PREPARING TO CALL ON BUYERS WHAT DO YOU NEED TO KNOW?

FEBRUARY 25, 2014

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• Be prepared: learn about/understand the marketplace

• Put on your buyer “hat” – what does a buyer want and

what do they need to know?

• Packaging/labeling information and useful vocabulary

for selling food

• Tips on being professional and organized

OVERVIEW

WAYS TO LEARN ABOUT THE MARKETPLACE

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WAYS TO LEARN ABOUT THE MARKETPLACE

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WAYS TO LEARN ABOUT THE MARKETPLACE

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WAYS TO LEARN ABOUT THE MARKETPLACE

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• Visit stores and selling locations; note how things are displayed, signage used, pricing, sampling or promoted. Ask questions!

• Visit trade shows; join associations and participate in their events, read their materials and use their resources

• On-line research: trade websites, business journals, and special topics such as health or sports, travel and lifestyle

• Market research tip: research librarians can be really helpful

WAYS TO LEARN ABOUT THE MARKETPLACE

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• US Census Data – can help you pinpoint

demographics and target audiences for your products:

http://quickfacts.census.gov/qfd/index.html

• “Gorilla marketing”/market research tip: Students!

WEARING THE BUYERS ‘HAT’

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What motivates a buying decision?

How will your product HELP buyers with their needs

and goals?

Focus on the key benefits and attributes about your

products

Differentiate your products:

Packaging/sizes, flavors

“innovation” (techniques, ingredients…)

Services you provide

PACKAGING AND LABELING

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PREPARATION AND USE INSTRUCTIONS

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How is the product best prepared?

Consumers are literal; if directions state “serve

grilled”, that means you have researched the

preparation, and you give good instructions on your

packaging.

FOOD LABELING EXEMPTION

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Section 403(q) of the Federal Food, Drug, and Cosmetic Act

requires that packaged foods and dietary supplements have

nutrition labeling unless they qualify for an exemption

http://www.fda.gov/Food/GuidanceComplianceRegulatoryInf

ormation/GuidanceDocuments/FoodLabelingNutrition/ucm0

53857.htm

NET WEIGHT/QUANTITY

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Should the net quantity of contents be stated in both grams and ounces?

Answer: Food labels printed must show the net contents in both metric (grams, kilograms, milliliters, liters) and U.S. Customary System (ounces, pounds, fluid ounces) terms. The metric statement may be placed either before or after the U. S. Customary statement, or above or below it. Each of the following examples is correct (additional examples appear in the regulations):

Net wt 1 lb 8 oz (680g)

Net wt 1 lb 8 oz 680 g

500 ml (1 pt 0.9 fl oz)

Net contents 1 gal (3.79 L)

P.L. 102-329, August 3, 1992; 21 CFR 101.105

NUTRIENT CONTENT CLAIMS

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Based upon nutrition content from your nutrition label

“Cholesterol free”

“High in Vitamin C”

“Low Fat”

“Fat Free”

Federally allowable claims

NLEA “Nutrition Labeling and Education Act” http://www.fda.gov/ICECI/Inspections/InspectionGuides/ucm074948.htm

INGREDIENT STATEMENT

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Descending order by weight

The ingredient list on a food label is the listing of each

ingredient in descending order of predominance.

“Ingredients: Pinto Beans, Water, and Salt” 21 CFR 101.4(a)

http://www.fda.gov/food/guidancecomplianceregulatoryinfor

mation/guidancedocuments/foodlabelingnutrition/foodlabeli

ngguide/ucm064880.htm

NUTRITION FACTS PANEL

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HANDLING REQUIREMENTS

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“Keep Refrigerated”

“Keep Frozen”

“Refrigerate After Opening”

UPC WWW.GS1.ORG

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SHELF – LIFE STUDY & RESPONSIBILITY

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Microbiological

Aerobic Plate Count

Yeast and Mold

Coliform

Organoleptic

Visual

Over-all Product integrity

PROCESS CONTROLS

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Production Batch sheets

Lot Coding Systems

Recall Policy

Good Manufacturing Practices (GMP)http://www.fsis.usda.gov/OPPDE/rdad/FRPubs/00-014R/fda-gmpregs.htm

Food Industry Quality Control Systems; Mark Clute

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Sampling Protocol – Safety

Sampling Costs to Think About

FOOD VOCABULARY & USEFUL RESOURCES

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Broker/Rep – person/agency paid commission

BB – bill back (same as manufacturers charge back)

BOGO – buy one, get one (free)

Consumer testing/ focus groups – sensory work to identify preferences and attitudes about products

Distributor – Takes ownership of product, marks it up, and sells/delivers to customers

EDLC – Every day low cost

EDLP – Every day low price

FOOD VOCABULARY & USEFUL RESOURCES

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FOB -price from your warehouse or production site

GMP/GHP –Good manufacturing practices/Good handling practices

HACCP – Hazard Analysis Critical Control Point

OI – Off-invoice discount

POS – Point of Sale materials (product tags, signs, brochures)

PR – Public Relations

SKU – Stock keeping unit (shelf space)

Terms (such as 2% discount net 10)

ORGANIZE YOUR MESSAGES

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What is the story behind your product?

Shelf-life

Describe how product is packaged/units per case

Price

Minimum order

Delivery terms

Sampling/Demos/Marketing program

Contact information

BE PROFESSIONAL

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Your appearance – impressions make a difference

SAMPLE SAFELY

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BE PROFESSIONAL

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Practice delivering your story/messages out loud. Role

play with a friend, associate or to an imaginary buyer.

Develop your „elevator speech‟: be able to describe

what your product is and what it does quickly and

succinctly, i.e., the time it would take to be on an

elevator!

BE PROFESSIONAL

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BE ON TIME for appointments

Have your paperwork, samples and information

organized and present them neatly, (and samples

safely)

Don‟t make promises you can‟t deliver

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LISTEN

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INCLUDE CONTACT INFO & INFORMATION

IF DROPPING OFF SAMPLES – FOLLOW-UP

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BE AN AMBASSADOR FOR YOUR PRODUCTS, READY TO SHOW/TALK ABOUT THEM!

A WEALTH OF OPPORTUNITIES

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• Share and learn from and with your colleagues, peers

and the marketplace – ask questions

• Take advantage of resources

• Don‟t be afraid to practice your presentations

• Be organized, professional and only make promises

you can deliver

• Don‟t be afraid to have fun and show your

enthusiasm!

• Thank the buyer for his/her time and follow-up

THANK YOU!

LAURA BARTON

OR Dept of Agriculture

&

SARAH MASONI

OSU Food Innovation Center 503-872-6680

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