Food Product Development Flashcards
What elements make up the Marketing Mix?
Product
Promotion
Price
Place/Distribution
What are the exteral factors that impact food product development?
Economic Environment
Ecological Environment
Political Environment
Technological Environment
What are the internal factors that impact food product development?
Personnel Expertise
Production Facilities
Financial Position
Company Image
What economic factors affect food product development?
Inflation rates: cost of ingredients
Interest rate: pass cost onto consumers
Tariffs: affect retail price of food.
Wage and salary levels: high price means high wages
Unemployment.
Natural disasters: affects availability and prices
What are the political influences on food product development?
Tariffs on imports
Legislation: Food standards code, Trade practices act
Quality management and food hygiene regulation: HACCP
Competition and consumer laws: Trade Practices Act
What are the ecological considerations for a new food product?
Raw materials
Packaging Materials
Transport
Energy source and water usage
Waste products
What are the technological changes that affect food product development?
Processing techniques
New packaging technology: MAP
Automated equipment
Improved distribution systems
What are the levels of production?
One-off
Batch
Mass
Continuous
What does the financial position of a company include?
Value of assets
Cash flow
Profit and loss balance
Value of shares
Market share
What is company image influenced by?
Quality
Familiarity
Reputation
Price
Packaging
Availability
Promotions
What are three market concerns?
Health (e.g lite milk)
Dietary Considerations (e.g gluten- free bread)
Environment (e.g iced tea bottles)
What are three societal changes?
Ageing population (e.g frozen meals)
Change in household structure (e. single serve meals)
Longer working hours (e.g takeaway)
What are the Reasons for Food Product Development?
Societal changes Technological development Market concerns Company profitability Consumer demand
Types of Food Product Development
Line Extensions 70%
Me-Toos 20%
New to World
What are the steps in food product development?
Idea generation
market Research
Product Specifications
Feasibility Study
Product process development
Prototype development
Prototype Testing
