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KETCHUM'S ONLINE MAGAZINE YEAR 2008    ISSUE 5

"FOOD 2020: THE FUTURE OF FOOD, NUTRITION & WELLNESS

Food 2020 Coverage

Ketchum Releases Results of Global Food Study on World Food Day

Consumers Want More Knowledge, More Control

On Oct. 16, more than 150 Ketchum professionals, clients and friends gathered in San Francisco to hear the results of a global survey of consumers’ thoughts about food and discussions by industry experts on trends affecting the food industry.

One of the key findings of the survey, called Food 2020, was that consumers want food companies to do more to address the issues of food and clean-water shortages. The announcement coincided with World Food Day, a day set aside to increase awareness of hunger around the world.

“It is only fitting that this be the day that we share our research conducted in five countries to get some indication of what consumers would do or want if they were named CEO of the world’s food supply and marketplace,” Rob Flaherty, senior partner and president of Ketchum, told the group as he welcomed them to the event. Following the announcement of the research results, a panel of food industry experts discussed the implications of some of the findings.

Survey Results
The survey findings also highlighted key considerations by consumers when choosing food. Linda Eatherton, Ketchum partner and head of the agency’s Global Food & Nutrition Practice, and Phil Lempert, the food industry analyst known as the Supermarket Guru, hosted the event and revealed the survey results.

The key findings:

  • Taste, quality and price are the top considerations in choosing foods—except in China, where health benefits are most important.
  • Knowledge, taste and availability are key barriers to healthier eating.
  • Consumers want good taste, but they also want to know more about their food.
  • Consumers are more interested in having a say about ingredients, safety and quality than about making foods easier to prepare and shop for.
  • Brands are losing their relevance—except in Argentina and China.
  • Consumers want local food, but they’re not willing to pay for it—in terms of either cost or taste.
  • Consumers want food companies to help solve societal issues related to food and nutrition, and they are willing to pay for that—within reason.
  • Consumers want food companies to take away the temptations that lead to obesity . . . but they don’t want to eat less.
  • Consumers expect how they choose and shop for food to be different by 2020 . . . but they still expect food companies to be responsible for their health and well-being.

As the results were revealed, Stacy DeBroff, founder of the blog Mom Central, began twittering about some of the findings. “This is exactly what we discuss as moms all the time—wanting to know more about the foods we eat and give to our children—so I couldn’t wait to share it,” she said after the event. (DeBroff’s Twitter name is “momcentral.”)

After sharing the results, Eatherton noted that food companies appear to have some catching up to do. “In some instances, what consumers see as priorities and where food CEOs are placing their priorities are mismatched,” she said. For instance, while 55 percent of consumers tend to blame food companies for safety or other issues with food, CEOs point back to agricultural sources. Only 3 percent of consumers surveyed blamed farmers, Eatherton said.

Panel Discussion
Following a topline overview of the survey results, Ketchum professionals from Argentina, Germany and the U.K. joined a panel that included invited guests Tom Stenzel, president and CEO of the United Fresh Produce Association, and Jennifer Biringer, manager of client services for SustainAbility, which helps companies develop strategies to report on progress in sustainability initiatives.

Among the topics discussed was a survey finding that consumers around the world would like to see more of their food produced locally by the year 2020. “One of the things at the root of ‘local’ is the desire to connect back with the origin of the products,” Stenzel said, noting that this is creating a different kind of value at grocery stores. People are willing to buy foods, not only for taste and nutritional value, but also for a clearer understanding of where it comes from and how it is produced.

That raises the bar for what consumers want to see from brands, and brands will need to respond by sharing more information. Some panelists note that some companies already are taking steps to meet such expectations. “We see companies becoming more savvy about transparency of their products—including how they impact people and the environment from source to consumption,” Biringer said, noting that brands essentially are becoming a venue for conveying information about sustainability.

“As consumers become more aware of sustainability issues, we will continue to see the evolution of branding as the new form of corporate reporting,” she said.


For more information on the Food 2020 study and event, visit the Food 2020 Web page at www.ketchum.com/food2020. The page includes an executive summary of the study’s key findings and implications, a videocast by Phil Lempert on the survey, the news release announcing the results, photos from the event, bios of the speakers, and the Ketchum leaders to contact for more information.