Manitoba proven to be ideal testing ground for new food, beverage products
BEFORE a new burger hits the menu in Toronto or Vancouver, there’s a good chance someone has taste-tested it in Manitoba.
For decades, food and beverage companies have used the province as a proving ground for new products, from Chicken McNuggets and Cherry Coke to more recent restaurant menu launches.
But why Manitoba?
Back in the early 1980s, Winnipeg was one of the first trial markets when McDonald’s debuted its Chicken McNuggets. It was also one of the first markets for Tim Hortons when it chose to roll out its flatbread pizza and lattes and espresso drinks. It was also one of the first trial markets for Cherry Coke when it entered the Canadian soft drink market in the ’80s.
The city of Brandon has also proven to be a popular test market. The first Qdoba restaurant in Canada opened there in 2012 and Smitty’s restaurant and lounge chain concluded a test menu trial in the Wheat City this past September.
Michael Mikulak, executive director of Food & Beverage Manitoba, says the province’s geographic isolation is one reason companies choose to test new offerings here.
“I think Manitoba has a lot to offer in that regard,” he says. “We’re kind of self-contained. Everything is kind of here. We have lots of great restaurants, the arts scene, music. We kind of punch above our weight with those things. We’re sort of self-contained in that way and I think that can lend itself to constructing these kinds of test markets.”
Mikulak also believes the province’s diversity and its mix of both long-established residents and newcomers make it a good place to road-test new foods and beverages because companies can gather a variety of opinions.
Manitobans aren’t stuck in their old ways, either.
“I think Manitobans have a reputation for being willing to try new things. They’re willing to test things out but they’re not necessarily willing to stick with those things,” he explains.
THAT willingness to experiment may be another reason food and beverage companies are eager to try out new products in the province. Manitobans’ penchant for being, let’s say, frugal, could also play a role.
“The fact is that we’re maybe a little bit more discerning, that we’re maybe a little bit more value-driven in some context. If you’re looking at a Tim Hortons or McDonald’s, these are all value brands and I think Winnipeg might have a reputation for (wanting good value),” Mikulak adds.
“I think that goes to show, they know that if (a product) can make it here, it’ll make it elsewhere too.”
Sylvain Charlebois, director of the Agri-Food Analytics Lab at Dalhousie University in Halifax, says Manitoba’s unique urban-rural split is another factor working to the province’s advantage.
That means companies can get feedback from a variety of different profiles rather than a single homogeneous one. Those consumers are also more likely to provide the kind of feedback companies are looking for, he adds.
“You can actually look at different profiles very quickly whereas in a cosmopolitan environment, not only is it harder to get the attention of respondents so they can actually give you feedback, but you know that in Manitoba the feedback will be authentic and honest,” he says.
“I’m not saying people in a place like Toronto are untrustworthy. It’s just they’re always on the go, pressed for time. Will they sit down and fill out a survey and tell you exactly how they felt about that last burger they ate? I don’t know.”
Manitoba’s size is another advantage, making it easier for companies to test new products in relative anonymity compared with more populous provinces, such as Ontario or B.C. That means if a test run goes poorly here, it will not be as “noisy” as it might be in a large city, like Toronto or Vancouver, Charlebois says.
There’s also a willingness among Manitobans to tell it like it is when it comes to the products they are consuming.
“People there will be absolutely honest. When you’re doing a test or trial, you want respondents that are going to be forthcoming before making a mistake in larger cities,” he says.
Charlebois also points to supply chain economics as another reason why Manitoba is an attractive test market. Companies have access to cheap land, clean water and easy access to the ingredients they require to make their products.
Mikulak isn’t aware of any new food or beverage products being tested here at the moment, but says that’s not unusual as companies often prefer to fly under the radar at the testing stage. He also doesn’t think current events will have much impact on Manitoba’s suitability as a testing ground. “There are a lot of difficulties with the trade war and everything going on, but I think it’s an exciting time because Canadians are looking for more grown-at-home products and opportunities to support local brands. It’s an exciting time for our industry.”
