Profitable Project
B&H helps Shamrock Farms enhance its school lunch program.
Shamrock Farms, the
largest dairy in the southwestern United States, is shaking up the National
School Lunch Program.
While the price-sensitive program has
traditionally relied on inexpensive gable-top cartons for school lunch
milk, the dairy had a different vision when it introduced a new 8-ounce
plastic bottle in February 2005.
Because price was still an issue with the new premium
package, Phoenix-based Shamrock Farms turned to Ceres, Calif.-based B&H
Labeling Systems to supply an economical in-line roll-fed labeler for the
project.
“When a school converts from gable-top cartons
to plastic bottles, they have a better offering and the volume of the
entire school lunch program increases,” explains Wendy Patterson,
director of product development for Shamrock Farms. “Studies
conducted by the milk industry show that when you improve the milk
offering, either with a better container or with new flavors, you’ll
increase the volume of tray lunches sold and the units of milk by up to 24
percent. That increase more than offsets the added cost of the
package.”
The new 8-ounce HDPE milk bottle is decorated with an
eight-color OPP label using the affordable and reliable BH1600 from B&H
Labeling Systems. “Compared to sleeve labeling or rotary labeling,
in-line roll-fed labeling is the most economical,” says Jeff
Patterson, vice president of operations for Shamrock Farms. “In
choosing a supplier, we considered the capital cost of the equipment as
well as the quality of the equipment and the ability of the supplier to
provide technical support. We also considered the flexibility of the system
to handle a wide range of container sizes. When we measured all those
factors, we felt confident that B&H offered the best option.”
Handling Shamrock Farms’ current production
needs and giving them the flexibility to grow in the future, the BH1600
labeler handles containers ranging in size from 8 ounces to 2 liters at
speeds of up to 350 bottles per minute. With B&H’s RCO®
(Rapid Changeover) capability and color-coded change parts, the BH1600 can
be changed over in less than 15 minutes by one operator. The computerized
operating system can be pre-programmed for a variety of products, which
reduces the skill level needed to handle changeovers and ensures the
labeler operates at optimal performance to produce the most attractive
packages.
Like most consumers, schoolchildren have grown
accustomed to seeing attractive packages on market shelves. They expect
packages to be easy to open and products to taste good. That said, their
preferences affect the choices they make within the school environment.
Moving from gable-top cartons to plastic bottles within the school lunch
program seems to offer a win-win situation for kids, schools and dairies
whenever the change is made.
“Due to pricing pressures, the paperboard used
for gable-top cartons has gotten thinner and thinner, which makes the
package very hard to open. And it’s like licking cardboard,”
Wendy Patterson says. “An industry study found that kids’
preference for milk actually goes down with each year they attend school.
We believe gable-top cartons contribute to this decline and we think the
schools are ready to consider the bigger picture.”
Studies show that serving kids milk in plastic bottles
increases milk consumption, resulting in a more healthy diet. Also,
creating excitement in milk contributes to increases in volume of tray
lunches sold, therefore bringing in more money for the schools. “And
the dairy benefits too,” Patterson says. “By giving school kids
milk in gable-top cartons, we are, in effect, driving milk-drinking
customers away, potentially for life. If kids are learning every year that
they don’t like milk, they won’t drink milk as adults or grow
up to encourage their kids to drink it. Improving kids’ experiences
with milk in the school lunch program is an important long-term investment
to create a positive experience with milk in general and the Shamrock Farms
brand in particular.”
Understanding that these dynamics could influence
schools to favor plastic bottles, Shamrock Farms invested in a new
packaging line. The dairy considered different types of labelers and a
variety of suppliers to find the most affordable way to produce an
attractive package. Shamrock Farms worked with Statco Engineering &
Fabricators Inc., a distributor of B&H Labeling Systems, and selected
the BH1600 labeler. Six weeks from the date the dairy placed the order, the
new labeler was installed and running.
“We’re very satisfied with the B&H
labeler,” Jeff Patterson says. “We are happy with the
performance in terms of labeling accuracy, equipment efficiency and how
fast our operators were able to catch on. The equipment does what we ask it
to do without being overly complicated. It’s easy to clean and
it’s easy to maintain.” —
B&H Labeling Systems, P.O. Box 247, 3461 Roeding Road, Ceres, Calif.,
95307, phone: (209) 537-5785, fax: (209) 537-6854, e-mail:
marketing@bhlabeling.com, Web site: www.bhlabeling.com
$OMN_arttitle="Profitable Project";?>