Creating a new food category - Insights from stakeholders in the Swedish Market

Abstract: Title Creating a new food category - Insights from stakeholders in the Swedish market Author Silvia D. García González Division Packaging Logistics, Department of Design Sciences, Faculty of Engineering, Lund University Supervisors Märit Beckeman and Karla Marie Paredes Issue of Study The food industry faces a large number of challenges. For that, companies need to understand the dynamic of its industry and built strategies to face those challenges and go beyond. Innovation could be used as a strategic change process. One previous study related to Swedish food innovation suggests that creating a new category could be considered one success criterion to achieve innovation. Moreover, creating a new category could not just be launching a new product but creating new market shares, new experiences and new solutions for the consumers. Provided that, the author decided to explore elements for the positioning of a new food category on the market based on insights obtained from some stakeholders within the Swedish food business. Purpose To obtain insights of how a new food category could be created by (1) reviewing potential drivers and challenges, (2) examining the evolution of some examples of category creations and (3) identifying the role of different stakeholders. Method An exploratory study was carried out with an overall qualitative approach, considering a mix-method. The mix-method included: literature survey, 15 semi-structured interviews considering two case studies. The collected data was processed by triangulation of the multi-sources of evidence, and data analysis was performed by thematic and cross-case analysis. Findings were aimed to answer the research question. Finally a set of conclusions and recommendations for future research was done. Conclusion The creation of a new category is not a one-moment event but a process that needs evolution. The life cycle of a [food] category faces drivers and challenges along the cycle. A simple introduction of one innovative product could be the start up of a potential category. Once a group of products share common targets and/or characteristics, a category is born. Then, the category starts to grow until it becomes mainstream and its time frame will be shaped according to market needs. A road map for the creation of a category was suggested by (1) identifying an opportunity, (2) discussing with potential partners, (3) building a solution for a specific need, (4) constantly upgrading the company and solutions, (5) being visible at the market place and (6) attracting the mainstream consumers. Considering the food value chain, each stakeholder has a role. One key driver is to maintain strong relationships. Retailer and food manufacturer could start a new category. The marketing research body mainly monitors opportunities and provides service and information to the units that develop the product and service. On the other hand, packaging suppliers play a role in the development of alternative products as a solution provider of added-value elements to differentiate a product that could help to start a new category. Lastly, academia plays a triple role, one as an educator of principles, also as a research body of new knowledge and as a collaborator with the industry.