MARKETING MERCHANDISING MANAGEMENT ......came of age in his family’s retail grocery business,...

JAN. 2010 • VOL. 26 • NO. 1 • $9.90

inside... MARKETING IN CLAMSHELLS • MERCHANDISING MUSHROOMS • CHILEAN FRUIT REPORT • PEANUTSMEXICAN PRODUCE • REGIONAL PROFILE: DALLAS • MERCHANDISING TROPICALS • SPECIALTY CITRUSENHANCING FOLIAGE SALES • FOODSERVICE BUYING OPTIONS

M A R K E T I N G • M E R C H A N D I S I N G • M A N A G E M E N T • P R O C U R E M E N T

Branded-produce and private-label marketers run a marathon race in an effort to win consumer loyalty and dollars.

Reader Service # 67

http://www.dole.com

COVER STORYTHE BRANDING RACE . . . . . . . . . . . . 16Branded-produce and private-labelmarketers run a marathon race in an effort to win consumer loyaltyand dollars.

COMMENTARYTHE FRUITS OF THOUGHTThe Great Disconnect . . . . . . . . . . . . . . . . . . . 8

RETAIL PERSPECTIVEPricing Pendulum . . . . . . . . . . . . . . . . . . . . . . 78

EUROPEAN MARKETFreshfel: Promoting ProduceIn The European Union — Part II . . . . . . . . 80

IN EVERY ISSUETHE QUIZ . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

WASHINGTON GRAPEVINE . . . . . . . . 5

PRODUCE WATCH . . . . . . . . . . . . . . . . . . 6

RESEARCH PERSPECTIVES . . . . . . . . 10

COMMENTS AND ANALYSIS . . . . . . 11

FLORAL WATCH . . . . . . . . . . . . . . . . . . . 75

BLAST FROM THE PAST. . . . . . . . . . . 82

INFORMATION SHOWCASE. . . . . . . 82

SPECIAL FEATURESFROM THE PAGES OF THE PERISHABLE PUNDITBranded Giants Should Pay For Produce’s Halo Effect . . . . . . . . . . . . . . 12

REGIONAL PROFILEDallas Market Profile. . . . . . . . . . . . . . . . . . 60United Supermarkets’ Market Street Store Brings Service And Old-World Charm To Dallas

FEATURESMARKETING PRODUCE IN CLAMSHELLS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23Growers, shippers and retailers alike depend on clamshells not only to show off their produce, but also to protect it from cuts, bruises, tampering and most importantly, foodborne diseases.

COOK UP MUSHROOM SALES THIS WINTER . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29Flavor. Nutrition. Availability. Versatility. These are just a few of the attributes that make mushrooms an ideal ingredient.

CHILEAN PRODUCE WARMS WINTER SALES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35An increasing variety of produce from Chile offers even greater opportunity for winter promotions.

MEXICO’S BOUNTY INCREASES VARIETY AND VALUE. . . . . . . . . . . . . . . . . . . . . . . . 41Knowing the full line of what Mexico has to offer helps retailers stay on top of market needs and trends.

SPECIALTY CITRUS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51Specialty citrus is a rapidly growing subset of the traditional citrus market. As consumers snap up unusual and new citrus, producers continue to expand their horizons.

DEPARTMENTSFOODSERVICE MARKETING:Buying Produce Often Comes Down To Two Choices . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56For independent restaurants seeking the widest selection of produce, it pays to shop both terminal markets and off-market produce specialists.

MERCHANDISING REVIEWS: A Taste Of The Tropics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66Tropicals boost produce department sales by offering a warm-weather feel.

DRIED FRUIT AND NUTS:Tips For Maximizing Peanut Merchandising . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 72A variety of initiatives helps boost year-round sales.

FLORAL & FOLIAGE MARKETING:Nurture Them With Nature. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 76Floral retailers choosing to offer fresh, long-lasting foliage plants are setting the scene for comfort-seeking consumers.

6656

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.

JAN. 2010 • VOL. 26 • NO. 1

J A N U A R Y 2 0 1 0 • P R O D U C E B U S I N E S S 3

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

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

Name __________________________________ Position ____________________________

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Address ______________________________________________________________________

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THIS MONTH’S WINNER:

Anthony Colonna, IVProduce BuyerSunshine Market Inc./Scott Grocery Co.Wilkes Barre, PA

PRODUCEQUIZ

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

P R O D U C E B U S I N E S S • J A N U A R Y 2 0 1 04

J A N . 2 0 1 0 • V O L . 2 6 • N O . 1

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

Publisher/Editorial Director • KEN [email protected]

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European Bureau Chief • ROBERT [email protected]

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Production Leader • JACKIE TUCKER

Production DepartmentFREDDY PULIDOJOANNA ARMSTRONG

Director of Online CommunicationsJASON KAHAN

Trade Show Coordinator • JACKIE [email protected] EditorsCAROL BAREUTHER, JULIE COOK RAMIREZ, SANDY LEE,JACKIE LIEBERMAN, JODEAN ROBBINS DUARTE, JONVANZILE, BRYANT WYNES

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

PRODUCE BUSINESS is published byPhoenix Media Network, Inc.James E. Prevor, Chairman of the Board P.O. Box 810425Boca Raton, FL 33481-0425Phone: 561-994-1118 Fax: 561-994-1610Entire contents © Copyright 2010Phoenix Media Network, Inc.All rights reserved.Printed in the U.S.A.Publication Agreement No. 40047928

QUESTIONS FOR THE JANUARY ISSUE1) What is the Web site for Mann’s Sunny Shores?________________________________________

2) In what city will Southern Exposure take place in 2010? _______________________________

3) Who is the contact at Mex Best? _____________________________________________________

4) What brand of clementines is marketed by LGS Specialty Sales Ltd? _____________________

5) What is the name of the packaging used by Brooks Tropicals to package its starfruit? _____

____________________________________________________________________________________

6) What is the address for the Tanimura & Antle headquarters? ___________________________

Anthony Colonna is what you mightcall a “lifer” in the produce industry. Hecame of age in his family’s retail grocerybusiness, Sunshine Market Inc./Scott Gro-cery Co., which his grandfather startedmore than 60 years ago. Today, he is theproduce buyer for the store, meaning he isresponsible for the procurement of pro-duce, as well as its pricing and merchan-dising throughout the department.

This is where PRODUCE BUSINESS comes in.Anthony relies on the magazine for “itshelpful merchandising and marketing tips. Itgives me new ideas to carry through in thestore,” he says.

Unfortunately, the family store will beclosing its doors, but not to worry, Anthonyisn’t going anywhere. “I’ll definitely remainin the industry. Maybe I’ll start my owncompany, or join someone else’s, but thereis something in the works for sure,” he says.“Produce is an exciting place to work. Thereis something new happening every day, so Icouldn’t imagine just completely moving onfrom it.”

mailto:[email protected]



















A report on the inside happenings of government.

WASHINGTON GRAPEVINE

AN INTERVIEW WITH CONGRESSMAN SAM FARR (D-CA) ON THE CHILDREN'S FRUIT AND VEGETABLE ACT

aren't cheap. They can cost up to $7,500, butI say that's a small investment to radicallyimprove our children's eating habits.

The legislation also includes $100 millionfor larger cafeteria equipment purchases,which will help schools that lack cafeterias orsuffer from old equipment. Earlier this year,the Recovery Act offered $100 million toschools for such purchases, but was over-whelmed with $650 million in requests.

There are other barriers, ranging from ini-tial school surveys conducted by USDA totransportation and storage to school deliver-ies. My bill instructs USDA to "implement aplan to identify and remove barriers to facili-tate the equitable purchase of fruits and veg-etables within the procurement and distribu-tion systems."

Q: When United Fresh showcased asalad bar at its Fresh Festival on CapitolHill event in September, the receptionfrom other lawmakers seemed very posi-tive. How have other members of Con-gress reacted to this initiative?

A: The response has been very positive.As I said, this is truly a win-win bill for ournation's children and our farmers. From apolitical standpoint, the funding levels we'retalking about are not very high for the poten-tial results. I held a briefing on the bill inearly December and more than 50 staff mem-bers attended. I also collected more than adozen original co-sponsors before the bill wasintroduced and I'm confident many moremembers will join the effort.

Q: How have nutritionists andschool authorities reacted to the saladbar initiative?

A: A study by Dr. Wendy Slusser, direc-tor of UCLA's Fit for Health Program, andHarvinder Sareen, Director of Clinical Pro-grams at WellPoint, found that fruit andvegetable consumption increases signifi-cantly when fruit and vegetable bars areintroduced to cafeterias.

But seeing is believing. SuperintendentZendejas says almost all the children in her11 schools go through the salad bar linebefore they get their hot meals, using fruitsand vegetables to form the foundation of

what they eat.During the recent briefing, Dr. Slusser

said, "I will never forget the first day of thesalad bar program at Hooper ElementarySchool when I saw a third grader kissing hisorange and saying it was the best day of hislife." Experiences like those will convinceeven the most hardened skeptic.

Q: Can you share some insights intothe economic win-win this bill repre-sents for both children and growers?

A: Teaching kids to eat healthfully leadsto a lifetime of healthful habits. If we makeconsumption of fruits and vegetables thenorm, that won't change as children growolder. We need to break the cycle of fastfood and that must start at a young age.Not only will we limit the frequency ofobesity and other weight-related condi-tions, we'll create a whole new market forthe fruit and vegetable industry.

Q: What can produce industry mem-bers do to support the bill?

A: The most important step is the sim-plest: call your member of Congress andyour senators and ask them to become a co-sponsor of this bill. It's also worth tellingthem to insist fruit and vegetable provisionsbe included in the Child Nutrition Act reau-thorization that Congress will being workingon in the spring. The more people who call,the more people who voice their approval ofhealth meals for our schoolchildren, themore likely this bill will pass to the benefit ofour entire country.

On December 16, 2009, U.S. Reps. SamFarr (D-CA) and Adam Putnam (R-FL) intro-duced the Children's Fruit and Vegetable Actof 2009 (H.R. 4333), legislation aimed atbreaking down barriers to healthful foods inAmerican schools. The bill directs the USDAto encourage the use of salad bars in schoolcafeterias, a proven strategy for increasingfruit and vegetable consumption. UnitedFresh has worked closely with Rep. Farr tocraft the bill and garner support. Herewith,United Fresh speaks with Rep. Farr about theimplications of this landmark bill.

Q: What was the motivation to leadthe effort for a salad bar bill?

A: I see this issue from two distinct sides,both child nutrition and the agriculturalindustry. It's rare that we find an issue that isas obvious a win-win as the Children's Fruitand Vegetable Act. As a congressman and for-mer state assemblyman and county supervi-sor, I've spent a lot of time in classrooms.During my visits, I have seen what ourschool feeding programs are doing to ourchildren. Occasionally, I visit cafeterias andsee the foods being served and I know some-thing is wrong, but I've also had the chanceto see how things can be done right.

The Alisal Union School District in Sali-nas, CA, is comprised of 11 elementaryschools, and every school has a small fruitand vegetable bar. The students love thesalad bar. They love choosing their own foodsand talking to their friends about it.

Concerns such as food safety and wastewere addressed. Young children are comfort-able using tongs and are probably cleanerthan many adults, noted District Superinten-dent Esperanza Zendejas, who also reportedvery low levels of waste. Pair this with anincredible new market for growers of freshfruits and vegetables and this campaign toimprove the health of our school lunches is ano-brainer.

Q: What are some of the logisticalchallenges involved with getting moresalad bars in schools?

A: The obvious obstacle is funding. Fruitand vegetable bars, which are a proven strate-gy to get more kids to eat fresh produce,

From left, Reps. Adam Putnam and SamFarr join United Fresh’s Tom Stenzel incelebrating the introduction of the Chil-dren’s Fruit and Vegetable Act of 2009.

The Children’s Fruit And Vegetable Act


Reader

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

PRODUCEWATCH

RED SEEDLESS GRAPE CUPSImagination Farms, Indianapolis, IN,launched Disney Garden Red SeedlessGrape Cups, a wholesome snack alterna-tive in attractive packaging featuring char-acters from Disney/Pixar's Toy Story.They're available in a 4-pack sleeve orindividual, 3.5-ounce single-serving pack-ages. The cups are available nationwidefrom Delano Farms, Delano, CA.

CAIA PARTNERS WITH SUPERMARKETSTO PROMOTE AVOCADOSThe Chilean Avocado ImportersAssociation, Washington, D.C., teamed upwith U.S. supermarkets to drive producesales using eye-catching, in-store promo-tional materials and a comprehensivemarketing program. The promotionsinclude a sports-themed campaign, theChilean Avocado Lovers Club and a cre-ative display contest.

NATURIPE FARMSNAPLES, FLDwight Ferguson was appointed to CEO/president.He most recently served as the CEO of Eurofresh Inc.,where he led expansion efforts to make it a leader inthe greenhouse vegetable industry. Prior to Eurofresh,he led Florimex Worldwide and FlorimexInternational BV.

Reader Service No. 303

PMA FOUNDATION AWARDSTIP MURPHY SCHOLARSHIPThe PMA Foundation for Industry Talent,Newark, DE, awarded Nichole Towell (right),marketing development manager for Oviedo,FL-based Duda Farm Fresh Foods, the secondTip Murphy Scholarship for LeadershipExcellence. Towell will use the scholarship toparticipate in PMA FIT's Leadership Symposiumin January.

ANNOUNCEMENTS


TRANSITIONSMISSION PRODUCE INC.OXNARD, CAJoe Nava was hired as a sales representative. Hisduties will include handling current and prospec-tive accounts and attending industry trade shows.He is a graduate of Cal Poly State University,where he earned a degree in agribusiness with aconcentration in marketing. He initially beganworking for Mission in operations and previouslyinterned with Driscoll's and Famous Software.

TANIMURA & ANTLE PATRIARCHRECEIVES COMMUNITY AWARDBob Antle, co-chairman of the board forTanimura & Antle, Salinas, CA, receivedthe 2009 Ben Heller Award for Courageand Leadership at the Center forCommunity Advocacy's 14th Annual Diade los Muertos Banquet. Antle earned theaward in honor of his long-time advocacywork supporting the health and housingcause for farm workers and their families.

MANN PACKING TARGETS WINTERSEASONAL CONSUMERSMann Packing, Salinas, CA, launched threenew items to capitalize on fresh producesales for winter seasonal cooking and enter-taining events. Mann's Sunny Shores newDip Combo platter features two ofAmerica's most popular dips: Home-StyleRanch and Creamy Dill. It also launched LoMein Stir Fry and Diced Butternut Squashin 12-ounce and 20-ounce packages.

Reader Service No. 305Reader Service No. 304

CMI'S INTERACTIVE PEAR DISPLAYColumbia Marketing International, Wenatchee,WA, introduced its Interactive Pear Display withbright graphics and an interactive pear, wine andcheese spin wheel that allows consumers to learnabout pears and the diverse taste combinationsavailable. Easy to assemble and display, it shipswith two cases of pears. All components are deliv-ered in one box for easy setup.


SIX L'S EXPANDS ACREAGEAND ADDS CROPSSix L's Packing & Custom Pak,Immokalee, FL, started the Florida har-vest season with expanded acreage andseveral new crops. New offerings includesweet corn and green beans, along withnearly double the acreage of potatoes. Forthe 2009-2010 season, the grower will beharvesting more than 16,000 acres ofFlorida fruits and vegetables.

SPANISH CLEMENTINES NOWAVAILABLE FROM SEALD SWEETSeald Sweet International, the Vero Beach,FL-based co-packer for Imagination Farms,Indianapolis, IN, received its first loads ofSpanish Clementines in the Unites States.Although it has shipped Disney Garden cit-rus since May, 2007, this marks its first ship-ments of Disney Garden SpanishClementines from grower Jorge-GarciaBallester.

Reader Service No. 307Reader Service No. 306

NEW PRODUCTS


Reader

DOLE FRESH FRUIT COMPANYWESTLAKE VILLAGE, CAWalter Frohmader was promoted to assistant districtsales manager for the western division. He will beresponsible for assisting the western division's districtmanagers in all aspects of Dole banana sales. Hejoined Dole in 2007 as a technical service representa-tive and was later promoted to assistant manager ofDole's technical service department.

Mike Haynes was hired as a sales representative.His duties will include servicing new and existingretail and foodservice accounts. He brings morethan 20 years of experience in the produce indus-try and has spent the last three years with FreskaProduce, exclusively selling avocados.


Reader Service # 45

http://www.unitedfresj.org


The Great Disconnect

With efforts to establish a national generic promo-tion order for produce set aside right now, thisleaves open the question of how the industry canincrease sales volumes. Since population growthin the United States is modest, this is really the

same question as asking how the industry can boost consumption.Clearly much of the burden will fall on the initiatives of individ-

ual companies. Last year, we had high profileefforts by Dole to re-imagine the bagged saladcategory and Del Monte Fresh to expand theavailability of fresh produce in vendingmachines. These efforts, of course, were justthe proverbial tip of the iceberg as countlessproduce industry participants tried all kinds ofefforts to increase their own sales.

It also would be wrong to count out genericpromotion, but the most likely form such pro-motion would take would be commodity-specif-ic promotion typically incorporating bothdomestic and imported product from all regions— roughly along the lines of the NationalWatermelon Promotion Board or the NationalMango Board. In truth, any multi-productnational board would have quickly found itselfunder pressure to make certain that each com-modity got promoted in proportion to the finan-cial contribution of its supply chain. So anincrease in the number of commodity-specificgeneric promotion boards might result in aneffort not completely dissimilar to what wouldhave come out of a national total industryeffort. One wonders if the efforts of the leafygreens industry to nationalize its food safetystandards won’t lead to such a promotionalgroup.

It is also possible that changes in technologyare opening up new ways of communicationthat may make traditional models less impor-tant or even obsolete. The fact that commoditypromotion groups that are established these days are likely to benational rather than state-based and include imports is itself a hattip to the internationalization of commerce.

The suite of so-called social media — everything from Facebookto Twitter and beyond — has also altered the range of possibilitiesfor companies and farmers to promote themselves and in a way isvery much in line with trends toward local production. Even someof the traceability technology, such as YottaMark’s program thatgives consumers the power to trace back their produce, could also

be used as a marketing tool. If a consumer enters a code on a pack-age and gets a field number and location, why not also a Websitewith a video of the farmer explaining his care and devotion?

Yet, in the end, produce promotion is hindered by a great dis-connect between the producers and the consumers. That space isfilled by retailers, and retailers have the real power to increase pro-duce consumption.

Going back to the launch of the 5-a-Day pro-gram in California, it was recognized that retailsupport would be key. The focus, though, wason promotion, and the extent of retail supportwas tallied in “impressions” on things such assigns, bags, twist-ties and in best-food-day ads.

This promotion has real value but what theproduction side of the produce industry reallyneeds from the retail segment is a differentkind of support. They need a vow to alwayshave in stock the items consumers want — saybananas at different stages of ripeness. Theyneed a commitment to nurture new products.New varieties and fresh-cut items... even exten-sions into more prepared items require timefor consumers to become familiar with theproducts, to acquire new habits, etc.

The problem with all this is that retail topexecutives don’t really care if they sell produceas opposed to something else, and this isbecoming increasingly true. Traditionally,although a retail CEO might not care if thechain sold more deli and less produce, the pro-duce team did — and not just because of thatyear’s bonus. They cared because they wereproduce people, not retail people, and theirnext job was more likely to be with a shipper orconsulting in the produce trade than in retailselling lawn mowers.

Today, though, younger produce executives,especially at places such as Wal-Mart, are more likely to have a skill set applicable to

retailing than produce, and their next job is more likely to be retail-ing a different category than working for a produce shipper.

So as we enter the second decade of the 21st century, the chal-lenge for the industry is clear: We are constrained in our ability tomarket direct to consumers so we rely on retailers to function asthe “front end” of the produce marketing chain. Yet these retailersdo not have the same commitment to the category that producevendors do, so the question we confront is how do we, as an indus-try, incentivize and inspire retailers to commit to produce? pb

By James Prevor President & Editor-in-Chief

THE FRUITSOF THOUGHT

Produce

promotion is

hindered by a

great disconnect

between the

producers and

the consumers.

That space is

filled by retailers,

and retailers have

the real power to

increase produce

consumption.

Reader Service # 5

http://www.veggiesmadeeasy,.com


What role dobrands play inproduce per-f o r m a n c e ?Does a pro-

duce brand work as a keydriver in consumer pur-chase decisions or is a pro-

duce brand merely an overlooked componentthat is largely irrelevant to the end buyer?

The common denominator among success-ful brands is product consistency. The buyermust be able to confidently associate thebrand with a set of product attributes that areinherent in every purchase. Product variabilityequals brand death (or at least a brand knownfor being unreliable). I doubt many peoplewould rank McDonald’s high on the food qual-ity scale, but when it comes to consistency,McDonalds’ rules the roost. Customers knowexactly what to expect and get it on a consis-tent basis. As a result, the customer canquickly align the food at McDonald’s with anindividual price/value equation. In short, everyconsumer knows exactly what to expect andcan develop brand tiers based on experience.

For obvious reasons, product consistencyremains a significant challenge in the producedepartment. Despite the best intentions of verytalented growers and shippers, seasonalweather patterns often result in fruits and veg-etables with lower flavor, less shelf-life and/orinconsistent appearance. Transportation prob-lems, distribution issues or poor shelf man-agement at the retail level can sabotage.

To gain an understanding of how con-sumers view branding in produce, The Per-ishables Group recently included questionson produce branding in a national survey.One thousand national consumers wereasked to rank the importance or unimpor-tance of various produce purchase factors.Consumers were asked to rate these factorson a 1 to 5 scale, with 1 being not important

Brand Performance And Produceat all and 5 beingextremely important.

In addition, weasked the consumersto tell us if these factors have changedover the past year. Weincluded this questionbecause we wanted tounderstand if therecession was alteringthe consumer pur-chase hierarchy.

The 2009 nationalonline survey asked1,000 consumers whowere the primary household food shopper.There are several observations that can bemade:

1) Quality — or at least the perceptionof quality — remains the No. 1 purchasedriver. Not surprisingly, poor quality produceholds little value for consumers.

2) Price ranks a close second in impor-tance as a purchase-driver only slightlybehind quality in terms of importance toconsumers. Moreover, when you look at howconsumers report the importance of price, youcan see a significant upward shift since lastfall, indicating shoppers are placing moreemphasis on price than in the past.

3) Brand ranked fairly low in impor-tance to consumers. In fact, brand was theonly purchase factor listed that declined inimportance. Every purchase factor exceptbrand was scored as having slightly higherimportance compared to last fall.

4) The top four purchase factors (quali-ty, price, health/nutrition, food safety)show significantly stronger influence onconsumer decisions than the tier of thenext four factors. These lower four (locallygrown, environmental issues, convenience,brand) all ranked around neutral or slightlybelow.

Here’s the challenge: Despite what you seein the graph, it is a mistake to conclude thatbrands are unimportant to consumers. Rather,the results reflect two realities of produce mar-

keting. First, for most produce items, distribu-tion is inconsistent. As a result, even if a con-sumer finds a produce “brand” they feel issuperior, that product may or may not be inthe store the next time they shop. It willalmost certainly not be available at competingstores for comparison-shopping. Inconsistencyin distribution reduces important opportunitiesfor building brand impressions.

Second, for most produce items, consumersmust generally make variety choices, ratherthan brand choices. Unlike center- store, theconsumer has no purchase alternatives toselect from generally similar products fromcompeting brands. There is one banana, oneNavel orange, one celery bunch and one 3-lb.bag of Gala apples. As a result, this basic mer-chandising reality works to undermine brandimportance among consumers. Not surprising-ly, these factors limit the ability of consumersto utilize branding as the default validation ofproduct quality and value. So consumersinstead rely on visual cues and price.

There are successful produce brands. Ourinternal data tracking shows there are selectproduce brands in specific markets with con-siderable purchase power over consumersresulting in very strong category performance.But the survey results reflect that brand suc-cess requires atypical retail execution thatmost produce organizations, and perhapsmost retailers are unprepared or unwilling toimplement.

RESEARCH PERSPECTIVEBy Steve Lutz, Executive Vice President, Perishables Group

2009 national online survey of 1,000 consumers that are the primaryhousehold food shopper.

The Perishables Group is an independent con-sulting firm focused on innovation and creatingvalue for clients in the fresh food industry. Find

them online at www.perishablesgroup.com

http://www.perishablesgroup.com


which can be partially observed or known inadvance and partially can’t be seen or knownin advance.

Branding, in and of itself, may be a toolthat builds confidence in some of these attrib-utes that are difficult or impossible for con-sumers to ascertain for themselves. In otherwords, a consumer may not be able to tell thatan item is grown to high food safety stan-dards, but the consumer may feel that abranded producer has a lot to lose, and so,takes better care.

Sometimes, a brand can come to meansomething specific, so consumers concernedwith environmental issues may seek out, forexample, an organic brand.

Steve’s analysis is astute when he identi-fies the Achilles heel of produce branding asbeing inconsistent quality, and the Achillesheel of branded produce promotion as farfrom universal availability. Yet, branded pro-duce endures with great names consumers allknow and, much to the chagrin of all consu-mer researchers, these names influence con-sumers on an emotional level that consumersthemselves can’t always articulate.

When confront-ed with agraph suchas the onepresented on

page 10, one is confrontedwith valuable information,but the question is whatretailers can make of this

information. That an attribute such as qualityshould rank high “when deciding what pro-duce items to purchase” is not surprising, yet itis not clear what action should be taken as aresult of learning this information.

In the first place, because quality is sowidely recognized as an important motivatorof consumer actions, all successful retailersalmost by definition provide at least “ade-quate” quality. How could it be otherwise? Ifa chain consistently provided terrible quality,the chain would go out of business. So in thissense, quality may be the ante necessary toplay in the game, leaving lesser-ranked itemsas the key differentiating factors for retailersto consider.

Second, quality is a relative characteristic.The question posed was related to deciding“what item to purchase,” not where to shop.So the vision is that the shoppers ensconcedin Wal-Mart or Whole Foods look to the qual-ity of the item — not necessarily that theshopper would switch stores because a differ-ent store had higher quality.

Third, quality is not an independent vari-able. Typically, as quality goes up, so doesprice, the No. 2 item in the graph. The graphdoes not assess how consumers would valuea trade-off between quality and price.

Fourth, what is quality anyway? A nicefirm tomato is perfect for slicing for sand-wiches, but a softer one would be better formaking salsa.

Fifth, although consumers might saythese things in response to a survey, it ishard to know how they would actually act onsuch concerns. For example “food safety”ranks in the top four criteria consumers saythey use in selecting which items to purchase.Well, perhaps during an outbreak, consumers

might avoid an item, but how, precisely,would consumers decide whether to buy apear or a peach based on food safety con-cerns? A radish or a rutabaga?

We remember when PRODUCE BUSINESS ran aseries of focus groups and some consumersclaimed they avoided pesticides on their pur-chases. When asked how they did so, onewoman explained that the Surgeon Generalsays what pesticides are on each item! Itseems highly likely that consumers may claimto use food safety as a criterion but, in actual-ity, have no way to do so.

Sixth, the claim that health and nutritioninfluence consumer purchases is certainlytrue. All produce, however, has some redeem-ing health or nutrition characteristic, andshoppers buying for a diverse diet really haveno reason to exclude one item or another.This author once did some demos on arti-chokes in retail stores and heard from someconsumers that they were hesitant to buyartichokes because they loved to eat themwith butter and they knew the butter washigh in fat and calories. So, perhaps, thismight indicate that artichoke producersshould focus on teaching consumers aboutalternative ways to enjoy artichokes. By andlarge, though, there is no known correlationbetween the healthful attributes of produceand its rank in sales popularity.

Equally, when one looks at an issue suchas branding, Steve Lutz concisely lays out themajor issues. Yet in research, the answer youget depends almost entirely on the questionyou ask and, perhaps, thinking about a brandname as an attribute that one would use in“deciding what produce item to purchase” isnot quite the same thing as asking if con-sumers prefer branded to unbranded produce.

When you go down the graph you noticethe attributes divide into three segments.There are attributes that consumers can easilydiscern: Price; where it is grown (with today’sCOOL law); convenience; and the name on theitem. There are also attributes consumerscan’t really determine by simply observing theitem: Food safety and environmental issues.Then there is quality and health/nutrition,

Branding Incorporates Many Traits Branding, in and

of itself, may

be a tool that

builds confidence

in some of the

attributes that are

difficult or impossible

for consumers to

ascertain for

themselves.

COMMENTS AND ANALYSISBy Jim Prevor, Editor-in-Chief, PRODUCE BUSINESS


We were writing this Pundit while up in Long Island. Mrs.Pundit had run into a Stop & Shop to pick up somepharmaceuticals, but she also brought the Jr. Pundits

some sustenance in the form of a master pack of Mott’s brandsliced apples.

These are marketed by C.H. Robinson and are part if its nichebrand strategy, whereby it acquires or creates separate brands fordifferent product lines or categories. SoC.H. Robinson uses Mott’s in the apple cat-egory, Tropicana in the citrus categoryand Welch’s in the grape category.

For awhile, C.H. Robinson was usingNewman’s Own for use in the organicbagged salad business until Paul Newman,may he rest in peace, got cold feet when,as a result of the spinach crisis, he realizedwhat a food safety issue with fresh pro-duce could do to his brand. Suddenly, thelicensing fee didn’t seem worth it at alland he brought the project to a halt. Even-tually, C.H. Robinson set up its ownbrand, Our World Organics, which wewrote about on September 14, 2007, forthe broader organic and natural category.

Paul Newman’s instinct was under-standable, and we have long said that wehave severe doubts that organizations,such as Disney, have ANY stomach forbeing associated — even once — with thesevere illness or death of a child. The veryfirst such incident will likely be the lastbecause the licensing deal will be termi-nated at once.

Yet as we sit here munching on Mott’sbrand sliced apples — we stole a few from the Jr. Pundits to checkthem for quality, which was quite good — it occurs to us that thewhole licensing model is kind of upside down when it comesto brands best known for processed products. We are not privy

to any secret information but, presumably, C.H. Robinson payssome sort of licensing fee to Mott’s, Tropicana and Welch’s inorder to use such well-known brands. That is the way the busi-ness works.

We would suggest, however, that if these branded food organi-zations had a truly sophisticated understanding of the intersectionof their interests and the fresh market, they would pay C.H.

Robinson a fee for each box of fresh prod-uct sold — especially fresh product, suchas these apple slices, that is generouslylabeled Mott’s at the consumer level.

Why should these branded giants dothis? Simple — the halo effect that fresh-ness has on the processed product.

We’ve known about this for years.Ocean Spray has persevered in the verydifficult fresh cranberry business longafter it was insignificant to either salesor profits, because the consumer seeingthose Ocean Spray fresh cranberrieseach fall in the produce departmentthought better about Ocean Spray juicesyear-round.

So the real interest of the owners ofthese brands is to maximize the consumerexposure to the product in a fresh form.Let every mom reaching out for juice orjelly be thinking about Mott’s delicious,fresh apples, Tropicana’s fresh, naveloranges and Welch’s tasty, fresh grapes.Surely, moms will surmise that theprocessed product is made from the samefresh product that they know and enjoy.

The license fee paid to use the nameson fresh must be inconsequential, but the change in consumerperception is priceless.

Focusing on maximizing licensing fees is simply penny-wiseand pound-foolish.

Branded Giants ShouldPay For Produce’s Halo Effect

From Jim Prevor’s Perishable PunditDecember 9, 2009

We would suggest thatif these branded foodorganizations had atruly sophisticated

understanding of theintersection of their

interests and the freshmarket, they would payC.H. Robinson a fee for

each box of fresh product sold — especially fresh

product.

From The Pages Of The Per i shable Pundi t

Reader Service # 27

watermelon.org

WINTER IS HEART HEALTH SEASONThis winter season, your customers are

even more aware of the need to stayhealthy. Rates of obesity continue torise, inclement weather makes ithard to stay fit and reports of flupandemics all combine to driveconsumers to search out healthyfood options they know and like.Watermelon is just what the doctor ordered. The latest researchshows that in addition to tastinggreat, watermelon is particularly good for heart health. The amino acid Citrulline, found primarily in watermelon, has been shown to helpthe body’s cardiovascular system.According to both the FDA and theUSDA, “Watermelon can help maintaincardiovascular health.” With Februarybeing designated as National HeartHealth Month, it’s a perfect time to promote watermelon as part of a heart healthy diet.

A WINNING DISPLAYThe judging is done, the results are in, and the winners of the

first-ever continental watermelon display contest have been notified.Produce managers from across the U.S. and Canada built large andinnovative watermelon displays during the entire month of July. Inaddition to building displays, the winners included a wide range ofother activities including seed spitting contests, coloring contests andappearances by watermelon queens. The Grand Prize winner is aMetro store in Arnprior, Ontario, and will receive an all-expense paid

trip to the National Watermelon Associationconvention in Dallas,Texas in February. Firstprize winners will beattending state andregional watermelonassociation conventions inNevada, Georgia, Texasand Indiana. In light of thebroad participation, the display contest will be heldagain during July 2010 andpromises to be bigger andbetter — so start making

plans now to enter. Watch the Retail Section of watermelon.org fordetails of the Second Annual Watermelon Display Contest.

WATERMELON: VERSATILE AND HEALTHY!

The versatility and value of mouth-watering watermelon goes on and on through the winter months. Top quality watermelon is available 12 months out of the year. Watermelon production follows the sun,

so think about this: wherever your watermelons are coming from, the summer sun was shining over their growing and harvesting production. The flavor of summer is an integral part of a watermelon no matter what time of year it is in the marketplace.

These stickers are available forfree – email [email protected] order yours. They look great onwhole watermelon and fresh cutpackaging alike!

The National Watermelon Promotion Board(NWPB) is based in Orlando, FL, and represents 1,500 growers, shippers and importers. Throughresearch, communications and marketing initiatives, the NWPB is finding new ways toenhance market opportunities for farmers andpromote the nutritional, culinary and conveniencebenefits of watermelon.

The National Watermelon Association (NWA)in Plant City, FL, has members in 30 states andCanada. The purpose of the Association is to promote the best interests of the WatermelonIndustry from production to consumption. NWA is constantly seeking improvements in the growing, grading, handling, transportation, distribution and sale of watermelon.


http://www.watermelon.org

AN INDUSTRY WIDE EVENT IN THE GREAT STATE OF TEXAS!The event bringing people together from everywhere to celebrate watermelon!

Whether you are a grower, packer, shipper, supplier or just love the fruit, this is the place for you. The events this year are amazing and no where will you have such great experiences all in one place for such a great value! From the moment you arrive to the moment you depart the experience will be rewarding and the

friends you make invaluable.

Held at the luxurious Fairmont Dallas hotel – home to Lone Star Luxury, this hotel sets thestandard for style and elegance.

MULTIPLE OPPORTUNITIES FOR NETWORKING AND FUN!TAILGATE PARTYAn opening party like no other! Come compete in the bungee run, toss a football, submerge someone inthe indoor dunk tank, play Madden 2010 or even compete in the tailgate toss! Dance till you drop to theband Maiden Texas and let’s not forget the ultimate tailgate food and drink!

ONCE IN A LIFETIME EVENTVisit the new 1.3 billion dollar Dallas Cowboy’s Stadium. Tour buses will whisk you away from the hotel andshuttle you underground to a private cocktail reception held right in the Miller Lite Field Lounge.

SOUTHFORK RANCHA private tour of the legendary Southfork Ranch awaits. See the gun that shot J.R., eat lunch on the groundsand view television memorabilia! The Dallas television show was filmed right here in this Ewing home!

50-YARD LINE BUSINESS CENTERVendors from across the country will be on display. They come to talk business, make new friends and showoff a little with their newest products. This is certainly a “one-stop-shopping” event!

COWBOY’S STYLE GOLFYou are invited to be a part of sports history in the making as you take part in the annual NWA golftournament. This tournament is to be held at the first and only NFL-themed golf club in existence!

This is most certainly aDON’T MISS EVENT

Visit the NWA website for more informationwww.nationalwatermelonassociation.com

Reader Service # 31

http://www.nationalwatermelonassociation.com


While research shows branding appeals to consumers,it is typically more successful in consumer packagedgoods (CPG) than fresh produce. Although some suc-cess has been established with certain items, othersare just beginning the branding marathon. “I see the

battle for branding as a three-way race of national brands, trade brandsand private brands,” explains Don Goodwin, president and owner ofGolden Sun Marketing (GSM), located in Minnetrista, MN, and co-founder of Imagination Farms, the Indianapolis, IN-based exclusivemarketer of the Disney Garden brand in North America.

“There is a role in the produce department for national brands andprivate labels,” says Steve Ottum, chief operating officer for PotandonProduce LLC, marketer of Green Giant brand potatoes and onions,based in Idaho Falls, ID. “The ultimate goal is to provide the broadestchoices to consumers and have the highest odds of success of meetingas many consumer needs as possible.”

Branding is not so much an issue of name recognition as of estab-lished value. Veronica Kraushaar, president of Viva Global MarketingLLC, in Nogales, AZ, explains, “Brands have made an impact, going allthe way back to what may be the first produce brand, Sunkist, intro-

duced in the early half of the last century. The challenge is whether thesupplier has the resources to not only ensure high quality, but to pro-mote the brand to maintain its leadership in the marketplace.”

“Produce has been branded for quite a while with companies suchas Dole, Chiquita and Sunkist,” adds Bud Floyd, vice president of mar-keting for the sourcing division with C.H. Robinson Worldwide Inc.,headquartered in Eden Prairie, MN. “Each of those brands comes witha certain heritage and attributes as it relates to the consumer. Wherepeople go astray is to look at branding as a cure-all remedy. Brandingdoes have a role in the marketplace, but on various levels.”

The Challenges

Branding fresh produce presents multiple challenges due to theunique nature of the business. Lorri Koster, co-chairwoman and vicepresident of marketing for Mann Packing Co. Inc., in Salinas, CA, pointsout, “Brands have a challenge with perishables because at the end ofthe day, people shop with their senses. How does the product look?Smell? A bag of produce could have a Gucci label, but if the productinside does not look fresh, the brand quickly becomes irrelevant.”

Branded-produce and private-label marketers run a marathon race in an effort to win consumer loyalty and dollars.

BY JODEAN ROBBINS

Reader Service # 8

http://www.avoterra.com


“Produce is unique when it comes tobrands and private labels,” states Kevin Fiori,vice president of sales and marketing forSunkist Growers Inc., in Van Nuys, CA.“Unlike packaged foods, you can see, feel andsmell produce, so quality is transparent priorto the purchase.”

Success in branding is linked to particularproducts or categories. “Branding makes a dif-ference in certain categories, but not in all,”says Paul Kneeland, vice president of produceand floral for Kings Super Markets, headquar-tered in Parsippany, NJ. “For example, inbagged salads, it works because it relates aconsistent quality of product and builds trustwith the consumer. In other categories, we liketo see loose product on display, which is moreappealing to the customer.”

“It depends on the produce item andbrand,” agrees Candice Blackmoore, directorof marketing for Apio Inc., in Guadalupe, CA.“While some people respond to particularbrands for quality, convenience or packaging,produce overall is easily substituted. Whilebrands may represent some importance in fea-tures or benefits, it often comes down to price,especially now, as many consumers will forgotheir preferred brands to seek better dealseither in bulk or private label.”

Limited choice and space in producedepartments is another constraint. “The gener-al lack of multiple brand choices in produceboth complicates and simplifies the brandingissue, depending on your perspective,”explains Joe Caldwell, vice president of Mon-terey Mushrooms Inc., in Watsonville, CA.

“It would be impossible for us to carry mul-tiple brands in all produce,” admits Kneeland.“Already, we have categories like bagged saladwhere we do need to carry multiple brands,but all this puts pressure on space.”

Despite the challenges and economicuncertainty, the competition to define brandsand position products in produce continues.“Regardless of the economic cycle, consumers

demand high-quality, fresh produce,” says BilGoldfield, communications manager for DoleFresh Fruit Co., in Westlake Village, CA. “Inmore difficult economic periods, consumersbecome even more picky about quality toensure the maximum value is derived fromtheir produce purchases, and known brands,such as Dole, instill that value concept.”

Consistency in branded product will forgetrust with consumers. “Consumers trust brands,such as Del Monte, to consistently deliver pre-mium quality produce, and because of this,even in the current economic climate, manywill continue to buy branded produce,” main-tains Dionysios Christou, vice president ofmarketing North America for Coral Gables, FL-based Del Monte Fresh Produce N.A. Inc.“They want to be reassured the produce theyare buying is safe and from a reliable source.When they see the Del Monte shield on prod-ucts, they are comforted knowing the value thebrand brings.”

“The future is bright for branded produce,”reports Peter J. Collins, director of industryrelations and development for the Food Mar-keting Institute (FMI), in Arlington, VA. “Evenwhen the economy improves, consumers saythey will continue to buy branded salads andother items for lunch instead of dining out.”

Private Label:Stores As Established Brands

A strong contestant in the branding race is

the retail name itself, as studies after studieshave shown that consumers choose a retailerbased on the produce. “The brand mostimportant to the consumer from a produceperspective is where they shop,” explainsCaldwell. “They’ll say, for example, ‘I love theproduce at Wegmans.’ Essentially, the store isthe brand for the entire produce experience,not just what’s found on or inside a package.Consumers trust the store is buying the bestproduct for them.”

“Our store is a brand,” Kings’ Kneelandagrees. “Where customers shop is in the fore-front of their decision on brands.”

“Every retailer has their own go-to-marketstrategy,” says Floyd of C.H. Robinson. “Every-body wants to differentiate themselves andhave a well-defined consumer proposition.This is what’s occurring at some of the largerretailers as they’re choosing to move to privatelabel. They’re taking the brand over their doorand creating a branded product.”

As retailers have recognized the value andpower in their name, private label has becomean increasingly used tool throughout the store.“Somewhere in the low 20 percent store-wideof products sold through the register are pri-vate label,” adds Floyd. “Some of this is beingdriven by economics and some is driven byretailers wanting to differentiate themselvesand create a more significant identity with cur-rent and potentially new shoppers.”

“The economy has affected the way con-sumers shop,” contends Collins. “They wantvalue and will not compromise on theirexpectations. Private brands are not a fad, buta long-term shift in consumer buying behav-ior.”

“Most recently, private brands seem to begaining share in several categories,” saysGSM’s Goodwin. “Many of the large retailers,including Wal-Mart, Safeway, Kroger andSupervalu, have expanded the presence of pri-vate brands in their departments. Many times,the drive to do this has less to do with priceand is more about the consistency of look onthe shelf or support of company branding pro-grams. In reality, private brands are not alwaysabout value to the consumer or the supplier.”

Target recognizes guests have come to relyon them for what they term ‘owned brands’that are innovative, well designed and afford-

While Stemilt is technically a trade brand, it reaches out to consumers with a variety of campaigns and branding techniques, such as labeled fruit cartons.

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“The future is bright for branded produce. Even when the economyimproves, consumers say they will continue to buy branded salads and

other items for lunch instead of eating at restaurants.”

— Peter J. CollinsFood Marketing Institute

ably priced. Jana O’Leary, spokesperson forTarget Corp., in Minneapolis, MN, explains,“Our Market Pantry collection offers the quali-ty of a national food brand at a fraction of theprice. Our Archer Farms line is a premium,affordable brand of superior-quality groceryproducts. Last August, we launched ArcherFarms Simply Balanced, a new collection toprovide wholesome, yet great-tasting optionsfor our guests.”

Private label in produce presents a uniqueset of challenges for retailers and suppliers,beginning with the cost equation. “Most of thestore brand products don’t sell for a signifi-cantly lower cost than our brand wouldbecause of the margin factor,” remarks Mann’sKoster. “We don’t have advertising dollars builtin that would be stripped out and passed on tothe consumer in terms of other, lower cost cat-egories, such as breakfast cereal. Most retailersare moving to their own brands to build aloyal relationship with their shoppers.”

“In the grocery section, retailers can go toprivate label and offer a lower cost to the cus-tomer because manufacturers’ brands typicallyhave a large percentage in marketing costs,”adds Monterey Mushrooms’ Caldwell. “But, inproduce, you don’t have those major advertis-ing expenditures. When retailers go to privatelabel in produce, it doesn’t decrease the cost,and sometimes, it increases the cost becauseof suppliers having to handle multiple labels.”

“Private label packaging usually adds costto a produce packing company,” states RogerPepperl, marketing director with Wenatchee,WA-based Stemilt Growers Inc. “It increasesthe SKU count in their distribution, adds pack-aging inventory, causes packing linechangeovers for each different package andcreates multiple inventory items of one size ofproduct, which slows product turns. The mar-ketplace wants private label packages to costless in most cases, but this is hard to achievein produce.”

Reliability and consistency of supply areother issues to consider. “When consideringprivate label, you want to partner with a sup-plier with a track record of consistent qualityand supply,” advises Koster. “Service and qual-ity are paramount. After all, now it’s the storebrand on the product and you don’t want aweak product to impact the sales performanceof others.”

Stepping Back

In some instances, retailers may decidesuppliers can better manage the category.“What people may not clearly understand isthat putting the brand on the product is wherethe journey begins,” asserts C.H. Robinson’sFloyd. “What happens when the consumer hasan issue? We have yet to see in many private

label categories how retailers will respond tothis. At some point in time, the risk-value rela-tionship in certain categories may be toomuch for them to maintain.”

“Most private label products tend to becommodity-based,” says Robert Schueller,director of public relations for Los Angeles,CA-based Melissa’s/World Variety ProduceInc. “The specialty nature of our products real-ly lean more toward a national brand. Wehave to deal with seasonality, the need foreducation and informational support. Itwouldn’t be practical or beneficial for retailersto move to private label on these types of spe-

cialty items.”The berry category is another example

where its perishable nature lends itself to sup-plier management. “We’re not seeing privatelabel as a consideration on berries at this timeby the retailer,” reports Cindy Jewell, directorof marketing for California Giant Berry Farms,headquartered in Watsonville, CA.

Losing the link between consumer andgrower may be another downside. “Con-sumers increasingly want to know more aboutthe farmer, and private label produce steps far-ther away from this personal connection,”points out Gloria Chillon, director of marketing


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http://www.apgspud.com

http://www.lonewolffarms.com


http://www.ryanpotato.com

http://www.northernvalleygrowers.com



http://www.nokotapackers.com


http://www.folsomfarms.com



Their primary focus was to source from thelowest price shipper and these retailers dam-aged their reputation and lost consumers.”

Innovation: National Brands

The next competitor in the branding race,national brands, continues fighting for the leadthrough established leadership and innovation.“National brands tend to innovate faster thanprivate brands,” acknowledges GSM’s Good-win. “Companies such as Dole, Del Monte,Chiquita and Fresh Express have built strongconsumer trust, which still has value for pro-duce consumers. It will be difficult for retailersto completely eliminate these brands in manycategories because of the confidence con-sumers have in their products and their abilityto innovate.”

“Innovations keep brands new and excit-ing, and consumers expect companies to con-tinue to improve and evolve with time,” agreesDel Monte’s Christou.

Within the branding discussion, the bal-ance of providing for the innovation spurredby national brands must be considered. “Theprivate label role is not one of innovation,”contends Floyd of C.H. Robinson. “They fol-low, they don’t lead. There must be a balanc-ing act of nurturing some organizations andbrands because they’re innovators.”

“The supplier must have some margin left atthe end of the day,” states Mann’s Koster. “It’swhat drives innovation and product develop-ment. If we have to price too low, that part of theequation gets lost and it would be a detriment tothe produce industry to lose our ability to investin innovative products and technology.”

The retail benefits of leadership and inno-vation is exemplified by various nationalbrands. “In the Disney Garden brand, we haveestablished a leadership position in productsmarketed toward children,” explains GSM’sGoodwin. “Our innovation comes in bothproducts and promotions. For example, manyretailers have found success running promo-tions tied into movie and DVD releases. OurFoodles hearty snack product has shown to

have staying power at retail. The Mickeyshaped tray and multiple snacks in one pack-age are unique. It would be very difficult for aretailer to create a kid-focused brand that res-onates with kids at the same level as Disney,Sesame Street or Nickelodeon.”

“Monterey Mushrooms has consistentlybrought new items to market to keep the cate-gory fresh in the mind of the consumer and theretailer,” remarks Caldwell. “Our innovativemushrooms with 100 percent of the recom-mended daily value of vitamin D for con-sumers are an example of how we are empha-sizing the nutritional aspect of fresh mush-rooms to clearly fit into several retail-specifichealth initiatives.”

“When companies, such as Dole, take thetime to research in-store buying habits and at-home consumption trends to meet specificconsumer needs, the result can be very posi-tive,” says Goldfield. “Such is the case for thecompany’s reinvented line of Dole Salads.After extensive research showed salad con-sumers were overwhelmed by their prepack-aged salad purchase, the products were re-imagined with on-pack Taste and Texturescales, and a ‘pairs well with’ section to helpre-engage them in the category. Also, a com-pelling new Dole Salad Guide spokespersonwas introduced who guides consumersthrough the bagged salad purchase via anational consumer media and in-store cam-paign. The resulting program has been metvery positively by consumers and retailers.”

“Melissa’s has always been known for ourinnovation,” states Schueller. “We introducemany new products — anywhere from 10 to30 new items a year on a national basis — tothe U.S. marketplace.”

Added Support

National brands can provide support retail-ers may not receive from any other source.“We see many benefits in being involved witha national brand,” says King’s Kneeland. “Wecan promote more as there may be moreresources behind the product. The current

Nearly all berry clamshells are branded, including Driscoll’s.

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for Driscoll’s, based in Watsonville, CA. “Itmay work for other products, such as a can ofsoup, but not for a basket of berries.”

Focusing on overall competitive strategy isimportant to developing any labeling programin produce. “We do private label, but we don’tposition it like the larger chains do,” reportsKings’ Kneeland. “The Kings’ or Balducci labelis positioned as a higher-end product becausewe’re more of a gourmet supermarket. Wehave a good following for our brand since cus-tomers perceive we’re a higher quality thannational brands.”

This year, Target is increasing emphasis onvalue by taking a bolder, more directapproach to the way the company communi-cates affordability and quality within its ownbrands. “For example, we have allotted morespace to owned brands in our marketing vehi-cles and we have increased the frequencywith which we feature owned brands in ourweekly circular and on in-store signage,”explains O’Leary. “In addition to affordability,innovation is key to building brand awarenessfor our owned brands.”

“Digital signage, in-store sampling cam-paigns, cross merchandising, displays, exten-sive ad campaigns and brand building qualitycampaigns are all ways to establish privatebrands,” suggests FMI’s Collins.

Kraushaar of Viva Global Marketing high-lights some key points for success in privatelabeling based on her experience and commu-nications with major chains. “A private labelsets your produce department apart from thecompetition if you do it right and showcasenew, different products and options,” sheexpresses. “A private brand offers more directcontrol over quality, and the key is to havestrict requirements. Partner with your brandedvendors in introducing private label. They canbe a real partner in category management. Usetheir trained expertise to help sell your brand.Start your program with ‘safe’ products, such asonions and potatoes, before embarking onhigh-shrink items.”

However, private label products are not theonly way to establish a store as a brand leader inproduce. “The most cost-effective way to brandyour produce department is to do it with POSsignage tying the retailer’s banner in with thefarms they deal with,” suggests Stemilt’s Pepperl.“Co-brand the shipper’s label with a flavor andquality program going on in the retailer’s pro-duce department or perishable arena.”

“There are some very good examples ofretailers that have improved their reputationand consumer loyalty by focusing on nationalbrands and the quality those brands representin produce,” muses Fiori. “There are also manyexamples of retailers who have moved to buy-ing multiple labels or promoted a private labelwith inconsistent quality at the retail shelf.


“Some trade brands have started to reach out more to consumers, especially through their Web sites, where they have consumer sections. I don’t see them doing much direct advertising, but the use of consumer

information on their lables is growing as well.”

— Paul KneelandKings Supermarkets

moore. “We have enhanced Web site informa-tion, interactivity online, recipes, consumernewsletters and in-store promotions conveyingEat Smart as a high quality, healthy, innovativeand convenient brand.”

“The labels on our produce are the bestbranding medium,” adds Melissa’s Schueller.“There’s no stronger way to brand your messagethan on the actual product sold at retail. Wetake the time and effort to make sure our labelsconvey as much as we can. We put our Website on all our labels, even the PLU stickers.”

“There are many ways to encourage brand-

ed fresh produce sales and differentiate yourproduct from the rest,” says Del Monte’s Chris-tou. “One of the best ways to do this is with in-store demos or sampling programs. For a prod-uct like Del Monte Gold Extra Sweet pineap-ple, which many consumers may find intimi-dating to select, we have seen sales increasedramatically during in-store demos.”

Buyer Ties: Trade Brands

The final competitor in the branding race isthe long-standing trade brand, still valued bymany a produce buyer. “Any wholesaler, food-service operator or retailer recognizes whichgrowers and packers in particular consistentlydo the best job,” says Ronnie Cohen, vicepresident of sales for Vision Import Group LLC,in River Edge, NJ. “Trade brands remain steady,though not necessarily stronger, but recogniz-ing the brand with consistent quality keepsrepeat business on those brands.”

“There is no question trade branding willcontinue to be important to produce buyers,”says Monterey Mushrooms’ Caldwell. “And, tothe extent commodities do more promotion

Connecting With Consumers

Suppliers are rising to the challenge forcreative and unique concepts. “In Jan-uary, Dole Fresh Fruit will be introduc-

ing the DOLE Banana Diet to help con-sumers with New Year’s weight loss resolu-tions,” says Bil Goldfield, communicationsmanager for Dole Fresh Fruit Co., in West-lake Village, CA. “As one of the only pro-duce companies with this in-house capability,we are leveraging the research and work theDole Nutrition Institute has undertaken, alongwith other research facilities and universities,to bring nutrition education and health-relat-ed issues to consumers.”

National brands also have the opportuni-ty to work with celebrity chefs and foodmedia to the benefit of retail sales. “Ourbrand is highly recognized in editorial for-mats within the food media,” says RobertSchueller, director of public relations for LosAngeles, CA-based Melissa’s/World VarietyProduce Inc. “On a daily basis, we’re fea-tured in the food section of newspapers,consumer food magazines and even in chefcookbooks. It gets people to understand ourproducts, to look to us as a company thatcan provide those products, and to recog-nize them when they go into the store. Thisis an educational perspective from a thirdparty and is a strong branding activity.”

“Stemilt works with Chef Jason Wilson ofCrush in Seattle, WA, who is one of the best

up-and-coming chefs in America,” assertsRoger Pepperl, marketing director withStemilt Growers Inc., headquartered inWenatchee, WA. “Jason works on recipesand endorses our products at shows andvenues. We demonstrated our Piñata appleat the Culinary Institute of America in NapaValley, with Jason.”

“Driscoll’s is a brand that food profes-sionals, chefs and foodies recognize and askfor by name,” declares Gloria Chillon, direc-tor of marketing for Driscoll’s, located inWatsonville, CA. “This gives us many oppor-tunities in various media outlets to talk toconsumers, but nothing speaks louder thanthe berries they purchase.”

“We try to partner with other brands tobuild on the combined efforts,” states CindyJewell, director of marketing for CaliforniaGiant Berry Farms, in Watsonville, CA. “Weare focusing on connecting with consumersto provide solutions and connecting withproduce managers to ensure the best qualityis put on the shelf.”

“I think national brands and privatelabels will continue to ebb and flow withmultiple variables coming into play,including retailer strategies, pricing, con-sumer wants, value-added products andproprietary varieties,” says Steve Ottum,chief operating officer for Potandon Pro-duce LLC, in Idaho Falls, ID. pb

Fresh Express salad commercial campaign is agood example.”

Fresh Express’ campaign utilizes broad andtargeted message delivery methods to educateconsumers about Fresh Express salad taste andfreshness. The campaign marks an innovativemove by the Salinas, CA-based company,which is a wholly owned subsidiary of Cincin-nati, OH-based Chiquita Brands InternationalInc., into high-profile advertising by featuring amemorable commercial along with a highimpact media buy that ran through December31, 2009. A print campaign targeted profes-sional women and to maximize impact, FreshExpress chose two of the biggest consumerprint platforms — O, (the Oprah Magazine)and Weight Watchers.

Joe Huston, Chiquita’s vice president ofmarketing, reports, “An effectiveness study ofthe placements revealed a significantly higherthan normal rating on almost all analyticalindices in driving short-term sales response.Additionally, study results confirmed FreshExpress salads grew between four and ninepercent in each market while competitivebrands lost market share.”

Brands marketers maintain that retailerscan measure consumer response to the brand’squality and consistency. “The retailers we part-ner with recognize how the Driscoll’s brandpays off for them in terms of consistency, qual-ity and a delightful eating experience for theircustomers,” says Chillon. “Our companies andbrands work together to strengthen the emo-tional connection with our consumers, whichbenefits growers and retailers.”

“There’s an interesting change going on inthe retail food business whereby retailers arereally spending time researching who theircustomers are, what they want and what shop-ping experience they’re looking for,” reportsFloyd of C.H. Robinson. “It helps us in thebranded world because it helps retailers betterunderstand the relationship brands have withthe consumer.”

Despite newly imposed financial con-straints, national brands continue to pursueways to reach out to consumers and supportretail sales. “Apio is getting creative throughlow cost marketing and PR,” reveals Black-


consumers into the store and to their products.Others feel it is their domain. Depending onthe effort required and the resources available,the supplier needs to make this decision inpartnership with core customers.”

Many trade brands are already seeking outdirect communication with consumers. Kings’Kneeland reports, “Some trade brands havestarted to reach out more to consumers, espe-cially through their Web sites, where theyhave consumer sections. I don’t see themdoing much direct advertising, but the use ofconsumer information on their labels is grow-ing as well. We’ve helped certain trade brandsincrease their presence to customers. Forexample, Sunsweet Fresh, which we use fortree fruit, reaches out by using a corporate

chef to help do demos in our stores.”Repositioning a brand means focusing

more on consumer needs and how a productcan meet them. “If we focus on the consumer,we know we can be successful,” says Good-win. “We advocate designing packaging forconsumers who want to prepare meals fortheir family, but are a little less confident inthe kitchen. I am generally bullish that tradebrands have a place in this industry. Not allretailers are willing to risk their brand imagewith perishable products, nor do they want allnational brands. Trade brands have a place,but to win, trade brands will have to be morefocused on the consumer by providing solu-tions on how to select and prepare products aswell as tout the nutritional values.” pb

What’s In A Name?

So what does a brand represent to theconsumer? “Branding in fresh produceis all about a repeat experience,”

states Joe Caldwell, vice president of Mon-terey Mushrooms Inc., in Watsonville, CA.“When consumers get used to seeing thebrand name on items that provide consistentperformance in taste, freshness and utility,then there is more confidence when theypick up the package, versus feeling theyhave to check it out very carefully.”

“Our brand name is known for threethings,” asserts Robert Schueller, director ofpublic relations for Los Angeles, CA-basedMelissa’s/World Variety Produce Inc. “Flavor,quality and food safety. A brand is moreimportant than ever because of those factors.Consumers increasingly want to knowwhere their food is from and to rely on abrand they can trust. Branding has become astrong part of what we do and many of ourretail customers ask for our brand by name.”

“Driscoll’s introduced the berry clamshellin 1989, and since then, virtually all berrypackages have a brand on them so con-sumers can equate a good or bad experi-ence with the brand of berries they buy,”explains Gloria Chillon, director of market-ing for Driscoll’s, located in Watsonville, CA.“The quality and consistency of the experi-ence is what gets your brand noticed, andwhat makes consumers continue to buy it.”

Consumers are increasingly paying moreattention to how their food dollars are spent.“They look for brands with which they havehad previous positive experiences,” purportsCindy Jewell, director of marketing for Cali-fornia Giant Berry Farms, in Watsonville, CA.“When dollars are tight, they want to makesure they reduce the risk of being unhappywith their produce purchase, so in many

cases, once they try a brand and like it, theywill look for it again.”

“Consumers want to know who growstheir food,” adds Roger Pepperl, marketingdirector with Stemilt Growers Inc., head-quartered in Wenatchee, WA. “A brand canhelp portray this communication in a strongway. Stemilt is a family-owned companywith real people behind it and a rich her-itage of farming. Customers like to knowthat type of history. It gives them emotionalattachment and confidence in the flavor andquality of the products they buy.”

Consistency, quality and price are all partof the branding mix. “A consumer willalways gravitate to a product with a recog-nized label or brand with which they havehad a positive experience,” says RonnieCohen, vice president of sales for RiverEdge, NJ-based Vision Import Group LLC. “Ifa grower or packer can maintain a consis-tently high level of quality and conditionand associate these attributes with the brand,this gives him an advantage. The big ques-tion, however, is the price. It is important toknow consumers and their price point.”

“Many consumers look for brands theyhave always trusted from a quality, foodsafety and innovative point of view,” saysSteve Ottum, chief operating officer forPotandon Produce LLC, in Idaho Falls, ID.“Other consumers are looking for price andsometimes will trade down in these areas.”

“We know our guests are looking forways to stretch their dollar — and we’veseen a heightened focus on value in thepast year,” says Jana O’Leary, spokespersonfor Target Corp., headquartered in Min-neapolis, MN. “Our guests are increasinglylooking for affordably priced, high-quality,owned brand merchandise.” pb

and advertising, I believe the buying commu-nity will seek out those opportunities wherefunds are provided for promotions, advertisingand specific marketing to consumers.”

“Even in commodities, there is tremendousequity and value in the Dole brand,” Gold-field states. “Partnering with retailers in help-ing them move more product is a primaryapproach. Dole seeks to expand consumerhorizons on consumption occasions for ourproducts, especially by demonstrating howDole products can be simply integrated intoconsumers’ diets to bolster a more healthfuland active lifestyle. In addition, we are leadingthe way in nutritional education, with theDole Nutrition Institute.”

But where does a trade brand end and aconsumer-oriented brand begin? “Produceshippers and marketers are all trade brands tobegin with,” maintains Stemilt’s Pepperl. “Tobe a strong trade brand, you need to do astrong job with the carton labeling, collateraland corporate messaging. Web site strategy,social marketing tools and organizations thatendorse your products in some way all help,too. To become a consumer brand, you needto take the trade brand qualities and let con-sumers know why they will love your prod-ucts. Flavor, sustainable practices, organicofferings, new items and a transparent lookinto who your company is, are all important.”

“There will always be a home for ourbrand among the trade, especially with a 70-year history of being in business,” statesMann’s Koster. “We have many loyal cus-tomers out there, so I think our brand equityhas always been strong at a trade level. WouldI like to get there with consumers? Of course,but the business model makes that tough. Forinstance, you have to buy media six months inadvance. So if I buy radio time in Minneapolisfor October, what happens if there is a cropfailure in September? Radio ads are runningand no product is in the stores. It’s risky.”

As the private label and national brandsrun neck-in-neck, trade brands may feel pres-sured to move to direct consumer branding.“Trade brands are under a lot of pressure,”says GSM’s Goodwin. “They have not beendeveloped with the consumer in mind. AtGolden Sun Marketing, we have worked with many of our clients to reposition theirtrade brands.”

Viva’s Kraushaar advises clients to “ask twokey questions before making the decision tobecome a consumer-oriented brand. First, isyour brand compelling enough to stand on itsown with consumers, and second, do youhave the resources to build and maintain aconsistent campaign? There is definitely theconcept of push-versus-pull in marketing. Youneed to do both, eventually. Some chainswant produce suppliers to invest in pulling the


However, the number of packaged items is pick-ing up and clamshells are among the package typesleading the way. In fact, clamshell demand isexpected to increase five percent annually to thering of $2.8 billion in 2012, bolstered by stronggains in food markets such as fresh produce andprepared foods, according to High Visibility Packag-ing, the Cleveland, OH-based Freedonia Group’sDecember, 2008-released report. The report pegsclamshells’ upscale appearance, thick rigid con-struction and ability to deter theft and tampering askey selling points.

Marvin Lyons, produce director at Bigg’s, an 11-store chain based in Milford, OH, recognizes,“Clamshell packaging adds cost, but consumersseem to prefer it for some produce. Food safety isjust one of the reasons.”

CLAMSHELLS & FRESH PRODUCEAccording to Kurt Zuhlke, president and CEO of

Kurt Zuhlke & Associates Inc., headquartered inBangor, PA, “In the last ten years, we’ve seen morethan a 400 percent increase in the use of clamshellpackaging in fresh produce.”

Clamshells are most often used with high-valueproduce. Jim Scattini, vice president of sales andmarketing for Watsonville, CA-based SambrailoPackaging, details, “Typically, small fruit, berriesand mushrooms, or items that are easily damagedby crushing are packaged in clamshells.”

Raul Gallegos, director of produce and floral atBristol Farms, a 15-store chain based in Carson, CA,agrees and adds, “Premium produce, and items thatneed to be protected, work best in clamshell pack-aging. For example, we merchandize cherry toma-toes, grapes and berries in clamshell packs.”

Clamshell use is indeed commodity-specific,remarks Frank Sousa, regional processor specialistfor PWP Industries, located in Vernon, CA. “Forexample, you can safely say that 95 percent ofstrawberries are packed in a clamshell.”

Scattini adds, “Clamshells are also used exten-sively with pre-cut produce and prepared salads.”

Tom Gautreaux, national sales director forAtlanta, GA-based Maxwell Chase TechnologiesLLC, clarifies, “About 75 percent of cut fruit ispineapple, red grapes, melons and mangos.”

“Organic salads have migrated from bags intoclamshell packs,” says Roman Forowycz, grouppresident and chief marketing officer for Clear LamPackaging Inc., in Elk Grove Village, IL.

Clamshell packs represented 89 percent of thedollar share by package type for organic packagedsalads compared to 4 percent for conventional sal-ads, according to ACNielsen data, as supplied byClear Lam Packaging, for the 52-weeks endingAugust 30, 2009.

There are many benefits of a clamshell pack forfresh produce. Scattini reports, “Our experience in

Bulk landscapes of fruits and vegetables arestill the norm in most supermarket producedepartments.

Marketing ProduceIn ClamshellsGrowers, shippers and retailers alike depend on clamshells not only to show off their produce, but also to protect it from cuts, bruises, tampering and most importantly, foodborne diseases.

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Fresh produce that needs to be protected, such as cherry tomatoes, workbest in clamshell packages.


sales and customer inquiries suggests thatclamshells are gaining in popularity becausethey are inexpensive, versatile, provideexcellent protection to the produce and pre-sent a very pleasing consumer package.”

“Clear plastic clamshells put produce ona pedestal,” muses Forowycz. “It visuallyhighlights all the attributes of an item andcan lead to increased sales. This is where wesee the mindset in the industry changing,that is, from clamshells as an afterthought toa delivery vehicle that can help merchan-dize the product inside.”

Clarity is important, says Bigg’s Lyons.

“It’s different for a deli container that youuse to scoop potato salad into for a customerfrom a bulk display. The potato salad doesn’tneed packaging to sell it. In produce, we lookfor a high gloss clamshell that allows con-sumers to really see the product inside.”

One example is Salinas, CA-based Tan-imura & Antle’s packaging of its Artisan Let-tuce. Each of the 4- or 6- count petite headsof lettuce sits in its own custom scallopedmold within the clamshell pack. The lettuceis very visible and cradled for protection.

“Clamshells provide a food safety barrierbetween the consumer and the product,”

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explains Zuhlke of Zuhlke & Associates.According to Carol Zweep, manager of

packaging services for the Guelph FoodTechnology Centre, in Guelph, ON, Canada,“This type of packaging can even enhanceshelf-life and decrease shrink. Look at theripeSense clamshells for pears. They tellcustomers when the pears are ready-to-eatvia an ethylene-sensor placed inside the lidof the clamshell. The rigidity of theclamshell then protects the pears as theysoften. This type of packaging technology isalso being evaluated for kiwi, melons, man-gos and avocados.”

Use of packaging in produce is retail for-mat-specific. For example, David Stanton,regional marketing manager, North Americafor NatureWorks LLC, in Minnetonka, MN,points out, “High-end, fresh concept storeswill use little, if any, packaging, whereas bigbox and warehouse stores tend to havemany products packaged because it is easierto sell in volume this way.”

Packaging choices also differ from theperspective of produce buyers versus pro-duce managers. Produce buyers are not ahomogeneous group, asserts Sambrailo’sScattini. “Buyers for grocery chains have dif-ferent needs than buyers for foodservice,”he explains. “For grocery items normallysold in bulk, processors want large packagesthey can handle efficiently in order to mini-mize unpacking time and reduce the cost ofhandling or disposing of the used contain-ers. Produce managers, on the other hand,want individualized, high-quality graphics toentice retail buyers with in-store displays.”

MANY K INDS OFCLAMSHELL

The definition of a clamshell — in thestrictest sense — explains Stanton, “is ahinged container.”

Adding to this, Scattini notes, “Aclamshell is a rigid plastic container with atop and a bottom that are heat-formed fromone or two pieces of plastic. Some peoplewill call a two-piece container or tub and lid,or even all plastic containers, a clamshell.”

Zweep adds, “Clamshells are usuallyclear and thin, and can be opened andclosed by the end-user or consumer. Theycome in many shapes and sizes.”

The wide variety of package sizes andmaterial combinations, “is a result of themarket responding to demands from manydifferent segments of the produce industry,”explains Scattini.

As for size, the only legal criteria, accord-ing to Zuhlke, “is in weight measurements.For example, if you sell a dry-pint of blue-berries, there must be one dry pint of prod-uct inside that clamshell.”


http://www.producepackaging.com

Beyond this, there is no standardization.PWP’s Sousa points out, “There areclamshells that range from a volume weightof four ounces for blueberries all the way upto a 5-pound pack for grapes. The only stan-dardization, you might say, would be theexample that the leader item, strawberries,is packed in a 1-pound clamshell, or thatCostco has specified that all their growerspack a 4-pound grape clamshell.”

“In the produce industry, we see two dis-tinct types of containers,” pinpoints HerbKnutson, director of marketing for InlinePlastics Corp., based in Shelton, CT. “Con-tainers for cut fruit, salads, leaf lettuce andother products can be in any number ofshapes and usually are not vented. In fact,leak-resistant containers are preferred forcut fruit so they don’t make a mess in thesupermarket displays. There are many stan-dard volumes for cut fruits, such as 16- and24-fluid ounces, but the dimensions andshape of the containers differ from onemanufacturer to another.”

Knutson continues, “Those clamshellsfor whole fruit and vegetables are usuallyrectangular or square and heavily vented toallow rapid cooling of the product after it ispicked in the field. For example, clamshellsfor in-field use on products, such as straw-berries and blueberries, have standard, rec-tangular sizes, such as pints and quarts, andtheir dimensions are basically the same.

That way, they fit in the corrugated flats inwhich the filled containers are transported.”

For produce packed in the field, Knutsonadds, “Most conform to the common foot-print boxes. For example, we developed ourrectangular Safe-T-Fresh line of tamper-resistant/tamper-evident clamshells to con-form to the Euro Flat carton, which is one ofthe common standards. They allow bettershipping density, which reduces transporta-tion costs from processor to supermarket.However, there are a number of non-con-forming clamshells on the market as well. Itreally depends on where the container is

going to be used.”It also depends on the produce type,

adds Sousa. “For example, strawberry grow-ers are still using both the standard andEuro footprints,” he details. “For blueberries,you have variations along with some EuroFlats that a Costco would specify.”

“Future design evolutions in clamshellswill be aimed at strength, clarity, consisten-cy and function,” specifies Sambrailo’s Scat-tini. “For example, there are no standardsizes on the market for items such as heir-loom tomatoes, pluots or stone fruit. Packag-ing runs the gamut for these products. It’s


“Clear plastic

clamshells put

produce on a

pedestal. This is

where we see the

mindset in the

industry changing,

that is, from

clamshells as an

afterthought to a

delivery vehicle that

can help

merchandize the

product inside.”

— Roman ForowyczClear Lam Packaging Inc.

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Shades Of Green“A bout 90 percent of clamshells used at

retail are made from PET, (polyethyl-ene terephthalate) which can be recy-

cled,” approximates Frank Sousa, regionalprocessor specialist for PWP Industries, locat-ed in Vernon, CA.

Steve Langdon, vice president of sales forPrecision Packaging Products, headquarteredin Holley, NY, acknowledges, “PET is definite-ly the workhorse of the clamshell category.It’s petroleum-based, cost-efficient and a com-modity resin driven by the popularity of usein water bottles. It is also the No. 1 recycledresin.”

Clamshells can also be thermoformed outof PVC (poly vinyl chloride), says CarolZweep, manager of packaging services forthe Guelph Food Technology Centre, inGuelph, ON, Canada. “However, this isn’t pop-ular because no one wants the chlorine gasreleased during incineration. Polystyrene isused in the clamshells for raspberries and it’sdifficult to recycle.”

In the green arena, recycled or reposedPET (rPET), also called post-consumer resin(PCR) PET, is being used to make clamshells.“The benefits are that it doesn’t use virginrecourses and it gets some materials out ofthe waste flow to be reused,” explains KurtZuhlke, president and CEO of Kurt Zuhlke &Associates Inc., headquartered in Bangor, PA.“Retailers can market this advantage to theircustomers by in-store signage and in ads withphrases such as, ‘Our products are packagedin recycled materials.’ This appeals to today’scustomers who want to do their part for theenvironment.”

Last summer, Earthbound Farm, in SanJuan Bautista, CA, announced that going for-ward all of its plastic clamshell packageswould now be made from 100 percent PCRPET. Based on its annual usage of PET plasticin 2008, the company’s new and improvedclamshells will conserve 424,000 millionBTUs and 68,307 gallons of water, as well aseliminate 16,191 tons of carbon dioxide anddivert 1.3 million pounds of solid waste fromlandfills. In addition to doing its part to helpthe environment, the company was alsoawarded the Produce Marketing Association’sImpact Award for Excellence in Produce Pack-aging at this past year’s PMA Fresh SummitConvention, in Anaheim, CA.

Packaging materials made from renew-able resources, such as corn or PLA (polylacticacid) and other plant materials like sugar-cane, have been used to manufactureclamshell packaging over the past few years.NatureWorks LLC, headquartered in Min-netonka, MN, for example, makes and mar-

kets clamshell packaging out of its trade-marked biopolymer, Ingeo. David Stanton,regional marketing manager for North Ameri-ca, points out, “It’s environmentally friendly;it’s the only packaging material with signifi-cantly reduced greenhouse gas emissions. Inaddition, it provides the clarity and gloss ofpolystyrene and the strength of petroleum-based plastics, but with up to 25 percent lessmaterials. It’s also biodegradable with theproper infrastructure in place. Large retailers,such as Wal-Mart, that have corporate sus-tainability initiatives and are actively seekingto reduce their carbon footprint, have startedto use this packaging.” Wal-Mart uses Ingeopackaging in its assorted vegetable and fruittrays and informs its customers via on-packlabels that the packaging is made from plantsinstead of oil.

Grower/packers also use this renewablematerial. For example, Salinas, CA-based Tay-lor Farms’ leafy green salads and Kingsville,ON, Canada-based Mastronardi Produce Ltd’sorganic tomatoes are packed in an Ingeo-made clamshell.

While the advantage of corn-basedclamshells “is that it biodegrades, the disad-vantage for corn is that it can’t sustain highheat, it’s more expensive, it’s not readily avail-able and there are unintended consequencesin attempting to lower the carbon footprint,”explains Jim Scattini, vice president of salesand marketing for Watsonville, CA-basedSambrailo Packaging.

Herb Knutson, director of marketing forInline Plastics Corp., based in Shelton, CT,warns, “Corn-based containers are com-postable, but only if you have a commercialcompost facility available and a way to getthe used containers there. Most municipalitiesdon’t collect #7 recyclables, and corn or PLAis still a #7. PET plastic is a #1 recyclable,which most communities collect and recycle,as it is the same material as water and sodabottles. However, there are still a number ofcommunities that toss #1 clamshells intolandfills because it’s harder to sort clamshellsand trays than bottles. Mixing corn (PLA) intothe PET recycling stream can render the recy-cled material unusable for remanufacturinginto new clamshells.”

There’s no magic bullet when it comes tothe perfect clamshell material, environmentalfriendliness and functionality. RomanForowycz, group president and chief market-ing officer for Clear Lam Packaging Inc., in ElkGrove Village, IL, muses, “I think we’ll seeover the next 10 to 20 years that packagingwill progress to a point where it’s made froma variety of materials.” pb

the club stores, which sell more packagedproduct, that are pushing the envelope andwilling to do the test marketing.”

Customization is another developmenton the horizon, points out Clear Lam’sForowycz. “The only way to make a bagunique is to vary the graphics,” he says, butin clamshells, you can vary the design, theshape — creating smooth walls or exoticridges — or even mold the retailer’s nameinto the pack.”

Jonna Parker, senior account managerfor the West Dundee, IL-based PerishablesGroup believes functionality will also leadinnovation. “Look at Mann’s Snacks on theGo, for example. The clamshell the ready-to-eat produce is sold in doubles as a conve-nient serving container,” she points out.

WHAT WORKS ,WHAT DOESN’T?

“Most retailers are more interested inthe quality of the product inside theclamshell and price than in the packaging,”contends Zweep.

Forowycz aknowledges, “Every retailer isdifferent. An upscale supermarket maywant a robust, clear, smooth-walledclamshell to deliver a certain look, while avalue format may prefer a low-cost product.”

This cost cutting can lead to clamshellproblems. For example, Steve Langdon, vicepresident of sales for Precision PackagingProducts, headquartered in Holley, NY, con-tends, “A lightweight clamshell that saveson materials and thus, costs, might not ade-quately protect the product through the dis-tribution chain.”

Examples of poorly designed clamshellsare those that don’t conveniently stack ontop of one another for shelf display, saysSambrailo’s Scattini. “Also, clamshells thatdon’t fit well in spring-loaded shelves andthose that weren’t specifically designed tobe tamper-evident. Many of these problemshave been overcome by trial and error. Forexample, a change in material or design,more consistent manufacturing and buttonlocks that are less likely to open can solvethese problems.”

What makes one clamshell design workbetter than another is multi-faceted. Knut-son maintains, “It depends on the needs ofthe users. In most cases, clarity is veryimportant so consumers can see what theyare buying, but a container that allows blue-berries to cool faster than some other con-tainer could be considered better if coolingfruit is important. A tamper-resistant con-tainer could be considered better if shrink-age is a problem, while leak-resistant is bet-ter for juicy products.”

Other attributes that make clamshells

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succesful, adds PWP’s Sousa, are “good clo-sures that close tightly when product isbeing shipped and proper ventilation,depending on produce type. For example,strawberries and blueberries may requiremore side and top venting than grapes orstone fruit.”

Consumers are willing to pay for qualitypackaging, says Clear Lam’s Forowycz. “Forexample, more lettuce companies are con-verting from bags that cost 5- to 6-cents a-piece to clamshell trays that cost 20-cents,because consumers perceive this style ofpack as a better value in maintaining the

quality of the greens.”Sousa agrees, adding, “The slow econo-

my has had very little effect on the use ofclamshells. The raw PET resin used is stillvery economical to buy. A consumer is stillwilling to pay a particular price point, whichdepends on the size of the package. Someretailers have recently reduced the size of apackage, for example, going to a 2-poundpack from a 4-pound pack, in order to helpconsumers with a price point.”

BOTTOM-L INE ADVICEThe packer or processor purchases some

60 to 70 percent of clamshells for fresh pro-duce, estimates Langdon. “Some retailers,maybe 50 percent, may dictate the look, sizeand volume of the clamshell used. This isespecially true if a major retailer splits itsfresh-cut business among two to three pack-ers/processors and it wants the same lookthroughout the chain,” he reasons.

What questions should a retail producebuyer ask when buying produce in aclamshell? Scattini recommends a handfulthat are very important to consider. “Will itlengthen shelf-life of the product or at leastnot actively promote breakdown/decay?Does the lid remain closed when handled?Are the vents aligned to allow airflow? Is theclamshell clear and visually appealing to theconsumer? Does this clamshell and traymaximize cube space on the pallet andtherefore save money on freight? Whatmaterial is the clamshell made of and is itrecyclable or biodegradable?”

Run an in-store test, suggests Sousa.“Make sure the clamshell is the correct line.For example, if it’s a 1-pound pack, that it’snot over or under the specified weight lineby the retailer. Also, ensure the manufactur-er is providing product in compliance withthe FDA as far as the plastic being safe touse with food grade applications.”

In the case that a retailer wants to pro-mote that its packaging is green, Langdonadvises, “Check with FTC [Federal TradeCommission] guidelines.” The FTC’s Envi-ronmental Guides, known as the GreenGuides, advise marketers that in order tomake claims a product is ‘degradable’ or‘biodegradable,’ it must really break downand return to nature within a time that isreasonably short after disposal. pb

Inline Plastics’ line of Safe-T-Freshclamshells is tamper-resistant.

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After all, this is the season for hearty mush-room-filled soups, stews and casseroles. In this timeof economic downturn, eight in 10 Americans saythey’re cooking more at home, according to a Sep-tember 2009-released review of global consumertrends by Mintel, a market research company, inChicago, IL. Fittingly, fresh mushroom sales atretail are up 6 percent in pounds and 5.7 percent indollars, according to IRI Food Sales Research datafor the 52-week period ending October 25, 2009.

Marvin Lyons, produce director at Bigg’s, an 11-store chain based in Milford, OH, and a subsidiaryof Supervalu Inc., reveals, “For us, the mushroomcategory is leading overall produce sales.”

AN IDEAL INGREDIENTMushrooms have umami, or the fifth taste,

points out Bart Minor, president and CEO of TheMushroom Council, based in San Jose, CA. “That’swhy they add a savory flavor when paired withother foods.”

Kevin Donovan, national sales manager forPhillips Mushroom Farms LP, in Kennett Square,PA, adds, “Mushrooms provide a meaty texture thatpeople enjoy.”

Fat-free and low-calorie are definite sellingpoints for mushrooms, but that’s not all, notes Eliz-abeth O’Neil, chairman and director of marketingfor Highline Mushrooms, based in Leamington, ON,Canada. “For years, what mushrooms didn’t containwas their chief selling point. Today, they’re becom-ing known for what they do provide, such as B vita-mins, potassium and the only plant-based source ofvitamin D.”

There’s a debate in the industry as to whetherhealth is a primary driver of consumer purchasesfor mushrooms, says Joe Caldwell, vice president ofMonterey Mushrooms Inc., based in Watsonville,CA. “Mushrooms are a food consumers feel goodabout eating.”

Paul Frederic, senior vice president of sales andmarketing for To-Jo Mushrooms Inc., located inAvondale, PA, remarks, “Mushrooms are availableevery day of the year all across the United States.Even so, they’re more of an impulse purchase. We’dlove to get them on everyday shopping lists.”

Nothing beats the versatility of mushrooms,asserts Minor. “They work in everything from soupsand salads to main dishes and appetizers.”

Mushrooms are a staple ingredient in the vege-tarian diet, points out Fred Recchiuti, general man-ager for Basciani Mushrooms Farms, based in Avon-dale, PA, says. “Roasted Portobellos, for example,are an excellent meat substitute.”

APPREC IATED CONVENIENCE

Consumers still look for convenience, acknowl-edges Raul Gallegos, director of produce and floralat Bristol Farms, a 15-store chain headquartered inCarson, CA. “They want to skip the slicing step. Asa result, we see greater sales of white and brownsliced mushrooms.”

Savvy retailers using a cooking theme astheir merchandising mantra can sell moremushrooms this winter.

Cook Up Mushroom Sales This WinterFlavor. Nutrition. Availability. Versatility. These are just a few of the attributes that make mushrooms an ideal ingredient.

B Y C A R O L B A R E U T H E R

Portobellos, in all their forms, are among the most popular variety ofmushrooms and are an excellent meat substitute in many dishes.


The numbers back this up. White slicedmushrooms are up 3.6 percent in dollarsales and 5.5 percent in pounds, comparedto 2.9 percent and 2.7 percent, respectively,for whole white mushrooms, according toIRI Food Sales Research data for the 52-weekperiod ending October 25, 2009. Likewise,brown sliced mushrooms are up 14.2 per-cent in dollars and 15 percent in pounds,compared to whole brown at 8 percent and9.3 percent, respectively. Similarly, special-ty sliced mushrooms increased 12.8 percentin dollars and 14.9 percent in pounds, com-pared to 4.3 percent and 5.2 percent, respec-tively, in whole specialty mushrooms.

Caldwell also sees these numbers in hissales. “Sliced white mushrooms are our No.1 SKU. In addition, consumers are movingup to bigger pack sizes. Our 16-ounce, pre-washed, sliced white mushroom is one ofthe Top Five selling SKUs. We see this as areflection of people cooking at home more.”

The price point between whole andsliced mushrooms is very small, says Rec-chiuti. “That’s likely why we’re seeing thegrowth in sliced.”

Bill Litvin, national account manager forGiorgio Foods Inc., located in Temple, PA,sees “great interest in sliced mushrooms ofalmost every variety.”

Gary Schroeder, president of OakshireMushroom Farm Inc., headquartered inKennett Square, PA, reports, “Sliced shiitakeshave been picking up in sales for more thana year, even though they remain a smallpart of the category.”

Whole or sliced, white button mush-rooms remain the foundation of the mush-room category, reports Minor of The Mush-

room Council. “Brown varieties are becom-ing increasingly popular among customers.These include Portobello and Cremini.”

Greg Sagan, senior vice president of salesand marketing for Modern MushroomsFarms Inc., based in Avondale, PA, agrees.“Portobellos, both large caps and baby Bel-los, continue to grow in popularity, especial-ly as the interest in flexitarianism grows.Flexitarians are individuals who are not veg-etarians, but trying to eat occasional meat-free meals [for health purposes].”

Monterey’s Caldwell predicts, “We’ll con-tinue to see growth in brown mushrooms.They’ll hit 40 to 50 percent of category sales.This will all be driven by flavor.”

In addition to brown mushrooms, Bigg’sLyons says, “We also see an opportunity forspecialty mushrooms, such as Shiitakes. But,it will take educating the customer. There’sstill a fear factor out there about how tocook with mushrooms.”

As for specialty mushrooms, “We offerretailers assorted packs that come with twotills each of Cremini, Shiitake and Oystermushrooms,” notes Basciani’s Recchiuti.“This allows them to display the product instore and encourage consumer trial.”

White mushrooms represent 70 percentof dollars and 75 percent of pounds sold,

“Studies have shown

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sales by 12 percent.”

— Joe Caldwell, MontereyMushrooms Inc.

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with brown mushrooms at 26 percent and23 percent, respectively, and specialtymushrooms at 3 percent of dollar sales and2 percent of pounds sold, according to IRIFood Sales Research data for the 52-weekperiod ending October 25, 2009.

VALUE -ADDED PRODUCTSFOR THE HOME COOK

Although consumers are eating out lessdue to the economic downturn, they are notnecessarily cooking at home from scratch,according to The 24th Annual Report on Eat-ing Patterns in America, released by PortWashington, NY-based The NPD Group, onNovember 12, 2009. In the mushroom cate-gory, that fact has led to value-added inno-vations such as stuffed Portobello caps.

Consumers are gravitating to the semi-homemade idea where they take somethingstore-bought and dress it up with extras togive it a more personal touch, says ModernMushroom’s Sagan. “We have seen a desirefor products that deliver a chef-quality expe-rience at a reasonable price point,” he clari-fies. “In the last year, we launched a newflavor of stuffed Portobello cap, SpinachArtichoke Parmesan, which has become ourtop-seller.”

To-Jo has re-introduced its four-item lineof refrigerated, ready-to-serve mushrooms.The products, Caramelized Skillet Mush-rooms, Kettle-Cooked Portabello Mush-rooms, Garlic Sautéed Mushrooms and Mar-inated Button Mushrooms, are each pack-aged in a 10-ounce tub and branded underthe company’s On-the-Spot Gourmet label.Frederic says, “These products are designed

to be used as ingredients to jump-start mealpreparation. For example, the Kettle-Cooked Portobello Mushrooms are greattopping for a burger or steak. Serving sug-gestions are listed on the containers.”

F IVE WAYS TO PROMOTEMUSHROOMS AROUND ACOOKING THEME

Mushrooms are usually not on con-sumers’ shopping list unless they’re prepar-ing something specific. Modern Mush-room’s Sagan emphasizes, “Therefore, theyneed to be inspired to create an impulse

purchase in the store.”1. Display & Cross Merchandising.

Proper mushroom assortment can actuallyboost sales performance. The MushroomCouncil’s Minor advises, “Packages of slicedmushrooms should maintain 50 percent ormore of the display. To capture new con-sumers looking to try mushrooms for thefirst time, retailers should display smallpackages — six to eight ounces — of sliced,whole white and brown mushrooms.”

Sagan reveals, “We have developed acolor-coded display system for the retailers,which link a mushroom variety with a spe-


Value-added mushrooms are growingin popularity as many people are cook-ing at home more frequently.

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cific recipe brochure. Additionally, we havea complete shelf management system thatmany retailers have utilized and onceinstalled, has resulted in double-digit catego-ry growth.”

Retailers should highlight the many ben-efits of mushrooms “through secondary dis-plays and POS materials that point to mush-room’s versatility and nutritional benefits,”suggests Minor.

In the produce department, secondarydisplays of mushrooms can be added next tothe stir-fry vegetables, soy or vegetarianburger products and bagged salads. Mon-terey Mushroom’s Caldwell says, “Studieshave shown that placing one facing ofmushrooms on the salad rack increasesmushroom sales by 12 percent.”

In the meat and seafood department,Phillips’ Donovan advises, “Cross merchan-dise Portobellos with meat and Shiitakeswith poultry or seafood.”

Modern Mushroom’s Sagan adds, “Manyretailers have gone beyond merchandisingstuffed mushroom caps in the producedepartments to displaying the product intheir meat and deli departments.”

Thanks to their versatility, mushroomscan be displayed in nearly any fresh sectionof the store. “Display mushrooms in the

dairy case with eggs and cheese for omelets,or in the deli next to the fresh pasta,” sug-gests Basciani’s Recchiuti.

2. Recipes. “At Bigg’s, we have recipesfrom our suppliers,” says Lyons. “We’ll dis-

play two for white mushrooms and two forbrown mushrooms on a shelf hook right infront of the mushroom display.”

Recipes are also part of the mushroomdisplay at Bristol Farms. Gallegos asserts,

Mushrooms:The Weight Loss Recipe

P romote mushrooms as the idealweight loss ingredient this January.According to research conducted last

year at John Hopkins Weight ManagementCenter, in Baltimore, MD, study participantswho ate low-energy dense foods, specificallymushrooms, in place of high-energy densefoods, such as lean ground beef, reduced fatand calorie intake.

In the study, participants ate four entrees:Lasagna, napoleon casserole, Sloppy Joesand chili made with ground beef for fourdays and with mushrooms substituted forthe beef during the remaining four days.Results showed participants consumed anaverage of 420 more calories and 30 moregrams of fat on the meat days than on themushroom days. Better yet, the palatability

and satiety the mushrooms provided meantthat participants didn’t compensate for thelower calorie mushroom meal by eatingmore food later in the day. Researchers con-cluded if men substituted a 4-ounce Porto-bello mushroom for a 4-ounce grilled ham-burger every time they ate a hamburgerover the course of a year, and didn’t changeanything else, they could save more than18,000 calories for a weight loss of fivepounds. This swap also saves nearly 3,000grams of fat.

Joe Caldwell, vice president of MontereyMushrooms Inc., headquartered in Wat-sonville, CA, “This research is somethingwe’re really excited about. It’s somethingretailers can use to appeal to health con-scious consumers.” pb

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

Honorees will be selected based on their professional accomplishments, demonstrated leadership and industry/community contributions. To be eligible, nominees mustbe under the age of 40 as of January 1 (People born after January 1, 1970).

To nominate someone, please go to www.producebusiness.com and click on the 40 under Forty icon, or fill out this form by March 1, 2010, and fax back to 561-994-1610.

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

ABOUT THE NOMINEE:

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

In 100 words or less, describe why this person should be nominated:(You can use the back of this 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 _____________________________________________________________

Fax back to 561-994-1610Nominator 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]

http://www.producebusiness.com



rooms are the same as those that have notbeen exposed to UV light, except for theirhigher levels of vitamin D. The taste andtexture of the D-enriched mushroom are notaffected, only their nutrient content.

To leverage mushrooms’ nutritional ben-efits, Minor suggests “retailers pair themwith other consumer packaged goods andproduce staples, to create a shopping list ormeal planner for customers.”

Last fall, retailers across the countryhighlighted mushrooms as a nutritiousingredient and potent preventative againstbreast cancer by carrying pink mushroomtills in the produce department. This promo-tion, an initiative between The MushroomCouncil and City of Hope, led to a 6.7 per-cent increase in dollars and 12.3 percentincrease in pounds of mushrooms sold dur-ing the month of October.

5. Locally Grown. Mushrooms are anexcellent item to use for locally grown pro-motions, contends Giorgio’s Litvin. “We shipto many local retailers,” he says.

Highline’s O’Neil points out, “Mushroomfarms dot most regions of the country. Innorthern climates, mushrooms are one ofthe few fresh foods available during winter.”

Retailers can market the locally grownaspect in cooking applications by pairingmushrooms with other locally grown prod-ucts. Sagan also suggests, “Showcase thegrower in ads or POS materials. It helpsbring a sense of authenticity to the productsand gives consumers a sense of connectionto their food.” pb

Retailers are expanding their mushroom displays to appeal to bothseasoned chefs and new home cooks.

“We really like to put out recipes for special-ty mushrooms, such as Maitake, becauseconsumers aren’t as familiar with them.”

Exotic mushrooms are growing in popu-larity in high-end foodservice, says theMushroom Council’s Minor. “In fact, in theNational Restaurant Association’s 2009 ChefSurvey of ‘What’s Hot,’ exotic mushroomswere included in the Top 10 category. Retail-ers can offer varieties such as Portobello,Shiitake, Maitake, Enoki or Oyster mush-rooms with recipe cards to provide inspira-tion to their customers.”

Giorgio’s Litvin adds, “One method Ihave seen work very effectively is to publisha recipe that utilizes mushrooms in theweekly sales flyer. It is especially effective ifthe recipe ties into sale items for that week.”

Minor adds, “In quick-serve restaurantswe’re seeing a growing number of mush-room burgers offered as ‘premium’ menuitems. Retailers can capitalize on this bygrouping mushrooms with other burgeringredients in stores and offering mushroomburger recipe cards to customers.”

“Some retailers do a beautiful job of pro-viding customers with recipes in their con-sumer publications,” believes To-Jo’s Freder-ic. “Full-color photos of the dish, an ingredi-ent list and nutrition information oftenaccompany these recipes. Other retailersput recipes on their Web sites, which is anexcellent way to reach younger consumers.”

Recchiuti remarks, “We offer recipes on-pack. In addition, we list the Web site forThe Mushroom Council so consumers canaccess even more recipes.”

3. Meal Centers & Demos. Recipedemonstration kiosks at Schnuck MarketsInc., in St. Louis, MO, introduce customersto a variety of recipes at the rate of tworecipes per week. “Mushrooms have beenpart of many of the recipes offered,” saysMike O’Brien, vice president of produce.

To-Jo’s Frederic points outs, “Meal cen-ters are a great way to display mushroomrecipes and all the necessary ingredients inone place. This also leads to a higher ring.”

Modern Mushroom’s Sagan acknowl-edges, “In-store sampling or cooking classescan be helpful in introducing specialtymushrooms to consumers who are unfamil-iar with more exotic varieties.”

Mushrooms are easy to demo in-store.Phillips’ Donovan maintains, “Just sautéthem in butter and spices, such as garlic, orserve them with salad dressing.”

4. Health & Nutrition. Some retailersfocus on the nutritional benefits of mush-rooms. Mushrooms are unique for havingvitamin D, says the Mushroom Council’sMinor, who adds, “No other fresh fruit orvegetable has it.” Vitamin D-enriched mush-

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“Since the 1980s, the Chilean fruit industry hasmoved the first quarter of the year from its leastprofitable to its most profitable quarter because ofhigh value, high demand and high quality fruit dur-ing the North American winter. Giving Chileanfruit ‘first position’ during the winter months is themost effective way to drive sales and profitability.”

After somewhat of a lull in fruit availability,retailers are ready and excited to promote Chileanarrivals. “We’re glad when the Chilean productsreally start rolling in,” admits Keith Cox, producebuyer/category manager for K-VA-T Foods, inAbingdon, VA.

The experience backing the Chilean industryresults in favorable sales. “Oppenheimer growersare selecting the newest and best varieties avail-able, which in turn benefit the retailers and, espe-

cially, the customer,” explains Evan Myers, stonefruit category manager for The OppenheimerGroup, headquartered in Vancouver, B.C., Canada.“Repeat business benefits everyone in the supplychain, and we can achieve this by delivering a satis-factory eating experience, every time.”

WINNING PRODUCTSChile is shipping a wide variety of successful

products to the U.S. market. “The citrus introduc-tion greatly exceeded our volume goals,” reportsTom Tjerandsen, managing director North Americafor the Chilean Fresh Fruit Association, (CFFA) inSonoma, CA. “We are hoping to add pomegranatesand fresh figs soon. Blueberries also have an aggres-sive plan to increase sales by 35 percent, on top ofthe 45 percent increase last season.”

“It seems snack and finger fruits tend to be themost popular,” acknowledges Eastes. “Grapes andberries, especially blueberries, typically achieve thehighest per-pound prices of all the other fruit items.Clementines and easy-peel seedless citrus aregrowing in popularity, too, and Chilean navels arefinding their place now in the North Americanmarketplace. The consumption of avocados contin-ues to rise and it remains a high-value item withincreasing demand. Cherries, although harvestedmostly in a very brief season pre-holiday, are anitem that can be expanded into January.”

Cherries and blueberries, in particular, can bevery unique products to promote in January andFebruary. “We are looking forward to the cherryand stone fruit season,” adds Cox. “Since cherryseason hit earlier this year, we anticipate a longerselling season. Cherries should be available throughJanuary. Customers are looking for something dif-ferent after the holidays as they think more abouteating healthy during the New Year, making it anexcellent time to advertise and promote cherries.”

“The increase Chilean blueberries have experi-enced in recent years is outstanding,” reportsManuel José Alcaíno, president of Decofrut, aChilean export company located in Santiago, Chile.

For decades, Chilean fruit has been trans-forming consumers’ plates and retail producedepartments during the U.S. winter months,according to Rick Eastes, global procurementmanager for Market 52, in Visalia, CA.

Chilean Produce Warms Winter SalesAn increasing variety of produce from Chile offers even greater opportunity for winter promotions.

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

Customers and retailers alike look forward to Chilean stone fruit as abright spot during the cold winter months.

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“They’re projected to increase 30 percentthis season over last. This has generatedsome packaging changes, foreseeing greateruse of larger formats, such as the 6-ounceand most recently, the pint. We expect avery good quality season this year.”

New varieties and unique products pro-vide additional opportunity for this season.“We see particular promise in the plum cate-gory,” says Myers. “Two exciting varieties —the red Sapphire plum, which arrives in thefirst half of January, and the yellow Lemonplum, which follows the first week in Febru-ary — are becoming more mainstream.Retailers specifically request them due totheir consistent, striking visual appearanceand their excellent eating quality. These twovarieties give retailers more options in theplum category, allowing them to offer theircustomers more plum varieties and colors.”

“Persimmons are something to look for,”adds Craig Uchizono, vice president of theSouthern Hemisphere for The GiumarraCompanies, headquartered in Los Angeles,CA. “Cherimoya is the exotic fruit for thefuture, too.”

BEST PRACT ICESCFFA recently funded an exclusive

nationwide research on Best Fruit Practicesof Best Performing Retailers. The report

reported key elements in their go-to marketstrategy had significantly better results thanretailers who did not do any or only some ofthese tactics,” reports Tjerandsen.

Some general discoveries of the reportinclude the importance of assortment. “Theresearch supported expanding variety acrosseach category and upsizing berry packages,especially for blueberries,” says Tjerandsen.“Promoting early in the season, promotingmultiple varieties at the same time andusing fixed weight grape packages wereother top techniques.”

The research also showed retailers weresuccessful in using hi/low or EDLP. “Chileanfruit is price-sensitive and customers buymore on promotion,” adds Tjerandsen.

“Anytime you can get information infront of the customer regarding a specificitem, you have a chance in increased sales,which is a benefit to the retailer,” addsOppenheimer’s Myers. “Especially in today’seconomy, when people are being choosierthan ever about their purchases, it is impor-tant that shoppers feel confident that whatthey are buying will taste great and deliveron quality. By using POS materials thatpoint out the nutritional benefits, as well asthe fresh-crop sweetness of Chilean fruit,consumers will have a better understandingof the item and feel good about adding it totheir shopping carts.”

PROMOTIONAL SUPPOR TA wide array of promotional support is

available from the CFFA. “We’ll be running

Organic Growth

While phytosanitary restrictions mayprevent shipping a full line oforganics from Chile, shippers are

making progress on a few organic items.“We handle organic avocados and havegood success with them,” reports Mark Mulc-ahy, produce coordinator for New Leaf Com-munity Markets in Santa Cruz, CA, whichboasts six stores that handle 99 percentorganic produce. “We don’t handle muchelse from Chile since we work principallywith organic products.”

In addition to avocados, Chile also offersorganic apples, cherries and blueberries. “Byfar, apples are the largest organic productfrom Chile,” reports David Posner, president,owner and CEO of Awe Sum Organics Inc.,headquartered in Capitola, CA. “They startarriving in March or April for the off-seasonwhen the domestic apples get tired. The firstvariety is the Royal Gala starting in March.After that, we have Granny Smith, Fuji —starting in April — and then the Pink Lady

beginning in May.”Organic cherries start either the last week

of November or the first week of December.“They are exciting because they taste great,”states Posner. “A lot of people think they aresome of the best tasting cherries they canremember, probably because they areorganic, which tends to have more flavor.We only bring in the best varieties: the Bing,Lapins and Vans.”

Chile has become a major producer oforganic blueberries, too. “The Chilean blue-berries are good and they have great grow-ing conditions,” relates Posner. “All the planti-ngs are fairly new so they are some of themost exciting, new and improved varieties.They start arriving around the last week ofNovember or the first week December.Whereas cherries finish in January, blueber-ries finish in February. The blueberries golonger because they have a bunch of vari-eties and the varieties go in succession,” heexplains. pb

uncovers high-performing retailers’ categorymanagement tactics for berries, grapes, nec-tarines, peaches and plums. “The datareveals that retailers who incorporate the

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nectarines and cherries simultaneously withnice, expanded displays during that week.”

“Promoting peaches, nectarines, plums,cherries and grapes at the same time andpromoting Chilean winter fruit as the themeare proven tactics,” adds Myers.

Retailers can look to events and partiesfor promotion inspiration. “In January, weprice our Chilean avocados very aggressive-ly,” says Mark Mulcahy, produce coordina-tor for New Leaf Community Markets, basedin Santa Cruz, CA. “People like to have avo-cados around the Super Bowl. Cross mer-chandising with avocados and other partyitems is great for the football play-off sea-son. You want to make sure you have ripeavocados because they sell better. By puttingavocados on sale during the holiday andwinter months, you can sometimes increasesales three or four times.”

Visibility is a crucial component toremember. “Selling products in a secondarylocation in the department really helpsdrive sales,” says Cox. “Drawing attention to

Chilean avocados are a perfect matchfor Super Bowl-themed promotions.

display contests and offering a full range ofPOS to interested retailers,” notes Tjerand-sen. “Most of the funds go to tagged televi-sion. In exchange for retailer promotions,we offer five-second tags that tell shopperswhere to find the seasonal fruit from Chile.”

Coordinating with suppliers is importantto effective promotion. Eastes of Market 52believes, “The most important element inpromotion is accurate and timely supplyinformation. What is the volume, what is thequality and when will it be available?”

“Growers like to drive sales with promo-tions throughout the season and are inter-ested in programmed sales that work to theadvantage of everyone involved,” saysMyers. “We have had success over the yearswith clamshell promotions, especially in theplum category.”

Playing up the counter-seasonal aspect ofthe deal creates fun and excitement in theproduce department. “In January, I alwayslike to do a June-in-January sale,” reveals K-VA-T’s Cox. “We advertise peaches, plums,

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the product makes a difference.”Eastes adds, “While there are hundreds

of promotional adages, my favorite from anold timer is: ‘Stack ‘Em High, Price ‘EmLow, Stand Back and Watch ‘Em Go.’”

LOGIST ICSThis year’s deal looks to be on-track with

the same shipping and logistics as previousyears. “A number of areas are expandingtheir port, cooler and treatment facilities,”reports CFFA’s Tjerandsen. “However, we’renot aware of any of these facilities that willhave completed their work in time for thecurrent Chilean season.”

“Our logistics plans are similar to lastyear,” says Oppenheimer’s Myers. “We’vestarted the season in early November withour air freight program. The primary desti-nations are Los Angeles and Miami, thoughwe also bring air fruit into New York Cityupon customer request, providing our cus-tomers with more alternatives. Air freightrates have decreased compared to last year,

which creates more options for growers andretailers alike.”

“This season, Chilean exporters will havelower air freight rates than years past,”notes Decofrut’s Alcaíno. “This will benefitexporters of blueberries, raspberries, cher-ries and other fruits that are more delicateand need a faster transit time in order toarrive in the freshest condition.”

Chile reports a great growing seasonand expects ample volume for promotion.“Mother Nature has been kind to Chileanfruit during the growing season and withthe exception of a modest reduction froman early-season freeze, we are expecting anormal, but somewhat late, harvest,”details Tjerandsen.

Myers adds, “Our key items are grapes,stone fruit, citrus and avocados, which weoffer by both air and vessel programs, andwith a wide range of value-added packs. Inthe 2009-2010 season, we will see about a 25percent increase in our Chilean stone fruitofferings, with growth in all commodities,


particularly plums.”Despite all their hard work, Chilean

growers and exporters still expect one disad-vantage they can’t control. “Chile has begunour export season with an unfavorableexchange rate for export, compared to lastseason,” reports Alcaíno. “The Chilean pesohas appreciated with respect to the U.S. dol-lar, which presents greater difficulty forexporters and lower returns for growers.”

As Chile looks to the future, organic andsustainable practices will play a major role.“We bring all our product by boat,” statesDavid Posner, president, owner and CEO ofAwe Sum Organics Inc., in Capitola, CA. “Ithas a very low carbon footprint and actuallytakes less energy than trucking the productacross the United States. It is very efficientway and we have fresh fruit, as opposed tostored fruit. The move toward organic pro-duction in Chile gives them credibilitytoward the future. They’ve recognized thefact that they have got to take care of thesoil and the ecology.” pb

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“The Hispanic Market is growing, as well as theindulgent consumers’ choices,” says Froylan Gracia,counselor for agricultural affairs at the Embassy ofMexico in Washington, D.C. “Besides products suchas tomatoes, avocados and other fresh fruits andvegetables commonly found at retail stores, Mexicosupplies products such as guavas [recently allowedto be exported], mangos and other specialty prod-ucts, offering huge opportunities to retailers.”

According to the USDA Agricultural MarketingService, top exports from Mexico include tomatoes,watermelons, cucumbers, avocados, limes, bell pep-pers, squash, chili peppers, onions, mangos andbroccoli. The showcase at the MexBest pavilion at

the Produce Marketing Association’s Fresh SummitConvention this past October demonstrated thewide assortment of Mexican products. “Every oneof the Mexican growers worked very hard to show-case their products,” says Jairo Luke Verduzco,manager of HortiAmericas LLC, in the UnitedStates in Nogales, AZ. “Examples of productsincluded guacamole, salsa, juices, fruits, packedfruits and many different types of vegetables.”

The quality and affordability of most Mexicanitems allow retailers to promote value. “The mostexciting thing about the upcoming season will bethe availability of high-quality, promotable producethroughout the Fall, Winter and Spring seasons,”says Jerry Wagner, director of sales and marketingfor Farmer’s Best International LLC, based in RioRico, AZ. “We will be offering multiple opportuni-ties for our customers to be providing the Americanconsumers true value for their food dollar.”

NEW PRODUCTS AND PACKAGING

Having gained admissibility in the summer of2009, guava is one of the hot new products for Mex-ico. “Mexican-sourced guayaba [guava] is a big newproduct right now,” says Alfonso Cano, producedirector for Northgate Market, a 30-store chain,headquartered in Anaheim, CA. “The Mexicanproduct is very different from the ones out of Cali-fornia. Their color looks really ripe and they have agreat smell in the store. We’re working on a pro-gram now to sell them year-round.”

“We anticipate handling the Mexican guava,”adds Paul Kneeland, vice president of produce andfloral for Kings Super Markets, in Parsippany, NJ,with 36 stores. “Of course, it needs to pass the pre-sentation and taste test for us, but we expect tohave it this year.”

The more traditionally marketed items also con-tinue a strong showing. “All the different chili pep-pers are really exciting,” states Jimmy Ross, vicepresident of produce operations for Lewis Food-

While Mexico has long been known for itsbig volume products such as tomatoes andwatermelon, increasing variety from Mexicogives retailers more options during the win-ter season.

Mexico’s Bounty IncreasesVariety and ValueKnowing the full line of what Mexico has to offer helps retailers stay on top of market needs and trends.

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

Limes are one of Mexico’s top exports.


town, a 26-store chain based in Houston,TX. “We also do a lot with yucca and tomatil-los.”

“On a year-round basis, we carry Persianlimes from Mexico,” reports Ronnie Cohen,vice president of sales for Vision ImportGroup LLC, in River Edge, NJ. We offerthem in 40-lb. bulk as well as 10-lb. looseand place-packed, PLU stickered. We alsohave started a Mexican lemon program thisseason, which occurs from August throughJanuary. These are Eureka variety, full ofjuice, from Tamaulipas, Mexico.”

New packaging is another area of interestand additional ring. “Typically, we promotethe Mexican avocados heavily,” says Knee-land. “We’ve gone to a third avocado, abagged avocado, in addition to loose andorganic. We’ve researched it and it doesn’ttake away from sales on the other two.

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We’ve already tested them and they’re defi-nitely showing some sales.”

According to APEAM, the Avocado Pro-ducers and Exporting Packers Association ofMichoacán, based in Michoacán, Mexico, aprojected 705 million pounds of avocadosfrom Mexico will be shipped into the UnitedStates from July, 2009, through June, 2010.“Avocados from Mexico are gearing up to seta new shipment record this season and Mex-ico continues as the world’s largest producerand provider of avocados into the UnitedStates,” reports Emiliano Escobedo, market-ing director for APEAM. “Avocados fromMexico are in season year-round. Our quali-ty programs and proximity to the marketassure avocados from Mexico are fresh andtheir eating quality exceeds customers’expectations. We had a 65 percent marketshare last season ending June, 2009.”

“We are very excited about expanding ourlineup of retail-ready packaging in our spe-cialty eggplant and mango programs,” dis-closes Chris Ciruli, chief operating officer ofCiruli Bros. LLC, headquartered in Rio Rico,AZ. “This season, we will be offering Italian,Indian and Chinese eggplant in a 15-lb. box,available from November through earlyMay. We will also market our Champagnemangos in a 4- and 6-pack clamshell withrecipe labels from February through July.Both our mango and eggplant programs aresupplemented by consumer-oriented, infor-mative Web sites containing nutritionalinformation, a wide array of deliciousrecipes and background information aboutthe products.”

TR IED-AND-TRUE MERCHANDIS ING

Tried-and-true merchandising strate-

http://www.lisainc.us

gies are still the most recommendedwhen it comes to the Mexican winterdeal. “When the product shines andlooks good, you make bigger displays,”says Kings’ Kneeland. “We like to createa Summer-in-February promotion. Getcreative, think warm and get your cus-tomers to think the same way.”

“Retailers can work closely with theirsuppliers to place product on ad and keeppeople interested in a wide variety of com-modities,” states Allison Moore, communica-tions director for the Fresh Produce Associa-tion of the Americas (FPAA), headquarteredin Nogales, AZ. “Just keeping customerscoming to the store searching for deliciousproduce at a decent price is somethingmany retailers are already experts at. Theydon’t necessarily need to have a full scaleprogram — just add a touch of creativity towhat they’re already doing.”

Promoting value-added as well as crossmerchandising always result in increasedsales. “Selling value-added Mexican productsis a win for everyone,” says HortiAmericas’Verduzco. “Packing fruits targeted to kids, orveggies cut and packed ready for soups, aregreat ways to move additional volume.”

“Retailers can look to cross-merchandiselimes with other produce items such as avo-

cados and mangos,” suggests Cohen. “Theycan also cross-merchandise limes andlemons with the fish and liquor depart-ments to help sell the commodities.”

The sales floor should maintain a qualityfocus, no matter what. “Retailers shouldfocus on promoting premium quality prod-ucts,” says Jaime Tamayo, marketing man-ager for Divemex/Mexico, in Guadalajara,Jalisco, Mexico. “Most retailers promotehigh quality items in other departments.Produce shouldn’t be the exception.”

“The best attributes to promote are thefreshness and availability of products,” addsBrent Harrison, president of Al HarrisonCo. Distributors, based in Nogales, AZ. “Takeadvantage of the various industry promo-tional boards for ideas and support.”

Determining the right product mix toappeal to each retailer’s customer base isalso important. Escobedo explains, “By pro-viding both large and small size avocados,retailers can give their customers a choiceat varying price points. Research showsincreased promotions equal increased prof-its. To maximize sales, retailers need to pro-mote avocados from Mexico consistentlyand vary frequency and discounts based onmarket development. In developed mar-kets, frequency of promotion, rather than


“In addition to the

sophisticated

growing, harvest,

packing and

transportation

programs you’ll find

in Mexico, it should

also be understood

that produce

imported from

Mexico is inspected

900 percent more

than domestic

products.”

— Allison MooreFresh Produce

Association Of The Americas

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deep discounts, makes the difference.”

EDUCATE STAFF AND CONSUMERS

As with any other product, greater edu-cation on the sales floor equals greatersales. “Education, education, education iskey,” says Moore. “FPAA is always morethan happy to help retailers with education-al materials to help their staff become moreknowledgeable about Mexican products.”

Having the facts on the quality and safe-ty of Mexican product will help retailersbetter field questions from staff and cus-tomers alike. “Retailers can work towardeducating their floor staff on the effortsMexican growers put forth to ensure NorthAmerica has access to the best quality andwholesome fruits and vegetables on a year-round basis,” adds Moore. “Have the floorstaff armed with statistics. For example,Mexican product is inspected 900 percentmore than their domestic counterparts, orMexico provides 37 percent of the importedfruits and vegetables consumed in NorthAmerica on an annual basis. Understandingthe product is the key to being able to sellit.”

“Mexican growers work very hard to

bring products with excellent quality andsafety for all customers to market,” says Ver-duzco. “We welcome clients to visit Mexicowhenever they want, talk with the growersand get to know the places where the prod-ucts are growing.”

Farmer’s Best has created an educational

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hotline for customers. Wagner explains, “Weare focusing on education for chain person-nel so they can, in turn, educate their cus-tomers. We have a 1-800 number at the dis-posal of any of our customers so their shop-pers can call our merchandisers and nutri-tionist at any time.”

COMMUNICAT ION IS KEYCommunication and relationships are

just as crucial to the Mexico deal as to anyother aspect of the produce business. “Com-munication is a major component of suc-cess,” emphasizes Northgate’s Cano. “Goodsuppliers really communicate the informa-tion on their quality and food safety pro-grams. This helps us better work with andsell their products.”

“Communication plays a strong role inbeing able to source the right product at theright time,” agrees Foodtown’s Ross. “Tokeep your business going, you have torespect the suppliers and what they tell you.You need to have a good relationship withthem. I try to stay with the same suppliersbecause I trust them.”

Frequent and honest communicationis touted as paramount to success. “Wespeak with our grower partners in Mexi-



the past, the industry continues to forgeahead with multiple food safety and qualityprograms. “All of the exporters in Mexicohave internal quality programs and foodsafety programs in place,” reports Gracia atthe Mexican Embassy. “Most of them relyon third-party certifications by U.S. firms,but there are also official programs accessi-ble to all growers of fruits and vegetables.The greenhouse industry in Mexico recentlyadopted the SQF certification for all itsmembers. This certification has quality andfood safety components in the require-

co on a daily basis — sometimes two tothree times a day,” reports Cohen ofVision Imports. “It is important for ourgrowers and customers to know the realmarket in real time in order for us all tobenefit. Communication is the best solu-tion because everybody from the farmerto the ultimate end user gets value andmakes a reasonable profit. The benefit tothe grower is the highest possible resultsback to the farm. The benefit for con-sumers is receiving the finest qualityproduct with long shelf - l i fe, both atretail, as well as in the home. The bene-fit to buyers is having the freshest andbest product available at the most rea-sonable prices a market will achieve.”

“Buyers can help suppliers understandthe different price points that move volumeduring peak season,” suggests Ciruli of Cir-uli Bros. “Consumer input from the buyersis also vital to suppliers. As a supplier, itwould be great to know what the consumersare saying about our products and whattypes of products they are looking for.”

A good relationship also means planningand ensuring business in the future. Wagnerexplains, “As one of the leading importers offresh produce from Mexico, Farmer’s Best ispleased to announce our increased acreagethis season. This increase ensures we canmeet more immediate current customerdemand as well as address new accounts.”

“You really just have to be frank andhonest with what you want,” adds King’sKneeland. “Buyers have certain specifica-tions they want for the product. It’s notalways about price, although price is impor-tant, especially in these current times, butit’s a long-term relationship. You stay withsomeone and work together through thegood times and bad.”

CONF IDENCE IN QUAL ITYAND SAFETY

Although Mexico has been stigmatized in

“We are reducing

the number of

waxed boxes used in

our operations and

we are considering

implementing a Fair

Trade sticker

program on some of

our high

volume items.

— Chris CiruliCiruli Bros. LLC

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MEXICAN PRODUCE: CONSISTENCY AND QUALITY FOR THE MARKETPLACE

Since NAFTA entered into force, Mexican produce has made great inroads into the U.S. market. Since 1994, U.S. imports of freshfruits and vegetables from Mexico have increased 265 percent, with an estimated value of almost $5.3 billion dollars in 2008. NAFTAcertainly is one major factor for Mexico’s produce having success in the U.S. market, so is consumer demand for year-round availabilityof fresh fruits and vegetables. However, perhaps the greatest key to Mexico’s success is the fact that Mexican product is as good, ifnot better, than any in the world.

With the implementation of the NAFTA, the concept of an integrated North American market began to move from an idea to areality. In part, this has been possible since growers and processors in the three NAFTA countries do not, for the most part, directlycompete with each other, but complement each other, enabling consumers to source fresh fruit and produce on a year round basis.

Mexican growers have worked hard not only to increase the quality and safety of the Mexican product, but also to enhancecompetitiveness in the world marketplace. With the help of new technologies and marketing practices, with an emphasis on reliabilityand customer service, and with the support of the government, Mexican produce can now be found almost anywhere in the worldwhere consumers demand a quality product.

Those already buying Mexican produce know that the MexBest logo it carries is more than just a slogan; it is a description of thequality of the produce. Those less familiar with Mexican fruits and vegetables should speak to those who regularly purchase them toconfirm that there is no better product anywhere.

The Mexican government views the promotion of sales of Mexican fresh fruits and vegetables to the United States as a majorpriority, and is working closely with growers in many areas to promote trade, quality and food safety. Food safety issues are notstopped by borders, and as the recent raw spinach and lettuce episodes show, even when contamination is traced back to a specificgrower or field in one country, sales of the products can be affected in all three countries. And, nothing closes a border faster than anoutbreak of a foodborne illness. Everyone involved in the distribution chain — growers, packers, transportation companies, andwholesalers — have a vested interest in ensuring food safety. This is one area in which there can be no compromise of standards orrequirements, both the Government and private sector in Mexico remain committed to doing the maximum possible in this area.

As we move forward into the 21st century, the need to ensure food safety is paramount. Food safety practices have become moresophisticated, and more effective, as have monitoring and traceback techniques. Food safety is a joint effort between the Governmentand the private sector, and in Mexico, the Government is continually seeking to improve upon the stringent practices already in place.

As the North American governments take steps to further promote the integration of the North American market, Mexican growersand processors will continue to reliably provide our customers with the safest, highest quality product available from anywhere in theworld. This is what you can expect when you see MexBest.

FRUIT AND VEGETABLE EXPORTS FROM MEXICO TO THE UNITED STATES*

* Data Source:Department of Commerce,U.S. Census Bureau,Foreign Trades Statistics

ADVERTISEMENT

TRADE SHOWS

For 2010, the Ministry of Agriculture of Mexico under the MexBest image will be participating in the following trade shows:

Key shows in Mexico that buyers may be interested in attending include:

Reader Service # 47

INCREASE YOUR BUSINESS WITH MEXICO

The Agricultural Office at the Embassy of Mexico offers various opportunities to build business with Mexican fruit and vegetables. Be sure tocheck out these available programs.

DIRECT BUYING PROGRAM & TRADE MISSIONSHelps retailers enhance the value chain of produce from Mexico by organizing business agendas and trade missions. More than20 of the largest U.S. retail firms have visited Mexico under this program.For more information contact: Hector Cortes at 202-728-1727 • e-mail: [email protected]

MEXICAN FRESH PRODUCE EXPORTERS DIRECTORYA marketing tool whose main objective is to promote the exportable supply of the Mexican produce sector. Includes a mastercatalogue with information on growers, firms, production, availability, volume, seasons and varieties, among other information.Also offers integrated public and private databases and regular updates of registered growers. Available in an annual printededition, a CD-ROM, and website — www.mexbest.com

MEXICO SUPREME QUALITYA quality seal program offered by SAGARPA, Economia, and BANCOMEXT. Product carrying this seal has fulfilled specific qualityrequirements and been certified by a third-party. Currently 72 requirements are in place for this program.www.mexicocalidadsuprema.com.mx

PROMOTION BOARDSIndustry boards with a common goal of fostering an entrepreneurial culture through promotion of Mexican agricultural products.Access to targeted promotion campaigns designed to increase consumption, and development and execution of advertisingstrategies and promotional campaigns.

AGRICULTURAL OFFICE, EMBASSY OF MEXICO1911 Pennsylvania Ave. NW • PH: 202-728-1727 • Fax: 202-728-1728 • E-mail: [email protected]

If you're interested in establishing solid business relationships with Mexico, we will be organizing four Trade Missions to Mexico in 2010. For more information, please contact

Hector Cortes at [email protected] or by phone at (202) 728-1727.

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ments. The quality of Mexican products issuperior to many products grown locallyand seasonally in the United States.”

FPAA’s Moore adds, “The same qualityassurance programs available in the States,such as Primus Labs, NSF Davis Fresh, etc.,are also used in Mexico. In addition to thesophisticated growing, harvest, packing andtransportation programs you’ll find in Mexi-co, it should also be understood that pro-duce imported from Mexico is inspected 900percent more than domestic products.”

“Most growers have third-party audits onGAPs and GMPs and all complying withFDA standards,” reports Divemex’s Tamayo.“The State of Sinaloa in Mexico is imple-menting a legal initiative to prohibit a singleproduct from leaving the state if the groweris not certified by GAPs and GMPs. TheAMPHAC [Protected Agriculture Associa-tion] is working with a similar initiative andboth are very well advanced.”

Individual companies and industries takethis issue very seriously. “Our packer is bothHACCP- and Primus Lab-certified,” reportsCohen. “Our lime growers and packers areGlobalGAP-certified as they also export toEurope. We only deal with shippers who con-form to proper quality assurance standards

as the industry now requires.” “To ensure maximum quality, avocados

from Mexican producers and packers adhereto the toughest world-class standards for foodsafety,” states APEAM’s Escobedo. “In fact,they abide by standards that exceed interna-tional standards, including leading-edge foodsafety technology; timely fruit trace-backbased on fruit coding and harvest data; hand-picked fruit that never touches the ground;independently certified packers; orchardsthat abide by strict guidelines for food safety;sanitary standards and product quality; andgrowers that follow high standards forimports set by export markets.”

Information on food safety and qualityprograms should be readily available fromsuppliers for the buyer’s review. “Retailersshould know the product is safe, just like withany source,” suggests Northgate’s Cano. “TheMexican companies we employ go above andbeyond the necessary safety requirementsdue to past history and stigmatism.”

“It gets back to choosing the right grow-ers who have a good reputation for qualityassurance along with food safety and trace-ability,” asserts Kneeland. “These are allvery important right now. Overall, we keepa close eye on this and make sure people

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are performing to our specifications and fol-lowing through with it.”

FA IR TRADE & SOCIALRESPONS IB I L ITY

The Mexican produce industry is acutelyaware of the importance of sustainablefarming and fair trade practices. “Protectedagriculture farming methods are growing byleaps and bounds in Mexico,” reports Mooreof the FPAA. “Integrated pest managementprograms allow for reduced pesticides. Dripirrigation allows for reduced water, fertilizerand pesticide consumption as well.”

These areas are a growing interest amongU.S. retailers. “We’re not handling any Mexi-can Fair Trade products currently,” saysKings’ Kneeland, “but we would be interestedin them since we work with these programsfrom other countries, such as Argentina. It isimportant to support social responsibility andhelp the farmers sustain crop growth andfuture generations of farms.”

Although the marketplace hasn’t yetseen a substantial fair trade or sustainableoffering in produce, programs are beingimplemented in several sectors. “Severalgrowers have adopted organic and sustain-able farming practices,” relays Gracia of the

Mexican Embassy. “In the produce sector,we have seen several NGOs working withsmall, rural communities and indigenouscommunities that are growing top qualityfruits and vegetables.”

“Transfair USA has been working withcoffee growers and some fruits, such asbananas, in the Fair Trade program,” saysTamayo. “Fresh fruits and vegetables arenew to Fair Trade, and we’re in discussionsabout how Divemex can get involved.”

Forward-looking growers take pride inthe social and environmental programsthey have in place. “We have won numer-ous awards from both the governmentand regulatory agencies for our safety,sustainability and social responsibilityprograms,” says Wagner of Farmer’s Best.“But we go one step further by ensuringour sustainability program is the best itcan be: we have a full bird and turtlesanctuary adjacent to our ranches, whichwe believe says everything about ourstewardship of the land.”

Ciruli of Ciruli Bros reports, “We arereducing the number of waxed boxes used inour operations and we are considering imple-menting a Fair Trade sticker program onsome of our high volume items. We are also

working with various third-party certifierswho audit us based on our implementation ofproper social responsibility, security and foodsafety practices. We have worked hard andwill continue to improve on social responsi-bility on both sides of the border, modelingour family’s values and code of ethics both inMexico and in our U.S. operations.”

On July 9, 2009, APEAM began a refor-estation program including municipalitiesthat are certified to export avocados to theUnited States. “The program’s objective is tomaintain environmental sustainability fortheir avocado production,” details Escobedo.“To date, the program has already exceededits first-year goal. We have planted morethan 50,000 pine trees of various speciesaccording to the characteristics of the landwhere they are being planted. Since thisprogram is for the benefit of growers, pack-ers and the society of Mexico at large, activi-ties were carried out in different forms,including reforestation in compact areaswith soil suitable for forestry; the establish-ment of perimeter fences; access roads toareas surrounding the orchards with theobjective of protecting the orchards from thewind; capturing water and retaining mois-ture in the soil.” pb

Extreme Makeover: Nogales Port

The crossing at Nogales, AZ, known asthe Mariposa Port of Entry, is one ofthe most significant points of trade for

U.S.-Mexico business and is poised to receivean extreme makeover. “Right now, Nogalescrosses over 4 billion pounds of producefrom Mexico each year, which representsabout $2 billion,” explains Allison Moore,communications director for the Fresh Pro-duce Association of the Americas, (FPAA), inNogales, AZ. “We are the largest port of entryfor produce from Mexico, and one of thelargest ports of entry for produce in the entireUnited States. Nogales is also key for U.S.goods being exported to Mexico.”

However, the port facilities were not con-structed to handle the amount of businesscurrently passing through their border. “Thecurrent port of entry in Nogales was designedto process 400 trucks on a daily basis,”reports Moore. “We currently cross 1,600trucks during the peak of the Mexican pro-duce season. While U.S. Customs and BorderProtection and the industry have workedtogether to become as effective and efficientas possible, the current facility is outdatedand inefficient at crossing the volumes wehandle today. A new port will improve the

efficiency of trade between the United Statesand Mexico, while maintaining the necessaryamounts of security as defined by theDepartment of Homeland Security.”

The Mariposa Port of Entry started itsreconfiguration in November, 2009, and isestimated to be completed in 42 months.“The entire port will be dismantled in differ-ent phases and rebuilt as an entirely newfacility,” explains Moore. “We will have addi-tional lanes for commercial trucks, passen-ger vehicles, buses and pedestrians. Theentire dock for offloading commercial vehi-cles for inspection will be new. We will have56 dock spaces deep enough to completelyoffload a truck directly behind that truck, asopposed to our current situation where onetruck takes three dock spaces just to beoffloaded. All of the crossing lanes will haveample room to include the technology thatCustoms uses to prescreen cars and trucks,such as license plate readers, radiationdetectors, SENTRI card readers for trustedtraveler programs, and more.”

“From a marketing standpoint, this newPort will show retailers that the infrastruc-ture that exists for guaranteeing the qualityof imported produce is far greater than that

used for domestic produce,” says VeronicaKraushaar, president of VIVA Global Market-ing LLC, headquartered in Nogales, AZ. “Youare talking gamma-rays, x-rays, personalinspections, all done in a user-friendly,‘green’ facility, with the latest technologyensuring the produce does not suffer fromtemperature changes or delays. Most impor-tantly, all this care and expense does notcost the retailer anything extra!”

The new port will benefit everyone in thechain, from supplier to retailer, by facilitat-ing shipments as well as quality of product.Moore remarks, “The new port of Nogaleswill be the model port for all future portenhancement projects in terms of our use oftechnology, design, and innovation in mov-ing traffic across a border. A new port ofentry will make it more efficient to crossproduct to the U.S. distributor’s warehouseand, subsequently, to buyer’s trucks waitingto load the product and carry it to placesacross the United States.”

“The new Port promises to continue toraise the bar on the overall quality andefficiency of imported produce from Mexi-co,” adds Kraushaar. “We can’t wait to seeit in operation!” pb


Ahern ensures his company has a full line ofspecialty citrus available, which can mean up to adozen different kinds of fruit, spaced across a com-pressed season. So far, consumers have had a pos-tive reaction.

“The nice thing about citrus is it is such a largevariety of fruit,” points out Lance Walheim, vicepresident at California Citrus Specialties Inc, head-quartered in Springville, CA. “The market is grow-ing all the time because people are always lookingto try new things.”

AN ODDBALL MARKETSpecialty citrus is something of an oddity in the

produce section. While many produce items are

moving to year-round availability, thanks to globalsourcing, specialty citrus thrives on seasonality andlimited availability.

The first specialty citrus, such as the Buddha’sHand Citron, becomes available in October orNovember. After that, successive varieties becomeavailable for varying durations — sometimes asshort as four weeks — until spring. None of the spe-cialty varieties are available on a year-round basis,although that might be changing.

The segment is also unique for its sheer variety.In other areas of the produce department, the focuson year-round, permanent displays almostinevitably means limited varieties of any particularproduct. In specialty citrus, however, the oppositeis true: the segment is defined by its jumbled vari-ety of varietals and products.

This presents both a challenge and an opportu-nity for retailers, notes Ahern. The opportunity isobvious: as a rare and unusual item, specialty citruscan help build up a store’s cache with customers,increase customer loyalty and create a sense ofexcitement and surprise in the produce aisle.

Perhaps even better, in today’s “foodie” culture,people who are in the market for unusual citrus areoften willing to pay a premium, meaning that thecategory has potentially excellent margins. “You’renot really working on the margins,” contends DavidMixon, senior vice president and chief marketingofficer for Seald Sweet International, based in VeroBeach, FL. “Consumers are glad to see tangerines ortangelos. They’re not really looking at price. It willmost definitely pay for itself.”

However, there are limits to what the marketwill bear, even with unusual and highly desirablecitrus fruits. Walheim cautions against pricingpotential customers out of the market. “The mar-gins depend on the variety,” he says. “Much of whatwe’re trying to do is get people to try them, so theyshould be affordable.”

The category has other challenges, too. Con-sumers are often unfamiliar with many kinds ofspecialty citrus, so exotic items such as kumquats,Pummelos and Cara Cara Navel oranges don’t havea large, built-in following. This means that cus-tomer education is essential. “The more informa-

Patrick Ahern, a buyer with Baldor SpecialtyFoods Inc., in the Bronx, NY, has a simplepiece of advice for retailers who want to sellspecialty citrus: “The trick is to just have it.People are looking for it,” he says.

Specialty CitrusSpecialty citrus is a rapidly growing subset of the traditional citrus market. As consumers snap up unusual and new citrus, producers continue to expand their horizons.

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

Though the window of availability is short, retailers and consumers alikelook forward to the arrival of specialty citrus varities.


tion, the better,” asserts Walheim. “If youcan give information about where it comesfrom, its background, and how it comparesto other varieties — that’s all useful.”

Of course, because of their limited avail-ability, merchandising specialty citrus usu-ally means taking over part of the regularcitrus section, which might translate intolower sales in traditional citrus categories.

WHAT I S SPEC IALTY C ITRUS?

According to citrus experts contributing tothis article, the traditional citrus category is

dominated by only a few varieties of fruits:Navel and Valencia oranges; Ruby and Whitegrapefruit; Lisbon and Eureka lemons, whichare virtually indistinguishable; and Persianlimes. These varieties have come to dominatecitrus because they are dependable and tastyand they can be stocked year-round, thanks toa global citrus industry that extends from theUnited States into South America.

But these dominant varieties are only afraction of the many kinds of citrus beinggrown. Specialty citrus includes the follow-ing categories:

• Oranges, including Blood oranges, Sour

oranges and Cara Cara Navel oranges. Thisis the largest segment of specialty citrus.

• Mandarins, including Clementines, Sat-suma and others. Tangerines are also includ-ed in this category, and the terms “Man-darin” and “tangerine” are often used inter-changeably. The Pixie Mandarin, for exam-ple, is often marketed as the Pixie tangerine.

• Tangelos, a cross between a tangerineand Pummelo grapefruit. These are avail-able both from California and Florida farms,and each state produces a distinct fruit.

• Limes, including Key limes and Kaf-fir limes.

• Lemons, including the Meyer lemonand Italian lemons used to make Limoncello.

• Grapefruits, including the Pummelo andother hybrids. This segment is more frag-mented because there are more varietals.

• Others, such as kumquats, Yuzuand citron.

With the exception of Meyer lemons andkey limes, which are both on the verge ofyear-round availability, these varietals aregenerally only available for brief periodsbetween October and May. Most of them aregrown in California, although Florida andTexas producers also offer some specialtyvarieties, and a select few are imported fromSouth America, Europe and New Zealand.

“All of our specialty varieties are highlyseasonal,” reports Julie DeWolf, director ofretail marketing at Sunkist Growers Inc.,headquartered in Van Nuys, CA. “Most areavailable at some point between Decemberand May. Some are in the market for multi-ple months, such as the Cara Cara Navelorange, which is available from Decemberthrough April, and others are only aroundfor a short time, such as Satsuma Man-

“One of the most

popular specialty

items continues to

be the Clementine

because it’s easy to

peel and nearly

seedless, making it a

perfect item for

lunch boxes or a

healthful snack.”

— Julie DeWolfSunkist Growers Inc.

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darins, which arrive in mid-October and aregone before Christmas.”

Selling specialty citrus means rotatingunique stock through the citrus display, cou-pled with promotional efforts to make surethe product turns.

SELL ING THE SPEC IALT IES There are two basic markets for specialty

citrus: the curious and the dedicated. Curi-ous consumers are those who might havebeen exposed to the idea of a specialty fruitand want to try it out. They are often unfa-miliar with the fruit and need some reassur-ance in the produce aisles. These con-sumers appreciate signage that explains thefruit, compares it to a known variety andeven gives tips for using it. Product demon-strations are perfect for this consumer, andmany producers recommend demonstra-tions to help move fruit. “In-store tastingsare a wonderful tool to increase consumerawareness and drive sales,” maintains MarkSolomon, president of Fisher Capespan USALLC, in Gloucester City, NJ.

Dedicated consumers, by contrast, arethose who wait all year to get their hands ontheir favorite rare fruit, or those who arefamiliar with the fruit as an ethnic specialty.Sour oranges, for example, are an integralpart of many Hispanic dishes, so Hispanicconsumers will seek them out. Similarly,the Pummelo is a favorite among Asian con-sumers, who eagerly search for these dis-tinctive fruits.

“The Pummelo does very well in the Chi-nese New Year,” says Scott Owens, vice pres-ident of sales and marketing for ParamountCitrus Association, based in Delano, CA. “If

you focus on the right time to promote themand if you have a large Asian population,you’ll do very well.”

Dedicated home chefs will also look forinteresting and exotic citrus for their ownuse, especially if the fruits are featured in arespected cooking magazine or on one ofthe many cooking television shows. Foodservice, too, plays an important role inspreading awareness of specialty citrus.

“People often have a foodservice experi-ence and note that chefs are using a Meyerlemon, for example, instead of a Lisbonlemon,” says Robert Schueller, director ofpublic relations with Melissa’s World VarietyInc., in Los Angeles, CA.

In fact, Meyer lemons were popularizedto such a degree by top chefs that producersexpanded Meyer lemon acreage andimporters started to bring the fruit in fromoverseas to satisfy the strong demand. As aresult, the season has expanded and theyare now nationally distributed. In the nextfew years, Meyer lemons will likely cease tobe considered specialty citrus at all and beavailable on a year-round basis.

Finally, people in citrus-producing statestend to be the heaviest consumers, becausethey’re most likely to be familiar with thefruit. “Sales are growing in all areas of thecountry,” states Solomon, “but it’s often thecitrus-producing states that are the biggestconsumers of the specialty varieties.”

Dedicated consumers aren’t as reliant ascurious consumers on signage and recipecards, but there is one critical piece of infor-mation they need: availability. These con-sumers need to know the fruit is available,so it’s important to advertise the specialty

Tangerines are among the more popular specialty citrus varieties and are oftensold in 2- or 3-lb. bags.

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citrus in flyers, in-store displays and online.“You’ve got a lot of consumers who arefamiliar with the varietals, but if it’s notbrought out as a flashing point, such as in asale, they might not see it,” warns SealdSweet’s Mixon. “You have to build excite-ment and consumer awareness.”

There is a strong upside to stocking thesemore unusual citrus varieties, beyond theimmediate sales. As Baldor’s Ahern notes,once customers find their fruit in yourdepartment three, four, or five times, they’llalways come to your store looking for citrus.

“A consistent citrus program will buildloyalty to the store,” says Walheim of Cali-fornia Citrus Specialties.

Specialty citrus is typically displayed inthe same way as regular citrus, just on asmaller scale. Varietals may be offered inbulk displays, sometimes in baskets nestedwithin the larger traditional citrus display.Popular varieties, such as Clementines, canbe offered in 2- or 3-pound bags or theindustry standard 5-pound wooden crates,with clear signage.

“Merchandising plays a big role,” empha-sizes Melissa’s Schueller. “Some people can’ttell the difference between a Meyer lemonand a regular lemon, or a sweet lime and aregular lime.”

To maximize sales, Paramount’s Owenshas another piece of simple advice: use arifle-shot approach, instead of a shotgunapproach. By this, he means really focus on

one specialty at a time and promote it heav-ily. “When you put a little bit of everythingout there, it really doesn’t knock anyone’ssocks off,” he explains. “It just dilutes it.Instead, we have found that if you reallywant to make money, focus on one thing ata time and really drive sales.”

SO WHICH TO P ICK? With so many varietals compressed into

a relatively short sales season, retailers areleft in a quandary over which variety to sell.To some degree, this will be determined bythe demographics of the customer base. Pro-duce departments in Hispanic neighbor-hoods will want Sour oranges, for example.

“Depending on the retail mix, you wantan assortment of specialty varieties to capi-talize on the benefits of being different,”explains Schueller.

But there are a few fruits that are almostuniversally popular. Chief among these arethe Mandarin oranges. “One of the mostpopular specialty items continues to be theClementine because it’s easy to peel andnearly seedless, making it a perfect item forlunch boxes or a healthful snack,” statesSunkist’s DeWolf.

In fact, Mandarins, including theClementine, are steadily increasing in popu-larity. Varieties such as the Satsuma, Royal,Gold Nugget and Shasta Gold are beingintroduced regularly to an enthusiasticreception. Like the Clementine, all Man-darin varieties are thin-skinned, easy to peeland extremely sweet.

As Mandarins continue to grow, someproducers expect them to soon make the

transition to year-round availability, espe-cially as importers start to bring them infrom overseas.

“Mandarins and tangerines are the samefruit, but their origins are different,”Schueller explains. “We believe this seasonwe’ll have Clementines available on a year-round basis. We’re importing them from sixdifferent countries.”

“Clementines will become mainstream,”asserts Paramount’s Owens. “It’s a dominantplayer in the category, and they’re onlygoing to get bigger in the next three to fiveyears. There’s not that much that competesagainst them.”

Other fruits have also been growingrapidly in popularity, including Cara CaraNavel oranges, which are sweeter than tradi-tional navel oranges, and blood oranges,which are popular gourmet ingredients dur-ing their limited season. “The Cara Caracrop has been increasing in size over the lastfive years and is going to be available inmuch larger quantities in the 2009/2010 sea-son,” DeWolf reports. “It has consumerappeal because of its beautiful pink interiorand sweet taste.”

Cara Cara navel oranges are also power-nutritious healthy foods — a fact that can beeasily promoted to customers. They are highin vitamins A and C.

Blood oranges, too, are increasingly pop-ular. “We do more Moro Blood oranges thanprobably anything else,” says California Cit-rus Specialties’ Walheim. Moro Bloodoranges are available from December to Feb-ruary. They are the deepest colored of theBlood oranges and the earliest ripening. pb


The Unusual Varieties

A ccording to Patrick Ahern, a buyerwith Baldor Specialty Foods Inc.,headquartered in the Bronx, NY,

there’s also a benefit to stocking the moreunusual varietals, even if the turn is smalland the margins are tight. Offering the mostcomprehensive citrus selection possible islike a “public service,” and it’s good business.It generates excitement and creates strongcustomer loyalty.

“The benefit of stocking specialty citrus isthat it brings incremental sales to the pro-duce section,” adds Mark Solomon, presi-dent of Fisher Capespan USA LLC, inGloucester City, NJ.

Some of the lesser-known citrus varietiesinclude Pummelo grapefruit and Yuzu citrus.Both are very popular in Asian cuisine. ThePummelo is the largest of all the citrus, occa-

sionally reaching the size of a soccer ball.Less tart than traditional grapefruit, Pumme-los have pink flesh that is distinctly sweet.

Tangelos, which are a cross between aPummelo and a Mandarin, are anotherunusual fruit. They combine the sweetnessof the Mandarin with the size of a Pummelo.

Minneolas, too, are remarkable for theirappearance: they feature a distinct knob atthe stem end. They are “sweet tart,” accord-ing to Julie DeWolf, director of retail market-ing at Sunkist Growers Inc., headquartered inVan Nuys, CA.

“Specialty citrus entices and impressescustomers,” asserts David Mixon, senior vicepresident and chief marketing officer forSeald-Sweet International, in Vero Beach, FL.“They know their store is doing somethinginteresting and unique.” pb

Cara Caras are sweeter than the traditional Navel orange and havebeen growing in popularity.


FOODSERVICE

MARKETING

FOODSERVICE

MARKETING

Buying Produce Often Comes Down To Two ChoicesFor independent restaurants seeking the widest selection of produce, it pays to shop both terminal markets and off-market produce specialists.

B Y J A C Q U E L I N E R O S S L I E B E R M A N

John Vena Inc., located at the Philadelphia Terminal Market, caters to chefs look-ing for specialty fruit and vegetables to include in their menus.

When it comes to buyingthe highest quality andhard-to-find produce,owners and chefs atwhite tablecloth restau-

rants most often distill their decisions downto two basic options — order from a pro-duce-specific foodservice specialist whodelivers, or visit a terminal market and buythe produce directly from the wholesalers.Which is cheaper? Which is better? It alldepends on who’s buying.

FOODSERV ICE SPEC IAL ISTSCompanies that specialize in delivering

produce to restaurants often provide morethan just the food; they offer timesaving,money-saving services.

At Costa Fruit & Produce Co., in Boston,MA, “Our service and operational systemsare designed with the chef in mind,” saysMichael Scuderi, director of marketing.“Strong lines of communication and person-alized service ensure our customers havethe information and resources they need tomake the best buying decisions.”

In addition to carrying many of the hotproduce items chefs love, these companieswill go out of their way to get what chefsrequest. At Indianapolis, IN-based PiazzaProduce, the foodservice division of IF&PFoods Inc., “We procure the product,” assertsMarcus Agresta, new business developmentmanager. “We help them find items that wemight not have in stock, such as black gar-lic. We help them find a lot of local items.We’ve always been known for our service,quality and variety.”

Regina Mehallick, chef and owner ofIndianapolis, IN-based R Bistro, a whitetablecloth restaurant with a strong emphasis

on seasonal and local food, has used PiazzaProduce since opening her establishment in2001. “I have a great working relationshipwith them,” says Mehallick. She often worksone-on-one with her personal salesperson.“If I need something, I contact Rita Mascariand she orders it and gets it especially forme. She knows my style. Here at the restau-rant, I change my menu every week. Oneweek I might be using celery root andanother I might use parsnips.”

But the road runs both ways, and some-times, Rita reaches out to her. “She sends mee-mails occasionally, telling me what’s sea-sonally available,” notes Mehallick. “Some-times, she’ll get a specialty product andshe’ll call me and say, ‘Can you use this?’”

Service, quality and variety have also put

Baldor Specialty Foods Inc., located in theBronx, NY, on many chefs’ radars, fromPhiladelphia to Southern Maine. The com-pany goes out of its way to keep customers— including famous New York establish-ments such as Per Se and Le Bernardin —happy, according to Jim Chlebogiannis, vicepresident of sales. “We have a full team ofbuyers here 24-7,” states Chlebogiannis.“The white tablecloth restaurants, theyknow that if they call us, if there’s some-thing out there, we have it or we’re going tofind it.”

THERE WHEN YOU NEED THEM

Customers calling Baldor often leavetheir orders with a live person. “We answer

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the phones live until 12 at night,” declaresChlebogiannis, to ensure customers getexactly what they intended to order.“When the customer asks for something,say spinach, and they leave it on a voice-mail, we don’t know which type theywant. We have 12 different varieties ofspinach,” he explains.

As a senior sales representative for Lan-caster, PA-based Kegel’s Produce, MichaelMakara spends much of his time visiting thechefs at the white tablecloth restaurants heserves. “I’ll sit down with them and discussthe availability of exotic produce, whatworks with items such as venison and buffa-lo. I’ll bring in product and we’ll do a tast-ing,” he says.

Makara knows the styles and preferencesof each of his customers, and keeps that inmind when introducing chefs to new items.“Very rarely will we get a new product thatwill fit for everybody,” he explains. Makarawill often reach out to chefs he thinks willbe interested. Recently, he brought a newmicro fennel to those clients he thoughtwould be interested.

In addition to daily deliveries duringnights and early mornings six days a week,many of these companies will make a sec-ond run during the day when necessary. Forexample, “If you realize you needed morethan you thought, we’ll go back that sameday,” says Agresta of Piazza.

At Baldor, “If they call by 11 am, they canget a second run,” reveals Chlebogiannis.

Minimum deliveries to independentrestaurants by companies such as these aresmall. At Baldor, the minimum is $100 forany delivery, and occasionally less if a regu-lar customer is in need. “It’s done on a case-by-case basis,” explains Chlebogiannis.

Makara notes Kegel’s has a similar poli-cy. If a regular customer calls him desperatefor a delivery, “You cannot leaving themhanging,” he says. “They can depend on us,and that’s what counts. We are all about ser-vice. That’s what separates your companyfrom someone else’s.”

Though all of this service must costsomething, these suppliers remark theirprices are competitive with other whole-salers because they buy direct from growersat high volume. At Piazza, for example, “Wehave a lot of volume that we procure, so weare able to get a better price from the ship-pers,” explains Agresta. “We have a lot ofcontract pricing in place.”

At Costa Fruit & Produce, “We believethat by partnering with the nation’s bestgrowers and utilizing their top brands, weoffer our customers the best value for theirdollar,” says Scuderi. “By choosing to usequality brands, they can be assured they will

receive the proper case weight, count-per-case and ultimately, the best yield. Our teamof account managers has many years ofexperience in the food industry. Many arechefs and work closely with our customers toreduce their food cost while expanding andcustomizing their menu options.”

When cash flow is an issue, dependingon a customer’s credit background, oftenthese specialists will extend longer credit toindependent restaurants — asking for pay-ment in up to a month instead of 10 days,for example.

CONVENIENCE ANDFOOD SAFETY

In addition to specialty items, foodservicespecialists often carry value-added products.“Value-added fresh-cut items can help reducelabor and food cost, while increasing productconsistency,” notes Scuderi of Costa Fruit &Produce. “Our Fresh Ideas division producesmore than 500 fresh-cut fruit and vegetableline items, including custom-blended salads,prepared vegetable and pasta salads and stir-fry and julienne vegetable blends. Our man-ufacturing facility is approximately 10,000square feet. Our fresh-cut products are madeto order for next day delivery — anythingfrom diced vegetables to baby peeled carrotswith tops.”

Baldor’s facilities also include a HACCP-certified processing area where the compa-ny can create customized fresh-cut produceon demand. “We have chefs that wantpeeled celery root, peeled baby turnips,peeled baby beets,” says Chlebogiannis.

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— Michael ScuderiCosta Fruit & Produce Co.

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Local Produce,Delivered

R estaurants offering dishes madefrom locally grown produce neednot shop at every nearby farm or

farmer’s market to get what they want,as more and more foodservice specialistsare delivering exactly this.

“I buy locally as much as I can,” saysRegina Mehallick, chef and owner of RBistro, based in Indianapolis, IN. In addi-tion to buying direct from local farms,she often gets local produce and meatdelivered from Piazza Produce, based inIndianapolis, IN. She appreciates thatPiazza notes which items are local onher invoice so she can advertise that facton her menu.

Marcus Agresta, director of sales andmarketing for Piazza Produce, notes, “Wesupport many local growers and produc-ers, and the independent white table-cloth restaurants have really gravitatedtoward that.” pb

not an option, so the cost of pick-up must alsobe weighed. “The price might be lower here,but we don’t deliver. They have to figure outtheir own logistics solution,” says Vena.

Deciding to buy all or most of a restau-rant’s produce from a terminal marketrequires dedication. “It takes a lot of timeand a lot of education to learn how this mar-ket works,” says D’Arrigo, referring to theHunts Point Terminal Market, one of thelargest produce terminal markets in theworld. Often, restaurants that do this investin a truck or van and hire an employee justto buy produce.

Storage space and turnover within arestaurant are also issues. Terminal marketwholesalers may be willing to sell producein smaller quantities to smaller customers,though usually not to the extent that food-service specialists do. Because John Venacarries specialty items, “We sell either inthe original package or we re-pack as theywant. Very little of our business is pallet-size,” says Vena. “There’s a lot of flexibilityin package sizing.”

But at D’Arrigo Bros., which specializesin commodities, as well as a few packageditems, such as washed spring mix, “Theycan buy as little as one box, but we won’tbreak a box open for anyone,” says D’Arrigo.

Terminal market wholesalers are alsoless likely to make an exception for a smallbusiness by extending credit. When it comesto most of these companies, credit is one-size-fits-all. pb

center to see what has just come in and buysomething that I might not have been plan-ning to get, but because it is just in and sofresh, I will purchase it. Then, my executivechef, Nicholas Elmi, and I will come up withsomething to do with it. I go to the marketat four in the morning when there are lesspeople and I can spend time talking withthe merchants about new things and new,special ingredients.”

When chefs take the time to visit termi-nal markets, “They have an advantagebecause when you walk the market, youhave the ability to look at everything youpurchase,” explains John Vena, presidentof John Vena Inc., merchants on thePhiladelphia Terminal Market. “You cancompare sizes, variety, quality and prices.You can look at the product itself andcompare brands and products from vendorto vendor.”

The turn-around is fast, too, whichmeans the produce is often as fresh as itcomes. “You have it the day after it’sunloaded,” adds Vena.

“Seeing what everyone has, keeping ontop of prices and seeing what comesthrough the market and forging relation-ships with vendors is always good,” notesEmily Fragoso, marketing manager forCoast Produce Co., merchants on the LosAngeles Wholesale Produce Market.“Oftentimes, we forget every single step ofthe way and all of the different optionsavailable to us.”

Spending time at a terminal market putschefs more in touch with the produce theyare buying. Some have not forgotten thatvisiting the markets leads to education. “Isaw a group of culinary students walkingthe market today,” says Fragoso.

“It gives you a knowledge of what’s goingon in the produce business,” says MatthewD’Arrigo, co-owner of D’Arrigo Brothers Co.of New York Inc., merchants at the HuntsPoint Terminal Market, in the Bronx, NY.“They learn more about what’s going on bycoming in. I think chefs, in general, shouldcome in more. It’s an education for them.They’d learn a whole lot by walking themarket now and then.”

THINGS TO CONS IDERBut the wholesale markets have their

challenges. Most of these merchants do notcater to independent restaurants and do notoffer the same services or goods for whichfoodservice specialists are known. For exam-ple, while market wholesalers often carryvalue-added items that restaurants find use-ful, most carry far fewer of these items thanfoodservice specialists offer.

Delivery from these wholesalers is often

“I go there because I

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elsewhere. I go to

the market at four in

the morning when

there are less people

and I can spend time

talking with the

merchants about

new things and new,

special ingredients.”

— Chef Georges Perrier Le Bec-Fin

“We’ll do a quartered apple. We do skin-onFrench fries for a lot of people.” All of theseare available for next-day delivery.

At Piazza Produce, “We have a full line ofprocessed items,” says Agresta. “Everythingfrom diced celery to pomegranate seeds.”

For restaurants with little storage space,these companies can deliver small amountsof each item. Although many have — andstill do — offer produce by the piece, whichis quickly changing due to evolving trace-ability initiatives. Today, it is common forcompanies to re-pack in standard sizes rang-ing from large to small, such as three-packsof cantaloupes and six-packs of bell peppers.

When food safety is a concern, manycompanies specializing in foodservice,including Costa Fruit & Produce and BaldorSpecialty Foods, offer high levels of foodsafety certification. At Baldor, when it comesto re-packing, “Anything we break, we breakin a food-safe, HACCP-certified environ-ment,” explains Chlebogiannis. “There’scomplete traceability here.”

TERMINAL MARKETMERCHANTS

For restaurateur Georges Perrier, chefand owner of Philadelphia’s famous Le Bec-Fin, shopping at Philadelphia’s terminalmarket two or three times a week is a must.“I go there because I can get the freshestproduce at a better price than I can else-where,” he explains. “I can look all over the


With what seems like an unlimited assortment of gro-cery items from around the globe under one roof,combined with an old-world charm that personal-izes the shopping experience for each visitor, UnitedSupermarkets successfully earns a loyal following.

The Lubbock, TX-based 50-store chain now operates under threedistinct brands: United Supermarkets, Market Street and Amigos Unit-ed. The majority of its stores are situated in the Texas panhandleregion. Its newest outlet, a Market Street store (inset) that openedabout a year ago in Plano, TX, expanded its reach into the Dallas-Ft.Worth metropolitan region.

GUESTS AND FAMILY FIRSTWith everyday groceries and gourmet offerings, Market Street can

satisfy every type of customer at one store. According to a customerwho was leaving the store after completing her list in one stop, “Then,they carry out your groceries for you and refuse to accept tips!”

The team of employees and management always refers to shoppersas “guests,” more than merely “customers.” Darvel Kirby, producebusiness director for United Supermarkets, asserts, “Our customers areour guests, and we still believe it is important to help them take theirgroceries to their car. While you’ll notice some differences from onestore to the next, one thing is consistent. We carry out our missionstatement, which was the philosophy of our founder: ‘Ultimate Ser-vice. Superior Performance. Positive Impact.’”

Upon entering the Plano, TX, Market Street, the store’s uniqueambiance is immediately apparent. The floor layout and soft lightingcreate a warm, pleasurable atmosphere that feels more like an upscalerestaurant or hotel lobby. “Market Street is a world-class food conceptstore,” explains Kirby. “It combines the everyday groceries and greatprices the guests need, with all the specialty items, whole health,gourmet products and take-home cuisine they want.”

Walking into the produce department, guests will notice spotlight-ed items of both conventional and organic produce. Exotic mush-rooms, an entire section of tomatoes featuring all sizes and vine-onselections, fruits from around the world, juices and dressings, a color-ful array of peppers and convenient pre-cut and packaged produce area few examples of the variety here.

United Supermarkets longstanding grower/shipper relations allowthe chain to buy direct. “We really pride ourselves on our partnershipswith our growers and shippers,” stresses Kirby. “Our procurementteam values these long-time partnerships with our suppliers.

Tommy Wilkins, director of produce procurement, heads the team.“We truly believe the grower is a partner, not just a supplier,” notesWilkins, who is based in the Lubbock, TX, distribution center. “Wevalue the relationships with the growers, which are often multi-genera-tional farmers, some who we have partnered with since the earliest

DALLAS MARKET PROFILE

United Supermarkets’ Market Street Store Brings Service And

Old-World Charm To DallasWith its Plano store, Market Street provides a personal touch for its customers.

BY SANDY LINDBLAD LEE

years of United Supermarkets.”“United Supermarkets remains family-

owned and its management includes mem-bers from the family’s fourth generation. Nowin its 93rd year of operation, its roots traceback to 1916, when H.D. Snell opened hisfirst United Cash Store in Sayre, OK. In 1946,the Texas stores became a separate companywhen H.D. “Jack” Snell, Jr. purchased twostores from his father. Today, Jack’s son,Robert Snell, serves as chairman of the board,while grandsons, Gantt and Matt Bumstead,are co-presidents of the company.

United Supermarkets represents the coreconcept of the company’s chain of stores, with38 outlets in 24 markets. Offering a uniqueblend of traditional and cultural food prod-ucts, Amigos United is the company’s interna-tional-format store. Currently, Amigos Unitedhas three locations.

Market Street’s newest outlet in Planobrings that store count up to 10. “A Taste ofMarket Street” is also a feature of three MarketStreet stores. Taste is the addition of a 1,300-square-foot miniature version of Market Street— complete with a fuel station and a drive-through window — within the confines of theMarket Street parking lot. “They feature a ‘din-ner-of-the-day’ for take-home, so guests canpick up a meal without ever leaving the car,”Kirby explains.

Throughout all store concepts, “We’vealways felt that produce is one of the highimage items for our company,” notes Wilkins.

“Beyond the high-quality appearance of theproducts, we go that extra step to buy thebest-eating varieties.”

LOCAL, ORGANIC AND MOREWilkins also believes in the importance of

feedback from the produce employees andmanagers of the individual stores. “We arevery retail-driven,” he stresses. “We ask forinput from not only the produce managers,but from store guests as well.”

Matching today’s trend toward buyinglocal, United is taking the extra steps to pro-

cure local produce when possible. The Dallas-area store provides a good locale for carryingout this mission. “Some of the best local pro-duce is from the area surrounding Dallas,”Wilkins says. “Some of our guests’ favorites areParker County peaches, blueberries from Tyler,TX, and locally grown tomatoes, blackberriesand cantaloupes. Not only does local producehelp reduce the carbon footprint, but the lesstime it spends in the truck, the fresher the pro-duce is upon arrival.”

Kirby stresses the United spirit flourishesin the attitudes and enthusiasm of more


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“We’ve always felt

that produce is one

of the high image

items for our

company. Beyond

the high-quality

appearance of

the products, we go

that extra step to

buy the best-eating

varieties.”

— Tommy WilkinsUnited Supermarkets

http://www.tomlange.com


Combs Produce Co. LP, Dallas, TX: KevinMeguire joined the company recently as vicepresident of sales, marketing and procure-ment. Meguire was with C. H. RobinsonWorldwide Inc. for most of his career and wasgeneral manager of the South Central divisionof the U.S. for seven years.

Another addition to the staff is Tim Rogers,in sales and procurement. His 20-plus yearsof sales and promotion experience include hismost recent role with the Dallas division ofSunkist Growers Inc.

Industry veteran Jay Pack is now theexecutive chairman. “We are in constantcontact with him and he brings great insightand experience,” reports Brett Combs, pres-ident and CEO.

“The company Web site has been totallyrevamped,” Combs adds, “and we’re putting agreater emphasis on trade shows. We exhibit-ed at PMA Fresh Summit for the second yearin a row, which worked out great for us.”

Combs also notes, “We’ve added a lot ofcustomers this year,” in spite of the strugglingeconomy. “Business has been a little tough.People are more price-conscious. We’ve heldup better than some other areas in the coun-try, but it’s still been a struggle.”

Brothers Produce Inc., Friendswood, TX:With more than 80 percent of its customers infoodservice, Brothers Produce added fivemore delivery trucks to increase its servicethroughout the Dallas-Ft. Worth metropolisand the surrounding area. Twenty-seventrucks are now a part of the delivery system,according to Jason Erenwert, vice president.

“We’re also starting to move more into thehigh-end side of foodservice,” including morewhite tablecloth clientele, Erenwert reports. Heemphasizes, “We have actually experiencedgrowth this year in our company. We’ve hadsome of our existing customers add new loca-tions, and we’ve also gained new customers.We’ve been able to operate competitively. Idon’t think Texas has been as hard-hit assome other areas.”

ery trucks,” notes Sherman LaBarba, presidentof Ideal Sales.

Dunning continues, “We’re also using Har-vest Select, in Monte Vista, as a consolidationpoint for onions, apples and pinto beans, inaddition to potatoes. Colorado’s central loca-tion provides a good freight advantage for ourcustomers, including those based in theSoutheast and East.”

Ideal Sales has also expanded into otherregions. “We have increased our sales forceand strengthened our distribution system byopening up satellite offices in other locations,”LaBarba adds.

Specialty potato varieties and organicshave been added to the product line.

WHAT’S NEW?I

deal Sales Inc., Dallas, TX: As sole own-ers of Harvest Select, a Monte Vista,CO-based shipping operation, Ideal

Sales has opened Harvest Select Dallas toprovide additional services for its cus-tomers. According to Pam Dunning, asales associate in the potato sales andtransportation division at Ideal, HarvestSelect Dallas has “a centrally located distri-bution facility” near downtown Dallas. “Wenow have reconditioning and redistributionservices available. We receive by truck andby rail.” Potatoes, onions and mixed veg-etables from California, Mexico and Texasare the core items for Harvest Select Dallas.

The additional operation will also helpIdeal Sales improveproduct qualitythrough cold chainmaintenance. “Thekey is monitoringthe cold chainfrom the packingshed, through thetransit process, tothe warehouse andthen onto the deliv-

Jason LaBarba, vicepresident of Ideal Sales Inc.

The Ideal sales staff, from left: Bill Hanson,Pam Dunning, Gary Price, Chris Bailey, RyanHall, Susie Lacy and Joe Price.

The Combs Produce sales staff, from left: Ron-nie Gaubatz, James Baker, Brett Combs, BradCombs, Amy Catalani, and Vance Vonderheid.


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Dallas Direct Distributing Co. LLC, Dallas,TX: Although it is one of the newer producecompanies in Dallas, it comes with a wealth ofexperience. Dallas Direct Distributing procuresproduce and coordinates its transportation forthe Dallas-Fort Worth metroplex and its sur-rounding area.

The company handles a full line of pro-duce for the region, “also servicing all of thecontinental 48 states,” notes Steve Ford,founder and president. Its customer baseencompasses retail and wholesale customers.

In addition to president Steve Ford, LexMiles and Scott Ford, Steve Ford’s son,round out the staff.

Nogales Produce Inc., Dallas, TX: While itsexpertise in Hispanic produce is a major con-tributing factor to this 21-year-old company’sexplosive growth, it offers an increasinglydiverse list of produce selections from a widevariety of additional ethnic groups. “Every sin-gle month we try to introduce new products toour customers,” notes Monica Trevino, mar-keting coordinator, citing specialty items withChinese and Indian origins among those gain-ing the highest demand.

While fresh produce offerings comprise thebulk of its business, Nogales Produce also fea-tures a wide selection of dried chili peppers,herbs, spices, and other grocery and restau-rant supplies.

In addition to Texas, the company’s distrib-ution area covers a four-state region.

Hardie’s Fruit and Vegetable Co. LP, Dallas,TX: “One of our main initiatives continues tobe local, sustainable agricultural support,”reports Dave Allen, vice president of sales.“This has involved not only identifying localgrowers, but supporting them. It involvesmore support of organic produce and sup-port ing local farmers who are growingorganics. We’re doing promotions in cooper-ation with the Go Texan program.”

Coordinating this area is Bill Neely. “Bill isa chef by trade, so he’s well-suited for thisspecialized position,” explains president MarkAustin. “Bill is promoting and working withfoodservice distributors in these areas, includ-ing coordinating special events.”

“As the wholesale model continues toevolve and change, along with the grower-shipper community we’ve aligned ourselveswith, we are able to provide substantiallyincreasing value to both our suppliers andour customers,” Austin emphasizes. “Foodsafety is always at the top of our priorities,”he adds, pointing out the consistent, excep-

tional ratings awarded to Hardie’s by variousindependent food safety auditors and cus-tomer-affiliated inspectors. “Traceability isalso a key. I cannot emphasize enough ourattention to detail with every box of productthat comes through our facilities.”

Dallas Farmers Market, Dallas, TX: Mas-sive improvements continue at the down-town market, which remains a draw to localsand visitors alike. Janel Leatherman, marketadministrator, reports, “This is all a part of ahuge resurgence of downtown development,which also involves the addition of a parkand an urban market that will include a gro-cery store, eateries and other retail space,”she explains. “All the new townhouses thathave been built are filling up. The resur-gence is working.”

The Dallas Farmers Market is open sevendays a week, 362 days a year. Shed Onespace is mostly delegated to true producefarmers, with Shed Three for produce dealerswho buy and resell produce. Shed Four hous-es produce wholesalers. pb

than 10,000 team members, “who keepalive our founders’ principles of honest pric-ing, quality and freshness, outstandingselection, unparalleled guest service andcommunity involvement.”

United views giving back to the commu-nities as a great privilege. To that end, thechain has won several community serviceawards. In 2001, United Supermarkets wasnamed winner of the Better BusinessBureau’s (BBB) National Torch Award forMarketplace Ethics, joining previous win-ners including IBM and Sony Corporation.Most recently, United was named one of the“Best companies to work for in Texas” bythe BBB for three consecutive years.

Looking toward the future, Wilkins hasbeen given the challenge of expanding histeam “to provide a good mix of experienceand youth.” He and Kirby combine to repre-sent more than 70 years of produce experi-ence, and new team members are providingnew ideas, while being trained in the com-plexities of fresh produce. “We are expandingthe team, while keeping the core values thathave worked for us through our history,”Wilkins explains. “I have quite a passion forthe produce department and I hope to keepinstilling that into our team.” pb


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65J A N U A R Y 2 0 1 0 • P R O D U C E B U S I N E S S

http://www.coronamarketing.com


MERCHANDISING

REVIEW

MERCHANDISING

REVIEW

A Taste Of The TropicsTropicals boost produce department sales by offering a warm-weather feel.

B Y B R Y A N T W Y N E S

Industry experts maintain tropicals arebest merchandised as a group, whiledisplaying cut fruit exposes consumersto new products, thus boosting sales.

Snow-covered streets, ice-encrustedwindshields and sub-freezing tem-peratures have many people think-ing of warmer climates this time ofthe year. While certainly not a sub-

stitute for lounging on a sunny beach with arefreshing tropical beverage in hand, thereare myriad unique flavors waiting in theproduce department that can bring a taste ofthe tropics home to consumers any time ofthe year.

Tropicals, as they’re known, are theunique fruits — and some vegetables — thatare grown in tropical or subtropical cli-mates. Everyone is familiarwith two of the most populartropicals, bananas andpineapple; so much so thatwe often fail to think of themas part of the tropicals cate-gory. Others, such as mangos— the No. 1 selling fruit inthe world — and papaya —the fastest-growing item inthe category — have beensteadily increasing in popu-larity among Americanhouseholds. Enhancing thecategory are the spectacularand often unusual exotics,such as cherimoya, star fruitand Kiwano melons.

While many tropicalshave been viewed as strictlyethnic items in the past, that is no longerthe case. According to Mary Ostlund, direc-tor of marketing for Brooks Tropicals LLC,based in Homestead, FL, “Items such aspapaya are now mainstream, and are pur-chased by a variety of consumers looking toadd a little more variety into their diets.”

Charlie Eagle, vice president of businessdevelopment for Southern Specialties Inc.,headquartered in Pompano Beach, FL,attributes the growing interest in tropicalsto the popularity of ethnic restaurants.“Diners have been exposed to avocados,

papayas, persimmons and other tropicalsin Indian, Mexican, Asian or Caribbeanrestaurants,” he explains. “That translatesinto sales at the supermarket.”

Robert Schueller, director of public rela-tions for Los Angeles, CA-based Melissa’s /World Variety Produce Inc., agrees. “Expo-sure to tropicals by various sources fuelsconsumer interest.” Schueller credits themedia, including television cooking pro-grams and food magazines, for providingconsumers with new ways to enjoy thesenew, unfamiliar items.

UNIQUE PRODUCE —UNIQUE CHALLENGES

Due to the unique nature of the catego-ry, supermarkets are presented with a dif-ferent set of challenges, opportunities andbenefits when merchandising tropicals.

The first challenge is caring for the prod-uct at the point of sale. Educating retailassociates is essential, says Karen Caplan,president of Frieda’s Inc., headquartered inLos Alamitos, CA. Unlike other, more tradi-tional produce, refrigeration damages tropi-cals. Caplan notes there’s a temptation torefrigerate produce in an effort to prolongthe life and reduce shrink. However, exactlythe opposite will happen. “Remember, tropi-cals grow in very warm climates,” sheremarks. “Refrigeration is not helpful.”

Educating consumers is another, obviouschallenge, and one that presents an enor-mous opportunity for both suppliers andretailers. With so many different productsand varieties, consumers may not know

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how to purchase, store and enjoy some ofthe more unusual items, especially theexotics. Caplan recognizes this as the perfectopportunity to connect with shoppers. “Asproducts ripen in the stores, retailers shouldsee this as an opportunity to turn potentialshrink into sales,” she explains. “Offeringconsumers a taste of ripe fruit not only actsas a sales stimulator, but effectively takesadvantage of a potential shrink issue.”

Ostlund agrees, noting, “One of the bestexamples I have seen was a retailer thatwould take ripe tropical fruit, papayas forexample, cut it open and then display andsample it for their customers. This took allthe guesswork out of the buying and prepa-ration for customers.”

Exposing customers to some of the prod-uct as cut fruit is a real opportunity to gainsales. “We’ve been using cut pineapple —straight or as mixed fruit — for quite sometime,” reports Bob Spence, vice president ofretail sales for Ready Pac Produce Inc.,based in Irwindale, CA. “A couple of yearsago, we started offering cut mango, and it’sdoing very well.” Spence points out manyconsumers either don’t know how to cut amango or don’t want to do it. “Cut mango isnot easy to do, but it is proving popular, andit is a good way to introduce many cus-tomers to this popular tropical.”

BEST MERCHANDIS INGPRACT ICES

The ever-changing, seasonal productvariety offers retailers an opportunity topresent customers with impactful andinteresting displays. “The neat thing aboutMother Nature is that things are constantlychanging,” says Melissa’s Schueller. “Withseasonal varieties, there are no gaps intropical displays.”

There’s a general consensus among both

retailers and suppliers that the most effec-tive way to merchandise tropicals is as agroup. Southern Specialties’ Eagle maintainsretail produce executives have a specialopportunity to create a visual impact withtropicals. “The product has enough eyeappeal that, that alone can draw customersto a tropical display,” he explains.

Gary Myracle, executive director ofproduct field procurement for AssociatedWholesale Grocers Inc. (AWG), headquar-

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Top 5 Tips For Tropical 1. EEdduuccaattee. Store associates and cus-

tomers alike need to understand whatthese unusual items are, how to select,store and serve them. The Internet offersassistance with videos, recipes and dis-cussions, but retailers should take thelead via in-store information. Rememberto sample often!

2. UUssee uunniiqquueenneessss ttoo yyoouurr aaddvvaannttaaggee..The mere fact that many tropicals areunusual can pull customers in, and appealto their eagerness to explore uniquetastes. This could prove very effective mar-keting to children.

3. PPllaann ffoorr sseeaassoonnaall vvaarriiaattiioonnss.. Sometropicals have seasonal peaks, just as tradi-tional produce items do. Take advantageof these in promotions and displays.

4. EEnnggaaggee ccuussttoommeerrss wwiitthh mmaaiinnssttrreeaammiitteemmss.. Pineapple, mango, kiwi and othertropicals have become mainstream items.Use them to draw customers into your dis-plays, where they can be exposed to someof the more unusual items.

5. EExxppeerriimmeenntt wwiitthh vvaarriieettyy.. Work withyour suppliers to determine the best trop-icals mix for your stores, taking yourdemographics into consideration. pb

“As products ripen in

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— Karen CaplanFrieda’s Inc.

http://www.mmtropicals.com


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tered in Kansas City, KS, reports his com-pany’s field merchandisers get involvedregularly with their retail members to planpromotional events that highlight tropicals.“We typically recommend that all tropicalsare merchandised in a common displayarea,” he asserts. What’s more, he encour-ages AWG retailers to focus their efforts ondisplays that integrate mainstream tropi-cals, such as kiwi, mangos, pineapple andavocados, with some of the lesser-knownitems. This way, the draw of the well-known and better selling items expose cus-tomers to the unusual or exotics products,such as star fruit, guava or cherimoya.

Food Lion LLC, headquartered in Salis-bury, NC, and New England-based sistercompany, Hannaford, merchandise tropi-cals on a special Tropical Cart. GainesChamberlain, Food Lion produce merchan-dising manager, believes this display allowsthe store to place tropicals in various spotsaround the produce department, which fitswell into the company’s overall plan tokeep produce displays mobile.

PROMO AND MARKET INGOPPORTUNIT IES

Various seasonal promotions timed withproduct availability are typical. Myraclepoints out AWG always tries to develop pro-motions in the Spring that feature pineappleand mangos at the peak of the season. Buthe also believes that a great opportunityexists to not only drive incremental salesand gross margin — said to be the highest inthe department — with some unique brand-building themes. “Kiwi is now identified as asuper food, which helps a retailers’ reputa-tion in the health and wellness field,” Myra-cle explains. “At the same time, we’ve been

able to create a great value reputation withsome kiwi bin promotions.”

Many retailers have traditionally heldtropical events in the winter. “Why not putout something different, exotic and unusu-al in the dead of winter?” advises SouthernSpecialties’ Eagle.

There’s also the halo effect for the entiredepartment. Frieda’s Caplan believes offer-ing unique tropical fruit enhances thedepartment’s overall appeal, “which cancarry over to the entire store,” she notes,recalling a retail Taste of the Tropics eventthat involved other departments, including


Top 10Exotics

1. Strawberry Papayas2. Cherimoya3. Red Caribbean Papayas4. Kiwano Melon5. Passion Fruit (seasonal)6. Maradol papaya7. Plantains8. Quick Crack Coconut9. Guava (seasonal)10. Korean Pears (seasonal)

**Courtesy of Melissa’s / World Variety Produce Inc.

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Rambutans are one of the more exotic varieties of tropical fruit.

meat, bakery and canned products.Brooks’ Ostlund contends tropicals are a

good way to engage children in the producedepartment. “The industry is always con-cerned about childhood nutrition and get-ting kids to eat more fruits and vegetables,”she remarks. “Children are fascinated withstar fruit, red bananas, Kiwano melons andother unusual exotic fruit.” She recommendsincluding tropicals in any marketing pro-grams targeting children.

Perhaps one of the best marketing

approaches is to recognize the many possi-bilities tropicals offer retailers. “Melissa’sworks with retailers to find the best fit foreach store,” reports Schueller. “There is nocookie-cutter approach; one size does notfit all.”

Food Lion’s Chamberlain agrees, adding,“Tropicals provide the opportunity to matchvariety to neighborhood demographics, tooffer the best selection that will appeal toour customer base in any given location atany time of year.” pb

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http://www.acdfl.ca



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DRIED

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Tips For MaximizingPeanut Merchandising A variety of initiatives help boost year-round sales.

B Y J U L I E C O O K R A M I R E Z

Despite the proliferation of shelled peanuts for sale, many still prefer theirpeanuts in the shells.

Peanuts are just as much a part ofAmericana as baseball and applepie. Like much of the producecategory, peanuts have a certaindegree of seasonality — not in

terms of availability, but in popularity.Peanut sales tend to spike around the timeof big sporting events, such as the SuperBowl, The Masters and the NCAA Basket-ball playoffs. Lakeland, FL-based PublixSuper Markets Inc. even reports increasedsales connected to the schedules of localsporting teams. Many peanut vendorsreport sales increases during the holidays,too, when entertaining and baking bothcontribute to heightened demand for allnuts, including peanuts.

Vendors also experience a significant risein sales throughout baseball season, not justduring the World Series. Severn, NC-basedHampton Farms has experienced such asurge in interest, it has even launched aMajor League Baseball (MLB) officiallylicensed line of peanuts. It consists of 12-and 18-oz. bags of roasted and/or saltedpeanuts, packaged with the logos of 24 dif-ferent MLB teams.

In between the excitement of the SuperBowl and the first crack of the bat in thespringtime, however, peanut sales tend tolag. Come February, in particular, peanutsales fall precipitously, according to PeteJessup, Hampton’s director of retail sales. Infact, most vendors seem to have written offFebruary as simply the slowest month forsales, perhaps realizing that peanuts willnever rival chocolate as the way to a Valen-tine’s heart.

Seeking to boost sales during the slowmonths, the Alexandria, VA-based AmericanPeanut Council has designated March asNational Peanut Month to provide retailers a

marketing hook to promote peanuts andhopefully spur sales. It falls to retailers,however, to be creative in their approach tomarketing and merchandising peanuts ifthey hope to increase sales year-round.

Here are a few tips for maximizing themerchandising of peanuts year-round:

BOOST V IS IB I L ITY A highly impulse-driven category,

peanuts very much fall into the classifica-tion of “out of sight, out of mind.” It’s criti-cal, therefore, to keep peanuts in the fore-front of the consumer’s mind — and in theforefront of the store. Utilize secondary dis-plays as much as possible, so shoppers can’tpossibly make their way through the storewithout being confronted by peanuts. “Cus-tomers go to the store to buy a loaf of breador a gallon of milk,” says Terry “Peanut”Williams, national sales manager for E.J.Cox Co., in Clarkton, NC. “They don’t neces-sarily go to pick up a 2- or 5-lb. bag ofpeanuts, but if you make it readily available,they’re likely to put it in their cart.”

Target high-traffic areas and be sure totake advantage of cross-merchandisingopportunities. The beverage category is anatural fit because studies show that virtual-ly every peanut is consumed with a bever-age, according to Betsy Owens, executivedirector for the Nashville, NC-based Vir-ginia-Carolinas Peanut Promotions. It’s easyto assume that beer would be the beveragemost often consumed while eating peanuts,but soft drinks actually hold the top spot,according to Owens, followed by beer, thenmilk and water.

In the fall, peanuts can be merchandisedaround other fall favorites such as candyapples and apple cider, suggests Williams.“That’s when peanuts are harvested andpeople are apt to be looking for new cropproducts,” he explains.

During the summer, look for opportuni-ties to merchandise peanuts alongside otherwarm weather favorites, such as Americanflags, beach chairs and sunflower seeds, sug-gests Jessup. “We’ve been very successful incapturing sales from those kinds of summer

http://www.perishablenews.com


promotions,” he reports. “It’s something weare pushing for again this year and flushingit out as well.”

PLAY UP THE HEALTH ASPECTS

In recent years, the healthfulness of nutshas made headlines, so why not use thatnews to encourage peanut consumption andsales? “We’ve become a stronger industrybecause of the health benefits that go alongwith peanuts and learning how to promotethose benefits to the general public,” saysWilliams. Incorporate signage and brochurestouting the healthfulness of peanuts intoyour displays. E.J. Cox extols the healthfulbenefits of peanuts on its packages, whilethe Virginia-Carolinas Peanut Promotionsprovides merchandising materials toutingpeanuts as “the original health nut.”

This year in particular, it’s important toremind consumers that peanuts were notimpacted by last year’s peanut butter recalland are completely safe for them to eat.“The recall had a tremendous effect on theindustry as a whole,” says Joy Carter, direc-tor of communications for the Tifton-basedGeorgia Peanut Commission. “Consumerswere confused; they didn’t understand whatpeanut products were safe to eat.”

Fortunately, peanut butter sales bouncedback quickly. However, when it came topeanuts themselves, sales weren’t so quickto rebound. “There still was some indecisionabout peanuts,” says Owens. “Because theyare a discretionary item, as opposed to alunchbox staple, you don’t really have tohave them, so you don’t do the research to

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Practice Appealing Pricing

In these difficult economic times, it’simportant to offer peanuts in a varietyof package sizes and prices. At Winn-

Dixie Stores Inc., headquartered in Jack-sonville, FL, Mike Carter, senior categorymanager for produce, reports sales risewhen a 12-oz. package is offered, asopposed to a 16-oz. “When the pricepoint is better, it’s more attractive to cus-tomers and units are definitely up whenyou do that,” he explains.

While the impulse nature of peanutscannot be denied, it remains equallyimportant to feature them on ad, so con-sumers start thinking about peanutsbefore they even reach the store. In addi-

tion to featuring peanuts in his ads,Winn-Dixie’s Carter also has what hecalls “good tills,” where he will lock in aprice for an entire month, “like a Buy-One-Get-One-Free or a really good pricepoint,” he clarifies.

Such promotions are a wise move,according to Betsy Owens, executivedirector for the Virginia-Carolinas PeanutPromotions, headquartered in Nashville,NC, as peanuts have proven very sensi-tive to promotion. She points to NorthCarolina State University research show-ing that a mere 15 percent reduction inprice increases peanut sales by as muchas 48 percent. pb

trends and above all else, talk to customersand ask how they prefer to eat peanuts.

MAKE IT FUNMotivate your produce managers to pro-

mote peanuts by staging display contests.Winn-Dixie regularly sends out sales infor-mation and challenges its produce supervi-sors to “get up behind it,” says Carter. Mean-while, Virginia-Carolinas Peanut Promotionssponsors a display contest to spark greatersales. Participating stores submit photos ofdisplays they consider particularly eyeappealing or attention-getting. All partici-pants receive an “I Love Peanuts” T-shirt andwill be entered in a semi-annual drawing fora 50-inch LCD High-Definition television.

Consumer-related contests can also drawattention to the category. Simple initiativessuch as “Guess-how-many-peanuts-are-in-the-jar” slow the customer down and makethem stop at the peanut display, oftenresulting in a sale.

Owens of Virginia-Carolinas Peanut Pro-motions also recommends stores utilizesampling to encourage trial and boost sales.Such an initiative is relatively simple, shesays, in that all the produce manager needsdo is put out a basket of peanuts and a con-tainer for the discarded shells. All too often,however, she hears concerns that peoplewill devour a great many peanuts and thenleave without making a purchase. That con-cern is largely unfounded, Owens says.“Mostly people just have a taste and thenthey are encouraged to buy some.”

While brand sampling is “the simplestway to spur sales,” Jessup worries that in-store peanut sampling is impractical, inlarge part due to the growing number ofchildren with peanut allergies. “Because ofthe high concern of allergens, we don’t see alot of sampling going on,” says Jessup. pb

“There’s a lot of

people swaying

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because of allergens,

sanitation and the

upkeep required.

When you have a

combination of both

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that’s when you sell

the most pounds of

peanuts per store.”

— Pete JessupHampton Farms

find out if they are safe or not,” she adds. While most retailers and vendors just let

the scare run its course, some industrygroups embarked on initiatives to educateconsumers that it was safe to eat peanutsand peanut products. The American PeanutCouncil, for example, featured a list ofpeanut products on its Web site that werenot on the recall list.

MIX IT UPMany retailers have virtually abandoned

in-shell peanuts in favor of pre-packagedshelled product. For example, at Jack-sonville, FL-based Winn-Dixie Stores Inc.,in-shell peanuts have pretty much gone theway of the dinosaur, according to MikeCarter, senior category manager for pro-duce. “It’s all packaged now,” he says. “Wedo some green peanuts in bulk, but every-thing else has gone to packaged.”

This dramatic shift is due to a variety ofreasons, according to Hampton’s Jessup.“There’s a lot of people swaying away frombulk now because of allergens, sanitationand the upkeep required,” he explains. “It’sunfortunate because it’s been our experi-ence that when you have a combination ofboth bulk and packaged, that’s when yousell the most pounds of peanuts per store.”

Indeed, some consumers still prefer theold-fashioned in-shell peanut. According toWilliams of E.J. Cox, in-shell peanut saleshave remained steady for the past 10 years,despite predictions of the product’s demise.“At one time, it was feared that in-shellpeanuts might become the old-time productand that sales might dip, but we have notseen that,” he says.

Determining the mix of bulk and pack-aged nuts is a very individual choice andshould be based on a store’s demographics.Retailers should be advised to watch sales


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]

FLORALWATCH

TROPICAL DELIGHTS INFORT LAUDERDALEFlorida Nursery, Growers andLandscape Association, Orlando,FL, will host the 2010 TropicalPlant Industry Exhibition January14-16 at the Broward CountyConvention Center in FortLauderdale, FL. TPIE is the tradeevent that offers everythingfoliage, floral and tropical.Featuring more than 400 exhibit-ing companies, TPIE also offerseducational seminars.

Reader Service No. 336 Reader Service No. 337

2010 WFE SET FOR MARCHHPP Worldwide, Amsterdam,Netherlands, announces the 2010World Floral Expo will be heldMarch 9-11 at the Doubletree MiamiMart/Airport Hotel & ExhibitionCenter, in Miami, FL. Quality cut flowers will be displayed from morethan 15 countries from four continents. Country pavilionsinclude Colombia, Costa Rica,Ecuador, Ethiopia, Kenya andMexico. A Miami-based floral com-pany tour is scheduled for March10. A renowned Dutch floral design-er will provide continuous flowerbouquet demonstrations during allshow days.


MY FAIR WEDDINGPassion Growers, Miami, FL, a premium rose provider, hashelped four couples enjoy a dreamwedding on the hit televisionseries My Fair Wedding with DavidTutera on WE TV. The seriesbrings in a dream team led bycelebrity party planner, DavidTutera, on behalf of beleagueredfriends and family members, totransform what could be a disas-trous wedding into a platinum-style affair. Passion Growers’ roseswill be featured in four of the sea-son’s episodes, when Tutera takesthousands of roses and turns theminto stunning wedding décor anddisplays.


MAJOR FLORAL MERGERThe USA Bouquet Company,Miami, FL, announces a mergerwith United Floral Exchange andCal-Americas, both based in Vista,CA. The USA Bouquet Company isa leading floral distributor to food,drug and mass retailers with full-service distribution facilities inMiami, FL; Atlanta, GA; Chicago,IL; Dallas, TX; and New Jersey.United Floral Exchange and Cal-Americas are suppliers of fresh-cut flowers and bouquets to bothmass market retailers and tradi-tional retail florists.


EVE’S SEED KITSEve’s Garden Inc., Land-O-Lakes,FL, debuts its newest additions toits line of Seed Kits -- BONSAI BABYLAND and SNAPPY’S BOG. Theseunique kits are designed for chil-dren and adults to share theexcitement of growing bonsaitrees and SNAPPY’S “Bog-friends”from seed in adorable containers.The kit comes with everythingyou need; just add water.


ST. PATRICK’S DAY GEMBlossom Bucket Inc., NorthLawrence, OH, is sending the lucko’ the Irish for floral departmentgift displays with its Girl with Potof Gold collectible. The resin fig-ure, designed by Suzi Skoglund,measures 3 inches high x 3.25inches long.


DRESS IT UP WITH A BOWPotter Inc., Bryan, OH, offersHanging Basket Bows to gracefullyaccent any foliage or bloominghanging basket. These 6.5-inch,18-loop, hand-tied bows with mois-ture-resistant ribbon are ideal forgarden settings. Available ineveryday, Fall, Christmas,Valentine’s Day, Easter andMother’s Day colors, the hangingbasket bows arrive in packs of 24.


ANNOUNCEMENTS

FLOWER POWER CONTINUESburton & BURTON, Bogart, GA,introduces a stacked flowers vasemade of hand-painted resin, mea-suring 8 inches high with a 1.25-inch opening. Packed in sets ofthree, the Spring 2010 vase com-plements other fun, colorful floraldepartment products in the com-pany's Petal Pop Collection.

NEW PRODUCTS



FLORAL

&

FOLIAGE

MARKETING

FLORAL

&

FOLIAGE

MARKETING

Nurture Them With NatureFloral retailers choosing to offer fresh, long-lasting foliage plants are setting the scene for comfort-seeking consumers. Here are eight ways to enhance year-round foliage sales.

B Y E . S H A U N N A L D E R M A N

The longevity factor of foliage plants is a major selling point retailers can promote.

Macaroni and cheese salesduring the recession shouldbe meaningful to floralretailers. Surging sales vol-umes on additional comfort

items, such as chocolate and canned beefstew, also help paint a picture that mayencourage retailers to present the floraldepartment as comfort central.

During the difficult economy, savvyretailers monitoring the behavior of shop-pers have looked to other departments,including produce and meat, to see howconsumers reassure themselves. Thoughnot always on top of the shopping list, live,long-lasting foliage plants provide comfortand satisfaction.

INDUSTRY OBSTACLESThe foliage industry does not receive the

same spotlight as the floral side of the indus-try. Foliage industry members across NorthAmerica nearly answered in unison whenasked about the most frustrating element ofthe industry. For approximately the past 20years, despite increased costs in materials,labor and energy, the wholesale and retailprice of foliage plants has remained virtual-ly the same.

Pricing is always an industry topic, andduring the difficult economy, the quality-versus-price conversation continues. “In ourcompany’s experience, with more than 35years of growing ferns, I have learned notevery customer wants the cheapest product.In an industry that seems to be driven bythe cheapest price, growers are missing outon a segment of the market that wants a bet-ter quality — not just a cheaper price,” saysMarv Erickson, vice president of sales forRazbuton Ferns, in Winter Garden, FL.

Last minute ordering also continues tobe an industry thorn. Some growers arewondering if pre-booking has become a con-cept of the past. “If I could put in my wish

for 2010, I would ask for more pre-booking,”says Rick Vaughan, president of VaughanInc., in Sanford, FL. He is concerned toomany buyers habitually wait until the lastminute to submit purchase orders. Pre-book-ing orders throughout the year, not just forMother’s Day, is a buying method Vaughanbelieves would bring a little peace to anoften disorganized industry.

Bouquets, balloons and gifts are madeavailable for every day and special occasioncelebrations, but foliage plants are oftentaken for granted. Retailers can use the fol-lowing eight industry-provided suggestionsto enhance year-round foliage sales:

1)PUSH THE ECO ANGLEWith more eyes on the environment than

ever before, retailers should jump on the ecowagon and push the enviro-friendly qualitiesof plants. Stores tout their own efforts whenthey tell consumers their measures to makethe shopping experience more environmen-tally friendly. Marketing eco opportunities

throughout the year in the floral departmentcan strengthen this message.

Make it an Eco Easter by promotingplants as Easter basket treats. Gail Cash, pres-ident of Flori-Design Inc., in Eustis, FL,encourages retailers to remind consumersthat along with sweets, green goodies are fun,too. The Central Florida grower sells its trade-marked Little Pot of Horrors Venus Fly Trapplants throughout the year. Cash believes flo-ral departments can promote the green factorof plants in non-traditional ways.

“If consumers see themselves as environ-mental stewards, they will want to surroundthemselves with foliage plants to help cleanthe air in their homes,” says Ben Bolusky,executive director of Florida Nursery, Grow-ers and Landscape Association (FNGLA) inOrlando, FL. The 58-year-old organizationcollaborated with other industry entities toproduce a Think Green Live Green brochuretouting the air purification qualities of manyinterior foliage plants.

Some of the messages included in the

brochure are: “Plants improve indoor airquality by helping to remove chemicalssuch as formaldehyde and carbon monox-ide. Plants act as the lungs of an indoorenvironment. Plants thrive on carbon diox-ide and convert it into oxygen. The increasein oxygen allows humans to be morefocused, creative, attentive, happier andmost important, healthier.”

The health benefits provide instant mar-keting campaigns for floral departmentslooking to boost foliage sales. Retailers candownload a PDF of the Think Green LiveGreen brochure from www.fngla.org/greenfor free. FNGLA provides the file and link asan industry service.

“The bottom line is that plants are a lowcost solution to indoor air pollution,” saysFlori-Design’s Cash. She sees unlimited poten-tial to marketing the health benefits of foliage.

2)H IGHL IGHT LONGEVITYConsumers looking to buy a product that

will not be thrown away in a week shouldbe encouraged to buy plants. “I would likethe consumers to consider longevity of theproducts they purchase, and consider thatsome plants that cost a bit more will givethem years of value, compared to othersthat will normally die within a few weeks ormonths,” says Clint Bishop, director of salesand marketing for Schubert Nursery Inc.,Salinas, CA. He adds, “It would be nice ifpeople would consider that in the price theypay at the register, too. When you buy oneof our products, you generally won’t have toreplace it in months or years, so it actuallycosts less than many alternatives.”

Vaughan of Vaughan Inc. also believesthe longevity factor of foliage plants is amajor selling point that needs to be betterconveyed. “If taken care of, plants can last along time.” He sees opportunities for retail-ers to enlighten consumers.

Consumers like to feel good about theirplant purchases and buying quality, even ina challenging economy, meaning plants needto look good and perform well. “I would liketo see more buyers involved in visiting andlearning about the products we grow. Manytimes, the buyers are so bogged down indetail work they can’t get out and make theimportant trips that help them gain productknowledge and get up-to-date information,”explains Bishop of Schubert Nursery.

3) INV ITE CH ILDRENA Terrarium Club for Kids could be host-

ed once a month and new plant productscould be introduced. Retailers knowing theirdemographics choose a time when parentsor grandparents can easily bring the chil-dren into the store. Build enthusiasm for the

event on the store Web site and with in-store signage. Retailers can use plants asteaching tools by showing maps where cer-tain plants are grown, how they can beenjoyed in the home and how caring forplants makes people feel good.

Eve Johnson, president of Eve’s GardenInc., in Land-O-Lakes, FL, believes learningabout plants and the environment createsperfect together-time for families. The com-pany recently introduced two seed kitsdesigned for children. Bonsai Baby Landteaches children to grow their own bonsaitrees and Snappy’s Bog shows young enthu-siasts how to grow ferns and other plantsappropriate for bog conditions. Johnsonsays parents will especially appreciate theadditional information offered on a Web sitewhere children can register and becomegrower members.

4)CREATE REPEAT SALESFloral retailers can guest-sponsor a plant

craft project for members of a local organiza-tion showing shoppers what they can createwith items purchased in the floral depart-ment. Strategic planning will boost foliagesales during non-holiday periods when salesare especially needed. With a focus on thehome and hearth during a difficult economy,consumers often build their collections.Retailers can introduce a Plant-of-the-Monthand promote products on the store Web siteas a way to encourage plant collectors to pur-chase new varieties every month.

5)OFFER CONVENIENCEPlants and flowers can be intimidating

enough for many consumers without themhaving to search for prices or figure a wayto carry the product out of the store. For2010, Bishop of Schubert Nursery believesconvenience will be a key factor in boostingfoliage sales. “I see consumers going formore and more upgrades. I think the grab-and-go upgrades will continue to increase.As we have busier and busier lives, fewerpeople have time to shop for a plant, con-tainer and card separately,” explains Bishop.

6)PROVIDE CARE AND HANDL ING T IPS

Shoppers don’t want to look stupid whenit comes to plant care, but they don’t wantto ask for help. Or, some may want to ask,but often there is no store help around whoknows anything about plant care. Retailersshould provide plant care and handlinginformation with every floral departmentpurchase. When shoppers buy a package ofshoulder steak in the meat department, theprice label includes care and handling infor-mation and often cooking instructions. Cash

of Flori-Design believes retailers and grow-ers should work together to provide con-sumers with easy-to-follow care and han-dling information. Many retailers use storeWeb sites to provide plant care and plantidentification information.

7)CROSS MERCHANDISERetailers will want to look to other

departments and see how plant sales can beboosted by a few product placement efforts.The bakery may be located on the other sideof the store from floral. Some retailers offergrab-and-go plants for shoppers buying grab-and-go bakery goods. Watching the delidepartment or salad bar to monitor howmany office workers make to-go purchasesduring the lunch hour is also a strategicmeasure. Those same shoppers are potentialfoliage customers, because if they workclose enough to come in for lunch then theymost likely could carry a dish garden or pot-ted plant to place on an office desk.

8)ASK FOR FEEDBACKRetailers can think of the floral depart-

ment as a restaurant where the goal is tooffer the freshest items in season, presentthem in an appealing way at appropriateprices, and then ask for feedback from theconsumers. Retailers need to make it easyfor shoppers to indicate what they want byproviding feedback cards, which can becompleted and submitted in the store. AWeb site or e-mail address for shoppersinterested in submitting their commentsonline should also be provided. pb


“I would like

consumers to

consider longevity of

the products they

purchase, and

consider that some

plants that cost a bit

more will give them

years of value, com-

pared to others that

will normally die

within a few weeks

or months.”

— Clint BishopSchubert Nursery Inc.

http://www.fngla.org/green


Pricing Pendulum

During the early part of the 1970s, a large, high-qualityapple grower-shipper’s promotional pricing includedrequiring the retailer to reduce the advertised retailonly to the extent the retail gross profit margin wouldnot go below a certain level.

On the surface, this appeared to be a good program for everyone.Obviously, the consumer was able to receive a better value. Cross-shopping consumers caused limited pressure on other producers toalter their selling prices, thus marginally affecting retail competitors’apple sales. The supplier of the sale product obtained an increase involume, but when averaged with the amounts sold at regular marketprices, the overall average was more than acceptable.

The only problem was the retailer involved had surrenderedthe responsibility to control its marketing programs. Eventually,when the retailer began expanding the pro-curement horizon, the apple supplier began torecognize the retailer was the one to best setits own apple retail prices, regardless of costor prices of alternative items as the retailerhad the responsibility for its overall producesales, profits and marketing objectives in rela-tion to competitive activity.

In the years following, a nearly perfectstorm of opportunities occurred to place pro-duce retail operations in the driver’s seat whenit has come to having price control. Almostsimultaneously, the development of improvedvarieties, product globalization and more effi-cient distribution systems provided theincreased and improved product supply. Forseveral decades, there was steady growth innearly all phases of retail produce achievement.Consumers were happy, and while there wasinfrequent grumbling among commodity groups finding themselveswith excess supply, overall, producers were also beneficiaries.

Concurrently, an ever expanding price competition for packaged,dry grocery items was reducing those margins to levels requiringimproved perishable margins if retailers were to maintain overallprofitability. With the wide variance among stores in their produceoffering, it was becoming more apparent produce departments rep-resented a primary reason why consumers chose a particular storeor chain to frequent over another. Produce departments moved to belocated early in the shopping pattern and expanded the number ofSKUs on a year-round basis. Not to be lost in the producer retailerrelationship has been the gradual concentration of retail operators’buying power.

With the development of computerization, retailers began tounderstand the elasticity of price changes for individual itemsand relative price effects related to alternative items. Softwareprograms for developing the most effective pricing programs

now proliferate, being utilized by both retailers and suppliers ofmanufactured products.

One type of program being used is the adjustment of retail SKUsto improve price perception by utilizing customer sales data to cre-ate a price optimization, which balances revenue, volume and mar-gins. An initial step is segregating items into the three categories ofhighly elastic aggressive image-generating, competitively sensitivitypricing and profit margin generators. The primary objective is thereduction of average retail SKUs, while increasing profitability fromexpanded volume.

Even in the perishable world of dynamic supply and productcost, changes to this and similar retailing concepts are important forproducing groups to understand, as they try to cope with the produc-tion consequences nature deals them, in order to recognize the pro-

motional reactions that may be forthcomingamong the various retail entities.

As these sophisticated retail-marketing pro-grams were being developed, improving con-sumer economic conditions compensated forhigher prices providing increasing margins. Allwas well until the economy hit a wall in 2008.With continually increasing produce retails par-tially offsetting lower margins elsewhere in thestore, the apparent increase in fresh fruit andvegetable sales dollars was creating a decline inoverall produce tonnage. As a result, the pricingpendulum started to change

Retail promotional pricing once again start-ed to recognize the importance and contribu-tion of lower retails for highly elastic aggressiveimage items in an economy with nearly 20 per-cent of workers underemployed. Bananas,apples and potatoes — basic stomach fillers —

at a much lower price level generated “price-war” terminology, butmore importantly, department tonnage increases.

This year, apple growers in Michigan found they were harvestingone of the largest volumes in recent memory. After a year of nearlyrecord prices for the previous year’s crop, they quickly reacted withsubstantial price reductions gathering the attention of retailers overan ever-widening geographic area. With the opportunity for retailersto profitably promote a highly elastic image-generating item, Michi-gan producers have sold record volumes during the initial twomonths of their marketing season and some growers anticipate over-all dollar returns comparable with the previous year.

It is important for all segments of the produce industry tounderstand the complexities of current retail produce pricing pro-grams, their relationship to the overall retail marketing programand how both influence produce tonnage consumers purchase asthey react to the pricing pendulum swings caused by changing eco-nomic conditions. pb

By Dave DiverRETAILPERSPECTIVE

Retail promotional pricing once

again started to recognize the

importance andcontribution oflower retails for

highly elasticaggressive image

items.

Reader Service # 57

http://www.producebluebook.com


Freshfel: Promoting Produce InThe European Union — Part II

In Part I of this interview, PRODUCE BUSINESS explored the role ofFreshfel Europe within the continent’s produce industry, theorganization’s reach and the structure of its Board of Directors.In this, the concluding segment, the magazine will take a closerlook at some of the specific marketing initiatives undertaken,

as well as the group’s position on food safety, traceability, sustain-ability and organics.

Q: Freshfel issued a press release to promote the consump-tion of fresh fruit and vegetables to help with the preventionof H1N1. Has the organization pursued any other avenues ofeducating people about preventing the spread of the flu orhow fresh produce can benefit the overall health of a person’simmune system?

A: So far, Freshfel’s activities have been limited in this respect.But more is definitely needed in communicating the healthyaspects of fresh produce. In the particular case of the flu, fruit andvegetables have much to offer in regard to prevention, and ourobjective was to emphasize these simple, tasty options. More gener-ally, in regard to communication, it is difficult in the Europeanenvironment to communicate directly with consumers given thedifferences of culture, languages, etc. But Freshfel could streamlineand centralize information and assist those who more directly com-municate with consumers so they can benefit from the backgroundinformation prepared by Freshfel or some of its members. This isanother way to bring synergies within the sector.

Q: In 2007, Freshfel drew up a charter aimed at increasingthe availability of fresh fruit and vegetables in the workplace.How is this movement progressing?

A: This charter is to give a signal that changing behaviors andattitudes is possible. The charter is so far only signed up within theFreshfel membership. Many prominent members, having signedthe charter, now effectively offer more healthful options to employ-ees or visitors. To be successful, the charter should be extended wellbeyond the Freshfel membership, but unfortunately, resources atthe small scale Freshfel secretariat are lacking... We believe thatmentality can easily be changed, and it is not too difficult to movetoward more healthful snacks or lunch options at work. We havealso succeeded within the European Platform for Diet and PhysicalActivities to provide a fruit basket for delegates attending the meet-ing to enjoy. The fruit basket is very popular among the attendees,demonstrating that availability generates interest!

Q: Is Freshfel addressing the ever-pressing issues of foodsafety and traceability?

A: We have been dealing with traceability issues since 2000 with

the elaboration of fresh produce traceability standards betweenFreshfel and GS1 in anticipation of the upcoming general food lawin Europe, which would introduce compulsory traceability require-ments. Since then, the matter is punctually kept on the associa-tion’s radar screen to monitor new developments, namely somenew requirements within GlobalGAP, but also the U.S. develop-ment, which in a broad sense was inspired by the Europeanscheme. In general, food safety remains high on our agenda. InEurope, the matter is primarily influenced by the debate on activesubstances, the maximum residue limit and the sustainable use ofpesticides. The matters relating to microbiological criteria are lessacute in Europe than in the United States. Issues relating to privatestandards on GAP or GDP are also closely monitored, as well as leg-islative developments on marketing standards.

Q: Does Freshfel work with other international organiza-tions to promote the consumption of fresh produce? If so,which ones and to what degree? Are there any joint programsthat have been done?

A: As mentioned earlier, Freshfel is not carrying out programs,per se, or promotional activities. However, Freshfel cooperates onsuch matters with other organizations, such as other national fruitand vegetable associations at EU-level, which carry out such pro-grams. On an international level, Freshfel maintains contacts withinternational organizations, such as the World Health Organization,but also exchanges with PMA/PBH and United Fresh.

Q: What is Freshfel’s official position on Sustainability andOrganics?

A: Sustainable production and consumption will be a key issueduring the coming years, and it is of paramount importance toaddress these matters and will even grow in importance with theclimate change debate and all the related matters to this importanttopic. Several issues are at stake, ranging from terminology,methodology of calculation, targets and labeling. Organics is a mar-ket segment with a specific legislation that deserves to be followedcarefully. Moreover, organics are becoming more and more a partof consumers’ preferences or part of public authorities’ require-ments, as recently demonstrated by the new EU requirements for“green public procurement.” Besides, other market segments basedon other methods of production should also be kept in our mind, asthe conventional production, and also more importantly, productgrown under the integrated production method. It will be importantto develop European guidelines for integrated production. For thetime being, these common guidelines are not available, despite thefact that product grown under integrated production represents thelargest produce segment. pb

EUROPEANMARKET

Interview By Jennifer Leslie Kramer

Mr. Phillippe Binard, general delegate of Freshfel Europe, headquartered in Brussels, Belgium.

2009 MARKETING EXCELLENCE AWARD WINNERS

• California Giant Berry Farms• California Table Grape Commission• Chilean Avocado Importers Association• Chiquita/Fresh Express• Coast Produce Co. Inc.• Eurofresh Farms• Giumarra Bros. Fruit Co. Inc.• Idaho Potato Commission• National Mango Board• New York Apple Association• Network For A Healthy California• Ontario Apple Growers• Produce For Kids• Riveridge Produce Marketing Inc.• Sambrailo Packaging• Tanimura & Antle Inc.• University of Massachusetts

To participate, send us the following:

1. Your name, company, address and phone.

2. Type of business.

3. Names and dates of promotion (must have takenplace between June 1, 2009 and June 1, 2010).

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 photos to illustrate the promotionare encouraged. (Please do not send any produce)

TURN YOUR MARKETING

INTO ANAWARDINGEXPERIENCE

Right now, and on through June 4, 2010, we’retaking entries for the 22nd Annual MarketingExcellence Awards Program, presented byPRODUCE BUSINESS. The awards recognizeexcellence in marketing in each of five categories:retailers, restaurants, wholesalers, shippers andcommodity organizations. Print, broadcast andother media are eligible to win.

SEND ENTRIES TO:

PRODUCE BUSINESS MARKETING EXCELLENCE AWARDS

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

Deadline for entries is June 4, 2010

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


INFORMATIONSHOWCASE

Receive supplier information fast using the Produce Business Information Showcase. Here’s How:1) Please go to www.PRODUCEBUSINESS.com and click on The Electronic Rapid Response Card and enter the Reader

Service numbers that correspond to the ad and the information showcase.2) Contact the advertiser directly via the Web site, e-mail, phone or fax listed in the ad.

COMPANY PAGE # RS# PHONE FAX COMPANY PAGE # RS# PHONE FAXJANUARY 2010

While much has changed in the cityof Detroit, MI, especially recently,the produce industry has managedto keep its longstanding ties to thecity intact, most notably in the form

of the Detroit Produce Terminal. Built in 1929, theTerminal included an auction house, (pictured atright) where lively produce auctions would take placeon a regular basis. Though the auction room remainsin the Terminal building, it is currently unused, as reg-

ular produce auctions stopped back in the 1980s. Ben B. Schwartz (inset) of Ben B. Schwartz and Sons Inc. is seen attending this

auction in 1945 — he is seated in the third row, third from the right, with the hatand glasses — presumably poised to purchase produce for his business, which hefounded with his wife, Belle, in 1906. His company was actually the first to receive a railcar ofproduce from the Pennsylvania Railroad Co. Freight Bill No. 1, dated July 1, 1929, was made outfor 448 50-lb crates of Georgia-grown bell peaches that were sold for 73 cents each.

Chris Billmeyer, president and CEO, who is married to Ben’s grandaughter, Janice, remarks,“There are so many possibilities in and around the Detroit Produce Terminal. If you’re going tolament all of the changes in Detroit, you will miss the opportunities. The future is happening aswe speak,” and Ben B. Schwartz and Sons Inc. is ready to tackle it head-on with a recently complet-ed new staging area, nine truck bays and two large coolers — one exclusively for wet vegetables.

Blast from the

Past

The Blast from the Past is a regular feature of PRODUCE BUSINESS. We welcome submissions of your old photos, labels or advertisements along with suggested captions. Please send materials to:Editor, PRODUCE BUSINESS, P.O. Box 810425, Boca Raton, FL 33481-0425, or e-mail [email protected]

Agrexco USA, Ltd. . . . . . . . . . . . . . . . . . . . . . . . . . . . 34 ....................66 ....................718-481-8700 ..............718-481-8710

Basciani Foods, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . 32 ....................48 ....................610-268-3044 ..............610-268-2194

BelleHarvest Sales, Inc. . . . . . . . . . . . . . . . . . . . . . . . 70 ....................17 ....................800-452-7753 ..............616-794-3961

Blue Book Services. . . . . . . . . . . . . . . . . . . . . . . . . . . 79 ....................57 ....................630-668-3500 ..............630-668-0303

Booth Ranches, LLC. . . . . . . . . . . . . . . . . . . . . . . . . . 52 ....................39 ....................559-626-7653 ..............559-626-4818

Brooks Tropicals. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 67 ....................12 ....................800-327-4833 ..............305-246-5827

Canadian Produce Marketing Association . . . . . . . . . 70 ......................4 ....................613-226-4187 ..............613-226-2984

Capital City Fruit Co., Inc. . . . . . . . . . . . . . . . . . . . . . . 58 ....................34 ....................515-981-5111 ..............515-981-4564

Champ’s Mushrooms. . . . . . . . . . . . . . . . . . . . . . . . . 30 ....................43 ....................866-Champs1 ..............604-607-0787

Chilean Avocado Importers Association . . . . . . . . . . 37 ....................35 ....................202-626-0560

Chilean Fresh Fruit Assoc. . . . . . . . . . . . . . . . . . INSERT ..............................................916-927-1217 ..............916-927-1297

Combs Produce Company . . . . . . . . . . . . . . . . . . . . . 63 ....................62 ....................800-466-6086 ..............214-747-1070

Corona Marketing Co. . . . . . . . . . . . . . . . . . . . . . . . . 65 ....................49 ....................805-346-2114 ..............805-346-8138

Customized Brokers . . . . . . . . . . . . . . . . . . . . . . . . . . 36 ....................50 ....................305-471-8989 ..............305-471-8988

D’Arrigo Bros. Co. of New York . . . . . . . . . . . . . . . . . 57 ....................33 ....................800-223-8080 ..............718-960-0544

Dole Fresh Vegetable Co. . . . . . . . . . . . . . . . . . . . . . . . 2 ....................67 ....................800-333-5454 ..............831-754-5243

dProduce Man Software. . . . . . . . . . . . . . . . . . . . . . . 58 ....................51 ..................888-PRODMAN ..............650-712-9973

East Coast Brokers & Packers, Inc. . . . . . . . . . . . . . . 83 ....................52 ....................800-557-7751 ..............863-869-9850

Eclipse Berry Farms, LLC . . . . . . . . . . . . . . . . . . . . . . 64 ....................11 ....................310-207-7879 ..............310-207-7868

Edinburg Citrus Association. . . . . . . . . . . . . . . . . . . . 54 ....................38 ....................956-383-6619 ..............956-383-2435

Fisher Capespan. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39 ......................3 ....................800-388-3074 ..............514-737-3676

Genpro Transportation Services, Inc.. . . . . . . . . . . . . 69 ..............................................800-243-6770 ..............973-589-1877

Giorgio Fresh Co. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30 ....................40 ....................800-330-5711 ..............610-429-3810

The Giumarra Companies. . . . . . . . . . . . . . . . . . . . . . 43 ....................54 ....................520-281-1981 ..............213-628-4878

Grower Alliance, LLC . . . . . . . . . . . . . . . . . . . . . . . . . 48 ....................16 ....................520-761-1921 ..............520-377-9189

Hess Brothers Fruit Co. . . . . . . . . . . . . . . . . . . . . . . . 70 ....................24 ....................717-656-2631 ..............717-656-4526

Highline Mushrooms . . . . . . . . . . . . . . . . . . . . . . . . . 32 ....................56 ....................519-326-8643 ..............519-326-7222

Ideal Sales, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62 ....................14 ....................800-999-7783 ..............214-421-0277

Index Fresh of California . . . . . . . . . . . . . . . . . . . . . . 17 ......................8

Inline Plastics Corp. . . . . . . . . . . . . . . . . . . . . . . . . . . 25 ....................20 ....................800-826-5567 ..............203-924-0370

Interex Corp.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44 ....................32 ....................888-441-8676

JAC. Vandenberg, Inc. . . . . . . . . . . . . . . . . . . . . . . . . 39 ....................63 ......................914-96-5900 ..............914-964-5901

Jem D International . . . . . . . . . . . . . . . . . . . . . . . . . . 45 ......................6 ....................519-733-3663 ..............519-733-9970

Keystone Fruit Marketing, Inc. . . . . . . . . . . . . . . . . . . 71 ....................58 ....................717-597-2112 ..............717-597-4096

Tom Lange Co. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61 ....................64 ....................217-786-3300 ..............217-786-2570

LGS Specialty Sales, Ltd. . . . . . . . . . . . . . . . . . . . . . . 53 ......................1 ....................800-796-2349 ..............718-542-2354

Lisa Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42 ......................7 ....................520-281-1863 ..............520-281-2848

M&M Farms, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68 ....................30 ....................800-634-7898 ..............305-233-0813

Mann Packing Company, Inc.. . . . . . . . . . . . . . . . . . . . 9 ......................5 ....................800-884-6266 ..............831-422-5171

Market Source . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48 ....................25 ....................262-671-2108 ..............414-906-8809

MIXTEC Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68 ....................41 ....................626-440-7077 ..............626-440-1557

National Watermelon

Promotion Board . . . . . . . . . . . . . . . . . . . . . . . 14-15 ....................31 ....................407-657-0261 ..............407-657-2213

New York Apple Association, Inc. . . . . . . . . . . . . . . . 71 ....................60 ....................585-477-7200 ..............585-477-6770

Niagara Fresh Fruit Co.. . . . . . . . . . . . . . . . . . . . . . . . 71 ....................13 ....................716-778-7631 ..............716-778-8768

Northern Plains Potato Growers Assn. . . . . . . . . . . . 19 ....................36 ....................218-773-3633 ..............218-773-6227

Nova Produce, LP . . . . . . . . . . . . . . . . . . . . . . . . . . . 42 ....................65 ....................239-444-1140 ..............239-592-9392

Pandol Brothers, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . 38 ....................22 ....................661-725-3145 ..............661-725-4741

Phillips Mushroom Farms . . . . . . . . . . . . . . . . . . . . . 31 ....................29 ....................800-722-8818 ..............610-444-4751

Produce for Better Health Foundation . . . . . . . . . . . . 27 ....................61 ....................302-235-2329 ..............302-235-5555

Produce Pro Software . . . . . . . . . . . . . . . . . . . . . . . . 34 ....................68 ....................630-395-0535 ..............630-572-0390

Red Blossom Farms, Inc. . . . . . . . . . . . . . . . . . . . . . . 64 ....................26 ....................805-981-1839 ..............805-693-0032

Rice Fruit Company . . . . . . . . . . . . . . . . . . . . . . . . . . 71 ....................21 ....................800-627-3359 ..............717-677-9842

Riveridge Produce Marketing, Inc.. . . . . . . . . . . . . . . 71 ....................23 ....................800-968-8833 ..............616-887-6874

SAGARPA - Embassy of Mexico . . . . . . . . . . . . . . 46-47 ....................47 ....................202-728-1729 ..............202-728-1728

Sambrailo Packaging . . . . . . . . . . . . . . . . . . . . . . . . . 28 ....................19 ....................800-563-4467 ..............831-724-1403

Sounteast Produce Council . . . . . . . . . . . . . . . . . . . . 13 ....................27 ....................813-633-5556 ..............866-653-4479

Success Valley Produce . . . . . . . . . . . . . . . . . . . . . . . 64 ....................28 ....................805-240-2333 ..............805-240-2330

Sun World International . . . . . . . . . . . . . . . . . . . . . . . 39 ....................62 ....................661-631-4160 ..............760-398-9613

SunnyRidge Farm, Inc.. . . . . . . . . . . . . . . . . . . . . . . . 64 ....................55 ....................863-299-1894 ..............863-299-7794

Tanimura & Antle, Inc. . . . . . . . . . . . . . . . . . . . . . . . . 84 ....................37 ....................800-772-4542 ..............831-455-3915

Thomas Produce Sales, Inc. . . . . . . . . . . . . . . . . . . . 42 ....................42 ....................520-281-4788 ..............520-281-2703

Trinity Fruit Sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38 ....................44 ....................559-433-3777 ..............559-433-3790

United Fresh Produce Association . . . . . . . . . . . . . . . . 7 ....................45 ....................202-303-3400 ..............202-303-3433

United Fresh Produce Association . . . . . . . . . . . . . . . 49 ....................46 ....................202-303-3400 ..............202-303-3433

Well-Pict Berries. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64 ....................18 ....................831-722-3871 ..............831-722-6340

West Lake Fresh. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64 ....................15 ....................831-724-0644 ..............831-724-0117

Kurt Zuhlke & Association . . . . . . . . . . . . . . . . . . . . . 24 ....................10 ....................800-644-8729 ..............610-588-6245


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MARKETING MERCHANDISING MANAGEMENT ......came of age in his family’s retail grocery business,...

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