If you follow the news around food - potato products or otherwise
- you come across plenty of conflicts, several attracting considerable
attention in the media.
However, what I see as the "Real Food Fight" is largely hidden.
In my view, the real food fight is NOT the conflict
highly profiled in the social media: the fight against "Big Food"
or "The Industrial Food system", consisting of Farmers, Agricultural
suppliers, Food Processors, Retail and QSR all lumped together.
The real food fight is NOT the farmers versus the food
manufacturers,
although there is a fight there for sure. E.g. we just saw
this fight heating up in the Idaho potato sector:
the Southern Idaho
Potato cooperative are seeking an investigation into allegations
that ConAgra violated anti-trust laws.
No, what I see as the "Real Food Fight" is the fight
between retail chains and the manufacturers of branded
products. The outcome of this fight - that 's likely to
stretch out over decades - will determine which type
of brands will dominate in future: "store brands" or
"manufacturer brands".
This
fight is also a major factor in the price the consumer pays
for food at the checkout and what products are available in
the first place.
The conflict is taken up to the next level by the rising
price of (food) commodities in 2008 and the subsequent
economic downturn, leaving consumers much more aware of
their food spending. The main weapon in this fight: private label products.
In the US the percentage of private label food and drink
products
increased from 18% in 1999 to 24% in 2009. If you
exclude
beverages, the percentage is even higher: 30%
And
if the statistics are any indication, this fight is only beginning: According
to Mintel's Global New Products Database, of the 1800
newly introduced products in the United States in 2009, 27%
was private label. In 2005, this percentage was only 13%.
Furthermore, where in the past private label products were
mostly "me-too" products, now
private label lines are establishing themselves as trend leaders.
Manufacturers of branded products have noticed and are
fighting back.
What
to think of
this action of Frito-Lay in the Netherlands: they posted
a van outside retail chains and offer to exchange private
label ("huismerk") potato chips for the branded product!
And who is the winner of this fight between retail and
food processors?
The consumer! With both Retail and Manufacturers going
the extra mile to cater to the need of the consumer, there
has never been a better time for consumers to get what
they want. Whether it is Organic, sustainable (Walmart!),
ethical, local, healthy, convenient, I bet consumers can get
it all.
As long as they vote for it with their wallet.
Enjoy reading,
Paul van Eijck
Private Label Shopping Trends in Food and Non-Alcoholic Beverages

This report analyzes consumer attitudes and behaviors regarding
food and non-alcoholic beverage private label brand purchases.
It explores shoppers' desire for value and their attachment
to manufacturer brands in these sectors.
Read more
European
Grocery Retailing 2008
Datamonitor's Verdict Research: European Grocery Retailing 2008
analyzes the grocery market across 27 EU member states. The
report explores the dynamics, growth trends and drivers of the
market and provides detailed strategic recommendations for retailers.
It also profiles and assesses the prospects for Europe's 10
top grocers including Ahold, Aldi, Carrefour and Tesco.
Read more
More
Market Research Reports
The
food economy Global issues and challenges
The food economy is increasingly shaped by such new issues
as sustainability, safety and quality standards, consumer
health, and industry concentration. The Food Economy
explores a variety of trends and topics from the broad
perspective that their evolution is interdependent with all
kinds of counter currents and opposite notions: scarcity
goes together with abundance, public and private initiatives
co-evolve, slow food is connected with fast food, global
brands and local products exist simultaneously.
Read more...
More
Books
Did you already
subscribe to the Daily E-mail?
French Fries and Potato Specialties
Chips and Snacks
Dehydrated Potato Products
Potato Starch
Ingredients for Potato Processing
Processing Equipment
Potato Supply Chain
QSR Restaurants
Health and Nutrition
Energy and Environment
Food Trends
Bischofszell Nahrungsmittel AG
Bischofszell Nahrungsmittel AG is a Swiss manufacturer
of potato products. Products include potato chips, french
fries and potato salads. |
Switzerland |
Hunter Foods Ltd. FZCO
Hunter Foods Limited FZCO is a subsidiary of the Hunter
Foods Group Limited, a company which made its foray
into the Middle East in 1986. |
United Arab Emirates |
Inner Mongolia Nailun Agricultural Science and Technology
Co., LTD
Inner Mongolia Nailun Agricultural Science and Technology
Co., LTD is a manufacturer of potato starch and
modified potato starch operating in China. The company
has an annual production capacity of 100,000 tons potato
starch and 20,000 tons modified starch. |
China |
|