Ocean Spray CEO on Adapting During Pandemic

did everyone else, watching tens of millions of times. And you know, I gotta say, this is a brand well known in my home. And here to talk about all of this in the pandemic and branding and surviving in an ever changing and challenging consumer food, product and beverage space is Tom Hayes, the president CEO of the agg Cooperative Ocean Spray. Tom is also former CEO of Tyson Foods,

and he joins us on the phone in Lakeville, Massachusetts. Um, Nathan Abutaka, I don't think I'm saying it right, Apo Dacca, thank you, thank you, thank you, Apodaca. Um tell us first of all, Tom, where you were when you first heard and saw Nathan's video? Hey, First of all, thanks for having me Carroll. It's it's great to be with you. And when I first when I first heard it and saw it, actually was a friend of mine sent me a text and he said, you gotta check this out.

He guys, what an amazing opportunity for ocean sprice. It was a buddy of mine sent it along, and it was it was really cool. And I had the same sort of impression I think everybody did when they saw it that this this guy, Nathan was Apo Docca was very sort of distraught on the one hand that he has broke his struck, broke down and could get the work.

On the other hands, he sort of took in stride and made this video and everybody's like, wow, Jeezon and time when we need it, that need, that positivity he delivered. And so that was that was the first time I saw it. Was a lot of a lot of positivity. I mean, I can we talked about it so much of the newsroom and you guys and it up, you know, giving him a new Cranberry red truck in a bunch of ocean spray as well. Um so coodas to you guys, you also did a similar video, um and and that's

pretty cool that you did that. Yeah. Thanks. You know, the team really sprung to action and I said, how can we take um full you know that to this opportortunity and take it to its fullest extent and really helped Nathan get you know, what he needs, which is a truck of transportation. Uh. And the team jumped to action and we said, this is fraid. If we're going to do this for him and give him the transportation,

why not make the truck Cranberry red? And then why not loaded up with you know, cranberry crand raspberry juice in the back, which is what he was drinking on the skateboard. And you know, when I was asked to play a role, I said, you know, absolutely easy decision. YEA happy to do it. And I was not a skateboarder like he is, but I figured it out and you know, if Nick Mick Fleetwood could do it, I figured,

well I should give it a show. We've been playing it all for the folks watching right now on YouTube. Hey listen, So one year into the pandemic, you know, tell him what stays with you from a year ago and how do things look today? Yea, So for a year ago, things were obviously very different mood wise. People were shocked and scared, not that they aren't now, but it was just nobody knew what to do. Now we do know what to do. Safety protocols and planks and

our plants. People you know, certainly social distancing where they can, and we've you know, unfortunately learned to sort of live with it. But I would say the thing that has changed at Ocean Spray beyond just safety protocols is how do we take this opportunity to build positivity in all aspects of our business where we can so, whether it's

through products and innovation some of the new items. So we've been coming out with Ocean Spray Wave, which is a new sparkling beverage with caffeine, or Ocean Spray mentally snacking items that are taking the joy of dried cranberries and combining them with other cool new proofs to create some special moments for consumers. There's been a lot of talk about how do we take what was last year sort of shocking and disturbing situation, And as we've moved through.

You know, it's been a full year, like, how do we make that you know, a situation that's more of a positive experience for people to the best extent that we can well, and I do think about I want to ask you about the new products in terms of what consumers want, but I do want to ask you about the past year because it has been something where all of a sudden inequities that have been in society for a long time, really we're front and center and

we're having discussions that maybe we weren't having before. What is the role do you think of companies and CEOs like yourself and leaders to help, you know, end the conversations or create conversations that result in deliberate action that

actually make a difference. I think with all leaders, you know, they are on top of organizations and leaders leadership teams, so the organization and people that are attached to it, whether they're consumers with the brand, where they're following on, you know, of broadcasts like this, what leadership are doing. They're all looking up and they're looking for role models

to you know, say and do what they expect. You know, good people and differently than I think in past situations, where people might have been slightly more distracted, they're really tuned in that people were focused on the tombs in front of them or the phones in front of them, and they're they're just aware of what's happening. I think the moments that leaders have to say, you know, here's what we can do to help the situation versus exacerbate it and bring you know, calm with insanity back is

really what we've tried to do with the company. And I think a board of directors is very you know, uh strong group of leaders that you know are farmers, they you know, doing this for hundreds of years, the families have it. They see an opportunity to say, look what we we know stability, what it looks like, and you know, team, we expect you to do that and the fortunate position to lead and hopefully bring positivity and you know stability, you know, some some amount of certainty

to where there's a lot of uncertainty. Hey, Tom, what's interesting is and I think about like the last year, I mean, companies continue to innovate, they continue to work on their strategies. You guys you know, have new products that have come out. Talked to us about what that development process was like and what's been guiding you know,

what you the new offerings that you're coming out for consumers? Sure, you know, it's um an interesting environment for sure because retailers are not as excited about putting new products on the shelf when they don't have consumers as much as they have walking through the stores. It makes it you know, spaces of premium. There's been certainly outages of products as you all wear, and so for consumer products, companies making sure that they're really unmarked with what their brands are

going to represent to that consumer. What the insight that you're seeing and what we had benefited from is the Ocean Spray brand, uh, you know is a hundred years old, nearly ninety years was the last year or ninety harvest and so that it's right, and so innovation is against a brand that is well known and consumers find comfort in.

It is a space that we took advantage of. So what we've been doing is trying to move ourselves from not just the Norman Rockwell painting, but to be a little more attached to you know, consumers that are newer consumer sells, millennials and younger consumers and the way we do that is to you know, make sure that we're speaking to them in the channels that they want, but

importantly giving them the products they want. So Ocean Spray Wave is a product that is a sparkling water is infused with you know, natural caffeine from tea as well as you know, the beautiful flavors that we offer an Ocean Spray and the combinations that we're so known for. So that's one of the things that we saw for sure that that consumers are attracted to having, you know, not only hydration all day, but also they want an energy pickup. So having an infused beverage that Meso's needs

was was certainly first on the radar. The second thing that we just introduced and have been making a big deal of it actually today is our new Fruit Metal

East line. So that's thinking of you know, the dry cranberry or crazy that we have all come to know and love, combining that with other products that bring immunity, fiber, and probiotics to consumers life and so as they are looking for things that can help them get through this, certainly immunity blends, fiber blends, probiotics are things that resonate and having the Ocean Spray brand there as a trusted brand, but also bringing in these new ideas is you know,

things that we hope we're going to be really successful products for us as we give it away from uh yet you know, sort of our old past when still embrace the brand that has brought us to the party. Well, and that's why I think a lot of brands that have been around for a century right are trying to figure out how to adapt to the new market. And I think about I was listening to you as you were going through the fruit medley dried fruit blend products

like check check check in terms of you know fruit. Um, we're talking about no artificial colors, flavors, preservatives. You know, people are increasingly and we talked about this a lot in our air, you know, looking you know, turning around looking at what's in a product. My teenager does it. Um,

this is what people are looking for. And you know, you understand the food industry increasingly, is this where everything's going as much as it can, as much as it can and you call it I think important saying that the consumer also wants to know that what they're buying is not only healthy for them, but they're doing good things for you know, the environment and so forth. So many consumers, uh, you want to make sure that they're

buying from a purpose dripping brand. What better purpose than the Ocean Spray House, which is to connect our farms to families for a better life. Being in business for ninety years and owned by farmers, are all the profit we make goes back to you know, seven hundred farmer owners. I mean, there's there's no better purpose drooping company my view in the business of that. And then the other thing is, you know, thinking about you know, what are

we doing going forward? Is we're not just happy with the fact that you know, we are owned by farmers, which we love, but what are we going to do to represent what they believe they can do for their future with regenerative farming, which you know, one of the most beautiful things about agriculture and in this space is that we can actually do things that are better for the environment just by doing what we do, which is raising you know, fully antioxidant loaded you know cranberry that

can help you help bring these wonderful products the market. Yeah, but it's interesting what you talk about farming. We were talking with CEO app Harvest who was formerly CFO uh at impossible. And what's interesting too is just you know, we are we looking at farming and how you do it because it does impact the environment in big ways. Um. Have you seen a lot of changes in terms of the farmer families that are part of Ocean Spray in terms of how they're doing things, not because they want

to and also because of out of necessity. Yeah, you know they like uh so we all are concerned about certainly the world we live in and having the impact we're having, but thinking about the farmers that that's sort of life they are. There's nobody's no better steward of the land than a farmer, regardless of the profits that raising. And you know, our farm is given that their regenera of agriculture that revitalizes the soil. They look to the

water around them because they need it to harvest. They want to make sure that they're actually improving the environment and leaving it better than before. Because the multi generational and let's send it this will be the third time

and being the just for years. Some of these storms go back before the early eighteen hundreds of the insues getting going and They want to make sure that they're doing the right things, so they continue to push whether it's um with the right pest management, and you know, being more focused towards going organic and using categoryculture as

a way to you know, step into new technologies. You wouldn't think there would be a lot, you know of of that going on in the crammer industry that's been around forever and extrambers, but they really do think about technology and the things that you know, can even push us further. Right, I can just imagine the innovation and the adaptations over you know, a hundred years in terms of doing this. Hey, um, quick last question. When you look at the food industry again I mentioned you are,

you know, former head of Tyson Foods. Um, what do you think the big trends like our audience investors need to be keeping an eye and just got about forty five seconds clean eating. People want food with fewer preservatives and you know that it's sure your family is doing the same thing. People want that, but they also want a great taste, so it's not a new insight. People

want that. It's harder to get you know, fantastic tasting products because some of the things that are are preservatives and otherwise are things that help them keep their great taste. So I think the investors should be looking for what are those companies that are really threading the needle. They have fewer ingredients that they're using and they're more clean ingredients, but they're also resonating with consumers and they have fantastic

taste that that just excites people. Well, really great to check in with you. Thank you so much for your time, really really appreciated, and good luck and hopefully we can check in with you again in the future. Tom Hayes, President CEO of Ocean Spray, on the phone in Massachusetts,