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Date:
4/2/2008
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Title:
“TEXAS HOLD’EM” DEALT A WIN IN BEEF INNOVATION CONTEST
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FOR IMMEDIATE RELEASE
Contact: Stephanie Darling 303/850-3359 Sdarling@beef.org
Diane Henderson 303/850-3465 Dhenderson@beefboard.org
“TEXAS HOLD’EM” DEALT A WIN IN BEEF INNOVATION CONTEST
Visionary Design, a division of Smithfield Beef Group, recognized for innovation and imagination in creating new beef products
DENVER, Co. (April 2, 2008) – Visionary Design has been awarded first prize in the new Beef Innovation Contest, initiated by the Denver-based Beef Innovations Group (BIG). This innovative product is a grilled beef short rib that has been Frenched and scored to the bone, so you can eat while holding it in your hands or simply slice down the bone for tender pieces of beef. The announcement was made during the Research Chefs Association (RCA) Annual Conference and Culinology® Expo in Seattle. Funded by The Beef Checkoff program, BIG works to develop imaginative beef menu items and products through partnerships with manufacturers, foodservice operators and retailers.
“Response to the contest exceeded expectations in this, our debut year,” said Ellen Gibson, Executive Director, New Product Initiatives for the National Cattlemen’s Beef Association (NCBA). “The Texas Hold’em is an innovative product that will bring convenience and flavor to consumers that crave the great taste of beef.”
A diverse panel of experts judged the competing products based on their creativity, uniqueness, taste and healthy convenience qualities.
This award, presented to Gene Gagliardi of Visionary Design, carries a top prize of $50,000 in advertising support to promote the new beef product. Gene and the winning product are also being featured in print advertisements and on the BIG Web site. Details on the 2009 BIG Beef Innovation Contest will be available in May.
To see the winning product, learn more about next years contest or for more information about BIG, visit www.beefinnovationsgroup.com.
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The beef checkoff was established as part of the 1985 Farm Bill, and assesses $1 per head on the sale of live domestic and imported cattle, in addition to a comparable assessment on imported beef and beef products. States retain up to 50 cents on the dollar and forward the other 50 cents per head to the Cattlemen’s Beef Promotion and Research Board, which administers the national checkoff program, subject to USDA approval.
The Beef Innovations Group is a team of experts who collaborate and conduct activities that provide the beef industry with product ideas and tools to make their new beef products successful. Members of the team represent more than 200 years of combined new products experience, including meat and food scientists, operations experts, marketers, chefs and culinary professionals who have worked in the meat packing, processing, packaged goods, foodservice and retail industries. For more information, visit www.beefinnovationsgroup.com.
Founded in 1996, the Research Chefs Association (RCA) has rapidly grown to over 2,000 members, including chefs, food scientists, technologists, culinologists, writers, nutritionists, academicians, researchers, consultants, sales and marketing professionals, suppliers, co-packers, distributors and students. RCA is the premier source of culinary and technical information for the food industry and is committed to the advancement of Culinology® –the blending of the culinary arts and food science. For more information, visit www.culinology.org.
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Date:
2/20/2008
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Title:
CHUCK ROLL BECOMES BEEF'S LATEST "BIG" STAR
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FOR IMMEDIATE RELEASE – Feb. 20, 2008
CONTACT: Melissa Slagle 303-867-6306 mslagle@beefboard.org
(Editor’s note: Artwork is available upon request.)
CHUCK ROLL BECOMES BEEF’S LATEST “BIG” STAR
Beef checkoff introduces five new beef cuts from the chuck.
CENTENNIAL, Colo. – Ever notice how people glance up when they’re deep in thought – as if the answer is in the stars? Look no further – the stars are on the dinner plate. The checkoff-funded Beef Innovations Group (B.I.G.) has just launched five bright, new stars among their team of new beef cuts as a result of extensive chuck roll optimization efforts.
The new cuts include:
• The Delmonico Steak (Chuck Eye Steak) -- Extremely tender and juicy; exceptional beef flavor and taste similar to a Ribeye
• The Denver Cut -- Tender, flavorful, versatile; the fourth most tender muscle; perfectly marbled for a restaurant-quality steak experience
• America’s Beef Roast -- Great beef flavor; dry roast application; an impressive roast that is affordable and simple to prepare
• Boneless Country-Style Beef Chuck Ribs -- Flavorful, juicy, meaty and tender; these meaty boneless ribs are extremely convenient and perfect for backyard cookouts
• Country-Style Beef Roast -- Fully-cooked; a premium, flavorful roast that is perfect for time-challenged families; great with barbecue sauce
“Expanding the chuck cuts line is among the checkoff-funded tools aimed at reaching the industry’s Long Range Plan goal to increase beef demand another 10 percent by 2010,” says backgrounder and stocker Mark Pendleton from Lawsonville, N.C., Cattlemen’s Beef Board member and vice chair of the Joint New Product & Culinary Initiatives Committee. “Not only are the new cuts ideal for consumers, but good news for producers. Cattle-Fax estimates that the first group of value cuts, led by the Flat Iron and the Petite Tender, added $50 to $60 a head to the value of the chuck, so we know from experience how popular products can affect our bottom line.”
The new product development process hinges on work completed in 2006. The following year, the B.I.G. team then created product names, conducted consumer validation of those names and sensory testing on the cuts. This process was then followed by meetings with key meat processors, exploring culinary applications and recipe development, meetings with chefs and retailers, additional consumer testing and ultimately, the launch into consumer markets.
The new cuts represent “the next big stars” to the program that began in the late 1990s with the checkoff’s groundbreaking muscle profiling research. Chuck roll optimization research will also result in two new cuts in a subsequent fall 2008 launch – the Sierra Cut and Beef Strips.
B.I.G. is a team of culinary professionals, food scientists, marketing, operations and research experts working together to inspire beef and veal product innovation and facilitate success by providing information, insights, ideas, science and tools to the beef industry. Visit www.beefinnovationsgroup.com for cutting guides, cooking applications and sell sheets.
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Date:
7/23/2007
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Title:
The Next "BIG" Thing: New Cuts from the Chuck Roll
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Contacts: Stephanie Darling 303/850-3359 sdarling@beef.org
Diane Henderson 303/867-6302 dhenderson@beefboard.org
THE NEXT “BIG” THING: NEW CUTS FROM THE CHUCK ROLL
“Next wave” of Beef Value Cuts to roll out in 2008
CENTENNIAL, Colo. (July 23, 2007) — A new line of Beef Value Cuts – this time fabricated from the beef chuck roll – is slated for a 2008 rollout, according to the checkoff-funded Beef Innovations Group (BIG), which is coordinating research and marketing efforts to expand the value cuts program.
BIG expects at least four new cuts from the chuck roll to debut in foodservice and retail channels in 2008. The new cuts include tender steaks for grilling, an affordable elegant roast for dry roasting, boneless country-style ribs and a fully cooked sumptuous roast. The new cuts represent the “next frontier” in the value cuts program that began in the late 1990s with the checkoff’s groundbreaking muscle profiling research. Expanding the value cuts line is among the checkoff-funded tools aimed at reaching the industry’s Long Range Plan goal to increase beef demand another 10 percent by 2010.
“Optimizing the chuck roll should be great for consumers, operators and retailers, processors, packers, steak cutters and beef producers,” said Tom Hotz, an Iowa beef producer and chairman of the Joint New Products and Culinary Initiatives Committee.
“Consumers will get new and economical steaks and roasts bursting with great beef flavor, and that’s positive news for producers. Cattle-Fax estimates that the first group of value cuts, led by the Flat Iron and the Petite Tender, added $50 to $60 a head to the value of the chuck, so we know from experience how popular products can affect our bottom line,” he added.
“We expect these flavorful cuts to offer versatility and value, work well with high volume cooking and present increased profit opportunities for producers, packers, processors, retailers and foodservice operators,” said Ellen Gibson, executive director of the checkoff-funded new-product initiatives. “The chuck roll also lends itself well to home-style and ethnic dishes.”
The first round of value cuts has experienced dramatic growth in both foodservice and retail channels. To date, cuts like the Flat Iron, Petite Tender and Ranch Steak have been menued in about 20,000 U.S. restaurants and sold in some 9,900 grocery stores across the country.
BIG is a team of culinary professionals, food scientists, marketing, operations and research experts working together to inspire beef and veal product innovation and facilitate success by providing information, insights, ideas, science and tools to the beef industry. Visit www.beefinnovationsgroup.com for more information.
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The Beef Checkoff Program was established as part of the 1985 Farm Bill. The checkoff assesses $1 per head on the sale of live domestic and imported cattle, in addition to a comparable assessment on imported beef and beef products. States retain up to 50 cents on the dollar and forward the other 50 cents per head to the Cattlemen’s Beef Promotion and Research Board, which administers the national checkoff program, subject to USDA approval.
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Date:
7/26/2006
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Title:
BEEF INNOVATIONS GROUP: NEW NAME, NEW PRODUCT POWERHOUSE
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(Editors Note: For interview sources or BIG graphics, contact Stephanie Darling.) BEEF INNOVATIONS GROUP: NEW NAME, NEW PRODUCT POWERHOUSE BIG Ideas to Build Beef Demand with Market-Winning Tactics RENO, Nev. (July 10, 2006) – The checkoff-funded Beef Innovations Group (BIG), formerly known as R&D Ranch, is intensifying efforts to be the beef industry’s primary resource for new product information and leadership. Anyone — from producers and processors to foodservice and retail channels — looking for the latest product trends, technologies and possibilities should “think BIG,” said Cattlemen’s Beef Board member Hope Huffman, a Texas producer and chairman of the checkoff’s New Product and Culinary Initiatives Committee. Among the new resources: an all-new Web site; a step-by-step product development process to share with the industry; and a global tracking system to monitor new beef and veal products arriving in the retail market. These tools are designed to help the BIG team act as an industry catalyst for the ideas and processes that give rise to new beef products. “BIG has expanded services and resources for the changing times,” Huffman explained. “If we’re going to compete with other proteins, we must be ready with the ideas, people and systems to roll out the kinds of beef and veal products that consumers want.” - New initiatives under the BIG umbrella include:
- A Web site, (www.beefinnovationsgroup.com), a one-stop industry resource for leading-edge information, articles, tips and ideas
- In-depth research and testing among youth, to help influence lifelong beef lovers
- Development of a successful “hand-held” line of beef products
- Further research into uses for the chuck roll and knuckle, as well as shredded beef and ground beef initiative support
- Development of a patent pending steak sandwich product for Quick Service Restaurants (QSRs)
- Use of Mintel, a global new product development database, to track flavor trends, new kid-focused products, innovative packaging and all beef product offerings
The BIG team, comprising scientists, culinary professionals, operation experts, marketers and product specialists, has a notable R&D track record. The checkoff-funded muscle-profiling study, released in 1999, resulted in the Beef Value Cuts (BVCs). Some 103 million pounds of these cuts were sold through foodservice last year and 20,000 U.S. restaurants have menued at least one of these cuts. On the retail side, some 5,000 supermarkets carried the BVCs in 2005, up from 321 in 2003. _______________________________________________ The checkoff was established as part of the 1985 Farm Bill, and assesses $1 per head on the sale of live domestic and imported cattle, in addition to a comparable assessment on imported beef and beef products. States retain up to 50 cents on the dollar and forward the other 50 cents per head to the Cattlemen’s Beef Promotion and Research Board, which administers the national checkoff program, subject to USDA approval. # # #
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Date:
7/3/2006
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Title:
NCBA BRINGS KNOWLEDGE AND EXPERTISE TO THE MARKET THROUGH THE BEEF INNOVATIONS GROUP
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National Cattlemen's Beef Association Brings Knowledge and Expertise to the Market Through the Beef Innovations Group
By
Ellen Gibson, Executive Director, New Product Initiatives, NCBA
The National Cattlemen's Beef Association is proud to introduce the check-off funded Beef Innovations Group.
The Beef Innovations Group, or BIG for short, is a team of marketers, scientists, culinary professionals, operations experts and product development professionals that serve as a resource for companies and organizations interested in developing new beef and veal products or enhancing current beef products.
Beef Innovations Group members, all of whom have years of experience developing new products, have worked in the meat packing, processing, packaged goods, foodservice and retail industries. Group members have previously worked for companies, including Snapple Beverage, Swift & Company, ConAgra and McDonald's to name a few.
The group, under new leadership this year, can assist with brainstorming, developing and marketing new products for packers, processors, retailers and foodservice operators.
A "BIG" Mission
Under its new mission, the Beef Innovations Group’s goal is to inspire beef and veal product innovation and facilitate success by bringing information, insight, ideas, science and tools to the industry and its stakeholders. The vision is to lead the beef industry to accelerated levels of product development activity, so that innovative, relevant and profitable new beef and veal products are regularly brought to market - ensuring the industry’s long term vitality.
The Beef Innovations Group has more than just a research and development capability; the group touches the entire industry including manufacturers, foodservice and retail professionals, producers, processors and packers.
"BIG" Capabilities
Packers and processors have access to all of the group’s experts and tools, including a New Products Development Process, which can help guide the development of products that consumers will get excited about.
The Beef Innovations Group has a new, updated Web site, www.beefinnovationsgroup.com, that industry members can turn to for information on beef and developing new beef products. The Web site contains new product information, articles and helpful tips.
To further help the industry stay informed about new beef products on the market, the Beef Innovations Group can help you track new industry products, flavor trends, new kid focused products, packaging trends and all beef offerings.
"BIG" Possibilities
The Beef Innovations Group has many initiatives underway, including:
• Exciting research to investigate the likes and dislikes among youth regarding tastes, textures, flavor profiles and product preparation.
• A new project for hand held food items, as the Beef Innovations Group is determined to help beef compete with other proteins in the “on the go” or hand held food category.
• Members of the Beef Innovations Group have been instrumental in the growth of the Beef Value Cuts category, working hard to collaborate with packers and processors about the cuts. The group remains committed to the category with further development of the knuckle and chuck roll.
• Support to industry partners interested in shredded and ground beef products.
• Development of a patent pending steak sandwich product for Quick Service Restaurants.
Do Something "BIG" Today
Easy to work with, the Beef Innovations Group, is your partner for new beef and veal product development. The group was established to grow beef profitability and want to work with you to achieve your business goals. Contact the Beef Innovations Group today for more information, by calling or emailing Ellen Gibson at 303-694-0305 or egibson@beef.org, or visit www.beefinnovationsgroup.com.
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Date:
6/30/2006
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Title:
WHAT'S NEXT FOR BEEF VALUE CUTS
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What's Next for Beef Value Cuts
By
Tony Mata, Ph.D., Technical Coordinator Consultant, New Product Initiatives, NCBA
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Ellen Gibson, Executive Director, New Product Initiatives, NCBA
In 1999, as part of an effort to create more options for consumers at the meat case, the checkoff-funded National Cattlemen's Beef Association's (NCBA) New Products Team spearheaded the creation of a line of affordable, delicious steaks from subprimals that were once merchandised primarily as roasts.
Building on checkoff-funded muscle-profiling research that identified eating characteristics of single muscles from the chuck and round, the New Products Team determined how to identify and prepare cuts of beef that are now popularly known as Beef Value Cuts.
The State of Beef Value Cuts
Since the muscle-profiling study results were released in 1999, the New Products Team has worked hard to educate packers and processors about Beef Value Cuts, including the Flat Iron, Ranch Cut and Petite Tender and has seen recognition grow among consumers.
The beef industry has learned that turning the underutilized chuck and round into delicious new cuts has helped meat processors, manufacturers, retailers, Foodservice operators and cattle producers improve overall profitability and provided consumers with great tasting, moderately priced steaks.
Beef Value Cuts have seen a tremendous growth in the Foodservice arena, with more than 20,000 restaurants nationwide having served one or more Value Cuts. Presently in Foodservice, the Flat Iron exceeds the sales volume of the Porterhouse.
Over the last five years, Beef Value Cuts have been gathering momentum at retail, with the greatest growth occurring in the last year. At the end of 2005, nearly 5,000 retail locations nationwide were carrying one or more Value Cuts in the meat case. In fact, in July 2005, Kroger, one of the nation's largest supermarket chains, debuted the Flat Iron in 116 Houston-area stores, producing a terrific response from customers and leading to a wider distribution in 2006. Overall, the growth of Beef Value Cuts at retail continues to accelerate in 2006.
The Next Frontier
As the popularity of Beef Value Cuts continues to grow, the NCBA's New Products Team is still hard at work expanding the Value Cuts category. In fact, the team is currently researching and developing the next frontier of Beef Value Cuts, exploring the Chuck Roll.
The Chuck Roll is harvested from the square cut chuck and consists of a complex muscle system (Serratus ventralis, Complexus, Splenius, Rhomboideus, Multifidus/Spinalis dorsi and Longissimus capitus e.t. atlantis). Based on the work the team has conducted, they believe that each muscle has the potential for various applications.
The Chuck Roll muscles are unique, as some can be categorized as steak and others require an innovative approach to add value. The cut is more affordable than other muscles and provides great profit opportunities for packers, processors, retailers and Foodservice operators.
In fact, the Chuck Roll is great for high-volume cooking and lends itself well to home-style and ethnic dishes. Other potential applications for the Chuck Roll muscles include:
• Steaks
• Premium Fajitas
• Premium Burgers
• Premium Country Fried Steak
• Steak for QSR – an exciting new opportunity
• Replacement alternative to Lifter Meat and expensive Flank Steaks
The New Products team believes that there is great potential for these muscles and have developed a "Chuck Roll Task Force" to conduct testing and research to help bring these muscles to market.
The development of the Chuck Roll requires input from packers, processors, retailers and Foodservice operators and the Task Force would love to hear from industry partners interested in contributing to their work.
About the Beef Checkoff Funded New Products Team
The beef checkoff-funded New Products team is comprised of a variety of experts with more than 100 years of combined new product experience including meat and food scientists, operations experts, marketers, chefs and culinary professionals who have worked in the meat packing, processing, packaged goods, foodservice and retail industries. Since 1998, the team has participated in the launch of more than 100 new product concepts and is working on many additional concepts for the coming years.
Get Started Today
The Chuck Roll – the next frontier – is ideal for new product development, and the beef checkoff-funded New Products team is available to assist packers, processors, retailers and Foodservice operators. The team’s industry-leading experts can help brainstorm, develop and market new products for your customers.
For more information, contact Tony Mata at 312-670-9418 or Ellen Gibson at 303-694-0305.
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Date:
5/1/2006
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Title:
SHREDDED BEEF HOLDS THE KEY TO PROFIT POTENTIAL
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Shredded Beef Holds the Key to Profit Potential
By
Tony Mata, Ph.D., Technical Coordinator Consultant, New Product Initiatives, NCBA
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Ellen Gibson, Executive Director, New Product Initiatives, NCBA
From sourcing raw materials to researching consumer-purchasing habits, introducing new beef products to the marketplace can be challenging and costly. To avoid the common pitfalls of new product launches getting the details right from the start is crucial.
The good news is this: there are resources available to assist you in your efforts, such as the checkoff-funded National Cattlemen's Beef Association's (NCBA) New Products Department team. Profitable opportunities await your attention.
In fact, product concepts from the NCBA already exist that might be suitable for both your business and today's demanding consumer. One such opportunity is shredded beef.
Shredded beef may be the secret weapon that can make your bottom line healthy and your customers happy. As one of the most versatile and nutritious beef products available today, potential applications for this product are untapped and unlimited.
What Consumers Will Love
When developing new products, it's important to keep the consumer in mind. Ultimately, he/she will decide the fate of a new product.
For the past three years, SupermarketGuru.com has conducted an annual consumer panel to find out how consumers' shopping behaviors and needs have changed.
The most dramatic change in the 2005 study was seen when panelists were asked to select the ONE most important factor in their purchase behavior. "Nutrition" exhibited the most dramatic increase from 20% in 2003 to 29% in 2005.
Consumers, who can often be quite demanding, are always on the lookout for products that are both nutritious and tasty. Shredded beef, from the round, may be the answer to their demands. As the poster child of beef nutrition, this extra lean product is high in protein and low in fat, saturated fat and cholesterol.
Shredded beef is second only to ground beef in versatility and can be used in sandwiches, salads, appetizers and much more. Versatility and ease of use are attractive features to consumers who are always looking for new meal options.
Shredded beef is a staple premium item in Mexican cuisine. There is also potential to use shredded beef in other ethnic cuisines, such as Italian, Chinese.
What You'll Love
Shredded beef provides added value to the carcass, making profit potential high. It is easy and economical to manufacture because it involves straightforward methods such as trimming, cubing, cooking, shredding and packing.
Even though shredded beef is extremely tender when served, the raw material does not require the same tenderness level. In fact, the less tender the raw muscle, the better the shred characteristics of the final product. Muscle fibers of tougher cuts can better withstand the cooking and shredding process that shredded beef undergoes, while muscle fibers from tender cuts are fragile and can generate too many fragments. In addition, tender cuts are more expensive to manufacture and can cost more for consumers to purchase.
The NCBA's culinary center chefs have done a considerable amount of research into new applications for shredded beef, including but not limited to:
• Shredded Beef Bowl
Utilize the versatility of shredded beef by taking advantage of the bowl food trend.
• Beefy Cheddar Pockets
Warm the hearts and souls of consumers by serving meaty shredded beef and caramelized onions topped with melted cheddar cheese, encrusted in flaky dough.
• Shredded Beef Ravioli
Ravioli shells filled with shredded beef, ricotta cheese, herbs and spices for a lunch or dinner entrée will have consumers singing “that’s amoré.” This application could also be developed as Shredded Beef Tortellini or Shredded Beef Stuffed Shells.
About the Beef Checkoff Funded New Products Team
The beef checkoff-funded New Products Development team is comprised of a variety of experts with more than 100 years of combined new product experience including meat and food scientists, operations experts, marketers, chefs and culinary professionals who have worked in the meat packing, processing, packaged goods, foodservice and retail industries. Since 1998, the team has participated in the launch of more than 100 new product concepts and is working on many additional concepts for the coming years.
Get Started Today
Shredded beef – the industry’s best kept secret - is ideal for new product development, and the beef checkoff-funded New Products Development team is available to assist packers, processors, retailers and Foodservice operators. The team’s industry-leading experts can help brainstorm, develop and market new products for your customers.
For more information, contact Tony Mata at 312-670-9418 or Ellen Gibson with the NCBA at 303-694-0305.
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Date:
4/3/2006
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Title:
NEW PRODUCTS COMING ALIVE IN RETAIL MARKETS
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New Products Coming Alive in Retail Markets
By Walt Barnhart
Beef producers and manufacturers are putting a move on innovative chicken marketers. For about the past eight years they have worked to break barriers created by tradition, creating new and interesting retail products and re-establishing beef as the meat consumers should feel good about loving. The results are impressive.
For example, new cuts from the beef chuck, created and marketed through efforts supported by the $1-per-head Beef Checkoff Program, have made an extraordinary impact on beef carcass value. Analysis conducted by Cattle-Fax shows the increase in value of the chuck primal since 1998 has meant $75 more to each animal sold.
“It’s difficult to isolate just one part of the animal,” says Mike Miller, analyst for Cattle-Fax. “But the chuck is 29 percent of the carcass by weight. It would be hard to argue that new products from the chuck haven’t had an impact.” Miller notes that the Choice chuck value was at a record high in 2006, having increased about 60 percent since 1998. That compares with a 45 percent increase for the rest of the carcass.
Valued Value Cuts
Isolation and development of the Flat Iron Steak and the Ranch Cut, among other new single muscle chuck cuts, is one of the reasons for this success, Miller believes. These and other Beef Value Cuts are now available in more than 20,000 foodservice establishments and 4,000 retail stores nationwide.
Checkoff program managers point to a promotion with the Kroger retail chain in Texas last summer as an example of the increasing interest in these products. The 8-week promotion, a cooperative effort between Kroger, Tyson Foods, the Texas Beef Council and the national Beef Checkoff Program, featured the Flat Iron Steak in 116 Kroger stores and resulted in average sales of 40-60 units per store per day.
Increasing recognition of these cuts by shoppers across the country is pulling demand through the system, says Kari Underly of Range, Inc., a meat marketing consulting firm based in Chicago. “That’s why manufacturers are continuing to invest (in new product development) – because they’re getting the requests,” she says.
Underly says retailers are asking their suppliers for the current Value Cuts – and more. “They’re now talking about other single muscle cuts” besides the Flat Iron and the Ranch Cut, she says. Because existing Value Cuts are becoming increasingly scarce, those requests come up at almost all presentations she makes to retailers.
According to Ellen Gibson, executive director of new product initiatives for the National Cattlemen’s Beef Association (NCBA), items that are now being investigated through the beef checkoff for their potential are the chuck roll and the knuckle. Research into these muscles includes product evaluation and methods for cut enhancement.
But focusing solely on these products isn’t enough, according to Gibson. The industry must work harder to be the leader of the pack when it comes to new product creation. “New products have to be unique and superior,” Gibson says. “That’s not easy.” Gibson says looking at what other beef companies are doing and emulating their products won’t take the industry far enough. “’Me, too’ products compete on price, and then they become a commodity,” she says. “When that happens consumers purchase the cheapest product. If a company can deliver unique benefits and product value to consumers, then it’s a win-win for both.”
Make it Snappy
Convenience has been the primary cry over the past eight years, according to Underly, who worked her way through college as a meat cutter. And the need for making it easy isn’t over.
“The convenience side isn’t going away,” Underly says. “companies are also getting better at upgrading the quality of (convenience) products getting to the retail counter.” In fact, Gibson says convenience is overtaking taste as the most important food attribute for consumers. After convenience and taste comes nutrition.
Some of retail convenience, says Underly, is being presented through the frozen meat case. “With the success of the chicken IQF (individually quick frozen) program, retailers are starting to welcome the new beef items,” she says. “It goes back to that convenience factor again.” Underly says items like frozen steaks, kabobs and other pre-packaged beef products like flank steak pinwheels that are prepared before shipping to retailers are evidence that convenience remains paramount. And it isn’t just convenience for consumers that is being well-received.
“Retailers today are labor conscious,” Underly says. “They’re trying to take that step out of their own process” and have manufacturers do the work.
Another area for new products, according to Underly, is niche markets such as natural and organic meats. Retail continues to see growth in these areas – as well as in niche outlets for these meats, such as Whole Foods Markets and others.
Jack Allen, professor of food marketing emeritus at Michigan State University, agrees there is a growing natural and organic foods segment, and this is creating new opportunities for ranchers and other beef producers. He also sees packers doing more of the work through case-ready products. The impetus for these changes, however, isn’t all in consumer demand: It’s also in competition.
Wal-Marts ‘R Us
“The dominant role of Wal-Mart has increased the incentive for other retailers to differentiate themselves,” says Allen. “Wal-Mart is setting the pace, reducing prices and saying ‘this is the way we (as an industry) will be.’
“The idea for other retailers is ‘change or I don’t survive.’ That’s very strong motivation.” Allen, who has closely followed meat retail trends and led a forum on the topic at the recent Cattle Industry Convention in Denver, says there is a “quicker pace of change” going on in the retail meat industry today. And there are significant opportunities for the meat industry to create a stronger presence at retail (see sidebar).
One of the ways a stronger presence will be created is through a long-range plan for creating new products, says NCBA’s Gibson. In June NCBA, through its checkoff contract with the Cattlemen’s Beef Board, will begin development of a “roadmap” to guide checkoff-funded new product development efforts over the next three to five years. This roadmap will have input of producers, packers and processors as well as retail, foodservice and packaging experts, and look at new products from an industry-wide perspective.
Also instituted will be a product development process to create a more effective and efficient procedure for conducting new product efforts, according to Gibson. “It will help us use resources wisely and guide us in working on the right products for the industry,” she says.
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Sidebar
Steps for Growth
Jack Allen believes that for the beef industry to take advantage of growing opportunities at retail, it needs to take things to the next level. That, he says, will require at least two steps
“There’s still far too much external fat in beef marketed at retail,” says Allen. He says that although producers and retailers have made good strides in this area, reducing fat by about 20 percent at retail since the 1970s, consumers are still being confronted by more fat than they want. This represents an industry perception and economic challenge it must confront, he says.
The second step is adoption by retailers of a “meal approach” in their produce and meat departments. “The meat and produce industries need to blend products at retail to have a more complete, seamless weave,” according to Allen. A strategic alliance between the meat and produce industries to come up a plan is needed to encourage implementation at retail, he says.
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