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Allison Walters Carrie Holcombe Eric Ewald Erin Berlin

Market Report for Product Created

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Page 1: Market Report for Product Created

Allison WaltersCarrie Holcombe

Eric EwaldErin Berlin

Market Demand

The demand for “Unwrap-A-Bowls: Fiesta de Vegetales” is driven by five categories.

These categories include the growth of ethnic foods in America, the incorporation of vegetables

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in an innovative and exciting way, the ability of the product to appeal to both children and the

parents buying the product for the children, the popularity of quinoa and the massive growth of

the gluten-free market in the US.

The shift in US demographics to include more ethnic groups as well as a growing desire

for flavor variety has increased, and will continue to increase, the sales of ethnic foods in

America. According to a January 2014 Mintel Report on ethnic food, sales of ethnic food

products grew 15% from 2008-2013, and it isn’t stopping there.1

Out of these ethnic products, the foods with Mexican/Hispanic heritage, the category this

product falls under, has experienced the most significant growth. 1 Although “Fiesta de

Vegetales” may be argued as not being “authentic” Mexican cuisine, this should not hinder the

ability to market it to consumers. According to Mintel, only one quarter of consumers say

authenticity claims are a leading factor when deciding which ethnic food to purchase.

Authenticity is seen as a more “value add” than requirement.1 The ethnic flavors of the product

such as lime, fire roasted corn, and black beans will attract consumers and be marketed in the

ethnic food category.

In addition to attracting the ethnic market, Unwrap-A-Bowls: Fiesta de Vegetales attracts

those consumers who are looking to eat healthier and are dissatisfied with current vegetarian

options. Mintel reports that the vegetable category has increased 14% in the past five years, but

should have increased more than this due to consumer trend toward healthier eating brought

about by the rise in America’s obesity rate. This slow increase is due to the lack of innovation

and poor consumer perceptions of taste and convenience with vegetables. Consumers want more

convenient nutritious options and are interested in finding “short cuts” when preparing vegetable

dishes.2 Unwrap-A-Bowls: Fiesta de Vegetales offers an easy, convenient and tasty way to get

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more vegetables by incorporating ethnic flavors with the vegetables in a simple microwavable,

ready to eat meal.

The target market for this product is children ages 5 – 12 and the parents or guardians

buying the products for their children. According to Mintel, the number of kids age 6-11 will

increase 5% from 2010 to 2015, with Hispanic children growing the most of all ethnicities,

increasing 40%.3 “Fiesta de Vegetales” will accommodate and appeal to this growing Hispanic

population through its ethnic flavors.

In a 2013 report, Mintel reported that one of mom’s top concerns when it comes to the

wellbeing of their children is nutrition.4 Healthy food options have now become the standard for

kids age 6 -11 who bring packed lunches to school.3

The What’s Hot 2014 Chef’s Survey reinforces the demand for nutritious meals for

children, including healthful kids’ meals and children’s nutrition in the top 20 trends of 2014.

Unwrap-A-Bowls: Fiesta de Vegetales attracts moms and parents seeking more nutritious food

for their children.5 The product is only 170 calories and advertised as a great source of Vitamin A

and Calcium and an excellent source of Vitamin C. By placing the colorful corn salsa on the top

of the package, it looks both attractive and healthy.

Quinoa was chosen as a main ingredient of the product due to its popularity in America

and nutritional benefits. The Food and Agriculture Organization of the United States declared

2013 the “International Year of Quinoa” due to its success in the market.6 In addition to this, non-

wheat noodles/pasta, such as quinoa, and whole grain items in kids’ meals were ranked among

the top 20 trends in the What’s Hot 2014 Chef’s Survey.5 The whole grain quinoa used in the

product is high in fiber and protein. Consumers have become more familiar with quinoa as a

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healthier alternative to white rice, which makes the product attractive to those wanting their

children to eat healthier.

Unwrap-A-Bowls: Fiesta de Vegetales is also a “gluten-free” product. The gluten-free

market has grown significantly, rising 44% from 2011-2013, due to the increase in diagnosed

cases of celiac disease and gluten intolerance in America. Mintel has predicted the gluten-free

market to continue to grow 48% from 2013-2016.7 Even consumers that are not gluten intolerant

or have celiac disease have become more interested gluten-free products. For example, Mintel

reports that 72% of consumers eat gluten-free foods even though they have never been diagnosed

with celiac disease.7 By advertising the product as gluten-free and making this feature visible on

the package, it will help attract both types of consumers.

Market Environment

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In supermarkets across the country, there is a limited selection of refrigerated, ethnic, and

vegetarian prepared meals. These options are typically only available in select grocery stores and

are usually not developed for children. Due to the lack of innovation in this market and a rising

ethnic population, an opportunity has emerged to develop a product that encompasses all of these

aspects in a convenient and nutritious way and appeals to children.

According to a January 2014 Mintel Ethnic Foods report, PepsiCo is the leading company

in ethnic food sales reaching $1.1 billion in 2013. Despite their prominence in this category, they

do not offer complete meal product options. PepsiCo mainly focuses on snack foods and its

Mediterranean/ Middle Eastern segment with 11% of their sale growth due to their Sabra

Mediterranean line.1 Unwrap-a-Bowls: Fiesta de Vegetales is a complete nutritious meal, which

sets it apart from the competition.

The Mintel report also states that more than 1/3 of home cooks prepare Mexican food

from scratch, however more than 1/3 of consumers that eat ethnic food do not feel confident in

their ability to prepare these products at home successfully. Many rely on meal kits, which can

become mundane and repetitive. For this reason, manufacturers in the ethnic food category have

begun developing products that provide the simplicity of a kit without compromising flavor and

originality.1 Unwrap-a-Bowls: Fiesta de Vegetales accomplishes this by incorporating ethnic

flavor in a complete meal that is exciting but convenient for the consumer. The instructions on

the package are easy to follow and allow the consumer to enjoy a healthy ethnic meal without

sacrificing time.

While there are products similar to Unwrap-a-Bowls: Fiesta de Vegetales currently

available on the market, these products do not cater towards both the ethnic food category and

address children’s nutrition.

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Fresh and Easy currently makes a variety of Mexican retail meal bowls including the

Pollo Asado Burrito Bowl and the Pork Chile Verde Burrito Bowl.8 Although these are both

burrito bowls, a vegetarian option is not offered, these products are only available in three states,

and their 15-ounce serving size which can be considered too large for children.9 Unlike Fresh and

Easy, Helen’s Kitchen offers a vegetarian burrito bowl but still neglects to include a children’s

portion-sized in their product lineup.10 Unwrap-a-Bowls: Fiesta de Vegetales stands out by

creating a child’s sized portion to fill this void in the market.

One of the most unique elements of Unwrap-a-Bowls: Fiesta de Vegetales is the

incorporation of quinoa into Hispanic food environment. The quinoa products available for

children are primarily targeted toward children ages 0-5 and lack the exciting flavors that ethnic

food incorporates. In addition to this, none of these products feature quinoa as the main

ingredient. For example, Little Ducks Organic Mighty Oats features quinoa, but is produced for

infants.11 In addition, Sprout Kids has a line of smoothie products that incorporate quinoa such as

Peach and Banana Coconut Milk Smash Smoothie.12 While these products may be innovative,

they lack the exciting flavors of lime, sweet vegetables and salty chips that Unwrap-A-Bowls:

Fiesta de Vegetales provides and are not complete, nutritious meals. The appropriately portioned

size, 5.96 ounces, of Unwrap-A-Bowls: Fiesta de Vegetales will appeal to the target market of

children ages 5-12.

With the increasing ethnic population and lack of innovative healthy kid’s options that

combine Hispanic flavoring, on-meat options, and convenience Unwrap-A-Bowls: Fiesta de

Vegetales will stand out against other products in the market.

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Formulation and Development

The Unwrap-a-Bowl team has introduced an innovative new pre-packaged burrito bowl

to the ethnic and children’s food markets. The ideal product would be representative and adhere

to as many different markets/categories in food marketplace as possible. For that reason, it was

decided that the product be vegetarian in addition to being children. The product features a

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variety of colors and incorporates a little bit of fun in the preparation of the final product, while

still being nutritious overall. The Unwrap-a-Bowl team has introduced an innovative new pre-

packaged burrito bowl to the ethnic and children’s food markets.

The gold standard recipe for the burrito bowl included 3 major components: the base of

quinoa and black beans, the corn salsa, and the variety of different toppings. The initial idea was

to use rice and black beans as the base. However, it was determined that quinoa should be used

instead because of its more desirable texture and nutritional attributes. Furthermore, the base of

quinoa and beans was found to be more desirable when consumed at warmer temperatures rather

than refrigerated or chilled, which is where the product would be stored and be sold as in a retail

setting. The corn salsa originally had onion in it, but was deemed undesirable by elementary

school kids and removed from the final gold standard recipe. For the corn salsa, the use of Kraft

Italian Salad Dressing over any other brand was chosen due to the unwanted change in flavor of

the corn salsa that was caused by other brands. On top of the corn salsa were layers of different

toppings: lettuce, cheese, and tortilla chip crumbles. For the best flavor in the overall product,

Dorito’s Hint of Lime Tortilla Chips proved to be the best because of the lime flavor that it

added to the product.

Once the gold standard recipe was complete, commercial ingredient samples were

obtained and assessed. For the base of the burrito bowl, the overall color and flavor of Van

Drunen Farms’ Frozen Black Beans were provided an ideally similar result of the gold standard

product. In the corn salsa, the flavor and texture of Van Drunen Farms’ Fine Cut Frozen

Cilantro proved to be acceptable in the use of the final product, causing no unwanted changes to

the aroma or flavor of the corn salsa. The color of Van Drunen Farms’ Fire Roasted Corn was

better than the canned corn kernels used in formulation of the gold standard recipe. The flavor

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and texture of Van Drunen Farms’ Fire Roasted Corn, while not an exact match to the gold

standard, it matched close enough to be determined acceptable to be used in the final product. On

the contrary, Van Drunen Farms’ Green Bell Pepper Pieces possessed an undesirable color,

which resulted in the decision to remove it out of the product. The Newly Weds’ Chip Crumble

with Lime Seasoning were found to have a very negative impact on the flavor, texture, and

aroma of the product, so it was decided not to use them.

Gold Standard Recipe: 4 Adult servingsFor Corn Salsa:6 oz. of Roma Tomatoes, Seeded & Diced½ t. of Cilantro, Diced1/4 cup of Green Bell Pepper, Seeded & Diced2 t. of Sugar1/6 of a Sweet Onion, Diced2 ½ T of Kraft Light House-Style Italian Dressing1/3 can of Sweet Corn Kernels, Drained

For Base and Toppings:¼ cup of Low Sodium Black Beans, Drained1 Cup of Quinoa2 Cups of WaterHead of LettuceBag of Shredded Mixed CheeseBag of Doritos’ Hint of Lime Chips, Crushed

1) Cook quinoa in a pot on medium heat with cup of water, and remove once water is gone.

2) Add black beans to quinoa once water is gone, place on low heat

3) In a bowl, Combine the ingredients for corn salsa and lightly mix

4) To one make one serving: place ¼ cup of quinoa and black beans on bottom, add 1/8 of corn salsa on top

5) Place roughly about 1 tablespoon of lettuce, 1 teaspoon of cheese, and a pinch of chips on

top.

Figure 1. Product Formula and Ingredients

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Packaging and Shelf Life

The three primary objectives of the packaging for “Unwrap-A-Bowls: Fiesta de

Vegetales” are to contain the elements of the food product while maintaining maximum shelf

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life, allow the consumer to conveniently eat the product, and effectively and stylishly

communicate the nutritional components of the meal.

The packaging for “Unwrap-A-Bowls: Fiesta de Vegetales” ultimately functions to

contain the product. “Unwrap-A-Bowls: Fiesta de Vegetales” is packaged in a thermoformed

polypropylene bowl. The bowl is designed with a circular top and a square bottom that will help

children eat the burrito bowl without knocking it over. A removable compartment tray will sit

inside of the bowl. The bottom of the bowl will

contain the quinoa and black beans and the

removable tray will be separated into four

compartments to keep each ingredient (corn salsa,

corn chip crumbles, lettuce, and cheese) separate.

Packaging plays a vital role in shelf life.

The separate compartments in the top portion of the bowl are necessary to extend the shelf life as

long as possible. A challenge of packaging “Unwrap-A-Bowls: Fiesta de Vegetales” is each

ingredient requires different packaging treatments. The quinoa and black bean mixture has a high

water activity, which is conducive to microorganisms, but this can be delayed with refrigeration.

The lettuce must be treated with a sodium citrate preservative. The chips must be flushed with

nitrogen and packaged in a separate pouch to stall lipid oxidation. Considering the corn salsa is

very acidic and microorganisms cannot grow in an environment with a pH below 4.6, it is not an

area of concern in terms of food safety. Treating each of these elements, the shelf life of

“Unwrap-A-Bowls: Fiesta de Vegetales” is 5 days under refrigeration temperatures. According

to the July 2013 “Food Packaging Trends” Mintel report, nearly half (46%) of most primary

grocery shoppers shop for groceries once a week, while 27% shop more than once a week for

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groceries.13 Because of this frequency, a shelf life of 5 days should be sufficient for the average

consumer. The packaging of “Unwrap-A-Bowls: Fiesta de Vegetales” attractively displays the

individual components while also maintaining optimum quality.

Beyond its most basic function of containing the product, the packaging for “Unwrap-A-

Bowls: Fiesta de Vegetales” utilizes it’s bowl shape as a convenient on-the-go package.

“Unwrap-A-Bowls: Fiesta de Vegetales” is a perfect option for packed school lunches because of

its portability. “Unwrap-A-Bowls: Fiesta de Vegetales” clear plastic packaging will contribute to

its on-the-go perception. According to the July 2013 “Food Packaging Trends” Mintel report,

consumers view plastic as the most portable packaging material with 42% of consumers

associating plastic bottles and trays with portable.13 Another important aspect consumers believe

to be convenient in packaging is its ability to function throughout the entire use of the product.

More than half of consumers (54%) said that a package’s ability to go from fridge/freezer to

microwave/oven to the table (e.g. such as frozen side dishes and entrees) would cause them to

choose one package over a competing product.13 “Unwrap-A-Bowls: Fiesta de Vegetales” is

made out of a microwave safe polymer and has ample room for mixing all of the ingredients

directly in the package. It also contains a spork inside the package so that consumers have every

utensil necessary for consumption of the product. This will give “Unwrap-A-Bowls: Fiesta de

Vegetales” leverage over other kid’s school lunch products that require a plate or a utensil. All of

these convenient packaging aspects will give “Unwrap-A-Bowls: Fiesta de Vegetales” a

competitive advantage in the market.

“Unwrap-A-Bowls: Fiesta de Vegetales” hopes to

incorporate traditional Hispanic flavors with inventive

ingredients that will appeal to the growing Hispanic

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community. Within this community there is a large demand for portability. Mintel’s July 2013

“Food Packaging Trends” reports that 60% of Hispanics say that portable packaging is important

to them, compared to 54% of non-Hispanics.13 By providing a Mexican inspired meal that is easy

to take on-the-go, “Unwrap-A-Bowls: Fiesta de Vegetales” will attract Hispanic consumers.

The final function of the “Unwrap-A-Bowls: Fiesta de

Vegetales” package is to communicate to the consumer. The message

that “Unwrap-A-Bowls: Fiesta de Vegetales” attempts to portray to

prospective buyers is that it is a nutritious and exciting meal for children.

“Unwrap-A-Bowls: Fiesta de Vegetales” has a multitude of nutritional

features that, if not communicated effectively, could cause confusion to the consumer. According

to Mintel’s report on “Food Packaging Trends”, 66% of consumers with children under 18 found

that having too many health claims was confusing. Yet 86% felt that it was important for the

packaging to display nutrition information.13 Because of this demand for more effective on-

package communication “Unwrap-A-Bowls: Fiesta de Vegetales” strives to simplify these

messages. On the top label and the front of the bowl there is a character bean with a speech

bubble clarifying that the product is gluten free and vegetarian. Mintel consumer research also

shows that shoppers respond better to claims that contain “Good/Excellent source of” than “Low

sugar” or “No salt added”. In consumers with children under the age of 18, 65% of consumers

actively look for the “great/excellent” health claims compared to only 50% looking for the

“low/no” health claims. 13 In response, “Unwrap-A-Bowls: Fiesta de Vegetales” promotes

“Excellent source of Vitamin C” and “Good source of Vitamin A and Calcium”.

In order to appeal to the Hispanic market, Mintel’s “Food Packaging Trends” report

suggests including some label information in Spanish. 13 By brand naming “Unwrap-A-Bowls:

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Fiesta de Vegetales” Hispanic shoppers will appreciate the touch of authenticity without

deterring non-Hispanic shoppers.

The first impression consumers have of a product is from the packaging. This requires

food be packaged in a way that will appeal to shoppers visually and functionally. “Unwrap-A-

Bowls: Fiesta de Vegetales” is packaged effectively in a way that extends the product’s shelf life,

allows complete portability, and displays all of the necessary nutritional information.

Focus Group

The product underwent a sensory panel test at a Chastain Road Elementary School in

Liberty, SC. Small servings were given to a total of twenty children, who rated the product in

five different categories: the look of the product, the taste of the product, the texture of the

product, the smell of the product and the overall opinion on the product. The children gave a

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score of 1-6 for each of the categories, with 1 being dislike very much and 6 being like very

much. Since the children are a young age, how to properly rank the product was explained

through smiley faces. They were told that if they hated it and never wanted to eat it again, this

was the sad face, number 1. If they liked it, but didn’t love it, this was the straight face, around

number 4. If they loved it, this was the happy face, number 6. An example of the form used as

well as the average results from each category is seen below.

Figure 2. Example of Taste Test Form Used in Sensory Panel

Figure 3. Average Ratings of Unwrap-A-Bowls: Fiesta de Vegetables Sensory Panel at Chastain Elementary School

Page 16: Market Report for Product Created

The figure to the left shows the nutritional

information for one complete serving of Unwrap-A-

Bowls: Fiesta de Vegetales. This product contains 170

calories per 169 grams and has an energy density of

In addition to the quantitative data above, the children were also asked a variety of

qualitative questions. These included questions such as “What is your favorite part about the

product?” “Would you want your parent to buy this for you?” and “If you could change anything

about the product, what would it be?” The responses to these questions included that the children

loved the cheese and crumbled lime chips, were interested in their parents buying it for them, and

least liked the onion in the product.

Based on these results, it was decided to remove the onion from the product. This was to

eliminate the strong onion smell that caused a lower rating and better cater towards the taste

preferences of the children.

Nutritional Profile

Look of the Product

Taste of the Product

Texture of the Product

Smell of the Product

Overall Opinion of the Product

5.37 5.37 4.83 4.79 5.16

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The figure to the left shows the nutritional

information for one complete serving of Unwrap-A-

Bowls: Fiesta de Vegetales. This product contains 170

calories per 169 grams and has an energy density of

INGREDIENTS: Quinoa, Black Bean, SALSA [tomatoes, corn, green bell peppers, KRAFT LITE HOUSE ITALIAN DRESSING (Water, Vinegar, Corn Syrup, Sugar, Soybean Oil, Salt, Dried Garlic, Contains less than 2% of Parmesan and Romano made from Cow’s Milk Cheeses [Part-Skim Milk, Cheese Culture, Salt, Enzymes], Citric Acid, Dried Onions, Xanthan Gum, Dried Red Bell Peppers, Spice, Caramel Color, Potassium Sorbate and Calcium Disodium EDTA), sugar], Iceberg Lettuce, KRAFT MEXICAN FOUR CHEESE [Monterey Jack Cheese (Pasteurized Milk, Cheese Culture, Salt, Enzymes, Annatto), Asadero Cheese (Pasteurized Milk, Cheese Culture, Salt, Citric Acid, Ensymes), Potato Starch, Cellulose Powder and Calcium Sulfate Added To Prevent Caking, Natamycin (A Natural Mold Inhibitor)], TOSTITOS HINT OF LIME [Corn, Vegetable Oil (Corn, Canola and/or Sunflower Oil), Maltodextrin (Made From Corn), Salt, Sugar, Natural Flavors (Including Natural Lime Flavor), Dextrose, Sour Cream (Cultured Cream, Skim Milk), Corn Bran, Whey, Spice, and Yeast Extract]ALLERGENS: Contains Milk

Prototype

Product

Health Claim Regulatory Compliance

“Excellent” source of Vitamin C Contains at least 20% of the recommended daily value (DV) of Vitamin C.14

“Good” source of Vitamin A Contains at 10 – 19% of the recommended daily value (DV) of Vitamin A.14

“Good” source of CalciumContains at least 10 – 19% of the recommended

daily value (DV) of calcium per reference amount.14

“Good” source of FiberContains at least 10 – 19% of the recommended

daily value (DV) of fiber per reference amount.14

Low in Cholesterol Contains a maximum of 20 mg cholesterol per reference amount.14

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Packaging

References

1. Bloom, B. (2014, January). Ethnic Foods - US. Retrieved from Mintel Oxygen database.

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2. Levesque, S.D. (2013, October). Fruits and Vegetables – US. Retrieved from Mintel Oxygen

database.

3. Erwina, I. (2010, November). Marketing to Kids – US. Retrieved from Mintel Oxygen database.

4. O’Donnell, F. (2013, September). Marketing to Moms – US. Retrieved from Mintel Oxygen

database.

5. “What’s Hot 2014 Chef’s Survey.” National Restaurant Association. N.p., n.d.

Web. < http://www.restaurant.org/Downloads/PDFs/News-Research/WhatsHot/What-s-

Hot-2014.pdf>

6. Defranchi, R. (2012, December 11). Get to Know-and Cook!-the Food of the Future. Food and

Nutrition Magazine. Web. Retrieved from <http://www.foodandnutrition.org/Stone-

Soup/December-2012/Get-to-Know-and-Cook-the-Food-of-the-Future/>

7. Topper, A. (2013, September). Gluten-free Foods – US. Retrieved from Mintel Oxygen

database.

8. “Kitchen To Go: The Joys of NOT Cooking.” Fresh and Easy.

Web. <http://www.freshandeasy.com/media/1018758/ktgo_menu.pdf>

9. “Move Over Chipotle - Fresh & Easy Neighborhood Market Introduces its Own Brand of Burrito

Bowls.” (2011, October 28). Fresh and Easy Buzz.

Web. <http://freshneasybuzz.blogspot.com/2011/10/move-over-chipolte-fresh-easy.html>

10. Products. Helen’s Kitchen. Web. <http://www.thehelenskitchen.com/bowls.shtml>

11. Products. Little Duck’s Organics. Web. <http://www.littleduckorganics.com/collections/products>

12. Products. Sprout Organic Foods. Web. http://www.sproutorganicfoods.com/kids/kids-

smoothies/coconut-milk-smoothies/peach-banana-coconut-milk-smash-smoothie

13. Levesque, S. (July 2013) Food Packaging Trends- US. Retrieved from Mintel Oxygen Database

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14. "2010 Dietary Guidelines for Americans." USDA. N.p., n.d. Web.

<http://www.health.gov/DietaryGuidelines/>.