Category Archives: Consumer Market

Regaining the consumer’s trust

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I read many blogs, articles and opinions about food on a regular basis. Yesterday, I came across an interesting blog post on Meatingplace.com. Yvonne Vizzier Thaxton, an authority in the US poultry industry, wrote the article, titled “Consumer trust” after she found out about a survey carried out by the Center for Food Integrity. Basically, the survey concluded that as farms were growing in size, consumers started to wonder if they still had the same values, and although small farms still have the public opinion’s trust, large-scale farms are looked at with suspicion.

That article brought me to think about trust, how it works, and what to do to win it back once it has been lost.

Instead of trying to figure out which group of the population to influence, as the author suggests, I prefer to go back to the basics. If I stop trusting someone, what would he/she have to do to convince me that he/she is trustworthy again? The empathic exercise is a much better way to find out what might work or not. In my opinion, that is exactly what the food sector should do first, instead of pushing the same message without much success.

First, people stops trusting when they are disappointed, when they feel betrayed or when they feel unsafe. By finding out which one of the above caused the loss of trust, and what more specific reasons made the public change their minds, the food sector will already make huge progress.

The second thing to keep in mind is regaining trust is even much more difficult than winning it in the first place. The baggage will stay in the way for a long time. Therefore, a lot of patience is required. There will be no quick fix. A cute video clip, well-thought press releases will not be enough. Far from it. Trust is not something that can be forced, it must be earned. Trust is the result of consistent and positive behavior that benefits the other party.

Once people have lost trust, per definition, they do not believe anything they hear from the distrusted party. In fact, they will hardly listen. Therefore, words will have little impact, unless they go along with actions that confirm that the message is true. If the food industry does not want to change and hopes that communication will be enough to change the public’s mind, nothing will change. When you want someone to prove to you that he/she is reliable, you want to see tangible proof that something is changing in your favor. The most powerful communication tool that really works for regaining trust is the non-verbal communication. The distrusted one must sweat to win trust back. This does not take away that verbal communication must continue. It will keep the relationship alive, but it will not be the critical part for turning around the situation.

Here is just an example to illustrate this. The US meat and poultry sector has undergone many recall procedures about bacterial contamination over the years, and at this day, this problem seems to continue. The industry takes measures to solve the problem, because such recalls are very costly, but as long as there will not be an obvious change in food safety, and recalls keep on happening, consumers will keep doubting how their meat is produced.

Food suppliers have no other choice than to listen to the consumers. The customer is always king. The customer is always right, even when he/she is wrong. A lot of this is about perception. Here is an example of the above. Last June, Greenpeace came with a ranking of Canadian retailers about their seafood procurement, and in particular about their sustainability score on seafood. Costco scored poorly, and their first reaction was to dismiss Greenpeace’s assessment, by basically saying that they are professionals who know what they do, and that they do not really need advice from Greenpeace. Yet, a few weeks later, Costco reorganized its seafood assortment from 15 species back to seven sustainably produced seafood species. That is successful non-verbal communication.

Regaining the consumers’ trust will require transparency, integrity, honesty, a lot of patience and communication, and most of all action towards change that meet the market’s demand. This does not mean that all consumers wishes can be met. After all, life is a continuous negotiation. Food producers and the public need to meet somewhere halfway. Market-driven always trumps production-driven.

Copyright 2010 – The Happy Future Group Consulting Ltd.

Insects on the menu

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I came across a very interesting article from the French newspaper Le Monde, titled “Insects, the steak of the future”.

Photo: AFP/Mario Tama

The article reviews the potential of using insects as a food source to complement the traditional food production in order to meet the needs of the increasing world population.

Here are the main points.The nutritional quality of insects is high. They are a source of protein, fats, minerals (especially iron and zinc) and vitamins.

The production performance of insects out performs the one of traditional livestock, with a feed conversion ratio (number of kg of food to produce 1 kg of insect) ranging between 1 and 2.

There are already 1,400 species of insects consumed regularly in Africa, Asia and Latin America. Among the favorites, they name beetle larvae, ants, caterpillars, locusts, crickets, silkworm chrysalis, scorpions and spiders (although the two latter ones technically are not insects).

In most cases, insect consumption is the consequence of food shortage, but there is also a festive consumption of the bugs. The author mentions that in the old Roman Empire, caterpillars were a delicacy. Of course, in some Western countries, some restaurants offer insects at a premium price for a certain self-proclaimed sophisticated elite… After all, a lobster looks very much like a large aquatic bug.

However, trying to convince Western consumers to switch to insects and other bugs for their protein will be a tough call, especially when served in their original form. An possible alternative would be to process them into sausages and ground patties. There also could be the possibility to texture the protein in similar ways as it happens with soy.

Another interesting potential for insect is to use them as a raw material for animal feed. Bugs and worms can also be a good source of protein for poultry and pigs. After all, in nature, this was a regular part of their diet. Similarly, for many fish species, insects are a natural source of food. Currently, fish feed is made of increasingly expensive raw materials, such as fish meal, fish oil and vegetable oils, for which they compete with human consumption, or are used for feed destined to other farm animals.

There are talks about organizing the first congress on insect as a food source as early as 2012.

Copyright 2010 – The Happy Future Group Consulting Ltd.

Beyond the book

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Now that the publishing company is working out the final details before the release of the book, time has come for me to spend some time again on the blog part.

During the making of the book, I have been asked about my opinions on a number of subjects. Listing opinions was not the theme of the book, but the blog is a good vector for this. In the course of the coming weeks and months, I will review as concisely as possible specific subjects, present which areas require attention and how I believe the topics will evolve in the future. If you have any request, please let me know.

In addition to these articles, I will develop new topics for seminars and conferences that relate to the book and that offer matter for reflection to the attendees. I also will introduce new modules aimed at improving organization and efficiency of –and within- food value chains. The purpose of these modules will be twofold. They will help participants understand the broader picture, and they will help improving the functioning and the performance of business relationships. This is not only about economic performance, but also about technical, environmental and social performance.

 More about this soon.

Future Harvests – The book is coming soon!

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The editing of my book “Future Harvests – The next agricultural revolution” is about completed. All that is left to do is developing the cover and start the publishing.

I have already received orders, even before the book is out. That is quite a good sign. And a great surprise for me.

If you wish to be updated automatically when the book is published, just subscribe in the sidebar window on the right.

To describe the topics addressed, I have posted three short promotional videos on YouTube. In previous articles (The fun of writing this book and The next agricultural revolution), I had already given an idea about the content of the book.

Video #1: The Fundamentals (duration 2:37) – Introduction to the background and fundamental principles mentioned in the book “Future Harvests – The next agricultural revolution” to achieve food security for 9 billion people in 2050. Topics such as demographics, the shift in economic power, the control of food  and food security strategies are reviewed. Sustainability, innovation, efficient market driven food production and strong leadership are required.

or click here if video does not appear

Video #2: The Actions (duration 2:12) – A short review of some of the actions mentioned in the book to achieve the objectives. Solving the water challenge, finding new land for production, urban farming, hydroponics, farming the desert, rebuilding fisheries and developing aquaculture further are all possibilities.

or click here if video does not appear

Video #3: The Questions (duration 3:08) – A sample of some of the questions raised in the book. They cover technology, land deals in Africa, improving yields, restoring soil fertility, change in consumer needs, organic farming, risks of conflicts, biofuels or meat are some of the topics presented.

or click here if video does not appear

If you know someone who could be interested by the topics on this page, please pass it on!

The fun of writing this book

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Over the last few months, I have been working quite a bit on writing this book about the future of agriculture.

I must say that compiling in one book a wide range of topics that, without any doubt, will be part of the future of our food production has been an exhilarating experience.

From demographics in full motion to the latest in technology, we can envision many different scenarios to set up the most efficient food production possible, as local farmers, industry NGOs and governments will need to find optimal solutions with the land, the water, the labor force and the capital available to them. Water and soil will be of vital importance, and their proper management is essential for the stability of many countries.

In the future, there will be no room left for wastage and inefficiencies, or we all will be punished if we get complacent. Similarly, we will need to change our thinking and accept that solving future problems will not be about transferring a one-fit-all model to very diverse situations. We might have had the illusion that it once worked, but it actually did not. We will learn from the mistake of the past to perform better. Sustainability is not an option; it is the only choice, because per definition what is not sustainable is doomed.

As food is a necessity, and since when we share between 9 billion people there is less left for each of us than when we shared between 4 billion, efficiency will be paramount. This will affect food prices and social stability. Technology is necessary but it is not the panacea in itself. The most needed resource for the future is strong visionary leadership to help us develop the plan for the next decades.

Let’s prepare ourselves for a deep change and we must accept the idea that we might have futuristic farms run by robots, satellites and computers in some regions as well as local urban gardeners in the heart of the cities, where 70% of the world population is expected to live. We will have small organic farmers and we will have large industrial farms using genetically engineered crops, but we also will have large highly efficient semi-organic farms that will combine the best of both worlds. We still will have specialized farms as well as mixed operations. Hydroponics and aquaponics will grow substantially in the future.

Today’s diet will be revisited and excesses will be out of place. Should we become vegetarians or do we simply need to eat less meat? Will aquaculture live up to the expectation and become the main source of animal protein? You will find out in the book.

Countries will have to think on how to guarantee food security to their populations. If it is not done well, this challenging task might end up in serious conflicts. Foreign and private investment in land and farming will continue in Asia and Africa. If managed properly, they will bring much prosperity to these regions, but if not managed properly, then we can fear the worst.

All these topics and many more will be presented in the book and I hope that it will help readers to understand all the variables that are at play, as well as it will help them get a more objective view of many controversial topics such as GMOs, nanotechnology or in-vitro meat. Once readers will have finished the book, they will be able to figure out whether and how we can feed 9 billion people. Thanks to examples from all over the world in as diverse countries as Uganda, Kenya, the USA, China, Indonesia, India, Brazil, Argentina, France, The Netherlands, Cuba, Kazakhstan and many more, we discover a myriad of different situations and solutions that illustrate human ingenuity to produce food.

However, for now just a few more months of patience as I need to get through the process of publishing.

Reducing waste works – The example of Hormel Foods

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Hormel Foods issued a press release yesterday about their packaging waste reduction program, and the amount of packaging material that they saved is simply impressive. Reduction covers cartons, paper sleeves, thinner glass jars, plastic trays or shrink-wrap.

Not only this program has a direct effect on the packaging of Hormel products, but it indirectly also saves a lot of resources, such as a significant reduction of paper fiber, less trailers on the road using fuel and less petroleum for plastics of all sorts.

The only detail that do not mention in their press release is the money savings. You can be sure that they would not go through all this effort if it was not bringing significant savings.

Economy meets environment and vice-versa. This only proves that common sense and a clearly defined strategy deliver positive results.

Yes you can! You just need to want to!

Click here for the complete press release from Hormel Foods

Coca-Cola and the bottle of the future

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Coca-Cola will start selling its beverages in a special bottle, called the PlantBottle, which is made from PET plastic and from plant-based materials by the end of 2010. A first launch will take place in Western Canada during the Olympic Games held in Vancouver, BC.

In the US and Canada, the bottles will include 30% of plant material, and the bottles are 100% recyclable. The biological material will come from sugar cane by-products, originating from the production of ethanol, mostly from Brazil. Including this material in the PET plastic reduces the carbon footprint of the bottles, and reduces the dependence on oil-based materials. The benefits are both environmental and economic.

The ultimate goal of the company is to produce bottles that will be made of 100% non-food plant-based materials such as wood chips and wheat stalks.

For further details, read the Coca-Cola press release at http://www.thecoca-colacompany.com/presscenter/presskit_plantbottle.html.

“Let’s end the polarized debate on food” Holden urges

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Glad to read this statement!

Hopefully what Patrick Holden, director of the Soil Association is advocating in this article will come true.

It is high time for the partisan debate to end, for both sides to recognize that they do not know it all, and they both can learn a lot from each other; and for all of us to make the right changes. Yes industry, there will be changes, and some profound ones that will reshape your landscape. And yes environmentalists there will be changes and you will not have all that you want because eating is not an ideal, it is a necessity.

Goes along what I wrote in “Food production and environmentalists: time to co-operate“

Uruguay, the quiet leader in beef?

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Here is an interesting article about how Uruguay works towards a healthier future.

Not only does the country invests a lot in renewable energy but it works in improving its beef, too.

Uruguay’s  100%-traceable, hormone-free, grass-fed beef farming is offering many answers to the concerns of today’s consumers, and the system rewards the farmers doing the right thing, too! Read the article at http://www.benzinga.com/36898/hamburgers-in-montevideo

Not the largest producer, but certainly among the smartest.

Environmental performance on labels: it is coming. Really.

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Sweden has started presenting the carbon footprint of food on the labels for food products sold in supermarkets and on some restaurant menus. The Swedish National Food Administration is managing this program.

I was announcing this trend to inform consumers about the environmental impact of the food they consume, and as an aid to make their eating choices, in my earlier articles “Environmental performance on foods labels” and “The dining of the future“.

Here is the link to the article from fis.com with more details on how some food items, such as fish, beef, chicken or pork, perform.