Consumer Trends conference sheds light on buying preferences
Consumer Trends conference sheds light on buying preferences
NEWPORT BEACH, CA -- By design, the Produce Marketing Association lined up guest speakers for its Consumer Trends '08 conference, held here April 3-5, who are good at punching holes in people's perceptions.
What the industry thinks it knows isn't necessarily so, the speakers said. That's not to say that the sky is falling, just that not enough is being done to hold it up forever.
Harry Balzer, vice president of The NPD Group, a national market research firm based in Port Washington, NY, said that he has in his possession data on the eating habits of U.S. consumers that no agency -- save perhaps the federal government -- has in its possession.
He shared numerous -- and humorous -- examples of data that indicate that what and how America eats runs contrary to popular perceptions. In some cases, the data were revealing and in others they confirmed suspicions. Some highlights from Mr. Balzer's presentation:
-- In 10-year increments beginning in 1978 and carrying through the present, McDonald's has been the most popular restaurant in the United States.
-- The 10 most popular fruits and vegetables in 1990-92 were virtually the same as in 2005-07. In fruit, the top 10 items stayed the same with bananas, apples and oranges leading the way, but with some changes in pecking order in the remaining seven. In vegetables, No. 10 cabbage from the 1990-92 list got bumped off the 2005-07 list and was replaced by corn. Potatoes, lettuce and onions were the top three vegetable choices.
-- The fastest growing restaurant chain in the United States is Jimmy John's, which makes and delivers cold-cut sandwiches.
-- The average cost of a restaurant meal per person is $6; the average cost of a meal at home is $1.90 per person.
-- Twenty-four percent of the population eats organic food, but 93 percent of consumers aren't eating organic vegetables on a regular basis.
"We'll never let food costs rise faster than our income," Mr. Balzer said. "This is always about income." When food costs start to exceed income, people adjust their food-purchasing choices, he said.
According to Mr. Balzer, the main question confronting the fresh produce industry is, "Can you make fresh easier?"
Steve Lutz, executive vice president of The Perishables Group, based in Chicago, showed footage of interviews he conducted about food-purchasing habits with a dozen or so consumers who fit various demographics, and then he invited the group to talk with the audience on the final day of the conference.
The group's comments were revealing and demonstrated a range of perceptions and misperceptions about fresh produce.
The conference also was an opportunity for Bonnie Fernandez, newly appointed executive director of the Center for Produce Safety at the University of California-Davis, to introduce herself and field questions from the audience.
Scott Horsfall, chief executive officer of the California Leafy Greens Marketing Agreement, spoke about the agreement's efforts, and Bob Whitaker, formerly with NewStar Fresh Foods in Salinas, CA, was introduced as PMA's new chief scientific officer.
Ms. Fernandez said that although her role is just now starting to take shape, she is heartened by a supporting cast that includes Messrs. Horsfall and Whitaker, as well as Tim York of Salinas-based Markon, who is chairman of the center's board of directors.
Saul Gitlin, executive vice president of strategic marketing services at Kang & Lee Advertising, and Chef Robert Danhi held a seminar on the influence of Chinese and Vietnamese cuisine in American culture. Both stressed the need to learn about the cultural habits of these consumer groups to better serve their needs. They presented a few dozen examples of popular foods that cater to the Asian palate. They also provided data that indicate that the Asian population in the United States is growing at a rapid pace.
Similarly, Jim Perkins, president of Chicago-based ULATAM Retail Solutions, a research firm that focuses on Latin American trends and marketing, offered perspectives on what Hispanic consumers want to eat, and where and how they buy their food.
As with the talk on Asian cuisine, Mr. Perkins' thrust was toward selling more ethnic food not just to the respective ethnic groups, but also to a broader American consumer base.
A take-away message from Mr. Perkins' talk was that the Hispanic consumer base is broad, varied and complex in its eating and purchasing habits.
The conference included three "insight forums" that involved the audience splitting into smaller groups to discuss the two talks on ethnic foods and a third one that followed the talk Friday on food safety and consumer eating patterns in the United States.
A presentation on public relations and its use in the fresh produce industry was held by Caitlin Friedman and Kimberly Yorio, principals of the New York- based public relations company YC Media. They offered numerous insights into when a public relations campaign may be advisable and how to select a public relations firm.
What the industry thinks it knows isn't necessarily so, the speakers said. That's not to say that the sky is falling, just that not enough is being done to hold it up forever.
Harry Balzer, vice president of The NPD Group, a national market research firm based in Port Washington, NY, said that he has in his possession data on the eating habits of U.S. consumers that no agency -- save perhaps the federal government -- has in its possession.
He shared numerous -- and humorous -- examples of data that indicate that what and how America eats runs contrary to popular perceptions. In some cases, the data were revealing and in others they confirmed suspicions. Some highlights from Mr. Balzer's presentation:
-- In 10-year increments beginning in 1978 and carrying through the present, McDonald's has been the most popular restaurant in the United States.
-- The 10 most popular fruits and vegetables in 1990-92 were virtually the same as in 2005-07. In fruit, the top 10 items stayed the same with bananas, apples and oranges leading the way, but with some changes in pecking order in the remaining seven. In vegetables, No. 10 cabbage from the 1990-92 list got bumped off the 2005-07 list and was replaced by corn. Potatoes, lettuce and onions were the top three vegetable choices.
-- The fastest growing restaurant chain in the United States is Jimmy John's, which makes and delivers cold-cut sandwiches.
-- The average cost of a restaurant meal per person is $6; the average cost of a meal at home is $1.90 per person.
-- Twenty-four percent of the population eats organic food, but 93 percent of consumers aren't eating organic vegetables on a regular basis.
"We'll never let food costs rise faster than our income," Mr. Balzer said. "This is always about income." When food costs start to exceed income, people adjust their food-purchasing choices, he said.
According to Mr. Balzer, the main question confronting the fresh produce industry is, "Can you make fresh easier?"
Steve Lutz, executive vice president of The Perishables Group, based in Chicago, showed footage of interviews he conducted about food-purchasing habits with a dozen or so consumers who fit various demographics, and then he invited the group to talk with the audience on the final day of the conference.
The group's comments were revealing and demonstrated a range of perceptions and misperceptions about fresh produce.
The conference also was an opportunity for Bonnie Fernandez, newly appointed executive director of the Center for Produce Safety at the University of California-Davis, to introduce herself and field questions from the audience.
Scott Horsfall, chief executive officer of the California Leafy Greens Marketing Agreement, spoke about the agreement's efforts, and Bob Whitaker, formerly with NewStar Fresh Foods in Salinas, CA, was introduced as PMA's new chief scientific officer.
Ms. Fernandez said that although her role is just now starting to take shape, she is heartened by a supporting cast that includes Messrs. Horsfall and Whitaker, as well as Tim York of Salinas-based Markon, who is chairman of the center's board of directors.
Saul Gitlin, executive vice president of strategic marketing services at Kang & Lee Advertising, and Chef Robert Danhi held a seminar on the influence of Chinese and Vietnamese cuisine in American culture. Both stressed the need to learn about the cultural habits of these consumer groups to better serve their needs. They presented a few dozen examples of popular foods that cater to the Asian palate. They also provided data that indicate that the Asian population in the United States is growing at a rapid pace.
Similarly, Jim Perkins, president of Chicago-based ULATAM Retail Solutions, a research firm that focuses on Latin American trends and marketing, offered perspectives on what Hispanic consumers want to eat, and where and how they buy their food.
As with the talk on Asian cuisine, Mr. Perkins' thrust was toward selling more ethnic food not just to the respective ethnic groups, but also to a broader American consumer base.
A take-away message from Mr. Perkins' talk was that the Hispanic consumer base is broad, varied and complex in its eating and purchasing habits.
The conference included three "insight forums" that involved the audience splitting into smaller groups to discuss the two talks on ethnic foods and a third one that followed the talk Friday on food safety and consumer eating patterns in the United States.
A presentation on public relations and its use in the fresh produce industry was held by Caitlin Friedman and Kimberly Yorio, principals of the New York- based public relations company YC Media. They offered numerous insights into when a public relations campaign may be advisable and how to select a public relations firm.
