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“Consumer Fear Factor”. Team Vizcaino Lulu Carranza Abiola Awotesu Chuck Fleming MaryLou Ortuvia Shane Ruppel. Suntex Group, Ltd. Founded by Blake La Grange Third generation farmer Developed “Safety wash System™” Negative ion technology

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slide1

“Consumer Fear Factor”

Team Vizcaino

Lulu Carranza

Abiola Awotesu

Chuck Fleming

MaryLou Ortuvia

Shane Ruppel

suntex group ltd
Suntex Group, Ltd.
  • Founded by Blake La Grange
    • Third generation farmer
  • Developed “Safety wash System™”
    • Negative ion technology
  • Motivated to develop “Suntex Clean™” line of produce
  • Invented and developed packaging process to protect from contamination
  • “Suntex Clean™” line currently packages six varieties of produce
    • Includes potatoes, tomatoes, and apples
objectives
Objectives
  • To ascertain whether the consumer fear factor is real or fictitious
  • To establish consumer needs, expectations, and perceptions with regards to produce (specifically fruits and vegetables); to define what a quality product means based on this customer-based criteria
  • To determine whether Suntex products are viable for the Houston-area retail industry (i.e. grocery stores)
  • To determine whether grocery stores are interested in providing germ/chemical-free produce
  • To propose changes to the Suntex process and/or marketing mix to respond to consumer needs and expectations
  • To recommend procedures to attenuate retail industry fears and facilitate their acceptance of Suntex products
results over view
Results Over-View
  • Were unable to quantify a consumer fear factor
  • Found that there is a consumer concern, in order of importance, for appearance, taste and germ-free produce, regardless of brand name
  • Found that consumers are interested in germ-free, chemical-free produce and are potential buyers at a reasonable market price
  • Found that retail procurement seemed to believe that consumers have little concern for organic or germ/chemical-free produce
organics
Organics
  • Unsuccessful organic produce program
  • 100% shrink during last period
  • Same storage/warehouse cooler for organic and conventional
  • No effective controls to prevent contamination of organic produce in store
  • Concern for soil residues only
procurement
Procurement
  • Centralized national buying
  • Stores had little or no autonomy
    • Purchasing decisions
    • In-store marketing
conclusion
Conclusion
  • Unable to ascertain the level of consumer fear
  • No discernable fear, at the store level, of germs and chemicals in produce
  • Desire for chemical and germ free produce was detected from the survey
  • House of Quality indicates that consumer priorities are strongest in taste and appearance
suggestions
Suggestions
  • Focus marketing to enhance franchise opportunities and to partner with large produce corporations to use the “Suntex Safety Wash System™”
  • Enhance relationships with retailers with publicity fliers in Sunday paper announcing benefits of the “Suntex Safety Wash System™”
  • Continue and enlarge publicity campaign in order to publish information about the dangers of produce residues
  • Improve website with links to FDA studies, analogous products supporting the “Suntex Clean™” process, and educational articles about benefits of germ/ chemical free produce