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| 16 Jul 2008 11:38:11 am |
 Price Increases Slowing? |
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As we all have been experiencing, price increases for disposables have been rampant this summer. Most of the increases (with the exception of the GP / Dixie / Insulair - 9% jump scheduled for August 16th) have been passed along to the market and you have likely seen them by now. We are not aware of any “new” increases announced or on the horizon but at a dinner last week with a knowledgeable friend (from a major disposables manufacturer), I am told we are not yet out of the woods.
The price of a barrel of oil has dropped – a bunch – this week, if that modest trend can continue or at least not reverse itself, it should be good news for all of us. Oil impacts disposables in a disproportionate way; Oil affects input costs such as resins like polystyrene, polyethylene, polypropylene (see yesterdays post re: SBUX) and polyester. But it also affects manufacturing costs (energy) and transportation (diesel fuel) costs. While not alone, disposables are a category that gets hit with a “triple whammy” effect.
Tomorrow we'll publish our inaugural Disposables Pricing Index (DPI) chart, where we try and project future (short term) pricing trends for disposables. Please check back tomorrow for a deeper explanation and to see our first prognostication.
MDA |
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Category : Pricing
| By : Mike |  Comments [137] |  Trackbacks [0] |
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| 15 Jul 2008 01:24:52 pm |
| Vivanno |
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SBUX introduced a new smoothie / "nourishing blend" today called Vivanno.
I stopped in my local SBUX at lunch to try an "Orange Mango Banana" offering ($3.75).... lots of in-store hype and my Barista was particularly into the game - - - trying to get everyone to buy one (perhaps some sort of incentive contest?).
Of interest to us are the Cup and Lid that SBUX has chosen to accomapny the launch. Their cold cup is a custom printed (no surprise) polypropylene (somewhat of a surprise) cup from Berry Plastics. (BIG surprise).
Polyprop is typically a less expenisve and cloudier cup than Solo's crystal clear PET (SBUX's heretofore standard) cold cup and as is printed on the cup uses 15% less plastic than "before" plus 45% fewer carbon emissions. I'll take their word for it on that.
The Dome Lid which came with my drink was the typical Solo PET version. Probably this is an effort by SBUX to limit the number of sku's they need to manage, but if they really want to "go green" ....if they are in for a dime they ought to go in for a dollar...... and use polyprop lids too.....
Another topic for another day, but Solo seems to be quickly losing what had been an iron-clad grip as the primary disposables supplier to SBUX.
MDA |
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Category : Products
| By : Mike | Comments [122] | Trackbacks [0] |
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| 15 Jul 2008 10:59:58 am |
| Welcome! |
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PreDisposed is our Blog (launching today) and is your source for the most current news and opinion on all things “disposable” in the foodservice industry.
We'll strive for at least five posts per week on: new products, manufacturer news, public policy, pricing trends and the occasional totally off topic rant. Please bookmark this site as your participation is welcome!
Later this summer, we'll be launching our new bi-weekly e-newsletter also called "PreDisposed" and when ready, we'll invite you to subscribe to it.
In terms of full disclosure...... PreDisposed in published by Strategic Alternatives, LLC (stralt.com) which is the owner of four web sites that focus on smaller, independent, foodservice owners / operators in specific segments within the foodservice industry. The four web sites are:
BrandedCups.com; Custom printing of disposables in small run sizes
BaristaWorks.com; Independent Specialty Coffee Operators
QwikStock.com; C-Stores, Concession Stand Operators, Small Offices and Nor-for-Profit's
CaterStock.com; Independnet Caterers
Strategic Alternatives, LLC was founded in 2005 by Mike Allen, a 20 year veteran of the International Paper Company, whose last assignment was with their Foodservice Division. By the end of 2005 he had “had enough” and the entrepreneurial urge which had been lurking for years was too much to ignore. With a “good idea”, a nice severance package and the support of his (very supportive) wife he took the leap. Now almost three years later PreDisposed is the latest (and barring an unforeseen development – last) element of the business plan.
We know disposable packaging is not the sexiest Blog category out there, but as an owner / operator you know it is one of your largest expense areas. We’ll try to inform and educate and hope that you’ll visit often and participate.
I promise this will be the last long post. From now on we’ll strive to be pertinent, pithy (?) and precise in our commentary.
MDA |
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Category : Other
| By : Mike | Comments [114] | Trackbacks [0] |
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