Refrigeration Magazine - December 2019

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December 2019 Vol. 202 │ No. 12 ISSN #0034-3137

EDITORIAL STAFF Editor/Publisher Mary Y. Cronley (404) 819-5446 Senior Staff Writer Joe Cronley (404) 295-5712 Art Direction Markurious Marketing (678) 439-6534

ADVERTISING, SUBSCRIPTIONS, ACCOUNTS Mary Y. Cronley Editor/Publisher (404) 819-5446 Established as ICE in 1906, Refrigeration Magazine™ is published thirteen times a year, including the Annual Buyer's Guide. Postmaster: Send notice by form 3579 to: Refrigeration Magazine 2930 Cedar Knoll Drive Roswell, GA 30076 Annual Subscriptions: US: $49/year or $79/two years International: $79/year Single Copies: $6/copy

Copyright © 2019 by REFRIGERATION Magazine™. All rights reserved.


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BEST OF 2019 6 Store of the Future 8 Artisanal Ice 11 UK Launches Fund to Help Create Plastic Packaging from Plants 12 Effective Promotions Turn the Tide of Declining C-Store Trips 14 Why Don’t Other Countires Use Ice Cubes?

IPIA CONVENTION PHOTOS Photos from the 102nd IPIA Convention in Ponte Verda Beach, FL

EDUCATION PCQI Training Coming to Dallas in January


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spICE The Last Mile

AD INDEX A list of our advertisers

CLASSIFIED ADS Classified advertisements by region




The Last Mile In the Internet business, the slowest part is called the “last mile.” A company can lay fiber optic cable down main street, install state of the art transmission points, and create a network fast enough to handle a stock market. If your house is too far from the main line, though, you may not get the best hookup. Your kids will complain that with all ten of their devices going at the same time, they had to wait ten seconds to watch their bestie’s Vine. That is intolerable. The “last mile” is that part between the super high speed line and the point where service is actually needed. It’s the part the customer has to pay for directly, has to get their yard dug up or building wired, and it’s the last bit to get finished. You have a “last mile” too. You may have a brand new plant this year, all shiny stainless steel, a first-in-first-out bottom feed bin system, a row of state of the art form fill and seal packaging machines and an automatic palletizer. Your freezer room is squeaky clean, and your software makes sure loadouts match customers every time. Your customer will probably never see that plant that you invested so heavily in. After the regional buyer checks to see that you have a food quality plan in place, you may never have a conversation about it. If it’s 5:30 on Friday afternoon and your driver snaps at a store manager, though, you will hear about it. Your driver, and the vehicle with your name on it, is your “last mile.” They are what represents the entirety of your company to the store level people. Now is the time to make sure your “last mile” is as solid as your plant and equipment. Well-maintained, clean trucks (outside and in) will present your best self. Uniformed drivers whose appearance is enforced will be listened to differently than slobs. Consider customer service skills in your hiring practices, and do some customer service training for your drivers. You don’t have to hire a trainer or consultant. Spend a couple of hours on YouTube and pick two or three simple videos you think they’ll watch. Quiz them on it. Come up with some standard responses for your most likely store level issues: breakage, merchandiser condition, out of stocks, whatever are your real world issues. This is the only time you will get, and this is the cheapest way you have to improve your brand to the people who see it every day. In this business, the last thing trucking about is the truck. What it’s really about is how that driver treats the people who deal with your end consumer. Now’s the time to make sure that “last mile,” the distance from your back door to the inside of the store, is as carefully and cleanly executed as the product you make. Happy Holidays!


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“Now’s the time to make sure that “last mile,” the distance from your back door to the inside of the store, is as carefully and cleanly executed as the product you make.”





Matthiesen is a manufacturer of baggers, bucket elevators, balers, block presses, live bottom bin, belt conveyors, crushers, gravity bins, heat-sealers, rotating tables, shakers, snow reels, custom drying belts, screw conveyors and bagger takoff systems including the Magic Finger System. Contact us today to provide customized solutions for your plant through our research and development, technical service, and experienced professional staff.

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Home Depot, Zivelo Share Insights at NRF on Building the

Store of the Future

by Elliot Maras


hat exactly will the store of the future look like? The question was on the minds of tens of thousands of attendees at the NRF Big Show in New York City recently.

According to leaders from The Home Depot, one of the nation’s most technologically progressive retailers, and Zivelo, an interactive kiosk manufacturer, the store of the future will define itself through a process of carefully curated questions and experiments. 6 REFRIGERATION Magazine │ December 2019

Healey Cypher, CEO of Zivelo, and Albert Vita, director of in-store experience and visual merchandising at The Home Depot, co-presented their ideas on defining the store of the future to a standing-room-only crowd at the Javits Center in January.

The positivity and confidence that both leaders exuded was borne of several years addressing the challenge of integrating digital and physical retail. Cypher recalled that he first sought to bring online thinking to physical retail in his earlier role as head of retail innovation at eBay. Lessons from McDonald's Cypher’s confidence in addressing the store of the future challenge was likely boosted by the success McDonald’s has experienced with its self-order kiosks, which Zivelo provides in the U.S. Cypher said the McDonald’s kiosks have delivered 20–30 percent sales lifts on average. Cypher added that customers today want more from physical stores, which is where most retail commerce still occurs. “We know that customers expect a lot of us in the physical store,” Cypher said. “Customers want more. Now it’s about experiments. It’s about speed.” One of the most important changes in retail, Cypher said, is that for the first time in a long time, major retailers — like digital retailers — are investing in the physical space.

Technology and customer service Vita’s exuberance about the store of the future is based on his dual focus on technological experimentation and a genuine commitment to customer service. A Home Depot pilot store has 90 tests underway and includes a design center, he said. The company, the world’s largest home improvement store with more than 400,000 associates, recognizes that it is a privilege to serve customers’ home needs since the home is where their lives happen, he said. To visualize the store of the future, Vita said, it is necessary to recognize that retail is about human connection and value delivery. He sees his company’s pilot store as a living lab rather than a singular project. “This needs to be a sustained process that lives on,” he said. If that statement sounds theoretical, Vita added a dose of practicality in pointing out that experimentation is a mathematical process. The more experiments you do, the more successes you will have. He called this the “mathematics of innovation.” Whatever the test is about — be it self-checkout or in-store digital — it’s important to measure the results, he said. Additionally, he asked, what change does the experiment bring to inventory planning, replenishment, supply chain, marketing, IT and human resources?

in measurement. For example, he said, it is important to know the numerical relationship between sales and how long it takes for a retail customer to be served. How to begin How do you begin the process? Vita said that the first step is to ask questions — the right questions. The second step is to create the right mindset, he said. If you have a “scarcity mindset” — one that focuses on the competition — you will get scarcity. If you have an “abundance mindset,” you will find opportunity. The third step is to adopt the right values. The quality of a future store will never exceed how grounded it is in the company’s values, Vita said. “What value would you like to bring to life in your stores?” he asked. Vita cited “super-values” of empathy, humility and love. “At the root of all of these decisions is a genuine affection for our associates and our customers in our stores,” he said. Cypher suggested focusing on a handful of customer journeys that your company can master. RM

“All these pieces need to be part of the conversation,” Vita said. Cypher agreed on the importance of measuring results. He said a key question is how much effort to invest

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The latest and oh-so-very-cool new trend in craft cocktails. by Adrienne Kaufmann From the Chattanooga Pulse



which emerged around the mid-2000s, brought a massive change to American drink culture. Focused on using high-quality ingredients and meticulous techniques, this movement changed the ways that Americans drink, order, and make cocktails. Chattanooga is a great example of the way that craft cocktail culture has spread throughout the country. In our midsize city, there are dozens of bars that sell innovative, excellent craft cocktails along with upscale liquor stores boasting an impressive selection of ingredients for at-home mixologists. Because the craft cocktail has become de rigueur, restaurants and bars are always looking for ways to stand out. Often, this means making their cocktails just a bit more artisanal than the competition by using house-made ingredients—think handmade bitters, fruit juices, and infused simple syrups. But even this is fairly common, so what’s left to innovate? The ice. Yes, that’s right. There’s a new trend in craft cocktails, and it’s got nothing to do with the alcohol. Well, that’s not necessarily true, as one of the purported benefits of artisanal ice is that it's a better complement to the alcohol in the drink. There are a number of machines common to the artisanal ice world, all of which make different shapes. The Scotsman produces airy ice balls perfect for mint juleps, and the Kold Draft machine creates precise 1 ¼-inch squares. The most common, and most impressive machine, however, is the Clinebell (also used by ice sculptors), which 8 REFRIGERATION Magazine │ December 2019

freezes massive, 300-pound blocks of ice that are then hand chipped, sawed, or pounded into the desired shape. The carefully shaped ice is designed to enhance the flavors of the cocktail. One of the most common shapes is the chunky square—just big enough to fit into a rocks glass. The bigger the ice, the slower it melts. So, whereas a handful of small ice cubes can water your whiskey down in a matter of minutes, a big slab of ice will ensure that your drink is cold but undiluted.

with a straight face, or maybe you’re itching to get out and see if there’s something to this trend after all. If you’re curious, you can check out Stir, a cocktail and oyster bar here in downtown Chattanooga that employs its own “ice chef” and creates eight different artisanal ice shapes for its signature drinks. Even if you ultimately decide that artisanal ice is just a passing trend, it will be a fun thing to bring up at your next cocktail party.

Also, when the artisanal ice inevitably does melt it doesn’t impart any funky flavors to the drink. Regular ice absorbs the odors and flavors of its freezer companions, but carefully frozen artisanal ice avoids this problem, keeping rogue hints of food flavors out of your Old Fashioned. In addition to these more logical benefits, artisanal ice is aesthetically pleasing. The use of purified water and special freezing processes ensures a dense, crystal-clear cube with no cloudiness from minerals or bubbles. Also, the ice is hand cut, usually with a saw, which adds character to the shape. Slow-melting, perfectly transparent, completely flavorless ice does sound pretty good, but is it really so different from the regular, machine-cut ice you’ve been drinking for years? As you may suspect, artisanal ice has been met with its fair share of raised eyebrows. The suspicion is obvious—is this just a way to dupe people into dropping unnecessary cash on some cold water? I’ll let you be the judge. Maybe the unique “character” of an ice cube’s shape is impossible for you to talk about REFRIGERATION Magazine │ December 2019 9

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UK launches fund to help create PLASTIC PACKAGING FROM PLANTS


he UK government has announced plans to invest £60 million to help fight the battle against single-use plastics and develop new forms of packaging. Businesses are expected to jointly invest up to £149 million. Funding could be used to find ways to cut waste in the supply chain, develop new business models and create new sustainable recyclable materials. The plans form part of the government’s Clean Growth Challenge – a key part of the Modern Industrial Strategy, which is backing the development of plastics made from plants, and products that degrade easily in an open environment.

The government has published a call for evidence on standards for bio-based materials and biodegradable plastics. It is seeking evidence from scientists, manufacturers and the research community on the sustainability and wider impacts of biodegradable, compostable, and bio-based plastics and asks whether new and improved standards and labelling for these materials would be valuable. UK Research and Innovation CEO Professor Sir Mark Walport said: “Plastic pollution is a global crisis that affects our oceans and our land. The new investment through the Industrial Strategy Challenge Fund will establish the UK as a leading innovator in smart and sustainable plastic packaging

“We have put a record level of research and development investment at the heart of our Industrial Strategy – investing to support our best minds and businesses in developing the solutions and industries of tomorrow.

solutions, delivering cleaner growth across the supply chain, with a dramatic reduction in plastic waste entering the environment by 2025.” UK Business Secretary Greg Clark said: “We have all seen the enormous damage being caused by single-use plastics across the world. The race is on to develop new effective and practical solutions to end the scourge of single-use plastics, helping protect our planet for future generations. “This government and business coinvestment clearly demonstrates that when it comes to cutting plastics pollution there is a shared ambition. This is a unique opportunity for our world-leading businesses and innovators to develop the materials of the future with the potential to transform our economy as well as our environment.” The announcement comes two months after the UK said it will ban the sale and use of plastic straws, stirrers and cotton buds with plastic stems in England from April 2020. REFRIGERATION Magazine │ December 2019 11



Turn the Tide of Declining C-store Trips By Melissa Kress

Non-traditional missions, food bundles and innovative products work for the convenience channel. Disruption is everywhere — from the increase in e-commerce to outside economic factors to competitive channels inching further into the convenience channel’s turf. Looking at the industry through a 10-year lens, key factors affecting convenience stores in 2008 included gas prices passing $4 per gallon, a dire economic situation, the beginning of the healthier lifestyle movement and smartphones growing in popularity and effectively changing how retailers sell things, according to Andy Jones, president and CEO of Sprint Food Stores Inc. in Augusta, Ga. At the time, many wondered how the convenience store industry

would survive, according to Jones. But convenience didn’t just survive, it prospered with new categories. Notably, energy drinks saw 10-year industry growth of $5 billion-plus and c-store prepared foods saw 10-year industry growth of $41 billion, he noted. “Disruption should make us think about opportunity,” Jones said at the 2019 NACS State of the Industry Summit, which took place April 2-4 in Rosemont. Jones is also vice chair of the NACS Research Committee. One area where disruption is especially hitting convenience stores hard is in the number of customer trips being made. Excluding fuel, convenience store trips were down 2 percent in 2018, according to Jason Lobel, CEO and co-founder of SwiftIQ. Looking at some

top categories, cigarette trips were down 2.4 percent, packaged beverage trips were down 3 percent to 4 percent, beer trips were down 3 percent to 4 percent, and candy and snack trips were down 2 percent to 8 percent. And not only are the trips down, but so are the categories themselves, meaning consumers are buying less as well. However, there are some standout categories: • Other tobacco product trips are up 3 percent to 5 percent; • Food prepared onsite trips are up 3 percent to 5 percent; and • Lottery trips are flat to up 2 percent. The downward trend in trips can be reversed through promotions, advised

So, what is working in convenience? Non-traditional missions; food bundles and meal deals; first to market with innovative products; and tactical displays are the most successful.

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Lobel. Consumer packaged goods companies spend approximately $225 billion annually on trade promotions — and that amounts to more than 30 percent of their marketing and advertising budget. “There are a lot of dollars floating around,” he said. There are several things a c-store operator should keep in mind when considering a promotion, according to Lobel. The list includes length of promotion, purpose of the promotion, support behind the promotion, and if the time is right for the promotion. Everyday low pricing promos are not promotions, Lobel stressed, because customers come to expect them. So, what is working in convenience? Non-traditional missions; food bundles and meal deals; first to market with innovative products; and tactical

As for promotions in general, they fall into four primary types:



displays are the most successful, he explained. On the other hand, what’s not moving the needle are items bundled from opposite dayparts; no support (like signage); too many promotions; and small temporary price reductions, he said. Still, it is not enough just to run a promotion. Retailers need to know if the promotion is working. “You need to ask yourself if you are using the wrong measurement tools for the



modern world,” Lobel said, noting that measuring units per week is just the tip of the iceberg. C-store operators can mine a lot of trip data from store receipts, including basket size and items, loyalty information, and day and time of purchase. “You really have to understand your stores, your assortment and your customers,” he said. RM

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A recent article by Alina Simone in The New York Times, appeared in its Opinionator blog. It was about why Russians don’t put ice in their drinks. Any American who has traveled in Europe has probably wondered the same thing in many of those countries, where you might be served a few cubes of ice floating in your soda but rarely the glassful we’ve come to expect here. A better question might be, why do Americans love ice so much? The answers Simone heard from older family members and from strangers in New York’s Russian immigrant–dominated Brighton Beach were all over the place: A Chechen antiques dealer said, “Who knows where that ice came from? It’s probably dirty.” A bar patron posited that ice dilutes a drink, but had no answer for why, then, it shouldn’t be used in water. A Siberian friend pointed out that they are already surrounded by ice for most of the year, and another said maybe it was because they have bad teeth that were sensitive to the cold.

WHY DON’T OTHER COUNTRIES USE ICE CUBES? A better question might be, why do Americans love ice so much? By Lisa Bramen

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One explanation I’ve heard elsewhere, and which may hold some truth, is that Europeans see ice as taking up valuable real estate in the glass, so that they would feel cheated if they got too much ice and too little beverage. This theory has two problems: It doesn’t explain, again, why water shouldn’t be served with ice, and it doesn’t take into account the fact that one is often served a whole can or bottle of soda, which could then be used to refill the glass.

My guess on the first issue is that drinking water with a meal is (or at least was) less common in Europe than here — a Parisian waiter once sarcastically presented my requested water as “Champagne” — and since no one had become accustomed to ice in drinks the preference carried over to water. The answer that Simone heard that was closest to the truth, I suspect, came from a waitress in a Russian restaurant: “That’s just how it’s always been.” With a question that could never be answered definitively, that seems as good a response as any. As for the reverse question—why Americans use so much ice in their drinks—my theory is that it has to do with our “more is more” mentality. Because somewhere along the line free drink refills became the norm, giving customers lots of ice was actually seen as adding rather than subtracting value. It’s like the giant slab of cream cheese many delis slap on your bagel, when a light schmear would do nicely. Personally, I think they sometimes go overboard with the ice; I like my drink chilled, but not glacial. At the other extreme, in some countries—Turkey, for instance—hot beverages, like tea, are preferred in warm weather. The theory is that they cause you to sweat, which cools you down, while your body will have to work harder to warm a cold drink to your internal temperature, thereby making you even hotter. But, as Dean Edell points out, this theory doesn’t hold water: Neither a hot nor a cold drink in anything but an enormous amount can raise or lower overall body temperature. It’s “like throwing an ice cube into a tub of hot water,” he says. Any difference felt is an illusion. RM



Thank you to Forbes Wilson for providing this photograph. Forbes’ father, John Wilson, was Factory Manager from 1966 to 1980 at the West Shore Road ice works. Forbes explained, “This photograph is from the old Granton Ice factory on the West Shore Road. The date of the photo is unknown but is definitely pre-1952 since a crane was no longer required when the new, adjacent factory opened in 1952.” The 2 cwt ice blocks were loaded onto the crane and taken down to the cold store for storage. This was essentially a large freezer where up to 100 tons of ice could be stored to meet peak demands. The chap 2nd from the left is Dick Angus. He stayed with the firm and ended his days as the Chief Engineer.



One explanation I’ve heard... is that Europeans see ice as taking up valuable real estate in the glass, so that they would feel cheated if they got too much ice and too little beverage.

You’re In the Convenience Business Like You Didn’t Already Know That


UK takes a bold move for 2020...pressure on all of us to do our part to address the problem.

West Shore Road, Granton (Guildford, Surrey, England). This photo may have been right about early 1950’s when a new adjacent factory was opened

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Thank you RouteMan ND IPIA 102 (KCS Consulting)

ANNUAL CONVENTION & TRADE SHOW Darrell Mount, for sharing these photographs with us.

NOVEMBER 4 - 7, 2019



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REMINDER: PCQI TRAINING COMING SOON The IPIA sponsored PCQI (Preventive Controls Qualified Individual) Training Class, January 14-16 is at the Doubletree Hilton DFW Airport North Hotel. The Doubletree right north of the Dallas-Fort Worth airport is a full service hotel with an airport shuttle at an excellent contracted room rate of $119 per night. The IPIA recommends that all member companies have a PCQI Individual to meet Q57, the minor question on the 2019-20 audit and FDA FSMA (Food Safety Modernization Act) audit requirements. In absence of a PCQI trained individual, producers will need to provide acceptable ‘food safety job experience’ at the auditor’s discretion as outlined in Q57. This class taught by IPIA Food Safety Consultant and PCQI certified

trainer, Chris Dunn will be specific to ice manufacturing and at a substantial discount to the rates of other PCQI classes! The class is a mandatory 20 hours as dictated by the Food Safety Preventive Controls Alliance. The class schedule was constructed to allow travel in on the morning of the first day, Tuesday the 14th of January, thus potentially only 2 nights of hotel stay. We do have some rooms reserved for those arriving the day before, Monday, the 15th The class is open for registration! Do not delay as class size is limited and this class is the only one scheduled for 2020.


SAVE DATE The IPIA 2020 Convention and Trade Show is coming to Las Vegas on November 3-6, 2020. IPIA is excited to be going to Las Vegas in 2020 for our 103rd annual convention and trade show! Come for our exhibit hall, education sessions, and networking opportunies - stay for the relaxation and fun with your industry colleagues! 18 REFRIGERATION Magazine │ December 2019

ice storage & metering systems The Ultimate Babysitter When you go home for the night, the last thing you want to do is worry about what is going on at the ice plant. Used as a surge bin, the KEITH® Ice Storage & optimizing run time for the ice machine and by storing ice for processing during work hours. Bins are built to last using the best FDA approved food grade materials and are driven by reliable WALKING FLOOR® technology. Low Maintenance • Higher Quality Ice • No Ice Buildup True FIFO Rotation • Horizontal Metering • Vertical Comb Built to Last • Superior by Design ®

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KEITH can handle it. 2016 KEITH Mfg. Co. All Rights Reserved.

REFRIGERATION Magazine │ December 2019 19



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Rates are $1.00 per word, with a minimum charge. Any blind ads, with an assigned box number c/o publisher, add $10.00. Deadline for upcoming issue is the 1st of the previous month. For advertising and listing information, contact Mary at (404) 819-5446 or

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