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Shaun @ Tru6's Avatar
 
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Bringing a new food to market

I've made a salsa that is reasonably unique and I think would sell well at Trader Joe's and Whole Foods. Have just finalized the foundation upon which I can build several flavor profiles.

Anyone bring a food product to market? What are the main challenges?

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Old 08-27-2016, 02:56 PM
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Crowded market. Shelf space is extremely difficult to obtain in the big chains.

Try selling at your local farmers market?
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Old 08-27-2016, 02:58 PM
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Can you supply if you can land a deal?
Does the product pass regulations?

If you succeed you are set for life


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Old 08-27-2016, 03:08 PM
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Quote:
Originally Posted by Shaun @ Tru6 View Post
I've made a salsa that is reasonably unique and I think would sell well at Trader Joe's and Whole Foods. Have just finalized the foundation upon which I can build several flavor profiles.

Anyone bring a food product to market? What are the main challenges?
Yes I have.

TJ's will pretty much insist on rebranding the product.

WF will mark it up 100%

But a Salsa product? Either of those places can (and do) make their own.

edit: oh, and prepare to have non-GMO certifications on every ingredient you use.

Read: just forget about it.
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Old 08-27-2016, 03:15 PM
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also you have to have a government inspected facility to cook in or pay a food inspector to be on staff while you are in production. You just can't cook at home and sell the product commercially.
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Old 08-27-2016, 04:13 PM
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You won't be able to get insurance without a whole inspection and certification process.
Old 08-27-2016, 04:17 PM
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My winery partner is in speciality food production. He uses a co-packer for production, pretty standard (and takes care of GWN7's point). Knowing how to scale a recipe is the secret sauce and is challenging.

Ultimately any large chain (not TJ's as mentioned above) is going to want the product in big distribution (Sysco, etc.). You also have to be able to insure against food liability/recall. So the odds are stacked against you. That being said, a great product can become a success. You might be best to build buzz in a local market, then WF.
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Old 08-27-2016, 04:19 PM
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Thanks Don, that's what I thought, I wouldn't have to produce it. There is a small industrial kitchen around the corner from me that produces all of the Armenian foods for the markets around me. It's possible I can get started with them. Fastachi (gourmet nuts) is also down the street. They have grown dramatically in the last 5 years. I may try talking with them for a little insight.

I think it will take me a good 3-6 months for me to get everything in place for just very small scale production and I'll need to do all kinds of market testing. I may be the only one who likes my salsa! While my personal sample size is small, it is different than anything else out there, and wonderfully tasty.

Need a good name too.


Whole Foods

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Old 08-27-2016, 04:37 PM
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I went to a food expo this summer looking for specialty food products to sell. I'd say get in touch with the specialty food markets directly.
Old 08-27-2016, 05:31 PM
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Tru6 Salsa.

Copyright.
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Old 08-27-2016, 06:11 PM
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Damn get ready for a mountain of paper work and quality/health inspections just to start: Do they require 3rd party audits for their suppliers?
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Old 08-27-2016, 06:22 PM
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Can you supply if you can land a deal?
Does the product pass regulations?

If you succeed you are set for life


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My GF makes the best salsa I've ever had. I've been trying to get to to jar it and sell it for years.
I've never been big on salsa before I met her. But I can't put this stuff down. Ill go through several cups worth before I realize how much I've put away.
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Old 08-27-2016, 08:35 PM
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The comments suggesting local and farmers markets reminded me of the success of one of my old baseball buddies.

Here's some info on marketing their bleu cheese dressing.

The article is from 2012.

The testimonials from the website are interesting.

Hillsboro's bleu cheese business born of recession blues | OregonLive.com

Bleu Diamond Dressings - Home Page
Old 08-27-2016, 10:31 PM
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Shaun, you are a man of many talents. My local Whole Foods sells locally made salsa from various small businesses, and it's the best stuff that they offer. So at least it seems like they might be willing to listen if you can bring a viable product.
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Old 08-28-2016, 04:27 AM
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Whole Foods is the easiest store to get local product into. But only on a store by store basis.

They do try to incubate new products, and even offer loans to start-up. (I turned that down. Which may have been a mistake. If they invest in your product, I expect that you will get better shelf space and promotions.)
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Old 08-28-2016, 08:14 AM
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For market/demand testing some things that come to mind:

Wilson's Family Farm
Deluca's Market
Wine & cheese cask

Also what about Haymarket? Salsa alone plus getting your own stand space might be a stretch, but perhaps it may complement something a vendor there has?
Old 08-28-2016, 08:57 AM
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It would be easy to test at the SoWa Market every weekend but that will have to wait until next May unless I can put something together fast, but I don't want to rush this. Lot of planning is needed including a name. The key element to the salsa is its brightness and I think the name should reflect that.

I think I could put a table up at the local big liquor store on Sat & Sun during football season. But this all assumes I have a professionally produced and packaged product. My sense is it will take at least 6 months with a consistent amount of time invested every week to achieve that and I'd have to get lucky with the Armenian kitchen. Or use an incubator like CropCircle Kitchen, Inc.

One fly in the ointment is I'm committed to bringing anodizing in-house for early window frames. That will push this out 2 months.

Good thoughts above, thanks all!

I'll have to start putting a mini-business plan together soon to shake things out and organize thoughts.
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Old 08-28-2016, 09:13 AM
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Bout a year ago a couple of local guys were at the local chain grocery store. They were hocking the new salsa they were trying to bring to market were there giving out samples for about a week. One year later, I don't see it on the shelfs. If it is like most things you need sales records to get distributors to start carrying it. Would think local store managers would be willing to let you put it out there if it is no risk to them. I would want an in isle display or signage to put near where it is shelved to bring attention to it as a new product. Or even better some kind of area advertising that matches the roll out timing into that areas store(s).

Make a very good salsa from scratch myself. Make it specifically to eat with chips but it is a very good salsa. Currently I make 5 gallons a year and give it away by the Quart as Christmas gifts to family, friends, and associates. I package a label it professionally with name ingredients etc. Everyone LOVES it. At first many asked where they could get it and were disappointed they couldn't go buy more. Have been making it for over 10 years. People look forward to it every year. Some even return the jar to make sure they get a refill the next time I make it!

Haven't tried to take it to market even though told I should. Just don't have the connections to making facilities, distribution, and marketing. Like you say it takes time to set all that up. 5 gallons is a lot to make in a home kitchen and I think a bit illegal according to the board of health! Every year the heat is a little different as year to year the peppers do vary in heat. People don't mind. One or two have favorite years based on the heat, but still love it.
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Last edited by RKDinOKC; 08-28-2016 at 10:07 AM..
Old 08-28-2016, 09:37 AM
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Two versions of the salsa made their first, public blind introduction tonight at a Cards Against Humanity party. Best thing I can say is different people liked the two different varieties for their designed characteristics, one being bright, the other having more depth. Bowls and more were cleaned quickly though not a true determination since there was only some jarred Pace available also. Two people liked them enough to comment enthusiastically. Certainly not conclusive but definitely encouraging.


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Old 02-04-2017, 09:14 PM
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