Tuesday, 9 July 2013

Food Marketing

Food Marketing
© Sabari Ganesh; “All Rights Reserved”
authorsabariganesh@gmail.com
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Introduction:
            Food is the most essential and elemental necessity for the sustenance of any life form. In the case of human beings, the requirement of food has evolved to a great extent over time. The pointer has always been sloping towards taste and convenience factors. The preparation and use of food items has all along been influenced by the climatic and cultural conditions of the region. The opening up of economies that led to the unrestrained interaction of people of various cultures, customs and ethnicity across borders has had a very marked impact on the preference of food. The technological developments that enable the preservation of food over long periods of time are the prime driving force. The innate ability to reason and analyse has given a whole new twist to the production process of food items that originate from one part of the world to the rest.
The procurement of food is in a state of transition from raw and uncooked supplies to semi/partially processed food that requires just a finishing touch to become fit for consumption. The changing demographics; shifting family values, rising nuclear families, double income households, blurring of gender lines in food preparation at home, increase in expatriates, proliferation of multiplexes and outdoor entertainment options linked to vital activities have created a whole new market for processed food. No wonder, packaged foods have become an industry of their own; so huge that is expected to touch around $30 billion by 2015. This makes the Indian food processing sector, one of the largest in the world in every aspect – Be it consumption or exports or imports or marketing or production.
Changing Social Trends:
            There has been a phenomenal psychological transition in the Indian family value system. The information explosion and access to higher education irrespective of gender has effectively opened the doors to a whole new world of opportunities. The result witnessed is a precise and incisive focus in becoming a professional of one’s choice and preference. The economic independence achieved by every member of the family, has made everyone equal partners who share a common roof. The breaking of societal barriers, cross border movement of people powered by education and professional prowess; the resultant necessity to socialize and interact with people of various genesis has enabled every person to focus on being part of a society of one’s own choice and personality. In short, the society does not overpower the individual; rather, the individual decides the society that one intends to be a part of!
Impact of Technology:
A significant measurement of technological advancement is the ability to perform any activity in a society to its utmost perfection and quality with minimum exertion and effort. The resultant sophistication of life has had its impact in the purchase mix of the consumers. The minimum members in a nuclear family empower eating outside or expect convenience foods that require just a finishing touch to become fit for consumption. The ease of access to information has effectively transferred the decision making authority to the youngest member of the family – the kids. No wonder a majority of advertisements related to processed foods and eateries appeal to the kids in the family – A vital reason for the companies and marketers to adhere to the highest ethical standards and moral values.
Consumption Pattern:
            The abundance of food service business set up substantiates the spending pattern of the consumers. However, there has been no marked chop down on the number of meals consumed at home. It implies that the change has been on the nature of food items procured. The fast food chain of stores providing a range of partially prepared food items have become a massive economic success due to nuclear families, women being an earning member; single parent households and the increased preference of the consumer for multi-cultural meals triggered by globalisation and business luncheons.
Marketing Playground:
            Marketing of processed food is a tricky game in a distorted market due to the enormous competition catering to a similar need. Also, the well informed consumer tends to be very specific in the choice of food consumed. Interacting with such prospective customers, enabling them perceive the desired value component is a staggering task. The fragmented market has minimized return on efforts invested by marketers due to fuzzy focus. The prospective customers belonging to varied life styles, becoming active participants in the value chain; powered by technology has necessitated food companies to establish and entertain a direct two way communication with the targeted segment; in their efforts to identify and gather real time information on their choice and preference.
Technical Issues:
            The opening up of economies has made the whole world a unified market for the manufacture of a company. In the case of a food product, value chain is extremely significant owing to its perishable nature. Cold storage and food additives are enabling factors that ensure availability of food products as desired. Food additives were initially used as colouring agents to improve the appearance of food products; but now shoulder a larger responsibility to minimize calories and fats. However; monitoring in real time, the toxicity or adverse impact of chemicals used as food additives is difficult.
            Population explosion that led to a demand-supply gap in food products has necessitated innovative techniques to be used in the production of food. Sophisticated farming techniques to minimize the resources needed; and the demand for a higher yield per hectare, triggered by research has led to genetically modified crops. Genetic engineering is a field of science which has not yet been harnessed to its complete potential. Hence uncertainty on the threats in consuming food items that contain ingredients prepared using genetically modified organisms or from animals bred upon genetically modified feed is still at large.
            However, one possible ethical performance of companies could be in labeling the food item thus prepared, appropriately. The genetically modified food is not new to the world; in fact more than a decade old. The high fructose corn syrup is a prominent stuff that has been genetically modified. The ethical stand in labeling gains importance in the wake of increased demand for partially prepared, packaged food.
Ethical Concerns:
            A host of ethical concerns can be listed in case of marketing food products –
The first and foremost shall be the need for proper and factual communication on the ingredients used in the production process of the food item. The focus here is to prevent threat of adverse reactions on consumers who are allergic to a particular ingredient might not consume it in its direct available form but would become susceptible when they consume a food product that use the ingredient.
            When genetically modified crops are cultivated using antibiotic resistance genes to enhance the yield per hectare, the consumer also might become resistance to the antibiotics in question; signaling for a much stronger dose when needed.
The growth hormones used to increase the flesh part of the meat are found to have an adverse impact on humans too; specifically characterized by the premature growth in young girls.
            For a long time now, genetic engineering is put to use in removing the toxic metals from soil by the plants and concentrating them on the non-edible parts. The issue here is the lack of complete control over genetic engineering as a tool. A childish and irresponsible misadventure would pose serious and phenomenal threat to human values on ethical grounds.
            In the pretext of producing healthy genetically modified foods, one might actually trample with the natural resistance of the crops to contamination. A classic example shall be the cultivation of decaffeinated coffee crop. The genes required to produce caffeine by the crop, when removed, results in coffee bean getting a coating of the toxic fungi – Aflatoxin. The reason being it is the caffeine that had so long prevented the fungi gaining over the coffee bean!
Role of Marketers:
            The changing preferences in the choice of foods propelled by convenience factors have altered the entire food marketing scenario become susceptible to ethical miscarriage for monetary profitability. The kids being the most prominent in influencing the purchase decision; and the junk foods not so directly harmful as alcoholic beverages, advertisements that lure them to consume junk foods have become the tool in the hands of marketers.
            However, some of the ethical practices that could be put to use by marketers are as follows –
  • A package of reasonable size and appropriate proportion that would keep the consumption of junk food to a rational limit.
  • Labeling food package in the most appropriate manner; with a list of entire contents of the package of food, with details on fatty acids, nutritional and calorie values.
  • A clear and unambiguous mention on the package if it contains genetically modified food or prepared from the produce of animals fed on genetically modified crops.
Conclusion:
            The labels on the package are extremely puzzling. This issue is sure to rock the industry for quite some time in the near future till a structured and universal practice is adopted. Obesity, a major issue among kids; and health conscious attitude due to changing life styles have become prime propellants behind the consumers’ choice of food. Vegetarianism is gaining ground in rapid strides due to continuous efforts of consumers from multiple segments to prevent diseases, manage weight and minimize calorie intake every serving.
            The ethical issues in the production and marketing of any food product rests on the fact that humans too have originated from the same DNA; hence our inherent similarity with other animals at the cellular and molecular levels that question our rights to experiment with them; to meddle with nature in our efforts to tackle hunger and increase yield. The ethical perplexity for a consumer could be one’s acceptance of tasty meat, in case of non-vegetarians; or succulent vegetables, in case of vegetarians; grown with the aid of animal or human genes!