RASHA MOURTADA
Globe and Mail Update Last updated on Tuesday, Mar. 31, 2009 08:29PM EDT
In 2002, Jennifer MacDonald's baby had a bad case of eczema. "I'd read that flaxseed oil helped, so I started giving him a couple of drops," says the London, Ont., resident.
She'd also heard that flaxseed oil, specifically the omega-3 fatty acids that it contains, combats a host of health problems, including heart disease, diabetes and obesity. When she noticed it was helping her son's skin, she figured she might as well give it to the whole family. "But it tastes grassy on its own," she says. So she started fooling around in the kitchen and came up with a salad dressing.
In June, 2006, Ms. MacDonald, a biochemical engineer by training, launched Cenabal Gourmet Organics and began bottling and selling her creations: two flaxseed dressings, a bread dipper and an oil blend, all made with organic, unrefined oils. The business got off to a good start, receiving an injection of $200,000 when Ms. MacDonald was selected as the winning entrepreneur on the CBC premiere of Dragon's Den.
A year later, when specialty foods distributor Tree of Life picked up her three bread dipping oils, Ms. MacDonald put the brakes on her other products. Since the Florida-based company accounts for 90 per cent of Cenabal's sales, it is no longer worth her while to produce the salad dressings and oil blends. (She plans, however, to soon launch a less-expensive version of her original flaxseed dressing.)
Bottles of Cenabal dipping oils, priced at $8.50 each, now line the shelves of 200 independent and mass-market retailers across North America. "I've been very successful at getting my product on the shelf," she says. Ms. MacDonald's problem is that customers seem reluctant to try it.
"If I'm doing a demonstration, they love the taste and buy it. But when I'm not there to say, 'Buy it for all of these great reasons,' it doesn't move."
Ms. MacDonald believes she knows what's slowing down her sales. She thinks the ingredient that makes her product different isn't on the public's radar. "Our focus is on the clean, unrefined oil," she says. "But the average consumer doesn't realize that refined oil is as bad as refined sugar."
Standing in the way of her spreading the word is a modest marketing budget of $25,000 a year. Says Ms. MacDonald: "I need advice on effective ways to create buzz around a product, without a lot of money."
What the experts say
Ms. MacDonald's got her work cut out for her, says Linda Haynes, co-founder of Toronto's Ace Bakery, which she started with six employees in 1993. Today, the company has a staff of 300, although Ms. Haynes recently sold her share of the business. "It's a very crowded market," she says. "So she needs to find other things people can do with this product." A bread dipping oil is not a cupboard staple, says Ms. Haynes. But expanding its use to other things - such as using it in recipes, and providing those recipes - could turn it into just that.
Ms. Haynes recommends she remove the image of bread on the label, and also amend the product name, which contains the phrase "bread dipping oil."
Laurie Lashbrook, owner of The Lashbrook Group, a consulting firm in London, Ont., has some tips about the label as well: "Nothing stands out. The most important words are 'certified organic' and 'unrefined,' but if you're in her target demographic, a 40-year-old female, you're not going to see that without putting your glasses on."
If Ms. MacDonald doesn't have the funds to hire a firm to redesign the label, Ms. Lashbrook suggests she simply add a small booklet to the neck of the bottle, as a quick fix. "That'll give her a place to also share her story, and she can include recipes and explain the product too."
Explaining her product is something that Ms. MacDonald needs to do more of anyway. "I find the whole unrefined oil thing pretty confusing," Ms. Lashbrook says. "I believe her that it's better for me, but it's something that needs to be better explained." In other words, Ms. MacDonald needs to make this part of her business strategy.
"It's not just about promoting the product, it's also about promoting herself," Ms. Lashbrook adds. "A good way to do that is to set herself up as an authority to the media."
Getting the media's attention can be tough, however. "What would be best for her is to send a sample with a handwritten note as opposed to a big press release," says Ms. Haynes. "All she needs is a couple of champions out there who believe in what she's doing." Adding a fresh loaf of bread wouldn't hurt, either. "How can you write about a product if you haven't tasted it?" Ms. Lashbrook says.
Getting media coverage may be an uphill battle, but it's one she can pay for with her own time. "I was the marketing budget when Ace first launched," Mr. Haynes says.
But before Ms. MacDonald shines a media spotlight on herself, her website could use some brushing-up. "The home page is filled with a bunch of bottles that you can't click on," Ms. Lashbrook says. "It's wasted real estate."
Also, says Ms. Haynes, products that Ms. MacDonald has discontinued, like her original salad dressings, should come off the page. "The customer wants to get what they can see, and if they can't, they get very frustrated."
Her website is a good place for her to drive home the differentiating qualities of her product, but right now, the health benefits of her dipping oils are buried at the bottom in small print.
Ms. Lashbrook suggests that Ms. MacDonald create a more personal presence on the site through the use of video. "She's an articulate, likable woman with a great story." Ms. Lashbrook also likes the idea of a blog cross-linked to popular sites.
When it comes to advertising, the experts agree that Ms. MacDonald's budget doesn't afford much scope, which is why getting editorial coverage is so important.
What Ms. MacDonald needs to keep in mind is that all of this will take time. "It's not going to be instant gratification," Ms. Lashbrook says.
"When we were spreading the word about Ace, it happened slowly," Ms. Haynes says. "But it's clear that she's doing this for all the right reasons. She has a unique, interesting story and she believes in her product. That goes a long way."
In a nutshell
Enrich the brand
Bread dipping oil is not a cupboard staple. Create additional uses for it, and use them in the branding.
Tidy up the label
Give prominence to the product's selling feature - that it's made with organic, unrefined oil - rather than hiding it in the small print.
Promote personal expertise
Ms. MacDonald should set herself up, to the media and others, as an expert on unrefined oils.
Bolster the website
Bottom line: Keep it current and position the selling features front and centre. Personalize the site through the use of video.
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