor, texture orappeal,” says Preis. “By chopping fresh mush-rooms and blending them with ground meat indishes such as chili, casseroles, lasagna andmeatballs, families can continue to indulge in ahearty winter meal while keeping calories, fatand sodium low.”

With blendability, recipes and demonstra-tions fortify the message that mushrooms cantransform familiar dishes from burgers tomeatloaf and casseroles.

“Mushroom shippers and growers regularlyshare mushroom recipes with retailers todistribute to customers. Recipes encouragecustomers unfamiliar with mushrooms to tryincorporating mushrooms into their meals,”says Preis. “Retailers are encouraged to servemushroom blended samples along with mush-room blended recipes to further encouragecustomers to try the mushroom-blend cookingtechnique at home. Once a consumer tasteshow seamlessly the mushrooms blend withmeat, and how simple it is to chop the mush-rooms into classic family recipes, it quicklybecomes habit.”

Chances are very good that a supplier hassomething to contribute as part of this nationalcampaign to promote blending.

“Giorgio thinks it is important to partici-pate in supporting these promotions, as well

quantities bigger than the norm.“We’re seeing more club packs around the

holidays,” says Wilder. “People are buying the20-ounce sliced or 24-ounce whole packs tocook for larger gatherings.”

This delectable fungus that sits comfortablynext to the healthiest vegetable in the producedepartment is a natural for dishes that combinemany ingredients into a convenient meal.

“Mushrooms are also an easy addition inone-pot cooking, which is becoming morepopular,” says Donovan. “For the winter, we seegreat mushroom interest in casseroles, or as aside dish.”

As uses for mushroom proliferate, retailerscan entice customers with recipes or in-storedemonstrations.

“We do offer our ‘Aprons Simple Meals’program in store where we feature at least onemeal recipe per week,” says Maria Brous,director of media and community relations atPublix, Jacksonville, FL. “Some recipes mayinclude mushrooms. In addition, onPublix.com under our Aprons section, weprovide more than 60 recipes which includemushrooms.”

Suppliers are heavily promoting, in partic-ular, the benefits of blending mushrooms withmeat to improve many traditional dishes.

“Mushroom blendability is the culinarytechnique of chopping fresh mushrooms tothe consistency of meat and blending themwith ground meat and cooking themtogether,” says Katie Preis, marketingmanager for the Mushroom Council, SanJose, CA. “By blending the mushrooms withmeat, you can reduce calories, fat and sodium,



whole, increased in popularity the past fewyears,” says Wilder from To-Jo Mushrooms.“The Portabella is popular in the summer, andthe Baby Bella later in the year. The Brownmushrooms had double-digit growth. Theinterest in a more flavorful mushroom isstrong.”

These smaller mushrooms have the largestmarket share during the holiday season.

“For the holidays, the Whites and BabyBellas are in particular demand,” says Frederic.

Although the Portabella and Baby Bella

menus. Meals include Portabella mushroomburgers, side dishes, salads and — in somecases — a substitution for meat as this typeof mushroom tends to maintain it’s texturewhen appropriately cooked, sautéed orgrilled,” says Publix’s Brous. “It’s also a‘meatier’ mushroom.”

There is a seasonal difference in demand forthe different Brown mushrooms, with thesmaller cousin (the Baby Bella) garnering moreattention during the winter cooking season.

“The Baby Bella mushroom, sliced or

digit growth rates for dollars and volume in thefour-week period, which ended on September7th, 2014,” says Litvin.

Portabella benefits from its versatility as acooking mushroom. “The Portabella’s meatytexture makes it easy for consumers to cooksatisfying meals as they explore more plant-based diets,” says Preis. “As the mushroomblendability cooking technique grows in popu-larity with consumers, Portabellas are oftenused to blend and extend dishes such as fajitas,stir frys, soups and burgers. As the gluten freediet trend continues, the hearty Portabella isalso often used as a meal carrier, replacing thebuns in a burger or pizza dough in the popularPortabella pizza.”

Restaurants and cooking shows have donemuch to fuel this continuing interest in theBrown mushrooms.

“Portabella mushrooms continue to gainpopularity with customers for several reasons,especially with the inclusion on restaurant


Meals from top to bottom are: Grilled Nebrodini,Mushroom Pizza and Grilled Maitake.

PHOTO

S CO

URT

ESY

OF

GOURM

ET M

USH

ROOM

S

Mushrooms_Layout 1 12/24/14 11:04 AM Page 3

http://www.phillipsmushroomfarms.com

“The healthy aspects of mushrooms moti-vate a significant portion of consumers. TheMushroom Council continues to find newways to promote the health benefits that mush-rooms offer,” says Litvin from Giorgio.

Nutrition has much to do with the contin-uing growth in mushroom sales across theboard.

“Mushrooms are growing in sales yearround,” says Litvin. “Specific varieties that areseeing excellent sales numbers include Brownmushrooms, Baby Bella and Portabella, andShiitake mushrooms. My personal favorite isthe Royal Trumpet, which has a great taste andis very easy to prepare.”

Producers support health claims byinvesting in peer reviewed nutritional studies ofmushrooms, in particular their uniqueness as aplant source of vitamin D.

“Marketers are absolutely pushing thehealthy angle as mushrooms have such a robustnutrition story to promote,” says the Mush-room Council’s Preis. “Mushrooms are not onlylow calorie and fat free but they provide potas-sium, B vitamins, vitamin D and more forconsumers. The mushroom industry focusedon providing resources and data for retail dieti-tians to promote the benefits of mushrooms totheir customers on the store floor.”

Interest in good nutrition created somedemand for enriched mushrooms, and evengreater interest in the vitamins provided by allmushrooms.

“There is marginal interest in vitaminenriched, but there is naturally occurringvitamin D in mushrooms,” says To-Jo’s Wilder.

There is also significant and growinginterest in some quarters in organic mush-rooms.

“Most of our mushrooms have been organicfor the past 12 years, and we are increasing ourorganic space,” says Donovan from PhillipsMushrooms Farms.

Fresh and healthy generally go with locallygrown in the consumers’ eyes, and this trendapplies with mushrooms.

“Locally grown mushrooms are amarketing advantage available to all storesand shippers,” says Preis. “Mushrooms aregrown indoors and year-round in farms acrossthe country. Virtually every region is able toreceive local mushrooms, fresh throughoutthe year. Since mushrooms are grown fresh,all year they are great to promote as localespecially in winter months when sourcinglocally grown produce can be more difficult.Many stores are showcasing ‘Locally Grown’POS around the mushroom section toeducate customers on this benefit.” pb

A solution for retailers in this fast evolvingcategory is to offer consumers plenty of choices.

“Baby Portabella sliced and whole remainvery popular,” says Brous. “For this time ofyear, White or Brown varieties of mushroomsare popular — especially with stuffing recipes.We also offer customers larger whole Porta-bellas for stuffing.”

A HEALTHY ADDITIONA major selling point for all variety of

mushrooms is that they are good for you.

have only recently gained major attention andmarket share, for some aficionados, they arealready too mainstream.

“Portabella is absolutely not a specialtymushroom; biologically it is the same species asthe White Button,” says Engels from GourmetMushrooms. “Specialty mushrooms are moreflavorful – it’s more texture, more color, andmore flavor. There’s not a lot that’s new invegetables, but there are mushrooms people arejust getting used to.”

Gourmet Mushrooms finds homes for itsproducts in Whole Foods nationwide and inRaley’s and Safeway in Northern California.

“Our growth is 25 percent; the growth ofthe specialty mushrooms is probably in theneighborhood of 10 percent; and ButtonMushrooms are 2 or 3 percent. The greatestgrowth is the specialty mushroom because ofchefs and home cooks.”

It is worth remembering that even with theemergence of the Portabella, Baby Bella andspecialty varieties, the familiar White Buttonmushroom remains No. 1.

“The White mushrooms are the mostpopular, but the browns, particularly the BabyBellas, are picking up in popularity,” saysDonovan.



http://www.giorgiofresh.com

TAKING THE FARMERS MARKET CONCEPT TO SUPERIOR LEVELSSprouts Farmers Market allures consumers with quality produce and dynamic visuals.

BY CAROL BAREUTHER, RD


RETAILPROFILE

BY CAROL BAREUTHER, RD

Displays mimicking fields of fresh fruits and vegetables arenot the first feature you see when entering the SproutsFarmers Market on Alton Parkway in Irvine, CA. Instead,there’s an impressive brick and mortar facade fronted inlate October by more than 10 bins of bright orange pump-

kins, rows of alternating red and yellow mums and bushel baskets filledwith odd-shaped gourds. Once inside, shoppers have to walk past the requisite row of check-

out registers and through center-store aisles filled with shelf-stablegrocery items to reach what is easily the biggest department in the store:fresh produce. Fruits and vegetables are one of the focal points at thisstore and the other 190 stores that make up the Phoenix, AZ-head-quartered chain, which was named one of the “Ten Best Supermarketsin America” in 2014 by Consumer Reports. It’s fair to say fresh produceis what pulls shoppers in the front door and back to the core of thestore on a daily basis. “Our aim is to provide customers in our community with fresh,

organic, locally sourced non-GMO foods at an affordable price,”explains store manager, Geoff Iguchi.

EXPANSION ON THE HORIZONThis particular location is an original Sprouts store rather than a

building converted from another banner. It opened on November 12,2007, five years after the chain was founded in Chandler, AZ, by afamily of California grocers who started a business with one fruit stand. Since then, the health-oriented retailer has grown by way of acqui-

sitions including Henry’s Farmers Markets, Sun Harvest Market andSunflower Farmers Markets, as well as new store development. Sproutsbecame a public company traded on NASDAQ in 2013 and closed outthat year with sales of $2.44 billion, an increase of 36 percent over theyear prior, according to a company press release. Ten new stores are planned to open in early 2015, bringing the

chain’s total to more than 200 stores in 12 states. This fast-growingretailer stays true to its roots and does not lose sight of the fact that thefarmers market concept remains an integral part of its identity.

THE ROLE OF PRODUCE IN STOREProduce represents 25 percent of total store sales at Sprouts’ 27,000-

square-foot Irvine location. Here, there are some 500 fresh fruits andvegetables offered in wooden crates and bins, as well as on tables andrefrigerated racks with overhead signage that looks as if it were writtenon a chalkboard. Displays are brightly lit, well-organized and color-fully arranged. The concept of freshness was clearly conveyed, forexample, in a 6-foot by 8-foot waist-high, table-top display that was

PHOTO

GRAPH

Y BY DEAN BARNES

“Our aim is to provide customers in our community withfresh, organic, locally sourced non-GMO foods at anaffordable price,” explains store manager, Geoff Iguchi.

Retail Profile-Sprouts_Layout 1 12/22/14 5:32 PM Page 1


beautifully set with bulk Russet potatoes,Brussels sprouts, Roma tomatoes, string beans,red and green bell peppers, asparagus and freshcorn. The majority of non-refrigeratedproduce is sold stacked with a minimum ofpackaging similar to what you would find inan outdoor market. The refrigerated racks lookjust as lush with several types of leafy greens,cabbage and carrots sold unwrapped by thepound. There is, however, a 12-plus foot-long,five-deck-high cold case displaying baggedsalads, fresh-cut fruits and veggies, specialtysalad dressings, marinades and dessert dips forthose customers who crave convenience.Nearly one-third (or 150) produce SKUs

are organic. In fact, Sprouts was selected asthe “Best of Orange County” winner fororganic food selection in the Orange CountyRegister’s People’s Choice Awards for 2014. Aniron-man poster calling out this recognitionstands at the entrance to the store. It’s alsoechoed at point of sale with an 8.5- by-11-inch version of this sign. Green price signs identify organic produce.

Produce sold singularly, such as apples, areaffixed with green stickers imprinted with theword “organic.” There is a segregated displayof organic apples, pears and other tree fruit inthe middle of the department. Leafy greensand other organic refrigerated vegetables aregrouped together in the cold case. Overall,there’s no need to walk far in produce to findsomething that’s organically grown.“Locally grown to us means from our

state,” says Iguchi. “So, our buyers look first toSouthern California when sourcing produce.That’s not to say we don’t source outside thestate or country. For example, we offer ourcustomers fruit from Chile in the winter. Theaverage number of locally grown produceitems we have in store varies depending on thetime of year.”

A wide assortment of produce is a signa-ture selling point for Sprouts. For example,the Irvine store boasts more than a dozenvarieties of tomatoes from vine ripe toCampari, basic Yellow cooking onions andCipollini’s, Russet and Purple potatoes, andbins of popular Gala apples and seasonalpomegranates. This commitment to varietyassures that customers — who demographi-cally are middle to upper-middle class inincome, well educated, multicultural andinterested in eating healthfully — will findthe fruits and vegetables they want.

PRICING STRATEGYSprouts customers are also interested in

saving money and spending wisely. Conse-quently, affordable pricing is part of the chain’sgo-to-market strategy.“We can offer great pricing and specials

because of our great long-term relationshipswith suppliers, high sales volume, correspond-ingly lower shrink, and the fact we are willingto accept lower profit margins on fruits andvegetables than conventional stores because ofour farmers market focus,” explains Iguchi. Price cards labeled “bountiful bargains” and

“healthy savings” let customers know at pointof sale the price and savings of fruits andvegetables on sale. Customers purchasing case-loads automatically receive a discount. Thechain’s weekly ad circular runs fromWednesday to Wednesday — meaning twicethe number of items are on sale eachWednesday.

MANAGEMENT PHILOSOPHYCustomers who sign up for Sprouts mailing

list can receive coupons, and the chain alsooffers electronic coupons on its website fordownload each month, although fresh produceis rarely included in these couponing programs.

Fresh produce is delivered to the IrvineSprouts store via the company’s Colton, CA,warehouse. Spouts also has distribution centersin Glendale, AZ, and Grand Prairie, TX. “When I interview someone for a job here

in Produce, I not only look for someone whocan break down loads, cull product, clean theback room and stock the shelves. I look at whatpassion they have for cooking and healthyeating,” says Iguchi.A good example of this is produce clerk Jose

Bautista.“I love to cook,” says Bautista, as he

uniformly lays ears of fresh corn on a display.“If a customer asks, I tell them the differentways I would prepare something.”Customers receive suggestive selling in store

from the staff in the meat and seafood depart-ments about which produce wouldcomplement their meal best. The Sproutswebsite’s “Healthy Living Resources” contentincludes recipes, how-to articles and videos, aswell as wellness webinars.“Two of the biggest trends today are

health and value,” says Iguchi. “We believeaverage Americans — particularly aging BabyBoomers and Millennials — will continue tobe interested in improving their healththrough their diet.”Finally, Sprouts corporate mission to

improve the health of the communities inwhich it serves isn’t limited to its shoppers. Thechain proves this in two ways. First, by way oflocal event sponsorship — such as donatingfresh bananas and water to road races. Second,the Sprouts store in Irvine, like the chain’s otherstores in Orange County, partner with SecondHarvest Food Bank to donate extra or slightlydistressed produce to feed the hungry in theLos Angeles area. It’s a recipe for success bothin-store and out that is certainly working forthis progressive health-oriented retailer. pb

Retail Profile-Sprouts_Layout 1 12/22/14 5:33 PM Page 2


Food safety concerns brought the produceindustry to inventory management software,and food safety is about to take the categoryto previously unimaginable heights.Retailers will be able to track suspect fruits

and vegetables back to a particular field and, using theinformation on membership discount cards, evenwarn individual consumers that they purchasedsuspect produce.

“The real magic for the consumer is the retailer willbe able to email or text customers to let them knowsomething they purchased is under recall,” says ToddBaggett, chief executive of RedLine, Santa Clara, CA.“Retailers want to be able to manage the transactionto know what items were sold to their customers.”

Food safety brought the produce industry to thisdance, and will continue to drive implementation oftracking software, but high-tech firms are also workingto make the technology pay for itself by offeringprograms that will reduce shrink by making it easierto display the oldest produce first, and by tracking thecold chain from the field to the display shelf.

MAKING IT PAYThere is money to be saved with perishable

produce and software that makes it easier to choosefrom shipments with the oldest product in the distri-bution center.

“The payoff is verifying that the correct quantityand lots are being picked in the warehouse,” says ChrisReynolds, national sales manager for Solid SoftwareSolutions, Houston, TX. “You’re controlling yourlosses by making sure you’re not picking a lot that justcame in.”

Solid Software (a company specializing in instal-lation and support of software and web developmentfor the wholesale food distribution industry) will beable to package inventory management and foodsafety traceability in a single product, because theirsolutions programs are compatible with the labelsdeveloped by Wal-Mart and other major retailers.

“The applications we have verify the lot against anorder,” says Reynolds. “The lots can be pre-selected sothe warehouse is sending the right product. It alsogives you full traceability.”

SOFTWARE:From Food Safety To Inventory Control

Efficiency and reduced waste may pay for traceability technology.

BY BOB JOHNSON

PHOTO COURTESY OF SILVER CREEK SOFTWARE

Software_Layout 1 12/22/14 4:17 PM Page 1

range of 25 percent of produce that has caselabels. In five years, I think we’ll be at 100percent or close to it.” The largest retailers have the advantage of

incorporating produce traceability into theiralready highly sophisticated computerprogram systems. “The big boys like Wal-Mart, Costco and

Target already have hundreds of millions ofdollars in information technology,” says RonMyers, executive vice president of NorthAmerican operations at LinkFresh, a Ventura,CA-based software and IT consultancy organ-ization with extensive supply chain expertise.He believes it will pay to invest in systems

replacing multiple fragmented programs thatare all out of date with modern programsunifying numerous functions. “Unless we’re talking about enterprise

resource planning, it’s difficult for one productor vendor to do everything you need,” saysMyers. Many people in the produce industry

currently have multiple software systems, eachone of which helps with some but not all of theimportant inventory management issues. “In three to five years we’re going to see

more end-to-end solutions,” says Myers. “Theindustry is still maturing. Grower-shippers willhave systems that tell them how much to plant,when to harvest, and how to bring in enoughmaterial of the right grades for packing. It willhelp them put produce for the last stop in thetruck first.” Myers estimates reduced waste and

the reports have these columns available byproduct and by store: Sales velocity for today;sales velocity for the last five days by date; salesvelocity for this week; sales velocity for lastweek; monthly sales velocity to date; monthlysales velocity last month; sales for same weeklast year; same for same month last year; salesvelocity for last year looking into upcomingweeks and month.”A produce software system adopted to

meet food safety requirements might offerenough inventory management advantages topay for itself. “We believe the efficiency you gain by

having better inventory control by scanningpallets and cases will bring a return on invest-ment that is very good,” says Tony Fazio,mobile product manager at Famous Software,a Fresno, CA-based company providingaccounting, inventory management and ship-ping software to fresh produce growers,packers, shippers, distributors, etc. The largest retailers, led by Wal-Mart,

already ask their suppliers to use labels that canbe used to track cases, and soon the entireproduce industry will be required to have casetracking ability. “The Food Safety Modernization Act says

we need to be able to trace the cases,” saysBaggett. “When we’re talking about lettuce,celery or anything that is 24 to a case, we’re nottalking about more than two or three cents anitem. There are a number of suppliers who arenot doing it yet because of the added cost. Iwould say, realistically, it’s probably in the

With some produce items, this higher levelof inventory control can begin in the field asvegetables are harvested. “Some packers of head lettuce, broccoli or

cauliflower in the field can identify the inven-tory when the pallet is completed, and thensend that information to the receiving office,”says Baggett. “At the receiving office, they canscan it when it comes in.” Software that tracks cold chain manage-

ment will play a particularly important role inshrink reduction. “The other part of the cold chain I’m

seeing interest in is the time it took to get theproduct from cut to cool,” says Baggett. “If itwas two hours, that might be acceptable. Butif you’re on the West Coast and it was threehours, you might ship it nowhere past theMidwest. As people get their inventorymanagement together, they will definitelyhave better control.”Inventory software can also greatly

improve the ease and efficiency of makingand receiving orders. “The Produce Pro Software solution allows

customers to order in many different ways;EDI, online ordering, mobile ordering app, ora straight forward downloadable order guide,”says Courtney Heim, sales representative atProduce Pro Software, Oak Brook, IL. “Allordering options provide the customers with afast, simple way to order that saved them timeand in return saves the foodservice distributororder entry time.The software may also pay for itself by

generating detailed reports on sales and inven-tory trends. “Some of our customers have partnership

reports they send regularly to their retailcustomers,” says John Carpenter, president ofSilver Creek Software, a Boise, ID-based soft-ware company specializing in accountingsystems and visual produce ERP (enterpriseresource planning) solutions. “The formats of


(Photos above courtesy of Silver Creek Software.) Experts say the largest retailers, led by Wal-Mart, already ask their suppliers to use labels that can be used to track cases, and soon the entire produce industry will be required to have case tracking ability.

“WE BELIEVE THE EFFICIENCY YOU GAIN BY HAVINGBETTER INVENTORY CONTROL BY SCANNING PALLETSAND CASES WILL BRING A RETURN ON INVESTMENTTHAT IS VERY GOOD.”— Tony Fazio, Famous Software

Software_Layout 1 12/22/14 4:20 PM Page 2

The next generation of inventory softwareshould also offer menus that are straightfor-ward and easy to use.

“We’re developing a fully integrated suiteof warehouse management products designedspecifically for the produce industry,” saysFazio. “The user interface is simple, straight-forward and easy to read. We use a simplemenu that gives the warehouse worker asystem that is reliable, stable and easy to use.The biggest challenge has been making theproduct easy to use.”

EARLY WARNINGMany shippers are already using software

that identifies lots — largely in anticipation offood safety requirements.

“The use of the software depends on thesize of the company, but it is getting morewidespread,” says Charles Shafae, president ofdProduce Man Software, Half Moon Bay, CA.“I would say 75 to 80 percent of our customersuse inventory control. It happened within thepast five years. Our customers tend to bemedium-sized wholesalers and distributors;the customers of our customers are supermar-kets, restaurants and foodservice.”

More supermarkets — that went public

for a long time was those bulky zappers. Thisis sleeker and easier to use. We are updatingthe look and feel of the software.”

Solid Software already made some of itsinventory products smartphone compatable,and is moving quickly to transfer its entire line.

“The receiving software is the next to betransferred to mobile devices,” says Reynolds.“It will let you scan pallets or cases as theycome in; you will also be able to print labels ifcases come in without them. We already havethat software, but we will be adding it to themobile devices.”

There is competition among firms offeringinventory software that can be used on anymobile device.

“One of the things that is also becomingpopular is apps on tablets and smartphonesthat allow access to a company’s software. Thiscould be used to place an order or look atreports,” says Tina Reminger, general managerat Silver Creek Software. “It is quick and easyand everyone has a smartphone (or tablet)these days. Silver Creek Software has severaldifferent apps we offer to customers for thesepurposes, and this area will continue to growdepending on each client’s individual needs,requirements, resources, etc.”

increased manpower efficiency should beenough for a grower-shipper to recover theirinvestment in inventory software within nineto 24 months.

“All the grower-shippers are concernedabout anything that has to do with foodsafety,” says Myers. “The whole track and tracetechnology is cost avoidance for them.”

If inventory software is to reduce costs,however, it must become practical, which iswhy suppliers are working on products that area lot easier to use.

MAKING IT WORKSoftware system developers are also trying

to make this technology work in the real worldby offering systems that can be used in ware-houses by workers who are more adept withforklifts than computers.

Unwieldy UPC readers could become relicsas software companies move toward productsthat can be read by smartphones.

“We transferred our hand-held applicationsto Android and Windows mobile devices,”says Reynolds of Solid Software Solutions.“We had a pretty good response when weintroduced it at the Produce Marketing Asso-ciation’s Fresh Summit this year. The standard


Software_Layout 1 12/24/14 10:30 AM Page 3

http://www.producepro.com


Only a minority of shippers are alreadyusing case labels, according to Baggett, but asfederal food safety rules are finalized, they willbecome an accepted part of doing business.

“By the time the Food Safety Moderniza-tion Act comes in, there will be an acceptancethat there is a cost to this, and people will bewilling to pay it,” says RedLine’s Baggett.

There could be a payoff from this tech-nology if it helps identify food safety problemsearly, and limits the losses to only those casesthat are suspect.

“If you have lettuce from five suppliers withno labels, and there is a problem, everybody inthe category has to be pulled out,” saysBaggett. “That’s when we have major recalls.There are a lot of people in the fresh vegetablearena who are doing it voluntarily because itreduces their liability and protects themagainst unnecessary recalls.”

The technology has already shown inven-tory management software can be used toremove suspect produce before it ever reachesthe display shelf.

“It’s allowed Wal-Mart to identify whenproblems occur and take care of it before theproduce even reaches the public,” says Baggett.

The perishable produce industry may be

with their policy — are already asking shippersto use labels on cases.

“Wal-Mart, Food Lion, the other DelhaizeGroup outlets and Publix are all using the labelrequired by the Produce Traceability Initiative(PTI),” says Baggett. “When I talk to ourcustomers, I hear that other major retailersrequire it but have not gone public about it yet.”

In addition to serving as chief executive atRedLine, Baggett is also co-chair of the PTItechnology working group.

Wal-Mart makes their software available tovendors, and so do other major retailers.

“Safeway, Albertsons, Delhaize, Target, etc.are all moving to these types of automatedsystems,” says Silver Creek’s Reminger. “Theyare not only using it, they are demanding theirvendors do as well. With a few of our products,the transition of data necessary or required ismade with fewer personnel demands, which isthe magic of automation.”

The case-tracking label is uniform, butother software may vary from retailer to retailer.

“Each retailer has a specific format that canbe used to place orders with fresh suppliers,receive advance ship notices and also receiveinvoices for products shipped,” says Myersfrom LinkFresh.


Experts believe food safety issues canbenefit from case-tracking labels.

dragged kicking and screaming to adopt tech-nology that eventually brings unprecedentedefficiency from farm-to-fork.

“The produce industry was really behind ininventory management for a long time. Controlof inventory is critical to the produce industry,”says Shafae of dProduceman. “The produceindustry didn’t care that much about it untiltraceability and country of origin became rele-vant. Traceability and country of origin areforcing the industry to pay attention.” pb

Software_Layout 1 12/31/14 11:52 AM Page 4

http://www.silvercreek.com



APPLES DIR_. 12/30/14 9:51 AM Page 1

http://www.riveridgeproduce.com

http://www.paverocoldstorage.com


They say, “an apple a day keeps thedoctor away,” and thanks to savvybusiness practices and strong fore-sight into what’s neededthroughout the entire year, apples

are in plentiful supply through all seasons —including winter.

Storing apples is a traditional practice andallows retail displays to be filled with almost allpopular varieties.

Retailers, particularly this season, will havethe opportunity to heavily promote apples inthe winter and spring, with a record amount ofapples coming out of Washington in 2014, sopromotional opportunities are plentiful.

Julie Bancroft, executive director for the Harrisburg, PA-based PennsylvaniaApple Marketing Program, says the East Coasthas been very fortunate to have a high-qualitycrop of traditional sizes this year, as well.

TAKING A B TE OUT OF WINTER

Best marketing andmerchandising practices for controlled-atmosphereapples during the coldestseason.

BY KEITH LORIA

“Our local and regional [crop] continuesto be quite strong. Eastern apple growers areusing the best practices in harvest manage-ment and post-harvest as well as state-of-theart technology in storing, packing andsorting, including the use of SmartFresh [asystem offered by Collegeville, PA-basedAgroFresh that manages fruit and vegetableripening by controlling naturally occurringethylene during storage and transport] forcontrolled atmosphere storage and internaldefect sorting,” she says.

“Our packer/shippers take great care inpacking and storing fruit to create a processthat is seamless for the buyer — ensuring thebest tasting, highest-quality fruit is reaching theconsumer.”

’TIS THE SEASONSuzanne Wolter, director of marketing for


PHOTO COURTESY OF HONEYBEAR MARKETING

Winter Apples_Layout 1 12/22/14 1:26 PM Page 1

CMI_Ad 12/12/14 3:25 PM Page 1

http://www.cmiapples.com

difference is rapidly changing as more stor-ages and more apples are grown in thosestates, pushing the season longer for both.While Gala is the first apple normally

harvested, and Pink Lady the last one, duringthe winter all varieties will be out of CA(controlled atmosphere) storage. Accordingto Wolter, come wintertime, apples exitingstorage include Fuji, Granny Smith, Honey-crisp, Jazz, Lady Alice, Red Delicious andGolden Delicious.The biggest factor in storing apples, most

apple experts say, is having the right harvestand storage plan and the ability and disciplineto execute. “With really large crops, retailers need to

ensure their partner suppliers handled theircrop properly,” says Roper. “The pitfalls thatneed to be looked at include: Was the varietyharvested at the right time? Did fruit sit inbins outside of the proper harvest protocol?Did your packer/marketing partner make theright decision about what fruit is being putinto CA to support retailers winter/springneeds? It is a fine balancing act of doing boththe right thing for the grower and for yourretail partner. In the end, both parties need

Chuck Sinks, president of sales andmarketing for Sage Fruit, Yakima, WA, saysapple sales historically stay steady in the wintermonths and even increase out of Washington. “The winter months are a great time

for apple sales,” he says. “Regional offering are featured in the fall and more focus is onWashington apples in the winter months. Thewinter months are a great time for apple sales.”

STORAGE ISSUESFryhover says Washington apples account

for 65 percent of those in storage withMichigan, New York, Pennsylvania and Cali-fornia making up the rest. Washington storesits apples in a nitrogen atmosphere, mini-mizing the CO2 and O2 that substantiallydecreases the production of ethylene (the gasthat fruits emit as they mature).The amount of fruit going into storage

depends on the overall size of the crop. ForPennsylvania, Bancroft predicts one third to50 percent of the crop will likely be packedby the start of the New Year.Roper says, historically, Washington

stored a higher percentage of apples thanboth Michigan and New York, but that

Rainier Fruit Company, headquartered inSelah, WA, says apple sales typically remainstrong through the end of March/April, andreally begin to slow when spring/summer fruitsstart hitting the market.Fred Hess, co-owner of Hess Brothers Fruit

Company, doing business in Leola, PA, sayswhile there is typically a slight post-holidayslowing of the market, volumes pick right backup to normal rates by March and continuethrough the end of April. Don Roper, vice president of sales and

marketing Honeybear Marketing LLC, basedin Brewster, WA, doesn’t quite agree, sayingapple sales usually decrease after practicallyowning the produce section during the fall.“There’s a lost space in the front due to a

focus for holiday vegetable items,” he says.“Plus, there’s inroads from Southern Hemi-sphere soft fruit, cherries, berries, nectarinesand peaches, and it’s the start of citrus season.Todd Fryhover, president of the Wash-

ington Apple Commission, headquartered inWenatchee, WA, says all sales are cyclical andconsistent September through April domesti-cally. It’s only after berries and melons comeavailable that apple sales see a slight drop off.



http://www.cmiapples.com

Brandt & Sons_Ad 12/12/14 3:21 PM Page 1

http://www.rembrandtfruit.com

retailer hasn’t reviewed the apple variety space allocation plan recently, time should be spent reviewing sales data and adjusting displays accordingly,” says Wolter. “RainierFruit Company is collaborating on thissubject with many of our retail partners thepast few years, which has profitably impactedthe apple category.”

Jim Allen, president and chief executive ofthe Fishers, NY-based New York AppleAssociation, would love to see retailers buildbig displays of CA apples in the front ofproduce departments with great pricing, buthe knows that’s not always realistic. Themarketing decisions, he says, must be madebased on the quality of the fruit.

“The industry knows what we have to packand ship and our limitations as far as qualityand varieties, so we just have to adapt andmake sure we put out the very best possibleproduct every chance we can,” says Allen. “Ifthe industry was late harvesting apples andhas problems with those apples in storage,they have to make tough management andmarketing decisions. On the other side of thecoin, if you have a good, strong crop and goodstorage conditions, then you have more flexi-bility on how to market it.”

To increase sales, Sinks says retailers shouldtake advantage of New Year’s diets to promoteapples during the month of January andincrease promotions on Pink Lady apples forValentine’s Day and Granny Smith apples forSt. Patrick’s Day.

According to Ciceran, apples maintain theirquality longer when they are refrigerated, soretailers should be doing all they can to makesure they are in a cool environment.

“Displaying apples in the produce section’scooler would be very helpful to overall qualityand freshness,” she says. “For us, during thisperiod, most of the competition at retail is fromWashington State fruit. At the beginning ofMarch is when Southern Hemisphere appleswill start to appear.”

Industry insiders point out several handlingmistakes made by retailers. The most commonoccurrences happen by dropping apple caseswhile placing stock in the cooler or storing onwork trucks and dumping apples from boxes tothe display area. pb

each other and quality fruit rules the day.”Sinks says he usually stores between 75

and 85 percent of the apple crop for winter. “Many decisions have to be made during

harvest on which orchard sites have the abilityto store well, and we develop a history withdifferent orchards,” he says. “Our field team hasa good idea of what sites and varieties will storewell and CA rooms are filled accordingly.”

Sinks says if you pick too early the fruit maynot eat as well. “You have to pick the fruit at itsoptimum time to get the best results,” he adds.“Different orchard sites lend itself to storagebetter than other sites as well. We try to fill CArooms in a manner that works best by variety.For example, we fill Red Delicious roomsquickly; for a Honeycrisp room, we tend toslowly bring the apples respiration rate downbefore sealing the CA room.”

The apple companies work hard to qualitycontrol fruit while it is in storage and whenrooms are opened for packing. Some varietiesactually become more flavorful during storage.Sinks says Pink Lady, for example, tends tomellow out during storage and has more of asweet-tart mix later in the season versus beingtart at the beginning of the season.

Still, the most important factor for shippinghigh-quality apples from storage is puttinghigh quality apples into storage upon harvest.

“Fruit quality begins in the orchard,”asserts Wolter. “Having a thorough under-standing of the internal qualities of the fruit,the historical experience of fruit from aparticular orchard, regular monitoringthroughout the storage season, and havingthe ability to adjust packing plans as neededare all important storage protocols.”

A solid controlled atmosphere program isvital for the success of apple sales in winter forall retailers, so proper training of retail produceassociates is important to apple shelf life.

Kelly Ciceran, manager of the OntarioApple Growers, based in Vineland Station,ON, says Ontario has lots of apple sales move-ment that happens in the fall at roadsidemarkets and farmers markets, so sales normally


nForeign CompetitionTodd Fryhover, president of the Washington Apple Commission, headquartered in Wenatchee,

WA, says foreign imports primarily start in late February from Chile and New Zealand. He alsopoints out it’s consumers who make the choice — and ultimately the level of competition — butit hasn’t had too drastic an affect on controled atmosphere sales.

“There is minimal competition from imported apples during the winter. They really don’t starttheir harvest until mid-late February on Gala apples,” says Chuck Sinks, president of sales andmarketing for Sage Fruit, Yakima, WA. “The month of February in the Southern Hemisphere is theequivalent of August in the Northern Hemisphere, so they are at the front end of their appleharvest in the winter.” pb

“THESE CROSS-MERCHANDISING OPPORTUNITIES HELPCONSUMERS THINK ABOUT APPLES WELL BEYOND THETYPICAL HARVEST SEASON.”— Brenda Briggs, Rice Fruit Company

increase in the winter months at retail.“The best thing that apple farmers can do

is harvest the fruit on time and at the propermaturity for storage,” advises Ciceran. “Itreally is the apple packers/shipper’s job todeliver the right product to the retailer. Opencommunication between the retailer andshipper is key to providing what is needed foreach retailer.”

MERCHANDISING MATTERSBrenda Briggs, vice president of marketing

for the Rice Fruit Company, headquartered inGardners, PA, says, during the holiday seasonand winter months, retailers have an excellentopportunity to cross-merchandise apples withbaking items such as pie crusts, cinnamon andother spices used for applesauce and baking, oreven apple-pie filling for those who are pressedfor time.

“There is also opportunity to pair freshapples with other center-store items such as nutbutters, which makes for a healthy and fillingsnack,” she says. “These cross-merchandisingopportunities help consumers think aboutapples well beyond the typical harvest season.”

When it comes to merchandising the applesin winter, Wolter suggests creating an appledisplay that drives consumption, such askeeping them up front and all apples togetherwith color breaks using different varieties. Shesays it’s also important to visibly and correctlysign each apple variety. Additionally, rotatingshould be done every time apples are replen-ished on display — with proper care given toumblemished apples that are newly placed intothe display or rotated.

“The space of display should be in linewith current apple category trends. If the



Retailers have the opportunity to increase sales of tofu tomainstream shoppers by providing more education abouthow to prepare it, offering flavorful samples, andreminding consumers of its health benefits, suppliers say.Tofu, which consists primarily of soybeans and water, is

high in protein and other nutrients, and is often available in organicvarieties. Its versatility and ease of preparation also meet consumerneeds for convenience, but many home cooks simply may not knowwhat to do with it.

Tofu remains a relatively unglamorous food, bland in appearanceand taste on its own. While tofu and other soy-based products enjoyeda surge in popularity and sales in the early 2000s, tofu has since largelyfaded from the spotlight.

“In the mainstream media, you don’t see tofu used that much, unlessit is in vegetarian magazines or Asian magazines,” saysRobert Schueller, director of public relations forMelissa’s/World Variety Produce, Los Angeles, CA, whichoffers a line of tofu and other soy-based products. “You

SqueezingMORE OUT OF TofuEducation, samples and smart

marketing are key to increasing sales.

BY MARK HAMSTRA

don’t see the celebrity chefs using it on their TV shows, unless it is oneof the segments that are few and far between on vegetarian cooking.”

Although data from research firm Nielsen Perishables Group, WestDundee, IL, show tofu sales have been flat in recent years, somesuppliers say those figures may be misleading, and tofu sales areincreasing in some venues — particularly with the growth of Asian-focused retailers.

“We believe tofu consumption is on the rise,” says Paul Eastman,national sales manager for the American market at Garden Grove, CA-based House Foods America Corporation, which offers fresh premiumand an organic variety as well as other specialty tofu products.“However, Nielsen data may show stagnant growth in the tofu category— since much of the increase is in non-Nielsen reporting retailers suchas Costco Wholesale, Whole Foods Market, Trader Joe’s, and ethnic-

focused independents.”He notes the Asian population in the U.S. grew43 percent from 2000 to 2010, according to the

U.S. Census Bureau, and still

Tofu_Layout 1 12/22/14 12:45 PM Page 1

with fresh vegetables among other varieties.“When we are in stores doing demos, a lot oftimes people say they don’t know how toprepare it.”

He notes people are often surprised to learnthat the soft white cubes in the miso soup theyorder in restaurants is actually tofu. “Theymight have thought it was cheese or some-thing,” says Yap.

He says Leasa prepares a simple marinatedtofu for its demos, with the tofu fried in one-inch cubes. “It’s often clear during the demosthat consumers are not familiar with tofu,” hesays. “We had people say, ‘Wow, that’s someawesome chicken.’”

Adam Solomon, a marketing representa-tive with Morinaga Nutritional Foods, theTorrance, CA-based maker of Mori-Nu tofuproducts, agrees product demos are veryimportant to drive new customer trial of tofuand to educate consumers about how to usethe product.

“When doing demos, one of the No. 1questions people ask again and again, is, ‘OK,I hear it’s healthy for me, it’s heart-healthy, andit’s a good source of protein, but what do I dowith it?’”

He suggests retailers display simple recipecards, offer recipe ideas, and incorporate somepractical information for their customers abouthow to prepare tofu.

LOCATION, LOCATION, LOCATIONMost tofu suppliers say the logical place to

merchandise tofu is in the produce area —since it is a vegetable-based product. They noteretailers often also display it in the deli area, inthe dairy section, or — in the case of Mori-naga’s shelf-stable variety of tofu — on thegrocery shelf in the Asian or ethnic section ofthe store.

Suppliers say some mainstream customers,however, might not even know where to lookfor tofu and could use better direction.

“People actually need help finding it in thestore,” says Solomon. “It’s not something thatpeople instinctively know where it is.”

He suggests when stores do tofu productdemonstrations they indicate all of the placeswhere product is found in the store.

“It seems redundant to people in theindustry. It’s not natural for them [customers]to go to the refrigerated area in the producesection, or for our customers, to go to the Asianor the international/ethnic aisle,” says Solomon.

Tofu products tend to have their own largerdesignated sections in Asian retail stores suchas the fast-growing H Mart chain. Solomonnotes that a new H Mart in the Koreatown area

younger age,” says Eastman.Tofu suppliers say there’s an opportunity

for retailers to do a better job of teachingcustomers not only about the health benefitsof tofu, but also about how to cook it.

“People want to eat more tofu because ofthe trend toward healthy eating, but they stillneed a lot of education about how to preparetofu,” says Andrew Yap, president and chiefexecutive of Miami, FL-based Leasa Indus-tries, which makes a tofu with cilantro, a spicytofu with cayenne pepper, and a tofu mixed

appears to be growing.“This growth significantly contributes to

tofu consumption,” he says. “Also, consumersare getting more familiar with tofu as vege-tarian menus are being offered at restaurantsand campus dining across the U.S.”

He also notes tofu was approved for theUSDA’s National School Lunch Program afew years ago, and some schools offer tofu ontheir menus.

“This is great news for us, as children willbecome more accustomed to eating tofu at a



http://www.house-foods.com

and acids traditionally employed on soymilkto create the tofu. Solomon says the companywill debut it this month at Natural ProductsExpo West.

This past summer, Morinaga rolled outnew packaging for its core products, whichSolomon says has been well received. “A lot ofcustomers thought the packaging representedthe recipes more than the products, so we triedto simplify it with clean lines, making it veryobvious that it’s tofu,” explains Solomon. “Weare getting a lot of good responses that pack-aging is very clear and easy to spot on the shelf,so we are glad to hear that.”

Some suppliers say they are not rolling outadditional varieties of tofu but are focusing onpromoting the healthfulness and flavor of theircurrent offerings.

Lee of NatuSoy, which offers a smokedtofu and a baked tofu in addition to water-packed fresh tofu products andvacuum-packed super-firm tofu, says thecompany has done well with its sprouted tofu.The super-firm sprouted tofu offers addedhealth benefits, she says.

“We sprouted tofu in Canada for 60 years,”she says. “It is usually found in health-foodstores and not usually in larger food stores.”

At Melissa’s, the company promotes itsSoyrizo and Soytaco products as meat alterna-tives for vegetarians, but Schueller says therecould be opportunities to promote it to health-conscious Hispanic consumers as well.

Yap of Leasa says the healthfulness andversatility of tofu give it a tremendousamount of potential for growth. “Whenpeople see this white block of tofu, they think,‘Gee, that looks very bland,’” says Yap. “Butwhen you take tofu out of the package, ittakes the flavor of whatever you cook it with— that’s the magic of the tofu.” pb

Solomon points out soft tofu is typicallyused as a dessert ingredient.

NEW VARIETIESMany manufacturers are seeking to bring

excitement to the category on their own withnew flavors and varieties.

“Firm and extra firm SKUs seem to beselling better than the softer ones,” saysEastman of House Foods. “Overall, I still thinknon-flavored tofus dominate the marketplacesince people like to add their preferred saucesand spices to them. However, many tofu manu-facturers are launching flavored tofus to attractnew users by adding sauces they may be morefamiliar with such as teriyaki, sesame or orange.

“Also, the trend seems to show morevacuum-packed tofus as opposed to water-packed ones,” says Eastman. “This is also thecase in Canada and Europe. Another trend isfortified tofu, such as tofu with DHA Omega-3, which we recently launched.”

Yap of Leasa says texture is still the mostimportant distinction when it comes to vari-eties of tofu, but consumers do seem to beseeking out more flavors. “We see customersare looking for pre-prepared type of products,like grilled and baked,” he says. “Spicy tofu isalso still really popular, and teriyaki is stillprevalent.”

This month, Leasa is introducing kale tofu,which includes fresh kale inside the tofu blocksand is manufactured in a similar way to thecompany’s vegetable and cilantro tofus.

“There’s a big trend toward eating kale inthe last two years, so if we combine that withtofu, it’s a double whammy,” says Yap. “Wethink customers are really going to like that.”

At Morinaga, the company is planning tointroduce a traditional Japanese tofu, whichuses a different coagulant instead of the salts

of Los Angeles has a tofu section designatedwith an elegant sign that simply says, “Tofu.”

Eastman of House Foods agrees merchan-dising can vary based on the customer base ofthe retailer. “In conventional markets, it is bestmerchandised in the produce department nearthe other value-added refrigerated products,such as pre-cut veggies or salad,” he says.“Water-packed tofu is best placed in Produceas well, and vacuum-packed tofus on theshelves above with a display rack.

“In Asian supermarkets, tofu is merchan-dised in produce as well, but with tofu being astaple in Asian diets, sometimes an entire 8-foot cooler is dedicated to as many as 30different SKUs of tofu varieties,” says Eastman.

Hyun Lee, a Mississauga, ON-basedmanager at NatuSoy Foods, says it is up toindividual stores where they want to merchan-dise the product. “Some stores might want toput it in the produce section, and we see it inthe dairy section, too,” she says.

Schueller of Melissa’s notes that, becausethe product has strong appeal among vegetar-ians, it makes sense to merchandise it in theproduce section.

“For stores that recognize they cater to avegetarian consumer, they merchandise it inthe produce department,” he says, noting thathe has sometimes seen it merchandised in thedeli area of stores.

“The ironic thing is that vegetarians do notshop in the deli area,” says Schueller. “So if thestore is catering to the vegetarians, your best betis to merchandise in the produce department.”

ATTRACTING NEW CUSTOMERSWhile vegetarians and Asian customers

might be the primary targets for tofuconsumption, retailers also have an opportu-nity to target mainstream consumers interestedin eating healthier, tofu suppliers say.

The New Year presents a perfect opportu-nity for such healthful positioning, assertsSchueller. “I think a great time to reintroducetofu to potential new customers is the NewYear, where America’s No. 1 resolution is to eathealthier, and eat more produce.”

One way some retailers are introducingtofu to mainstream consumers is in juice bars,where soft tofu is sometimes an ingredient insmoothies.

Currently, many Americans seem to thinkof tofu primarily as a meat substitute, whichexplains the popularity of firm and extra firmtofu varieties, given that its texture is more likemeat. Many mainstream consumers might bemore familiar with soft varieties, however, ifthey have only had it in soup or in smoothies.

PHOTO

COURT

ESY

OF

HOUSE

FOODS



Top Ways To Increase Sales Of Tropical Fruit

The growth in demand for trop-ical and exotic fruits can beattributed to rising consumerincomes and an increasingawareness of the health benefits

of diets heavy in fresh produce. Robert Schueller, director of public rela-

tions for Melissa’s Produce, based in LosAngeles, CA, says there is also the effect of agrowing U.S. population of immigrants —particularly Asians and Hispanics who areaccustomed to a culture of heavy fresh producemeals. In fact, according to the latest U.S. Census,

Hispanics and Asian Americans are experi-encing the highest growth rate in the country(142 percent and 167 percent respectively)between 2010 and 2050.“In response to the rising demand for fresh

fruits and vegetables, domestic productionrose, but not at the same rate as the increase indemand — mainly due to the unfavorable U.S.continental climate, seasonality in production,

and high domestic farm labor costs,” he says.“As a result, the U.S. increasingly became moredependent on imports to satisfy demand.”Marion Tabard, director of marketing at

Turbana Corp., based in Coral Gables, FL,notes this new demographic landscape led to aboom in fusion restaurants that integrateethnic tropicals into menus. “Chefs are educating themselves and

designing innovative menus by adding tropicalflavors to popular dishes,” she says. “Whiletropical foods are staples for most Hispanicsand Asians, they are relatively unknown toCaucasian Americans. This demographic shiftand the greater availability of tropicals havegiven them the opportunity to discover someof these products.”According to Tabard, the tropicals that are

experiencing the most significant growth areavocados, yuccas, plantains, mangos, pineap-ples, and kiwis.Charlie Eagle, vice president of business

development for Southern Specialties, basedin Pompano Beach, FL, says to compensate forthe increased demand in the category, thecompany made significant investments in itslime fields in Guatemala.“For Southern Specialties, the tropical cate-

gory includes bananas, pineapples, mangos,papayas and starfruit. We consider our limespart of that program, but they are typically

merchandised in another area,” says Eagle.“Many retailers are doing a great job. We dofind some stores that fail to rotate productproperly and display inferior product.”Meredith Gremel, director of corporate

affairs for Spartan Nash, a food distributor formilitary commissaries and exchanges as well asindependent and corporate-owned retail storesheadquartered in Grand Rapids, MI, saysexotic tropical varieties seem to be helping theoverall tropical category with impulse sales. “Consumers are looking to add variety and

color to their fruit platters,” she says. “Kiwisales are strong over the past year due to betterconsumer education on how to eat them prop-erly and new clamshell packaging to displaythem better.”

GETTING THE WORD OUTDonald Souther, vice president of

marketing and sales development for VisionProduce Company, headquartered in LosAngeles, CA, says the company increased itsdigital presence through social media this yearin an effort to raise consumer awareness of itstropical fruit offerings.“Mangos continue to grow in consumption

as consumers learn of their many recipe func-tions,” he says. “The efforts of the NationalMango Board have been instrumental ineducation to the public and the industry.”

PHOTO

CO

URT

ESY

OF

SPART

AN N

ASH

Industry insiders share tipson the best ways retailerscan merchandise andmanage the category. BY KEITH LORIA


merchandising reviewutropicals

Tropical Fruits_Layout 1 12/22/14 4:43 PM Page 1

PROPER GROUPINGIt’s no secret bananas and pineapples

constitute the majority of tropical sales, butthere are plenty of other fruits that fit into thissegment. Typically, the tropical categoryincludes any produce item grown in tropicalclimates. Since they are becoming morepopular, grouping varieties under the samecategory is becoming more challenging formerchandising purposes.

Schueller lists first-tier fruits as papayastrawberry, coconut young, coconut quickcrack, mango, cherimoya, kiwano melon, plan-tains and Korean pears; second-tier fruits aspassion fruit, red banana, baby pineapple,feijoa, coconut brown, cactus pear red, tamar-illo red and kumquats; and third-tier fruits aslychee, rambutans, guava and dragon fruit.

“Depending on customer demographics,the depth of the category varies,” he says.“However, there is a dominate presence inmany retailers that is growing with anHispanic mix of fruits including items likeplantains, red bananas, cactus pears, varietymangos, papayas and more.”

Tabard recommends tropical items begrouped corresponding to the target audience.“Retailers need to understand that the ethnicconsumers don’t eat all the same food; eachcountry has its own culture and preferences,”he says. “They need to discover the relevantdemographics living in each of their storemarket areas and customize the assortment tocater to the specific needs of the communitiesliving in the store area.”

Tabard advises the tropical roots andvegetables targeted to Hispanics and Asiansshould be merchandised together while thetropical fruits such as pineapples, bananas andmangos that cater to a wider audience shouldbe merchandised separately.

Frieda’s Caplan thinks grouping the items

Turbana offers a line of 18 ethnic tropicalfruits — in addition to bananas, plantains andpineapples, which includes yuca, chayote,coconut, Malanga and Calabaza — catering tothe needs of the growing ethnic communitiesand providing a turnkey solution that helpsretailers access new and growing consumermarkets.

“We work with retailers hand in hand,” saysTabard. “Not only do we bring them ourexpertise, we offer them different tools toeducate merchandisers, produce managers andconsumers. One of these tools is a mobile appavailable for produce managers to learn aboutethnic tropicals and help them manage thecategory. This app also allows them to under-stand the demographics in the store areas inorder to customize their assortment to thespecific needs of their market, as well as to beinformed of upcoming holidays in order topromote tropicals accordingly.”

Additionally, Turbana offers its retail part-ners videos, recipes, and other tools to educateconsumers that are not familiar with theseproducts. These tools give the basic informa-tion consumers need to know about thetropicals to feel comfortable buying them andcooking with them.

Karen Caplan, president and chief execu-tive of Frieda’s Inc., doing business in LosAlamitos, CA, understands many tropicalfruits look strange to shoppers when they areunfamiliar, and stresses the importance ofincluding labeling and point of sale informa-tion to educate the consumer and producemanager.

“We share timely information with ourclients through our weekly Market Report, ourmonthly promotional calendar, and our annualplanning calendar,” she says. “If a retailerwould like more information, we would loveto have them contact us.”


PHOTO

COURT

ESY

OF

SPART

AN N

ASH

Tropical Fruits_Layout 1 12/31/14 11:43 AM Page 2

http://www.brookstropicals.com

likely purchased on a weekly basis, theseconsumers are very price sensitive.”

During the winter, Tabard says retailersshould promote products that are cooked orused in soups or stews such as yuca, yams,chayote and Calabaza. She suggests retailersdo this by creating big and attractive displays.

Eagle says retailers need to display a varietyof fruit and suggests featuring a mango orpapaya cut in half, on display, to reveal thevibrant colors.

“We love to see cut fruit,” he says. “Halvepapayas, scoop out the seeds, and fill the cavitywith berries or slices of lime.”

Like many companies, over the yearsSpartan Nash had success with a taste-of-the-tropics theme ad. Gremel offers these toptips for retailers to increase sales: interact withconsumers through informative signs,explaining selection and use; include recipeideas and health benefits; display fruit atproper temperatures to ensure the highestquality product available; and encourageactive sampling and demos to increase

into one-destination display makes the mostsense as it looks “awesome and interesting toconsumers.”

“We encourage retailers to create a tropicaldestination, near the bananas and pineapples,as they are high traffic areas,” she says. “Alongwith pineapples and bananas (and mangos), werecommend our most popular items, whichinclude Zululand queen baby pineapples,papayas, passion fruit, cherimoya, starfruit,pepino melons, kiwanos, rambutan, lychee,dragon fruit, feijoas, tamarillos, and red, baby,manzano and burro bananas.”

MARKETING MATTERSFor retailers looking to maximize incre-

mental sales in the tropical fruit category,Melissa’s Schueller suggests it’s important todevelop a culinary format that excitesconsumers by introducing fresh, unique eatingexperiences.

His tips include increasing collaborationwith category managers on a category plan andprogram goals; reduce emphasis on “exotic”and focus on culinary; and create merchan-dising sets that use well known produce as“anchor products” to promote other items inthe tropical category.

In Tabard’s opinion, mainstream tropicalitems should be merchandised separately,while tropical items that are targeted to ethnicgroups should be merchandised together.

“When large ethnic communities livenearby, the stores should merchandise theethnic tropical on large and attractive displaysto attract these consumers,” she says. “Keep inmind these consumers are willing to drive longdistances to find these products. Also, sincethese products are staples for them and most

“Educate your producestaff on tropical itemsby allowing in-storesampling when fruitripens. Sampling ripefruit turns ‘shrink’ intoan educational tool. ”— Karen Caplan, Frieda’s Inc.

merchandising reviewutropicals


consumer awareness.According to Mary Ostlund, marketing

director for Brooks Tropical, headquarteredin Homestead, FL, getting the consumerfrom “umm, what can I do” to “hmm, let’s tryit tonight” requires the right information onhow to select, ripen and eat the different trop-ical fruit.

“It takes two steps to go from ‘umm” to“hmmm,” she says. “The first is signage. Withlimited-sign real estate, you’ve got to beconcise. A photo of the fruit as it looks on theshelf and a photo of the next step in its use. ForStarfruit, how its cut is a must. Or for passion-fruit, how it looks before it is cut and a photoof it cut. Your customers will appreciate thefact that this aromatic fruit needs time towrinkle to ripen. Having such a great smell inthe kitchen is a bonus.”

WINTER WONDERLANDWhile tropical fruit sells all year long,

winter months actually are a great time topromote tropical fruits, according to Caplan,as the colors and the flavors break away fromthe humdrum of typical winter fruits likepears, apples, and oranges.

It’s an opinion shared by most in theindustry. “We think winter is a great time to ‘gotropical,’ and it’s important retailers createexcitement with warm colors and great flavorsof mangos and papayas,” says Eagle. “Our teamis in daily contact with our customers, bothretail and foodservice, and we promote ourtropical line at every show we attend.”

Vision Produce Company’s Southerbelieves tropical fruit lends itself to creativemarketing themes in the winter months. Forexample, Jungle Jim’s in Ohio does extravagantdisplays with grass huts, coconut trees, andmonkeys to bring attention to the produce.

“On the store level, promoting themeddisplays is always a great way to have the storebuild attractive displays in high-traffic areaswhich drive sales,” he says. “Providing theconsumer with the best quality promotes goodeating, satisfied customers and returnpurchases.”

Caplan also thinks providing samples of theproducts will go a long way, arguing that manyconsumers haven’t experienced the greatflavors of the tropics. “Educate your producestaff on tropical items by allowing in-storesampling when fruit ripens,” she says.“Sampling ripe fruit turns ‘shrink’ into aneducational tool. The more they know aboutthe products, the more they can chat withshoppers about them. And the more shoppersknow about tropical items, the more likely theyare to buy.” pb

PHOTO COURTESY OF MELISSA’S

Tropical Fruits_Layout 1 12/22/14 4:44 PM Page 3

THE 2014NEW YORK PRODUCE SHOW

R E T R O S P E C T I V E

86 “It’s Still A People Business”

87 Global Trade Symposium

88 Cocktail Reception

89 Keynote Breakfast

91 Ribbon Cutting

92 Trade Show

94 Micro Sessions

95 New Product Showcase

96 Celebrity Chefs

97 Pizza Competition

98 Media Luncheon

99 Charitable Giving/

Spouse Program/

Women’s Leadership

100 Ideation Fresh

102 Industry Tours

105 Sponsor Appreciation

INSIDE

NYPS WU- Cover_Layout 1 1/6/15 2:53 PM Page 1

NYPS Wrap Up Spread_Layout 1 1/6/15 3:49 PM Page 1

LET THE SHOW BEGIN!THE NEW YORK PRODUCE SHOW AND CONFERENCE

PRESENTED BY

w w w. p r o d u c e b u s i n e s s . c o m

NYPS Wrap Up Spread_Layout 1 1/6/15 3:54 PM Page 2

http://www.p


THE FOLKS WHO put on trade showsand industry events think a lot about whatmakes them successful, and you should, too.After all, perhaps 30,000 of us in the industrywill attend at least one this year. Why?

At first glance, trade shows are about . . .well . . . trade. Sellers at their booths, armedwith samples, displays, brochures and busi-ness cards, attentively watch the passingtraffic as the attendees ply the aisles, glancingfrom side to side like they were leafing througha catalog. But thinking of trade and tradeshows in such a simplistic transactionalexchange sense misses a big part of whatattracts people to these events.

Like most of the 5,000-plus attendees, Imade the day trip to New York City to attendThe New York Produce Show and Confer-ence. Yes, from the West Coast: red eyethere and late flight back. Like most, Iattended a little bit of education, dutifullywalked all the aisles, but I spent most of mytime talking to people. Yes, that’s right. I flewcoast to coast for the day to hang out andtalk with people. Know what? I wasn’t theonly one. The smart people were just“walking the floor,” but the wise ones were“working the floor.”

What’s the value of a day spent “workingthe floor”? Is there value? Is it tangible, andwhat metric should be used to evaluate it?After all, if you can’t measure it, you can’tmanage it. How does one calculate the ROI?Is my dust-and-feathers whirlwind coast-to-coast trip just an exercise in motion or is thereactually some action? After all, growersaround the world hire my company to turntheir crops into cash. My hours at The Showshould increase my ability to do that.

Much of the trade show literature highlightssales metrics, mostly prospecting and quali-fying numbers — sales leads generated ornew customers qualified. For newer compa-nies these might be useful benefits, but whatabout the vast majority of long-establishedbusinesses in mature product lines? What’s in

THE SMART PEOPLE WERE JUST“WALKING THE FLOOR,” BUTTHE WISE ONES WERE“WORKING THE FLOOR.”

It’s Still A People Business

it for us? The primary benefit of The Show and event

attendance is increased social capital. Note toaccountants: in your chart of accounts, socialcapital is a component of the goodwill. Youremember goodwill, the place where you stickall the stuff you can’t measure but marketsdetermine have value.

Social Capital is a concept that has beenaround sociology since the 19th century butreceived lots of popular attention in the 1990sfrom Robert Putman’s book, Bowling Alone:The Collapse and Revival of American Commu-nity. Putman’s point is that society’s socialexperience is poorer because people do notengage in the social activities as they once did(such as bowling leagues or service clubs).That is, a society’s social capital is diminished.The idea is there are benefits that flow fromthe trust, reciprocity, information and cooper-ation associated with social networks.

Think about the produce business for aminute. Are trust, reciprocity, information andcooperation benefits or not? You bet they are.Not only are they benefits, they are assets.How does one increase it? Networking.Numbers of known persons X frequency ofcontacts = increase in social capital.

Why would thousands of people hang outon a working weekday in the winter at theJavits Convention Center, many neither buyingnor selling but simply working the floor? Thesituation is recognition that an open venuethat permits short contacts with a largenumber of the right group of people is an effi-cient way to increase social capital. That’s whycocktail receptions trump sit down dinners inour business. Oh, by the way, did I say TheNew York Produce Show and Conference hada dandy reception?

So get out your calendar and plan on afew more trade shows in 2015. Prepare towork, not walk, the floor. Listen to thethought leaders. Most importantly, talk topeople. After all, the produce industry is stilla people business.

By John Pandol

John Pandol, director of special projects for Pandol Bros. in Delano, CA

ReflectionTHE NEW YORK PRODUCE SHOW AND CONFERENCE RETROSPECTIVE

NYPS Wrap Up-NEW_Layout 1 1/6/15 3:18 PM Page 1

ROBERTA COOK


THE NEW YORK PRODUCE SHOW AND CONFERENCE RETROSPECTIVE

Global Trade SymposiumDAY1

KARINA AMALUISA CHRIS COWAN

TONY WALSHTONY REYNOLDS

DIEGO DIAZ

AT THIS YEAR’S Global Trade Sympo-sium, industry influencers from around theworld challenged global traders to respond todramatic changes sweeping retail, foodserviceand global markets.

Presenters for the conference — themed,“Produce Import/Export: The Disruption ofEstablished Markets,” — included: JeffreyJackson, former chief executive andmanaging director for MGroup, an Australiangrower/packer/marketer; Alistair Stone,produce buying manager for U.K. cooperativeWaitrose; Tony Reynolds, managing directorfor U.K.-based foodservice distributorReynolds CS Limited; and Jin Ju Wilder,marketing director for Los Angeles-basedValley Fruit and Produce.

With the shopper landscape changing,Amir Jalaly and Chris Cowan from London-based consulting firm, Kantar Retail,explained that data is “paramount” to beingable to react to the shift in consumers’purchasing and eating habits.

Prepared leafy salad brand Florette hasbenefited by the use of data compiled with thesupport of Kantar, and company informationwas shared with the industry to drive growthacross the entire U.K. salad category.

Through research, the firm found there

DIRECT IMPORTING PANEL

WHOLESALE DISRUPTION PANEL

CONRAD FALCO JEFFREY JACKSON

AMIR JALALY TINASHE KAPUYA MAYKOOL LOPEZ

Trade Office; Karina Amaluisa, trade commis-sioner of Ecuador; Juan Ariel Reyes, presidentof Mexico’s AMHPAC; and Conrado Falco,director of the Peru Trade Commission.

“Direct sourcing has a definition that can beskewed, depending on who you ask,” accordingto Dick Spezzano, former vice president ofproduce for the Phoenix, AZ-based VonsCompanies. Spezzano and a panel of producejuggernauts answered questions regarding thepros and cons of direct global procurement atthe Global Trade Symposium.

The other panelists included Reggie Griffin,former vice president of produce for Cincinnati,OH-based Kroger; Bruce Peterson, senior vicepresident and general merchandise managerof perishables for Bentonville, AR-based Wal-Mart Stores, Inc.; Waitrose’s Stone; Tim York,president of Salinas, CA-based Markon; andAndreas Schindler, chief executive of DonLimón, Hamburg, Germany.

Tinashe Kapuya, manager of InternationalTrade and Investment Intelligence at the Agri-cultural Business Chamber (or Agbiz) for SouthAfrica, spoke to an international audience abouthow the race for South African citrus exportshas major roadblocks ahead, and how SouthAfrica aims to diversify its citrus agribusinessinto new export markets.

were several groups of salad buyers: avoiders,accepters, selectors, adorers and addicts,explains Florette’s category controller TonyWalsh. Florette also discovered that bagbounce, moisture content and leaf vitalitywere the key influencers for shoppers at thepoint of purchase.

The Wholesale Disruption panel included:Chris Hutchinson, chairman of London-based Spitalfields Market; StefanieKatzman, managment and sales for Bronx-based S.Katzman Produce; Gary Marshall,chairman of London-based New CoventGarden; Alan Siger, chairman of VirginIsland-based Coosemans Worldwide; andValley Fruit and Produce’s Wilder.

Roberta Cook, Ph.D. cooperative exten-sion specialist and lecturer at the University ofCalifornia, Davis, introduced how new tech-nologies and market access is increasing therole of Mexico in global produce trade.

Top leaders from Central and South Americaalso discussed growth, product diversity, foodsafety and sustainability, and how their dynamicproduce industries create opportunities forglobal buyers. These leaders included MaykoolLopez, director general and trade commis-sioner for the Trade Office of Costa Rica; DiegoDiaz, trade commissioner of the Guatemala


EXHIBITORS, ATTENDEES and guestswere treated to an evening of light bites andcocktails in the gilded ballroom at theMidtown Manhattan Hilton to mark their firstnight in the Big Apple.

Guests had their choices of mixed drinkscustomized with juices and produce sponsoredby Del Monte Fresh, Hunts Point TerminalMarket and New York Apple Association.After the reception, many attendees hit thetown to enjoy the eclectic and deliciouschoices New York City has to offer for dinner,and some took in a Broadway show.



Opening Cocktail ReceptionDAY

1


move up in a very much of a man’s business.”The Chandler Copps Award, named for the

late retailer and former board president of theProduce Marketing Association, was amongthe most influential people in the produceindustry in the last half of the 20th century andthe first decade of the 21st.

other recipients of this award include PaulKneeland, vice president of produce and floralat Kings Food Markets and Alan Siger, senioradvisor at Consumer Fresh Produce.

The ground-breaking discovery of whatcould be the “next kale” earned The Nunes

that earned the late Jan Fleming, former pres-ident and chief executive office of the strubeCelery & Vegetable Co., in Chicago, the Chan-dler Copps Award, sponsored by Jim Prevor’sPerishable Pundit. The award was presentedby Jim Prevor to Fleming’s husband, TimFleming, strube’s executive vice president.

in accepting the award on his late wife’sbehalf, Fleming said: “Jan broke many glassceilings for women in the produce industry.she wanted everyone in the fresh produceindustry to succeed but always worked hard tomentor and coach any women who wanted to

INDUSTRY MEMBERS made their wayto the Jacob Javits Center’s scenic RiverPavilion for the Keynote Breakfast themorning of the exhibition. Arriving guestswere serenaded by New York City’s acappelladoo wop group, the Tee Tones.

After a brief introduction by Ken Whitacre,publisher of PRoduCe BusiNess, the NationalAnthem was performed by the Tee Tones.

Jim Allen, president of the New York AppleAssociation, delivered an eloquent invocation.

Continual outreach to the produce industryand constant learning are the exceptional traits


Keynote BreakfastTHE NEW YORK PRODUCE SHOW AND CONFERENCE RETROSPECTIVE

DAY2

Tim Fleming of Strube Celery and VegetableCompany accepts the Chandler Copps Awardon behalf of his late wife, Jan Fleming.

Lorri Koster of Mann Packing and Jim Prevor of Produce Business presented MattSeeley of The Nunes Company, Inc. with this year’s Joe Nucci Award for ProductInnovation in Service of Expanding Consumption of Fresh Fruits & Vegetables.


Corporation; Derrick Jenkins, Wakefern FoodCorporation; Chris Keetch, Ahold USA; PaulKneeland, Kings Food Markets; TonyReynolds, Reynolds; Anthony Sattler, C&SWholesale Grocers; Vic Savanello, AllegianceRetail Services; Jay Schneider, AcmeMarkets; Alistair Stone, Waitrose; and Jin JuWilder, Valley Fruit & Produce.

Nunes Company’s new Foxy-brand organicBroccoLeaf. Matt Seeley of Nunes acceptedthe award.

Jim Prevor’s Perishable Pundit “ThoughtLeaders” Panel began after the industry recog-nitions. Participating panelists representing theretail, wholesale and foodservice distributionsectors included: Rich Dachman, Sysco

Company, Salinas, CA, the fifth annual JoeNucci Award for Product Innovation in Serviceof Expanding Consumption of Fresh Fruits &Vegetables, sponsored by Jim Prevor’sPerishable Pundit.

The award, which was presented by Prevorand Lorri Koster, chief executive of Salinas,CA-based Mann Packing, recognized the



Keynote BreakfastDAY2

Thought Leaders Panel

JIN JU WILDERALISTAIR STONE

PAUL KNEELAND

VIC SAVANELLO JAY SCHNEIDERANTHONY SATTLER

CHRIS KEETCHDERRICK JENKINS TONY REYNOLDSRICH DACHMAN



Ribbon Cutting/Trade ShowTHE NEW YORK PRODUCE SHOW AND CONFERENCE RETROSPECTIVE

DAY2

(L-R) Robert Goldstein, Genpro; John McAleavey, EasternProduce Council; Jim Prevor, Produce Business; Vic Savanello,Allegiance Retail Services; Paul Kneeland, Kings Food Markets;Alicia Glen, Deputy Mayor of New York City; Hugh Weathers,South Carolina Department of Agriculture; Richard Ball, NewYork Department of Agriculture; Al Murray, New Jersey Depart-ment of Agriculture; Barbara Turk, Director of Food Policy,Office of Deputy Mayor for Health and Human Services.


THE EXHIBIT FLOOR, located in the new North Hall of the Javits Center, hosted morethan 400 vendors. After the ribbon-cutting ceremony, Deputy Mayor Alicia Glen and FoodPolicy Director, Barbara Turk, were escorted around the show floor.

The day was jam-packed with activities and plenty of food to experience. Old friends caughtup by talking business, and attendees watched chef demonstrations while indulging in thegourmet fresh dishes made from produce around the world.

The North Hall was also home to educational micro-sessions. A total of seven sessionsoccurred throughout the day, each one lasting 45 minutes. Some topics included: Gettingproduce into hospitals; opportunities for organic ethnic greens and herbs; organic labeling andits influence on consumers; produce as a performance art; and mobile technologies.


Trade Show FloorDAY

2 THE NEW YORK PRODUCE SHOW AND CONFERENCE RETROSPECTIVE



Trade Show FloorTHE NEW YORK PRODUCE SHOW AND CONFERENCE RETROSPECTIVE

DAY2


http://www.volmcompanies.com

THE EDUCATIONAL EXPERIENCE continued with theannual University Outreach Program developed for the show.Select students from participating international institutionswere granted access to the show and mentored byrenowned industry leaders and professors during the show.

Students represented Cornell University, Rutgers Univer-sity, St. Joseph’s University and the University ofConnecticut. In addition to U.S. schools, students repre-senting Università degli Studi di Scienze Gastronomiche inBra, Italy, and New Castle University from the U.K. also werein attendance.

Mentors included industry consultants Bruce Peterson,Dick Spezzano and Reggie Griffin, as well as Jin JuWilder of Valley Fruit and Produce, Alistair Stone fromWaitrose, and Professors Linda and Jack Allen.

Micro-Sessions & Educational Outreach Program


DAY2 THE NEW YORK PRODUCE SHOW AND CONFERENCE RETROSPECTIVE

RAMU GOVINDASAMY

BRAD RICKARD


GRAIG NETTLES

UPON ENTERING JAVITS NORTHHALL, attendees could examine the NewProduct Showcase, where participatingcompanies displayed “What’s New? What’sFresh? What’s Innovative? What’s Unique?” in

the produce industry.Graig Nettles, legendary New York Yankee

(third baseman from 1973 to 1983) delightedsports fans during an autograph session thattook place at the Apio booth.


New Product Showcase & Sports FansDAY2THE NEW YORK PRODUCE SHOW AND CONFERENCE RETROSPECTIVE


shredded.“They are one of the best things I have

tried in a long time,” Mehta says.Mehta also made a pickled fennel with a

50-50 mix of red wine vinegar and water,along with sugar and spices, chili and herbs;and he made a bell pepper dish with peashoots.

For salad dressing, Mehta suggests savingthe water that is squeezed out of fresh toma-toes and pouring it over a veggie mix.

“Think about how you can use food indifferent ways,” Mehta says.

Chef David Pasternack, owner of NewYork seafood restaurants Esca and Barchetta,demonstrated the diverse possibilities offeredby Tuscan kale, which he included in all threeof his demonstration dishes. Those were aTuscan Kale Pesto, which he served overhomemade penne; Clam & Kale Chowder; anda Tuscan Kale Salad with Bacon Vinaigrette.

He created the recipes especially forEarthbound Farms, a supplier of kale andsponsor of his demonstration.

who led a student team from his school in theCulinary Innovation Station competition, notedthat chefs now are “doing produce right.”

“Who would have thought that you couldroast a cauliflower and slice it like a steak?”he asks. “These days, produce is much morethan overcooked, army green broccoli andspinach. Now it is being cooked right, andseasoned right.”

He also noted that consumers no longerhave to wait to try new produce dishes inrestaurants, thanks to the proliferation of TVcooking shows and the volume of food-relatedactivity on social media.

John Abels, department chair at Le CordonBleu in Chicago, whose student team wascompeting against Johnson & Wales, notesthat the increasingly global consumer palatehas freed chefs to let their imaginations runwild. “There are no lines anymore,” Abels says.“Back in the ’90s, fusion cuisine was a newthing. Now, you put things together in yourhead and try them out, and sometimes itworks. Who would have thought barbecuesauce and cilantro would work together? Butthey do.”

One of the chefs who demonstrated theversatility of vegetables — as well as theglobally influenced nature of their preparation— was Indian-born chef Jehangir Mehta,chef/owner of Graffiti, Mehtaphor and Meand You in New York City.

Taking the Celebrity Chef Stage on theshow floor, Mehta encouraged chefs andhome cooks alike to “do whatever works foryou” when preparing recipes. “If you don’tlike cheese, leave it out,” he says.

Mehta demonstrated a vegetable tacomade using thinly sliced watermelon radishesas the exterior “shell,” topped with dicedavocado and shredded kale.

He later showed how some of the sameingredients could be combined into a salad,along with a variety of other vegetables mixedto the diner’s taste. Those included purpleBrussels sprouts from his demonstration’ssponsor, Babé Farms, which he blanched and

THE INCREASINGLY SOPHISTICATEDconsumer palate has opened the door forchefs to experiment with new flavors and ingre-dients, and to infuse menus with produceitems in novel ways that delight consumerseager for exciting dining experiences.

That openness was evident at this year’sshow, where celebrity chefs took the stage toshowcase produce-centric creations, and culi-nary students competed to concoctsophisticated flatbread pizzas on the spot usingonly their imaginations and ingredients foragedfrom show exhibitors.

“Now more than ever, people are interestedin new flavors and new experiences, and areexcited about food,” says Heather Goldberg,who together with her sister Jenny Engel ownSpork Foods, a Los Angeles-based companyspecializing in gourmet vegan food dishes.

The duo, who partnered for the firstCelebrity Chef Demonstration, also operate acooking school, through which they teachabout 10,000 people a year how to preparehealthy dishes.

“People are demanding healthier options,and produce is a great way to meet thosedemands,” says Goldberg. “We are encour-aging people to think differently about produce,and get a lot of different textures in their dietsusing produce.”

Consumers have become much moreattuned to the various flavor and texture possi-bilities that fruits and vegetables can offer, theysay. “People want to taste the produce, ratherthan covering it up with sauces,” says Engel.

The Spork Sisters, as they call themselves,say they increasingly find they are able to incor-porate more ethnic produce items into theirmenus, such as jackfruit, which they sourcefrom local Thai or Indian markets.

“We like to use young jackfruit because ofits texture — you can use it like meat,” saysEngel. Dishes they make using jackfruit as ameat substitute include carnitas and a vegan“pulled pork” product.

Doug Stuchel, assistant professor atJohnson & Wales University, Providence, RI,

Celebrity Chefs & Culinary StudentsDAY2

Celebrity Chefs And Culinary StudentsTake Produce In New DirectionsBy Mark Hamstra

CHEF JEHANGIR MEHTA


96/ JANUARY 2015 / PRODUCE BUSINESS


TWO CULINARY Innovation Stationswere home to student-chefs from Johnson &Wales University and Le Cordon Bleu ofChicago. Throughout the day, they foragedfrom the exhibitor booths for fresh produceto create a variety of dishes on the spot.Exhibitors and attendees enjoyed observingthe station with the student-chefs in action— and most of all tasting the delicious mealsthey created.

TOP CULINARY STUDENTS from Johnson& Wales University in Providence, RI, and LeCordon Bleu in Chicago competed in a flat-bread pizza competition — where the onlyparameter was to use produce from the showfloor.

Designed to showcase how produce canbring vibrant colors, tempting textures andappealing flavors to pizza, the competitionasked four students from each school to workas teams to create pizzas in four categories:Red Sauce Pizza, White Sauce Pizza, SpecialtyPizza and Dessert Pizza.

“PRODUCE BUSINESS works to support the nextgeneration of leaders in the foodserviceindustry by creating opportunities like this thatbring together students and produce industryleaders,” says Jim Prevor, editor-in-chief ofPRODUCE BUSINESS. “The invited judges completethe picture by providing ‘real world’ expertiseon what the students did well and where theycan improve when it comes to creatingproduce-centric menu items that will sell intoday’s competitive foodservice marketplace.”

The competition started with students“foraging” from select exhibitors at the show.

Students were able to choose from a widerange of fresh and value-added processedproduce items.

Judges included celebrity chef, cookbookauthor and restaurateur Suvir Saran; BobKarisny, vice president of Menu R&D for TacoJohn’s International; David Groll, director ofculinary development and corporate executivechef of McAlister’s Deli; Gerry Ludwig, corpo-rate consulting chef at Gordon Food Service;Jesse Gideon, chief operating officer andcorporate executive chef at Fresh to Order; andAmy Myrdal Miller, president of Farmer’sDaughter Consulting.

The competition was fierce, as each schoolshowcased the talents of their students guidedby seasoned faculty members. Judges rankedthe entries on four attributes: appearance,texture, flavor and overall appeal.

The two teams tied in the red sauce cate-gory. Le Cordon Bleu won the white saucecategory, and Johnson & Wales won thespecialty and dessert categories. The topscoring pizza was Johnson & Wales’ specialtypizza, which featured kale, roasted garlic andsundried tomatoes.


Student Chefs/Flatbread Pizza CompetitionDAY2THE NEW YORK PRODUCE SHOW AND CONFERENCE RETROSPECTIVE


MORE THAN 60 representatives from theconsumer media explored unique and exoticfresh produce items during a luncheon andpresentation. Journalists from cooking maga-zines, news services, food blogs, radioprograms and TV spent one-on-one time withspecialty produce supplier Frieda’s and Israelidate supplier Devik International. The opportu-nity allowed them to explore several exoticitems and dates.

Frieda’s Specialty Produce presented anintroduction to uncommon items such asDragonfruit, Goldenberry, Green Dragonapples, Zululand Queen Baby Pineapples andKiwano melons. Karen Caplan, president andchief executive of Frieda’s, discussed thecompany’s initiative to encourage consumersto eat “scary” fruits and vegetables.

“It’s our mission to change the way Americaeats fruits and vegetables, and encouragingconsumers to try something new is one of themany ways to increase consumption,” saidCaplan. “Our ‘Eat One Fruit A Day That ScaresYou’ campaign resonated with the luncheonattendees. They had fun sampling and talkingabout ways to spread the word about cele-brating fresh produce.”

Devik International intrigued attendees witha variety of dates. David Daks spoke aboutthe varietal differences, their applications andeven explained how to judge a date by itsappearance. Attendees enjoyed sampling thefresh and dried dates.

The lunch also welcomed special guestspeaker John Mariani, a columnist for Esquireand Bloomberg News. Mariani shared his opin-ions on evolving food trends and challengedattendees to view and write about produce ina new light.

After the lunch, media representativesinteracted with more than 400 producecompanies at the exposition, attended educa-tional micro-sessions and viewed multiple chefdemonstrations throughout the day.

Consumer Media Connects With Produce Innovators


‘Connect With Fresh’ Media LuncheonDAY

2

By Jodean Robbins



CelebratingWomen InProduceBy Michele Sotallaro

LAST YEAR, the Eastern Produce Councilestablished a Women’s LeadershipCommittee, and in conjunction, The New YorkProduce Show and Conference conducted itsfirst Women’s Leadership Reception. At thisyear’s reception, the recipient of the annualWoman of Distinction Award was TheresaNolan, founder, president and chief execu-tive of The Nolan Network, a marketingagency based out of Plymouth, MA.

At the event, Nolan humbly accepted thesecond annual award and gave praise to JimPrevor, Paul Kneeland and many dearfriends for their support over the years. “I amthankful to be a part of the produce industrywhere we can all be proud of the healthy prod-ucts we sell,” said Nolan. “I am even morethankful to be surrounded by so manywonderful produce industry friends, such asPrevor and [journalist], Bill Martin — withoutwhom I would have never have been able tosurvive my husband’s death and the longordeal of our legal action [with Ocean Spray].Winning that trial allowed me to offer my schol-arship programs through the James & TheresaFamily Foundation and bring something goodout of something bad. It has been a greatblessing to me.”

many events throughout the year,” says LisaSposato, associate director of food sourcingand donor relations. “The New York ProduceShow is extra special, because the majority ofthe rescued food is top-of-the-line freshproduce. This year, we rescued more than43,000 pounds of fresh fruits and vegetablesand other specialty items, including nuts —enough to fill two 48-foot tractor trailers andthree 24-foot commercial box trucks.”

More than 500 community food programsin New York’s five boroughs receive CityHarvest food donations. These operationsinclude homeless shelters, food pantries, reli-gious institutions and soup kitchens. The freshfruits and vegetables donated were used in avariety of ways, including as tossed salads,guacamole and healthy side dishes for lunchservice.

In October, the Growing Forward withFeeding America campaign was introduced tothe industry at the Produce Marketing Associ-ation’s Fresh Summit Convention & Expo. Theyear-round cause marketing campaign isdesigned to help produce companies align withFeeding America through a shared commit-ment to help fight hunger and provide morefresh fruits and vegetables to food banksnationwide. Feeding America is the largestdomestic hunger-relief organization in thenation. Melissa McDill, president and chiefexecutive of Soquel, CA-headquartered McDillAssociates and marketing director, LisaHansen, attended the New York ProduceShow to tell industry members about theproduce-centric cause-marketing initiative theycreated in partnership with Chicago-basedFeeding America.

Exhibitors Band TogetherFor Food DonationsBy Carol M. Bareuther, RD


Charitable Giving/Spouse Program/Women’s LeadershipDAY2

SIX YEARS AFTER the onset of thefinancial and economic crisis, hunger remainshigh in the United States. One in five residentsof New York City and nearly one in six Ameri-cans nationwide are food insecure, accordingto 2013 statistics from the U.S. CensusBureau. Many companies exhibiting at thisyear’s show helped take a bite out of hunger bydonating their products to City Harvest, a NewYork City-based non-profit food rescue, distri-bution and education organization.

Beyond the event, a new year-round causemarketing campaign will make it easier forproduce suppliers and retailers to fulfill corpo-rate social responsibility goals while feeding thehungry healthfully.

“City Harvest rescues excess food from

WHILE ATTENDEES DELIGHTED inwalking the show floor pursuing new business,the Spouse Program commenced in the pent-house of the Hilton. Debbie Prevor, wife ofshow co-founder Jim Prevor, hosted a groupof spouses and significant others to a day ofshopping and sightseeing in the City. The itin-erary also included manicures, massages, andhigh-tea at the Plaza Hotel.



McAlister’s Deli, says his restaurants havedoubled the number of salads offered, fromfour or five to about nine.

Salads now account for about 28 percentof sales at the chain, driven in part by thepopularity of McAlister’s “Choose Two” menuoffering, which allows customers to pair acup of soup with a half-portion of a sandwich,salad, appetizer or potato, or to combine twohalf-portions.

Groll says training is key for restaurantemployees, especially with produce, whichcan often require careful handling andprecise cooking skills. The chain offers anonline program called McAlister’s Universitythat employees participate in, at a cost of $4per year per worker for franchisees.

“You have to be prudent about howemployees can actually operate in thekitchen,” says Gerry Ludwig, corporate

example, he cites restaurants that seekdelivery five, six or seven times per week.

“The more delivery we do, the more it willcost you,” he says, urging operators to limitdeliveries to two to three times per week.

Ken Toong, executive director for auxiliaryservices at the University of Massachusetts,says he’s seen vegetables take a more promi-nent position on his school’s menus.

“When I joined U. Mass, we had a chickenstir-fry that was mostly chicken, with a littlevegetable, and now it is just the opposite,”he says.

“Fresh” has become the key attribute foryoung diners, Toong says.

“They want fresh, they want unprocessedfood, they care about responsibility, and theycare about animal welfare,” he says.

David Groll, director of culinary develop-ment and corporate executive chef of

Foodservice Embraces Produce And Looks To Suppliers For Help


Ideation Fresh Foodservice ForumDAY3

By Mark Hamstra

FOODSERVICE OPERATORS aroundthe country are expanding their use of producein myriad ways, working with their vendors tonavigate supply and execution challenges asthey recast their menus to satisfy evolvingconsumer tastes and preferences.

Joining a host of industry professionals atthe 4th Annual Ideation Fresh FoodserviceForum at the New York Produce Show andConference, Keith Brunell, senior director ofculinary and corporate executive chef atMaggiano’s, the Italian casual dining chain,described the current health-conscious envi-ronment as a “perfect storm” for the growth ofproduce on foodservice menus.

“Our guests are asking for more vegeta-bles, and we have to give it to them,” saysBrunell who, along with other culinaryexperts, shared his expertise and insights atthe day-long event.

Chefs — from single-unit operations tolarge chains — have been strong advocatesof putting more produce on their menus, butthey say such efforts can pose challenges.

“Costs are keeping me from offering moreproduce,” says Bob Karisny, vice president formenu strategy and innovation at Taco John’s,a quick-service Mexican chain based inCheyenne, WY.

Cheesecake Factory, the Calabasas, CA-based casual dining chain, also faceschallenges as it expands its produce offerings,says Bob Okura, vice president of culinarydevelopment and corporate executive chef.

The company has retooled and expandedwhat was already a vast menu by adding moreitems, including several appetizer salads pricedat under $10. Salads now rank fourth in menupopularity at The Cheesecake Factory, behindburgers, pastas and entrees, Okura says.

Rich Dachman, vice president of produceat foodservice distributor Sysco, cautions thatfoodservice operators risk adding costs intotheir operations by placing demands that forcesuppliers to change the processes they haveestablished to maximize efficiency. For




Ideation Fresh Foodservice ForumDAY3

consulting chef at Gordon Food Service,Grand Rapids, MI. “One of the big enemies ofcreativity is scalability.”

Ludwig’s presentation focused on some ofthe creative ways chefs are using what hedescribed as “under-used” vegetables,including okra and beets (“Beets are theother red meat,” Ludwig says.)

Jesse Gideon, chief operating officer andcorporate executive chef at Alpharetta, GA-

based Fresh to Order, a concept that seeks tocombine fine dining cuisine with the speed ofa fast casual operation, says vegetablepreparations should be kept basic.

“I think with produce, the simpler you canget, the better,” he says. “If you are trying tohave 9,000 restaurants, obviously you can’thave 20 guys hovering over every plate.”

When asked what vegetables they believemay be “under-used,” one group of panelistsat Ideation Fresh cited cabbage, king oystermushrooms, rapini and several root vegeta-bles, including potatoes, radishes andrutabagas.

Don Odiorne, vice president of foodser-vice at Eagle, ID-based Idaho PotatoCommission, cited cauliflower as a vegetablegetting much more attention on menus,

especially when paired with aromaticcheeses. He says the trend toward moreproduce-centric menus can also be seen inthe event catering business.

Odiorne says he sees university campusesat the vanguard of culinary trends more sothan fine dining restaurants.

“When I tell people where the trends arecoming from, I usually don’t say upscalerestaurants anymore,” he says. “I say go outto a college or university.”

Rafi Taherian, executive director at YaleDining at Yale University in New Haven, CT,says he thinks diners have become muchmore accepting of new culinary experiences.

“Today, there is more sophisticationtoward new flavors, and an appreciation ofthe bitter flavor,” he says.

JESSE GIDEON

JOEL PANAGAKOS

KEN TOONG

RICH DACHMANDON ODIORNE

KEITH BRUNELL


DAVID GROLL

BOB OKURA

BOB KARISNY

SUVIR SARAN RAFI TAHERIAN

Attendees of Ideation Fresh worked through lunch brain-storming and conversing about how to bring more freshproduce into the foodservice arena. Panel discussionscovering topics such as innovation, reinventions andprofit generation included a number of renowned chefsand specialists in their respective fields.

GERRY LUDWIG

TIM YORK

JEHANGIR MEHTA


ATTENDEES ON the industry tours hada chance to experience one of five bus toursincluding a behind-the-scenes look atretailers, wholesalers, suppliers and rooftopproduce production across the tri-state area.

Manhattan bus passengers visited:Whole Foods Market, Fairway Market, GrandCentral Market, Gotham West Market, Chelsea



Industry ToursDAY

3

Market, Gourmet Garage and Eataly.Brooklyn bus passengers visited: Whole

Foods Market, Gotham Greens Rooftop Farm,PSK Foodtown, Cherry Hill Gourmet and Pome-granate.

New Jersey bus passengers visited:Morton Williams, Pathmark, Whole FoodsMarket, HMart, Kings Food Market and Stew

Leonard’s in Yonkers, NY.Hunts Point Terminal Market and the

Philadelphia Wholesale Produce Marketbus passengers stopped at multiple vendorson each of the wholesale markets, andPhiladelphia passengers also visited a RastelliMarket in New Jersey on the ride back toManhattan.


http://www.gothamgreens.com


Industry ToursTHE NEW YORK PRODUCE SHOW AND CONFERENCE RETROSPECTIVE

DAY3




Industry ToursDAY

3


THANK YOU SPONSORSPLATINUM LEVEL

GOLD LEVEL

BRONZE LEVEL

SILVER LEVEL

NYPS Thank you SP_Ad 1/6/15 9:49 AM Page 1

NYPS H 2015 V3_Ad 12/29/14 3:16 PM Page 1



A Taste Of Sunshine In The WinterFlorida strawberries are highly recognized during winter months because of their availability, versatility and profitability.BY JANEL LEITNER

PHO

TO C

OU

RTES

Y O

F W

ISH

FA

RM

S

Strawberries_Layout 1 12/22/14 12:36 PM Page 1

the industry. “Florida 127 is a new release fromthe University of Florida’s strawberry breedingprogram,” says Parker. “This new variety willbe planted on a limited amount of acreage thisseason. The Florida 127 has received over-whelming reviews in terms of flavor. Webelieve this new variety will set the standardfor all others to follow.” Whether the variety is new or old, many

still produce a good strawberry. “This seasonwe are primarily growing Radiance, Festivaland Albion varieties,” says Kosinsky. “Wecontinue trials with newer varieties like theFlorida Sensation.”

THE BENEFITS OF ‘LOCAL’Promoting Florida strawberries as ‘local’

yields benefits. “When you buy Florida straw-berries you not only give the consumer afresher, riper strawberry, but you stimulate thelocal economy,” explains Parke. “Buying fromlocal farmers helps in so many ways.”“Consumers want to buy as local as possible

and are insisting on knowing the point oforigin of their produce. This validates ourplanned marketing campaign and interest ingrowing our partnership with the Fresh fromFlorida initiative,” says Sue Harrell, director ofmarketing for FSGA.The locality of Florida strawberries also

helps decrease cost at retail. “Florida has prox-imity to the marketplaces of the Northeast,Mid-Atlantic and the Southeast United

to the eastern half of the United States duringwinter months.” The Florida strawberry season yields a

generous harvest. “Florida is the second-largestproducer of strawberries after California,” saysParker. “Our soil is very rich in minerals andthe weather during those months makes forthe ideal berry.”

“Florida growers produce 10,000 to 12,000acres of fresh market strawberries fromNovember through April,” adds Parker.Timing plays an important role. “Our

window makes our deal unique,” assertsKosinsky. “It is a nice transition from Californiastrawberries in the summer and early fall.” “December into April, Florida strawber-

ries are what customers want,” says TomO’Brien, president of C&D Fruit andVegetable Company of Bradenton, FL.“Customers will tell you they cannot waituntil they are on the shelves.”

AN EVEN BETTER BERRYGrowers continuously work for a better

product. “The Florida growers are investingheavily into the breeding program at theUniversity of Florida,” says Parker. “Our goal isto create and maintain satisfied customers at areasonable profitable level for the growers. Theway to accomplish this goal is to producestrawberries meeting or exceeding thecustomer’s expectations.” New varieties offer Florida an advantage in

Florida is well-known for its influencein reinforcing and sustaining straw-berry sales in the United States.“When you realize 95 percent ofconsumers purchase strawberries, it

is advantageous to produce departments tohave them available year-round,” statesKenneth Parker, executive director for theFlorida Strawberry Growers Association(FSGA) located in Plant City, FL.“The berry category as a whole is in the top

five in the produce department, with straw-berries contributing 85 percent of total salesand profit,” explains Keith Cox, produce cate-gory manager at K-VA-T Food Stores inAbingdon, VA, which operates 104 stores.“We understand the impact strawberries haveon our produce sales and have equipped overhalf our stores with standalone berry cases.Stores with these cases have seen a substantialsales increase.” Strawberries are a mainstay on shopping

lists. “Strawberries are a destination item in theproduce department,” states Amber Kosinsky,director of marketing at Wish Farms locatedin Plant City, FL. “Consumers view strawber-ries as a weekly repeat purchase.” “Florida Strawberries are a big part of our

business plan,” agrees Jay Schneider, producesales lead with Acme Markets in Malvern, PA,with 110 stores. “It is one of the top volumesales items in the department and a big part ofour quarterly sales plan.”

WHY STRAWBERRIES FROM FLORIDA?Strawberries from Florida add character to

the category. Dan Crowley, vice president ofsales and marketing with Well Pict Berries inWatsonville, CA says, “Well Pict strawberriesfrom Florida have the classic conical ‘berryshape,’ full red color, a healthy green calyx andgreat flavor for good eating.”Florida strawberries represent a legacy of

excellence. “Plant City is the ‘Winter Straw-berry Capital of the World’ and home to theFlorida Strawberry Festival,” says Peggy Parke,co-owner of Parkesdale Farms located inDover, FL. “R.E. (Roy) Parke founded Parkes-dale Farms almost 70 years ago and pioneeredmany of the ways strawberry farmers grow, shipand market their berries. Roy always said, ‘Godmust have really loved strawberries because heshaped them like hearts.’ Strawberries are theheart and soul of Plant City, FL.”Parker agrees. “The ideal climate and

productive soils, along with dedicated multi-generational family farms provide the mostlocally grown, fresh from Florida strawberries


PHOTO

COURT

ESY

OF

C&D

(L-R) Shannon O’Brien and her dad, Tom O’Brien (president of C&D Fruit and Vegetable Company) in thestrawberry field located in Bradenton, FL.


PRICE AND HANDLE CORRECTLYAppropriate pricing is key for increasing

sales. “If strawberries are being displayed andpriced at multiples — such as two for $5 —the display will disappear in front of your eyes,”says O’Brien.Packaging also plays an important role.

“Large pack two-pounders are becoming morepopular now versus years ago,” says AcmeMarkets’ Schneider. “More shippers arepacking them due to the success retailers havefrom Western strawberries.”Correct handling is also crucial. “Making

sure you properly handle and store your straw-berries is very important,” says Parke. “Theycan be refrigerated or frozen, and should behandled as little as possible.” “Always keep berries on display in a refrig-

erated case so as not to break the cold chain,”suggets Wish Farms’ Kosinsky. “The berrieswill have a longer shelf life if they stay refrig-erated. We advise consumers to look for berriesthat are stored in a refrigerated section of theproduce department and keep packages refrig-erated until they are ready to eat the fruit.”As interest in traceability grows, Wish

Farms is promoting a unique marketing tech-nique useed since 2009. “We are utilizingHow’s My Picking? — a patented tool fortraceability to ensure quality by tyingconsumer feedback to the harvest time, fieldlocation, picker and other information,”saysKosinsky.Wish Farms has plans to get the stores

involved. “POS material will be available forour retail customers upon request. The POSwill promote our How’s My Picking? GroceryMoney Sweeps. The promotional in-storesignage includes floor clings, display casemessaging and info cards to clip onto straw-berry flats.” pb

strawberries on air to celebrate the winterstrawberry season,” says Harrell. “FSGA willwork with a retail chain to coordinate in-store-sampling programs and create awareness toincrease sales.”

USE CREATIVITY IN MERCHANDISINGCreative and versatile merchandising in

stores helps boost sales. “We love a fresh berrydisplay front and center in the wintermonths,” says Harrell. “It is a taste of summerall winter long. Strawberries are great forholidays, including Christmas, New Year’sand Valentine’s Day.” “Strawberries are best displayed at the front

of the produce aisle, in well-maintaineddisplays kept full with fresh product,” addsWell Pict Berries’ Crowley.Look to drive impulse sales with freshness

and cross-merchandising. “Strawberries are animpulse item, especially when displays are wellmerchandised and fresh,” says Cox of K-VA-T.According to O’Brien most retailers will tie

in whip cream and angel food cake, and putthem in multiple locations.Promote consistently and often during the

season. “We do several weeks of advertising ofFlorida strawberries, especially when therehave been good growing conditions,” says Cox.“This helps keep the momentum going on thishigh dollar and profit category.” Healthy eating habits aid in strawberry

popularity. “Increasing numbers of Americansare turning to nutrient-rich strawberries year-round because of their deliciousness, healthbenefits and availability.

“Consumers love recipes and ideas for waystheir children can eat more fruits and vegeta-bles. We offer recipes on the retailers’ websitesas well as in-store recipe cards,” says Harrell.

States, along with Eastern Canada, ” says WellPict Berries’ Crowley.“Based on our location, we can receive

strawberries in one to two days from Florida,instead of four to five days from the WestCoast,” says K-VA-T’s Cox. “This helps withinventory turns and freshness for the stores.Since the travel distance for delivery to thedistribution center is shorter, the cost of freightis also lower.” “A benefit for us in the East is the short ride

for Florida berries,” agrees Acme Markets’Schneider. “Typically, we ship fruit in abouttwo days or less; we can get fruit in fresh andmove it.”

BACKED BY GREAT MARKETINGA consistent marketing plan makes a big

difference. “Growers want to see Floridastrawberries promoted throughout the season,”says O’Brien. Various techniques for reaching out to the

consumer are also being employed.“The 2014-15 marketing program is

geared to a greater increase in awareness andconsumption of Florida winter strawberries intarget markets and beyond,” says Harrell.“Mass media outreach, including social mediaand internet-based marketing, is integral toencouraging strawberry consumption by bothcurrent and potential strawberry lovers.”“We have done a lot on social media,

including Facebook and our blog,” says Parkes-dale Farms’ Parke. “Marketing the Floridastrawberry was such an important part of RoyParke’s life when he started Parkesdale; it’s inour genes.”For the past few seasons, Wish Farms has

offered a variety of on-pack co-promotionsfeatured on its Misty the Garden Pixie straw-berry label. “We plan to implement similar programs

this upcoming season. We will be partneringwith well-known brands, pairing nicely withfresh Florida strawberries. The promotionallabels will offer a money-off coupon to theconsumer. We’ve seen great results with thesetypes of co-branding promotions. Featuringa coupon on our label gives consumers incen-tive to purchase our strawberries in additionto the partnering product,” says Kosinsky.FSGA will offer a series of grocery chain

in-store sampling demonstrations in the topfive Florida markets, including Miami,Orlando, Tampa, Jacksonville and Fort Laud-erdale. “These are the same cities whereStrawberry Sue will be appearing on televisionand radio programs, and where local TV mete-orologists will be showcasing Florida


PHOTO

COURT

ESY

OF

C&D

PHOTO

COURT

ESY

OF

WIS

H F

ARM

S


Chefs Across Restaurant LandscapeCater To Meatless Diners

There’s been an edible evolutionin meatless cuisine in the food-service arena over the past fewdecades. No longer does theobligatory “vegetarian” menu

option mean a double serving of sides sans thecenter of the plate. Many chefs also progressedfrom a heavy-handed reliance on “faux meat”soy product entrees. Today, it’s an amazingarray of fruit, vegetable, dried beans and wholegrains combos that are increasingly served onthe bill of fare in everything from QSR towhite-tablecloth restaurants, campus diningand even sports stadiums. “Dining out well is no longer synonymous

with a 32-ounce steak,” says Todd English, aBoston, MA-based celebrity chef, televisionpersonality, author and owner of eight restau-rant brands with locations nationally andinternationally. “Chefs today are taking time tolook at vegetables and how they are prepared.Even if they are served with meat, vegetableshave become a differentiating factor on the

plate rather than an add-on — to the extentthat customers, whether they are vegetarian ornot, want to order the dish due to the vegeta-bles and how they are prepared. This isn’t newto me, as most of my concepts have long beenbased around Mediterranean cuisine.”English isn’t alone in his outlook on the

growing popularity of plant-based fare. Sixty-two percent of the nearly 1,300 AmericanCulinary Federation (ACF) member chefssurveyed in the Washington, D.C.-headquar-tered National Restaurant Association’s(NRA) “What’s Hot” culinary forecast namedmeatless/vegetarian items as a “hot trend” for2015. What’s more, 20 percent of these chefscalled meatless a perennial favorite and only 18percent dubbed it yesterday’s news.“Meatless dishes evolved past a fad or a

trend and are now becoming a part of a normalway of life for many people. Just look at thepopularity of Meatless Mondays,” saysChristopher Tanner, executive chef of U.S.retail at the Camden, NJ-headquarteredCampbell Soup Company and ambassador forthe St. Augustine, FL-based ACF.Consider that while only 3 percent of

Americans never eat meat, poultry or fish, 47percent say they eat at least one vegetarianmeal per week, according to a 2012 NationalHarris Poll, an online poll commissioned by

the Vegetarian Resource Group, headquar-tered in Baltimore, MD. This presents aprofitable opportunity for restaurateurs andproducers of plant-based ingredients, such asfruits and vegetables.

KNOW YOUR CUSTOMERDiners who order meatless meals are no

longer easy to recognize by their beards andBirkenstocks. “Our customers range from high school

and college students to senior citizens andeveryone in-between,” explains Julie Derry,chief marketing officer for San Diego, CA-based Souplantation & Sweet Tomatoes, amid-scale buffet/cafeteria concept with 128restaurants in 15 states. There’s even diversity in the meaning of

“meatless” within a particular age group. “Thedefinition of vegetarian is large for us,” explainsCheryl Garner, executive director of diningservices at the University of California, River-side, CA. “Some students eat eggs and cheese,or just vegetables, or just chicken. The term‘vegetarian’ is not specific in students’ minds.”Nearly one in every five full-time college

students (18 percent) would like to see morevegetarian/vegan options in cafeterias,according to the Chicago, IL-based MintelInternational’s Colleges and Universities Food-


PHOTO

COURTESY OF NOODLES AND COMPA

NY

foodservice marketinguvegetarian

Plant-based fare now considered part of foodservice’s fabric.BY CAROL BAREUTHER

Vegetarian_Layout 1 12/22/14 4:30 PM Page 1

pico de gallo and micro greens on a choice ofjammer lettuce or whole wheat, flour or whitecorn tortilla); Voodoo Veggie Taco (roastedspiced sweet potatoes and Anjou pears, cran-berry-honey glaze, toasted pumpkin seeds,queso fresco and a hint of shagbark syrup); anda vegan selection called Thai Me Up Salad(slivers of green mango, rainbow crunchcarrots, Mung bean sprouts, toasted coconut,peanuts, red miso dressing) — which Corlissdeveloped with the National Mango Board.“Fresh mango is often used to add flavor,

texture and color to a meatless dish,” saysRachel Muñoz, director of marketing for theNational Mango Board, in Orlando, FL.“Mango condiments (salsa, relish, chutney,pickled) may be used to complete the flavorprofile of a dish. Fresh mango can be grilledand roasted to caramelize the sugars and bringout a deeper level of flavor.”Moe’s Southwest Grill offers seasonal salsas

in addition to its year-round offerings. Theseinclude Pineapple Cucumber Salsa andRoasted Jalapeno Garlic Salsa last summer andSmoky Jalapeno Salsa and Cranberry LimeSalsa in the fall.Bob Campbell, owner of Campbell

Ranches, in Lompoc, CA, is one of a dozenfarmers who make guest appearances at “re-grand openings” of refreshed Souplantation &Sweet Tomatoes locations. Campbell grows120 acres of broccoli that are exclusively sold tothe chain, which uses this popular vegetable ina variety of vegetarian offerings, such as itsJoan’s Broccoli Madness Salad. “In addition to these re-grand opening

events, where we hand out bags of freshproduce to the first 100 customers, we tell the

LOCAL AND SEASONAL HOT TRENDS“An increasing number of consumers are

concerned about where their food comes from,and they want a menu that is fresh, local,seasonal and transparent,” says MaryChapman, Technomic’s senior director ofproduct innovation. This observation translates to greater

interest in simpler less processed ingredientssuch as fruits, vegetables and whole grains.“We let the ingredients and menu speak for

itself,” says Rob Corliss, who as chef-consul-tant at ATE (All Things Epicurean), helpedto launch the fast-fresh restaurant Unforked inOverland Park, KS, in 2011, and continues tocreate the eatery’s LTO’s (limited time offers).“We tout where the food comes from, theseasonality and the quality. This creates apowerful connection with the guests.”Some of the most popular meatless LTO’s

at Unforked include: Crispy Avocado Taco(tempura fried avocado topped with seasonal

service – May 2014 report.“The younger generations are the ones who

benefited the most from health campaigns, soit makes sense that they better understand therelationship between what they eat and howthey feel,” explains Julia Gallo-Torres, senioranalyst for food and drink and foodservicereports at Mintel.This has a beneficial carryover effect on

students as they grow older. In Mintel’s Fruitand Vegetables – U.S., October 2013 report, 18to 34-year-olds said they are more likely tobe high users of vegetables at home. In turn,veggies like kale, cauliflower, squash andbroccoli rabe are sought-after ingredients forthis generation.“Baby Boomers are a larger segment of the

population now, and one that we see lookingmore for meatless choices due to concernsover health,” says Patrick Peterson, executivechef and vice president of Moe’s SouthwestGrill, a 550-plus fast-casual chain based inAtlanta, GA. There are several trends driving diners’

request for meatless meals. Health and well-ness are huge initiators. Thirty-five percent ofconsumers say they feel guilty when they don’teat enough fruits or vegetables. Plus, almost 25percent of men say their doctor or anotherhealth professional has suggested they eatmore fruits and or/vegetables, according toMintel’s Fruit and Vegetables – U.S., October2013 report.“These attitudes show Americans are

looking for ways to eat healthier, includingvegetarian/vegan options,” says Mintel’s Gallo-Torres.What’s more, 69 percent of respondents in

Chicago, IL-based Technomic, Inc.’s October2014-published Healthy Eating ConsumerTrend Report, say they thought vegetarian fareis healthier and 90 percent report they like theidea of a course containing a full serving ofvegetables.


SUSTAINABILITY DRIVES MEATLESS MENU OPTIONSOn the consumer front, “there’s much greater stress today on vegetable-based proteins,

the health of the planet and the larger issue of figuring out how to feed 8 to 10 billion peopleby 2050,” explains Christopher Koetke, vice president of the school of culinary arts at KendallCollege, in Chicago, IL. Koetke worked with the Greeley, CO-based National Onion Associa-tion to develop a number of foodservice recipes — including a meatless pasta primaverawith caramelized onions.

On the operator side, “proteins tend to be the most expensive plate component, there-fore meatless alternatives can be a good way to introduce dishes along the lower end of theprice spectrum that add value for consumers and cost management in back-of-the-house foroperators,” explains Annika Stensson, senior manager of research communications for theNational Restaurant Association (NRA). pb

(L-R

) PH

OTO

S CO

URT

ESY

OF

UM

ASS

AND U

SC


“Eighty percent ofrespondents say theywant the opportunity tochoose the ingredientsin their foods. — Julia Gallo-Torres, Mintel

salads that are either vegetarian or vegan. Theseinclude everything from the ordinary CarrotRaisin and Pesto Pasta to extraordinary ThaiPeanut & Red Pepper, Roasted Vegetable withFeta & Olives, and Roasted Potato withChipotle Chile Vinaigrette and best-sellingRoasted Vegetable Kale salads.Fast-casual chains such as Panera Bread,

Noodles & Co. and Moe’s Southwest Grill allmake it easy for patrons to eat meatless. Panera,headquartered in Sunset Hills, MO, with morethan 1,800 units nationwide, offers vegetarianselections on its menu such as a MediterraneanVeggie Sandwich, Tomato & MozzarellaPanini, Autumn Squash Soup, Creamy TomatoSoup, Black Bean Soup, and Garden VegetableSoup with Pesto.“Eighty percent of respondents say they

want the opportunity to choose the ingredientsin their foods, according to our Dining Out: A2014 Look Ahead – U.S. – January 2014,” saysMintel’s Gallo-Torres. “Customization is aneasy way to make something vegetarian orvegan.” The menu at Noodles & Company, a chain

based in Broomfield, CO — with nearly 430units throughout 32 states — is infinitelycustomizable.“Our multitude of noodles and pastas gives

us a nice base to develop a variety of vegetariandishes,” explains Nick Graff, director ofresearch and development in culinary innova-tion. “Customers who want meat can order it asan add on. Some of the most popular vegeta-bles we use are broccoli, mushrooms and romatomatoes, as well as seasonal ingredients such asasparagus and corn in the spring. In fact, ourBangkok Curry has four servings of vegetablesin every order.”Other favorite vegetarian selections on the

Noodles & Company menu include PenneRosa (mushrooms, tomato and spinach), PestoCavatappi (basil pesto, garlic, mushrooms,tomatoes and Italian parsley) and Whole GrainTuscan Fresca (linguini, roasted garlic, redonion, tomatoes and spinach).Meatless has been part of the DNA at

Moe’s Southwest Grill since it started in 2007.“We offer more than 20 fresh veggies andorganic tofu as an add-on in a customizableformat. Additionally, we sell pre-composedmenu selections and seven of these are vege-tarian. Approximately 12 to 15 percent of ourentrée sales are vegetarian,” says Peterson ofMoe’s Southwest Grill.Vegetarian entrees, all with pop-culture

names, include Band Camp (a burrito bowlwith seasoned rice, beans, cheese, pico de galloand guacamole), Art Vandalay (a burrito made

stories of our farmers in print materials suchas table tents, FSI’s [free-standing inserts] inthe newspaper and on our website,” saysSouplantation’s Derry.

A TASTE OF MEATLESSMore than one-third of restaurants offer a

vegetarian dish according to the November2014-compiled Vegetarian MenuTrends Reportby Datassential Research in Chicago, IL. Morespecifically, 34.1 percent of QSR (quick servicerestaurants) restaurants menued meatlesschoices, 41.9 percent mid-scale, 33.9 percentcasual and 21.9 percent fine dining. QSR chains such as Chipotle Mexican

Grill and Subway are growing more vege-tarian-friendly. Last year, Chipotle, a1,600-plus-unit chain headquartered inDenver, CO, introduced its braised tofu-filledburritos called Sofritas. Subway, a Milford, CT-based multi-

national chain with more than 40,000restaurants worldwide, started test marketingtwo new all-vegan sandwiches last summer.The Malibu Garden patty is made with wholegrains and veggies topped with a fiery roastedtomato sauce. The Black Bean burger isseasoned with garlic, bell peppers, cilantro, cornand comes with a sweet potato curry sauce.“Taco Bell features a completely customiz-

able menu so those diners who do not eat meatcan always sub our seasoned beef, chicken orsteak for pinto beans or black beans,” saysAshley Sioson, spokeswoman for the Irvine,CA-based subsidiary of Yum! Brands, Inc., thathas nearly 7,000 units nationwide.In addition, some of Taco Bell’s most

popular menu items that do not contain meatare: Bean Burrito, Black Bean Burrito, 7-LayerBurrito, and the 2014-launched Cantina PowerVeggie Bowl and Cantina Power VeggieBurrito.At mid-scale chain Souplantation & Sweet

Tomatoes, there are more than 50 selectionsdaily, ranging from fresh produce, salads, soups,pastas and breads to desserts. The chain’s reciperepertoire includes 26 tossed and 52 prepared

foodservice marketinguvegetarian




http://www.goldcoastpack.com


“There’s an expectationfoodservice will be ontrend and serve a widevariety of great-tastingdishes, including thosethat are meatless.”— Cheryl Garner, University of California

3.5 million meals per year in the campus’ resi-dential restaurants and nearly 1 million mealsannually at retail and C-store formats to anethnically diverse student population. Vege-tarian and vegan purchases average 20 to 27percent, depending on dining venue. Selec-tions include everything from Thai Curry,Pesto Pasta and Vegetable-topped Pizza at sit-down eateries to Hummus sandwiches,Vegetarian Sushi, or a mix-and-match meal ofthree salads such as Curried Cauliflower,Roasted Beet Salad and Brussels Sprouts withNuts, for example, at retail and C-storesettings.“Students today won’t put up with poor

dining. There’s an expectation foodservice willbe on trend and serve a wide variety of great-tasting dishes, including those that aremeatless,” says Garner.The Mushroom Council worked with

many institutions of higher education acrossthe country to create meatless meals featuringmushrooms. Examples include a TandooriPortabella Burger and Mushroom andSpinach Bolognese Penne at the University ofNorth Texas, a Mushroom and ChickpeaWrap at the University of Massachusetts, anda Crimini Pot Pie at the University ofSouthern California.Vegetarian menu selections are even

showing up at one of the bastions of meat-filled dining: sports stadiums. Back in 2009,Aramark, based in Philadelphia, PA, earned atop supplier spot on PETA’s “Most-Vege-tarian-Friendly NFL Stadiums” by servingveggie dogs, veggie burgers and veggie burritosat stadiums in Philadelphia, Kansas City andOakland.“The recognition we received for our vege-

tarian friendly menus and other culinaryinnovation is symbolic of our ongoingcommitment to working closely with ourcustomers and clients to create great-tastingmenus that enhance the dining experience,”says David Freireich, director of corporatecommunications. pb

others are a minimal group. Either way, theyare all entitled to the same level and quality offoodservice,” says Kevin Blaney, regional exec-utive chef for the Northeast region of theCharlotte, NC-headquartered CompassGroup North America, in the ChartwellHigher Education Division. Examples of vegan and vegetarian dishes

Blaney puts on the menu at campus diningfacilities includes Barley and MushroomRisotto; Quinoa Pancakes with tomatochutney; Eggplant and Provolone Panini;Portabella Mushroom Ravioli with grilledvegetables and an Asian Barley; Wheat Berryand Shiitake Mushroom Burrito.On the West Coast, Garner at the Univer-

sity of California, Riverside, serves more than


THE FLAVOR FACTOR IS KEY “With the right culinary techniques, herbs and spices, vegetarian dishes can be rich and

satisfying enough to also attract meat eaters,” says Annika Stensson, senior manager ofresearch communications for the National Restaurant Association (NRA).

The increasingly multi-cultural nature of the nation means naturally meatless dishes aremoving center stage.

“We’re also seeing a fair amount of ethnic influences in meatless items, especially fromvegetable-rich cuisines like Indian and Asian, which is also an attractive proposition fortoday’s adventurous diners,” says Stensson.

More mainstream, it is pizza, Mexican entrees, pastas and sandwiches that are the mostfrequently menued vegetarian dishes, according to the November 2014-compiled Vege-tarian MenuTrends Report by Datassential Research in Chicago, IL. pb

with seasoned rice, beans, cheese, pico de gallo,lettuce and guacamole), and the PersonalTrainer (a salad with romaine, beans, pico degallo, cheese, cucumber and black olives.)As for fine dining, there are several excel-

lent vegetable-based entree examples on ChefEnglish’s menus. One is the English pea ravioliwith Beech mushrooms, broccoli and charredcorn served at Bluezoo, a restaurant at the WaltDisney World’s Swan & Dolphin resort. AtTuscany restaurant, in the Mohegan SunCasino complex in Uncasville, CT, the RicottaGnocchi is topped with crushed tomatoes,fresh herbs, brown butter and a dollop ofRicotta cheese. Finally, there’s the CrazyMushroom Pappardelle, a signature dish servedat Olives restaurant, in the Bellagio Las Vegas,which is a mix of King Trumpet, Shitake,Oyster and Crimini Mushrooms, English peasand Piquillo peppers tossed with Parmesancream and topped with lemony pea shoots. “Mushrooms fit well in meatless dishes,

because they are hearty enough to carry theflavor for the center of the plate,” says KatiePreis, marketing manager for The MushroomCouncil, in San Jose, CA.A preference by many Millennials for

meatless fare means colleges and universitiesare catering more now to this segment.“Some of our college and university

accounts are as high as 25 percent vegetarian,(L

-R) PH

OTO

S CO

URT

ESY

OF

NAT

IONAL

RES

TAURANT

ASS

OCI

ATIO

N;

NAT

IONAL

MANGO B

OARD;

UNIV

ERSI

TY O

F NORT

H C

ARO

LINA


The Nostalgic Nut

Any occasion for gatheringpeople together, from the holi-days to major sporting events,is a great time for peanutpromotions. “We learned in our

research that people don’t eat in-shell peanutsalone,” says Eric Boonshaft, brand marketingdirector, Hampton Farms, Severn, NC. “It’s allabout sharing. Go to a football or baseballgame and watch how the in-shell peanuts arepassed from one person to the next.”

Early in the year, sports are a key part ofpeanut promotion. “Any time people aregetting together, peanuts deserve promotion,”says Boonshaft. “We can start in January withBowl games, NFL Playoffs, and the SuperBowl. You can then move to college basketballand March Madness. From there we go tospring training for baseball and opening day inearly April.”

Warm weather holidays and activities alsopromote peanut sales, from the Fourth of Julyto road trips and camping. “Peanuts areportable and shelf-stable,” says Ryan Lepicier,

senior vice president of marketing andcommunications, National Peanut Board,Atlanta, GA. “They’re fun to eat. It’s perfectfor camping, a day at the beach, a road-tripvacation, or a campfire where you can throwthe shells in the campfire. They’re also anaffordable snack.”

Harvest-themed opportunities are a readypromotion tactic as well — since the peanutharvest occurs between late August and earlyNovember. This is particularly applicable inthe states with significant peanut production.

The Virginia/Carolina region has a displaycontest where grocery store teams createthemed displays, and the winning teamreceives a prize, according to Lepicier.

Even the traditionally slower times forpeanut sales offer opportunities for marketingefforts. March is National Peanut Month.Keeping a ready supply on hand is key tosuccessful promotions. “Having product avail-able year-round is essential,” says Maria Brous,media and community relations director,Publix, Lakeland, FL.


(TO

P TO

BO

TTO

M)

PHO

TOS

COU

RTES

Y O

F N

ATIO

NA

L PE

AN

UT

BO

AR

D

dried fruits & nutsupeanuts

Sports games, holidays, and other gatherings are key to sales.

BY KRISTEN POPE

Peanuts_Layout 1 12/22/14 12:09 PM Page 1

When you develop adisplay around a partic-ular event or holiday,cross-merchandisingwith other productswill significantlyimpact the sales of that product.”— Terry Williams, Sachs Peanuts

are sold through pre-packaged products. “Ithink stores are being cautious to protect theconsumer, and we agree with that philosophy,”says Williams.

Lepicier and Williams agree that visibilityis key. “They are an impulse item, so they haveto be very visible,” says Williams. “Anywherewith high traffic is a good place. End caps workwell. If they’re on the bottom shelf, they’re outof sight, out of mind.”

Boonshaft notes that the produce depart-ment is an ideal location. “The great thing

peanut options. “We carry packaged privatelabel nuts in our produce department year-round,” says Brous. “In addition, during the falland winter holidays, we offer an extendedvariety of bulk packaged nuts.”

Williams likes to see at least 4 to 6 feet ofshelf space devoted to peanuts. “Peanuts are animpulse item. The more space you devote to animpulse item, the more sales,” he says. He notesrecent years have seen a rise in pre-packagedpeanut products due to allergy concerns. Heestimates 70 percent of peanuts sold by retailers

Memories are also a key component inadvertising the all-American snack. “It’s theperfect snack to go with holiday cheer,” saysLepicier. “People have an emotional connec-tion to eating peanuts at the ballpark withDad. And the holidays are a perfect time to tapinto fond memories of food attached to posi-tive events and good times.”

EYE-CATCHING DISPLAYS KEY TO INCREASING SALES

While peanuts have year-round, all-agesappeal, keeping them in consumers’ line ofsight is one of the best way to boost sales. Eye-catching displays and cross-merchandising aretwo tactics to increase sales. “When youdevelop a display around a particular event orholiday, cross-merchandising with other prod-ucts will significantly impact the sales of thatproduct,” says Terry Williams, national salesmanager, Sachs Peanuts, Clarkton, NC.

Boonshaft also emphasizes the importanceof good merchandising efforts and cross-promotion, saying the key is, “Display! display!display! Partnerships with soft drinks or beerthat include secondary locations in-storeproved to be very successful. We often usethemed, knockout display cases for specialevents such as holidays, tailgate season, orMajor League Baseball’s opening day.”

Providing enough peanuts in the producedepartment is important, as well as providing avariety of peanut options. “If you look at syndi-cated data for the grocery channel, peanutsaccount for about 25 percent of all nut categorydollar sales, but are just over 50 percent of nutvolume sales,” says Boonshaft. “And that isbefore you consider that peanuts are included inmost mixed nuts and trail mixes.” With thisdata in mind, he recommends stocking peanutsin 33 to 40 percent of the nut section.

Publix also carries a variety of year-round



http://www.hamptonfarms.com

“We see an opportunity for growthin flavored peanuts,similar to what we have seen in other nut categories.”— Eric Boonshaft, Hampton Farms

PEANUT PRICING 101Due to allergen concerns, many produce

departments have moved away from bulkpeanuts and supply packaged nuts. This hasbeen a boom for retailers, who can sell moreproduct this way — increasing both poundsand dollars sold. According to Boonshaft,consumers would often fill a self-serve bagwith 10 to 12 ounces of peanuts. However,those same consumers will readily snap up a 1-pound bag at the same per-pound price point.Boonshaft says that larger bags sell even better,and one key product is a 2-pound bag at $3.99.“We moved a consumer from a bulk 12-ouncepurchase at $1.50 into a 2-pound packagedpurchase for $4, while reducing the shrink tozero for the retailer.”

And when it comes to per-pound price,Boonshaft says, “We let the market determinepricing, but anywhere under $3 per pound is agreat value for the consumer. When comparedwith other nuts, typically selling for above $5or $6-pound, the peanut is the unquestionedvalue winner.”

Williams cites similar prices, encouragingretailers to sell multiple packages on special,with five small packages for $5 or 10 for $10.For medium-sized packages of 1.5- to 2-pounds, he suggests $2.49 to $2.99 as a goodprice point, and below $8 for a 5-pound bag.

The National Peanut Board conductsbrand studies and found that between 2001and 2012, daily peanut consumption doubled.“Our research shows peanuts are America’sNo. 1 preferred nut,” says Lepicier.

Boonshaft also emphasizes the role ofpeanuts in meat-free diets. “Peanuts can alsoplay an important role in vegan diets,” saysBoonshaft. “Consumers turning to vegetariandiets need to replace the proteins in meats.These consumers are extensively shopping inthe produce departments. Peanuts have moreprotein per serving than any other nut, so theyplay an important role in these diets.” pb

Health-conscious consumers and snackersare a key demographic, as many enjoy theconvenience factor and health appeal. “Weknow that fat in nuts is great for us andcontributes to heart health and weightmanagement,” says Lepicier. “People have themessage that peanuts and nuts are a nutritiousfood they should be eating.”

All ages enjoy peanuts, according toBoonshaft. “Given that peanuts account formore than 50 percent of grocery nut volumein the U.S., we know they are enjoyed by all age groups.” He also notes youngerconsumers enjoy the new flavors they areproducing, including Cajun Hot Nuts andHickory Smoked in-shell flavors in 10-ouncebags. “We see an opportunity for growth inflavored peanuts, similar to what we have seenin other nut categories,” says Boonshaft.“Both flavors bring new consumers to thecategory when merchandised and promoted.Flavors allow us to reach more consumers and some of the demographics that arecurrently growing.”

Seniors are another, somewhat unex-pected, target market for in-shell peanutsales. “We tend to think a lot of elderly peoplebuy in-the-shell peanuts to keep their handsactive,” says Williams.

about being in Produce is that it is often thefirst department a shopper sees when enteringa store,” says Boonshaft.

Produce also offers numerous cross-merchandising options. “Our bulk packagedofferings may be placed alongside the tradi-tional items needed to make stuffing or by thesweet potatoes and salad mixes,” says Brous.

In traditional peanut-growing locations,green peanuts are a hot item during harvesttime, when people purchase them for boiling.The region where these fresh peanuts are avail-able, in the southern U.S., typically includes 10states. However, due to the harvest season, it’sonly a limited-time opportunity. “It’s a verysmall window,” says Lepicier. “People look forthem during that time of the year.”

A HEALTHY, ALL-AGES SNACKWith more than 30 vitamins and minerals,

the “Perfectly Powerful Peanut” has healthbenefits that resonate with consumers,according to Lepicier. These health benefitsare a cornerstone of the National PeanutBoard’s marketing strategy. “Peanuts havemore protein than any other nut,” saysLepicier. “They’re heart-healthy and tastegreat. Peanuts are part of a well-balanced dietand a good source of nutrients.”

dried fruits & nutsupeanuts


Due to allergen concerns, many producedepartments moved away from bulkpeanuts and supply packaged nuts.


PBH Floral_Ad 12/15/14 1:09 PM Page 1

http://www.floralbusinessmagazine.com

BY DON HARRIS

As 2015 commences, we all face a year filled with many chal-lenges and the need for change in many parts of the industry.Management will be focusing on challenges, such as increasing

sales and profits, sustainability, carbon footprint, “green” technolo-gies, and development of local resources.

While many similar challenges will face the produce industry,retailers have an opportunity to confront the biggest challenge andmake substantial impact by providing the solution and enforcing thechanges needed to continue successful produce operations. Unfortu-nately, this major challenge is not “on the radar” of many in uppermanagement. It is not a priority for them, as they do not deem it asa challenge to their operation. In other words,“They just don’t get it!”

This major challenge is the rapidly increasingretail price of produce commodities. Ever sinceupper management discovered that produce couldbe used to quickly add extra dollars to the bottom-line simply by raising prices, this practice is used bya large number of retailers throughout the industry.

Basically, management deems the majority ofproduce items to be price non-sensitive andthereby can be raised without any or little affecton the volume sold. This allows for quick increasesof dollar sales to meet financial targets necessaryto keep Wall Street happy. Because this is a pricingissue, the supplier side of the industry doesn’tdiscuss it, because retailers believe it is none of“their” business.

Anyone who challenges this practice risks the wrath of the retailer.Yet this is one of the biggest reasons for the fact that prices are risingfar faster than the volume would indicate. The figures for 2014 — asfar as retail cost-per-pound and volume increases — reinforce thisfact. If allowed to continue unabated, the continued growth of theproduce sector will be threatened.

To illustrate this fact, let’s examine the key factors from 2014. Interms of retail price-per-pound (according to research from theChicago, IL-based IRI Fresh Look Marketing Group), the averageincrease for both fruit and vegetables is up 4.5 percent. Compare thiswith a national inflation rate of approximately 1.5 percent and a food-at-home inflation rate of 2.8 percent, based on the Consumer PriceIndex (CPI). While this shows that produce prices are definitelyincreasing at a faster rate than the national inflation rate, what isreally happening to produce is illustrated by the contrasting rate ofincrease in volume sold. Fruit and vegetable volume sold increasedby only .52 percent over the same period, according to IRI.

While some of this difference may be explained by the marketsbeing overall higher than the previous year, as we see in the food-at-

Is Retail Pricing DampeningProduce Consumption?

home inflation rate, the increase of 4.5 percent in produce is substan-tially higher than the food-at-home rate by 1.7 percent. This trendhas been going on for the past three years at approximately the samerate, with prices-per-pound for fruits and vegetables increasing atabout a 4 percent rate. Volume increases have been 1 percent or less,and overall inflation remained fairly constant at from 1.2 percent to1.5 percent. All in all, this is a very disturbing trend and allowed tocontinue will thwart efforts by the industry to drive consumption.

Any discussion of this situation is bound to be highly controver-sial. But to address this challenge to the industry, a constructivedialogue must be undertaken with all sides of the industry and

retailers taking the helm. The solution seems to bea simple one and could be accomplished byretailers taking action to institute realistic pricingstrategies that would encourage consumers topurchase more produce. These pricing strategieswould reflect changing markets as well as seasonalpromotions.

Utilizing a more rational pricing policy thatreflects the retailers’ need for profit to offset costsand enhancing the natural affordability of producewould go a long way to stimulating additionalsales dollars and volume sold. Without such action,the current trend would continue to lead ultimatelyto diminishing returns for everyone involved aswell as the stagnation of growth in produceconsumption.

While this will not be an easy or popular thingto do, certain retailers have already recognized this situation andinstituted pricing policies that allow for healthy growth in sales whileselling proportionately more product. Once again, this is not rocketscience but simply supply and demand. A realistic pricing strategy atretail will have the unique impact of affecting both sides of the equa-tion. By selling more volume at attractive, realistic price, we can keepsupply in balance and encourage increasing consumer demand, whichwould drive sales. We cannot afford to delay action in this area. Wereached the point in the industry were we must look seriously at thischallenge and, at the least, engage in a serious, industry-widedialogue to address the situation and reverse the present trends.

A realisticpricing strategy

at retail willhave the

unique impactof affecting

both sides ofthe equation.

retail perspective

Don Harris is a 40-year veteran of the produce industry, with most of thattime spent in retail. He has worked in every aspect of the industry, from “field-to-fork” in both the conventional and organic arenas. Harris is presentlyconsulting on all subjects of retail, category development and sales strategies,among others. Comments can be directed to [email protected]


Retail Perspective_Layout 1 12/31/14 5:22 PM Page 1


SE Produce C_Ad 1/6/15 4:42 PM Page 1

http://sepcsouthernexposure.com

BY JOHN GILES, DIVISIONAL DIRECTOR, PROMAR INTERNATIONAL

In the past 30 years, the development of major internationalretailers revolutionised the fresh produce supply chain. Theprocess doesn’t look anywhere near set to finish in the immediate

future, in either the more mature markets of Europe, North Americaand Japan, let alone in the emerging markets of Asia, Africa, LatinAmerica or Russia.

In Europe, major supermarkets often account for nearly 70 percentof the overall market. In some markets, such as Australia and Scandi-navia, the figure can be even higher. In contrast, in emerging markets(India being an example), modern Western-style supermarkets accountfor less than 5 percent of fresh produce distribution. In China, it isaround 35 percent.

Figure 1 sets out the scale of the Top 12 grocery markets aroundthe world, and the basic attraction of the emerging markets is clearto see. China, India, Russia, Brazil, Indonesia and Mexico are allthere. Only four of the Top 12, in contrast, are from the EU.

*Figure 1 – Leading Global Grocery Retail Markets (US$ billion)For many of the established leading retail groups, development of

international business will be key for their future development, asthey often approach reaching saturation point in their own domesticmarket. The share of business accounted for international businessvaries from chain to chain, with some European retail chains, such asCarrefour, Auchan and Metro, already achieving more sales outsidetheir home markets than in them.

For others, such as Wal-Mart, Tesco, Costco, Coles and Kroger, thedomestic market still remains strategically important, but mid- to long-term growth can only really come from expansion in internationalarenas — this factor has sometimes proved easier said than done.

Some of the most ambitious growth plans come from the German-based discounters with a business model that appears to havewidespread appeal. Longterm, Aldi stated its intention to continueexpansion not only in new EU markets (such as the U.K.) but also inthe U.S., as well as other attractive markets (such as China, Russiaand New Zealand). Lidl is sizing up opportunities in markets such as

International Retailing the U.S., Turkey and Russia. Aldi already operates in almost 20 coun-tries — most of which are based in the EU. Germany is still the coremarket for Aldi, however, and accounts for about 50 percent of itsturnover. Lidl is in a similar situation. The company operates mainlyin the EU and is especially strong in Eastern Europe, but Germanystill accounts for just over 50 percent of overall sales.

What does this mean for suppliers of fresh produce to the inter-national markets? In summary, they are:

nThe key players in Asia and other emerging markets are increas-ingly often the same as in the EU and North America. They willuse the experience gained over 40 years in domestic markets toaccelerate growth in new regions of the world. They areexpanding rapidly, even if from a relatively small base, and thisoffers new market opportunities for suppliers.

nThey will want the same standard of produce, and these newmarkets should not be regarded as outlets for sub-standardproduce. They will expect the same standards of post-harvestprotocols and post-harvest technology.

nEuropean retailers will be looking for security of supply andcomparative advantage in terms of production from theirgrowers. There will need to be new levels of joint venture devel-opment and alliances for processing and distribution to meetthe needs of a globalised customer base.

nSuppliers will need to demonstrate high levels of environmentalawareness and good all-round Corporate Social Responsibility(CSR) credentials, as well as awareness of issues — such as mid-to long-term climate change and its impact on the supply chain.

nA deep understanding of the changing nature of both customerand consumer demand is essential to go alongside more tradi-tional excellent technical and supply chain skills.

The ultimate challenge for suppliers, regardless of source, over thenext five to 10 years will be to adopt a well defined portfolio approachto international markets and customers — some of which are boundto be more attractive than others. This should be based on the maximof: how much we want these markets; how much they really want us;and adopting a strategy of maintain, build, invest or treat as oppor-tunistic only. Working out where international retail markets — albeitin North America, Asia, Africa, the Middle East, Latin America or Europe— fit into the global export effort might be the greatest challenge ofall for the international fruit supply chain in the coming years.

european market

John Giles is a divisional director with Promar International, a leading valuechain consulting company and a subsidiary of Genus plc. He can be contacted atthe following email address: [email protected]. *Graph is from Promar,based on desk research, company information, IGD.


Euro Market_Layout 1 12/31/14 5:18 PM Page 1


Receive supplier information fast by using the PRODUCE BUSINESS Information Showcase. Here’s how:Contact the advertiser directly via the website, email, or phone listed in the ad.

COMPANY PAGE # PHONE WEBSITE COMPANY PAGE # PHONE WEBSITE

JANUARY 2015


information showcase

Hess Brothers Fruit Co. ..................71 ............717-656-2631 ..........................www.hessbros.com

House Foods America Corporation78............714-901-4350 ....................www.house-foods.com

Idaho Potato Commission..............33 ............208-334-2350............www.idahopotato.com/retail

Inline Plastics Corp.........................59 ............800-826-5567....................www.inlineplastics.com

LGS Specialty Sales, Ltd. ................51 ............800-796-2349............................www.lgssales.com

Lisa Inc. ..........................................40 ............520-281-1863 ..........................www.lisainc.com.au

Mann Packing Company, Inc. ........15 ............800-884-6266 ............www.veggiesmadeeasy.com

MIXTEC Group ................................46 ............626-440-7077................................www.mixtec.net

Naturipe Farms ..............................27 ............239-591-1164....................www.naturipefarms.com

New York Apple Sales, Inc. ............74 ............518-477-7200..........www.newyorkapplesales.com

Paramount Citrus Association ........11 ............213-612-9957 ..............www.paramountcitrus.com

Paramount Citrus Association ........21 ............213-612-9957 ..............www.paramountcitrus.com

Pavero Cold Storage Corp. ............71 ............800-435-2994 ..........www.paverocoldstorage.com

Phillips Mushroom Farms ..............63 ............800-722-8818 ..www.phillipsmushroomfarms.com

Prime Time ....................................124 ............760-399-4166 ..........www.primetimeproduce.com

Produce for Better

Health Foundation ......................5 ............302-235-2329..................www.pbhfoundation.org

Produce Pro Software ....................69 ............630-395-9600......................www.producepro.com

Rice Fruit Company ........................71 ............800-627-3359 ............................www.ricefruit.com

Riveridge Produce Marketing, Inc. 71 ............800-968-8833 ............www.riveridgeproduce.com

Silver Creek Software ....................70 ............208-388-4555........................www.silvercreek.com

Southeast Produce Council, Inc. 119 ............478-982-4411 ............www.seproducecouncil.com

Sun Pacific ......................................29 ............213-612-9957..........................www.sunpacific.com

Sunkist Growers, Inc.......................53 ............818-986-4800..............................www.sunkist.com

The USA Bouquet Co. ....................16 ............800-306-1071................................www.usabq.com

Volm Bag Company, Inc. ................93 ............800-253-4737. ..............www.volmcompanies.com

Kurt Zuhlke & Association ............57 ............800-644-8729 ..........www.producepackaging.com

Avocados From Mexico................INSERT ......517-641-2152........www.avocadosfrommexico.com

Avocados From Mexico ..............COVER ........517-641-2152........www.avocadosfrommexico.com

Avocados From Mexico ..................37 ............517-641-2152........www.avocadosfrommexico.com

Big Red Tomato Packers ................34 ............772-466-0700......www.bigredtomatopackers.com

Booth Ranches, LLC ......................49 ............559-626-7653 ..............www.boothranchesllc.com

E.W. Brandt & Sons Inc..................75 ............509-877-3193..................www.rembrandtfruit.com

Brooks Tropicals..............................81 ............800-327-4833................www.brookstropicals.com

Canadian Produce

Marketing Association ..............42 ............613-226-4187 ....................................www.cpma.ca

Capital City Fruit Co., Inc. ..............32 ............515-981-5111 ....................www.capitalcityfruit.com

Center for Produce Safety................7 ............530-757-5777 ....www.centerforproducesafety.org

The Chia Company ........................32 ............212-226-7512......................www.thechiaco.com.au

Columbia Marketing

International ..............................73 ............509-663-1955 ........................www.cmiapples.com

Crown Jewels Produce....................40 ............559-438-2335 ......www.crownjewelsproduce.com

Dole Fresh Fruit.................................2............818-874-4000...................................www.dole.com

dProduce Man Software ................69 ............888-PRODMAN ................www.dproduceman.com

Edinburg Citrus Association ..........54 ............956-383-6619..............................www.txcitrus.com

Fierman Produce Exchange............95 ............718-893-1640

Fresh Origins, LLC ..........................30 ............760-736-4072......................www.freshorigins.com

Giorgio Fresh Co. ............................64 ............800-330-5711 ......................www.giorgiofresh.com

The Giumarra Companies ..............31 ............213-627-2900 ..........................www.giumarra.com

Gold Coast Packing Co., Inc. ........112 ............805-928-2593 ................www.goldcoastpack.com

Gotham Greens ............................102 ............718-935-0600...................www.gothamgreens.com

Grower Alliance, LLC ......................38 ............520-761-1921 ..................www.groweralliance.com

Grower Alliance, LLC ......................40 ............520-761-1921 ..................www.groweralliance.com

Hampton Farms ............................115 ............800-642-4064 ................www.hamptonfarms.com

Harris Consulting Solutions ..........46 ............269-903-7481

Info Showcase_Layout 1 1/6/15 4:50 PM Page 1

BLAST FROM THE PAST

The Roaring Twenties (also known as Age of Intolerance orthe Age of Wonderful Nonsense) evoked a provocative andtransformative era in American history. It was a time when

Americans faced the effects of Prohibition, experienced the earlyversion of talkies in movie theaters, personified gangsters ascelebrities, and the produce industry took advantage of The Cap-per-Volstead Act (which permitted farmers to form cooperativesfor buying and selling goods without being prosecuted for anti-trust violations).

Similar to today’s Millennial generation and the uberification(the vertical integration of the customer experience within a spe-cific industry) of consumerism, the 1920s initiated a cultural shift.The marketing and advertising around this decade showcasedcreativity and artistic expression through a narrative — especiallyon a single, printed page.

In the 1920s, iconic American painter, Norman Rockwell createda series of ads for Sun-Maid that ran in Ladies Home Journal. Thecollection illustrated Sun-Maid’s integral place in the traditionalAmerican household. These illustrations appeared in other leadingmagazines of the time — including the Saturday Evening Post andGood Housekeeping. As the greatest commercial illustrator of histime, Rockwell’s illustration technique was the inspiration behindbringing the Sun-Maid girl to life in 2006.

The scene for this ad was entitled, “Fruit of the Vine.” It waspainted in 1926 and features Sun-Maid’s Blue Muscat raisin box.According to the company’s Sun-Maid Raisins & Dried Fruits Our100th Anniversary Book, in a 1967 letter sent from Norman Rock-well to Sun-Maid, Rockwell explained that the elderly woman inthe painting was the mother of his first wife. (Rockwell often

used family members and people from his community as sub-jects in his work.)

“Sun-Maid continues to use print advertising today as a way toreach our core audience of moms who are concerned about thehealth, nutrition and well-being of their families,” says Jackie Gra-zier, marketing director at Kingsburg, CA-based Sun-Maid.

“Given the fact that ads prior to the Rockwell series also tar-geted women and baking, I would say Sun-Maid has always iden-tified this as a primary audience for our product,” she adds.

Grazier says the most common grape used today to make raisinsis the Thompson Seedless grape. “There are a few other varietiesused today also, such as Fiesta, DOVine and Selma Pete, which areall seedless.”

According to Tim Parker, Sun-Maid’s director of continuousimprovement, early raisins (such as the kind promoted in the Rock-well ad) were made from Muscat grapes, which had seeds. “Theprocess of removing the seeds left the skin broken exposing thenatural sugars contained in the raisins, which left the Muscatssticky,” explains Parker in reference to the ad’s messaging. “Sun-Maid invented a proprietary process of puffing the Muscat raisinsafter removing seeds. By ‘seeding and puffing,’ the Muscat raisinswere less sticky and poured right out of the box.”

Now Sun-Maid uses seedless grapes to make its raisins. “Whenthey were first introduced, the Thompsons were referred to as ‘nec-tars,’ because these grapes were simply dried in the sun andneeded no further processing to remove the seeds — thereby keep-ing more of their natural flavor,” says Parker. “As opposed to theMuscats, which were heated and cooled during the seeding processand had more of a caramelized flavor.” pb


marketing maiden

Blast_Layout 1 12/22/14 11:49 AM Page 1

PerishableNews.com is an outlet for news about all the perishable categories typically featured in a retail store:

DAIRY, DELI, BAKERY, MEAT & POULTRY, SEAFOOD, PRODUCE, FLORALPlus we cover top-level happenings in Retail and Foodservice that are of special interest to a perishable food executive at a supermarket or other retail chain and at a foodservice chain operation or foodservice distributor.

PBH PeriNews_Layout 1 12/15/14 1:07 PM Page 1

http://www.perishablenews.com

Prime Time_Ad 12/29/14 6:09 PM Page 1

http://www.primetimeproduce.com

The Nostalgic Nut

Documents

Transcript of The Nostalgic Nut