What is Salad Bowl Branding? Briefings on America's shifting markets, changing tastes and growth opportunities in the foods and beverages sector.
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 At Salad Bowl Branding we keep looking for the next food trend on the menu. While we see patterns emerging in the Mexican, Indian and Asian, there is a new flavor capturing America’s tastemakers, Moroccan.
As dining out for ethnic foods is slowly improving, we are noticing that food outlets who provide more exotic products and restaurants with more adventurous menus are showing strong growth, especially with young adults who have become the most adventurous in trying global cuisines.
This market often identify themselves as ‘cooking enthusiasts’ and are eager to experiment with new recipes, tastes and flavors – stirring the demand for what was once considered exotic specialty foods.
While this niche market may be small, they are also more affluent and are spending more on healthy foods both in the supermarket and in home meal preparation, which continues to be a strong economic trend.
According to a report in PR Newswire, “Young adults are driving the interest in ethnic foods in the USA and their adventurous eating is introducing foods from around the world to their family and friends”.
Even in a recovering economy, ethnic foods set a record at $2.2 billion in sales {see NASFT State of Industry Report}. While Indian and Asian foods continue their rapid growth, expect to see interest in the African and South American international foods category to grow as well.
Rich spiced sauces in Indian and Thai foods are winning consumers’ palates. Moroccan cuisine, which compliments this category nicely, is sure to be one of the hotest exotic culinary experiences in the coming months.
 There is a new cultural identity emerging that represents almost 26% of the entire US Hispanic market, the Nueva Latina. With a market size of about 4 million, this new sub-segment differs from the traditional and/or non-assimilated Hispanic woman.
While this group often embody qualities and personality characteristics that can be considered docile, compliant and unassertive in a traditional Hispanic society, they are changing rapidly and making new demands on the specialty food and beverage sector.
Still maintaining the characteristics of their Latina culture, the Nueva Latina is adopting many American cultural values such as being more self-reliant, impervious and driven – and more likely defines herself as being from a blended culture.
Considered as a second-generation Hispanic who is an educated career woman, she is open to change, yet still prefers to to communicate in Spanish (45%) vs English (31%), according to a recent MediaPost article. However, her media consumption skews towards English and other content that is culturally relevant, such as her food choices and lifestyle.
The challenge for specialty food and beverage brand marketers is how to attract this dynamic new audience. While it is clear that having a deep understanding of her culture can help, uncovering her needs, desires and wants through research is the best way to connect to her purchasing behavior. Benefit Testing and other methods to evaluate consumers have been instrumental in gaining market share from this new Hispanic sub-group.
As brands change based on the cultural demands of niche segments, the Nueva Latina is a driving force in the market today.
 While news of the economic downturn is blazing the nation’s headlines the fact is, it’s only part of the current story. After all, the economy is not the only entity in America experiencing dramatic shifts.
With one-third of the U.S. population currently of minority status—a figure forecast to soar to half the population by 2050—a far larger story of change is occurring. And with sales of specialty foods rising 17 percent over the last two years (compared to only 4 percent of overall food growth), these long-term marketplace changes hold near-term implications for the specialty foods and beverages industry.
A look at many of the current trends tells the broader story—which includes opportunity, not just economic challenge:
- Purchasing power increases. Minority market segments are not only growing in size but in spending power—and that power is pegged to fervently rise by 30 percent, to $1.9 trillion, within only three years. These markets are essential to the overall economy, and a key driver within our own sector.
- The new “tastemakers” wield wide-ranging influence. With sales of specialty foods slated to grow by an astonishing 50 percent over the next decade, the real phenomenon is that 75% of sales generated for specialty foods are from mainstream customers, not the niche cultural segments originating the foods. Indeed, American palates are now influenced by an entirely new set of tastemakers.
- Home-based dining poised for growth. Consumers don’t stop eating during a downturn, but they do adjust where they have their meals. This is good news for food producers as home-based food preparation is undoubtedly poised for an upswing. Moreover, consumers will seek more variety in their home-based diets since they will not be frequenting specialty and ethnic restaurants at the rates of the past few years.
A Look Back Gives Future Insight
As history has proven time and again, the economy will turn back around–just as the stock market took some steps toward recovery this week. But as history has also taught us, the chance to gain a strong foothold into emerging markets is time-sensitive, too.
Opportunities with new markets of this magnitude—that are influencing the purchasing decisions of much larger markets—come and go quickly…which begs the ultimate question: In this economy, is your company’s growth strategy reactionary or truly visionary?
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An article from The Wall Street Journal (May 1st) titled Surge in U.S. Hispanic Population Driven by Births, Not Immigration, illuminates just how profoundly the U.S. demographic shifts that are currently taking place will forever change the nation — and the breakneck speeds at which those changes are occurring.
The 45.5 million Hispanics currently in the U.S. are up from 35.7 million in
2000, with the growth among Hispanics responsible for half of the U.S.
population gains between 2000 and 2007. While that increase is nothing short of astronomical, what is most surprising is how it’s happened. According the article:
"Hispanics now account for more than 15% of the U.S.
population, and their surge is largely the result of births among
people already in the country–not immigration. In the 1990s, a flood of Hispanic immigrants explained
most of the group’s population rise. That has changed in recent years.
Between 2006 and 2007, about 62% of the increase in Hispanics came from
births."
Hispanic families tend to have more children, while white families are having less. But what is also increasing is Hispanics’ purchasing power. As the article states:
"Growth in spending by Hispanics is likely to outstrip
that of the general population in coming years. Hispanics control more
disposable income than any other minority group. The figure stands at
$860 billion a year and is expected to hit $1.3 trillion by 2012,
according to Jeffrey Humphreys, who monitors Hispanic demographic and
economic trends at the University of Georgia’s Selig Center.
Between their numbers and disposable income, Hispanics are already a vital market for politicians and marketers. But these numbers point to how they’ll only become more so. And while Hispanics are quickly redefining mainstream America, they’re also fragmenting into many micro-niches (read more on micro-niches here) who seek products that align with their cultural heritage as well as the country they now call home.
That only leaves the door open for more innovations across many industries including television programs, music, fashion and, most notably, specialty foods. After all, our markets are changing, so too must our branding. Some reading that covers these new "tastemakers" that are influencing their growing market’s preferences–as well as those of the mainstream–is located here. And a three-minute video by The Wall Street Journal on the Hispanic market’s dramatic growth and its implications is located below (RSS and email subscribers, please click through to the blog to view).
"I feel like Hollywood is a little behind the curve usually in terms of what America is ready to accept from a cultural standpoint," said Jon Hurwitz [co-writer and co-director of the Harold and Kumar film franchise]. "Film-goers are a bit savvier than they are given credit for."
In an insightful take on the comedic sequel to "Harold and Kumar go to White Castle," the film that developed a strong cult-like following, LA Times writer Mark Olsen begs an interesting question on whether cinematic media is ahead of the trends, or behind them.
In both films, the lead characters, who are Indian American and Korean American, have strong ethnic and cultural identities, which marks a departure for mainstream movies. But, what is more telling is how the characters perceive themselves–namely, as mainstream Americans.
And they should. Because they are. After all, America is not a melting pot of one unified culture but a rich "salad bowl" of many cultural segments.
"The theme in these movies is that Harold and Kumar are sort of beyond race," said Hayden Schlossberg [co-writer and co-director of the films]. "They don’t really care that much about their own identities; it’s the people around them that sort of haven’t gotten it yet."
The culturally diverse market segments in America share a common bond through their set of
values–like freedom, equality and prosperity–but are unique in their respective heritages. And with one in three Americans already of minority status and forecasts for those numbers set to explode, the fact is, our diverse cultures are no longer minorities… they are, in every sense of the word, mainstream Americans.
What’s the key takeaway for film studios? Just as specialty foods are reflecting these cultural influences, so too should our media. It’s not only a question of adequately reflecting our nation’s demographic makeup… but serving its multi-cultural markets (markets who happen to be avid movie-goers). On the other hand, major television networks have been making some smart casting choices as of late to more adequately reflect diversity. Shows like Lost, Grey’s Anatomy and House feature Asian, African-American and Indian actors in lead roles–to much acclaim, loyal audiences and high ratings.
According to Kal Penn, the actor who plays Kumar, "It’s probably too soon to say, but hopefully you’re seeing a shift where the real America is actually being reflected in all its diversity. I find it really refreshing and more interesting to watch when things are more fleshed out."
We couldn’t agree more. If Hollywood needs more assurance that audiences will embrace diversity, they need only look at the growth of the specialty foods industry (17%) compared to overall food sales (4%). The growth rates of multicultural markets, coupled with the surging demand for more specialty foods and the high ratings of TV shows featuring culturally diverse casts make it all too clear: promoting diversity — be it through movies or consumer packaged goods — is a profitable venture for the savvy companies who are reflecting and building upon today’s trends in their offerings.
 An April 6th article in the New York Times illuminates the growth–and growing prominence–of America’s multicultural markets (Americans that are of two or more races). While marketers have long demographically segmented according to one location, one age range and one set of race, that is quickly having to change. Because our markets are changing.
According to the article: "Of the seven million Americans–approximately 3% of the population–who identified themselves as mixed-race in the 2000 census (the first in which it was possible to do so), nearly half were under the age of 18. Almost 5 percent of Californians now identify themselves as mixed-race; by comparison, fewer than 7 percent are African-American."
As the author points out, "Because we are trying to raise our daughter as bi-cultural, much in our family is up for grabs, from the food we eat — and what we say before and after eating it."
This is an exemplary opportunity for marketers to develop offerings that speak to the various heritages that these consumers identify with, as they certainly don’t identify with just one (as previously 
assumed). There is already a solid trend afoot in fusion foods–the blending of flavors and ideas from different cultures and ethnicities to develop brand new dishes (e.g. Taco Pizza, Mango Green Tea), even new food categories (e.g. Tex-Mex, Pan-Asian).
The possibilities in serving these new markets? Between the levels of choice and authenticity that today’s consumers are demanding, the innovations are near endless. Moreover, as foods that are of rooted in the histories of one culture continue to migrate to the palates of other cultures, and into the mainstream, the profit potential provides a solid business case for more experimentation. Not less.
That said, the first step will be for marketers to better understand these marketers and how to effectively market to them. Hitting home this point, Monique Tapie, communications director for Global Advertising Strategies, explained in a July 2007 Washington Post article, "Multicultural Marketing 101 does not understand such nuances, just as it does not understand the animus of many middle-class and upper-income blacks against advertising campaigns that seem to portray all black people as hip-hop artists or sports figures. It seems to think that all Asians are from Japan, China or Korea, and all Spanish-speaking people are from Mexico, and all Mexicans are alike.
 Ethnic marketing is not a matter of cynically exploiting racial, ethnic, class or other differences for profit, it’s simply a recognition that differences exist, that America is composed of many cultures and that if you plan to sell to those cultures, you’d better try to do a better job of understanding them."
Also, very much worth watching is this terrific video segment on today’s multicultural youth, and how they’re working to understand and communicate their rich and varied identities. Let’s make it our job to listen to them–and leverage these opportunities to better serve them.
After all, today’s dynamic changes in America’s demographics are unprecedented and those specialty foods companies that ignore the demands of these rich and varied audiences will do so at the price of market share for many years ahead.
 Just a little walk in the city of New York or Chicago, for example, would make any foreigner realize the presence of people of various races walking down the street: probably Caucasians, blacks, Hispanics, African Americans, Hispanics, Asians, and so on. Or for another example, on school campuses in America, both the faculty and the student body are usually composed of people from a number of countries rather than only one. Almost anywhere in America, the possibility is encountering a mix of people. Thus, America is a land of plural races and ethnicities, with a multicultural context.
Indeed, the variety of ethnicities in America is often claimed to be the best mix in the world. Leonard Dinnerstein and David M. Reimers introduce their book, Ethnic Americans: A History of Immigration and Assimilation, by stating, “Never before – and in no other country – have as many varied ethnic groups congregated and amalgamated as they have in the United States” . With such reputation, here is exactly where the famous term “melting pot” arises. This conception has traditionally been perceived as the best expression to describe the multi-ethnicity of America. Its basic idea presents the whole nation as one large pot. Anyone who enters the United States is automatically thrown into this “pot” where, for the following years, a process of assimilation into the American belief systems is taken place. All the cultural aspects that one brings into are blended together, or melted, to form a new culture. The outcome of this massive procedure is the “melted” version of a culture, which is described as characteristically “American.” It is notable that in this assimilation, the identities of each original culture are extinguished to bring out a complete new mixture.
Along with this perspective, however, there is another expression that describes the diversity of people in America. It tends to be interpreted in the same way as the “melting pot,” but actually has a slightly different meaning with a different way of approaching and explaining American society. In comparison with the “melting pot” theory, there is the “salad bowl” theory. This idea demonstrates a complete separate perspective that the newcomers bring different cultures, where each of these cultures is kept as an essential part to make up the whole. Every distinctive culture or belief is considered to be one of the tastes or ingredients that contributes in forming the whole; therefore its original shape and characteristics are maintained.
Whether to apply the term “melting pot” or the term “salad bowl” to the American multi-ethnic conditions brings about a large discussion and controversy. In a way, both serve as an effective and successful metaphor, despite their slight difference. Anyone who is accustomed to an extremely homogeneous society would be simply astonished after recognizing many faces with different physical features in America, and might praise the country by employing those two terms in topic. The ideas of the “melting pot” and the “salad bowl” in America both connote somewhat of an ideal to many people and are often admired. Having a close look at the reality of the country, such as the existing ethnic segregation, the fact of the white population fleeing away from the minority poverty, and the trend of the minority group forming an enclave, however, one can see that the “melting pot” theory is merely a myth, and despite its long fame, it is rather more suitable to label America as a “salad bowl.”
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Read the full story http://cc.kzoo.edu/~k03hk01/melting_pot_or_salad_bowl.html
For more information:
Booth, William. “One Nation, Indivisible: Is It History?” Washington Post 22 Feb. 1998. 12 Nov. 2003
Camarota, Steven A. “Immigrants in the United States – 2000.” Spectrum 74(2): 1-5.
Chock, Phyllis Pease. “The Landscape of Enchantment: Redaction in a Theory of Ethnicity.” Cultural Anthropology 4(2): 163-181.
Dinnerstein, Leonard and David M. Reimers. Ethnic Americans: A History of Immigration and Assimilation. New York: Dodd, Mead & Company, 1975.
Glazer, Nathan. “American Diversity and the 2000 Census.” Public Interest 144(Summer 2001): 3-18.
Glazer, Nathan and Daniel Patrick Moynihan. Beyond the Melting Pot, Second Edition. Cambridge, London: The M.I.T. Press, 1970.
Harrigan John J. and Ronald K. Vogel. Political Change in the Metropolis. New York: Longman, 2003.
Moffat, Michael. “The Discourse of The Dorm: Race, Friendship, and “Culture” among College Youth.” Symbolizing America. Ed. Herve Verrene. Nebraska: University of Nebraska Press, 1986.
Morganthau, Tom. “America: Still a Melting Pot?” Newsweek 9 Aug. 2003: 16-25.
Robinson, Linda. “America’s New Melting Pot.” U.S. News & World Report 120(29 Apr. 1996): 30-35.
Rosaldo, Renato. “Cultural Citizenship and Educational Democracy.” Cultural Anthropology 9(3): 402-411.
Singer, Milton. “The Melting Pot: Symbolic Ritual or Total Social Fact?” Symbolizing America. Ed. Herve Verrene. Nebraska: University of Nebraska Press, 1986.
Spiro, Melford. “The Acculturation of American Ethnic Groups.” American Anthropologist 57(6): 1240-1252.
“Stirring the Melting Pot.” U.S. News & World Report 119(11 September 1995): 8.
“The Melting Pot Survives.” The Economist 352(3 Jul. 1999): 24.
White, Shane. “A Question of Style: Blacks in and around New York City in the Late 18th Century.” The Journal of American Folklore 102(403): 23-44.
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