Customization strategies in food and drinks
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The report Customization Strategies in Food And Drinks examines how manufacturers can use mass customization to meet consumer trends and direct their business strategy. It considers how customization ...

The report Customization Strategies in Food And Drinks examines how manufacturers can use mass customization to meet consumer trends and direct their business strategy. It considers how customization has evolved and how digital technologies enhance and enable customization opportunities.

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    Customization strategies in food and drinks Customization strategies in food and drinks Document Transcript

    • Customization Strategies in Food And DrinksPublished:September 2011NO.Of pages:99Price:US $ 2875The report Customization Strategies in Food And Drinks examines howmanufacturers can use mass customization to meet consumer trends anddirect their business strategy. It considers how customization has evolvedand how digital technologies enhance and enable customizationopportunities. The report provides case studies of successful customizationstrategies and considers future developments and growth opportunities.Features and benefits* Understand what is meant by "mass customization", how it relates tocustomization and mass production, and its interplay with personalization.* Evaluate key strategic questions relating to mass customized products forfood and drinks companies.* Understand the key technical aspects associated with mass customizedfood and beverages, based on analysis of theory and existing products.* Gain insight into future developments as mass customization matures as aconcept, including key challenges and the impact of emerging technologies.* Prompt your marketing and NPD teams with customized product andmarketing ideas from around the world.HighlightsMass customization have been evident in some sectors of the food anddrinks industry for decades, but customization is now becoming a moresignificant trend, driven by an interplay between consumer trends, economictrends and technological innovation.Digital technological innovation has made mass customization a viablebusiness strategy, by enabling customized products to be manufactured withthe economies of scale associated with mass production. However, there areconsiderable challenges including the costs of flexibility required inproduction and packaging.There are examples of customized products in several key food and drinks
    • categories, including bakery and cereals (e.g. MyMuesli), hot drinks (e.g.Nespresso), snacks (e.g. Graze and You Bar) and confectionery (e.g.Chocri).Your key questions answered* What is the intersection of trends that makes the concept of masscustomization so important right now?* Which strategies of customization are being used by food and drinksmanufacturers?* What are the key challenges for both small and large manufacturers incustomized food and drinks?* What are the features specific to the food and drinks industry that governcustomization strategies?* What are the current and expected technological developments that willchange what is possible within the mass customization space?Table Of Contents * About the author o Disclaimer * EXECUTIVE SUMMARY o Introduction o The evolution of customization o Case studies of customization in food and drinks o Evaluating customization strategies o Technology and mass customization o The future of customization in food and drinks * Introduction o Summary o Introduction o Who is this report for and what is it about? o Defining customization + Mass production + Mass customization + Customization in the 21st century + Personalization and customization + Report definition of mass customized food and drinks products * The evolution of customization o Summary
    • o Introduction + Stages in the development of customization in food and drinks + Key drivers of the development of mass customization * Case studies of customization in food and drinks o Summary o Introduction o Graze o Nespresso o Mymuesli + Cereals and customization o Chocri + Chocolate and customization o YouBar o Implications for customization in a developing market * Evaluating customization strategies o Summary o Introduction o Customization and the food and drinks industry o Levels of customization + Virtual customization: Starbucks Frappuccino + Adaptive customization: Cadbury Adams Trident FusionSugarless Gum + Cosmetic customization: Jones Soda + Collaborative customization: Slant Shack Jerky o Strategies for overcoming production constraints + Managing product constraints + Managing operations constraints + Managing system constraints o Strategies for engaging consumers + Customization and personalization + Collaborative interaction + Managing the ‘paradox of choice’ * Technology and mass customization o Summary o Introduction o Digital innovation and mass customization + Configurators + Databases + Social media + Programmable production machinery
    • + End-to-end mass customization solutions o Digital technologies and food and drink customizationThe precedinganalysis considers the way in which technological developments have helpedimprove and enable mass customization across all consumer-facingindustries. This section considers some specific uses that food and drinksmanufacturers deploying the mass customization business model are makinguse of digital technologies as part of their business strategy. To reflect thegreater relative importance of CRM and configurators to the food and drinksindustry, due to the constraints on mass customized manufacturing detailedin Chapter 4, the examples in this section focus primarily on the Internet. + Virtual food customizationAs covered in more depth in Chapter3, virtual customization is a strategy that has been used by major brandsincluding Dunkin Donuts and Starbucks. In this context, the customer, usingan online product configurator, designs or simulates a virtual food or drinkproduct either for fun or to enter a competition. The virtual product is notactually directly manufactured, purchased or consumed, although thewinning design in a competition may ultimately get manufactured and madeavailable for purchase and consumption. For manufacturers, internet enabledvirtual customization operates principally as a marketing tool, offeringbenefits of brand engagement, brand awareness and interactivity withconsumers. It can also be used as a feeder for NPD. Consumers gain benefitfrom the experience of co-creation, as well as potentially winning prizes ornotoriety if a competition is involved. + Online cosmetic customization * The future of customization in food and drinks o Summary o Introduction o Mass customization’s transition to maturity o Benefits and challenges for manufacturers o Future consumer trends o Next generation technologies + Social buying + 3D printing + Offline customizationDevelopments in digital technologies havethe potential to broaden the availability of customization beyond the mediumof the internet. In the US in 2010, the Coca Cola Company introduced Coca-Cola Freestyle to selected locations. The Freestyle is essentially a smartvending machine, where customers can create customized drinks from over100 different flavor combinations and access flavors not readily found insupermarkets. The smart vending machines are connected to the Internet sothe machine can automatically report daily on its component ingredientsupply levels.
    • * AppendixMethodology o (Untitled section) + Primary researchInterviews – both structured formal responsesand informal discussions – were conducted for this report with companiesactive in the customization space and other industry experts. + Secondary researchThe secondary research carried out for thisreport covers five main areas: o References * TABLES o Table: Average household size 1990–2015, selected majorcountries o Table: Global middle class population, % by region, 2009-2030 o Table: Category-by-category examples of customization * FIGURES o Figure: There are four intermediate levels between totalcustomization and mass production o Figure: The Dunkin’ Donuts website allows users to create their ownvirtual donuts o Figure: The MyHeinz.com website allows user to customize ketchupand mustard labels o Figure: Muller Corner Yogurts are a fairly early example of adaptivecustomization o Figure: Burger King’s Have It Your Way slogan refers tocollaborative customization o Figure: The evolution of customization over time o Figure: Mass customization is driven by economic, social/cultural,and technical factors o Figure: There are many drivers behind and manifestations of thetrend towards individualization o Figure: Graze offers a filtered set of choices in healthy snacking,customized at point of sale o Figure: Nespresso offers 16 different customized coffee varieties o Figure: Mymuesli offers both collaborative and cosmeticcustomization o Figure: Chocri allows consumers to create custom-made chocolatesover the web
    • o Figure: You Bar provides custom-made and custom-packagedenergy bars o Figure: Starbucks’ Frappuccino website allows customers to createtheir own virtual drink o Figure: Trident Fusion allows consumers to customize their flavorprofile o Figure: Jones Soda offers customized labels, including personalphotographs o Figure: Slant Shack Jerky is a collaborative-customized meat snack o Figure: eCreamery extends collaborative customization into icecream with novel packaging o Figure: Chocri produces its bars in a single size to minimize systemconstraints o Figure: Manufacturing by hand at mymuesli.com o Figure: The concept of ‘the customer’ in customer-ization o Figure: There are six key strategies for managing the paradox ofchoice o Figure: Digital innovation in the mass customization supply chain o Figure: The configurator at Meandgoji.com allows customers tovisualize choices o Figure: The drag-and-drop configurator at Element Bars helps builduser engagement o Figure: Archetype Solutions offers end-to-end solutions for masscustomization manufacturing o Figure: Domino’s Pizza offers customized online self-service o Figure: Specialty’s website creates a customized experience usingdigital technologies o Figure: My Extra Gum is a mass-market product which nonethelessoffers online customization o Figure: My M&M’s is cosmetic customized but prints directly on theproduct itself o Figure: Experimental machines have already 3D-printed bothchocolate and cheese o Figure: The Coca-Cola Freestyle vending machine provides instantcustomized flavors
    • About Us:ReportsnReports is an online library of over 100,000+ market researchreports and in-depth market research studies & analysis of over 5000 micromarkets. We provide 24/7 online and offline support to our customers. Getin touch with us for your needs of market research reports.Follow us on Twitter: http://twitter.com/marketsreportsOur Facebook Page:http://www.facebook.com/pages/ReportsnReports/191441427571689Contact:Mr.Priyank7557 Rambler road,Suite727,Dallas,TX75231Tel: + 1 888 391 5441E-mail: sales@reportsandreports.comhttp://www.reportsnreports.comVisit our Market Research Blog