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The Future of Berries - Ken Hopps

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Talk by Ken Hopps at 2011 VSU Virginia Berry Conference

Talk by Ken Hopps at 2011 VSU Virginia Berry Conference

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  • Traditional CPG marketers are following these trends every day.
  • “We live in a participation economy not in an attention economy. It is no longer about creating demand and satisfying it – it’s about creating a movement. And it’s is no longer about traditional ROI – return on investment – it’s about ROI 2010: Return on Involvement. Creating experiences and helping improve people’s lives is core equity today”Kevin Roberts, CEO Saatchi & Saatchi
  • Nutraceutical – A term used to describe a food that contains both health and medical benefits
  • International conference dedicated to exploring the latest scientific research related to berries and human health (June27-29, Westlake, Ca).
  • Blackberries: Consumers with highest income and also consumers with kids likeliest to purchase blackberries.
  • Production from 2000 to 2008 increased from 2,945 acres (1,192 Ha) to 20,247 acres (8,194 Ha). Compound growth of 27.2%.. During this time period, per capita consumption of berries in Mexico increased from 0.15 kg to 1.75 kg (3.85 lbs.). This has created an opportunity as in 2007 Mexico began to import berries (largely from the U.S.A) to satisfy demand during non-growing season.
  • Need to adjust projected volume and harvest dates for 2010-2011
  • Transcript

    • 1. The Future of Berries in the U.S.A.
      Ken Hopps
      Sun Belle, Inc.
      Virginia State University
      March 17, 2011
      2011 Virginia Berry Production andMarketing Conference
      1
    • 2. 2011 Virginia Berry Production andMarketing Conference
      The future of berries in the USA is bright and promising.
      “Consumption of berry crops provided by the American berry crop industry will triple by 2020. As a result, the American berry crop industry will be viewed as a model of agricultural efficiency, sustainability and prosperity. Berry crop consumption will result in improved human health and nutritional and prosperity for rural and agricultural communities.”
      Vision Statement: National Berry Crops Initiative
      2
    • 3. 2011 Virginia Berry Production andMarketing Conference
      Focus on price is important but it’s not enough. Sales and marketing strategies should address the following areas:
      Health and wellness.
      Transparency and supply chain.
      Taste, value and emotions.
      3
    • 4. 2011 Virginia Berry Production andMarketing Conference
      Health and wellness
      Emotion is part of any purchase. By knowing the health and medical benefits of berries, consumers will feel emotionally attached to the product. This will lead to loyalty and increased sales.
      As an industry we must do more to communicate and educate the consumer on the health aspects and nutritional benefits of consuming berries.
      Berries are “Superfruits.”
      Empower the consumer.
      Berries are an important part of a healthy diet.
      4
    • 5. 2011 Virginia Berry Production andMarketing Conference
      5
    • 6. 2011 Virginia Berry Production andMarketing Conference
      Health benefits - Sun Belle proactively involved
      Berry health benefits symposium
      Organizing committee chair.
      National Berry Crops Initiative (NBCI)
      Board participation.
      USHBC (US Highbush Blueberry Council)
      Board member.
      Research committee.
      Blackberry R&P (research and promotion)
      Organizational committee.
      6
    • 7. 2011 Virginia Berry Production andMarketing Conference
      Sun Belle research and development
      Raspberries
      Exclusive licensee for propagation and production of Erika raspberry variety.
      USDA release from quarantine anticipated for summer 2011.
      Mexico production success as taste, color and shelf life have outperformed. Accepted as premier variety in the UK as determined by independent consumer taste panels.
      Establishing grower partnerships for USA production.
      Trial and development of Cornell University Selections.
      Commitment to the East Coast with tunnel production.
      7
    • 8. 2011 Virginia Berry Production andMarketing Conference
      Sun Belle research and development
      Blackberries
      Taste, price and value proposition. Huge US consumption increase due to the Tupy variety. Sun Belle Mexico: 100% Tupy.
      Continuous varietal development directed by Sun Belle plant geneticist Dr. Nicole Hewstone.
      Trial of University of Arkansas selections.
      Trial and development of Embrapa (Brazil) selections.
      8
    • 9. 2011 Virginia Berry Production andMarketing Conference
      Transparency and supply chain
      Know who does what, when and where. Value added.
      Embrace, adapt and accept new legislative food safety requirements. Paradigm shift from detection to prevention.
      Embrace sustainability.
      9
    • 10. 2011 Virginia Berry Production andMarketing Conference
      Value, taste and emotions
      Demand to be fueled by taste and value.
      Consumers demand the best price but they also want to feel good about the product and its benefits. Make them feel emotionally attached to the product. Excellent value for the benefits, taste and emotion.
      Packaging and branding that consumers have come to trust. Berries are a key year round offering for retailers.
      10
    • 11. 2011 Virginia Berry Production andMarketing Conference
      The Virginia story
      Westmoreland Berry Farms
      Sun Belle’s domestic program began in Virginia 25 years ago.
      Long term commitment to all of our domestic growers.
      Glocality. Sun Belle. Global brand. Local reach.
      New state of-the-art Sun Belle Middle Atlantic (near Jessup) distribution center with nearly 65,000 sq. ft., it will provide pre-cooling, QC and distribution services. Like our other facilities it will be Primus certified, with our own employees and refrigerated fleet (opening 2011).
      11
    • 12. 2011 Virginia Berry Production andMarketing Conference
      The Virginia Story
      12
      Taste, appearance & color Mid Atlantic sweet spot Stewards of your lands
    • 13. 2011 Virginia Berry Production andMarketing Conference
      13
      Consumer driven berry marketing
    • 14. 2011 Virginia Berry Production andMarketing Conference
      The Global Picture
      The case of Blackberries from a Mexican Perspective:
      14
    • 15. 2011 Virginia Berry Production andMarketing Conference
      Blackberries in the U.S.A.
      15
    • 16. Sun Belle México S.A. de C.V.:
      Mexican Blackberries
      Variety
      100% Tupy
      Research & Development
      •Trial and development of Embrapa (Brazil) selections.
      •Trial of University of Arkansas selections.
      •Varietal development directed by plant geneticist Dr. Nicole Hewstone, assisted by a team of technicians and agronomists.
      .
      16
    • 17. Sun Belle México S.A. de C.V.:
      Mexican Raspberries
      Variety
      Erika
      Research & Development
      •Exclusive licensee for propagation and production of Erika raspberry variety.
      • Trial and development of Cornell University selections.
      17
    • 18. Sun Belle México S.A. de C.V.:
      Mexican Blueberries
      Variety
      100% Biloxi
      Research & Development
      •Blueberry breeding and license agreements with University of Georgia.
      •Experimental blueberry plots.
      18
    • 19. Sun Belle México S.A. de C.V.: Los Reyes & El Atascoso, Michoacán Blackberries, Blueberries & Raspberries
      3,383 acres (1,369 ha), which includes:
      •GlobalGap.
      •Sun Belle owned .
      •Sun Belle experimental fields and nurseries.
      •Blackberries.
      •Blueberries.
      Facilities
      •3,849 m2 (41,430 ft2) total
      • 796 m2 (8,568 ft2) refrigerated
      Experimental Fields & Nurseries
      •Germplasm evaluation, varietal crossings.
      •Plant propagation
      19
    • 20. Sun Belle México S.A. de C.V.: Zapotiltic & Jocotepec, Jalisco
      Blackberries, Raspberries & Blueberries
      351 acres (142 ha) (1,369 ha), which includes:
      •GlobalGap.
      •Sun Belle owned.
      •Tunnel Production.
      •Experimental fields and
      nurseries.
      Facilities
      •1,177 m2 (12,669 ft2) total
      • 351 m2 (3,778 ft2) refrigerated
      Experimental Fields & Nurseries
      •New variety trials and propagation.
      20
    • 21. Sun Belle Inc.: U.S. Locations
      All Primus Certified
      3810 Rose Street
      Schiller Park, IL 60176
      T. 708.343.4545
      3160 V Street, NE
      Washington, DC 20018
      T. 202.832.3900
      Atascoso
      5510 W. 102nd Street
      Los Angeles, CA 90045
      T. 847.609.0929
      2000 NW 70TH Avenue
      Miami, FL 33122
      T. 305.592.0005
      21
    • 22. 2011 Virginia Berry Production andMarketing Conference
      Q & A
      Thank you
      Ken Hopps- ken@sun-belle.com
      (708) 343-4545
      22

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