Archive for November, 2014

Big Food Confronts High-Tech Challengers

Innovative food startups trying to curb soaring meat production can expect legal and political obstacles

Growing more and more animals for food is unsustainable. The World Health Organization predicts that global annual meat production will increase from 218 million tons in 1998 to 376 million tons by 2030. That uptick will bring with it numerous negative consequences, including deforestation, animal manure contamination of air and water and excessive use of water supplies and harmful energy sources, not to mention contributions to climate change.

Recognizing this problem, food startups backed by significant venture capital are hoping to create food products without using animals. The goal: provide a viable alternative to the existing animal foods production model that is wreaking havoc on the environment, public health and animal welfare. As a new wave of products aiming to mimic meat, eggs and dairy comes to mainstream supermarkets, Big Food’s pushback will only mount — and what started in the lab will soon make its way to the political arena.  Read rest at Al Jazeera America …

Walmart’s Hunger Games

New report from Eat Drink Politics shows how the nation’s largest retailer is a poverty incubator, contributing to the hunger crisis in America while Walmart and the Walton family get richer

La’Randa Jackson, shown here, supports her mother and her younger brothers by working at the Walmart store in Cincinnati, Ohio. “I skip a lot of meals,” she says. “The most important thing is food for the babies, then my younger brothers. Then, if there’s enough, my mom and I eat.”

La’Randa works for the nation’s largest private employer, and she is not alone in her struggle to afford enough food.

On $10.10 an hour and an unpredictable part-time schedule, Cantare Davunt – a Walmart customer service manager from Apple Valley, Minnesota – winds up digging into her cabinets for older, non-perishable foods like Ramen so she can have a hot meal. Diana Tigon, a cashier at the Walmart store in Arlington, Texas, often finds she is strapped for cash and during rough weeks goes full days without eating meals.

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Hey Unilever, is it mayonnaise or mayonnaise dressing?

canola oil Hellmanns

<strong>Canola</strong> Cholesterol Free Mayonnaise Dressing

 

The image on the left is a picture taken by Josh Tetrick, CEO of Hampton Creek, at a Safeway in San Francisco on Sunday, November 16. It shows the Best Foods Canola Cholesterol Free variety labeled “mayonnaise.” However on the Best Foods website is the image on the right, which has the same product labeled “mayonnaise dressing”. According to federal law, to be called “mayonnaise” the product must contain at least 65 percent oil by weight, which this product does not. For more details on mayogate see my post from yesterday.

Mayogate: Unilever Doctoring Customer Reviews

Big Mayo scrubbing Hellmann’s website to cover up deception after filing lawsuit against Hampton Creek

Hellmann's Page

Screen shots of Hellmann’s promotion showing altered customer reviews. (Click for larger resolution.)

Last week I wrote about the negative PR backlash against global giant Unilever for its desperate lawsuit against Hampton Creek over Just Mayo, a new product made without eggs that is quickly stealing market share from twin brands Hellmann’s and Best Foods, the market leaders. Most corporations shy away from filing these sorts of competitor lawsuits and Unilever is about to find out why.

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Unilever’s Bullying Backfires, Boosts Hampton Creek

Negative media coverage of Big Mayo lawsuit goes viral in case study of PR blunder

All of these images were used in recent media stories of Big Mayo lawsuit

Business schools love a good case study, especially when a big corporation blows it. Now they can add Unilever’s colossal public relations mistake to their list. Wall Street Journal tech columnist Christopher Mims summed it up with this tweet: “Giant Corporation Generates Huge Quantities of Free Advertising and Brand Equity For Tiny Rival by Suing It”.

As I predicted earlier this week in my post about the maker of Hellmann’s suing start-up Hampton Creek over egg-free mayonnaise, the press and social media firestorm in just the past few days has already given Unilever a black eye, while the Just Mayo brand enjoys free positive PR. Almost all of the stories (of more than 200) I saw online were in Hampton Creek’s favor, framing the lawsuit as a classic David versus Goliath fight, at times mocking Unilever.

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Big Mayo Files Frivolous Lawsuit Against Eggless Competitor

Food Giant Unilever suing Hampton Creek for daring to offer a cruelty-free and sustainable alternative, whining that: “Just Mayo already is stealing market share from Hellmann’s”

Just Mayo

Business school pop quiz: What’s a $60 billion global behemoth to do when a San Francisco start-up cuts into their profits? If answers like “innovate your products” or “hire a better marketing team” come to mind, you must not work at Unilever. That company’s response to competition is to take them to court. Unilever owns many top food brands such as Best Foods (and is also the largest deodorant maker in the world). The company is suing Hampton Creek for unfair business practices and false advertising, claiming their plant-based product called Just Mayo is deceptive to consumers because it doesn’t contain eggs. Actually that’s the whole point: to not use eggs.

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Big Food Uses Dirty Tricks in Ballot Fights over GMO Labeling and Soda Taxes

Voter initiatives in California, Oregon and Colorado illustrate what’s at stake in the food wars

On Nov. 4, voters in three Western states will decide four food-related ballot measures that seem to have little in common: The two state-level measures (in Oregon and Colorado) would require genetically engineered (aka GMO) foods to be labeled as such, and two local initiatives in California (in San Francisco and Berkeley) would place a small tax on sugary soft drinks. But they do have something in common. A large portion of the opposition for all four measures is being funded by two megacorporations: Coca-Cola and PepsiCo. Moreover, the opposition is using many of the same tactics. Read rest at Al Jazeera America …

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