HPP as a Source of Strategic AdvantageHow a food safety program became an engine for growth at Sandridge Food Corp.

October 4, 2016

Dane SandridgeVice President of Marketing and Sales Support Sandridge Food Corporation

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1. About Sandridge Food Corporation

2. Early experiences with HPP

3. Impact on food safety

4. Impact on product development and culture

5. Impact on product labels

6. Impact on customers

7. Impact on growth

What we’ll cover

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About Sandridge Food Corporation

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• Founded as S&S Distributing

• Entered manufacturing with ‘64 purchase of 9 recipes, renamed Sandridge Gourmet Salads

• 1980s: Period of sustained growth through 1980s

• 1990s: Exited distribution side of business and focused on culinary solutions for customers

• 1997: Company purchased by Mark Sandridge, 2nd generation

About Sandridge Food Corp.

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Customers

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Customers who allow us to manufacture under their brand

Early experiences with HPP

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• Company BHAG: Bacteria-free products

• First HPP line opened in 2010: initial investment of $7.5 million+

• Full year of testing, experimenting before making first HPP sale

• 2nd HPP line added 2013

Decision to employ HPP

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1. Doesn’t make bad food good

2. Both science and art

3. HPP doesn’t work with everything

4. It can change the impact of certain ingredients

5. Requires skill and technique, which you’ll have to learn yourself

Early Lessons in HPP

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Impact on food safety

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• Nationally, average of 2 food recalls/day (626 in 2015*)

• 1/3 related to bacterial contamination*

• Significant number involve private-label products

• If you provide one service for your customers, keep them out of recalls

*Food Safety Magazine

Impact on Safety

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Cold Loving Bacteria(psychrotrophs) in Chicken Salad:

Non-HPP vs. HPP

12HPP

Control

HPP Results Unwanted Bacteria Growth

Days pHSPC

CFU/gr.

TGN

C/gr.

Coli

CC/gr.

Ana.

CFU/gr.

Lactics

CFU/gr.

Psych

CFU/gr.

Y/M

C/gr.

2 6.06 700 <10 <10 <10 500 <10 <10

10 X 200 Est <10 <10 <10 200 Est 10 Est 30 Est

17 X 500 <10 <10 <10 <10 <10 <10

24 X 170 Est <10 <10 <10 <10 <10 60 Est

31 X 200 Est <10 <10 <10 <10 <10 <10

38 X 200 Est <10 <10 <10 110 Est <10 <10

45 X 170 Est <10 <10 <10 100 Est <10 <10

52 X 190 Est <10 <10 <10 50 Est 20 Est 10 Est

59 X 280 <10 <10 <10 20 Est <10 <10

KEY SPC = Standard Aerobic Plate Counts

CC/gr = Coliform Counts/gram

Psych = Psychrotrophs

EST = Estimate

CFU/gr = Colony forming units/gram

Y/M, Col/gr = Yeasts & Molds, Colony/gram

TGN/gr = Total Gram Negatives counts/gram

Ana. = Anaerobes

Chicken Salad at 10 days

17 million Cold Loving

Bacteria

(psychrotrophs)

<10 Cold Loving

Bacteria

(psychrotrophs)

Control

HPP

NON HPP Results Unwanted Bacteria Growth

Days pHSPC

CFU/gr.

TGN

C/gr.

Coli

CC/gr.

Ana.

CFU/gr.

Lactics

CFU/gr.

Psych

CFU/gr.

Y/M

C/gr.

2 6.08 300 400 <10 <10 200 Est 10 Est 60 Est

10 X 1,400 1,800 <10 <10 90017

million

100

Est

Basic Chicken Salad Recipe• No Preservatives

• No Acidifiers

• No Additives

Non-HPP Chicken Salad

HPP Chicken Salad

Impact on product development and culture

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• Serving a more sophisticated consumer

• Culinary first

• More like a restaurant chef –less like a scientist

• Simpler recipes

• Brand differentiation

Impact on Product Development & Culture

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Looks Great, Tastes Great

Tabbouleh Quinoa Salad Base Country Club Chicken

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Impact on Product Labels

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Impact on Product Labels

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Potato Salad

with Egg

NO HPP

Potato Salad

with Egg

HPP

Impact on Customers

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• Opened us up to new prospects

• Changed sales process and internal buyers

• Improved responsiveness to customer needs

• Provided brand differentiation/protection

• Expanded our product mix with current customers

• Increased customer confidence

Impact on Customers

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Impact on Growth

• Reduced geographic limits

• Increased work with national clients

• Brought supply chain requirements into recipes

• Significant Growth Category

Impact on Growth

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Freight Lanes

World Headquarters – Medina, Ohio

Conclusion

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• Increased food safety

• Fresher, better tasting food

• Healthier recipes

• Increased shelf life

• Cleaner labels

• Deeper customer relationships

• Valuable brand differentiation

Conclusion

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Thank You