AFFORDABILITY

Our DEEPER IN THE PYRAMID strategy is helping to bring safe, healthy and nutritious products within the reach of millions of low-income households.

​​​​​New opportunities

There are currently over 2 billion people in developing countries with an income of $2–$8 per day. By working with our customers to make safe, healthy and nutritious products accessible to these consumers, our DEEPER IN THE PYRAMID (DiP) strategy is helping to promote good health at the same time as tapping into a significant new business opportunity.

Set against a backdrop of global urbanization and growing demand in emerging markets across Southeast Asia, the Middle East, Africa, China and Central and South America, DiP consumers are aspirational. They want access to good quality, safe, healthy food, and to do the best for their families. They are also upwardly mobile – the global DiP population is set to fall by 3% per year leading up to 2020 as consumers shift from the low to middle income bracket.

This represents a major opportunity. The brands that low-income consumers choose today will influence what they buy as their spending power increases. Today’s DiP consumers are tomorrow’s loyal purchasers. Our focus is on finding creative, innovative responses to the unique challenges presented by these emerging markets, developing brand awareness and building consumer loyalty to create a secure future for our customers’ businesses.

Corner shop in sudan

Our activities

We work closely with our customers and with our colleagues in Food for Development, focusing on activities in the following areas:

  • Product development: At the DiP product development centre, we help customers to develop affordable, nutritious recipes, identify suppliers and provide facilities for product testing.
  •  Insights into consumer needs: We share local and global consumer research, run innovation workshops and identify product concepts based on the latest intelligence on consumer needs and aspirations.
  • Strong development partnerships: We support our customers to identify and understand nutritional gaps, negotiate funding alliances with NGOs and governments, and support project implementation and training.
  • Sharing expertise: We draw on our experience to help our customers understand the complexities of market distribution, develop viable strategies and logistics, devise distribution solutions and create appropriate, effective merchandising material.
  • Strengthening the value chain: Through a network of Dairy Hubs, we offer training, education and practical support to help local farmers build a sustainable business.

Milk for Change

Tetra Pak South Africa is teaming up with the non-profit partnership Feed SA to launch Milk for Change, a campaign with two aims: to fight undernourishment in families living on the fringes of the economy; and to educate consumers about the nutritional benefits of long-life milk. During the campaign – which will run in Johannesburg, Capetown and Durban from 26 May to 1 June 2016 – consumers will be invited to buy and donate a carton of long-life milk at participating retailers. The milk will then be distributed to those in need by Feed SA. Tetra Pak has committed to donating 10,000 litres and donations are also promised from Clover, Parmalat and Woodlands to kickstart the project with 33,000 litres. The campaign is the first of its kind in South Africa and is based on a similar project run in the Southern US, which collected over 500,000 litres of milk in 2015.

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