Food product development

Process flow of product development:

IDEA GENERATION
Companies use varying techniques to generate ideas for new products.
Marketing teams may be charged with the central development of ideas
with supplementation of researcher input. Ideas may also come from consumer input.
Ideation sessions using participants from all departments can also be a part of corporate idea
generation. After idea generation, the major steps in developing a new food product may be divided
into four
phases: screening, feasibility, test marketing, and commercialization.
Idea generation should be completed by gathering information about trending ingredients and
consumer wants by attending trade shows, keeping up to date on new product releases by other
companies, scanning research articles and trade publications, and monitoring grocery shelves.

SCREENING
Screening is the most critical step in a product development project. Project ideas should be congruent
with organizational goals. Project managers should screen ideas throughout the development project
in order to gauge if the marketplace has shifted in its acceptability of the concept, ingredient
availability, and regulatory factors. Smaller companies may call on outside firms to
assist in market screening
Collaboration of departments during the screening step helps to evaluate individual areas involved in
product development including financial and legal considerations, process and equipment
availability, purchasing power and ingredient accessibility, shifts in the marketplace, and consumer
perceptions.

FEASIBILITY
Feasibility considerations for a business include regulations, technology, and finances. By
setting up an interdepartmental team, the tools will be available to answer initial
questions of attainability that may be introduced at any stage during the development process

Regulations
At the start of a project, firms must be cognizant of the state and/
or federal agencies that regulate a product. In general, products sold locally (which do not cross state /
nation lines) are regulated by state agencies.
Technology
In order to launch a new food product, the necessary equipment, facilities, and processes needed to
manufacture a product must be established. When products are found to not be technologically
feasible, the project should be terminated.

Formulation
Varying ingredients, processing parameters, and packaging options will be utilized in order
to find the best combination to create the desired product. Sound statistical analysis
and good record keeping are critical at this step. After some initial trials, an experimental design will
cut down on the number of prototypes to be developed which will save time and money. All formulas
and experiments should be detailed in a laboratory notebook.

Ingredients
Considerations when choosing ingredients include whether the commodity will be available for
purchase year-round or seasonally. Product developers will generally consider more than one supplier
of the same product to test quality and cost effectiveness. Larger companies may need to find
more than one supplier of the same product to fulfill needs. If more than one
supplier is used, tight product specifications must be
followed by all suppliers

Processing
If there is an existing facility, what equipment do you already have?
Companies usually try to produce newly developed products on equipment that is already acquired if
possible. New equipment is a big capital expense, so new product development projects are often
based on expanding product lines using existing facilities and equipment. For this reason, product
developers should be aware of what equipment is available in the location that the product will
ultimately be produced.

Facilities
The facility that is available for processing should be considered. If the company has acquired a new
plant, the water supply and sewage systems will need to be inspected. The conditions inside the plant,
such as temperature and relative humidity control, should be taken into account.

Shelf Life
Shelf life is the determination of how long a product will hold its quality as perceived by customers.
The shelf life of a product is important when considering distribution channels. Shelf life can be
determined through the use of accelerated or real time testing.

TEST MARKETING

Should your screening and feasibility tests indicate a product’s potential for launch, the next logical
step is development of the product and test marketing. Purchasing equipment at this stage is not
advisable.

The main cost should be packaging and labeling material, promotion, and ingredients. Large
companies rely on pilot plants to manufacture smaller batches of new food products for test
marketing. For start-up companies, pilot plants at several regional universities or community
centers can be used at minimal charge. Alternatively, the test product could be manufactured at an
approved food processing facility in your area with capable equipment.

Consumer tests at this stage are sometimes conducted as in-home use tests. Consumers assess the likes
and dislikes of the product prior to the organization launching a larger marketing scheme. Market testing
is most effective when planned well in advance with the help of an expert in the field.
Documentation will be critical to assess the success or failure of your market test.

COMMERCIALIZATION
Should your market test prove successful, the product will be ready to commercialize. The product
can still be produced at an existing food processing plant; otherwise, the main concern at
this step is to find a location to manufacture the product. To set up a processing facility, a
firm must address issues that include finding a location, building, equipment,
utilities, and personnel
Product promotion should be an integral part of commercialization. Companies with the leverage to
fund national marketing schemes may use many avenues to get their products noticed. Common
methods of marketing new products include savings coupons, national television advertisements,
internet advertisements, and product placement strategies. The promotion strategies are product- and
target-market dependent.

FOOD PRODUCT LIFE CYCLES

Initial phase
Products go through cycles during the duration of their sales. During the introductory period
when the product is first launched, companies heavily promote their products in order to
attract customers. In-store demonstrations are sometimes used to attract customers that may not
try the product otherwise.
Discounts and coupons can help spike sales of a new product as well. In this introductory period, the
costs on the company are high and the returns are minimal.

Growth phase
The next phase in the cycle is a strong growth period. At this time, repeat buyers may decide to
purchase the product on a regular basis. Word of mouth from customers may begin to attract other
new customers. Expansion to new markets may assist in growing sales. Costs
continue to be high, but profits are improving.

Decline phase
The next phase is a decline in the growth rate. Repeat buyers decline, new markets have been tapped
out, the competition begins to grow, and there are new costs associated with trying to attract attention
to the product. Profits are still good in this phase.

The stability period sees no growth in sales due to consumer fatigue. There is little excitement about
the product, and sales stagnate. Costs and profits break even, but profits may begin to
decline. In the product decline phase, competitive products begin to beat out the product, and
promotions are too costly to be beneficial. Sales of the product decline, and the
product becomes costly to maintain. The product is unprofitable. At this point,
companies must decide if it is necessary to cease manufacturing the product.
 CONSUMER PREFERENCES – Food product

Consumers are influenced by religion, ethnicity, age, non-religious beliefs, and their
experiences. Product developers should understand their target markets in order to devise a
product that meets consumer standards. It is important to understand the restrictions of some diets
prior to development.

Age
Age affects consumer preferences because of experiences or the scientific beliefs of that era.
In addition, age also brings unique food choices. With age also comes diet restrictions that correspond
with illness, such as diabetes, heart disease, and high blood pressure

Religion
Religious denominations can affect the preference of the foods consumed. Catholics and some
Protestant sects may fast or abstain from eating meat on certain holidays. Those who practice Islam
may only consume foods that meet halal standards. Foods that are not permitted are
referred to as “haram.” Foods that are haram include any items containing alcohol, pork,
animals not slaughtered according to standards, and items containing gelatin.

In the Jewish faith, those practicing eat according to kosher laws. Kosher law does not permit the
consumption of pork products, crustaceans, animals not slaughtered according to standards, and items
containing gelatin.
Ethnicity
Ethnic background can affect food choice. For example, having a family with Hispanic roots
would likely result in an affinity for different types of food than someone who is from
India. The types of food that are consumed as a child help shape the foods that are craved as
an adult.

Income
As customers begin to make more money, shopping behaviors generally change. Customers with
lower incomes tend to shop at different stores than those with excess funds. Having extremely low
income usually prohibits shoppers from being organic foods.

Community
Some cities have cultures that support different eating patterns. If you live in a city with a farmer’s
market on every other block, there is a higher likelihood of you purchasing your foods there
 Experimental Designs - Food product develoment

The design of experiments is essential in successful food product development projects. Well-
designed studies save money and are easier to analyze. The statistical design of experiments
provides confidence that the information you collect is reliable. Experimental design is used mostly
in formulating product, process development, sensory testing, and test market analysis.
Experimental design in new product development can save companies time and money. By starting
with an experimental plan, the product development team can develop a schedule to test each variable
in the experiment. Taking detailed notes during all experiments is necessary in case the project is
temporarily put on hold or team members are not able to fulfill the entire project.

Completely Randomized Design (CR):

A completely randomized design (CR) is an experimental design in which the analyst randomly
assigns the samples to different procedures.
For example, if you are trying to find the best chocolate chip out of four
samples that will produce the best taste for a cookie recipe, you could make three cookies with each of
the four chocolates, and assign the 12 cookies randomly to four judges to score them
on chocolate flavor.

One-Factor-at-a-Time (OFAT) Approach

The One-Factor-at-a-Time (OFAT) approach is a traditional method used to optimize product
attributes or processes. It involves changing one independent variable (factor) at a time while keeping
all other variables constant. The goal is to identify the individual effect of each factor on the outcome
and determine the optimal level of that factor.

Steps in the OFAT Method

1. Define the Objective:

o Identify the response variable (dependent variable) to optimize (e.g., taste, texture,
yield).
2. Select Factors:
o Choose the independent variables (e.g., ingredient levels, process parameters) that
might influence the response.
3. Test One Factor at a Time:
o Vary one factor across a range of values while keeping all other factors constant.
o Record the response for each variation.
4. Analyze Results:
o Identify the level of the tested factor that yields the best response.
5. Repeat for Other Factors:
o Once the optimal level of one factor is identified, move to the next factor and repeat
the process.
6. Combine Optimal Conditions:
 o After testing all factors individually, combine their optimal levels and evaluate the
final response.

Example of the OFAT Approach

Objective:

Optimize the sweetness and texture of a fruit jelly.

1. Factors Identified:
o Sugar concentration (%).
o Gelatin concentration (%).
2. Testing Sugar Concentration:
o Keep gelatin constant at 5%.
o Test sugar levels at 10%, 15%, 20%, and 25%.
o Record sweetness and consumer acceptability scores for each level.
3. Testing Gelatin Concentration:
o Use the optimal sugar level (e.g., 20%) identified earlier.
o Test gelatin levels at 3%, 5%, 7%, and 10%.
o Record texture and acceptability scores for each level.
4. Combine Optimal Conditions:
o Combine the best sugar (20%) and gelatin (7%) levels.
o Test the final product and evaluate its overall performance.

Advantages of the OFAT Method

1. Simplicity:
o Easy to understand and execute, especially for straightforward problems with limited
variables.
2. Isolation of Effects:
o Useful for understanding the individual impact of each factor on the response.
3. Low Initial Resource Requirement:
o Suitable for small-scale experiments with limited resources.

Limitations of the OFAT Method

1. Inefficiency:
o Time-consuming and labor-intensive, especially when multiple factors are involved.
2. Ignores Interactions:
o Does not account for interactions between factors, which may lead to suboptimal
results.
3. Sequential Testing:
o Assumes that factors are independent, which can mislead optimization if
interdependencies exist.
4. Limited Exploration:
o Explores only a small portion of the experimental space, potentially missing better
solutions.

When to Use the OFAT Method

  When the number of factors is small (1-2).
 When interactions between factors are negligible.
 For preliminary studies or quick tests.
 When resources are limited, and advanced methods like RSM are not feasible.

Response Surface Methodology:

Response Surface Methodology (RSM) is a collection of statistical and mathematical techniques used
to model and optimize processes where a response (outcome) is influenced by multiple variables. It
helps in understanding the relationships between input factors and the desired output, ultimately
finding optimal conditions for product or process performance.

Independent Variables (Factors):

 Variables that can be controlled or modified, such as ingredient proportions,

temperature, or processing time.

Response (Dependent Variable):

 The outcome being measured, like texture, flavor, shelf life, or overall acceptability.

Design of Experiments (DOE):

 A systematic way to conduct experiments, often using factorial or fractional factorial

designs to explore the effects of variables.

Mathematical Modeling:

 The response is modeled as a function of input variables, typically using a polynomial

equation:

Optimization:

The goal is to find the levels of variables that maximize or minimize the response or
achieve a specific target.

Steps in RSM

1. Define the Objective:

o Identify the response to optimize and the influencing factors.
2. Select the Experimental Design:
o Choose an appropriate design, such as:
 Central Composite Design (CCD): A commonly used design for
fitting quadratic models.
 Box-Behnken Design (BBD): Efficient for exploring quadratic
relationships without extreme factor combinations.
3. Conduct Experiments:
o Perform experiments based on the selected design, varying factors
systematically.
 4. Develop a Regression Model:
o Fit the experimental data to a mathematical model using regression analysis.
5. Analyze the Model:
o Use analysis of variance (ANOVA) to evaluate the significance of factors and
interactions.
6. Visualize Results:
o Create response surface plots and contour plots to understand relationships and
identify trends.
7. Optimization:
o Solve the regression model (analytically or graphically) to determine the
optimal conditions for the response.

Advantages of RSM

 Efficient Experimentation: Reduces the number of experiments needed compared to

one-factor-at-a-time (OFAT) approaches.
 Interactive Effects: Captures interactions between factors and their combined
influence on the response.
 Graphical Insights: Provides intuitive visualizations through surface and contour
plots.
 Optimization: Helps achieve specific goals (e.g., maximizing flavor while
minimizing cost).

Applications in Product Optimization

1. Food Formulation:
o Example: Optimizing the sugar and fat levels in bakery products for maximum
sensory appeal.
2. Process Optimization:
o Example: Adjusting drying temperature and time to achieve the desired texture
in fruit snacks.
3. Nutritional Enhancements:
o Example: Balancing ingredient proportions in fortified foods for optimal
nutritional value and taste.
4. Packaging and Shelf Life:
o Example: Optimizing storage conditions to extend shelf life while maintaining
product quality.

Example

Imagine a food developer optimizing the production of yogurt. The factors include:

 X1: Incubation temperature.

 X2: Starter culture concentration.

The response is the overall acceptability score from sensory evaluation. Using RSM:

1. Conduct experiments with various combinations of X1X1X1 and X2X2X2 (using a

CCD or BBD).
 2. Develop a quadratic regression model to relate X1X1X1 and X2X2X2 to the
acceptability score.
3. Create response surface plots to visualize the optimal conditions for maximum
acceptability.
4. Determine the ideal X1X1X1 and X2X2X2 values to achieve the best yogurt quality.

RSM thus provides a systematic approach to fine-tuning products for superior performance
and consumer satisfaction.

Food products and the market segement

The basic principle of product development is to identify the needs of the buyers and the users, and design the
products towards meeting these needs. This means that the market segments for the products are an important
basis for grouping products. There are five main market segments:

1. Consumers: mainly branded products.

2. Retailers: branded products, ingredient mixes.
3. Food service: partially prepared meals, meal ingredients.
4. Industrial processors and manufacturers: differentiated ingredients.
5. Primary processors: commodities, undifferentiated raw materials.

It is important to recognise that there are major differences in the development of products for these different
segments. If a company moves from differentiated ingredients for food manufacturers to consumer products to
be sold through retailers, there is a need for new knowledge and new resources in the company.

Each of these five main segments can be divided into further segments. There are five common consumer
market-segmentation categories:

Geographic.
Sociocultural.
Demographic.
Psychographic.
 User behaviour.

Regions, social classes, ethnic groups, households, age, sex and income are typical groupings for which
statistical census data can be found, but consumer targeting can be more accurate if psychographic segments
based on life style, behaviour, personality and attitudes are used. User behaviour segmentation on usage rates,
brand loyalty status, purchase occasion and benefits sought are useful for targeting product development.