FMCG DECEMBER 2011 by mediaweb

incorporating

9 421902 251016

DecEMBER 2011 Volume 17 No 11 $9.15

THE BUSINESS OF MANUFACTURING • LOGISTICS • SUPERMARKETING

fmcg . co . n z

•

foo d ne w s . co . n z

THE COLOURS

OF SEDUCTION.

THE NEW NIGHT DIAMONDS COLLECTION.

NIGHT DIAMONDS

NEW

contents

6 8 11

d ec E M b er 2 0 1 1

Up Front Editor’s note Industry news Subscription form

Category checks 20 BBQ foods 24 Lunchbox snacks 30 Family planning

Regulars 12 NARGON

2011: The year in review

13 FMCG Online 14 Q&A

Goodman Fielder MD Peter Reidie answers 10 questions

16 Fresh and local In season

18 Beef & Lamb

The 2011 Sausage Competition

FGC Maui leak tested food supply network

33 What’s Hot

New products in store

39 Profile

Coca Cola Amatil

52 Snap

Spotted out and about

53 Diary

Your guide to upcoming industry events

OUR COVER The new Schwarzkopf Brilliance Night Diamonds collection is available in four luscious dark shades, to suit every brunette’s shine and colour needs.

contents

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

d ec E M B E R 2 0 1 1

34 Grocery business news 35 Recruitment Market mapping explained

36 Feature

NZFGC conference highlights

40 GS1net successful for Foodstuffs 42 GS1 Dr Peter Stevens considers data and supply chain security

Convenience store and oil channel updates

44 Feature

Convenience… fast forward

46 C-store industry news 48 The perfect gift

The latest trends in giftcards

50 Nargon

Holiday time

51 Directory

Feature

Showcase

11 12

Summer beers & ciders

Best beers & ciders

A sparkling affair Treasury Wine Estate’s unique portfolio

Keith’s take Craft beers

BAKING AISLE

Over 16 million people have visited our Ginger Factory on Queensland’s Sunshine Coast so over the years we’ve made quite a few of these delicious Ginger Scones… baked fresh every morning with delicious Australian Ginger!

BUDERIM GINGER’S WORLD FAMOUS GINGER SCONES CORDIAL Pssst – The secret is to knead the dough! AISLE 4 cups of self raising flour 3/4 cup of cream 2 tablespoons milk 60ml of Buderim Ginger Refresher 125ml of soda water 3 heaped tablespoons of finely chopped Buderim Ginger Crystallised Ginger

Combine all the ingredients into a mixing bowl. Once combined, knead the dough until it turns noticeably pale. If you’re using a mixer, use the dough hook and wait until the dough starts to climb out of the bowl. Allow the dough to rest for a few minutes before rolling and cutting into 10 scones. Bake in a medium oven until golden brown... YUM! HOT TIP: Try Ginger Refresher with hot water and lemon juice – DELISH!

BUDERIM GINGER’S GREEN & GOLD FRUIT SALAD The perfect Kiwi treat – a low fat and flavoursome start (or finish!) to any day. 6 Kiwi fruit, peeled and cut into chunks 50g Buderim Ginger Naked Ginger, chopped 1 cup prepared fresh pineapple, cut into chunks, juice reserved 2 passionfruit 1 tablespoon Buderim Ginger Refresher Sprig of mint to garnish Put the prepared fruit into a bowl. Sweeten the juice with the Buderim Ginger Refresher and pour over the fruit. Serve in individual tall glasses topped with mint to garnish. Mmm… EASY!

BAKING AISLE

For more facts and great recipe ideas visit buderimginger.com or call House of Fine Foods on (09) 410 1066. BGL1550

e ditor ’s note Vol 17

No 11

DECEMBER 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

Trish day – BWS Account Manager Mob: 027 561 6556 trishd@mediaweb.co.nz

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

Design Cherie Tagaloa

Subscriptions subs@mediaweb.co.nz 09-529 3000 $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 115 Newton Road, Eden Terrace, Used1010 on a black background Auckland Phone 09-529 3000, Fax 09-529 3001 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. ISSN: 1175-8279 (Print), 1179-8718 (Online).

Official b2b magazine for the Gluten Free Food & Allergy Shows. Media partner Nargon Supplier Awards.

Bring on the New Year! As we add the finishing touches to this issue of FMCG, it’s hard to believe 2011 is already coming to an end. What a roller coaster ride it’s been for New Zealand and the whole world. Bring on 2012, I think it can only get better from here! In this issue, NARGON executive director Trina Snow reflects on some of the challenges and changes we faced in 2011 and explains the rules around public holiday leave for Christmas and New Year. Looking ahead, Kevin Vincent offers valuable business planning tips for 2012. You will find his expert advice and other exclusive online features on fmcg.co.nz.

for), healthy eating, traceability, the environment and sustainability. In a candid interview on pages 14-15, he reveals the latest developments at Goodman Fielder, and offers his personal tips for a healthy work/life balance.

We also bring you highlights from the FGC conference in Wellington, the NZJBA Awards, the annual sausage competition and the AACS conference in Adelaide. Analysing some of the latest research findings, AACS executive director Jeff Rogut considers the future of the convenience channel in our C-store section. There is no doubt that convenience and snack foods will gain more significance in the industry as so many consumers are increasingly time poor. Goodman Fielder MD Peter Reidie predicts there will also be further momentum building in people searching for good value (brands must be worth paying

Beers and BBQs are quintessential for a relaxed Kiwi summer and we bring you a preview of a wide range of new products that are perfect for outdoor entertaining. Our clever designer Cherie has added a new dimension and some fun to this issue with a flip cover for our special holiday edition of BWS! The Mediaweb team is now taking some well deserved time out to recharge the batteries and we hope you too will get to enjoy a good break. Look out for the next issue of FMCG, available in February 2012.

Tamara Rubanowski editor@fmcg.co.nz

The dawn of a new year offers us all a chance to pause and reflect, with a few days off work to enjoy a celebratory meal with family and friends, a walk along the beach, or perhaps even a picnic in your favourite vineyard. Once you take a step back from the rat race, you suddenly see a whole new perspective…

Happy holidays from all of us!

%SJWJOH GSVJU TZSVQ HSPXUI BOE JOOPWBUJPO Barker’s of Geraldine fruit syrups At MAT level, Barker’s is growing faster (+25.7%) than the category leader (-13.1%).*

A premium New Zealand brand trading customers up to higher value product.

Driving category consumption with quality and innovative fruit syrups.

Introducing three new unique flavours. Launch timed to capitalise on seasonal summer sales.

Still made by a family owned company based on a corner of the family farm in Geraldine, South Canterbury.

Prefer to use New Zealand fruit first whenever possible.

%PMMBS TBMFT PG UPQ GPVS DPSEJBM CSBOET

700,000 600,000

Barker’s is now the leading brand

500,000 400,000 300,000 200,000 100,000

Total Barker’s

Total Baker Hall

Total Roses

For orders contact Twin Agencies 0800 258 946 Barker’s of Geraldine 0800 227 537 | www.barkers.co.nz

Oct 11

Sep 11

Aug 11

Jul 11

Jun 11

May 11

Apr 11

Mar 11

Feb 11

Jan 11

Dec 10

Nov 10

Oct 10

Sep 10

Aug 10

Jul 10

Jun 10

May 10

Apr 10

Mar 10

Feb 10

Jan 10

Dec 09

Total Thriftee * Source: Aztec MAT to 13.11.11

news Barker’s squeezes out the competition New Zealand family business Barker’s of Geraldine has proven its fruit syrups are the pick of the bunch, winning Best New to Market Beverage as well as the overall Supreme Award for Small Producers at an industry awards ceremony in November. The annual New Zealand Juice & Beverage Association (NZJBA) awards aim to promote and publicise the high quality of nonalcoholic beverages and celebrate innovation and manufacturing excellence as judged by a panel of both consumer and industry experts. “At Barker’s we pride ourselves on excellence, producing the best fruit syrups, jams, chutneys and patisserie fillings in each grocery category,” says Michael Barker, managing director of Barker’s of Geraldine. “We are proud of our Orange and Barley with Passionfruit Syrup, which is an innovative twist on an old family favourite. Everyone loves the taste and it has won solid support from our customers, after being launched last month.” Great just on their own mixed with water, Barker’s fruit syrups also make perfect mixers for your favourite tipple and can be used as a wonderful base for cocktails and mocktails for the whole family. “As a New Zealand family owned business, we are very proud to be making great tasting, quality products which sit with the best in industry,” says Barker. The NZJBA awards attracted some new companies this year with products that delivered health benefits, including overcoming the effects of flying, while other products provided antioxidants in teabased beverages.

Winners in the 2011 awards were revealed at the Association’s conference in Tauranga and included Fresh-up Big Fizz Crisp Apple from Frucor Beverages, named Supreme Champion (large producer). The Awards were judged by an independent panel led by Massey University’s Kay McMath and held at the Massey University’s Food Technology department. Danielle Esplin, marketing manager, The Youth Choice Award Barker’s of Geraldine with Tony Beattie, CEO, Directus International. was Just Juice Orchard Strawberry and Kiwifruit from Frucor Beverages. A new award this year to recognise innovation in the industry went to Coca Cola Ice-up where some clever technology has been used to produce the original formulation in a version that when the cap is released and the bottle inverted, the beverage ices up in the bottle. A special award for packaging went to Peeld NZ for its 1 Above, “the world’s first Aerotonic™ flight beverage”, described by judges as “highly innovative, functional and eye-catching”. For the complete list of 2011 NZ Juice & Beverage Awards winners visit nzjba.org.nz. l

More mobile shopping A new report from UK-based Juniper Research has found that the value of mobile retail marketing will reach $15 billion globally by 2012 as digital adspend moves to mobile and mobile coupons gain acceptance. This represents growth of 50% over 2011. The report found that the smartphone, and more recently the tablet, has increased the capabilities of both the modern shopper and the mobile retail marketer. The marketer now has new marketing channels to attract the mobile shopper, but equally the shopper has more access to competitive product and pricing information before making a purchase. Traditional boundaries between physical (‘bricks and mortar’) retailing and online retailing are blurring as mobile bridges the gap, with a new

FMCG DECEMber 2011

breed of ‘clicks and mortar’ retailing initiatives emerging. The report stressed, however, the importance of mobile marketers using the most appropriate mobile marketing channels to connect with the mobile shopper and the danger of assuming that the mobile app is the answer to every requirement. It also stressed the need to obtain subscriber opt-in to gain trust and lead to ongoing loyalty. According to report co-author David Snow, “Mobile retailing is undergoing rapid change. We are starting to see an ‘arms race’, as the power of the mobile channel equips both the shopper and the retailer with capabilities they never had before. Each side has to keep up with the other and gain an advantage in order to clinch the purchase transaction in their favour.” Other findings from the report include: • Mobile POS technology and NFC Proximity Marketing are areas of rapid innovation. • Mobile retail marketing spend in North America and Western Europe is accelerating faster than in the Far East and China. l

n ews Major milestone for Progressive Progressive Enterprises bid farewell to the Woolworths and Foodtown brands in New Zealand in November, marking the final stage of transition to the ‘New Generation’ Countdown brand. Woolworths Meadowlands and Foodtown Browns Bay were the last stores in New Zealand to carry the brands. The stores have reopened as Countdown supermarkets, marking the completion of a major milestone in the company’s commitment to invest $1 billion in its store network nationwide. In 2009 Progressive Enterprises announced plans to transition all its supermarkets to the Countdown brand, with a gradual phasing in of a new modern identity. Over 60% of the 159 stores nationwide have also undergone a full refurbishment to incorporate the New Generation Countdown design features including wider aisles, expansive fresh food departments, and a range of environmental initiatives designed to help minimise the store’s carbon footprint. Progressive Enterprises managing director Dave Chambers said although the company was looking to the future, it is proud of the heritage of the Woolworths and Foodtown brands. “The retailers who started and grew these supermarkets decades ago have taught us so much, and these lessons will continue to serve our company long into the future,” he said. In 1929, the first Woolworths store opened in Cuba Street, Wellington, operating as a general merchandise store. Woolworths’ first foray into food retailing came in 1956 with the opening of its first “Food Fair”

store at Panmure. Foodtown was born on June 18, 1958 with founders Tom Ah Chee and Norm Kent opening their first store in Otahuhu. Chambers says the company has been proud to be a part of many additional industry firsts since then. “From 10 pounds of potatoes for 29 cents to a week’s groceries delivered to your door at the click of a mouse button, supermarket retailing has experienced a significant change, and we have been at the forefront of much of that change,” he said. Chambers also congratulated the long-serving team members who have made an outstanding contribution to the Woolworths and Foodtown brands. “The strength of our company has always been the people who work in it, and I am inspired by our team members who share the pride and enthusiasm of Woolworths’ and Foodtown’s achievements throughout the years.” Chambers said he is looking forward to adding more team members to the Countdown team this year. “We’re committed to providing job and training opportunities for New Zealanders. Retailing is an exciting career and one where you can work your way up from the shop floor to the managing director’s office, which was exactly my own path. “This financial year we will create 660 jobs with the opening of five stores. These team members will help create the next chapter of Countdown in New Zealand,” Chambers said. l

YOUR ACCESS TO SCHOOLS AND EARLY CHILDHOOD ES EDUCATION SERVIC od and brand name for the Fo w ne e th – fe 4li ed ell Fu ides an easy System (FBCS) – prov n tio ica sif as Cl ge ra Beve r options. tors to choose healthie era op n ee nt ca r fo guide life gives your

in fuelled4 dation, participating 00 Run by the Heart Foun ls and more than 4,0 oo sch access to 2,500 d an ge ed an ct du pro ation services. early childhood educ CS cts that meet the FB w open for all produ visit on ati orm inf Registrations are no re details and mo ion rat ist reg r . Fo ia. 85 nutrient criter eby on 09 526 50 or contact Larissa Be z g.n .or life d4 lle ue www.f

DECEMber 2011 FMCG

news Supermarket saussies win national awards New World butcheries around the country are still savouring their successes at the Devro New Zealand Sausage Competition, with six stores taking out 10 medals in the country’s top sausage awards. New World Brookfield in Tauranga dominated the field, winning two gold and two bronze medals, while New World Te Rapa gained gold for its pork sausage. South Island New World stores also proved to be strong competition, with Nelson, Rangiora, Elles Road in Invercargill and South City in Christchurch gaining a further five medals between them, including bronze for an inventive pork, blue cheese and garlic sausage from the Elles Road butchery team. Steve Anderson, managing director Foodstuffs New Zealand, says he’s not surprised that the supermarket sausages fared so well against entries from standalone speciality butchers. “Competitions like this are a fantastic opportunity for our locally owned and operated stores to show off their skills on a national stage. Winning the medals is great, but being able to share that passion for food with our customers is even better. “With summer on the way, we hope these awards will remind Kiwis that it’s time to dust off their barbeques, and step into their local New World to grab some award-winning sausages – I know I will be!” added Anderson. The medal-winning sausages from New World are: • New World Te Rapa, Pure Pork Sausage – Gold in Pork category • New World Brookfield, Pork Flavoured – Gold in Flavoured category • New World Brookfield, Country Pork – Gold in Traditional category • New World Brookfield, Lamb, Mint, Herb & Rosemary –

New World Te Rapa butchery assistant manager Allan Nicol with award-winning pure pork sausages.

Bronze in Traditional category • New World Brookfield, Beef, Basil & Sundried Tomato – Bronze in Gourmet category • New World South City, Chicken & Bacon – Gold in Gourmet category • New World South City, Venison, Merlot & Cracked Pepper – Silver in Gourmet category • New World Nelson, Venison, Merlot & Cracked Pepper – Gold in Gourmet category • New World Rangiora, Venison Boerwors – Bronze in Bratwurst & Boerwors category • New World Elles Rd, Pure Pork, Blue Vein Cheese & Garlic – Bronze in Gourmet category. l

First Wi-Fi café for New World Christchurch’s New World Northwood is believed to be the first supermarket in New Zealand to incorporate a free public Wi-Fi café. In a pilot scheme, it is the first café in Foodstuffs NZ’s network of 450 stores – New World, Four Square and PAK‘nSAVE – to feature the Wi-Fi facility. “Customers are now able to connect their Wi-Fi devices and access the internet while they enjoy a coffee and a bite to eat,” said supermarket owner Kathy Frampton. “We decided to offer this service in

FMCG DECEMber 2011

response to the changing needs of our customers. Embracing the digital world we now live in is important for all businesses wanting to enhance their customers’ experience. The expectation of free Wi-Fi is becoming the norm nowadays. People are time-poor and it’s about catching up.” New World Northwood is undergoing an $8m upgrade, with the major work due for completion by Christmas. l New World Northwood is believed to be the first NZ supermarket café to offer free Wi-Fi.

n ews New World among top 10 best places to work in NZ New World Te Rapa’s top 10 placing in the medium to large business category of the 2011 JRA Best Workplaces Survey shows that a supermarket can be one of the best places to work in the country. In a list dominated by corporates, New World Te Rapa stood out as the only supermarket in the category, and the survey overall. With finalist placings in 2009, 2007 and 2006, the grocery retailer is proving to be more than a one-hit wonder when it comes to being popular with staff. Owner Chris Grace says he is extremely proud of the store’s achievements, and highlights that having happy and highly motivated staff is an integral part of business success. “Apart from having a wide range of high quality products, fantastic customer service is what really sets us apart from other supermarkets. From the deli counter to the checkout, our frontline staff all make a lasting impression on our customers – if they’re happy, our customers are happy. “Being 100 percent locally owned and operated, we’re highly involved in the local area. This is really important for our team as they know that they are contributing to the community in which they live,” added Grace. According to Grace, the survey is invaluable in not just highlighting

New World Te Rapa owner Chris Grace.

what the store is already excelling at, but also identifying what can be improved. “We make a point of reviewing the results after each year to ensure we are making changes based on staff feedback, and when they see that it really keeps them engaged. “A supermarket can be a really vibrant place to work in, with a wide range of training and development opportunities, plus you can gain a high level of skill at your trade of choice,” concluded Grace. More than 230 organisations and over 31,700 employees responded to the 2011 JRA Best Workplaces Survey, which looked at a range of workplace aspects including culture and values, common purpose, communication, learning and development, and reward and recognition. 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:

Job title:

Address:

Postcode:

Phone: I am paying by

°ÊVisa

SUBSCRIBE THIS MONTH TO BE IN THE DRAW TO WIN A HEALTHY SHOUT FOR YOUR TEAM WORTH $110, FROM THE COLLECTIVE!

Email:

°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 Cheques payable to: Mediaweb Limited Post to: Subscriptions, Mediaweb Limited, FREEPOST 288, PO Box 5544, Wellesley Street, Auckland 1141 Used on a black background 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.

DECEMber 2011 FMCG

n a rgo n

2011: The year in review It’s been a challenging time, says Trina Snow. Trina Snow, executive director, NARGON.

The All Blacks gave the country a boost by finally reclaiming the Rugby World Cup but 2011 will go down as one of the hardest years in modern New Zealand history. There was the terrible February 22 earthquake in Christchurch, the Pike River mine disaster, the grounding of the Rena and tough economic conditions throughout the country. It is a testament to the Kiwi character that despite these challenges New Zealanders are still some of the most optimistic people in the world. A staggering 60% say our country is heading in the right direction. This is considerably higher than the figures in Australia, Canada, and Britain, and miles ahead of America where just 15% of citizens think their nation is going in the right direction. In many ways, it was a tough year for the retail grocery industry too, though there are some reasons to be hopeful that 2012 will be better. Here is a summary of the major issues this year. Earthquakes – New Zealand will never forget the horrific events in Christchurch. NARGON acknowledges those in the industry who were injured or lost their lives in the earthquakes, and those who had family or friends affected. A number of stores were damaged, some very badly. Political and community leaders have acknowledged that stores re-opening quickly were important milestones on the long road to recovery. They were a sign of a return to normalcy. At NARGON, our continued best wishes go out to the stores and people of Canterbury Tobacco – In terms of policy, the biggest changes this year related to the display and sale of tobacco products. At the start of 2011, the Government was standing by its policy of keeping the existing restrictions. However, following the release of a Maori Affairs Select Committee report on smoking, the Government dramatically reversed its position and pushed through the Smoke-free Environments (Controls and Enforcement) Amendment Act 2011,

FMCG december 2011

which will prohibit tobacco displays and tighten up tobacco controls and enforcement. This is scheduled to come into full force in mid-2012 and will have an impact on all stores selling tobacco. Alcohol – This has been a year of discussion, debate and lobbying around the provisions of the Alcohol Reform Bill. Most of the big decisions have been made, including restricting licences, opening hours and sponsorship, though these will have to be passed by the new Parliament which may choose to revisit some of them. The big issue still up in the air is the purchase age. While the Bill proposes a split age, MPs will largely have a conscience vote. Labour is also campaigning on a minimum price for alcohol of $2 for a standard drink. Related Products – On August 1, 2011, New Zealand finally stopped applying the same regulatory restrictions to a range of everyday grocery items – including fluoride toothpaste, acne cream and anti-dandruff shampoo – as it did to prescription medicines. Because of our over-regulation, many companies would not go through the time and expense required to get items approved here and consumers missed out. Thankfully, the Government has finally removed the worst of the regulations. Consumers are seeing more products on their shelves already and are now being offered the same range as people in other countries. Industry-led Solutions – Despite often strident calls for change, NARGON is pleased that New Zealand continues to implement largely industry-led solutions to issues such as food labelling and reducing the usage of plastic shopping bags. In both cases, blanket regulation and/or taxes would be excessive and of little use to consumers. By supporting a practical and voluntary approach, shoppers are getting more information and the number of bags used has plummeted. Political Comment – For each issue of the NARGON News, we have asked a Member of Parliament to write a column on a topic of interest to the industry. It is a testament to the accessibility of New Zealand politicians that over the last three years only one has failed to deliver the promised column on time. Our members are always interested to hear directly from their elected representatives, even if we do not always agree. Best wishes for 2012 from NARGON.

What’s online

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

The Natural Health Products Bill Are the proposed new regulations a blessing or a burden? Hudson Gavin Martin law experts consider the ramifications for the FMCG industry, on fmcg.co.nz.

BUSINESS PLANNING TIPS

2011 AIR NZ WINE AWARDS

A business plan will greatly enhance your chance of success but before you write it, you need to plan it. Kevin Vincent shares his expert advice on fmcg.co.nz

Who were the winners at the country’s most prestigious wine competition? We bring you the details on fmcg.co.nz!

New Products From mayonnaise made with high-quality extra virgin olive oil and cage-free eggs, to new Vodka Cruiser flavours for summer – take a sneak peek at some the latest product launches online.

FOODSTUFFS STAFF TRAINING AWARDS

PL US

Celebrations of staff achievements by the Foodstuffs Auckland and Wellington cooperatives highlight the value of ongoing education to achieve success in the workplace. See this year’s winners online!

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

One New Zealand A unique cellaring system at Puhoi Valley Cafe and Cheese Store allows cheeses to age to order.

ustralian-based Goodman Fielder has recently announced its decision to merge all three of its New Zealand food operations into one. NZ managing director Peter Reidie took time out from his busy schedule to answer 10 questions for FMCG. Q: What is the anticipated timeline for the merger of Goodman Fielder’s New Zealand food operations? We have finalised the Goodman Fielder New Zealand executive as well as the extended leadership teams, and overall, the merger is substantially complete. Of course, as with any process such as this, change is not instant, it takes time to occur and there is still a bit of evolution to take place. 14

FMCG DECEMber 2011

Q: Will this consolidation result in tangible changes for NZ retailers, or consumers? We made the decision to consolidate the business to increase our ability to be more efficient, more effective and more capable. It will mean that there is one Goodman Fielder decision maker versus the three semi-independent companies we were operating as before. There are, of course, also cost-savings implications, which we have been able to use to resource capability initiatives to support the new ‘One New Zealand’ structure. Three examples of these are: significantly enhanced sales capability support, consumer and customer research teams, as well as community, external, internal and government communications support.

The end result of the changes will see us become more responsive and adaptable, allowing us to drive innovation and continue to provide great brands and products to meet the needs of the New Zealand consumer. Q: Are there any other company news or developments you wish to mention? We’re proud of the reputation of our brands and there are always new products being developed and brought to market. Our new gluten free bakery in Huntly, dedicated to making the Ernest Adams Gluten Free range and Vogel’s Gluten Free bread, is a good example of this. We’ve had some incredible feedback and great results on these products and I’m proud of

“We are committed to sourcing and manufacturing locally, to produce the highest quality, finest products that New Zealanders can trust.”

Q&A

Peter Reidie, managing director, Goodman Fielder NZ

our innovation and investment in this area. Another recent highlight includes the launch of For Everyone Fresh Flavoured milk, endorsed by Dan Carter and Richie McCaw, as well as the Puhoi Valley Cafe and Cheese Store opening that showcases our outstanding handcrafted boutique cheese range and the cheese-making process. Q: Are you implementing any new technologies in NZ? Our research and development team work tirelessly on new products and innovations. In order to bring new products to market there is sometimes a need to develop new purpose-built production facilities; our new Gluten Free Bakery in Huntly is one example of this. Another is the cellaring system installed in Puhoi that allows us to age cheese to order. Our recent head office relocation saw us make a significant investment in R&D facilities, bringing them closer to our customers and the market. Q: Sustainability – what are your company’s policies? We produce so many New Zealand sourced products with 18 production plants nationally.From our Kiwi Bacon range, which is 100% New Zealand farmed, to using South Island flour in our bread products and locally produced dairy products including milk, yoghurt and our Puhoi Valley Cheese range. We are committed to sourcing and manufacturing locally, to produce the highest quality, finest products that New Zealanders can trust. We are acutely aware of growing demands around sustainability and how everything we do needs to be

done with the environmental impact in mind. We’re committed to doing our part towards ensuring we leave a healthy environment for future generations. Improving our energy and water efficiency as well as reducing the waste we dispose of to landfill, is all part of this.We’re committed to minimising any intended impacts on the community surrounding our sites. All new products have a sustainability component to their development brief. The company is also committed to creating a safe workplace and we’re working hard to create a culture that doesn’t tolerate risks that could jeopardise the safety of our people. Q: What are the biggest challenges for the NZ FMCG industry in the next few years, in your opinion? The biggest challenge facing the FMCG industry is New Zealand’s overall circumstance; we’ve got just over four million people, slow population growth, no income growth, combined with the constraints of the global economic climate. This is a very challenging context from which to grow. It amplifies the need to be closer to Kiwis and our customers to ensure we produce products that have a relevant point of difference and that they are going to continue to want to buy. Once again, our new structure supports this. Q: Your vision for Goodman Fielder NZ in 2012 is… For our consumers it’s to keep delivering relevant products to New

Zealand’s tastes, from local brands that we sourced from NZ ingredients, and made here. For our customers it’s to help them grow their business through profitable innovation and working our categories more effectively – by knowing their customers better than anyone else. For our staff it’s about building a great place to work. Q: Which new consumer trends do you predict for next year? No new trends as such, but I see further momentum building in; people searching for good value (brands must be worth paying for), healthy eating (low fat, less sugar, no artificial additives or preservatives etc), traceability (proving product sourcing and quality), convenience (people are time poor), and the environment and sustainability. Q:Your personal tip for achieving a healthy work/life balance? Have a family that you love dearly, commit to and spend time with. Everything in moderation except laughter, fish, vegetables and rice! Q: When you are not at work, your favourite activity is… Spending weekends with my wife Lisa and my boys, John and Mark. I also enjoy hosting a great dinner at home (which Lisa and I cook together), with good friends and good wine. DECEMber 2011 FMCG

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

COMING ON The soft fruits – raspberries, blackberries and gooseberries, red and blackcurrants. All the stone fruits: plums, cherries, nectarines, peaches and apricots. The first New Zealand melons and squash.

IN THEIR PRIME Fresh scallops, cockles and pipis. Flounder, mullet, all the in-shore fish. All the game meats and of course lamb. Avocados, beans, asparagus, globe artichokes, new potatoes, tomatoes – in fact all summer vegetables and some decent garlic at last.

FALLING OFF Brussels sprouts and leeks. Most of the citrus and kiwifruit. Pacific oysters.

SHOT TO BITS Whitebait sadly. Brussels sprouts and yams. New Zealand pip fruit. The fresh seasons for orange roughy, hake and ling have ended. Fresh veal.

SEAFOOD This is the season for all those in-shore species: Flounder, snapper, gurnard, trevalley, kahawai and mullet.

MEAT Farmers have had a great spring this year and supply is improving at least on the short term. As with eggs there is an increasing demand for free range and organic meat products. Chicken in particular has seen a vast improvement in the supply of freerange product with all the bigger producers now distributing a good range. Rangitikei chicken is a good example; these chooks are raised free range in the North Island and have the freedom to roam and forage outside. These birds are also corn fed and are available in a wide range from skinless portions to whole chooks. As for meat from hoofed animals, Harmony Foods in particular has led the way with commercial quantities of top product available to the FMCG sector. All meat sold under the Harmony name is sourced from free-range farms and all animals are grass fed. There are no cages, no pens, only open pasture. As a consequence Harmony has SPCA certification for its pork and AsureQuality accreditation for its organic beef and lamb.

Sheepmeat Last year’s store and prime lambs are now nearly at an end and spring lambs are starting to be seen at saleyards, fetching strong prices. There is some lovely new spring lamb out there, but supply is tight and the trend is rising at $1.47/kg ahead of last year. Mutton schedules are still trading at high prices on limited availability and still rising due to supply constraints. Beef schedules are steady but are still

FMCG september 2011

about 40c/kg ahead of last year. Farmed venison In October and early November prices were $1.40/kg ahead of last year, estimated to be the third highest on record. Schedules are now easing, as the season changes from chilled to frozen and the trend is falling. This year the industry is expected to process about 400,000 animals. Pork Look to those hams – Christmas and New Year are on the way. Consider the range of pork and ham from Freedom Farms. As we have said before, the pigs from Freedom Farms are treated with respect and are healthy happy little pigs.

FRUIT Yes, we are coming into that fruity time of the year. Blackcurrants are in the market from now with full production over January and February. Citrus We are coming to the end of most of our local citrus varieties. New Zealand tangelos, oranges and lemons will still be around but will peeter out next month. The mandarins and navelinas are now well over. Local limes are old stock; new crop will not be available until March. Berries This month is strawberry month. Everyone buys some strawberries in December – customers just cannot help themselves. Fresh raspberries are about to hit us and will be finished by April. Look also to boysenberries until early February, blueberries through to mid March, with blackberries a little later. Loganberries are always around and the very short season for gooseberries is on now. Pomegranates should be in good supply from now on as they ripen in the northern hemisphere’s autumn and we tend to see them through our summer months.

Redcurrants are on the way but for a very short time only – don’t you just love the seasons? Stone fruit The summer fruit season starts to hit its straps this month – that’s the marketing name for stone fruit guys. The cherry season kicks off in all seriousness this month, just in time for Christmas. North Island plums, nectarines, apricots and peaches will all be coming into full production but prices over December are guaranteed to be firm. And be aware also that early season New Zealand grown stone fruit often has a poor shelf life. South Island fruit varieties tend to hit their straps in January.

VEGETABLES Artichokes (globe) are at the height of production but start to drop off as summer really kicks in. Asparagus this month is still in good nick and production is at its peak but will drop off from January. Aubergines, locally grown, are back again in the markets – pricey but nice. Beans The New Zealand glasshouse season for the flatter varieties such as Mangere Pole has arrived and the outdoor round ‘French’ beans (mostly Gisborne grown) should reach the market finally. Broad beans are out there but supply will tighten up. Beetroot is most plentiful from November until April. Avoid roots with scaly areas around the top surface as they tend to be tougher. Originally the leaves were eaten more than the roots, but in New Zealand we just eat the roots – why? Capsicum prices are still very high but almost all the New Zealand grown varieties are arriving in better volumes and it will only get better as we move further into the summer. Corn You can get fresh early varieties of sweet

corn in the market from January these days but it will be expensive. Courgettes Our New Zealand zucchinis are back in the markets. Cucumber Plenty of Kiwi grown telegraphs around. Garlic The first of the New Zealand grown garlic will arrive this month, as will the first shallots. Kumara All varieties of good quality new season kumara; Beauregard (orange, softer, sweet), Tokatoka, (yellow, firm, good flavoured), Owairaka and northern rose, (traditional red, very firm), will be arriving in the marketplace soon. Leek quality is variable and will only get poorer over summer, but keep an eye out for those baby leeks as they come in shortly. Potatoes This is new potato time but watch for greening as these early spuds go off very quickly. The first (socalled) Maori potatoes will arrive from the far north in December. Taro Varieties of taro vary in colour and size. Taro is a starchy root crop and the leaves are also edible. Taro is not grown commercially in New Zealand; all supplies are imported from the Pacific Islands. Tomatoes New Zealand main crop is all on and will get cheaper from now to the end of February. Some outdoor fruit will start showing up in January.

december 2011 FMCG

b e ef & la m b

Supreme taste sensations Ashley Gray of Retail Meat New Zealand reviews the 2011 Sausage Competition. ????????, ?????????????????? ???????????????

Supreme Award winner Corey Winder of Ashby’s Butchery.

The search for New Zealand’s best sausage involved many in a process which began months out and culminated with a public tasting at Auckland’s Wynyard Quarter on November 4. Record entries were received in the 2011 Devro New Zealand Sausage Competition, with nearly 500 sausages entered by supermarkets and independents nationwide. Over 20 mystery shoppers then scoured the country purchasing sausages to send to the Retail Meat New Zealand (RMNZ) team in Auckland. The team removed all branding from every product and coded all 470 entries anonymously. The initial judging on November 2 and 3, also sponsored by Kerry Ingredients, was staged at the Auckland Fish Market over two days where the expertise of 50 judges (comprising chefs, food writers, polytechnic tutors, past and present butchers and culinary staff) was recruited to help determine a winner from each of the 12 categories. The category winners were: • Beef: Ellerslie Meats, Beef • Pork:Te Rapa New World, Pure Pork Sausage • Saveloy/Polony/Cocktail: Angus Meats, Plain Saveloy • Frankfurters & Rounds: Greerton Quality Meats, Black Pudding • Traditional: Brookfield New World, Country Pork • Flavoured Precooked: Franklin Country Meats, Smoked Paprika & Cheese Precooked • Precooked: NZ Farm Co, BBQ Pork Precooked • Flavoured: Brookfield New World, Pork Flavoured • International Bratwursts & Boerwors: Peter Timbs Meats, Hot Hungarian • International Spicy: Hellers Ltd, French Merguez & Ashby’s Butchery, Italian Casalinga Pork Sausage • International Mild: Ashby’s Butchery, Italian Fennel • Gourmet: South City New World, Chicken & Bacon & Angus Meats, Pork, Stilton & Apple The finalists were again put to the test in the final round 18

FMCG DECEMber 2011

Final judges: Allyson Gofton, Kerry Tyack, Oscar Kightley and Matt Grimes.

of judging on Friday, November 4, to decide the Supreme Award and the People’s Choice winner.The panel of final judges comprised head judge and food writer, Kerry Tyack; food author and media presenter, Allyson Gofton; celebrity judge, Oscar Kightley and Foodstuffs South Island training advisor, Matt Grimes.These four final judges had the challenging task of tasting and deliberating over the 14 category finalists to determine an overall winner. Once the panel of judges had selected a winner, the public was given a chance to vote on a ‘People’s Choice’ favourite via ‘tastings’ around Auckland’s Wynyard Quarter area. Members of the public enthusiastically sampled the 14 top sausages and provided their opinion. New Zealand’s best sausage, from Ashby’s Butchery in Christchurch, received a resounding unanimous vote from both the public tasters and the expert judges. The winning sausage, an Italian Casalinga Pork sausage, was entered under the International Spicy section and was the subject of rave reviews and commentary from judges. Corey Winder, owner of Ashby’s Butchery, felt overwhelmed by his win and the accomplishment of two prestigious accolades – the 2011 Supreme Winner and the 2011 People’s Choice Award Winner. “I was really happy to be announced as the People’s Choice Award winner, but to then be announced as the overall Supreme Winner as well was really something. It’s going to be huge for our business,” said Winder. A number of other stores received gold, silver and/or bronze medals for their entries and are being acknowledged through news releases, the RMNZ website and on-pack stickers. This is the essence of the competition; recognition of the best of New Zealand, and providing an opportunity for sausage makers around the country to achieve publicity about their ability to produce top quality and great tasting sausage products.

fgc

Maui leak tested food supply network Katherine Rich asks: What lessons have we learned? New Zealanders these days take full supermarket shelves for granted. Only a few have seen food shortages, usually during times of war, rationing or natural disaster. While New Zealand has a robust and resilient food supply network, it was sorely tested by a broken weld on an obscure pipe under the rugged North Taranaki countryside. Commissioned in 1973, the 307 kilometre Maui pipeline supplies Taranaki gas to the upper North Island. On 25 October 2011, that gas stopped flowing after a major leak was discovered. It is likely underground earth movement broke a weld and cracked a small segment of the more than 30-year-old pipeline. Overnight, 255,000 people were affected by this disruption. It is fair to say that nobody really seemed to be aware of the North Island’s gas supply vulnerability. There were seemingly no back-up systems or contingency plans. When the Maui pipeline sprang a leak, the immediate impact on the food industry was debilitating. A number of major Food and Grocery Council (FGC) members had to completely halt production in the days after. Many other businesses in the region suffered similar hardships. Remaining gas supplies were understandably prioritised to residential dwellings and designated essential services. It quickly became clear however that certain staple foods needed to be redesignated as essential. Regrettably, a number of initial applications to make this happen were declined outright. The Council moved quickly to work with FGC members, Energy Minister Hekia Parata and her officials, the Gas Industry Company (GIC) and finally the rather elusive “Critical Contingency Operator” (CCO). It was only when faced with the stark reality that Auckland was only days away from completely empty bread shelves that the GIC and CCO realised that upgrading the designation of selected factories was critical. As a result, members were able to crank up their production, albeit on a limited basis, and a food crisis was averted. Over the following days, the FGC and members pushed the case for sugar, yeast and breakfast cereals to join the list. Our focus was on essential staples for domestic consumption.

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

Now that the gas supply has been restored, it is time to reflect on what we have learned from this disaster. Clearly, our dependence on a single aging gas pipeline will need to be reviewed. As an industry, we also need to further raise the priority of food production with all decision-makers. Basic food products should be considered “essential” in situations such as this. There should not be the need for protracted debate or the threat of shortages to prompt action. We need to ensure that decision-makers understand the key role food security plays after any disaster. People can rationalise the absence of many things, but food is not one of them. If there is even a whiff that food is running out, the situation can turn ugly quickly with panic buying, hoarding or even worse.

We need to ensure that decision-makers understand the key role food security plays after any disaster. The Council has made this point many times, but never quite as eloquently as British MP Lord Cameron of Dillington. He said we are all just “nine meals away from anarchy”. If people are short of food for three days, he argues, the thin veneer of our civilisation rips away and it is basically all on. Our priority is to ensure basic food production is properly classified in any future disasters. In addition, the Council is canvassing members about industry specific issues and will be seeking a meeting with the Gas Industry Company to discuss those concerns. The question of compensation is ongoing and will be largely left to the lawyers. The Minister of Energy has correctly instigated a review of the leak and the subsequent response. We will be making our members’ views heard in that process. While the Maui gas leak certainly tested our food supply network, it did not break, but there are certainly things we can do better next time. DECEMber 2011 FMCG

cate go r y c h e c k

BBQ season Outdoor entertaining and relaxed meals are top of mind at this time of the year. From burgers to mushrooms and premium cuts of meat – FMCG found out what’s popular on the BBQ this summer.

ilver Fern Farms’ retail brand was launched in November 2009 to respond to the modern consumer’s need for natural, healthy and convenient meal options that can be prepared easily at home. “Consumer research identified that product innovation was required in the red meat cabinet to give consumers the confidence to cook it at home with success every time,” says Sharon Angus, group marketing manager. Silver Fern Farms has a range of lamb and venison products available in the butchery section of supermarkets. Reared just as nature intended on the lush, green pastures of free-range farms throughout New Zealand, Silver Fern Farms lamb and venison promises a taste and tenderness like no other, says Angus. Silver Fern Farms prides itself on bringing consumers restaurant quality cuts at home. They’re not only naturally lean, but tender, succulent and delicious as well. Each cut is expertly packaged to lock in the flavour and retain freshness, with cooking tips and recipe ideas on the pack for a quick and easy meal every time and also recipes on the website for inspiration from around the world.

FMCG DECEMber 2011

Silver Fern Farms has recently partnered with Annabel Langbein through her Fresh Everyday campaign. Research has shown that many New Zealand consumers want a helping hand when it comes to cooking lamb and venison. “We have found that they want inspiration, easy recipes, short cooking times and tips on how to produce great meals. We are committed to helping people build their knowledge and appreciation of our product and Annabel will be the perfect guide,” says Angus. Watch out for two new products launching late February 2012; Lamb Medallions and Venison Roast.

Hellers Among Heller’s recent launches are the following products: • Free Farmed Country Pork Sausages • Free Farmed Spicy Chorizo Sausages • Free Farmed Breakfast Pork • AngusPure and Garlic Sausages • AngusPure Burgers and Meatballs • Free Farmed Pork Burgers and Meatballs • Free Farmed Bacon range. Marketing coordinator Brydon Heller told FMCG: “The sausages

have gone very well with Free Farmed Country Pork launching near the start of the year and fast becoming one of our top five selling fresh flavoured sausages. Free Farmed Bacon range has also launched very well with sales up over the previous packed and branded range. “We are always working on new products to bring to the market,” adds Heller. What about consumer trends in this category? Heller says sausages still feature high with consumers looking for inspiration and quality ingredients in the products they are buying. Allergens are also an important issue and gluten-free products have a bigger offering now with momentum still climbing, says Heller, adding that consumers tend to purchase trusted brands.

Leader Products Leader Products manufactures trusted frozen convenience foods for all leading supermarkets and butchery stores, says managing director Tony Peterson. Leader manufactures a wide range of BBQ products, two of which were ranked number one and two for the Total Frozen Meat category – Auckland (Nielsen – 2010). The BBQ range includes several gluten-free chicken lines. “The BBQ Beef Burger Patties (all beef) have continued to grow immensely, across the small, large and value tray variants in the butchery department and are one of Leaders’ top

bbq fo o ds

THE BREAKDOWN Current MAT to 06 November 2011

selling summer lines,” says Peterson. The range includes not only BBQ Beef Burger Patties, but also BBQ Chicken Burger Patties, Flamegrilled Chicken Patties, BBQ Pork Riblets available in small, large and value trays and Kumara Rostis – the retail pack is perfect for breakfast or a special BBQ brunch. “Leader Products is well known for producing tasty, quality meal solutions. The Leader range is familiar to consumers who want quality, convenience and affordability,” says Peterson. Leader Products launched the new “Sizzle Stix” in four fantastic flavours in October. They include Honey Soy Chicken, Teriyaki Beef, Kransky & Cheese and Moroccan Lamb. These four lines are all gluten free. Sizzle Stix sales continue to grow as customers discover the ease and convenience when cooking. It is recommended that Sizzle Stix are cooked from frozen. Look out for Leader BBQ Pork Riblets (large tray) in store during summer with increased pieces (from 6 to 7) at no extra cost, says Peterson.

Freedom Farms Freedom Farms pork is farmed on SPCA-approved farms near the Southern Alps and is available nationwide in specialty stores and supermarkets. Freedom Farms is promoting the joys of barbecuing pork cuts this summer on a real fire, as a follow on from the launch of Al Brown’s book Stoked. “Consumers can win a copy of

the book in our summer BBQ promotion,” says Freedom Farms co-founder Gregor Fyfe. For summer BBQs, Freedom Farms is focusing on three pork cuts: thick cut rump steaks, baby back ribs, and butterflied whole scotch. “Rumps are a joy on the BBQ. Most people have never tried a pork rump steak, even most butchers.They should be cooked exactly the same as beef rumps, sprinkle with a few fennel seeds and some chilli flakes and grill hot,” says Fyfe. Baby back ribs are the premium ribs, big meaty and juicy, just marinate and grill slowly. According to Fyfe, butterflied scotch is ‘the new butterflied leg of lamb’ – it’s amazingly good value compared to lamb and produces a perfect juicy cut every time. Cook it like lamb or beef, medium is best. It contains wonderful marbling so it stays moist after cooking, says Fyfe. “We are also promoting our new classic pork sausages – real sausages using premium NZ pork shoulder, farmed the ‘Freedom way’.”

Total Frozen Meat: $21.469m Value % Chg vs YA 5.0 Total Frozen Poultry: $108.745m Value % Chg vs YA 0.5 Total Processed Chicken: $44.496m Value % Chg vs YA 3.9 Total Whole Chicken: $32.750m Value % Chg vs YA -1.6 Total Pieces Chicken: $26.097m Value % Chg vs YA -0.8 Total Whole Turkey: $3.897m Value % Chg vs YA -2.7 Total Processed Other Poultry: $1.048m Value % Chg vs YA 3.8 Total Pieces Other Poultry: $215,603 Value % Chg vs YA -26.9 Total Whole Other Poultry: $240,994 Value % Chg vs YA -43.6 Total Vacuum Packed Fish & Seafood: $25.860m Value % Chg vs YA 12.9 Total Vacuum Packed Fish: $24.825m Value % Chg vs YA 12.5 Total Vacuum Packed Shellfish: $893,853 Value % Chg vs YA 30.2 Total Vacuum Packed Other Seafood: $141,669 Value % Chg vs YA -15.6 * Nielsen New Zealand ScanTrack (Databank)

DECEMber 2011 FMCG

cate go r y c h e c k New packaging for Rangitikei Corn-fed, free-range Rangitikei chicken now has bold new packaging featuring striking yellow and orange stripes and a refreshed logo. Rangitikei chicken offers fresh from the farm, premium quality meat which is juicy and tender with a distinctively delicious taste. That unique flavour results from the chickens being fed a diet consisting primarily of corn. The natural carotenes in the corn give Rangitikei chickens their golden skin while the meat has a richer, tastier, buttery flavour. Raised free-range in the North Island, Rangitikei chickens have the freedom to roam and forage outside. Rangitikei chickens are available as whole birds, skin-on and skinless breast fillets, skinless thigh fillets and drumsticks.

Brights Burgers The Brights Frozen range was launched this September. “Brights is all about making your Kiwi BBQ good times even better with the best quality products to share,” says marketing manager Craig Dixon. Launched in the last two months, the Frozen range includes Beef Burgers, Chicken Burgers,Turkey Burgers, Steak and Onion Grillers and Meat Balls (all pre-cooked and coarse ground). These join the Brights Premium fresh sausage range in the butchery department. “The objective when launching this range into grocery was to grow the category through launching unique products and also to invest with consumer communications, PR and trade activity to attract consumers to the grocery freezer,” explains Dixon. “After five weeks of Aztec data (23/10/11), Brights sales have been incremental to category growth.” Included in the range are unique products such as Quarter Pound Turkey and Chicken Burgers and also the Steak and Onion Grillers, which are ideal for a steak sandwich or roll. “We are investing in the Brights 22

FMCG DECEMber 2011

Brand to build awareness and sales.TV is the main medium – we have also joined up as a sponsor of Movember, which has given the brand an effective way of communicating with our target consumers (the BBQ prodders) and also to gain credibility and build brand equity,” says Dixon. “BBQs are becoming increasingly sophisticated – a chance to show off your culinary skills and enjoy good food with friends and family in typical Kiwi fashion. Brights helps make your BBQ better,” he says.

Meadow Mushrooms Perfect with burgers, steaks or as a vegetarian option, Portabello Mushrooms (also known as ‘field’ or ‘flat’ mushrooms) are rich in flavour with a meaty texture and great on BBQs – no peeling or preparation is required. Mushrooms are very high in nutritional value – they are a good source of B vitamins, potassium, selenium, copper, phosphorous and the antioxidant ergothioneine, as well as being low in calories, fat and sodium. Meadow Mushrooms national sales manager Yvonne Clyne comments: “Meadows 250gm Breakfast Portabello Mushrooms continue to drive category growth with sales up 10% – MAT 6 November 2011 (Aztec) and Meadows 250gm BBQ Portabello Mushrooms continue to drive category growth with sales up 11% – MAT 6 November 2011 (Aztec).” Meadows are soon to launch a new – limited edition pack – Portabello Plus. Available from 1 December 2011 this new pack comes complete with a gourmet pesto flavour sachet included. It’s just brush and bake – adds flair and

flavour to any meal. Clyne adds: “Check out your sales and profits per square metre of produce shelf space – your mushroom category is truly valuable all year round. “And don’t forget the best wine match with mushrooms is a good Pinot Noir!”

Tegel Summer is here and there is nothing more quintessential about Kiwi summer than firing up the BBQ in the backyard with your family and friends. Tegel has got chicken on the BBQ completely covered this summer, says marketing manager Brenda Galbraith. “Tegel Fresh Sausages are always a favourite and kids love Tegel PreCooked Sausages.Tegel Ready to Grill range is a must on the BBQ accounting for a $5.8 million business and is the market leader in the category (Aztec TKA Dollar Sales MAT 23/10/11),” says Galbraith. She adds: “Tegel Ready to Grill Kebabs have taken the hard work out and kept the flavour in with six delicious varieties to choose from. While the chicken sizzles on the BBQ bring out some Tegel Ready to Grill Tenders as appetizers. These succulent chicken tenderloins are so quick and easy and come in two great flavours.”

Ingham Ingham’s Butterfly Chicken and its range of Chicken Kebabs are ideally positioned to expand the fresh valueadded category this summer, a company spokesperson told FMCG, adding: “Over the last quarter (to 09 October 2011), the category has grown by 5.8 percent versus the same period last year (Aztec).” Perfect for summer, Ingham’s unique and versatile Butterfly Chicken range is suitable for both the oven and BBQ. These whole split chickens provide a refreshing approach to cooking succulent and tasty chicken. They are brilliant for shoppers looking for an impressive but easy way to add that alfresco flair to their dinning experience.

bbq fo o ds

The new range of Butterfly Chicken comes in Tandoori, Garlic & Herb and Lime & Chilli, with their bright red packaging that will stand out in any chiller environment. Another popular favourite on the BBQ are Ingham Chicken Kebabs, which are always a winner due to their price, ease of preparation and presentation. Ingham Chicken Kebabs come in a wide selection of pre-marinated flavours, including Satay, Honey Soy, Tandoori or Moroccan. The company spokesperson said: “Ingham 100% New Zealand quality chicken products are adding value to summer BBQs across the country. ‘Range’em, your customers will Love’em’.”

BBQ Marinades & Sauces Heinz Wattie’s summer BBQ essentials include a range of dressings (Eta; Eta Gourmet; Heinz; Heinz Seriously Good; Weight Watchers) and table sauces (Wattie’s; Wattie’s Bit on the Side; Heinz; HP; Lea & Perrins; Sinsin). Among recent new product launches are Eta Caramelised Onion Dressing 250ml and Eta Greek-style Feta with Oregano Dressing 250ml; Heinz Seriously Good Aioli 295ml (available in an ‘Upside Down Squeezy’ bottle) and Heinz Seriously Good Tartare 295ml (available in an ‘Upside Down Squeezy’ bottle). Melanie Taylor, senior product manager dressings & table sauces (Heinz Wattie’s), told FMCG:

“These new dressings have been performing well since launch August/ September 2011. 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. Eta strives to keep abreast of international and New Zealand flavour trends. “The new Heinz Seriously Good Aioli and Tartare have been a welcome addition to the successful Mayonnaise and Pasta Sauce ranges, taste seriously good and are set to contribute to market growth. Tomato Sauce as a Kiwi staple continues to dominate the Table Sauces market.” She adds: “Heinz Wattie’s leads the Dressings category (Nielsen, Total Dressings Val & Vol MAT to 9th October 2011).” Sinsin Asian Sauces were launched late October 2011 and have been well received by the trade. Recent launches in the Sinsin range include: • Sinsin Light Soya Sauce 635ml • Sinsin Dark Soya Sauce 635ml • Sinsin Oyster Sauce 505g • Sinsin Garlic Chilli Sauce 330g • Sinsin Sweet Thai Chilli Sauce 350g.

Oriental Merchant Chris Hutton, Oriental Merchant NZ manager, says: “No BBQ is complete without the famous Sweet Thai Chilli Sauce. Recently the popular Mae Ploy Sweet Thai Chilli Sauce 730ml has had a radical pack change from the traditional red colour label (like many other brands) to blue, which clearly stands out on shelf.” The launch coincides with new barcodes and is just in time

for the peak summer season. In due course the 280ml bottle will change as well. Hutton says: “We have already received favourable reaction from loyal users although at first they asked: Why change a good thing! But now they can easily see it on shelf from a distance.” Mae Ploy still offers great value for money with a traditional chilli hit and a consistency that ensures it adheres to BBQ sausages. For more commentary and product updates in this category see fmcg. co.nz/features/category-reports.

happy eating

Happy pork + BBQ = Happy Eating

Pork Baby Back Ribs Thick Cut Pork Rump Steaks

Whole Butterfly Pork Scotch

DECEMber 2011 FMCG

cate go r y c h e c k

Lunchbox snacks The Snacks category continues to grow in importance for NZ retailers as well as consumers. FMCG looked at some of the key trends. programme across all muesli bar brands over the next year. *Aztec MAT Value to 23/10/11

ABE’S

luebird Foods manages the Quaker, Flemings and Naked brands and is the leading manufacturer in the wrapped snacks category with 21.6% share and 1.7% growth, consistent with MAT category growth of 1.8%*, says group brand manager (Wrapped Snacks), Malcolm Everts. He explains:“In the last 12 months a number of innovations have launched, including the Quaker brand, which is performing strongly. Bluebird market share has remained steady during a transition phase from Flemings to a solid portfolio of three brands that cover market and consumer needs.” Quaker is a global brand, built on the proposition of simple goodness, delivered through better-for-you ingredients and benefits such as wholegrain oats and ‘25% less sugar’, aligned with global trends towards better-foryou snacking. “Quaker Nut bars were the first nut bar in the NZ market to carry the 24

FMCG DECEMber 2011

Heart Tick and 25% less sugar than average nut bars in the NZ market,” says Everts. He adds: “Quaker Fruit Baked Minis also carry the Heart Tick and with the goodness of 25% wholegrain oats, deliver a delicious and convenient snack for the lunchbox. “A recent consumer promotion partnering Quaker with a consumer magazine delivered significant sales uplifts – demonstrating the power of ‘better-for-you’, consumer hunger for quality products, and the strength of a motivated sales force. “In addition, Flemings Chewy has recently been relaunched with a delicious new recipe that delivers lower saturated fat, better fibre and ensures retailers have a great tasting muesli bar to drive units per store per week at competitive promotional prices,” he says. Bluebird plans to continue this portfolio brands approach with a solid product innovation and promotion

Within the snacks category ABE’S supplies ABE’S Bagel Crisps and also ABE’S Bagel Bites (multipacks) to NZ supermarkets nationwide. Sales director Megan Sargent says: “In 2011 we’ve focused on NPD in three areas: firstly a quest to make the perfect bagel crisp, secondly to craft some enticing new flavours, and thirdly through packaging innovation to bring the price down – yes, down.” She adds: “We’re really excited to be launching our new, thinner and crispier bagel crisps, available in the existing Garlic, Sea Salt and Natural, and now also in Sundried Tomato & Basil, Caramelised Onion & Balsamic, and Sea Salt & Vinegar. And because of these tough financial times where everyone is looking for value for money, we’ve moved to a completely new design and packaging material, enabling us to pass on more than a dollar in savings to consumers. The entire ABE’S 150g crisps range is now priced at $3.99, in the same quantity – and even better quality. “Recognising the trend towards snacking, we’ve also made two of the new crisps flavours available in a single-serve – watch out for Sundried Tomato & Basil, and Sea Salt &

lunchbox snac k s

Vinegar also arriving in a 55g pack,” she says. “Early in 2012 we’ll be re-launching the ABE’S Bagel Bites range also with updated packaging and a lower RRP.” ABE’S Bagel Crisps and Bagel Bites are baked not fried, with around 60% less fat than a regular potato chip. Baked from fresh bagels, they contain no artificial colours, flavours or preservatives, and are free from cholesterol, palm oil and MSG – the healthy snacking choice. Sargent says: “The trends in our categories are for more gourmet flavours, and less fat and additives. We’ve responded by making our crisps extra tasty so that they’re delicious on their own, in addition to partnering well with a dip, or even on a platter. But really we think most will be eaten straight from the pack.”

Prolife “Our grocery brands are Mother Earth,Value Pack, Alison Holst Cereal and Donovans Chocolates,” says grocery brand manager Caroline Potter. Mother Earth has a presence in Dried Fruit, Snack Nuts and the Nutritious Snacks category and Nutritious Snacks forms the core business of the Mother Earth Brand. The product ranges in the category are Baked Fruit Sticks, Baked Fruit Bars, Baked Oaty Slices and Soft & Chewy. New products launched in April 2011 included: Mother Earth Baked Oaty Slices Almonds, Grains & Honey; Mother Earth Baked Oaty Slices Afghan; Mother Earth Baked

Fruit Sticks Apple & Blackcurrant; and Mother Earth Baked Fruit Bar Strawberry & Pomegranate. The new products have been well-received, with solid sales volume growing steadily over the last quarter and the new Baked Oaty Slices range in particular has resonated with consumers, comments Potter. “The Nutritious Snacks category is growing at $+2.6% and the Mother Earth Baked Oaty Slices range is growing at $+39.9% (Aztec MAT to 9/10/11 total key accounts),” says Potter. She adds: “Mother Earth has 8% $ market share of Nutritious Snacks (Aztec MAT 9/10/11 total key accounts) compared to October 2009 when it had 6.4% (Aztec MAT 11/10/09 total key accounts). New NPD continues to maintain and drive this growth, with particular success with Afghan: Units/Store/Week = 35, growing at +171.6%*, ranked 8 in total Nutritious Snacks (Aztec qtr to 9/10/11 total key accounts).” Mother Earth Baked Oaty Slices ‘Kiwi Classics’ Choc Chip and Mother Earth Baked Oaty Slices ‘Kiwi Classics’ Peanut Brownie are launching in November 2011. Potter says: “Consumers really identified with the classic Kiwi flavour ‘Afghan’ and sales rocketed – with the product in the top 10 dollarsranked SKUs for Nutritious Snacks within weeks and still maintaining a position there. So to respond to consumer demand a new sub-range was developed: ‘Kiwi Classics Baked Oaty Slices’. The Afghan SKU has

THE BREAKDOWN Current MAT to 06 November 2011 Total Lunchbox Snacks: $133.495m Value % Chg vs YA 1.9 Total Muesli Bars Cereal Based: $99.621m Value % Chg vs YA 2.2 Total Lunchbox Snacks: $24.232m Value % Chg vs YA 0.3 Total Other Health Bars: $9.526m Value % Chg vs YA 9.6 Total Tucker Box: $115,690 Value % Chg vs YA -11.3 Total Snackfoods : $306.548m Value % Chg vs YA 7.1 Total Potato Chips: $133.205m Value % Chg vs YA 9.6 Total Extruded Snacks: $34,197m Value % Chg vs YA 2.9 Total Corn Chips: $35,296m Value % Chg vs YA 5.2 Total Packaged Nuts: $50.513m Value % Chg vs YA 7.7 Total Other Cereal Snacks: $34.902m Value % Chg vs YA 4.8 Total Unprocessed Snack Foods: $10.879m Value % Chg vs YA 9.0 Total Shelf Stable Dips: $3.655m Value % Chg vs YA -4.5 Total Meat Snacks: $2.701m Value % Chg vs YA 10.8 Total Bread Snacks: $1.200m Value % Chg vs YA -9.0 * Nielsen New Zealand ScanTrack (Databank)

DECEMber 2011 FMCG

cate go r y c h e c k

NZ market is the teriyaki steak bar and with a new flavour to be launched in the New Year it is expected to be even more popular,” says McCormick. With Jack Link’s supporting numerous sporting events around the country more consumers are experiencing the great taste of the beef jerky, steak bars and beef sticks. Elite athletes are making them part of their training programmes replacing other protein sources due to the great taste and texture but they are just as good with a “cold one” at the end of the day, says McCormick. been incorporated into this range along with the two delicious, Kiwithemed flavours: Choc Chip and Peanut Brownie. The flavour profile that Kiwis know and love, with the Mother Earth Baked Oaty Slice twist. Mother Earth Choc Fruit Stick Raspberry and Mother Earth Choc Fruit Stick Strawberry & Vanilla are also launching in November. Potter explains: “The current Fruit Sticks range has been a lunchbox favourite for a number of years now and consists of a range of six SKUs of popular children’s flavours. We are launching a range of chocolate fruit sticks – as per the current range they also contain a real fruit filling and are 97% fat free, and this new sub-range also has the Heart Foundation Tick. The chocolate flavour comes from the real cocoa used in the dough, so whilst they have the same nutritional profile as the current range, it has a slightly more indulgent taste and will appeal to a wider audience of children.” Potter says: “Whilst the Nutritious Snacks category is primarily lunchbox products, there is a trend towards bars aimed at adults – this is reflected by the continuing popularity of superfruits and wholegrains. There continues to be a consumer preference for homemade-style, simple products made with good quality ingredients. However, whilst a ‘healthy’ snack is 26

FMCG DECEMber 2011

high on consumers’ wish list including claims such as reduced sugar, and high fibre, taste is by far the most important driver in the purchasing decision. Something consumers are not willing to sacrifice readily, even for compelling health claims.”

Jack Link’s Jack Link’s is the market leader for meat snacks in New Zealand and the world, says sales and marketing manager Kevin McCormick. Consumers are looking for convenience, healthier choices and the ability to “fill you up” in their snacks, making Jack Link’s products ideal for people on the go. He explains: “More people are recognising the healthy attributes of Jack Link’s beef snacks compared with other popular snacks like chips and confectionery as they are low in fat, lower in calories per serving and very high in protein. The tender options of steak bars and beef sticks appeal to many new users in the category, especially for women and children with the added bonus of iron for their lunchbox snacks.” The latest product to hit the shelves is the new low fat Jack Link’s beef stick with 50% less fat than most salami sticks on the market and being gluten, dairy and MSG free it is a smart snacking option for all ages. “The biggest selling product on the

Peckish Peckish Rice Crackers 100g trays are ranged within New World, Pak’nSave, SuperValue and FreshChoice supermarkets. Originally launched in October 2010 the eight intense flavour options of Sour Cream & Chives, Original, Tangy BBQ, Cheddar Cheese, Lime & Black Pepper, Sea Salt & Vinegar, Sweet Chilli and Wasabi have seen phenomenal growth, comments Brandlines assistant business manager Fiona Odering. She says: “Peckish Rice Crackers is now the number one cracker for dollars in New World (28.2% dollar share) and second to Pams in Pak’nSave stores (19.1% dollar share) throughout New Zealand (Aztec YTD to 16/10/11). Peckish Rice Crackers 100g trays overall are performing exceptionally well with growth of 42% (Aztec 4 weeks in TKA 16/10/2011).” Peckish Rice Crackers have a unique offering compared to other rice crackers within the category; consumers are enjoying their thinner, crispier and lighter attributes. Consumers today are becoming more health conscious and are actively looking for healthy food options. Peckish Rice Crackers are a healthy way to snack as they are baked not fried, trans-fat free and Original, Tangy BBQ, Sea Salt & Vinegar, Sweet Chilli and Wasabi are cholesterol free.The food industry is also seeing

st ra pgo r y c h e c k cate

increases in the number of consumers who have coeliac disease or are gluten intolerant; all flavours of Peckish Rice Crackers are gluten free.

Oriental flavours Chris Hutton, Oriental Merchant NZ manager, told FMCG the company’s range of tasty style adult snacks including Wasabi Peas, Spicy Broad Beans & Chilli Peas all come in a 100g foil bag with display tray and brightly coloured packaging which stands out on shelf. Tao Kae Noi is a range of Japanese style, tasty seaweed snacks that comes in either Crispy or Tempura Original or Spicy flavour and is packed in a re-sealable distinctive foil bag. Bika, a well-known Malaysian extruded style cracker, is packed full of seafood style flavours, with the Honey Prawn proving very popular with the NZ market. Dainty are 98% fat free Rice Cracker snacks in various shapes and flavours with some wrapped in Nori. Nong Shim is Korea’s most famous snack – Shrimp Crackers and Onion rings plus Shrimp meat crackers, which are the ready form of the Chinese prawn crackers. Hutton explains: “We launched Bika during 2011, a well-known snack range from Malaysia.Very crispy and light, packed full of flavour, but not too spicy. The favourite flavours have been Honey Prawn followed by Lobster, Seafood and Cuttlefish more popular with the Asian community. Bika has a wide range of snacks and we will play with varieties to ensure the brand stays interesting to the NZ market. We have launched Tao Kae 28

FMCG DECEMber 2011

Noi’s Classic Big Bang Snack; full seaweed sheets dry roasted and flavoured for a complete seaweed snack.The Big Bang offers great value for money. No fat so no cholesterol,” says Hutton. “We are placing a lot of our focus on adult snacks. They are looking for variety flavour and something different to serve when entertaining, especially with pre-dinner drinks. When it comes to the Savour range Wasabi Peas have been a very big hit as they are extremely spicy and crispy. However after a strong sampling campaign we are now seeing the Savour Spicy Broad Beans becoming just as popular. Chilli Peas will be the next one to take off in the series, again slow to start but sampling has helped this variant get established. Savour is another company which is strong in development and can provide a range of great tasting adult snacks.”

Healtheries The Healtheries brand has had somewhat of an ‘extreme makeover’ over the past four years. Fiona Arthur, marketing manager Healtheries & Food, explains: “We started the process by talking to our consumers – about what being ‘healthy’ meant to them, plus how the Healtheries brand and products fitted into their lives. It became clear that there was a real opportunity for Healtheries, which already had an immense amount of trust, to become the brand that made feeling healthy an easier habit for everyone. “With this in mind we put significant investment into re-launching the products in each of our core food and beverage categories: NZ’s top Herbal tea range, Better-for-you Baking range and the Wheat & Gluten free range. “The next step was tackling the snacking portfolio, which again began by making sure we knew what consumers were looking for in ‘better for you snacking’. We learnt that brands were top of mind and that the Healtheries brand was deemed as a credible brand in the snacking market.”

“What better-for-you benefit in particular were they looking for? ‘Less fat’ was the re-sounding answer!” Arthur says: “Healtheries are establishing themselves as the leading better-for-you snacking brand. We now offer a range of product formats to suit the whole family.” 1. Healtheries Wiggles range (1-5 year olds) “This unique partnership leverages the entertainment value of The Wiggles and the health credentials of Healtheries to provide parents with a range of ‘nutritionally best in category’ products. “Our review of the Baby and Toddler category in the UK highlights strong expansion into the ‘toddler’ food segment. For example in all UK grocery accounts (Tesco,Waitrose, ASDA) there is an equal shelf allocation between Baby (pre 12mths) and Toddler (post 12mths) meal solutions. We think this points to great opportunities for category growth in the baby food market in the NZ market, and the Healtheries Wiggles range is well placed to drive this with products such as Ricey Bites (rice based snacks), Fruit Fills & Bickies (first-tomarket nut free options) already outperforming expectations.” 2. Healtheries Kidscare range (5-10 year olds) “The Healtheries Kidscare range is really ‘coming of age’. Whilst we’ve always had steady growth as consumers became more aware of our children’s

lunchbox snac ks strap better-for-you lunchbox options, over the last year this has accelerated rapidly. To the point that (apart from housebrands), the Healtheries Kidscare range is the fastest growing multipack snacking brand in grocery at +32% vs YA in TKA*. “We know that innovation is the key to driving brand and category growth in this segment, and the latest addition to the family is certainly achieving this. “Healtheries Kidscare Corn Tubes launched in June, in two great tasting flavours – Nacho Cheese and Chicken, and are selling strongly. Made from wholegrain corn, Corn Tubes are a source of fibre and also low in fat – 65% less fat than regular potato chips. Sampling to kids was a key part of the launch experience, with over 60,000 packets given out at swim schools and athletics clubs nationwide, along with a $1 off coupon to redeem in supermarkets.” *Source: Multipack Snacking. Aztec Latest Qtr 3/7/11 vs YA.

3. Healtheries Snacking range (whole family). “Off the success of our children’s snacking range, we spied an opportunity to take the Healtheries brand credentials into a broader family offering. After scouring the globe for true snacking innovation, this led to our latest launches in September and October: Healtheries Air Popped Potato Bites and Healtheries Grain Wafers.” Arthur adds: “We think it’s time to tackle the real issue in snacking – the Total Fat content. Other allegedly ‘better-for-you’ potato snacks claim to have ‘80%-85% less saturated fat’. We agree that it’s important to watch saturated fat intake, but we also think a claim like this hides the real issue;Total Fat content. NZ’s top selling potato chips contain on average a whopping 32% total fat! “Healtheries first-to-market Air Popped Potato Bites contain only 8% total fat, no added MSG or artificial colours or flavours, and have a

fantastic crunch and taste. Available in two of NZ’s favourite flavours – Sour Cream & Chives and Sea Salt. “Whilst it’s only a matter of weeks since launch, we’ve had fabulous trade support and are already getting consumer feedback – such as ‘finally, a genuinely healthy snack that actually tastes great!’ “The Healtheries Rice Wafer range has also had a complete makeover, with unique shapes and flavour combinations, plus thin formats and corn. The range includes three square shaped unique grain & seed combinations; such as Grains & Sunflower Seeds and Five Grains. Also three flavoured rounds, often used more as a snack, with a first-to-market re-sealable twist top bag.Two new flavour offerings are BBQ Chicken and Sea Salt & Cracked Pepper. It’s important to note that Healtheries flavoured wafers were developed by Kiwis for Kiwis – and aren’t just Australian products dropped into the NZ market!”

Kiwi Biltong Kiwi Biltong has two products in shops at the moment: Traditional and Chilli Flavour. “Kiwi Biltong was launched about nine months ago and is currently in 230 shops from Napier/Taupo to Kerikeri; 95% of our sales are re-orders and we show a constant growth,” says general manager Hewin Erasmus. He adds: “We are planning the launch of three new products in the next month: Kiwi Biltong Dried Sausages; Jimmy’s BBQ Sauce and Black & White Long Burning BBQ Briquettes. We are finding more and more repeat sales, and experiencing growth in the High Protein Snack market as people become more aware that biltong offers a healthy option for kids’ lunch boxes, snacks with drinks, a snack for sport people and people on the go!” He says: “We are an innovative and very entrepreneurial team with so much energy and enthusiasm. Our products are available in most

Foodstuffs (Auckland) shops, Liquor Stores and some dairies. We are finalising our listing with Foodstuffs and will launch in Wellington soon.”

Popcorn Brandlines represents Ezipop Microwave Popcorn in the New Zealand market and is continuing to see strong growth out of the brand with Ezipop continuing to grow at 4.5% MAT to 03/07/2011*, says business manager Andrea Crutchley. She explains: “The popcorn market is seeing strong growth at 12.5% MAT to 03/07/2011*, now worth $15.4m and microwave popcorn is growing at 9.8% and valued at approximately $10m. It is interesting to see popped popcorn back in growth at 13.7% MAT to 03/07/2011* and this could be an opportunity to tap into for the Ezipop brand in the future. With regards to trends in the category, Brandlines has noticed that consumers are still seeking portion control, and the Ezipop Mini Bags cater well for this segment. Within the overall Ezipop brand sales between the Extra Butter and Light Butter variants are fairly even, with slightly more consumers favouring the Extra Butter, highlighting the need for stores to have breadth of range to satisfy consumer demand.” *Aztec data to 03/07/2011 For more commentary and product updates in this category see fmcg. co.nz/features/category-reports. DECEMber 2011 FMCG

cate go r y c h e c k

Family planning More consumers are now looking to supermarkets for pregnancy tests and other family planning essentials. FMCG talked to some of the suppliers in this category.

ilson Consumer assistant Sara Williams told FMCG that more people are starting to look to supermarkets to buy pregnancy tests as opposed to pharmacy. Not only are they cheaper in supermarkets, but they are more readily available for women who need to buy in a hurry. There is also the anonymity at supermarkets for women buying pregnancy tests that they might not feel they get in pharmacy. She explains:“There is also a much greater need for a ‘cheaper brand of pregnancy tests’ that allow women to buy two to three tests to make sure their results are the same each time or if they aren’t sure the first time and don’t want to spend a lot of money re-buying. “We launched Pregnosis into the New Zealand market in April 2011,” says Williams. She adds:“Pregnosis is the market leader in pregnancy tests in pharmacy in Australia, with 2 Tests almost doubling the sales of the 1 Test.” Pregnosis provides a 2 test variant in supermarkets, where plenty of 1 and 3 30

FMCG DECEMber 2011

tests options are available. Williams says:“Pregnosis packaging stands out on the shelf with a fantastic name, it is straight to the point and the pink packaging makes it easy for women to find on shelf when looking for a pregnancy testing product. The pregnancy testing category in supermarkets is relatively small so there is room for another product to come in and offer a good RRP to the consumer and GP to the retailer, which is what Pregnosis does.” She says: “Pregnosis may be a cheaper alternative on the market but continues to give 99% accurate readings, consistent with its competitors. Pregnosis Dip & Read tests also provide a point of difference with its two tests including two collection cups for each test meaning customers don’t have to wash and reuse.” Pregnosis is distributed by Wilson Consumer Products in Auckland.

Ansell Ansell has two brands in the Family Planning category: LifeStyles and Contempo. Key account manager Karen Kelly explains: “LifeStyles includes the popular sub-brand Zero. Ansell has a 29.3% MAT share up to 24/10/2011 (Aztec) of the market, up from 28.2% a year ago.” She adds:“Ansell is leading condom

fami ly plann in g THE BREAKDOWN Current MAT to 06 November 2011 Total Family Planning: $10.912m Value % Chg vs YA 2.5 Total Condoms: $5.156m Value % Chg vs YA -0.3 Total Personal Lubricants: $3.390m Value % Chg vs YA 5.0 Total Diagnostic Tests & Equipment: $2.366m Value % Chg vs YA 5.3 * Nielsen New Zealand ScanTrack (Databank)

category innovation through new style packaging for LifeStyles Zero and LifeStyles Zero LRGR.The latest addition is LifeStyles Neon. These pack designs are very discreet, with shoppers feeling comfortable placing them in their shopping basket. These packs have a unique push-tray package, which is easy to open. Recently launched LifeStyles Neon 8pk features unique ‘glow in the dark’ condoms (pink & green) and is already a hit with consumers in Australia, setting high expectations for the New Zealand market. The product, packaged in a ‘glow in the dark’ box, is bringing new users who want to have some additional fun in the bedroom into the condom category.”

Referring to new consumer trends in this category, Kelly says:“The ‘sensation’ segment of the market represents 62% of the category (Aztec data to 24/10/2011) and is the only growing segment with +2.2% growth versus the category showing only +0.3% growth. The sensation segment represents the ultra thin condoms within the category. Ansell distributes the very successful Uber Thin Zero Condom – NZ’s thinnest natural rubber latex condom,” she says.

Vagisil Vagisil feminine hygiene range – Vagisil Wash, Moisturiser, Wipes, and Validosil Cream – is a focused “ther-

apeutic” range of female care products designed to relieve and prevent women’s health conditions. The Vagisil range launched in supermarkets in June this year and is supported by a targeted TV campaign from September through to December 2011. National key account sales and marketing manager Louise Clayton says: “In early 2011 Grocery Fem Care sales account for less than 2% of total Fem Hygiene turnover compared with the US Fem Care at 20%

DECEMber 2011 FMCG

cate go r y c h e c k

Rapidly growing awareness of women’s health is a new consumer trend. of total Feminine Hygiene sales*.” The US result has been driven by increased demand for “therapeutic” products which have accelerated in response to two major global trends: 1. Rapidly growing awareness of women’s health (women are seeking a higher level of education and awareness to preserve their health and maintain their feminine self, accelerating growth of self care, self diagnosis, self treatment, daily care and prevention). 2. NZ Grocery has started to accelerate its category sales, with a targeted

range of “therapeutic” offerings from Vagisil; offerings that address key insights and consumer demand. Clayton adds: “We have just launched, in October, new Vagisil Wipes in a convenient 12 pack for a great retail price of $5.99.” Rapidly growing awareness of women’s health is a new consumer trend, according to Clayton. Feminine Care is a high-involvement category, she says. “Vagisil’s proven range of Fem Care is the key to delivering significant segment sales, margin and share growth across a broader spectrum of the Fem Care Segment,” says Clayton. * Source: Retail World Annual Report 2010

Clearblue In supermarkets, Clearblue ranges the Clearblue Pregnancy Test with Colour Change Tip in both a single and 2-test pack. Clearblue pregnancy tests are over 99% accurate when used from the day a period is due, says public relations manager Candice Glynn. She says Clearblue Pregnancy Test with Colour Change Tip offers five elements of certainty: 1. Accurate: No test is more accurate – over 99% accurate from the day a period is due. 2. Clear: Gives clear (+) and (-) results. 3. Easy to use: The Colour Change Tip and the control window show the test is working. 32

FMCG DECEMber 2011

4. Fast: At one minute a line in the end window will show that the test has worked and the result is ready to read. 5. Convenient.

Johnson & Johnson Senior brand managerWinnie Chung told FMCG:“K-Y INTENSE female arousal gel is our latest launch in the personal lubricant category. With new K-Y INTENSE female arousal gel, achieving the ultimate climax is made simple. A single drop massaged gently onto the clitoris heightens sensitivity and intensifies pleasure to explosive proportions.” This new product launch is supported by TVC, print and online from November 2011. Chung adds: “In a recent survey* conducted by K-Y a staggering 80% of Kiwi couples said they wanted more intimacy with their partner. By enhancing the sexual experience, K-Y INTENSE can help to bring couples closer and take intimate time together to a whole new level of satisfaction. According to our survey results, 78% of couples also revealed they enjoy experimenting under the covers, which means K-Y INTENSE will be a welcome addition to the bedroom antics of Kiwis everywhere.” K-Y INTENSE is available nationwide at all major supermarkets with an RRP of $29.99. *2010 Survey conducted by SheSpot with 579 New Zealand respondents.

What’s Hot

Tao Kae Noi is taking the world snack market by storm. From a solid base in Thailand (70% share of the seaweed snack market), this famous brand is now seen in all corners of the world. Tao Kae Noi offers a healthy adult snack alternative. Made from Crispy Seaweed, it contains fibre, iron and protein while being very low on fat & calories. But that is not why people eat it – it is because it is packed full of freshness and flavor. And now the range is being extended in NZ with the Big Bang range – whole seaweed snack sheets offering great value for money.

Portabello Plus adds flair and flavour

For more information or a sample of Tao Kae Noi 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

Meadows are soon to launch a new limited edition pack – 250gm Portabello Plus. Available from 1 December 2011 this new pack comes complete with a gourmet pesto flavour sachet included. It’s just brush and bake – adds flair and flavour to any meal. Mushrooms are Kiwis third most popular vegetable. Check out your sales and profits per square metre of produce shelf space – your mushroom category is truly valuable all year round. Please contact the Meadow Sales Team: Customer services – 0800 687 476 or fax 0800 687 467 Mark Santy (Southern Region) – 0272 202 452 Tracy Scott (Central Region) – 0274 972 823 Zane Hutching (Upper North Island) – 0274 859 826 Yvonne Clyne (National Sales) – 027 216 0900 www.meadowmushrooms.co.nz

SCHWARZKOPF BRILLIANCE NIGHT DIAMONDS COLLECTION

Gift cards – the most requested present this Christmas

The new Schwarzkopf Brilliance Night Diamonds collection is available in four luscious dark shades, which will suit every brunette’s shine and colour needs: 1) 85 Violet Vision 2) 90 Black 3) 91 Blue Black 4) NEW shade 98 Dark Red Diamond For intense, vibrant, long-lasting colours with a magical shine like a 10-Carat Diamond try the Schwarzkopf Brilliance Night Diamonds collection now! The Schwarzkopf Brilliance Night Diamonds are now available nationwide at all major supermarkets, department stores and selected pharmacies. RRP: $15.32.

Ezi-Pay’s 2011 Christmas Shopping Survey has revealed that gift cards are the most desirable gift, with 72% of respondents preferring a gift card to an actual gift.

What’s Hot

Tao Kae Noi Snacks

Cards for The Warehouse, Mitre 10, GrabOne, Hunting & Fishing are expected to be extremely popular this Christmas, along with Ezi-Pay’s Restaurant, Gardening and Pharmacy Cards, which can each be redeemed at a wide range of outlets nationwide. Additionally, game cards for Zynga, the maker of Facebook’s most played games, are high on Christmas wish lists. Stock the right gift cards this Christmas, call Ezi-Pay on 0800 960 000 or visit www.ezipay.co.nz. DECEMBer 2011 FMCG

g rocer y b us ine ss New tests for honey INDUSTRY New Zealand’s leading honey testing laboratory, Hill Laboratories, has developed chemical tests for honey that will give producers a global marketing edge. Hill Laboratories client services manager Colin Ogle says: “We developed a new suite of oligosaccharide tests to assess these higher level sugars in honey which impart health benefits – specifically prebiotic and probiotic activity. “All honey has some levels of oligosaccharides. Our tests are able to reveal the types of oligosaccharides and the levels. Once honey producers understand which oligosaccharides their honey contains, it will help them to determine which specific health-enhancing properties their honey contains and, thus, how best to market their product,” explains Ogle. He says the company currently offers a basic suite of oligosaccharide tests. However, it is rapidly working to develop a full range of tests for other specific oligosaccharides as well. Hill Laboratories has been working with honey producers in New Zealand and Australia for the past six months to test fructose and glucose levels in honey to assess storage

behaviour of the product. “The level of simple sugars in honey determines how it behaves in storage, for example, how liquid it remains or how fast it crystallises. Our customers are using our simple sugar tests to determine the best blending techniques that will enhance shelf life of their product. “Previously, producers blended honey based on gut feel, but over the past six months we’ve been providing new data that allows our customers to create specific blends based on solid science,” says Ogle. l

Magnetic tongue for food producers? The ‘electronic nose’ which detects odours, has a new companion among emerging futuristic ‘e-sensing’ devices intended to replace abilities that once were strictly a human domain. The ‘magnetic tongue’ could soon offer a new method for producers to ‘taste’ food and can identify ingredients that people describe as sweet, bitter, and sour, reports the American Chemical Society’s Journal of Agricultural and Food Chemistry. Antonio Randazzo, Anders Malmendal, Ettore Novellino and colleagues explain that sensing the odour and flavour of food is a very complex process that depends not only on the combination of ingredients, but also on the taster’s emotional state. Trained taste testers eliminate some of the variation, but food processors need more objective ways to measure the sensory descriptor of their products.

FMCG DECEMber 2011

That’s where electronic sensing technologies like ‘e-noses’ come into play. However, current instruments can only analyse certain food components and require very specific sample preparation. To overcome these shortcomings, the researchers turned to nuclear magnetic resonance spectroscopy (NMR) to test its abilities as ‘a magnetic tongue’. The researchers analysed 18 canned tomato products from various markets with NMR and found that the instrument could estimate most of the tastes assessed by the human taste testers. But the NMR instrument went even further and by determining the chemical composition, it showed which compound is related to which sensory descriptor. The researchers say that the ‘magnetic tongue’ has good potential as a rapid, sensitive and relatively inexpensive method for use in food processing companies.l

recr ui tm en t

Market mapping Hamish Marr explains the changing process of recruitment. The way we search for candidates is changing. The media is constantly telling us the global war for people resources is heating up, with demand outstripping supply. Yaaawn – we all know this stuff. But here are some interesting new facts. Job boards alone are attracting only 20% of the total candidate pool (the active job-seekers) and at senior levels this further reduces to 13%. Research also shows that active job-seekers are those with less tenure and at a more junior level, than passive candidates (those not applying for jobs right now but who would be open to the right opportunity if it crossed their path). We went out to market recently with an expensive, far-reaching campaign for an outstanding ‘Senior Brand Manager’ role with a strong, well known brand. An exciting category, market-leading brands, big marketing budget – which has netted the company many advertising/marketing awards. However, the response was almost non-existent. When we started searching proactively, calling those in the market who we knew to be qualified, but who hadn’t applied, we found that many had seen the campaign. People were interested in meeting for a discussion about the role, but needed encouragement to apply. These were the marketers we wanted – focused on their current roles and outcomes of their current projects. Busily involved in good career-making stuff. Not looking for their next role until they finished delivering on current projects. Not looking at Seek or LinkedIn, but could be swayed if the right role came looking for them.

Chancing upon these candidates, when they very rarely surface and become ‘active’ job-seekers at the same time as your role becomes available, is lucky…

Hamish Marr, senior consultant FMCG – Sales & Marketing OCG Consulting Ltd

We have changed our candidate-sourcing process. We’ve not only assembled a range of advertising tools, specifically targeting passive candidates (LinkedIn, Facebook, Google Ad Words, Contextual Advertising and more) but we are getting to know our marketplace even more intimately. We map it. Market mapping is a huge amount of work, not only building but constantly maintaining our knowledge of candidates in the industry. We work predominantly in 10 job functions in FMCG Sales & Marketing and we invest huge amounts of time getting to know where everyone currently sits. Our experienced team knows more than just names; in most cases we can walk you through our market map of all the existing marketing managers (for example), where their motivators lie to leave their current roles for that next career opportunity, an indication of past performance (which we verify at reference-checking stage) and all the good stuff that comes from an in-depth knowledge of working in the FMCG industry. Don’t just settle for the small percentage of ‘online job seekers’ who are looking during the small window of time when your new role is available – engage us and get the best of the whole market.

Fiona Hill Dale Rous Hamish Marr

Kevin O’Shannessey

www.ocg.co.nz | 09 377 7575 DECEMber 2011 FMCG

NZFGC Conference 2011 Keith Stewart shares some of the highlights.

FGC chief executive Katherine Rich introduces the Topp Twins at the conference dinner.

report produced for the Ministry of Economic Development by Coriolis Research was the standout feature of the 2011 New Zealand Food and Grocery Council conference held in Wellington at the beginning of November. As evidence that the food production sector has a bright future it was a breath of fresh air for delegates, and for those who see export business opportunities for food processing it added weight to recent advances such as the Food Bowl production development facility in Manukau. While for many the conference highlight was a rare opportunity to dine in the banquet hall at Parliament’s Beehive, complete with entertainment by the Topp Twins, it was the intensive data rich compila-

FMCG DECEMber 2011

tion of the ‘Moving to the Centre: The Future of the New Zealand Food Industry’ report that stood out as the salient feature of the conference. While the report is available online to all who are interested in reading it in full (www.med.govt.nz/ upload/75946/Processed-foodsAustralia.pdf ) its presentation was revelatory for many as it dispelled a number of myths about the food export sector that have hampered its development in the past. One of these was the claim that New Zealand is isolated from its markets. While the report was commissioned to understand the drivers of the growth and success of processed food exports to Australia, it made clear that the enormous potential of other Asian and Pacific markets was well within our neighbourhood. It also compared New Zealand with real competitors and similar sized nations, rather than with the giants of China, Japan and the United States. By matching New Zealand’s performance with nations such as Denmark, Switzerland, Norway and Austria, the real advantages of our food business were enhanced (see graph on page 38). With data showing that exports of food to Australia have been growing at double digit rates to a current level of NZ$2 billion a year, with half in high value processed foods, the report stimulated a lot of discussion amongst delegates. Some even questioned whether the food industry was getting the level of recognition from

government that was commensurate with a sector that shows food is the biggest lever in the New Zealand economy. While the Coriolis research was the most talked about presentation at the conference, it was the presentation by Foodstuffs South Island CEO Steve Anderson that had the most impact. In part this was because his thanks for the support food producers gave to Foodstuffs in the wake of the Canterbury earthquakes was supported by video coverage of the destruction of Foodstuffs’ central distribution centre during the first earthquake. For those who had not experienced the drama of earthquakes, this was a most graphic moment, one the few who saw it will ever forget. Anderson also made a very telling comment about the earthquakes’ clarification of grocery’s role in our community and in every community, when he said: “Within two or three weeks of the supermarket shelves being empty, you have anarchy.” On more prosaic matters, both Anderson and Progressive Enterprises managing director Dave Chambers gave their annual summary of the successes of their respective retail chains. Most of this was not news to the delegates, except when Anderson made it clear that Foodstuffs had made a step change in its approach to marketing. “We decided to coordinate the marketing of our brands, Pak’nSave, New World and Four Square,” he said,

featu re

and to that effect appointed a professional, Steve Bayliss, as group general manager marketing. “The initial results have been very positive,” said Anderson. Later he told FMCG, “Marketing of the store brands is going to be an important aspect of our future business. The response so far at Four Square has been very pleasing, and I think that our suppliers will see all sorts of benefits from this approach in the future.” On the matter of supermarket performance, Nielsen executive director Rob Clarke delivered the latest research into how suppliers rate the performance of the two major chains. The results made for positive listening for Progressive, showing that Countdown owners are well in front in every region in the country. This was interesting news, following recent

results from nationwide consumer surveys that put Foodstuffs retail brands, especially New World and Pak’nSave well in front of Countdown. However, Clarke made the point that change may be on the way if Foodstuffs wants to maintain the edge it has with consumer perceptions, especially as supply is fast becoming a key issue in meeting consumer expectations. “Progressive’s way is the future of efficient business,” Clarke said. Talking of the future, Simpson Grierson partner Peter Stubbs gave a succinct summary of the direction food regulations will be taking, and what the salient issues are that are exercising officials now, and food producers and retailers in the probable future.The overwhelming impression was of increasing detail and a mass of scientific research that for the most

1 At the FGC conference, past chair Peter McClure (left) and current chair George Adams with Josette Prince of Griffin’s. 2 (From L to R) Scott MacKay, partner, Tosco Communications, Dene McKay, national sales manager, Premier Beehive, Len Croudis, SunRice Australia, sales & distribution consultant, John Kippenberger, managing director, Premier Beehive. 3 (From L to R) Leanne Murphy, business development manager, Cerebos Gregg’s, Jim MacBride-Stewart, GM, Traineeships, Competenz, Jenny Gibson, business manager, William Aitken & Co, and Rob Davis, director, Admission. 4 (From L to R) From Sanitarium Health and Wellbeing: Ole Pederson, retail development manager, Ettienne McClintock, national sales manager, Cherry Downing, nutrition services manager, and Stephen Andrews, commercial manager.

DECEMber 2011 FMCG

feat ure RELATIVE PERFORMANCE Relative to peers, New Zealand has good F&B exports per capita; however, our mix is currently skewed towards traditional minimally-processed products; we underperform in added-value processed foods Food & Beverage (F&B) export value per capita by select category: New Zealand vs. select temperate small country peers (US$; 20091) $5,000 $4,500 $4,000 $3,500 $3,000

Traditional

(HS02-15x5/6/13/14)

$2,500 $2,000

Beverages

$1,500

(HS2009;22)

$1,000 Processed foods2

$500

(HS16-21)

$Ireland

Denmark

Austria

Switzerland

Estonia

New Zealand

Sweden

Norway

Finland

Portugal

Lithuania

Czech Rep.

Latvia

Australia

Croatia

Bosnia-Herz.

Chile

Bulgaria

Belarus

Serbia

Uruguay

Paraguay

Azerbaijan

Present & future competitors in our traditional commodities PAGE 22

Note: Australian export success is driven by “holes in the ground” not food (see other Coriolis reports for discussion); 1. Or 2008 where 2009 not yet available; 2. uses a slightly simplified definition of processed foods for ease of analysis across multiple countries; Source: UN Comtrade database (custom job); Coriolis analysis

seems to be causing confusion rather than clarity on every issue from health to environmental sustainability. On another matter, political journalist Barry Soper talked at some length about politics past, and the likely outcomes of the looming election. Not much insight into policy outcomes for food producers in his words, but a little on the attitudes of political journalists. And whatever his predictions, the reality of the 2011 election will be clear by the time you are reading this. For those for whom conference is a time for relaxation, renewing old friendships and making new ones, there was plenty of opportunity as well as some very good coffee to oil the wheels in Wellington. The outing to Parliament was alive with humour from the Topp Twins at a venue that was conducive to the social business of commerce. Indeed, with Paul Henry, Nigel Latter and Eric Rush all conference 38

FMCG DECEMber 2011

speakers, there was plenty of opportunity to laugh in amongst the more concentrated moments of serious presentation. Not least amongst these was the presentation of Advertising Standards Authority executive director Hilary Souter, if only in her clarification of what ‘Crush Porn’ is. There were moments of hilarity from her, accompanied by some clever television advertising, and more than one sound warning on how to steer clear of running foul of the authority and public opinion. There were excellent speakers and some very stimulating presentations, but the strongest feature of the conference was the support it had from the whole sector. Numbers attending were the highest ever, following last year’s record of 189 delegates with 244 in attendance this year. “Our members were very positive in their comments on the conference,” NZFGC chief executive Katherine

Rich told FMCG: “Judging by their responses people really enjoyed the controversy Paul Henry was able to generate, as they did the rare opportunity to have a look around Parliament on the evening of the dinner.” Commenting on the pulling power of the conference, and the practical value of the papers presented, Rich made special mention of the sessions delivered by supermarket senior executives and the summary review provided by Nielsen. “Those presentations were rated very highly,” she says, adding, “we do get high attendance from senior executives amongst our membership. These people are very time poor, yet they find the conference valuable enough to attend and often make telling contributions to the discussions the speakers generate.” The conference next year will be held in Australia for the second time in three years, this time in Australia’s food capital, Melbourne.

co mpa n y pro f i le

Coca-Cola Amatil - a kiwi success story Mention you work for Coca-Cola Amatil (N.Z.) Ltd (CCANZ), and eyebrows are raised. For good reason too – Coca-Cola is arguably the most recognised brand name on the planet. As an employer, CCANZ shares many brand attributes with its famous beverage – fun, excitement, enjoyment, uniqueness – but there is so much more to a career with Coca-Cola than meets the eye. Regardless of Coca-Cola’s American origins, CCANZ is a refreshingly kiwi company, in fact – in addition to Coca-Cola Classic, Diet Coke and Coke Zero, they are responsible for some of New Zealand’s most well-loved carbonated soft drinks, bottled waters, sports drinks and fruit juices. What many don’t know is that CCANZ produces over

100 brands and flavours, including household names such as Powerade, Pump, Kiwi Blue, Fanta, L&P, Sprite, Schweppes and Keri Juice. The culture of CCANZ has a great deal to do with its success, and it stems from six core values: People, Customer, Citizenship, Innovation, Passion and Excellence. When these values are lived and breathed by its people on a daily basis, when those people are valued, when they feel looked after, and when they are inspired and motivated to do truly great things, it’s no wonder Coca-Cola Amatil New Zealand is an employer of choice. Proof of CCANZ’s ambition for success is the fact that even as they celebrate a very successful 2011, they are already focusing on the future. It’s this kind of thinking that makes Coca-Cola Amatil NZ unlike any company you’ve ever worked for, and with its ability to attract, develop and retain great people with talent, drive, hunger, innovation, and imagination - who knows how far they could go? CCANZ is a kiwi success story, and they make no secret of the fact that they are looking for people to get on board and help write the thrilling next chapter. If you have designs on thriving in a fast paced environment and making your mark in a very big way, then work for the name that needs absolutely no introduction!

cokecareers.co.nz

thrive.

Coca-Cola Amatil NZ is unlike any company you’ve ever worked for. It’s a fast paced, dynamic environment that’s jam-packed with talented people. It’s our teams that make our business what it is today: a totally refreshing workplace where together we make a difference.

www.cokecareers.co.nz DECEMber 2011 FMCG

GS1net successful for Foodstuffs

lever systemisation saves money. When you move over 100,000 product lines and process around 400,000 invoices per month, eliminating errors between the supplier and the end user means many hours, dollars and resources are saved. Foodstuffs has always been an enthusiastic supporter of the industry’s initiative to promote GS1net in New Zealand. Nationally, Foodstuffs is gaining momentum with its GS1net rollout. The purpose of this synchronised eCommerce system is to achieve quality data alignment between all three Foodstuffs companies and their core suppliers. Quality data means having information that is accurate, complete and timely, says the project’s champion, Foodstuffs South Island eCommerce manager Ana Connor. “Supply chains rely on good data. By setting up and maintaining complete and detailed electronic catalogues on every product we can save time and money, at both ends.” Of the 100,000 key product lines sold by Foodstuffs only 60% of invoices received are accepted without query the first time round. Within 12 months Connor expects this figure 40

FMCG DECEMber 2011

will be 70%, and constantly improving as back office processes have been reviewed, and more suppliers go live on the system. “Invoices that are incorrect can cost anywhere from $40 to $400 per credit note to process.” This is time incurred by the supplier and retailer, which is often never measured; it’s simply absorbed into overheads. GS1net has proven itself to provide the key product data, which forms a platform to increase efficiency and accuracy in the supply chain. This can have an impact in reduced errors on purchase orders and invoices, improved pricing accuracy and product availability. It also allows Foodstuffs to retire the traditional paper-based Universal Buying Form, which is in the process of being removed from all three Foodstuffs’ companies. Now all product information is pulled directly from the system, removing human error that can occur when information is manually keyed in.This information, which includes the item weight, size, pallet size, product information, descriptions and pricing, is then automatically transferred to the appropriate Foodstuffs region.

GS1net acts as a buffer between the supplier and the three different regional Foodstuffs’ systems. This makes supplying data to any of the companies quick and easy for the supplier. Barkers Fruit Processors has just gone live on the system and customer service representative Anna White says it is a great time saver. “We input data once and because it’s live and accessible to everyone who needs it, we know it’s always current. It has also helped streamline our internal communication processes, as we are all aware of any change to a product, be it a weight, size, carton quantity, or a name or price change.” The process was a simple one and White is excited at the benefits of the data alignment and once-only maintenance benefits of the system. “The process of getting GS1net ready was so simple. Dealing with just one person and knowing that information would then transfer across Foodstuffs nationally was great.” Arataki Honey marketing manager Genevieve Renall says from the outset, the Foodstuffs’ team recognised its internal capability to resource the project, setting achievable deadlines and targets enabling

g rocer y busi n ess

them to complete the project with the least interruption to the normal daily demands of their business. “We have a shared confidence in the knowledge that our product details are completely synchronised, giving further credibility and transparency to our strong business relationship.”

Getting it right for New Zealand The New Zealand grocery industry promoted GS1net in 2007 after it saw the benefits to Coles in Australia, which had 700 live suppliers on the system. For Foodstuffs in 2010, with 20 suppliers live, the system showed up its strengths and weaknesses in our marketplace. “While it was slow progress, we

were able to refine and re-design parts of the process to meet the specific needs of Foodstuffs and our suppliers,” Connor explains. “The biggest obstacle was getting our suppliers engaged and being able to show them the real value in the system. We had to re-set expectations somewhat and since we have done that, the uptake has been so much better and the process more simple.” Going live on the system might have taken up to six months; the process is now three to eight weeks, when suppliers commit to Foodstuffs’ expectations. Foodstuffs has also ensured the process of going live fits with each supplier’s back office challenges, processes and accounting practices. “They do not have to go through

this in isolation, we will help them every step of the way.” Currently 60 suppliers are GS1net live with Foodstuffs, accounting for 15% of the product lines sold. Within three years, it is anticipated 80% of Foodstuffs’ catalogue will be synchronised. By the year’s end, around a quarter of the products will be brought into the system, rising to 50% by the close of 2012. Cottonsoft has been live on the system for two years and advocates the system as a tool for identifying the ‘holes’ in its own internal system. Now, like so many others who are live on the system, it has confidence it has taken full control of its data, ensuring integrity, both internally and for GS1net purposes.

NEW NZ LAUNCH ²ÊÊWeigh Wrap labelling semi automatic ²ÊÊSpace saving ²ÊÊEasy to clean ²ÊÊWi-Fi option ²ÊÊLink to software for easy update of products ²ÊÊEasy to use colour touch screen interface ²ÊÊPart of the Ishida total packaging solution ²ÊÊNational Service Support ²ÊÊRated at 15 Packs per minute

0800 66 22 74 Martin Waller | Account Manager | Gilbarco (NZ) Ofﬁce: +64 9 526 1408 | Mobile 0274216905 www.gilbarco.co.nz | www.proweigh.co.nz

DECEMber 2011 FMCG

gs 1

Head in the clouds? Dr Peter Stevens considers data and supply chain security. Dr Peter Stevens, chief executive, GS1. Email: peter.stevens@gs1nz.org.

For several years many of us as individuals have taken advantage of globally provided ‘free’ email accounts (Hotmail, Gmail, etc) and never really given much thought to where our precious emails are physically stored. However, corporate use of such services is rapidly increasing. Here at GS1 New Zealand a few years ago we had a meltdown with our Microsoft Exchange server. Seriously inconvenient! This crash, coupled to my frustration with the amount of support dollars we were spending on maintaining MS Exchange, drove us to be (we learnt subsequently) one of the first organisations in NZ to go over to Google’s new Corporate Gmail. This change has really worked for us: our support costs have dropped to almost zero, and because the management of the service is so trivial for the first couple of years I, as CEO was the email administrator! But Gmail, of course, is one of these fashionable ‘cloud’based services that businesses are increasingly adopting. The appeal is clear: almost infinitely scalable, cheap, no hardware to purchase/depreciate/dispose of and upgrades to the service happen almost automatically. There are drawbacks in trying to customise the service (just give up is often the answer!), but these are minor. But it is interesting to ponder with cloud-based services that you really have no idea physically where your data is stored. Who knows? Who cares? If we are to believe press reports, in actuality your data may be spread across

FMCG DECEMber 2011

multiple servers located in different parts of the world. A cause for concern? To most of us not. Many businesses use overseas-based providers for mission critical data now and have not given it much thought. However, increasingly governments and corporates are concerned about the link between their data and geography. Perhaps more specifically, their data and jurisdiction. Where (under which country?) do laws around access, privacy, dispute resolution apply? Again the answer might be: who knows?! Because of these concerns about jurisdictional issues, many governments are tightening up on their requirements around the physical location of servers/data relevant to the discharge of their regulatory obligations. For example, recently the NZ government has contracted Revera and Datacom (they are still in negotiation with IBM) for long term All of Government (AoG) provision of Infrastructure-as-a-Service (IaaS) services. In plain English, this means the centralised provision of computer servers for all government agencies. It is argued that some sort of ‘shared service’ will drive efficiencies and trend costs down because at the moment most government agencies have their own IT managers, server rooms, backup devices and networks etc, etc. But one of the most interesting components of the contract in some ways is a mandatory requirement for all the IT servers and data to be physically NZ-based. The Department of Internal Affairs (which set up the contract) argues that this gets around any complications with jurisdiction, especially where there is any ‘secret’ data housed (eg, budget secret, defence). Such moves raise interesting questions and possible tensions for the future of supply chains and related services. The exchange of data between parties up-and-down the supply chain is essential. This is the reason why GS1’s standards were invented and are so important to the efficient running of most supply chains. As food security, terrorism and other concerns step up government’s interests in transactions, both within and between countries, it will be interesting to see to what extent governments will require business to domicile data over which they have regulatory oversight in a particular country (think: border crossing, verification of traceability requirements for export goods, financial transactions).We will just have to wait and see.

CONVENIENCE CHANNEL FOCUS

New limited

edition

Available in either a T24 counter display of 24 units, or T120 floor stand of 120 units.

For more information contact FNZ Brands 0800 222 196 or your local Tic Tac distributor.

Convenience… fast forward AACS executive director Jeff Rogut considers the findings of an interesting research project. The convenience channel faces challenges not experienced in recent years. We have to some degree been fortunate in the past as some companies have been buoyant and the major oil companies in particular have invested heavily in store and new format development, which kept store numbers and sales growing. Suddenly though, businesses began reporting that times were getting tougher. Sales were flat. Less discretionary income amongst customers, very aggressive pricing positions by major supermarkets on core convenience products such as bread and milk, and new legislative pressures by governments on another core category for our industry – cigarettes and tobacco. And things are not getting any easier. Where are we now and what does this hold for the future? Australasian Association of Convenience Stores (AACS) commissioned the Australian Centre for Retail Studies at Monash University to complete a research project called ‘Convenience 2020’ – what do retail and supplier leaders across a range of countries believe the future will hold for the convenience industry and how do our customers see their future needs? Some of the findings follow.

C-STORE DECEMber 2011

• The convenience industry is faced with several threats: The major grocery chains are increasingly developing their store designs and product offerings to target the convenience shopper. • It is also hindered by several weaknesses: Convenience retailing is challenged by relatively premium prices, low margins, inefficient distribution, and an over-reliance on cigarettes and other ‘unhealthy’ products, as compared to competing retail formats. • Key advantages for convenience retailing lie in the frequent demand for fuel and hence visitation frequency, as well as vast store footprints across many retail brands (= leverage opportunities). • The industry requires change: The current convenience retailing proposition is not sustainable for future growth, with a number of changes identified as necessary so as to compete successfully in the lead up to 2020. Need for change Australian convenience retailing will require significant change over the next decade, which is absolutely critical to future industry success and sustainability. Australian convenience retailing is primarily focused on petrol and there are invaluable lessons to be

The current convenience retailing proposition is not sustainable for future growth, with a number of changes identified as necessary so as to compete successfully in the lead up to 2020. learned from global best practice in extending the convenience retailing offer beyond fuel. In NZ, further convenience industry consolidation was deemed necessary in the short to medium term due to the number of major oil companies in operation and the current state and size of the local economy and market. Response to change has been slow, especially in Australia and NZ as compared to international markets – this is particularly true in relation to the services and foodservice opportunities. In very simple terms we require a greater level of: 1. Collaboration – both convenience retailing suppliers and retailers require greater horizontal and vertical collaboration to successfully compete with the economies of scale and supply chain power of the major grocery chains. 2. Innovation: A number of convenience retailing innovations can be seen globally across a number of facets, such as new

AACS executive director Jeff Rogut.

(and tailored) product offers, store design elements, as well as leveraging available technology. 3. Differentiation: Differentiation is required in convenience retailing, with specific relevance to the product offering, store environment and technologies utilised. Essentially, a refreshed and differentiated convenience proposition needs to be developed and communicated in the market to encourage shoppers to frequent convenience outlets as a shopping destination of choice. In more general terms, the future focus will be on: • Consumers: Tastes and preferences, demand for local offerings, a convenience retail experience, loyalty programmes, store promotions, and shopper intelligence. • Operations: Market consolidation, ownership, capital investment, regulations, environmental sustainability, margin and competitive pressures, supply chain, industry collaboration, and threat of foreign entrants. • Products and services: Decline in tobacco, product expansions

(fresh and healthy food and drinks, food service, coffee, alcohol, OTC pharmaceuticals), product branding and differentiation, service expansion (click-and-collect, home delivery, postal and banking). • Stores: Role in community, people, merchandising and mission management, and store experience. • Technology: Industry uptake, pay-at-the-pump, WiFi, contactless payment, cashless stored value cards, multichannel retailing such as online, mobile (coupons, proximity SMS, apps), social, and iPads. There is no doubt that the convenience industry is resilient but the thinking of old will need to change for future success. Look to what is successful in other markets and tailor this for your local market – there are great examples from all around the world, particularly the UK, Europe and Japan. Importantly, there is a great need for shopper data and insights to understand their needs and behaviour and offer a more informed and tailored shopping experience. l

For a complete copy of the 280 page ‘Convenience 2020’ research report, contact Jeff Rogut (email jeff@aacs.org.au). The cost is A$2900. As a special bonus, FMCG readers will also receive a CD with copies of the very insightful presentations from the November Convenience Leaders Summit in Adelaide at no cost. This features presentations from: him! research and consulting, Nielsen, PayPoint UK, IGD UK, Monash University. Great insights and examples of convenience best practice from around the world. DECEMber 2011 C-STORE

AACS Convenience Leaders Summit Over 100 attendees from around Australia and New Zealand gathered at the Crowne Plaza Hotel in Adelaide for this year’s Australasian Association of Convenience Stores Convenience Leaders Summit on November 14-15, 2011. There was particular interest in the Summit this year, given some of the challenging retail conditions as well as legislative pressures on areas affecting the industry, such as new tobacco regulations, potential effects of the new carbon tax in Australia and retailers and suppliers seeking insights into new opportunities. The programme was both very full and informative. The attendees heard from Yasser Shahin, Peregrine Corporation, and operators of the very successful ‘On the Run’ stores as well as ‘Smokemart’ stores in Australia. Brett Barclay, of him! research and consulting discussed the current trends in convenience and gave his views on what the next three years might bring. Dr Sean Sands and Carla Ferraro, from the Australian Centre for Retail Studies at Monash University presented the findings of the research project commissioned by AACS into “Convenience 2020” – what the industry might look like in 2020, as well as

opportunities and challenges as seen by industry thought leaders. Also included were 1000 consumer insights into their ideal convenience store offer of the future. Kosta Konomos and Leigh Shaw from Nielsen presented on the current state of the industry and demonstrated their ‘Virtual Store’ technology, which can be of great benefit to both retailers and suppliers. Mike Igoe from PayPoint in the UK presented a new perspective on services available for convenience stores and how to go about this with technology which is operating in over 23,000 stores in the UK. Adrian Williams from IGD in the UK presented a wide ranging view of retailers and convenience stores globally with some excellent insights into emerging trends. A panel discussion with Craig Sargent of Mars and Chris Garlick of BP was moderated by Brett Barclay, addressing a raft of issues, opportunities and challenges from various perspectives. The group then had the opportunity to visit a selection of the highly successful ‘On the Run’ stores across Adelaide, hosted by Yasser Shahin and the GM of the group, Michaela Webster. l

New trade fair: C-Shop Cologne The new European Convenience Show will present an innovative platform for products, services and concepts that meet the needs of modern convenience stores. Koelnmesse will expand its line-up of trade fairs in the food segment in 2012 with the addition of C-Shop Cologne – The European Convenience Show. The trade fair, which will take place from November 4-6, 2012, will focus on convenience stores as an increasingly important sales channel. This new event at the Cologne exhibition centre will be a showcase for shop concepts that provide consumers with fast, flexible and attractive “to go” offerings for all situations.

C-STORE DECEMber 2011

“Convenience catering will also be among the themes covered at C-Shop Cologne, which offers, for the first time in Europe, the growing convenience stores market a business-focused and dialogue-oriented platform,” says Katharina C Hamma, chief operating officer of Koelnmesse. C-Shop Cologne will present products from the food, non-food and services segments that are intended especially for convenience stores. This will include franchise concepts, food service and stationery, magazines and tobacco products, and service providers from the security, IT, payment systems, full service, consulting and shop fittings sectors. l

Want to help us clean this up? Join our events

Summer Sunday Festival 29 January 2012

Coromandel Coastal Clean-up 3 to 5 March 2012

www.sustainablecoastlines.org

Love your Water 18 February 2012

North Shore Coastal Clean-up 22 to 24 March 2012

facebook.com/sustainablecoastlines

The perfect gift FMCG talked to Ezi-Pay marketing manager Petra Davidson about the latest trends in gift cards.

Internationally, gift cards now stand out as a leading contributor to sales and profit within supermarkets. In New Zealand, gift cards are an emerging retail category showing all the signs of following international trends by doubling sales year on year. For the past several years, the USA’s National Retail Association survey has found gift cards to be the most requested gift for Christmas. This year, an Ezi-Pay survey has revealed similar trends, with a massive 84% of those surveyed indicating they would like a gift card for Christmas. Ezi-Pay’s offering in New Zealand supermarkets includes: • Mobile top-ups from Vodafone, Telecom, 2degrees and Digicel*. • Phone cards from the leading phone card suppliers Compass, Telecom, TelstraClear and CardCall. • Gift cards from iconic New Zealand retailers such as The Warehouse, Mitre 10, Paper Plus, Liquorland, Noel Leeming, Hunting & Fishing and dozens more. • Music gift cards including the world’s largest selling gift card iTunes. • Game cards including Zynga, supplier of Facebook’s very popular FarmVille, CityVille, Cafe World, Sony PlayStation, Nexxon (launching soon), the Ultimate Game Card, Moshi Monsters and virtual

C-STORE DECEMber 2011

reality game IMVU. Davidson says: “Game cards are all recent arrivals to Foodstuffs supermarkets and are quickly gaining traction, with Zynga (Facebook’s most popular games such as FarmVille, CafeWorld and FrontierVille) proving to be our most popular card. “Smart phones and tablets are having a major impact on gaming, with players no longer restricted to how, when and for how long they interact with online games.” According to PricewaterhouseCoopers, the revenue from games that can be played online or on a mobile device is estimated to jump 50% to US$32.6 billion by 2013, overtaking console games for the first time. In New Zealand, the gaming industry is worth approximately $170 million with 91% of New Zealanders aged 6 to 15 years and 43% of those over the age of 50 years participating in some form of online game**. “The ability to promote and market game cards in-store has also opened up online games to a wider audience,” says Davidson. She adds: “Console boxes and hardware can be easily marketed by retailers, however, until recently, online games have had no physical presence in the real world and therefore have had to rely on the internet or word of mouth to promote themselves. “Now, prepaid game cards offer retailers the opportunity to participate in this booming market, by providing a physical point of sale (POS) for online games in-store.” As the popularity of online gaming

grows, the demand for prepaid game cards is also rising as consumers look for safe, simple and secure payment alternatives. Prepaid game cards allow players to avoid the use of their credit card online, as well as permit people without credit cards, such as teenagers and younger children, to load value onto their accounts without having to access their parents’ credit cards. New to Ezi-Pay’s gift card line up is the Pharmacy Gift Card, which can be redeemed in over 250 Unichem, Amcal, Life and Radius Pharmacies as well as Care Chemists throughout the country. The new Restaurant Gift Card, redeemable in hundreds of eateries nationwide is proving extremely popular, as is the brand new GrabOne Gift Card. “Coming soon to Ezi-Pay’s Gift Station are the Liquor Gift Card and Nexxon, with many more game card titles expected to arrive over the coming months,” says Davidson. “Mobile top-up continues to be the prepaid category mainstay while phone cards continue to contribute well to retailers’ earnings. Phone cards are an ideal budgeting and savings tool in a tight economy and sales remain strong,” explains Davidson. l *Digicel is one of the largest mobile phone operators in the Pacific region. Top-ups purchased in New Zealand are used to top up Digicel prepaid mobile phone accounts in Samoa, Tonga, Fiji, Vanuatu, Papua New Guinea and Nauru. Top-ups are credited in the local currency, at the day’s best exchange rate without deducting any fees. Digicel offers very keen calling rates so the average top-up value delivers hours worth of calling to the recipient, allowing them to keep in touch with friends and family in New Zealand as well as within the islands. **Findings of National Research prepared by Bond University for the Interactive Games and Entertainment Association in 2010.

Holiday time Trina Snow considers the joys (or otherwise) of Christmas. Trina Snow, executive director, NARGON.

Christmas is traditionally one of the busiest times of the year for most stores. Many Kiwi families are on their summer holidays and one of their favourite activities is eating and drinking together. Even those still at work may be getting into the festive spirit with work functions and parties commonplace at this time of the year. It is also the time when the rules around public holiday leave and pay become the most confusing for employers, particularly for smaller stores. The rules in this area have been changed in recent years and all shops should make sure their leave and pay policies are completely up-to-date and fully comply with the relevant legislation. This year, Boxing Day (26 December 2011) and the day after New Year’s Day (2 January 2012) are observed on the days they fall. However, there are special rules for Christmas Day and New Year’s Day because they both fall on a Sunday. The Department of Labour advises that for employees who normally work on a Sunday, Christmas Day and New Year’s Day are observed on 25 December 2011 and 1 January 2012 respectively. However, for employees who normally do not work on a Sunday, Christmas Day and New Year’s Day are transferred to the following Tuesdays (27 December 2011 and 3 January 2012 respectively). It is worth noting that an employee cannot be entitled to more than four public holidays over the Christmas and New Year period, regardless of their work pattern. In terms of pay for working on a public holiday, the general starting point is ‘time and a half ’ based on the employee’s relevant daily pay. In very limited circumstances the average daily pay can be used but this would be highly unusual. Employment agreements need to specifically provide that an employee will receive at least time and a half for working on a public holiday. Employers should also be aware that under the Holidays Act 2003 an employee is entitled to an alternative holiday (often called a ‘day in lieu’) if they

C-STORE december 2011

work on a public holiday that is usually a working day for them. Employees get the full alternative day off, even if they only work for a small part of the day. It is recommended that policies around alternative holidays are clearly spelt out in each employee’s employment agreement in order to avoid any disputes. Recognising the complexity of this area, the Department of Labour has produced a useful resource – www.dol.govt.nz/er/holidaysandleave/holidaysand-leave.pdf – and a Pay and Leave Tool – www.dol. govt.nz/er/holidaysandleave/holidaysonline/ index.asp – which also has examples. Ultimately, compliance with the law is the employer’s responsibility and they should take legal advice if necessary. The stress of Christmas can get to people, both customers and staff. Human resources trainer Donna Earl provides some tips for dealing with frustrated customers: • Don’t take it personally. In most cases, their frustration has nothing to do with you. In their emotional state, all they can think of is how upset they are. Most don’t realise the impact they might be having on you. Try to keep calm and maintain perspective. • The customer is really a nice person. You are experiencing a blip in their behavioural radar. When talking to them, remember there’s a nice person in there some place, and if you keep your cool and work with them, you’ll discover that nice customer again.Typically they’ll apologise and thank you profusely if you keep thinking they’ll become nice. • Their behaviour is a reaction to unmet expectations. Uncovering their expectations will help defuse the emotion, help you keep cool and keep the conversation focused on problem solving. Keep focusing on what you can do to close the gap between their unmet expectations and their experience of your store’s services and products. When customers are dealt with sincerely and professionally, they are more open to alternative solutions. NARGON wishes everyone a Merry Christmas and a Happy New Year. After a rough year for the country, we send our very best wishes to all readers for a fantastic 2012.

To find out about ad packages and rates contact: • Peter Corcoran on 021-272 7227 email peterc@mediaweb.co.nz • Juleigh Buchan on 021-140 3456 email juleighb@fmcg.co.nz

RESOURCE DIRECTORY

JONES SODAS

2 12/08/11 EE11-041-FMCG-94x69-NZ-P.indd 12:48 PM

EE11-041-FMCG-94x69-NZ-P.indd 3

UÊ ÌÊ *Êv ÀÊ8 >ÃÊ-> iÃÊÊÊUÊÈÊ Êy>Û ÕÀÃÊÀi > Ê UÊ ÕLL i}Õ Ê> `Ê iÀÀÞÊÃ `Ê ÕÌ

40%

12/08/11 12:48 PM

OFF

/ Ê À` i ÀÊ} ÊÌ ÊÜÜÜ°v ` ÌÀi â°V ° âÊ ÀÊ« i Êä Ê{£ÎÊxäÓÇ

For Bird Control in Warehouses Arrow Refrigeration Limited

Amazing new repellents registered in NZ.

163 Archers Road, Glenfield PO Box 101162 NSMC, Auckland Ian Gregory, Sales Manager • Ph: 09 444 1661 • Fax: 09 444 1961 • Email: sales@arrowfreeze.co.nz • Website: www.arrowrefrigeration.co.nz

With Money-Back Guarantee!

Phone Pestgard 0800 737 838

CATEGORY: Y Y:

Framec, Koxka, Orford, B Bonnett N Nevé é Festive, Skope, McAlpine

FOR THE LARGEST RANGE OF BIRD CONTROL PRODUCTS IN NZ. DECEMber 2011 C-STORE

sn a p

rom d winners (f preme Awar ksman Su ar on Sp gt lin lle el te Year Krys e Foodstuffs W th t of e en m tic Appren ory Develop left): Bakery gs, Supervis orage, St tin ld as H Co e fs av uf from Pakâ&#x20AC;&#x2122;nS i from Foodst om New Coby Te Pair ean Leong fr D ar Ye Top Student e th of ramme e og tic Pr en t pr Managemen Butchery Ap fs uf st e Tamatea. od av Fo and om Pakâ&#x20AC;&#x2122;nS fr y ne ra World Levin, G ader Andrew Emerging Le

At the opening of the new Crossmark office in Auckland: L-R: Michel e Cuputo (Reckitt Benck iser), Grant Leach (MD Crossm ark NZ), Mark Hemming s (Galderma), Kevin Mo ore (CEO Crossmark).

Checko u Tash L t Operator of ee th Tauran from New W e Year winn ga is re er orld Ga warded by Foo te ds for her Pa in Redwo tuffs Auckla e fforts nd od Murray and Foodstu chairman R ob Jordan ffs Auc . kland M D

Mayor of Christchurch Bob Parker officially opens the New World Ilam supermarket with owners Sarah and Phillip Blackburn and their daughter Holly.

elson, ards in N Quills Aw rveen Chiba with ry a n li u At the C ward, tative Pa represen ital Quill A Samsung e Electronic & Dig th winner of gbein. an L l e b a Ann

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 prize pack worth $100 ($50 worth of Buderim products and $50 worth of MTA vouchers)! Just email your high res image with a caption and your contact details to: editor@fmcg.co.nz

BWS a IT ma dvertising n m Mana ager Ross anager Tr en Mit geme ish Da nt ma e y gazin v at the D and e Top e 200 A loitte/ wards .

DIARY 2011

decEMber 5-7

FINE FOOD INDIA

Pragati Maidan Exhibition Centre New Delhi, India

www.finefoodindiaexpo.com

2012 january 20-29

INTERNATIONAL GREEN WEEK BERLIN

Berlin, Germany

www.greenweek.de

29-1 FEB

ISM – International Confectionery Trade Fair

Cologne, Germany

www.ism-cologne.com

8-10

FRUIT LOGISTICA

Berlin, Germany

www.fruitlogistica.com

15-18

Amora Hotel, Wellington

www.nargon.co.nz

27-30

ANUGA FOODTEC

International trade fair for food and drink technology Cologne

www.anugafoodtec.com

APRIL 7-9

CHINA INTERNATIONAL GREEN FOOD & ORGANIC FOOD EXHIBITION

China International Exhibition Centre (CIEC) Beijing, China

www.ciec-expo.com

MAY 9-11

FEBRUARY

BIOFACH

Nuremberg, Germany

www.biofach.com

MARCH

NARGON SUPPLIER AWARDS

SIAL China

Shanghai

www.sialchina.com

10-12

BAKERY CHINA

International Trade Fair for the Baking and Confectionery Industry Shanghai

www.bakery-china.de

11-13

THE FOOD SHOW

4-6

PROWEIN

Wellington, Westpac Stadium

Duesseldorf, Germany

www.foodshow.co.nz

www.prowein.de. 19-20

GLUTEN FREE FOOD SHOW

6-9

FOODEX JAPAN

Makuhari Messe, Tokyo, Japan

Brisbane Convention & Exhibition Centre South Brisbane, Queensland

www3.jma.or.jp/foodex/en/

www.eventseye.com

8-10

PRIVATE LABEL & FMCG 2012

24-26

BIOFACH CHINA

CNR Expo Centre Istanbul, Turkey

International Organic Trade Fair Shanghai

www.cnrprivatelabel.com/

www.biofach-china.com

Is your event or trade fair featured here? If you’d like to be included please email: editor@fmcg.co.nz

Tasti Ready to Eat Dried Fruit Range Perfect for summer entertaining!

INL6188R

kei th’s take

Craft beers Keith Stewart considers the changing face of New Zealand brews. Keith Stewart New Zealand is in the midst of is writer at large for Mediaweb’s a brewing renaissance as almost weekly food group and foodnews editor. new beers appear from an ever-increasing number of small craft brewers and bigger, industrially owned brands that are trying to keep pace with the rate of changing beer tastes. Around 1870 there were more than 60 breweries in New Zealand, most of them supplying local pubs with a domestic version of the beers that the mostly immigrant community recognised as in the tradition of the brews of England, Scotland, Ireland and Wales, whence most of them came. A century later there were only three, New Zealand Breweries, Dominion Breweries and Leopard, which was itself in the thrall of NZB, but over the past 30 years there has been a revolution in New Zealand brewing, and once again the country’s craft brewing industry, and its industrial copycats, are thriving. While Christchurch is a hotbed of brewery craft and innovation, and in Blenheim there is a similar surge of artisan enthusiasm for the efforts of the “little creatures”, this is not a phenomenon that can be claimed by any particular corner of the country. Nelson could fairly claim to be the initiator, with Macs brewery in Renwick the first new brewery in the country to break the century long stranglehold of the DB/Lion empires. The Macs innovation, while not exactly in the true brewing craft of artisan beers, did rattle the big cages and gave more artistically inclined brewers, such as those who would later start Founders and the remarkable brewing adventure of the Mussel Inn in Takaka, the necessary inspiration. Now both Founders and Mussel Inn’s Captain Cooker can be found in bottles in your local supermarket, evidence that the real taste of local New Zealand can be found in beverages other than wine. Supermarkets have been the vector by which this artisan beer virus has spread around the country, and the stimulus that has turned the initial draught brewing inclinations of most small operators on, to the advantages of glass. Sure, as beer has taken on the big brands have swept into supermarket aisles with a vengeance, complete with the certainty of price cutting and bulk discounting. However, this has not undermined the commercial viability of craft beers, nor eroded consumer interest

for paying more and drinking less, but better, beer. Indeed the range of beers in most supermarkets becomes daily more dazzling as every beer tradition from Munich lagers to German smoked beers, English bitters and American pale ales appears in New Zealand guise. Not that anybody has yet dared to give lambic a try, as the Belgian wild ferment beer is one of those extremes that even the most experimental local brewer is decidedly ambiguous about. However, Trappist is not an uncommon style to find in the bottle of a Kiwi brewer, and there are even examples of cherry fruit beers that would put a smile on a Belgian’s face. The advantage in this widening range of styles and characters is that consumers and retailers alike have their interest stimulated. It is in effect the same evolution of complex market development that came with the expansion of serious wine drinking in the late 1970s. Put simply, that advantage, both commercially and consumer-wise, is that the product being more complex carries more stories, and thereby more opportunities for interest and for making a sale. It is also the driver behind increased margins as consumers become accustomed to paying more for more challenging, and ultimately, more satisfying, products. This expansion has been claimed in part by the big brewers, with both Lion and DB Breweries having their own ‘craft’ labels. How much they conform to the notion of craft brewing is in the eye, and taste buds, of the beholder and the advertising agencies that dolly up the packaging and brand image to give the impression of handmade beers from romantically isolated establishments. The reality, of course, is that these brands are as much industrial beverage as their corporate stable mates, calling city factories home rather than the provincial locations prescribed by their spin doctors. However, if you really are in the beer business these products have the advantage of being infinitely better quality, and more advantageously priced, than the bland brands that they are replacing in the favour of consumers. Even the accountants at head office are now admitting that the future of beer is in craft, not in the mainstream brands of yesterday. The future is there if you want to go with it, quite simply because the rest of the beer market is shrinking in volume faster than the craft sector grows.

BWS DECEMber 2011

A sparkling affair Matua Valley vineyard, New Zealand.

Treasury Wine Estates (TWE) is a unique global wine company with a leading international portfolio of new world wines. With over 11,000 hectares of vineyards, sales totalling over 33 million cases of wine annually, and revenues of about A$1.8 billion, TWE employs over 4000 winemakers, viticulturists, sales, distribution and support staff across 12 countries.

an easy decision to extend into this sparkling varietal off the back of a very strong Sauvignon Blancled brand, and consumers have responded accordingly. This summer, the Australian wine portfolio sees the introduction of Wolf Blass Red Label Moscatos. Wolf Blass Red Label Moscato and Pink Moscato extensions leverage on the

TWE employs over 4000 winemakers, viticulturists, sales, distribution and support staff across 12 countries. Treasury Wine Estate’s current sparkling portfolio mainly comprises sparkling wines that sit within their strong still wine brands – Shingle Peak, Wolf Blass, Matua Valley and Rosemount, leveraging consumer trust in these brands across both the still and sparkling categories. Their strongest sparkling performer is Shingle Peak Sparkling Sauvignon Blanc, explains a spokesperson, adding that this is the “No.2 in the Sparkling SAB category”, and it was

success of the strong Australian brand in the NZ market (growing 15.7% Value Share MAT 09/10/11*) and the rapidly growing Sparkling Moscato segment, growing at 186% value share and now half the size of still Moscato. In September 2010 TWE relaunched Matua Valley’s heartland range and included a trio of sparkling wines. This range capitalised on the growth of Sparkling SAB, and is extending this trend with a sparkling Pinot Gris from Gisborne. These wines

have contributed to TWE’s growth over the last year with Matua Valley sparkling wines growing at 58% value share vs last year (MAT, Total Market 11 September 2011*). Following the successful launch of the unique Rosemount O product, a line extension was added in 2010. Rosemount Ruby O has a touch of Shiraz to enhance colour and flavour and is designed to be poured over ice. Since the introduction of Ruby O, Rosemount O (including Ruby O) is now the largest Sparkling Wine brand in the Australian bottled wine $11-$15 price segment, growing at 17.2% Value Share (MAT 09/10/11*). However, an exciting release this summer is a new sparkling brand: Everwild. The grapes are sourced from coastal vineyards, and this coastal theme is carried through the design, and communication approach. The design is an elegant blend of champagne inspired embellishments with an expressive, contemporary pictorial visual. The range includes a Reserve Brut, Sauvignon Blanc, and for those that like a slightly sweeter style a Cuvee Riche. l *Nielsen

DECEMber 2011 BWS

bee r s & ci ders Stoke Lager 4.5% A light golden yellow, with cereal and a little biscuit, with a slight hint of nuts; backed up with light hop aromas. An infusion of malts and hops brings out a balance of cereal and light biscuit malt characteristics. RRP: $16.99 per 6pk Hancocks Wine, Spirit & Beer Merchants Freephone 0800 699 463 sales@hancocks.co.nz www.hancocks.co.nz

Stoke Bomber – Smoky Ale 5.7% Rich rusty colour, with a light caramel sweetness on the nose, and a hint of smoke. To taste the smoke becomes more evident, but does not over dominate; plenty of body and toffee sweetness to balance, and a wee bitter bite to finish. Best enjoyed a little warmer (7 degrees) to really experience the smoky malt flavours. RRP: $9.99 per unit Hancocks Wine, Spirit & Beer Merchants Freephone 0800 699 463 sales@hancocks.co.nz www.hancocks.co.nz

Stoke Bomber – Bohemian ale 5.3% Everyone will enjoy the interaction of delicate wheat and lightly roasted barley with the lively citrus and pepper flavours. Fully rounded mouthfeel and engaging honeyed malt complexity and spicy. Classic Bohemian. (Serve at 5 degrees.) RRP: $9.99 per unit Hancocks Wine, Spirit & Beer Merchants Freephone 0800 699 463 sales@hancocks.co.nz www.hancocks.co.nz

Stoke – Ginger Beer 0% Alc A light cloudy appearance. Fresh ginger and lively spicy notes. Lightly carbonated and not too sweet. Subtle cinnamon and lemon flavours immediately lead to a fiery ginger kick with a peppery finish. Clean, punchy and refreshing. RRP: $9.99 per 4pk Hancocks Wine, Spirit & Beer Merchants Freephone 0800 699 463 sales@hancocks.co.nz www.hancocks.co.nz

Stoke Bomber – Oatmeal Stout 5.2% Absorbs all light that touches it, but gives off sweet well roasted malt aroma that is backed with light aromatic hops. Full malty sweetness quickly followed by rich roasted flavours and subtleties of cereal and nut; giving way to clean and crisp hop bitterness and flavours to the end. RRP: $9.99 per unit Hancocks Wine, Spirit & Beer Merchants Freephone 0800 699 463 sales@hancocks.co.nz www.hancocks.co.nz

Stoke Bomber – Biscuit lager 4.5% An enticing blend packed with Motueka and Nelson Sauvin hops layered over specialty malts. Autumn brown, with notes of peach and citrus, then toffee and toast. (Serve at 7 degrees.). RRP: $9.99 per unit Hancocks Wine, Spirit & Beer Merchants Freephone 0800 699 463 sales@hancocks.co.nz www.hancocks.co.nz

BWS December 2011

be e r s & ci d er s

Speight’s Cider Using traditional Speight’s knowhow this batch-made cider is crafted using New Zealand apples to create a refreshing cider with a classic dry finish. It’s Speight’s to the core.

Isaac’s Cider with Berry When a quick shot of boysenberry in our excellent apple cider seriously tickled our fancy, we knew we couldn’t keep it to ourselves. Isaac’s Cider with Berry is a refreshing apple cider with a dash of deliciously tart boysenberry. Another berry good drop from Mac’s.

RRP: $18.99 per 6pk RRP: $28.99 per 12pk Lion Nathan Phone: 0800 10 72 72 www.lionnathan.co.nz

Isaac’s Pear Cider There’s truth to the maxim ‘when life gives you lemons, make lemonade’, then it stands to reason that if life gives you pears, make Isaac’s Pear Cider. A light dry cider made from local apples with a refreshing hit of New Zealand Pear. A little drop of pear-fection from Mac’s.

Isaac’s Apple Cider It was in the shade of an apple tree that Sir Isaac Newton nutted out the laws of gravity. Likewise, it hit Mac’s on the head that a splendid cider might be just the thing, made from locally grown New Zealand apples with the crisp, refreshing taste nature intended.

RRP: $18.99 per 6pk RRP: $28.99 per 12pk Lion Nathan Phone: 0800 10 72 72 www.lionnathan.co.nz

Speight’s GMA Speight’s Gold Medal Ale is the perfect blend of malt and hops. First brewed in Dunedin over 130 years ago, the pride of the south has gone on to become one of New Zealand’s favourite beers. It makes sense it’s the perfect accompaniment to one of NZ’s favourite pastimes, standing round the BBQ. RRP: $21.99 per 12pk Lion Nathan Phone: 0800 10 72 72 www.lionnathan.co.nz

RRP: $16.99 per 6pk RRP: $26.99 per 12pk Lion Nathan Phone: 0800 10 72 72 www.lionnathan.co.nz

Boysenbeery Invercargill Brewery Boysenbeery is all natural and contains 15% fruit by volume – giving it three times the berry of most NZ fruit drinks. This summer seasonal has won medals in NZ and Australia since its launch in 2008. RRP: POA Invercargill Brewery Phone 03 214 5070 info@invercargillbrewery.co.nz www.invercargillbrewery.co.nz

december 2011 BWS

Old Mout Cranberry & Cider Old Mout Cranberry & Cider is the rather tasty tipple created when apple cider met its match with cranberry wine. Smells like strawberries, cranberries, rose petals and apple blossom. Well balanced with a fresh tart finish. RRP: $11.99 per 1.25 ltr Redwood Cellars (2006) Ltd Phone 03 544 2706 salesnz@oldmoutcider.com www.oldmoutcider.com

Old Mout Pear Scrumpy Old Mout Pear Scrumpy calls for ripe eating pears off the tree to meet their glorious end in this rather traditional drop. Smells like freshly sliced, tree-ripened pear. Great depth of flavour with a long finish. RRP: $11.99 per 1.25 ltr Redwood Cellars (2006) Ltd Phone 03 544 2706 salesnz@oldmoutcider.com www.oldmoutcider.com

Zeffer Dry Apple Cider Zeffer Dry Apple Cider is light and refreshing with a delicious green apple tang and earthy undertones on both the nose and the palate. With its crisp, dry style it is the perfect drink while hard at work over the BBQ hot plates this summer! No added cane sugar, artificial colours or flavourings.Â RRP: $14.99 per 4pk RRP: $6.99 per 500ml Eurovintage Freephone: 0800 338 766 info@eurovintage.co.nz www.eurovintage.co.nz

Old Mout Scrumpy Old Mout Scrumpy is a rather effervescent take on the traditional Scrumpy recipe, with a gutsy apple flavour, to seriously satisfy a solid thirst. Smells like fresh apples. A nice balance of apple skin flavours and medium sweetness that lingers at the back of the mouth. RRP: $11.99 per 1.25 ltr Redwood Cellars (2006) Ltd Phone 03 544 2706 salesnz@oldmoutcider.com www.oldmoutcider.com

Old Mout Classic Apple Old Mout Classic Apple is a light, clear cider with a crisp finish, to be enjoyed when you get a hankering for a taste of the good stuff. Smells like apple blossoms and springtime. Easy drinking cider with a nice balance of sweet and tart. RRP: $9.99 per 1.25 ltr Redwood Cellars (2006) Ltd Phone 03 544 2706 salesnz@oldmoutcider.com www.oldmoutcider.com

Zeffer Dry Pear Cider Zeffer Dry Pear Cider is a smooth juicy number with a light fizz and a hint of natural sweetness. It has lovely honey, guava and ginger characteristics. Low in acid it has a soft, full bodied mouth feel. Not only delicious to drink but mixed with a little crushed garlic it makes the perfect BBQ meat marinade. No added cane sugar, artificial colours or flavourings.Â RRP: $14.99 per 4pk RRP: $6.99 per 500ml Eurovintage Freephone: 0800 338 766 info@eurovintage.co.nz www.eurovintage.co.nz

BWS December 2011

Monteith’s Summer Ale A fresh bright beer, brimming with lively flavours and balanced by a touch of rata honey. Perfect for BBQs or drinks at the beach, Summer Ale complements lighter foods such as fresh salmon, trout and salad. RRP: $14.99 per 6pk DB Breweries Ltd Phone 09 259 3000 info@monteiths.co.nz www.monteiths.co.nz

be e r s & ci d er s Monteith’s Radler Bier This easy drinking beer has an invigorating tangy fruit character & zesty citrus finish based on the original style brewed in Bavaria. It’s a great match with lighter foods, especially sea foods and salads. The citrus twist also works wonders with lemon tart. RRP: $14.99 per 6pk DB Breweries Ltd Phone 09 259 3000 info@monteiths.co.nz www.monteiths.co.nz

Old Mout Feijoa & Cider Old Mout Feijoa & Cider is a delectable apple cider, combined with fruit wine. Smells like feijoas with crisp outdoorsy, herbaceous notes. Apple and feijoa are natural partners, making this an aromatic alternative to a Gewurztraminer.

Old Mout Boysencider Old Mout Boysencider is the ingenious union of refreshing apple cider with succulent boysenberry wine – creating a drink that’s the best of both worlds. Smells like a summery burst of berries with a wee hint of cherry. Refreshing rather than overly sweet, like a zing of berry sorbet.

RRP: $12.99 per 4pk DB Breweries Ltd Phone 09 259 3000 info@monteiths.co.nz www.monteiths.co.nz

Monteith’s Crushed Pear Cider 100% Not From Concentrate Monteith’s Crushed Pear Cider is made purely with sun-ripened Nelson pears which are first crushed to release their juice, then directly fermented. The end result is a lighter and truer cider. It’s a great match with ginger-based dishes, blue cheese or strong cheddar cheese.

Monteith’s Crushed Apple Cider 100% Not From Concentrate A light, refreshing French-style cider made from whole sun-ripened Nelson apples crushed to retain their natural flavour. The result is a lighter cider with full apple flavour and freshness. Try it with sweet French crepes for an afternoon soiree, or strong blue cheese and nutty Gouda.

RRP: $11.99 per 1.25 ltr Redwood Cellars (2006) Ltd Phone 03 544 2706 salesnz@oldmoutcider.com www.oldmoutcider.com

december 2011 BWS

BEST BEST SUMMER SUMMER BEERS BEERS & & CIDERS CIDERS

PiperArrow Heidsieck Johnny DryCuvee AppleBrut CiderNV RRP: $74.90 Johnny Arrow Apple Cider was awarded a TheMedal nose is of NZ a bright, fresh Bronze atreminiscent the 2011 Brew Awards. A morning duringwith early Spring. Notes of and brilliant gold cider a fresh apple taste citrus Granny Smith apple It and aroma thatfruits, delivers a crisp dry finish. is a subtlealternative hints of warm toastiness refreshing to wine or beerfollow on a hot springday blossoms such as hawthorn. The summer’s and is made from locally-grown is Arrow fresh and with more 1/3 less fruit.palate Johnny Drylively, Ciders contain notes ofcider. pineapple, nutmeg, sugarmature than average white pepper and oriental zest. RRP:Hancocks $11.99 perWine, 4pk Spirit & Beer Merchants DB Breweries Ltd Freephone 0800 699 463 Phone 09 259 3000 sales@hancocks.co.nz simon.smith@db.co.nz www.hancocks.co.nz www.johnnyarrow.co.nz

Magners Pear CiderCuvee Brut NV Piper Heidsieck Crafted 100% quality pear juice, Magners RRP:from $74.90 Pear Cider has a light pear aroma, embraced The nose is reminiscent of a bright, freshwith a floral scent of elderflower and aNotes subtleofhint of morning during early Spring. honey dew and kiwi fruit. Bring the pure, natural citrus fruits, Granny Smith apple and tastesubtle of pears straight to your glass and enjoy hints of warm toastiness follow the silky crisp, delicate and refreshing finish spring blossoms such as hawthorn. Thethat makes for such easyand drinking... a very sessionable palate is fresh lively, with more cider.mature notes of pineapple, nutmeg, white pepper and oriental zest. RRP:Hancocks $7.49 per Wine, 568mlSpirit (pint)& RRP: $16.99 per 4pk 330ml Beer Merchants Hancocks Wine,0800 Spirit699 & Beer Freephone 463 Merchants Freephone 0800 699 463 sales@hancocks.co.nz sales@hancocks.co.nz www.hancocks.co.nz www.hancocks.co.nz

Magners Original Irish Cider NV Wolf Blass Red Label Moscato From the original recipe perfected since 1935, RRP: $15.99 Magners is Moscato patiently has vat rich, matured to create Wolf Blass intense the uniqueofand taste ofcitrus Ireland’s aromatics sunrefreshing warmed grapes, favourite cider. This is a full-bodiedpalate and wellblossom and sweet spicy musk. A rounded premium which bursting with sweetapple fruitcider, flavours is is gently balanced between and sweetness. carried along by theacidity effervescent spritz It delivers both length and fruit. Its long, crisp of bubbles to a clean, fresh, lemony taste theany ultimate thirstServe quencher. finish.makes Perfectit for occasion. well chilled. RRP: $7.49 per 568ml (pint) Treasury Wine Estate RRP: $16.990508 per 330ml 4pk Freephone 873 278 Hancocks Wine, Spirit & Beer Merchants www.wolfblass.com.au Freephone 0800 699 463 sales@hancocks.co.nz www.hancocks.co.nz

Johnny DryLabel Pear Cider WolfArrow Blass Red Moscato NV A light coloured RRP: $15.99cider with delicate pear notes and smooth mouth feel that a clean dry Wolf Blass Moscato hasdelivers rich, intense finish.aromatics Locally grown ripened under the hot of sunpears, warmed grapes, citrus New Zealand sun, undergo a natural fermentation blossom and sweet spicy musk. A palate process that brings out thefruit bestflavours of the fruit’s flavour. bursting with sweet is Deliciously with slice of lemonspritz too! carriedmoreish along by theaeffervescent Johnny Arrow Dry 1/3 less sugar of bubbles to aCiders clean,contain fresh, lemony thanfinish. average cider.for any occasion. Serve well Perfect chilled. RRP:Treasury $11.99 per 4pk Estate Wine DB Breweries FreephoneLtd 0508 873 278 Phone 09 259 3000 www.wolfblass.com.au simon.smith@db.co.nz www.johnnyarrow.co.nz

Aspall Suffolk Cuvee CyderBrut – DryNV Premier Cru Piper Heidsieck With a champagne taste that embodies the RRP: $74.90 essence orchard, this English The noseofisan reminiscent of apremium bright, fresh cider hasduring a mid straw-gold morning early Spring.colour Noteswith of a clean, light dessert apples. It isand dry, round and citrusaroma fruits,of Granny Smith apple creamy on the palatetoastiness with a good acid balance, subtle hints of warm follow pleasant soft tannins an elegant,The long finish. spring blossoms such and as hawthorn. palate is fresh and lively, with more RRP: $7.49 perof500ml mature notes pineapple, nutmeg, RRP: per 4pk 330mlzest. white$17.99 pepper and oriental Hancocks Wine, Spirit & Beer Merchants Freephone 0800 699 463 Beer Merchants sales@hancocks.co.nz Freephone 0800 699 463 www.hancocks.co.nz sales@hancocks.co.nz www.hancocks.co.nz

BWS December 2011

Isaac’s Cider is the market leader with 32% share of the category (Nielsen (NZ) Ltd, ScanTrack, MAT Volume share to 6 Nov), says brand manager Hayden Harvey. Speight’s Cider, while brand new to the market, already has 11% market share (Nielsen (NZ) Ltd, ScanTrack, QTR Volume share to 6 Nov), he adds. “We are seeing a constantly changing world in cider. Only a couple of years ago the category was stagnant with large format value PET ciders dominating the small volume of cider sold in New Zealand. The introduction of brands such as Isaac’s in the last two years, has turned the category on its head by offering a refreshing alternative to beer, wines and spirits for under 30s looking for something a little different.” He explains: “Isaac’s and other emerging brands have removed category baggage and brought new consumers into cider, with a contemporary take on an old tired category. With unisex appeal, both males and females are attracted to the category and a raft of new flavours and formats have provided more choice for more occasions. Speight’s Cider has addressed a demand for a more masculine alternative to beer for under 33s males and is showing good success since launch. As consumers continue to come into this ever-evolving and growing category, cider looks to remain an exciting choice for consumers for years to come.” Isaac’s Cider with Berry combines the crisp hit of apple with tart boysenberry for a bubbly beverage that’s perfect for hot summer days. The vibrant ruby red colour from the boysenberry juice and the clean and balanced finish makes Isaac’s Cider with Berry a delicious addition to the Isaac’s Cider family.

Isaac’s Cider with Berry is available in 6-packs (RRP $16.99) and 12-packs ($27.99). Speight’s has introduced a classic, crisp cider made from locally-grown NZ apples. Speight’s Cider is a more traditional, drier drop that’s less bubbly and sweet than most bottled varieties. It’s full-flavoured, yet refreshingly thirstquenching after a hard day’s work. “Cider in New Zealand is experiencing a huge popularity surge, with 45% growth in the last 12 months – with Isaac’s driving most of this market growth. Cider’s popularity has exploded over the last few years, with a trend to sweeter, fruitier ciders,” explains Harvey. He adds: “Speight’s wanted to keep with traditions, and being the expert brewers they are have created a robust, quality recipe in a more full-bodied style that’s true to Speight’s drinkers.” Speight’s Cider is also the first in the country to include the “Love NZ” public place recycling logo on-pack. Love NZ is a government-led initiative which is providing permanent and temporary recycling bins and bottle banks for public places across New Zealand. Including the brand’s logo on Speight’s Cider packaging will help reinforce the message of where to put the empties once they’ve been enjoyed. Speight’s Cider is available in supermarkets and liquor retailers (6 and 12 packs). New flair for Monteith’s Crushed Apple and Pear Monteith’s Brewing Co has unveiled a new pack format and packaging look for its Crushed Apple and Crushed Pear Cider range. The new 12-pack variety, and artwork on the Monteiths Crushed Apple and

Crushed Pear Cider varieties, will further build on the brand’s success and increase awareness says Jennie Macindoe, Monteith’s marketing manager. “We have extended the Monteith’s Crushed Cider range format to include 12-packs to provide more choice to people who enjoy both the apple and pear varieties. In doing so we also gave the packaging appearance a contemporary and fresh look with real fruit hanging on the orchard branches to stand out on shelves and reaffirm the Monteith’s cider credentials as being made from 100% freshly crushed fruit,” she says. The delightfully tasty Monteith’s Crushed Apple and Crushed Pear Ciders are made from sun-ripened New Zealand fruits which, just like their name, have been freshly crushed to retain the fruit’s natural flavours. This is a point of difference to most of the other ciders on the market, which are made from concentrate. The launch of the 12 packs is being supported by an extensive advertising campaign through the summer months, featuring billboards, press and digital activity. Key to the communication is the ‘Not from Concentrate’ message. Monteith’s Crushed Apple Cider and Monteith’s Crushed Pear Cider (both 4.5% ABV) new 12-pack format is available in supermarkets and liquor stores, priced from $32.99. l For more commentary and product updates see fmcg.co.nz/bws

DECEMber 2011 BWS

‘me too’ ciders – which our two new products this year, Pear Scrumpy and Cranberry & Cider, are testament to.” He adds: “We might not be as big as our brewery competitors in the cider space, but we’re proud to have pioneered a whole new addition to the cider scene – cider blended with real fruit wine – which New Zealanders seem to love. “All current variants are available in handy 1.25L PET bottles and 330ml 4pks. Both our new products are available pre Xmas in 1.25L PET only, with the 330ml 4pk available from February,” says Chapman. He adds: “We’ve also done a bit of tinkering with our Apple Scrumpy. It’s now a slightly drier, more refreshing cider that delivers even more of our Scrumpy promise – gutsy apple flavour that’ll still let you know who’s boss. “Being a dedicated cidery, with expert cider-makers, we’re always looking for ways to make cider better. It’s what we love and what we do best. Hence we’re 100% committed to innovation – with a focus on quality and taste. It’s too early for us to say what’s next, but it’s pretty exciting… as is our growth and export into Australia,” says Chapman. He says: “The fruit and flavoured ciders are experiencing massive global appreciation and ever-increasing sales. Given, we have been the pioneers in

Sam Whitmore and Hannah Bower, founders of the Zeffer Brewing Company.

this space in the New Zealand cider market, we are well set to continue our positive growth. However, unlike many other players starting to enjoy the sales in this space, here at Old Mout Cider we use only whole fruit to make fruit wine and blend this with cider (not just added flavouring). It is this blending of fruit wine and cider which makes us unique. Making fruit wine is part of our Redwood Cellars’ 60-year heritage.” Zeffer Brewing Company Sam Whitmore and Hannah Bower founded the Zeffer Brewing Company in Matakana in 2009. After witnessing first hand how big the cider market in the UK had become they decided to combine Whitmore’s background as a wine-maker and Bower’s advertising and marketing experience to create a Kiwi cider brand. They explain: “In New Zealand we have such an abundance of top quality fruit it seemed like a logical step to start making cider. We are very particular about the varieties and quality of fruit we use. Our philosophy has always been simple – good fruit makes good cider.” Zeffer sources its apples and pears direct from growers around New Zealand and then freshly crushes them on site in Matakana. Bower explains: “When we began we were aware that in New Zealand there were a number of sweet ciders on offer but we saw a gap in the market for a naturally dry product with no added cane sugar or artificial sweeteners. “There are currently three products in the Zeffer range, a dry apple cider, dry pear cider and a new limited release called ‘Slack Ma Girdle’, which is made from a special blend of over 52 English cider apple varieties grown in Canterbury.” Initially Whitmore and Bower began

selling their cider through farmers markets and local Matakana outlets with demand for the product being so strong that they now have outlets nationwide with a number of supermarkets, bars and restaurants stocking the Zeffer range. Johnny Arrow It’s shaping up for a long hot summer and when the conditions are perfect the refreshingly dry Johnny Arrow cider really hits the spot. Johnny Arrow Cider has one third less sugar than average cider and is gluten free. The ‘less sugar’ message is now prominently displayed on the bottle neck and new clear plastic labels give the product a cleaner look. Johnny Arrow brand manager Carla Rawson says: “This new packaging is aimed at emphasising the appealing points of difference to consumers; that Johnny Arrow is a dry cider which is less sweet than other ciders currently on the shelves.” Johnny Arrow is a refreshing alternative to wine or beer on a hot summer’s day and is made from locally-grown fruit, ripened under the hot New Zealand sun, before undergoing a natural fermentation process that brings out the best of the fruit’s flavour. It’s the fermentation process used in the making of Johnny Arrow which creates the perfect balance of dry sweetness without having all the sugar. Johnny Arrow Apple cider was awarded a bronze medal at the 2011 Brew NZ awards. Johnny Arrow cider is 4.5% ABV cider and available in both 4-packs and 12-packs at supermarket and liquor outlets nationwide, RRP from $11.99. Isaac’s Cider & Speight’s Cider Isaac’s Cider with Berry was launched in November and Speight’s Cider in July, 2011.

BWS DECEMber 2011

BEERS & CIDERS produce. Made in Ireland using 100% premium pears, Magners Pear has no artificial sweeteners or flavourings and is cold filtered for extra purity, making it crisp and refreshing with a delicate fruity character. Magners Irish Cider is gluten free. Aspall Suffolk Cyder The recipes for Aspall’s unique blend of bittersweet and culinary apples have been handed down through eight generations of the Chevallier family since 1728. The Aspall philosophy is quality without compromise, focusing on producing the very best range of super-premium ciders. Made with the finest raw materials and with painstaking care and attention to detail, Aspall Suffolk Cyder is one of the finest drinks available and deserves recognition as such. Apples are graded by eye and to this day the Chevallier family insists on signing off every batch, ensuring quality remains first and foremost. As a result, the premium quality of the cider is consistently recognised with a multitude of top industry awards as well as being recognised as a ‘CoolBrand’ in Britain for 2010, 2011 and now 2012. The Premier Cru (7% ABV) is Aspall’s flagship cider and the first of the re-launched range to go to market in 2000. It has enticed an admiring audience who describe it as “pale, subtle and crisp, with a fresh aroma of English apples”. Premier Cru has won many awards; most recently it took first prize in the cider category at the Quality Drink Awards for 2011, Silver at the British Bottlers Institute Awards 2011 and received 2 Stars at the Great Taste Awards 2011. It has also won the

World’s Best Cider for two consecutive years in 2008 and 2009. It is available at RRP $7.49 per 500ml bottle and RRP $4.80 per 330ml bottle. The premium quality of this product is represented in an equally striking signature bottle, a replica of the bottle that was used by one of Clement Chevallier’s (founder of the business in 1728) descendants, JB Chevallier, in the 1920s and 1930s. This stunning packaging ensures that it represents the image the contents of the bottle merit. Redwood Cellars New Zealand’s most awarded cider is produced by one of the country’s fastest growing companies. Redwood Cellars, the parent company of Old Mout Cider, recently won the Deloitte 2011 Fast 50 regional award for the fastest growing retail or consumer products business (Christchurch and Upper South Island region). The company was listed as the 44th fastest growing company in New Zealand with 159.48% market growth, which has been attributed to the success of its Old Mout Cider. Redwood Cellars MD and co-owner Justin Hall says this is a significant achievement for Redwood Cellars. He credits their growth to innovation and a continual focus on quality and taste. “We’ve been making cider for more than 60 years now and we are continually looking at ways to do things differently. All of our ciders have a distinct, individual taste. “We also pioneered a new category in the New Zealand cider market – cider blended with real fruit wine and we’re now crossing from niche into mainstream.”

Hall also credits the company’s success to its team and their ability to make sound business decisions. Redwood Cellars is New Zealand’s oldest independent cidery and Old Mout Cider ranks in the top three best selling cider brands in the country, with 28 awards under its belt. Hall says the cider category is growing significantly in New Zealand. “We’re going to keep focusing on innovation and producing a greattasting product so we can take advantage of the huge growth potential this category has.” Redwood Cellars produces a range of ciders under the Old Mout Cider brand – Boysencider, Feijoa & Cider, Pear Scrumpy, Scrumpy, and Classic Apple, and a new Cranberry & Cider will be available this December. Made in Nelson since 1947, Old Mout Cider is proudly produced by the team at Redwood Cellars. Directors and co-owners, Scottie Chapman and Justin Hall, bought Redwood Cellars and reinvigorated Old Mout Cider in 2006. In 2011, Old Mout Cider launched a fresh new look with orchard style font and imagery, reminiscent of its home-grown “independent” cider background. Chapman comments: “Our independent cidery and expert cider-makers use only topnotch local fruit. Because we make cider for cider lovers, and cider is our mainstay, we place a lot of focus on taste and quality. All of our ciders have a unique taste and profile – unlike any other. We’re not about producing DECEMber 2011 BWS

Dean and Emma McCashin.

McCashin’s Brewery produces the Full Stoke beer range, Rochdale Traditional NZ Cider and Frute’ Real Fruit Cider. Eight new Stoke beer flavours have been launched recently and more new launches are in the pipeline. “Stoke is the No 1 craft beer brand from an independent brewery in total NZ supermarket sales, and has five out of the top 20 craft SKUs*,” says Brent Ardern, McCashin’s Brewery/Hancocks Wine, Spirit and Beer Merchants in-market manager. He explains: “Craft Beer is growing in total supermarkets at 24%*. We are seeing people prepared to pay

SUMMER Premium craft beers and ciders made the old-fashioned way are proving very popular with consumers. BWS talked to some of the stakeholders behind the exciting new beers and ciders in New Zealand. more for quality products and also experiment beyond the mainstream flavour profiles. That is why we are so excited about new lines like the Smoky Ale and Biscuit in our single serve bomber range.” He adds: “Being a 100% family owned and operated New Zealand company we are proud to work with businesses with a similar structure and ethos like McCashin’s Brewery. Both businesses have a long a proud history in the New Zealand liquor trade and we are excited to be working together, along with the other local craft producers, to nurture what is a rapidly growing craft beer market.” McCashin’s Brewery’s products are distributed by Hancock’s Wine, Spirit and Beer Merchants. *Aztec 14th August 2011

Magners Original Irish Cider From the original recipe perfected since 1935, Magners is patiently vat matured to create the unique and refreshing taste of Ireland’s favourite cider. This is a full-bodied and wellrounded premium apple cider, which is gently balanced between acidity and sweetness. It delivers both length and fruit. Its long, crisp taste makes it the ultimate thirst quencher. Magners Original Irish Cider and Magners Pear Cider (both 4.5% ABV) are available at RRP $16.99 per 4pk 330ml

and RRP $7.49 per 568ml (pint). Crafted from 100% quality pear juice, Magners Pear Cider has a light pear aroma, embraced with a floral scent of elderflower and a subtle hint of honey dew and kiwifruit. Magners has long been an Irish success story in its homeland and on the international stage has grown from strength to strength over the past seven years, now taking the number one spot of all packaged premium cider brands in Great Britain. Magners has a unique flavour profile which has developed over 76 years. Its uniqueness stems from a combination of the 17 varieties of fresh crisp apples used (sourced from the Magners orchards in Clonmel, County Tipperary), and the traditional cider-making process, where only the indigenous yeast strains present in the oak presses and wooden vats are used to ferment the cider. The blending process combined with William Magner’s secret ingredient ‘time’ gives Magners a uniquely complex flavour. Magners is profiled at all stages of maturation by an expert panel and the taste profile of the maturing ciders is used for the selection of the unique “Magners Blend”. Magners Pear Cider was introduced to the Magners brand portfolio in 2009. Just like Magners Original Cider, the quality of Magners Pear Cider is ensured by using only the freshest

BWS DECEMber 2011

ACTUALLY NZ OWNED, CRAFTED IN NELSON.

range 650ml

¾ KIWI PALE ALE ¾ SMOKY ALE ¾ OATMEAL STOUT ¾ BOHEMIAN ALE ¾ BISCUIT LAGER