Tag Archives: packaging

Forget about Coffee Pods. Use Coffee Balls

Raise your hand if you drink coffee every day. Yep, we thought so – lots of caffeine is used in students’ lives. Coffee is an essential part of our daily routine. The types of brewed coffee may vary, but coffee is consumed around the world and represents a significant export to many countries.

Americans alone drink 400 million cups of coffee every day; 85% of Americans have at least one cup of coffee at home each day. While estimates vary, about 42% of U.S. consumers own a single-cup coffee brewing system (such as K-Cups). Consumption of K-Cups now exceeds 30 billion units annually. That’s a lot of plastic waste!

While consumers love convenience, that convenience carries a cost to the environment with respect to the waste generated. Although many types of K-cups are now recyclable, couldn’t more be done to marry convenience with sustainability?

The answer to that question is a resounding “yes.” A new coffee brewing system is coming first to France and Germany from Swiss company Migros. The brewing system is called “CoffeeB” and it uses compressed balls of coffee grounds which are encased in a thin, tasteless, seaweed base that can be composted. The coffee balls will be available in multiple blends including espressos to decaf coffee and will include organic coffee options as well. No plastic waste!

Drink up!

Group Activities and Discussion Questions:

  1. Poll students: Who drinks coffee? How much? How is it brewed?
  2. Show video of CoffeeB system: https://youtu.be/49eo8F2H7zY
  3. Show Website: https://www.migros.ch/en/content/coffeeb
  4. Divide students into teams. Have them us their laptops to research the coffee industry.
  5. Build an environmental scan of the factors impacting the coffee industry: social, economic, technology, competitive, and regulatory.
  6. What are the opportunities and threats for CoffeeB?
  7. Alternative assignment: Develop a marketing plan for introducing CoffeeB in the U.S.

Sources:  Rothman, L. (6 September 2022). How a ball of coffee could change your morning routine forever. Tasting Table.

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“Shrinkflation” Takes Hold in Product Sizing

The small things matter. Small in this case meaning the quantity in a package. In case you haven’t noticed lately, prices are going up and contents are going down.

If you’re not sure about this, consider the new sizes of common household products such as toothpaste and toilet paper. Example: A Crest toothpaste once contained 4.1 ounces of teeth-whitening product, but now contains 3.8 ounces. Gatorade was 32-ounces, but not it is down to 28 ounces. And (in case you are counting sheets) a roll of Cottonelle toilet paper has shrunk to 312 sheets, compared to its former count of 340 sheets.

Meal portions at restaurants have also been impacted. At Subway restaurants, the chicken wraps and sandwiches have less meat now. Domino’s Pizza reduced the order size of boneless wings to 8 pieces from the usual 10 pieces. Burger King is also downsizing its nugget meals from 10 to 8 pieces. What is going on?

At first glance none of this seems too alarming, but this movement is called “shrinkflation” and tends to not retreat once implemented. Shrinkflation is when manufacturers cut down on the product size or volume in a package, rather than raising the price on the customary size. This happens during times of increasing raw materials and supply chain cost increases. It’s not illegal, but it does seem a little sneaky. And, once the new sizes and prices have been accepted, new standards are in place for consumers and their wallets.

Are your foods shrinking?

Group Activities and Discussion Questions:

  1. Poll students: What have they observed in their purchases? Are the sizes or prices the same?
  2. Show video about shrinkflation: https://youtu.be/q13_06F4_HI
  3. Discuss why manufacturers are making these changes. What are the reasons?
  4. How is shrinkflation accounted for in pricing?
  5. Discuss various pricing models: demand-oriented, cost-oriented, profit-oriented, and competition-oriented.
  6. Which pricing model is being used with shrinkflation?
  7. Offer an outside assignment for teams of students. Have them visit a local store and examine products that illustrate shrinkflation.

Sources:  Patton, L. (12 May 2022). Fewer nuggets, smaller salads: Shr9inkflation hits U.S. Restaurant Diners. Bloomberg.; Skores, A. (16 May 2022). Inflation up, product size down. Dallas Morning News.; other news sources.

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Fresh Food Vending Machines

Consider the humble vending machines. They are virtually everywhere, and we do mean everywhere! We see them in stores, hallways, offices, subway stations, laundry mats, gas stations, and more. Not only are the vending machines convenient, but they are easy to use, can take cash or cards, and consumers do not have to interact with a cashier or sales person. Easy. Fast. Convenient. And, usually not very good eating.

Yes, the common vending machines as just that – common. They have been around so long that they no longer excite consumers. There is nothing particularly interesting, and virtually little food that is healthy for us. When was the last time you looked forward to eating a meal or snack dispensed by a vending machine?

That may be about to change with the advent of new machines that dispense fresh, healthy food in high density locations. Instead of soda, candy bars, and chips, today’s machines carry salads, yogurt parfaits, pudding, specialty coffee drinks, and much more satisfying fare. Not only are the foods better, the service is faster than stopping at a fast-food joint and waiting in long lines. And, as an added bonus, some of the machines will even recycle the packaging to reduce waste.

Here are few of the new alternatives:

  • Farmer’s Fridge – 400+ machines in office buildings and food courts in six states
  • Fresh Bowl – Seven locations in New York
  • Chowbotics – 100 salad robots that build orders from touchscreens
  • Le Bread Xpress – Five bake machines that cook croissants, pizza, and quiche
  • Briggo – High-end coffee cars that make 100 custom drinks per hour

Hungry and in a rush? Let’s meet at the vending machine.

Group Activities and Discussion Questions:

  1. Poll students: Where are vending machines? What do they buy form vending machines? Why do they buy from vending machines?
  2. Divide students into groups. Have each group take an existing vending machine and work out an update for today’s consumers.
  3. Alternative: Show Web sites of new vending machines dispensing fresh food and have a team of students analyze each vending machine and company.
  4. For each company, determine the target market, where it should be located, and the messaging.

Source: Black, J. (13 February 2020). The machine that lets you skip the salad bar. Wall Street Journal.

 

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