Cooking at the new products conference: from foodservice to retail, Tweens to Prime Timers, the 2003 New Products Conference covered trends, markets and opportunities for food manufacturers

Prepared Foods, Dec, 2003 by William A. Roberts, Jr.

The elements behind creating successful products brought more than 300 attendees to Prepared Foods' 21st annual New Products Conference, held in Palm Beach, Fla. in September. With the availability of a wide range of subject matter, not to mention a variety of networking opportunities, social events and educational sessions, participants went home with a better understanding of innovation and how to reach the consumer--the ultimate goal of any new product company.

During the pre-conference workshop, Scott Lutz, new president of ConAgra's (Omaha, Neb.) snacks group, explained how innovation can be simultaneously easy and difficult: The elements are easy, but sticking to them is hard. Furthermore, the most profound ideas--or the "Big A-ha," as Lutz termed it--is rarely something totally new. "Usually, it is something you've always known but may have forgotten," explained Lutz. Innovation is a means of converting this knowledge and key insights into solutions that create a distinct value. Nonetheless, great ideas still may fail if executed improperly, and a company needs to narrow its focus to tap the idealistic motivations. While Lutz recommended that companies develop fewer ideas, he suggested they also should develop those ideas more fully.

Detailing concepts that have been developed to fruition at the foodservice level, Diane Fox with FoodBeat Inc. (Wheaton, Ill.) offered an in-depth look at food items debuting on prominent restaurant menus. Current breakfast options include more indulgent items, and 96 new appetizers were introduced in the first half of this year. Asian and barbecue starters are making headway, with some ethnic influences making their mark. The top three most-menued appetizers (in order) are nachos, wings and quesadillas.

Dishing Up New Trends

Ray Sierengowski, corporate research chef and lead scientist of culinary development at Kellogg Co. (Battle Creek, Mich.), noted that social/cultural trends are deeply held, value-based and long-term. In fact, they are so ingrained that they often are unnoticed. In his presentation, "Culinary Trends and Their Impact on New Products," Sierengowski said that the key for new product developers is to differentiate trends from fads.

Considering that indulging is a part of nearly everyone's lifestyle, Stacey Zawel, president of Zawel Health Collaborative LLC (Martinsville, N.J.) examined an interesting query: "Do Consumers Want Healthy from Your Brand?" As she noted, not everyone is going to eat healthfully all the time, but they will sprinkle healthful items into their eating patterns.

Zawel's Healthy You! syndicated health study asked what attributes consumers want. Healthful foods make sense to consumers and are not a fad, believes Zawel. She described the "Healthy Trivergence" between science, government initiatives and consumers.

Science is advancing continually, as noted in reported studies extolling the virtues of some food options, as well as the benefits that may be found from unexpected sources. The government is taking action to make nutrition information more available, as part of efforts to reduce healthcare spending through disease prevention.

On the consumer front, more-healthful food consumption is on the rise, and some companies see an opportunity. Snapple Beverage Group (White Plains, N.Y.) has made a deal to appear in New York City schools: PepsiCo (Purchase, N.Y.) is looking to make at least half of its new products "nutritious"; and The Schwan Food Co. (Marshall, Minn.) has a new nutritious pizza that reportedly does not forego taste.

Offering an even more in-depth look at the consumer was Tim Straus, principal and marketing officer of The Turover Straus Group Inc. (St. Louis). Describing the Big Bang of food marketing, Straus believes women's changing roles have redefined family. In the process, a shift has occurred in attitudes toward food, use of ingredients and preparation of meals.

While understanding the consumer has its role, Craig Bacon, senior director of foodservice R&D with Tyson Foods (Springdale, Ark.), noted that in foodservice, knowledge of the customer is paramount. He suggested companies do their homework: understand the operations and equipment constraints before new product development commences: know the operator's customers; and as a supplier, deliver added value.

Addressing a similar topic, Bob Wotzak, senior vice president of quality and R&D at Chef Solutions (Schaumburg, Ill.), discussed "Meeting the R&D Challenges of the Foodservice Trade." A company spends an average of 1% of food sales on R&D, so it is obvious that companies are not planning to buy their way to greatness. That will require creativity, knowing the customer and wisely using resources, he told his audience.

In addition, consumers are looking for a return to comfort items, particularly during certain times of the year. Larry Wu, director of product development, and Tom Barr, director, hot beverage, category management, with Starbucks (Seattle), discussed "Project Mistletoe: The Sweet Kiss of Success." At the coffee giant, R&D reports to marketing, but the company recognizes that its growth potential rests in R&D. The 2002 Project Mistletoe holiday beverage launch followed an analysis that showed room for the new product on Starbucks' menu. They discovered that consumers are looking for nostalgia and relaxation in a hectic time of year. After examining holiday themes and product ideas, Starbucks initiated product development, leading to the creation of the successful Peppermint Mocha.