Introducing new ingredients stakeholder-by-stakeholder
developing the market stakeholder-by-stakeholder, according to
Health Focus Europe.
In a presentation at last week's Healthy Foods Summit in London, Peter Wennström, president of Health Focus Europe and chair of the summit's second day, said that food companies must understand their role in the market, and how to commercialise innovations in health.
"We have to recognise that we are in the technology business," he said. "We need to educate to create acceptance and motivation to buy."
Wennström sketched out three stakeholder levels within the marketplace:
First come the technology stakeholders, a group made up of inventors and people pushing forward the innovations. Putting the function before the food, they come from a medical point of view and target real health problems.
"Health is the primary selling position," said Wennström.
Second are the consumers who understand that technology adds value to their lifestyle and are the first to understand and adopt a new concept.
"Without them, the technology would be only a technology niche," Wennström said, dubbing them "believers" who "will take risks".
The third group of stakeholders is made up of consumers who wait for a concept to reach the mass market before they will try it.
"Over time, technology becomes a normal part of our diet."
The mass-market group wants new concepts to be tried and tested and assured safe before they will try them. Likely to buy products when they are available as three-for-two, they want an ingredient, such as omega-3 for instance, when its use has become standards in all foods within a given category.
"They are motivated by food, not functional food."
Wennström used the example of a milk product advertisement from Finnish company Valio to illustrate the importance of marketing to the different stakeholder groups. The advert used the tag line "Drink this or die" - an idea that he said keeps the product in a niche since most consumers do not think they are in imminent danger of death.
Acceptance of new technologies is based on a trickle-down effect though the groups of stakeholders.
The technical people speak first to the lifestylers and the visionaries, and only when their needs are satisfied will the mass market catch on.
"The bulk of revenue comes from serving early minority. Become the leader by leading the curve," said Wennström.
