E-COMMERCE: LOYALTY DRIVEN MOBILE PAYMENT OPTIONS

E-COMMERCE: LOYALTY DRIVEN MOBILE PAYMENT OPTIONS

The mobile landscape has rapidly changed in the last three years to the point
that m-payments are not just for first adopters of technology. Euromonitor
estimates 80% of all mobile phones sold in the US and 59% of those sold
globally will be smartphones in 2014. This development means it is more
feasible for other merchants to launch successful m-payments platforms.
Such apps would be most embraced in environments that consumers frequent
weekly, if not daily. One possibility would be fast food chains. In fact, the
world’s largest fast food chain, McDonald’s, has mobile initiatives underway in
multiple markets, including Canada, France, the UK and the US. The Starbucks’
example drives home the importance of knowing the market in which your
company operates, as well as the unique qualities of your customer profile.

Telecom-led mobile platform Isis is in the initial days of nationwide deployment
in the US, but early results have shown greater adoption for those that signed
up for the attached loyalty programmes. Isis, the joint venture between
T-Mobile, AT&T and Verizon, enables users to make payments, collect points
and redeem coupons using NFC-based smartphones at POS terminals. Isis
began with a yearlong trial in Salt Lake City and Austin in October 2012 and
now has 10,000 locations where consumers can tap and pay.

These trials have indicated Isis users tap their device to pay for goods 10 times
per month on average. Most interestingly, those that signed up for loyalty
schemes were found to tap their devices nearly twice as often as those that did
not. Two-thirds of users had opted to receive offers and messages from the
participating brands with the average user following seven brands. Some of
the first merchants to have adopted Isis have gone so far as to say the loyalty
and data opportunities the wallet provided were of far greater value to them
than the mobile payment capabilities. Maverik, a gas station and convenience

Here’s a quick look at the way some new technologies are driving loyalty into 

payments:

Mobile POS devices: 

• Makes it possible for business to accept payments and track loyalty — 

perhaps for the first time

• These products first became popular with small businesses that might 

have found establishing a merchant account through the traditional card 

network daunting, if not impossible

• Now the technology is making inroads in larger stores that find value in 

the enhanced consumer interaction

Mobile banking apps:

• Banks are also seeing the potential of the mobile channel to drive 

consumer loyalty

• Such apps condition consumers to use and trust their mobile phone to 

execute financial transactions

• Mobile banking apps could be the precursor to an issuer-led mobile wallet

Digital wallets:

• Digital wallets, such as Google’s Instant Buy, Visa’s V.me and 

MasterCard’s MasterPass, store a consumer’s payment information in 

the cloud or on a remote secure server in order to reduce the steps to 

purchase

• The one-click functionality that digital wallets enable reduces the friction 

at the checkout for mobile purchases

This white paper contained just a glimpse of the content and analysis available
from Euromonitor International. Information for this white paper was derived
from the report The Mobile Wallet: How Loyalty Could Spur Consumer 
Adoption of Mobile Payments, examining the potential for loyalty to drive
mobile payments, which is available on Euromonitor’s website.

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HEALTH ALERT: HIGH VITAMIN D LEVELS DOUBLE BREAST CANCER SURVIVAL

HIGH VITAMIN D LEVELS DOUBLE BREAST CANCER SURVIVAL

Published March 7, 2014 in Food Product Design

Posted in News, Science & Research, Vitamins / Minerals, Vitamin D, Fortification, Dairy, Bakery / Cereal, Cancer, Immunity, Immune Health, Nutraceuticals, Diet, Nutrition, Milk, Cheese, Healthy, Healthy Foods

SAN DIEGO—Breast cancer patients with high levels of vitamin D in their blood are twice as likely to survive the disease as women with low levels of vitamin D, according to a new study published in the journal Anticancer Research. Previously, low levels of vitamin D have been associated with Alzheimer's disease and to the development of certain cancers and heart disease.

In previous studies, Cedric F. Garland, Ph.D., at the UC San Diego School of Medicine’s department of  family and preventative medicine, showed that low vitamin D levels were linked to a high risk of premenopausal breast cancer. The finding prompted him to question the relationship between 25-hydroxyvitamin D—a metabolite produced by the body from the ingestion of vitamin D—and breast cancer survival rates.

For this study, Garland and colleagues performed a statistical analysis of five studies of 25-hydroxyvitamin D obtained at the time of patient diagnosis and their 9-year follow-up. Combined, the studies included 4,443 breast cancer patients.

“Vitamin D metabolites increase communication between cells by switching on a protein that blocks aggressive cell division," he said. “As long as vitamin D receptors are present tumor growth is prevented and kept from expanding its blood supply. Vitamin D receptors are not lost until a tumor is very advanced. This is the reason for better survival in patients whose vitamin D blood levels are high."

Women in the high serum group had an average level of 30 nanograms per milliliter (ng/ml) of 25-hydroxyvitamin D in their blood. The low group averaged 17 ng/ml. The average level in patients with breast cancer in the United States is 17 ng/ml.

A study published in January 2104 in the Journal of Clinical Endocrinology and Metabolism foundchildren are likely to have stronger muscles if their mothers had a higher level of vitamin D in their body during pregnancy. Low vitamin D concentrations are common among young women, suggesting women should consume higher amounts of vitamin D during pregnancy.

Sources:

• University of California, San Diego: Vitamin D Increases Breast Cancer Patient Survival

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HEALTH ALERT: EUROPEAN COMMISSION UNVEILS ACTION PLAN TO CURB CHILDHOOD OBESITY

EUROPEAN COMMISSION UNVEILS ACTION PLAN TO CURB CHILDHOOD OBESITY

Published March 6, 2014 in Food Product  Design

Posted in News, Regulatory, International, Children, Obesity, Weight Management, Calorie, Calorie Reduction, European Commission, Fats/Oils, Sweeteners, Vitamins / Minerals, Sodium, Salt,Beverages, Bakery / Cereal, Fruits / Vegetables, Dairy, Frozen / Refrigerated Foods, Snack Foods,Grains / Pasta / Tuber, Sauces / Gravies / Soup, Diet, Nutrition, Healthy, Healthy Foods

BRUSSELS—European Union states have agreed an action plan to tackle childhood obesity through 2020. The action plan includes initiatives, such as reformulation of processed foods to contain lower levels of fat, sugar and salt; restricting marketing to children; and “making the healthier choice the easier choice" through taxation and/or subsidies.

In relation to marketing restrictions, it is recommended that limits to marketing should be extended beyond television and should include in-store environments, promotional actions, internet and social media activities. The plan comes as childhood obesity rises in Europe, with 1 in 3 children aged 6 to 9 years being overweight or obese. Member states estimate that 7% of healthcare budgets is spent on treating weight-related health problems.

Sources:

• European Commission: EU Action Plan on Childhood Obesity 2014-2020a

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FOOD SAFETY: PROCESSING METHOD MAKES BABY FOOD SAFER

PROCESSING METHOD MAKES BABY FOOD SAFER

Published in Food Product Design February 27, 2014

Posted in News, Food Safety, Baby Foods, Processing, Bacteria, Microbial, Children, Science & Research, Chemicals, Cancer

BERLIN—Treating baby food puree with high-pressure thermal sterilization (HPTS) rather than conventional thermal processing reduces the amount of furan in the product and may make it safer for consumption, according to new research published in the Journal of Food Science.

A team of food scientists from Technische University Berlin used two spore strains to test the technique—Geobacillus stearothermophilus and Bacillus amyloliquefaciens—over the temperature range 90°C to 121°C at 600 Mega Pascals (MPa). The treatments were carried out in baby food puree and ACES-buffer. The treatments at 90°C and 105°C showed that G. stearothermophilus is more pressure-sensitive thanB. amyloliquefaciens. The formation of food processing contaminants (such as furan) was monitored during the sterilization process and compared to the amounts found in retorted samples of the same food.

Although levels of furan—a carcinogen resulting from heat treatment techniques, such as canning and jarring—are far below of what would cause harmful effect as determined by the U.S. Food and Drug Administration (FDA), the researchers wanted to find a way to reduce their levels even further.
They found that the amounts of furan could be reduced 81% to 96% in comparison to retorting for the tested temperature pressure combination even at sterilization conditions of F₀-value in 7 min. Given that the consumer groups of this food are infants and babies, the authors concluded that “reducing harmful substances, such as furan, in their daily diet is clearly an advantage given by HPTS over conventional thermal processing. The combination of a low acceptable daily intake, body weight, and the amounts of furan found in the retorted samples is quite critical. A scaling up is needed to validate these findings and help to implement this promising technology in the food industry."

Sources:

• IFT: Processing technique may make baby food puree safer

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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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HEALTH ALERT: FDA PROPOSES SWEEPING OVERHAUL OF NUTRITION FACTS LABEL

FDA PROPOSES SWEEPING OVERHAUL OF NUTRITION FACTS LABEL

Published in Food Product Design February 27, 2014By Josh Long

Posted in News, Food and Drug Administration (FDA), Regulatory, Labeling, Label Claims, Healthy, Diet,Healthy Foods, Fat Reduction, Obesity, Heart Health, Diabetes, Nutrition Labeling and Education Act (NLEA), Calorie, Sweeteners, Carbohydrates, Nutrition, Vitamins / Minerals, Salt, Sodium, Center for Science in the Public Interest (CSPI), Business, Economics, Costs, Financial Reports, US Department of Agriculture (USDA), Food Safety and Inspection Service (FSIS), Packaging, Sugar, Sucrose, Vitamin D,Vitamin C, Vitamin A, Fiber, Trans Fats, Saturated Fats

WASHINGTON—The U.S. Food and Drug Administration (FDA) today proposed to update the two-decade-old Nutrition Facts label for packaged food, requiring disclosure of "added sugars" and mandating a larger font size for calories as part of a number of comprehensive changes intended to reflect modern science and promote healthier diets.

The proposed label would more accurately represent what Americans are actually eating (i.e. bigger portion sizes) and highlight such parts of the label as calories, serving sizes and Percent Daily Value, crucial factors in addressing public health ailments like obesity and heart disease, FDA announced.
Michael Taylor, FDA's deputy commissioner for foods, told journalists the proposal is estimated to cost industry $2 billion, although he said the regulations are projected to yield $20 billion to $30 billion in economic benefits.

During an event this morning at the White House, First Lady Michelle Obama joined Secretary of Health Kathleen Sebelius and FDA Commissioner Margaret Hamburg to unveil the proposal.

“Our guiding principle here is very simple: that you as a parent and a consumer should be able to walk into your local grocery store, pick up an item off the shelf, and be able to tell whether it’s good for your family," said the First Lady, who has been spearheading a
"Let's Move!" initiative to fight obesity and promote healthier choices for children. “So this is a big deal, and it’s going to make a big difference for families all across this country."

FDA estimated the sweeping proposal would impact roughly 60,000 manufacturers and more than 700,000 Universal Product Codes, representing approximately $236.78 billion in sales in grocery stores, drug stores and mass merchandise stores.

"I think there is broad support for this process and the approach we are taking," Taylor said in a conference call today with the media.

“We look forward to working with the FDA and other stakeholders as these proposed updates to the Nutrition Facts label make their way through the rule making process," said Pamela Bailey, president and CEO of the Grocery Manufacturers Association (GMA), in a statement. “It is critical that any changes are based on the most current and reliable science. Equally as important is ensuring that any changes ultimately serve to inform, and not confuse, consumers."

A side-by-side comparison of the current label and the proposed one emphasizes that calories and servings per container would be displayed more prominently through larger fonts.
FDA expressed hope that the revamped label would encourage food manufacturers to introduce healthier foods in a country suffering from a voracious appetite that has led to an obesity epidemic. Taylor cited a significant reduction in trans fat in foods after the substance was added to the
Nutrition Facts label in 2006.

But the changes, even if finalized, will not take effect for at least two years, pointed out Justin Prochnow, a Denver-based food lawyer with Greenberg Traurig LLP.

Critics of the current facts label, which was created in 1993, have pointed out that some information is unnecessary, hard to read and difficult to understand.

Hamburg, M.D., declared the changes would catapult the Nutrition Facts label "fully into the 21st century."
"A lot has changed in the past 20 years. Much more is known about food consumption and nutrition, the health of our population and the dietary choices that can help keep us healthy or make us vulnerable to an array of chronic diseases," Hamburg wrote in a blog. "The changes that we’re proposing reflect that knowledge, based on an extensive examination of the latest public health trends and research on nutrition and disease, including obesity."

For certain foods that contain more than one serving size but can be gobbled in one or multiple sessions, the labels would need to disclose calorie and nutrition information for the entire package as well as per serving. The sweeping proposal would update reference amounts, which manufacturers use to determine serving sizes, in order to reflect the quantities of food that are currently consumed.
"The new changes are based on science, and they take people's actual eating behavior into account," Glenna McCollum, registered dietitian nutritionist and president of the Academy of Nutrition and Dietetics, said in a statement. "Serving sizes for many products have been updated to realistically reflect the amounts people actually eat at one sitting, nutrient comparisons between 'per serving' and 'per container' are available, and a new requirement will tell consumers how much sugar is being added to a product."

FDA said its proposal requiring information about added sugars is based on recommendations from experts that Americans should lower their calorie intake from such food. Food companies would still have to list "Total Fat", "Saturated Fat" and "Trans Fat" on the label. But FDA said "Calories from Fat" would be taken off the Nutrition Facts label "because research shows the type of fat is more important than the amount."

FDA also has proposed requiring the declaration of potassium and vitamin D on the label, if applicable, in an effort to aid Americans who may be at risk for chronic disease due to low consumption of these vitamins. Calcium and iron would still be required on the label, if applicable, but FDA has proposed listing vitamins A and C as a voluntary labeling measure. Another proposal would revise daily values for such nutrients as calcium, dietary fiber and vitamin D.

FDA also said it is proposing corresponding updates to the Supplement Facts label on dietary supplements, including suggested changes to Daily Values and the units of measure.
The Center for Science in the Public Interest (CSPI), an advocacy organization focused on nutrition, largely hailed FDA's proposed changes, although it recommended adding a Daily Value for added sugars and lowering the Daily Value for sodium to 1,500 milligrams.

"While the FDA is off to a strong start, the agency must do more to ensure that these labels communicate better advice on sugar and salt," CSPI Executive Director Michael F. Jacobson said in a statement.
The proposed changes, reflecting new dietary recommendations, consensus reports and national survey data, would affect all packaged foods other than certain meat, poultry and processed egg products that the U.S. Department of Agriculture (USDA) regulates through its Food Safety and Inspection Service (FSIS).

FDA's proposal is not the government's only initiative to revise food labels. In 2011, the agency issued proposed regulations to establish labeling requirements for restaurants, similar retail food establishments and vending machines. Some critics have bashed the proposed regulations, including the Food Marketing Institute, which has said grocery stores would be burdened with more than $1 billion in costs during the first year of implementation.

FDA said an increasing number of consumers are actually reading the Nutrition Facts label. According to surveys the agency conducted, the percentage of respondents reporting that they "often" read a food label when they purchase a food climbed from 44% in 2002 to 54% in 2008.

Taylor told reporters that more than half of adults use the Nutrition Facts label.

But it may have become somewhat antiquated over the years. According to food and beverage market research from the NPD Group, consumers read food labels when they first appeared but stopped doing so as time wore on. The market research firm attributed the decline to the fact that consumers became educated on the ingredients in their food, such as their favorite cereal.

“If the Nutrition Facts label is to continue to educate, it should allow for changes more often than once every 20 years," said Harry Balzer, NPD chief industry analyst and author of "Eating Patterns in America", in a statement. "For example, gluten, probiotics and omega-3s were not on the radar screen 20 years ago." 

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