[ FLAVOURED MILK ]
All in the best possible taste... Flavour innovations, price-marked packs and nutritional benefits are driving sales in the flavoured milks market, which is now worth £388 million (Kantar). By Kevin Whitlock.
F
or those of us of a certain age, ‘flavoured milk’ once meant a spoonful of Nesquik or instant coffee in a glass of the white stuff; to the slightly younger, it means a chocolate milk to help heal a student hangover. It was something of a niche line, something to get kids to drink more calcium-rich milk, or a protein-rich treatment for throbbing heads and indulgence-damaged stomachs. Now, however, flavoured milk is a mainstream product, found in ambient fixtures and chiller cabinets in shops and wholesale depots the length and breadth of the land. According to Mars Chocolate Drinks & Treats (MCD&T), a staggering 11.9 million households bought into the milk drinks category last year, with household penetration for these products at a record high, up 4.2% year-on-year (Kantar). Michelle Frost, general manager, believes the market is being driven by flavour and free-from innovations and a growing consumer interest in the drinks’ functional benefits. Chocolate remains the most important segment for convenience with a market share of 27% (about 95.3 million units sold) and value sales totalling £43.6 million a year (IRI), but coffee is the flavour that’s in growth, she says. “Meanwhile, dairy alternative drinks are growing even faster and the market is now worth an impressive £361 million and shows no signs of slowing down with 30.4% growth year on year (IRI),” Frost notes. And within convenience, the category shows 40.3% growth and a value of £58.4 million (IRI) – it is an area the wholesale trade should really be getting their retail customers into. MCD&T’s non-dairy range includes Galaxy, Bounty and Mars variants. MCD&T’s vegan drinks range (available in a 250ml format and approved by the Vegan Society) has performed “exceptionally well”, with sales now totalling £480,000, up 134% (IRI). “More than 500,000 people signed up to Veganuary earlier this year, surpassing the 400,000 in 2020 (Vegan Society) and so we are delighted to be able to offer consumers additional ways to enjoy their favourite confectionery brands,” adds Frost, who is also keen to point out that MCD&T has recently completed its ambition to have all its milk-based and dairy alternative drinks as no-added-sugar products. “We hope the move to no added sugar in our milk and dairy alternative drinks categories will encourage shoppers to opt for their favourite brands in a chocolate drink – confident that we’ll deliver on flavour whilst meeting demand for less sugar.” 36
April 2021
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Another important, almost iconic brand is Grace Foods’ Nurishment, which for the past 40 years has been a key line in UK convenience stores, in its famous ring-pull can (and now bottles). It was one of the first drinks to push added nutrients – protein and vitamins – as a selling point. Bola Akintewe, brand manager, beverages at Grace Foods, says: “The flavoured milk market continues to provide value to the trade, despite prolonged lockdowns, growing value by 1.5% (IRI), and as restrictions start lifting there are indications that there is significant potential to grow further. To tap into this, suppliers need to focus on range in formats and flavour to increase appeal to consumers.” Grace Foods says that Nurishment, which has driven 28% of the category’s value growth (IRI) and maintained its top five volume sellers, will continue its focus to bring value across the trade chain.
Boosting flavoured milk sales Grace Foods offers advice that C&C/wholesalers can give to their retail customers: a Stock ready-to-drink bottles to target consumers who enjoy their flavoured milk drinking alone, whether they drink it on the go or as a treat at home. a Offer products with added benefits from trusted brands to give consumers choice on taste and enrichment, depending on their dairy drinking occasion and needs. a Site different formats, from easy-open and ready-todrink bottles to cans within the dairy fixture, to drive offtake when consumers are receptive to a milk purchase. a Leverage branded merchandising tools such as wobblers and shelf talkers/barkers to increase visibility to shoppers.
