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Food SafetySustainabilityLatest headlines

Supply chains

Supply chain transparency is a win-win for brands

Greater visibility drives consumer loyalty, helps meet government regulations and leads to a better understanding of a company’s own processes

By Jorge Izquierdo
supply
As consumers demand more information about the origin and authenticity of the products they consume, brands are seeking to be more transparent. The challenge is to accurately provide a greater level of detail when faced with an increasingly complex supply chain.
July 13, 2017

As consumers demand more information about the origin and authenticity of the products they consume, farsighted brands seek to reach new levels of transparency.

The challenge is to accurately provide a greater level of detail when faced with an increasingly complex supply chain. After all, tracking and documenting every step in the supply chain is no simple task.

Nevertheless, tools that provide greater visibility into each step of the supply chain better equip companies to meet consumer demand for more details about their products and meet government regulations. Furthermore, it provides greater understanding of a company’s own operations for constant improvement.

Concerns that surround safety, quality, ethics and environmental impact are all top-of-mind for companies and consumers. Brands that are transparent and proactive around these issues reap many benefits, including greater consumer loyalty and brand reputation.

Moreover, as food companies are required by the Food Safety Modernization Act (FSMA) to provide documentation and corrective actions should any issues arise, tools that help track steps in the supply chain are not just an asset but a necessary investment.

It makes the supply chain safer, more efficient and simpler to manage. Additionally, with provenance as relevant as it is now, customers take greater interest in brands that are transparent about the origins and authenticity of the food products they provide.

Transparency leads to greater safety

Establishing consumer loyalty is easier said than done in today’s competitive market. It takes a lot more than a few reward plans to keep a consumer.

Brands must create trust and instill confidence in their customers that the goods they provide are of the best quality, safe and authentic.

More than ever, consumers want to understand the journey a product goes through before it gets to the store shelf – and this is especially true for food products.

They worry about how their food products were sourced, processed, distributed and packaged due to health, ethical and environmental concerns. They want to see — beyond what is displayed on the packaging — that the claims a brand makes are true.

New technologies are being developed to deliver more information to both retailers and consumers. Though there is a cost associated with these solutions, it is a strategic investment that offers significant return on investment.

Retail giant Walmart for example, has attempted to provide greater visibility by experimenting with blockchain, a distributed database. The technology gives manufacturers a detailed analysis by having growers, distributors and retailers record transactions securely as products move downstream. Compared to what retailers currently have access to, blockchain provides a lot more information.

This enhanced traceability system could allow for consumers and retailers to have more confidence in a product. Furthermore, the technology’s greatest strength lies in the fact that once a transaction has been recorded, it is practically impossible for it to be reversed or changed. It is a reliable and transparent tool that cannot be corrupted. It also takes safety to a whole new level since in the instance of a recall, monitoring what and where something went wrong is a lot faster.

Discover more at PACK EXPO Las Vegas

To learn more about how a brand can boost transparency, safety and authenticity that helps drive consumer loyalty in today’s competitive and ever-changing marketplace, food manufacturers should attend PACK EXPO Las Vegas (Sept. 25-27; Las Vegas Convention Center). The ability to quickly adjust to evolving industry demands and see challenges as opportunities is the key for continued growth and success. Furthermore, the implementation of new technologies as well as connecting with peers and leaders in the industry are essential parts of the journey.

Co-located with Healthcare Packaging EXPO, PACK EXPO Las Vegas will bring together top consumer packaged goods companies from around the world to explore state-of-the-art packaging technologies, equipment and materials as well as exchange ideas with peers and build professional relationships. The event boasts an expected 30,000 attendees, including 5,000 international visitors from more than 125 countries, combined with 2,000-plus exhibiting companies spanning 800,000 net square feet of a nearly sold-out show floor.

Beyond the technologies displayed on the show floor, attendees will find educational opportunities on the Innovation Stage where suppliers present free 30-minute seminars on breakthrough technologies throughout the day.

Registration, which includes access to both PACK EXPO Las Vegas and Healthcare Packaging EXPO is $30 until Sept. 1, after which time the price increases to $100. For more information and to register online, visit packexpolasvegas.com.

KEYWORDS: PACK EXPO Supply Chain transparency

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Jorge Izquierdo is Vice President of Market Development with PMMI.

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