It pisses me off that our HEALTH insurance company brings pizza and coke for a lunch and learn. #thisiswhyyourefat

(link)

Interesting to think about though. Why aren’t they interested in keeping us healthy? Shouldn’t we be granted lots of free preventative care? Won’t they save money since we’ll be paying into insurance that we won’t use?

The medical world has been messed up for a long, long time. Will our band-aid solutions be enough?

(PS - that last part of the quote is a reference to the incredible website This Is Why You Are Fat)

In theory, this seems like a good idea - though in general kids are rebellious and ad campaigns aimed at getting them to not do something aren’t always successful. For example, this study suggests that anti-smoking campaigns are successful when they encourage kids to believe that their friends are taking the ads to heart, while more direct messages fail.

It’s interesting to note that when the government fights against sugar, it’s fighting against artificially low prices that it’s own corn subsidies helped to create. The drinks they fight against are almost exclusively sweetened with various forms of corn syrup. Not only is it spending money to create the problem, it’s now spending money on trying to solve it.

Instead of a tax, why not just kill the corn subsidies (both will have the same effect: raise the cost of soda and generate revenue for the government)?

Google Trends shows us that, from its low point midweek, the number of people googling “soda” increases roughly 20% on Sunday. Why would that happen, any guesses?

This campaign will be a good thing if it actually works - hopefully they’ll play up the indrect social component as mentioned above. For more, check out the NYTimes article that inspired this post.

You have to appreciate how gruesome the fat in the glass is though.

Below are my notes from the session.

General Market Outlook

Huge problem: over-leveraged consumer and rising commodity prices (my thought: this will continue to get worse as gas prices rise longterm)

Colorado will be one of the first states to come out of the downturn. Solid population growth, among other reasons.

Natural and Organic Food Industry Outlook

The days of 20% growth are over. Expect 8% annual growth, and plan business models from that.

Only 1% of natural & organic food sales come from online (my thought: 1% is tiny, this market is bound to explode)

Animal supplements is a huge emerging market (who knew?!?)

Takeaway Insights

1. Natural & Organic will recover
2. Threats to the supplement industry are real. They need to invest in a little house cleaning now to optimize their operations for the future
3. Nutrition industry is not internet optimized. Huge opportunity for “mom marketing”
4. The Product Promise
   • What’s on the label is in the pill
   • What’s on the label is in the pill at the point of purchase
   • What’s on the label is in the pill at the point of purchase and is absorbed efficiently and effectively into the body
   • What’s on the label is in the pill at the point of purchase and is absorbed efficiently and effectively into the body and the food is safe
   • Economic Recovery - Consensus is sometime in 2010

Below are the notes I took during the talk:

What are turbulent times?

• The is the end of the industrial era. We need to prepare
• We’ve been too exploitive & hard on the planet
• We’ve been operating industrial agriculture as though it’s in a bubble with unlimited resources that isn’t affecting other systems

What do we mean by driving through?

• Don’t just do what is necessary (traditionally - humankind gets things done through force and violance)
• Use the civilized/rational heart - really thing things through (without a plan, we end up with things like urban sprawl)

He recommended two books:

• In the Bubble: Designing in a Complex World
• The Barbaric Heart: Faith, Money, and the Crisis of Nature (about the way in which we address problems)

What’s happening now and liable to get worse?

• More unstable climate - our agriculture has become so specialized that it’s susceptible to widespread failures if/when the climate changes
• Higher energy costs (which our current system is predicated upon)
• Loss of biodiversity

Random Facts

• Organic soil retains roughly 5 times as much water as exhausted non-organic soil
• The 1974 definition of a farm (which is still used today) is: has or “could have had” $1000 in gross sales (my thoughts: outdated laws can drive undesirable behavior - say for example spending more growing corn than you would be able to sell it for, then making up the difference through government subsidies)
• Only 5.8% of farmers are under 35 years old and most are on the verge of retiring. Where are the young farmers going to come from?

Strategies?

• Be Bolder - “greening” our current system is a step in the right direction, but it assumes the system is good and just needs to be made more efficient. Actually, the whole system is wrong and unsustainable.
• Shift from control management to adoptive management (my notes aren’t good enough for me to explain what he meant - can anyone elaborate?)

Even More Interesting Stuff

• There is a really fascinating example from the coal industry called Jenkins Paradox. He proved that when our systems burned coal more efficiently, coal became cheaper, and then we ended up using it at a much higher rate. So basically, making energy more efficient isn’t the answer since we’ll just adjust our habits to use even more of it than before.
• A guy in Milwaukee is feeding 10,000 people and generating $500,000 in revenue from a 3 acre urban farm. Dr Kirschenmann related that a typical 3500 acre Iowa farm generates less in revenue (I’ll be writing more about this guy from Milwaukee - my hometown! - in a future post)
• Will Ellend has prime Iowa real estate, but 3 out of every 5 years - he grows grass and grazes cattle on what is climate-wise the greatest place in the world to grow corn and soybeans

Closing Ideas

Organic and local isn’t good enough. Why? A place like New York City cannot sustain itself from a 150 mile radius. Plus, there would be tens of thousands of ideal farmland going unused in places like the Dakotas and Iowa.

We need to promote the idea of food citizens and blur the line between what is currently a separation between farmers and consumers.

Finally he said: “People often ask me if I am an optimist. The answer is ‘No’ because neither optimism nor pessimism will help us. Hope is the answer.”

My thoughts

This was really a fascinating and motivating speech, amazingly spoken without notes! The biggest takeaway for me was this: making a bad system more efficient only exacerbates the problem.

You’ve probably adopted lots of “green” measures in your life, but are they really fixing the system, or delaying the inevitable collapse?

Though Goddess Garden has an entire line of skin care products, Nova smartly focused on her 70% organic sunscreen. The kicker product was the bonus UV bracelet that kids wear to warn themselves that they need to protect themselves when the sun is particularly strong.

Goddess Garden wins a “one-year, national sales and brand management contract valued at $180,000″ courtesy of Organic Food Brokers.

The other five finalists (out of 17 pitches), whose products you can read about here, were (judges thumbs up votes in parenthesis):

• White Girl Salsa (Three Up, 1 Neutral)
• Liscious Organics (1 Up, 1 Neutral, 2 Down)
• Brad’s Fancy Sauce (3 Up, 1 Neutral)
• Olomomo (2 Up, 2 Down)
• New Planet Beer (4 Up)

Stay tuned for an article about the various sessions held throughout the day, as well as a wrap-up post!

Best Young Business - Mix1

Mix1 - makers of beverages for better nutrition on the run - drinks that actually nourish the body, took home Best Young Business, a category for companies less than 5 years old. They grew 361% in the last year!

I just asked my wife if she’d ever tried it, and her exact words were: “Yes. I love it. There is one in the fridge.” So now I’m drinking my first - Blueberry Vanilla. It’s excellent- tastes like a creamy smoothie (But appears to be non-dairy).

Company of the Year - Eco Products

Eco Products, makers of compostable disposable products (utensils, plates, cups) has grown from 10 employees to 70 in the last few years. Their products show up at events all over Boulder, and beyond.

Local Hero - Community Food Share

Community Food Share has provided 5.3 million free meals to people in the Boulder and Broomfield communities who don’t have the resources to feed themselves. This is an enormous number, and most people don’t realize that 1 in 8 (or roughly 50,000) people fall into this category.

Lifetime Achievement Award - Mark Retzloff

When you list his accomplishments end to end, Mark, a guy who definitely needs his own wikipedia page, seems to be almost single handedly responsible for the organic movement in Boulder - one that has been spread far and wide by the companies he has started and/or been heavily involved in. To name a few: Horizon Dairy, Alfalfa’s (which later merged with Wild Oats), Rudi’s Organic Bakery, and most recently Greenmont Capital - probably the premier investment fund for early-stage LOHAS companies.

In his acceptance speech, Mark left us with five words of wisdom that he has learned throughout his amazing career:

• Be authentic
• Be vulnerable
• Be accepting
• Be present (and drop the multitasking) - which made me feel guilty for taking notes!
• Be useful

Congratulations to Mark and all the other award winners, all of whom extended support and encouragement to the other budding natural food entrepreneurs in the room.

Though only 17 pitches were made (as opposed to 25 last year), the quality was high - many of them seemed to be more developed and refined than the 2008 crop. Having said that, I’m not sure the extra time in the spotlight was helpful, as many pitches spent a little too much time telling their story, rather than leading with their product & service.

Please let me know if any of my information is wrong (spelling is likely to be). “In their words” are the notes I tool during the pitch. “Judges” are the notes taken during the judges Q&A session. Sentences ending with a question mark are the judges questions, followed by the pitchers responses…everything has been paraphrased mostly in my own shorthand unless surrounded by quotes.

Here. We. Go.

In their words: Beverages. All naturaly mind body elixir, C factor - being available in the moment, 10 amino acids, partnered with person responsible for Kombucha. Citrus. Sport version on the way. allows you to be “Cool Calm and Connected to your Core”.

Judges: Calories per serving? 35. Initial launch? 1 product - others successful starts with only 1 SKU were Gatorade and Sobe. Where do you want to be in the store? Natural beverages section ideally. #1 ingredient? There isn’t one - they’re all important.

My thoughts: Why no samples for the judges?

In their words: A distributor of local foods to restaurants. Reduce carbon footprint of our food service industry. Restaurants etc are looking for a one stop shop for local and organic food. Bridge gap from farm to table. Food from 150 mile radius. Distribution 100 miles.

Judges: Products are from farms, and/or organic, and…? Three tiers of pricing: 1) Local 2) local and naturally produced 3) Local and certified organic. What will your portfolio will look like in February? Get into microbrews/alcohol, bread, meats, flour. How are you delivering, refrigerating, etc? No frozen. Over 35 restaurants in Boulder that are sourcing local produce. How big is that market? 350-400 restaurants. First year goal: $850k in sales, 15% profit margin (or maybe 50%?), 10 restaurants.

My thoughts: I’m not totally aware of how acute the problem is, but it seems like there is a market. I just wonder how big it is, and how much would have to be captured to make it viable. There are other local products to sell in the produce off-season, but it seems like most of them will want you to help them solve the problem in the winter as well, rather than waiting to start buying your produce in the spring again.

In their words: Make your own green cleaners using their custom designed bottles. With directions built into the bottles, and measurements. Just pour in what you have up to the line for each item. Recycled plastic made in US. Garden care, pet care, personal care.

Judges: Sell products too, or just bottles? Just bottles. Sprayers will last, unlike reusing windex bottles, etc. Price point? Not sure - $4-$5. (Large concern about price point amongst judges). Not all about price for her target customer.

My thoughts: I think it’s a neat idea. Doesn’t seem like she’ll be able to capture sales from people who already make their own cleaning solutions. Target audience seems like people who would make their own, but just need that extra nudge. Not convinced that is a huge market and/or you’re selling a product to get people to change their habits.

In their words: “Chi in a bottle.” “When you break it down, it’s dirt that you can eat and consume.” Mineral complex that gives you extra energy and has a lot of other benefits (which are not FDA approved claims).

Judges: Target market? Humans. Anti-bacterial. Solves a problem that traditional medicine can’t. Sprinkle it on food? Put it in water? Any way you want except smoked or inhaled. Even put it in a neti pot. 2-3 capsules 2-3 times a day. You get more energy. Sleep less. Focus more. How many people in CO are using it right now? Religiously - 30-35. Where is this going to be in the store? At the register. Judge says - “this is a hand sell item” - you need educated people in the stores selling these. Michael says - “It will revolutionize the way americans feel”

My thoughts: Very hard sell. I’d need to be recommended this by a friend. Kind of nebulous “cure-all” type claims. I’m vaguely intrigued. Michael is a total character - part mad scientist, part old timey salesman. Would be interesting to meet.

In their words: Why the name - Close with a hispanic family who liked her salsa, and it stuck. 3 varieties. Zesty and different (because it’s green). Sold 5,000 jars in the first 4 months. Featured by 5280 and Best Dishes.

Judges: Judges suggested taking salsa out of the name, to stick with the White Girl for branding other foods. Online sales as a %? 5%. Mostly Friend to friend and farmers markets. Retailers approached her. Retail? $8 at farmers market and retailers up to $13. Will it go over well in other parts of the country? (namewise). She was worried, but no problems thus far.

My thoughts: Didn’t get to sample it so it’s hard to say. Great branding though and the fact that she’s sold so many in the first few months and been featured in major magazines is a hugely positive sign. You can buy White Girl Salsa online from Foodzie. (local food from a local startup!)

In their words: Organic Sunscreen. Currently in Whole Foods, Pharmacas, etc. reordered every two weeks. No chemicals. Editors Pick two natural foods magazine.

Judges: Tell me about this? UV meter for children to wear…an educational product (comes with some of the products).

My thoughts: I’ve actually been using this lately (received it in the goodie bag at my tour of the new Whole Foods in Centennial, CO) and it is incredibly good at blocking the sun. Difficult to rub into areas with hair (so shave if you don’t want that faint clown look).

Judges: Lead item? Jams. Granola is the new line. Uses honey. 8 oz jar is $4.99. How big do you want to be? I’d love to be like a Sara Lee. “I’m eventually going to make it, it just takes time.”

My thoughts: Lori was a whirlwind of energy. I’ve had her jam, and it’s awesome. Need to be careful though - Luscious Organics has so much going on that it is hard to get across a clear, consistent pitch.

Judges: Are you selling facilities? No. Turnkey system. Guaranteed contract to buy produce from the farmers. Payback is 5-16 years generally. Nutrient mix that no one else has.

My thoughts: Still a little confused as to what he’s selling, but clearly a business/numbers guy with aspirations to be HUGE.

Judges: Do you see vending machines in your future? I absolutely want to go there, this is my bootstrap method (bamboo box with honor system payment box). 86% payout thus far. 10% of sales to charity picked by the people who host the box (and the charity slides up and down based on the payout rate to encourage more honesty).

My thoughts: I had one of these in my office all summer. It was fantastic. Good, natural products (Chocolove, Boulder Canyon Potato Chips, Larabars), mostly local. I loved the honor system payment because I didn’t have to mess around with exact change. Once I put a $10 bill in and just took my next few items for free! Simple idea that is definitely needed. Would be easy for a competitor to set up shop.

Judges: Is it a program or product? Nutraseutical? product and exercise and diet program. Differentiator? No magic pill, you need all three. But we’ve got proprietary neuroscience.

My thoughts: Not really sure what problem this is solving, and if the people who have the problem even know it.

In their words: All natural cosmetics. First and only with therapeutic benefits. Acne. Eczema. Wrinkles. Pending patents. Poised to launch in Feb.

Judges: Competitors? No one uses homeopathic complexes in color skin care and cosmetics. Consumer educating? We are about healing. Distribution channels - retail, strong component in MLM & social networking.

My thoughts: If they really have pending patents and are the only ones using homeopathic stuff in skin care - then sounds good. I don’t use cosmetics, but often balk at using products that are killing two birds with one stone…for example - I don’t want moisturizer and sunblock at the same time - just one or the other. Maybe that’s just me?

In their words: Namaspray - yoga mat cleaner. All natural. Organic tee tree oil.

Judges: Heather - Starting to be some competitors. Judges - Get the trademark! (she already has it) Where would we find this in the store? Yoga stores. Pharmaca. How big is the market? Dunno. Pushing it as a gift.

My thoughts: Around $15 for a bottle. Seems pricey but the name is fantastic. Would definitely be a great gift item (especially given the name), but a hard sell otherwise.

Judges: Refrigerated? Yup. I won’t compromise on ingredients. 12 oz. for $6.99.
My thoughts: Interesting. I’m surprised that there aren’t a wider variety of pasta sauces in the supermarket. I’d never thought of this before. If it’s refrigerated though, I wonder if it will get in front of enough people. You have to know to look for it, and pasta sauce to me seems like one of those items you toss in your cart because you walked by, not because it was on your grocery list.

Judges: Why funding? Need money to launch some new products. 20-25% margin. New market created in last 5 years. I was the first to bring it to the US. Krill is only biomass that comes out of the ocean that is regulated. We take out less than 1% of the allowable amount.

My thoughts: I’m so sad that he never explained what krill oil is or why we would want it. I’m also surprised that the judges didn’t ask. The people around me in the audience didn’t know. 30% of the market is a huge chunk, could they really get that much bigger?

Judges: Capacity? Plenty of capacity now, but ;ooking to find a copacking facility when they get to scale.
My thoughts: LOVE these nuts, and I’ve written about them before. Good bribes for the judges. Seems to me like there is a place for someone to snatch as a nationwide, premium spiced nut.

I’m especially excited to see all the budding food entrepreneurs pitch their ideas tomorrow afternoon, and the chance to sit down and have a one on one lunch session with a food industry professional. I’ll be writing updates about the event right here, as well as on twitter at @reluctanteater.

If you’re interested, there is still time to register.

I’ll describe this in more detail shortly, but first, a quick summary:

• Plenty of studies have reported that Vitamin D prevents many types of cancer
• Sunlight accounts for up to 75% of our daily Vitamin D intake
• Skin cancer rates for Caucasians in the US have almost tripled in the last 30 years. The rate for African Americans has actually decreased.
• On a state by state basis, the sunniest states do not have the highest rates of skin cancer

Now clearly, I am not a doctor, so consider this information and do your own research. And don’t necessarily trust doctors! For years they’ve recommended products which are later shown to be horrible for your body (cigarettes anyone?).

Vitamin D Seems to Prevent Cancer

While no one is staking their reputation on this, over and over and over again, studies are showing decreased cancer rates (for MANY types of common cancers, not just skin) in people with higher Vitamin D intakes. Many of the stories seem to hedge their bets (Vitamin D “may” prevent cancer), which I can understand. It’s hard to prove definitively in a study that spans decades and has an almost impossibly complex set of variables to control for.

Although the American Cancer Society says “evidence isn’t conclusive”, they admit the majority of studies they’ve analyzed agree that Vitamin D prevents cancer. They go on to say:

Many studies have looked at the relationship between cancer and vitamin D, but they have not been able to pinpoint exactly how vitamin D might influence cancer development..

Which leads to their specious conclusion that: “…it’s too soon to recommend taking vitamin D supplements for cancer prevention.” Interestingly, there doesn’t seem to be too much risk of overdosing on vitamin D from exposure to the sun or a regular diet. Only excessive amounts of dietary supplements seem to have any potential downside. (Google “too much vitamin d”).

Caucasian Skin Cancer Rates Are Skyrocketing

Sunscreen started to become widespread in the 1950s, and our skin cancer rates (as well as all other types of cancer) have been exploding ever since. With all we “know” about skin cancer, why is a product like sunscreen, which is designed to prevent skin cancer, actually failing to do it’s job? Well, guess what? Sunscreen is filled with chemicals, often allows UVA rays to get through (which are primarily responsible for skin cancer), while blocking UVB rays - which provide us with lots of healthy vitamin D.

African American skin cancer rates have actually dropped during that time frame, and stand at about 1/17th of the incidents found in Caucasians. Remind me again why having darker skin is a sign of skin cancer?

More Sun Does Not Equal More Skin Cancer?

This map shows the daily amount of sun radiation received in a given location:

The next map, shows the rate of skin cancer by state:

Why don’t the states with more sun have more skin cancer? In fact, you’ll notice that many of the least sunny states have the highest rates of skin cancer (particularly the northeast and northwest). Perhaps the real problem is lack of sunlight?

How I Plan to Fight Cancer

After doing this research, I have a new plan: instead of fearing the sun, and applying sunscreen by default, I will only use sunscreen when I will be in the sun long enough to burn. Sunburns are definitely still something to avoid. Getting color in small doses is not. The sun is particularly less harmful early and late in the day, so I’ll probably only use sunscreen between 10am and 3pm.

When I do use sunscreen, I plan to use the most natural kind possible. The fewer chemicals that get absorbed into my skin the better obviously.

Anyone else following a similar plan?