FMCG June 2011 by mediaweb

incorporating

9 421902 251016

JUNE 2011 Volume 17 No 5 $9.15

THE BUSINESS OF MANUFACTURING • LOGISTICS • SUPERMARKETING

fmcg . co . n z

•

foo d ne w s . co . n z

THE ONE CREAM TRUSTED TO CARE FOR SKIN FOR 100 YEARS

Celebrating

<($56 7KH WUXVWHG 1,9($ EUDQG KDV D FHQWXU\ RI FDULQJ IRU WKH VNLQ RI PLOOLRQV RI SHRSOH DURXQG WKH ZRUOG 1,9($ &UHPH KDV EHHQ VROG ZRUOGZLGH LQ WKH FODVVLF EOXH ZKLWH DQG XQPLVWDNDEOH WLQ IRU WKH SDVW \HDUV 7RGD\ 1,9($ &UHPH LV WKH KHDUW RI DQ H[WHQVLYH SURGXFW IDPLO\ DFWLYH LQ RYHU FRXQWULHV DQG V\QRQ\PRXV IRU VNLQ FDUH

NIVEA celebrates it’s 100th Birthday with a massive marketing campaign…

‘100 Years Skincare for Life’

0LOOLRQ 0DUNHWLQJ 6XSSRUW 0D\

-XQH

-XO\

$XJ

6HS

2FW

1RY

'HF

79 3ULQW 326 2QOLQH 6DPSOLQJ 6NLQ $QDO\VLV 35 &RQVXPHU 3URPR 'LUHFW 0DUNHWLQJ $XVWUDOLD 1HZ =HDODQG

DM Campaign

Online

Counter Displays

POS

Sampling

Posters

Instore Stands

For more information, please contact your Beiersdorf Territory Manager on 0800 008 081. ZZZ IDFHERRN FRP 1LYHD1=

www.NIVEA.co.nz

â&#x20AC;&#x2DC;bakerhallsâ&#x20AC;&#x2122; JT B SFHJTUFSFE USBEF NBSL PG $PDB $PMB "NBUJM / ; -JNJUFE **Source: Nielsen Homescan MAT 18 July 2010

BAKERHALLS KIDS

VALUE SHARE OF NZ CORDIAL CATEGORYâ&#x20AC;&#x2122;S TOP 3 BRANDS*

Ã²

/PX BWBJMBCMF JO UISFF GBOUBTUJD GSVJU Ä&#x2C6;BWPVST -JNF 4RVFF[F #MBDLCFSSZ 4RVJSU BOE 5SPQJDBM 4QVSU

Ã²

/FX ;FBMBOEÃ«T Ä&#x2021;STU DPSEJBM UP NJY XJUI NJML or water.

Ã²

8JMM XJEFO DPSEJBMÃ«T VTBHF PDDBTJPOT

Ã²

8JMM JODSFBTF UIF OVNCFS PG DPSEJBMT QVSDIBTF PDDBTJPOT

Ã²

8JMM HSPX ZPVS DPSEJBM DBUFHPSZ TBMFT

27%

18%

BRAND LEADER

Ã²

bakerhalls has higher penetration of Kiwi households than any other fruit syrup brand.

Ã²

,JXJ IPVTFIPMET CVZ B HSFBUFS RVBOUJUZ PG bakerhalls than any other fruit syrup brand.

BAKERHALLS

BARKERS

*Source: Nielsen ScanTrack MAT 24 April 2011

FEATURES Ã²

(SFBU OFX MPPL bakerhalls Kids will appeal to parents and kids alike with its fun, fresh and fruity ï¬&#x201A;avours.

Ã²

bakerhalls Kids ï¬&#x201A;avours were sensory tested amongst families with children 4+ years, scoring a high 80% positive taste preference rating.

Ã²

'MBWPVSFE NJML USFOET IJHIMJHIU UIF TUSPOH EFNBOE CZ ZPVUI GPS B DPME ESJOL UIBU IBT parent permissibility.

SOLID MARKETING SUPPORT FROM LAUNCH Communication Platform

June

July

Aug

Sept

PR In-store sampling Out-of-home sampling .BHB[JOF In-store POS/displays

For further information on the new bakerhalls Kids range please call 0800 505 123.

Oct

ROSES

makers of memorable, endlessly recyclable glass packaging

CEOS KNOW GLASS IS ICONIC. “Everyone knows our ginger beer bottle,” says John McLean, CEO of Bundaberg Brewed Drinks. “It’s a big part of our branding. It looks great, and people say ginger beer just tastes better in glass.” Another plus? “Glass is 100% recyclable, forever.”

J e 10 Ju Jun 052 52 25.1 5 1.1 .1. 1. 22 22

GlassIsLife.com

ÂŠ Owen e ss-I en - lli -I llllinoi no o s, s, Inc nc nc. c.

Easy Winter Trolley Fillers

With winter upon us, Ingham Red Box Range

are the ideal hearty winter meal options. With a selection of delicious fillings, they are the popular convenient choice for the shopping trolley any night of the week. Ideal Range – wide consumer choice for winter months Freezer Presence – packaging and branding that displays effectively in any freezer environment

ACU_ING_10176

Quality 100% New Zealand – premium chicken meat delivering popular consumer appeal Retail Support – significant and ongoing marketing support For more information contact your local Ingham distributor on 0508 800 785.

contents

10 Editorâ&#x20AC;&#x2122;s note 12 Industry news 21 FMCG online 30 Whatâ&#x20AC;&#x2122;s hot 61 Subscription form

j une 2 0 1 1

Features 22 Future foods 44 Stay ahead of the pack! Expert legal advice from Hudson Gavin Martin

46 Top tips for international trade fairs

Category checks 26 Canned foods 32 Sauces, Dressings, Condiments 38 Haircare

Regulars 17 18

Nargon Top 10 shopping trends for 2011

Fresh and local In season

OUR COVER The trusted NIVEA brand celebrates a century of caring for the skin of millions of people around the world.

contents

20 Deli counter

j une 2 0 1 1

Delicatessen trends

25 FGC

CoOL not as cool as many might think

43 GS1

Bar beats dot to future of retail information

44 Grocery business

Keeping you up to date with packaging, IT, supply chain and logistics

64 Snap

Spotted out and about

65 Diary

Your guide to upcoming industry events

52 Profile

Coca-Colaâ&#x20AC;&#x2122;s big milestone

54 Coffee to go 56 Nargon

Tobacco issues

57 Directory 53

58 Feature

Best wines under $20

60 Industry news

$ISCOUNTED REGISTRATION FEES FOR .: COMPANIES New Zealand retailers are invited to attend Australiasiaâ&#x20AC;&#x2122;s largest and most senior exec-level conference

Retail World -ANAGEMENT s 4ECHNOLOGY s 3USTAINABILITY Conference + Trade Show 27TH, 28TH & 29TH *UNE \ 3YDNEY #ONVENTION %XHIBITION #ENTRE

Returning to Sydney in 2011, registrations are now open for Australiaâ&#x20AC;&#x2122;s largest and most senior-level retail industry conference. In 3 information-packed days, you will meet and learn from 100â&#x20AC;&#x2122;s of executives, managers and owners from all across Australia, as they discuss the latest issues and trends facing the retail industryâ&#x20AC;Śand discover innovative solutions to drive future growth.

No other conference brings so many influential retail leaders together, AT ONE TIME, IN ONE PLACE. This event happens just once per year, so DONâ&#x20AC;&#x2122;T MISS IT.

$AVID 2EID Chairman 4ESCO Chairman +WIK&IT

'RANT / "RIEN Deputy CEO 7OOLWORTHS

4ERRY 7HITE Chairman & Founder 4ERRY 7HITE #HEMISTS

'UY 2USSO MD +MART

0HILIP #ORNE 0ETER "OURKE Andrew Reitzer CEO Director IT CEO ,OUIS 6UITTON 7ESTlELD -ETCASH 'ROUP OF Anu Gupta Profile /CEANIA _______________________________________________________________________ #OMPANIES

"RUCE -ANSlELD $AVID 4HOMAS CEO CFO & Head Premium %&40/3 0AYMENTS Brands South Africa !USTRALIA ,IMITED #OUNTRY 2OAD %0!,

2%')34%2 !.$ 3%.$ ! TH FREE!

ANU 'UPTA VP, Process Improvement -ICHAEL 3TORES )NC 53!

-ARCUS "EZZI (OWARD 3AUNDERS Executive GM International Enforcement Division Retail Guru !### %CHOCHAMBER 5+

See website for additional speakers and full program

SPONSORS TO DATE:

use promo c

ode

NZRET AIL

SAVE

15%

per boo king

e ditor ’s note Vol 17

No 5

June 2011

issn 1175-8279

Incorporating

Serving the business of manufacturing, logistics and supermarketing

tamara rubanowski – editor editor@fmcg.co.nz

Juleigh buchan – account manager Ph: 09-529 3000, Mob: 021 140 3456 juleighb@fmcg.co.nz

peter corcoran – account manager Mob: 021 272 7227 peterc@mediaweb.co.nz

Production Manager Fran Marshall (09-832 0024) franm@mediaweb.co.nz

Design Cherie Tagaloa

Subscriptions subs@mediaweb.co.nz 09-845 5114 $90.00 a year (incl GST) for 11 issues Australia $150.00 Rest of the world $190.00

Printing & Pre-press PMP Print

Publisher Used on a white background

Mediaweb Limited PO Box 5544 Wellesley Street, Auckland 1141 Used on a black background Phone 09-845 5114 Fax 09-845 5116 www.mediaweb.co.nz The opinions and material published in FMCG are not necessarily those of the publisher except where specifically stated. © 2011 Mediaweb Limited.

Future foods, smart phones and an Indian feast The global weight management food and beverage market is currently valued at NZ$513 billion and a New Zealand research programme could offer new opportunities for this market sector. Imagine a new class of diet product where the ingredients didn’t just contain fewer calories, but actually kept you feeling fuller for longer. The feeling is called ‘satiety’ and it’s the focus of a Plant & Food Research programme launched with investment from the Government and some of New Zealand’s most well-known food companies. Turn to page 22 for the first in a new series of articles from Plant & Food Research, designed to bring you consumer-science insights and cuttingedge research that may well lead to very exciting new foods in future. Successful retailers keep a close eye on consumer trends. Customer behaviour can change rapidly and stores need to be able to predict and meet consumer demand. In this issue, we look at 10 shopping trends that are most likely to have an impact in New Zealand this year. Among the big buzz words are ‘healthy’, ‘natural’, ‘cruelty-free’ and … ‘smart phones’. New mobile phone technology is already changing the way people approach their shopping, from searching for products and recipes, to purchasing goods online and using coupons. Mobile commerce is going to be the talk of the town – with brand new consumer options for smart phones expected to be

ISSN: 1175-8279 (Print), 1179-8718 (Online).

Tamara Rubanowski editor@fmcg.co.nz Official b2b magazine for the Gluten Free Food & Allergy Shows. Media sponsor: Pride in Print Awards.

available this year. We reveal the details in this issue. Social networking tools such as Facebook, Twitter and YouTube are also popular new marketing platforms, but some caution is needed due to the lack of control surrounding such sites and the new forums they have created for the potential misuse of intellectual property rights. So how can your company maximise the new technology and avoid some of the pitfalls? Our legal experts at Hudson Gavin Martin share their advice on page 44-45 in this issue. Find out what’s new in our stores, why CoOL is not so cool according to Katherine Rich at the FGC, and how you can make the most of international trade fairs. It’s all in this issue of FMCG – and if you subscribe in June, you will be in the draw to win a fantastic Tandoori Palace Indian Feast worth $250! The prize is shown below and includes everything you need to cook up a storm for your team and even some Kingfisher beer to wash it all down. Cheers!

news New group GM marketing for Foodstuffs Steve Bayliss is the new group general manager marketing of Foodstuffs New Zealand. He comes to Foodstuffs from his role as general manager marketing for Air New Zealand. Bayliss played a key part in helping the airline recover from the aftermath of near bankruptcy, to become the Best Airline in the World – as judged by Air Transport World. He began his marketing career with international brewer Lion Nathan, where he had a variety of

roles before heading to the US to work for Suntory. He then returned to the Southern Hemisphere to head up the Australian Coca-Cola business development group, including non-carbonated beverages, new product development, and mergers and acquisitions. Bayliss will be responsible for the strategic development and implementation of key national marketing initiatives across the New World, Pak’NSave and Four Square brands. l

Foodstuffs group GM marketing Steve Bayliss.

NZ yoghurts made in Britain New Zealand’s Epicurean Dairy Co is about to roll out its gourmet yoghurts in Britain, launching in 500 stores in June 28. The yoghurts will be marketed under their NZ brand, The Collective, but will be made in Britain from local milk. The Collective general manager Angus Allan said: “We are exporting our intellectual property – we are The Collective general going to base our sales on being manager Angus Allan. New Zealand-designed and made in Britain.” British stores already ordering the yoghurt include big supermarket chains such as Waitrose and Sainsburys. “We’re starting with approximately 500 stores – it’s more than all of the supermarkets in New Zealand,” said Allan. The UK rollout will be overseen by former directors of the Gu chocolate pudding company, Mike Hodgson and Amelia Macleod, who have formed a UK-based joint venture with The Collective’s New Zealand owners, Angus Allan and Ofer Shenhav. Hodgson commented that the NZ brand would stand out because it contained a double layer of fruit, visible through clear packaging, and was sweetened with honey instead of sugar. New Zealanders eat an average of 7kg of yoghurt annually, compared with an average of over 11kg in Western Europe, and over 22kg in Holland. He said that the company would

FMCG june 2011

be looking at other products made in New Zealand for a similar British launch, and success there was likely to be followed by expansion to markets in France and Germany. “We will be looking at our cheese products and our cultured products – anything that we make in New Zealand – as potential exports,” he said. A trained chef, Allan launched the Naked Organics dips and spreads in 2002, selling the business in 2007, and later moved into gourmet yoghurts with Shenhav (a chef and former owner of the Pitango organic soup and hummus company). Allan and Shenhav decided to buy the ‘Canaan Cheese’ business, and in November 2009 The Collective was born. The ‘two chefs and a cheesemaker’ dream team had a simple goal: to make natural, artisan products that are minimally processed. The Collective began manufacturing ‘soft culture’ dairy products: gourmet yoghurts, haloumi and soft cheeses such as ricotta and mascarpone, and also distributing imported cheeses. The company reported 400% growth in the year to April 2011, and now employs 25 people. l

n ews Over 1250 tonnes of fresh pumpkins for popular soup With the harvest of its butternut pumpkins – the last of the summer crops – completed, Wattie’s has started making one of its most popular soups, Very Special Creamy Pumpkin. While they are at peak freshness, over 1250 tonnes of Hawke’s Bay pumpkins are turned into well over one million cans of this creamy soup. Another classic ingredient is real cream. Ian Mackay, Wattie’s product development manager, says butternut pumpkin is used because of its natural creamy texture, rounded pumpkin flavour and its consistently bright colour. “To get the very best quality we make this soup from fresh butternut. You can’t beat making this soup from a fresh ingredient which has a delicious taste profile.” Mackay says that while pumpkins can be stored and used over many months, there is a risk that they start to lose flavour, texture and sweetness. High in antioxidants, carotenoids, and fibre, butternut is a very versatile vegetable and an ingredient in over 20 of Wattie’s products. Wattie’s agricultural manager Ivan Angland says the butternut crop is grown in the Hawke’s Bay as a rotation crop for tomatoes, which have already been harvested. “Because of its tough skin, butternut is one of the easier crops we manage. Others like asparagus, peas, corn and tomatoes need to be processed within hours of harvesting.” l

Frucor appoints new group MD Frucor Beverages announced the appointment of Carl Bergstrom as group managing director. Bergstrom replaces Mark Cowsill who retired at the end of May after 18 years in the role. Bergstrom has been ceo for Frucor’s New Zealand business since he joined the company in 2000. Under his leadership the New Zealand business has changed significantly, doubling in size and substantially growing the number of employees. During this time Frucor has become a serious competitor in the New Zealand beverage market, evolving from a local juice company to an international total-beverage business. Frucor has consistently grown its NZ market share through product innovation, and as a result has achieved leadership positions in key market segments and channels. In his role as NZ ceo Bergstrom has led a number of significant strategic projects such as the acquisition of the Arano and Simply Squeezed juice businesses. He has overseen the successful expansion of Frucor’s manufacturing operations, increasing capacity to support new product innovation and to meet domestic and international demand. Under Bergstrom’s leadership employee engagement across Frucor NZ has climbed steadily and is consistently at levels

where the business is recognised as ‘Best in Class’. He has been actively involved in the New Zealand Juice and Beverage Association for a number of years, and held the role of president from 2004-2007. Since its beginnings in the early 1960s as part of the New Zealand Apple & Pear Board, Frucor Carl Bergstrom, Frucor Group MD. has evolved from a small local juice business to a significant international beverages company, with 820 staff and annual revenue of $500 million. Frucor exports approximately $250 million of beverages a year, roughly equivalent to a quarter of New Zealand’s total annual wine industry exports. Frucor manufactures, markets and distributes a range of fruit juices, fruit drinks, energy drinks, waters and soft drinks, many of which are household names throughout New Zealand and Australia. Energy drink ‘V’ is also distributed throughout Europe and the UK. Since 2009 Frucor has been wholly owned by leading Japanese beverage and food company Suntory Group. l

june 2011 FMCG

news New World comes to Stonefields The much anticipated New World Stonefields supermarket opened its doors to the public on Tuesday, May 31. The store is the latest addition to Lunn Avenue in Auckland, located to meet all the food and grocery needs of the local community, including the developing Stonefields area. Foodstuffs’ general manager property development, Angela Bull says, “We are delighted to be opening a New World on Lunn Avenue. We have watched this area develop over the past few years into a vibrant and exciting residential community, and can’t wait to open a New World which will offer locals great service and a fantastic range of products.” The 3600 square metre store, which is situated next to the PlaceMakers, will employ 150 people. There will be plenty of car parks, and with a new set of traffic signals right outside, the supermarket will have safe and convenient access for all shoppers.

New World Stonefields’ owner-operator Graham Fabian says: “It is really exciting for me to be part of this community. The new store is modern, with plenty of room for fresh produce, deli goods and the wide range of grocery products you can expect from New World. I can’t wait to open the doors.” Staff from New World Panmure, which is closing on 27 May, will be relocated to the new store. While it is the end of an era for the Panmure site, there are some exciting plans afoot, so keep an eye out for ongoing developments. l

Work on New World St Martins to start soon Foodstuffs South Island hopes to start work on the new New World St Martins store in July. The new premises will replace the old supermarket, which was badly damaged in the February earthquake. Roger Davidson, general manager property and retail development for Foodstuffs South Island, said that the resource consent was granted within two months of the February 22 earthquake, which is a great credit to Sue Wells, the City Council and the local community board. “Everyone has worked extremely well in getting us this far so quickly. We still have some ground testing that needs to be carried out and there are a few administrative aspects of the

FMCG june 2011

consent that have to be tidied up, but we are very hopeful of starting building in July,” he said. The $9 million project is expected to take about one year to complete. Work on clearing the existing site has begun. “The supermarket will be slightly bigger than the previous building, but because it will be a much more modern building with modern layout, we will be able to carry a substantially bigger and wider range of items. A group of retail shops will also be rebuilt. “We are very committed to getting St Martins back to normality as quickly as possible,” he said.. l

n ews A New World for Tokoroa and Opotiki right place to be and we are proud to be part Tokoroa’s much anticipated new of the community.” New World supermarket opened Demolition of the old store followed a its doors to the community in April. couple of weeks after the opening of the South Waikato Mayor Neil Sinclair new store, to make way for new car parking formally opened the new premises and facilities. the public was invited to attend. New World Tokoroa’s owner-operator Resource consent for Damon Jakeman says he couldn’t wait new Opotiki New World to open the new store. Opotiki shoppers can also look forward “Everyone has been so patient and to a brand new New World supermarket supportive during construction,” replacing the current store, says Angela Bull. says Jakeman. “I really want to thank Resource consent for the replacement New the Tokoroa community for all their World has been granted by the Opotiki support and enthusiasm for the brand District Council and it will be constructed new store. Everything is looking great.” next to the existing store on the corner The 2839 square metre store, which is of Bridge and Union Streets. The old store situated on the same site as the old will be demolished once construction is store on Bridge St in Tokoroa, employs complete. more than 100 people from the “The current New World in Opotiki is community. It is over a third bigger than almost 40 years old,” says Bull. “We are the old store with a new modern design delighted to be able to bring a new, and plenty of natural light. modern store to the community. The next A talking pole has been specially Damon and Sarah Jakeman with Taylor, Riley and Kobe. stage of the process is for us to commence commissioned for the New World site detailed planning and design work, which and was blessed by Raukawa Kaumatua will determine when we can start construction on site.” as part of a blessing ceremony for the Jimmy Heal is the owner-operator of New World Opotiki, and new store. says he is looking forward to opening the new store, which will “The talking pole is a really important feature of the New World for me,” says Jakeman. “It represents community and strength and I know provide locals with an even better grocery offer. “It’s exciting for me to have the opportunity to bring a brand new supermarket it will become a real community asset.” to Opotiki. It’s over twice the size of the current store and will Foodstuffs’ general manager – property development, Angela Bull, employ an additional 40 staff, which will be fantastic for the says: “We are really excited to be opening the new store. We have community,” says Heal. l been in the heart of Tokoroa for almost 40 years. We know it is the

Advertorial

NIVEA celebrates 100 years! The trusted NIVEA brand, as shown on our cover, celebrates a century of caring for the skin of millions of people around the world. NIVEA Creme has been sold worldwide in

the classic blue-white and unmistakable tin for the past 100 years. Today NIVEA Creme is at the heart of an extensive product family, active in over 200 countries and synonymous with skin care.

june 2011 FMCG

news Phoenix rises in Australia Charlie’s Group has secured an agreement to range its premium Phoenix Organics brand in 750 Coles supermarkets across Australia. The deal follows the recent successful introduction of the Charlie’s brand range into Coles in 2010. It is a significant win for the brand, which pioneered the organic beverage movement 25 years ago in New Zealand. The award-winning organic beverage is considered innovative in the Australian grocery market and it is now sold in more than 14 other markets worldwide. From June this year the Phoenix Organics range in Coles will comprise nine products in the premium organic juice, and organic sparkling juice ranges. The initial order is for approximately 19,000 cases, which represent around eight shipping containers in volume. Most of the organic juices will be sourced from Hawke’s Bay and bottled at Charlie’s West Auckland plant in Henderson. Phoenix Organics will be stocked in the highly successful, premium chilled ‘on-the-go’ area of each supermarket – a prime position and a key benefit for the brand. The deal further expands the distribution footprint of Phoenix Organics that up until now has only been available in the hotels, restaurants and cafes channel in Australia. Charlie’s Group ceo Stefan Lepionka says: “This deal further demonstrates Charlie’s Group’s capabilities to bring innovation to the chilled category in Coles stores across Australia. The addition of Phoenix Organics into Coles will take the total product count to 26 and reinforces the Group’s position as the third largest supplier in the chilled beverage category in Coles supermarkets.”

Lepionka says Charlie’s has achieved a share of more than 10% of the Australian chilled beverage market within six months of its initial Coles deal. In addition, Charlie’s Group has agreed with BP to trial a selection of products from both brands in 205 BP companyowned service stations across Australia over the next six months. The deal with BP involves a range of five Phoenix Organics and five Charlie’s products in BP-owned stores nationally. The products are on a six month trial after which time their performance will be reviewed. Lepionka says: “This is a significant opportunity for Charlie’s Group, as success could lead to increased opportunities in franchised-owned BP stores, as well as company-owned ones. “Further to this, it could serve as a platform for the launch into other major service station channels and convenience accounts.” Charlie’s Group is a New Zealand-owned company, listed on the New Zealand Stock Exchange, and operating principally in the Australasian market. l

Big new Four Square for Coopers Beach Foodstuffs has announced a new Four Square will be coming to town for the Coopers Beach community. Foodstuffs (Auckland) general manager – property development, Angela Bull, says resource consent has been granted by the Council and construction of the new store is to start shortly. “Opening a new Four Square at Coopers Beach is an exciting development for us,” says Bull. “The store is approximately 630sqm in size, so it will provide the Coopers Beach community with an excellent and convenient grocery offer. The new store will be just across from the current store on Coopers Drive, with 26 customer car parks and a new modern design which provides plenty of room in store. We will start construction shortly and hope to open the new store by the end of 2011.”

FMCG june 2011

Matthew Heap is the current owner-operator of the Four Square in Coopers Beach and says:“The new store will be really exciting for the local community. It’s fantastic for me to have the opportunity to bring this brand new store to Coopers Beach. It’s well positioned within the community and over twice the size of the current store. I can’t wait.” All Foodstuffs stores are 100% New Zealand-owned and operated. Foodstuffs brands include PAK’nSAVE, New World, Four Square, Gilmours, and Liquorland. l

nargo n

Top 10 shopping trends for 2011 Successful retailers are always interested in the shopping preferences of their customers. Customer behaviour can change rapidly and stores need to be aware of local and global trends. This helps them predict and meet consumer demand. Getting in early can make a real difference. A number of experts have put forward their picks for the headline shopping trends in 2011.Their lists tend to be overwhelming, often contradictory and frequently based on the American market. NARGON has picked out 10 trends which are most likely to have an impact in New Zealand this year. Humane production A number of surveys have demonstrated that consumers are placing more importance on humane production techniques including organic, freerange, cage-free and cruelty-free products.These are traditionally more expensive but many customers are prepared to pay the premium for a more humane, and many would say better tasting, product. Smart Phones New mobile phone technology, including Android, iPhones, Blackberries and iPads, are changing the way people look for stores and do their shopping.This new functionality can range from searching for products or purchasing goods online through to in-store information and promotions. One growing trend is to have store wine lists and suggested food matches available on phones to help shoppers choose the best tipple. Some applications also encourage shoppers to tell their friends about products they liked. Seasonal foods In recent years, the trend has been toward stocking many food items all year round, regardless of their local seasonality. Increasingly, a growing number of consumers are looking to purchase only local products in season.There is more acceptance that certain foods will only be available at certain times of the year and for a limited time. More shoppers are following this philosophy, which runs counter to conventional wisdom in the retail grocery sector. Craft beer While beer consumption in New Zealand dropped 2.2% last year, sales of craft, boutique and imported beers showed strong growth. Drinkers may be drinking less but they are often looking for more choice, variety and taste in their beer. Stores are frequently surprised at the level of demand when they choose to offer even a few craft beers.The margins are usually better than mainstream beers too. Cooking at home Kiwis are re-discovering the joys of making food in their own homes. This is a combina-

Trina Snow, executive director, NARGON.

tion of the tight economic situation and our growing love of cooking as evidenced by the popularity of shows like MasterChef and strong sales of recipe books. This means customers are often looking for a range of ingredients and staples rather than ready-made meals. Gourmet sausages It is said that sausages are the new bacon. Proper sausages are made with (gasp) real meat and a range of herbs and spices. Despite their reputation, sausages can be tasty and low in fat. They deserve a place on the fancy plate, not just the hot plate of the BBQ. Comfort food comeback There is a bit of a backlash against haute cuisine and overly fussy food. Kiwis want something hearty, especially as winter kicks in. Lasagne, meatballs, stews, macaroni cheese and fish pies are making a comeback. Helped by the popularity of slow cookers, family-style and one-pot cooking are in vogue. Gluten-free goodies The gluten-free bandwagon is gathering momentum. For most people it is not necessary, but it is for some, and others have chosen to embrace it. More established companies are producing gluten-free products and options. Gluten-free is becoming an established option on the New Zealand menu. Healthier snacking Kiwis love to nibble but there has recently been a move toward healthier snacks between meals. Afternoon tea is no longer the preserve of rich cakes and biscuits. Single serve snacks, healthy bars, nuts, fruits and mineral waters are popping up far more often than lamingtons these days. More vegetarian options It’s increasingly hip to embrace ‘Meatless Mondays’ or ‘Tofu Thursdays’ as part of a trend towards eating less meat. A number of households and schools are going meat-free at least one day a week so stores need to think about offering a wide range of vegetables, fruits, pastas and cereals to cater for vegetarians and occasional non-carnivores.

june 2011 FMCG

FRESH & LOCAL Specialist resource writer John Clarke highlights developments in produce, fish and meat supply.

PRIME Plenty of New Zealand winter fruit: tamarillos, persimmons, lemons and mandarins. Yams, chokos, parsnip, nice main crop spuds, excellent fennel bulb and celeriac and Brussels sprouts. Kahawai, piper and tuna. Pacific oysters are at their best, as of course are Bluff oysters. And don’t forget rhubarb over winter.

FINISHED Our apricots, nectarines and peaches are finished, as are New Zealand strawberries and passion fruit. New Zealand grown beans have finished and good New Zealand tomatoes are in short supply.

DAIRY Want to put something a little different in front of your shoppers? Check out the Epicurean Dairy Company – gourmet yoghurt, gluten free, lots of flavours, hand made probiotic and absolutely delicious. Available from the Collective Dairy Company.

FISH Blue cod Now that the albacore season is about over many of these fishermen are working the blue cod fishery so the Auckland market may even see some if the guys down south relax their exclusive claim to it. Blue cod has a beautifully flavoured delicate white flesh and the further south they are caught the better for my money. Blue Moki The season for this beautiful fish will have started by the time you read this issue. Hoki This is our largest commercial fishery and June sees the beginning of the annual hoki harvest. So if for some reason your customers just happen to be hanging out for a fresh piece of hoki, this is your opportunity. Ling The fresh season for ling starts in June and runs until November. Frozen and smoked product is also available. Orange roughy The fresh roughy season is not far away so don’t worry if you have people who think it’s a great fish, you will soon be able to flog them some of these fish, fresh. Piper This is the best time for this forgotten delectable little fish. Red cod Must have mothers so someone can love them. If you come

across English or British cod it is just another alias for this cray-pot bait. Salmon (Chinook or quinnat; sea cage) Plenty available and all three producers have good quality fish. Sharks Still a good time for ‘lemonfish’ (rig, dogfish etc) and school sharks, and they are all great eating. Sole The major catch is over and from now on it will be by-catch stuff. Supply is still restricted in the North Island as this is mainly a southern fish, but it is a much underutilised, premium fish at a relatively low price. Trevally This fantastic common fish is usually well priced. The main season is over so there is less in the market, but by the same token this fish is now of markedly better quality. Trevally at this time of year are caught using ring nets around inshore reefs – meaning fresher, less squashed and tastier fish. Warehou is another southern species available in winter and well priced.

MEAT The good news on the red meat front is we have had some warm early winter weather and feed is away before the big chill, but do not expect a big drop in prices; sorry guys.

FRUIT Apples All the New Zealand seasonal apples are still good quality so we don’t need any imported apples just yet. Avocados Lots of good quality well priced Haas fruit have been enjoyed by all. Watch the quality from now on. Citrus New Zealand lemons will be

LEADING THE WAY IN ORGANIC CERTIFICATION

around from now and New Zealand mandarins are available too. All other local citrus will start to come on towards the end of this period. Feijoas The season should be in full swing and there should be bucket loads and good prices, but there is not that much around. Still this is a very handy fruit over late autumn and winter. Kiwis The main crop New Zealand fresh fruit has started but it has been up and down a bit so far. Pears There will be a pear or two about but they are deteriorating from now on. The nashi holds on a little longer. Imports are starting though. Persimmons This is another good early winter fruit. They finish in July but are good keepers so they will be around for a while. Tamarillos are back in stock. Chestnuts are in season now for that something a little different and a good mover these days. See, there is lots of great New Zealand fruit over winter!

VEGETABLES Traditionally it’s comfort food time and all the warming winter vegetables are coming on. Jerusalem artichokes This is the time for this underutilised vegetable. Brussels sprouts are at their best from now on.

Capsicum Absolutely the worst time for capsicums. Almost all the New Zealand grown varieties have gone. There will be some locally grown hothouse (usually hydroponic, and at a price, but it is mostly Aussie and Island capsicums now). Carrots are always available and are quite nice this time of year. Choko This handy early winter vegetable receives flavours very well. It will only be around, straight off the vine, until the beginning of July. But it keeps well so you will still be able to get it until mid August or so. Kohlrabi is available all year now, but this is the main season. The price is right and it is in pretty good nick at this time of year. Leeks are at their best. Onions Good supplies of Jumbos with few New Zealand red onions around so you may need to buy the Californian ones soon. Parsnip was history, now contemporary. Potatoes Lots of good quality main crop potatoes all over the place and plenty of variety too. Swede and turnip From now on is the time for these vegetables. Yams Now we can have this great little vegetable for a few months. And see, there is also lots of great New Zealand vegetables available over winter.

WE OFFER: › Global market access › Integrated services e.g. GLOBALGAP & BRC › National coverage › Our own residue testing laboratory › Competitive pricing WE CERTIFY TO: › AsureQuality Organic Standard › IFOAM › NZFSA Official Organic Assurance Programme › USDA National Organic Program › Japanese Agricultural Standard

NZ1234

ASUREQUALITY CUSTOMER SERVICES T. 09 573 8000 E. info@asurequality.com W. www.asurequality.com

Delicatessen trends How to make the most of your deli counter? Delmaine brand manager Kathryn Awde looks at small goods and meats.

Although Delmaine is the market leader in antipasto products, the serve-over deli does not solely consist of antipasto. So, as this column is dedicated to getting the most out of the deli counter, we have asked our good friend, Brydon Heller, marketing coordinator at Hellers – to share some insights into small goods and meats at the deli counter. Are meats in the serve-over deli counter affected by seasonal trends? “The trends do change, the summer season sees a rise in the traditional ham sales with people eating outdoors with platters and more entertaining – especially leading into the Christmas season and then onto holidays. Winter sees the arrival of more hearty foods like soups and casseroles, so the bacon bones and hocks that we sell increase then,” explains Heller.

soups. Pea and ham or a good bacon and corn chowder is a quick and easy soup to make with a good crusty roll as a companion. The slow cooker gets dusted off and used more frequently as well. There is still plenty to choose from in the service deli that can fill up a slow cooker. Chorizo sausages, salami and bacon goes well in a Spanish cazuela for example.” Heller adds: “In spring and summer we would see more of the seasonal salads and cold sliced meat offerings pick up again.” Do you have any tips for staff behind the deli counter? “Best practice here is always best and all stores do have their own food safety programme, which is important. “To get the most from the range at the deli counter, know the products and the many uses for them. For the consumer, recipes for inspiration when shopping are always good. Many people still do not know what meals they are going to make while browsing and make their decisions in-store.

Their decision is often based around what is on special and what their particular needs are.” Which new trends do you see in your range? “Convenience still rates high. “Healthy options for the whole family including kids are becoming more and more popular. “Other trends are around the removal of allergens and e-numbers from products. The trend is heading towards having a cleaner label for the consumers. “Price is also a big factor and shoppers want to know how they can make the meal go further. “New packaging innovation has seen sales of cold meats rise in the chilled foods aisle and this has led to more plain packed product being sold through the service delis now. This again comes back to convenience. “Fresh foods and the rise of farmers markets are still proving popular and this is something the stores also need to consider,” says Heller.

Which range do you recommend for each season? “In autumn and winter you will see a rise in sales of bacon hocks and bones as people like to get stuck into

08 00 20

FMCG JUNE 2011

D E L M A IN E

kathryn.awde@delmaine.com • www.delmaine.com

What’s online

fmcg.co.nz FMCG has a few web exclusive features to get you clicking.

Census time for fish NIWA’s research vessel Tangaroa has set sail to survey biodiversity and habitat hotspots around New Zealand. Find out online why this survey is so important for New Zealand fisheries.

Business advantage in the digital age There is a big difference between having a website and having an effective website – one that converts visitors into customers. Visit www.fmcg.co.nz for expert advice on website design from Ollie Langridge, ceo at netfilms, a web video company specialising in video for business.

New products

Value your customers

PL US

From flavoured tea for kids to wholegrain cereals – take a sneak peek at some of the latest product launches online.

Many businesses spend thousands of hours and dollars trying to acquire new customers, and relatively little time and effort nurturing and retaining their existing ones. Read Hannah Samuel’s take on reputation building and customer service on www.fmcg.co.nz

An extensive archive of previous issues of FMCG you may have missed as well as news, category reports and more. may 2011 FMCG

Foods of the future An appetite control research programme offers great insights and opportunities for New Zealand food and beverage manufacturers.

magine a new class of diet product where the ingredients didn’t just contain fewer calories, but actually kept you feeling full for longer. Where that ‘I’m full, stop eating’ message came sooner – and yes, your gut really does signal to your brain when it’s had enough. The feeling is called ‘satiety’ and it’s the focus of a Plant & Food Research programme launched last year with R&D investment from the Government and some of New Zealand’s most well-known food companies. ‘Foods for Appetite Control’ is a six-year research programme that began in October last year aiming to

FMCG june 2011

expand on the current understanding of how individuals ‘feel full’ and identify the precise compounds responsible. It is anticipated that by examining the mechanisms responsible for the sensation of ‘fullness’ that new whole foods, natural ingredients and processed food products may then be developed to trigger these sensations earlier and for longer when eating. These new foods will be supported and developed by: • a greater understanding of satiety interactions between food and human metabolism • applying new knowledge of key dietary effects of complex whole foods on satiety • using new screening and breeding (non GM) tools for development of future premium NZ crops with

enhanced satiety functionality • new high value functional satiety extracts/ingredients • using new capabilities to produce, test and substantiate satiety ingredients and foods • using new food technologies to enhance functional food production. “We’re looking at what happens in the body to trigger the ‘I’m full’ message,” says Dr John Ingram, a scientist at Plant & Food Research’s Food Innovation department. “We’ll then develop new natural ingredients and whole foods that can signal the same messages in the body with far fewer calories.” Feeling fuller for longer after eating, or satiety, is an important part of dietary energy management and maintaining a healthy body weight. It also has a role in offsetting issues including obesity, type 2 diabetes, cardiovascular disease and cancer, which are costly to individuals and society at large. However, the ‘keeps you fuller

featu re

Satiety is an important part of dietary energy management and maintaining a healthy body weight. Dr John Ingram.

longer’ marketing message is nothing new. Low glycaemic index (GI) foods have been advertised for years as a means of staving off hunger. The message from nutritionists and health professionals rings out strong with instructions to eat more fruit, vegetables, pulses, wholegrains and other low GI foods in order to prolong the release of glucose into the body which keeps us from feeling hungry for longer. So is the Foods for Appetite Control any different? Well, yes. While it’s agreed that being told to eat more fruit and vegetables is absolutely the right advice, scientists are also taking a closer look at why these foods elicit the response they do. It is already proven that the gut wall makes use of a range of sensory cells (including taste receptors the same as our tongues) to identify the nutrients in the food we eat. However, research now indicates that some specific compounds initiate a much greater signal response to the

appetite control centres in the brain than others. “There are a number of these feedback mechanisms operating in the digestive trait,” says Ingram. “Different compounds act in different ways depending on where in the system they have reached. If we can get particular compounds to these specific target areas of the gut, the person eating will feel the satiety effect for longer having eaten less.” Researchers at Plant & Food Research are working to identify the naturally occurring phytochemicals and carbohydrates in fruit, vegetables and grains that effect appetite control signals from the digestive trait. The World Health Organisation (WHO) has suggested there are currently 1.6 billion overweight adults around the world and that more than 700 million are obese. Not surprisingly this has led to dramatic growth in the diet and weight management foods market, a market now worth in excess of NZ$513 billion globally.

While the current research programme is only in its early stages it is hoped that the results may offer great opportunities for New Zealand food and beverage manufacturers. In addition to the scientists at Plant & Food Research, the programme also involves scientists from the University of Auckland and Massey University, as well as collaborations with overseas experts involved in understanding potential appetite control mechanisms triggered as food passes along the digestive tract. New Zealand food companies are also involved, including ZESPRI and Sanitarium as well as Hansells Food Group, Comvita, NZ Extracts, Simplot, Bell Tea & Coffee and Yarrows.

The science behind satiety Looking beyond basic nutrition to better understand the interactions of our diet is not a simple task. The research is examining the chemo-

june 2011 FMCG

feat ure

• Deliver foods with a validated appetite control effect • Can foods that deliver active compounds to their site(s) of action in the gut be formulated, and can this be done without affecting a product’s physical or consumer-acceptable sensory quality?

Why look to plants to modulate satiety? Kiwifruit are one of the most nutritionally dense foods and are rich in the plant phytochemicals being investigated.

sensory function of the GI tract in modulating satiety and the role of phytochemicals and carbohydrates as bioactives. The aim is to gain a greater understanding of gut processes and develop enhanced appetite controls using a “combinatorial” approach. Foods for Appetite Control has brought together a world-leading and multidisciplinary team (domestic and international) to approach several questions in new ways.

Objectives • Demonstrate the effect of plant compounds on appetite control mechanisms • Can active compounds in plantbased foods modulate multiple satiety mechanisms to control appetite for extended periods? • Identify germplasm sources with required levels of active compounds • Can commercially viable plant sources of active compounds that control appetite be identified and can these sources be transformed into ingredients for use in foods? 24

FMCG june 2011

cystokinin (CCK) in response to a variety of nutritive and chemical stimuli (including bitter compounds such as plant polyphenols) entering the duodenum, the first section of the small intestine. Once released, CCK inhibits gastric emptying keeping the stomach full and reducing the desire for food.

The ileal brake

Plants species have had around 420 million years of evolution in biochemical defences against herbivores. These evolutionary defence mechanisms include around 100,000 different secondary metabolites, many of which are anti-feedants for insects, birds and mammals – in other words, chemicals that makes those eating them feel full and hopefully eat less.

Under normal conditions most of the nutrients in food are absorbed in the duodenum. However, a proportion of the undigested meal may enter the ileum, inducing activation of the “ileal brake” mechanism. In humans, activation of the ileal brake slows transport and digestion and triggers the release of satiety hormones.

How does it all work?

Colonic satiety mechanisms

Multiple points within the GI tract are known to signal the brain to stop eating. The Foods for Appetite Control programme is currently examining three key mechanisms in order to develop a combination approach to influence satiety. 1. Stimulation of cholecystokinin (CCK) by bitter compounds in the duodenum. 2. Activation of the ileal brake by non-absorbed nutrients. 3. Manipulation of colonic satiety mechanisms in the large intestine.

The human gut contains 500-1000 different bacterial species harvesting dietary energy from undigested carbohydrates by fermentation to short chain fatty acids – butyrate, acetate and propionate. Previous studies have shown that prebiotics increase microbial fermentation and satiety levels in human clinical studies.

Cholecystokinin Enteroendocrine cells play an important role in detecting and relaying to the brain changes in chemical composition of food within the GI tract. Enteroendocrine “I” cells secrete the satiety hormone chole-

Mike Shaw is a senior communications advisor with Plant & Food Research. Mike.shaw@plantandfood.co.nz

fgc

CoOL not as cool as many might think The pros and cons of Country of Origin Labelling. Citing the need for people to know where their food is from, a vocal minority of advocates, politicians and consumers periodically call for mandatory Country of Origin Labelling (CoOL). The Green Party has been championing this cause for over a decade and there have been calls for a mandatory system to require all food products to display where they were made. It’s a requirement which is easier talked about than implemented, particularly for multi-ingredient products. Not that the grocery sector has had its head in the sand. Many companies have already responded to consumer interest by implementing a voluntary system for labelling or responding to consumer enquiries with information. This is the best approach for New Zealand in the long term. Most of the debate has been on fresh produce such as vegetables, fruit and fish, but many proponents also demand mandatory labelling for all processed multi-ingredient products. Attempting to label processed goods greatly complicates the issue. While Australia already requires Country of Origin Labels on all packaged foods, fish, pork and fresh whole or cut fruit and vegetables the result has not been as illuminating for shoppers as many expected. While creating compliance costs, labelling products “made in Australia from imported and local ingredients” hardly leaves consumers any more informed. What actually happens in the New Zealand market already also must be taken into account before embarking on costly law changes. Promoters of mandatory CoOL like to create the impression that information on the origin of many products is not provided, when this is not correct. In fact, supermarket shoppers could find out the origin of most products, because the information is clearly labelled in-store or on-pack already. New Zealand has always preferred to take a lighttouch, voluntary approach to seeking change.That’s why in 2005, New Zealand chose not to follow the Australian policy and to continue with our traditional voluntary approach to labelling. This has been supported by successive governments of various political hues. It is also the preferred position of the Food and Grocery Council which represents grocery manufacturers and suppliers. Many of our members would find mandatory labelling policy costly and impractical, but more importantly, such a move doesn’t necessarily benefit consumers. On balance, the costs of an origin labelling regime to

Katherine Rich, CEO, NZ Food & Grocery Council. Email: Katherine.rich@fgc.co.nz

consumers, industry and government would far outweigh any benefits such regulation would bring. Continued voluntary use of country of origin labelling, in response to genuine consumer interest, delivers those benefits without imposing additional costs on all consumers or compromising our trade policy. The first argument often deployed in favour of labelling is food safety. People rightly want to know their food is safe and they are understandably concerned by overseas stories of unsafe foods. However, CoOL would make no difference at all to food safety in New Zealand. Our Food Act 1981 already requires that all food sold here – domestic and imported – has to be safe for human consumption and this is rigorously enforced. New Zealand has one of the most robust food safety regimes in the world. While consumers should be able to access true and accurate information about their food, product labelling is not the only way to do this. A growing number of retailers already provide full origin details voluntarily as they consider it a market advantage. Demand for CoOL should also be put into context.The desire for such labelling is often over-stated by its supporters. Recent surveys show very few consumers actually read food labels and that most people consider CoOL to be a relatively low-priority compared to price. Companies consistently report they receive very few calls from customers regarding origin questions. There are also very practical objections to the proposed labelling system. Issues of availability and seasonality mean many retailers would be constantly re-labelling products at significant cost, which would be passed onto shoppers, many of whom are already struggling with the shopping budget. Finally, officials from the Ministry of Foreign Affairs still maintain that adopting this system could undermine our food exports. New Zealand diplomats have traditionally strongly resisted other countries’ efforts to require our exported food to be origin-labelled. Officials believe that New Zealand should not be seen advocating such a clear double-standard. Work on improving New Zealand’s voluntary approach through a retailer code is ongoing, but the proposed mandatory Country of Origin Labelling regime is not as cool as many might think. june 2011 FMCG

cate go r y c h e c k

Comeback for

canned foods Did you know that New Zealanders consume over 41 million cans of Wattie’s Spaghetti and Wattie’s Baked Beans a year? FMCG talked to some of the key players in the Canned Foods category to find out what else is popular this season.

espite the myriad of packaged food options available to consumers, Heinz Wattie’s marketing manager Simon Crampton says consumers have been coming back to canned products strongly in the past year. “This is recognition of the value, convenience and quality of these products at a time when family budgets are tight, but also their acknowledgement of locally developed recipes and locally grown foods. “Consumers want to know that what goes into their canned food is good for them. Wattie’s brings a level of trust as they know we will

FMCG june 2011

do the best by them, ensuring high quality ingredients,” Crampton says. Wattie’s grows and processes more than 20 fruit and vegetable crops. These are the ingredients for hundreds of products. At the Hawke’s Bay Show in October Wattie’s relaunched its NZ Grown Pick of the Crop™ fruit and vegetables and shoppers have responded very positively. “These include New Zealand’s favourite Wattie’s peaches along with Wattie’s other seasonal canned crops including asparagus, sweetcorn, beetroot, tomatoes, pears, boysenberries and Black Doris plums. Most of these crops are grown in Hawke’s

Bay, sealing this NZ Grown goodness into the can for consumers to enjoy.” In total there are over 270 different Wattie’s canned products available to New Zealand consumers. Marketing manager (Baked Beans, Spaghetti, Ambient Meals and Meat) Tina Wong says that among the top selling products are Wattie’s Spaghetti and Wattie’s Baked Beans with Kiwis getting through over 41 million cans a year. “There is no doubt about our love for these products, but we certainly don’t take it for granted. There is an exciting year planned with above the line media support and consumer promotion, aimed at reinforcing the connection Kiwis have with these leading products.” Kerry Allen, marketing manager Wattie’s Soup, reports that Wattie’s Soup is worth $20 million and market leader in the Wet Ambient soup sector with 77% share (ACNielsen Total Supermarkets to 24/04/11). “Our objective this winter is to drive growth back into the category

canned foo ds

and get soup top of mind with consumers again. Early season promotions have helped to kick start this soup season with the category back in growth, and Wattie’s achieving 80% volume share and +30% growth in the 4-weeks survey to April 24 (ACNielsen Total Supermarkets). “In addition a new national campaign kicked off on May 1 to encourage consumers to eat soup more often. The magazine and radio campaign focuses on Wattie’s Very Special soup, demonstrating ‘it’s what’s inside that makes our soup Very Special’.” For example,

Wattie’s Very Special Pumpkin Soup is made from 63% pumpkin and real cream. Plus the butternut pumpkin is grown in Hawke’s Bay.

New Zealand’s favourite sauce The team at Wattie’s says Wattie’s Tomato Sauce is New Zealand’s favourite, leading the Tomato Sauce market with 58.5% volume share and growing ahead of the market (ACNielsen MAT to 24/04/11). The rich tomato purée (equivalent to a large number of tomatoes) concentrated into every bottle and a

THE BREAKDOWN Current MAT to 24 April 2011 Total Canned Soup: $26.860m Val % Chg vs YA -5.0 Total Canned & Dry Vegetables: $66.881m Val % Chg vs YA 1.2 Total Canned Asparagus: $3.923m Val % Chg vs YA 1.4 Total Canned Beans: $518,794 Val % Chg vs YA 3.1 Total Canned Beetroot: $8.651m Val % Chg vs YA 3.9 Total Canned Corn: $9.285m Val % Chg vs YA 4.3 Total Canned Mushrooms: $1.997m Val % Chg vs YA -3.7 Total Canned Other Vegetables: $1.107m Val % Chg vs YA -2.8

Total Canned Peas: $1.776m Val % Chg vs YA -3.2 Total Canned Salad Beans: $9.025m Val % Chg vs YA 8.1 Total Canned Tomatoes: $28.261m Val % Chg vs YA -1.5 Total Dried Vegetables: $2.339m Val % Chg vs YA -3.3 Total Canned Fruit: $71.409m Val % Chg vs YA -0.9 Total Canned Peaches: $23.073m Val % Chg vs YA 1.6 Total Canned Pineapple: $11.130m Val % Chg vs YA 2.6 Total Canned Fruit Salad: $12.281m Val % Chg vs YA -5.0 Total Canned Other Fruit: $8.659m Val % Chg vs YA 2.2

Total Fruit Snacks: $9.008m Val % Chg vs YA -3.4 Total Canned Pears: $3.759m Val % Chg vs YA -7.4 Total Canned Apricots: $3.499m Val % Chg vs YA -5.6 Total Canned Meals: $94.071m Val % Chg vs YA 0.9 Total Canned Baked Beans: $35.073m Val % Chg vs YA -0.8 Total Canned Spaghetti: $31.020m Val % Chg vs YA -2.8 Total Canned Meats: $10.193m Val % Chg vs YA 39.6 Total Canned Corned Meats: $13.879m Val % Chg vs YA -1.9 Total Canned Meals: $3.906m Val % Chg vs YA -13.4

* ACNielsen New Zealand ScanTrack (Databank)

june 2011 FMCG

cate go r y c h e c k

special blend of spices gives Wattie’s Tomato Sauce its unique taste that Kiwis know and love, whilst also rich in lycopene, a powerful antioxidant. Wattie’s Tomato Sauce is available in a range of sizes and packaging options including the market-leading 575g refill can.

Aunt Betty’s Creamy Rice Creamy rice is popular with a wide range of consumers. From athletes who are looking for race fuel, families looking for a quick dessert offering, to people who are looking for a healthy sweet treat for lunchboxes or snack times. Hansell’s senior brand manager Susan Harvey told FMCG: “The texture of our creamy rice has been improved and is now creamier and softer than ever before. In addition Chocolate variants have also been reformulated to a richer more indulgent chocolate. “Aunt Betty’s creamy rice is the only brand experiencing growth in the canned rice category, showing MAT $ growth of 8%. “Aunt Betty’s creamy rice has a MAT $ share of 35.7% and for the last three weeks has moved into the 28

FMCG june 2011

number one brand position,” she adds (Aztec Data to 17/4/11). Aunt Betty’s creamy rice is made in Thailand from the finest quality Thai rice and New Zealand milk, giving a wonderful creamy flavour.

Golden Sun brand will be undergoing a packaging update this year,” she reveals. “The packaging redesign will refresh the range and make it more consistent and appealing to consumers. Watch this space!”

Golden Sun

Spam & Stagg

Golden Sun provides some of the more unusual canned fruits and vegetables from lychees to mangos and bamboo shoots, which can add great flavours and variety to everyday dishes like fruit salads and stir fries. Acton distributes the Golden Sun range of canned fruits and vegetables including: • Whole Lychees • Mandarin Segments • Mango Slices • Whole Baby Corn • Cut Baby Corn • Water Chestnuts – Whole Peeled • Bamboo Shoots – Sliced “The Golden Sun brand has been in the New Zealand market for over 20 years and the range provides consumers with good quality canned fruits and vegetables at a good price,” says marketing manager Joanne Neville. “After 20 years on the market the

Wilson Consumer key accounts manager Paul Doherty told FMCG: “Hormel Spam continues to dominate the Canned Ham segment with a share of 96% and the combined Spam & Hormel brands have achieved growth of 11% this year – this is in line with total Canned Meats growth, but by far outstrips the growth of traditional competitors such as Canned Corned Beef (-2.6% growth). (All data Aztec MAT to 24/04/11) The launch of Spam Bacon has been a significant introduction to the Spam range and has proved popular both with new and existing Spam consumers, says Doherty. “Spam Bacon has contributed to almost 75% of the brand’s growth this year, however improved effectiveness of promotional activity with key stores and groups has also been a big help, as there are definitely pockets where Spam sales are

canned foo ds

Chop Chop! Chicken is low in fat and is made from fully-cooked premium chicken breast.

stronger and we continue to identify such opportunities and work with stores to make the most of them,” he adds. Spam products have been with us for generations – owned by American giant Hormel. “Wilson Consumer Products distributes Hormel products in New Zealand and also distributes their Stagg Chili range, a small but significant player within Canned Foods – achieving strong sales where distributed,” comments Doherty. Stagg is a genuine American slow simmered two bean chilli, loaded with meat, tomatoes, beans, onions, chillis and other spices making it the ideal inclusion for winter nachos meals and baked potatoes. “There are three flavours in the Stagg range – Classic, Lean Beef and Dynamite Hot – and these have almost cult status with their dedicated devotees, true chilli lovers can’t get enough,” says Doherty.

Chop Chop! The market was initially sceptical when Davies Foods introduced Chop Chop! Chicken three and a half years ago. “Since then the Chop Chop!

brand has gone from strength to strength and is now a favourite with consumers and retailers alike,” says Davies Foods’ sales manager Reuel Newman. “Chop Chop! took less than 18 months to go from nothing to market leader in the canned meat category,” says Newman. He adds: “In fact, Chop Chop! has created a whole new segment with several copy-cat products being introduced. Even with this competition, Chop Chop! has retained clear market leadership with 75.1% value share of the Canned Chicken segment (Aztec MAT 16/01/11). “Looking ahead, Chop Chop! will continue to innovate and drive category growth with a strong emphasis on above the line marketing and consumer trial. This includes TV and print advertising and extensive sampling campaigns. A focus on new product development is also an important part of the mix,” says Newman. Chop Chop! Chicken is low in fat and is made from fully-cooked premium chicken breast. The chickens are raised in a cage-free environment and all the products are Halal certified. Chop Chop! Chicken is a

great alternative to canned tuna and is available in 10 delicious flavours.

Imported offerings Brooke Holdings supplies a large volume of canned products to the supermarkets under private label, including canned fruit from South Africa, canned beans and tomatoes from Italy, and canned pineapple and corn from Thailand. “The recent bout of smaller than usual crops has seen the raw material price firm, however the softening of the US dollar has offset some of these increases,” says Brooke Holdings general manager Nick Langford. He adds: “Sales of our Silverleaf branded Guava Halves in syrup have been steady, but we would like to see this area grow as guava is not only delicious but also very high in dietary fibre. “Brooke Holdings is starting to import South African canned fruit under the Gold Reef brand for supply into the niche independent retail markets, and we hope to expand our supply of canned tomatoes, beans, pineapple and corn into these niche retail markets downstream,” he says. june 2011 FMCG

What’s Hot rice treat – Remember Maltexo? ( One tablespoon to be taken before school on cold, winter mornings.) Now this traditional Kiwi favourite has beautiful new packaging that reflects its history and makes it easy for you to find their two scrumptious varieties: Maltexo Original and Maltexo Choc Anti-Ox with the antioxidant properties of cocoa. Maltexo also has a new website with recipes that add a twist to delicious treats beloved by generations of New Zealanders. From muffins to pavlovas you’ll be amazed at how versatile Maltexo can be.

More and more customers are looking for convenient meal options that are healthy, that taste great and are really fast to prepare. Rice Treat is a wonderful range of 2 min microwavable rice that is bringing innovative flavour profiles to the market to grow the category. The latest flavours that are now available are Butter Chicken and Paneer (chunks of cottage cheese), Coconut and Lemongrass and Korma Rice – and everyone is loving the Butter Chicken of course. The range is Gluten Free and uses low GI long white rice for a sustained energy release throughout the day. These are super tasty, with no artificial colours, flavours or preservatives and are perfect for easy dinners, quick lunches, and great snacks – All this in only 2 minutes – Now that’s FAST! Visit www.healthytastyfast.com or call CS Brokers 09 415 2500

Baker Halls Innovation – a NZ first!

What’s Hot

Baker Halls is championing the cordial category and leveraging its market leader position with a NZ first: fruit syrups specially made to mix with either milk or water. Baker Halls Kids comes in three delicious fruit flavours – Blackberry Squirt, Tropical Spurt, Lime Squeeze – that will find favour with NZ families as a versatile, value for money beverage. Baker Halls Kids will help energise your cordial sales by attracting new cordial shoppers, plus drive category growth from incremental purchases. The flavours were sensory tested amongst families with kids 4+ years of age, scoring a high 80% positive taste preference rating. As part of the full support plan, in-store sampling and cross-category displays will inform and inspire your household shopper, driving demand and increasing AWOP in your shoppers’ baskets. The 750ml Baker Halls Kids fruit syrup range will be available from mid-June 2011.

FMCG june 2011

For further details please call 0800 505 123.

What’s Hot Welch’s 100% Pure New to NZ is Welch’s 1.36 Litre Grape juice, available in two variants. Welch’s Purple Grape Juice is made from whole U.S. concord grapes – skin seeds and all. Concord grapes have natural plant nutrition, called polyphenols – including many of the same ones found in red wine that act as antioxidants and deliver benefits to your overall health. Also available is Welch’s White grape juice, made from Niagara grapes, containing twice the antioxidant power of 100% apple juice. With no added sugar, colour, or flavours, Welch’s 100% grape juice is an easy, healthy option to help support your immune system or just a tasty drink. A great drink for summer and winter. For more information please contact CS BrokersInterlink, 09 4152500 or enquiries@csbrokers.co.nz

ABC Sweet Soy Sauce Sampling ABC Sweet Soy Sauce (also known as Kecap Manis) is a sauce unlike standard salty soy sauces. It is world famous as the key ingredient of Mi Goreng. To heighten the awareness and versatility of this sauce, ABC has undergone an extensive sampling campaign in NZ where the consumer receives a 90ml sachet enclosed in a recipe flyer with 6 great tasting recipes to try. Since the campaign started in March, we have seen a dramatic increase in sales of the retail bottles. For more information on ABC Products or a sample sachet of Kecap Manis please contact: Oriental Merchant Pty Ltd Tel 0800 10 33 05 Fax 0800 10 33 11 Email: nzenquiries@oriental.com.au Website: www.oriental.com.au

Ingham Red Box – the ideal Winter Warmer

What’s Hot

With winter upon us, Ingham Red Box products are the ideal hearty winter meal option when convenience and quality are a must. Ingham Red Box filled chicken products, including Kiev, Cordon Bleu and new Duets, provide the convenience of heat and serve packed frozen products with the assurance of 100 per cent quality New Zealand chicken. The delicious hot fillings make them a quick and tasty winter warmer the whole family will enjoy.

For more information, contact your local Ingham distributor on 0508 800 785.

june 2011 FMCG

cate go r y c h e c k

Saucy affairs Consumers enjoy convenient sauce products and new flavours to make meals easy and delicious. To find the latest trends in Sauces, Dressings and Condiments, FMCG talked to some of the stakeholders in these categories.

erebos Gregg’s is the No 2 manufacturer in Sauce and has two brands – Gregg’s and Whitlock’s – contributing 16.8%* value share to the category, says brand manager Craig Harrison. Gregg’s sauce continues to be a popular choice with consumers who desire a great tasting sauce that’s made right here in New Zealand with the finest quality local ingredients where possible. All the tomatoes found in Gregg’s sauce products are sourced from Gisborne. Cerebos continues to perform well as consumer demand for quality everyday chutneys and relishes continues. Harrison explains: “A likely impact from the recession is that many consumers are opting to make their own lunches as opposed to eating out and Cerebos has definitely benefited from this, experiencing value growth of +11%*.” Since launch in 2008, premium brand Whitlock’s has also found a niche in the market focusing on flavour and premium ingredients. “Whitlock’s is growing at 13.2% in value thanks to the performance of skus like Caramelized Onion (+31.3% value growth*),” says Harrison. “Consumers have also taken to the Gregg’s Smoked Hickory BBQ flavour (available in two skus), which has consistently performed well since its 32

FMCG june 2011

launch back in 2005 (currently growing at 9.8% vs YA*),” he adds. “Whitlock’s has established a reputation as the ‘left field’ sauce brand delivering products with a unique flavour profile and taste unlike anything else available. Whitlock’s Tomato Chutney is the No 1 sku in the Whitlock’s range and has a keen loyal following from consumers who love its thick, fruity taste,” says Harrison. *Aztec MAT to 27/03/11

Mustards and marinades “Mars continues to lead the mustards and marinades market in New Zealand with its iconic range of Masterfoods products,” says marketing manager Katherine Alexander. “Within the Mustards category, Masterfoods has a 55% value share*, with over one third of the entire market value coming from their range of Squeezy Mustards,” explains Alexander. “The Mustards market is growing

s a u ces, dressi ngs, condi men ts THE BREAKDOWN Current MAT to 24 April 2011

by just under 6% in value YTD*, with much of this being driven by growth within the Mild American and Dijon flavour groups,” she adds. “Masterfoods Mild American Squeeze Mustard continues to be New Zealand’s favourite mustard flavour, and in total over 16%* of market value is held in this one popular variant,” she says. Mars is continuing to invest in product innovation and trial to drive growth within the Marinade market. Alexander explains: “The market is worth just over $2.5m* annually in New Zealand, however with consumer research indicating that 70% of New Zealanders use marinade regularly (Nielsen Omnibus May 2010), Mars believes there is significant opportunity to develop the category further. Key to developing the potential within this market will be continued product innovation and consumer education about the ease, convenience and product performance of pre-prepared marinades.” In September 2010 Mars launched two new flavours into the Masterfoods Marinade range. To support this launch and to drive category growth over the crucial summer BBQ period Mars invested in both TVC activity and in store demonstrations to drive trial. “Masterfoods will continue to invest to drive market growth in

2011,” says Alexander. (Aztec MAT to 27/03/11.) Masterfoods range of Herbs and Spices has just expanded to include two new large jar blends, Garlic and Herb Salt and Roast Vegetable sprinkle. Masterfoods has a 68% value share of the blends market (Aztec 27/03/11), and is focused on developing their range and continuing to drive consumer trial. Integral to this is the programme of National demonstration campaigns that run in store throughout the year and the New Zealand developed Masterfoods Kitchen commercials that aim to educate consumers on the ease and simplicity of using their range of blends to create fantastic tasting meals.

Heinz Wattie’s Senior product manager Melanie Taylor told FMCG: “Eta leads the Dressings category and is growing ahead of the market (ACNielsen,Total Dressings MAT to 24/04/11). The Wattie’s range of dressings includes: Eta; Eta Gourmet; Heinz; Heinz Seriously Good; and Weight Watchers. Table sauces include Wattie’s;Wattie’s Bit on the Side; Heinz; HP and Lea & Perrins. “Tomato sauce as a Kiwi staple continues to dominate the Table Sauces market,” says Taylor.

Total Bottled & Canned Sauces: $82.757m Val % Chg vs YA 1.5 Total Tomato Sauce: $42.063m Val % Chg vs YA 0.2 Total Speciality Sauce: $14.113m Val % Chg vs YA 2.3 Total Mustard: $8.519m Val % Chg vs YA 5.4 Total Soy Sauce: $6.389m Val % Chg vs YA 2.4 Total Fruit Sauce: $3.577m Val % Chg vs YA 6.4 Total Worcestershire Sauce: $3.268m Val % Chg vs YA -0.1 Total Mint Sauce: $2.513m Val % Chg vs YA -0.5 Total Marinades: $2.316m Val % Chg vs YA 2.2 Total Salad Dressings & Vinegar: $62.577m Val % Chg vs YA 4.8 Total Mayonnaise: $30.599m Val % Chg vs YA 7.3 Total Pourable Dressings: $14.57m Val % Chg vs YA 1.0 Total Vinegar: $10.368m Val % Chg vs YA 6.8 Total Other Salad Dressings: $6.748m Val % Chg vs YA -0.6 Total Dry Salad Dressing Mixes: $291,532 Val % Chg vs YA -2.1 Total Condiments: $61.014m Val % Chg vs YA 2.2 Total Flavourings & Bouillons: $22.335m Val % Chg vs YA 4.2 Total Gravy Mixes: $16.469m Val % Chg vs YA -4.6 Total Meat Extracts & Stocks: $16.903m Val % Chg vs YA 9.3 Total Sauce Mixes: $4.517m Val % Chg vs YA -4.1 Total Meat & Fish Pastes: $762,167 Val % Chg vs YA -3.5 Total Dip Mixes: $26,773 Val % Chg vs YA 9.6 * ACNielsen New Zealand ScanTrack (Databank)

june 2011 FMCG

cate go r y c h e c k The Eta Dressings portfolio was relaunched last season with a fresh new look and clearer segmentation across the range. Among the company’s recently launched dressings are: • Eta Honey Mustard Mayonnaise 250ml • Eta Greek-style Yoghurt Dressing 250ml • Eta Lite & Free Lime & Coriander Dressing 250ml • Eta Gourmet Balsamic Red Wine Vinaigrette 290ml • Eta Gourmet Sweet Chilli & Lime Dressing 290ml. “These dressings have been a great success, contributing nearly $1 million in retail sales since launch in August 2010. As the Dressings market is so flavour-driven, it is important that new variants are launched on a regular basis to keep consumers engaged with the category. As a result, Eta strives to keep abreast of international and New Zealand flavour trends,” says Taylor.

Delmaine’s brands Delmaine Fine Foods is active in the retail sauce market with three distinctly different brands: Delmaine, Boss and Tuimato.While each brand is marketed separately and targets different consumers, they are all made in New Zealand to authentic recipes and under stringent quality standards. The Boss brand is very strong in the South Island where it has been made

since 1931. Featuring a vegetarian option for Worcestershire Sauce and two types of Mint Sauce the range is very much aimed at the traditional market. The Worcestershire Sauce is available in both Spicy and Mild variants, while the mint offers a thicker formula as well as a standard sauce. “Since its conception in late 2007, Tuimato has been a great product. Double digit growth every year since has been proof of the success of the slightly quirky nature of this beer branded tomato sauce,” says Delmaine Fine Foods’ group product manager Micheal Bennett. “The recent summer season saw the product sitting at number five in total sauce sales with dollar growth of over 30% (Aztec QTR to Jan 16).This year will see even more support for this product and the possibility of some new product activity,” adds Bennett. The Delmaine brand includes favourites like tomato and mint, as well as a range of traditional sauces and jellies including apple, redcurrant and plum. Last summer saw the launch of Delmaine BBQ Sauce, a thick rich sauce with a unique NZ twist. “The smoky flavour of Manuka is the perfect complement to the sweet tang of a traditional tomato based BBQ sauce. This product has quickly proven itself in the market and continues to grow moving into winter. Further new products are planned for this coming summer,” says Bennett. There are over 150 brands in the sauce market and there are a number of niche points which further encourage entry, he adds.“We see the likelihood of continued demand and growth for areas such as organics, lite varieties, ethnic flavours and spice/herb combinations. The category has the ability to support these new forays due to the strength of the core products, most of them tomato, which should also continue to grow.”

Alfa One “Alfa One Dressings, Mayonnaise and Aioli are made with the goodness of Alfa One Rice Bran Oil – Alfa One 34

FMCG june 2011

Rice Bran Oil one litre is NZ’s number one selling oil,” says Susan Harvey, senior brand manager, Hansells Food Group. “Alfa One Oil is still experiencing strong growth, growing at 14.4% while the category is flat,” says Harvey. (Aztec data to 20/03/11.) Created in New Zealand, Alfa One pourable dressings feature delicious European flavours crafted from carefully picked ingredients. The Alfa One Premium Pourable Dressing range was recently launched in premium glass bottles in French, Italian, and Balsamic variants.

Asian sauces Acton distributes the Lee Kum Kee brand – a range of Asian sauces including oyster sauce, Hoisin sauce, black bean sauce, ready sauce sachets and soy sauce. Acton also supplies the Kikkoman brand with a range of soy sauces, marinades and sauces, plus the Golden Sun range of sweet Thai chilli sauces. Acton recently launched Kikkoman Gluten Free Soy Sauce 250ml, made of just four natural ingredients: soybeans, water, salt and rice. “It doesn’t contain any wheat or gluten, yet it has the same great flavour as the regular Kikkoman Naturally Brewed Soy Sauce and is available at supermarkets nationwide,” says Acton’s marketing manager Joanne Neville. Neville told FMCG: “Our brands have had some great results over the last 12 months and some of the key highlights included: • The total Soy Sauce Category is growing at 1.8% in dollars and 1.2% in units year on year.Total Kikkoman Soy Sauce is growing at 1.8% in dollars and 1.6% in units. Total Lee Kum Kee Soy Sauce is growing at 52.8% in dollars and 54.3% in units. Kikkoman Gluten Free Soy Sauce is off to a strong start with consumers showing a positive response to a Gluten Free Soy Sauce. • The total Asian Sauces Category is growing at 5.4% in dollars and 8.2%

s a u ces, dressi ngs, condi men ts in units year on year. Total Lee Kum Kee Asian Sauces are growing at 14.7% in dollars and 30.9% in units. The Lee Kum Kee ready sauce range continues to experience strong growth with delicious flavours like Ready Sauce for Coconut Curry Vegetables up +69.1% in dollar sales year on year. • Total Golden Sun Sweet Thai Chilli Sauce is growing at 2.2% in dollars and 4.7% in units. • Total Golden Sun Fish Sauce is growing at 10.4% in dollars and 9.8% in units. “We are looking to launch three new sauce products within the next six months,” says Neville. “The Asian Sauces category continues to experience good growth (up +5.4% in dollar sales and +8.2% in unit sales) driven by both a growing Asian community and increasing use of Asian cuisine,” she adds. Synovate Aztec data MAT to 17/04/11.

Exotic sauces Following significant sales success within the South Island, the Exotic Food brand is now focusing on growing its presence throughout the North Island supermarkets. “We carry a wide range of international food lines imported from various Asian countries,” explains director Tony Mountford. The company is planning to launch Exotic Food Black Bean Sauce 220g

in the next few months, in addition to Exotic Food Hoisin Sauce 455ml and Exotic Satay Noodle Box 340g. More information is available on www.enso.co.nz. “The market for these products has shown excellent growth for us,” comments Mountford. “Consumers are more likely to try varied and different products and appear to be more regularly cooking restaurant type meals at home,” he adds.

High Mark Foods Established over 40 years ago, in 1967, High Mark Foods is proudly a New Zealand family operated business still owned by one of the original founding families.The inspiration for all products is the authentic Asian cooking that their family has enjoyed for many generations. High Mark manufactures all of its soy sauce in its Auckland factory and its range is one of the leading brands of Soy Sauce in the New Zealand market, says Wendy Northin – key account manager at James Crisp – the agents for High Mark. Offering great quality soy sauce at an affordable price, it also continues to improve pack design with a new tamper evident lid and revitalised label and logo due to hit the shelves shortly. There is a definite trend towards consumers purchasing more specialised soy sauce, says Northin. In response to this consumer demand, High Mark is

about to launch a new Japanese Soy Sauce. This light flavoured soy sauce is great tasting and perfect for sushi or fish dishes.

Tatua Quality, innovation and product functionality are just some of the key ingredients in the success of the products manufactured by The Tatua Co-Operative Dairy Company. As one of New Zealand’s few remaining independent dairy companies, Tatua is recognised for its innovative approach to developing specialised dairy products for the consumer and foodservice industries. Tatua has grown to develop, manufacture and market numerous convenient foods products in supermarkets throughout New Zealand and Australia, including Tatua Cheese Sauce, Hollandaise Sauce, Mascarpone and Crème Fraiche, as well as Crème Custard and Tatua Dairy Whip Whipped Cream. In the last 12 months Tatua has launched two exciting new products, including Tatua Sour Cream and Tatua

june 2011 FMCG

cate go r y c h e c k Chocolate Custard. Tatua Sour Cream is the only long life sour cream on the market and is soft and creamy with a distinctive tangy flavour. “It has been pasteurised and aseptically packed, offering the convenience of a long shelf life and minimising wastage,” says Greg Ryan, business manager for consumer products at Tatua. It is also gluten free and contains no preservatives. Over the past few months there has been a change to new freshlook packaging across the range of products.Tatua’s packaging follows the continuing trend towards convenient food products. “The rise in demand for easy-use products has made our range of products increasingly popular. Our packaging is designed to be single-serve, which provides better product functionality and reduces waste,” says Ryan. Tatua’s development team are currently working on more innovative food products.Tatua is also expanding its food production plant, which will double production capacity. “This is a very exciting time for us, and will allow us to manufacture larger volumes and take on more customers in Australia and Asia,” says Ryan. Tatua’s new food plant is due to open within the next few months.

Fresh impetus for Kato Kato established its reputation as a chef-inspired range of condiments, sauces, dressings, pestos and dips over the past 10 years. Now, as part of the LHF stable

FMCG june 2011

of products, Kato is about to be relaunched with new packaging, recipe enhancements and more focus on mainstream consumers. With an array of popular cooking shows on TV, Kato is perfectly aligned and offers the consumer an alternative to the pre-packaged, packet sauces and preserved jars, says LHF’s marketing advisor. Appealing to new and confident consumers who are more discerning in their food choice and seeking fresh flavours, Kato offers products to be used as a dressing or condiment. Kato is bound to bring new flavours to Kiwi plates with LHF and its range of fresh and wholesome foods behind it, with a substantial distribution reach and with greater focus on supermarket lines, plus a newly refreshed range and packaging supported by PR and TV across the country. LHF also distributes the ‘Food By Chefs’ range and has recently launched BBQ Pit – a range of delicious relishes to accompany BBQs, including Tomato with Smokey Red Onion, Caramelised Onion with Roast Garlic, Spiced Moroccan Mustard, and Sweet Chilli with Toasted Spice.

New packaging for Maggi sauces Nestlé NZ category manager Richard Brown told FMCG: “Total Sauces is worth $4.5m* and Maggi is a leading player with 61% of the total segment*. Current Maggi contribution is $2.75m* value sales.” The current Maggi sauce range includes a sauce for most occasions, including variants such as Cheese,

Tasty Cheese (including a gluten free offering), Creamy White, Hollandaise, Cheese & Garlic, Cheese & Onion, Parsley and Cracked Pepper. “While there are lots of flavours to choose from, Kiwis have a love affair with cheese sauce and continue to select this as their most preferred flavour,” says Brown. “Our biggest seller is easily Tasty Cheese (Single/Value Pack) and when Cheese is added to the mix (both Single and Value Pack), it contributes to over 55%+ of total Maggi sauce sales.” Maggi has recently renovated its Tasty Cheese range with a superior and improved flavour which will be in supermarket outlets from June/ July onwards. This will be complemented by new packaging for the entire Maggi sauce range which will assist shoppers and make it easier to navigate and find their favourite variant. “Maggi Sauces are purchased by 276,000 NZ households and on average around 7-8 times per year.** And for most shoppers it makes the list, due to being a strongly planned routine purchase with just over two thirds planning and buying routinely***. * Nielsen ScanTrack Total Supermarket MAT Data to 24 April 2011. ** Nielsen Homescan MAT Data to 24 April 2011. *** NZ Shopper Answers Research – November 2007.

One pot wonders Global herb and spice expert McCormick Foods supplies the following range in New Zealand: • McCormick Slow Cookers • McCormick Rice Cookers • McCormick Produce Partners • New McCormick One Pot. In the past 12 months McCormick has re-launched the vegetable recipe bases, Produce Partners, with new packaging and varieties such as Moroccan Baked Pumpkin. McCormick has also launched new variants within the Slow Cookers and

s a u ces, dressi ngs, condi men ts Rice Cookers range, but the newest offering from McCormick is One Pot – a range of tasty and convenient recipe bases. Before developing the One Pot range, McCormick spent months researching the concept, followed by stringent testing, all resulting in very positive feedback. Consumers were engaged throughout the product development process and their feedback helped McCormick finalise the recipes, instructions, artwork and name for One Pot. As part of the New Zealand launch of One Pot, McCormick has invested in a marketing campaign which includes the re-launch of www. mccormick.com.au with recipes, tips, kitchen resources and videos.

Paul Holmes’ NZ Premium Foods The ingenious use of Kiwi herbs such as horopito, kawakawa and karengo puts Foodies Kiwi Seasonings from NZ Premium Foods in a class of their own.The range consists of Kawakawa and Seaweed, Horopito and Karengo, and Lime and Kawakawa. The nutritious ingredients in these seasonings give them natural infused characteristics to enhance the taste and aroma and they are all made right here in New Zealand. These Foodies Kiwi Seasonings are very unique and cater for allergy sufferers: • NO Additives • NO Soy • NO Preservatives • NO Eggs • NO MSG • NO Peanuts • NO Gluten • NO Dairy • NO Artificial Flavours & Colours. Kiwi Seasonings are incredibly versatile as seasoning for soups, stews, casseroles, coatings for fish, chicken or meat, or simply sprinkled on vegetables or rice. Look out for new Kiwi Seasonings 75g pouches in your local supermarket

very soon: Lime and Wild Basil, Wild Pepper and Seaweed and Wild Basil and Seaweed. Paul Holmes commented: “We’re very proud of these new products and their striking new packaging, as we have worked hard to produce such high quality products.Kiwi Seasonings are nutritious and are totally a taste of New Zealand. They are just the start of what we’re intending in terms of a full range of top quality foods in our Foodies range.” There is also a new range of Foodies Kiwi Vinegars. “A lot of care has gone in to handcrafting these gourmet vinegars. We’ve enlisted the help of well-known New Zealand wine makers whose traditional fermentation methods have helped extract the best flavour from the home-grown fruit we use,” says Holmes. The vinegars come in four delicious flavours – Golden Kiwi Fruit, Red Wine, White Wine and Apple Cider in 250ml bottles – perfect for the home cook.

Grove avocado oils and dressings Consumers are looking for new healthier products and natural products that are supported by the Heart Foundation, says Grove’s managing director Brian Richardson. Grove’s Lime-infused avocado oil is popular as a dressing for salads and was awarded ‘Best Oil for Dressing’ in the 2009 Healthy Food Awards. Richardson says: “For a quick and simple dressing try Grove Limeinfused avocado oil, mixed with lemon juice or white wine vinegar. The oil also makes an ideal sauce or oil for cooking fish and seafood dishes due to its high smoke point.” Avocado oil is one of nature’s superfoods and while it’s higher in healthy monounsaturated fats (proven to lower harmful blood cholesterol levels) than most other culinary oils, it is also a natural source of bioavailable vitamins A, E and D. All Grove avocado oils have the Heart

Foundation Tick. “Using only New Zealand grown avocados, Grove’s oil has a flavour and aroma that is unique to New Zealand, so the dips, marinades, dressings and sauces in which it is used are irresistible,” says Richardson. Grove Chilli-infused avocado oil 250ml was launched in November 2010 and Grove Lemon Pepper infused Avocado Oil 250ml was launched in April 2011. Grove Lime Avocado Oil is available from supermarkets and many gourmet food stores and delicatessens. The range includes: • Grove Lime-infused Avocado Oil • Grove Extra Virgin Avocado Oil • Grove Garlic-infused Avocado Oil • Grove Horopito-infused Avocado Oil • Grove Chilli-infused avocado oil • Grove Avocado Oil Spray Can 200g Grove Avocado Oil was first introduced in 2000. It was the first product of its kind to be sold in our supermarkets and is now exported to Australia and many other countries. The Tauranga-based company’s extensive range of cold pressed extra virgin avocado oils are sold in 340 supermarkets here at home, and in 1500 grocery stores across the Tasman. “Grove is the market leader for producing avocado oil,” says Richardson.

june 2011 FMCG

cate go r y c h e c k

Trendy tresses Natural nourishment, performance and protection are buzz words in Haircare. FMCG discusses consumer trends with some of the experts in this significant category.

rocter & Gamble’s beauty and grooming products delivered sales of over $27 billion in the fiscal year 2009/10, making it one of the world’s largest beauty and grooming companies. The company boasts eight billion-dollar brands and products available in nearly 130 countries. With five brands represented in the Haircare category, Procter & Gamble (P&G) has an impressive portfolio from shampoos to treatments to styling products. P&G NZ marketing manager Denise Gray says the company continues to strengthen as it introduces new ranges to supermarkets shelves. “Our haircare brands include Pantene, Herbal Essences, Head & Shoulders, Wella Pro Series and Nice’N Easy. Over the last 12 months we have had several launches including a Pantene brand re-launch where we also introduced a Night Miracle Treatment and All Day Smooth Treatment,” says Gray. “We also launched Herbal Essences Tousle Me Softly Shampoo, Conditioner and Styling products along

FMCG june 2011

with the Set Me Up Styling range.” Gray says that P&G has had ongoing success with each product launch as it has continued to progress. “In particular, Herbal Essences, Head & Shoulders and Nice’N Easy have been going from strength to strength. In regards to consumer trends, the category has been relatively flat; however there has been strong growth within the treatment subcategory.” Gray says that the company continues to expand its haircare offering with the recent launch of the Wella Pro Series range in May 2011 and the Nice’N Easy Foam range. “Currently Europe’s No 1 salon brand*, Wella will now be available in supermarkets so consumers can get closer to that salon-fresh feeling in the comfort of their own home,” she says. Wella’s new collection has been designed to meet the changing needs of women, with a range of products inspired in salon, using trusted technologies in a compact line-up. *Euromonitor International Ltd; Beauty & Personal Care 2010; as per salon hair care definition; umbrella brand classification; rsp terms 2009.

hai rcare

Garnier and Elvive L’Oréal group category manager Scott McBeath says: “Haircare being a mature category, volume sales have remained relatively stable – up 1.3% in the last year. The opportunity for the category is to find ways to increase the average dollars per litre for product purchased.This can be done by encouraging the purchase of treatments as part of the haircare regime. Treatments on average are three times the value of a shampoo or conditioner and are growing by 5.1% in the latest year (Aztec Grocery MAT to 24/04/11).” L’Oréal supplies both the Garnier Fructis and L’Oréal Elvive brands. “In 2010 L’Oréal launched Elvive, which is the No 1 selling haircare brand in Europe, and offers tailor-made technologies for every hair type,” comments McBeath. He adds: “Elvive is the fastest growing brand in the market, with $3.2 million in sales since its launch in June 2010. Elvive is helping to drive category value by creating consumer awareness around the importance of treatments in the daily haircare regime. The average dollars per litre are at a 66% premium to the category average adding much needed value back into the category and to retailers’ sales. McBeath says: “It is now established as the No 2 brand in treatments with 21.5% share of this segment (Aztec grocery value share of total treatments YTD 24/04/2011).” He adds: “Elvive will continue its support of the category with television media moving to the Colour Protect franchise. Colour Protect is the worldwide No 1 in coloured haircare (ACNielsen volume & value sales Jan-Dec 2009).” Fructis has some strong innovation coming in 2011, with the return of an old favourite as well. Fructis Sleek & Shine franchise welcomes back the Serum which was the No 1 selling treatment in New Zealand back in

THE BREAKDOWN 2008 before it was deleted internationally. “Along with this product we are also launching the Fructis Sleek & Shine Thermo Active, a salon-inspired heat-activated product to reduce damage and protect hair from heat styling,” explains McBeath. Both of these innovations will put some fizz back into the anti-frizz segment. Fructis is also launching the new Pure Shine franchise, delivering an entirely natural experience with no silicone, no parabens, no colourants – all that in a 92% biodegradable formula.

Simple McPhersons New Zealand has been distributing the Simple range since 2005. Simple has a full range of facial skincare and personal care products available through the grocery channel. “Simple is the No 1 skincare brand in the UK and is punching well above its weight in terms of performance in the NZ market,” says brand manager Fiona Rush. “Well known for its facial cleansing wipes (No 1 in New World Auckland unit sales MAT 6/4/2011) and soap, Simple has a much bigger story to tell. We have seen year on year growth in both the shampoo and conditioner with 29% unit sales growth for the conditioner and 43% unit sales growth for the shampoo over the last three years,” she explains. Rush adds: “With the heightened awareness from consumers about ‘what is in my product’, Simple is positioned perfectly to capitalise in this growth area of organic and natural products. While targeted predominantly at the female audience, we find that the personal care products – shampoo and conditioner, deodorant and the soap – are popular with both men and women. “Simple has a strong point of difference: no perfume, no colour, no unnecessary ingredients, so it won’t upset

Current MAT to 24 Apr 2011 Total Haircare: $132.7m Val % Chg vs YA 0.4 Total Shampoo: $50.249m Val % Chg vs YA 1.5 Total Conditioning Aids: $36.237m Val % Chg vs YA 0.8 Total Hair Colourants: $25.49m Val % Chg vs YA 0.7 Total Hair Styling Aids: $11.19m Val % Chg vs YA -7.4 Total Hairspray: $6.242m Val % Chg vs YA 0.2 Total Hair Treatments: $2.687m Val % Chg vs YA 9.3 Total Hair Creams: $605,022 Val % Chg vs YA -7.3 * ACNielsen New Zealand ScanTrack (Databank)

your skin,” Rush says. “It is dermatologically tested and approved. Because there is no perfume or colour, the chance of allergic reaction is heavily reduced because they are known as key irritants for people with sensitive skin. “Simple Gentle Shampoo and Gentle Conditioner can be used every day without irritating your scalp.” Enriched with Pro Vitamin B5 and PH balanced, the active ingredients in the shampoo and conditioner include calendula, chamomile and geranium. june 2011 FMCG

cate go r y c h e c k Schwarzkopf on trend Schwarzkopf supplies the following brands in Haircare. • Shampoo & Conditioner: Extra Care • Treatment: Extra Care – No 1 in treatment brand in NZ Market* (leave-in conditioner, SOS treatment, hair masks) • Styling: Extra Care – (hairspray, mousse, gel) and Taft (Gel and Wax, Hairspray, mousse) • Colourants:Brilliance,Palette,Essential Colour, Perfect Mousse (foam colourant), Coloriste (10-minute segment), Nordic (Blonding), Men Perfect. *Aztec grocery market data, Qtr 10/4/2011.

Priscilla Khor, brand manager – Schwarzkopf Retail, told FMCG: “New products are drivers for growth in this market with new packaging, new technology and a new product format – to satisfy consumers’ wants and desires! Palette Colour had a relaunch in 2010 with new packaging and ingredients. We also launched two new skus of Taft Full-on Styling products – Waterproof Power Gel and Maxx Power Glue Wax.” According to Khor, Schwarzkopf’s most recent launches include: • Perfect Mousse Foam Colourant – first to market in NZ grocery – Schwarzkopf first permanent mousse colouration with 0% ammonia. • Extra Care relaunch with new Liquid Keratin Technology – first to market in NZ grocery – a new repair technology to repair hair inside and out! The hero product is Extra Care Ultimate Repair which has three times the Liquid Keratin in it hence it is three times more powerful! • Extra Care Styling with Ultimate Repair Hairspray and Mousse. Khor says: “Palette is one of the fastest growing colour brands in the VFM segment (+13.6% growth MAT; Taft is one of the fastest growing brands in the declining styling market) +1.1% growth vs total market declining at -5% MAT; and 40

FMCG june 2011

Perfect Mousse, launched March 14, achieved 2.2% value share in the latest quarter report, which is a great result!” *Aztec data ended 10/4/2011 Khor adds: “Taft Full On will have a new look with a star product never before seen in the grocery market – Taft Full On Powder.This first to market in grocery is an innovative styling product in powder form.” She says: “From our research and trend watch, we have noticed the following consumer trends. Nature and nutrients – with increasing trends towards nourishment across all categories; textures and ingredients going more natural and botanical/essential oils for rich textural effects.” Another trend is performance and protection, from repair to even deeper nutrition for haircare; high performance formulas; the influence of precious ingredients also increasing in haircare and protection from external influences. Convenience is still key with ‘quick and easy’ solutions without compromising on the result, and ‘all in one’ – one formula that solves a number of problems.

MIX MIX managing director Anthony Gadsdon, told FMCG: “Dominate continues to lead the market in innovation; it’s this innovation in both product and marketing support that is its secret to success in the market. Dominate Waxx remains the No 1 styling product in NZ, with Dominate Rok Wax a close No 2.” Dominate won ‘Best Hairstyling Brand of the Year’ in the recent Australian FHM Grooming awards – a huge win for a New Zealand developed and made product. The Dominate range has recently gone through a packaging refresh, with a new design that is more in line with its salon heritage. MIX recently launched Dominate defi Putty, a pliable moulding cream ideal for medium to longer hair styles.

This unique formula maintains a touchable shape and delivers super cool texture with performance that is comparable with best selling salon formulas. Also new to the Dominate range is Extreme Hold Hairspray. This super hard hold hairspray will freeze any hair style whether you wear your hair structure spiked, smooth or messy. It can be used in conjunction with any Dominate styling product – Hold Factor 5! “Hairspray is one of the few styling segments showing growth at 1.3% and Dominate Extreme Hold Hairspray caters specifically for guys,” says Gadsdon. He adds: “Through market research and extensive focus groups we discovered that more and more guys are using hairspray... although some took a while to admit it! In line with latest hairstyling trends, hairspray is being widely used in addition to styling products to give maximum hold. A dual-purchase opportunity is always great news for the category and for the retailer.” *Aztec MAT to 10/04/11

BDM Grange BDM Grange brands in supermarkets include TRESemmé, VO5, Andrew Collinge and Alberto Balsam. Among recent launches is TRESemmé Fresh Start.This range of waterless shampoos and styling products is the perfect solution to clean hair without water any time. Another recent launch is the TRESemmé Naturals range of shampoos, conditioners and styling. This range is a low sulphate cleansing alternative which contains USDA certified organic extracts and is paraben and silicon free. VO5 Extreme Style Matt Gel and VO5 Extreme Style Matt Paste are also new – ultimate hour hold for long lasting styles with a matt finish and ideal for texturising and shaping without shine. VO5 Wet Look Gel creates wet look styles with a firm hold and Andrew

www.dominatehair.com

*At Dominate we like the kind of people that donâ&#x20AC;&#x2122;t just do it - they DOMINATE it. So if you are going to pout, then OWN that pout chipmunk man.

cate go r y c h e c k official haircare sponsor. “Overall, BDM grange is pleased to see some great results coming through from our brands, which is contributing to our position as No 2 haircare manufacturer (Aztec 6mth and MAT data TKA),” says Jaray. Collinge Purity is a salon performance range of shampoos and conditioners combining natural proteins with exotic botanicals and fragrances. “TRESemmé is now the No 4 haircare brand, with TRESemmé styling up 17.2% versus YA*,” says group brand manager Lizzie Jaray. She adds:“VO5 is the No 3 Haircare brand, and remains the No 1 Styling Brand at +6.3% vs YA*, with the Extreme Sub-range +18.9% vs YA*. Andrew Collinge Care is up +26.5% vs YA*.” *Aztec 6 month data 27/03/11 TKA

Jaray says: “Hairsprays are the biggest styling segment, and consumers are always looking for new innovation and excitement, particularly with the saloninspired look and feel. They look for a choice of products that will give them the diversity and flexibility for the style they are looking to create. Different hairsprays for different occasions, from flexible to strong hold, and from wet to dry applications.” In terms of new launches, she reveals: “TRESemmé is extending its salon heritage to include two new dry hairsprays as used by many professional stylists – TRES Two Ultra Fine Mist and TRES Two Extra Hold. “TRESemmé and VO5 are both introducing Lacquers into their stable of hairsprays – these represent the ultimate hold and shine products for softly structured styles. “VO5 is also launching a Mousse and Hairspray to give extra volume and lift to styles. All VO5 styling products have humidity protection technology, something of particular interest here in NZ.” TRESemmé’s new hairsprays were first used backstage at the recent successful New Zealand Fashion Festival where TRESemmé was once again the 42

FMCG june 2011

Helena and Create Havoc Create Havoc was relaunched in all grocery accounts in early 2011 with new branding and packaging. The original Create Havoc packaging was white with primary colours which didn’t really appeal to the target market – male shoppers ages 15-25. The products have been repackaged in black with cool white labelling and primary colour graphics to attract attention on the shelf. This NPD, along with a targeted marketing campaign has resulted in a resurgence of the brand. Create Havoc is priced as a budget brand next to its competitors, however with its superior formulations and scents based on high end colognes it offers very good value for money, says a brand spokesperson. Helena offers two hairsprays and four gels, which are available in most supermarkets nationwide. Competition in this market can be fierce with many brands developing budget gels and sprays, however Helena products maintain constantly high sales due to their low prices and icon status, comments the spokesperson.

Lady Jayne For over 70 years, Lady Jayne has offered consumers a comprehensive range of quality brushes, combs, styling essentials and hair accessories, to help them create a different look every day. Bobby pins, hair rollers, elastics, claw-grips and headbands are just a few of the products available within the Lady Jayne styling essentials and accessory range. Lady Jayne was

introduced to the Australian market in 1928 and rapidly grew to its present position as market leader in hair accessories. It has recently gone through a re-brand with changes in packaging and new and exciting products recently launched into the grocery market. • Lady Jayne Premium (New World offering) High performing, core hair accessories packed in Blue,White & Grey recyclable PP packaging, giving a more contemporary look. • Lady Jayne Everyday (Pak’n Save offering) A lower price range of hair accessories packed on eye-catching pink card with distinctive flower design refreshing the look and feel of the product. • Lady Jayne Beauty A comprehensive range of beauty implements that complements both Premium and Everyday hair ranges. • Lady Jayne Fashion A dazzling range of 13 stylish hair accessories rotated every six months, on specifically designed Silver PP Card with silver metallic finish enhancing the product offer. • Lady Jayne Princess An adorable range of 16 gorgeous kids’ hair accessories – headbands, bobbles, elastics and bobby slides, which are rotated every six months, packaged on cute pink PP packaging. Marketing brand manager Rebecca Weber says: “Lady Jayne has a commitment to excellence and produces products that are of exceptional quality and value for money. All products are backed by a 100% guarantee of complete satisfaction. Lady Jayne is your one-stop-shop hair accessory and styling implements solution.”

gs1

Bar beats dot to future of retail information Keith Stewart talks to Australian Food and Grocery Council technology advisor Philip Corbet. GS1, the organisation that manages barcodes across the whole retail sector, has stolen a march on RFID competitors by utilising the smartphone phenomenon to turn existing barcode facilities into a state-of-the-art retail information system. After years of development by GS1, the system will soon be available in Australian and New Zealand retail outlets, according to Australian Food and Grocery Council technology advisor Philip Corbet. Corbet was in New Zealand this year to bring local retail and NZ Food and Grocery Council executives up to date with developments. Basically the current barcode technology is being upgraded to access a newly expanded database via smartphone technology triggered by existing in-store barcodes on retail goods. The greatest advantage of the new system, according to Corbet, is that it is capable of providing any level of information consumers may demand, now or in the future. This is as well as delivering sharp management tools to retailers who want fully integrated electronic stock control and check-out facilities, without having to spend a fortune on equipment and management upgrades. “Customers will be able to find out if company X is getting their palm oil from a certified supplier or is involved in destroying rainforests,” Corbet says. “Any value added information that consumers may be interested in, such as this, can be carried by the new database and delivered to existing smartphone technologies. It is very much an enabler of the customer-business interface,” he adds. GS1’s determination to adapt to the demands of consumer information and to meet the challenge of new information technologies, such as Radio Frequency Identification (RFID), has evolved the barcode system from being a potential casualty of technological change into a virtually futureproof leader. Such advanced systems as fully electronic stock control and checkout free shopping that were promised by the development of RFID are now very much potential developments of the barcode system. This will take some more development, Corbet admits, but whatever the demand by consumers, or food label regulators, can be incorporated in the existing system. “The initial phase is core information, such as price,

Keith Stewart, writer at large for Mediaweb’s food group.

allergy warnings, nutritional information and environmental concerns. That is the core of the database now. As we get to further phases it becomes more sophisticated,” he says. One of the advantages of GS1’s barcode operation taking this step is that the credibility it has gained serving the retail sector with accurate pricing and tracing data for a number of years becomes a feature of the development. The credibility is delivered exactly the same as price information is delivered through GS1. It is not a different system, emphasises Corbet. The scope of this adapted system is remarkable, addressing such key problems as the need for extensive information without being constrained by limited label size, or substantial staff retraining.There is also the wider social advantage of making the database of customer behaviour potentially accessible to public health researchers, so it becomes a powerful analytical tool. The system provides four areas of service, the initial one being retail support in terms of price and stock control. Then there are two levels of consumer information, the first being health related such as allergy and nutrition data, and the second an extended profile of goods that can improve customer experience. Finally there are the regulatory requirements that include volume, minimum standards and contents. As the system develops all of this is carried in a simple barcode that is on the surface no different from existing barcodes. Corbet expects the first operator to be using the system by August this year.

june 2011 FMCG

Stay ahead Mark Gavin explains how to use social networking sites to promote your brand and considers intellectual property issues.

ocial networking technology is increasingly becoming part of New Zealanders’ lives and, as a consequence, it has opened up new opportunities for companies to trade and market their brand. Many businesses are seeking to capitalise on the benefits offered such as increased business visibility and more efficient and direct consumer targeting. However, while popular social networking tools such as Facebook,Twitter andYouTube are now seen as viable marketing platforms, caution is also needed due to the lack of control surrounding such sites and the new forums they have created for the potential misuse or misappropriation of intellectual property rights. In particular, Facebook is progressively being used by businesses either for advertising or through establishing company pages, and in some cases it has become an integral part of their marketing strategy. Through creating a company branded Facebook page, this can be a cost-efficient way to engage in dialogue with users as they can become “fans” of the page, receive updates and regularly participate by leaving comments on the Facebook page.This not only helps to build closer relationships with existing customers, but it also allows such individuals to spread the message for free on the company’s behalf by sharing the page with friends, thus also

FMCG june 2011

featu re

of the pack! leading to increased brand awareness amongst potential customers.

Do you tweet? Twitter is gradually being used more by businesses to leverage their brand. Although the platform has not been around for very long, it works in real time and the message (limited to 140 characters) allows for direct and current information to be communicated. One downside in relation to the speed and reach of such social networking tools is the potential for information that is unfavourable to your business or campaign to spread like wildfire. Although companies can create and moderate their official Facebook pages, they do not have control on groups or community pages and equally with Twitter, one cannot control someone who makes disparaging or ill-motivated comments about your brand. For example, if your product has failed or a service has been poor, others may pick up on these negative comments as soon as they have been posted.This can lead to a lot of damage to your brand and business reputation if such comments are left undefended in a relatively short period of time. Likewise if a user were to post a potentially defamatory comment then issues could arise. Even if your business does not have an online or social networking presence, brand owners are encouraged to regularly monitor the social networking scene to mitigate any adverse customer reactions.

In addition, social networking also creates new realms for the exploitation of intellectual property rights. Brand owners need to be aware of the potential for their trade marks or copyright works to be misused or misappropriated on social networking sites either by individuals or competitors. However, the good news is that user-friendly and cost-effective mechanisms to protect your rights via these platforms are generally available. For example, Facebook has implemented a “take down” system by filing a “Notice of Intellectual Property Infringement” online (see www.facebook.com/ legal/copyright.php). All that is required is for rights holders to provide some basic information about the owner of the rights at issue, which normally results in the removal of infringing content and in extreme cases termination of the infringing user’s account. Twitter and YouTube also have a similar process for complaints against trade mark and/or copyright infringement (support.twitter. com/; www.youtube.com/t/ copyright_notice). While these types of self-help assessments are generally speedy and cost efficient, the flipside is that such take-down procedures remove or disable access on the basis of allegedly infringing content with no need for a legitimate proof of right. Therefore, this could also potentially work against you in terms of people creating baseless claims, although in the majority of cases they do provide for a chance to respond to any al-

leged claims against you. Even if you do not have a presence in the online or social networking arena, ignoring this media space completely may not be wise. For example a “Twitter Handle” is the name chosen to represent an individual or entity on Twitter. If you haven’t already registered a Twitter account in the name of your business or trade mark then this could be taken up by someone else and used for unfavourable purposes. As it can be hard to find out exactly who is behind a Twitter Handle, it is a good idea to reserve this in the first place and even if you don’t intend to use it, you can display a “holding” message. Overall, marketing and branding in the social media space has opened up new opportunities but these have come hand in hand with new risks. If your company doesn’t already have a social network strategy, perhaps it is time to start thinking about whether your business would be advantaged by one. It is also generally recommended that a brand owner puts a system in place to regularly monitor social networking activity to ensure that any misuse is discovered early and the appropriate action can be taken. Mark Gavin is a partner at law firm Hudson Gavin Martin, which specialises in intellectual property and technology law. Email: mark.gavin@hgmlegal.com. Also contributing: Stephanie Melbourne, solicitor of Hudson Gavin Martin.

Marketing and branding in the social media space has opened up new opportunities but these have come hand in hand with new risks. june 2011 FMCG

Top tips for

international

rade fairs offer lucrative new opportunities for exhibitors and visitors. This year’s World Organics Trade Fair BIOFACH in Nuremberg for example, boasted 44,591 visitors from 128 countries. Thousands of natural products were on display and 26 countries presented their organic wines to professional buyers from the wine and catering trade. A gold medal winning New Zealand 2006 Pinot Noir, Richmond Plains from Nelson, impressed so much that it was served at an international press lunch at BIOFACH. To find out how your company can benefit from these international events and what you need to know to plan your visit, FMCG talked to trade fair expert Monique Surges, ceo of the New Zealand German Business Association (NZGBA). What is your role at the NZGBA? I wear about a zillion different hats! My main role as the official German Trade Commissioner is to foster trade links between New Zealand and Germany. Now I must stress we are interested in the bilateral trade relationship, so it is just as important to us to help a New Zealand company trying to find a foothold in Germany as it is to help a German company introduce their product in New Zealand. I have a small team of experienced staff and when necessary we can access our major network of German Chambers around the world and regionally in Germany.

Food industry exhibitors meet with new clients at a recent trade fair.

FMCG june 2011

Why are international trade fairs important for the New Zealand FMCG sector? International trade fairs are traditionally the launching platform

for new products – in any sector. In the case of food products I think this is even more crucial as we really are talking about a sensory product – taste, appearance, smell are all important selling points that need to be transmitted to the buyer. In fact there are different platforms to consider in this sector – take kiwifruit for example.To sell kiwifruit in Germany consumers needed to be educated how to eat the fruit before demand was created – so one of the launching platforms for this was‘Green Week’, a public fair in Berlin. Now, much further down the track, Zespri can focus on the trade buyers so the platform of choice is the international trade fair Fruit Logistica. Who should visit – and who should consider exhibiting? The first rule of thumb is: are you buying or selling – please do not go to a trade fair as a visitor with a view to trying to sell your wares.This is a totally unprofessional approach and damages not only your company’s reputation but the country’s reputation as well. Companies producing a product for export are the logical exhibitors. Ideally, supporting them on the stand should be a network of their global sales team. How can the NZGBA help with a planned visit to a trade fair? If a company is looking at attending a show for the first time there are numerous pitfalls to be avoided. The first question is: which trade fair – there are so many and the differences can sometimes be very subtle, so we try to get a better understanding of what the company is looking for and send them links to potentially relevant shows to

Q&A

trade fairs

At Biofach 2011: Michaela Schobert, export manager for Maintal Konfitüren GmbH and Monique Surges, ceo New Zealand German Business Association (on the right).

check out first. Accommodation is notoriously expensive at trade fair time in Europe so one of the areas we focus on is providing links to more reasonably priced, well located accommodation. Visiting a show for the first time is daunting and can be a complete waste of time if there has been little preparation done prior to the show.We generally walk newcomers through the online exhibitor directory and encourage them to make as many appointments as possible ahead of time. Members of the NZGBA, making a first approach to a German company can also obtain a letter of introduction. Never underestimate traditional methods in Europe! Your top tips for first time exhibitors? Assuming you have well and truly researched that this is the most appropriate show to attend ... • come and talk to me • go and talk to other NZ exhibitors

about their experiences – we often connect people, even if their products are quite different - the mistakes that can be made are generally the same • long-term planning is absolutely essential – plan an investment over at least three cycles of the trade fair • register before the deadline • pre-marketing is key – get some research done, have a list of potential targets compiled and tell them all about your company, the product and then what show and which stand they can visit you on – encourage them to make an appointment on the stand • plan your follow up procedure before the show. What are the recommended ‘planning time-lines’ for visitors and exhibitors? For an exhibitor the timelines are 12 to 13 months out. Register and then while you wait for the stand offer get onto researching potential targets. Once a stand offer has been accepted, book your accommodation.

Now take time to consider the most effective stand design and obtain a number of quotes. Then, three to four months prior to the show, get the pre-marketing machine into gear. At this stage you should also have worked out who should actually be representing you on the stand and airfares should be in place. For a visitor – book airfares and accommodation as far out as possible – I know buyers who put a deposit down for their rooms 12 months out, whilst they were still at the previous show. Then, three to four months out, start checking the online exhibitor guide and approach companies you would like appointments with.Always purchase your trade entry passes in advance – they are cheaper and this saves you time when you get there. Which trade fairs are most significant for the New Zealand food and beverage industry? I can only talk about the shows run by German trade fair organisers – for the fruit & veg sector it’s definitely Fruit Logistica and Asia Fruit Logistica. For the wine industry, Prowein for the finished product, and Intervitis Interfructa for wine production technology. IBA is probably the most important show for the bakery sector and ISM is the one for the confectionery sector. The trend seems to be moving away from the big generic food shows such as Anuga and is now more focused on specialised shows. I certainly recommend having a look at the German trade fair database www.auma-fairs.com. • Monique Surges, ceo New Zealand German Business Association. june 2011 FMCG

news VoucherMob: ‘Best Start Up’ at Hi-Tech Awards Smartphone mobile voucher company VoucherMob won the Ministry of Science & Innovation ‘Best Hi-Tech Start-up’ category in the Hi-Tech Awards held in Wellington in May. VoucherMob is a user-friendly app that delivers discount vouchers direct to shoppers’ smartphones (iPhone or Android), who then select from a list of retailers to get exclusive offers sent direct to their phone. The geo-location capability also means that when shoppers are near a nominated store they are automatically alerted to the latest deals – no need for checking. Voucher redemption is easy; just show the phone to the retailer to receive the discount. The VoucherMob app is a low-cost m-commerce (mobile commerce) function managed by retailers themselves, allowing them to set the price, duration and quantity of offer on a store-by-store basis or across a territory. VoucherMob’s analytics allow retailers to push real-time offers to hot prospects, track sales conversions and access superior market intelligence about consumer market behaviour. “It’s a great way for shoppers to save money and a fantastic sales tool for retailers – a really powerful call to action that is cost effective to run, generating virtually instant sales and a tangible way to track the effectiveness of digital marketing,” explains VoucherMob chief executive Scott Bradley. “We see our role as providing the technology to enable a closer relationship between the retailer and consumer. “Winning ‘Best Start Up’ just when VoucherMob is about to embark on expansion into Australia is acknowledgement that we have a product that people see value in and is also a moment for our team to reflect on the great work that’s been achieved to date.” The NZ High-Tech Awards were established in 1993 to advance the growth and success of New Zealand’s hi-tech industries.

The Ministry of Science & Innovation’s Mark Gallagher (left) presents the award to Scott Bradley.

The judges said they were impressed with how VoucherMob had identified a real market need and a value proposition for those needs. They also like the innovative approach to its business model, calling it a humble, competent, considered and reflective learner. The panel of 48 judges included Dell founder Michael Dell and Cisco’s svp Howard Charney. l

Asia Fruit Logistica tickets available now The online ticket shop for Asia Fruit Logistica, Asia’s leading trade show for the fresh fruit and vegetable business, is now open. The trade show will be held on 7-9 September 2011 at the Hong Kong Convention and Exhibition Centre and will once again offer trade professionals the best possible chance to further their business in the lucrative and exciting Asian market. An incredible 4100 buyers and trade visitors from 60 countries met at Asia Fruit Logistica

FMCG june 2011

2010 ready to do business. “Leading fresh produce professionals see Asia Fruit Logistica as the key business event for the Asian fresh produce market, because it offers the most effective opportunity to find new products, suppliers, and buyers, as well as meet with existing partners,” says Gérald Lamusse, managing director of Global Produce Events GmbH, the organiser of Asia Fruit Logistica. For more information and online bookings visit www.asiafruitlogistica.com l

Wellington

GLUTEN FREE FOOD

try from EVERY en ill ticket sold w een Coeliac ar be sh ed betw d Allergy an New Zealand support to d, an New Zeal work their charitable ity. un in the comm

& ALLERGY SHOW

Z LERGY.CO.N L A N E T U L W.G E GO TO WW EMINAR TIMETABL S FOR

Saturday & Sunday 10am-5pm

9-10 July 2011

TSB Bank Arena, Queens Wharf REN ONLY CUHNILDDER 5 $10 FREE entry

MAJOR SPONSOR

Check out the latest products Attend the expert seminars Free samples and discount offers

SUPPORTED BY

news New age shopping Silver Fern Farms has found favour with shoppers by taking a range of export quality New Zealand lamb and venison cuts, and making them available to New Zealand consumers at home. Now the company has launched a new interactive website where red meat lovers can explore a world of inspiration,

have shopping lists sent to their mobile phones, share recipes with friends and family via social media sites like Facebook and Twitter and sign up for recipe ideas emailed each month. Consumers who are stuck for dinner ideas and need a little inspiration can find simple and convenient new recipe ideas for lamb and venison with an international twist by signing up to www.bestcutsbestrecipes.co.nz. l

Apply now for 2011 health & safety awards Entries for the ‘3M Award for Innovation in Health and Safety’ are being sought – the award is open to those helping to improve health and safety in the New Zealand workforce. The ‘3M Award for Innovation in Health and Safety’ is in its ninth year and aims to promote excellence in health and safety, rewarding the commitment, innovation and challenge of improving health and safety for New Zealanders. To be eligible to enter candidates must be working in health and safety, or be a company representative. The Gold Award Winner will receive $3000 towards professional development, with the Silver Award Winner receiving $1000 and Bronze Award Winner receiving $500. Saya Wahrlich, 3M group general manager, safety, security and protection services says she is looking forward to seeing the entries put forward for this year. “The issue of workplace safety is a wide one and crosses many industries – from heavy construction and manufacturing sites to call centres or other office environments. Workplace injuries, no matter how minor, have a heavy impact on business productivity, not to mention discomfort to employees,” says Wahrlich. The award judges how well a person, or an organisation, has put in place innovative initiatives that achieve great results in improving health and safety in the workplace. This year’s award is run in conjunction with the Occupational Health & Safety Industry Group (OHSIG), and the three finalists will present their entry at the OHSIG Conference that is being held in October in Wellington. l

FMCG june 2011

The closing date for applications is 5pm, Monday 26 September 2011. These can be submitted to 3msafetynz@mmm.com, alternatively written entries can be posted to 3MNZ Ltd, PO Box 33-246, Takapuna, North Shore, Auckland 0740. For more information on the award contact 3M New Zealand on 0800 364 357.

n ews Print awards for Cadbury, Colemans and Colossal Lashes Among the winners at this year’s Pride In Print Awards was a cleverly-designed and perfectly created Cadbury chocolate box, made by Amcor Cartons of Christchurch. Entered in the carton board packaging section, the Cadbury Milk Tray 200g box features satin and spot UV coatings, and silver foiling with embossing moulded to the contours of the chocolates. Packaging judge Laurie Lark said the design concept made sure the structural design protected the product at the same time as the graphics appealed to the buyer. “Good packaging has to be fit for purpose. It has to do the job for which it is intended. “This box does just that and it is very well-produced. It was difficult to do. It had embellishments including embossing and die cuts, and had to go through the press six times. Plus the printers had to get the Cadbury’s purple just right, which is no easy task. Excellent registration and very effective design have combined to create a superb piece of work.” Waka wins labels prize A wine label featuring a waka paddle, delicately embellished with gold foiling won the Labels Category Award for Auckland company Panprint. The Totara Sauvignon Blanc 2010 wine label was described by judge Bill Ashworth as a very fine piece of stochastic screening, in which the dot size and distribution pattern of the screen yields cleaner and more vibrant colour. The stock used is textured and printed in four-colour process with added embellishments such as the foiling. “It is a very fine and clean example of a good wine label,” said Ashworth. The Totara Sauvignon Blanc 2010 label was printed for Endeavour Vineyards. Point-of-sale stands out Meanwhile, a point-of-sale promoting beautiful eyelashes and a backlit display print making burgers look succulent shared the Display Category honours at the Pride In Print Awards. The Maybelline Colossal Lashes stand printed by APC Innovate of Manukau vied with the Kings Collection Translite Honey Mustard Tender Crisp display created by Admark Visual Imaging of Hamilton. The eyelashes stand was created as a point-of-sale marketing tool. It was offset printed on fibre board with corrugated inserts and was couriered out as a made-up stand to individual shops, inclusive of an eyelash brush as part of the display. The board had to have a 3D effect to complete the impact required. Judge Bill Ashworth said it was a very appealing design that

showed no flaws in the transitions between the colours. “There is an amazing match in the purples created by spot colour and in the tricolour mix.” Judge Chris Knuckey said it was flawless screening and the construction was robust and solid. The Maybelline Colossal Lashes stand was created for L’Oréal NZ with APC Innovate the reproduction house and print finisher. Carter Holt Harvey supplied the Pasted Formakote stock. Colemans T-shirts a winner A New Zealand screen printer has shown that major runs of T-shirts with superb levels of quality can still be achieved in New Zealand. Seabreeze Fashions NZ of Orewa won the Specialty Products Category with its shirts depicting ‘The Colemans – A Countdown Story’, supporting the television advertising campaign. The T-shirts were printed in five colours on the front and three on the back and sleeve. A high degree of skill was required and the result was beautifully executed. Judge Chris Knuckey commented: “It is unusual to see screen printed T-shirt runs of more than 4000 to 5000 these days. Those types of quantities generally go offshore. But this 12,500 run was produced locally, because the customer required changes and control right up to the last minute, and the printer has shown that we can achieve the very top levels of quality. “It is fantastic to see a job of this quantity and quality retained in this country. “Technically the job would require constant monitoring and adjustment on the fly, indicating a very high degree of skill.” The Colemans – A Countdown Story was created for Progressive Enterprises, with Novelli Trading the print buyer and Ogilvy the designer. Seabreeze Fashions was the reproduction house, and Novelli Trading supplied the stock. l june 2011 FMCG

Coca-Cola’s The Coca-Cola Company is celebrating its 125-year anniversary since the first Coca-Cola beverage was enjoyed on May 8, 1886. The Coca-Cola Company is the world’s largest beverage company, refreshing consumers with more than 500 sparkling and still brands globally. Together with Coca-Cola, recognised as the world’s most valuable brand, the company’s portfolio includes 14 billion-dollar brands, including Diet Coke, Fanta, Sprite, Coca-Cola Zero, glacéau vitaminwater and Powerade. “Globally, we are the No 1 provider of sparkling beverages, juices and juice drinks and ready-to-drink teas and coffees,” said a spokesperson.

FMCG February 2010

To commemorate the milestone and reflect its relevance in popular culture over the past 125 years, Coca-Cola has created an online 360degree virtual museum which uses new technology to bring to life some of the never seen before Coca-Cola archives. Coca-Cola is also inviting consumers to upload images of their own Coke memorabilia and to share stories of their favourite items. People can access the site at www.theverybestofcoca-cola.com. Celebrating more than 50 years in New Zealand Paul Fitzgerald, general manager, Coca-Cola Oceania said: “We have

L-R: Ken Langthorn, CCA Australia, Muhtar Kent, chairman of the board and ceo of TCCC, Defne Kent, Tony Watson.

big milestone been operating in New Zealand for over 50 years. Over this time the company has grown from strength to strength. “2011 is shaping up to be one of the biggest years yet for Coca-Cola Oceania, with our involvement as the official supplier for Rugby World Cup 2011, sponsorship of the All Blacks and some exciting consumer experiences that we look forward to revealing in the next few months.” New Zealanders are also being encouraged to visit Facebook and embrace the Coca-Cola heritage by putting their own face onto a retro Coca-Cola poster. “The Facebook app is free and

enables you to put your own face onto a retro Coca-Cola poster. You can then use it as your profile picture or share it with your friends on Facebook,” adds Fitzgerald. Coca-Cola is the world’s most valuable brand with more than 1.6 billion servings in more than 200 countries every day. Celebrating 125 years of Coca-Cola at the official birthday celebrations in Atlanta were Coca-Cola Amatil New Zealand staff member Tony Watson, South Island delivery manager with Muhtar Kent, chairman of the board and chief executive officer of The Coca-Cola Company (pictured above). l

Did you know . . . • Coca-Cola was first created on May 8, 1886 in Atlanta, Georgia by Dr John S Pemberton and first served at Jacob’s Pharmacy. • The world famous Coca-Cola logo still found on the bottle today was created by John S Pemberton’s bookkeeper Frank Robinson in 1886. • The Coca-Cola Company is the world’s largest beverage company.

june 2011 FMCG

Coffee to go Nothing beats the aroma of fresh coffee to get customers in the door and having a coffee-to-go option in your store is an effective way to maximise your customers’ per-head spend. However, with so many mindboggling coffee options available these days, from high tech espresso machines in various shapes and sizes to franchises and vending solutions, it pays to shop around and educate yourself about the offers and prices in the market. Start by talking to some of the people in the local coffee business, compare notes, keep in mind the current amount of foot traffic in your store, how much coffee you are likely to sell and, importantly, work out the expected return on investment. Coffee bean prices have risen to all-time highs recently, not only in New Zealand, so do your research before you decide on the most suitable coffee-to-go offering for your business.

Serve coffee like a pro The Wild Bean Cafe brand is one example of a successful concept, which was introduced to New Zealand in 2005 when the existing Cafe Zips were reformatted to become part of the global network of Wild Bean Cafes. At the start there were 36 of these cafes in New Zealand but that figure has more than doubled since then. In New Zealand, the name Wild Bean Cafe has become synonymous with gourmet coffee for people on the go. Trained baristas use freshly ground premium coffee beans and the customer’s choice of milk to make the perfect espresso style coffee every time. The cafes also offer a comprehensive range of chilled and freshly baked sweet and savoury snacks including

FMCG june 2011

sandwiches, hot pies and sausage rolls, cakes and muffins – perfect accompaniments to a fresh coffee. Comprehensive coffee training programmes and strict food safety standards are all part of the success of Wild Bean Cafes and a Wild Bean Cafe Barista of the Year competition in New Zealand rewards the best coffee makers every year. NZ Coffee Awards Keep an eye out for the New Zealand Coffee Awards, which started life as a small idea and, not surprisingly, first emerged in a discussion with industry professionals over a cup of coffee. The New Zealand coffee scene is rated as amongst the finest in the world, with ever growing high standards of delivery from roasters and baristas. The awards help to find an industry standard for the best coffees. They are a showcase for excellence in both roasting and delivery of fine espresso coffee. With key sponsorship from BP, the first NZ Coffee Awards and a trade show were held in Taupo in October 2004. The head judge for the Coffee awards was brought in from Australia and a panel of experts assisted the awarding of Gold, Silver and Bronze medals for the outstanding coffees. Tim Shadbolt and Gary McCormick in attendance and excellent media support helped to pave the way for the success of this event. In 2006 the awards took on the form of a huge festival at North Harbour Stadium in Auckland. Notable were the numbers of international visitors along with thousands of local coffee fiends. In 2007 the annual coffee-lovers event was held at the Alinghi Base on the Viaduct Basin. The winner of the Supreme Award was Toasted Espresso from Auckland’s North Shore. The 2008 awards had record entries from the trade and the winner was an excellent coffee from Barista@home. In 2009, a new champion, Altura, was crowned Supreme winner and another record level of entries confirmed the calibre of this competition. The NZ Coffee Awards are a great place to monitor the latest trends in coffee. l Did you know ... The Arabica market hit a 34-year high in May this year, prompting global coffee giant Starbucks to put a temporary halt on the purchasing of coffee in reaction to the global spike in prices.

FREE COFFEE with every machine purchased Espresso Essential machines brings Cafe quality coffee to your office for a fraction of the price of takeaway coffee! Our State-of-the-art machines can create all your favourite coffees and hot chocolate.

Our own special blend of

freshly ground coffee beans

Fully Automated

Cafe quality coffee for less than

Â˘

99% Fat Free Milk

Per Cup

FINANCE OPTIONS AVAILABLE! Revolution

SLUSH MACHINE PROFIT FROM ONLY 3 CUPS A DAY! Rent or Buy!

Great Range Of Flavours

Evo-Platinum

Save money on employee coffee breaks and impress your customers!

Call Now!

Start your very profitable slush fund today!

0800 377 773 www.EspressoEssential.com

Try Before You Buy! Call now for your FREE on-site taste test!

Tobacco issues Sometimes, we don’t know how lucky we are, finds Trina Snow. Trina Snow, executive director, NARGON.

The economic situation in New Zealand remains extremely tight and sometimes there can be a tendency for our sector to feel we are being singled out and overregulated by the Government. In fact, we probably are in many instances but perhaps not to the same extent as similar countries like Britain and Australia. In terms of Sunday trading, tobacco restrictions and tobacco smuggling New Zealand stores literally, in the words of the immortal Fred Dagg, do not know how lucky they are. In Britain, the Conservative-Liberal Democrat coalition government has been consulting with the industry and the public around a range of “red-tape” policies including Sunday trading, weights and measures, agerestricted goods, consumer protection and other issues. Currently, supermarkets (defined as stores over 915 square metres) in the United Kingdom are only allowed to trade for up to six hours on a Sunday after a law change in 1994. That situation would seem unusual to most Kiwi stores and shoppers. As a nation, we have embraced Sunday shopping since it was liberalised in 1990 and stores are often busy on that day.The British supermarkets take a different approach. They believe they get all their potential business within the six hours and that opening longer would simply involve more costs for essentially the same business. There is no industry appetite for change in this area. It is very much the same for customers. A large poll revealed three-quarters (76%) of people supported the existing six hour restriction. Only 5% of people favoured longer opening times on Sundays. Based on public feedback on the official consultation website, an overwhelming percentage of the public either wanted the Sunday trading laws to stay as they were or for them to become even more restrictive. The Government here is looking to tighten up the restrictions around the display and sale of tobacco. New Zealand and Australia have similar smoke-free

FMCG june 2011

laws and both have long banned tobacco advertising. However, the display of tobacco products in stores is already prohibited there and now the Australian Labour Government is looking to pass what it calls the toughest anti-smoking legislation in the world. At the centre of that is a proposed law which would require all cigarette packets to be a deliberately ugly olive green colour and to be plastered with graphic health warnings and pictures. The product’s name would only appear on the front of the pack in a standard font. There would be no logos or marketing on the packet. If passed, Australia would be the first country in the world to enforce plain packaging and such a regime could be in force by early 2012. Almost immediately, the large tobacco companies threatened legal action to protect what they refer to as their trademarks and intellectual property. The British government is also looking to crack down on illegal tobacco smuggling. Smugglers either bring in legitimate cigarettes from low-tax countries without paying any duty or taxes, or they bring in illicit and often dangerous counterfeit cigarettes. In addition to the obvious health impacts of cheaper cigarettes (many of which are significantly more dangerous than standard tobacco), smuggling also deprives governments of much needed revenue. The cost of lost revenue from tobacco smuggling in Britain is estimated at over NZ$5 billion a year, while governments in the European Union are missing out on around NZ$18 billion annually. Most of the smuggling is done by organised crime organisations because illicit tobacco is seen as highly profitable and reasonably safe. Tobacco is now the most smuggled legal product in the world. Tobacco smugglers often have interests in drugs, people smuggling and prostitution. The illicit tobacco racket is undermining legitimate stores’ business on a daily basis. New powers and resources have been passed but the interception rate is estimated at less than 5%. Thankfully, the same situation does not exist in New Zealand to any great extent but we must remain vigilant.These unsavoury groups are always looking for new markets. In Britain, four teenage girls narrowly avoided jail after being recruited by tobacco smugglers to carry illegal cigarettes into Britain. We do not want to see that kind of activity here.

RESOURCE DIRECTORY

Arrow Refrigeration Limited 163 Archers Road, Glenfield PO Box 101162 NSMC, Auckland Ian Gregory, Sales Manager â&#x20AC;˘ Ph: 09 444 1661 â&#x20AC;˘ Fax: 09 444 1961 â&#x20AC;˘ Email: sales@arrowfreeze.co.nz â&#x20AC;˘ Website: www.arrowrefrigeration.co.nz

CATEGORY: Y Y:

Framec, Koxka, Orford, B Bonnett N NevĂŠ ĂŠ Festive, Skope, McAlpine

MW/FMCG0210

BOOST YOUR PROFITS NOW

s $AIRY &REE #OATING s #HOLESTEROL &REE /IL s .: /WNED /PERATED For a no obligation evaluation contact: Jayen Food Concepts Ltd &REEPHONE s %MAIL JAYEN CLEAR NET NZ s WWW TOPTASTECHICKEN CO NZ

./ &2!.#()3% &%%3 s &5,, 3500/24

EE10-034-FMCG-94x69-NZ-P.indd 1

15/2/10 12:42:31 PM

Capture your share of the market â&#x20AC;&#x201C;

advertise HERE in C-Storeâ&#x20AC;&#x2122;s

RESOURCE DIRECTORY.

To ďŹ nd out more about ad packages and rates contact: â&#x20AC;˘ Peter Corcoran on 021-272 7227 email peterc@mediaweb.co.nz â&#x20AC;˘ Juleigh Buchan on 021-140 3456 email juleighb@fmcg.co.nz

june 2011 FMCG

the business of liquor reselling 58

FMCG February 2010

Best wines We’ve all heard it before. “I’d like a wine that costs $15 but tastes like a $30 one,” or something along that line. It’s not always easy to find wines that over deliver, whatever the price point. Here are some of the best examples that show excellent quality and great value. Spinyback Sauvignon Blanc 2010 This is such a reliable and great value wine by Waimea Estate, displaying intense passionfruit, feijoa and herbaceous characters on the nose. It’s punchy and vibrant on the palate with excellent fruit intensity. Just fabulous drinking. Ngatarawa Stables Chardonnay 2010 Youthful yet immensely attractive Chardonnay showing lovely ripe citrus and stonefruit characters with a smooth creamy palate. Not too big and not too subtle either, just the right amount of youthful fruit flavours and well harmonised acidity.

it to be satisfying, try this beauty. The nose is ripe and gently fragrant showing citrus, peach and pineapple characters. It’s succulent and smooth on the palate with a nicely weighted mid range and a crisp finish. Shingle Peak Pinot Gris 2010 A sip of this wine and you can see why so many people have fallen in love with the variety. This is a delightful Pinot Gris showing classic varietal aromas of pear and stonefruit with subtle citrus notes. It’s ripe and smooth on the palate with excellent fruit intensity and a lingering finish.

Twin Islands Chardonnay 2010 Made by Nautilus Estate, one of the country’s top producers, this is ripe and friendly, displaying elegant aromas of stonefruit, citrus and rockmelon. The palate is nicely fruited with elegant texture and a refreshing finish. A lovely drink.

Old Coach Road Pinot Gris 2010 From sunny Nelson, this popular label has delivered a satisfying Pinot Gris again. A generously flavoured wine showing pear, apricot and subtle spice notes. The palate is succulent and lively with a hint of sweetness and well pitched acidity leading to a refreshing finish.

CJ Pask Roy’s Hill Chardonnay 2010 If you prefer a Chardonnay with elegance and softness but still want

Matua Valley Pinot Gris 2010 From everyday wines to the top of the range, Matua Valley wines have

under $20 improved significantly in recent times. This pleasant Pinot Gris displays fresh aromas of pear, citrus and floral notes. The palate is light and fruity with a smooth texture and an easy finish. A very nicely rounded wine. Wild South Pinot Noir 2010 For a young wine this is showing lovely balance and poise, displaying red/black cherry, spice and a touch of game notes on the nose. The palate is gentle and fruity with supple texture and fine tannins. Brown Brothers Everton Shiraz/ Cab/Malbec 2008 It’s ripe and beautifully fragrant, displaying dark plum, blackberry, spice and a touch of nutty characters. The palate is well fruited and silky smooth with lovely density and a pleasant dry finish. A wonderfully harmonised and immensely appealing red. Sacred Hill Reserve Merlot Cabernet 2010 This is a smooth and rounded red from one of the superstar producers. The bouquet is ripe and lifted showing blue/blackberry, plum and floral notes

with a hint of spice, followed by a nicely fruited palate with fine texture and a lingering juicy finish. Wolf Blass Yellow Label Cabernet Sauvignon 2009/2010 Every year this label delivers loads of ripe berry and plum flavours with super smooth palate. An immediately appealing wine that shows sumptuous mouthfeel and silky tannins with a fleshy mid palate. A most satisfying wine with a wide appeal. Oxford Landing Shiraz 2009 This is impressively rich and sumptuous displaying dark plum, blueberry and floral characters on the nose. It’s medium-full on the palate showing velvety texture with a lovely juicy finish. A fabulous red that shows excellent fruit intensity as well as great balance. Mission Hawke’s Bay Syrah 2009 A beautifully fragrant Syrah displaying red cherry, floral and thyme flavours with smooth texture and bright acidity leading to a lovely crisp finish. A brilliantly priced Syrah showing balance and harmony with pristine fruit intensity. l

Sam Kim is an independent wine reviewer, senior wine judge and author of the wine orbit blog. For informative wine comment go to wineorbit.co.nz

All That Jazz Sauvignon Blanc 2010 Made by an exceptional producer, TerraVin, this is a brilliantly priced wine, full of delicious passionfruit, feijoa and peach characters with gentle herbaceous notes. An intensely flavoured and attractive wine that will sure to please Sauvignon fans. RRP: $19.50 Terravin Wines Phone 03 572 9890 pinot@terravin.co.nz www.terravin.co.nz

Sprig Marlborough Sauvignon Blanc 2010 A riper style Sauvignon showing stonefruit, golden apple and capsicum characters on the nose. It’s juicy and lively on the palate with smooth texture and a lingering crisp finish. The wine is instantly appealing and offers great drinking. RRP: $14.50 Bouldevines Wine Ltd Phone: 03 572 8010 sales@bouldevineswine.co.nz www.bouldevineswine.co.nz

Coopers Creek Marlborough Sauvignon Blanc 2010 It’s ripe and perfumed on the nose displaying passionfruit, feijoa and capsicum characters. The palate is lively and superbly fruited with a refreshing finish. A real crowd pleaser, with loads of tasty flavours. RRP: $17.00 Coopers Creek Vineyards Phone 09 412 8560 info@cooperscreek.co.nz www.cooperscreek.co.nz

june 2011 FMCG

Manuka Gold now available in NZ After extensive success overseas, a new liqueur made from unique New Zealand components has been released onto the local market. Manuka Gold Premium Liqueur from Exotica Enterprises is based on honey from the flowers of the blue borage plant – which grows wild in the South Island high country – and is enhanced by the distilled essence of manuka flowers grown in Marlborough. The alcohol content is 22% and comes from brandy. The blue borage plant is recognised in many countries as having a wide and varied range of health benefits. The ingredients give the Manuka Gold Liqueur a richly textured character, supercharged by the honey background on which the natural flavours sit beautifully. The honey trait adds to the mouth-feel, the colour and the depth of flavour, when the liqueur is served cool.

Manuka Gold is owned by entrepreneur Darius Karani of Exotica Enterprises. He has been selling Manuka Gold in eastern Asian countries and the sub-continent and found the taste well suits the local palate there. Keeping production up with demand has been difficult but he now has a limited quantity for the New Zealand market. Asked about Exotica as a business name, Darius says that “anything from New Zealand is considered exotic in Asia”. He has plans for a sauvignon blanc liqueur and a nonalcoholic cordial to be released in New Zealand later this year. A selection of both cocktail and dessert recipes for Manuka Gold is available now on www.exoticaenterprise.com. l

Kiwi brewery seeks beer tasters Applications are open for discerning beer lovers (999 to be exact) who know a good brew from a bad, appreciate a malt hops balance and fancy themselves a beer aficionado to become a Boundary Road Brewery Beer Taster. To gain a coveted position as a Boundary Road Brewery Beer Taster, serious beer lovers can apply at www.TheChosenOne.co.nz where they will need to pass a beer knowledge test. The first 999 beer lovers successful in the test will be sent a tasting pack of three variants of Boundary Road Brewery lagers, which they will put through a rigorous testing process before passing judgement on their favourite. The most popular brew as voted by the tasters will be released for sale as The Chosen One, along with an Ale, Pilsner and Ginger Beer by The Boundary Road Brewery, from 1 August 2011. Boundary Road Brewery marketing manager Ben Shaw says serious beer lovers need only apply as the future of The Chosen One is in their hands. “We want to hear from true Kiwi beer lovers to let us know how they want The Chosen One to taste. It could be they prefer their hops mild, their malt notes medium or they are after a beer to really wow the senses; however they like their brew to be crafted, we want them to decide.” Shaw says he believes the recruitment drive will be well

FMCG june 2011

Boundary Road Brewery marketing manager Ben Shaw.

received as Kiwis appreciate a good brew and have strong opinions when it comes to their beer. Beer lovers need to get in quick as applications close 30 June 2011 and applicants must be 18 years or over and be able to demonstrate a sound knowledge of beer. What’s more, one of the lucky 999 will win the title of Chairman of the Beer Tasters and will take home a Williamswarn Personal Brewery worth $6000. Check out www.TheChosenOne.co.nz to see how each brew is tracking throughout the campaign. The Boundary Road Brewery is part of Independent Liquor, which was founded by the late Michael Erceg in 1987. The Brewery is situated on Boundary Road, nestled in the foothills of the Hunua ranges south of Auckland. The Boundary Road Brewery produces NZ Pure, Haagen and Ranfurly, and brews under licence international brands such as Carlsberg, Tuborg and Kingfisher. The brewery will be releasing a new craft beer range in August 2011. l

New vortex design invigorates beer Award-winning Tui Blond Lager is set to revolutionise the local beer market with a highly innovative bottle and new packaging. In 2009 the famous Tui Brewery on the banks of the Mangatainoka River welcomed a new member into the Tui family – Tui Blond Lager. Since its inception Tui’s new lager beer has gone from strength to strength, bolstering its credentials by winning ‘Best New Zealand Premium Lager’ at the 2010 BrewNZ Awards, then Gold at the Monde Selection awards in Belgium this year. From June, Tui Blond Lager is introducing an innovative redesign, opening another chapter in Kiwi beer history, as the first product in the Southern Hemisphere to be bottled with a ‘Vortex’ internal neck embossment. Manufactured by O-I Glass in Auckland, the new ‘Vortex’ bottle innovation will further add to the Tui Blond Lager consumer experience by invigorating the beer as it flows over a series of spiral grooves within the neck of the bottle. The

technology was originally developed because consumers are no longer pouring beer into a glass before drinking, this step stimulates the beer releasing more of the beer’s taste. The team at the Tui Brewery believe the new ‘Vortex’ bottle will create a similar experience. But it’s not only the launch of an ingenious new bottle, but a wider packaging design makeover which Tui Blond Lager is undertaking. The brand’s packaging has been redesigned and features a new 3D brand badge. The unique 3D rendering gives the appearance that the Tui Blond Lager logo, wording and Tui bird are larger than they appear – a category first in New Zealand. The new bottle innovation also makes an appearance on-pack to illustrate the bottles’ unique spiral grooves, and the recent BrewNZ 2010 award for ‘New Zealand’s Best Lager’ has been added to highlight its brewing credentials. To support the launch, Tui has developed a fantastic new TVC highlighting Tui Blond Lager’s innovation and awards.l

& YES! Title: Mrs, Ms, Mr

I’d like to order an annual subscription to FMCG magazine (11 issues) for just $90.00 incl GST including the free twice-weekly foodnews email newsletter. Name:

Company name: Address:

Postcode:

Phone:

Email:

I am paying by

°ÊVisa

SUBSCRIBE TO FMCG THIS MONTH AND BE IN THE DRAW TO WIN A TANDOORI PALACE FEAST WORTH OVER $250!

Job title:

°ÊCheque (enclosed). Please make cheque payable to Mediaweb Limited

°ÊMastercard

°ÊTick here if you require a tax invoice or receipt

Card No: Name as it appears on the card:

Expiry Date:

Signature:

Type of business:

Used on a white background

SUBSCRIBE ONLINE Mail: Mediaweb, PO Box 5544, Wellesley Street, Auckland, 1141, New Zealand. Email: subs@mediaweb.co.nz

www.fmcg.co.nz/subscribe (including international prices)

From time to time we run subscriber-only offers related to other magazine titles we publish. If you do not wish to receive these, please tick.

All prices include GST GST No: 102-417-023 If you do not wish to receive offers from third parties, please tick.

Used on a black background

june 2011 FMCG

Moa leads the Kiwi charge in Aussie awards

Moa brewer Josh Scott.

Moa Beer has romped home with seven medals at the Australian International Beer Awards, more than any other New Zealand beer brand. The Marlborough brewery won gold for its Moa Five Hop Ale in the British Style Ale (Packaged) category, as well as two silvers for Moa Original (European style lager) and Moa Five Hop (Wood-aged beer). It also took out four bronzes for Moa Methode (European style lager), Moa Pale Ale (American-style pale ale), Moa St Joseph’s (Abbey-style, Dubbel & Triple ales) and Moa Imperial Stout (Hybrid beer). Moa founder Josh Scott says the awards are not only a terrific result for Moa but also a great reflection on New Zealand craft beer generally. “It’s always awesome when we beat the Aussies on their home turf and we take great pleasure in sticking it to them in this case as well. “We’re extremely happy with the results, which all count towards our quest for super-premium beer world domination,” he says. “And in addition to Moa’s wins, we’re equally chuffed to see our Marlborough neighbours Renaissance scoring big with their Craftsman Oatmeal which took home the Champion Stout trophy as well as four other awards. “Likewise the other Kiwi craft beers making the medal table – the likes of Epic, Yeastie Boys, Stoke, Croucher, Founders and Invercargill Brewery. Nice one guys.”

FMCG june 2011

Scott also congratulates New Zealand brands Tui Blonde and Mac’s Gold, which both received bronze awards in the Australian-style lager category: “I guess picking up an Aussie-style award is some sort of compliment.” Moa Beer was founded by Josh Scott in 2003, who learned winemaking at the hands of his dad, well-known Kiwi winemaker Allan Scott. However it was while working a harvest in the Napa Valley that the penny dropped and he realised his future was in beer. The Moa brewery is nestled amongst the vines of Marlborough, where the pristine surroundings provide the perfect environment for brewing. A natural artesian water spring flowing directly beneath the brewery adds to Moa’s distinct flavour profile. Moa beer is brewed with fresh locally produced hops and without adjuncts such as rice, sugar or corn. It’s made the way beer used to be made, fastidiously handcrafted in the traditional method and rounded off through the use of winemaking techniques, including barrel ageing and bottle fermentation and conditioning. Moa comes in 10 varieties: The Estate range – Moa Methode, Moa Blanc, Moa Noir, Moa Pale Ale; the Reserve range – Moa Imperial Stout, Moa St Josephs, Moa Blanc Evolution, Moa Five Hop and Moa Breakfast; and Moa Original. Moa comes in a variety of different sizes from 330ml to 1.5 litre magnums and 3L jeroboams. l

Oceania’s Premier Event NOW

IN ITS

A5R E Y 7,9;0-0,+ 69.( 0* TH

9(+, -(09 ; .9,,5 9(3 5(;<

Our Annual Meeting Place

SYDNEY, 5 - 7 AUGUST 2011 Hall 3, Sydney Convention & Exhibition Centre

The best organic and green show you will attend Proven results for our customers again and again Saving your business or organisation time and money Receptive traders from across Australia, New Zealand and Asia Thousands of enthusiastic visitors from Australia and beyond Celebrities, Experts, Industry Forums, Fun & Educational Features

BOOK NOW!

SUST AINA BLE CONF EREN CE

PROF ITS

Overseas Businesses call Brendan: +64 (0) 27 2888 618 / bhoare@organicsystems.co.nz or Roger: rharris@organicsystems.co.nz

“It is the largest and most influential show in Oceania Pacific” - Fonterra

“The expo always brings in the right target audience for our company” - Organic Times

*** Maximise Your Brand’s Exposure *** *** Increase Your Sales to Receptive Green Consumers *** *** Outstanding Networking Opportunities *** *** We Bring Your Customers to You ***

“We picked up a lot of new resellers especially from overseas” - Natural Origins

“Tremendous results and great to see that so many people are interested in Organics” - Organature

www.organicexpo.com.au

sn a p

N Z ’e ve ‘ L o r a mm g a’ s Col pro ca- ling Coc yc re

up with Nestlé’s Young Mariners unit warm Members of the Akarana elements out on the g vin dle soup after bra Milo and Maggi Chicken Noo the Hauraki Gulf.

t s r e g at ta Nestlé suppor

A m

Tip Top’s All is the big Blacks Hokey Po ke gest Trum pet launc y Trumpet h to date .

Has your team been part of a charity event, opened a new factory, or dreamed up a colourful promotional activity? Send us your favourite photo and go in the draw to win a Bacardi cocktail set, complete with a 1litre bottle of Bacardi, muddler, set of glasses and a Mojito recipe card, worth over $100! Just email your high res image with a caption and your contact details to: editor@fmcg.co.nz

touring nted Instant Kiwi tickets A bus adorned with pri for hit jor tres proved a ma the country’s main cen . ies ter Lot d New Zealan

ig h t y laun

chy’ M o b i l e ‘ s c r a ta camp ign

ger, mana ffairs pson a e t a rpor Thom ania) on (co and Karen -Cola Oce s k r la a C ) Suzy ola Amatil nager, Coc the recent a C t Coca- relations m ling bins a c c (publi e new recy . h with t ton launch g in ll e W

DIARY 2011

SEPTEMBER

june 27

ORACLE RETAIL WORLD AWARDS Sydney Convention Centre, Australia www.retail-world.com.au/awards2011/

ENVIRONMENTAL PACKAGING AWARDS Auckland www.packaging.org.nz/awards_2011/ awards_2011.php

27-29

RETAIL WORLD Sydney Convention & Exhibition Centre, Australia www.retail-world.com.au

NZIFST CONFERENCE Rotorua www.nzifst.org.nz/conference.asp

NEW ZEALAND INTERNATIONAL WINE SHOW AWARDS DINNER Crowne Plaza Hotel, Albert Street, Auckland www.nziws.co.nz

5-8

FINE FOOD AUSTRALIA Sydney, Australia www.finefood.com.au

7-9

ASIA FRUIT LOGISTICA Hong Kong Convention and Exhibition Centre Hong Kong www.asiafruitlogistica.com

23-24

SECOND ANNUAL AUSTRALASIAN FMCG SUMMIT Lunar Park, Sydney, Australia www.acevents.com.au/fmcg2011

JULY 9-10

GLUTENFREE FOOD & ALLERGY SHOW Wellington TSB Arena www.glutenallergy.co.nz

10-13

FOODPRO 2011 Sydney Convention & Exhibition Centre www.foodproexh.com

28-31

THE FOOD SHOW (AUCKLAND) New Zealand based food show. ASB Showgrounds, Auckland www.foodshow.co.nz

AUGUST 9

NARGON BREAKFAST In association with Foodstuffs Expo. Palmerston North www.nargon.co.nz

15-17

NEW ZEALAND INTERNATIONAL WINE SHOW 2011 Closing date for entries: 5 August Closing date for receipt of wine samples: 10 August Judging dates: 15-17 August www.nziws.co.nz

MASSEY UNIVERSITY FOOD AWARDS Auckland www.foodawards.massey.ac.nz

THE GROCERY CHARITY BALL The Langham, Auckland www.grocerycharityball.org

OCTOBER 8-12

ANUGA Cologne, Germany www.anuga.com

NOVEMBER 2-4

FGC ANNUAL CONFERENCE Wellington www.fgc.org.nz

NARGON SUPPLIER AWARDS Wellington www.nargon.co.nz

17-19

NZ JUICE & BEVERAGE AWARDS Tauranga www.nzjba.org.nz/awards.asp

29-30

GLUTENFREE FOOD & ALLERGY SHOW Christchurch www.glutenallergy.co.nz

Is your event or trade fair featured here? If youâ&#x20AC;&#x2122;d like to be included please email: editor@fmcg.co.nz

Introducing the latest addition to the High Mark Soy Sauce range..... Japanese Soy Sauce.

2nd Annual Australasian

FMCGSummit

12th & 13th September 2011, Luna Park, Sydney

Smart collaboration strategies for driving profitability and business growth across the supply chain

Discounted registration fees for NZ companies! This is your opportunity to network with the experts, learn from international best practice and keep up to date with the very latest developments in the FMCG market in Australia and NZ. CONFIRMED SPEAKERS:

Steve Anderson CEO Foodstuffs NZ Ltd Silvestro Morabito CEO IGA Distribution Kate Carnell CEO Australian Food and Grocery Industry Katherine Rich CEO NZ Food Grocery Council Paul Fisher MD IAB Phillip Lynch MD Johnson & Johnson

This is just a taste of what you can expect to hear at this information packed event. Join us as we investigate the following key issues in depth: s 3UPPLIER RETAILER COLLABORATION global best practice and case study examples s 4HE FUTURE OF &-#' MANUFACTURING IN !USTRALASIA challenges and opportunities s "RAND STRATEGY AND MANAGEMENT gaining and maintaining customer loyalty s #ATEGORY MANAGEMENT making category management work for you s 3HOPPER MARKETING what channels and formats work best? s 0RODUCT INNOVATION what innovative methods are being used? s 0RIVATE LABEL how is the FMCG industry handling the rise of the private label? s 0RICING Innovative pricing strategies and dealing with price wars s 3OCIAL MEDIA Which companies are having success with social media? Whatâ&#x20AC;&#x2122;s working? Whatâ&#x20AC;&#x2122;s not?

Exhibition and Sponsorship Opportunities Contact Jon Chivers T: +61 2 8908 8515 E: jonc@acevents.com.au

u prom se o co

FMC

SAVE G

per b 15% ookin g