Friday, May 2, 2014

Does e-commerce hold the key to emerging markets?

Hershey continues its focus on sustainability with CSR goals | Gluten-free market size, consumer behavior hard to pin down | Grocery Aisle
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May 2, 2014
GMA SmartBrief
News for the food, beverage and consumer packaged goods industry
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Hershey continues its focus on sustainability with CSR goals
Hershey has met 60% of its corporate social responsibility goals and is on track to complete the remaining 40% on time, the company says. Hershey has doubled its commitment to obtaining 10% of its cocoa from sustainable sources, achieved 100% use of Mass Balance Roundtable on Sustainable Palm Oil-certified palm oil, and exceeded the goal of signing up 25,000 Ghanaian cocoa farmers in CocoaLink while also launching the program in Ivory Coast. The company has set new goals to be met by 2017, which include reducing greenhouse gas emissions an additional 10% and achieving a 90% recycling rate. FoodBusinessNews.net (free registration) (5/1), CandyAndSnackToday.com (5/1)
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SAS® Gives Nestle A Flavor for What's to Come
Nestlé Direct Store Delivery improved forecasting accuracy four percentage points and increased service levels with help from SAS Demand-Driven Forecasting. The company is now able to hold inventory costs flat, and its sales force can better plan profitable sales promotions. Read the success story.

Trends
Gluten-free market size, consumer behavior hard to pin down
The gluten-free category is set to grow about 40% for the next few years, according to industry experts, however, the size of the market can be misleading. Mintel pegged it at $10.5 billion, but that number includes any product with gluten-free on its label and foods that are naturally gluten-free. "Only 2.5% of U.S. households are heavy buyers of gluten-free products -- they are spending $185 a year and they are driving two-thirds of the sales of the market," said David Sheluga, director of commercial insights for ConAgra Mills. "I'm not seeing the evidence that fad dieters are buying [specifically formulated] gluten-free products -- they may just be cutting down on bread and avoiding donuts and cookies." FoodNavigator (5/1)
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Welcome Aboard: A Guide to Small Business Hiring
Small Business Owners are powered by their people. To be successful, small businesses need to act thoughtfully when it comes to finding good candidates. They need to carefully review their labor needs, navigate the interview process to hire the best and recognize and reward employees' achievements. In this white paper sponsored by American Express OPEN, learn how to hire smart. Download the free white paper now.

SmartBrief Originals
Grocery Aisle: Take a look into the consumer packaged goods and grocery industries with SmartBrief
Does e-commerce hold the key to emerging markets?
E-commerce is likely to take a leading role as food makers expand their efforts to reach growing middle classes in emerging markets in Asia, Africa and South America, writes Clavis Technology's Simon Glass. "Online and mobile commerce is giving the emerging middle class in these areas a more efficient and streamlined way of accessing consumer products from around the globe," he writes. SmartBrief/SmartBlog on Food & Beverage (5/2)
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Advertising & Marketing
Planters returns to its peanut focus with new flavor ads
Planters is getting back to its origins with a new set of peanut flavors, to be introduced by Mr. Peanut in a series of ads. The ads from TBWA build on the "Power of the Peanut" campaign launched last year and feature people taking on the characteristics of the peanuts from indulgent to salty and sweet. Advertising Age (free access for SmartBrief readers) (5/1)
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Coke wants to "Do Good" with Chinese water brand
Coca-Cola is rolling out a Chinese socially responsible bottled-water brand that uses proceeds to deliver clean water to children in rural areas. The Ice Dew "Chun Yue" brand will retail slightly higher than competitors, but targets millennials who are more socially conscious and see bottled water as a necessity because of pollution concerns. "This is the right category because water impacts everyone," said Coca-Cola's Pratik Thakar. Advertising Age (free access for SmartBrief readers) (5/1)
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Data: Chobani doubled rival Oikos' ad spend in Q1
Chobani spent $31.4 million on five TV ads in the first quarter, covering major networks and events such as the Olympics. Chobani also handily outspent rival Oikos, which shelled out $14.6 million on three ads, according to iSpot. Despite the smaller spend, Oikos generated more online views and social actions with its "The Spill" Super Bowl spot, compared with Chobani's "Ransacked" effort. The Wall Street Journal (tiered subscription model)/CMO Today (5/1)
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Retail Spotlight
How Harris Teeter, Kroger are embracing change
Harris Teeter is in the midst of integrating into Kroger's 2,600-unit chain after Kroger's January acquisition of the company. Kroger CEO Rodney McMullen says the companies are embracing change by sharing ideas and pursuing possible growth in Harris Teeter's existing markets. "Change is fun," McMullen said. "... For us, when you merge, you're all on the same team." American City Business Journals/Cincinnati (5/1)
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Health & Wellness
Cherry juice shows potential as sleep aid
Cherry juice may help people suffering from insomnia, according to a new study from Louisiana State University. Researchers found that people who drank tart cherry juice in the morning and at night slept an average of 84 minutes longer and that the sleep was less interrupted than those who didn't drink the cherry juice. "Even though the amount of tryptophan in tart cherry juice is smaller than a normal dose given to aid sleep, the compounds in tart cherries could prevent the tryptophan from breaking down so it's able to work in the body more effectively," said researcher Frank Greenway in a press release. Science World Report (4/29)
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GMA News
Gain industry insight into sustainability best practices
Sustainability is now a front-of-mind issue for companies large and small, and managing your company's efforts toward this initiative is a critical factor in long-term growth within a global economy. Make plans to attend TPA's 2014 Global Suitability Summit from Aug. 13-15 to learn how to manage far-reaching strategic areas including packaging, waste, sourcing and more.
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SmartQuote
The ultimate test of a relationship is to disagree but to hold hands."
-- Alexandra Penney,
American artist and journalist
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