Category Archives: Trade Shows

The Perfect Storm, Part 2. Fixing “Pale, Stale and Male”

  • The mood at last week’s Miami Boat Show was sunny, like the weather.  Enthusiastic shoppers, lots of shiny new boats, and based on conversations with manufacturers, not enough new boats to meet demand.

Miami Show Crowd

However, as previously posted, some clouds on the horizon foreshadow the powerboat industry’s vulnerability in a way that will redefine the landscape over the next 10 years.

  • The core buyer base is aging. The 55-60 year old buyer base (let’s generalize and call them Boomers), are committed and usually repeat buyers.  And they look a lot alike  (in the words of one industry executive: “pale, stale and male”).
    But there aren’t enough younger first-time buyers (generalized as Millennials) to replace their unit or dollar sales.  Over the last 15+ years, the share of new boats sold to first-time buyers has dropped dramatically.
    It’s the same old dudes buying more boats.
  • Recession bites. The next recession, like the last one, will flood the market with used boats when owners sell, crushing new boat sales – – a sales circuit-breaker if enough Boomer owners exit the market permanently.  Remember, older buyers generally buy the more expensive boats.
Older fisherman

Typical core new boat buyer

This post tries to explain why there are not enough younger boat buyers, and offers some ideas of what can be done to prepare for the future.  While a bit longer than my typical post, there are lots of pictures, so please read on.

Boater_Age_NMMA

Source: NMMA

Following our Miami visit we circled back to get input from senior leaders representing manufacturers, dealers, Freedom Boat Club (the leader in this segment) and the NMMA, the leading trade association.

The upshot:  the core appeal of powerboating is not going anywhere, but the industry will need structural changes to address some fairly major challenges to sustain health (read: sales) over the long term.

And the current pace of innovation is not enough to drive the changes necessary.  Disruptive innovation is needed in everything from boat design, mode of power, sales/distribution channels to marketing.  This is not about reducing price or offering new colors or more horsepower.

Disruptors transform the way a basic demand is delivered.  Myopia has led to the downfall of many former market leaders.

  • Home Video: Blockbuster (VHS/DVD) yields to Netflix (streaming)
  • Personal photography: Kodak (film) yields to digital / smartphones
  • Books: Borders (bricks & mortar) yields to Amazon (online)

Based on appearances, the powerboat industry seems headed this direction – – focused on maximizing revenue with the current model (largely fiberglass gas-powered outboard boats sold through dealers).

There are signs that disruptors are at work — but there is a long way to go.

Buying Cycle - Boating

To explain where the industry has been and where it needs to go, we compared the buying process of legacy (Boomer) core buyers with considerations of potential Millennial buyers, in a 4-step process.

INTERESTEXPERIENCEPURCHASEHABIT

So what are some paths to long-term growth? 

Here are some ways the industry can take action (with some examples):

  • Before addressing new buyers, the industry must keep current owners around as long as possible.
    Slow down defections – – aggressively court current owners and build relationships through CRM, owner events and personal outreach – build loyalty and maybe get another purchase

To encourage Millennial first-time buyers:

INTEREST

  • Accelerate development of more agreeable, alternative power sources:
    • GM’s experimental marine division, Forward Marine, introduced a 100% battery-powered boat. With a max speed of 20mph and a range of 1 hour at that speed, it’s not ready for prime time yet, and won’t get you many dates, but this is the direction some of the industry will go.  Think Tesla.  Maybe a hybrid as well.
GM Boat

GM Forward Marine prototype

  • Indmar just introduced EcoBoost, the marine version of Ford’s EcoTec engine – gets the same horsepower and torque with 4 cylinders as a typical V-8. More environmentally friendly.

    EcoBoost

    Indmar EcoBoost

  • Torqeedo is an established German company offering quiet, efficient electric motors. Due to relatively low gas prices and a maximum of 100 hp, growth is slow but it is steady.  They’re getting traction.
Torqeedo

Torqeedo Deep Blue 80R

  • BlueGas Marine has developed economical natural gas power for boats. Traction is difficult for the above reasons as well as infrastructure (need the gas equivalent of charging stations), but the equation can change quickly if oil prices spike.

More aggressive marketing

  • Cross-market! Boating should not just be for insiders anymore!  Visibility must be increased by pursuing prospects with related affinities:  skiing, hiking, etc.  Not just a booth at the boat show.
  • Be more inclusive, diverse and experiential. Feature a range of age, ethnicity, interests.  Leverage social media to reach prospects beyond the familiar core demographics.

700-00039414

Wakesurf photo

 

  • Innovate beyond current offerings – materials, design, features
    • New boaters don’t have the burden of tradition and will likely be more open to unconventional but more functional approaches (after all, someone had to buy the first Prius)
    • RIBs – Rigid Inflatable Boats (Axopar, Technohull) offer more efficient performance using different hull design and materials. They are really cool, perform great, look different, and that’s ok.
Technohull

Technohull (top); AxoparAxopar

  • Powered catamarans look different but offer advantages of smooth ride and more space

EXPERIENCE

Leverage technology to reduce fear as a barrier to purchase

  • Self-docking boats will be available in 2020
  • On-board digital video tutorials can provide much more effective learning than paper manuals
  • Controls are shifting from analog to digital, to mimic/integrate with smartphones

 

 

OWNERSHIP

  • Offer more versatile/multi-use boats at attractive price points – not single purpose (e.g. fishing) but can handle a variety of activities on any given day (analog: SUVs), making purchase more acceptable
    • Sea-Doo introduced a jet ski that converts to a fishing craft – – and it starts at $15k

 

 

  • Yamaha’s 2018 Boat of the Year (the FSH 210) is an affordable, do-it-all boat that is an excellent choice for first-time boaters.
  • Don’t require purchase to participate
    • Freedom Boat Club is a franchisor with 178 locations, with a model based on eliminating some key barriers to purchase (includes lessons, takes care of maintenance and insurance). The goal – make participation frictionless.
    • Members pay a monthly fee for unlimited access to a variety of boats in a huge number of locations, rather than committing 6-figures for a single boat.

FBC logo

  • Other similar models such as peer-to-peer rental, fractional use, etc. will undoubtedly increase as there is less reliance on solely purchase
  • More fully integrate the internet in the shopping/buying process – as in the auto industry, reduce reliance on aggressive final-mile dealer salespeople.

HABIT

No surprises!

  • Full transparency in the sales process, specifically costs/ obligations of ownership
  • Continuous on-boarding/learning  from the dealer, not just 2 hours when the boat is picked up
  • Aggressively encourage new boater networking to share tips, experiences, and create peer communities
  • Mentoring programs linking experienced boaters with new boaters.  Older boaters would love to pass along insights; a no-judgment setting makes it a win-win.

Mentor

These are just a few things the industry can do to mitigate unavoidable changes.  It will take foresight, patience, and investment – – and may not pay off immediately.

lots-of-boaters.jpg

But an industry that proactively and creatively adapts to the needs of new boaters with great product and a great experience, will be much more successful than what we currently seem to have – – an industry that asks potential new buyers to adapt to the way things have been.

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How Do You Reinvigorate a Mature, Cyclical (but still really fun) Industry? Part 1: The Challenge

This is a story about a great industry that was extremely hot…until it suddenly wasn’t.
It presents a unique challenge in how to navigate long-term growth in a world with changing values, attitudes and demographics – – in an unpredictable economic and political climate.

This is Part 1 of a two-part post.  Part 1 sets up the challenges to the boating industry.

In Part 2 we’ll discuss some things the industry is doing to meet these challenges, based on observations at the industry’s premier annual event, the Miami Boat Show – which begins on February 14, 2019.

Perfect Storm - Title

Powerboats are indisputably lots of fun, whether it’s to fish, ski, dive or just to cruise around.  It’s no surprise that about 140 million Americans participate in boating annually, and that in 2018 the industry generated an estimated $170 billion in annual economic activity (Source: NMMA).

Boating-NMMA

Source: NMMA

But as we’ll see, even with several years of growth, the powerboat industry is facing some real headwinds in countering demographic shifts and bracing for the inevitable next recession.

Please read on, and if you’d like, post your ideas on how you’d attack this challenge in the comments section.

———–

The Ultimate Discretionary Purchase

At the very far endpoint of the need-want continuum (aka 0% need, 100% want), beyond ice cream, puppies, personal Zambonis or large screen TVs, there are recreational boats.  Unless you make your living on the water, you don’t need a boat.

And with considerable entry costs leading to ongoing expenses (fuel, insurance, dock space, maintenance, accessories, etc.), this is an industry that is inextricably linked to economic ups and downs.

As a CNBC commentator put it: “Boating is perhaps the most cyclical consumer sector imaginable. Vessels are expensive to purchase, time consuming and completely discretionary.”
https://www.cnbc.com/2014/04/01/yachts-a-practical-investment-for-regular-investors.html

Boat Slip

Entry-level recreational boats can be very affordable, but prices can easily push six or even seven figures as size and complexity increase.  A relatively ‘entry-level’ 25-foot recreational boat can cost $200,000 or more.  A 40-footer can be well over $1 million. This is an industry that has historically tried to push the envelope during optimistic economic times.

Boat_Sales_NMMA

National Marine Manufacturers Association

But the seas are not always smooth.  Powerboating, in particular, is vulnerable to a perfect storm.

  1. Not counting the very wealthy, most people considering a major discretionary purchase will delay or just not buy in an unstable economy
  2. Like the tide drawing out, when economic uncertainty hits, many existing boat owners sell their boats, creating a large pool of relatively new and very affordable used inventory. Anyone still interested has ample reasons to buy used, which is crippling if you’re trying to make or sell new boats.
  3. The average age of boat owners is relatively advanced (currently around 55), meaning that a lot of purchasers (many of them Baby Boomers) from earlier growth years are permanently exiting the market. There are new, younger buyers, which is great, but currently not enough of them to sustain continued growth.
  4. In an economic downturn, related personal factors such as existing loans, lack of available credit and home sales come into play as people make decisions – and cutting boat expenses can be considered a less painful way to try to balance the family books.
  5. As powerboats generally use internal combustion engines, they can be subject to the political climate and resulting legislation. The ‘un-green’ optics of boating are a turn-off for a certain population segment, and ‘greater good’ legislation can create negative real consequences for marine (one example: ethanol is widely mandated but causes expensive damage in marine motors which are run more sporadically).
Boater_Age_NMMA

National Marine Manufacturers Association

This perfect storm was on full display in the few years leading up to 2010.

The Great Recession – all kinds of ugly

In the early 2000s, economic optimism drove strong unit growth, with about 375,000 new powerboats sold in 2006.  Dollar growth was even higher, as convenience features like stereos and refrigerators, the conversion from 2-stroke to cleaner/quieter 4-stroke motors, greater available horsepower and resulting higher prices all increased industry sales markedly.

And while there was some softness in 2007, when the stock market tanked in 2008, the industry nose-dived.  Annual sales dove to about 150,000 in 2010.  Even with several recent years of strong market growth, as of 2018 it has not fully recovered, with sales of new powerboats reaching 280,000 – – still below levels of a decade earlier.

Boat for sale

As one industry official put it in 2015: “We fell off a cliff about five years ago.  Homes were going into foreclosure, and people were making hard choices. On top of that, manufacturers didn’t build many boats in those years. But we lived through it.” https://www.sacbee.com/news/business/article8801072.html

Numerous manufacturers and dealers simply closed up shop.  One estimate had the boat manufacturer workforce reduced by 50-75% as a result of the recession.

In some ways, boating faces a long-term challenge.

  • Many current boaters will eventually age out of the market
  • New younger (and less affluent) boaters are interested in experiences but less interested in possessions — including single-family homes where possessions (like a boat in the driveway) can be stored. They are also influenced by ecological considerations.
  • A multitude of other factors complicates things: consumer confidence, rising student debt, an increasingly diverse population that may not have boating as a shared experience – – even concern about fuel price stability

Make no mistake, as of now the industry continues to grow, it is expected to grow further in 2019, and there are several bright spots of strong growth – – like the emerging wake sports segment, and personal watercraft (aka jet skis).

Malibu_SeaDoo

Brands pictured:  Malibu, SeaDoo

And the economy still appears strong, consumers appear to be confident, and the boating industry is continuing to extract growing revenue from ever more big, exotic and outrageous products (a 627 HP, $90k motor was introduced a few years ago, and immediately a 53-foot, $3 million luxury fishing boat was introduced deploying 4 of them – along with 50 neon-ringed speakers.  Rumor is that there will be a six-motor boat at this year’s show).  So making hay while the sun shines is definitely a current strategy – take advantage of consumer confidence and feelings of wealth.

53 Suenos

Pictured: HydraSports 53 Sueños

But the next recession is not a matter of if, it’s a matter of when, and Boomers will continue to exit the market.

SO – WHAT CAN BE DONE TO ENSURE SUSTAINABLE GROWTH IN THIS MARKET?

Maximize growth with current products?  Introduce game-changing products?  Hedge with counter-cyclical products?  Double down on technology?  Pivot to something else entirely?

Would love to hear your thoughts.

For Part 2, we’ll report back within a week, including some evidence of the current (greater luxury and features) and future (laying the groundwork for the next few decades).

See you at the show!

MIBS - 2019

Unexpected game-changers for our future food supply

[NOTE:  If you are getting this post in an email, click on www.thearmchairmba.com to see the accompanying graphics.]

I recently participated in an IFT (Institute of Food Technologists) workshop on the long-term future of our food supply.  These are the same food scientists that midwived the difficult births of Count Chocula, Betty Crocker and Chef Boyardee, but they have also developed fortified, functional and better for you foods and beverages. And they play a critical role in defining our food future. (I previously wrote about IFT’s FutureFood2050 initiative).

chipotle2

Supply Chain as rendered by Chipotle

You may think: How complicated can food be? Haven’t we been farming, shipping, making and eating for quite a while now?

It turns out that managing the food supply to meet future consumer, economic and regulatory needs is about as simple as airline scheduling logistics.

ComplexFoodSystem

Supply Chain – Actual

And as the workshop revealed, it will only get more complicated going forward.  Why?

First, consumer demands continue to increase: lower cost, variety, customization, easier/faster shopping, nutrition, natural, sustainable…and of course great tasting. Not all simultaneously compatible.

Second, farmers, manufacturers and distributors are pressured to meet these needs and still make a profit.

Finally, innovations, often seemingly not food-related, will play a critical role as the food industry evolves.

This future could be very interesting.

Consider these trends /technologies that might impact the future of food, all of which are happening now:

Farm drones/robots/blimps – – to monitor crop conditions continuously, greatly increasing farming efficiencydrone-corn720x540

Resource-sharing – – rather than time-sharing a car, how about meat-sharing a cow?   More accurately matching supply to demand.

CowShare

Crowdsourcing product design – – leading to higher success rate of new products

CrowdSourceFood

Versatile manufacturing – – economical short production runs, allowing more customization

Urban farming – – new technologies enable repurposing declining urban areas (Detroit-like)

VerticalFarming

Automated delivery – – driverless delivery to homes (drones, copters) – taking cost and time out of supply chains

Rise of B Corporations – – (“a new type of company that uses the power of business to solve social and environmental problems.”) Transparency in social benefit, an additional differentiator.

B-Corp

Shorter IP protection – – forcing faster innovation and creating increased competition

Remote smell – – transmitting tastes/smells through the internet, making product development quicker and more successful. (Were this previously available, we may have been able to avoid Brussels sprouts.)

o-phone-smell-text-message-designboom03-300x200

oPhone

Genetic consumer cohorts – – low-cost genetic typing enables segmenting consumers by health-driven factors like allergies, facilitating meeting needs of key segments.

DNA

Expanded definition of acceptable food – – e.g. ground insects as source for cheap, high efficiency protein, creating an affordable ingredient for billions, and one heck of a marketing challenge for some.

Jiminy

What does all this mean?
Well, we don’t know yet.  That’s why they call it the future.

One set of outcomes could be:

  • Greater ability for consumers to quickly get foods customized to their wants/needs
  • More tools for farmers, manufacturers, retailers and distributors to drive down costs

A parallel set of outcomes could also be:

  • Benefits limited to those who can afford customization and speed (and the tools that enable them)
  • A more commoditized supply chain complementing the customized offerings, with lower cost, slower delivery and less choice – – for those who cannot afford (or just do not value) the more tech-enabled offerings

There would likely be huge collateral impacts, like increased complexity in regulation, labeling and distribution; new retailing models, etc.

Like it or not, food science and technology professionals will need to be prepared to meet these potential future challenges.

The rate of change in the food industry is accelerating.  I’m all for it, as long as there’s still bacon.

We Tested it On You, So It’s Probably OK for Your Pet

I had the pleasure of attending a brand new trade show – Petfood 2.0 – in Chicago recently.

Petfood2.0logo

Not surprisingly, this show is still getting its furry legs under it – – a very manageable group of 35 disparate exhibitors made for a quick and interesting, if not yet cohesive, experience.

Overall, though, a larger theme presented itself:
Following thousands of years of dogs serving man, the tables have turned.
Man now serves dog.

Exhibit 1:  Hemp for Pets.

Now available from our friends at HempMeds, is a line of products made from hemp to benefit your pets.  aNew™ Pet Nutrition‘s products provide essential fatty acids (EFA – – Omega-3 and -6) and are made from a blend of hemp seed oil and raw hemp stalk oil (which is rich in cannabidiol – CBD).  EFAs, as we know, are highly beneficial – – just don’t ask the industry to agree on what the top benefits are.

pet_oil250

This innovation in pet health could not have been possible without the committed testing of hemp products by millions of Americans in the 1960s and 1970s.  So while the outcome of all that testing is up for discussion, your cat or dog is possibly benefiting now from what you did in college then.

OK, that’s not accurate.

While hemp is illegal to grow in the US, it is perfectly legal to import any part of the hemp plant in all 50 states.
And while the prospect of Fifi or Rover lying on his or her back contemplating the ceiling tiles for hours on end and giggling is intriguing, these products contain virtually no THC – the active ingredient that makes marijuana psychoactive.

Although it would be interesting to see if Nigel would behave any differently with the munchies.  Doubtful.

Hempmeds

Exhibit 2:   Functional ingredients for pets – – it worked on Man, so it’s probably safe for Rover.

We long ago realized that we could do better than feeding our pets Ol’ Roy (WalMart).  Thus emerged added value feed (e.g. Iams, Eukanuba, Science Diet, etc), offering different formulas for large breeds, older pets, etc. as well as some medical needs.

Meanwhile, human foods and beverages have increasingly been stuffed with a dizzying array of functional ingredients, many of which have no empirical basis in efficacy.  But we humans have shown that we’re willing to buy them anyway.  What did Charles Revson say about hope?

Based on this massively-scaled test market on mankind, it apparently has been deemed that animal-kind is now ready to safely ingest all sorts of functional ingredients that may or may not actually ever benefit them.

Petfood2.0

Incorporating things like ancient grains, fiber, medium-chain triglycerides, probiotics and ionic trace minerals, your pet can now get benefits heretofore only considered for the human species (notwithstanding hairballs and a healthy coat).

One company, PetNaturals of Vermont, offers products to address the following areas:
– Agility, Antioxidant, Bladder Support, Breath, Calming, Daily Multivitamin, Digestion, Hip & Joint, Immunity, Slim-down, Urine pH balance (really – to avoid yellow spots on the lawn), Periodontal health, Fecal function, and Skin/Coat health.

You dog and cat owners will probably recognize some of the benefit areas in the products below.

photo 1

We live in a world where the things we eat promise magical powers to fix whatever marketers insist needs fixing.  And regardless of the effectiveness, manufacturers have made a tidy business catering to hope.

Now, due to the significant sacrifice, expense and effort expended in testing on humans, our pets will soon be able to have their diets enhanced, and your wallet may end up just a little lighter.  So when your pet looks up as if to say ‘Thanks, Man’, now you know what’s going through that little brain.

I have no doubt that many of these ingredients can provide real benefits to some of the 150 million dogs and cats out there.

Except I’m not believing anything that promises intelligence to an Irish Setter.

Captex

A Non-Techie’s Guide to the Internet Commerce Trade Show (IRCE)

Posted on

This year was the 10th anniversary of the Internet Retailer Conference and Exhibition (IRCE) and my first year of attendance.

IRCE logo

Trying to neatly summarize this sort of confab without a experience as an e-commerce operator is sort of like assuming you can translate Portuguese based on having watched the World Cup.  The show was large, chaotic and alien – sort of like walking into 100 Star Wars bars simultaneously.

So while I have decent e-retailing experience, I will not attempt to make sense of all of this.

But I do have some observations.

E-Commerce is based on a few simple objectives, not too different from the marketing funnel used for any other product marketing, but with different terminology:
– gain the right customers’ attention  (‘engagement’, ‘click thru’, ‘open rate’)
– encourage purchase (‘conversion’)
– efficiently delivering (‘fulfillment’, ‘final mile’)
– establish a relationship (‘customer experience’)
– encourage repeat purchase (‘loyalty’, ‘retention’)
– encourage WOM, referrals (‘evangelism’)
– etc.

Simple, no?  I mean, we all shop online, how difficult could it be?

Well, let’s illustrate some of the complexities using a typical grocery store as the template.  Imagine running this store.

This is a store where:
the store itself serves the entire world — yet it needs to be built to serve the right volume of customers profitably
– finding the store requires a guide — yet the description that will lead to your store changes every 6 months
– your most loyal customers can be lost if a competitor offers to carry the groceries to the car for free
one of your big vendors (i.e. ISP) can have a bad day and you are unable to open, with no control
competitors can pop up virtually next door – instantly – and go away just as fast
– about 4 in 10 customers fill up their carts and then exit the store, leaving the cart in the aisle
a person with bad intent could lock the doors of your store –  from thousands of miles away
your loyal shoppers are barraged with promotional messages from stores right next door – and around the world
your competitors’ customers don’t necessarily live nearby – – but you still have to find them
– some of your competitors sell products to an enormous store that’s in every market, and which sells them cheaper (hint: starts with an ‘A’)
– and all of this is changing at light speed — Yikes!

On the other hand, all is not lost.  Imagine if your store could:
remind customers when important events are, and even suggest items to buy for the occasion
– send customers totally personalized communications, including catalogs – – as often as you want, for almost nothing
make recommendations to your customers about what they might love, based on what they’ve already bought
– send customers not just promotions, but at the exact time that you know they typically buy, and the deals that they respond to
enable your customers to tell all their friends about your great store – – instantly, when they’re most excited
follow up every single purchase to make sure everything is ok
dress your store up for the holidays or another event – – instantly
change what your store offers based on what your customers are buying elsewhere
enable customers to order merely by touching the picture in the ad

This is the magic of e-tailing.  The ability to reach and influence is remarkable, and the rules are constantly changing.

Here are a few companies whose products looked interesting:

Ship 2 My ID – – from their website: “Ship2MyID is a social commerce enabler that will allow users to buy items online and send them to others without needing to know the receiver’s physical address. Both the sender and the receiver’s physical addresses are kept hidden from each other, and the receiver has to accept the shipment, ensuring security.”  Got it?  You give them your email or social media ID, they help someone ship something to you without their knowing your address.  yes, me too.

ShipToMyID

 

OrderGroove – encourages all-important loyalty by enabling subscription ordering (i.e. they figure out when you run out of vitamins, diapers, dog treats, whatever, and facilitate having the manufacturer send to you.)

Ordergroove

Bitpay – Still don’t understand bitcoins?  Doesn’t matter.  With these guys, your store can still accept them.

From their site:  “Instant conversion, no transaction fee, and bank deposits in US Dollars, Euros, GBP, CAD and more. We take the bitcoin exchange rate risk, your customers get the best rate on the market, and you get a payment you can count on, every time.”

Sounds pretty low-risk to me.

Bitpay

FeedVisor – Algorithmic Repricing for Amazon Sellers!   I will admit – – not 100% sure what these guys do.  Maybe not even 50%. There was a crowd of intimidating techies crowded around the booth so I just gave them wide berth and moved on.

Algorithmic Repricing

 

The IRCE show is one trade event that is actually worth attending every year, because you know that in a year everything will be completely different.

 

Top 5 SWEET Treats from the Sweets and Snacks Expo (Part 2)

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Last in a series:  Here are the Top 5 Cool Sweets products I observed at the 2014 Sweets & Snacks Expo. (previously I reported on the Top 5 Snacks, available here.)   As always, all links and photos are active. SweetsShow

Chocolate is the centerpiece of the sweets part of the show.  And certainly by now we’ve seen every possible permutation of chocolate, no?

Shoes

No. Among a few evolving trends:  (thin ‘bark’-like chocolate products and ‘minis’, smaller versions of mainstream products) there were some exciting new products.

Top 5 Sweets Products

1.  Energy chocolate – Awake, Scho-ko-lade, energems

As you may know, chocolate already has some caffeine – about 12mg/oz typically.  These caffeinated chocolates think you need more. Awake has about 66/oz; 101 for a 1.55oz bar.  Scho-ko-lade is a 100 year old German formula that combines the caffeine from chocolate, coffee and the kola nut to deliver 95 grams for 6 sections (about as much as what’s in 8 oz of coffee).  And it comes in a nifty round tin as well.  Energems takes a different approach, calling itself a nutritional supplement and puts 15mg of caffeine in each stylish round candy.

– They all taste great and are an excellent excuse to work chocolate into your breakfast routine.

Awakezutaten_tin
energems

 

2.  Vitamin candy – Supercandy, Vitamingum, Vitamincandy

One thing the world didn’t think it needed is candy that is good for you.  All the company officials I spoke with were quick to mention that these are not supposed to replace sensible eating, but “as long as you’re having candy, why not have some vitamins as well” seems to be the prevailing rationale.  We are one very messed up species. – at any rate, there were some tasty examples.

Supercandy comes in hard, gummy and gum forms and promises B-vitamins, antioxidants and electrolytes.    Vitamincandy comes in 6 flavors and most offer a small dose of Vitamin C.  Vitamingum Fresh offers ‘Fresh Breath and 12 Essential Vitamins’.

– Ultimately, though, if you really feel you need to supplement your diet with vitamins, a pill is probably a more practical delivery system.

store-supercandy-gummy_1 vitamincandy vitamingum

 

3.  High-tech breath mints – EatWhatever

Perhaps inspired by 2-part epoxy resins, the folks at EatWhatever believe in “Two Steps to kissable breath”.  In this case, there are two pills – a gelcap that you swallow after a meal (“especially with smelly garlic or onion”), and while it’s de-funking you from the inside there’s also a mint to suck on for instant hit of date-saving fresh breath.

The mint tasted good (like most mints) but I only tried it once and can’t testify to the effectiveness of the 2-part system.  But they claim it works great – – you will just need to be clever to discreetly deploy this system in a date situation.

eatwhatever

4.  New chocolate shapes – Chocolate Moonshine hand painted artisan fudge bars

Just when you thought there’s nothing new, you run across the booth of the Chocolate Moonshine Company of Pittsburgh.  33 flavors, gorgeous presentation, and absolutely terrific fudge.  A bit pricey at $2/bar, but these are an innovative approach to an old product and are a great indulgence (especially if one of the 33 available flavors matches your team colors), and an even better gift.

ChocMoonshine

5.  MEGA candies – more of what you already get too much of

Finally, the good old American approach of “if I can’t give you something new, I’ll give you more of the old stuff”.

MEGA products are basically pumped up versions of old favorites, with absolutely no nod to nutritional benefits, GMO-free, added vitamins or any of that stuff.  If many of today’s new candy products are sensible like a Camry, these Mega products are 1960s V-8 powered muscle cars.

NY-based Megaload Chocolates sells all sorts of weird combinations that you might dream up on a sugar high:  Oreos sitting on peanut butter cups like the Space Shuttle on a 747, or topped with a chocolate chip cookie.  They may need to create one topped with a little insulin packet.

M&Ms MEGAs are comparatively tame, but prove that size matters in the chocolate world.  Same concept, just 3x the size you’re used to.  And the large size is surprisingly satisfying in your mouth.

MegaloadPic

Megaload Chocolates!

MegaM&Ms

 

 

Honorable mentions

–      Tabasco Chocolate – after chocolate with chiles and bacon, this was inevitable

Tabasco

Sugarpova candies – yes, this is Maria’s vanity candy.  And she’s got game here too.  Sometimes you just need a good angle.

sugarpova

Customization (TicTacs) – the only line at the show was for making your very own custom TicTac blend.  Surprised there wasn’t more of this sort of personalization.  There will be.

TicTacPersonalized

 

Milk Flavoring Pods from JohnnyMoo.  It’s a version of a flavored milk straw that has taken two giant steps forward technologically and now looks a little like your very own Space Needle.  But much better tasting. Fun!

JohnnyMoo

–       Tongue tattoos from Tungtoos – Definitely an innovation I didn’t see coming.  Why, you ask?  Because, as the old punchline goes, we can.

Tungtoos

5 Snacks to Watch – Sweets and Snacks Expo, Part 1

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Last week was a double-dip of intense investigative pseudo-journalism. First the National Restaurant Association show, then the Sweets & Snacks Expo.

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Following summarizes The Armchair MBAs discoveries from 5 hours of walking the Sweets & Snacks Expo floor at McCormick Place in Chicago, 5 miles of shoe leather, and way too many samples.

The short story – while the overall sweets and snacks landscape is relatively stable (popcorn, nuts, chips, chocolate, etc), around the edges you could see green shoots of innovation.  And that was about the only green I saw at this show.

Snacks are covered today; Sweets to follow soon.

Snacks – mega trends

Popcorn dominated the floor, with dozens of options in every flavor, claim, and form imaginable. Many were jumping on the SkinnyPop ’35 calories per cup’ bandwagon – – when of course no one has EVER had less than 5 cups of ‘CrackPop’ at a sitting.  It is impossible to describe all the popcorn products that were shown.

Popcorn

–  Flavored nuts, veggie, fruit and grain based chips, and other things that started life simple and healthy and then got transformed beyond recognition.

–  Jerky. Around for centuries, jerky’s high protein/low carb profile has moved it beyond trucker feed to be now ready for its close-up.  At least 20 companies were showing off their jerky.

Here’s a little Brand Extension 101 for you:
–  Expanded category definition: from beef to elk, bison, turkey, chicken, salmon (the salmon jerky is extra high protein, and tasted great  — if sometimes a little chewy)

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RB-teriyaki-jerky

Flavor proliferation: pepper, acaí berry, ginger & wasabi, jalapeño, honey spice, chile ‘n lime, roasted cayenne, etc.

Price stratification: companies like Duke’s are now selling ‘small batch’ jerky at higher prices.

Form differentiation – a company called Kratos is trying to avoid the impending jerky shakeout by positioning (and shaping) their beef product like a healthy protein bar, complete with “Unleash your Warrior” tagline and impossibly fit people on their website.  Nice work, actually.

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5 snack products worth keeping an eye on:

1.  SuperSeedz gourmet pumpkin seeds – high protein, claims galore, 8 flavors and a clever name; delicious

SuperSeedz

2.  EatKeenwa Krunch – the only quinoa-based cluster snack that I noticed, and quite tasty, even if the ‘clusters’ crumbled a bit in the bag

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3.  Ocean’s Halo seaweed chips – if I got the backstory right, 2 dads from Korea who grew up eating seaweed, and 2 dads from the U.S. who grew up eating tortilla chips got together on this – the not-surprising result being a hearty chip that is somewhat reminiscent of sushi. Surprisingly good, particularly with a salmon jerky chaser.  The only seaweed chips at the show.

Oceans Halo big_seasalt3

4. Snikiddy Eat Your Vegetables veggie chips –a strong claim of ‘1 full serving of vegetables in every ounce’, offset somewhat by fat count (7g/oz) which is a bit on the high side for a vegetable

snikiddy_EYV_jalapeno-470x5375. Simple Squares organic snack bars. Reflective of trends toward raw/paleo (minimally processed), simple label products. 5 ingredients, non-GMO, etc.

SimpleSquare

 

That’s it for this installment.  Coming up:  Sweets!