1. Land and Nature (L&N) Jerky is an independent subsidiary owned by KB Holdings, a global food company. L&N is located in Nebraska, and specialize in all-natural jerky and other meat snacks. They brand themselves as a heritage brand that make artisanal, sustainable, better-for-you products.
2. In 2020, L&N had $10,480,000 in sales revenue, with a gross profit of $3,144,000. Formerly, their products were only available in stores throughout the Great Plains, but thanks to their relationship with KB Holdings, L&N products now have nationwide distribution.
3. L&N is a smaller, premium brand with strong brand awareness among meat snack consumers. L&N is considered in many surveys to be one of the top five brands among all-natural artisan jerky and other meat snacks.
4. L&N is the only national meat jerky brand permitted to label its products using three AGW (A Greener World) certifications: Certified Grassfed, Certified Non-GMO, and Animal Welfare Approved. Also, maintaining their own production facility instead of using copackers (as their competitors do) improves L&N’s quality control and lowers their production costs.
1. L&N’s direct competitors are other small premium meat snack brands that offer similar products as L&N at similar price points. These brands include: KRAVE, Chef’s Cut, EPIC, and Country Archer.
2. L&N’s secondary competitors are large meat snack brands who produce lower priced, lower quality products for price-sensitive consumers. The top three of which are: Link Snacks, The Oberto Sausage Company, and Slim Jim.
3. Healthy, non-meat snacks are another competitor. This would include: nutrition bars, trail mix, vegetable based snacks, and protein cookies.
4. Other competitors include producers of unhealthy non-meat snacks, such as: candies, chips, salty snacks, and ice creams.
1. L&N’s primary customers are college-educated, working adults with household incomes of $75,000-$99,999 who want a healthy meat snack option.
2. L&N’s secondary customers are Paleo consumers, who want a convenient protein-rich snack that helps them maintain an active lifestyle.
3. L&N’s primary customer group are more likely to look at ingredients before buying snack foods and less likely to identify low price as important to their purchase decision. They are also more likely to look for labels like L&N’s AGW certifications than the average jerky buyer.
4. L&N’s secondary customers are highly sensitive to quality and healthiness, and less sensitive to price. They prefer all-natural products, and view meat snacks as a convenient on-the-go source of protein. Since this demographic is typically very physically active, consuming high levels of protein daily is important to them for maintaining energy and building muscle. They also appreciate that L&N’s products are certified Paleo.
1. L&N’s most important collaborators are its meat producers (sustainable farms who use eco-friendly practices). These producers ensure steady access to inputs to L&N’s production facility; without them, there would be no products to make. These particular meat producers allow L&N to be the only national meat jerky brand permitted to label its products using three AGW certifications.
2. KB Holdings is L&N’s second most important collaborator, as their relationship gives L&N a competitive advantage in the market. KB Holdings manages the ordering, restocking, and delivery for all retail accounts, and helps with distribution which saves L&N the typical grocery wholesaler distribution fees of 15%-30%.
3. Another collaborator is a marketing company that L&N outsourced a portion of its marketing efforts to. This marketing company specializes in targeting and delivering marketing content using marketing automation, AI, and machine learning. By outsourcing, L&N was able to save $200,000 in 2020.
4. L&N supports a number of conservation efforts and nonprofit organizations. These relationships strengthen L&N’s Brand Identity as a company who values sustainability, health, and eco-friendly practices.
1. Allegations of antitrust violations have recently appeared in the beef, pork, and poultry meat packing industries. Claims include rampant price fixing and an unequal distribution of market power between corporate agribusiness and farmers. In response, bills have been introduced to foster more efficient markets and increase competition.
2. The World Health Organization (WHO) has recommended that governments regulate food advertising and marketing to change perceptions of ‘normal’ portion size and healthy food options. Smaller packaging sizes and single-serve portions (which typically limit calorie intake) are expected to rise as a result.
1. The Coronavirus pandemic has hurt consumer buying power and reduced consumer spending, especially in regard to premium luxury items. As consumer’s price sensitivity grows, they are more likely to choose lower-cost, lower-quality options over their preferred brands, or even do without.
2. The premium jerky category is growing three times faster in the marketplace than regular jerky, however the market is also becoming more crowded and competitive. Other new health snack options, such as innovative vegetable-based products, are now entering the marketplace and are expected to claim an increasing share of the health snack category.
1. A social trend that favors L&N is thatAmerica is becoming increasingly health conscious, and as a result are looking for healthier snack options that are made with better quality ingredients. Consumers are growing more aware of the potentially harmful additives found in most snack categories and are more willing to read labels to check ingredients and determine food provenance.
2. A social trend that does not favor L&N is thatthe Coronavirus pandemic has limited the amount of traveling that people do. The diminished amount of time consumers spend away from their homes is a cause for concern since one of the meat snack sector’s key customers are out-and-about people looking for a quick protein fix. The pandemic also led to a shift in shopping behaviors with consumers trying new channels such as click-and-collect, grocery delivery services, and traditional ship-to-home alternatives, all of which threaten impulse snack buying.
1. On-the-go snack products are often a topic of concern for those who are worried about sustainability, due to the excess waste created by disposable packaging. As a result, technologies are being developed that allow for new recyclable and biodegradable packaging solutions. For instance, Nestlé recently released a candy bar packaged in recyclable paper, and Fazer introduced a new sustainable carton packaging for its line of oat snacks. These sustainable packaging options will resonate well with consumers who prioritize eco-friendly practices.
2. There is an emerging alternative protein market that is expected to disrupt the meat snack industry. Companies like Beyond Meat are developing new technologies to transform plant-based proteins into meat substitutes. In 2019, UBS estimated that the plant-based-protein market will grow at a rate of 28% a year, and according to some estimates it could make up one-third of the entire protein market by 2050.