Originally Published on: SpendEdge |A leading CPG company zeroes-in on best-fit contract manufacturers with SpendEdge

Unlocking Success Amidst Market Challenges

The landscape of the jams, jellies, and spreads industry in the US and Canada has witnessed a transformation, marked by shifting consumer preferences and concerns. A prominent branded contract manufacturer faced a daunting scenario as market shares dwindled due to heightened consumer awareness about sugar, preservatives, and fat content in these products.

The Shift in Consumer Behavior

• Clean-Label Movement: An escalating trend, with consumers seeking transparency in ingredients. The undefined yet powerful notion of "clean-label" products is gaining momentum, driven by health-conscious consumers.

• Health-Conscious Choices: With a significant portion of the population being overweight or obese, there is a growing emphasis on healthier alternatives. Consumers are scrutinizing ready-to-eat options, demanding products aligned with their health and wellness goals.

• Ethical and Green Labels: The sway towards ethical and green labels such as organic, green, vegan, fair-trade, and non-GMO is reshaping consumer choices. Public opinion is playing a pivotal role in favor of sustainable and socially responsible options.

• Flavor Diversity: The market craves innovation, showcasing an appetite for unique flavors sourced from non-traditional fruits like avocado, chironja, and guanabana.

Procurement Challenges and Solutions

• Competitive Pressures: Intense competition added to the urgency for our client to adapt and thrive. The traditional business model was no longer sustainable, prompting the need for strategic interventions.

• Procurement Expertise: The client enlisted the support of SpendEdge's procurement experts to navigate challenges, enhance profit margins, and reduce operating costs through a shift of cost-intensive operations to low-cost destinations.

Crafting a Seamless Growth Journey

#ProcurementExcellence #StrategicPartnerships

• Thorough Evaluation: SpendEdge's market research methodology, honed over 18 years, meticulously considered factors such as plant locations, equipment types, and quality certifications. This comprehensive approach ensured a nuanced understanding of each potential contract manufacturer's operational and functional capabilities.

• Shortlisting Process: Our procurement specialists, attuned to the client's business requirements, identified and validated key contract manufacturers. A shortlist of five emerged, tailored to meet the client's objectives.

• Timely Execution: Recognizing the urgency, our team swiftly concluded the entire procurement exercise. The client promptly engaged with one of the shortlisted contract manufacturers, with early results showcasing promising outcomes.

Connect for Seamless Growth

Embrace a Future of Success in Food and Beverage Manufacturing

If you're a player in the food and beverage industry, navigating challenges, and seeking growth avenues, connect with SpendEdge's sourcing analysts now. Elevate your organization's trajectory with procurement best practices and partnerships with best-fit contract manufacturers.

Contact us.