Professor David Hughes

Sharing Business Values with Value Chain Partners

David — Sat, 09 Jul 2011 18:04:56 +0000

Gone are the days when Corporate Social Responsibility (CSR) initiatives could be considered “nice to have” projects to work on when business conditions are favourable.
The way we do business is changing and “triple bottom lines” are here to stay. Choosing value chain partners who share your views on business’ social responsibilities will be essential to future commercial success.

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Fish and Seafood Retailing in Portugal

David — Thu, 19 May 2011 18:36:15 +0000

Portuguese families give the Japanese a good run for their money on fish consumption. David explores seafood retailing in Lisbon and explains why comparative per capita meat consumption figures across the globe should be taken with a pinch of salt!

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The Global Trends and Their Impact on the Food and Drink Industry: 2020 and Beyond – Part One

David — Tue, 15 Feb 2011 18:00:54 +0000

Impact of Global Trends on the Food and Drink Industry: 2020 and Beyond Socio-Economic and Demographic Factors.

The First of three podcasts prepared in January, 2011, where the business implications of the twelve emerging trends are explored.

David builds on research work published by the Consumer Goods Forum in its “2020 Future Value Chain” report (2011).

Socio-Economic and Demographic
Shifting of economic power globally
Increasing urbanisation
Increasing spread of wealth
Ageing population

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Global Trends and Their Impact on the Food and Drink Industry: 2020 and Beyond – Part Two

David — Tue, 15 Feb 2011 17:45:52 +0000

The Impact of Global Trends on the Food and Drink Industry: 2020 and Beyond

Health & Well-Being and “Green” issues

Increased importance of health and well-being
Growing consumer concerns about sustainability
Scarcity of natural resources
Increase in regulatory pressures

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Global Trends and Their Impact on the Food and Drink Industry: 2020 and Beyond – Part Three

David — Tue, 15 Feb 2011 17:25:02 +0000

The Impact of Global Trends on the Food and Drink Industry: 2020 and Beyond

Emerging Technologies for Consumers and Industry

Adoption of new communications technology by consumers
Increase in demand for consumer services
Rapid adoption of supply chain technology by industry
Impact of next-generation technology by consumers and industry

The Impact of Global Trends on Your Business to 2020 and Beyond

David — Tue, 15 Feb 2011 16:53:39 +0000

It’s time to look up and out from your business! There are three sets of global trends that are and will have a profound impact on your business through the remainder of this decade and beyond.:

Socio-Economic and Demographic
Shifting of economic power globally
Increasing urbanisation
Increasing spread of wealth
Ageing population
Health & Well-Being plus “Green” Issues
Increased importance of health and well-being
Growing consumer concerns about sustainability
Scarcity of natural resources
Increase in regulatory pressures
Impact of Technology on Consumers and Industry
Adoption of new communications technology by consumers
Increase in demand for consumer services
Rapid adoption of supply chain technology by industry
Impact of next-generation technology by consumers and industry

In three podcasts prepared in January, 2011, the business implications of the twelve emerging trends are explored. David builds on research work published by the Consumer Goods Forum in its “2020 Future Value Chain” report (2011).

Please find these in my Latest Global Food Observations and Observations and Issues podcast section.

Why Poor People Eat Out More Often than Rich People!

David — Tue, 21 Dec 2010 14:23:02 +0000

Street Food Bargins in Emerging Countires:

Why Poor People Eat Out More Often than Rich People!

Mr. Boon and his mobile business – “Stop me, and buy a delicious, chicken with noodle soup”

“Mrs Lek with her fashionable hat and a hand cart of fast food goodies”

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Note to Food Industry Managers

David — Fri, 01 Oct 2010 13:57:26 +0000

Sitting in Delta’s Business Lounge waiting for my flight from New Orleans to London Heathrow, I was flicking through the family and lifestyle magazines displayed. Sad sack? Get a life? No, it’s a great way to keep up with emerging consumer trends, and what’s hot and what’s not. Martha Stewart’s “Living” magazine is a case in point. Remember, Martha? An entrepreneurial dynamo who had a leisurely few months at the expense of the American taxpayer for indiscretions relating to share dealings. Her October magazine edition is brimming over with Halloween ideas (“125 smart, sweet and spooky ways to celebrate the season”). My particular favourite was the 8 foot tall and 15 foot long inflatable “Grim Reaper” sitting on a horse-drawn cart loaded with a huge pumpkin -inflates in minutes and requires four AA batteries (not included!). Martha’s got a “farm” in Massachusetts with rare breed chickens, turkeys, geese, a mini-flock of Welsh Black Mountain sheep and a donkey or two. Milk cows are on her list.

What did I notice?:

The moustache theme of generic milk advertisements is used on both sides of the Atlantic Ocean – milk is synonymous with fitness and health. Mind you, milk doesn’t just come from a cow. Soy milk, you say? Sure, but there’s also almond milk – “For 120 calories, Silk PureAlmond dark chocolate milk provides the decadence you want plus 50% more calcium than milk, zero saturated fat and zero cholesterol”;
The functional food sector in Europe is seeing growth stall, not least because of EU regulations constraining almost all health claims. Not so in the USA – “Keep your joints happy with JointJuice”, a blueberry and açai juice concoction that promises happy knees when taking the stairs;
There is a clear trend for ingredient simplicity and purity across many regions of the world. The advertisement for Nature’s Pride 100% Natural 100% Delicious bread cleverly advises us that “No one ever says “Mmm, sodium stearoyl lactylate” – At Nature’s Pride, we don’t think you should put anything in your mouth you can’t pronounce”!

There’s lots more and Martha is tipping Tuscan Kale as the next brassica to boom. Mind you, brassicas need a boost in the US and the UK for that matter ever since George Bush Senior advised the American nation that he “didn’t have to eat broccoli any more now I’m President of the United States of America”!

Farmers are Back in Fashion!

David — Fri, 01 Oct 2010 13:29:22 +0000

I can’t help noticing that farmers are back in fashion! Through the last 40 years of the 20^th Century, the farming sector was rocked with scandals relating to Mad Cow Disease, Foot and Mouth outbreaks, environmental pollution from the intensive application of herbicides, and anti-biotic excesses in pigs and poultry. Farmers in developed countries of the Northern hemisphere were seen as being the problem not the solution to food security and the word security was synonymous with safety and not supply availability. In the UK, the “A for Agriculture” word was even removed from the Ministerial Department responsible for farming – DEFRA emerged, i.e. the Department for the Environment, Food and Rural Affairs.

There is nothing like a good food security/supply scare to remind consumers and, indeed, manufacturers and retailers, that our daily bread just doesn’t automatically appear on the shelf. It takes farmers to grow wheat, milk cows, and plant fruit and vegetables. Increasingly, consumers want to know “where does our food come from? Can we trust it?”. In a surprisingly wide range of countries around the globe, I see farmers being featured on supermarket shelves, and in national advertisements for major food brands – Warburton’s, the sliced bread market leader in the UK. reminds us that its bread wheat comes from the fields of the smiling farmer in the ad. Five years ago that would have never been the case – most urban consumers wouldn’t have known or cared that wheat was the major ingredient for most breads.

This is good news for all businesses associated with food. We want consumers to have full confidence in our industry. We want them to understand how their food is produced and the care that is taken at every stage as it moves from farm to retail outlet. We want them to know that producing food is different than manufacturing toasters and TV’s. We put food in our mouths and it nourishes our children. A big “Hurrah” for farmers being back in fashion!

Demonization of the Modern Food, Fibre and Drink Industry

David — Fri, 01 Oct 2010 12:43:32 +0000

The global food, fibre and drink industry is in the dock! What’s the charge? Threatening the health and well-being of:

The Planet – issues relating to sustainability, climate change, resource conservation, biodiversity, etc.;
Consumers – food safety scares and perception that, on the epidemic of obesity, the food and drink industry is part of the problem and not part of the solution;
Supply chain participants – big corporations are bullying smaller suppliers and their workers;
Animals in agriculture – at least, in intensive livestock production, where animal welfare standards are criticised

Who’s making these charges? Special interest groups, consumer-citizens and low- and high-brow media particularly in North America and Northern Europe. Influential authors include Michael Pollan, David Kessler and Eric Schlosser. The implications for the industry are profound and, without a doubt, “The Green train has Left the Station” (see podcast)! Those most under scrutiny are the big brand players – both manufacturers and retailers. They have the most to lose, i.e. the reputation of their brands. Complete transparency in the supply chain, even down to micro-ingredients, will be essential. Those that provide inputs to final products will need to understand and be in concert with the values that the big brands stand for. From an industry perspective, we need to increase dialogue with those special interest groups that are willing to listen to a point of view other than their own. The extremist don’t want to and won’t listen! Those that represent our industry and its sectors should be “First Team” material – people who can talk with passion and authority on why we do what we do. The opposition does not put out their second team. In short, the food industry needs to be on the front foot and not characterising itself as being “the victim”, constantly on the defensive. We’ve got great stories and consumers need to hear them more often.