EXPO VIEW
bi-monthly Newsletter
January 2013 ISSUE No6
EXPO VIEW TOP STORY stand at 1A14/1B13a
IRAQ Agrofood exhibitors with Expoaid In this Issue:
TOP STORY : AGRIFOOD—IRAQ
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BUSINESS ISSUES: OLIVE MARKET havoc prevails
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BUSINESS ISSUES: STORE TREK a shopping story
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BUSINESS ISSUES: THE BEST BRAND
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GREEN PLANET: Small business, food recession
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SUCCESS STORIES Galeria Kaufhof
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PRODUCT NEWS Salt
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The challenge to grow markets with future potential is a rewarding task, but you have to be ready to get into a pioneer mood and boldly go where no one ever been before… North Iraq is a fast developing area with rapidly increasing standard of living, an increased consumption trend, while it remains dependent on food imports and a continuous weakening of local production. The 5th International Exhibition for Agriculture, Food, Food Processing and Packaging, Iraq Agro-Food 2012, is the ideal platform for the suppliers of Iraq’s main agricultural and nutritional needs. Organized by International Fairs & Promotions (IFP) Iraq, under the auspices of the Iraqi Ministry of Agriculture and the
Ministry of Agriculture and Water Resources in the Kurdistan Region, Iraq Agro-Food 2012 enjoys the full support of many local and international trade bodies. Iraq Agro-Food 2012 has drawn more than 350 companies from 26 countries across Europe, the Middle East, Asia, and North Africa to participate in the exhibition. Expoaid participated with a stand organized by New Genesis, presenting olives of Agrosparta under FOS brand, Karpea olive oils and Pelito all natural nut and sesame bars. The contacts at the exhibition revealed the difficult and rigid frame of regulations, but also the need for new quality products for the developing retail trade of the country.
Parthenonos 1,N. Erythraia Athens146 71Greece info@expoaid.gr / Tel: +30 210 6250365 / Fax: +30 210 6209905
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BUSINESS ISSUES
Price havoc continues in olive oil markets… We are currently at the heart of the olive oil collection period of the season 2012-2013 . The olive oil market began showing awkward signs in August, a situation that persists until this very moment we are writing our thoughts. In our previous articles on this subject we have referred clearly to the speculations around the decreased Spanish crop, and we have been arguing that with the quantities estimated by the Spanish officials, shortage of olive oil was a mere fiction. While we are well deep in the course of the Greek olive collection period, with production increased by 15% in relation to last year’s crop, and qualities that lack in comparison to last year’s standards, rumors have spread that Spanish and Italian buyers are purchasing every possible available quantity of olive oil. The natural result of this is are the increased expectations of the producers, expressed in an increased price around the level of 3 EUR/kg. We believe that in a free market it is an undeniable right of Spanish and Italian buyers to increase prices with such actions but at the same time for the benefit of many, the market should stabilize at a certain level. We are going through a continuous instability since August, with highly fluctuating price levels. In a market experiencing a drop in consumption due to the deteriorating and unstable economic situation such games aid no one but the random opportunists to profit from the price instability.
Olives Greek table olives are going through a fairly positive period. The prices of the Green olives have stabilized at slightly lower levels compared to last year’s crop. Kalamata olive prices are at the same levels with the beginning of last year’s season. The main issues is with the natural black olives, as they were not favored by the weather conditions to mature. This exposes the crop to continuous danger of damage by the winter weather. For this reason the prices of this product have not yet stabilized while processing companies cannot book quantities of the crop to secure adequate supply at the moment.
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Parthenonos 1,N. Erythraia Athens146 71Greece info@expoaid.gr / Tel: +30 210 6250365 / Fax: +30 210 6209905
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BUSINESS ISSUES
Store Treck -Virtual shopping from your sofa…. Retail innovations keep amazing us.. Shopping with your mobile by scanning QR codes while waiting for the train to take you home seems a bit outdated when you could virtually walk the supermarket aisles and pick up your groceries connected to a machine similar to Xbox Kinect. A a prototype for a 'virtual store' where visitors can walk through the aisles and put items into a basket - all without leaving their living room has been shown off online. The system was developed by British firm Keytree. Tesco.com head of research and development Nick Lansley told Marketing magazine that a virtual store had previously been ‘stymied by lack of computing power in a web browser and slow broadband speeds’. Greater bandwidth, the rapid take-up of HTML5 and new technology, including 3D TVs, mean the retailer’s aim of ‘flying through a virtual Tesco store and grabbing 3D products is getting closer’ to becoming a reality. Although the shopping experience lacks perfection in many aspects it is still a fairly impressive deal. An Xbox Kinect was used to provide an interactive layer on top to try to make your TV into the store. A video released shows users at home using Microsoft's Kinect control to move around the store using their hand to 'wave' at items to put into the virtual basket. Once selected, customers can buy and arrange delivery using Tesco's existing online shopping system. However real it will still be a very solitary experience… but who knows maybe social interaction will become an element of the shopping trip and the whole process will become a social medium… In a nutshell Users can virtually walk round the supermarket using a motion sensing addon for the Xbox 360 games console, and can even just point in the direction they want to go using an on screen target.
The software perfectly recreates the aisles of a Tesco store, although the supermarket says the system is still in its 'very early stages'
The system can place of a users favorite products on the same shelf, creating a personalized supermarket aisle for them.
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Parthenonos 1,N. Erythraia Athens146 71Greece info@expoaid.gr / Tel: +30 210 6250365 / Fax: +30 210 6209905
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THE BEST BRAND We should not get surprised when a brand owner declares that his product is the “best brand” These claims are rarely supported by independent research or focus groups. In reality , customers votes every day at supermarkets on the best brands with their purchases. Bellow are 10 key factors to assess when comparing your product performance versus other category participants. 1. Taste Taste is an obvious measure of product quality. However companies need to recognize that taste preferences vary by country. Especially for ethnic or exotic products taste it is more difficult. 2. Smell How does your product smell when the package is opened? What fragrance is emitted when the product is cooked? Is this smell pleasant when combined with traditional food pairings ( your salad dressing when put on salad) 3. Appearance Visual is another decisive element of the process. Some packages are transparent providing a window into product appearance. Some other, you should open the box or can after purchase see the contents. Does the first glance at your product satisfy or disappoint your consumer? 4. Ingredients Shoppers spend more and more time investigating product labels. There are hundreds of cereal products on the shelves, all with unique formulations. Investigation of ingredients of competing products can reveal variances in vitamin, fiber and carbohydrate levels. 5. Health Every consumer proclaims an interest in “eating healthier” What are your product benefits and how do they compare to
BUSINESS ISSUES
competition. Food industry has witnessed increasing demand for Organic products, gluten free and products with lower levels of sugar or salt. 6. Packaging Packaging is measured by both attractiveness, convenience and product claim massages. Many consumers do judge a “book by its cover”. Some shoppers view unattractive packaging as the key barrier to trial for private label products in USA market. 7. Price/Value Value is measured by more than price alone. However most consumers enjoy bargain or a brand that offers ”more for their money”. Premium pricing strategies are attractive for retailers and brands. However you must demonstrate tangible value to charge more on a cost per use basis. 8. Presence P&G speaks of the “first moment of truth” when the buyer looks at your product on the shelf for first time. In USA 70% of purchase decisions are made at supermarket shelf.How does your product look on the shelf next to other category players? Does your brand shine? 9. Sustainability Sustainability has emerged as a major selection factor for new product introduction in North America and Europe. 10. Competition Supermarket buyers maintain the luxury of evaluating a parade of category competitors. Companies are logically proud of their products and the benefits they offer. Their brands Successful marketers should look at their brand as a buyer does. Many brands tout only their product attributes without a fair look at their competitive set. In every category one brand must be the best. The vaulted status can be claimed by your brand if you truly deliver a superior product.
Top Food Trends Spotted at the Winter Fancy Food Show The top food trends for 2013 have been picked by a panel of trends potters at the 38th Winter Fancy Food Show, which ended last week in San Francisco. The show is the largest marketplace for specialty foods and beverages on the West Coast, with 80,000 products from the U.S. and 35 countries and regions. The top trends spotted are:
Botanical Beverages. Herbs and spices are emerging in teas and beverages
Blue Cheese Redux. Blue cheese was not only popular in the cheese pavilion – blue cheese flavors abounded in chocolates, in powder form and in goat cheese.
Oil Nouveau. Oil is coming from some unusual places and flavored with unique flavor combinations such as Tea Seed Oil with Sundried Tomatoes & Chili Pepper; Cherry Seed, Chile Seed and Tomato Seed Oils;
So Many Seeds. Seeds and grains abounded at the show with sprouted seeds in snacks,. Top Banana and PB. Banana and peanut butter appeared in many new products from the sweet to the savory.
Other trends spotted include fruit-infused vinegars, chips with a healthy glow such as fuji apple chips, , agave used as a sweetener in place of sugar, and herb flavors appearing in everything from soda and coffee to sugar mixes .
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Parthenonos 1,N. Erythraia Athens146 71Greece info@expoaid.gr / Tel: +30 210 6250365 / Fax: +30 210 6209905
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GREEN PLANET
Small business – sustainable by need and attitude The small business person is often completely ignored. In Greece medium sized enterprises employ 85% of workforce, in the UK they account for about 40% of GDP , and although they vary in average size and contribution their role goes generally unrecognized. Yet they offer a successful existing model from which both ends of the public-private spectrum has much to learn. They tend to be flexible, integrated into their local communities and often run for reasons in addition to just making a profit - for families or friends, out of habit or love, to provide a local service or to keep loyal employees at work. Small companies survive by being lean and responsive, and by working very hard. They may be old fashioned, but can be socially responsible and environmentally friendly, even if they have never carried out a green audit or taken part in management training. Perhaps surprisingly, women and ethic minority groups are better represented in small businesses than in the corporate world. Their very size, their reliance on local economies, their local networks and loyalties, make small firms closer to the type of business we talk about creating in the future. They are a resource waiting to be tapped if only we had the imagination to bring them together somehow for the common good. This is a real opportunity to think big while acting small. Yet we still push our young people anxiously toward the last few graduate places at big corporations. We are impressed by big names and big logos- falling for our own marketing.
SUSTAINABLE LIVING‌.
Nutritional recession – could a change in attitude of retailers open a door for healthy products? Rising food prices and falling incomes have resulted in a "nutritional recession" with poorer families now consuming more unhealthy foods and less fruit and vegetables. According to recently compiled data on Britain's grocery buying habits, consumption of fat, sugar and saturates has soared since 2010. Retailers could play an important role in debunking this myth through a public information campaign and showing to shoppers they can eat well on a budget. This is resulting in many families relying on these for many of their meals and, as a result, some families are consuming too much salt, saturated fat and sugar and missing out on key nutrients. The food industry cannot hide behind claims that it is simply offering cheapPage 5
er choices, especially when it comes to promotional offers, but adopt a more responsible role with its promotional offers. Actions have been seen in the direction of promotion of healthy and fresh food, clear unit pricing and food labeling, which allows consumers to compare the unit price and nutritional value, in order to make a rational decision on cost and nutrition. Collective effort and regulation will be needed to tackle the perception that healthier food is beyond those buying on a budget. This crisis may pose an opportunity for products that are healthy with high nutritional value and reasonably priced, creating openings and opportunity for expansion and growth.
Parthenonos 1,N. Erythraia Athens146 71Greece info@expoaid.gr / Tel: +30 210 6250365 / Fax: +30 210 6209905
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ON THE ROAD...
SUCCESS STORIES
from 30 October until 15 December 2012 With a slight change in program the Hellenic Foreign Trade Board (HEPO) organized promotions and tasting of Greek food and beverage in 16 outlets of the German supermarket chain GALERIA KAUFHOF in 14 different cities in Germany. The action included tastings and presentation to the general public supported by a distribution of a booklet with information about Greek food and beverages supported by easy and practical recipes.
The action involved 20 Greek companies , producing a representative range including olive oil, olives, honey, jam, wine, ouzo, retsina, sauces, spreads, vinegar, mustards and other delicacies. The actions and the sales produced results beyond the initial expectations leading to re-evaluation of certain products aiming at permanent placement on the shelves of the supermarket. Papadimitriou presented the two specialty balsamic vinegars naturally infused with honey and
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fig, along with the two classic flavors of Mediterranean mustards, classic and oregano & thyme. The products have a proven track record with German consumers. They are appreciated and sought after. The key point is to gain the trust of the retail buyers proving that the products deserve to sit on the shelves due to their unique selling points and quality. We look forward to continue this cooperation, expanding and building up our potential.
Parthenonos 1,N. Erythraia Athens146 71Greece info@expoaid.gr / Tel: +30 210 6250365 / Fax: +30 210 6209905
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PRODUCT NEWS
A BIT OF SALT…. The value of salt is undeniable, commercially, industrially and nutritionally, whichever way you look at it, salt was, is and will be an indispensable ingredient of our lives. The question is which salt and how much salt . Salt is a naturally occurring element in foods. It is also added for taste and preservation purposes. Where is it found and what does it contain? It is more about what it does not contain, because it matters... Commercial table salt used in our food and to soften water is the furthest thing from ideal. During the refining of table salt, natural sea salt or rock salt is stripped of more than 60 trace minerals and essential macro-nutrients. This salt is stripped of all its minerals (beside sodium and chloride) and heated at such high temperatures that the chemical structure of the salt changes. In addition, it is chemically cleaned and bleached and treated with anti-caking agents which prevent salt from mixing with water in the salt container. Unfortunately the anti-caking agents perform the same function in the human body, so refined salt does not dissolve and combine with the water and fluids present in our system. Instead it builds up in the body and leaves deposits in organs and tissue, causing severe health problems like hyperthyroidism. Two of the most common anti-caking agents used in the mass production of salt are sodium alumino-silicate and aluminocalcium silicate- both sources of aluminum and heavy metals. The comparison of natural and processed salts reveals a fairly disturbing picture… too much Sodium Chloride and chemicals hide in processed salt, while processing drives away any naturally occurring beneficial elements.
W E O F F E R AT F O S P R O D U C T S
100% natural sea salt flakes—no additives no nonsense
We do not add salt into our sun dried tomatoes , they taste great anyway…. So you will get 173mg of sodium from FOS sun dried tomatoes, while in the average commercial type you will find 1132 mg of sodium accounting nearly for 50% of your daily intake…..
We use only natural sea salt when preparing our olives. Page 7
Parthenonos 1,N. Erythraia Athens146 71Greece info@expoaid.gr / Tel: +30 210 6250365 / Fax: +30 210 6209905