CINCINNATI, OH - Kroger has revisited its deal with Tesco on its consumer analytics company dunnhumbyUSA, walking away with a majority stake and a new name.
Kroger will be using its new purchase to create a new company named for the location of its headquarters: 84.51°, according to a press release.
"Kroger wanted and needs what we offer," Stuart Aitken, the newly-named CEO for Kroger’s new 84.51° company said in an interview with The Enquirer. "Now that we're aligned with Kroger, we will continue to offer them understanding of customers."
The company evaluates data for consumer desires in order to provide companies with a better understanding of how to reach their intended audiences. For a more in-depth understanding of what dunnhumbyUSA does, you can view the short video below.
This is reportedly Kroger’s third technology acquisition in less than two years, according to Gannet’s Cincinnati.com, having most recently spent $280 million on the Florida-based Vitacost.com. The financial details for this latest arrangement have yet to be disclosed by either company, however as we previously reported, bids for this particular acquistion were substantial.
84.51°’s parent and predecessor was a 2003 technological venture for consumer analytics by both Kroger and Tesco, according to the Cincinnati report, and is credited with Kroger’s success at reaching customers.
"Kroger and dunnhumby revolutionized retailing in the U.S. by focusing on the customer, and we intend to do it again with 84.51°,” Rodney McMullen, CEO of Kroger, said in a press release. “The ability to combine what we already know with other partners is exciting and will speed up innovation. We expect these innovations to grow our business and deliver a world-class customer experience."
The agreement is reportedly effective immediately, and is not expected by either company to result in the loss of any jobs for those employed at dunnhumbyUSA.
CINCINATTI, OH - Former Chiquita Interim CEO Brian Kocher has joined Castellini Group of Companies as the company’s new Chief Operating Officer.
“As Chief Operating Officer, he will help us continue to focus on growth, operational efficiencies and effectiveness and adding customer value,” said Bill Schuler, Castellini Group of Companies President and CEO. “Brian’s extensive operations and sales experience combined with his financial acumen will help the Castellini Group of Companies continue its success as we move to new markets and pursue new business opportunities. We are excited to have Brian join our team.”
As we’ve previously reported, Brian Kocher was appointed Interim CEO of Chiquita in January of this year, following the acquisition of the company by Cutrale/Safra. He left Chiquita near the beginning of April, with $7.2 million in severance pay.
Prior to his stint as CEO of Chiquita, he held a variety of positions at the company, including Chief Operating Officer, Chief Financial Officer, President of North America Operations, and President of Europe and the Middle East Operations. Kocher is also the incoming Chairman of the United Fresh Produce Association.
From business owner to retail broker and plenty in between, Director of Business Development Lisa Davis gives us the full run down in the latest edition of AndNowUKnow’s print publication, The Snack Magazine. This talented woman with agriculture in her blood gave us an exclusive look at how she got to be on the "cutting edge."
Check out The Snack article by clicking here, or read the full article below:
Living On The "Edge"
This isn’t a one size fits all industry. Lisa Davis, Director of Business Development for Edge/CMC Sales and Marketing, will be the first one to tell you this. The King City, California native, has been working tirelessly to refine and grow Edge/CMC’s network of more than 30 industry brands with an expertise in marketing, advertising, and developing new business relationships.
“We want to grow organically and with companies that share the same passion and philosophies that we do. Edge/CMC is constantly looking for new clients whose methods and models align with ours,” Lisa tells me.
Edge/CMC's business model allows the company to be incredibly selective but also open to new opportunities, ensuring that Edge/CMC can achieve its value proposition of executing market strategies, integrating promotions, events, and new product introductions to drive sales and profits, analyzing product performance, and developing opportunities to lead retail categories.
But, the DNA of the company is really what gives the broker its ‘Edge.’
The company is made up of individuals that encompass a range of different qualities and experiences. From backgrounds in grocery and retail, to sales and marketing, the team brings a dynamic and unique perspective to the table…or in this case, several.
“Our President and Owner, Brad Raffanti, is always a few steps ahead of the game; constantly looking down field and keeping his eye on the larger picture at hand,” Lisa notes.
At Edge/CMC, it is all about teamwork and partnerships; knowing the ins-and-outs of the brand.
And partnership, as the word implies, means that the relationship goes both ways. The more that a client engages in that relationship the more that Edge/CMC can help them drive their business. The give-and-take creates trust and establishes a firm foundation to help them drive the clients’ brands.
A lot of people may ask what exactly Edge/CMC is and what the team does. “Edge/CMC is a retail broker, which at times can seem like a very nebulous term,” Lisa tells me. Not everyone understands what the team does as brokers. But, at the end of the day if you can see all the things that Edge/CMC does behind the scenes and how much the company invests in its clients and retail partners, it is easy to see the value they bring to each product line and program.
Lisa’s career path originally took root just on the periphery of fresh produce, graduating from California Polytechnic State University-San Luis Obispo with a BLA/BS in both Landscape Architecture and Agribusiness Management/Marketing. After earning her two degrees, Lisa joined a firm in San Francisco and began her career in landscape architecture/urban planning.
Lisa worked for firms as a college intern in Santa Maria, as well as in Healdsburg and Tampa, Florida. She also had a produce sales coordinator internship in Santa Maria at Pacific Coast Produce, which gave her invaluable insights into the strawberry grower, packer, and shipper industry.
After the move back to California, Lisa’s husband joined Dole, which brought her back to her roots in Salinas, California. It was at this point that Lisa decided to use her Ag Business/Marketing degree and teamed up with a local advertising agency. From there, a business partnership developed and blossomed into the boutique design firm, Blu Creative, allowing Lisa to work with top agri-companies in the Salinas Valley.
After Lisa had her daughter, Jordan, she began to reconsider the long hours necessary to running her own company. Lorri Koster from Mann Packing (a Blu Creative client) introduced her to Brad Raffanti of Edge/CMC Sales… the rest is history.
Ag wasn’t exactly new to Lisa’s story at this point. Growing up in the Salinas Valley, Lisa’s family had worked for a large growing company for more than 20 years. They had their feet in the soil for two decades, running everything from a farming operation to managing a transplant business. Lisa’s Dad also worked for Safeway for more than 30 years and her brother has been in the produce and logistic brokering business for over 20 years.
“Growing up in the heart of agriculture gives you a different perspective."
"Whether you are in it as a family farm or not, your roots are agricultural. I may not have all the retail produce experience, but I certainly have the roots,” Lisa tells me.
Her vision and motivation come from her own personal drive and determination, but she has also grown as a professional through her relationships with others. Take Lorri Koster for example, she has always stood out as a passionate and motivating presence in the industry. Every venture and challenge is always met with the same fervor and dedication.
“She is not only part of the industry’s history, but she loves what she does. I love that she gives back by being involved, something that I am passionate about as well, with my involvement in different associations and groups. When you are involved in significant industry organizations, you learn valuable experiences that you won’t get behind your desk, from a book, or from your own office,” Lisa says. “It’s through relationships like hers that I have really learned to ‘play like a champion.’”
Dr. Leroy Davis, Lisa’s father-in-law, was another huge influence on her life and career. Dr. Davis was the Head of Agri-business at Cal Poly when Lisa met him… but had not yet met his son. His roots are from the Salinas Valley, and as a student at Cal Poly, she walked into his office to ask if she could take one single ag class. It was Dr. Davis that convinced Lisa she should double major and truly helped her get back to the things she was passionate about.
For the next 5 years Dr. Davis mentored Lisa in college and gave her a roadmap on how to conquer this mission. To this day, Lisa can’t thank him enough for the positive motivation to make her work smart as well as diligently to earn those degrees.
“It really is hard to narrow it down to a select few, the people that have truly influenced me professionally and personally. From CEOs to growers and marketers, there are a lot of industry peers that I respect and admire,” Lisa says.
When I ask her if she takes her brands personally, Lisa tells me that her investment isn’t just the time she spends at the office. “I believe in each product I choose to take into Edge/CMC’s fold,” Lisa says. When there is a perfect fit, it’s a win-win for everyone.
“So, what’s the takeaway?” I ask Lisa, at the end of our conversation.
‘Well, if you are me,” she laughs, “Take everything seriously. And give everything you’ve got with passion.”
SESAME STREET - One gooey villain has a maniacal plan to destroy all the produce of the world, covering it all in sticky marshmallows, chocolate chips, and sweets.
How awful!
And only the Aveggies can stop it. Because what child wouldn’t cry at their carrot sticks becoming ice cream cones?
This is the world Sesame Street creates when it turns its lovable characters into an Avenger-inspired, produce-fueled team to root for (and laugh at) while hoping to stop the Earth from being “desserted.”
Watch below and laugh as Onion Man, Captain Americauliflower, Black Bean Widow, and the gang try to keep Cookie Hulk focused on saving all the veggies. Your kids may soon be asking for arugulaction figures.
While this is not actually linked to the eat brighter!™ campaign, this growing trend of making healthy-eating fun and exciting is definitely apparent. Other campaign strategies like FNV and Jump with Jill are also targeting audiences at a younger and more influential age, giving the "celebrity" and "everyone who's anyone" touch to healthy eating. While it might not have them as starry-eyed over eating broccoli over bubble gum, it could get the family talking. One thing is for sure, we sure didn't have this when I was a kid!
WATSONVILLE, CA - This year’s Spring Break was a sweet success for California Giant, who just completed another consumer campaign and generated thousands of new followers and brand loyalists in the process. The ‘Berry Best Spring Break Sweepstakes’ ran from March 9 to April 19 across all of the company’s social media platforms and winners have now been notified.
“We are excited about the continued support from consumers with each of our promotions and really enjoy the interaction we have with them,” says Cindy Jewell, VP of Marketing for California Giant. “They engage frequently providing us with critical information on how to keep them coming back for more information and increasing their purchases of our brand as a result. Each time we execute a new promotion we learn more about how to attract new consumers, keep them as followers and ultimately convert them into brand loyalists.”
Six spring-themed prize packs were given out by California Giant to encourage consumers to get out and enjoy spring weather and spring berries. Winners were chosen randomly with two consumers taking home brand new KitchenAid mixers, two others receiving custom berry themed corn hole games, and the final two will be relaxing soon with new picnic baskets on their brand new hammocks.
According to a press release, California Giant received over two million impressions on Twitter, had over 15,000 entrants, and over 7,000 downloads of the free e-booklet loaded with spring themed recipes featuring California Giant berries.
The company is now shifting gears to its May consumer campaign, highlighting strawberry month and a ‘Strawberry Palooza’ promotion that will be extending into the summer.
LA CAÑADA FLINTRIDGE, CA - The Allen Lund Company, Richmond office has promoted of Mason Cannon to Assistant Manager.
"Mason has always been a leader in the Richmond office, shown by his strong work ethic and dedication to his customers," said Eddie Lund, VP of Sales and Branch Operations. "He is a true professional and we are excited to see him moving up the ranks.”
Mason Cannon attended both Virginia Commonwealth University in Richmond, VA and Belmont College in Nashville, TN studying Biology and Chemistry. He has worked in the courier and air freight fields since 1991. According to a press release, Mason joined Allen Lund Company Richmond office as a broker in 2005.
Gerald Ebert, Manager of ALC Richmond office, added, "From day one of his 10-year career with Allen Lund Company, Richmond office, Mason established himself as a top performer. I am thrilled to have him move into the Assistant Manager position. I anticipate sustained growth for our office with Mason in this role.”
Cannon said that he is delighted that the company had the confidence to promote him into the Assistant Manager role for the Richmond VA office, and he is looking forward to many new challenges, responsibilities, and professional growth.
CANADA - Sobeys Inc. has sealed an acquisition deal with Co-op Atlantic for ownership of most of its food and gas retail stores, as well as its wholesale assets.
Stewart Samuel, Program Director for Researcher IGD Services Canada, told The Globe and Mail that he believes the deal could improve some of Co-op’s stores, but not all. “The rationale for most deals in the sector is to not only to increase volumes and reach new customers, but to also deliver improved operating efficiencies and better margins,” he said.
According to a report by The Globe and Mail, this latest business move would pass about ten stores over to Sobeys, which could be enough to swell its influence in the region for product offerings and prices.
"Co-op Atlantic and its member-co-operatives have worked hard to remain viable in the increasingly competitive world of retail food and gas," Adélard Cormier, Co-op Atlantic Board Chair, stated in a press release. "This decision has been a difficult one for management and the board but is, we believe, the best option for the continued viability of the member-owner stores and the co-operative movement in Atlantic Canada."
Co-op Atlantic reportedly operates under the Co-op, Village Mart, Valufoods, and Rite Stop banners that total in more than 150 supermarkets and convenience stores, though the 60 Co-op stores that are individually owned are not included in the sale to Sobeys.
“They can now begin discussions with Sobeys on a potential new wholesale agreement,” Monique Bourque, a Spokeswoman for Co-op, said in the report. She added that while details will not be finalized until the member-owner vote scheduled to take place on May 12, part of the agreement does include the closure of a small number of corporate-owned stores.
After the vote, Co-op Atlantic stated it would be better able to assess the future of its remaining divisions, according to CBC News. Financial details for the agreement have not yet been disclosed.
DENVER, CO - Chipotle has finally bid farewell to genetically modified ingredients in its food. Reportedly, the company has been phasing them out since 2013, but they are now officially the first national fast-food chain to complete this goal.
To be clear, there is no evidence to the Food and Drug Administration’s knowledge that GMOs are not 100% safe. Most of the country's big crops like corn and soybean crops are genetically modified to resist common issues such as herbicidal damage and plant diseases.
However, the general trend of activists lately is to call for regulations that require labeling for foods that contain genetically modified ingredients. Chipotle is not the first company to act on these trends, however. ABC News reports that Whole Foods has announced that all products in its stores that contain genetically modified ingredients will be labeled by 2018.
Chipotle’s Founder and Co-Chief Executive Steve Ells has said the company is making the move to avoid GMOs until the science around the technology is more definitive. According to The Wall Street Journal, the last efforts in the completion included substituting a non-GMO sunflower oil for a genetically modified soybean oil it had been using, and sourcing non-GMO tortillas.
According to market-research firm Nielsen, “Non-GMO” is one of the fastest-growing label trends on U.S. food packages, with sales of such items growing an average of 13% a year since 2010 to more than $3 billion last year.
The 1,800 restaurant chain has enjoyed strong sales growth in part by marketing itself as a healthier alternative to traditional fast-food chains. On the company’s website, Chipotle directly contrasts itself from its fast food competitors, showing an image of a burger and citing "fast food" as an example of where people might most encounter GMOs.
Chipotle will still serve meat from animals that are given GMO feed, according to ABC News. In order to be considered organic, animals cannot be given GMO feed. The company also serves Coca-Cola products made with high-fructose corn syrup.
MONTREAL, QC - John Ketler, General Manager of the Farm Production side for Nature Fresh Farms, took the time to show us a miniature version of the company’s greenhouse growing to bring what it does to life.
I caught up with John at the CPMA in Montreal, Canada, and he showed me Nature Fresh Farms’ display of how the company grows with a real greenhouse setup, including functional irrigation, climate control, and even living produce.
“It’s a tool that we can actually help describe what we do better,” John tells me, detailing that everything is fully functional.
The idea was initially launched at last year’s United Fresh Expo in Chicago, Illinois. To see how much it has grown since then and how it will continue to do so, watch the 60 second video above.
FRESNO, CA - Lance Donny, Founder and CEO of OnFarm, as well as a 20-year executive of software and ag companies, is scheduled to speak at the upcoming PMA Tech Knowledge on the future of farming from May 11 through 13.
He recently shared some of his insights with PMA’s Ashley Boucher about emerging technologies and their applications for the future of the fresh produce industry.
“When we look at Ag and tech for the next 5-20 years, we’re seeing that growth will come from the use of information for better decision-making,” Donny says. “We hear that we need to be able to feed 9 billion people by 2050 — we’ll succeed in that by increasing production driven by making more informed decisions and working twice as efficiently. We’ll yield more quality product out of the same or less amount of input.”
Donny believes that the first step that the produce industry should take is to determine what growers need and evolve the plan from there.
“Some growers, especially in California right now, have a priority need for water management – many crops are heavily water dependent, and water quality is important. That might be a first priority need for them. So, after identifying the need, we look at the best options to figure out how to meet that first need – and then build from there.”
A key aspect of the future of farming technology is what Donny calls the “Internet of Everything,” or IoE. The IoE essentially describes the interconnectivity of different sources of technology.
The example Donny gives is your water or utility meter at your home. With today’s technology, it can connect to the internet and transmit its data to companies from the home automatically. That means no more visits from people to come check it manually. The same kind of interconnectivity can be applied to the produce industry.
“In my lifetime, it’s highly possible that every plant in a field could have a sensor on it and be able to tell software systems what the plant needs on an individual basis. Then automated equipment can go by and apply the right amount of the fertilizer or water or pesticide for that specific plant.”
Donny believes that growers care about this data and that it is up to tech companies like OnFarm to lead the way for the produce industry.
“It’s both an evolutionary and revolutionary step in agriculture. Our investments in agriculture will drive the next phase, something like Ag 3.0 – using data to grow more efficiently. Our challenge is: How do we take that next step in the industry and deliver results to the farmer?”
A fundamental issue getting in the way of advancements for the agricultural industry is that our information systems aren’t connected, Donny says. Data needs to come together so that trends can be more easily spotted and understood. None of this is possible without data.
When asked about what the future of the produce farm will look like, the answer was simple: mechanization.
“Great efficiencies in commodity crops can be driven through mechanization,” Donny says. “We’ll see more of that in produce. Everything from planting and harvesting and application of material will be done in a fully mechanized or autotomized basis. We’ll see fertilizer application by robots that travel down a row or field and apply fertilizer at the plant level autonomously. Harvesting will be more and more mechanized.”
Overall, Donny says the three areas in produce that we’ll see innovations are in labor, logistics, and applied materials.
And the good news for us is, there are already companies working on these problems as you read this. It won’t take too long until the possibilities listed above become reality. Don’t expect to see all of them today, Donny says. We’ll continually drive to accomplish more, grow better, and in the end make more efficient farming decisions.