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Social Media, Customization Are Millennial Marketing Keys

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Volume 34 May 30, 2014 Number 19 Scan this code for breaking Social media, customization news and the latest markets! are Millennial marketing keys A By Emily King for less than 20 percent of the A Mintel survey shows that says Eric Godlove, marketing population in that same time 55 percent of Millennials are specialist, Yancey’s Fancy. INSIDE MADISON, Wis. — Marketers period, the report says. willing to spend more money “With all of the information have long utilized generational Jeffries Alix Partners cites in grocery stores for the high- instantly available to them, ✦ Guest column: segmentation to target specifi c age 25 as a milestone — a time est quality ingredients, and they can be more jaded.” ‘Tribute to a friend customers. The maturation of when income and household retailers have been respond- Delineating the Millennials and colleague … mega-generations, the Millen- formation begin to acceler- ing. For example, the Nielsen is not without its challenges Carol Christison.’ nials (born between 1982 and ate and create the catalyst Perishables Group, a fresh as even their moniker fl uctu- ates from Generation Y, to the For details, see page 4. 2001) and the Baby Boomers for increased consumption. food consulting company, found (born between 1946 and 1964), Concurrently, Baby Boomers’ that the number of deli cheese technology generation, to the ✦ World Food Championships has the potential to usher in a purchasing power will begin fl avors increased 57 percent be- fi rst multicultural generation. to feature cheese as key new, chaotic marketplace, ac- to dwindle. tween 2005 and 2010. The most And — as Jeffries Alix Part- category ingredient. cording to the report, “Trouble “The Millennial generation frequent purchasers of specialty ners indicates — they’re just For details, see page 5. in Aisle 5,” by Jeffries Alix is the most culinary aware gen- cheeses are under 34 years old. different. Partners. eration in history, so it makes “Wisconsin Milk Market- According to “Trouble in ✦ USDA updates safeguard By the year 2020, Millen- sense that any food company ing Board (WMMB) recently Aisle 5,” U.S. Millennials are the trigger levels for imports. nials over the age of 25 will makes sure their products, mes- conducted new awareness and most culturally diverse group in For details, see page 18. account for approximately sages and marketing align with perception research among history, with approximately 35 20 percent of the population, their wants and needs,” says Wisconsin residents, targeting percent representing minority ✦ Exclusive: CMN’s compared to 5 percent pres- Jennifer Giambroni, director Millennials who will be key groups. This generation also annual ‘Key Players.’ ently. The entirety of the Baby of communications, California future decision makers, with was born into a rapidly chang- For details, see pages 21-68. Boomers will fall to account Milk Advisory Board. “For the the hopes to encourage and ing world where information is cheese industry, this means engage our dairy messages available almost instantaneous- being where they spend their and content to develop a con- ly. Technology has accelerated time, whether online gaming nection and understanding of the marketplace. Millennials Our Exclusive Annual Profile of or on social media, and also the Wisconsin dairy industry,” want what they want — when Who’s Who in the Cheese Business making products that support says Heather Porter Engwall, and where they want it. their desire for healthy eating.” director of national product “The Millennials are ex- U.S. Millennials already ac- communications at WMMB. tremely comfortable with count for $1.3 trillion in direct Taking into account the technology and tend to own and annual spending, of which burgeoning presence of the use multiple devices to connect $430 billion is non-essential Millennials, it is imperative for with peers and brands,” Porter By the staff of Cheese Market News spending, according to “The the cheese industry to modify Engwall says. “They are also Reciprocity Principle: How existing marketing plans to suit highly engaged with the con- Cheese Market News’ “2014 Key Players,” our exclusive profi le on Millennials Are Changing the this younger generation. tent they choose to view and who’s who in the North American cheese business, takes an inside look Face of Marketing Forever,” by “This generation needs to tend to have more long-term at what 52 cheese companies have accomplished in the past year and the Boston Consulting Group be addressed with a certain support for brands with active their plans for the months ahead. (BCG). amount of respect and honesty,” “Key Players” is not a ranking of companies. While we provide pro- Turn to MILLENNIAL, page 16 D duction and sales data whenever possible, instead of focusing on how large a company is, each year this publication celebrates the successes of cheese companies large and small. All of the companies profi led are making important and distinct contributions to the growth of the dairy Industry voices concerns Bill would allow industry as a whole, whether that means crafting an award-winning more fl exibility cheese, generating new packaging and product styles, or developing or over market access, GIs increasing product lines that cater to growing international demand for school meals as the United States set a new cheese export record in 2013. WASHINGTON — Trade ministers from the United States and 11 other countries last week completed a series of meetings to discuss WASHINGTON — The While each profi le within “Key Players” provides insight into a House Appropriations Com- specifi c company, in its entirety “Key Players” provides you with a the ongoing negotiations of the Trans-Pacifi c Partnership (TPP). “In a series of positive meetings we cemented our shared mittee on Thursday passed snapshot of the industry in 2014. This year, you will fi nd some common on a vote of 31-18 a fi scal themes, including the growing emphasis on exports and more and more views on what is needed to bring negotiations to a close,” the ministers say in a joint statement released May 20 following the year 2015 agriculture appro- companies focusing on environmental sustainability. “Flavor” is a word priations bill that includes that you will see many times throughout “Key Players” as companies two-day ministerial meeting held in Singapore. “We focused in particular on making meaningful progress on market access and language allowing schools respond to consumers’ increasing demand for high-end products with under economic hardship a fl avor punch. And, as in years past, you will learn about companies also advanced outstanding rules issues in an effort to narrow our remaining differences.” to seek a temporary waiver both expanding and consolidating operations as they watch their bot- from compliance with US- tom lines and effi ciently grow their businesses. Dairy and other industry groups, however, fear that signifi cant differences still remain before TPP can become a truly compre- DA’s new school meal regu- To fi nd out more about the profi led companies’ past year and where lations during the upcoming they are headed, please read on … hensive agreement that will benefi t U.S. agriculture. According to several reports, Japan’s Minister of the Economy Akira Amari school year. D Turn to KEY PLAYERS, page 21 Turn to MARKET, page 19 D Turn to SCHOOL, page 20 D Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 2 CHEESE MARKET NEWS® — May 30, 2014 MARKET INDICATORS Chicago Mercantile Exchange CHEESE FUTURES* for the week ending May 29, 2014 Cash prices for the week ended May 30, 2014 (Listings for each day by month, settling price and open interest) Monday Tuesday Wednesday Thursday Friday Fri., May 23 Mon., May 26 Tues., May 27 Wed., May 28 Thurs., May 29 May 26 May 27 May 28 May 29 May 30 MAY14 2.172 1,696 2.172 1,694 2.171 1,689 2.171 1,689 JUN14 2.008 1,790 2.083 1,796 2.008 1,788 1.974 1,777 Cheese Barrels JUL14 1.990 1,471 2.055 1,470 1.980 1,511 1.951 1,499 Price $2.0325 $1.9450 $1.9200 $1.9325 AUG14 1.970 1,331 2.020 1,344 1.968 1,471 1.968 1,471 Change Markets +1 1/4 -8 3/4 -2 1/2 +1 1/4 SEP14 1.982 1,239 2.020 1,247 1.986 1,247 1.985 1,264 Closed OCT14 1.970 1,224 1.975 1,226 1.962 1,235 1.978 1,247 Cheese 40-lb. block NOV14 1.923 1,282 Markets 1.940 1,290 1.930 1,307 1.929 1,307 Closed Price DEC14 1.870 1,320 1.888 1,333 1.886 1,343 1.886 1,345 $2.0200 $2.0000 $1.9600 $1.9600 JAN15 1.840 224 1.840 224 1.840 250 1.840 250 Change NC -2 -4 NC FEB15 1.825 180 1.825 180 1.825 203 1.825 203 MAR15 1.840 159 1.840 159 1.840 182 1.840 182 Weekly average (May 27-30): Barrels: $1.9575(-.0265); 40-lb. Blocks: $1.9850(-.0030). APR15 1.832 150 1.830 160 1.830 165 1.830 165 Weekly ave. one year ago (May 28-31, 2013): Barrels: $1.7113; 40-lb. Blocks: $1.7450. MAY15 1.830 138 1.830 145 1.830 150 1.830 150 JUN15 1.830 181 1.830 181 1.830 186 1.830 186 Grade A NDM JUL15 1.830 89 1.830 89 1.830 89 1.835 89 AUG15 1.830 79 1.830 79 1.830 79 1.830 79 Price Markets $1.7975 $1.8225 $1.8325 $1.8450 Change Closed +1/2 +2 1/2 +1 +1 1/4 Total Contracts Traded/ Open Interest 77/12,658 97/12,722 442/13,000 124/13,008 Weekly average (May 27-30): Grade A: $1.8244(+.0329).
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