Lessons from the Bankruptcy of ‘Del Monte’ – U.S. Correspondence by Jay Lee (154)

Neglecting Change in Favor of Traditional Assets and ‘No Additives’ Claims

Clinging to High-Sugar Canned Goods in a Wellness-Oriented Market

Brand Value Must Be Updated and Followed by Innovation

△ Jay Lee, CEO of J&B Food Consulting

I recently came across the news of Del Monte’s bankruptcy. Having childhood memories of drinking barley tea from repurposed Del Monte glass juice bottles, the brand has always felt familiar and friendly to me. Hearing about its downfall was unexpectedly saddening.

Del Monte was once a brand found in supermarkets across the globe. With pineapple and peach cans, frozen fruit, and juice products, it dominated American dining tables for decades. Yet, the recent announcement that it had filed for bankruptcy protection came as a shock to many. It was a name synonymous with trust, longevity, and authenticity—but ultimately, it became a cautionary tale of a company that failed to keep pace with market changes.

For years, Del Monte relied on its assets of trust, tradition, and heritage to maintain its leadership. The problem was that it clung to its existing methods and responded too slowly to change. As the market shifted rapidly toward wellness, sustainability, and fresh foods, Del Monte continued to focus on high-sugar canned goods and traditional packaging.

Consumers had changed, but its products and marketing had not. Meanwhile, competitors were already reaching customers with “no added sugar” claims, eco-friendly packaging, and partnerships with local farms. Del Monte lagged in technological innovation and integrating customer feedback, relying too heavily on the prestige of its past.

This bankruptcy is more than a financial failure—it’s the cost of ignoring the truth that all brands age over time. Maintaining brand power is expensive; without fast-growing revenue to support marketing investments, supply chain maintenance, and the legal and distribution requirements of multiple countries, brand assets can become a heavy burden. In a modern food industry that demands rapid responses, Del Monte’s fixed distribution structures and slow decision-making were fatal weaknesses.

There are key lessons here.

First, trust is built not on the past but on current innovation. Consumers judge brands by their present value, not their history. When consumer lifestyles change, companies must change with them.

Second, rejecting change is rejecting survival. Del Monte didn’t fail simply because of poor financial results—it failed because it couldn’t adapt to trends, supply chain flexibility, ESG priorities, or digital transformation.

Third, a brand is not its legacy but its current actions. Brand equity must be constantly updated. In an era that values environment, ethics, and health, clinging to outdated formulas for success can be toxic.

While Del Monte may have gone bankrupt, its case offers valuable insight for other companies. No matter how big or small the brand, the moment innovation stops, the market moves on. Today, sustainability, agility, and customer-centricity are not optional—they are the basic conditions for survival.

Feel free to contact us

jay@jnbfoodconsulting.com or 714-873-5566

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