2016 www.supermarketnews.co.nz
www.restaurantandcafe.co.nz
www.hotelmagazine.co.nz $
16.95
INTRODUCING NZ’S FIRST BEVERAGE REPORT IN ASSOCIATION WITH
The beverage industry continues to experience explosive growth and change as manufacturers react to consumer demand for healthier options and it doesn’t look like slowing any time soon. With sugar under fire, innovation has taken hold in 2016 with new brands and beverage types rising in market share. Suppliers have been quick to respond to both market and consumer attitudes both locally and internationally, making it a dramatic time to be in the beverage industry. In this first of a regular annual publication, we turn the spotlight on the sector with The Beverage Report, looking at emerging brands,
functional drinks, the rise of healthier drinks and the changes to existing brands as they reformulate or resize. From the concentration on healthy convenience to the increase in craft beers, functional waters to single serve, changes in the big players portfolios to the launch of new entrants to the market, The Beverage Report is a must read across the entire industry.
Sarah Mitchell Editorial Director
BEVERAGE REPORT NUMBERS 282 million litres beer were consumed in NZ in 2015 (alcoholic beverages, pages 24 -27)
Top 16 beverage firms have a combined revenue of nearly $3.38 billion (see industry opinions, pages 4 -10)
The Beverage Report is available through subscription to SupermarketNews, Restaurant &Café and HOTEL magazines. Additional copies are also available. For more information, contact beverage@reviewmags.com. Our thanks to all contributing writers for sharing your thoughts on the status, trends and innovations in the Beverage Market.
Additional information and detailed graphs available online at www.supermarketnews.co.nz; www.restaurantandcafe.co.nz; www.hotelmagazine.co.nz
New Zealand has the 15th highest per capita coffee consumption rate in the world (coffee & tea, pages 22 -23)
43 percent of global consumers want to buy ‘all natural’ products, including beverages (juice & syrups, pages 17 -19)
PUBLISHER: Peter Mitchell, peter@reviewmags.com MANAGING DIRECTOR: Tania Walters, tania@reviewmags.com EDITORIAL DIRECTOR: Sarah Mitchell, sarah@reviewmags.com ASSOCIATE EDITOR: Rossella Quaranta, rossella@reviewmags.com ADVERTISING SALES: Felicity-Anne Flack, felicity@reviewmags.com SENIOR DESIGNER: Raymund Sarmiento, raymund@reviewmags.com DESIGN ASSISTANT: Hannah Sames CIRCULATION & DISTRIBUTION MANAGER: Kieran Mitchell, kieran@reviewmags.com Suite 9, Level 3, 20 Augustus Tce, Parnell, Auckland, PO Box 37140 Parnell, Auckland. Tel (09) 3040142 Fax (09) 3772794
2
I
100% 2016 The BEverage Report
OWNED
WHO IS YOUR CONSUMER? MILLENNIAL OR MIDDLE CLASS?
FITNESS FANATIC OR FASHIONISTA?
MAGAZINES OR MULTI-SCREEN?
In this environment, breadth of understanding of consumer attitudes, media consumption and their day to day behaviours is essential. Nielsen’s Consumer Profiles provide quick and inexpensive views of consumers you want to identify, understand and then reach. Contact us at nielsen.com/nz for more information.
BRIGHT FUTURE FOR THE SECTOR
With new players getting in on the action and a massive wave of innovative products, brewing methods and health-beneficial ingredients being injected into the market, the state of the NZ Beverage sector looks very bright. According to Nielsen ScanTrack, over the past two years (July 2014 - July 2016) supermarket beverage sales have consistently grown across nearly all categories, the exceptions being cordials and syrups, juice and milk modifiers. Premiumisation continues to be a strong trend off-trade. Concentrated 100 percent juice enjoyed a 9 percent value growth, whereas reconstituted 100 percent juice sales dropped by 3 percent. Health juices such as smoothie-based products significantly influenced food service outlets, and packaged juices with functional ingredients followed suit. In the near future, health, freshness and premiumisation are likely to remain the key drivers within the category. All around the world, including the New Zealand market, consumers are demanding more natural flavours in soft drinks, looking for products with functional properties, locallysourced ingredients and adventurous variants.
As Kiwis are becoming increasingly healthconscious, the feel-good factor can sometimes outweigh flavour which results in short-term success for some brands. A recent global study by market research company Canadean shows that women and the younger generation are usually more ‘experimental’ than men and older consumers, meaning that marketing and R&D have a clear forward growth path. Positive sampling experiences entice older shoppers into trying new products, while men can be reached through traditional advertising, gender-targeted branding and peer recommendations. Among the best-performing categories are water, fresh chilled beverages and craft beer. The NZ beer scene is lively and teeming with fresh ideas and innovation. Research from ANZ Commercial & Agri reveals that total sales of craft beer increased by 35 percent in the past year, now accounting for around 15 percent of
INDUSTRY STABLE, BUT IT HAS ITS CHALLENGES The New Zealand beverage industry is relatively small by international standards, but that gives it the advantage of being able to work across most issues, says NZ Beverage Council executive director Kerry Tyack. “We have a very stable industry, but like the worldwide beverage field, we do have our ongoing challenges, especially in the sugarsweetened sector,” he said. “Fortunately our producers have worked hard on current issues and sales of nonalcoholic beverages are increasingly in tune with the health attitudes of the day prevalent in the community. “This particularly applies to the growth of water products and the non-sweetened
4
I
100% 2016 The BEverage Report
OWNED
category that is showing strong consumer support. And we are all aware of the levelling off of the treat category brought about by activist pressures. “What has been interesting has been the increasing emphasis and sales of milk-based products, and we are expecting to see an ongoing lift in this area,” said Tyack. He said that over recent years, there have been a number of mergers and acquisitions, but there were still a lot of new players in the industry although the bulk of turnover still lay with the top half a dozen producers. One of the worries for the industry was that many of the new players were less experienced in the area of label legality. The industry had
domestic beer sales. Figures are impressive and supporting this is the growth in craft breweries; there are now 168 craft breweries across the country, producing over 1,500 unique craft beers. To slightly misquote Brewers Guild’s president Emma McCashin, “There’s never been a better time to be a drinker”. Gaining new consumers is where future challenges and opportunities lie. As female drinkers remain the biggest consumers of cider, the industry is tempting them with innovative ranges, and in this respect, flavoured beer is an area of growth for New Zealand suppliers.
Rossella Quaranta Associate Editor SupermarketNews
an ongoing facility to ensure label correctness and newcomers, both local and imported, had to be warned that the consumer simply would no longer be duped by outlandish label claims. The NZ Beverage Council has around 70 members and takes a strong hands-on approach to all aspects of production, labelling and marketing.
New Zealand Beverage Council
IT’S ALL ABOUT THE WATER Achieving sustainability is a key mission of all responsible food companies, and the beverage industry leads the way in many aspects of this. For most, the efficient use of water and energy, and reducing waste are equal in importance. With the industry’s reputation resting on being able to source the best water, it’s a resource that’s front and top of mind every day. The companies know that if they are to keep using such a valuable resource, then they must be efficient stewards of it. The saying ‘what goes around comes around’ is never more accurate than when it comes to water. We don’t have to go far for examples of how important the industry regards water conservation. Water is the most important ingredient for our two biggest breweries, DB and Lion, whether it be for growing their vital natural ingredients or as their biggest single ingredient. Both place huge store in water management and efficiency both in production and further down the supply chain, with continual investment in the latest and most efficient equipment a big factor. Similarly for our two biggest soft drink companies and our biggest tea and coffee maker. Brew Group says it strives to minimise the impact on the environment in a variety of ways, “with minimising water usage right up there”. Frucor says it is constantly looking to reduce water use during production while working with suppliers on “integrated water management” projects to reach “water balance attainment”. Its main opposition, the Coca-Cola System, plays a big part in the success of the global company’s commitment to replenish every litre of water it uses – a goal achieved four years early. It’s reassuring to see the industry putting so much effort into putting back.
WE DON’T NEED A CONTAINER TAX Do you know the beverage industry is being threatened by a Container Tax? It has the support of 90 percent of New Zealand’s Local Councils and container taxes are being introduced across Australia, but it is not justifiable in New Zealand. It is a solution to a “problem which we in New Zealand don’t have” and the numbers support this. 1. 69 percent of beverage containers overall are recycled and 73 percent of glass bottles are recycled, so it is not sensible to spend $75 million (the cost of the programme) for a claimed increase of an additional 7 percent. 2. Beverage containers are only 11 percent of litter, and there are other programmes addressing the litter issue which are very much more cost-effective. 3. 96 percent of New Zealanders have access to recycling, the majority at kerbside with maximum convenience and minimum cost. 4. While much is made of the 10 cent return per container, the actual increase
per container is 13.5 cents to cover the handling costs. 5. Many of the jurisdictions overseas with a tax do not have a comprehensive recycling programme which New Zealanders enjoy and are used to. Decisions about the beverage industry are being made without consideration of the facts, and the Packaging Forum is again taking a lead role to make sure our voice is heard and the debate is accurate and informed. We need the beverage industry’s support to prevent a New Zealand Beverage Container Tax. For more information, contact donna@packagingforum.org.nz or visit www.recycling.kiwi.nz John Webber, General Manager, Glass Packaging Forum
Katherine Rich, Chief Executive, NZ Food and Grocery Council
EXPLOSION OF NON-ALCOHOLIC BEVERAGES Source: UN Comtrade database
BEVERAGES – NARTD* New Zealand non-alcoholic beverages growing well, driven by juices and other flavoured carbonated; Australia still the largest market, but E/SE Asia growing NZ NARTD EXPORT VALUE BY DESTINATION
NZ NARTD EXPORT VALUE BY TYPE
US$m; 2004-2014
US$m; 2004-2014
$178 CAGR 8%
CAGR 8%
Juices
$96
$85
$36
$32
$85 $89
$9
$6
$46
$44 $3
$60
$178
$0
2004
$18 $5 $7
$5 $0
2009
$54
Soft drinks
Other E/SE Asia China Japan
$3 $12 $10
Other North America Pacific Islands
$107
Australia
$6 $0 $13 $2 $6 $7
$63
Other unsweetened Water 2004
2014
AGGREGATE GLOBAL EXPORT GROWTH US$m; 2003-2013
$3 $0 $9 $2 $12 $5
Other flavoured carbonated
$96
$14 $5 $27
2009
EXAMPLE PRODUCTS: PHOENIX 2015
2014
Review Publishing co ltd
I 5
NIELSEN TOTAL SUPERMARKET SALES
SPOTLIGHT ON COCONUT WATER AND COFFEE
UP & DOWN Water: +24.9% Chilled Beverages: +22.8% Milk Products: +6.5%
Milk Modifiers: -11% Cordials & Syrups: -4.4% Fruit Juice & Drinks: -4.3% SOURCE: Nielsen ScanTrack, Total Supermarkets, Val & Chg YA, MAT w/e 10/07/2016
HEALTHIER OPTIONS GAIN MOMENTUM
As a business, we are starting to see a fundamental change in approach across the beverage category. While total beverages continue to grow, the mix of products that contribute to our business is very different today versus what we saw two, five or 10 years ago. The big winner is water. Water has doubled in volume in the last five years and now represents more than $80 million per annum (total grocery sales NZ). However, this still falls well behind total carbonated beverages which, while slowly declining in volume over the last three years, still represents $315 million plus of sales per annum (total grocery sales NZ). Juice remains a large category full of a multitude of offerings. We see, however, that the
6
I
100% 2016 The BEverage Report
OWNED
As consumers’ tastes change, so too does the beverage category. We continue to see Kiwis reaching for the healthy alternatives, including more premium products. The trend towards healthier beverages, in particular less sugar, can be seen by the significant growth in the water category, which also includes the increasingly popular and significant growth of coconut water. Consumers’ love affair with coconut water continues to increase; Countdown was the first retailer in New Zealand to launch a 24pack of 600ml bottles for only $10, which proved to be massively popular with our customers. Other products on the increase in this sector are OVI and Sparkling Oh. These are alternatives to juice and carbonated soft drinks, but at the same time deliver some benefits such as antioxidants as well as delivering on taste. Kiwis still love their coffee though, and we are seeing increasingly that our customers want to recapture the café experience at home. This desire for high-quality, but easyto-make coffee has seen a move away from instant coffees towards the capsule segment. And while coffee lovers are finding easy and
bulk shelf stable products are in decline as the more premium fresh products, reduced sugar, vegetable and superfood juice categories grow. It is our view that the change in the beverage category is in line with the wider consumer trend of the ‘better for me’ focus which is then countered by the ‘looking for a treat’ consumer trend. The New Zealand consumer is far more aware of what they are consuming as well as who is producing the products they are consuming. They are looking for reasons of permissibility; this means reduced sugar, added water, healthier options are gaining momentum. This is also true in the alcohol category, where we see lighter and zero alcohol products gaining strong momentum as people look towards moderation and better for them options while still being engaged in the social occasion. The largest change driving consumer behaviour is the increasing view that sugar is the new resident evil, and carbonated beverages are the poster child representing all things bad. This is driving significant societal debate and behaviour change. We are seeing slight volume decline in this category, but not by as much as
affordable alternatives for their coffee, the tea category has also seen a move from the traditional into the fruit and herbal segment. The introduction of ‘hot and cold’ tea has seen an uplift in sales amongst younger consumers, while traditional black tea is declining amongst this crowd. The alcohol space has seen double-digit growth in craft beers and continued interest in premium wine areas. The trend around health and wellbeing has also played a key role in the growth of the low-alcohol and reduced-calorie options in both beer and wine. Global trends also indicate that Rosé will be the wine varietal of choice in 2017. One exciting trend to keep an eye on this summer will be wine and cider blends, which will no doubt be a hit once the sun starts shining. We have a number of suppliers who are focusing on this space, including loweralcohol options. Steve Mills, Merchandise Manager, Countdown
you might think versus the public debate that is raging. The other interesting trend in beverages is the continued growth of energy drinks. New Zealand has one of the highest rates of consumption of energy drinks in the world, but we still see this category growing, with the traditional players growing as well as new brands entering the market. In other markets around the world, energy drinks are largely the domain of the adult consumer, and consumption is night time or event based. Here we have a much younger consumer and more daytime permissible product. This category does not hide behind any false health benefits but over-indexes in terms of highprofile marketing activity, event sponsorship and brand activities that continue to work and drive category volume. Brendon Lawry, Merchandise Manager (Liquor and Beverages), Foodstuffs North Island
EXPLORING DIVERSITY IN COFFEE Our coffee industry has evolved much in the past decade and, with almost 300 coffee roasters in New Zealand, there’s growing diversity in the market. Traditional espresso-based drinks now share space in cafés with non-pressurised brewing methods such as chemex, pourover, aeropress and French press, and restaurants and bars are
KIWIS CHOOSE THEIR CAFÉ COFFEE BASED ON
also seeing the value in a quality coffee offering. Coffee is increasingly about the experience vs. a quick caffeine hit. In recent years, there has also been a shift with roasters having better access to green coffee origins (the raw product) along with sharing more information about seasonality, single origins, blends, and the producers with baristas.
This enables baristas to better engage with customers, sharing their knowledge and enthusiasm for coffee. Roasting methods are also increasingly diverse, with a current trend towards lighter, brighter roast styles, along with the traditional darker roasts in the market. Home brewing is becoming increasingly popular, with a diverse range of brew methods and equipment available to the consumer to enjoy in the comfort of their home. Coffee freshness continues to be at the forefront of premium coffee, with NZ roasted coffee continuing to prevail. It’s expected the diversity in the market will continue as the New Zealand consumer continues to explore different coffee brew methods, origins and experiences. New Zealand Specialty Coffee Association
CONSUMERS WANT NATURALNESS
TASTE
VALUE FOR MONEY QUALITY OF FOOD CUSTOMER SERVICE CONSISTENCY ACROSS STORES OTHER
Taste: 30% Value for money: 21% Quality of food: 19% Customer service: 15% Consistency across stores: 10% Other: 5% SOURCE: Canstar Blue survey on 1,846 people, March 2016
We are seeing healthy lifestyle trends driven by two main issues. First, an increasing awareness of obesity, which is on the rise in New Zealand, is creating more demand for low-calorie and low-sugar products. The trend towards energy drinks is still unabated, and we are experiencing significant growth with Red Bull Sugarfree, the same effect as Red Bull Energy Drink but without sugar. Secondly, there is a focus on food and drinks with functional ingredients or products enriched with vitamins and minerals, like coconut water drinks. Naturalness goes with the trend of a healthy lifestyle. Consumers are becoming increasingly conscious about healthy nutrition and firmly believe that natural products play a role. Foodfirst is proud to distribute the Benjer range of juice. Benjer is all about working with local growers and making the most natural products possible.
The natural ingredients used and the passion poured into our crafting Benjer results in the authentic full flavoured juices we produce today. Over the last couple of decades, New Zealand has undergone a coffee revolution as most Kiwis now see coffee as an artisanal product rather than as a commodity. Foodfirst is pleased to supply exclusively Kahala freeze-dried coffee which offers an instant full flavoured coffee and, for those coffee connoisseurs heading to a café for daily caffeine fix, look out for the Gold Medal winning Ambition Coffee. Barry O’Neill, General Manager, Foodfirst
Review Publishing co ltd
I 7
THE SUPPLIER SIDE OF CONVENIENCE
CONVENIENCE, A RETAIL PERSPECTIVE
Packaged Water is now driving category growth. Pure Still Water continues to provide solid growth, while value added propositions such as Flavoured, Sparkling and Enhanced We’re seeing a trend toward an water offers are stimulating category growth increasingly educated and more healthand provide an entry point for those consumers conscious consumer, which is reflected in that prefer a flavour or sensorial experience. a strong water segment that continues to Coconut Water is also showing good growth show significant growth year-on-year. as an emerging segment and looks set to double The expectation is that global health its contribution to category value vs. YA. Some trends will continue and as such it Consumer preferences have changed over flat results are coming in Sports and Fruit requires a ‘future proof approach’ time and, as such, CCA’s portfolio has evolved Juice (on the back of good growth in 2015), targeting any opportunities in the significantly over the past few years. One in while some of the emerging categories such Lifestyle Segment which will enable us to four beverages in the CCA portfolio of 200+ as Iced Tea are struggling to gain traction in cater to the health and wellbeing trend. products is now a low or no-calorie option, convenience. That said, we must also continue to which are available across a number of segments Packaged Water has been the shining focus on the core beverage categories of including; CSD, Energy, Sports and Water star in the beverage category, being the top Energy and Carbonated Soft Drinks, offerings. growth segment in 2015 with +$3.7 million which make up over 65 percent of Pack size and product availability have also in value growth across the scanned Petroleum beverage sales in our channel. developed to suit any consumer preference or channel. Water again leads Total Beverage Even though growth is relatively flat, occasion, from personal treating (EG. a 300ml growth year-to-date by $2.1 million.* Value consumption trends show that consumers serve size), right through to multi-serve options added propositions such as flavoured, coconut, are still very active in these segments, and for socialising or entertaining (EG. 1.5L packs). sparkling and enhanced waters are stimulating we would expect key manufacturers to On the whole, the Non-alcoholic Readycategory growth and provide an entry point continue to innovate with exciting new To-Drink Beverages have seen a +4,1 percent for those consumers that prefer a flavour or products. growth (+$3.3 million) year-to-date (7/8/16). sensorial experience when hydrating. However, growth slows to 1.1 percent (+$800k) The Energy category continues to dominate Scott Bell, Category on a two years trading view, showing that the chilled beverage sales in Petroleum, accounting Manager Beverages, majority of category growth is being driven by for 43 percent of the NARTD value sales in the Number 8 Retail new store growth in channel*. channel. Segment growth is typically reliant on Group for the NZACS Modest growth is coming from the two NPD and Innovation, with energy consumers largest categories of Energy and Carbonated generally being amongst the most responsive to Soft Drinks (CSD), growing at 3.6 percent trial new offerings. and 0.4 percent respectively year-to-date. CCA’s recent partnership with Monster corporation and has delivered more than They still very much dominate category value, Energy has seen their portfolio bolstered with a half the category’s $ growth over that time representing more than two-thirds of it.* brand that is a key player in the Global energy (+$3.4 million growth from 2013-2015). This market (number one energy brand in North trend looks to continue with CCA delivering America). more than $1.1 million in growth year-toCoca-Cola Amatil Although CCA has historically been a date—nearly $1 million more than any other (NZ) Ltd for the small player in Energy, in the past three years corporation.* New Zealand Association of ConvenienceBEVERAGES Stores the company’s successful portfolioBY +$3.2M (*Source: CATEGORY HASenergy GROWN VSNielsen YA – T. Defined Service Stations has delivered more $ growth than any other Scan Data to 7/8/16)
This is a growth rate of +2.6% vs last year Beverage Growth Rate – Defined SS 2yr Trading
BEVERAGES CATEGORY HAS GROWN BY +$3.2M VS YA
5.1%
THIS IS A GROWTH RATE OF +2.6% VS LAST YEAR
2.6%
8
I
opyright ©2015 The Nielsen Company. Confidential and proprietary.
Beverage Growth Rate Defined SS 2yr Trading
100% 2016 The BEverage Report
1.0%
When excluding tobacco, beverage growth rate is outpacing the rest of the defined SS Channel
When excluding Tobacco, Beverage growth rate is outpacing the rest of the Defined SS channel
Source: Nielsen ScanTrack OWNED Period: MAT to 04.09.2016 Market: Defined SS 2YR Trading
2
CHALLENGE: ACCEPTED
ROOM FOR GROWTH IN CIDER
Cider continues to be a category on the rise, with nearly 10 percent volume growth* delivered in the last year. Despite the strong growth being seen by the sector, one of the biggest opportunities lies in bringing more consumers to the category. To date, one in three Kiwis are yet to try their first cider^, and it continues to have a stronger appeal with women rather than men, albeit less so than a couple of years ago as more men have entered the market thanks to products like Old Mout Hard Cider, which is produced to have a more masculine appeal and a less sweet taste profile. As more consumers enter the category, the significance of larger pack sizes is becoming greater, showcased through 30 percent volume growth YOY*. More confident in what they’re buying, they don’t see a 12-pack purchase as a risk anymore, meaning that more cider occasions will develop as the product is more available in home.
While we see a shift towards larger pack formats, the role of single bottles is still crucial for driving exploration within the category. Single bottles provide an entry at an accessible price point to a new category, but single bottles also offer multiple flavour combinations and the sweeter profile makes them perfect to share with a friend. It remains an important segment to drive innovation and retain interest within the category. Data Sources: *AC Nielsen Total Scan Market MAT to 28.8.16 ^TNS Cider Track Q2 2016
DB Breweries for The Fruit Wine and Cider Makers of NZ
James MacVicar, General Manager, The Better Drinks Co
REDISCOVERY OF BEER
If you ask what’s driving growth in the beer category, you can expect a variety of responses depending on individual market perspectives. I see a blend of influences driving change, biggest of which is a shift in consumer preference that has created a perfect space for a product as diverse as beer. The historic wide appeal of beer is being rediscovered. An abundance of craft beer styles has now become extremely accessible to a wider market that enjoys it on more occasions. Good beer is hard to beat in almost every social setting, and that’s really nothing new. When it comes to what influence innovation is having on the market, I’d point directly at the recent availability of highquality, affordable packaging equipment. This development is the major driver in both marketing and distribution capability. I’d also add in the advent of small can-filling systems, especially when matched up to all the new small pack labelling technologies. A walk down any supermarket beer aisles these days displays an amazing mix of colour, design and branding all coercing the shopper to “drink me.” Even with rapid growth and success, any business will always be presented
There’s no doubt that changing consumer needs are providing challenges in the drinks world, but we see this as something to be embraced. After all, ‘The Better Drinks Co’ may be our name but it’s also a promise. We aim to provide everyone with a ‘better’ choice – whenever and wherever they are thirsty. Our Charlie’s and Phoenix brands have trusted credentials and are in a great position to address some of these trends. We’ve been busy developing our extensive range to provide lower sugar options such as Charlie’s Light Quenchers, Charlies Coconut Coolers, Charlie’s Coconut Water and the Phoenix Infused water range. We’ve also taken Mixers to another level with our latest range of Phoenix Organic Mixers – designed to keep your spirits happy, and as always, using authentic, organic ingredients. We’ve also partnered with the team at Bayer to develop an exciting new energy drink with Berocca Forward. An awesome tasting new energy drink with vitamins and minerals, and lower sugar too. We live and die on the taste, the quality and the moments our products deliver and to do this in a market where consumers are becoming more discerning just adds to the challenge of being Better!
with challenges. Increasing volume while maintaining value and retaining margins is key. However, commercial brewing at any level is very competitive so maintaining relevance on packed supermarket shelves while holding onto a semblance of profitability is the real test. The future seems to hold a cache of new beer styles and reinvented old ones, like barrel ageing and souring. As wacky as it all may seem, plenty of brewers are still producing great lagers, traditional ales and stouts. Unfortunately, it’s not just about how good the beer is and, if it were easy, everybody would be doing it. Doug Donelan, Committee Member of Nelson Craft Brewing Capital (NCBC) and New Zealand Hops CEO
NZ’S FIRST CIDER FESTIVAL On November 12th, Nelson’s Founders Heritage Park will host the first-ever New Zealand Cider Festival, where both traditional and brand-new varieties from around the country will be showcased. For more information, visit www. nzciderfestival.com.
Review Publishing co ltd
I 9
CONSUMERS ARE SPOILED FOR CHOICE
There’s never been a better time to be a beer drinker. With New Zealand breweries alone producing more than 1500 unique beers, consumers are spoiled for choice when they browse for something new and different to drink. These consumers are savvier than ever when it comes to beer. They want brews that are different and interesting. They want to be able to enjoy them in a range of different social situations – summer barbeques, sports events, catch-ups with friends after work, with dinner at home or at a restaurant. Nielsen research shows that more than 800,000 New Zealanders enjoy trying different beers. That’s an extraordinary number of people who already enjoy what is
the world’s most popular drink and are keen to give something new a go. Thankfully, Kiwi breweries have responded to this increasingly knowledgeable and sophisticated customer base by producing amazing beers that excite and delight. Retailers have done a tremendous job catering to rapidly growing demand by extending the range of beers on offer in the beer aisle. But many outlets only stock a limited range of the huge variety of brands and styles available. There is always competition for limited shelf space, but there are enormous opportunities to present wider beer selections to a very discerning customer base that is willing to pay a premium for great beer. As a consumer, there’s nothing better than browsing a well-stocked beer aisle. Have I tried that new India pale ale? How about a sour ale or a wheat beer? What beer’s going to go well with a nice roast, pasta or seafood? The opportunities for consumers and retailers are endless. Brewing in New Zealand has continued to grow into an innovative, sophisticated and valuable sector. Our breweries are producing beer with a uniquely Kiwi flavour and vision that drinkers here and overseas want more of. Our job as brewers and retailers is to make sure we continue giving them what they want, and to keep pushing the boundaries of what’s possible.
NZ WINE EXPORTS UP 10% The New Zealand’s wine industry is well on track to reach its target of $2 billion of exports by 2020. New Zealand Winegrowers’ Annual Report shows exports have risen 10 percent in the last year, to just under $1.6 billion. This is the 21st consecutive year the industry has experienced significant export growth. The on-going progress towards the $2 billion goal is founded on our reputation as a wine exporter of the first rank, known for crafting and marketing distinctively New Zealand, high-quality, high-value wines. This continued strong performance is testament to underlying market and consumer demand for our wines in key markets. With demand strong, the improved supply from Vintage 2016 is expected to lift export volumes by a further 10 percent over the next 12 months. The 2016 Annual Report can be accessed here or by going to: nzwine.com/mediacentre-1/statistics-information/
Steve Green, Chair of New Zealand Winegrowers
Emma McCashin, President, Brewers Guild
WORK ON YOUR GO-TO-MARKET STRATEGY
WINE REMAINS THE DRIVING FORCE OF NEW ZEALAND’S BEVERAGE EXPORTS
ingredients, low-cost or premium positions. The potential is enormous. The constraints are numerous. BEVERAGES Common mistakes from our perspective Wine remains the driving force of New Zealand’s beverage exports NZ Beverage Exports by Type are focusing on product instead of market; NZ BEVERAGE EXPORTS BY TYPE US$M; 2004-2014 US$m; 2004-2014 lacking a clear go-to-market strategy (e.g. transitioning from selling direct in NZ to selling indirectly internationally) and having an international strategy that is too broad. And is there a ‘one thing’? ‘Fraid not – but investing in brand and customer/consumer education strengthens customer connections, loyalty and competitive positioning, and is something we look long and hard for.
CAGR (04-14)
$1,374
$16 $13 $43
$178
NZTE is working with a range of alcoholic and non-alcoholic beverage businesses to grow their international market presence and market expansion. Shott, East Imperial, Rouge Society, Nekta, Antipodes, Avalanche, Jed’s, Red Seal, Coconut Island, Meadow Fresh, sauvignon blancs and pinot noirs – every one of them is unique, leveraging NZ attributes including awareness of our innovative thinking, native
10
I
100% OWNED 2016 The BEverage Report
Other Alcoholic spirits Beer/cider
-4% 3% 13%
NARTD*
8%
Wine
16%
CAGR 14%
$789
$20 $15 $20 $96
$1,124
$378
Craig Armstrong, Director - Customers, New Zealand Trade & Enterprise
$25 $10 $13 $85
$638
$245
2004
2009
2014
* Non-alcoholic Ready to Drink; Source: UN comtrade databse; Coriolis classifications and analysis
* Non-alcoholic Ready to Drink; Source: UN Comtrade database; Coriolis classifications and analysis
PREMIUM, NATURAL SODAS
The craft soda market is taking off, and Six Barrel Soda Co. have the best of the best premium, natural sodas. We are served in many New Zealand’s best cafés, restaurants and bars and are the first option for the premium, craft soda category in grocery. Our range features excellent versions of classic flavours as well as unique and interesting options. Contact sales@sixbarrelsoda.co or Joseph on 0211196257 for more information.
PURE SWEETNESS OF FRUIT
A new range of drinks from Karma Cola made from organic fruit and pure sparkling water, with no added sugar. Rather than swap real sugar for fake sugar, the sweetness in Dry comes naturally from the fruit squeezed into them. That’s it. Pear and ginger collide to make tastebuds turn cartwheels, the zing of lime blends with delicate cranberries, rich raspberry and sharp lemon, and tangy feijoa with crisp apple. Like dry wine they are full of good taste without being overly sweet. And they have less than half the calories of other soft drinks. Dry, not sweet. In high-end indie retailers and good cafés now. For more information, visit www.karmacola. co.nz or contact info@ karmacola.co.nz.
ORIGINAL,CRAFT AND SUGAR-FREE
ANGOSTURA LEMON, LIME AND BITTERS
A premixed Lemon, Lime and Bitters made with the original Angostura® aromatic bitters, which has become a household name being in the market since 1824. Orange and pink in colour, a highly agreeable aroma, with a bouquet of citrus, herbs and spices. It has a uniquely refreshing taste, with hints of robust flavours brought about by the Angostura® aromatic bitters. Available from Federal Merchants.
VISUALLY INSPIRING MIX
Launched in 1932, Sanpellegrino Sparkling Fruit Beverages are a delicious mix of pure citrus fruits and lightly-carbonated mineral water. Visually inspiring in their orange peel textured bottles and available in cans, most contain between 12 percent and 18 percent real fruit juice. Deliciously refreshing when served chilled on their own or as a cocktail with your favourite spirit. Available in Blood Orange, Lemon, Grapefruit and Orange. Available from Federal Merchants.
BIGGEST CHANGE IN 10 YEARS
A refreshed L&P will be hitting shelves with the biggest change to the iconic Kiwi brand in over 10 years. Not only has the design and packaging had a facelift, thanks to Marx Design, but the range will also receive a new limited-edition family member – L&P Chilli & Lime. Each L&aP variant is now well differentiated with its own personality and coloured lid to make it easy for consumers to identify. Some of the other changes include a revitalised logo and a reshaped bottle. L&P Chilli & Lime is the first in the range to receive the updated design and packaging, continuing across the rest of the L&P family over the coming months.
GROWN-UP SOFT DRINKS
CREATED WITH WELLNESS IN MIND
The Aotea Tonics collection includes four flavours, each created with its own wellness attributes in mind. Kawakawa, designed to soothe the stomach; Tea Tree, brewed to clear the head and bring clarity; Horopito, to help de-stress; and lastly Kúmarahou, Aotea’s original wellness tonic. Contemporary herbs such as ginger, peppermint and liquorice root are brewed alongside the native flora to complement and enhance the health and wellbeing qualities. Each tonic is made with a homemade touch by brewing the real herbs and leaves, adding a twist of fresh citrus and one teaspoon of mánuka honey. They’re free from fake flavours, concentrates, preservatives and processed sugars, and can be enjoyed hot or cold. www.aoteatonics.co.nz
Hakanoa’s artisan hand-brewed ginger beers are like no other soft drink on the market. Hakanoa Hand-Brewed Dry Ginger Beer 330ml and Lime & Chilli Ginger Beer 330ml are super quenchy, crisp and dry – the combination of low sugar and faultless ingredients delivers a satisfying flavour that’s just like the old-school ginger beer everyone used to brew at home. Available in singles and in popular 4-packs, these are perfect for folks who don’t like sweet fizzy pop. www.hakanoa.co.nz
Review Publishing co ltd
I 11
WINNERS OF SEVERAL AWARDS ORIGINAL, CRAFT AND SUGAR-FREE
The Schweppes traditionals range was launched in 2015 and includes Classic Ginger Beer with brewed ginger, a Spicy Ginger Beer for those looking for an extra spicy kick, Light Ginger Beer with just four calories, Lemon Lime & Bitters and Old Fashioned Lemonade made with real lemon juice. Since its launch, the Schweppes traditionals range has won several industry awards including the most recent Research Association Effectiveness Award 2016 in the Consumer Products Category. With refined packaging, high-quality ingredients and authentic flavours, the Schweppes traditionals are available in individual 330ml glass bottles and convenient four packs throughout supermarkets, cafés, petrol stations, convenience stores, licensed and food service outlets across New Zealand.
IDEAL BALANCE OF AUTHENTIC FLAVOURS
Phoenix Organic have crafted a range of delicious premium mixers, made from the finest organic* ingredients. These new mixers enhance the finest spirits with the ideal balance of clean, authentic flavours and perfect carbonation. Sicilian lemons, Fijian ginger root, Otakiri artesian water and quinine derived from Chinchona bark are just some of the premium quality ingredients. The Phoenix Organic* Premium Mixer range includes five variations; Tonic Water, Ginger Ale, Soda Water, Dry Lemonade and Premium Cola. They are available in 15 x 250ml packs, or in convenient four-packs at leading supermarkets. Phoenix Soda Water is not certified Organic – water cannot be certified organic. www.betterdrinks.co.nz
LET YOUR SPIRIT SHINE
Inspired by the Co-founder’s 1903 family recipe, East Imperial is small batch blended using all natural Asian sourced ingredients, New Zealand artesian spring water with Champagne-like carbonation. This unique combination sets the stage for your premium spirit to shine through. East Imperial is the only tonic water sourcing ingredients from the original plantations in Asia, the home of tonic water. We continually work with the best global distillers and bartenders to create the ultimate complement to premium spirits. Our entire range is low in sugar and there are never any artificial flavours, sweeteners, preservatives or colours added. Our own 150ml (5 fl.oz.) bottles are designed to be perfect for a single pour eliminating any wastage. www.hancocks.co.nz
SOUL SEARCHING
ICONIC KIWI BRAND SUMMER FIZZ
Foxton Fizz is one of the true tested Kiwi icons. First brewed in a Foxton shed in 1918, the same recipe continues to delight and refresh thirsty Kiwis today. Traditional summer staples like Raspberry and Creaming Soda sit alongside Kola, Lemonade and Lime, to complete the fizzy line-up. The company is once again able to welcome summer with open arms, and is confident its products are going to fly off the shelves. To contact Foxton Fizz, email office.foxtonfizz@gmail.com or call 04 974 6568.
12
I
100% OWNED 2016 The BEverage Report
The search is over for a sparkling alcohol-free indulgence to suit any occasion. Stimulate your taste buds with Soul. Our three signature flavours based on the world’s most famous cocktails – Cosmopolitan, Mojito, and Margarita – will soon be popping up in even more venues across New Zealand and the globe. Each Soul is blended with a new twist to deliver an indulgent sparkling soft drink experience. Ideal for any occasion and for the non-drinkers who still want to have fun and enjoy themselves, Soul is the perfect alcohol-free alternative. And if you want to add a little extra spirit, Soul can also be used as a unique mixer. Deliciously refreshing, with just the right blend of pure cane sugar, natural flavours and exotic fruit concentrate. Soul is sparkling sophistication…hangover NOT included! www.soulsodas.com
www.goodbuzz.nz Ph: 04 550 9577 Review Publishing co ltd
I 13
WATER,FERMENTEDANDSUPERFOOD
ALL-NATURAL FUNCTIONAL DRINK
Sequa Relax is an all-natural relaxation drink with 10 active ingredients and no added sugar. This is the first in a line of functional beverages to be created in New Zealand by The Great Beverage Co. Utilising effective active ingredients including magnesium, green tea and various amino acids, the drink’s formula helps to relax both mind and body. Sequa Relax can be used in a variety of ways - whether it’s for winding down after work or muscle recovery after exercise. Sequa Relax is a healthy, delicious alternative to high-sugar, low-nutrient drinks. See more on sequadrinks.co.nz.
ELEGANT AND REFRESHING
The geological source for Perrier Sparkling Natural Mineral Water dates back over 100 million years, but man was probably first introduced to it during the Roman Empire. Legend has it that in 218 B.C. Hannibal and his army paused at the spring to refresh after defeating the Romans. In 1793, the mayor of Vergèze, France, where the source is located, recognised its exceptional qualities. In 1903, Sir St-John Harmsworth invested in the property and renamed the spring from Les Bouillens to Source Perrier, after the dedicated physician who brought it to his attention: Dr Perrier. Elegant, sparkling and refreshing, Perrier Sparkling Natural Mineral Water has delighted generations of beverage seekers for over 150 years, with its unique blend of distinctive bubbles and balanced mineral content. It also offers a great alternative to carbonated soft drinks, with no sugar and zero calories. Available in Natural, Lemon and Lime. For more information, 09 578 1823
FASTER HYDRATION
B-Well Natural Alkaline Water is a high-pH water from the Tuscan Apuan Alps. With a pH of 8.4, B-Well water helps lower acid levels and improves hydration. Alkaline water forms micro-clusters that allow for faster absorption and help keep the body feeling energised. The reduced molecule size also gives B-Well its clean taste and smooth texture. Additionally, the B-Well bottle is made from a lightweight crushable plastic, saving room in the recycling bin. For trade orders, contact Topline Marketing on 09 416 4061.
GIVE YOURSELF A SUPERFOOD BOOST
Matakana SuperFoods Supershake, Supergreens and Superchoc blends can be used to create delicious and nutritious beverages and are ideal for families, athletes, busy people and healthconscious individuals. Simply add to milk, water or your favourite smoothie and mix well. Packed full of health-supporting, natural ingredients, these blends are a convenient and easy way to give your daily diet a superfood boost. They contain organic ingredients, are gluten and dairy-free, vegan and paleo-friendly. Made in New Zealand. www.matakanasuperfoods.com
KOMBUCHA WONDER DRINK
A sparkling and flavourful fermented tea drink featuring fresh-brewed organic teas infused with organic fruit concentrates. Unlike other Kombucha drinks on the market, it has been lightly pasteurised to eliminate all but a trace of alcohol and unwanted bacteria. What’s left is pure kombucha and the naturally occurring acids that give the drink its rejuvenating properties. Available in a 240ml can and 440ml bottle, and a variety of flavours including Original, Asian Pear and Ginger, and Cherry Cassis. www.ceres.co.nz
14
I
100% OWNED 2016 The BEverage Report
A KIDS’ DELIGHT
Introducing Drink & Play, a new range of naturally-flavoured spring water drinks with the unique feature of collectable toy with each bottle. The range is available in two designs featuring characters from Disney’s Frozen and Cars, and there are six different toys to collect with each range. Drink & Play drinks are sure to appeal to both children and parents alike and contain no preservatives, artificial colours or flavours, have added vitamins and minerals and are low in sugar with only 2.4g per 100ml. Look out for exciting new licensed variants in early 2017. For sales enquiries, please contact Chris Bhimy at Stellare NZ: chris@stellare.co.nz or 021 193 9126.
NATURE’S REHYDRATION RECIPE Amongst the ubiquitous Tetra packs CoAqua pops out of the crowd. Packaged in premium 250ml glass bottles and 250ml slimline cans. Made from the world’s youngest, sweetest and best coconuts, CoAqua is bottled at source in Vietnam with no added sugar, just sun-sweetness from the tropics. Nature’s best rehydration recipe straight out of a coconut, CoAqua can be found in some of the world’s best restaurants & hotels: The Intercontinental, Wellington, The Four Seasons, Hong Kong, The Marina Bay Sands, Singapore to mention a few. For more information, www.coaqua.co.nz or orders@cocoscoconut.co
FOR DEMON DISCIPLES
Some consumers like following the crowd; some want to be more badass. Demon appeals to the consumer segment who want to be different—tattoos and body piercing, hot chicks that you wouldn’t bring home to meet the parents, ear-splitting rock music, drifting and boy-racers: that’s the Demon Disciple. They’re different and they’re loyal, and now there’s a Zero Sugar version for them. The addition has recently joined the Demon 500ml range. For more information or to place your order, contact your local KML representative or ring Demon HQ on 0800 767 646.
HALF THE SUGAR
The sugar debate is not going away, so Loaded is leading the market by reducing the sugar by 50 percent across the entire range. With a huge 2050mg of electrolytes per litre, there is still enough sugar in the new formulation to give you energy to perform at your best and to assist with recovery. For more information or to place your order, contact your local KML representative or ring Davies Foods on 0800 767 646.
E N FRE TER GLUTE D N UT WA A N Y O R C I S O A D AL C ITIVE NATUR R ADD O % 0 S E 0 1 ILY ATIV E FAM ESERV ALL TH NO PR R O F ED ANGE PPROV FULL R HER A S O K & VEGAN
SINCE 2010
Review Publishing co ltd
I 15
WATER,FERMENTEDANDSUPERFOOD
MORE SQUEEZABLE DESIGN
Powerade has released its new Superior Bottle, which has taken a specialist team of product engineers, sports scientists and designers four years in the making. Made from a sustainable PET plastic that is 27 percent lighter than the former packaging, this innovative bottle provides faster hydration thanks to its more squeezable design and high-flow sipper nozzle. And to improve usability even further, the foil seal has been removed. Available in 750ml and new convenient 400ml bottles.
A BOX FILLED WITH BENEFITS
More water, less waste, better for your health—It’s the promise Aquaceuticals made more than five years ago, by launching its special ‘Water in a Box’. Designed to travel, the clever 10-litre eco-box is filled with healthful water and ideal for camping, picnics and boating, as well as for daily needs. Its cardboard packaging comes from a New Zealand renewable pine forest and testifies of the company’s commitment to environmental sustainability. For more information, visit www.waterinabox.co.nz.
Distributed by Federal Merchants & Co E: info@federalmerchants.co.nz P: 0800 846 824
16
I
100% OWNED 2016 The BEverage Report
FRESH, AMBIENT AND CARBONATED
GINGER ELIXIR FOR EVERYTHING
DRINKS MADE THE KIWI WAY
Aroha Drinks make a delicious range of still and sparkling juices as well as cordials in a uniquely Kiwi way. “The thing that sets our drinks apart is the ‘integrity’ of the juices we use. To us ‘integrity’ firstly means taste, but it also means supporting local community. We make sure our juices are the best no matter what. We both harvest wild, grow our own, and source fruit from local farmers. We are always on the lookout for tastier fruit that can be sourced closer to our facility. This both supports local community and helps reduce transportation in a carbon-dense industry.” Having recently completed the installation of their brand-new bottling facility at Waikirikiri, near lake Ellesmere in Canterbury, Aroha are enjoying the increased levels of control over the production process and having all parts of the production and warehousing process on one site. www.arohadrinks.co.nz.
Hakanoa Ginger Syrup 330ml is a concentrate with a flavour like liquid ginger crunch. It is intense, containing 30 percent fresh ginger, but has a lovely depth and smoothness that makes it the go-to ginger ingredient in sodas, cocktails, mocktails, hot toddies and ginger lattes. Chefs love it for stir-fries, salad dressing and baking, Peter Gordon uses it on his London cocktail menu, we just love it poured on ice cream. www.hakanoa.co.nz
UNIQUE TAKE ON CLASSIC FLAVOURS
Premium, natural, craft soda syrups. Since 2012, Six Barrel Soda Co. have been making a delicious, natural range of specialty soda syrups in Wellington. We are served in many New Zealand’s best cafés, restaurants and bars and are the first option for the premium, craft cordial category in grocery. Our range features excellent versions of classic flavours as well as unique and interesting options. Contact sales@sixbarrelsoda.co or Joseph on 0211196257 for more information.
PREMIUM ALTERNATIVE TO SUGARY SYRUPS
The soda and syrup/cordial market has been dominated by excessively sugary and additive-ridden products. This has driven many consumers from the category. Research showed that most consumers wanted premium alternatives to water, coffee, and alcohol. So Soda Press created a product that was low in sugar and made with only natural and organic ingredients to be used in SodaStreams, cocktails, mocktails, sodas, slushies, as hot drinks, cordials. Feedback from foodservice was that traditional syrups in cocktails/mocktails were just too sweet for many as tolerance to sweet drinks diminishes. Many consumers were conscious of the environmental impact of producing and disposing of ready to drink products. One bottle of Syrup makes 18 drinks and the 4L version 120 drinks! www.sodapressco.com
SOPHISTICATED, FRUITFUL BLENDS
As the leading New Zealand fruit syrup brand, Barker’s of Geraldine has developed a range of premium cordials in a smaller 500ml bottle. The new fruit and botanicals range features squeezed (not from concentrate) fruits blended with botanicals to create unique flavour combinations with 25 percent less sugar than Barker’s original fruit syrups. Refreshing and flavoursome, the range of four are sophisticated, fruitful blends. They finish dry and quench thirst when blended with soda. They are equally exciting as a cocktail mixer. Finally a cordial that can be enjoyed in a wine glass, especially for the grown-ups. For more information: www.barkers.co.nz.
SHAKE WELL, DO GOOD
Almighty is an Aotearoaowned and operated organic juice company. They are all about reconnecting people, place and produce and contribute 3c from every bottle to help build veggie gardens in schools and teach kids to cook fresh lunches (that they actually wanna eat!). Almighty sources the best organic fruit and veg to produce their delicious range of flavours: Carrot, Orange & Turmeric; Beetroot, Blackcurrant & Ginger; Guava, Lime & Basil; Orange & Apple; Apple. Almighty is available nationally in New Zealand’s top cafés, retail and grocery outlets. For more information: adan@almighty. nz / www.almighty.nz / #shakewelldogood.
Review Publishing co ltd
I 17
FRESH,AMBIENTANDCARBONATED
FAMILY FRUIT SYRUPS FOR SUMMER
NICELY SPICY
This summer Barker’s of Geraldine launches two exciting new family fruit syrups; Brewed Ginger Beer and Lemon, Lime and Bitters. By adding a touch of natural sweetener, both syrups are lowcalorie, meaning they contain less sugar and fewer calories without a compromise on flavour. The ginger is batch-brewed using traditional fermentation and sits in the back of the shed until the flavour has developed and before it turns alcoholic! It’s bottled on a corner of the original family farm at the base of the Four Peaks Mountain range. Mix with soda as a satisfying family thirst quencher. For more information: www.barkers.co.nz.
Hakanoa Spicy Chai Concentrate 500ml is made from whole fresh spices and organic black tea, with just a touch of organic raw sugar. A discerning barista’s favourite, this product is proving more and more popular in top cafés nationwide. It’s preservativefree, gluten-free and the spice and tea flavours are perfectly balanced. The range now also includes a classic Sweet Chai and a Sugar-Free Chai. www.hakanoa.co.nz
MORE GOOD STUFF FROM CHARLIE’S
Charlie’s Quenchers are an established favourite with Kiwis and we thought it was time to have a crack at providing an option for consumers looking for drinks with less sugar, so that they don’t miss out on the legendary taste. Charlie’s new ‘Light Quenchers’ have 50 percent less sugar than the full sugar equivalents but, as always, only use ‘Not From Concentrate’ Juice. Our two favourite flavours, Lemonade and Mango & Orange, are now available in 1Ltr bottles. www.betterdrinks.co.nz
ICONIC GIRAFFE ENGAGING CUSTOMERS
Since 1968, the iconic blue and red giraffe image has appeared on the side of the cups used by cafés and takeaways for milkshakes and thickshakes. Today, The Longest Drink In Town is still New Zealand’s favourite milkshake syrup. Delmaine, one of New Zealand’s best-known food manufacturers, makes it locally with high-quality ingredients. Nine indulgent flavours are available: banana, caramel, chocolate, creaming soda, lime, raspberry, spearmint, strawberry and vanilla. www.delmaine.co.nz
18
I
100% OWNED 2016 The BEverage Report
TRULY NZ-MADE
Benjer Drinks Co is found amongst the apricot trees in the small town of Cromwell in Central Otago, where they have been juicing for over 21 years. Benjer sources most of its fruit from local growers on the South Island. Full flavoured, authentic products with no preservatives or nasties, Benjer offers a unique juice range. Better known on the South Island, Benjer is working on growing into the Northern market with help from Foodfirst and their distributors, so keep an eye out in your local café for something a little different and truly NZ – Benjer Juices 100% NZ-made. For more information, visit www.benjer.co.nz.
NOSTALGIC TEMPTATION
Introducing new Hansells All Natural Fruit Syrups, a sophisticated range with a slight twist to traditional flavours, just in time for summer. Hansells is a respected and nostalgic brand that has been working with flavour since its inception in 1934. “We have also had a strong beverage offering since the Seventies and are delighted to bring you our new take on cordial.” Available in four tempting flavours—’Mandarin, Lime and Bitters’, ‘Lemon, Raspberry and Elderberry’, ‘Blackcurrant, Cranberry with a Hint of Basil’ and ‘Old Fashioned Lemonade with Key Lime’. For more information, www.hansellsallnatural. com and #MAKEITYOURWAY
WHAT WORLDWIDE CONSUMERS WANT
The local trend towards tasty, healthy and nutritional juice reflects a much bigger picture, with brands in both developed and emerging countries finding creative ways to capitalise on these features. According to the most recent Tetra Pak Index, CHANGING issued inASeptember 2016, 100 percent juice products are driving growth in several key markets, with 1,500 new beverages FLAVOUR PALETTE being launched every month globally. Orange still king, but declining while vegetables on the rise
FLAVOUR PALETTE
A kaleidoscope of flavours
OTHERS 11%
CRANBERRY 1% MANGO 1% COCONUT 1% MIXED BERRY 1% VEGETABLE 1% PEACH 1% TROPICAL FRUIT 1% GRAPEFRUIT 2% PINEAPPLE 2%
n”
in just a few years. A global phenomenon, it’s an example of the opportunities that exist for innovations that both meet modern consumer needs and capture the imagination.
With a 46 percent share of the 100 percent juice market and 6.9 billion litres sold last year, orange is still the dominant flavour, followed by apple juice (17 percent). In third and fourth place we find mixed fruits (6 percent) and mixed vegetables (3 percent). Traditionally popular in Japan, vegetable drinks are now conquering other established markets, where they are often blended with juice. As a result, new drink launches containing vegetables (such as kale and beetroot) have grown by 43 percent between 2012 and 2015.
+ 6321z
TE
Apple juice is second, with 17% of sales, but both are seeing a decline, while the healthconscious option of mixed vegetable has risen to become the fourth most popular.1
TOMATO 3% GRAPE 3% MIXED VEGETABLES 3%
MIXED FRUITS 6% APPLE 17% ORANGE 46%
Premiumisation and wellness
Worldwide consumers are prepared to pay more for natural products that promote good health, so ‘premiumisation’ is a rising trend, with best growth at the high end. Health-conscious and aspirational, Millennials have become the most influential generation of consumers yet. More than any other previous generation, they believe a healthy image equals a higher physical appeal and, consequently, a better social status.
Keys to market success
Product innovation has never been more relevant. As consumers are leading an increasingly busy life, they look for on-the-go
products with convenient single-serve, resealable packs. Moreover, they tend to purchase items that have a meaning, a personality—storytelling and provenance are critical. Honesty is also crucial. Brands need to establish an aura of trust and authenticity around their products, while also educating their customers through social media. Global consumers want to be engaged, surprised, entertained: they look for multi-layered experiences, visual marketing and augmented reality (i.e. QR codes on packs). Lastly, eco-sensitivity is on the rise; consumers want sustainable products that are as good for them as they are for the environment.
The feel-good factor
Between 2012 and 2015, the number of new functional health launches saw a compound annual growth rate (CAGR) of 31 percent. Among the areas being addressed last year were immunity (22 percent), heart health (12 percent), digestion (11 percent), bone health (8 percent), brain health (6 percent) and beauty benefits (4 percent). Globally, three in ten people surveyed said they were interested in premium drinks with functional attributes that relieve stress. Overall, vitamin and mineral-fortified products are the undisputed leaders (69 percent). High/ added fibre (19 percent), added calcium (10 percent) and high protein (2 percent) were also popular new product launches. The ‘minus’ category, however, has enjoyed a stronger growth (CAGR 42 percent), driven by low/reduced sugar (79 percent). Source: Tetra Pak Index - Issue 9 2016, 100% Juice
Review Publishing co ltd
I 19
DAIRY AND ALTERNATIVES
DEVELOPED WITH BARISTAS Almond Breeze Barista Blend by Blue Diamond has been developed in partnership with baristas, specifically for baristas. Available to the foodservice market, this industry-first has been designed to deliver great taste and a rich creamy froth to sit atop lattes, cappuccinos and flat whites. Available from foodservice providers including Gilmours and Bidvest. For more information, contact James Crisp Ltd on 09 309 0802.
SUPERIOR PERFORMANCE
Alpro For Professional Soy was crafted specifically for use in espresso coffee. The soy flavour is toned down so that the barista can showcase the coffee. It froths up perfectly to create beautiful ‘Alproccinos’ and ‘Alprolattes’. The sturdy, shiny micro foam lasts to the bottom of the drink and assists greatly with latte art. Alpro For Professional soy is non-GMO, lactose-free, gluten-free, and low in saturated fat. The sugar level is also low and is sweetened with apple extract. Alpro penetration has grown significantly over the last 12 months as baristas and consumers started to recognise the superior performance. For more information, contact Greg Smith on 09 256 4284 or greg@realfoods.co.nz.
NEW KID ON THE BLOCK FUEL TO CRUSH ANY TASK
Mammoth Protein flavoured milk combines a whopping 45g of protein with the goodness of real milk and comes in two delicious flavours – iced chocolate and iced coffee. It’s the fuel to crush any task, no matter how small. For more information, visit www.fonterra.com.
INSPIRED BY PREMIUM ICE CREAMS
Puhoi Valley’s delicious new milk flavours are inspired by our supreme award winning ice creams. These ice creams are only available at the Puhoi Valley Café and Cheese store, so we are proud to bring you these flavours in our premium milks. The new Puhoi Valley Colombian Espresso milk is inspired by the Matakana Roasted Coffee Affogato ice cream (winner of the Supreme Award for Boutique Manufacturer at the New Zealand Ice Cream Awards 2016). Made with cream, fresh milk and single origin Colombian Coffee. Decadence at its finest! The new Puhoi Valley Spiced White Chocolate milk is based on the 2015 Supreme award winning Chai Latte ice cream. This product is made with fresh milk, natural spice extract and real Belgian White chocolate, for a ‘limited time’ only. Contact Goodman Fielder on 0800 4 Taste, www.getfood.co.nz
20
I
100% OWNED 2016 The BEverage Report
Alpro For Professional Coconut is the new kid on the block from the Alpro stable. It leaves a lovely fresh aftertaste with a hint of coconut. Staying true to the brand, the coconut flavour is very subtle and does not overpower the coffee. As performance is also critical, the coconut milk has been blended with soy so that there is sufficient protein and body to make a great coffee. Alpro Coconut is a great addition to the coffee menu and also works well in cold applications. For more information, contact Greg Smith on 09 256 4284 or greg@realfoods.co.nz.
SPECIALLY FORMULATED ALTERNATIVE
Little Island Coconut Creamery is currently in market with five variants of their coconut drinking milks along with four variants of dairy free coconut based ice cream. The coconut milks, launched in March this year, quickly dominated the chilled dairy alternative category in New Zealand. Since launching, Little Island Coconut Creamery has continued to build on this initial success with steady growth across all supermarket banners along with the majority of independents. From late October, Little Island Coconut Creamery will also introduce a specially formulated Barista Grade coconut milk for use in cafés and hospitality. www.littleislandcreamery.com
DELICIOUS SMOOTHIES FOR HEALTHY PROFITS
Review Publishing co ltd
I 21
HOT AND COLD
HUMMINGBIRD LAUNCHES CAPSULES
Now even the fussiest coffee drinker will be spoilt for choice, with our café quality fresh roast and ground blends now available in ‘Nespresso® compatible’ capsules. The coffee in our capsules is 100% Fair Trade Organic and/or Organic. At Hummingbird Coffee, we hand-roast from over 20 different origins, before masterfully blending to create beautiful well-balanced and distinctive flavours. We have selected four of the best performing variants from our 200g Roast & Ground range – Oomph, Nectar, Crave and Restart. RRP $8.99, for a pack of 10. Available now from Hummingbird Coffee, 0800 423 269.
* NESPRESSO® is a registered trademark of Societe des Produits Nestle S.A. Societe des Produits Nestle S.A. does not endorse or sponsor, and is not in anyway associated or affiliated with the Supplier, the Buyer, any other trademarks affixed to the Capsule packaging or the owners of such trademarks.
A NEW TASTE OF WELLBEING
Ti Ora (translated tea of wellbeing) blends New Zealand botanicals with the finest teas, fruits and herbs to deliver a delicious taste of wellbeing. Each tea is combined with Manuka Leaf or Kawakawa, natural botanicals sourced from the East Cape of New Zealand. Ti Ora delivers to beverage growth trends, where sensory experience meets wellbeing and aims to grow incremental value per serve in the tea category. Blended and packed in New Zealand, Ti Ora is available in five delicious flavours and comes in resealable pouches, each containing 15 silky pyramid tea bags. RRP $6.49. Contact BrewGroup on 0800 866 061.
SAME GREAT FLAVOUR, NOW IN DECAF
Jed’s Coffee Co.’s new decaf has the same Jed’s flavour hit, just decaffeinated. Consumers are becoming increasingly conscious of their health and wellbeing, but are also unwilling to compromise on taste. Jed’s 180g decaffeinated plunger/filter has the same ‘very strong’ flavour delivery of Jed’s #4 but without the caffeine. Using a water process of caffeine removal, Jed’s decaf keeps coffee tasting like coffee and not chemicals—you won’t even know it’s decaf! RRP $6.99. Contact BrewGroup on 0800 866 061.
ART OF TEA MAKING
In case you hadn’t noticed, Dilmah has been actively involved in some exciting industry competitions and events over recent years as well as innovative offerings in the specialty loose leaf tea category that has seen some of New Zealand’s top chefs and bartenders becoming tea inspired. This latest range is a stunning addition to their hospitality offering that will certainly inspire a thirst for tea. The Vivid range is dedicated to the art of the teamaker, with 10 in the line-up that go beyond black, green and herbal to offer some deliciously caffeine free fruit infusions like Elderflower and Apple or Blood Orange with Eucalyptus. Dilmah has a strong reputation for not only their ethical business practices but for the quality of their tea, grown, picked and packed as fresh as you can get at the home of Dilmah in Sri Lanka. Still a young company in the world of tea and still a family business, Dilmah have become a household name in New Zealand and they’re now becoming an industry standard. So in the iconic phrase of Dilmah founder Merrill J. Fernando… “Do Try It”. For more information 0800 Dilmah.
22
I
100% OWNED 2016 The BEverage Report
CAREFULLY HANDCRAFTED
Our award-winning Ambition Coffee is roasted and packaged in New Zealand daily using imported premium Arabica beans. Each of our award-winning blends have been carefully handcrafted to create a beautifully balanced coffee, to suit different tastes, moods and occasions. Our coffee blends and single origin coffees are available as whole beans or pre-ground for plunger, filter, stovetop or espresso. Available through Foodfirst Distributors.
PURE GREEN TEA
Well known for producing all their own black tea at the home of Dilmah in Sri Lanka, founder Merrill J. Fernando decided it was time to make a bold move and set up production of Green Tea in house as well. Like other large tea companies they’ve had to source their green tea from China and, while the quality met their high standards, they became aware of growing concern from consumers over the purity of green tea. Now Dilmah can provide their Ceylon Green Tea range grown in the cool clean air of a high-elevation tea estate with absolute confidence. Visit www.dilmah.co.nz.
www.coffex.co.nz Review Publishing co ltd
I 23
NOW BREWING AROUND THE GLOBE
FROM GRAPE TO TABLE The craft trend has taken off on a global scale. In the Czech Republic, which has one of the highest consumption of beer per capita, new breweries are popping up every week, prompting bigger companies to launch new variants. Even though craft beer only accounts for one or two percent of the Czech market, it is growing at a fast pace. From 2010, small, local breweries have been growing significantly in the Netherlands, with 38 brand-new ones having started in 2016. Over the past 30 years, the number of Dutch breweries has increased from 27 to 422, of which 220 brew their own beer. According to monthly trade magazine Canadian Grocer, all the recent sales action in Canada has been from independent craft brewers. Sales of craft beer account for six or seven percent of the Canadian total and are growing by at least one percent per year. “The reasons seem to be fourfold,” said George Condon, Canadian Grocer. “One, the ongoing interest in unique flavours and highquality beverages by the younger
generations; two, the ever-increasing number of craft brewers in Canada; three, the opening of more retail space available to craft brewers and, four, more government financial support for independent brewers, cideries and wineries.” From Ontario to Saskatchewan, sales are booming in every region. At the end of last year, there were over 500 craft breweries in Canada, with a reported record number of new openings continuing in 2016. In the UK, beer and cider have declined 1.9 percent (£54.4 million), performing behind total alcohol that has grown by £181 million. According to British magazine The Grocer, premiumisation has been taking place within the sector, seeing the average price per litre rise. Microbreweries are flourishing at an everincreasing rate, and major brewers are now joining the craft bandwagon, focusing on craftsmanship, character and authenticity.
New Zealand Winegrowers’ 2016 Annual Report has revealed that domestic sales volumes of wine were down 7 percent in the past year on reduced supply from vintage 2015. Nevertheless, home market accounts for more than 20 percent of global sales volume, being often the only market in which small wineries operate.
CRAZY FOR CRAFT
(Source: ANZ analysis)
35%
15%
craft portion of NZ total beer market, up from 9 percent three years ago
annual growth of craft beer sales
1,500+ annual
growth of craft beer sales
49
168
export markets
NZ WINE IN THE WORLD
Total value of exports: $1.57 billion, +10% Top three export markets (FOB Value): USA: $460.6 million, +24%
Our thanks to Canadian Grocer Canada, The Grocer - UK, Food Magazine - Netherlands, Zbozi Prodej - Czech Republic.
craft breweries
Share of total exports (volume)
85.6% Sauvignon Blanc 14.4% other varieties
UK: $381.8 million, +8%
Australia: $361.7 million, -0,1%
MORE VALUE, LESS VOLUME
Volume sales of alcoholic beverages have dropped between 2010 and 2015, while craft trends have begun to emerge in beer, cider and spirits, with premium products being sold at higher prices. Meanwhile, the introduction of reduced drink-driving limits in 2013 and 2014 has resulted in an increased demand for lower-strength products. Craft and premiumisation trends are likely to remain in place going forward bringing positive value growth, whereas volume growth is expected to stagnate.
24
I
100% OWNED 2016 The BEverage Report
NEW HEIGHTS OF REFRESHMENT
The Speight’s family is growing with the launch of two new refreshing, 4 percent flavoured beers to its Summit range, and the debut of its iconic Summit Lager in a new clear bottle - just in time for summer! Speight’s Summit Lime Lager has been expertly blended with natural lime for a zesty finish. Speight’s Summit Apple Lager is created with crisp apples, resulting in a beer that’s refreshing to the core. Combining classic flavours with Summit Lager, the result is two refreshing, golden lagers with a twist to really tingle the taste buds. Like the alpine environment that it takes its name from, Summit is a crisp, cool drop, and the two new flavours deliver great-tasting, refreshing beer without the bitterness. www.speights.co.nz
ALCOHOLICANDNON-ALCOHOLIC
GUILT-FREE SPIRIT
One of the lowest-calorie cocktail in the world, Passionberry is made with 50 percent real natural New Zealand strawberries and pure distilled white spirit 9 percent. Unlike other artificial substitutes, Passionberry has no added sugars and boasts an enviable tiny calorie count of just 59 calories per serve, making it the perfect guilt-free cocktail this summer. That’s lower than a vodka soda even. An easy rapid serve cocktail, Passionberry is best served straight over crushed ice or combined with Champagne or any premium white spirit to create strawberry cocktail sensations. Passionberry is a chilled product with an 18-month shelf life. For trade sales, please contact Passion Liquor Ltd on 0800 PASSION or info@passionberry.co.nz.
APPLE CIDER WITH A TWIST
‘Saft vom Fass’—Mohel’s oak barrel-aged tangy clouded cider (4%) comes in a rustic 330ml bottle and sold in a presentable 8-pack. ‘Swizly’ (5%) is another innovative product from Moehl. It is a tremendous refreshing sparkling party cider with elderflower added. Swizly comes in a 275ml bottle and sold in a 6-pack. For more information, contact MB Fine Foods Ltd: 09 4160601 or info@mbfinefoods.co.nz.
Review Publishing co ltd
I 25
FOR LIFE’S GOLDEN MOMENTS ALCOHOLICANDNON-ALCOHOLIC
ORGANIC FEIJOA BUBBLY
This Organic Feijoa Wine is kicking up a stir: most who try it fall in love, and we’re not just talking about the wine. Lothlorien Winery recently released 3x200ml carry packs of their award-winning Feijoa Sparkling Wine. Certified organic and naturally lighter in alcohol, Lothlorien’s Wine comes in Medium or Dry Bubbly & Dry Still. Grown and produced in the Ahuroa Valley since 1993, it’s New Zealand’s best selling Feijoa Wine. “We are very pleased to inform you that we have teamed with Buy Pure New Zealand & Selling Solutions to manage our sales & merchandising nationwide.” For more information: 09 422 5846 or info@lothlorienwinery.co.nz.
CUSTOM-DESIGNED SQUEALER RANGE
Things are different in Hamilton. Maybe that’s why we’re different too. Proudly brewed in the Waikato, winner of numerous awards, we offer a range of eight different beers and ciders in our custom designed, re-sealable 946ml ‘Squealer’ bottle. 946! Catchy huh? Actually it was meant to be 1000ml but one of us got our maths wrong and now, like Huntly, it’s a screw up we’ve all kind of gotten used to. We do IPA, Sparkling Pale Ale, Pilsner, APA, Amber, Drop Hop Cider, Doris Cider and a seasonal variant which is currently Saison, unless somebody’s messed that up as well. www.goodgeorge.co.nz
Blue Nun 22K GOLD EDITION is a high-quality sparkling wine from Germany, with a full, rounded flavour. Light and elegant in style with “magical energy”. What makes it really distinctive is that it contains fine pieces of 22-carat gold leaf, designed to highlight its natural effervescence. A great apéritif or accompaniment for light meals and hors d’oeuvres, this is the perfect sparkling for celebrations, special occasions, and life’s golden moments. Available in 0.2L, 0.75L or 3L bottle sizes. Exclusively imported into New Zealand by Q-Liquid Ltd. For more information: 09 636 7730, info@qll.co.nz or www.qll.co.nz.
SPANISH DREAM
Sangria—a blend of our best Hawke’s Bay red wine and fruit juices with a delicate spritz, infused with mandarin, apple and orange zest. The best way to spend a warm summer evening: drink Hawke’s Bay and dream Spain! For more information, visit www.hbbc.co.nz
http://sharepoint/...es/export/marketing/extern/Marketing%20Layouts/BLUE_NUN_Product_Shot_Gold-Edition_22k_0,75L_19082014.jpg[10.05.2016 10:09:49]
Sacred Hill Wine Co. is now Quench Collective We’ve changed our name to better reflect our growing portfolio. But one thing remains the same. We’re still passionate about representing quality beverage brands and being one of the best drinks distributors in the country.
Ph 0800 946 326 quenchcollective.co.nz
26
I
100% OWNED 2016 The BEverage Report
PERFECT MATCH
Noir Drowsy Fish Waipara Riesling 2015 by Crown Range Cellar is the wine any fish would choose. Light yellow in the glass, the nose shows abundant stone fruit, citrus zest and mild baking spic with concentrated persistence. The palate is exceptionally long with poised acidity, surrounded by lush tree fruits. Although ready for drinking now, this Riesling will age nicely to 2025. “We often dine in restaurants that have fish as a wine match recommended by the Chef. For a change, we wondered which wine the fish would choose. After an impulsive dip in the Poor Knights Islands, we discovered that NZ crayfish loves our Pinot Gris! Hence the inspiration to launch the Drowsy Fish Collection.” For more information, crownrangecellar.com or sales@ crownrangecellar.com.
FULL OF CHARACTER
Created to honour the hardworking spirit of the Chinese miners of Bendigo, China Girl Pinot Noir 2014 by Crown Range Cellar reflects the distinctive landscape of this region. Robust and full of character, it has a deep garnet hue with enticing aromas of plum, dark cherry, cardamom and mocha. Blackberry, bittersweet chocolate and baking spice on the palate with pronounced yet velvety tannins and a beautiful backbone of acidity. Grapes are hand-picked from a parcel of designated land on Chinaman’s Terrace, Bendigo Hill, to bring the new ‘liquid gold’ of Central Otago. For more information, crownrangecellar.com or sales@crownrangecellar.com.
WONDERFULLY SPICY Spiced Ginger Beer—A non-alcoholic, wonderfully spicy ginger beer featuring hints of cinnamon, lemon and gentle chilli, with a lovely long slow burn. For more information, visit www.hbbc.co.nz
HASSLE-FREE GERMAN TASTE
This no-alcohol beer (0.0% abv) starts out as normal beer but the alcohol is then removed through a patented German process, involving heat and vacuum, leaving the taste of Bitburger Pils. For further information please email info@beerforce.co.nz.
ALCOHOL-FREE PARTY DRINK WITH CHARACTER
Non Alcoholic “Saft vom Fass” - Mohel’s oak barrel-aged tangy clouded cider comes in a rustic 330ml bottle and sold in a presentable 8-pack. The most refreshing non-alcoholic party drink with character. For more information, contact MB Fine Foods Ltd: 09 4160601 or info@mbfinefoods.co.nz
TasteIntact This no-alcohol beer (0.0% abv) starts out as normal beer but the alcohol is then removed through a patented German process, involving heat and vacuum, leaving the taste of Bitburger Pils.
For further information please email info@beerforce.co.nz Review Publishing co ltd
I 27
ACTIVECORE Advanced Refrigeration System Market leading energy efficiency
New easy to use shelf clip & strip for more efficient product loading
The most energy efficient refrigerator of its type on the market
Energy efficient glass & condensation protection
Incredibly quiet, for a more peaceful environment
than the previous TME1000-H 2 door glass chiller. *based on $0.30/Kw
Exceptionally easy to service, minimising downtime Ultra modern aesthetic with bright internal lighting, and sign panel available for promotional opportunities
To find out more about ActiveCore visit skope.com/activecore
skope.com
Photo depicts: BME600-A (1 Door Bottom Mount model)
0800 947 5673 TM