2017 December Board Book

Foodservice Update This update will be more limited because a major focus of the December board meeting will be on Foodservice, with Mike, Nancy and Tia from Ketchum presenting an annual update. • Sixteen Sysco guests joined us on a three-day tour of plants in CA to understand more about our industry with special focus on mozzarella cheese (Saputo), butter (CDI) and other natural cheese (Hilmar). The trip was a huge success with all invitees sharing back how much more they appreciate the values of CA dairy. • Mike Gallagher met with the nation’s third largest foodservice distributor, PFG Roma. He met the executive team in Richmond, VA and discussed how we can further our relationship between CMAB and Roma. They purchase over 100 MM lbs. from Leprino and 40 MM lbs. of mozzarella from Saputo. • US Foods’ Food Fanatics show in Los Angeles was an enormous success. This is their main marketing platform. They publish a quarterly magazine (we had the back inside cover in the last issue). Their Food Fanatics shows around the country are pushing US Foods up in the customer’s minds. CMAB had a booth sampling Mexican Style cheeses and ½ hour live on their demo stage. 75-100 customers gathered to see the US Foods executive corporate chef Rahm Introduce our chef Jill Hough, and myself. Jill prepared three kitchen hacks and we showed Real Makers videos to back them up. • Pizza & Pasta Northeast show took place in Atlantic City, New Jersey. This was the first annual Northeast show for the Pizza Today, Pizza Expo team. It exceeded our expectations several fold. Exhibiting were Point Reyes, Sweet Chills, Villa Dolce and Cacique. We found that US Food’s Metro NY division (Vesuvio Foods) does $900,000,000 in annual sales and that 45% of their business is to the Italian Trade. Villa Dolce received their first order the day after the show closed and a strong relationship will develop there. US Foods has a Specialty Division for the northeast as well. Purchase talks began with Point Reyes and interest was expressed in Cacique. • Sweet Chills (Miss Karen’s) brought on a new distributor early this year and Dingman’s Dairy sales are booming. They distribute mainly to ice cream shops and we are working on a 2018 program to get signs on all 18 trucks. Additionally, they approached us to co-wrap one truck for larger visibility. • We continue working with Sysco on co-branding a line of artisan cheese to give CA processors more access to more end-user customers. The program would force distribute certain high-volume products giving Sysco’s Operating Companies (OPCOS) easier access.

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