How a Food Processing Company Regained Its Market Position by Resolving Its Product Review Crisis?

A US-based small-scale Food processing company, primarily dealing with processing fruits and vegetables faced tremendous loss as a result of negative customer reviews. The firm was in business for 8 years and had gained consistent growth. But after the pandemic the company started getting critical customer reviews, regarding its canned fruits, the sales dwindled and the company went into loss. Multiple quality checks and inspections were conducted but the company failed to assess the problem. The organization then sought the assistance of Research Nester Analysts, for devising a proactive solution to their crisis through in-depth product analysis.

An overview:

The firm is internationally oriented with a motto of adding value to agricultural commodities to produce a wide variety of processed products. The company first started selling packed fruits and vegetables but the highly unpredictable prices of fruits and vegetables made the company sideline this and venture into food processing.

The company gained a considerable amount of profit from its food processing venture and made it their primary business.

However, after the pandemic, the organization started to receive critical reviews about the canned fruits.

An inquiry committee was set and discussions were held with the R&D and Quality Assurance team, but the problem couldn’t be figured out.

The management hired a Research Nester analyst’s product analysis consulting services to evaluate the products and create an effective solution for the situation.

The Story

Established as a crop-farm company focusing on building farmer communities and helping them serve fresh, nutritious food to consumers. With a team of Agri-enthusiasts, the firm wanted to solve the problem of fresh produce wastage by building a fast and sustainable supply chain that rewards farmers for growing better food. The company didn’t achieve considerable investment return, so the firm ventured into food processing of fruits and vegetables and gained a remarkable amount of profit; owing to the demand for processed fruits and vegetables driven by rising health consciousness among customers and an increase in the vegetarian population. The company did an excellent job of keeping the color, flavor, and nutrients of perishable fruits and vegetables while extending their shelf life. As a result, the products were popular in the market. Things started to go downstream after the pandemic, the company began to get a lot of critical product reviews regarding product quality. The situation went so bad that it affected the company’s sales, the canned fruits were the most affected in the lot. A thorough inquiry was set up and extensive discussion was held with the Quality assurance and R&D teams but the situation couldn’t be resolved internally. The management hired Research Nester to procure a solution and to navigate proactively through the situation.

The Solution:

Research Nester analysts conducted in-depth research on the situation and concluded that the problem is “Clean Labels “, consumer awareness about products is growing and the consumer wants an ingredient list that they can understand. The pandemic acted as a trigger switch for consumer health awareness. The key to recovery for this is that the product should have a recognizable, short, and easy-to-understand ingredient list for clean labels and allergen advice. RNPL analysts also researched the global processed fruits and vegetables Market trends and gave the following pointers:

The company could invest in organic products, as organic consumers though few are loyal to the product and repeat purchases.
Investing in Instant mixes would be a major boost as it is a new rage.
The firm should adopt aseptic packaging.
Conduct online surveys to evaluate the product from the consumer’s perspective.
Revamp their products and conduct strict quality assurance tests
Understand the criticisms that are received and change their product to what the consumer wants and expects.

Results

The company integrated the suggestions given by Research Nester analysts. The firm’s packaging and marketing team did thorough work on designing new labels. This benefitted the company as positive product reviews increased, which in turn, increased sales. The company switched some of its products to aseptic packaging, because which product’s shelf-life could be increased more efficiently; attracting a large customer base. The company achieved a net profit of ~USD 4 billion in 2022 which was a considerable growth from ~USD 1 billion in 2020. All these factors allowed the company to gain a sustainable position in the market and generate a profitable prospect for further growth.

How a Food Processing Company Regained Its Market Position by Resolving Its Product Review Crisis?

An overview:

The Story

The Solution:

Results

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