Understanding the Critical Needs of Today's Modern ...

[Pages:4]UNDERSTANDINGTHE CRITICAL NEEDS OF TODAY'S MODERN CONSUMER TOCREATE INNOVATIVE PRODUCTS AND PACKAGING

Q&A with Craig Stephen Slavtcheff Global VicePresident - R&D, Snacksand International,

Campbell Soup Company

Today's consumer is more likely to snack throughout the day rather than eat three set meals. They value low-prep, buy-on-the-go products and demand new retail and vending formats that meet their wellness agenda of freshness, nutrition, and sustainability. Snacking companies are therefore spending more on product and packaging innovation to bring their brands to life and appeal to these consumers.

In addition to overseeing Campbell?s R& D for soup, sauce and beverages in its international markets, Craig Stephen Slavtcheff leads research and development for some of the world's best-known snack brands, including Pepperidge Farm, Arnott?s, Royal Dansk, Kjeldsens, Snyder-Lance, Kettle Brand and Cape Cod, among others.

To better understand what's on the horizon in the snack market, we spoke with Slavtcheff about the critical needs of today's modern consumer, packaging and product innovation, and how to improve the shopping experience.

OVERVIEW

- How are you restructuring your product portfolio to meet consumer demands?

- How can packaging formats assist in transforming the consumer experience?

- How does a large organization, like Campbell, rapidly turn customer input int o product innovat ion?

- What technology or supply chain barriers exist in translating consumer wants and needs into products that can be commercialized?

- In what ways is Campbell incorporating digital and e-commerce trends into its product and packaging innovation strategy?

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Gen er is Gr ou p | Speaker Spotlight

What key trends and dr iver s are changing your

customer s' wor l d?

Theimpact and influenceof millennialsiscausing aseismic shift in theconsumer world. First, they aretheoriginal digital natives. They grew up in aworld wherethey are connected to information and commerceanytime, anywhere. Thishyper-connectivity hashad asignificant impact on their brand preferencesand shopping patterns. However, of critical importanceto Campbell, today?s millennialshavedifferent viewson health and well-being. They exercisemoreand eat smarter than previous generations, and they?rewilling to pay for itemsthat help them achievetheir health goals, including food and snacks.

How are you restr uctur ing your product por tfol io to

meet consumer demands?

At Campbell, portfolio and innovation decisionsareguided by two key consumer demand areas: Real Food and Health & Well-being. Our Real Food design criteriainstruct all of our design efforts, whether it isfor arenovation of an existing product, or innovation, using ingredientsthat are both recognizableand desirable. Secondly, wefocusour innovation designsthrough thelensof delivering against health and well-being credentials. Theseincludeproducts that arepackaged fresh, plant-based, organic and that encouragehealthy, purposeful snacking.

How can packaging for mats assist in tr ansfor ming

the consumer exper ience?

Brands, at their core, areabout consumer intimacy. Today?s consumersaredemanding? they expect brandsto perform according to their promise, to bealigned with their values, and, when abrand isperforming at itsbest, to anticipate

and deliver against their unarticulated needs. Theseare measuresof consumer intimacy, and with most brands, packaging isthefirst point of physical connection with the consumer.

Every packagedesign element needsto work hard to support thebrand and consumer intimacy. Theseelements represent thephysical manifestation of thebrand?sinsight into their consumer. They need to fit, work, deliver, excite and, ultimately, teeup theanticipation of thebrand promise. Food packaging takesthisto another level since thepackageoften deliversfood directly to aconsumer?s mouth. W ith food packaging, trust and engagement with thepersonification of abrand?spackaging isprobably at its peak versusother categories?creating atremendousdesign challenge, especially when you layer on theneed to deliver cost, safety, supply chain suitability and sustainability.

What channel s are used for customer l istening

activities and to spot trends?

In addition to traditional marketing research activities, each year Campbell listensto our consumers. Wetalk with them, shop with them, preparefood and sharemealswith them. Weareobsessed with our consumer connections, and areconstantly listening to and learning from them.

How does a l arge organization, l ike Campbel l ,

r apidly tur n customer input into product and

packaging innovation?

Campbell hasmany proprietary techniquesthat translate insightsinto design criteriafor both food and packaging design. Theseprocessesfeed into adesign brief that clearly articulateshow to deliver against theopportunity.

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Gen er is Gr ou p | Speaker Spotlight

What technology or supply chain bar r ier s exist in

tr ansl ating consumer s wants and needs into

products you can commercial ize?

All food companiesfacesimilar barriers. If you step back and look at thepast 80+ yearsof food and processscience and packaging design in thefood industry, everything was developed to deliver against four basic needsof the consumers: available, affordable, safeand delicious. Let?s unpack availability. Thefirst expansion wasgeographic, sincenot everything growseverywhere. Thesecond expansion wasseasonal, sincenot everything grows year-round. And thelatest expansion isbeing omni-present through channel expansion, including C-store, center storeretail, valuechannel and e-Commerce. During each of theseexpansions, packaging played an enormously important role, and even moreso in thelatest expansion.

How does Campbel l address these bar r ier s?

Campbell investsinternally and with external partnersin technology and resourcesthat enableusto lead in these expansions. For example, wewerethefirst company to bring themicrowavablebowl for soup to themarket.

In what ways is Campbel l Soup Company

incor por ating digital and e-commerce trends into

its product and packaging innovation str ategy?

Both digital and e-Commercefigureprominently into our

R&D strategy, and wehavededicated teamsand resources directed against them. Our e-Commercework isstarting to pay off. For example, Goldfishproductsareconsistently among thetop fivesnackssold on Amazon.

What is the ?Open Innovation? progr am at

Campbel l Soup Company?

Through our Open Innovation process, weinviteexternal partnersto collaboratewith usand openly welcometheir ideas.

It isoneof themany waysweseek to sourceinnovation at Campbell and acceleratethedelivery of meaningful, differentiated solutionsthrough an open marketplaceof ideasand technical solutions. Asin all problem-solving scenarios, thesmarter thepeopleyou haveworking on it, thebetter and faster thesolution. Wetakethisapproach for our innovation solutioning, including an ideation processwherewework and collaboratewith chefs, key technology partnersand suppliers, customersand our consumers.

How does Campbel l Soup Company par tner with

product and packaging suppl ier s to complement

R&D?

Wetaketheword ?partner?seriously, and asaresult, our product and packaging suppliersareavital part of our R&D ecosystem. Over thepast three-to-fiveyears, Campbell hasundergoneaseismic shift in our approach to product and packaging supplier partnerships.

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Wearenot all theway to ?bright?yet, but through collaborativeideation and focused teamwork, wehavehad tremendousmutual successin anumber of areas.

How does Campbel l Soup Company communicate product and packaging ideas to hel p fur ther propel open innovation? Through trial and error, we?vediscovered that thecritical step isto shareour latest insightsand design targetswith our key technology partners. W ithout that collaborativepartner connection, wewould never bein lock-step in our design approach, and both sideswould burn fuel trying to understand from wheretheother party iscoming.

CraigStephen Slavtcheff, Global VP, R&D, Snacksand International, at Campbell SoupCompany will be on-siteasChair of thisyear'sAmerican PackagingSummit. Slavtcheff will bejoined by David Porter, Director, PackagingStrategy, Innovation, e-Commerce, at Campbell SoupCompany, whowill be givinga talk on "Creatinga Unified PackagingStrategy that MeetstheEvolvingNeedsof Customersand Retail.?

Wan t m or e in sigh t in t o Cam pbell Sou p Com pan y 's pr odu ct an d pack agin g in n ovat ion st r at egy? Join u s at t h e Am er ican Pack agin g Su m m it .

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