THOUGHT LEADERSHIP
Branding and supply chain: why they matter Getting your branding and supply chain right are critical in the food and beverage industry, especially if companies are looking to export to lucrative overseas markets. Food & Beverage Industry News finds out from PepsiCo the role of these two important aspects of doing business overseas.
D
anny Celoni is the Australasian CEO of one of the most recognisable names on the planet – PepsiCo. Having more than 22 years’ experience in sales, strategising and marketing throughout the Pacific and Asian regions, he is in a good place to see where Australian brands fit. Not only in terms of names themselves, but perceptions, too. “[I think] Brand Australia has a lot of equity with a lot of our brands,” he said at the recent Global Food Forum held in Sydney. “PepsiCo has a huge snack portfolio including the likes of Red Rock Deli chips and Twisties and we are seeing Brand Australia becoming more prominent. We are well placed from
a value-add perspective. It’s all about quality, food security, consistency – they’re core elements that make Brand Australia prevalent.” Appearing on stage with Celoni was Sir Rod Eddington, who, among other things, is the non-executive chairman of brewery giant Lion. A Rhodes Scholar who attended Oxford, Eddington is a strong believer in having big ties to Asia. His Grand Cordon of the Order of the Rising Sun awarded to him by the Japanese government in 2015 for his contribution to strengthening economic relations between Australia and Japan is proof of that. And although he is a champion of local produce, he is slightly less optimistic about Australia’s brand
Having decent cold storage facilities at international airports like Sydney, are critical for food supply chains.
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presence. He believes Australian food producers have a way to go in the branding stakes. He cites Australia’s neighbours across the Tasman, and a home-grown example, as a prime illustrations of how Australia should be positioning itself. “We have a long way to go on Brand Australia to be frank,” he said. “The Kiwis have done a brilliant job. The 100 per cent Pure New Zealand brand is a very good one. “The part of Australia that is probably closest to being in the right space is Tasmania. Tasmania has built a reputation for itself, over a long period of time, not only as a producer of world-class wool, but of world-class seafood and vegetables. I think there is some real examples
to be taken from Tasmania. As good as Australian food is, it still doesn’t have an overarching brand with the quality that the Kiwis have delivered.” Eddington also made it very clear that the supply chain has to be up to scratch. If it’s not, then it doesn’t matter how high-quality your food or beverage is, you will make no inroads into some of the more fickle, but lucrative, markets. “If you are exporting fresh and chilled products including cold foods, then supply chain is critical,” said Eddington. “An hour on the tarmac in the sun can destroy the product. As a company, we are really focussed on what supply chains are best and there are plenty of places
