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| StarKist Seafood last year introduced flavored tuna in a pouch, including a choice of hickory smoked, zesty lemon pepper and herb & garlic tuna. |
NEW YORK (CNN/Money) -
It may be "America's Favorite Tuna," but StarKist Seafood's canned tuna was looking a little dull on the store shelf.
So after some soul-searching, the company decided that the product was fine but that perhaps the packaging needed some pizzazz.
In 2000, StarKist Seafood, No.1 supplier of packaged tuna and division of Del Monte Food Company (DLM: Research, Estimates), made a dramatic change by putting tuna in a vacuum pouch.
The functional benefits were apparent: The pouch was easier to open compared to the can and consumers didn't have to deal with the mess of draining the water first.
Visually, the tuna pouch looked more attractive, with brighter colors and the mascot Charlie the tuna figured prominently on the front.
Did the strategy work?
According to Michelle Murphy, spokeswoman for Del Monte Food, sales of tuna in a pouch have grown steadily since its launch four years ago.
Last year, the pouch category accounted for about 13 percent of the overall $1.5 billion packaged tuna sales, up from just 3 percent in 2000.
"This was a category that hadn't seen change in decades and sales have been flat for a couple of years. Canned tuna is viewed as a stable commodity but not necessarily an exciting one," said Murphy. "Product innovation was a means to change that perception."
Branding experts agree with Murphy's views that it's vital for consumer products companies to differentiate their brand more than ever in a fiercely competitive marketplace defined by aggressive price and advertising wars.
"Assuming that the product itself is good, the intention with the packaging is to get consumers to remember it and recommend it to other consumers. That's a true sign of its success," said Scott Lucas, managing director with global brand strategy firm Interbrand.
While a terrific-looking product has a better shot at success, a poor packaging choice can pretty much guarantee a flop.
Remember the Special K Plus Kellogg's breakfast cereal that was packaged in a box resembling a thin milk carton? The box could be reclosed with a little plastic clip that was sold on the carton.
According to a review of the product by New ProductWorks, a Michigan-based product marketing consultancy, the box actually contained the same number of servings as the traditional cereal box but looked smaller.
Consumers may have been confused into thinking that they were paying the same price for less product.
Whether their packaging tricks pay off or not is a risk that consumer products companies have to take in order to hold on to their market share, said branding consultant Robert Passikoff with Brand Keys.
"The fact is that you don't want the consumer to get bored with your product or they'll easily substitute it with something else," said Passikoff.
And the gimmicks keep coming.
For instance, Lt. Blender's Frozen Concoctions recently launched Margarita in a Bag. Add liquor and water to the film bag, freeze and squeeze for a margarita.
According to a Packaging Digest, the product asks users to "think outside the blender," and tells the tale of Lt. Blender, a story loosely based on an actual Vietnam officer who was born on a Caribbean island and later held back the "forces of thirst."
Mary Ann Falkman, editor-in-chief of industry publication Packaging Digest, said she's iffy about beverage products in bags and plastic tubes. It's a fun concept but can be messy to use.
"The tube-type products hit early last year. We've seen yogurts, Jello and pudding in this type of packaging. It's innovative but I don't think it will be highly successful," said Falkman.
However, others say consumers are eager to buy more of such products for the convenience factor.
"The tube yogurt is a life-style type product. More people than ever before are eating on the go and this product caters effectively to that need," said Suzanne Hogan, a brand strategist with Lippincott Mercer.
For its part, consumer products behemoth General Mills (GIS: Research, Estimates) said sales of its Yoplait Go-Gurt tube for kids launched in 1998 have done very well because it's "fun, convenient and portable."
Other products to look out for include Miller Brewing Company's first fridge dispenser pack of beer cans and General Mills' Betty Crocker Pour & Frost, the first pourable cake frosting designed for use in a microwave.
Procter & Gamble (PG: Research, Estimates) this month will launch "Scentstories by Febreze," which is a specially designed disc player with a variety of scent-themed discs that lets you select a Scentstories disc just like you'd choose a music CD.
Each disc is reusable for 20 plays or 50 hours and includes scents like "strolling through the garden," "wandering barefoot on the shore" and "shades of vanilla."
And how do you make white rice more interesting? Put it in a pouch, apparently. Masterfoods, the maker of Uncle Ben's brand rice products, is giving consumers ready-to-eat rice in a microwavable bag. Cooking time: A speedy 90 seconds.
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