Holistic Yet Tasteful New Products Abound

Feb 25, 2002

Green Foods is hoping to cash in on the lucrative pet supplements market, which is estimated to grow 17 percent to more than one billion dollars in the next
four years. Its latest product launches are Barley Dog and Barley Cat made with
organic barley grass juice powder. “Barley Dog and Barley Cat have active enzymes
and chlorophyll that help detoxify pets and promote good digestion. They contain
trace minerals that can provide healthier skin and coats. They’re natural food
additives that can be sprinkled on every meal,” according to company spokesman
Dennis Hoth.

With its biggest innovation in years on the way to store shelves this week,
Procter & Gamble Co.’s diaper business is fixed for now, the unit’s president
said. Deb Henretta, the first woman to run P&G’s global Baby Care unit,
said the Pampers Baby Stages diapers cap a run of new products and new technology.
Baby Stages started shipping last week with different diapers for three different
stages of a baby’s development. It will replace the Pampers Premium diaper in
the purple package. P&G has licensed the Pampers name for a new household
cleaner and baby clothes, and added wipes and disposable bibs to the company’s

Heinz is also about two months away from launching a new StarKist line called
Tuna Creations, flavored tuna in an easy-to-use pouch. Variation includes hickory
smoked, herb and garlic, and zesty lemon pepper.

Dole bananas will team up with Keebler Golden Vanilla Wafers for an in-store
cross promotion this spring. From March 24 to April 24, 100 million exposures
from this promotion will encourage consumers to buy these two products. More
than one million “$1.00 Free Dole Banana Coupons” at point-of-sale
will be available to consumers with a purchase of two packages of Keebler Vanilla
Wafers (11 ounces or larger). During this promotion, Dole will be stickering
millions of bananas with “Go Bananas With Golden Vanilla Wafers” labels.

Snyder’s of Hanover, which produces the leading U.S. pretzel brand, is launching
EatSmart, which it claims is “the first brand to offer a comprehensive line
of all natural and organic snack items that are also flavorful.” The EatSmart
brand is being introduced with three new snack items: all natural Veggie Crisps,
Organic Blue Corn-Tillas, and Organic Blue Corn-Tillas with Sesame Seeds. More
new products are expected to appear in the lineup during the first half of 2002.

U.S. poultry processor Perdue Farms, has launched new marketing efforts for
two new poultry meat-based burger-type products – seasoned chicken burgers and
seasoned turkey burgers. The seasoned chicken burgers are available in four
flavors -savory chicken, char-grill beef, broccoli and mushroom, and spicy.
The turkey burgers are available in char-grill flavor. Perdue says its poultry
burgers contain 56 per cent less fat than regular ground-beef burgers and have
a natural, hand-formed shape and can go from freezer to plate in 15 minutes
without de-thawing.

Stonyfield Farm is entering the beverage category with the launch of its new
organic Drinkable Low-fat Yogurt. Currently available in four flavors: raspberry,
strawberry, peach and tropical fruit, each bottle is power-packed with healthful
and nutritious ingredients.

Moderator Comment: Are new product failure fees or
other up-front monies justified? How can retailers better assess which new products
to take on and which ones to take a pass on?

Both retailers and manufacturers assume a risk with any
new product introduction. Retailers are quick to point out that most new products
fail. Manufacturers invest heavily in new product research, development and
marketing and suffer when a rollout does not catch on with consumers. [George
Anderson – Moderator

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