BOLZANO-TI YOGURT

By Tabatha Schmidhauser

PROVINCIA AUTONOMA DI BOLZANO

Mountain-side farming in the province of Bolzano (Bozen) in Italy

Provincia Autonomy Di Bolzano or South Tyrol (Italian name: Alto Adige) is an autonomous province in northern Italy. It is one of the two autonomous provinces that make up the autonomous region of Trentino-Alto Adige. The province has an area of 7,400 square kilometers and a total population of 511,750 inhabitants (2011). Its capital is the city of Bolzano.

Climate

Located at multiple climate borders, Bolzano features a humid subtropical climate with hot summers (just sufficient to be called 'subtropical') and relatively cool winters. Some of its suburbs feature an ocean climate due to some cooler summer temperatures, while mountains in the area may feature a continental climate

Economy: AgricultureThe region has high quality intensive agriculture, especially for fruit, wine and diary products.

Statistics on evolution of environmental issue in the Province of Bolzano

Territory

Year 2000 2001 2002 2003 2005 2006 2007 2008 2009 2010 2011 2012

Type of problemdirty streets

32 33.8 31.1 32.4 32.6 34.9 34.1 29.5 31.2 30 29.1 27.6difficult parking

38.9 41.7 40.8 42.3 41.9 41.7 41.4 39.5 39.5 39.6 38 35.8difficulties of links with public transport means

29.7 30.9 29.7 31 30.2 30.2 30.5 29.4 29.2 29.5 28.6 28.8traffic

47.6 47.6 48.3 50.1 47.6 46.1 46.7 45.8 45.2 42.6 41.2 38.4air pollution

39.9 39.9 40 40.9 41.7 40.9 43.6 41.5 39.3 38 36.8 35.7noise

38 38.5 37.8 40.5 37.8 35.6 36.8 36.1 35.5 32.9 32.6 32crime risk

30.6 30.8 29.2 27.4 29.2 31.9 34.6 36.9 29.7 27.1 26.6 26.4irregularities in the water supply 15 16.2 14.7 17 13.8 14 13.2 11.8 11.5 10.8 9.3 8.9not confident in quality of tap water

44.7 42 40.1 40.1 35.8 36.7 35.4 32.9 32.2 32.8 30 30.2

Observation: Looking at the data set and comparing it with other region in the country, we can see that the Province of Bolzano is fairly ecologic. The level of “environmental friendliness” is perfect for farmers and appropriate for natural food growth.

Number of farms and areas: Province of Bolzano

Territory Provincia Autonoma Bolzano / Bozen

Measure absolute valuesClass of agricoltural area used total

Form of management totalAltitude total

Time and frequency 2007

Data type farms area (hectares)

Type of cropagricoltural area used 20856 258010.39agricoltural area used total crops 3615 4480.52

total woody agrarian cultivations 10977 24358.59kitchen gardens 12571 183.55total permanent pasture and meadow 13687 228987.73

total trees for wood 1 2total woodlands 12694 251567.47agricultural area unutilized 1240 5167.26other areas 19149 35218.58total area 20857 549965.7

Observation: Here we can see that Bolzano Province has a great potential for farmers. The total area is very large and every type of agriculture is possible. As a result, looking at sheep breeding, it is opportunities for the animals to grow and live on a completely natural diet, with flourish nutriments.

BRAND IDENTITY

Mission: Provide our customers with ethically produced and 100% organic and healthy products.

Brand promise—Through luxurious resources and unique ethical methods, we promise to provide our customers with:

• 100% Organic/ premium quality Italian yogurt skillfully prepared by artisan and professional producers.

• Made with 100% organic ingredients• Prepared according to authentic, traditional recipes.• Wholesome, easy-to-prepare, great tasting daily foods for optimum nutrition.• No artificial additives, MSG, colourings, preservatives or refined sugars.• Ethically sourced products, which support producer communities.

Brand values—Every business decision related to your brand should align with its values. The brand values are the code by which your brand lives. Every day.

We believe in organic food and the benefit of a healthy organic diet We support local communities by only adding local producer products We are environmental friendly through our products, methods and

vision

Brand personality/ philosophy

Provincia autonomias di Bolzano is a magical region, with an incredibly productive land and healing properties flowers. With an exceptional climate, and different attitudes level, the province of Bolzano is the spot to find miraculous plant like the so-called Amarcrinum memoria-corsi, which as only be found by the pioneer and farmer of the region: Bernard Bolzano. Millions of people are going to this region every year hoping to find this plant. Since 1854, only Bernard Bolzano, which the region has been named after, have found it and decided to help the community and heal other people instead of himself. Our sheep are wild and constantly travelling on these same mountains. We believe they are eating these plants and that is why our milk has incredible properties.

Brand positioning statement:To educated, healthy and environmentally concerned women, who what to do as much for overall health as they can, Bolzano-Ti is the healthier and most naturally tasty yogurt that gives you the sensation to be …That is because…

the ingredients used to make the Bolzano-Ti yogurt are carefully chosen and controlled for their organic authenticity, the final product is worked on his highest potential.

Testing studies shows that 90% of Bolzano-Ti consumers feel mentally and physically more healthy and 60% admitted that it improved their quality of life.

Belief System: A healthy and environmentally concerned brand, which offers a prestigious product made up of rare and unique ingredients.

Target: Provide our consumers with joy and happiness. We want them to feel healthy but more importantly happy about their choice.

THE SHEEP

Cornella Bianca dell'Emilia RomagnaItalian breeds of sheep

Bred only in 3 regions in Italy, the Cornella Bianca dell’ Emilia is endangered. As a result this race is highly protected and only used for milk production. The milk as an incredible flavor due to a 100% natural sheep eating and an exceptional climate in the region of Bolzano. This milk is really rare and therefore we decided to go for a production of yogurt, which match the first particularity of this milk, natural, healthy and tasty.

Morphological and economic characteristicsSize: medium-large Height at the withers:- Male: 85-90 cm - Female: 75-80 cmWeight:- Male: 80-85 kg - Female: 65-70 kgUni coloured: white.Uses: milk and meat. The breed is adapted to the local environment (hills and plains).

Best quality milk, Feed= Generally sheep are grazers and prefer to eat grass, clover and weeds, and wild flowers from the Alpes that a unique taste to the milk.

YOGURT COMPOSITION AND BENEFIT

THE MILK

Sheep Milk Sheep are among the most useful of domesticated animals, producing a sustainable supply of milk, meat and wool. A hardy species, sheep thrive on hillsides unusable for agriculture, and, like goats, produce far less methane than cows. Their milk contains up to twice as many minerals (including calcium, phosphorous, zinc and the important B vitamins) as cow's milk. Like goat's milk, it has small fat globules that are easily digested and it’s a rich source of iodine, which is useful for those with thyroid problems. Unfortunately, it’s almost twice as fattening as whole cow's milk and has many more calories. It’s also unsuitable for the lactose intolerant and babies. Although it contains higher levels of butterfat, it’s actually lower in saturated fat than other types of milk. Taste-wise, it’s richer and creamier than cow’s milk but without the faint tanginess of goat’s milk.

The high content of calcium and zinc make it extremely beneficial to health. Taking high amounts of calcium is mandatory after each severe and disabling disease. Zinc is essential for healthy skin. The ratio of calcium and phosphorus in this milk is almost perfect, which makes it very easy to ingest.

Sheep milk is a valuable tool in the fight against osteoporosis, because it also contains very high amounts of vitamin D. People who suffer from lactose intolerance, think it is best to stick to sheep milk because it’s lactose is not as dangerous as in goat and cow milk. Sheep milk improves your digestive tract.

The healing properties of sheep milk are largely associated with the easily digestible portions of minerals and vitamins that it contains. This makes it a

really invaluable therapeutic product that is often prescribed to prevent calcium deficiency, folic acid and B12 vitamin.

Sheep milk has a beneficial effect in patients with asthma and those suffering from severe skin diseases. It is the perfect tool to clean up the blood.

Nutritional value for 100g: Comparison table:

Sheep's Milk is healthier than Cow and Goat's Milk

> tastes and smells better and makes better tasting, richer, and smoother cheese and yogurt> easier to digest and less of a problem for people intolerant to cow's dairy> contains more vitamin A, Beta carotene, vitamin D, vitamin E, Vitamin C, Thiamin, Riboflavin, Vitamin B6, Vitamin B12, Nicotinic acid, Pantothenic acid, Biotin, Folic acid, calcium, protein, iron, magnesium, zinc, and medium chain amino acids. (Nutritionally, "The only other milks that can be compared with it would be that of the camel and the water buffalo.")> "The calcium: phosphorus ratio in sheep milk is nearly perfect"> contains double the amount of butterfat > the fat globules in sheep milk are smaller, more homogeneous and therefore more easily digested > contains more medium and short chain saturated fatty acids, which is believed to enable higher lactose absorption> contains more medium chain triglycerides (MCT) > 3 times more whey protein: anti-inflammatory and anti-cancer properties> the lactose in sheep milk has been found to be better tolerated

Disadvantages> more expensive> rarer and thus less conveniently obtained

VARIETY OF PRODUCTS OFFERED

PLAIN WHOLE MILKA lot of nutritional benefit for our soul and body health

NUTS: Italian ProductAlmonds, Pistachios ,Pine Nuts ( aka pignoli nuts),Hazelnuts, Chestnuts

ITALIAN SPICES AND HERBS:Nutmeg (very expensive), ginger, basil…

Unusual Flavors, but highly beneficial:* - Chamomile* - Echinacea* - Saffron* - Asafetida

FRUITS: Italian productApple, apricot, figs, citrus, blueberries, tomatoes and vegetables

Because we find different health nutritional benefit in each of this category, we proposed all kind of flavor. However based on research the yogurt flavor most sold in the UK is strawberry, other red berries flavor and vanilla. As a result, we will produce a lot of these flavor and less of the other. If the sales for the other flavor grow, we will definitely review our productions.

FRUIT AND NUTS ACCORDING TO SEASON

Because we are respecting the environment and the local producer, we only offer the yogurt fruit / nuts according to the season of growth in Italy. As a result our yogurt menu will vary on the seasons.

MARKET ANALYSIS

Sales of Yogurt by Type Uk 2012

Through this set of data, we can see that the luxury and plain/ natural yogurts' sales is growing. Bolzano- Ti yogurt is operating in the luxurious organic yogurt market and these information are encouraging. The volume of these specific yogurt segments very big compared to the other and is currently growing, which will be beneficial for our brand.

From these charts, we can see that diary products have quite a high market share in the organic market. Because this trend is growing and people are getting more aware of healthiness and the benefit or organic food and the body, this trend is going to increase in the next year. Here is the opportunity to take a place in this organic market and in catch the customers at an early stage.

The market for organic yogurt is the largest and most established sector of the organic dairy market. In 2005, the organic yogurt market was worth more than £90 million – representing a 21% increase since 2004. This compares with the total yogurt market (organic and non-organic) which saw a 1.8% increase in sales over the same period.

The growth in organic yogurt sales is due to an in increased consumer awareness and new product launches, particularly in the children’s and Greek yogurt sectors. Branded organic yogurts account for most sales: in 2005, Yeo Valley had a 55% share of the market, with Rachel’s Organic accounting for 14%, Vandemoortele 11% and own-labels accounting for a 12% share. The remainder of the market is made up of smaller, often regional brands. Sales figures for the first quarter of 2006 indicate that the organic yogurt market will be worth more than £110 million by the end of the year, which could be an opportunity for our own brands.

CONSUMER ANALYSIS

Health concern UK / Consumer attitudes towards health and yogurt

ORGANIC PERCEPTION

Age for organic consumption: Analysis

Household organic consumption analysis

Gender: Organic foodResults obtained through research and structural equation analysis indicates the model for men ( 2/df=1.76 p<0.01, CFI=0.907) as well as the model for women χ( 2/df=1.87 p<0.01, CFI=0.857) can be considered acceptable, they suggest χ that women are more proactive in the consumption of organic food. Women are more motivated due to eating a healthy diet, men are more influenced by their social circumstances. Motivations and primary factors pushing consumers to purchase organic produce: health, taste, fewer chemicals and animal welfare. As such, we will use these elements in our communication / marketing campaigns and we aim to reinforce positive organic messages and increase purchase frequency.

CONSUMER PROFILE ON ORGANIC FOOD

Female: about 61%Male: about 39%

= Based on the result, it would make sense to target mostly a female audience

Age: Organic foodHeavy buyers: 16-36: 30% / 35-54: 39% / 55+: 31%Medium buyers: 16-34: 27%/ 35-54:40 % / 55+: 32%Low buyers: 16:34: 23% / 35-54: 35 % / 55+: 42%Based on the result we need to target an audience aged between about 30 to 50 year old.

Lifestyle: Organic foodIt as been found that heavy organic buyers are keen into sports and have a very active lifestyle.They care a lot about the environment and health. It is essentially working people, as they have the buying power to make the purchase, however stay at home mum are taking a great part of the total organic consumption market.

Demographics: Status and class: Organic foodBased on the survey, the strongest relationship with weight of organic purchasing was found to be social grade, with those from the higher social grade ABC1 being more likely to be heavier purchasers. It has also be found that whilst the supermarket was the main outlet for purchasing fresh produce for all groups, heavier organic buyers were more likely (than other groups) to use local convenience stores, markets (local and farmers) and farm shops.

RESULTING MARKETING PLUS:Organic advocates and organic environmentalists already have positive opinions on organic produce, however we want to reinforce their beliefs through strong campaigns highlighting messages centered around health, taste and quality (their current motivations when they do purchase), as well as the environmental benefits for the latter segment. Furthermore, to “hidden” the cost of this product we will emphasis on the health benefit and make their believe and prove them their money is worth it.

Resulting: Targeted Consumer:

Health concerned, love for good food, environmentally friendlyWomen from 30 onwardsMedium to high Income

Rural or Urban (Differently advertise)Lifestyle: Active, sports and healthy in all areas

ABC1 Social Grade mostly

CONSUMER ATTITUDES

Observations

From this table and analysis we can see that 62% of consumer buys organic food because they believe it has fewer chemicals and therefore healthier. The taste comes in the fifth position however through our marking campaign we will play on all of these factors to accordingly persuade our customers.

Prices:Even though organic food is more expensive that casually produced food, organic buyers believe the quality is worth the money. Price is indeed an important factor to consider while selling organic food because it is one of the first reason why people do not buy organic food.

Health Benefit:Some consumers are not convinced organic food is healthier for their body and this is the second reason why they are not buying organic food. Furthermore according to the survey, the organic product range is not varied enough and people do not have access to it everywhere.

Reasons for the purchasing Organic food:

We indeed agree with this statement and therefore our target audience is middle to high class is a correlated level of income.

All in all, the segment of organic products occupies an increasingly important place in dairy assortments. The European Union (EU) introduced a new EU organic logo in 2010 with the aim of harmonizing its organic sector and boosting consumer trust in organic food. Consumers evaluate organic yogurt as superior compared with conventional yogurt on healthiness, environmental friendliness, quality, and safety. More frequent buyers of organic yogurt have a stronger belief that organic yogurt is superior. The willingness-to-pay for organic yogurt ranged from a premium of 15% for nonbuyers to 40% for habitual buyers, indicating the market potential for this product. A structural equations model reveals the positive association between knowledge, attitudes, and the frequency of purchasing and consuming organic yogurt.

MARKETING STRATEGY

PACKAGIN PROPOSITION

Packaging:

From this side of our strategy we concentrated on our ethicality towards the environment. We chose a container that is 100% recyclable and we encourage our consumers to re-use it. Because we have a partnership with a wooden recyclable company in the UK, we are able to recycle the containers and re-use it again and over again. The environment is a core value to our company and we do everything in our power to protect it from pollution to climate change. Buy putting our hand on the packaging production, the sheep breeding and our marketing campaign we aim at directing the society towards environmentally friendly eating habits.

Labeling:

This is a proof of our commitment.Environmental concern:A stamped label on the wooden container will show the consumer that we very much care about their health and the environment.Health concern: OrganicOften people de not believe that some products are 100% organic. By literally showing them through the legal and recognized label, we wish to attract their attention on the truthiness of our products. = We are not liar and we hold our promises.

SELLING PLACES

La Fromagerie Café La Fromagerie

Tibits (vegeratrian) Harrods

Local Markets: Whole Food

Tibits: Tibits stands for fresh, healthy, delicious food and drink. It is a place relaxed and uncomplicated, where customers can enjoy tasty, healthy products from early morning through to late evening.

Amico Bio: Amico Bio is a vegetarian and organic restaurant on Cloth Fair. They serve a variety of Italian fare made with seasonal produce, which definitely represents the value we want to deliver to our customers.

Borough Market: Borough Market: Borough Market is London’s most renowned food market; a source of exceptional international produce. We hold a stall to represent our exceptional Italian product including the BOLZANO-TI yogurt. The market has become a vast repository of culinary knowledge and understanding. This environment enables consumers to explore, to ask questions, to discover new flavors and to savor a unique atmosphere.Borough Market’s vision is to enrich the quality of life of the local community and to build on its reputation as a center of food excellence.  By being in total correlation with our vision and values, borough market is the perfect place for our company to well our products. Like ours, their mission is to be a viable and sustainable, independent, quality food market, rooted in the local community.The surpluses generated by the market are reinvested in support of our charitable aims, to ensure we remain an important open space and public

amenity for the benefit of those who live and work around us, and in protecting the historic nature of the market, which shall be run sustainably for future generations to come.

Whole Food Market: They have a Passion For Food:We appreciate and celebrate the difference natural and organic products can make in the quality of one’s life.Quality Standards requirements:They have high standards and their goal is to sell the highest quality products they possibly can. They define quality by evaluating the ingredients, freshness, safety, taste, nutritive value and appearance of all the products they carry. Likewise our company, they care about the environment and the community. Their mission statement respects what we value the most: "Whole Foods, Whole People, Whole Planet" Harrods: We chose Harrods because this place has always prided itself on a reputation for excellence, that nothing is too much trouble to their customers, and they can find the finest-quality merchandise.They aim at being the number one department store in the world for luxury branded merchandise, maintaining an unprecedented level of retail standards, expertise and profitability.Through a combination of product, innovation and eccentricity, they aim to provide every customer with a truly unforgettable experience in our quintessentially British environment.

Harrods’ Mission statement: “To be the number one department store in the world for luxury branded merchandise, maintaining an unprecedented level of retail standards, expertise and profitability.”

Through a combination of product, innovation and eccentricity, they aim to provide every customer with a truly unforgettable experience in their quintessentially British environment.

= Their values, mission and values perfectly matches with ours and therefore they are the perfect store to sell our products.

SOURCES

Health Benefits of Sheep's Milkhttp://www.sasheepdairy.co.za/benefits.html

http://www.dolomitinetwork.com/en/dolomites-fassa-valley.html

Organic Market report: http://www.soilassociation.org/LinkClick.aspx?fileticket=UO0-MJSy0_I%3D&tabid=548

CONDOR: Consumer decision making on organic products:http://www.condor-organic.org/condor_brochure-end.pdf

BOBL, (2010) “Consumer attitudes towards organic food”http://www.organiccentrewales.org.uk/uploads/ca_survey_br_phase_2_report.pdf

Istats: Environment in Italy:http://dati.istat.it/Index.aspx?DataSetCode=DCCV_ZONA&Lang=en