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PepsiCo, IDB Partner To Push Socio-Economic Growth In Latin America, Caribbean With Sustainable Sunflower Production

March 2, 2011: 06:18 AM EST
PepsiCo, Inc. and the Inter-American Development Bank (IDB) signed a partnership deal seeking to promote sustainable sunflower production to aid social and economic development in Latin America and Caribbean. A project launched in Mexico aims to significantly increase commercial high-oleic sunflower production in the country and provide a source of income for 850 farmers and their families, with PepsiCo guaranteeing to purchase all output for the manufacture of PepsiCo snacks in Mexico. IDB and PepsiCo will expand the partnership to include other projects such as the Waste Pickers recycling program in Peru and Colombia.
PepsiCo, "PepsiCo and Inter-American Development Bank Sign Agreement to Spur Development in Latin America and Caribbean", PepsiCo press release, March 02, 2011, via PR Newswire, © PepsiCo Inc.
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FOOD COMPANIES
PepsiCo
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Worldwide
North America
Latin America
Mexico
Caribbean islands

ONE Bio To Provide Private-Label Organic Products To Sanyo’s Supermarket Chain Network

March 1, 2011: 10:06 AM EST
Green process herbal extract manufacturer ONE Bio, Corp. has signed a distribution agreement with Sanyo Trading Co. Ltd. under which it will produce a new private-label line of organic products for distribution to Sanyo's network of supermarket chains. The chains range from large, moderately priced chains such as Jusco and Ito Yokado to smaller neighborhood food shops. The company says that since it launched the private-label line a year ago, its organic products division has seen 20 percent sales growth in Japan. According to the company, the Japanese market for organic food and drinks is the largest in the Asia-Pacific region.
"ONE Bio Signs Japanese Distribution Agreement With Sanyo", News release, ONE Bio, March 01, 2011, © ONE Bio
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Other
Retailers & Private Label
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Japan

TCI Gums Unveils Organic Stabilizers For Yogurt Products

March 1, 2011: 09:37 AM EST
Food industry texture and stabilization specialist TIC Gums has developed a couple of ingredients that it says make yogurt smooth and stable while meeting USDA organic certification guidelines. YG Cup Set is a 100 percent organic stabilizer made from an extract of red seaweed and designed for cup set organic yogurt products, while YG Vat Set is a specialized blend of certified organic ingredients designed for stirred yogurts. TIC Gums also provides organic agar, the latest addition to its line of certified organic gums.
"Building a Better Organic Yogurt", News release, TIC Gums, March 01, 2011, © TIC Gums
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“EcoAware” Moms Add Sustainability To Their Wellness Priorities

March 1, 2011: 09:47 AM EST
A study of more than 4,000 Americans ages 18-65 years has found that today’s mothers are embracing a new dimension of wellness: sustainability, putting them squarely in the category of “EcoAware Moms.” The Global Trend Survey conducted by EcoFocus Worldwide says these new moms – all 51 million of them, 69 percent of the total – control $1.45 trillion in buying power. According to EcoFocus CEO Linda Gilbert, EcoAware Moms believe that the eco-friendly choices they make now – reducing waste, recycling, conserving water and energy – will lead to healthier families. Some of these moms “express regret and remorse” about letting their teenagers grow up in a lifestyle of disposability and “don't want to make the same mistake with their younger kids.”
Diane Toops , "Toops' Scoops: Is the Food Industry Ready for EcoAware Moms and Dads?", Food Processing, March 01, 2011
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FOOD COMPANIES
Campbell's
General Mills
Kellogg
Other
PepsiCo
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CPG Manufacturers Try Out Quick Response Codes Mobile Web Marketing

March 1, 2011: 12:33 AM EST
Consumer packaged goods (CPG) companies, such as Johnson & Johnson and Procter & Gamble, are implementing pilot promotions using Quick Response (QR) codes, a smartphone-based mobile Internet marketing platform. QR codes, which are usually placed on packaging and in-store displays and can be scanned with a smartphone camera, connect to mobile Web sites containing product data, price information, discount coupons, and related videos. Industry observers forecast wider acceptance of QR codes technology among CPG companies, driven by consumer smartphone ownership forecast by Nielsen to rise from 28 percent in fall 2010 to over 50 percent by end of 2011. Early adoptions of QR code technology include Durex's campaign for its condoms, Kellogg's Special K brand campaign, and Orville Redenbacher's Gourmet Popping Corn.
Dan Alaimo, "CPGs Prep for Growth of QR Code Promotions", CPG Matters, March 01, 2011, © CPG Matters
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General Mills
Kellogg
Kraft Foods
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Kraft's High-Tech Kiosk Helps Consumers With Their Grocery Shopping

February 28, 2011: 10:17 AM EST
Kraft Foods' Meal Planning Solution on-site retail kiosk helps consumers with their grocery shopping and sells Kraft products at the same time. Powered by Intel processors and designed for in-store operations, the automated shopping guide scans shopping lists and captures data stored on mobile phones via Kraft's iFood assistant mobile application. Kraft's machine also scans consumer's faces with a camera, and creates their basic profiles using video analytics technology. 
E.J. Schultz , "Kraft Meal-Planning System Tailors Recipes, Grocery Lists to Shoppers", Advertising Age Digital, February 28, 2011, © Crain Communications
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Kraft Foods
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Worldwide
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United States of America

Transition To Natural Food Colorants Is Plagued By Problems

February 25, 2011: 08:14 PM EST
Food and beverage manufacturers are beginning the transition from synthetic to natural dyes, but the switch is complicated and costly, and the results are not altogether esthetically pleasing, experts say. The impetus for major changes comes from Europe, where the European Commission responded to concerns over the safety of synthetic food colorants by imposing new requirements, including warning labels on packages, that have pushed food manufacturers to reformulate their products. The movement has spread to the U.S. Products from companies like Frito-Lay and Pepperidge Farm now contain no artificial ingredients, including synthetic dyes. But besides cost and complexity, reformulation with natural dyes has another downside: in some cases the quality of the product, color-wise, just isn’t the same.
Lisa Marshall, "Natural color market seeing green as demand grows", New Hope 360, February 25, 2011, © New Hope 360
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Packaged Goods Companies Set To Raise Prices, Keep Marketing Budgets

February 25, 2011: 03:43 AM EST
Packaged goods manufacturers including Procter & Gamble Co., Colgate, and Clorox Co. plan to increase their prices, reduce their price-based promotions, and retain or increase their advertising budgets despite the increase in commodity prices. Buoyed by strong results for high-end products, P&G plans to raise prices to compensate for a projected $1.5 billion increase in commodity costs. Unlike their approach in 2008, manufacturers including Clorox plan to implement smaller, but faster, price increases, and accept lower margins in order to maintain marketing efforts in 2011. Food manufacturers and premium goods companies seem better positioned to weather higher prices than household and personal-care products companies; Kraft, for example, expects to increase its marketing spend by 10%, focused on its 20 power brands that include Planters, Oreo, Trident, Ritz and Oscar Mayer.
Jack Neff and E.J. Schultz , "P&G, Colgate, Clorox to Raise Prices, Marketing Spending", Advertising Age, February 25, 2011, © Crain Communications
Domains
FOOD COMPANIES
Campbell's
General Mills
Heinz
Kellogg
Kraft Foods
Procter & Gamble
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Worldwide
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General Mills Eyes Global Expansion Of Cereals Business

February 24, 2011: 11:20 AM EST
General Mills CEO Ken Powell told the audience at the 2011 Consumer Analyst Group of New York (CAGNY) conference that his company expects to grow its global cereal sales by $1 billion to reach $4.8 billion in 2015. The company operates its cereal businesses in the U.S. and Canada, a market valued at almost $11 billion and growing at a 2 percent CAGR for the last 20 years. General Mills also operates in 130 countries via Cereal Partners Worldwide, a joint venture with Nestlé. Powell sees growth opportunities in the global and foodservice markets, and says that the emerging markets with their growing ranks of middle-class consumers represent future growth for ready-to-eat cereals.
"General Mills Sees Growth in Global Cereal Business", Food Ingredients First, February 24, 2011, © CNS Media BV
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General Mills
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Canada

Heinz Adopts Coca-Cola's PlantBottle Sustainable Packaging

February 23, 2011: 09:30 AM EST
Coca-Cola and H.J. Heinz Company entered into a partnership that allows Heinz to use Coca-Cola's PlantBottle environment-friendly packaging. Materials from plants account for up to 30 percent of material used to make PlantBottle polyethylene terephthalate (PET) plastic bottles. Heinz plans to launch its PlantBottle ketchup bottles in June with a marketing campaign featuring "talking labels" and on-packaging messages. A life-cycle analysis by Imperial College London revealed that the packaging technology can reduce carbon impact by 12-19 percent. Heinz says that adopting PlantBottle is part of its global sustainability commitment to reduce greenhouse gas emissions, solid waste, water consumption and energy usage at least 20 percent by 2015.
Heinz Co., "Coca-Cola and Heinz Announce Landmark Partnership to Expand Use of Innovative PlantBottle™ Packaging ", H.J. Heinz press release, February 23, 2011, © H. J. Heinz Company
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Coca-Cola Company
Heinz
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Worldwide
North America
United States of America

Planters' Campaign Seeks To Boost Sustainability Credentials With Planters Groves Parks And Touring Nutmobile

February 23, 2011: 09:07 AM EST
Kraft Foods' Planters brand aims to boost its sustainability credentials with its "Naturally Remarkable" marketing campaign that includes putting up peanut-themed community parks in New Orleans, Washington, D.C., San Francisco and New York City. It also includes an ecology-friendly truck, the Planters Nutmobile, that will promote the opening of the Planters Groves parks and also tour other cities in the US. The parks will have city-specific designs and will use reclaimed materials as well as include a Mr. Peanut figure on a bench. Planters says its campaign seeks to pay tribute to the American peanut planters, the origins of the company's brand name, and highlight the fun associated with Planters snacks.
Karlene Lukovitz, "Planters Campaign: Sustainability Plus Fun ", Mediapost, February 23, 2011, © MediaPost Communications.
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Kraft Foods
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Fonterra Expands Outside New Zealand, Builds Dairy Farms in China

February 22, 2011: 10:48 AM EST
Fonterra Co-Operative Group Ltd. CEO Andrew Ferrier has said his company plans to expand outside New Zealand, particularly in China. Fonterra, which has sales near $13 billion and produces about a third of the internationally traded dairy products globally, is building dairy farms in China; this follows the 2008 contaminated milk scandal involving Shijiazhuang Sanlu Group Co., which was 43-percent owned by Fonterra and prompted it to take control of all aspects of its operations in China. Ferrier sees growing wealth and population growth increasing demand, even as climate change and increasing costs of production push up milk prices worldwide. He added that Fonterra will not sell genetically modified milk products in countries where consumers do not want them, and is instead focusing on selective breeding of cows to improve milk quality and production.
REBECCA HOWARD, "Dairy Producer Eyes Expansion in China", The Wall Street Journal, February 22, 2011, © Dow Jones & Company, Inc.
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Other
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China
New Zealand

Promiseland Sues To Stop USDA From Suspending Its Organic Certification

February 18, 2011: 12:30 PM EST
Promiseland Livestock has sued the U.S. Department of Agriculture seeking to stop the agency from suspending the company's organic certification. Promiseland's lawsuit claims that the USDA has abused its power by seeking to remove Promiseland's organic certification after the company allegedly refused to hand over records. In 2008, the USDA sued Promiseland, accusing the company of violating several organic standards. A judge later ruled that Promiseland violated USAD rules when it refused to provide records to inspectors who visited its facilities in Nebraska and Missouri.
TIMBERLY ROSS, "Nebraska-based Promiseland sues USDA over suspension", JournalStar.com, February 18, 2011, © JournalStar
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Kellogg Helps Consumers Increase Intake Of Health-Friendly Fiber

February 17, 2011: 11:17 AM EST
Kellogg claims that its cereal products can help consumers increase their fiber intake, which a study has revealed can significantly lower the risk of death from heart disease, cancers, and other diseases. Data from a nine-year study conducted by the National Institutes of Health and nonprofit AARP has revealed that a high-fiber diet can reduce the risk of dying from these diseases by 24-56 percent in men and 34-59 percent in women, echoing recommendations from the 2010 Dietary Guidelines for Americans, which calls for higher fiber intake. More than 95 percent of Americans do not meet their daily fiber needs.
Press Release, Kellogg, "Kellogg Company Strives to Help Americans Reach Daily Fiber Goals with Great-Tasting Cereals", Kellogg, February 17, 2011, © Kellogg
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Kellogg
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United States of America

Supermarket Free Sample Programs Are Cheaper, More Effective Than Traditional Advertising

February 17, 2011: 04:58 AM EST
Although $94 billion was spent in advertising in 2010, big consumer products companies like Kraft, General Mills and Unilever have found that the most effective way to get people to try products is via supermarket free sample giveaways. It’s expensive to set up and maintain a free sample stand in a store, but the amount spent is nothing compared to the result: actually getting products into the hands of consumers so they can try them. Free samples are in fact a powerful advertising technique and actually much cheaper in the long run than conventional advertising.
Brad Tuttle , "The Power of Freebies: Why Companies Pay to Give Free Samples to Supermarket Customers", TIME, February 17, 2011, © Time Inc.
Domains
FOOD COMPANIES
General Mills
Kraft Foods
Procter & Gamble
Unilever
Geographies
Worldwide
North America
United States of America

Prunes Are A More Effective Treatment For Constipation Than Psyllium Fiber

February 15, 2011: 10:20 AM EST
Noting that there is an unmet need for natural and safe treatments for constipation, U.S. researchers found in an eight-week clinical study that dried plums (prunes) are a more effective treatment than psyllium fiber. Forty patients suffering from chronic constipation consumed either 50 grams of prunes a day (fiber content six grams) or 11 grams of psyllium a day (also six grams of fiber). The treatments were rated as equally palatable, safe and well tolerated. However, “the number of complete spontaneous bowel movements per week and stool consistency scores improved significantly with dried plums when compared to psyllium,” the researchers concluded.
Attaluri A, et al., "Randomised clinical trial: dried plums (prunes) vs. psyllium for constipation", Alimentary Pharmacology & Therapeutics, February 15, 2011, © Blackwell Publishing Ltd
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FOOD COMPANIES
Procter & Gamble
Geographies
Worldwide
North America
United States of America

Cargill Introduces Fressure Fresh Ground Beef Patties

February 14, 2011: 09:47 AM EST
Cargill has introduced its Fressure brand of fresh ground beef patties, which have a shelf life that the company claims to be twice as long as those of conventional fresh burgers. Using a patent-pending pressure system technology to manufacture the beef patties, Cargill claims to have developed ground beef patties, which come with improved food safety, enhanced flavor, and consistently high quality, for the foodservice market. The company says its production process, which is all natural and does not use high temperatures, chemicals, or irradiation, retains the nutrients and freshness of the ground beef.
Press Release Cargill, "Cargill introduces Fressure™ ground beef patties using a patent-pending process to double shelf life, enhance food safety, preserve flavor", Cargill, February 14, 2011, © Cargill Inc.
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Other
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Delaware Judge Rules Against Barclays Capital In Del Monte Foods Shareholder Lawsuit

February 15, 2011: 10:14 AM EST
Delaware Chancery Judge Travis Laster ruled that Barclays Capital manipulated the process in the acquisition of Del Monte Foods by private equity firms Kohlberg Kravis Roberts & Co., Vestar Capital Partners and Centerview Capital LP. The case highlights conflicts of interest that can emerge when deal advisers perform multiple roles in mergers and acquisitions. Barclays acted improperly by acting as adviser to Del Monte and providing debt financing for the buyers at the same time – a practice called “staple financing” – without informing Del Monte, and earning the bank about $50 million in fees. Laster also ruled that Barclays acted against the interest of Del Monte investors by arranging a covert partnership between KKR & Co. and Vestar that influenced the bidding process.
Paul Ziobro And Liz Moyer, "Judge Says Barclays 'Manipulated' Del Monte Sale", Marketwatch, February 15, 2011, © MarketWatch, Inc
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Other
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North America
United States of America

Clean Classrooms Are Important For Learning, But Teachers Dread The Clean-Up Chore

February 15, 2011: 02:09 AM EST

A survey of 1,000 U.S. school teachers has found that classroom cleaning is a daily chore for a sizeable minority. Forty-two percent of teachers who responded to a Procter & Gamble Bounty brand survey said they did some cleaning, while 94 percent said they felt children learn better when the classroom is tidy. The survey also found that 51 percent of teachers avoid certain class projects because they don’t look forward to cleaning up afterwards. The survey was conducted as part of a “We Love Our School” Week initiative to help schools provide clean learning environments for U.S. schoolchildren. P&G will provide participating schools with enough Bounty paper towels and Mr. Clean to clean all of their classrooms.

"Bounty Survey Finds 94% of Teachers Say Students Learn Better in a Clean Classroom - Leading to Nationwide Effort to Help Clean Up Schools", Procter & Gamble, February 15, 2011, © Procter & Gamble
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Procter & Gamble
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Worldwide
North America
United States of America

PepsiCo Says Further Salt Reductions In Snacks Will Be Small And Far Between

February 14, 2011: 07:31 AM EST
A representative of PepsiCo in Europe has warned that further trimming of salt levels in its snacks will be very difficult without damaging flavor. Natalia Douek told a food and health conference that the company would still make small changes, but there won’t be any big drops in salt content for the foreseeable future. PepsiCo began to cut salt content in products in 2004, two years before EFSA’s salt reduction targets were introduced. The Walkers core crisps line was relaunched in 2006 with 25 percent less salt. Between 25 percent and 58 percent of the salt was removed from Quavers, Wotsits, Monster Munch and French Fries snacks in 2007. "The current technologies have taken us a long way,” Douek said, but new salt-reduction technologies are needed.
Hannah Stodell, "PepsiCo admits it’ll be hard to cut salt further", The Grocer, February 14, 2011, © William Reed Business Media Ltd
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PepsiCo
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EMEA
United States of America
Europe
United Kingdom

Chocolate Makers Battle Cocoa Price Inflation With, Well, Product Inflation

February 11, 2011: 01:45 AM EST
With cocoa prices up 18 percent since November 2010 – thanks to political unrest in top producer Ivory Coast – chocolate makers Nestlé SA and Barry Callebaut AG have begun to inflate their chocolate products with air to save money. Besides reducing production costs, air bubbles make chocolate confections creamier, more “textured” and lower in calories, according to chocolatiers. In the past, refined sugar was added to products to offset higher cocoa prices but sugar, too, is now more expensive. Nestlé will spend about $24 million in 2011 to market its air bubble-filled Aero chocolate in the U.K. and Ireland. Barry Callebaut is debuting airy “textured” fillings such as Tintoretto, with dark cocoa and caramel flavors. The company also hopes to use less cocoa in processing by creating more intensely flavored chocolate.
Tom Mulier , "Chocolate Makers Find Recipe for Profits by Adding Air to Bars", Bloomberg, February 11, 2011, © Bloomberg L.P.
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Kraft Foods
Nestle
Other
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EMEA
United States of America
Europe
Middle East- Africa
United Kingdom
Ireland
Ivory Coast

Salad Bar Project Places Over 500 Salad Bars In Schools, Gets Boost From Whole Foods

February 10, 2011: 10:50 AM EST
Salad Bar Project has made grants for over 500 free salad bars in schools in the US, helping students eat more fruits and vegetables during lunch. Whole Foods Market raised more than $1.4 million for the project from in-store fundraisers and partnered with Chef Ann Cooper’s nonprofit, F3: Food Family Farming Foundation to review the more than grant applications. Grant recipients receive a full salad bar kit with training tools. Whole Foods is also a founding partner of Let’s Move Salad Bars to Schools, whose goal is to provide 6,000 salad bars across the nation by 2013.
Press Release, Whole Foods, "More than 500 schools awarded grants for salad bars", Whole Foods, February 10, 2011, © Whole Foods
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Retailers & Private Label
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United States of America

U.S. Introduction Of Japanese Blended Tea Surpasses Coca-Cola’s Expectations

February 10, 2011: 10:32 AM EST
Coca-Cola Co. has introduced in the U.S. a modified version of an unsweetened Japanese blended tea originally targeted at the women’s health-and-beauty market in Japan. Sokenbicha is being tested without fanfare at Whole Foods Market – where a 15.2 oz. bottle sells for $1.99 – as a no-calorie alternative to plain water. Coca-Cola reformulated the original 15-ingredient Japanese version of the drink to eliminate some exotic components – like the herb lizard’s tail – that bothered U.S. regulators. The 17-year-old Sokenbicha is the blended-tea market leader in Japan, where the category represents four percent of the non-alcoholic beverage market. Coke said Sokenbicha sales through Whole Foods have exceeded expectations, but has not revealed whether it plans to expand distribution.
Chester Dawson and Valerie Bauerlein, "Coke Tests Health-Tea Waters", wsj Online, February 10, 2011, © Dow Jones & Company, Inc.
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Coca-Cola Company
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Worldwide
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Asia-Pacific
United States of America
Japan

Chewing Gum Brands Now Offer More Than Fresh Breath And Fewer Cavities

February 9, 2011: 08:46 AM EST

Taking a leaf from the marketing book of energy drinks and breakfast cereals, some chewing gum makers have begun adding healthy-sounding ingredients like vitamin C and ginseng to their products. Stride and Trident from Cadbury promise greater alertness or wellness. Stride Spark, for example, says it provides 25 percent of the RDA of vitamins B-6 and B-12, while creating a tingling sensation in the mouth. Vitality, a sub-brand of gum market-leading Trident, offers flavors that contain vitamin C, ginseng and mint and white tea but, except for the vitamin C, does not claim to provide health benefits. A blogger who reviews chewing gum said the Vitality Awaken brand was “easy on the taste buds,” but the ginseng ingredient is a “gum gimmick, pure and simple.”

Andrew Adam Newman, "New Gums With Vitamins, Herbs and Varied Claims", NY Times, February 09, 2011, © The New York Times Company
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Cadbury-Schweppes
Kraft Foods
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Start-Up Snack Food Maker Offers Only FDA-Compliant “Heart Healthy” Products

February 9, 2011: 08:17 AM EST

Tiny snack food company Corazonas Foods offers the only snack products that can legally carry the health claim “lowers cholesterol,” thanks to a patented process that infuses the company’s tortilla chips, potato chips, etc., with 0.4 to 0.8 grams of plant sterols. Those levels – when consumed daily as part of a diet low in saturated fat and cholesterol – meet FDA criteria for the “lowers cholesterol” claim. The company is launching an integrated marketing campaign with the theme "Freedom to Snack Sensibly" with a  strategy to expand beyond Western supermarkets and specialty stores eastward and nationally. Redesigned product packaging will display a red heart icon and highlight the "proven to lower cholesterol" benefit in traditional and social media and in-store events.

Karlene Lukovitz, "LDL-Lowering Snack Brand Raises Its Profile", Marketing Daily, February 09, 2011, © Mediapost Communication
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Other
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“Human Social Network” Still Most Important When Shoppers Consider New Products

February 9, 2011: 02:34 AM EST

A nationwide survey of 60,000 consumers conducted by market research firm TNS has found that four out of every five shoppers are open to trying new products, while 68 percent said a consumer-voted award was a better recommendation for a new product than the opinion of an expert. The insights from the survey were presented at the 2011 Product of the Year USA awards, where innovation across 22 product categories was recognized by the surveyed shoppers. Supermarket Guru Phil Lempert noted that consumers are smarter and spend more intelligently than ever before and, despite the growth of product reviews shared on mobile devices and social networks, “it is still the ‘human’ social network that is the most powerful.”

"The Most Innovative Consumer Packaged Goods of 2011 Revealed at Last Night’s Product of the Year USA Awards Ceremony", News release, Product of the Year USA, February 09, 2011, © Product of the Year USA
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FOOD COMPANIES
McCormick
Nestle
Other
PepsiCo
Geographies
Worldwide
North America
United States of America

Global Move For Sustainability Good News For U.K. Businesses

February 9, 2011: 02:13 AM EST

Despite the failure of the Copenhagen and Cancun meetings to produce binding treaties, observers forecast the global economy's greening to proceed at faster pace, creating opportunities for businesses. HSBC Global Research says governments will spend $500 billion in 2009-2014 to promote green development and U.K. companies, as their Asian counterparts do, should view sustainability as a potential source of growth. Developing countries, which face risks from climate change and resource challenges, have rapid GDP and population growth rates that make them an important market for consumer goods companies. Examples of companies' sustainability efforts include Unilever's "Sustainable Living" campaign and Walmart's push for its suppliers to adopt sustainable practices.

Andrew Stone, "A great opportunity for sustainable growth", The Daily Telegraph (London), February 09, 2011, © Telegraph Media Group Limited
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Retailers & Private Label
Unilever
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Worldwide
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EMEA
Asia-Pacific
Mexico
Europe
China
India
South Korea
United Kingdom
Denmark

Whole Foods market’s First Quarter Sales Reach $3 Billion

February 9, 2011: 01:19 AM EST

Whole Foods Market’s first quarter sales increased 14 percent over last year to $3 billion, the company reported. Gross profit (before interest, taxes, etc.) increased 26 percent from the prior year to $234.3 million. Co-CEO Walter Robb said that because of the strong financial performance and continuing signs of growing consumer confidence, the company is raising its sales and earnings outlook for the year. The company opened three stores and expanded one store by 29,000 square feet in the first quarter, and expects to open three new stores, including one relocation, in the second quarter. The company has 302 stores, totaling about 11.4 million square feet. The company said it is committed to producing positive annual free cash flow, including the necessary cash to fund 56 stores in development.

"Whole Foods Market Reports First Quarter Results", News release, Whole Foods Market, February 09, 2011, © Whole Foods Market
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Retailers & Private Label
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The Cupcake Vogue Finds Fresh Life With A Los Angeles Caterer

February 3, 2011: 12:34 PM EST

Cupcakes have achieved renewed popularity in Los Angeles through the inspiration of Heirloom-LA, a caterer enjoying prosperity with its highly popular line of lasagna cupcakes. The success of the lasagna cupcakes keeps fifteen cooks busy in the Heirloom kitchens, according to co-owner and chef Matthew Poley, and has created a demand for new flavors of the party treats, which now come in twelve varieties, including macaroni and cheese, bologna, and short ribs. Poley said Heirloom sold 10,000 of the cupcakes in December and plans to expand its menu further as different ingredients become available with the changes in the seasons. The lasagna cupcakes can also be purchased frozen in a selection of Los Angeles stores and are available by mail order for New Yorkers through the company's website.

MARSHALL HEYMAN, "Next Up: Lasagna Cupcakes", wsj Online , February 03, 2011, © The Dow Jones Co
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Other
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Drinking Vegetable Juice Efficiently Increases Vegetable Intake And May Help Manage Weight

February 3, 2011: 08:52 AM EST

Researchers at the University of California-Davis and Baylor College of Medicine found that drinking vegetable juice is an efficient and effective means of increasing vegetable intake and managing weight. These are two areas of concern highlighted in the 2010 U.S. Dietary Guidelines for Americans. Both of the 12-week studies were supported in part by Campbell Soup Company, which produces the V8 line of vegetable juice. The UC-Davis study involved 90 healthy adults; Baylor College looked at 81 adults with risk factors for cardiovascular disease and diabetes. Researchers at UC-Davis observed that subjects who drank an eight-ounce glass of vegetable juice each day received almost twice the servings of vegetables as those who did not. Baylor College scientists found that incorporating one to two servings of vegetable juice daily into a healthy diet enhanced weight loss..

Press Release, Campbells, " Research Suggests V8(R)100% Vegetable Juice Can Help People Meet Key Dietary Guidelines", Campbells, February 03, 2011, © Campbells
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Campbell's
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Worldwide
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Passionflower Herbal Tea Shown To Improve Sleep Quality

February 3, 2011: 03:42 AM EST
Despite a lack of clinical evidence, passionflower-based herbal tea has been used traditionally as a sedative and remedy for sleep disturbance. In this double-blind, placebo-controlled Australian study among 41 participants aged 18-35 who kept sleep diaries, researchers used polysomnography to test the effects of a passionflower tea versus a placebo tea. The researchers analyzed six sleep-diary measures, finding that sleep quality was significantly better for the passionflower tea group compared with the control. They concluded that “the consumption of a low dose of Passiflora incarnate (passionflower) in the form of tea yields short-term subjective sleep benefits for healthy adults with mild fluctuations in sleep quality.”
A. Ngan, R. Conduit, "A Double-blind, Placebo-controlled Investigation of the Effects of Passiflora incarnata (Passionflower) Herbal Tea on Subjective Sleep Quality", Phytotherapy Research, February 03, 2011, © John Wiley & Sons, Ltd.
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Unilever Rolls Out SAP ERP-Based Global Supply Chain And Procurement Systems

February 3, 2011: 03:34 AM EST

Unilever has put into operation its new global supply chain and purchasing systems based on SAP's enterprise resource planning (ERP) technology. Unilever's supply chain systems, launched with Accenture, enable the company to monitor its supply chain in real time, and to manage price volatility and changes in commodity supplies. The systems also play a big role in Unilever's efforts to reduce by half the environmental impact of its operations and supply chain, and double its annual revenue to €80 billion.

Leo King , "Unilever switches on global real time supply chain systems", Computerworld UK, February 03, 2011, © IDG Inc.
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Hain Celestial Group Posts Record Sales In Second Quarter Of FY2011

February 3, 2011: 01:51 AM EST

The Hain Celestial Group, Inc., a natural and organic products manufacturer, announced its second quarter results for the period to December 31, 2010. Net sales increased 21 percent to $291.9 million on the year-ago quarter. Net income rose 45 percent to $16.3 million, a record quarter. GAAP earnings reached $0.37 per diluted share, from $0.27 a year ago. Operating margin reached 10.2 percent on a GAAP basis, up 127 basis points, and gross profit grew 37 basis points to 29.3 percent on improved product mix and cost savings, partially offset by increased input costs. Hain updated its fiscal 2011 sales guidance to $1.060-1.080 billion and earnings to $1.24-1.31 per diluted share. 

"The Hain Celestial Group Announces Strong Second Quarter Fiscal Year 2011 Results", Hain Celestial, February 03, 2011, © The Hain Celestial Group, Inc.
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Nestlé Targets Nutritional Needs Of Obese ICU Patients With Tube-Feeding Formula

February 3, 2011: 12:39 PM EST

Noting that the consensus of nutrition experts is that the unique nutritional needs of critically-ill obese people remain unmet, Nestlé HealthCare Nutrition has introduced a tube feeding formula designed specifically for that patient population. Tube feeding formulas often do not contain enough protein or micronutrients recommended for obese patients in intensive care units (ICUs). According to Nestlé, the result is that some patients are overfed, others are underfed and become malnourished, and others don’t have their nutritional needs assessed at all. Peptamen Bariatric tube feeding formula includes 37 percent of calories from 100 percent whey protein, enzymatically hydrolyzed to produce peptides. The lipid blend contains 50 percent medium-chain triglycerides (MCT) to improve formula tolerance.

"Nestlé introduces Peptamen Bariatric Formula for the critically-ill obese patient", News release, Nestlé, February 03, 2011, © Nestle
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Unilever Doubles Down On “Bigger, Better And Faster” Innovation And Sustainable Growth

February 3, 2011: 12:26 AM EST

Unilever is seeing benefits of its improved innovation process with 33% of sales coming from products launched in the last two years, a record for the company.  Mike Polk Unilever’s president of foods, home and personal care says that the “step change” in innovation means they are “doing things bigger, better and deploying them faster into more markets.”  The company is also aggressively supporting launches and increased marketing spend over 6% to €5.6bn last year, making the largest advertiser behind P&G. Unilever sees its commitment to sustainable growth and its plan to double sales without incrementally impacting the environment as driving its R&D effort. And in a marketing shift, the company will start to promote alongside its product brands its corporate brand which it sees as a trusted asset.

Rosie Baker, "Unilever commits to “bigger, better and faster” innovation", Marketing Week, February 03, 2011, © Centaur Communications Ltd
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Nestlé Subsidiary Acquires U.K. Medical Food Company

February 2, 2011: 12:34 PM EST

Nestlé Health Science has completed the acquisition of CM&D Pharma Ltd. (CM&D), a British company that develops medical foods and other products targeting patients with kidney disease, inflammatory bowel disease, and colon cancer. CM&D is a portfolio company of venture capital fund Inventages Group. CM&D’s leading product, Fostrap, is a chewing gum for kidney patients with elevated levels of phosphate in the blood (hyperphosphatemia), which contributes to vascular calcification and an increased risk of cardiac mortality, as well as mineral and bone disorders. Clinical trials of Fostrap are ongoing, though preliminary data are promising, according to Nestlé.

"Nestlé Health Science to develop dietary solution for kidney patients – CM&D acquisition", Nestle press release, February 02, 2011, © Nestle
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Market Surges As Americans Equate “Gluten-Free” With Healthier Eating

February 1, 2011: 11:48 AM EST

An online survey of buyers of gluten-free products has found that the main reason for purchasing is that gluten-free foods are thought to be healthier than conventional foods. According to market research firm Packaged Facts, tens of millions of Americans have reduced or eliminated wheat, barley, oats and rye from their diets, driving “the extraordinary surge in the market for gluten-free foods and beverages,” and not just among people with celiac disease or food allergies. The result has been an explosion of specialty food and beverage marketers who contributed to an industry  CAGR of 30 percent between 2006 and 2010, a total gluten-free market value of $2.6 billion in 2010 and a predicted $5 billion value by 2015.

"Gluten-Free Foods and Beverages in the U.S., 3rd Edition", Market report, Packaged Facts, February 01, 2011, © Packaged Facts
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New General Mills’ Advertising Seeks To Reduce Shopper Confusion Over Whole Grains

February 2, 2011: 10:28 AM EST

As breakfast cereal maker General Mills labors to gain ground on market leader Kellogg Company, it is ramping up advertising, social media and in-store promotional efforts to educate consumers on the whole grain content of its product line. The new advertising campaign will “re-energize” its “whole grain message” to reduce consumer confusion, the company says. According to market research, shoppers know whole grains are healthier, but the vast majority – 95 percent by one tally – do not get the recommended 45 grams in their daily diet. Part of the problem is that consumers are often bewildered by ingredient labels touting whole grains versus enriched grains. And to make matters worse for cereal makers, almost half of consumers think bread is the main source of whole grains. 

Elizabeth Olson, "And Down This Aisle, Many Whole Grain Options", The New York Times, February 02, 2011, © The New York Times Company
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Nestlé-General Mills Joint Venture Opens R&D Headquarters In Switzerland

February 1, 2011: 11:56 AM EST

Cereal Partners Worldwide (CPW), the 20-year joint venture between Nestlé and General Mills, opened a new R&D center in Orbe, Switzerland. It will leverage Nestlé's R&D track record, General Mills's technical capabilities and both companies' food processing know-how to develop nutritional breakfast options for markets outside the US and Canada. CPW is currently the world's second-largest breakfast cereal manufacturer and employs 4,000 people, with around 80 in the new facility. CPW has reformulated its cereals, adding whole grain and fiber, and reducing salt and sugar content. Both are members of the International Food and Beverage Alliance, which promotes balanced diets and healthy lifestyles.

Nestle, "CPW opens new Innovation Centre in Switzerland", Nestle press release, February 01, 2011, © Nestle
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ConAgra Foods Introduces Frozen Meals Incorporating The US 2010 Dietary Guidelines

January 31, 2011: 08:35 AM EST

ConAgra Foods announced four new Healthy Choice Café Steamers meals and nine improved All Natural Entrées, and the company claims its Healthy Choice meals let consumers follow the 2010 Dietary Guidelines for Americans in "a way that is practical, simple, and economical." The company says the frozen meals have low levels of fat and saturated fat, controlled levels of sodium and cholesterol, less than 500 calories per single-serve entrée and include whole grain and meatless versions. ConAgra maintains that independent research supports its claim that frozen single-serve meals can “help people lose weight better and more rapidly than healthy eating plans that don't include frozen single-serve meals.”

Press Release, Conagra, "ConAgra Foods Introduces New Healthy Choice Entrées to Help Americans Incorporate Dietary Guidelines into Everyday Life", Conagra, January 31, 2011, © Conagra
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Food Manufacturers, Retailers Launch “Affordable Luxury” Condiments

January 31, 2011: 11:05 AM EST

Food manufacturers and private label retailers are releasing products that play to the “affordable luxury” mindset that strengthened with the economic downturn.  One manifestation is a growing range of upscale condiments that enhance home-cooked meals, something that became more prevalent as consumers cut costs. Examples in this category include the Atlantic & Pacific Tea Co. private-label line, The Food Emporium Trading Co., which includes international specialties, culinary garnishes, ketchup and mustards, and Barhyte Specialty Foods sauces and condiments. A Barhyte Specialty Foods spokesperson notes the growing demand by consumers for condiments with fruitier and spicier flavors.

Bridget Goldschmidt, "A Matter of Taste", Progressive Grocer, January 31, 2011, © Stagnito Media
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Barry Callebaut Launches New Line Of Textured Chocolate Fillings

January 30, 2011: 09:12 AM EST

Barry Callebaut, the world's biggest producer of fine cocoa and chocolates, hopes to entice customers with its new line of textured products, to be introduced at ISM 2011. The innovations reflect the current industry interest in using texture to produce additional taste sensations. New products include caramelized nuts, crispy biscuits, and fluffy, aerated fillings that offer texture and novelty advantages alongside taste and flavor. They are low in trans fats, have a long shelf life, and contain fewer calories by volume.

Press Release, Barry Callebaut, "Barry Callebaut unveils a whole new world of decorations, inclusions and fillings", Barry Callebaut, January 30, 2011, © Barry Callebaut
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ConAgra Foods, TheMotherhood.com Launch Online Cooking School

January 28, 2011: 09:38 PM EST

ConAgra Foods, in partnership with the online community TheMotherhood.com, has launched the blogger-hosted online cooking school, ‘Cooking Connections’. The series of cooking lessons will run on TheMotherhood.com, and be posted on Twitter and Facebook, from January 28 through March 16, and parents will be able to share cooking experiences with the community using Flickr and the social networking sites. ConAgra said the move reflects that the Web has become the main source for recipes and is increasingly used by moms for recipes and food information. 

Karlene Lukovitz, "ConAgra Launches Online Cooking School", Marketing Daily, January 28, 2011
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Silver Spoon, Cargill To Jointly Market And Distribute Truvia Sweetener In The UK

January 27, 2011: 11:50 AM EST

Silver Spoon has partnered with Cargill to jointly market and distribute Truvia, the stevia-based, no-calorie sweetener in the UK. In the U.S. Truvia became the leading stevia-based sweetener just two years after being launched, helping the retail sweetener category grow 18 percent. It has become the third best-selling non-sugar sweetener; a market valued at $685 million in the U.S. Currently the U.K. low calorie sweetener market is valued at £50 million.

Press Release, Cargill, "Silver Spoon and Cargill announce exclusive partnership to bring Truvia™ zero calorie stevia-based sweetener to the UK", Cargill, January 27, 2011, © Cargill Inc
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China's Fast-Paced Market Puzzles, Rewards Both Local And Multinational Competitors

January 26, 2011: 10:55 AM EST

Following a three-year gap working in the US , PepsiCo chief marketing officer for Greater China, returned to the country to find it greatly changed, and with change accelerating. In addition to spreading urbanization Lee sees a greatly expanded digital footprint with activity extending far beyond tier 1 cities, creating anomalies with people without basic plumbing knowing English soccer stars. In this fast changing environment Lee sees local competitors as more effective than multinationals that rely on approaches that are outdated and not relevant for China; local competitors, he says, are fresher, faster moving and more innovative in their marketing.

Normandy Madden and Abbey Klaassen, "At Pepsi, Old Rules of Marketing Don't Apply", AdAgeChina.com, January 26, 2011, © Crain Communications
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Walmart Launches Major Healthy, Affordable Foods Program, Gets First Lady's Support

January 25, 2011: 09:35 PM EST

Walmart has launched a program aimed at providing its customers with healthy and affordable food options that gained the support of First Lady Michelle Obama. The program comes with five key components, namely: reformulation of packaged food items by cutting sodium 25% and added sugars by 10%, and removing all manufactured trans fats; cutting prices of fresh fruits and vegetables; strengthening standards for "front-of-package seal" to help consumers determine healthy food choices; opening stores to serve economically disadvantaged communities that need healthy and affordable foods; and expansion of corporate support for nutrition education campaigns. Walmart’s initiative will have far reaching affects across the US food supply chain In 2010, Walmart launched a $2 billion program to work against hunger by awarding fresh and healthy foods to food banks in the United States. Walmart will also work with the Partnership for a Healthier America to help address the country's obesity problem.

"Walmart Launches Major Initiative to Make Food Healthier and Healthier Food More Affordable", Walmart Stores, January 25, 2011, © Walmart Stores
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Magnesium Supplement Improves Sensitivity To Insulin Among Obese Pre-Diabetics

January 24, 2011: 11:23 AM EST
A study by German researchers found that daily intake of a magnesium supplement improved blood sugar levels and sensitivity to insulin among obese, insulin-resistant people at risk for metabolic syndrome, a precursor of diabetes. People whose bodies do not respond to insulin are at greater risk of diabetes, kidney damage and cardiovascular disease. For the study, 52 participants ingested a 365 mg dose of magnesium-aspartate-hydrochloride (or a placebo) each day for six months. Researchers found that two of three measures of insulin sensitivity showed significant improvement after taking the mineral supplement. Magnesium is found naturally in dietary sources such as leafy green vegetables, meats, milk, etc.
F. C. Mooren, et al. , "Oral magnesium supplementation reduces insulin resistance in non-diabetic subjects – a double-blind, placebo-controlled, randomized trial", Diabetes, Obesity and Metabolism, January 24, 2011, © Blackwell Publishing Ltd
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School Lunch Suppliers Commit To Providing Healthier Meals To 30 Million Students

January 21, 2011: 12:17 PM EST

Thirteen school meals makers, group purchasing organizations and technology companies have partnered with  the Alliance for a Healthier Generation “to make healthier school lunches possible for more than 30 million students” at more affordable prices. According to the AHG, about 14 million of the affected students participate in the free and reduced lunch program. The partnership is part of an effort to combat childhood obesity that involves developing, marketing and competitively pricing products that will lead to healthier school meal options, a streamlined ordering process, and easier identification of healthy food options. Participants have committed to providing lean protein products such as lean red meat, skinless poultry, etc.; low-fat lunch entrées; whole-grain products; fresh, canned or frozen fruit; non-fried vegetables; and zero trans fat cooking oils.

"Groundbreaking Industry Agreements Help Increase Availability of Healthy School Meals", News release, Alliance for a Healthier Generation, January 21, 2011, © Alliance for a Healthier Generation
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Kellogg Revamps Global Marketing, Appoints Brand Learning To Manage Campaign

January 20, 2011: 10:23 PM EST

In the face of poor financial performance — its third-quarter net sales decreased 4% to $3.2 billion — Kellogg is investing to improve its marketing effort globally and has appointed Brand Learning to train Kellogg's marketing directors and senior marketing executives to help set up standards and common processes. Kellogg envisions the program, which will ultimately cover all of the company's marketing units, to improve its marketing capacity and business performance. Mark Baynes, Kellogg CMO, says He said: "We (are aiming) to create a team inspired, equipped and enabled to drive stronger returns in this increasingly complex consumer landscape."

Gemma Charles, "Kellogg unveils plan to boost global marketing", Marketing Magazine, January 20, 2011, © Haymarket
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Brazil's Packaged Food Market Now The World's Fifth Largest

January 20, 2011: 10:02 PM EST

Brazil's packaged food industry grew 44% from 2005 to R$176 billion (US$105 billion) in 2010, moving from eighth to become the fifth largest in the world. Euromonitor sees continued growth for five more years, backed by a strong agricultural production capacity and a growing consumer base that has attracted multinational companies to compete with domestic brands. In the past two years, the market has also seen significant mergers and acquisitions, improving the competitiveness of Brazilian companies. But the newer entrants, like General Mills, find it difficult to penetrate the market as consumers trust brands such as Nestle that have been in the market longer.

MARCEL MOTTA, "Brazil: Food Industry Boom", Latin Business Chronicle, January 20, 2011, © Latin Business Chronicle
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