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Food product development

Tassal Ltd

This tutorial is useful if you are studying the core strands, The Australian food industry and Food product development or the option strand, Contemporary food issues: Marketplace. Tassal Ltd specialise in aquaculture and in particular salmon.

Outcomes
This material addresses aspects of the following syllabus outcomes:

H3.1 The student investigates operations of one organisation within the Australian food industry
H1.3 The student justifies processes of food product development and manufacture in terms of market, technological and environmental considerations
H2.1 The student evaluates the relationship between food, its production, consumption, promotion and health

Source: Board of Studies NSW, Stage 6 Food Technology Syllabus, Preliminary and HSC Courses (1999)

Tassal Ltd

Tassal Ltd's web site is very informative. In particular they have developed a pdf document: The Royal Tasmanian Salmon Story Selecting this link will take you to an external site. which includes information about the company, the farming of salmon, processing, products, marketing, distribution and management. Download the document and complete the following questions.

Need information about salmon farming?
Read pages 4 - 7 of the Royal Tasmanian Salmon Story.

Need information about salmon processing?
Read page 9 of the Royal Tasmanian Salmon Story.

Nutrition as marketing tool

Nutrition can be a powerful marketing tool. In recent years there have been many articles in nutrition journals and the daily newspapers about the benefits of omega fatty acids. Salmon is rich in omega-3 fatty acids. See page 8 of the Royal Tasmanian Salmon Story.

 1. How effective do you feel nutrition information is in marketing Tassal salmon products?
2.  Which target market do you think Tassal is trying to influence?
3.  How could Tassal use the information about omega-3 fatty acids in their marketing?

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Food product development

Maintaining a competitive edge is important in any business, but particularly in the food industry. While salmon products are popular, it is important to tap into niche markets such as the Japanese restaurant market.

One of Tassal's most important export markets is Japan. Turn to page 10 of the Royal Tasmanian Salmon Story.

 1.  In what form is the salmon airfreighted to Japan?
2.  Why do the Japanese pay premium prices for Tassal's Royal Tasmanian Salmon?
3.  Why is it important from a marketing point of view to develop new products?

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Distribution

One of the four Ps of marketing is place or placement. Or maybe you are more familiar with the 3Ps and a D for distribution. Place or distribution includes where a product is sold and how the product is moved from the point of production to the point of sale.

Distribution and transportation must work if the quality of the goods is to be maintained. Tassal is based in Tasmania and relies heavily on its distribution, transportation and storage networks to deliver high quality produce to discerning local and international markets.

Distribution is a key issue for a company such as Tassal Ltd.

1. Identify features of the Tassal distribution chain which contribute to the efficient transport of salmon. Turn to page 10 of the Royal Tasmanian Salmon Story.

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