Word: premiums
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...hankering for tofu and lentils. It's courting health-conscious consumers of every stripe who want to eat more grains, fruits and vegetables (but not exclusively) and cut back on fat and sweets (but not too much). Marketers are playing up the gourmet aspects of their products--and charging premium prices. "A lot of companies don't want to sell an organic product with a tree-hugger image anymore," says Michelle Barry, an analyst with the Hartman Group, a Seattle-based market-research firm. "They're marketing these products for their taste appeal and the social status connected with them...
Meanwhile, the food industry's giants are expanding their organic efforts. Heinz plans to launch a premium-priced organic ketchup later this summer, and PepsiCo's Frito-Lay division is test marketing natural and organic versions of its snacks. The multinationals have also been snapping up small organic- and natural-foods firms, retooling their offerings and bringing more marketing and distribution savvy to the mix. Since Heinz bought a 19.5% stake in the Hain Celestial Group--a conglomerate that includes Celestial Seasonings teas and Earth's Best organic baby food--the ketchup king has pushed Hain products into...
...online division; he will look not for a visionary but for a seasoned consumer-marketing executive. Besides attracting more subscribers and ads, AOL must craft a winning strategy for the broadband age--which will require sharing revenue with rival cable companies and giving consumers easy access to premium movies and music whenever they want...
...data than they do in voice. "[Multimedia messaging] may prove popular, but I think people are going to take it for granted," says Iain Daly, an analyst at Charles Stanley in London. The operators are convinced they've got something that people will both want and pay a premium for, and they'd better be right. Because if this doesn't work, 3G really is dead...
...distribution deal with Absolut vodka. More important, he recognized that Seagram's reliance on the slowing liquor business wasn't healthy. He made some shrewd deals, generating a profit of almost 50% on his family's $2.2 billion investment in Time Warner and getting Vivendi to pay a 50% premium for Seagram's shares (alas, he took it in Vivendi stock). And he wisely sold millions of those Vivendi shares, taking about $1 billion off the table...