11 minute read
Opportunity for NZ wool in US
Staff reporter
NEW research has found that Americans have different ideas about wool compared to New Zealanders – one that offers growers a huge opportunity.
The research commissioned by the Campaign for Wool New Zealand (CFWNZ) found a large education gap in how US consumers think about wool, CFWNZ chair Tom O’Sullivan said.
“For example, 53% think of cashmere when they hear the word wool. Although they are aware of wool, it sits quite a bit lower down in their consciousness when compared to New Zealand consumers,” he said.
The research by Fresh Perspective Insight canvassed 3000 consumers across three markets – NZ, the United Kingdom and the United States in November last year.
It also detected a second issue.
“It showed Americans harbour misconceptions that wool is rough, itchy and hard to care for, whereas New Zealanders have much higher awareness of the positive attributes of wool like biodegradability, fire resistance and insulating properties,” he said.
While NZ consumers are generally well-versed on wool and its benefits, O’Sullivan said the CFWNZ was pleased to have identified a number of gaps in consumer understanding in the US.
Most of those surveyed view wool as a super fibre when it comes to resilience and sustainability.
“One thing we saw in the research is that those in the US see wool as ‘owning’ the superior quality and durability space,” he said.
The research also found that 66% of respondents positioned wool as long-lasting when compared with petroleum-based synthetics and plant fibres.
“The tide is turning in our war on synthetics. We can leverage consumers’ appetite for a cleaner, greener shift by ensuring we’re telling the right stories about New Zealand wool, increasing demand for our growers. With strong quality measures, this data will also support our commercial partners to justify higher prices in the US,” he said.
It is well known that the United States has been a difficult market to crack, but O’Sullivan said the team at CFWNZ is confident.
“When it comes to the US, it’s all about target and focus. Although we now have a clearer picture of the US wool consumer, we need to narrow our geographic focus to ensure the messaging is strong and loud,” he said.
“We’ve identified Texas, California and the East Coast as the key areas for New Zealand wool. However, we are looking to refine this further into sub-states and even down to city level where we can.”
Tom O’Sullivan CFWNZ
GAPS: While New Zealand consumers are generally well-versed on wool and its benefits, Tom O’Sullivan said the CFWNZ was pleased to have identified a number of gaps in consumer understanding in the US.
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Lamb meat sales up in US
INCREASE: Demand for lamb is growing in the US, increasing in value by 30% in the two years to March. Neal Wallace neal.wallace@globalhq.co.nz
TWO years of covid has altered consumer buying patterns in the United States and red meat appears to be a beneficiary.
That is the assessment of Alliance Group sales manager Shane Kingston who was part of a visit by senior management to the market earlier this month.
He said the US market has changed markedly after two years of covid, with consumers noticeably more conscious about their diet, lifestyle, nutrient intake and quality of food they eat. This creates a challenge for exporters to promote the red meat attributes of iron, vitamins and minerals.
“As we observed with various visits with clients, this is certainly something we need to promote front and centre because consumers are looking for it,” Kingston said.
While red meat sales remain strong, he said distributors and retailers are looking to create more interest at the point of sale.
He said meat cabinets in supermarkets tend to be bland compared to fruit and vegetable displays, but meat offerings could be made more interesting and informative through improved packaging, signage or digital screens.
Demand for lamb is growing in the US, increasing in value by 30% in the two years to March.
“People are looking for diversity of choice and lamb fits that space,” he said.
Venison is becoming more prevalent and Alliance is introducing customers to it through 1lb mince packs, which is proving effective, and cuts are appearing on foodservices sector menus.
Introducing the product to US consumers is steady but has some way to go.
He said version one of plant-based protein “has had its moment,” with reduced space and visibility in retail outlets and, in many cases, prices are heavily discounted to drive sales.
He believes the red meat sector should not relax as alternative protein manufacturers have the money to generate new versions and products.
“We don’t want to get complacent or take these producers on,” he said.
But they have a challenge trying to unseat red meat consumption in the US.
Total sales of alternative protein in the US in the year to March were $US472m, compared to meat sales of $US6.3b.
Sales in March were $US33m, with lamb sales alone for the month at $38m.
One other noticeable change in the market in the last two years, has been the growth of pet food and launch of new brands.
Fish, chicken and turkey are being preferred in dry pet food product to beef, lamb and venison formulations due to price and availability.
He said pricing pressure is being felt by US consumers, where inflation is running at 8.5%.
Studies show 61% of consumers are implementing cost saving measures, with a noticeable increase in beef mince sales and shifts from some red meat protein to white meat such as chicken.
He said this is not reflected in the buying patterns of high net worth consumers who seem to be insulated from those economic pressures.
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Utilising trails to help tell food stories
Hugh Stringleman
hugh.stringleman@globalhq.co.nz
NORTHLAND’S economic development agency is growing a food and beverage strategy with optional visitor trails before international visitors come flooding back.
Northland Inc’s food and beverage ambassador Justine Stuart is learning the special aspects of the province and co-ordinating the industry’s efforts.
Without mass manufacturing plants, artisan producers tend to add value through kitchens on farms or orchards.
The vineyards are small and experimental, growing grape varieties not common elsewhere in New Zealand, like tempranillo, chambourcin, pinotage, merlot, vigot syrah and viognier.
Coincidentally, the largest contract wine making business in the north, Marsden Estate at Kerikeri, is presently for sale as founders Rod and Cindy McIvor move on after nearly 20 years bottling for up to 30 vineyards a season.
Last year Wellingtonbased consultancy Food + Drink New Zealand was commissioned by Northland Inc with central government funding to use the covid-19 shut down to reset and recalibrate the region’s tourism offering.
They interviewed producers and suppliers, hospitality providers and tourism operators.
A previous Northland Food Network is inoperative because of lack of funding.
Stuart, a boutique accommodation provider and marketing professional, also heads the Savour Northland brand to coordinate trade fairs and food shows and publicise new products.
Previously she had founded, operated and closed after 18 months a Whangārei eatery and delicatessen specialising in Northland foods and beverages.
The visiting consultancy made these observations about Northland’s position:
A strong and rich history of trading, food sourcing and production dating back to well before European arrival.
Sub-tropical climate allows for fruits like bananas and pineapples.
Food and beverage projects already exist, such as Kaipara Kai.
Better engagement with iwi, hāpu and Māori is essential for local stories to be told by those who have the right to tell them.
Significant institutional knowledge and connections by key staff in Northland Inc.
A key objective of the food and beverage strategy is to weave the stories into Northland’s tourism offerings and make the province a premium destination, Stuart said.
Four food and beverage trails of one to four days’ duration are planned before the end of 2022 – the lower north from Kaiwaka to Tutukaka, the Bay of Islands, the Far North, and the Kaipara, west coast.
“These will connect people with where their food is coming from in Northland,” Stuart said.
Food producers say it has been hard to plan during the past two years of disruption and lower visitor numbers.
“Food producers in other regions may have closed, but here we have taken a step back and reimagined the offerings, to discover what really works.”
They may have narrowed the business pathway or extended into new areas.
Stuart said food producers are keen to connect with others for the common good.
“Perhaps that will be an annual food and beverage festival for the region,” she said.
Northland Inc and Savour Northland regularly connect with about 120 smaller growers and food producers and about 180 hospitality and retail businesses.
While the proliferation of small businesses may be seen as a negative, she prefers to look on the positive side.
“When you see and taste the products you realise that a lot of love goes into them,” she said.
“Many of our growers follow organic and biodynamic principles and their produce is available seasonally fresh at the farmers’ and growers’ markets in the region.”
Justine Stuart Northland Inc
DESTINATION: Food and beverage ambassador Justine Stuart is weaving the stories of Northland into trails for domestic and international tourists.
A&P rewards 50 years’ service
FIFTY years of service by Walter Scott of Morrinsville to the Royal Agricultural Society has been publicly recognised.
He was presented by Morrinsville A&P Society president Bruce McRobbie with a plaque, a bottle of whiskey and a bouquet of flowers for Walter’s wife Tui.
Scott is a former president of the Morrinsville A&P Society and the Mid-Northern council of the RAS, then vice-president and president of the national body.
His association with the Morrinsville show goes back 76 years when, aged 16, his father as society secretary suggested he help get the grounds ready for the first post-war event.
He has been a steward in at least one section in every show since.
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