Fall 2010

LUNCH ABLES
 BYU AdLab
Lunchables Project
Valentina Almeida Charlotte Haynie
Katie Nelson Laura Coalwell
Cameron Pinegar Scott Talbot
Audrey Arrington
Michelle Vanegas
Bryan Lovgren
Leanna Criddle
Megan Brink
Hannah Miller

2
Contents
Organic Market 4
The Consumer  17
Packaged Foods 24
Primary Research  28
Brand Model 38
Artwork 40

3
 Organic
WHAT IS ORGANIC FOOD?
Organic agriculture is an ecological
production management system that
promotes and enhances biodiversity,
biological cycles and soil biological
activity. It is based on minimal use of
off-farm inputs and on management
practices that restore, maintain and
enhance ecological harmony.
Organic is a labeling term that
denotes products produced under the
authority of the Organic Foods Produc-
tion Act. The principal guidelines for
organic production include the follow-
ing: to use materials and practices that
enhance the ecological balance of natu-
ral systems and that integrate the parts
of the farming system into an ecological
whole.
Organic agriculture practices cannot
ensure that products are completely
Photo by Donata Pizzi, GettyImages
4
free of residues; however, methods are
used to minimize pollution from air, soil
and water.
Organic food handlers, processors
and retailers adhere to standards that
maintain the integrity of organic agri-
cultural products. The primary goal of
organic agriculture is to optimize the
health and productivity of interdepen-
dent communities of soil life, plants,
animals and people.
ͫͫ http://www.nal.usda.gov/afsic/pubs/ofp/ofp.
shtml
WHAT IS ORGANIC FARMING?
Organic farming produces plant and ani-
mal foods without the excessive use of
chemicals. It focuses on using fertile soil
along with a variety of crops to main-
tain healthy growing conditions which
produce a food with more nutrients and
less chemicals than typical commercial
foods. Organic farming prohibits the
growing of GM foods: a controversial
issue among commercial growers.
Animals reared on organic farms are
treated properly with room to behave
like animals and are fed healthy food
sources not laden with drugs and other
chemicals.
WHAT DO WE KNOW ABOUT ORGANIC?
• The popular, customary meaning of
organic foods refers simply to all
foods that are produced naturally.
• Produced without the use of synthetic
fertilizers, artificial pesticides, herbi-
cides, antibiotics, growth hormones,
feed additives or genetically modi-
fied organisms (GMOs).
• The organic food market is currently
the fastest growing food sector in
the United States, with growth rates
in organic food sales averaging 17%
per year between 1998 and 2006.
• The largest segment within the
organic market is fresh produce,
comprising 34% percent of retail
sales in 2006.
• The probability of purchasing or- “Organic agriculture practic-
ganic vegetables is lower for African es cannot ensure that prod-
Americans and for older households. ucts are completely free of
• Organic produce is important to
residue...”
the industry since it is consumers’ ͫͫ http://www.nal.usda.gov/afsic/pubs/ofp/ofp.
primary introduction to the world of shtml
organic food.
• Wang and Sun (2003) also incorporat-
ed a stated choice experiment to find
that younger consumers with smaller
households and larger incomes
were most likely to purchase organic
produce.
ͫͫ http://www.informaworld.com/smpp/section?
content=a918137263&fulltext=713240928
WHY CHOOSE ORGANIC AT ALL?
Are you concerned that the food you
are eating may be harmful to you and
your family? With news reports about
5
 GM (genetically modified) foods, health
scares about eating beef, chemicals on
food affecting people’s health and the
intelligence of children, it’s no wonder
that many are looking to organic foods as
an option.
WHAT ARE THE BENEFITS OF ORGANIC
FOODS?
Organic farming emphasizes the use of
renewable resources. One of the com-
mon benefits proclaimed about organic
foods is that they taste better - but there
are many other benefits to incorporating
organic foods into your diet. Besides the
physical benefits to you there are envi-
ronmental benefits and benefits to the
animals and people who live and work
on the farms.
WHAT ARE THE HEALTH BENEFITS?
Organic foods prevent people from
ingesting regular amounts of pesticides
6
and insecticides commonly found in
commercial products. Animals are not
routinely given antibiotics and other
medication which enters the food sup-
ply to humans. Some research suggests
that this excessive use of chemicals in
food can be linked to increased health
problems and interferes with the healthy
development of children. Organic certi-
fication and organic farming certification
help insure food safety and food security.
WHAT ARE THE ENVIRONMENTAL
BENEFITS?
Organic food also protects the planet.
Organic farming ensures that bio-
diversity remains available in the foods
we eat and the wildlife that live on the
farms. Fruits and vegetables are naturally
available in 100’s of varieties. Commer-
cial growing limits the variety of each
food available by mass producing only a
handful. Many species of birds, insects
and other animals are affected by the
chemicals and farming conditions used in
growing commercial foods.
Organic farms grow a mix of crops
and promote a balanced ecosystem
including insects that protect crops from
pests and worms and other micro-organ-
isms which fertilize the soil.
WHATE ARE THE HUMAN AND ANIMAL
BENEFITS?
Organic food products reduce your expo-
sure to pesticides organic farming is con-
sidered ‘sustainable’ farming. The work-
ers and the animals are not as exposed
to dangerous toxins or working and
living conditions. This enables people to
continue growing healthy foods for the
rest of society without reliance on huge
machinery and chemicals.
The animals raised on organic farms
are not subject to the terrible living
conditions imposed on commercially
reared animals who often live in exceed-
ingly small spaces without the freedom
to move or interact. These unhealthy
conditions lead to a spreading of illness
which is combated with regular doses of
antibiotics.
On organic farms the animals’ needs
are given priority. Healthy food, clean
living conditions and freedom to behave
like animals means healthier animals.
When animals are sick they are cared
for individually according to their actual
needs.
Organic, sustainable farming protects
humans, animals and the environment.
Increasing the demand for organic prod-
ucts will encourage this form of farming
and ensure that the food supply avail-
able to our children is a healthy one.
ͫͫ http://www.biodelice.com/
Photo by foxypar4, Flickr
7
 WHAT DOES ORGANIC DO FOR
CUSTOMER?
Consumers avoid pesticides, additives
and genetically-modified foods. By eat-
“Women are the prime ing organic, consumers reduce their
targets for healthy food exposure and their children’s exposure
options.” to chemical laden foods. There is a
ͫͫ Healthy Eating and Drinking – Germany – Sep- decrease in the likelihood of cancers and
tember 2008). other diseases, developmental delays
and behavioral concerns in children.
ͫͫ http://www.ehow.com/topic_714_understand-
ing-organic-foods-living.html
WHY DOES THIS MATTER?
Organic farmers must undergo stricter
government regulations for product
integrity than conventional farmers.
Organic produce and meat are untreated
and free of harmful contaminants and
additives, significantly reducing toxin ex-
posure. Consumers are more apt to find
their foods at a local farmers market. It
8
not only benefits the local economy, but
ultimately there is less fossil fuel con-
sumption.
ͫͫ http://www.ehow.com/topic_714_understand-
ing-organic-foods-living.html
WHAT ARE THE DIFFERENT LEVELS OF
ORGANIC?
There are four levels of the claim cov-
ered by the NOP: “100% organic”,
“Organic” (at least 95% organic), “Made
with Organic Ingredients” (at least 70%)
and “Some Organic Ingredients” (less
than 70%, the organic items can be listed
individually in the ingredients on the side
panel). The first two categories can use
the NOP seal on the front of the food
package. Clearly these categories are
most relevant to processed foods, as op-
posed to the most commonly purchased
organic category – produce.
A customer intercept survey was con-
ducted during October and November,
2003. Six stores of a national grocery
chain (traditional grocery) were se-
lected for the survey. Two stores were
located in the inner city of Columbus,
Ohio, two stores were in suburban
areas of Columbus, and two in small
towns in predominantly rural areas of
central Ohio. Customers were identified
at random as they entered the store.
Customer interviews were conducted
between the hours of 1:00 and 6:00 pm,
Monday through Thursday. The interview
included a contingent choice experiment
featuring four hypothetical breakfast ce-
real products. Following the experiment,
participants completed a short survey in
the store that elicited information about
organic purchase behavior, knowledge
of organic food labels, attitudes toward
health and nutrition issues, and house-
hold demographic information. One
hundred ninety nine interviews were
completed.
While the experimental design for the
traditional grocery is designed to look at “Families with children aged
choices made by the general population,
15 and younger were signifi-
it is also of interest to identify the char-
acteristics of shoppers that lead them
cantly less likely to select
to self-select into the organic market. To organic food products.”
provide a comparison to the traditional
grocery, in March 2004, a questionnaire
was handed out to shoppers at a nation-
al whole 3 food/health/nutrition store
(specialty grocery) located in a suburban
area of Columbus, Ohio. Shoppers were
asked to complete the questionnaire
and return it in a postage-paid return
envelope. The questionnaire included
identical questions to those asked of
the traditional grocery shoppers. Three
hundred questionnaires were distributed
and 102 were returned.
9
“Higher-income respondents
who do not buy organics are
the most likely to say that
the price is not justifiable.
They are also the most likely
to deem the whole subject
to be unimportant and to
agree that they are con-
cerned about the quality of
organic products.”
Photo by Y, Flickr
10
Of the sampled consumers, 59 per-
cent had previously purchased organic
foods – 42 percent for traditional shop-
pers and 92 percent for specialty grocery
shoppers. Nutrition and a desire to avoid
pesticide residue were the primary mo-
tives for purchasing organic foods. High
price and a perceived lack of variety of
organic foods were the most important
reasons that consumers did not purchase
organic foods. However, the results of
our contingent valuation experiment
suggest that price changes do not signifi-
cantly affect the probability of product
choice.
Estimates of willingness to pay for or-
ganic foods suggest that consumers are
willing to pay premium prices for organic
foods, even those with less than 100 per-
cent organic ingredients. The magnitudes
of the WTP premia varied significantly
among consumer groups. Generally, spe-
cialty grocery consumers were willing to
pay substantially more than traditional
grocery shoppers. Health and food safety
concerns were significant explanatory
variables product choice model. Families
with children aged 15 and younger were
significantly less likely to select organic
food products.
OPINIONS ABOUT ORGANIC FOOD AND
BEVERAGES
• Price is a concern when it comes to
buying organics for 78% of all respon-
dents.
• Consumers are not convinced organic
means healthy: more than eight in 10
respondents agree that one can eat or-
ganic and still not have a healthful diet.
• Two thirds of respondents believe that
organic food has a shorter shelf life than
conventional food, which could be a
concern for smaller households.
• Organic food and drinks do not guar-
antee good heath—84% ofrespondents
agree, as do 90% of over-65s. The
disconnect between organics and health
may explain why so few older respon-
dents buy organic food and drink. Since
they do not see a health
REASONS NOT TO PURCHASE ORGANIC
• Non-buyers do not feel that the higher
price of organics is justified, nor do they
think that the issue of organic food is an
important one.
• Higher-income respondents who do
not buy organics are the most likely to
say that the price is not justifiable. They
are also the most likely to deem the
whole subject to be unimportant and to
agree that they are concerned about the
quality of organic products.
CRITICISM AND CONTROVERSARY

Consumers wanted organic food for
a variety of reasons. These included
concerns about pesticide residues on “High price and a perceived
conventionally grown plants and artificial lack of variety of organic
hormones given to livestock; the belief
that organic food tastes better; and a foods were the most impor-
desire to lessen environmental impact. tant reasons that consum-
All of these reasons have been criticized ers did not purchase organic
as incorrect or unfounded, but evidence foods . . . ”
remains inconclusive.
Some studies have shown organic
farming to result in lower yield and high-
er impact than conventional farming;
others have shown comparable or higher
yields for organic techniques in certain
parts of the world. Critics argue that con-
ventional techniques produce more food
per acre and have lower impact because
they preserve more non-agricultural
land; proponents of organic agriculture
claim that small farms are more efficient
overall, although they do not produce
large volumes of single crops the way
monoculture farms do.

Critics have also claimed that organic
Photo by ConstructionDealMktng, Flickr
11
 “Critics have claimed that
organic food is too expen-
sive for low-income families
and poorer countries and
thus a luxury available only
to the elite.”
Photo by Tooga, GettyImages
12
food is too expensive for low-income There is a decrease in the likelihood
families and poorer countries and thus a of cancers and other diseases, develop-
luxury available only to the elite. Others mental delays and behavioral concerns in
contend that the cost of synthetic fertiliz- children.
ers and pesticides is prohibitively expen- ͫͫ http://salempress.com/store/samples/nine-
sive to poorer countries and that applica-
ties_in_america/nineties_in_america_organic.
htm
tion of organic farming methods would ͫͫ http://www.ehow.com/topic_714_under-
improve crop yield. The many variables standing-organic-foods-living.html
involved in measuring agricultural yield
make it difficult to determine definitively
the effectiveness of organic farming as
compared to conventional methods.

IMPACT OF ORGANIC ON MARKETS

The organic food movement of the 1990’s
changed how many Americans viewed
food and widely affected agricultural
and marketing practices. The enormous
success of organic food chains like Whole
Foods Market and Wild Oats Markets
proved that organic food could be profit-
able to retailers and producers as well as
appealing to the general public.

Photo by Masahiro Ihara, Flickr

13
 Organic Food and Drink Retailing – US – November 2009 – Faith in the Term Organic
Figure 48: Trust of the term organic, and views on organic/natural, by gender, September 2009

55%
Total Male Female
Base: adults aged 18+ with internet access 2,000 980 1,020
Summary of agree % % %
of respondents
don’t trust the
Foods/beverages can be labeled as organic so 65 63 66
word organic.
long as they meet a government standard
I can trust the term ìorganicî when I see it on 45 43 47
labels
Organic and natural mean the same thing to me 28 31 25
when I see them on product packaging
Organic and/or natural foods/beverages are 8 11 5
more likely to make me sick since they don’t
contain preservatives or pesticides
Source: Mintel

14
 Base: HH Buys Organic
Number of Respondents 819 819
% of 819 % of 819
Food Drink
Supermarket 65 36
Natural or health food store (e.g., Whole Foods, Trader Joe’s) 43 21
Walmart 33 12
Other mass merchandiser (e.g., Target or Kmart) 18 2
Farmersí market 31 8
Club store (e.g., Costco, Sam’s Club) 23 4
Convenience store 9 2
Neighborhood market (ìcornerî store) 15 3
Co-op 10 2
Drug store 9 1
Liquor or other beverage store (e.g., BevMo!, Binny’s) 8 1
Online 9 2
Other 4 3
Don’t know 4 4
Source: Mintel

15
 Photo by Aurora Open/Priscilla Gragg, GettyImages

16

The Consumer
CONSUMPTION PATTERNS
It seems quite clear that kids, like adults,
will increasingly shy away from food and
beverage options that have little nutri-
tional value. This could present an op-
portunity for savvy marketers of healthy
foods that work to frame products as fun
“kid friendly” options that parent can
also enjoy. (Mintel: Family Purchases,
Kids as influences 2010).
As children become teenagers, they
are encouraged to become more in-
dependent in making healthy choices.
(Mintel: Children and Obesity 2009).
Some 86% rank “healthy and nutri-
tious” as the most important characteris-
tics, while 82% say food should “establish
good eating habits” and 80% cite food
that “fills the child up.” (Mintel: Marketing
health to Parents and Children, 2009).
“Some 86% rank ‘healthy and
Higher income parents are more likely
to pay attention to nutritional value in nutritious’ as the most im-
products. They are also more likely to be portant characteristics, while
influenced by their children in purchas- 82% say food should “estab-
ing decisions. lish good eating habits” and
One important finding of Mintel’s
80% cite food that “fills the
research is that young parents are
somewhat more likely to state that they child up.”
ͫͫ (Mintel: Marketing health to Parents and Chil-
give their kids what they want “most dren, 2009).
of the time.” This indicates that young
parents are somewhat more likely to be
influenced by their kids. (Mintel: Family
Purchases, Kids as influences 2010).
MOTIVES FOR BUYING ORGANIC FOOD
Researchers found that younger children
(7- and 8-year-olds) were much more
likely to request items that they had seen
in advertising than were older children.
(Mintel: Family Purchases, Kids as influ-
ences 2010).
The sense of despair expressed
above is balanced by the extent to which
17
 “Parents seek foods that
make their children feel
genuinely good about
themselves and that in-
crease their enjoyment of
the eating experience it-
self.”
Mintel: Marketing health to Parents and
Children, 2009
Photo by Kacey Shaker
18
parents of obese or overweight children
are anxious to embrace solutions to help
their kids. Parents of obese kids are sig-
nificantly more likely than average to be
interested in various strategies to help
their kids (Mintel: Children and Obesity
2009).
Food kids eat, and the direct rela-
tion to the obesity issue, is motivating
parents to pay closer attention to meal
and snack time. (Mintel: Children and
Obesity 2009)
Key “take-aways” from the Just Kid,
Inc. study include that moms are not
looking for sophisticated ingredients, but
rather products with basic, simple bene-
fits like “fresh” and “balanced nutrition,”
and are more acutely aware that the
decisions they make today shape their
kids’ eating habits and overall health for
the long-term.
In addition, parents seek foods that
make their children feel genuinely good
about themselves and that increase their
enjoyment of the eating experience it-
self. (Mintel: Marketing health to Parents
and Children, 2009).
Parents with younger children play
a more active role in choosing healthy
foods. Therefore older parents with
older children give more independence
to their children in regards to choosing
food.
As parents we get into this mindset
of giving children something because it’s
easy and we know they’ll eat it. We need
to push ourselves out of that comfort
zone. It may take a bit more effort, but
the rewards are huge.Break the habit of
giving them boring sandwiches. It’s easy.
Lunchboxes need more than a boring
sandwich.
MARKET DEMOGRAPHICS
Younger and affluent consumers are
prime consumers of organic foods. Ma-
turing adults (aged 35-44), not as likely
to buy organic as younger consumers,
do choose organic meat/seafood and
organic dairy products perhaps because
of environmental/ethical concerns and
animal rights.
Asian and Hispanic consumers were
more likely than other races/ethnicities
to buy organic products in the past year,
but cultural differences play a role—His-
panics prefer from-scratch cooking and
as such are far less likely to buy organic
frozen foods.
Youth is a fundamental predicator
for organic food and beverage pur-
chases. No matter the organic sector,
respondents aged 25-34 were the most
likely to indicate purchases in the past
year (63-78%). The youngest respon-
dents (aged 18-24) were also very likely “As parents we get into this
to buy organic products, particularly mindset of giving children
dairy and “other” foods. Organic dairy
something because it’s easy
and meat/seafood resonate with slightly
older consumers (aged 35-44) perhaps
and we know they’ll eat it.
because this mature age group is more We need to push ourselves
concerned with ethical issues such as out of that comfort zone. It
animal welfare and thus willing to pri- may take a bit more effort,
oritize purchasing organic. but the rewards are huge.
Among all races/ethnicities, Asians Break the habit of giving
are most likely to indicate that they’ve
them boring sandwiches. It’s
purchased all types of organic food and
beverages. Black consumers are the least
easy.Lunchboxes need more
likely to have bought organic products, than a boring sandwich.”
choosing all-natural variants instead.
And Hispanics, who typically favor foods
they can make from scratch (see Mintel’s
Ethnic Foods—U.S., September 2009),
eschew frozen (processed) foods more
than non-Hispanics (Mintel Organic Food
and Drink US November 2009).
Overall, the research indicates that
19

“Young parents between the
ages of 25-34 may be the
most susceptible to mar-
keting strategies involving
healthy foods.”
Photo by Zia Soleil, GettyImages
20
CPG firms will increasingly focus ad-
vertising efforts on families more than
children in the future. (Mintel: Family
Purchases, Kids as influences 2010)
Young parents between the ages of
25-34 may be the most susceptible to
marketing strategies involving healthy
foods.
Results of their 2004 survey indi-
cate that half of frequent organic food
purchasers have incomes below $50,000,
and African Americans, Asian Americans
and Hispanics use more organic products
(Howie, 2004; Barry, 2004). The most
recent Hartman study (2006) indicated
Asians and Hispanics were the two eth-
nic groups (when considering Asians, His-
panics, whites, and African Americans)
most likely to have purchased organic
products in the previous three months,
while core consumers (defined by the
Hartman Group as consumers committed
to an organic lifestyle) were most likely
to be Hispanic and African American
(Baxter, 2006; Hartman, 2006).
Increases in education led to higher
likelihoods of purchasing organic veg-
etables, and spending a greater share of
household income on these products.
This suggests higher income households
were more likely to try organic vegeta-
bles, but unlikely to consistently devote a
large share of their expenditures toward
organic vegetables.
ͫͫ http://www.informaworld.com/smpp/section
?content=a918137263&fulltext=713240928
MOMS
Through demographic profiling, the
authors concluded that the regular con-
sumer of organic foods (RCOF) is female,
older, and has children in the house-
hold.
ͫͫ http://agcj.tamu.edu/404/port/WiedRB.pdf
ͫͫ http://jmk.sagepub.com/content/30/2/171.
full.pdf+html
ͫͫ Packing a Child’s Lunch from Marketing to
Children: Children’s Eating Habits – Ireland,
November 2007
KIDS
• Children, especially younger kids,
tend to have their food choices
made for them by their parents. In
line with changing consumer trends
(eg. more Irish women going back to
the workplace), there will be greater
emphasis placed on processed food,
even with the healthy eating drive.
• A staggering amount of kids’ products
have been launched claiming health
and lifestyle benefits, with cereals
and beverages the most innovative
categories.
• Kids are excellent at exercising their
pester power and will favour less
healthy options, possibly due to
emotional ties with such products
(eg pizza as a birthday treat).
• Innovation within the food and drink
industry has meant that products
such as processed foods, once
perceived with an ‘unhealthy’ tag,
“. . . higher income house-
are adapting to provide time-poor
parents with a quick, healthy option holds were more likely to
for mealtimes, for example Bia Kid’s try organic vegetables, but
range of ready meals. unlikely to consistently de-
PARENTAL VIEWS ON EATING HABITS
vote a large share of their
Mintel’s results reveal that parents are expenditures toward organic
vegetables.”
also taking a more proactive role and are
asserting more control over the foods
consumed by their children; half of par-
ents in the RoI claim to make a packed
lunch for their kids every day, compared
to only four in ten NI parents.
Women are the prime targets for
healthy food options. (From Healthy Eat-
ing and Drinking – Germany – September
2008).
21
 “Many health food catego-
ries are forecast to post
robust growth in the next
few years on the back of
consumer interest in natural
well-being and health, such
as complementary medicines
and nuts, seeds and dried
fruit.”
ͫͫ(Healthier Eating from Health Food
Retailing – UK – April 2010).
Photo by mynameisharsha, GettyImages
22
ATTITUDE TOWARD FOOD
Respondents hold conflicting attitudes
towards food. Almost two thirds say
that they try to “eat healthier food
these days,” while almost the same per-
centage eat the foods they like regard-
less of calories. In fact, looking just at
those who say that they try to healthier
foods these days, the same percentage
(59%) report eating the foods they like
regardless of calories.
A little less than half of respondents
read information on the label, and a
little less than one in four actively seek
information about nutrition/diet. These
findings seem at odds with respondents
claiming that they want healthier food,
and the answer may be a matter of time
or effort.
Anything manufacturers can do to
tout health benefits quickly and ­easily
will likely be well received.
ͫͫ Healthy living from Healthy Living – US – July
2009.
STRENGTHS AND WEAKNESSES
Many health food categories are forecast
to post robust growth in the next few
years on the back of consumer interest
in natural well-being and health, such
as complementary medicines and nuts,
seeds and dried fruit.
ͫͫ Healthier Eating from Health Food Retailing –
UK – April 2010.
ISSUES IN THE MARKET
Sales of ‘healthier’ food and drink have
been increasing in all five markets
reviewed in this report. In 2008, sales
of ‘healthier’ alternatives stood at €10
billion, up by 7% on 2007. Functional
options take 22% of the healthy eating
market.
 Organic Food and Drink Retailing - US - November 2009 - The Consumer and the Natural and Organic Foods Market
Figure 45: Factors influencing decision to eat natural/organic food and drink, September 2009
Total
%
Because they’re good for my health 68
Because I want my children to eat well 59
Because they’re more nutritious than regular foods/beverages 49
Because I’m concerned about the environment (e.g., sustainable farming, harmful pesticides) 43
To feel better and/or have increased energy 38
To lose/maintain weight 29
Because of something(s) I’ve read or seen about the food industry that concern(s) me (e.g., Fast 22
Food Nation; Omnivore’s Dilemma; Food, Inc.)
To overcome issues associated with allergies/sensitivities (e.g., lactose/gluten-intolerance) 17
To help treat a medical condition 10
Because I’m a vegetarian/vegan 6
Other 5
None of the above 7
Base: 1,204 adults aged 18+ with internet access whose HH buys organic and/or natural foods
Source: Mintel

23

“I think the key word for any
category right now
is convenience.”
24
Packaged Foods
WHO BUYS THEM
Parents with the lowest incomes are the
least likely to agree that kids have too
much access to junk food
WHY ARE PEOPLE BUYING THEM
“I think the key word for any category
right now is convenience,” says Randy
Newbold, senior product manager at
Hillshire Farms. “It might be convenience
in the shopping process, convenience in
packaging, or convenience in preparation
and usage. Everything seems to be very
heavily focused on taking time out of the
process. A lot of what we’re seeing come
out aren’t necessarily new ideas, but are
only packaged better.”
PACKAGED DELI
Making a packed lunch for your children
every day can be quite a test of a par-
ents’ ingenuity. It can be very easy to
fall into a routine of sandwich, crisps,
chocolate bar and a drink.
And while that’s not an appalling diet
for kids, it could be better. For example,
crisps are too salty to eat every day and
there’s very little nutritional value in a
chocolate bar.
Making changes to your children’s
packed lunches doesn’t have to be as dif-
ficult or time-consuming as it sounds.
Most parents are doing a hundred
and one things in the morning, so they’re
obviously not going to have to time to
create a gourmet three course meal. But
there are some excellent quick and easy
ways to make a child’s lunchbox a bit
more interesting—and healthier!
As your kids get older, get them
involved with choosing and making their
lunch. They’ll probably be keener to eat
it, it will take the burden off you and
they’ll be learning great skills for the fu-
ture. Maybe some day they’ll return the
favor and treat you to lunch.
SANDWHICHES
There’s nothing wrong with a traditional
sandwich—but if a child is eating the
same old marmite on white or cheese
on brown every day, it’s a bit dull and it
may mean they’re not getting sufficient
variety in their diet. Try using different
breads, pittas and rolls—whole wheat
varieties are best and if they include in-
teresting ingredients like nuts and seeds,
so much the better.
Fillings like cold meat from yester-
day’s roast, tinned fish, humous, guaca-
mole, prawn or egg mayo and special-
ity cheeses are all delicious and pretty
instant—but do make sure the food is
kept cool until it’s time for lunch.
Some sandwich fillings can be made
in advance and frozen or refrigerated.
Then add a few sliced tomatoes and a
handful of salad at the last minute to
turn them into a feast, while contributing
to a child’s five-a-day.
FRUIT “Try using different breads,
Apples are wonderful standbys as they pittas and rolls—whole
keep for ages, and most children love wheat varieties are best
them. But there are plenty of other fruits and if they include interest-
too, so do go for something else occa- ing ingredients like nuts and
sionally.
seeds, so much the better.”
Try satsumas, grapes, bananas, kiwis,
strawberries, blackberries and blueber-
ries. Put softer fruits in their own little
pots to avoid them getting squashed.
Dried fruit is handy for lunchboxes and
deliciously sweet. Apricots and raisins
are the most obvious, but lots of super-
markets sell different kinds, from figs and
dates to dried apple rings.
25

“Making changes to your
children’s packed lunches
doesn’t have to be as diffi-
cult or time-consuming
as it sounds.”
26
SALAD AND VEGETABLES
Children who like pasta and rice might
enjoy a salad made from either. Tuna
and sweetcorn is a popular combination.
Other ideas are red pepper, mushroom
and sugar snap peas; cherry tomatoes,
feta and green beans; ham, courgette
and basil -- the possibilities are endless.
Less adventurous children will prob-
ably still enjoy sticks of raw carrot, celery
and courgette, and some cherry toma-
toes.
OTHER IDEAS
Try soup in a vacuum flask, yogurt,
oatcakes, breadsticks, crackers or seeds
and nuts (if they’re allowed at school),
scones and fruit breads.
Don’t leave out sugary foods altogether.
Unless banned at school, a piece of cake
or some biscuits every now and then will
make a nice treat and will avoid them tak-
ing on the allure of something forbidden.
Making a packed lunch for your chil-
dren every day can be quite a test of a
parents’ ingenuity.
PRICES AND COMPETITION
The introduction of food-based standards
for school meals in 2006 has moderately
improved the nutrient content of school
meals, slightly widening the nutritional gap
between school meals and packed lunches.
Some offending product labels
conveyed nutrient content claims that
did not meet the FDA requirements. For
example, the term “cholesterol-free” was
used even though the product contained
higher levels of saturated fat than al-
lowed when this claim is made. Other
food labels referred to websites that
made claims establishing the product
as a “drug” that might cure, mitigate,
treat or prevent disease. In some cases,
websites referred to scientific studies
that reported benefits linked with the
food, such as lowering cholesterol or meals and packed lunches were larger “The introduction of food-
blood pressure. The crackdown sends a for all nutrients after the introduction of based standards for school
message to the food industry that they food-based standards compared with the
meals in 2006 has moderately
need to adhere to the established rules period of no standards. However, differ-
for food labeling. ences between before and after standards
improved the nutrient con-
did not reach statistical significance. The tent of school meals, slightly
ENVIRONMENTAL NUTRITION widening the nutritional gap
nutritional quality of packed lunches is
The present review identified seven stud-
poor compared with school meals,” wrote between school meals and
ies from 1990 to 2007 measuring lunch-
time nutrient intake in children aged 5-11
C.E. Evans and colleagues, University of packed lunches.”
Leeds.
years having a school meal and children
having a packed lunch. Pooled estimates
for each nutrient were as follows: en-
ergy intake was 543 (95 % CI 233, 854) kJ
higher in packed lunches; total sugar in-
take was 14.0 (95 % CI 10.3, 17.7) g higher
in packed lunches; non-milk extrinsic
sugar intake was 11.7 (95 % CI 7.3, 16.2)
g higher in packed lunches; saturated fat
intake was 4.7 (95 % CI 2.4, 7.1) g higher
in packed lunches and Na intake was 357
(95 % CI 174, 539) mg higher in packed
lunches. Differences between school

27
 Primary Research

AdLab One-on-one interviews

Word Cloud by Wordle.com

28
How often do you eat lunch purchased at school per week?
Most kids do not purchase lunch at
# Answer Response %
school. 61% purchase 0-1 times a
1 0 68 42%
week. Because most moms send their
2 1 30 19%
children to school with lunch, there is
3 2 17 10% larger potential in the market for healthy
4 3 8 5% lunches. Also, one of the biggest reasons
5 4 12 7% why moms do not regularly buy school
6 5 27 17% lunches is because of time constraints.
Total 162 100% If mom’s have a healthy lunch pack to
AdLab Qualtrics Survey give their children, then they will not feel
rushed.

Do you purchase prepackaged lunch foods?

Only 48% of respondents purchase pre-
# Answer Response %
packaged lunch foods. Most people do not
1 Yes 78 48% purchase prepackaged lunches because the
2 No 85 52% lack of healthy options, the high prices, or
Total 163 100% the combination of the two.

AdLab Qualtrics Survey

29
 Are you satisfied with your current prepackaged lunch food options?
71% of respondents are not satisfied with
# Answer Response %
the prepackaged lunch options. The most
common reason was lack of healthy options. 1 Yes 44 29%
This question shows the potential in the 2 No 108 71%
market for healthier packaged lunch options. Total 152 100%
AdLab Qualtrics Survey

Where do you normally do your grocery shopping?

Moms shop at national grocery # Answer Response %
stores (supermarkets) followed by
national big-box chains. 1 National Big-Box Chain (Walmart, Target, etc.) 40 27%
2 National Grocery Store (Maceys, Lucky, Safeway, etc.) 72 48%
3 Wholesale Store (Costco, Sam’s Club) 28 19%
4 Organic Market (Whole Foods, Good Earth, Trader Joes, etc.) 4 3%
5 Mom and Pop Stores 4 3%
6 Online 1 1%
Total 149 100%
Adlab Qualtrics Survey

30
How much do you currently spend on your children’s lunch per day?

# Answer
1 < $1
2 $1.01- $3
3 $3.01- $5
4 $5.01- $7
5 $7.01 - $9
6 > $9.01
Total
Bar Response % People feel like they do not spend very much
on their children’s lunches. People are willing
0.23376623376623 36 23% to spend more on a healthier prepackaged
0.68831168831169 106 69% lunch option. The number of people who
0.064935064935065 10 6% would spend between $3-$5 jumped from
6% to 18%. However the majority of people
0.0064935064935065 1 1%
are spending between $1-$3, andthat major-
0.0064935064935065 1 1% ity of people are only willing to spend that
0 0 0% price on a healthier option.
154 100%
AdLab Qualtrics Survey

How much would you be willing to spend on a healthier prepackaged lunch option?
# Answer Bar Response %
1 < $1 0.073 11 7%
2 $1.01- $3 0.69 104 69%
3 $3.01- $5 0.18 27 18%
4 $5.01- $7 0.046 7 5%
5 $7.01 - $9 0.006 1 1%
6 > $9.01 0 0 0%
Total 150 100%
AdLab Qualtrics Survey

31
 Rate the importance of each factor when purchasing your children’s lunch?

Nutritional value
was ranked the
highest followed by
price and children’s
preference. Organic
was ranked the low-
est factor. Mom’s
are concerned about
health, but not nec-
essarily organic.

32
Competitive Analysis
OSCAR MEYER
STRENGTHS
• Huge industry penetration
• Go-to product for moms in a rush
• Popular among children
• Relatively low price
• Vibrant design
• They offer promotions and contests
• Comes with a drink and treat
WEAKNESSES
• Unhealthy
• Processed food
• Food is not appealing to the eye
• Packaging covers up the food
(not visible)
• Moms are seeking healthier options
OPPORTUNITIES
• New healthier versions of Lunchables
• Moms continually rushed or more
busy
• Kids who influence their parents’ deci-
sions
• Kids who influence their parents
decision
THREATS
• Moving too slow into healthy segment
• Bad reputation in terms of nutrition
• Emerging products with promising
nutrition facts
33
SCHOOL LUNCH AMY’S KITCHEN THREATS
• More convenient cold lunches
STRENGTHS STRENGHTS • Non-organic products that are healthy
• Most accessible to kids • Healthier prepackaged foods
and less expensive
• No preparation needed • Variety of flavors/options in kids line
• Day-to-day decision • Organic products
• Hot and cold food • Leader in frozen natural foods LUNCHMAKER
• Healthier alternative to LunchableS • Incorporates more food groups
STRENGTHS
WEAKNESSES WEAKNESSES • Bright and appealing to the eye
• Less healthy than home lunch • Small school lunch penetration designs
• Lack of variety • Cooks from frozen • Affordable for a larger market
• Kids in control • Not available everywhere • Quick option for a busy mom
• Food gets boring in kids’ mind • Not all schools have microwaves to
WEAKNESSES
heat up product
OPPORTUNITIES • Food is processed
• Initiatives to make school lunch op- OPPORTUNITIES • Food looks fake
tions more healthy • Create kids meals that aren’t cooked • Smaller portions and less variety
• Emphasize that they are the cheapest from frozen • Overshadowed by Lunchables®
and easiest option for rushed moms • More microwaves available in schools
OPPORTUNITIES
• Moms seeking healthier options for
THREATS • More promotions to become well-
kids’ lunch
• Lunchables known
• Expanding distribution to more
• Home lunch • Differentiate from Lunchables
markets
• Healthier alternatives

34
THREATS
• The green movement drawing parents’
attention to healthier/better alterna-
tives
• More inexpensive alternatives with the
same variety (home lunch)
EASY MAC
STRENGTHS
• Strong brand
• Quick and easy
• Kids love mac & cheese
• Convenient for moms to pick up at
the store
• Available everywhere
• Popular among children
WEAKNESSES
• Not healthy
• Not natural ingredients
• More expensive than other alternatives
• Some schools don’t have microwaves
OPPORTUNITIES OPPORTUNITIES
• Create a healthier version • Cold lunch provided by the school
• Appeal more to the lunch market • More variety than the usual sandwich
THREATS THREATS
• Organic products with same menu • Hassle-free alternatives
• School hot lunch • More popular alternatives that kids
• Products that have a more complete may want to show off at school
meal (drink, treat, toy, etc.)
HOME LUNCH
STRENGHTS
• Parents are in charge of food options
• Healthier food
• Kids can bring back leftovers
• Cool lunchboxes for each kid
• Customizable for each kid
• Most inexpensive option
• WEAKNESSES
• Not as popular as other options
• Takes too much time to prepare
• No promotions or fun toys for kids
35
SWOT
• healthy • as a new product, the
• multiple healthy options target could be skeptical
• educational • must gain potential mar-
• inexpensive ket share
• high quality • kids might have to adjust
• easy to access packaging to eating healthier
• convenient choice for
mom’s
S W
• school lunches • lunchables that
• mom’s who want O T already have a
healthy options for presence
their kids • school lunches
• educational platform • homemade lunches
• online presence with
special promotions
• kids can learn to eat
healthy

36
Perceptual Map (+) Healthy

FitPak

(-) Convenient (+) Convenient

(-) Healthy

37
BRAND MODEL
CURRENT POSITION
“The Bottom of the Food Chain”
Parents aren’t crazy about giving their
kids lunchables because current prod-
ucts lack nutritional value. Most lunch-
ables are filled with preservatives and
unhealthy choices, like cheese and
crackers with white flour. People choose
lunchables because of convenience fac-
tors, but eating them is like picking at the
bottom of the food chain: it’s unsatisfy-
ing, unsettling, and unhealthy.
DESIRED RESPONSE
“The Strongest Link”
FitPak is a one-of-a-kind healthy lunch-
able for my child. It’s convenient, easy to
pack, and most importantly, it gives my
kid the nutrients he/she needs to be his/
her best at school, sports, and play. Fit-
Pak is the strongest link between my kids
health and satisfying lunch options.
38
CONCEPTUAL TARGET
“Mom’s Who Care.”
These moms have more than two kids.
It is hard for them to create lunches be-
cause they are running around trying to
make sure that their kids are awake and
dressed well, their hair is combed, teeth
brushed, and they need to have eaten
breakfast. Even breakfast isn’t healthy,
it consists of sugary cereals or breakfast
items like toaster strudels, breakfast
hot pockets or pop tarts. It sucks but its
fast and the kids can eat it as they are
being shuttled to school in their Chevy
Suburban.
She drops them off at school be-
fore she heads off to work. She hopes
that they will have something healthy
for lunch but knows deep down that
they will probably be eating extremely
greasy foods that will end up making her
kids tired during class. She has a nanny
pick them up from school because she
doesn’t get home until later. When she
does come home she spends her time
making a healthy dinner, there is one
meal she can control.
These moms work hard because they
want to give their kids more opportuni-
ties for success. The moms didn’t grow
up with much and want to give their kids
the biggest advantage they can. They are
more educated in healthy eating than
the previous generation but it is still
hard to implement such practices. They
are trying to break the unhealthy eating
cycle but sometimes it isn’t convenient
enough.
CORE DESIRE
“Give ‘em Something Better.”
The target market desires something
that is healthy and not expensive. Some-
thing that they can trust will provide the
nutrition their kids need without mak-
ing a big dent in the wallet. They also
want a lunch that will appeal to their SELLING IDEA
children’s taste buds and appeals to the FitPak gets me ready to play.
children’s sight. (The meal and package
cannot look boring.)
ROLE OF THE BRAND
“My Daily Nutrition Anchor.”
We will provide a healthy, affordable,
and appealing meal to children whose
parents do not have enough time, or
nutritional education, to provide a well
balanced, home-packed lunch for their
kids.
COMPELLING TRUTH
“My Eat-Good-feel-Good Option.”
FitPak is an affordable meal that gives
children the nutrients they need to
function well in their activities. No more
sleepy afternoons, no more tummy
aches, and no more risk of poor health.
FitPak will help kids eat good so that
they can feel good about life, their body,
and the many activities in a child’s life.

39
40
FitPak is the perfect compact lunch for
your child. Not only does it contain the
most convenient packaging, but it also
has the healthiest food options for your
child.
POSSIBLE MENU ITEMS
OPTION ONE
• Chicken salad in 6-8” wheat pita
pocket
• 1/2 cup applesauce
• 1 package of fruit snacks
• 1 box apple juice
OPTION TWO
• Turkey, swiss cheese, and light ranch
wrapped in a 9 “ tortilla (wheat or
white)
• ½ cup cut up strawberries
• ⅓ cup trail mix (almonds, peanuts,
raisins, m&m’s, etc)
• 8 oz. fruit V8 juice (tropical orange
flavor)
OPTION THREE
• 12 (reduced fat) wheat thin crackers)
with string cheese
• 8 cherry tomatoes (with or without
ranch?)
• 4 apple slices with 1-2 Tbsp caramel
• 8 oz. raspberry flavored water
OPTION FOUR
• Pasta salad with whole wheat crackers
• 10 baby carrots with 2 Tbsp ranch
dressing
• ½ c. chocolate pudding (sugar free)
• 8 oz. crystal light (wild strawberry
flavor)
41