MARKETING STRATEGIES: MAXIMIZING MARKETING STRATEGIES TO SERVE HISPANIC CONSUMERS

MAXIMIZING MARKETING STRATEGIES TO SERVE HISPANIC CONSUMERS

Published April 16, 2014 in Food Product Design

Posted in News, Market Research, Market Trends, Hispanic, Demographic, Retail, Foodservice, Snack Foods, Beverages, Bakery / Cereal, Frozen / Refrigerated Foods, Convenience Foods, Meat Products,Dairy, Fruits / Vegetables, Costs, Economics, Ethnic, Proteins, Consumer Preference, Nutrition, Diet,Sauces / Gravies / Soup, Grains / Pasta / Tuber

CHICAGO—A group of six companies formed a new industry alliance to develop ways to help marketers, advertisers and retailers maximize effective best practices and marketing strategies to best serve Hispanic consumers. The consortium includes IRI, Latinum Network, Univision, Telemundo Media, UM and Rentrak.

U.S. Hispanic consumers are a powerful and growing economic force with a buying power in excess of $1 trillion, driven by a population 56 million strong that is expected to grow to 131 million people by 2050. Despite the tremendous potential of this market, less than 5% of current media is devoted to advertising, representing a spending gap of approximately $22 billion.

The consortium—unique in its breadth and scale in understanding the impact of marketing activities geared toward Hispanics—has two primary goals: To develop a scorecard of brands’ performance and traction with Hispanic consumers relative to their peers and industry; and to enable members to maximize the impact of advertising targeting Hispanics by building Hispanic brand strategies and a “total market" approach that balances general market and multicultural investments.

Highlights of the Hispanic Marketer’s Playbook will include efficient Hispanic reach generation strategies; Hispanic engagement and impact through social and mobile media; synergy and halo of Hispanic media with promotional levers; impact of dubbed and translated commercials versus original Spanish language creative effects; show integration strategies and effectiveness; and creating Hispanic research and metrics frameworks for success.

The study will leverage IRI’s proven Hispanic Mix Drivers platform—a powerful marketing-mix modeling platform that incorporates robust statistical techniques in modeling Hispanic sales trends and quantifying Hispanic marketing lifts. The modeling rigor is balanced with heuristics derived from a massive industry benchmarks database collected from a multitude of consumer behavior studies conducted over a 10-year period. The modeling engine is further enriched by cross-media audience data through the consortium alliance and IRI’s network of resources.

The study will enroll participants in April and through June 2014. Participants will receive results on their brands in August 2014 through in-depth review sessions. Macro insights distilled from across all participating brands ,as well as the Hispanic Marketing Playbook, will be unveiled at a industry event targeted for Fall 2014.

FPD’s Take:
Understanding which product categories appeal to each Hispanic consumer group will be critical to effectively connecting with these consumers and understanding the situations and motivations that drive category consumption will enable food companies to influence future sales to these
Hispanics make up 17% of the U.S. population, wield $1.2 trillion buying power and are more brand loyal with a lesser emphasis on price-point compared to the national average, according to data from Association of Hispanic Advertising Agencies (AHAA). The findings suggest consumer packaged goods brands that focus on Hispanic marketing are most likely to see more rapid topline revenue growth than those who are not as focused on the market.

Not only do Hispanics represent 56% of the U.S. population growth between 2000 and 2010, but they spend more time and money per trip to the grocery store than the national average, they bring more family members with them to shop. Data showed a significant difference in the revenue growth rate attained by CPG companies that designate a higher focus to the Hispanic market than those corporations who focus less.

Sources:

• IRI: New Industry Alliance to Accelerate Effectiveness of Marketing to Hispanics

MARKET ENTRY STRATEGY: BRANDAID Food Inc.launches Consulting Services for Retail, Wholesale & Food Service listings

CONSULTING SERVICES OVERVIEW

Want your product listed in Canada?

PROJECT REVIEW, PLAN DEVELOPMENT AND ADMINISTRATION

1. CLIENT PRE-ENGAGEMENT REVIEW

·         Listing Fees

·         Promotional Funding, Trade, Promo & Deduction Management

·         HACCP, Global Gap, etc.

·         Warehousing, Storage, Handling

·         Pallet and Returnable Container Tracking

·         Budgets – Branding, Marketing ,  Supply/Logistics

            In all cases, strategies for dealing with deficiencies will be developed.

2. MARKETING PLAN PREPARATION AND DELIVERY

·         Store checks - product and shelf facings

·         Competitor Analyses

·         SWOT analyses, pricing, features, conclusions

·         Store checks for product and shelf facings

·         EDI setup

·         GS1 listing

·         Branding strategy

·         Package design

·         Sales strategy

·         Promotional program

·         Test marketing

·         Launch strategy

3. BROKER PLAN

·         Interview suitable brokers

·         Sign where required

4. SUPPLY AND LOGISTICS STRATEGY

5. CLIENT PRESENTATIONS

·         Presentation of SKU

·         Purchasing department dealings

Contact:

Bruce MacDonald

President & CEO

BRANDAID Food

bmacdonald@brandaidfood.com

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Check out my new e-book entitled: Social Media Marketing in Agri-foods - Endless Profit and Painless Gain

The book is available on Amazon and Kindle for $4.99 USD. Visit amazon/Kindle to order now:
http://www.amazon.ca/Social-Media-Marketing-Agri-Foods-ebook/dp/B00C42OB3E/ref=sr_1_1?s=digital-text&ie=UTF8&qid=1364756966&sr=1-1

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FOOD SERVICE: 5 TRENDS TO SPUR FOOD SERVICE GROWTH IN 2014

5 TRENDS TO SPUR FOOD SERVICE GROWTH IN 2014

Published December 23, 2013 in Food Product Design 

Posted in News, Market Research, Market Trends, Foodservice, Restaurant, Fast Casual, Menu, Healthy,Financial Reports, Mintel, Costs, Quality, Pizza, Taste, Flavor, Technology, Sustainability, Demographic,Hispanic

CHICAGO—The U.S. restaurant industry can expect a 5.9% increase in sales in 2014, from $438 billion in 2013, spurred by five trends to hit food service in the coming year, according to Mintel.

The trends, identified by Julia Gallo-Torres, category manager, U.S. foodservice reports at Mintel, predict:
1.  Fast Casual Pulls Ahead—The impressive growth of the fast casual segment demonstrates consumers, who are still focused on price, are willing to pay more for foods they consider to be of better quality or healthier. A slew of new concepts focusing on customization, speed of service and convenience, have sprouted. These include higher quality burger chains; concepts more firmly focused on health and a rash of pizza restaurants that can deliver a fully-cooked, customized pizza in a matter of minutes.

2.  Premium Proves Practical—Not to be left behind, full-service concepts are mimicking the winning ways of fast casual restaurants. For example, several full-service brands are testing or have launched concepts that utilize the speedier fast casual service model. This is important especially during the lunch rush, when consumers don't have the time to wait. Other tactics include launching healthier, more flavorful menu items and employing technology to speed up the dining experience.

3.  Open Book Business Practices—More than ever, foodservice consumers are questioning the origin of their foods and they are demanding transparency not only in ingredient sourcing, but in general business practices, including the treatment of animals and employees. Consumers are interested in patronizing restaurants and buying brands that reflect their own values. Concepts that understand this and offer more information about their green practices or the causes they support stand to reap the rewards of increased loyalty.

4.  Due Demographic Diligence—Operators have been obsessed with Millennials. It's understandable, as they are the ones most likely to dine out in almost every restaurant segment. However, other demographics also present growing opportunities:

• Hispanics tend to dine out in larger groups and their population is increasing. Their spending power is expected to reach nearly $1.7 trillion by 2017, meaning serving this rapidly expanding community will be key to growth.
• Women visit restaurants less than men and this is likely due to their being more health- and budget-conscious. This indicates restaurants need to do more in terms of pricing, atmosphere and menu to gain momentum with this group.
• Baby Boomers enjoy dining out and have more disposable income than other demographics, but few marketing campaigns specifically target them.

5.  Technology Interface Revolution—Restaurants are increasingly using technology to cut service times, and to offer loyalty programs, promotions and discounts electronically. Furthermore, in-store tabletop tablets and menu boards offer nutritional and other information, while reducing order, wait and check out times. Brands are redesigning their websites to allow consumers to gain all the information they want with as few clicks as possible. This includes making their sites more attractive and useful via smartphones, which consumers rely on more and more for staying organized and gaining information.

Sources:

• PR Newswire: Mintel announces five key US foodservice trends for 2014

Check out my new e-book entitled: "Social Media Marketing in Agri-Foods: Endless Profit and Painless Gain"

The book is available on Amazon and Kindle for $4.99 USD. Visit amazon/Kindle to order now:
http://www.amazon.ca/Social-Media-Marketing-Agri-Foods-ebook/dp/B00C42OB3E/ref=sr_1_1?s=digital-text&ie=UTF8&qid=1364756966&sr=1-1

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CONVENIENCE STORES MOVE IN ON FOODSERVICE

Published December 20, 2013 in Food Product Design

Posted in News, Market Trends, Market Research, Consumer Panels, Consumer Preference,Foodservice, Restaurant, Fast Casual, QSR, Fried Foods, Snack Foods, Convenience Foods, Retail,Quality, Taste, Menu

CHICAGO—One-third of consumers purchased prepared foods from a convenience store in lieu of dining at a restaurant, suggesting convenience stores are making inroads into foodservice, according to a new report from Technomic.

The report, "Consumer Brand Metrics - Convenience Store Foodservice Shopper Insights," surveyed an online panel of more than 4,000 convenience store shoppers to gain consumers' insights and better understand factors driving convenience-store food service buying behavior.
Results showed 34% of consumers said they would have visited a restaurant if they had not purchased prepared foods from a convenience store on their most recent visit; 26% said they would have visited a fast-food restaurant.

"Due to location and speed of service, c-stores are always going to be a dining option," said Darren Tristano, executive vice president, Technomic. "Recently, however, we've seen a concerted effort to improve the quality of food and service provided at these locations. If c-stores can continue enhancing these areas, they can look to drive traffic from restaurants."

Food quality and taste are just as important as convenience. Nine out of 10 convenience store foodservice users say the quality and taste of the food are among the important factors when deciding which convenience store to visit. Consumers were also swayed by pleasant, friendly service and a convenient location.

7-Eleven leads all chains measured for foodservice patronage. Two-fifths (39%) of convenience store foodservice users have purchased a foodservice item from 7-Eleven in the past two months.
Wawa's food and beverage earned highest ratings. Wawa's program received the highest composite scores across 11 food and beverage attributes, such as food quality, foodservice variety and the craveability of its menu items. Quik Trip, Sheetz, Stripes and Kwik Trip also earned high marks from consumers for these attributes.

Sources:

• Technomic: Technomic Report Reveals Foodservice Ratings for Leading Convenience-Store Chains

Check out my new e-book entitled: "Social Media Marketing in Agri-Foods: Endless Profit and Painless Gain"

The book is available on Amazon and Kindle for $4.99 USD. Visit amazon/Kindle to order now:
http://www.amazon.ca/Social-Media-Marketing-Agri-Foods-ebook/dp/B00C42OB3E/ref=sr_1_1?s=digital-text&ie=UTF8&qid=1364756966&sr=1-1

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Cut through the ad clutter by telling a great story

LISA OSTRIKOFF

Special to The Globe and Mail

Published Thursday, Jan. 17 2013, 5:00 AM EST

Advertisers are starting to push creative boundaries in an attempt to engage, using the latest innovations, from gaming strategies to social media to branded video and Web TV content.  But with all of the clutter we are surrounded by in this digital age, getting someone to pay attention to a company’s brand message seems to be getting trickier.

SOCIAL MEDIA

Video: A compelling story can bolster your brand

SOCIAL MEDIA

Video: Seven ways to get more likes on Facebook

LISA OSTRIKOFF

Video: Want an online audience? Twitter users are a goldmine

From annoying pop-up ads to often completely irrelevant video pre-rolls, the clutter is causing consumers’ “BS meters,” as digital rock starGary Vaynerchuk has called them, to become more sensitive and accurate than ever before.

So while the speed of technology is increasing, it’s interesting to note that one of the hottest trends in online marketing might just be the age-old art of story-telling.

What does this mean? To cut through the clutter, businesses need to stop annoying, and start telling stories.

Story-telling has evolved from ancient rock markings to the current age, where brands are able to effectively tell their stories via Web video, blog posts and social media platforms. Despite technology’s effect on the methods we’re using to tell stories, the basics remain.

If you ask the experts, they’ll tell you the same story they’ve been telling for years.

“Marketing is storytelling,” says author, entrepreneur and expert Seth Godin. Writing on “ How to tell a great story,” Mr. Godin says that “first impressions are far more powerful than we give them credit for,” making it important to ensure your story does what you need it to do the first time someone reads, hears or watches it.

“Your products and your service and your people are all part of the story,” Mr. Godin adds.

Peter Guber, chief executive officer of Mandalay Entertainment Group and co-owner of the NBA's Golden State Warriors, also has a take on the importance of story-telling.

“Simply put, if you can’t tell it, you can’t sell it,” he writes in Tell to Win: Connect, Persuade, and Triumph with the Hidden Power of Story.

The first chapter is entitled “It’s about the story, stupid.” You can read it by downloading it here.

“Our brains still respond to content by looking for the story to make sense out of the experience. No matter what the technology, the meaning starts in the brain,” writes Pamela Brown Rutledge, director of the Media Psychology Research Center, in The psychological power of storytelling posted on Psychology Today. She notes that there are several psychological reasons why story-telling is so powerful.

So, what’s your story? Ask yourself what messages you are trying to get across to your audience. Is your story authentic and interesting?

All businesses and business owners have a great story. This is the year to tell it, on purpose.

Special to The Globe and Mail

Lisa Ostrikoff is a TV journalist and anchor-turned-creator of BizBOXTV, a Canadian online video production, advertising and social media marketing agency. You can find her on Twitter and Facebook.

Check out my latest e-book entitled: "Social Media Marketing in Agri-Foods: Endless Profit and Painless Gain".  

The book is available on Amazon and Kindle for $4.99 USD. Visit amazon/Kindle to order now:
http://www.amazon.ca/Social-Media-Marketing-Agri-Foods-ebook/dp/B00C42OB3E/ref=sr_1_1?s=digital-text&ie=UTF8&qid=1364756966&sr=1-1

Written by Bruce MacDonald, a 30 year veteran of the Agri-food industry, in "Social Media Marketing in Agri-Foods: Endless Profit and Painless Gain", Bruce applies his background and expertise in Agri-foods and social media to the latest trends, tools and methodologies needed to craft a successful on-line campaign. While the book focuses on the Agri-food market specifically, I believe that many of the points Bruce makes are equally applicable to most other industries.