Word: hirshberg
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...This was definitely one of the hardest briefs I've ever received," says Eric Hirshberg, president and chief creative officer of Deutsch L.A., which created the ad. "How do you sell cars from a bankrupt company that a lot of people don't like right now?" The agency, which also worked on Coors Light's "Wing Man" ads and DirecTV's movie-spoof ads, decided to go with brutal frankness, says Hirshberg, "coupled with an honest and credible level of vision and optimism for the future...
That includes Gary Hirshberg, the "C-E-Yo" of Stonyfield Farm, based in Londonderry, N.H., whose seven-cow farm has since 1983 become a company with $211 million in sales. Stonyfield Farm has tripled sales in five years, helped no doubt by Groupe Danone's distribution muscle. The French company completed its purchase of 85% of the firm...
...Hirshberg's passion for organics as a way to health and a better environment led him to start the company. Now he can't keep pace with the trend. "Organic demand has gone absolutely bonkers," he says. To keep up, Groupe Danone recently approved $66 million over three years for Stonyfield to expand its New Hampshire plant, built...
Organic-yogurt sales are limited only by the growth in organic-milk production, which is climbing 20% to 30% annually. "It's the 10,000-lb. cow in my life," says Hirshberg. To find enough organic milk, Stonyfield Farm subsidizes farmers as they convert to organic production and offers price guarantees on the milk it buys. "Conventional-milk pricing has fallen to levels not seen since the 1970s," says Hirshberg. "It's a disastrous situation for farmers with a cost structure based on 2006 energy costs." The only silver lining, he says, is that it has helped some dairy farmers...
...Hirshberg is looking for other options abroad, including buying organic-milk powder from a co-op of 35 family farms in New Zealand to reconstitute in limited amounts for Stonyfield products. He is discussing ways to finance the changes with his prospective partners. Hirshberg has also persuaded Danone managers in four European countries to move into organic products this year, and he expects 11 more countries to follow in 2007, assuming they can find the cows. He hopes demand from Europe will stimulate the supply of organic milk here and abroad...