AUSTIN, MINN. — Hormel Foods Corp. continues to make progress toward its goal of generating $3 billion in sales from products created since 2000. That and other company successes were noted in the 2015 Hormel Foods Corporate Responsibility Report issued June 7.
To help drive strategic innovation, Jeffrey M. Ettinger, chief executive officer of Hormel, in 2000 launched the Billion Dollar Challenge, which was for Hormel Foods to generate $1 billion in sales from new products launched between fiscal year 2000 and fiscal year 2009. By the end of fiscal year 2007, Hormel Foods had more than $1 billion generated from new product sales, prompting the company to set a goal to achieve $2 billion in sales by 2012. With that goal also achieved, the company now has its sights set on $3 billion in new product sales by 2016.
|Jeffrey M. Ettinger, c.e.o. of Hormel|
“We continue to innovate and adapt our offerings to meet the constantly evolving needs of consumers,” Mr. Ettinger wrote in the June 7 report. “Delivering foods that fit today’s busy lifestyles, products focused on nutritious and holistic attributes, and items with new and adventurous flavors from many cultures around the globe will drive our future growth.”
In 2015, Hormel added several new products to its portfolio, including Hormel Black Label premium bacon, Muscle Milk Pro Series products and Skippy P.B. bites. The company also acquired Applegate Farms, L.L.C., which has allowed Hormel to offer a new line of products to meet the growing demand for natural and organic foods, Mr. Ettinger said.
Hormel’s Health, Science and Wellness Advisory Council is a cross-functional team consisting of research and development, marketing, consumer insights, regulatory affairs and packaging. The Council meets regularly to discuss health and wellness, consumer trends and initiatives and strategies for Hormel’s product portfolio. Two areas that are top of mind for the Council are sodium reduction and clean label.
In the report, Hormel said it has set a goal to reduce sodium levels in select products within its branded retail portfolio by an average of 15% by 2020. Hormel said it has reduced sodium by 34% in its Chi-Chi’s and Herdez branded tortillas, by 25% in its Valley Fresh chicken and turkey, by 23% in its Hormel Canadian bacon and by 23% in its Hormel Compleats microwavable meals. In 2015, the company also launched Hormel Pillow Pack 50% less sodium pepperoni, which joins the company’s other better-for-you pepperoni products.
Hormel also noted in the report that it has implemented a clean label initiative to simplify the ingredient statements of many of its retail products through the removal or replacement of ingredients.
“In fiscal years 2014 and 2015, a total of 12 clean label projects were initiated,” Hormel said. “Clean label projects that were completed in fiscal 2015 included: Valley Fresh chicken and turkey, Hormel Compleats microwavable meals; and Hormel Always Tender meats.
“For example, Valley Fresh 100% natural chicken contains only chicken breast meat with rib meat, chicken broth, sea salt and rosemary extract.
“We are continuing to evaluate the simplification of ingredients used in many of our heritage products, including Hormel chili, Dinty Moore stew. In addition to this effort, we implemented a fast facts nutrition panel, which highlights nutritional benefits of products. Hormel Compleats microwave meals were the first product line to feature the new panel in 2015. The fast facts nutrition panel will be featured on additional product lines in 2016.”For more on the company’s corporate responsibility efforts click here.