(Originally written August 4; posted Sept 5)
While shopping on the weekend, I noticed some funny packaging on the Hellman’s mayonnaise containers. So, like a piqued bee browsing the flowers, I wandered over for a closer look.
Turns out that in North America, all Hellman’s “half the fat” mayonnaise now uses free-range eggs — thirty million jars’ worth in fact. They’d attached some promotional stuff to their mayonnaise jars; clearly, in my case it worked.
While light mayonnaise is their only product using free-range eggs in North America, all Hellman’s mayonnaises in Europe switched over last year. The reason we’re behind the times… is because they weren’t sure if there was enough North American supply for their full product line (!).
This is an excellent example of how activists can co-opt private enterprise into behaving better. Free-range eggs are more expensive because the hens have access to the outdoors, instead of being cooped up under terrible conditions; they’re also more humane, for the same reason. By getting enough “early adopters” to to pay a premium for the free-range product, activists created a big enough market signal for behemoth corps to take notice.
In this case, Unilever has decided to get an edge on Kraft (”Miracle Whip”) by making this change. Hopefully, Kraft will respond by trying to one-up Unilever in the “ethical sourcing” sweepstakes. The incremental cost of free-range eggs is largely irrelevant to the products’ profitability, as both Hellman’s Mayonnaise and Miracle Whip are brands, and are priced as such. They don’t compete with no-name spreads, just as Coke doesn’t worry about “PC cola” and BMW doesn’t care that Kia’s are cheaper.
Other food examples include fair trade coffees and Cadbury’s fair trade sourcing of chocolate for all its British “Dairymilk” bars. On the consumer side, after a Greenpeace campaign Apple recently beat its PC competition to removing arsenic, mercury, PVC and brominated fire-retardants from various components. And the success of the first-generation Toyota Prius (despite its Aztek-esque aesthetics) prompted automakers to start looking into hybrid technology.
While cynics point out that hybrid lifecycle costs are probably higher in North America, we’re a bit of an anomaly. Since Texas used to be the Saudi Arabia of crude, and Alberta promises to be the next Saudi Arabia of oil, it seems unlikely we’ll see the kinds of gas taxes found elsewhere in the world.