VegeUSA - National Sustainable Sales

Report
VegeUSA
Vegetarian Brief
Size of the Prize – 10% of US
Adult Population
 Vegetarian Times Study Shows 7.3 Million Americans Are
Vegetarians and an additional 22.8 Million Follow a VegetarianInclined Diet
 The 2008 “Vegetarianism in America” study, published by Vegetarian
Times (vegetariantimes.com), shows that 3.2 percent of U.S. adults,
or 7.3 million people, follow a vegetarian-based diet. Approximately
0.5 percent, or 1 million, of those are vegans, who consume no animal
products at all. In addition, 10 percent of U.S., adults, or 22.8 million
people, say they largely follow a vegetarian-inclined diet
 59 percent are female;
 41 percent are male.
 42.0 percent are age 18 to 34 years old;
 40.7 percent are 35 to 54; and
 17.4 percent are over 55.
 57.1 percent have followed a vegetarian diet for more than 10 years;
 18 percent for 5 to 10 years;
 10.8 percent for 2 to 5 years,
 14.1 percent for less than 2 years.
Age Group of the Vegetarian
45
40
Percentage of Age Group
35
30
25
20
15
10
5
0
% of Total
18-34
35-54
55+
41
40.7
17.4
Why Vegetarian
 The Vegetarian Times 2008 study further indicated that:
 over half (53 percent) of current vegetarians eat a vegetarian diet to
improve their overall health
 Environmental concerns were cited by 47 percent
 39 percent cited “ natural approaches to wellness”
 31 percent cited food-safety concerns; 54 percent cited animal
welfare;
 25 percent cited weight loss;
 and 24 percent weight maintenance.
 A 2012 Harvard study from Harvard School of Public Health
(HSPH) researchers has found
 Daily serving of one hot dog or two slices of bacon associated with 20%
increased risk of mortality
 Red meat consumption is associated with an increased risk of total,
cardiovascular, and cancer mortality. The results also showed that
substituting other healthy protein sources, such as fish, poultry, nuts, and
legumes, was associated with a lower risk of mortality
 A vast number of people are seeking to reduce their meat intake
Why Vegetarian
 A 2010 Harvard Study, the first systematic review and metaanalysis of worldwide evidence – nearly 1,600 studies - for how
eating unprocessed red meat and processed meat relates to risk
of cardiovascular diseases and diabetes, the researchers
 have found that eating processed meat, such as bacon, sausage or
processed deli meats, was associated with a 42 percent higher risk of
heart disease and a 19 percent higher risk of type 2 diabetes.
 The results showed that, on average, each 50 gram (1.8 oz) daily
serving of processed meat (about 1-2 slices of deli meats or 1 hot
dog) was associated with a 42 percent higher risk of developing heart
disease and a 19 percent higher risk of developing diabetes. In
contrast, eating unprocessed red meat was not associated with risk of
developing heart disease or diabetes
Marketing/Selling to Whom

18 to 24-year-olds eat out and drink alcohol outside the home more often than other
age groups.

Generation Y – those born since 1978 – tend to eat more often at quick-service and
pizza restaurants.

Generation X – those born between 1965 and 1977 – tend to prefer quick-service or
casual establishments with comfort and a good perceived value.

Smaller households eat out more often than bigger households.

Empty nesters eat out more and spend more when they eat out.
 They typically spend 65% more on dining out than couples living with children.
 Empty nesters are generally more concerned about the quality of food and the
elegance of the atmosphere than the price.

People with more income tend to eat out more frequently.

People who work long hours eat out more than people who have enough free time to
cook their own meals.

Traditionally, the older people get, the less frequently they eat out. However, this may
change soon, since many baby boomers grew up eating out often. Seniors tend to eat
early and slowly, and they look for good values with small portions.

Wealthy, well-traveled consumers, particularly the wealthier baby boomers and the
next generation, are more likely to look for ethnic or exotic food when they eat out.
Exist in Targets World

People between the ages of 18 and 24 eat out more often than other age groups. If
you choose to target them, listen to their music and keep up with their technologies
and fashions. This will help you determine the best way to promote yourself to them.
You could try text message marketing or promoting yourself through online social
networks, like Facebook® or MySpace®.

Venues to find those in this age group that can afford demand selection:
 College & Universities
 Higher income areas
 Metropolitan Areas
 Coffee Shops
 Areas around College & Universities
 Panera Bread, Chipotle, Pizza Fusion

Campaigns to attract attention of this and other groups
 The look
 The message
 The Identify/association with product consumption, what does it say when the eat it
 Associations and awareness, PETA, other animal welfare groups, vegetarian community
Food for Thought
 Why Vegetarians Back Slide
 For most people, the draw of meat is powerful -often irresistible Hal Herzog is Professor of Psychology at Western Carolina
University and the author of Some We Love, Some We Hate, Some We Eat: Why It's So
Hard To Think Straight About Animals.
 Why VegeUSA because it tastes like meat but
it is vegan
 Selling point then don’t back slide eat
VegeUSA
 The Craving for meat creates a demand for
VegeUSA
 Sales approach- attract those who want to
move from meat to vegetarian and those who
crave to move back.
The Rise of the Carnivorous
Vegetarian
* Looking Ahead Food Culture 2012, Hartman Group

Consider the heightened reverence for the season’s latest bounty as a
balancing element to this, the decade of bacon and burgers. Vegetables are
becoming increasingly fashionable. This new breed of vegetable fan isn’t
motivated entirely by ethical, environmental or health reasons (for the
most part), but by culinary ones. Consumers are realizing that
vegetables are best celebrated with healthy doses of olive oil or
butter, rather than the steamed and undressed version we’d sooner
forget.

From Meatless Monday and Eataly’s vegetable butcher, consumers are
interpreting this era as vegetable-focused, rather than the days of
vegetarianism defining one’s identity. Consumption of meat is
increasingly showing up as more of a condiment than as center plate.
An example includes a bit of crispy bacon accenting roasted Brussels
sprouts. Today, it’s more tempting for vegetarians to be enticed by
well-sourced and crafted artisan bacon and happily raised grass-fed
burgers than the sole feedlot option available a decade ago.
Takeaway

In theory, vegetarianism may be “healthier” for body and planet, the reality is
that consumers are not going to stop eating meat any time soon. As a result,
we are seeing an increased reverence for plants and a more humane
approach to the rearing and processing of our (tasty) animals.
The Johns Hopkins Center For A Livable Future:
Sodexo Meatless Monday Survey Results
Conclusions
 As a whole, survey respondents, regardless of their level of
participation, overwhelmingly reported that the Meatless
Monday promotion demonstrated Sodexo’s commitment to
health. Beyond this finding, providers also said that Sodexo
has the potential to be a forerunner in the field of healthy
eating campaigns. As one survey respondent stated, “I
think Sodexo can be a leader in this area.” Despite
difficulties in implementation for some sites, there is overall
strong support for the promotion and desire to continue on
the part of the food service providers. Sodexo’s network of
more than 1,800 accounts, in the corporate, health care and
government sectors, has the ability to reach large numbers
of individual consumers. With their support, the Meatless
Monday campaign has the potential to further greatly
reduce environmental and health impacts.
Challenges
 Distribution: The development of a base of customers
sufficient to attract distribution
 UNFI redi model while available and needed is ineffective
for sustainable growth on a broad bases
 National Accounts provide volume and distribution but do
not necessarily will help expand beyond the National
Account
 However, it can contribute to critical mass for minimums
 However, National account pricing can result in abuses by
distributors
 Distribution: Every Supplier must pay to play with all
broadliners as well as other distributors
 Pricing should include sufficient allocation of money to
support distributor marketing programs, payment discounts
and activities such as food shows which are current
averaging $7000 for a one day event
 Forward spending is to be expected
 Ongoing oversight is necessary and the time required
increases with distribution expansion and sales growth
NSD minimizes or eliminate
Challenges
 Go to NSD outline

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