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May 2016 • Vol. 9 No. 5
20 minutes with Shane Webby, Twin Agencies. See page 32
RISK-BASED APPROACH
Countdown is reviewing its quality and safety requirements for suppliers, taking a more risk-based approach that would exempt some items from undergoing stringent quality checks. Currently, strict Woolworths Quality Assurance standards are being imposed by the Australian parent company, and Countdown aims to move to a simpler, cheaper and faster regime.
NATIONWIDE REACH Liquor distributor Hancocks has secured an exclusive distribution partnership with premium beverage maker East Imperial that will offer nationwide reach into multiple new channels, including duty free.
LIFETIME AWARD The Food & Grocery Council has presented its Lifetime Achievement Award to former Nestlé executive Geoff Harper for his contribution to the industry. Harper spent most of his career with Nestlé, first as manager at the Waiuku factory as well as stints in Australia and Malaysia. Back in New Zealand he had roles as customer services manager and supply chain manager for 10 years before retiring last year.
OIL CHANNEL TAKEOVER
Current suppliers to the convenience side of the oil channel will be able to take advantage of the acquisition of the Caltex and Challenge brands last month by Z Energy. The Commerce Commission has now cleared the purchase of Chevron New Zealand but, under the deal, Z Energy has to divest 19 retail sites in locations where competition would be substantially reduced. Z Energy currently owns over 200 service stations and supplies a small number of Z-branded franchise stations.
HERBS GROWTH In a move that involves supply to New Zealand, the Australian McCormick company has bought the Gourmet Garden brand of packaged herbs for around $180 million. Gourmet Garden, owned by the Botanical Food Company, has a turnover of around $90 million and is currently expanding into global distribution, but is already available in New Zealand.
SMALL SUPPLIERS WELCOME
The Countdown executive team brought over 350 suppliers up to date with current and future planning at last month’s Auckland trade meeting. The two-hour event outlined a raft of initiatives among which emphasis was on the company’s current price obsession, the move to less general merchandise and more food, Dave Chambers progress with SAP, more planning alignment with suppliers and a change in the private label strategy as well as new promotional thrusts and the success of the Lockdown programme. Managing director Dave Chambers, now back heading the company, outlined store growth strategies that included between three and five new stores each year for the next four years, a fresh investment in team to make it easier for staff and suppliers, and ideas to be more active locally. According to Countdown’s spokesperson, James Walker, for example, the new Ponsonby store will have around 1,000 new products, most of which would be from smaller manufacturers and only available there. “We are constantly looking at how we can support smaller local suppliers to get their new and innovative products in front of our customers. Sixty percent of our suppliers, by number, have a revenue of between $1,000 and $1,000,000 with us, so you don’t have to be a big player to get stocked with Countdown,” Walker told SupermarketNews. “We also sometimes hear from suppliers that they think that you need to supply all of our 183 stores to get stocked at Countdown, but this isn’t the case. We are all about improving our ranging for our customers and suppliers, which means that products can be in a single store if it’s right for both the consumer and supplier.” n
OPEN TO ARTISANS Entries are now open for this year’s New Zealand Food
Awards. All local food and beverage manufacturers will have time until July 15 to enter the competition, with judging taking place between August 9 and 12. Aimed at both small and large manufacturers, as well as primary food producers, food service providers and ingredient supply companies, the event offers a great chance to celebrate industry innovation and showcase products and businesses, receiving feedback from an expert judging panel and industry peers. This year, the award categories have even undergone a refresh to provide more opportunities for companies to enter. “We’re delighted that our Artisan awards are now part of the NZ Food Awards,” said Tania Walters, managing director of Review Publishing. Finalists are set to be announced on September 1, and winning products will be able to feature the ‘Quality Mark’ on their packaging. Last year’s winner of the Supreme Award was Magill’s Butchery Ltd with its Magills Slow-Cooked Pulled Hereford Beef, which battled it out with almost 150 products from 79 manufacturers. For more information, visit www. foodawards.co.nz. n
KIWIS SUPPORT LOCAL PRODUCTS In this globalised world, the concept of ‘country of origin’ has lost its traditional meaning and is now much more nuanced, if not openly misleading; just recently, a NZ court has ruled against a health product company that was marketing its goat milk products as 100 percent NZ-made, even though only the manufacturing process had occurred here. As it happens Kiwis prefer NZ-made, and not necessarily out of mere national pride. According to new research from Nielsen, more than half of New Zealanders have a preference for local products, particularly and not surprisingly when it comes to fresh foods such as vegetables (71 vs 5 percent), meat (70 vs 4 percent), fruit (69 vs 5 percent), milk (69 vs 6 percent), seafood (59 vs 5 percent) and yoghurt (53 percent vs 9 percent). Provenance remains a priority for the majority of shoppers. Due to their ability to innovate and understand the local market, NZ-made brands are also preferred to global brands for packaged goods and snacks. On the other hand, brand origin appears to be almost irrelevant for alcoholic beverages, carbonated soft drinks, coffee and tea, while Kiwis narrowly prefer local for personal and home grooming, a trend that may be due in part to NZ products having a convincing eco-friendly message. Respondents have also identified price, previous good experience, promotions and better product benefits as top key factors for choosing either global or local. In this context, Nielsen’s retail director Lance Dobson
explained, multinationals should localise their products and rely more on local teams, whereas local companies need to keep innovating and maintain their point of difference. n
REVAMPED MILFORD OPENS
FOODSTUFFS North Island’s latest opening earlier this month was the revamped Milford New World. Pictured at the opening was FSNI Managing Director Chris Quinn with NW Banner Manager Merih Boz (left) and GM Retail Doug Cochrane. See story page 6
editorialcomment HEALTHY AND RESPONSIBLE COULD BE PROFITABLE
This current obsession with health and obesity by some factions with an opinion on our industry, perhaps isn’t such a bad thing if we can make a dollar out of it. It runs alongside “healthy”, “sustainable” and “socially responsible”, words that are being mouthed by those same people who think they know everything and are working for a better future for all of us. Actually, I don’t care that much as long as it leads to a great end result for our suppliers and retailers. And frankly, if we play our cards right, it could lead to better margins all round.
A Nielsen survey in the US has shown that 44 percent of consumers would pay more for a socially responsible product and we know of a number of suppliers who have worked hard on reformulations and deserve a better margin as a result. It is critical that if we use those weasel words in our marketing programmes, our retailers need to go with the flow and use this chance to take and give more margin. Of course the product has to stand up. Of course the price will go up if products have to be altered to meet this new approach, but if we can make the products more sustainable, healthier and more responsible, it’s a real win/win for our business. The interesting point of providing healthy food is that it has been clearly shown that consumers will eat more of it because they underestimate the calorie count and assume it is less filling
— which in turn leads to obesity . The new words for our industry have to be “nourishing” or “wholesome”, given that many are now using health stars or marketing products as healthy. As the American research showed, this new influx of health information may ironically abet the obesity epidemic. If we accept that the do-gooders are having an influence on what we make and sell, then this positive combination of attributes could not only increase market share for some companies, but also provide an opportunity to charge premium prices. And the same goes for ethical or sustainable products where we guarantee that consumers will pay between five and ten percent more for those lines. We should be riding along with these thoughts and picking up on the new opportunities. n
diarynotes
SEPTEMBER 3: Grocery Charity Ball, Auckland
NOVEMBER 10: Convenience Industry Leaders’ Summit, Auckland
MAY 5-7: SIAL China, Shanghai
OCTOBER 7: Packaging Design and Innovation Awards, Auckland
DECEMBER 5-7: SIAL Middle East Abu Dhabi
MAY 20-21: Winetopia, Auckland
OCTOBER 16-20: SIAL Paris
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JUNE 15-17: SIAL Asean, Manila, Philippines
NOVEMBER 2-4: FGC’s Annual Conference Gold Coast, Australia
JAN 29 – FEB 1 2017: ISM Cologne, Germany
Peter Mitchell Publisher
JULY 28: State of Industry Breakfast Presentation with Coalface Consulting and Nielsen, Auckland
THE NEW ZEALAND BEVERAGE COUNCIL (NZBC) P.O. Box 47, AUCKLAND 1140, New Zealand. Email: info@nzbc.nz Phone: +64 9 309 6100 DDI: +64 9 302 9932
NOVEMBER 7-9: Yummex Middle East, Dubai
contents
04 News 12 FHA 14 Snacks & Confectionery 18 What’s New 26 Artisan
The NEW ZEALAND BEVERAGE COUNCIL is an industry association whose members cover all aspects of the non-alcoholic beverage market both in New Zealand and the export markets. The Council members are spread throughout New Zealand and come together annually for an industry conference that covers industry issues and is addressed by international speakers. The organisation monitors product quality and sets standards for the industry and runs national competitions and awards.
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11 14 25 SupermarketNews is published under license. Please direct all enquiries and correspondence to SupermarketNews. The opinions and material published in this edition of SupermarketNews are not necessarily those of the publishers unless specifically stated. All material in this publication is copyright and may only be reproduced with the consent of the publisher. Copyright 2015
PUBLISHER Peter Mitchell, peter@reviewmags.com MANAGING DIRECTOR Tania Walters, tania@reviewmags.com
EDITORIAL TEAM Rossella Quaranta, rossella@reviewmags.com Thomas Fowler, tommie@reviewmags.com Monique McKenzie, monique@reviewmags.com
EDITORIAL DIRECTOR Sarah Mitchell, sarah@reviewmags.com
ADVERTISING SALES Felicity-Anne Flack, felicity@reviewmags.com
SENIOR DESIGNER Raymund Sarmiento, raymund@reviewmags.com Design Assistants: Hannah Sames, Marggie Pascua CIRCULATION & DISTRIBUTION MANAGER Kieran Mitchell, kieran@reviewmags.com
ATTENTION GROCERY SUPPLIERS The Food and Grocery Council is an industry association for grocery suppliers providing members networking, events, industry information and strong advocacy. Contact us for information on the benefits of membership: Katherine.rich@fgc.org.nz • Networking • Industry Updates • Conference and Events • Education and Training • Advocacy and Law Reform
ISSN NO. 1173-3365
Suite 9, Level 3, 20 Augustus Tce, Parnell, Auckland, PO Box 37140 Parnell, Auckland. Tel (09) 3040142 Fax (09) 3772794
www.fgc.org.nz
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FORTY EXCEPTIONAL YEARS
MASSIVE FINE
Colgate-Palmolive has been ordered to pay AUS$18 million by the Australian Federal Court for colluding with other grocery industry companies to fix the price of detergents. Colgate admitted to entering understandings which limited the supply and controlled the price of laundry detergents and also admitted one of its former senior executives engaged in cartel conduct. Colgate also admitted it had a deal with Unilever Australia and PZ Cussons to cease supplying standard concentrate laundry detergents and only supply ultra concentrates as well as sharing sensitive market information with Unilever about when the two companies would increase the price of their laundry detergents. The Australian Competition and Consumer Commission (ACCC) brought the initial action and is pursuing a case against Cussons and Woolworths that is likely to be heard next month. n
Foodstuffs has come a long way over the years and with that growth has come some exceptional long term employees. Amongst the best of them is Alan Malcolmson, general manager retail of Foodstuffs South Island, who retired last month after 40 years with the co-operative. Under his watch, the organisation has had a hugely successful relationship with suppliers. As he says, it’s a question of mutual respect and beating them up just doesn’t work. And this is part of the culture from the top at FSSI. Alan began his career in 1975 as an office boy at Foodstuffs Otago/ Southland – a jack of all trades and, as he says, the office roustabout. The Dunedin company at the time was turning over only $36 million and his move to buying, pricing and even counting stock was all part of the role. By the time he was 23, he was managing the subsidiary Murdoch’s that was the early private label supplier of sauces, pickles, soft drinks and so on. Three years later he was back at the Dunedin head office as the wholesale general manager and held that role until the two South Island Foodstuffs companies merged in 1988. Alan moved to Christchurch as merchandise
UNLOCKING SYNERGY VALUE GS1 New Zealand has announced the acquisition of Images in Space Ltd, to unlock substantial synergy value and drive growth. A leading supplier of digital photography and digital image management services, Image In Space will join
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GS1 to support businesses’ growing need for high quality product data and high quality digital images, with all staff and services coming over to GS1. Barry Pyle, Images in Space former owner and CEO, will join GS1 as general manager services. n
manager and held that title until 1995, when Tony Carter came on board and Alan took over the retail management role. A year later he joined the board and has been a key player in the South Island ever since. The development of Foodstuffs is a tribute to Alan who has seen the Henry’s liquor operation reach 20 stores, Raeward Fresh come on board with five stores and growing, and On The Spot that was launched in 1985 now top 119 outlets. Part of his role was the rural development concept of Four Square that has boomed to 72 small supermarkets along with tourism in small centres. Over this time, Alan has seen the huge evolution of New Worlds and Pak’nSaves as well as the burgeoning fresh food offers and the other developments that have given Foodstuffs 60 percent of the South Island market. He is certainly proud of the way FSSI has evolved with the independent model being backed by clever management and operators who generally surpass world standards. “It’s been a wonderful company to work for and the mutual loyalty has been a keynote. Like many of the other older employees, I don’t have an expiry date, but I do recognize my best-before date. The company is now heading strongly into national development and its future is well bedded in,” he said. Alan and Sally live in Christchurch but have a holiday home in Twizel enjoyed by his family of three daughters and a grand-daughter. The retirement will now give him time to enjoy his road and mountain biking and his favourite adventure motor-biking in backcountry terrain. And perhaps he’ll even spend more time with his lifetime interest in the guitar. n
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WELCOME BACK
The re-built Milford New World, 40 percent bigger than its 52-year old predecessor at 2,340 sqm, was opened this morning by North Shore MP Maggie Barry. Owneroperator is Sarah Aston who took over the old Milford store in 2010, after several years owning Oneroa Four Square on Waiheke Island. The 90 strong staff is a far cry from the original Hill & Coldicutt original store opened in the early 1960s. n
MAKING WASTE VALUABLE Established in New Zealand in 2013 and specialising in recycling products with more than 3,000 solutions implemented in the UK market, Easi Recycling has added a new range to their portfolio, the ‘Longopac Bagging System’. Manufactured in Sweden, it is a highly developed waste bagging system, supporting the increasingly popular process of sorting waste at source, an effortless approach to reducing waste costs and maximise recycling. Longopac enables smarter waste handling and creates a more efficient working environment; the system is based on an extremely thin and strong 3-layer polyethylene material that is folded into compact cassettes up to 110 metres long. The bags are always 100% full and sealed from the outside, making it an economical and hygienic option. The advantages also include time saving, reductions in handling waste and low material consumption. In addition, Longopac 3-layers bags are twice as strong as standard bags of the same thickness. As councils within New Zealand adopt zero-waste policies and aim to achieve zero-waste status by 2040, recycling companies play an important role in achieving these targets. Supermarkets are especially benefitted by smarter waste management, adding value to waste streams by preventing cross-contamination and containing waste for easy storage and transportation, both reducing their waste costs and creating additional revenue when valuable materials such as clear plastics are segregated at source. Longopac is available in mini and maxi options and comes in six different colours, allowing for colour-coding waste streams and simple visual waste management. n
WAR ON PLASTIC CONTINUES
VIRTUAL STORE, REAL SHOPPERS The idea that price changes affect consumers’ behaviour is something that we all take for granted, but how and to what extent this happens? Good answers might come from a virtual store. The University of Auckland is currently running a research project that uses a 3D computer simulation in the image of a real NZ supermarket, with 1,500 virtual food products to choose from. Funded by the Health Research Council of New Zealand, the study will run for at least 18 months, with results hopefully being released by late 2017, early 2018. Any New Zealander owning a computer can jump on board and get rewarded with $40 MTA vouchers. All they need to do is download the software, sign in with their username, navigate a shopping trolley along the aisles and select items with a mouse click. So far 400 participants did at least one ‘virtual’ shop, and researchers hope to include 1,000
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people. “We ask them to buy all the food their household would need for the week. All food prices will change during each of the shops, and we expect to obtain a wide range of data from a large number of participants,” Wilma Waterlander, PhD and lead investigator on this study, told SupermarketNews. “The outcomes will feed into economic models which will help us gain insight into food price elasticity, measuring change in demand in response to change in price.” Even though the Virtual Supermarket has been used before for other studies, this research is a worldfirst to take an experimental approach to measure food price elasticity. Unlike any real store, its virtual version works as a perfect laboratory to test different strategies. “We can expose participants to exactly the same environment each time, and just change one or two things, which would be almost impossible to do in real life,” said Waterlander. n
OWNED
With the addition of Hamilton, the Packaging Forum has involved in its programme 90 stores across Auckland and the Waikato, and further expansion is planned to Canterbury in June and to Greater Wellington in September. Several companies have also installed the distinctive recycling bins on site for employees. So far, 15 tonnes of soft plastic packaging, around 2.8 million units of packaging, have been dropped off by shoppers for recycling into products, such as the seat made from 15,000 plastic bags presented at the programme launch at Countdown East Hamilton. “At first people think about plastic shopping bags, but once they start collecting their food and grocery
packaging and even courier envelopes, they realise how much less is going in the rubbish bin,” said Lyn Mayes, manager of public place recycling scheme and soft plastics recycling, the Packaging Forum. It is estimated that 30 million plastic bags and wrappers will be annually recycled, once people have got used to the programme. In 2015, the Packaging Forum commissioned the first national Litter Survey to measure litter, and has set a target of a 10 percent reduction by 2020 through partnerships between industry and local government. Operations are run by REDCycle, who developed a similar programme in Australia, with store collections by Abilities Group. n For more recipe ideas visit www.omegaseafood.com
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JUST ONE WIN AWAY May 21st showdown between Kiwi sensation Joseph Parker and Cameroon-born Frenchman Carlos Takam promises to be an explosive night of boxing action and a historic moment for NZ sport. To reach the highest performance and possibly win the world heavyweight boxing title, Parker has enlisted the help of Matakana SuperFoods founder Kevin Glucina, who has been providing nutritional advice during Parker’s gruelling 14week training camp in Las Vegas. n
GREENER TEA Dilmah Tea have long been known for producing hand-picked Ceylon
black tea in their home country of Sri Lanka, but what about green tea? A replacement of their entire Green Tea range is signalling an answer to that question. Dilmah have built their success on tea unblended with other origins, packed fresh after it’s picked and processed on their tea estates, where an unprecedented level of support is given back to the communities through their MJF Charitable Foundation and Conservation operations. However, Sri Lanka is not so well known for green tea production, which is mostly sourced from China, where the volume is high enough to meet the growing global demand. Like other tea companies, Dilmah have been sourcing their green tea from China for years, until now. In a bold move, Dilmah founder Merrill J. Fernando decided it was time to set up his own green tea factory in the high grown Nuwara Eliya region of Sri Lanka, with the sole purpose of knowing exactly what he is selling his customers. At a cost of US$1.2 million to set up, he sees it as an important investment into what his family business stands for. “I undertook this investment strictly to safeguard my Dilmah tea customers. We make no additional money in supplying Single Origin 100% Pure Ceylon Green Tea. My conscience is now clear,” said Fernando, in a very open and honest letter to his customers (to read more, go to www.dilmah.co.nz.) n
& ERW N D! E V IMP O
AFFORDABLE PERIODS Periods are an unavoidable part of a woman’s life, yet New Zealand women spend about $25 a month on sanitary products, including 15 percent GST. To save on that cost, low-income families around the world are increasingly using DIY alternatives and urging governments to take GST off sanitary products. n
BACK-UP PLAN NEEDED The proposed $3-3.5 million Raeward Fresh store in South Dunedin might come to nothing, after all. Following
Left to right: Coach Kevin Barry, Kevin Glucina and Joseph Parker
THE NEXT BIG THING? A new pea-based milk called ‘Ripple’ is making waves in the US for its high-in-protein content, which is reportedly eight times higher than almond milk’s. Ripple Foods also claims its product has less sugar than dairy, coconut and almond milk, and higher levels of vitamin D. n
the decision by the council’s hearing committee to grant resource consent, with a condition restricting the type of products being allowed to be sold, Foodstuffs seems likely to step out of the game and try to secure another site, hopefully still in Dunedin. n
PURE CEYLON
GREEN TEA
Fresh & Pure
Along with 3 new flavours our all natural green tea now comes direct from the home of Dilmah, single region pure Ceylon green tea packed fresh where it’s grown.
Tips to m
ake
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re cold water t Add ³⁄4 o the p freshly ot or c b oiled w Add te up ater abags a nd gen Steep 2 t l y stir -3 min utes, th en serv e Relax a nd enjo y
0800 DILMAH May 2016
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ROASTED TO PERFECTION Legend has it that coffee was introduced into India 400 years ago by Baba Budan, an Indian Muslim saint who had come across the coffee beans during a pilgrimage in the Middle East. While that might be just a fairy tale, coffee plantations began to dot the South Indian hills, producing top quality beans. A few centuries later, Auckland-based Everest Coffee Company has brought this wealth of flavour into the NZ market. Sourced from the State of Karnataka, Everest’s coffee beans are of the finest quality, being AA-graded. To ensure that coffee growers can afford a better life and quality is retained, the company deals direct with the source, paying exactly what the growers ask. “When you get to the high end of any product in any market, it’s all about demand and supply. For this bean the demand is higher than the supply, and I am willing to pay that price, because our high-grade coffee is what made us so successful,” said Michael Desouza, owner of Everest Coffee. Desouza launched the company in Auckland about two years ago with its flagship product, Bliss, an Arabica AA bean that won customers’ hearts one tasting at a time. “I have met and spoken to 90 percent of my customers, that’s what makes our business unique. The coffee market is a very tough one,
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but Bliss has done very well, and the feedback from my customers has been unimaginable so far.” A second Italian-style blend, Savourite, can currently be purchased online on Everest’s website and is set to hit the shelves later this year. “Coffee has lots to do with science, and thanks to its harder beans, this blend supports better extraction making it full-bodied, smooth, velvety and stronger, with each batch being roasted and managed to perfection,” said Desouza. “I’m sure that, when shoppers try it, they will love it and, probably, struggle to drink another coffee brand.” n
OWNED
THIS MUESLI SPEAKS FOR ITSELF
As the brand’s name ‘Something to Crow About’ cleverly implies, Christine and Mike Millar have something worth talking about. While looking to buy a business that had lots of potential and room to grow, the passionate husband-and-wife team had bumped into a small artisan company based in Dunedin, and quickly realised that it was right for what they had in mind; manufacturing a food product in the health and wellbeing category. “When we found ‘Something to Crow About’, we loved the natural, health food side of it, and once we tasted the product we knew we were onto a winner,” said Mike, who had owned a successful business for ten years before moving on to working for TradeMe, and was looking forward to running his own thing again. As his wife and business partner Christine was a huge breakfast fan herself, muesli appeared as a natural choice. They then brought the company closer to home, in Whangaparaoa, and started working really hard stream lining operations and rebranding; the current, colourful packaging, which Christine conceptualised, was inspired by a casual but modern aesthetic, to appeal to a discerning customer. So far, the impact has been so great that they have outgrown their 80sqm premises and they are about to move into a new 330smq factory. The company has been growing strong roots in the South Island, with the support of over 60 Foodstuffs and independent stores, stocking the range of mueslis, roasted seeds sprinkles and superfoods, and it’s rapidly spreading through the North Island thanks to the enlistment of Strikeforce NZ. The expansion allows for bigger dreams, both domestically and overseas. Their previous experience working in sales and head offices servicing FMCG is certainly helping them in the process, but quality and flavour are their major points of difference. The product range includes gluten-free, paleo and even savoury roasted seed options, developed in collaboration with a nutritionist. “We use quality ingredients, real food, lots of seeds, nuts and fruit with a touch of spice. The feedback we have got has been incredible,” said Christine. n
FIRST FEMALE CHAIR
Veronique Cremades and outgoing chair, Pierre van Heerden
Last month’s half yearly conference and AGM voted in Veronique Cremades, country manager of Nestlé NZ as its new Council chair. This followed Pierre van Heerden of Sanitarium stepping down from the role after three and half years. This year’s conference staged again at Auckland’s Villa Maria conference centre, brought over 300 industry members to the event to hear a range of inspirational speakers and be brought up to date on the work of various FGC committees. Ms Cremades is the first female chair of the industry body and has been vice-chair for the past three years. In passing the role over, van Heerden said the industry was being attacked relentlessly but still retained a positive culture. During his term, he took the industry to a new level of Government engagement, provided unwavering support at a number of levels and it was said he demonstrated courage under fire. Scott McKay of Design Print Partners retained his position as one of two vice-chairs and was joined by Gerry Lynch of Mars. For the first time in many years, there was an election for the board with a result of Leon Clement, (Fonterra Brands managing director),
Sharna Heinjus (Kimberly Clark gm), Shane Webby (Twin Agencies director), Mark Hamilton (Bell Tea & Coffee), John Kippemberger (Manuka Health), Tim Deane (Goodman Fielder), McKay and Lynch being elected. Van Heerden remains on the board as immediate past chairman. In her report, CEO Katherine Rich pointed out the number of challenges ahead for the industry amongst which was the probability of a Grocery Code of Conduct being introduced, retailer relationships including Countdown again getting involved in some working groups and other consumer related issues. There was strong support again for this year’s Grocery Charity Ball that last year raised around $200,000 for autism and this year is targeting Coastguard activities. And the conference paid tribute to John MacDonald of Brandworld, who recently retired after a lifetime in grocery industry marketing, advertising and promotion. Unusually he was awarded a second Lifetime Achiever Award – it had been forgotten that he did receive one a number of years ago. Keynote speaker on the day was businesswoman Dianne Foreman best known for leading the Emerald Foods group of companies that included extensive icecream interests. Her discussion focused on entrepreneurship and leadership in the industry. Covering current politics and economic trends was Phil O’Reilly, the former head of Business NZ and now running a public policy consultancy in Wellington. And of strict grocery interest, there was an address by Dayne Riddell, former national sales manager of Cerebos and now owner-operator of Wellsford Four Square. He gave extensive insights into supplier relationships and how suppliers could drive better business through the Four Square network. The industry annual conference is being staged on Australia’s Gold Coast from November 2-4. n
CONSTRUCTION STARTS The tender process for Mosgiel’s new $20 million Countdown store has been completed and construction will start next month. The 3350 sqm supermarket, which will replace the current store and create about 50 new jobs, is expected to be ready by early 2017. n
FORCED TO ‘SOBER UP’
All three Countdown stores are currently not allowed to sell liquor, with Springlands being the latest to have its licence suspended. The supermarket has been banned from selling alcohol for five days, between May 20 and 25. In the meantime, Countdown Blenheim is already serving a 42-day suspension, which came into effect on April 26, and the newly-opened Countdown Redwoodtown has had its off-licence appealed. n
TOO UNSAFE TO OPERATE Safety issues are forcing a Countdown store in Waihi to close its doors for good on May 28, given that the foundations and floor have moved, and the site would need to undergo extensive repair or redevelopment. For the time being, the chain has no plan to open another supermarket in the area, but said it will try its best to re-employ all 41 staff in other nearby stores or within the whole network. “Despite our best efforts, we haven’t been able to find an alternative option for a Countdown supermarket in Waihi,” said Ryan McMullen, national trading manager, Countdown. n
CELEBRATING A CENTURY OF EXCELLENCE James Crisp - New Zealand’s Trusted Brand Managers and Importers since 1916
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May 2016
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WITH A NATURAL ETHOS Rachel Morrison with Josh Prince, Buyer, New World Victoria Park
Anthony Gadsdon, Rachel Morrison and Shane Young
Expansion is really taking off for Mix Limited. As a personal care manufacturer of high-quality cosmetics in skincare, haircare and styling, over the past 16 years the company has earned a solid reputation for its natural ethos, focusing on research and development to create categoryleading formulas. Its family of own proprietary brands are developed in Mix’s Eco Cert certified-organic cosmetic lab and manufacturing plant. The offering currently includes Primal Earth, Dominate, Shock Waves plus skin and haircare brand Essano.The latest addition to the fast growing and strong performing Essano brand is an innovative range of professional, plant-based haircare products, set to hit around 1,400 stores within the next month. “It’s the biggest launch we have ever done at once, and we are receiving a great response,” said Anthony Gadsdon, sales director and co-founder of Mix Ltd. Along with Shane Young, he started Mix Limited in 2000 with the Dominate brand, presenting to big retailers on both
sides of the Tasman. The original product was a homemade beeswax hair pomade that Young, already a hairdresser with his own salons, had developed. With the launch of Primal Earth, they strove to deliver against a growing need for natural products, free from harsh chemicals such as sulphates and parabens. Then, two years ago, they saw an opportunity to bring the same concept into the women’s space, and launched Essano. Focused on making premium trends available and accessible to mass retail, Rosehip Oil by Essano was the first certified-organic skincare product in NZ grocery. The range has gone on to be the leading natural skincare brand in mass retail across Australasia. “As soon as it hit the shelves, Essano has delivered way in advance to what we thought it would do, and we think that’s because we are so engaged with our consumers, we do lots of testing, trials and research, and really act on their feedback,” said Rachel Morrison, Marketing Manager. The new Essano Haircare range, which includes hero ingredient pillars Argan Oil, Keratin Complex and Coconut Milk, took two years in the making and is set to notch up another great result. By owning the whole manufacturing chain, from plant to product, and literally hand-choosing the most active salon grade ingredients to create natural low foam sulphate-free formulations, the company goes as far as to state a product promise on all of its packaging. “It has been a key driver, because our customers are confident that, as a manufacturer, we understand what is truly natural and what’s not. It’s about reassurance and trust,” said Shane Young, R&D director and Mix co-founder. n
MAXIMUM RESIDUE LIMIT
Food Standards Australia New Zealand (FSANZ) is calling for submissions on its proposal to create an ‘all other foods’ maximum residue limit for some agricultural chemicals. Industry and interested parties will have time until 3 June 2016 to submit their comments. According to Steve McCutcheon, CEO of FSANZ, low levels of chemicals currently permitted on one food may be accidentally found on other foods not listed in the Code, creating issues of enforcement agencies and producers. The ‘all other foods’ limit would be established on a case-by-case basis. n
SAFE PORK AND BEEF Putting an end to an 11-year ban, imports of European pork into New Zealand resumed last year, and EU meat producers are doing their best to assure NZ consumers they have nothing to worry about. A new farm-to-fork initiative from European Beef and Pork aims to give them transparency over the animal welfare and food safety standards of the imported products. The production concept is built on traceability and ethics, banning the use of hormones, growth stimulants and antibiotics, and reducing animal stress by regulating transport, density, temperature, humidity, and even noise level and air circulation. n
Selling Solutions Ltd NZ’s Premium Brands, Sales Agency Contact: GEOFF CASSIN
Ph: (09) 486 4597 Email: geoff.cassin@sellingsolutions.co.nz
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FOODSTUFFS EXPO Hundreds of supermarket suppliers have met at Auckland’s ASB Showgrounds this year, along with 1,500 store owners, managers and department staff. Before our memories fade, let’s relive this great event with its key players: YOU.
A very exciting event that we really enjoyed being part of together with our Selling Solutions family of Premium Brands. Look forward to the next one! — Lynley Webb, sales and marketing director, Frozen Fresh
The Foodstuffs Expo is always an exciting time for Wedderburn. It’s a terrific platform where we can be available to Foodstuffs members, demonstrating new equipment and helping find new weighing and labelling efficiencies for stores. The Auckland show this year was exceptional and we were particularly excited to release our brand new SM5300 series of weigh labellers and the super-efficient new range of AW5600 automatic weigh wrap labellers. Thanks to Foodstuffs for such a well organised and relevant event. — Brenda Davenport, marketing manager, Wedderburn
The Foodstuffs bi-annual expo has found its home at the ASB Showgrounds in Auckland. It was great to see Foodstuffs Exec’s, Support Office personnel, Members and store staff getting value from this expo as well, and the standard was a great step up versus previous events, so a big thumbs to Jo here on this. — Len Croudis, sales and distribution consultant, SunRice
I was so impressed with the Foodstuffs Expo this year. It is the first Foodstuffs expo we have been part of and it far exceeded our expectations. We met some fantastic buyers and store owners and it was the perfect opportunity to showcase our whole product range. It was not only really enjoyable but it was a great business opportunity. — Karen Staples, managing director, Pure Delish
Really enjoyed the opportunity to showcase our brands and to discuss their opportunities with the buyers and owners of the stores. Our clients enjoyed meeting many of the buyers and decision makers in stores and gained a greater understanding of what they are looking for from suppliers. We look forward to being involved in the Foodstuffs Expo in the future. — Sheree Cassin-Thompson, director, Selling Solutions
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Chris Palmer 09 300 6872 Accounting, Finance, Project/BA, Commercial
May 2016
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Innovation Took The Stage Food & Hotel Asia 2016, one of the Asian region’s most comprehensive food and beverage trade events, was held in Singapore last month with strong interest from New Zealand buyers and agents searching for new lines. The trade show attracted 72,000 trade buyers, 45 percent of them from overseas including New Zealand and, as one of the largest shows in this part of the world, it featured around 3,000 exhibitors from 70 countries, some as far away as Turkey and Russia. In addition, there was also the major Pro-Wine event alongside FHA. This year, the show covered almost 100,000 sqm and was at capacity. The organisers, Singapore Exhibition Services, reported that, as consumer needs in the region evolved, so did the expectations of buyers. As a result, innovative ideas were more critical than ever in meeting consumer demands and the Singapore events had become the chosen sourcing ground for many international buyers. This year, FHA showcased an impressive spread ranging from the finest and most unique food ingredients and products through to design, equipment and fresh software solutions. New Zealand ran a country stand under the auspices of NZ Trade & Enterprise with 18 exporting
companies represented.Involved were the Spring Sheep Milk Co, sauce supplier Culleys, beer and cider from McCashin’s Brewery and a number of meat, seafood, beverages and grocery items from ANZCO, Canary Enterprises, Ceres Organics, ENZAFoods, Dunninghams, Emerald Foods, Highford Marketing, Independent Liquor, Naturally Pure NZ, Rockit apples, Taylor Pass Honey, the NZ Dessert Co and Van Dyck Fine Foods. A winning part of the stands was a “step into New Zealand” piece of technology that allowed visitors to see and hear about produce through virtual reality. In addition, a range of seminars and trade discussion were held covering a wide spectrum of topics ranging from new strategies to challenges and issues impacting the food industry. The knowledge sharing included investment opportunities, new technology, store design and marketing. “Delegates at the event all said it had been a fulfilling event and the insights on regional global preferences certainly made visitors aware of future products to be in store,” said SupermarketNews managing director Tania Walters, who attended the show.
MORE SHOWS PLANNED
Singapore is increasingly being seen as a sourcing hub for international f&b suppliers, but the entire region is showing strong interest in more westernstyle products. As a result, there will be as many as 21 exhibitions relating to food, drinks, hospitality, foodservice and the bakery industry between now and the end of next year in the Asian region. The exhibitions will be staged in major cities such as Hong Kong, Seoul, Yangon, Bangkok, Shanghai, Penang, Jakarta, Ho Chi Minh City and Kula Lumpur and the export possibilities for New Zealand have never been more positive. As well, it is expected New Zealand buyers will also be playing a stronger role in product sourcing from the region.
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“Every day, our more than 2,600 food producers create mouthwatering and nutritious foods to suit every palate in Asia, all in safe, sustainable and pristine conditions. The showcase at Food&HotelAsia is a demonstration of New Zealand’s understanding of the complex international food market, and the rapidly growing need to produce safe and quality food in a sustainable and innovative manner.” Tony Robinson, Trade Commissioner to Singapore, NZTE
PRO WINE EVENT
One of the highlights of the show was the staging of Pro Wine Asia alongside FHA. The event attracted wine producers from 30 different countries and over 8,000 trade buyers from the region. Of strong interest were the seminars and masterclasses that ran along the same lines as the Pro Wein series in a number of European countries organized by the German Messe Dusseldorf. n
NEXT SHOW 2018
The next edition of FHA will return from April 24-27 in 2018. Because of the event’s growth and the overwhelming demand for booth space, the next event will be held over two locations giving the opportunity to make it 20 percent bigger. Again for this year’s event, SupermarketNews and its sister publications Restaurant&Café and HOTEL, were the New Zealand media partners. n
AMONG THE NEW PRODUCTS
There was a large number of new products from various countries at the show. FRIENDS FUN WINE
“We have exhibited at the last 6 FHAs and the 2016 show was the best that we have been at. The New Zealand stand was beautifully presented, a great advertisement for NZ and a great drawcard for visitors. The quality of visitors was the best that we have seen both in terms of existing customers and potential new customers. We walked away from the show with over 100 qualified opportunities. This is without question the best show in the region and we will return on 2018.” Derek Bartosh, Canary Foods While there was wide interest in the huge range of products available, one that did catch the eye was a selection of canned low alcohol “fun wines”. These were low calorie flavoured wine drinks in slim 250ml recyclable cans that could be winners in our RTD market but available in grocery. Of major interest was a new cooking sheet exhibited by the Japanese company Riken Fabro. Called Tsutsumu, it is a lightweight and convenient wrap with many kitchen applications. It was able to be used to heat or cook food, heat resistant up to 220º C and able to be used on any grill or heated surface apart from direct fire. Rip and sip is a ready-to-drink wine in a glass that set a new benchmark in beverage packaging. It is an innovative way to enjoy not only wine, but also sparkling wine, in a disposable glass. And it had a re-sealable lid. More on www.ripnsip.com.au. KOALA KARMA
stalks of the arenga pinnata tree as a juice and then dehydrated. The tree is a conservation superstar and between 8-12 litres can be tapped from each flower stalk each day. The trees are ecologically sustainable and produce 50 times more minerals than white sugar, three times more potassium than bananas and a wide range of nutrient rich ingredients. More detail on www.straitswholefoods.com. n MASARANG FOREST SUGAR
YARRA VALLEY TEA CO
Several other Australian products not seen here yet were Tarago Olives that are claimed to be as good as any in the world. With the base product being olive oil, the company had also developed olive paste, olive jam and olive powder, the latter a superb alternative for salt. There’s a lot more detail on www. taragoolives.com.au TARAGO OLIVES
Also from Australia was Koala Karma, a slightly carbonated beverage – an original and a sugar free option. The drink is infused with chamomile, passion flower, valerian, lemon balm and magnesium. It is said to be ideal for restful sleep, long plane flights or to combat stress. Among other Australian products that are close to home was Bondi Chai, a gold medal winning chai latte that came in Vanilla Honey and Club Cinnamon along with a range of coffee, smoothie and bakery ideas. The contact is www.bondichai.com.au.
BONDI CHAI
From the Yarra Valley Tea Co came an eight product range of organic loose leaf teas in pyramid bags. And from the same valley came a range of apple-based organic iced teas in screw top bottles produced by The Functional Beverage Co.
“What an awesome show! It was our first time at FHA and we have been blown away by the level of interest in our sauces and the quality of the leads we now have to get us into Asia. The feedback has been incredible and we’re looking forward to pursuing the opportunities now in front of us, thanks to the show. We would recommend it highly and would definitely attend again.” Chris Cullen, Culley’s
And again from across the ditch, Mavella Superfoods is a range of powder blends bursting with freeze dried fruits, vegetables, organic pea and rice protein, vitamins, minerals, antioxidants and more. They can easily be added to water, milk, juice smoothies or added in cooking. These superfood powders have no additives and are also vegetarian, dairy-free, GMO-free and soy-free. MAVELLA SUPERFOODS
“2016 was our first year exhibiting at FHA and we found it extremely beneficial to be able to connect with thousands of industry people and potential customers in one place. We now have a large number of hot leads from a variety of countries including; Singapore, Malaysia, China, Hong Kong, Vietnam, Indonesia, Australia and more! Highly recommend this show to others.” Anna Cudby, Rockit Apple An interesting Singaporean product was a new all-natural organic sweetener that is said to rock the health food world. Called Masarang Forest Sugar, it is low glycemic and certified organic. Produced by Straits Wholefoods, it is tapped from the male flower
“This was our first time at FHA and I would like to thank ATEED for that opportunity. The New Zealand stand was a real standout thanks to the hard work from NZTE staff, many of whom flew over to man the stand, rally press through and introduce advisors and potential leads to our businesses. For this reason in particular I wouldn’t hesitate to attend again in two years time. We made many connections and achieved all we set out to do and we expect business to quadruple over the next year as a result. The 2016 FHA show literally was the best expo ever.” Genevieve Knights, Genevieve’s May 2016
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snacks&confectionery SNACKING ON HEAVEN’S DOOR All of us, every now and then, need to give ourselves a break. Luckily, there are plenty of healthy options out there to satisfy our sweet or savoury cravings without compromising on taste. We caught up with some of the industry’s leading manufacturers to find out where the ‘treat’ space is going next.
HEALTHIER THAN REGULAR CHIPS
Nutritious Foods is dedicated to providing New Zealanders with healthy, tasty products made out of kumara, one of the healthiest vegetables in the world. The company has a range of kumara snack chips under its Sunny Hill brand, from Original, Salt & Pepper and Sweet Chilli to the newly-released flavour Sour Cream & Chives, in 120g packs and 40g packs. Recently, they have once again listened to the
consumers’ voice. To provide them with a snack-sized pack of Sunny Hill Kumara Chips to go with their tea break, or into kids’ lunchboxes as healthier treat, the company is now introducing two new product lines, Kumara Chips in multipack, Original and Salt & Pepper. Nutritious Foods was the first to pioneer the kumara chips category in mainstream supermarkets four years ago, and has since been leading the way. Kumara chips are relatively new to consumers, but the category is fast-growing and has much more room to grow, thanks to product improvement and competition. Consumers are also increasingly looking for nutritional value and convenience. They want more healthy foods without compromising on taste, more varieties and less preparation. Nutritious Foods is working to meet this demand by rewriting the concept of snack chips and introducing naturally tasty and much healthier options, with less fat and more nutritional value. n
NUMBER ONE RICE CRACKER Peckish Rice Crackers provide consumers with a healthier alternative snack to conventional snacking foods. Peckish Rice Cracker Trays are now worth $24 million, maintaining Peckish as the number one rice cracker brand. Peckish is available across a range of formats, offering a snacking solution for all occasions; whether Peckish Rice Crackers 100g for family and entertaining, the very popular Peckish Brown Rice 100g trays in Lightly Salted and No Salt, or the 6-Pack Snack Packs, perfect in lunch boxes or for a little Peckish on-the-go. Peckish Rice Crackers recently launched in a new flavour in the 100g trays, Roast Chicken, adding a great traditional Kiwi flavour to an already strong performing range. Currently, the flavour is the 14th ranked product in the overall rice cracker market (MAT to 28/02/2016, Aztec). “With further exciting NPD planned in 2016, Peckish will continue to be an innovator and key driver of the segment,” said Andrea Crutchley, senior business manager, DKSH New Zealand Limited. n
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TWO IS BETTER THAN ONE
CRACKING YEAR IN CRACKERS Kiwis love savoury biscuits nearly as much as sweet biscuits; the market is now worth $164.3 million and continues to grow at 3.7 percent. Driving this growth in the last 12 months have been carrier crackers, which had emerged from a couple of quiet years with significant new news and growth of $5.3 million. Driving the re-emergence has been Huntley & Palmers, which is about to break into the $20 million cracker clib ($19.8 million retail sales value MAT to 17th April 2016). Huntley & Palmers have driven this growth with continued innovation (Flatbread, Wholegrain Rice Crackers), but sustained success from the core H&P range including Sesameal and Cream Crackers. “We are delighted that New Zealand consumers are enjoying our great new food over the last 15 months and can assure them we have plenty of new ideas in the kitchen for later in the year,” said Kylie Jones, senior brand manager, Huntley & Palmers. n
Two Kiwi icons join forces, Bluebird and the All Blacks. New Zealand snackfood market leader, Bluebird, continues to innovate in 2016, rolling out a range of initiatives. Bluebird Foods have announced a new two-year partnership with the All Blacks, which will see New Zealand’s favourite chip maker step from the side lines and get behind our national team. Like the All Blacks, Bluebird is a Kiwi favourite and there’s nothing more Kiwi than cheering on the All Blacks with friends and family and sharing a bowl of Bluebird chips. The new partnership will see Bluebird support the Rugby World Champions in the upcoming Steinlager Series against the Welsh and the New Zealand Lions Series 2017. “Lots of Kiwis share fond memories of eating Bluebird chips while watching the game,” said Kurt Preshaw General Manager Bluebird. “This partnership with the All Blacks is a fantastic opportunity for us to show our unwavering support and passion for our boys in black.” Bluebird has been New Zealand’s most loved chip brand for more than 60 years. Bluebird first opened its doors in 1953 at a time when the All Blacks were on a tour to the Northern Hemisphere. To show Bluebird’s staunch support of the All Blacks, seven of the top selling 150g packs and 40g Bluebird Original packs are turning black for the duration of the All Blacks 2016 season. “Making the best tasting chips remains at the heart of everything that Bluebird does and that is why we are New Zealand’s favourite chip. Relentless drive and continued innovation is something we also share with the All Blacks,” said Preshaw. Bluebird has also recently launched Bluebird
Duos; two different flavours of potato chips mixed together in one bag. They’re twice the snacking fun and a whole new taste experience. Consumer research shows strong appeal for the flavour mix concept. Sixty-eight percent of potato chip shoppers “like to present new and interesting snacks to make an occasion special”*. Similar products are already proven successes in Spain, the Netherlands and in the UK. Bluebird Duos appeal to a wide range of consumers with Sweet Chilli & Sour Cream and Chicken & Honey BBQ Sauce, both in a 140g pack size. “Bluebird Duos tasty flavour mixes are sure to drive growth in the potato chip category and are an exciting addition in stores, ” said Preshaw. n * Source: PepsiCo Potato Chip Shopper & Consumer Screener Study, 2015
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snacks&confectionery THE ‘BRANDMANCE’ CONTINUES
TRENDING COMBINATION
ABE’S Bagel Crisps 150g range comes in five flavours; Sea Salt, Marmite, Sour Cream and Chives, Roasted Garlic, and Caramelised Onion & balsamic Vinegar. Sea Salt, Marmite and Garlic are also available in 8 x 15g multipacks. These mouth-watering little gems are made by slicing, then seasoning ABE’S genuine steam baked bagels with gorgeous natural ingredients. Baked and not fried, they are healthier than regular potato chips, with 60 percent less fat. They’re also free from artificial colours, flavours, preservatives, cholesterol, added MSG, or any other nasties. “At ABE’S we love Marmite, so much that we added it to our Bagel Crisp recipe. Marmite 150g was launched in February 2015, while Marmite Multipack has just launched. We are expecting this to be a big hit with adults and kids,” said Melanie Kyle, marketing manager of ABE’S Bagel Bakery. ABE’S also produces Bagel Bites, available in 6 x 15g multipacks with two variants, Pizza and Sour Cream. These delicious little morsels are packed full of goodness, they are perfect for lunch boxes, as an after school snack or for any munchy emergency. ABE’S Bagel Bites are registered with the Heart Foundation’s fuelled4life initiative, with added wholemeal flour, no artificial colours, flavours or preservatives, and only 1.3g sugar and 1.8g total fat per serve. “Our snacks are healthier than many of the options in the snack category, which is growing at 6.4 percent in value vs YA while ABE’S are up 19.1 percent for the same period,” said Kyle. As for the ongoing trends, healthy and on-the-go snacks, new and unusual ingredients, and cross-pollination or ‘brandmance’ are all driving the market forwards, and this has worked for ABE’S as well with their ABE’S Bagel Crisp with Marmite. n
As a brand, Jack Links continues to go from strength to strength in the NZ grocery market, highlighting the consumer trend towards healthier snacks. Jack Links is the number one ‘meat snack’ in supermarkets and is worth $4.3 million, growing at 30.8 percent and sitting at approximately 75 percent of the total jerky category. The overall jerky category is worth $5.8 million in TKA and is growing at 29.1 percent (MAT to 10/01/2016, Aztec). “To continue to drive this growth, Jack Links is launching Jack Links Chilli Lime 50g Jerky, capitalising on an ‘on trend’ flavour combination,” said Andrea Crutchley, senior business manager, DKSH New Zealand Limited. “The recently released Jack Links Sticks 6-Pack Multipack provides the perfect lunchbox solution for busy people on-the-go.” n
STANDING OUT ON SHELF The Ezipop brand is growing at 7.6% percent (MAT to 23/08/15 $ growth v YA, Aztec), with growth being driven out of the total brand, especially the singles range. To drive continued strong growth in 2015, Ezipop launched a Kettle Corn variant
N E W NEW MARMITE
MARMITE MULTIPACK
to their singles range in September. This flavour is a mixture of ‘slightly sweet and salty’. With a focus on innovation, consumers are becoming intrigued with what new flavours are on the market. The new Ezipop Kettle Corn definitely stands out on shelf, with its bright green and purple packaging. n
No artifi cial f l avours or preservatives.
BAG E L B I T ES
ABE’S MARMITE MULTIPACK BAGEL BITES 120g are available at all leading supermarkets.
Want to know more about ABE’S MARMITE MULTIPACK BAGEL BITES? Visit www.abesbagels.co.nz or contact Sam Stone (09) 527 3736 | sam@abesbagels.co.nz
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50% less fat than standard potato chips. t 8 mini packs - grea s snack for lunchboxe and handbags.
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snacks&confectionery A COUNTRY OF CHOCOLATE FANS
LOVE AFFAIR New Zealanders have a love affair with chocolate biscuits, with supermarkets alone selling 34.6 million packs every year, worth over $85 million. In New Zealand, Griffins chocolate biscuits, including iconic brands such as Toffee Pops, Mallowpuffs and Squiggles, are clear market leaders (56.4 percent dollar share for the 12 months to 17th April 2016*) and have seen substantial growth in the last 12 months ($2.7 million for the 12 months to 17th April 2016*). The company has started the year with some new news, Goody Goody Gum Drop Squiggles and Choc Bar Mallowpuffs. “Having Tip Top over to play has been great for New Zealand consumers who love both our iconic brands, and we are really excited to have sold $2.2
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million worth in just two weeks. By the time this article will be published, we expect we will have sold out in most stores,” Hannah McKee, marketing manager, Griffins, told SupermarketNews. For the near future, as a proud NZ chocolate maker, Griffins has recently upgraded the chocolate refinery in its Papakura biscuit bakery, to ensure it continues to smother Griffins’ bikkies with the finest chocolate. “Our five-roll refined chocolate is now even finer than before, hence means our chocolate bikkies are made with our finest chocolate ever. Importantly, we want our fans to know all about this great news, so we have a major marketing campaign from mid-May,” said McKee. n *Total Supermarkets IRI Market Edge
If there was any doubt that Kiwis love indulging in chocolate, a recent survey from consumer satisfaction company Canstar Blue should make it clear. Almost half of New Zealanders are most likely to choose chocolate as their naughty treat, especially those living in the Waikato (59 percent). Twenty-three percent of Kiwis treat themselves at least three times a week, and while women usually pick up a block (34 percent), and sometimes feel guilty (22 percent), men tend to grab some ice cream from the freezer (37 percent). Needless to say, just 15 percent of men feel ashamed when they give into their sweet cravings. New Zealanders are also eager to try new flavours; 36 percent of Kiwis enjoy trying all of them, especially the so-called ‘Generation Y’ or ‘millennials’ (44 percent). According to the survey, only 2 percent of New Zealanders only buy fair trade or organic chocolate, whereas more than a third choose dark chocolate because, as studies have shown, they believe it can improve health and reduce the risk of heart diseases. n
4/05/16 9:28 AM
LOCAL INGREDIENTS DRIVE GROWTH
Whittaker’s products include 250g blocks, 100g premium blocks, Singles and Mini Slab Share Packs, and this year in April the brand brought back its very popular Jelly Tip Block, in response to unprecedented demand from chocolate lovers. The feedback was overwhelmingly positive in July last year, when Jelly Tip Block was released as a one-off limited edition block, with the product selling out within 10 days of the launch. Since then, Whittaker’s chocolate lovers have kept asking the company for more of it, convincing them to bring it back one last time. This May, Whittaker’s is adding to its New Zealand Artisan Collection 100g range with four delightful new treats. This range combines the finest cocoa with the most delicious ingredients sourced directly from NZ’s finest, and equally passionate, artisan producers. The new
flavours include Westcoast Buttermilk Caramelised White Chocolate, Hawke’s Bay Black Doris Plum and Roasted Almonds in dark chocolate, Fijian Ginger and Kerikeri Mandarin in dark chocolate and Wellington Roasted Supreme Coffee in dark chocolate. More exciting new products are set to come later this year, as the brand is constantly developing new chocolate flavours for their loyal customers. Overall, the block market is in growth (15 percent MAT and 12.1 percent for the QTR, 27/03/2016, Aztec), and Whittaker’s is market leader in the moulded block chocolate market with a 42.4 percent share (MAT to 27/04/2016, Aztec). Their 250g Fairtrade Creamy Milk block is the top seller in this market and their 250g Fairtrade Dark Ghana block is the top selling dark chocolate. Innovation remains key to growth. As for the latest trends, consumers are increasingly asking for local ingredients and provenance, as well as more premium offerings. Whittaker’s New Zealand Artisan Collection celebrates this trend and have excited consumers due to the uniqueness of ingredients being used. n
CONSUMERS RELIVE THEIR YOUTH Wilson Consumer Products represents the Guylian, Hershey, Jelly Belly, Ultimate English, Hawaiian Host Macadamia range, Lir Baileys and Guinness chocolates. Last year, the company has successfully introduced the Ultimate English traditional Fudge range, which is hand-made in Harrogate in the North of England. The nostalgic flavours and packaging have resonated with the New Zealand consumers, as they indulge during the seasonal period. Last Christmas, Wilson has also released the Hawaiian Host, Macadamia nut range into New Zealand. Hawaiian Host is the world’s leader in chocolate macadamia nut products and, to further expand its business, has recently purchased the Mauna Loa brand from Hershey’s. “Over the past few months, we have also completed the successful launch of the Reese’s Miniatures in grocery, which has seen consumers trial the new flavour without cannibalising the existing Hershey range,” said David Cunningham, brand manager, Wilson Consumer Products. “These have had a great launch, as consumers seem to be growing to the peanut butter cup taste. “Moreover, following the success of the Hershey Hugs for Valentine’s day, Wilson is in the process of releasing a new Hershey Candy cane kisses pack for the Christmas seasonal period. As for the Jelly Belly Beanboozled pack, the concept of good and bad flavours has caught the imagination of the world, driving unprecedented growth of the Beanboozled challenge on the internet, with over 1.2 million videos uploaded onto Youtube by consumers playing the challenge. “We are also seeing consumers looking to relive their youth as they look for nostalgic brands and packaging. For example, the Ultimate English range of coconut ice and fudges has revived consumers’ memories of their childhood, and they enjoyed both the hand-made look and taste of these products,” said Cunningham. “Consumers appear to be prepared to pay the premium for traditional, quality products as they look to treat themselves in those indulgent moments.” n THE GRANDEST CONFECTIONERY IN THE WORLD
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snacks&confectionery EXCITING TIMES AHEAD
A SERIES OF SUCCESSFUL LAUNCHES
The Mentos brand has experienced phenomenal growth of 42.7 percent versus total category growth of 1.7 percent (MAT to 28/02/16, Aztec) through successful launches, including expansion into new platforms with NOWmints, Share Bags, Incredible Chews, as well as driving flavour innovation with limited-edition Raspberry and Caramel Mentos Rolls. To continue strong growth into 2016, Mentos has recently launched its newest innovation of Mentos roll limited-edition flavour Pink Lemonade, helping to drive stick pack/roll category sales. The Chupa Chups brand has grown at 6.7 percent and continues to be the lollipop of choice at 60.3 percent share of total lollipops (MAT to 28/02/16,
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Aztec). Recent launches include three new Chupa Chups flavours Raspberry, Grape and Lemonade, and also popular Chupa + Surprise Minnie Mouse and Star Wars products. Chupa Chups Megatins and new point-of-sale solutions help keep the brand prominent and easy to find for consumers. Innovation provides new news to the category and drives interest, increasing trial. “This is the perfect opportunity to maximise sales by having disruptive, eye-catching displays in stores so consumers are made aware of what’s new, whilst also providing a focus on the regular product offering,” said Steven Young, senior business manager, DKSH New Zealand Limited. Availability is key for these types of impulse purchases when in need of a sweet treat and flavour hit. Look out for other new and exciting Mentos and Chupa Chups innovations throughout the year. n
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Donovans is a New Zealand premium sweet treats brand, offering a range of quality products that are unique to the category, including the Indulgence 180g box range featuring the ever popular Dark Chocolate Ginger and Milk Chocolate Turkish Delight, Chocolate Clusters 150g pouch range, decadent Fudges in a 200g pouch and their premium Chocolate Block 100g range, featuring New Zealand-inspired flavours. At Christmas, the company launched a limitededition seasonal range in a beautiful Pohutukawa-themed box, which was very well received by consumers. “There are exciting times ahead for the Donovans brand in 2016, as we expand our sweet treats range beyond chocolate and fudge into the family bag– jellies confectionery segment in June,” said Julia Toomey, Donovans brand manager, Prolife Foods. “This transition is a natural step for the brand and one that consumers will follow and understand due to the
success of our chocolate range.” The confectionery category continues to enjoy strong growth at 6.8 percent vs YA*, and Christmas remains one of the most popular selling periods of the year, representing the main focus for Donovans’ limited edition seasonal range. Overall, Donovans’ products are perfect for sharing and are positioned in gifting, blocks and family bags. The category keeps seeing a consumer trend towards dark chocolate, with a lot of NPD coming through using a higher cocoa content. “Cocoa content is increasingly more prominent on pack as it is becoming an important part of the purchase decision for consumers,” said Toomey. “Premium continues to feature, with many larger brands creating products to position in this space, while larger overseas brands are launching premium products into the New Zealand market.” n *IRI-Aztec MarketEdge TKA Grocery Confectionery - Dollars Growth % MAT 3/1/2016
SOMETHING DIFFERENT FOR EVERYBODY Outstripping confectionery category growth rate of 1.7 percent, the Werther’s Original brand is growing at 9.2 percent. The core Werther’s products continue to grow at a strong rate, with the Classic Candies family bag growing at 13.8 percent and the stickpack growing at 47.2 percent (MAT to 28/02/16, Aztec). Werther’s have a diverse range that offers something for everybody, with Classic Cream, Éclair, Caramel Crème, Soft Chocolate Caramel, Caramel Chews as well as No Sugar Added (previously known as Sugar Free), which caters for people looking to reduce the amount of sugar in their diet. Werther’s continue to support their brand with an exciting media schedule that commenced in April and runs through until September. Fresh, eye-catching Werther’s packaging designs will be appearing in stores this year. n
THE BEST OF THE CROP
Deriving its brand name from the peanut capital of Australia, representing that the range is the best of the crop, the Kingaroy Gold line-up consists of five delicious flavours; Chilli & Lime, Mexican Salsa, Honey Roasted, Sea Salt & Pepper, and Classic Salted. Kingaroy Gold peanuts are high-oleic, meaning they are much lower in saturated fats and cholesterol, and much higher in unsaturated fats than standard peanuts. Because of the oil profile, they also stay fresher for longer. “With the increase in health-conscious consumers, Kingaroy Gold peanuts offer a hearty snack that is better for you,” said Alana Parry, senior business manager, DKSH New Zealand Limited. “A number of high-quality, premium peanut butters in the New Zealand market use Kingaroy’s peanuts as a key ingredient.” n
Bombs And Blitz
Simply Squeezed smoothies are experiencing double-digit growth and, as chilled juice market leaders, the brand is continuing to innovate and provide new flavour options for consumers. Their latest additions to the range are Blueberry Bomb and Banana Blitz, available in both 800ml and 350ml sizes. Blueberry Bomb sees apple and banana detonated with blueberry, blackberry and blackcurrant. Banana Blitz sees bananas blitzed with apple, pineapple, lime and coconut cream. These new variants are set to be a favourite with New Zealanders.
Japanese Tradition Not all Panko breadcrumbs are made the traditional way. Some contain pieces of crust or have a very small round crumb, but not Obento Panko Bread Crumbs. Tradition is important to this brand and that is why it received a gold medal in the popular Black Box sampling campaign, with over 90 percent of consumers stating they would not only continue to use Obento Panko, but recommend the brand to their friends. Panko Bread crumbs used to be a gourmet Japanese ingredient for traditional dishes, but they have now become an everyday pantry item, appreciated for their mild flavour and health benefits, such as lower oil absorption than standard crumbs. Meeting the demand for Panko, the company has released an economy size 1kg bag, with high-quality graphics for not only supermarket shelves but to sit alongside the Fish bar.
Vegetarian Icon A trusty Kiwi favourite, kumara is almost regarded as a national icon, that is why Bean Supreme has chosen it for its brand-new vegetarian burger. The Kumara Burger is the second product launched under the company’s new wholefood café range, after the Black Bean Beetroot Burger. A perfect healthy option with an impressive 4.5 health star rating, this burger is packed full of whole food ingredients, including ancient grains, kale, coconut, black eyed beans and, of course, kumara. Without added soy, it is the ultimate substitute to takeaways and a suitable addition to mid-week meals or barbecue.
The Proper Parsnip
Proper Crisps have been busy creating a new crisp sensation, the Proper Parsnip Crisps. An extension to their awardwinning range, each batch is crafted from 100 percent NZ-grown parsnips and hand-cooked in high-oleic sunflower oil, with a sprinkle of Marlborough sea salt and a dash of Nelson sunshine. Keeping true to the company’s core values, these moreish crisps are vegan-friendly and completely natural, gluten and dairyfree, GMO-free, with no added sugar. Available at a recommended retail price of $3.99.
Familiar Taste In Premium Sodas
New to the Six Barrel Soda Co. family of premium soda syrups is Cola Six. Taking inspiration from the classic colas we grew up with, but in a contemporary and natural way, Cola Six is citrusy, floral and, most importantly, delicious. It’s that familiar taste that
everybody knows and loves, but better. It is perfect for using with sodastream or any sparkling water. Cola Six is available now alongside their range of eleven flavours of 500mL soda syrups and six flavours of premium 275mL bottle sodas.
Gourmet Flavours From Dad
With family in mind, Dad’s Pies are introducing their new 900g Family Pie range. “True to our Dad’s Pies culture, we want our Family Pies to be a part of spending quality time with your family and friends - pack a few on the boat, take them to the bach or pop one in the oven for a convenient Sunday lunch,” said Eddie Grooten, managing director, Dad’s Pies. Selling at a recommended retail price of $15.99, the range comes in seven gourmet flavours; Butter Chicken, Prime Beef & Cheddar Cheese, Prime Beef & Caramelised Onion, Prime Beef & Cracked Pepper, Thai Chicken, Smoked Fish, and Apple & Cinnamon. For more information, contact 09 421 9027.
EnergyBoosting
The Vital Bowl brings breakfast back to the basics by using nutritious, wholefood ingredients. The Auckland-based brand has now expanded its offering with the addition of Chia Cups, delicious energy-boosting meals made with a uniquely crafted blend of premium ingredients. Every tiny chia seed, in fact, contains plenty of antioxidants, omega 3, dietary fibre and protein, providing a slow release of energy to sustain the body throughout the day. Needless to say, this product is vegan-friendly and free of dairy, gluten, preservatives and added sugar.
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storecheck STORECHECK is designed to rate each store to a set of criteria and is not a comparison of one store to another but a rating system on how well each store performed against the areas listed. A score of 5 means that the store has met all shopper expectations, grading down to 1 where little or no expectations have been met. Stores are checked by the same mystery shopper who is independent of SupermarketNews magazine.
P’nS ALDERMAN DRIVE - C Thursday 14th April, 2:50pm
First up for this month’s review was Pak’nSave on Alderman Drive in Henderson. Car parking was easy, but I did notice that there were nowhere near enough trolley bays. The entrance to the store was run down, dull and cramped. The entrance lead straight into a small bakery that had a decent range of cakes but not a lot of bread. The deli was well stocked and fresh and had a great range of salads - in particular the fresh fruit salad. There was plenty of meat but not a great variety to choose from. Fridges and freezers were tired and old throughout the store. Lights were out in the standup freezers, which made the product seem unappealing. The floor was old and scuffed and the layout of the store seemed a bit odd. Aisles were wide but excess stock was left scattered all over the ground. Shelves were tidy but had a lot of empty spaces – whole shelves were left bare in places. I did notice that some products were slightly damaged as well. The produce was all the way at the back of the store. It was well stocked and all appeared fresh though. The range of magazines and cards was extremely limited. I headed to the checkouts, which were old and run down. I didn’t have to wait long to be served where the staff members were efficient.
CD WEST CITY - B Thursday 14th April, 3:20pm
Next I headed to Countdown in the West City mall. The best parking for Countdown was on the second level where I found a park quickly. Once again, there was a lack of trolley bays though. The entrance into the supermarket was large and tidy. The trolleys were neatly stacked and plenty of baskets were available. The produce area was very large and spacious but unfortunately stock was running a bit low in places. The deli was average with a limited selection of salads and the attendant was busy talking to a friend while customers waited to be served. The bakery had a great range and all appeared fresh. The aisles were very wide and spacious and shelves were neatly stacked. The large health and beauty aisles were impressive and had a great range. Fridges and freezers were older but clean, especially the standup freezers which presented product nicely. The range of meat was great but was messily displayed. At the checkouts I didn’t have to wait long at all and was served by a friendly operator. An improvement to the lighting could make this store slightly better, it felt quite dull inside. This store overall was very spacious and made for a pleasant shop.
NW DEVONPORT - B Monday 18th April, 2.00pm
New World in Devonport was up next where parking was easy enough. However, the rubbish dumpsters in the carpark were messy and a bit of an eyesore. The outside of the building appeared a bit older but the signage was up to date. The entrance and trolley bay into the store was dull but once inside it was well lit. The produce section was fantastic. It had a great range of fruit and veges, all different types available. It was also well stocked and fresh. The meat fridges were older but relatively clean and had a decent range of product. The aisles were on the
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STORE EXTERIOR
P’nS CD NW CD Alderman Dr West City Devonport Newmarket
• Was the outside of the building and grounds clean, tidy free of rubbish and with adequate trolley bays? (5 pts.)
3
4
3
3
• Were the windows and exterior clean and tidy? (5 pts.)
4
4
3
5
• Was the signage well presented and up to date? (5 pts.)
4
5
4
5
• Were there enough car parks? (5 pts.)
3
4
4
3
STORE INTERIOR
P’nS CD NW CD Alderman Dr West City Devonport Newmarket
• Were your first impressions positive? (5 pts.)
2
4
4
4
• Was the floor clean and free of broken/damaged stock? (5 pts.)
3
5
3
3
• Adequately lighting/heating? (5 pts.)
4
3
5
4
• Instore signage clear adequate? (5 pts.)
3
5
4
5
• Was there good visibility of promo/ seasonal products? (5 pts.)
3
4
4
5
• Was there end of aisle promotions? (5 pts.)
3
4
3
4
• Were the fridges and freezers clean and tidy? (5 pts.)
2
4
4
2
STORE LAYOUT
P’nS CD NW CD Alderman Dr West City Devonport Newmarket
• Were the aisles wide enough? (5 pts.)
4
5
3
4
• Were all shelf edge labels clearly visible? (5 pts.)
4
4
5
5
• Were all shelves clean, neat and tidy? (5 pts.)
4
4
5
4
• Was there an adequate number of trolleys/baskets available? (5 pts.)
5
5
5
3
PRODUCTS
P’nS CD NW CD Alderman Dr West City Devonport Newmarket
• Was there a good range of products to choose from? (5 pts.)
3
5
5
5
• Was there full availability of products? (5 pts.)
3
4
4
5
• Was all product packaging in good condition? (5 pts.)
2
5
5
5
• Was there a good range of magazines and cards etc and were they tidy? (5 pts.)
1
3
5
4
• Were the batteries and general merchandise tidy? (5 pts.)
3
4
4
4
STAFF
P’nS CD NW CD Alderman Dr West City Devonport Newmarket
• Were all staff fully dressed in uniforms and name badges? (5 pts.)
4 5 5 5
• Were there adequate checkouts, considering the time of day? (5 pts.)
5
5
4
1
• Were you greeted in a friendly manner? (5 pts.)
3
4
3
3
• Were you served in a speedy and efficient manner? (5 pts.)
5 5 5 4
• Were you thanked for your transaction? (5 pts.)
3 4 4 3
smaller side and staff working down them didn’t seem to get out of the way, you had to maneuver around them to get what you wanted from the shelves. The lighting was continually good throughout the store, even the magazines and cards had great lighting. I also thought the lighting in the fridges was great, it made the product stand out. The seafood counter was unattended and was running low on stock. The Bakery was average and I felt as if it could have been displayed slightly better. It seemed unappealing and dull and running low on stock. I didn’t have to wait long at the checkouts and was served by efficient staff members who also took the time to give the checkout a quick clean.
FRESH FOOD
P’nS CD NW CD Alderman Dr West City Devonport Newmarket
• Did the produce look fresh? PRODUCE (5 pts.)
4 4 5 5
FISH (5 pts.)
4 4 4 4
MEAT (5 pts.)
3
3
4
2
CD NEWMARKET - B
DELI (5 pts.)
5
3
4
3
BAKERY (5 pts.)
3
4
3
5
Lastly I headed to Countdown in Newmarket. It was a bit of a struggle to get into the carpark as there was quite a queue but once in I found a park relatively quickly. Heading into the store I noticed that the trolleys were running low. This store had entrances at both ends, which could be quite useful for a quick shop. Inside the store, lighting was dull. The produce area was large and had a decent range. The meat fridges were old and the lighting in them was poor, which made the meat seem unappealing. Aisles weren’t overly wide but the floor was clear and made for easy access. Shelves were neatly stacked and full of product. There was a great range of products in this store. Both the seafood and deli counters were unattended. The meats in the deli were overloaded and messy and the salads were bland. Fridges and freezers throughout the store were old and broken in places. The bakery was large and had a great range on offer. Checkouts were extremely busy and I had to wait for a long time to be served. There were nowhere near enough checkouts open, even the self-service queue was huge. The checkout operator serving me left half way through to attend to a customer at the service desk. The checkouts seemed a little understaffed.
• Was there a full range of produce?
Monday 18th April, 3.00pm
PRODUCE (5 pts.)
5 3 5 5
FISH (5 pts.)
5 4 3 5
MEAT (5 pts.)
3
4
4
4
DELI (5 pts.)
5
4
5
3
BAKERY (5 pts.)
4 3 3 5
• Was the Fish Counter staffed? (5 pts.) 5
5
1
1
• Was the Deli Counter staffed? (5 pts.) 5
3
5
2
• Was there anything or anyone who stood out? (5 pts.)
2 3 3 3
• Overall shopper experience (5 pts.) 2 3 3
HOW THEY SCORE?
3
P’nS CD NW CD Alderman Dr West City Devonport Newmarket
Maximum available score: 195 pts 138: C 158: B 155: B 148: B TOP SCORE
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Rise Of Organic Wineries Waipara Valley-based Bellbird Spring is just the latest in a growing number of New Zealand vineyards turning to organic production, having been certified as organic by BioGro. Organic wine growers currently account for nearly 10 percent of all wine production and there is an increasing interest in conversion; as of 2015, 165 vineyards and 69 wineries were certified organic, compared to only six in 1999. n
Well-Deserved Membership
British wine writer and TV personality Robin “Oz” Clarke is the second non-Kiwi to be inducted into the New Zealand Wine Hall of Fame, for his contribution in putting our wine on the map. Clarke has been presented with his certificate of membership at New Zealand House in London. According to Bob Campbell, chairman of the New Zealand Wine Hall of Fame Trust, Kiwi winemakers owe him a lot. “In 1984, he was among the first to recognise that Marlborough Sauvignon Blanc had added a new style and flavour to the world of wine, and he never stopped saying it to anyone who would listen.” n
Dawn Ibbotson
In Dawn’s Honour
The newly-released Saint Clair Dawn 2012 is the brand’s first-ever méthode traditionelle style wine, made from premium Pinot Noir and Chardonnay grapes using the traditional method of production, disgorged with 35 months ageing on lees. The winery estate has been owned by Neal and Judy Ibbotson since 1978, and this wine was named after Neal Ibbotson’s mother Dawn, who turned 100 in 2014, as a celebration of her positivity, generosity and uncompromising values. Today, the matriarch of Saint Clair continues to live on her own in Dunedin, and still enjoys drinking wine and celebrating life at weekly gatherings with friends and neighbours. n
Hot Competition
Craft brewer Moa has overtaken Asahi-owned Boundary Rd as NZ’s third biggest seller of craft beer, behind Lion-produced Macs and DB-produced Monteith’s. Product development continues to be a key focus for the company, which has seen its sales increase by 43 percent to 2.5 million litres. n
Matt Wilson
Corporate Relations Manager DB Breweries Ltd
Low and no alcohol beer sales have risen steadily over the past few years, partly buoyed by the lowered drink drive limit. However New Zealand still languishes behind Australia when it comes to beer under 3% abv. Recent research conducted by Horizons dug into what is holding the segment back and the perceived benefits if it were to grow. Not surprisingly, one of the key reasons respondents gave for drinking low alcohol beers was to still be able to drive under the lower drink-drive limit. Whilst the initial category growth in low alcohol beer sales came from innovation (DB’s Export Citrus product), the lowered drink drive limit gave the segment another clear push. This was seen even more so in pubs and restaurants as publicans cried out for
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Seven Marlborough vineyards have lost around $1.6 million in revenue due to being sprayed with Perk Supa, a phosphorus and potassium-based fertiliser that leaves a chemical residue, making the wine produced unfit for export. Growers will try to get the cost back from the contractor, who sprayed the fertiliser in March. n
‘More Like Coke’
Coca-Cola is investing £10 million in the UK to reformulate and rename its sugar-free Coca-Cola Zero as ‘CocaCola Zero Sugar’. The release, scheduled for June, will be the company’s biggest launch in Great Britain for a decade. The recipe has been refined to match the taste of regular Coke. n
LOW ALCOHOL BEER HAS LEGS more low alcohol products to offer their drinkers. The subsequent release and success of Heineken Light – Heineken beer brewed to 2.5% abv, indicates the category still has plenty of room to grow. In a very short space in time, Heineken Light has moved to be the market leader in the category, demonstrating new entrants can still have a big impact. The second ranking reason respondents gave for choosing low alcohol beer was to avoid getting drunk or consuming too much alcohol. Advice from ESR shows that an average sized male would likely need to drink between 6 to 9 bottles of 2.5% abv beer within two hours in order to reach the new drink-drive limit. This research is also consistent with research HEINEKEN released earlier this year specifically targeted at millennials. That research showed that avoiding an appearance of being drunk or out of control was a key factor for millennials wanting to moderate their alcohol intake. This was at least partly due to the role of social media and the ability for
Expensive Mistake
imagery and videos to spread fast and last a lifetime online. In terms of barriers to purchase for low and no alcohol beer, taste, cost and limited range were reported as being the biggest barriers. Nearly 40% of respondents said they would drink more low alcohol beers if there were more options available, including different styles and flavours. This again points to greater potential for further category development as consumers look for more options to fulfil a need-state. A whopping 58% said that they would drink more low-alcohol beer if it was cheaper than full-strength beer. Almost the same amount of respondents believed lowering excise tax on low-alcohol beer would encourage more consumption of low alcohol beer and that that would have significant public health benefits including reduced public disorder and lower rates of drink-driving. New Zealanders’ attitude towards low and no alcohol beer appears to be shifting. Even alcohol-free beer has risen in popularity (and sales) with the recent Bill
clarifying the ability for supermarkets to range alcohol-free beers in the alcohol aisle attracting cross-party support. The Bill had its first reading on 15 March 2016 and will hopefully have a swift passage through Parliament. Another reason for the support of low and no alcohol beers may be the current crusade against sugar. Most lagers (as well as some other beer styles) have very little residual sugar as what sugar is in the product ferments into alcohol. Whilst this doesn’t always translate into as low sugar levels in low and no alcohol beers, they are generally much lower in sugar than soft drink equivalents. Arguably the demonization of sugar is driving consumers to explore other categories that can quench their thirst but without the same sugar content. Beer seems to have a role to play here. There are myriad reasons for consumers wanting more low and no alcohol beers but the demand is clear. It’s up to producers to bring the innovation; retailers to back the category; and regulators to ensure the regulatory environment encourages the development of something that is almost universally accepted as being a good thing. n
GIESEN
Sometimes hard work and true passion can get you far, in every respect. A holiday trip to New Zealand in 1979 sent German brothers Alex and Theo Giesen along an unexpected path of life when, taken by the natural beauty of the South Island, they stepped in a local bottle shop to buy some wine. “It was really the catalyst,” said Roscoe Johanson, brand and hospitality manager, Giesen Wines. “In those days NZ’s choice of wines was very limited and there was nothing available that they were used to in Germany.” Soon after that fortunate day they bought some land in Burnham, on the outskirts of Christchurch, and were joined by their younger brother Marcel, who meanwhile had begun studying the art of winemaking. The family was reunited again. In 1984, when their first vintage was finally released, Giesen’s was the southernmost vineyard in the world; thirty years later, the company proudly remains family-owned, exports to more than 30 countries, accounts for thirteen wineries in the Wairau Valley, has over 100 staff in New Zealand, Australia and the US, and is internationally recognised as one of the eminent producers from NZ. Catering for both retail and food service, Giesen’s wide portfolio of wines would suit pretty much all tastes and budgets, as shown by its large customer base. “We have always produced wines that are generous and over deliver on quality. Giesen’s first vintage included a Marlborough Sauvignon Blanc, drawn by the unique weather and soils which produced stunning wines. Sauvignon Blanc is a varietal that is close to our hearts,” said Johanson. Styles include sparkling, low-alcohol, organic and a late harvest Sauvignon Blanc. As for their wider range, it features Merlot, Gewürztraminer, Riesling, Pinot Gris, Pinot Noir, Syrah, Chardonnay and Single Vineyard wines.
Aficionados of some of the largest international wine trade events, such as Prowein in Germany, they feel that staying attuned to customers’ needs and markets is a prominent part of their business model. “Theo, Alex and Marcel’s father once said, ‘He or she that walks gets the order’ – It serves as the backbone to our sales strategy. At the production stage, we look to craft wines that are generous and approachable. Wine is a journey for many people and our portfolio reflects this,” said Johanson. “We enjoy seeing and tasting our finished wines once they are blended and ready to bottle. Every year they are subtly different, after navigating through the sometimes challenging bud burst and flowering stages, then hoping all the bunches of grapes ripen. It’s exciting to see what the end result is.” Like all farmers, winemakers rely on mother nature and unpredictable elements always come into play. Each vintage is a stand-alone story. According to Johanson, the 1995 season was a very difficult one in Marlborough, with a fair amount of rain falling during the critical late stages of summer. On the other hand, amongst a number of great seasons, the 2012 vintage really stood out, earning Giesen 15 best in class and trophy awards across their portfolio of wines. Back to present, 2016 is set to be another big year for the brand, which is looking to continue developing its portfolio and consumer franchise across domestic and global export markets, whilst signing sponsorship contracts with food, wine and lifestyle events across Australasia. Of all 30 export markets, Australia remains Giesen’s largest one, but the UK market is making a renaissance and continues to be the ‘shop front’ for Europe. Moreover, the company is now investing heavily into the US market, where Marlborough Sauvignon Blanc trend is building. With climate change becoming an increasing hurdle, Giesen Wines’ long-time focus on sustainability is stronger than ever. “We see ourselves as guardians of the land and the environment we do business in. For us, sustainability is a continually evolving process of monitoring and minimising our environmental impact.” To rely less on irrigation, the company is investigating in recycling and actively training its vines to develop stronger root structures that dig deeper into the ground to source water. One of their vineyards is even ‘dry farmed’, meaning it doesn’t use any irrigation at all. In addition, Giesen is accredited with Sustainable Winegrowing New Zealand and BioGro, and has committed to organics since 2009. “It is not simply our aim to meet these standards, but to exceed them, with an eye to the future of our children and grandchildren,” said Johanson,
adding that the wine industry is complex and highly competitive, but is also a great one to be involved in. His piece of advice to those who are starting out is to gain a broad understanding of the entire process, from growing the grapes to selling the wine. And, of course, be prepared to the lack of sleep over vintage. “When you’re not actually in the vineyard or winery working, you’re more than likely lying in bed pondering the weather forecast and all the things you need to do.” To top it all, the Giesens are now resurrecting an ancient family tradition – crafting their own beer. “In their native Germany, their grandmother was a Kaiser and her family had been brewing for around 140 years prior to being bought out.” Heirs to such a remarkable legacy, the winemaking brothers are in the last stages of building and commissioning a flagship brewery. n
PRIZE HIGHLIGHTS
• Recently launched Single Vineyard collection: 98/100 rating by Gourmet Traveller (Australia) • Clayvin Chardonnay 2013 evaluated 95+ points by Robert Parker (US), the third highest score for a NZ Chardonnay • Clayving Syrah 2012: Decanter Wine Awards Trophy • Ridge Block 2012 and Waihopai 2012 Pinot Noir: 98 points; Clayvin Pinot Noir 2012: 97 points by Gourmet Traveller (Australia) • Over the last three years, Giesen’s Riesling took home 10 gold medals and seven best of class / trophy awards. n
WINE SHOWREEL
ESTATE RANGE: “It is honest, and gives a drinker a really good example of a particular varietal.” BROTHERS RANGE: “It shows off the particular vintage using some of the best parcels of fruit coming into the winery each year.” AUGUST BARREL FERMENTED WINE: “It is typically a blend of two or three sites that receive focused vineyard management to ensure only the finest fruit with concentrated flavours.” SINGLE VINEYARD COLLECTION: “It offers the connoisseur wines that speak for the land, highlighting Marlborough’s unique sub-regions.” n
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THE DIFFERENCE BETWEEN THE GOOD AND THE BEST
SPANNING THE CITRUS RANGE
Marmalada was founded by Sally Duckworth and Alisdair Ross 18 months ago. Duckworth owns a research firm in Wellington, and researches and creates the marmalade recipes with the help of a marmalade tasting panel. Ross is a barrister and divides his time between the courtroom and marmalade production and sales. Marmalada uses the open pan method of preserving fresh and hand cut fruit chips. All marmalades have a high proportion of fruit and low sugar content, compared with commercial marmalades. Seven marmalades are made, which span the citrus range and are paired with quality and interesting additions, including thread coconut, dark chocolate and vanilla. The Tangelo and Star Anise Marmalade was used by My Food Bag at Christmas to glaze ham, and the Kumquat and Vanilla Marmalade has found its way into a signature cocktail in the capital. Duckworth and Ross are keen for people to experiment with their marmalades, rather than only spreading them on toast. For three years in a row, Marmalada has won Gold Roundels in the artisan category of the esteemed Dalemain World Marmalade Awards in the United Kingdom, judged by a panel of prestigious food industry experts. The 2016 awards attracted just under 3,000 entries from across the globe.
In March, Marmalada won Gold Roundels for their Mandarin, Kirsch, and Vanilla Marmalade and Lemon and Vodka Marmalade. Made at the historic Langdale Homestead, 40 kilometres from Masterton, the property has a fantastic microclimate for citrus, and Ross has planted over 300 Seville orange, tangelo, kumquat, lime and lemon trees. Plans now are to build Marmalada’s distribution network in New Zealand, explore exporting to Australia and further afield, and continue to design more flavours and world award winning marmalades. To date, Marmalada has received expressions of interest to export their marmalades to Australia, Asia and the UK. Marmalada is available online, as well as Moore Wilson, Nosh and Farro Fresh, and other speciality stores and farmers markets. For more information contact Sally Duckworth on 021 473 885 or email sally@marmalada.co.nz.
ALWAYS ORGANIC LINES FROM WERE BROS
CAN DO ATTITUDE Based in Wanaka, The Chocolate Workshop is a small artisan chocolatier producing quality chocolates in the time-honoured European tradition. The chocolatier creates handmade truffles, caramels, marzipan and specialty confection from the finest ingredients available and uses Callebaut’s Finest Belgian Chocolate enriched with locallysourced, New Zealand ingredients. Fresh ingredients, selected at their prime, guarantee rich deep flavour in every bite, including South Island walnuts and hazelnuts, Central Otago Pinot Noir, Wanaka Beerworks Ales, local herbs, spices and fruits. All artificial flavouring, colouring and preservatives are avoided. With roots in Hungary and the former Yugoslavia and raised in Mannheim, Germany, owner Tanja Schwindt grew up with an appreciation for food from many cultures. She trained for three years at the Maritim Parkhotel in her hometown with master pastry chef Oliver Schaefer. Starting with truffles, plate decoration and petit fours, Schwindt fell in love with chocolate and has been hooked ever since. Schwindt moved to Wanaka in 2005 after 15 years in hospitality. Inspired by New Zealand’s can do attitude, she pursued her dream of specialising in chocolate, opening The Chocolate Workshop in 2012. Only the finest ingredients are used to create the most authentic artisanal products possible at The Chocolate Workshop, which is more difficult and laborious, requiring obsessive attention to detail. For more information phone 03 443 5038 or email indulge@ thechocolateworkshop.co.nz.
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Twins Carter and Harriet Were are behind Were Bros, a brand built on ideals of self sufficiency that date back to their great-great-great grandfather, Charles. He was a butcher who started Were Bros Christchurch in the mid-1880s as an all-natural soft drink label, producing the likes of homemade lemonade and ginger beer with the help of his 13 children.
Carter began making her own bread as a hobby while working at Bourke Street Bakery in Sydney before moving back to New Zealand. Now, 150 years after their grandfather started the brand, Were Bros is being reappropriated by the twins into sustainably-grown food. The Organic Sprouted Buckwheat Loaf is hand-made in small batches. The loaf is gluten-free, but is made in a kitchen where flour is also used. Ingredients include sprouted buckwheat, coconut oil, linseed and salt. Also available is Carter’s Organic Sprouted Bread and Organic Seeded Sourdough, available by the slice and loaf, as well as Toasted House Made Muesli, House Made Chilli Sauce, House Made Zucchini and Lemon Pickle, House Made Preserved Black Doris Plums, House Made Sauerkraut, House Made Pickled Beans, House Made Honey Spiced Apricots and Organic Mixed Sprouts. For more information contact carter@werebros.co.nz.
BOLD AND ATTRACTIVE BREADS Founded in 2011 by Jeff Kennedy and partner Bridget Dunn, Acme & Co is the brainchild of Kennedy, a NZ Specialty Coffee Association inaugural Lifetime Achievement Award recipient, founder of Caffe L’affare and Godfather of NZ Espresso. The first products sold under the Acme name were the Acme sausages, though the brand is probably most wellrecognised through the cups that are sold all over the world. Acme & Co now offers 2kg bags of Certified Organic Type 55 flour milled from selected organically grown high protein bread wheats. Suitable for a wide range of bold and attractive breads, particularly those produced by the fermented dough process, it
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is ideal as all-purpose flour and very suitable for pastry production. Acme & Co Bakery now uses this high protein, low ash flour in all its breads. Kennedy said customers love the new taste and crunch of Acme Baguettes, Acme Sour Dough Loaves and Acme Oli Rolls. In 2013 Kennedy and Dunn opened Prefab, the 180 seater flagship café for Acme at 14 Jessie Street, Te Aro, Wellington. Prefab is the test lab for all Acme products, from the coffee that Kennedy roasts every day to the jams and conserves the kitchen makes from seasonal produce. For more information phone 04 3852263 or email orders@acmeandco. co.nz.
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health wellbeing Little Well Beings
Blackmores continues to focus on helping mums grow their little well beings. With the number one pregnancy supplement in supermarkets (MAT data Aztec to 20/3/16), Blackmores has now launched a range of premium infant nutrition products. “We’ve developed three products formulated with the highest quality, premium ingredients and based on the combined expertise of Blackmores and Tatura,” said Blackmores CEO, Christine Holgate. “Together our companies have more than 180 years of combined experience in nutrition and dairy manufacture which is one of the key reasons our customers trust our quality and ingredients.” n
Natural Haircare
Essano, New Zealand’s number one natural skincare brand in grocery, has launched an innovative new haircare range. Professionally developed in Mix Limited’s certified organic laboratory, this plantbased range is focused on the latest salon ingredients, Argan Oil of Morocco, Coconut Milk and Keratin Complex. A lengthy research and development process, alongside extensive consumer research, has resulted in a range tailored to meet a variety of consumer hair needs. With the strongest product promise in mass retail channels, the formulations are derived from a minimum of 90 percent plant-based ingredients and 10 percent organic ingredients. New Zealanders can now purchase natural, salon quality, sulphate free and low foam formulations at their local supermarket. n
Magnificent Strength
They say strong is the new beautiful. Schwarzkopf says strong is better than beautiful. Schwarzkopf has introduced the new Extra Care Magnificent Strength range. Including a shampoo, conditioner and a first for Schwarzkopf, a self-warming serum, this is the ultimate range to create full strength and resistance for hair all day, every day. With powerful tri-protein infusion, it is the perfect combatant in the fight against lack lustre limp hair. Give locks instant strength, increased resistance and powerful opulence by pairing the shampoo and conditioner with the self-warming serum. The strength Self-Warming Serum is a breakthrough in haircare technology. This unique treatment provides up to 10 times stronger hair and elasticity, leaving hair full of vitality. Warming up with contact to water, the serum instantly penetrates and reinforces hair without overburdening. Give hair a true protein kick and all the power it needs with Schwarzkopf Extra Care Magnificent Strength. n
Keeping It Radiant As a result of its success over the years, the makers of BioOil recognised the benefit of using oil based products on our skin and so developed and launched Lipidol, a range of six skincare oils for everyday use. Our skins outermost layer contains oil which helps retain moisture in our skin, keeping it healthy and radiant. This oil is often stripped away by products we use or daily elements such as air conditioning or heating leaving our skin feeling dehydrated. The Lipidol range of oils are formulated specifically to help supplement this natural layer of oil. The range consists of two wash-off products that won’t strip that natural oily layer, plus four leave on products. There will be updates to the Lipidol range which include the introduction of cartons for each of the six bottles. The new packaging will be in stores from May onwards. In-store demonstrations will begin in selected New World and Pak’nSave stores to coincide with the packaging update. It’s not too late to request a demonstration so please contact your BDM Grange area manager for further details. As part of the extensive media support, there will also be a new TV campaign airing in August/September. n
NEW FOR LIPIDOL New packaging | New TV campaign August/September From the makers of Bio-Oil® | A range of six oils for daily skincare | $1.2m investment each year To find out more contact your BDM Grange representative 0800 804 711 | info@bdmgrange.co.nz
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Blackmoresnz.co.nz
Blackmores supports all well beings, building relationships with Mums right from conception. Blackmores has the number 1 pregnancy supplement in grocery* *National Grocery Aztec data to 20/3/16
No. 1 y nc e r P gnament le p Sup cery* in Gro
Antenatal, Pregnancy and Post Partum PreconceptionBirth-12 months
Postnatal Birth – 2 years
Children’s Health 2 years +
$1.2m ratecard marketing support spend across TV
Online
VideO
digiTal display
pR
seaRch
B l a c k m o re s n z . c o . n z / n u t r i t i o n This food is to be used as a supplement to a normal diet to address situations where intakes of energy and nutrients may not be adequate to meet an individual’s requirements.
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MARCO CLAASSEN
Dry Goods Manager, NW Victoria Park
Despite his young age, 26-year-old Marco Claassen has quickly worked his way up the career ladder within New World, to become dry goods manager of their Victoria Park store in 2014. Born in South Africa, Claassen spent most of his childhood in a small town on the coast of Cape Town, until his parents decided to give their lives a brand-new direction and, in 2001, moved the family to New Zealand. “They wanted better opportunities for us three kids,” he said. “I have two older brothers, one who resides in the UK and the other in the Royal New Zealand Navy.” The Classens settled on the Hibiscus Coast, at first in Red Beach and later in Orewa, which over the years has earned a special spot in Marco’s heart, and for the most valid reasons. “It is still one of my favourite places to visit, partly because it is so beautiful and partly because it is where I met my wife, Rebecca.” They now have one gorgeous daughter, Rachael, who made the date of their wedding truly impossible to forget. “We got married on Rebecca’s birthday in November 2013 and a year later on her birthday, and our anniversary, we welcomed our beautiful little girl into this world.” His career path through Foodstuffs has been no less impressive and started when he was only 15 years old, as a produce assistant in Orewa New World. Aged 17, he moved with his family closer to the city and found a job at Victoria Park New World, where he worked as a grocery assistant for three and a half years. Meanwhile, he attended Massey University in Albany and graduated with a BBS Major in Economics and a Minor in Management. But the job hunt didn’t go as planned and, after six months, a life-changing talk with Victoria Park’s owner Jason Witehira gave him an opportunity as an assistant inwards good manager in 2012, then inwards good manager in 2013, and finally dry goods manager at the end of 2014. In the same year, he started the Management Development programme, within which he won Best Student for year 2. “Winning this award was not just me, but the business I work deserves a lot of credit too, because the success of the projects we do during MD comes down to the support we receive from the owner and from the other managers.” As a dry goods manager, he oversees five department managers and six supervisors. “Motivation is key. For me, being a leader in my department is all about communication, setting clear expectations, regular catch up and providing feedback.
Ultimately, it is all about being one team, and I think a good manager should lead his team rather than managing it, and have the ability to problem-solve quickly as well as the passion to deal with customers.” He has found inspiration in his store’s owner, Jason Witehira. “He likes to share his knowledge and challenge his staff, and I appreciate the trust he has put in me to help me follow my dream.” Speaking of dreams, Claassen has at least three of those growing strong in his mind; having another child, building his own house, designed by his architect wife, and owning his own store. “I want to build up a small store into something great, and showcase what I have learned from my leaders to create a profitable business. It would be founded on good values; respect, culture and family.” n
INDUSTRY SAFETY ISSUES
Those in our industry know well the importance of being mindful of potential hazards in supermarkets and grocery stores, but here’s a number that may surprise you: 4,529. It’s the number of ACC claims made by grocery workers last year. Katherine Rich
Chief Executive NZ Food & Grocery Council
You will probably also be surprised to learn there were more injuries in those stores than there were in industries such as logging, electrical services, plumbing and carpentry. In fact, the supermarket and grocery store industry was the sixth worst for injury claims – just behind the dangerous-sounding fabricated metal product manufacturing industry. According to ACC, the most frequent claims were for cuts, infections, fractures and dislocations, strains, and burns, and were caused by lifting and carrying, falls, and falling objects. Little wonder then that improving health and safety outcomes is one of the targets of a group led by the Food & Grocery Council and comprising retailers and suppliers. The Health & Safety Group was started by Gerry Lynch, the General Manager of Mars NZ and a new
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FGC Vice-Chair, along with other FGC members, and comprises representatives from Progressive, Foodstuffs NI, Foodstuffs SI and The Warehouse. The new group wants to highlight health and safety issues right across the fast moving consumer goods industry and to look at ways of ensuring people are safer at work, and they are targeting CEOs, general managers and country heads of companies – the people who can change the culture of an organisation. But under the new health and safety laws that came into force at the beginning of April, everyone in an organisation has a part to play in the safety of their workplace and their workmates, so in reality the eventual target is everyone. They have just published their first newsletter, and it shows just how seriously companies are treating this issue. In it, Gerry Lynch says their success “depends ultimately on whether we get more of our people home every day safely, and at the moment we are injuring thousands of people every year, so are a long way from where we want to be”. He says company leaders are the OWNED
most influential people in each business who can make the biggest difference. He challenges them to explore their own safety leadership, to talk to their staff about safety and to make a commitment to a Zero Harm pledge. Some of the top people in health and safety – Francois Barton of the Business Leaders Forum, Gordon MacDonald of WorkSafe, and Scott Pickering of ACC – also discuss how vital leadership is in getting workplaces to develop a good health and safety culture. Then Steve Anderson, CEO of Foodstuffs South Island, and Chris Quin, Managing Director of Foodstuffs North Island, talk about their companies’ approaches and how they involve their staff. Steve Anderson stresses how the new law is more than “procedures and ticking the boxes”, and that two principles of it are leadership and worker participation, and the tie between them is worker engagement. He gives as an example an incident where a staff member was confident enough to notify his shift manager after noticing that a driver on a delivery to their distribution centre
. . . everyone in an organisation has a part to play in the safety of their workplace and their workmates, so in reality the eventual target is everyone. was not acting normally. The manager contacted the driver’s company and a possible accident on either the Foodstuffs site or the site of the delivery firm or somewhere in between was averted. “We were pleased our staff member was comfortable to report this behaviour and know the issue would be addressed,” says Steve. “Board and management can provide all the right safety equipment, staff representatives can sit on various committees, but unless the business engages staff, complacency will set in and accidents will happen.” The enduring message, of course, is that everyone in the workplace has a role in health and safety. n
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Contact Jo Williamson 021 2266469 or Bluerock 0800 258 376 May 2016
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After having spent pretty much his whole working life at Heinz Wattie’s, in 2015 Shane Webby decided the timing was perfect to give his career a new turn, and joined sales and merchandising firm Twin Agencies as their new general manager.
Shane Webby General Manager, Twin Agencies
lastword Peter Mitchell Publisher
It’s interesting to see new Nielsen international figures where consumers in 38 countries were asked where their last grocery shopping trip was. The huge majority answered they shopped at the same store that they always did, giving credence to the belief that shoppers were habit-driven rather than price or promotion-driven. In fact, New Zealand figured fourth on the list of countries with an 84 percent response on regular store choice. But we suppose the swinging vote of 16 percent is worth all the fuss and effort. With all the fuss over the Warriors and their topsy turvy league season, it brought to mind the heroes of the past and especially the flying grocer Des White. Among the most famous sporting icons of our industry, Des played 61 games for the Kiwis, including 21 tests and set untold kicking records. Following his playing career, he became Kiwi’s coach and a radio and television commentator on the sport. Those newspapers just never seem to give up on the topic of food and beverage criticisms and of the grocery industry in general. The weekly review of some obscure product most
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He now owns the majority of the company, with the rest, interestingly enough, being owned by key staff members. “Having a team that is so passionate about our brands is one of our secret weapons,” he said. Webby grew up on his family’s dairy farm in the Waikato but, as much as he enjoyed helping out, farming wasn’t his life’s calling. Encouraged by his parents, he left the small town of Matamata and enrolled in a four-year Bachelor of Management Studies degree at Waikato University, majoring in Economics and Marketing. Right after uni, while he was still figuring out what to do, a space management job at Progressive paved the way to a possible career path. “As much as many graduates do, I knew I wanted to work in marketing or management, and to be honest I didn’t really know FMCG sales existed,” he said. “My experience at Progressive helped me get an understanding of all the behindthe-scenes action going on between retailers and suppliers to actually get a product on shelf, and I really liked the impact I could have on supermarkets, which therefore influences what people buy.” One year later, Webby joined Heinz
Wattie’s and, over the 16 years that followed, has filled different sales roles within it. His career led him to key account manager positions, including six years as Progressive account lead, and time as head of International Business, before he moved on to his final role of head of sales, which he held for the following six years. In 2015, when Twin Agencies’ founder Wayne Sands offered him the chance to fulfill his lifelong dream of owning his own business, Webby seized it and bought the majority of the company. It proved to be a winning bet, as last year the SMA agency was recognised by Coalface Consulting as number one overall customer satisfaction, against pretty big fishes such as Heinz Wattie’s, Coke and Fonterra. “We’ve got a couple of unique things here. We do focus on NZ brands only and we don’t have a big book of brands, only eight. In addition, we really value our pool of merchandisers. On top of that, we have our ‘area managers’ who service the stores, and our key account teams, all capable, dedicated and passionate. It’s important for us and for our brands to make sure we’re delivering
to our customers’ needs, every day”. Although Twin Agencies is not actively looking for new brands to add, Webby likes to catch up with small, emerging business owners. “There are so many of them who are really trying hard. Having a little bit of insight, I can maybe help give them some assistance,” he said. “A bit of advice would be ‘think big’, think how you can scale it, and make sure you’re talking to your consumers, get to know your end user.” Recently, Webby has been elected to the FGC’s Board, and hopes to make a difference, raising the voice of smallmedium NZ businesses and SMAs in particular. As wise men say, though, man shall not live by work alone; Webby has four kids, three boys and a girl, who was named Sienna after the Italian Tuscan town he and his wife had fallen in love with. “My kids sort of grew with me through those Wattie’s days, and I might say moving away has been interesting for them too, because they are now allowed to buy other products,” Webby said, laughing. “They’re really passionate about our amazing brands, the current favourite being of course Whittaker’s.” n
of us have never heard of may well engender headlines, but the effect rubs off on our whole industry as does the latest attack on reduced content of packs at the same shelf price. The food industry is always good for a bash when news of murders dry up, but there are dozens of other industries that wriggle prices up, or are forced to by increased costs, that never see the limelight. Truth is our industry is entitled to recover costs, just like anyone else and 95 percent of consumers wouldn’t have a clue on tiny movements in on-shelf pricing.
This guy finally agreed to marry his long time girlfriend, but just a few weeks later she said she had been thinking and now that they were married he should sell his golf clubs and spend more time with her. He was horrified and said she sounded like his ex-wife. “Exwife,” she screamed, “I didn’t know you had been married before.” He replied, “I haven’t...”
Certainly the pressure is on the industry, and the retailers, to find new and faster products that beat both the time and the taste conundrum. Certainly the sugar debate will affect the breakfast cereal market more than most other categories, but where we go next to offer any substantial breakfast on the fly is a challenge.
There are many bizarre twists in this industry often involving people coming and going. One of the latest has to be that of Craig Cotton, top man for the Japanese-owned Charlie’s and Independent Liquor who has given up this high flying role to join Foodstuffs ownership training programme with the aim of getting a Four Square in perhaps 12 months or so. Ever since he was a kid, he always wanted to be a grocer. On that subject, my old man, who was a builder, always reckoned I should learn a trade which I never did. But our next door neighbour in Palmerston North was a Fred Pinkney who owned the main grocery store in The Square – an old fashioned grocery in partnership with the well-known Lester Hayes. It was one of those old white apron behind the counter grocers and I always remember Fred calling on all the neighbours on Tuesday nights with his pencil and pad, sitting in the kitchen and taking the weekly order – and then delivering in his little Morris van. Can’t imagine a New World or PnS owner doing that today. OWNED
Tracking grocery prices is one of the useful things that Consumer does, although it is not quite as outspoken as its Australian equivalent Choice. What it did do recently was graph out a Wellington New World and Countdown and tabulated specific product pricing. The graph turned out to be a bit of a dag showing the six products alternating stores on promotion each week for 13 weeks. Clearly there was no favouritism by the suppliers with the promotional pricing being shared week about – it just meant that consumers had to swap loyalty every seven days if they wanted the monitored products of Anchor butter, Mainland cheese, Robert Harris coffee, Whittakers chocolate, Tip Top ice cream or Fresh ‘n Fruity yoghurt. Sometimes I wake up grumpy – and other times I just let her sleep. We all love the notion of breakfast being the most important meal of the day and a lot of work is being done in feeding young children in low decile schools, but while that charity work is taking place, there has been a noticeable decline in the adult breakfast market not only here but worldwide.
With Foodstuffs now committed to online shopping, it will bring the whole retail grocery business into a new era. And while they are new to the game, there’s no doubt the Foodstuffs move will add to the impetus Countdown has already achieved with the process. But where does it take us in the future? I believe that the likelihood of online shopping will increase three or four-fold over the next five years and that direct shopping will focus more on fresh in-store because no-one wants to buy vegetables, fruit or meat unseen unless really reliable and superb product is guaranteed. A group of bikers were trundling along a Gisborne road when they came across a policeman trying to stop a girl from jumping off a bridge. Big hairy George jumped off his Harley and asked her what she was doing. She said she was going to commit suicide, but George saw his chance to be a legend and called out: “Before you jump, give me your last best kiss.” She leaned back and gave him a long, lingering kiss. “Wow,” said George, “that’s real talent you’re wasting Sugar Shorts. So why are you committing suicide ?” The answer: “My parents don’t like me dressing up as a girl...” n
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