Controlled and Modified Atmospheres In the Perishable Trade

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Controlled and Modified Atmospheres
In the Perishable Trade
Commercial Realities
Commercial Oppurtunities
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
Modified Atmosphere, Tectrol Pallet System
1
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
Pallet Modified Atmosphere Installation
1
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
National Retailer 13 week SKU Data Demonstration 2008 1
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•
•
Increased Sales +2.6 points higher
Increased unit movement +8.5 points higher
Lower shrink -2.4 points lower
Increased Gross Margin +2.0 points higher
• Tectrol provided a 12.7% reduction in wet, leaky or
decayed berries inside purchased clamshells.
• When consumers experience 12.7% less decay after getting
their berries home, they are likely to purchase more berries.
3
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
$.28 per flat is the difference between revenue
potential or loss
Per Flat
Retail Price per Pound
$2.00
Flats Shipped per Week 35,000
Retail Price per Flat
Measured Shrink
Adjusted Retail Price
Technology Cost
Net Retail Revenue Potential
Value Comparison
Weekly Revenue Potential
Total 22 week Peak Season
Potential
Tectrol®
$16.00
11%
$14.24
$.28
$13.96
$.36
$12,600
$277,200
Standard
Refrigeration
$16.00
15%
$13.60
--$13.60
$.00
$0
$0
www.tectrol-calculator.com
12
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
TransFresh Marine Container
Services
Controlled Atmospheres, 40’ Seavan Containers
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
Global Service Network
• Over 16 shipping line partners
•11,000 TransFresh-equipped reefer containers
CCNI
DEL MONTE FRESH
EVERGREEN
HAMBURG SUD
HANJIN
HAPAG LLOYD
HORIZON LINES
K-LINE
LAURITZEN (LCL)
MATSON
MITSUI OSK
MSC
NYK
PACIFIC SEAWAYS
POLYNESIAN LINES
YANG MING
SEATRADE
Service Providers
Agents
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
Controlled Atmosphere
How It works
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
Marine Systems Landscape
Competitor
Technology
Service
Cost
TransFRESH
Atmosphere set points established
immediately at port service
-Pre flush to set gas mixture
-Provides O2 & CO2 monitor and control
-Container pre service leak test
-Initial atmosphere established
-Retrieved controllers provide data
Upfront Inv: $1200/unit
Service Fee: $1100-$1200
Maxtend
-Control device factory preset
-Oxygen sensor only;
-Portable technology
-No Leak Test performed
-No Controller Retrieval
-No data download
Upfront Inv: N/A
Service Fee: $900-$1350
Global Fresh
Technologies
-Per Pallet System
-Requires control and oxidative battery
Ultra low (ppm) O2 Control
Ultra high CO2 control
-Shipping point service
-Receiving point verification
High value cargo: fresh fish filet
Unknown.
Everfresh
-Membrane separation Technology
-2-3 days to establish atmosphere
-O2 & CO2 control
-CA system part of reefer unit
Upfront Inv: $5500
Service Fee: $900-$1200
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
Top Commodities Serviced
Lettuce
Stonefruit
Limes
Avocado
Bananas
Asparagus
Blueberry
Berries
Mango
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
• 12-16 day extended vase life
• Better arrival quality than airfreight
transit
• 30-45% freight cost reduction vs.
airfreight
.
Kenya to
Amsterdam
via Marseille
Total transit
21 days
12-16 days
vase life
extension
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
.
Box and Consumer MAP Packaging
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•
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Packaged Lettuce
Vegetable Trays
Apple Bites
Blueberry Snack
Salad Bowls
Banana to Go
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
.
Small MAP Package “Opportunities”
Temperature Management
Source to home, what is “real”
Package Design
OTR
Respiration
Membrane Technology
Consumer Use
Value Proposition
How to value shelf life….
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
.
Rich MacLeod
Director, North American Pallet Division
TransFresh Corporation
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
Supplemental Slides and Information
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
Distribution System
Service Integration
Distribution
Service Audits
ROI Analysis
Provide TransFresh
Research & Development
Post-harvest Knowledge
Retailer
Shipper
Provide TransFresh
Research & Development
Post-harvest Knowledge
Productivity
Management
Online
Reporting
6
2
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
Findings: Display Purchase Intent 2
100%
80%
70%
46%
20%
10%
36%
50%
Maybe Would Purchase
40%
0%
Likely Would NOT Purchase
34%
24%
53%
Definitely Would NOT Purchase
3%
TECTROL

Definitely Would Purchase
Likely Would Purchase
60%
20%
Package Technology vs. Display Purchase
Intent
Open Bag
Display purchase Intent Was Higher From Displays Of TECTROL®
Treated Strawberries
5
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
Findings: Clamshell Purchase Intent 2
100%
80%
60%
56%
17%
31%
5%
26%
39%
Definitely Would Purchase
Likely Would Purchase
30%
40%
Maybe Would Purchase
Likely Would NOT Purchase
25%
20%
34%
53%
20%
18%
0%
9%
3%
9%
TECTROL
Open Bag

Package Technology vs. Clamshell Purchase
Intent
Definitely Would NOT Purchase
Clamshell Purchase Intent Was Higher For TECTROL® Treated
Strawberries Clamshells
6
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
Resource References
1. Retail SKU Measurement: Tectrol Atmosphere vs. Non Treated Berries
http://www.transfresh.com/Files/Southwest%20SKU.pdf
2. Consumer Acceptance Study of California Fresh Strawberries
http://www.transfresh.com/Files/CQI%20White%20Paper%20Final.pdf
3. Comparison of Pallet Cover Systems to Maintain Strawberry Fruit
Quality During Transit. By University California, Davis and University
of Florida. ASHS August 2012
http://www.transfresh.com/Files/UC%20Davis%20Comparison.pdf
16
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
WWW.TECTROL-CALCULATOR.COM
Cost Benefit analysis to maximize your Revenue
Potential
11
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC
Atmosphere Management
Monitored and controlled CO2 and O2
concentrations and temperature
throughout the reefer transport
Port
Servicing
Leak Testing
Loading
Pulp
Temperatur
e
©2014 TRANSFRESH CORPORATION
Transport
Servicing
A subsidiary of Chiquita Brands, LLC
Controller
Retrieval
Delivering Results
• 21+ day extended shelf life
• Reduced weight loss
• Consistent color and firmness uniformity
With TransFresh CA
Without TransFresh CA
Both avocados shown shipped for 21 days at 41o F
and ripened for 7 days after arrival.
©2014 TRANSFRESH CORPORATION
A subsidiary of Chiquita Brands, LLC