Posts tagged "brand trust"

Sustainability drives revenue

Sustainability to Drive Brand Preference and Sales Growth

October 6th, 2021 Posted by Brand Activism, brand advocacy, Brand Design, brand messaging, Brand preference, brand strategy, Brand trust, Climatarian, Climate Change, climate culture, consumer behavior, Consumer insight, Emotional relevance, Greenhouse Gas, Higher Purpose, storytelling, Sustainability 0 comments on “Sustainability to Drive Brand Preference and Sales Growth”

Moral imperative motivating action

A cultural transformation underway now in food, beverage and lifestyle categories is having an impact on the path to purchase. Are you ready for it? Consumers are moving away from buying decisions founded entirely on evaluations of “what’s good for me” to also embracing “what’s good for the world around me.”

  • In a recent study conducted by our insight research partner Brand Experience Group, 66% of US consumers are either passionate or concerned about sustainability commitments by brands and retailers. This insight is translating into marketplace behaviors as consumers look for more sustainable solutions at retail.

A form of moral imperative is rising to the surface in how consumers view their purchasing decisions. Increasingly, consumer buying is founded in symbolism and signaling to the outside world not only their own values, but also the sustainability readiness of the brands they prefer.

Conscientious Consumption has arrived. It is a criterion in the hierarchy of meaning consumers assign to brands. People are now voting their values and beliefs at the cash register. They want to align themselves with brands and retailers who are signaling environmental responsibility and standards of performance. Is your brand sustainability ready? Is this embedded in your go-to-market plan?

How brands address this shift on the path to purchase is creating significant questions about brand messaging strategy, as well as aligned on-pack and shelf communication to inform users of sustainability bona fides.

The coming shopping friction

How does the consumer actualize their moral motivation when shopping across multiple brand choices in food, beverage and lifestyle categories? How can they assess the sustainability readiness of Brand X vs. Brand Y? Consumer sentiment is once again tracking ahead of the current marketplace reality. Brands and retailers that step in to help guide shoppers on environmental standards will reap the benefits of added relevance multiplied by surprise and delight.

  • For food retailers much as the “international” aisles became a shopping destination point years ago, can there be a health, wellness and sustainability section that features brands with an environmentally-responsible story to tell?

If brands don’t step up to acknowledge this change and improve communication based on these insights, it becomes near impossible to translate sustainability investments into tangible balance sheet outcomes. For those who do, the rewards may be great!

  • The formula for sustainability success is science and metrics-based environmental and climate mitigation analysis of your operations and supply chain, served alongside clear established metrics for change and improvement. This performance is then multiplied exponentially by a strong, creative communications platform to tell that story to the right audience. Awareness of this narrative drives purchase.

Feeding the primacy of emotional outreach

Product feature and benefit selling has been the hallmark of CPG communications for decades. The emergence of these new societal and moral imperative considerations on the path to purchase recommends a more culture-forward brand messaging strategy. “What’s good for the world around us” is, by definition, an emotional construct.

In a recent Marketing Dive interview, Matt Kleinschmit, founder and CEO of insights research company Reach3 said, “Brand loyalty is really something that is, in fast-moving consumer goods, more of an aspiration than a reality. As a result, modern marketers in the CPG world have latched on to this idea of trying to establish emotional connections with consumers. If there’s an emotional connection, that will often trump functional benefits,” he reports. “Brands that can execute that in a smart way are winning.”

Smart in this case is recognizing the importance consumers are already placing on sustainability and environmental performance. From there brands can work through investments, policies and actions to demonstrate in credible ways how that readiness manifests in the products on offer. When higher purpose and mission intersect fully with product outreach strategies a form of engagement magic can occur. Now the motivation to buy takes on deeper meaning and added importance that transcends any existing parity (similarity) on price and formulation.

Is a trust mark needed?

Is it time to begin thinking about the development of a trust mark that employs credible independent third-party analysis to validate sustainability readiness? A mark could serve as a visual piece of retail shelf-friendly evidence that a brand is a better choice based on its verified sustainability bona fides.

Emergent is examining this idea in greater detail and will report back to our readers on potential solutions. The objective: create an anchor for trustworthy choice and credible reassurance that the fox isn’t guarding the hen house on the veracity of sustainability claims.

Stay tuned.

Closing the loop to digital marketing and activating purchase in the moment

Walmart recently announced a major partnership with Meredith, publishers of media brands like Better Homes & Gardens, Eating Well, Parents and Real Simple. The new AI driven integrated marketing platform they jointly create will feature “shoppable” content in the first-ever ‘Bookazine’ to feature embedded ecommerce links. The content will allow consumers to purchase directly from the delivered stories and recommended meal experiences.

  • Imagine how this could evolve in stories related to climate readiness, sustainability issues and developments around standards of performance that promise new metrics-based mitigation targets. Consumers could execute a purchase right then and there at the “point of thought and realization.” The high emotional index coupled to commerce-in-the-moment is a truly powerful idea.

Media partnerships connected to shoppable content can open an entirely new window of brand relevance on top of a value proposition built around deeper meaning. This is exciting! The created content becomes actionable, fully closing the loop from awareness to sale authored by the most worthy of buying motivations. Wow.

Matching sustainability readiness to business performance

If you understand the powerful paradigm of sustainability as a concern among your customer base, now is the time to optimize this development on the path to purchase with emotional messaging and digital shoppable content.

Use this link to ask questions and explore this concept further with our Brand Sustainability Solutions team.

Looking for more food for thought? Subscribe to the Emerging Trends Report.

Bob Wheatley is the CEO of Chicago-based Emergent, The Healthy Living Agency. Traditional brand marketing often sidesteps more human qualities that can help consumers form an emotional bond. Yet brands yearn for authentic engagement, trust and a lasting relationship with their customers. Emergent helps brands erase ineffective self-promotion and replace it with clarity, honesty and deeper meaning in their customer relationships and communication. For more information, contact [email protected] and follow on Twitter @BobWheatley.

The return of brand investment

After a Decade of Decline, Brand Investment is Back

September 18th, 2021 Posted by Agency Services, Brand Design, brand marketing, brand messaging, brand strategy, Brand trust, Consumer insight, Differentiation, Emotional relevance, engagement, Marketing Strategy, storytelling, Strategic Planning 0 comments on “After a Decade of Decline, Brand Investment is Back”

Consumers are human beings, not data points

As part of our ongoing series devoted to strategic planning guidance, we bring a mission critical recommendation on where to place your planning emphasis for 2022:

Brand building has returned to the fulcrum of marketing and business strategy leadership. After a decade of holding all the cards as a budget and plan priority, digital performance marketing has lost a bit of its luster. Customer acquisition costs are on the rise. There’s also a companion decline in the supply of digital ad inventory.

The creative deployment of your brand as ultimate differentiator and emotional connector should return to the strategic planning front burner.

Rethinking the path to business growth

  • Brand building: securing your position, uniqueness, values, mission and emotional equity.
  • Performance spending: driving the conversion funnel and revenue metrics.

These two approaches are not necessarily fighting one another. Both can enhance the outcomes of the other. Consumers, however, are the deciders. Their behaviors inevitably tipped the scale in favor of enhanced brand building. Now over-saturated and swimming in an ocean of digital content, people have evolved looking for deeper meaning and values in the brand relationships they care about. Digital native brands like Allbirds and Warby Parker saw this coming and pivoted to focus on brick-and-mortar retail so they can create richer in-person experiences with their brands.

Brands have always been valuable – but in recent years lost their priority in the marketing plan to the ease and electronic allure of digital data ROI claims. The untold part of this story: tech platforms usurped the essential role of brand building investment, ushering in another consequence: the splintering of agency partner resources. A thousand platform specializations emerged as companies looked for the next shiny new tech Saas solution that promised glorious, algorithm and data-driven performance.

Thus, marketers also found themselves managing a disparate cadre of specialists du jour – a digital ad firm, digital media vendor, a social media agency, a PR agency, an influencer agency, a brand collaboration firm, et al. What’s the net result of all these different tactical players and layers? A soup of varying voices and fragmented messaging that increasingly sounds like a confederation of a thing, and a thing, and a thing – opposed to a unified, consistent and differentiated brand.

Time to think differently!

The transition to brand investment is being helped along by Apple’s no tracking opt-out privacy move and Google’s coming shutdown of cookies that suspends individual tracking in favor of a cohort-based system (shared tastes).

These modifications to digital stalking of user behavior are ultimately a good thing for the health and growth of your business, and here’s why: it’s time to reinvest in your brand, the single most important ownable and differentiating asset you have in an otherwise vast sea of equivalency and similarity.

  • Marketers are learning the absence of real strategic investment in developing brand distinction and deeper experience is now holding them back from optimal growth results and competitive advantage.

Why?

Brands are uniqueness generators, deeper meaning vessels and trust-creating reservoirs of mission and values. You are operating in a consumer world increasingly drawn to aligned, kindred and symbol-inspired relationships – more so than transactional, follow-me-around-the-web ‘buy me now’ offers.

What dampened the primacy of brand building in the first place?

A digitally-enabled explosion of performance marketing tools pushed communications and content to a tactical model founded on conversions and revenue metrics. See you later, brand building. Hello targeting, tracking and clicks.

The great promise of infinite ROI on digital ad spending with Facebook and Google spawned a proliferation of specialist ad tech firms all looking for their piece of the eyeball pie – retargeting, digital media buying, affiliate programs –all while brand support took a raincheck.

Furthermore, the marketplace bar for entry of new brands became so incredibly low, it fomented a tsunami of digital ad content that is piling up in consumer feeds – all clamoring for a sliver of limited time and attention. Very noisy. Transactional. Less engaging and lacking lifestyle relevance.

Guidance for your brand strategy planning effort

As a general rule radical differentiation, higher purpose and emotional connection are the three legs on which to center your strategic plan.

  • Differentiation is essential to separation and standing out – consumers will notice you
  • Higher purpose imbues your brand with deeper meaning and values – how they trust you
  • Emotion is at the center of what drives consumers to act, make decisions – humans are feeling creatures who think

The goal of your planning is to optimize strategy for greatest impact. To enhance equity and the values your brand exudes. To create attraction, allure and stickiness. To win hearts because it’s always heart-over-head.

Here are four areas of focus that will help you win with a stronger brand:

  1. Aligned values

Insight research continues to reinforce that consumers’ care deeply about shared values and mission. They want to know what you believe in, what you stand for, that you have a soul which transcends commerce. They “wear” your brand as a symbol and flag to the world around them about what they value. What meaning are you giving them, and is it aligned with their beliefs

2. Experience satisfaction

Are they happy with the product-use experience, with the purchase journey, are you easy to do business with, do you put them first in ways that are both unselfish and also obvious to them? Do they learn from you? Is your brand a guide, coach and enabler of activities, experiences that matter to them? You are providing more than a product.

3. Memorable messaging

How do you stand out and engage people? The consumer is the hero of your brand story – it should be about their needs, wants and aspirations. Your brand’s role in the relationship is as guide and advisor to help them achieve their goals and ambitions. Neuroscience tells us that 98% of actions taken by consumers comes from an emotional response, not an analytical one. Is your communication informed by emotional messaging.

4. Your brand’s share of culture

What is the social conversation about your brand? What people are seeing and hearing about your brand in the micro-communities of influence that they belong to? It is critical to the ecosytem “buzz” they encounter. People respect the voices of their peers and credible experts. For the very reason that nearly 100% of the time the primary motivation in deciding what to buy is their fear of making a bad decision. You need to build a sphere of trust.

If these ideas and concepts resonate with you, now is a good time to bring some fresh thinking and perspective to investing in your brand. Use this link to tell us what concerns you have, what keeps you up at night. We can help you map the right path to brand growth, which is linked directly to your business outcomes.

Looking for more food for thought? Subscribe to the Emerging Trends Report.

Bob Wheatley is the CEO of Chicago-based Emergent, The Healthy Living Agency. Traditional brand marketing often sidesteps more human qualities that can help consumers form an emotional bond. Yet brands yearn for authentic engagement, trust and a lasting relationship with their customers. Emergent helps brands erase ineffective self-promotion and replace it with clarity, honesty and deeper meaning in their customer relationships and communication. For more information, contact [email protected] and follow on Twitter @BobWheatley.

Planning for consumer behavior relevance

8 Vital Steps to Successful Marketing Planning

September 13th, 2021 Posted by brand marketing, brand strategy, Brand trust, consumer behavior, Consumer insight, Content Marketing, Differentiation, Digital marketing, Emotional relevance, Higher Purpose, Influencers, Marketing Strategy, storytelling, Strategic Planning 0 comments on “8 Vital Steps to Successful Marketing Planning”

How to amplify your 2022 marketing outcomes…

We’re in the thick of strategic planning season as food, beverage and lifestyle brands and retailers finalize their go-to-market strategies for the year ahead.

  • How do you ensure your plans will deliver the most benefit for every precious dollar invested?
  • What are the optimal elements in a marketing plan that will secure consumer and trade partner engagement?
  • What are the must-have components to deliver on your business objectives?

Here we examine the eight key elements of a marketing plan that removes risk and installs trust – a must-have on the road to business success no matter what stakeholder audience you are working to influence.

  1. Business objectives assessed alongside barriers to growth

Far too many marketing plans begin with declarations of business targets served up in a manner that implies it’s simply a matter of turning on the advertising faucet to deliver on the intended outcomes. A richer and more productive internal discussion will occur if the objectives are included alongside an honest, real-world assessment of the barriers that exist to delivering them.

Mind you, there are always barriers. No one goes to market in a vacuum free of systemic challenges and threats to success. It is in this act of realism and reflection that the executive team has a useful discussion on what must be overcome in order to win in the year ahead. This works to remove what we characterize as “hope-ium” from the plan discussion and gets everyone focused on contributing to ways of mitigating or navigating around the threats.

2. Competitive analysis with a unique purpose

Intentional or not, in many categories there is a fair amount of sameness that exists among brands matching competitor moves with comparable programs, product offerings and messages. If a brand is set up from the start for radical differentiation, then the chances of stepping into the similarity trap can be averted. Resemblance is an ongoing challenge in marketing. When communications is close enough that brands could literally interchange competitor names and the key message still works, you know a problem exists.

Instead, competitive analysis should be focused on looking for unmet needs and whitespace opportunities to zig when everyone else in the segment zags. Your goal is to be different. (No, really, really different.) And in doing so, stand out in a sea of category sameness.

3. Importance of consumer anthropology

Perhaps the most important element of all in marketing planning is the right kind of research to help inform strategy. This isn’t about data crunching around demographics of shopper populations. Relevance and resonance are everything to dialing in your communications plan for optimum impact. This simply can’t be done without the kind of insight research that truly peels the onion on your best users’ lifestyle concerns, passions, interests and desires. Users are humans not data points. You will get further by imbuing your brand with deeper meaning that reflects the values and beliefs of your heaviest users. To know them, literally, is to love them.

These cohorts are often the most important to your profit plan as they usually represent those who bring the highest volume and repeat purchase behaviors. The role of your brand is as coach, guide, educator and enabler on their lifestyle journey. You can’t do that without gaining insight into how they think, behave and what they care about. This is different than pushing analytical, fact-based messaging at them on formulation or technology specs. It’s always heart-over-head. All humans are emotional creatures who think and not the other way around.

4. The ‘culture shift’ imperative

Trends are far more important than ever before to influencing consumer preferences. Media influences the crowd and where the crowd of like-minded users goes will simply attract more and more ‘followers’ (this means the social conversation that’s going on matters to your strategic game plan). Right now, sustainability could not be more important as a culture change signal.

A large swath of the consuming public is enamored with sustainability behaviors, policies and standards created by brands to help mitigate their impact on carbon contributions and the environment. It is imperative that food brands with a heavy investment in meat ingredients take this into consideration. Just be careful not to invoke sustainability as a priority ahead of having the right science-based assessments of your carbon footprint. You want to avoid falling into the greenwashing trap. Sustainability is now associated with climate impacts.

5. Brand higher purpose discovery and refinement

Purpose-built branding is not a nice to have any longer. It is a vital construct that sits underneath your organization as a true north of why the company exists. Important to note, purpose is always built around a real human-relevant insight and not a corporate axiom like increasing shareholder returns. It has nothing to do with philanthropy and cause marketing. It has everything to do with a purpose that transcends the product offering and is married to how you improve your customers’ lives and the world around you.

More often than not, we find this key strategy that informs everything the company and brand stands for is under-nourished or treated as a cause-related project. The key questions to address:

  • Why are you in business (this isn’t just about business growth)?
  • How do you deliver on your why?
  • What business are you really in based on your why?

A Higher Purpose platform should be embedded in everything you do across the organization.

6. Evaluating spheres of influence

The internet has fractured the consumer world into micro-communities of shared interests and passions. It is in these communities where people filter, find and decide what to buy. There are influencers within these communities who are important to discovery and trial, to establishing the definitions of what is better and why.

The marketing plan should include an evaluation of these micro-communities and the leading voices within them. Here your brand should engage as a contributor to the conversation. Relationships should be built with the leading voices, not to co-opt them but gain their trust.

7. Assessment of outside third-party expert voices and contributors

Trust is harder than ever to achieve. 99.9999 percent of the time consumers are operating with one goal in mind – to avoid making a bad decision. Brands should engage the voices of outside experts and credible authorities to verify and validate what you want consumers to believe about your brand, business and Higher Purpose. These voices can add a layer of credibility to your content marketing plans and pull in a note of clout to key messages you wish to convey.

How these relationships are created and deployed is key. Be careful not to position these voices as brand promoters who come across like paid shills. They are there to validate, to deliver authentic “reports” on what you are doing. Trusted voices are essential to building belief, and trust is fundamental to your success.

8. A word about KPI’s

These days it’s standard fare to embed your evaluations with digital data given its availability across all of the social and content platforms where you deploy communications. Levels of perceived engagement are relatively easy to come by based on online behaviors. People, however, can also be fickle and unpredictable.

Creating a baseline of consumer insight research is invaluable not only to better understand what makes your users tick, but also to go back in later and assess changes in attitudes and behaviors over time.

These evaluations carry more horsepower because they dig into shifts in priorities, interests and activity on the path to purchase and whether or not your key messaging is getting traction.

All of this great work feeds creativity and informs strategy. It can lead your business to leaps in share. New users will enter the fold because your brand truly stands out for all the right reasons in a category where many players tend to blend together.

Looking for more food for thought? Subscribe to the Emerging Trends Report.

Bob Wheatley is the CEO of Chicago-based Emergent, The Healthy Living Agency. Traditional brand marketing often sidesteps more human qualities that can help consumers form an emotional bond. Yet brands yearn for authentic engagement, trust and a lasting relationship with their customers. Emergent helps brands erase ineffective self-promotion and replace it with clarity, honesty and deeper meaning in their customer relationships and communication. For more information, contact [email protected] and follow on Twitter @BobWheatley.

Principles of Brand Higher Purpose

What Marketers Keep Missing about Higher Purpose

August 24th, 2021 Posted by brand marketing, brand messaging, brand strategy, Brand trust, Customer Experience, Customer Journey Map, Higher Purpose, storytelling, Transformation, Validation 0 comments on “What Marketers Keep Missing about Higher Purpose”

Why are brands getting it wrong more often than right?

Brand Higher Purpose is a vital strategic concept that will inform the success of modern relevant and growing businesses. Surprisingly, we discover it is frequently misappropriated or left unattended. Why? Brands can be held captive by strategies handcuffed to transactional thinking that intentionally or not, views consumers as merely walking wallets. This, however, occurs at a time when brand trust is at an all-time low. Facts are, the dynamic of how consumers relate to brands has moved on to a more enlightened relationship-based approach founded on reciprocity and mutual self-interest. Yet many brands are still operating on CPG marketing principles that are 30 years old.

What is Higher Purpose exactly and how do you deploy it to build your brand and business? We unpack the DNA of Higher Purpose best practices here.

The Foundation of Higher Purpose

Cultural changes are among the most important bellwether conditions brands must constantly study to remain vital and resonant to users. It’s why the Emerging Trends Report exists. Yet this important cultural sea change impacting food, beverage, lifestyle and related retail categories has languished in a backwater of misinterpretation. While Higher Purpose is a priority marketing asset, it is an all-too frequently underleveraged strategy.

The current era of purpose-built branding was presaged in a 2017 landmark study on food and beverage purchase behaviors authored by Deloitte Consulting and the Food Marketing Institute (rebranded now as Food Industry Association). Their report quantified and qualified what Emergent was already reporting: a seismic shift in consumer preferences and behaviors on the path to purchase. For decades, taste, price and convenience were the dominant consumer purchase motivators for food and beverage brands. This condition helped perpetuate the magnetic hold of large cap legacy brands that were inherently terrific at consistency and mass media awareness-building over time.

As issues and values began to hold sway over consumer preferences, we saw these new attributes surpass the historic patterns of buying motivation. The Deloitte/FMI study revealed that transparency, health and wellness, food safety, sustainability and visibility to the supply chain were eclipsing the traditional taste/price/convenience model on the path to purchase.

When issues, values and beliefs are as important, if not more so, than the product performance itself, what does that tell you? A cultural change has taken root and with it the advancement of purpose-built branding now supported with actionable consumer insight data. Yet still this strategic construct remains frustratingly anemic – rather than executed with skill and authenticity.

When brand purpose is defined as an unselfish, human-relevant purpose, great things can happen!

Higher Purpose is different than the transactional model that has dominated CPG and retail marketing plans for decades. It presents us with a more human-like path to brand building founded on reciprocity and contributing to the growth, welfare and quality of life of the people brands exist to serve.

To gain context, let’s first describe what Brand Higher Purpose is NOT:

  • Philanthropy or “cause” marketing
  • Another word for ESG commitments
  • A mission statement
  • A brand positioning
  • A campaign tagline or theme
  • Code for better PR strategies
  • Issues management

Brand Higher Purpose is founded in deep consumer insights about the lifestyle needs, aspirations and concerns that govern the lives of a brand’s best users. It is in this understanding that brand Purpose can be authentically defined and brought to life.

Two key issues to examine:

  • Your users want more from you than your good product. Are you prepared to give them the ‘more’ they seek and add deeper meaning to what your business stands for, does and works to accomplish for your users’ greater good?
  • If your brand value proposition is linked to your best users’ beliefs and values, and in the spirit of reciprocity – how would that impact your business operations and behaviors?

The three primary components of Higher Purpose creation:

  • Why your company exists, in the context of insight to your core users’ beliefs, values and aspirations.
  • How your company delivers on its why (purpose) through tools and strategies designed to bring your purpose to life.
  • What business are you really in based on your purpose, and how does that impact your operations, policies, standards, in-market behaviors and marketing?

Imagine the food retailer that determines it is in business to fully support the health, wellbeing and culinary creativity of its core shoppers. What tools and strategies would it deploy to bring this to life in education, product assortment and in-store communication and experiences?

Knowing this, what business is the retailer really in – knowing that the customer relationship is deeper than merely selling at velocity bags, cans and boxes off shelves?

Think of the impact this has on brand voice and meaning. What happens when the brand’s values and beliefs fully align with what consumers care about and aspire to become? What happens when a pet food brand determines it is in the pet lifestyle enablement business rather than selling high quality kibble and canned meals? It opens an entirely new conversation with consumers based on brand as partner, coach and guide on their pet parenting journey.

This is where relevance and resonance lives!

If you want to have a deeper relationship with your consumers, then imbue your brand with deeper meaning. To do this successfully the consumer must be at the center of strategic planning. Your goal is to define how the brand facilitates your consumers’ lifestyle needs and concerns.

Dove brands’ higher purpose revolves around supporting the self-esteem goals of its user base. Notice how this issue sits adjacent to but distinctly apart from the product attributes and benefits.

It’s always going to be a real, authentic, human-relevant purpose that sits above commerce!

Brand Sustainability Analysis

Emergent created a proprietary planning tool for helping clients determine the right higher purpose strategy based on brand history, strengths, consumer base, business operations and current marketing strategies.

We use this tool to define Higher Purpose for a brand and then how it will influence literally every aspect of how a company operates, creates products, innovates, treats it employees and goes to market.

If you want to learn more about the path to Higher Purpose, download a complimentary copy of our Brand Higher Purpose overview that summarizes the insights and strategies for a stronger, better and more effective brand marketing platform.

Looking for more food for thought? Subscribe to the Emerging Trends Report.

Bob Wheatley is the CEO of Chicago-based Emergent, The Healthy Living Agency. Traditional brand marketing often sidesteps more human qualities that can help consumers form an emotional bond. Yet brands yearn for authentic engagement, trust and a lasting relationship with their customers. Emergent helps brands erase ineffective self-promotion and replace it with clarity, honesty and deeper meaning in their customer relationships and communication. For more information, contact [email protected] and follow on Twitter @BobWheatley.

Alt. proteins with stronger sustainability message

Food System Report Reveals Hidden Environmental Impact

July 26th, 2021 Posted by Brand Activism, brand advocacy, brand messaging, brand strategy, Brand trust, Carbon footprint, Climatarian, Climate Change, climate culture, Consumer insight, Greenhouse Gas, Greenwashing, Sustainability 0 comments on “Food System Report Reveals Hidden Environmental Impact”

Costs of climate threat are growing

A new study released by the Rockefeller Foundation reports $900 billion annually in added costs to the U.S. food system from agriculture derived greenhouse gas (GHG) and biodiversity losses as a result of land use transformation, animal grazing impacts and nitrogen pollution.

  • One major source of environmental impact is the 10 billion farm animals we harvest each year for food and the related damage from methane, water depletion and soil erosion from crops raised to feed livestock.

The U.S. has the most affordable, abundant food supply on earth requiring only about 5% of disposable income from families. According to the Rockefeller report, Americans spend approximately $1.1 trillion on food each year. However, that figure doesn’t take into account the unintended consequences of a food system that in many respects works against planet health and also the wellbeing of people when you consider the accelerated growth rates in obesity, diabetes and heart disease.

Time for a reality check as we talk about the future of food

Our current food system is designed to deliver three things consistently:

  • Volume of food
  • Safety from food-borne illnesses
  • Inexpensive calories

However, we need a food system that is also aligned to help protect the environment and support human health.

An encouraging promise about the future of food is now emerging as vast sums of investment capital race to support the development of new food technologies. From 2015 to 2020 more than $4 billion has been invested in alt. protein technologies. These new food solutions may help reduce climate threat while offering a healthier nutritional profile for cleaner proteins in center-of-plate dishes.

How we eat, what we eat and where food comes is changing

Advancements in bioengineering have authored a tsunami of new food tech businesses pioneering ways to create foods that are not dependent on legacy ingredient supply chains. What’s coming is more food made from cultures, microbes and fermentation technologies.

Will consumers suddenly stop eating animal meat? Not likely. That said will substantial transfers of market share move to these new products not linked to a cow, lamb, pig or chicken? Highly likely; assuming the eating experience and taste hit the mark as an analog to the conventional version. Equally so for non-fish seafood.

Plant-based offers a hint at the transformation

According to Statista, total sales of plant-based meat and dairy products in 2020 reached an astounding $7 billion; of which ‘dairy-free dairy’ led the pack at $2.5 billion in sales of soy, almond, pea, rice and oat milks. An entire generation of milk users is growing up with a different definition of what milk is and how it tastes.

Plant-based meat, the fastest growing segment, hit stride at $1.4 billion in sales volume. That’s a whopping 45.3% jump over 2019 sales results. With new plant-based chicken nugget brands now simultaneously launching in food service channels, the likelihood of more trial and retail movement for non-meat meats is nearly a foregone conclusion. Equally impressive is the surge in plant-based cheese products, up 42.5% over 2019 to $270 million in sales.

  • The plant-based meat takeover has been quick. The trends suggest a potentially rapid uptake on the proposition for foods perceived to be healthier (less saturated fat than animal meat) and less taxing on the environment.

Industrial agriculture and meat production produce 24% of total greenhouse gases, the second leading contributor to climate threat behind fossil fuels. Meat production alone accounts for 65%of the world’s nitrous oxide, a gas with a global-warming impact 296 times greater per pound than carbon dioxide. What’s more, total emissions from agriculture are forecasted to increase 80% by 2050due to a significant growth in demand for meat and dairy products.

The development of new food solutions is really a higher-stakes proposition. Climate friendlier food tech may indeed help tamp down the surge in global warming that spawns wildfires, droughts, superstorms and other weather anomalies.  An unprecedented 115-degree heat wave in the Pacific Northwest came dangerously close to upending the regions’ agricultural eco-system.

Eating our way into climate chaos?

What happens when consumers begin to see there’s a relationship between food choices and climate impacts? Consumer attitudes and behaviors have shifted in recent years to focus on issues and more values-based considerations. Purchase behavior has already swung from a historic focus on taste, price and convenience to new concerns about transparency and visibility to the supply chain alongside the number one consumer issue, health and wellness.

The food industry will be obligated to pay attention to these transformational changes and look more fully at climate readiness, sustainability policies and commitments.

Questions food and beverage companies must address:

  • What is the true carbon footprint of products, taking into consideration all aspects of supply chain and manufacturing?
  • How does this trickle down to hidden costs in bio-diversity impacts such as land use disruption, over-consumption of water resources (it takes 1,500 gallons of water to produce one 16 oz. steak) and harmful farming practices that destroy the ability of cropland to sequester carbon in the soil.
  • How will companies verify and validate their sustainability policies and commitments in a transparent and trustworthy way?
  • What aspects of sustainability performance and outcomes do core customers care about the most?
  • How should sustainability bona fides best be conveyed to a company’s key audiences and stakeholders?

For our part, Emergent sees a food culture transformation on the horizon that will change what consumers believe about where food should come from, how it is made and what they should buy.

To help companies better assess and explore the right path to sustainable practices and climate readiness, we have created the Brand Sustainability Solution report as a guide to the key issues and direction on strategies to solve.

You can download your complimentary copy here.

To secure a snapshot of where your climate sustainability readiness stands today, take the five-minute free Brand Sustainability Readiness survey here.

Looking for more food for thought? Subscribe to the Emerging Trends Report.

Bob Wheatley is the CEO of Chicago-based Emergent, The Healthy Living Agency. Traditional brand marketing often sidesteps more human qualities that can help consumers form an emotional bond. Yet brands yearn for authentic engagement, trust and a lasting relationship with their customers. Emergent helps brands erase ineffective self-promotion and replace it with clarity, honesty and deeper meaning in their customer relationships and communication. For more information, contact [email protected] and follow on Twitter @BobWheatley.

Honesty about what's on offer is vital to trust

Nothing is More Important to Brand Trust Than Honesty, Integrity

July 15th, 2021 Posted by brand messaging, Brand trust, Insight, media relations, Navigation, Public Relations, Transparency, Validation 0 comments on “Nothing is More Important to Brand Trust Than Honesty, Integrity”

Your brand value lives in equal proportion to its transparency

Sadly, we report today that a beloved brand in the meat industry, Belcampo is mired in scandal over a shocking revelation that this paragon of sustainably-raised livestock finds itself caught in a web of deceit now exposed for all to see.

Belcampo was in many respects a beautifully, artfully created story of ethics, values and transparency that promised a better way to raise beef, wrapped in an aura of authenticity and deeper meaning. Emergent, so enamored with the brand virtues we saw unfold, reached out a number of times a few years ago to express our interest in helping build their brand. To no avail, but we retained such deep respect for how the vertical integration of their farm-to-door story was assembled with such skill and emotional resonance.

Now a whistle-bearing employee in Belcampo’s Santa Monica, CA retail store has blown the doors open to reveal in a see-it-with-your-own-eyes Instagram video that Belcampo had been deceiving customers. They were selling beef supplied by general meat counter quality distributors that was not organic, not grass-fed, and importantly not sourced from Belcampo’s ranch near Mt. Shasta. The employee states his apology for having lied to customers for two and a half years so he could keep his job.

Belcampo’s high prices reflects its origin story and so the deception was not only of product quality but overcharging for same. The video, complete with scanning labeled cases in the meat locker was unshakeable in its revelation. The company’s response was an amalgam of middling apology, claims of ignorance, attempts to minimize, and then downplay what is a fracture in the brand reputation.

Belcampo would be well-advised to end the spin and instead lean into 100% transparency no matter how painful that might be.

Honesty and Integrity are Immutable Laws

What do we have in our hands at the end of the day but trust granted by people who believe what brands say, and who endeavor to make decisions on the veracity of the brand’s stated claims. Brand trust has been in decline for decades and it is incidents like this that serve to reinforce the “I told you so” of why consumers find it difficult to accept the assertions of commitment or values proffered by businesses.

When profit and self-interest overtake the priority to operate in service of the customer’s welfare and wellbeing, brand reputations can be squandered. All of the years of story and build on a masterful idea at Belcampo, impugned in a most surgical way by someone looking to end the guilt.

Now is the time to renew our vows, to recalibrate and reconsider the respectfulness we grant to hold consumer relationships dear. All of us, all brands live in glass houses. Anything that can be known, will be known. Thus the immutable laws of how brands operate should be held steadfast even when the P&L is on fire during times of trouble such as the Pandemic.

For commodities like meat or fish or anything else sold fresh, this is especially true. Trust is held by the seller to convey that what is on offer is genuine. Of course, the higher the pedestal on which a brand sits, the steeper the fall should the rules of truthful engagement be violated.

The concept of enforced trust – Blockchain

For years now we’ve been reporting periodically on Blockchain technology as an enormous opportunity for brands to author a new chapter in brand trust, forever changing the path to market from farm to fork.

Blockchain’s great promise is an algorithm-based system that through the use of sensors and monitors and digital ledgers can authenticate every claim made by a brand back to the ranch or soil. It irrevocably marks the details of what a product is, how it is raised or farmed, when it was harvested, what happened during processing and transport – all the way to the store or restaurant.

The beauty of this technology is it cannot be manipulated by people along the path. Instead, it serves as a form of enforced trust that guarantees the truth from beginning to end sale. Imagine what it would be like to tell a story like that. For the retailer or restaurant, you know confidently what happened on the path from farm to back door on handling, temperatures and length of time. If it’s grass fed and grass finished Angus beef, you will know it with certainty.

We hope this technology will someday be widely adopted. As marketers we can see the powerful stories that can be created around it that will change the relationship consumers have with brands. It is inspiring in many ways. If we were advising Belcampo, it would be to get the Blockchain team in as soon as possible.

We can only hope.

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Bob Wheatley is the CEO of Chicago-based Emergent, The Healthy Living Agency. Traditional brand marketing often sidesteps more human qualities that can help consumers form an emotional bond. Yet brands yearn for authentic engagement, trust and a lasting relationship with their customers. Emergent helps brands erase ineffective self-promotion and replace it with clarity, honesty and deeper meaning in their customer relationships and communication. For more information, contact [email protected] and follow on Twitter @BobWheatley.

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