The consumer product world is undergoing a green revolution. Marketers are racing to be the most green, most natural, most organic. Trade groups and organizations are marketing seals of approval, ala good housekeeping, to bedazzled innovators. There is a "gold rush" aura to this stampede.
When a large, multi-national firm like p&g, or general mills touts their green bona fides, the consumer can trust that these brands have been properly vetted. Teams of lawyers review every label statement and product performance claim. Publicly traded companies such as these cannot afford any risk of lazily policing their quality and standards. Huge quality control groups and research and development departments oversee every step of new product development, ingredient and product testing. All of this is accomplished long before a concept is turned over to the sales, marketing and branding pros to prepare market launch and consumer consumption.
The rapid growth of social media and the internet has greatly enhanced and accelerated the opportunity for entrepreneurs to launch artesian and micro-brands. My consumer product development and marketing consulting firm reviews many of these projects. These innovators are passionate about the hand crafted soap, skin care moisturizer, barbecue sauce, energy drink or gourmet candy they produce and proudly tout as "all natural" or "organic".
Many of these entrepreneur's are self-taught. There was a time when this was considered a positive business trait. No longer! The risks associated with legal and insurance issues must be paramount for every small green business. Too often it is given short shrift.
There are literally an endless number of cosmetic brands, topical skin care brands, food and baked goods, weight loss, drinks and other consumable product sellers that can be easily searched on the internet. LinkedIn is bloated with these types of brands, many making outlandish performance claims. I read some of the branding statements and marketing claims and gasp at the audacity.
Food, cosmetic, vitamin and other topical or consumable product manufacturers are very sensitive to the desire for contemporary small business innovators to appear 100% green. However, they are even more sensitive to the risk that most all-natural products pose. The FDAalways lurks and regularly rears its grizzly head to enforce rules that approach the Bible, Torah and Koran combined in length and complexity.
Bakeries and food product manufacturers are extremely sensitive to providing preservative systems that protect products from bacteria growth and extend shelf life. I love my neighbor Mary Jean's cupcakes and look forward to eating them. But i would not buy one that has been shipped, handled, stored in extreme climatic conditions, etc. Unless i knew it was made under tight industrial standards.
Many artisan cosmetic producers make their products at home. The "all natural, organic" tag they attach to their products is accurate, and they state this openly and proudly. They should be very careful. It is almost impossible to get product liability insurance for these products without proper production controls. Bacteria growth will occur unless a preservative is added and virtually all such systems that efficiently protect users include chemicals.
another issue with all truly "all natural" products is the problem of obtaining nature identical ingredients. Natural ingredients are flora or fauna that are grown and harvested. Every major producer of these products faces the issue of product quality control and stability from season to season and year to year. Essences that are essential for the production of perfumes can be of differing color and strength owing to different climate, moisture and exposure cycles. Mother nature really does control natural life. Taste, smell, color, product performance and quality can be seriously affected by biological changes that regularly happen each growing season. Sophisticated manufacturers have developed technology to minimize this risk. I have rarely seen an artisan producer that knows the problem exists, much less how to cope with it.
This is not a screed against small artesian craft brand marketers. It is just a nod to difficulties that are real and should be addressed. The ability to germinate new consumer product brands is an essential part of the American character. Some of these innovations grow and become the next great new thing. Just protect yourself at every stage of the product development, sales, marketing and branding cycle.
by: Geoff Ficke
Geoff Ficke has been a serial entrepreneur for almost 50 years. As a small boy, earning his spending money doing odd jobs in the neighborhood, he learned the value of selling himself, offering service and value for money.
After putting himself through the University of Kentucky (B.A. Broadcast Journalism, 1969) and serving in the United States Marine Corp, Mr. Ficke commenced a career in the cosmetic industry. After rising to National Sales Manager for Vidal Sassoon Hair Care at age 28, he then launched a number of ventures, including Rubigo Cosmetics, Parfums Pierre Wulff Paris, Le Bain Couture and Fashion Fragrance.
Geoff Ficke and his consulting firm, Duquesa Marketing, Inc. ( http://www.duquesamarketing.com ) has assisted businesses large and small, domestic and international, entrepreneurs, inventors and students in new product development, capital formation, licensing, marketing, sales and business plans and successful implementation of his customized strategies. He is a Senior Fellow at the Page Center for Entrepreneurial Studies, Business School, Miami University, Oxford, Ohio.
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