SupermarketNews Magazine | March 2022 by Review Publishing Ltd

10.95

SUPERMARKETNEWS

March 2022 • Vol. 15 No. 03

wellbeing (see page 10)

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contents

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

20 food& grocery COUNCIL NEW ZEALAND

www.fgc.org.nz

This magazine is published monthly under license. Please direct all enquiries and correspondence to Review Publishing Co Ltd. This magazine is a platform for the industry and may include content that expresses views and opinions by contributing writers. Content is attributed to the author, and these opinions and the view/s are those of the author/s. They do not necessarily reflect the official policy or position of any other agency, organisation, employer or company. The opinions and material published in this edition are not necessarily those of the publishers unless expressly stated. All material appearing in the magazine, website and social media platforms is copyright and may only be reproduced with the written consent of the publisher. Copyright 2022

CHAIRMAN PUBLISHER GENERAL MANAGER EDITORIAL DIRECTOR EDITOR ADVERTISING SALES SENIOR DESIGNER GRAPHIC DESIGNER

PETER MITCHELL Tania Walters Kieran Mitchell Sarah Mitchell Caitlan Mitchell Felicity-Anne Flack, Caroline Boe Raymund Sarmiento Debby Wei

food& grocery COUNCIL NEW ZEALAND

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 a conference that covers industry issues and is addressed by international speakers. The organisation monitors product quality, sets standards for the industry and runs national competitions and awards.

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

ISSN 1173-3365 (Print) ISSN 2744-595X (Online) Retail 6, Heards Building, 2 Ruskin Street, Parnell, Auckland. PO Box 37140 Parnell, Auckland Call: (09) 3040142 | Email: edit@reviewmags.com

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THE RISE OF RETAIL MEDIA By Cartology NZ

INITIALLY FRAMED AS AN EXTENSION OF PERFORMANCE MEDIA VEHICLES, RETAIL MEDIA IS NOW PROVING TO OFFER BRANDS A FULL-FUNNEL SOLUTION - ALL WITH UNRIVALLED MEASUREMENT AND ATTRIBUTION CAPABILITIES

Retail media has gained huge traction into the turf once held by large traditional broadcasters and publishers in the US - and while the retail players in New Zealand are fewer, the outcome may ultimately be the same.

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his emerging retail landscape features a blend of physical and digital shopping and increasingly savvy consumers who traverse both worlds. In fact, 30 percent of shoppers are now omnichannel. And as a result, with new habits and raised expectations, the consumer relationship with brands is evolving. It’s no surprise then that this new normal also has major implications for marketers, who must now address changing consumer preferences relating to retail advertising, personalized shopping experiences and loyalty. The good news is that despite growing concerns about digital privacy, consumers are interested in brand relationships that incorporate advertising. For example, they are generally receptive to targeted ads — particularly from retail brands they like.

71 percent of shoppers say they’d prefer to receive limited, tailored ad experiences instead of paying to avoid ads. And those brand relationships are now firmly entrenched on retail eCommerce sites. Over half of consumers (53 percent) have said they notice sponsored products or ads on retail sites. Among those that recall seeing these sponsored products or ads, 42 percent claim to frequently or sometimes click to make a purchase. As brands pioneer new approaches to retail marketing, retailers themselves are making more of their valuable shopper data available so that brands can finally make the connection between advertising activity and consumer action, whether online or in-store. With the imminent demise of third-party cookies, we are seeing a surge in interest in leveraging this data in order to finally achieve that holy grail of marketing.

RETAIL MEDIA IS POISED TO BECOME ONE OF THE MOST POTENT AND WELL-FUNDED AREAS OF MARKETING INVESTMENT AMONG BRANDS. AND THE ROLE OF RETAIL MEDIA IS EVOLVING What started as a way for brands to engage shoppers during their in-store experience, has now grown to allow brands to find new ways to engage shoppers throughout their customer journey. Increasingly, marketers are looking to retail media to close the loop between broader campaign activity and consumer purchases. In fact, retail data is viewed by marketers as effective in both building brands and driving conversions: 39 percent of marketers surveyed in the US said they use it to drive brand equity scores, while 44 percent said they now use retail data to track sales growth. Why? Because retail data is rooted in valuable sales data — or the data associated with a purchase. This typically includes product information, SKU-data, the time of purchase, payment used, location, among other details. Access to past purchase data helps marketers best predict future purchase behavior or habits. These details enable marketers to understand what media tactics are leading to sales. That’s why 76 percent of marketers say they plan to use loyalty card point-of-sale data either frequently or very frequently over the next year. As a result, sales data is crucial for brands, especially as the marketers noted their top challenges as measuring business outcomes (32 percent), understanding the increased complexity of the customer journey (32 percent) and optimizing cross-channel campaigns (32 percent). Retail data addresses many of these challenges. This data also

opens new avenues for more accurate and actionable attribution tracking across digital and physical environments. While tracking the impact of search-based ads placed on retailers’ sites is fairly straightforward and immediate, marketers can use shopper data to connect digital ad exposures on the web to real-world, in-store purchases. This is great news for the 43 percent of brands surveyed who noted sales growth as a top KPI of marketing success. What was once abstract is now possible

— consumer packaged goods (CPG) brands can connect ad exposures to in-store purchases made by specific target audiences. Additionally, CPGs can work with retailers to advertise specific products to consumers by leveraging SKU-level insights and then measure the sales impact across a wide array of media channels. This levels the playing field for a sector of the industry that is looking to leverage its valuable data, such as insights from loyalty programs, in a privacyconscious manner.”

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SHRINKFLATION FUELLED BY RISING COSTS

THEN High inflation fuelled by pandemic supply-chain challenges and rising labour costs, and now the war in Ukraine, mean that grocery prices are rising and rising. Never mind if you call it a crisis or not, it is hitting hard at the checkout.

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n the US the consumer price gains accelerated in February to a fresh 40year high. With rising petrol, food and housing costs, inflation is poised to rise even further following Russia’s invasion of Ukraine. So what can consumers expect here? Retail industry experts predict “shrinkflation” as more consumer products start shrinking in size or quantity, or both, because of rising costs, from logistics to labour. However, navigating product changes and pricing may be a bit different in 2022. Grocery has been in the headlines with the Commission investigation and final report on front pages and television news, and consumers will have an opinion and be more aware. With inflation and household cost of living rising, consumers are paying more for everyday purchases, as companies pass on higher production costs. Brands can raise prices, and many are. Others are charging consumers the same price while offering less, in effect product downsizing. Product downsizing, or "shrinkflation," happens during times of high inflation because brands are also paying more for raw

NOW materials, production and distribution. So we’ve all experienced slimmed-down toilet rolls, fewer biscuits in the packet, sleight of hand packaging that promises more than it delivers. These have all been called out by consumers, but brands trying to inconspicuously shrink the size of their packs in 2022 can expect a real consumer backlash. This "shrinkflation" phenomenon is nothing new and the practice is typically triggered when inflation surges and companies' costs go up. So here’s the challenge, what is an innovative way to reduce costs and still deliver on brand promise? The cost element to innovation usually means adjusting the count per pack or the package size as one way of reinvesting in innovation while maintaining a competitive price point. But, and there is a but – consumers are better informed than they have ever been, social media is the devil’s court, so brands need to have a plan in place and a narrative that they can defend. Product adjustments will continue to happen, but with it comes consumer scrutiny, so it’s the story that goes with the brand that needs real attention. n

MAKING MERCHANDISING AFFORDABLE We are helping brands and agency’s work to a budget and support their listed stores with merchandising according to your schedule! Many brands and agencies are feeling the pinch of numerous increased costs such as, • RISING WAGE COSTS • RISING ADMINISTRATION COSTS • RISING SHIPPING COSTS • RISING PACKAGING COSTS The common words are ‘rising costs’ The solution is managing costs by doing things differently! There is no doubt brands who adapt and change continue to succeed. Even better said by Steve Jobs “Innovation is the ability to see change as an opportunity - not a threat!”

SO HOW CAN YOU WORK TO A BUDGET? 1. Reduce your in-house and outsourced merchandising team and use a shared team 2. Get better visibility of the issues your products are facing instore and manage the issues remotely 3. Adjust the schedule according to the programmed sales activity 4. Use data to drive your decisions and act quickly INZTORE CAN EFFECTIVELY HELP YOU WITH ALL OF THE ABOVE!

Not only is a large merchandising team costly but also comes with numerous overheads such as HR management! Our shared work force model gives brands an affordable way to support their stores. Not only can brands benefit from using our model, we also allow agencies a stress free way to broaden their reach and lower the costs of a large team without compromising on their strategy for brands. We work solely off a time based model where you only pay for the time spent in store! Inztore has created a unique online reporting application that provides session reports directly after a rep has visited the store. Providing shelf visibility, manager insight, stock level & pricing information allowing brands or agencies to act immediately! We also collate this data to provide further reports such as distribution reports and stock level reports - because information really is the key to power over your brand in store. Let Inztore be the eyes and ears for your brand or agency, we require no minimums or sign up fees and operate nationwide! Now really is the perfect time to see if change and innovation is right for you! Disclaimer we don’t cover 100 percent of stores but we will certainly try to meet all your needs and grow as you grow! Get in touch… and receive a free merchandising session on us Call Kelsey on +64 273305018 or email kelsey@inztore.com.

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THE PERFECT STORM Over the last two years, COVID-19 has dominated the consumer mindset. In 2022, though, the emphasis has increasingly been on the cost of living.

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he COVID-19 pandemic created a perfect storm for inflation. When scarcity from supply chain disruption increased prices of goods and services, people had to spend more of their disposable income. This adds pressure to employers to increase wages, thus raising the cost of production. When attributing a labour shortage driven by consequences of the pandemic (e.g. sickness, lack of childcare), it is less surprising that inflation accelerated much more than expected in 2021. It’s more important than ever for brands to understand their consumers and the circumstances they face. Brands across industries need to be prepared to adapt during a period of uncertainty for consumers. Here, we identify five strategies for brands to help consumers deal with a sustained period of inflation and less disposable income.

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1. FOOD AND DRINK: PROMOTE VERSATILITY AND DEMONSTRATE VALUES Packaged brands and retailers have mostly benefited from consumers cooking at home, while foodservice companies are finding ways to recover from the effects of the pandemic. Rising prices along with the labour shortage are likely to prolong the foodservice struggles. The priority of CPG brands and retailers will likely be keeping production lines moving and products on shelves. Product versatility will need to meet the needs of consumers. Discretionary spending on nonessentials like foodservice, alcoholic beverages, and premium products will be impacted in both directions. With prices rising across virtually every good and service: the relative accessibility of most food and drinks will trigger a lipstick effect. Conversely, brands need to keep in mind that consumer belt-tightening measures may include bulk buying, brand or channel shifts, and product attribute re-prioritisation.

2. BEAUTY AND PERSONAL CARE: PROVIDE CONSUMERS WITH FLEXIBILITY TO MEET THEIR NEEDS While sales in the beauty industry have rebounded, the growth may be affected due to inflation and supply chain issues. Beauty and personal care categories tend to be elastic in the face of rising prices. With the abundance of products at a wide range of price points, beauty consumers are accustomed to a variety of categories in order to stay within their budget. Retailers can respond by curating a selection of products/brands across a scale of prices that serve similar purposes allowing for consumer purchase flexibility. Product purchase justification is key when it comes to consumers making the decision on how and where to spend their dollars, especially when money might be tight. Brands need to communicate in clear terms why that product is an essential part of a beauty or grooming routine. Amplifying messaging around multi-use products will appeal to the budget-conscious user of beauty and personal care.

3. RETAIL: REMAIN NIMBLE AND ADJUST TO CHANGING MARKETPLACE DYNAMICS AND CONSUMER BEHAVIOR Concerns about inflation combined with supply-chain woes, pandemic-related fears and staffing shortages all impact how and where consumers shop. It’s likely that consumers’ willingness to spend on discretionary items will diminish while costs remain elevated. This means some categories, including apparel and beauty, will be negatively impacted before they’ve even had a chance to fully recover from the early pandemic effects. As retailers are likely to raise prices, transparent communication will go a long way, especially if coupled with other value add offerings such as free shipping, flexible returns, and promotions. Buy now pay later offerings can help consumers better manage their money and allow them to justify spending. While these challenges have caused some retraction, retail sales continued to grow in 2021 and are projected to grow in the coming years.

CONSUMER BEHAVIOR Globally prices are rising much faster than wages. Inflation began its steep ascent from pandemic lows in 2021 and wages were unable to keep up, resulting in reduced purchasing power for consumers. Younger consumers indicate that they will purchase more using credit and take on debt

to fund essential purchases in response to rising prices. This comes at a time when consumers already have record levels of debt and with rising interest rates on the horizon. Overall, consumers will cut back on nonessential spending and will have to make difficult choices around how they

spend their money. For many, that also means stretching their dollars via low-cost alternatives. Brands can support consumers by providing creative ways to help make their money go further, such as offering discounts or opportunities to buy in bulk.

Mark Miller is Director of Insights for Comperemedia and Mintel Financial Services Reports. See more Mintel Insights here

WHAT WE THINK • Learn from the past: Inflation and recession change consumer priorities and purchasing power. Brands that performed well after the last recession focused unerringly on delivering value. The key to this is showing flexibility and empathy in pricing and innovation, and convincing consumers that tangible benefits are worth the extra money. • Prepare for uncertainty: Prices are on the rise caused by surging demand and supply chain issues following an unprecedented global pandemic. Central banks will fight inflation, which could lead either to a ‘soft landing’ or a more disruptive economic slowdown. Either way, brands need to be prepared to adapt during a period of uncertainty for consumers. • Recognise that circumstances vary hugely: Many people will see inflation as an irritation rather than a major threat. Others are already struggling, though, and even small price changes will tip them into serious financial hardship. It’s more important than ever to understand your customers and the circumstances they face.

Nissin Korea style spicy flavour instant noodle is infused with traditional Korean chilli powder that adds a tangy and spicy flavour.

Proudly bought to you by Oriental Merchant (NZ) Ltd Your Asian Food Specialist Contact T: 0800 10 33 05 E: nzenquiries @oriental.com.au

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wellbeing

GOOD FOR YOU

good for the planet

Global trends in the wellbeing category have inspired food and beverage product development, with ingredients coming through to enable these innovations. A diverse range of products is coming through R&D this year, incorporating functional ingredients, formulation changes and the use of technology to solve product development challenges.

lobally life isn’t getting any easier. The challenges that we were optimistic about rising to meet in 2020 have made some more resilient and others much worse off. Two years on, the opportunities for some have been the death knell for others. This turbulent landscape has changed how business views the world and how consumers view the products served up to them. Substantial investment in technology has been the mainstay of f&b manufacturing success stories. Ideas that seemed outlandish two years ago now look almost commonplace. The ability to collaborate and quickly adapt food production has become virtually commonplace as companies swiftly pivot to meet the mercurial COVID-19 headwind of change.

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SO WHAT’S AHEAD?

Depending on where you look and which research data you follow, there seems to be a fair consensus, which we have summed up in our top three to watch.

TECH TO TABLE

Technology is at the forefront of product innovation, and never more prevalent than in the f&b sector. It has contributed to the arrival on shelf of a wide range of new products such as cellular-based foods and protein derivatives. Expect to see more tech to table innovations as the year progresses.

PERSONALISE MY FOOD

Personalisation is the buzzword of 2022 as consumers consider their food reflective of their own personal brand. Food is no longer simply food, no longer about consumption.

Instead, brands are expected to create connections and reflect consumers’ personal and social beliefs and values.

PLANT-BASED INNOVATION

Next-generation plant-based foods, nutrition, and sustainability will play an even more significant role this year. A growing percentage of consumers believe plant-based options are healthier and better for the planet. This year will continue to see the rise in plant-based innovation and sustainability. Expect to see a surge in plantbased products on shelf as manufacturers fine-tune the taste and mouthfeel of plantbased products. n

wellbeing

PASSION AND PURPOSE DRIVE ACTION The pandemic triggered consumers to make The Great Life Refresh, resulting in drastic personal changes and a collective reboot of values, lifestyles and goals according to Euromonitor's 2022 trend report. Businesses should innovate goods, services and experiences that respond to this once-in-a-generation moment, coupled with marketing that acknowledges and embraces the upheaval.

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n the past year, consumers took inventory of their lives and are now actively trying to chart a new path forward. In 2015, only 12 percent of consumers prioritised time for themselves, which doubled to 24 percent in 2021. Consumers now have a higher appreciation for work-life balance. They are changing careers or leaving the workforce entirely to discover or pursue their purpose. Shaken and Stirred consumers were motivated to think about their passions and potential. Now, The Great Life Refresh represents consumers’ actions towards achieving new goals. Change will remain the dominant trend that characterises lifestyle shifts in the short term. Activities and products that positively impact mental and physical health, such as adopting pets or having the ability to travel while working remotely, are influencing purchase decisions. Job markets across the globe are experiencing unprecedented turnover. Certain consumers chose or needed to leave the workforce, especially caregivers, prompting LinkedIn to add new job titles like “stay-at-home parent” to accurately convey these roles. Workers are navigating government benefits, health risks and their

return to normal as well as broader personal values. Employees are looking for careers that accommodate their life outside of the office. Companies implemented Workplaces in New Spaces and realised productivity levels were sustained, which permanently shifted how, when and where work can be done. Mental wellbeing is also a part of The Great Life Refresh. Downloads of mindfulness apps like Calm and Headspace surged to help reprieve anxiety. Pet adoptions skyrocketed, and global pet care sales growth doubled from 2019 as more consumers looked for companionship. Businesses need to accommodate consumer needs, wherever they are in life. Consumers will continue to navigate the turbulence of the pandemic. Companies catering to The Great Life Refresh stand to be seen as partners, helping consumers adapt to a new way of life. Businesses should tailor marketing to acknowledge and support consumers’ decisions to take action. Reverting to a pre-pandemic playbook might not have the same effect moving forward. Consumers will prefer brands that match the moment. Companies need to offer services and products that provide value and support personal growth to drive loyalty. n

SUSTAINABLE ORAL CARE IS HERE Fulfilling the needs of the environmentally conscious consumer with a comprehensive product range is at the forefront of what Erskine Oral Care do. Developed by Dr Craig Erskine-Smith, a former Australian dentist with over 30 years of clinical experience, the Erskine Oral Care Piksters range of products are designed for optimal performance with ease of use and convenience. Piksters helps consumers maintain their daily oral care routine by offering innovative products for brushing, flossing, whitening, and staying fresh and clean.

ith a growing demand for planetfriendly options, Erskine Oral Care also has available a Piksters Eco range. Products under the Piksters Eco range are designed and manufactured with the environment being the main driver. Piksters Eco range offers consumers sustainable alternatives. Many of the products in the Piksters Eco range come in packaging made from recycled cardboard and soy-based inks. Piksters interdental brush is one of their flagship products and no. #1 leading interdental brush in Australia in the retail sector with 92 percent referral from dental professionals. Piksters brand of interdental brushes is also a market leader in the Australian grocery and pharmacy channel. Even with new competitors emerging, Piksters always maintains high loyalty and customer retention. Considering this, Piksters has now added to its interdental brush product offering, biodegradable and sustainably sourced Bamboo Interdental Brushes presented in 100 percent recyclable biodegradable packaging. Another new addition to the Piksters Eco range is the corn starch handle toothbrush with bio bristles available in Sensitive Clean and Comfort Grip. The plant based biodegradable handle derived from corn starch (PLA) is sustainably sourced and ideal for those who do not like the taste of bamboo (that is actually a thing). Plus, their sustainably sourced compostable bamboo toothbrushes that come in a “fantastic value” 6 pack, continue to

outperform competitors in the sustainable toothbrush market. Erskine Oral Care continue to innovate and bring new products into the market that consumers are seeking out. They have just introduced into the oral care market a range of teeth whitening toothpastes which includes Tooth Toner Purple (whiten and brighten yellow teeth) and Tooth Toner Gold (whiten, brighten, and shine teeth), along with Whitening Strips and Pens. The tooth whitening market both in dental clinics and pharmacies has seen a huge rise in popularity due to video conferencing becoming the new communication tool in the last 2 years. Reporting a 50 percent increase in sales in grocery over the last 12 months demonstrates that good oral care is extremely important for consumers of today in these covid stricken times and Piksters is a trusted, reputable ‘support local’ brand that also focuses on sustainability. For more information on the Erskine Oral Care range of products, contact Lisa at Aluro HealthcareNZ Ltd. E: lisab@aluro.co.nz. n

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TAKING STOCK OF THE BONE BROTH TREND

Health, wellness and fitness communities around the globe have been making a fuss about bone broth for years now. Bone broth has actually been a part of many cultures’ traditional diets, only making its way into the trendy social-media ecosystem in recent history. WHAT IS BONE BROTH? Bone broth is a clear nutrient-dense soup that is made from cooking down animal bones, cartilage and meat. Bone broth can be made with beef, pork or even seafood. When you reduce and simmer down meat and cartilage from bones in boiling water, they melt and become tasty, nutritious, liquid gold. This slow-cooked meat stock is made from bones boiled long enough to allow the connective tissue and marrow to dissolve into a liquid: this takes a minimum of six, and up to 24, hours. A good broth should jiggle when cold because of the natural gelatine that’s plentiful in bones rich in connective tissue.

BOASTING THE BENEFITS OF BONE BROTH Bone broth is mostly water and protein. The protein unique to broth comes in the form of gelatine dissolved from connective tissue and cartilage. Bone broth not only packs a protein punch, it also contains amino acids, the building blocks of protein in the body that perform several other important functions. The gelatine in broth contain a handful of these building blocks called proline, glycine and glutamine. In the nutrition world, these are called “conditionally essential amino acids”. A jiggly, gelatine-rich broth is a naturally

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high source of nutrients known for strengthening the delicate villi that pave our intestinal lining. In the same way we use aloe vera gel on sunburn, emerging research from Italy has shown the potential role of gelatine in healing intestinal gut-barrier damage, which is common in coeliac disease, inflammatory bowel disease, and IBS. Bone broth is also a plentiful source of glutamine, which plays an important role in looking after the health of our gut lining. It boosts the immune system and encourages scar-tissue healing. Other studies suggest the collagen derived from chicken cartilage is effective at improving pain, stiffness and joint function in patients with osteoarthritis.

THE GLOBAL BROTH MARKET Recent analysis from MarketWatch has noted that the production of bone broth is more cost-effective than other animal protein production and involves the use of by-product from the meat industry as input which is anticipated to drive manufacturers to invest more into the market, making it more sustainable and profitable. Added benefits like the presence of macro and micronutrients in good proportion with a high concentration of protein are expected to drive the consumer towards bone broth products as an

alternative to other protein sources resulting in substantial growth over the forecast period.

BONE BROTH’S NEW POPULARITY Bone broth has found its place next to sauerkraut and kombucha as a health trend that’s hardly a new concept, but one that has seen an increase in demand over the last few years. Restaurants specialising in bone broth have popped up across the United States, and around the globe, there has been an increase in the consumption of healthy convenience food as consumers move towards products enriched with minerals to support their dayto-day health. Bone broth may once have existed in your great-grandmother's kitchen, now it’s a sexy superfood with massive growth potential. n

WHY THESE TRENDY SWEET TREATS DON'T DELIVER

Gummies made from apple cider vinegar (ACV) have taken social media and health enthusiasts' pantries by storm. Still, New Zealand's pioneering organic producer of ACV said the sweet treats don't stack up compared to the liquid version. CoralTree Organics has been producing the country's most premium, oak-barrelaged ACV for 25 years, with their products sought after both locally and overseas. The family business has recently been taken over by founder Kim Baker's daughter Zhana Baker, who said that it's important to know not all ACV is created equal. "Apple cider vinegar is fermented, and my

understanding of fermented foods is that they are both very stable and very delicate. Our ACV is unfiltered and unpasteurized, which means the living enzymes that make the vinegar and feed your gut are still intact and alive inside the vinegar," she said. Just like us, they cannot survive being heated above about 50 degrees, and to make gummies, liquids have to be heated above that before being set. Meaning you may still benefit from the alkalization of the ACV in the gummies, but any living enzymes will not have survived". "In my view, many people now reach for convenience foods over whole foods, so gummies have become popular, but they have a lot of additives. "I'm not a scientist or nutritionist, but if I can't read or comprehend the ingredients of something or make it myself at home, I'm wary. Preservatives, colours, flavour

enhancers and other additives can be very inflammatory for most people. “I believe the benefits of ACV, especially when heat-treated and processed, will be negated by the extra additives". When choosing your ACV in liquid form it's also better to choose quality. Lower-grade products can use apple juice concentrate, town water with its own chemicals in tow, and strong acidic fermentation aids and sell it as ACV. "A product like that cannot measure up in flavour, quality, living enzymes and benefits to an ACV made from whole, treeripened apples that are cold-pressed. "With the juice naturally fermented then aged in oak, with no water and no other additives, ever," said Baker. So while reaching for the sweet ACV gummy treats might be easy, if health is the motivation, it's worth remembering that trending doesn't necessarily mean best. n

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FABULOUS AUTUMN FRUIT AN IMMUNITY BOOST The shorter days and cooler nights of autumn bring with them the start of an exciting new season of fresh New Zealand fruit.

range of new season apples, pears, limes and feijoas are available now and mandarins and persimmons will come in later in autumn. These vibrantly coloured autumn fruit are rich in vitamins, minerals, fibre and antioxidants as they get their eye-catching hues from phytochemicals – natural bioactive compounds which promote good health. With health top-of-mind for consumers right now, fresh autumn fruit provides numerous immunity boosting benefits. New Zealand pipfruit is available in good quantities this month and are sweet and crunchy. The early arrivals include Gala, Braeburn and Jazz with Pacific Rose, lemonade and Granny Smith coming later in the season. The main variety of pears available this season include Beurré Bosc and Packham which are on the shelves now, and look out for Winter Nelis, Winter Cole and Doyenne du Comice. New Zealandgrown Nashi pears have a short 6-8 week season during autumn. Apples, pears and Nashi are all a source of dietary fibre and

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Vitamin C. New Zealand-grown limes are in season in autumn too and are available from March to May. Fruit that is heavy for its size has good juice content. Limes are picked green and will turn yellow as they ripen, and they store well in the fridge. One lime provides almost 20 percent of the recommended daily intake of Vitamin C which is great for immunity. Feijoas, the great Kiwi favourite, make their first appearance in March. Warm and wet weather patterns this growing season provided good ripening conditions for feijoas, so expect a great supply of top quality feijoas throughout the season. These versatile and aromatic fruit provide dietary fibre and are a good source of Vitamin C. Hugely popular mandarins will be available later in autumn and run through until September. Fragrant and juicy mandarins are one of the sweetest citrus varieties. Again, heavy fruit for its size provide good juice content. Easy-to-peel, they are perfect for lunchboxes. As well as providing a good source of Vitamin C, mandarins also provide folate, dietary fibre and potassium making them great for kids’

growth and development. Persimmons have seen a growth in popularity in recent years. These bright orange, honey sweet fruit ripen on the shelf. They are versatile and can be enjoyed crispy fresh or roasted in salads and desserts. Persimmons pack a nutrition punch boasting a good source of Vitamins A and C, a source of dietary fibre and they contain potassium. Autumn fruit makes for beautiful, colourful displays in produce departments. Make the most of its availability! For more information about United Fresh visit www.unitedfresh.co.nz or join us on LinkedIn. Visit www.5aday.co.nz for 5+ A Day recipes, nutrition information and fresh inspiration.

The New Zealand Bone Broth revolution starts

here

Growing awareness of health and wellbeing is driving sales of Drinking Bone Broth around the globe. Following in the footsteps of the Kombucha revolution, it’s now a US$3 billion+ market with a CAGR (compound annual growth rate) of more than 4.5%. Greenlea Premier Meats has developed the Restore range of grass fed beef and free range chicken broths to deliver the tastiest and most beneficial drinking broths for New Zealand consumers.

Join us in leading the Bone Broth revolution in Aotearoa. Email: restore@greenlea.co.nz restore.co.nz

hotbeverages

HOT BEVERAGES AND THE SOCIAL NARRATIVE

Social media influences consumer trends within the hot beverage category giving rise to cosy, “comfort” flavours. Nostalgic tastes, dessert and alcohol-inspired mashups, and functional benefits make a splash in tea, coffee, and hot chocolate.

évin Bangratz, marketing researcher at Prova, has noted that social networks are increasingly impacting consumer trends in beverages. Remember the Dalgona coffee craze that went viral across Instagram and Twitter during pandemic lockdowns in 2020. Videos for Hot Chocolate Bomb, Espresso Bomb, and Tea Bomb preparations have also spiked.

Chanui supermarket news 0322.indd 2

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11/03/22 8:58 PM

TEAS AND INFUSIONS Ever-popular flavoured teas are proliferating within the hot beverage social media space. With the lingering summer season, these hot beverage trends can transition to the iced beverage menu. According to Innova Market Insights, top flavours in teas include ginger, lemon, chamomile and orange. Other popular flavours include eucalyptus, anise, cloves, cherry, rosehip, apple cinnamon, and passion fruit. Infusions are very popular with consumers, particularly in the pandemic context. They are seen as natural and “feel good” beverages. Regarding tea, spice blends are on-trend, following the influence of chai tea. Many launches combine tea with ginger, cinnamon, cardamom or turmeric flavours.

INDULGENT POST-COVID COFFEE Coffee flavours are also experiencing innovation, as the world’s most-consumed hot beverage continues to diversify within a highly saturated market. Innova Market Insights said that top flavours for coffee include staples such as hazelnut and caramel, vanilla, milk chocolate and chicory bean. But along with these traditional flavours, others are growing in popularity, including toffee, nuts, French vanilla, amaretto nut and peppermint. Bangratz noted that recent launches have also used innovative combinations that key into the indulgence trend such as vanilla crème brûlée and caramel cookie.

BENEFICIAL BEVERAGES Immunity is globally the number one reason consumers buy into health and wellness food and beverage products. These are becoming more in demand by consumers. In addition, flexitarian indulgence has exploded this year, and we see more and more plant-based beverages in the marketplace. In the context of the pandemic, there are more consumers seeking immunity support through their consumption of hot beverages. In recent months, there has been a plethora of launches, including teas with nutrients such as vitamins A, C and D, noted Bangratz.

‘GRAMABLE’ GUEST EXPERIENCES Consumers also use social media to critique the brands they interact with, as well as share Instagram-worthy experiences. Word of mouth (or word of post) is still the primary way customers choose where to spend their money. Creating engaging social media posts and brand advertising is a great way to spread the word about your brand. n

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FROM THE GROWERS OF GREAT COFFEE A Supreme cup of coffee is one you can trust, for flavour and care. Coffee Supreme ensures that everyone is looked after right along the way — from the growers of great coffee to those who enjoy it.

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or them, this means putting in the hard yards to build lasting relationships with the people who provide Supreme with the quality of coffee New Zealanders know and love. It’s coffee that roasts beautifully and is rich in flavour and history. It’s a better experience, from cafe counters to kitchen benches, built on quality, trust and a thirst for improvement. “The defining features of a great roast are sweetness, body and acidity,” said Fraser Lovell. Lovell began working at Coffee Supreme 16 years ago and has been in the coffee industry for 24 years. He’s learnt all the ins and outs over the years and has worked as a barista, technician, roaster and coffee buyer. Lovell’s journey started in wild, wet and windy Wellington as a cycle courier. He then began searching for a new job that was

We understand that our environment is precious, and we need to take care of it. We know that coffee has an environmental footprint, and proactively reducing it is our goal.

warmer and offered free coffee. “This was back in the halcyon days of the late nineties as the coffee scene in Wellington was growing and long before the third wave had even crested on the horizon.” "I don't have favourites as to have to just pick one seems so unfair to the coffees as they all have distinct defining characteristics that I like to enjoy," said Lovell. Coffee Supreme understands that although coffee grows on trees, enduring environmental sustainability doesn’t. “We understand that our environment is precious, and we need to take care of it. We know that coffee has an environmental footprint, and proactively reducing it is our

goal.” They have always worked hard to source their coffee responsibly by supporting farmers and developing long term relationships with high-quality producers. One of their most recent innovative moves was swapping their packaging to paper recycling. This has meant a huge reduction of plastic used and has gained them even more glowing feedback from their customers. Coffee Supreme has also undertaken a carbon audit of the business to understand its footprint and how best to respond to it. Wherever possible they are doing their best to choose responsibly LED building lights,

Hybrid or EV vehicles, low emission coffee roasters or diverted waste streams. “This is a journey about always getting better not waiting to be perfect; it’s about taking steps in the right direction and continual improvement.” Not only do they produce delectable coffee and strive for sustainability but Coffee Supreme additionally actively contributes to a wide variety of community engagement including proudly supporting the Mental Health Foundation, the Wellington City Mission and the Common Unity Project. At origin, they have also engaged in several projects to help various coffee partners. n

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CHANGES NEED TO HAPPEN FAST By Kathrine Rich - Chief Executive, New Zealand Food & Grocery Council

The two supermarket chains will no doubt be pleased by the absence of recommendations for big structural changes to the sector in the Commerce Commission’s final report on the grocery market study. Others, particularly those looking to find a way into the market as a third big retailer, will be disappointed.

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“T

he Commission’s draft report last year had talked about structural separation of the wholesale food market or forced sales of some sites, both to encourage a third player (or more) into the market. That’s not going to happen – not yet, anyway. From the point of view of suppliers, the report was a victory because the Commission delivered on all we had brought to their attention, and more. Their findings and recommendations confirmed what we have been saying for years: competition in the market is not working well, stifling innovation, consumer choice, and genuine competition, and

creating an environment where suppliers are treated unfairly. The Commission accepted all that and recommended the Code of Conduct for supermarkets that suppliers have been talking about for something like 12 years. What’s more, they said it should be compulsory, which is further than the Code supported by the industry in Australia, where it was negotiated by suppliers and retailers and is voluntary. A New Zealand Code, which the Government has already endorsed, will be quite different to that – it will be mandatory and the Government will hold the pen, reducing the likelihood of dilution. Because of that it will no doubt be further reaching.

IF THE RECOMMENDATIONS ARE FOLLOWED CLOSELY, A COMPULSORY CODE WILL DEAL WITH ISSUES SUCH AS: • prohibiting retrospective contract demands (particularly for money) • prohibiting unilateral changes to contracts • ensuring reasonable payment terms, clear and fair delisting processes, and protections of supplier intellectual property (so great ideas are less likely to get swiped for private label) • prohibiting payments for waste and theft and the requirement to apply the same product ranging and shelf space allocation principles to suppliers' products as private label products.

In short, a Code will lay out good business practices and provide sunlight into what is a very murky part of our industry. Suppliers had also suggested an ombudsman-style adjudicator to deal with issues between suppliers and retailers as they arose, but what we got will be even better than that – a regulator. This is very significant. A regulator will have significant powers to seek and collect information on retail activities, pricing, and promotion, and will no doubt regularly survey suppliers to gauge whether there is behaviour contravening a Code. This ensures ongoing scrutiny on retail practices. This was a smart move by the Commission because it guarantees its recommendations and the issues raised in the report will remain live between implementation and the recommended three-year review. The report will not be allowed to sit on a shelf somewhere and gather dust. The regulator will hold the supermarkets to account as well as require supermarkets to regularly disclose information. The fact the regulator will also have to report to Ministers (and so to the public) will surely be enough to motivate retailers to improve their behaviour towards suppliers. Between the regulator and the Code of Conduct, our industry will finally have a referee on the paddock. If that’s not enough to convince the supermarkets to change their behaviour, they should take note of the reaction to the report of Commerce Minister David Clark when he said he “unequivocally” accepted

the recommendations: “The status quo will not deliver fairer prices for consumers and a better deal for producers and suppliers, and I hope the sector will constructively engage in the changes that need to be made. Given the importance of achieving healthy levels of competition in our retail grocery sector, I have not ruled out some of the other options that the Commerce Commission tabled while developing its report, if consumer benefit is not achieved from the changes recommended in the report”.

He didn’t elaborate, but moves such as structural separation or forced sales of some sites come to mind. Changes need to happen fast. If there’s a will, there’s no reason we can’t have a Code and a Regulator by the end of the year. In all, these changes will make a huge difference. We need a flourishing food and grocery supplier base, and if there’s an opportunity for greater innovation and greater choice for consumers then that’s a good thing as well.” n

The status quo will not deliver fairer prices for consumers and a better deal for producers and suppliers, and I hope the sector will constructively engage in the changes that need to be made...

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COMCOM REPORT AN IMPORTANT MOMENT FOR INDUSTRY The Commerce Commission has today published its final report on its market study into the retail grocery sector.

oodstuffs North Island (FSNI) Chief Executive Chris Quin said this is an important moment for the industry and for New Zealand consumers. “We acknowledge that competition can work better for New Zealand customers. As a result, we accept that the sector does need to change and we are committed to our role in doing that. " “We need time to now consider the final report in detail, but from our initial review we are committed to working with the Government in supporting the implementation of the recommendations in the final report. " “We’ve been fully engaged in the market study process from the outset over 15 months ago, we’ve listened, and we’ve committed to an action plan that

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will meaningfully improve outcomes for customers and address the proven issues raised through the market study. " “Our action plan includes a commitment to simplifying our pricing and promotional practices, working with suppliers and the Government to develop a compulsory code of conduct, and ending the use of restrictive land covenants and exclusivity provisions in leases. " “Our action plan will remove the genuine barriers to market entry that are within our control, and deliver better competition and value for New Zealanders. We welcome the fact that the commitments in our action plan are reflected in the Commission’s final report. " “We will now work with the Government on implementation of the recommendations set out in the final report

today. " “We’ve accepted the clear challenge to do better for New Zealand customers and meaningful change is happening as a result of this market study. " “We recognise that the recommendations in the final report require us to be held accountable for improving value for consumers, and we accept that challenge. " “Work to implement the recommendations in the final report is a priority for us and has already started." “We’ve been clear throughout this process that FSNI’s strategy is to become one of the most customer driven retailers in the world. This process has shown that we need to do more and we will continue to focus on improving value for customers, investing in innovation and delivering on our customer promises.” n

WOOLWORTHS NZ WELCOMES FINAL REPORT

The Commerce Commission released today its final report into the $22 billion grocery industry. Woolworths New Zealand managing director Spencer Sonn has released a statement supporting the changes that the Commission has recommended.

“W

e would like to thank the Commission for its work. It is good to have clarity around the path ahead. Our team of 20,000 Kiwis is under immense pressure at the moment, and our focus is always to make sure we can help provide food and groceries to New Zealanders at this uncertain time," said Spencer Sonn, Managing Director, Woolworths New Zealand. “Like the government, we want New Zealanders to be confident that our supermarkets are good places to shop, and that as a business we are good to work with. As we’ve heard through the market study process, we know that some changes are not only required but expected of us. “We support the changes the Commission has recommended and we’ll continue to engage constructively with the government to make them happen. “Supplier partnerships are a very

important part of our business, which is why we support the introduction of a mandatory grocery code to ensure all retailers are held to the same standards. “We also support having greater clarity and consistency across retailers around unit pricing and promotions, and we support making changes to land covenants to help free up sites for more supermarkets to be developed. We agree with the Commission’s finding that planning law changes could also play an important part in this. “We hear the concerns raised about improving the wholesale supply to third party retailers, and we are committed to working with the government on what this could look like. “We’ll now take the time to read the report in detail. We know there’s certainly a lot of work for us to do in the coming months, and again we thank the Commission for its work and thorough process.” n

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GETTING TOGETHER IN TOUGH TIMES When Tesh Randall got Raglan Food Co off to an accidental start in 2014, selling handmade jars of coconut yoghurt from home, she didn’t know who to ask for advice and support with running a food business. “We didn’t have any previous experience in the FMCG space, it all felt quite overwhelming at times!”

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fter meeting other food business owners at expos and trade shows, she could see that many others were also ‘doing it alone’. So she decided to form a group of foodie friends; fellow Kiwi business owners in the food & beverage space with aligned values. Brands like Goodbuzz kombucha, Yum Granola, Bennetto chocolate, Chia Sisters drinks, Pic’s peanut butter, and Little Lato icecream were all keen to take part. “We’ve had one or two getaways every year since 2015 – we pick a new location in New Zealand each time, so we can experience the local food scene.” The crew of 20-30 food business owners head off for a

weekend together, and use the opportunity to share tips, help solve each other’s current challenges, and find ways to team up on projects. All sorts of interesting collaborations have come out of these connections, Tesh says. “We’ve teamed up on products – for example, releasing an icecream made by Little Lato using our coconut yoghurt, and topped with Yum Granola.” They’ve swapped resources; recommending interns to each other, using the same demo staff for in-store tastings, and sharing the cost of stands at expos. Following three postponements due to COVID, this year’s getaway was finally held in Nelson in February, where they stayed at the sustainably-designed Pear Orchard Lodge, and visited the factories of local producers like Pic’s peanut butter, Yum Granola, and Chia Sisters drinks. “It’s so helpful to learn from others and see how they do things – we all came home with heaps of new ideas!” Food businesses around New Zealand have been feeling the pressure the past two years, with hospitality sales drastically reduced, increased costs due to freight pressures, and staff off isolating. “At a time like this it’s more important than ever to find ways to help and support each other,” says Tesh. “We’re stronger together.” n

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BUILDING A HIGH PERFORMING TEAM

By Gerry Lynch - Managing Director, The Real Leadership Company

Anyone who has watched the Netflix documentary on Formula 1 - Drive to survive - will know that it takes more than a good driver to consistently win races. A slip up on changing a tyre can be the difference between 1st and 8th.

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“T

hink about the team you are in and the one you lead; would you describe them as high performing teams? What is a high performing team anyway? Here are some traits of ‘non’ high performing teams: • The team comes together, and each leader gives an update and then they walk away. • The leader tells the team members what they need to do • Some members of the team dominate discussions and others rarely speak. • Some members of the team are afraid to speak out on certain subjects. • Conflict is either personal or non-existent • There are varying levels of trust between colleagues and with the leader • Meetings tend to be unstructured, and most don’t see them as a good use of their time. Any of that sound familiar? When people complain about ‘too many meetings’ what they are really saying is ‘too many meetings that add no value’. So how do you go about building a high

performing team? 1.Be clear why the team needs to come together to collaborate, what is your purpose as a team beyond just sharing information? 2.Be clear on the few (no more than 3) things that you will all collaborate on. When I was at Mars this was Culture, talent development and organisational growth – Everyone had a stake in all 3 and they formed the basis of our agendas. 3.Build trust in the team – This starts with the leader and will involve everyone giving each other feedback on the different elements of trust in 1 on 1 conversations. Clarify your expectations of each other including of your leader. 4.Clarify your ways of working – What meetings or forums will you have, what is the purpose of each, who needs to be there, how long will they be? 5.Regularly review the above and adjust. Building a high-performance team is an investment in your organisation and will lead to significant benefits when done well. If you need a hand let me know and email Gerry@realleadershipnz.co.nz.”

Kiwi Favourites, now in convenient take home packs

Northland, Auckland & Waikato ANDREW PARK | +64 21 533 355 | andrew@diversityfoods.co.nz Central & Lower North Island ROGER PICKERING | +64 27 594 2248 | roger@diversityfoods.co.nz Diversity Foods Ltd | PO Box 97620, Manukau City, Auckland 2241 3 Diversey Lane, Wiri, Auckland 2025 Phone: 0800 462 244 | Fax: 09 577 5661 Email: info@diversityfoods.co.nz | Website: www.diversityfoods.co.nz

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1. EXCITING NEW CARIBBEAN JERK FLAVOURS Angel Bay is bringing the Caribbean to the kitchen with its new Jamaican Jerk BBQ Brisket patties. Teaming up with celebrity chef Jax Hamilton for the launch, it's BBQ but not as consumers know it. Jerk is still a lesser-known flavour in New Zealand, but Angel Bay is on a mission to bring Kiwis up to speed with this exciting new Caribbean brisket patty. "Jerk is in my DNA," said Jax Hamilton. "When you grow up in a Jamaican household you always have some in the fridge." With all the convenience of the Angel Bay products consumers already know and love, this spicy, smokey, everyday deliciousness will quickly become a mainstay on weekly shopping lists. One dollar per pack is also donated to St. John Ambulance. Available for a limited time only

2. NEW GRAZE CRAFTY BLENDS Hey beer lovers, we’ve got something new to add to the Graze Crafty Blends range. For these extra tasty little numbers, we had you in mind, making the perfect snack to match your perfect beer. We’ve taken humble peanuts, craftily coated them in a moreish shell and roasted them to perfection for two times the crunch. Then we fired up the flavour with either a tangy Woodfired BBQ OR spicy Sweet Chilli seasoning that will make your mouth water, your tastebuds sing and your beersies go down even better. Cheers to that! Available at New World and Pak n Save Stores from 14th March 22.

3. FRESHLIFE BRINGS INNOVATION TO THE BAKING MIXES AISLE Do you fancy a little guilt-free indulgence? Then FreshLife’s exciting new Raw Slice Mixes range will offer just what you need. Available in three café favourite flavours; Fudgy Cacao Brownie, Zesty Lemon Slice and Smooth Caramel Slice, each of their mixes is packed full of healthy ingredients like almonds, cashews and dates. They’re also Gluten Free, Refined Sugar Free and 100% Plant Based, and at less than 200 calories per prepared serve, they’re perfect for indulging your sweet tooth without feeling guilt afterwards. All you need is a couple of ingredients and a fridge freezer to set your slice – no baking is required. You won’t even need a baking tray, just line the retail box with baking paper, it’s the perfect fit – how convenient is that! Available now from selected supermarkets. RRP $7.59. For more information visit www.freshlifefood.co.nz or call 0800 373 745.

4. PINK, PUNCHY AND POWERFUL The Apple Press is beyond proud to be launching a Pink Lady® 800mL apple juice in their new round bottle and new design. Crisp and refreshing, with a taste unlike any other the Pink Lady® apple invites you to ‘taste the wow’. The Apple Press Pink Lady® juice stands strong at the tart end of their sweet-o-meter, providing apple juice lovers with an exciting and a unique flavour profile. The Apple Press Pink Lady® 350mL juice picked up a Gold Medal award in the Chilled Delights Black Box Campaign in April of last year. After tasting The Apple Press Pink Lady® Apple Juice 91 percent of consumers said they would recommend it to others, with 80 percent stating they were hooked and intended to purchase again. For more information, email hello@theapplepress.co.nz, call 0800 LOVE APPLES or visit www.theapplepress.co.nz

5. ITALIAN CRUNCH Bruschette, is a symbol of Italian culinary tradition. Ghiotti's new Bruschette is baked, not fried, palm oil-free and vegan friendly. These crunchy slices of toasted bread can be enjoyed as a snack, on a platter or with soup. Available in two variants, Olive Oil and Tomato & Basil. For more information contact Info@granarolo.co.nz

6. SUSTAINABLE BEAUTIFUL DELICIOUS The Remarkable Chocolate Co. create award-winning, high quality, artisan chocolate right here in New Zealand, using sustainable, beautiful and delicious local and imported ingredients. You can find Remarkable Chocolate scattered throughout New Zealand on the shelves of good food stores, gourmet grocery and selected gift stores, as well as online. Remarkable Chocolate means matching high-quality chocolate with real ingredients in delicious combinations for every season, occasion, and dietary requirement. It’s Remarkably Good. This Easter try the premium 56 percent dark chocolate bunnies using organic, sustainable and award-winning, single-origin Peruvian chocolate. With three different flavours available, Smooth Dark Chocolate, Dark Chocolate with Raspberries and Dark Chocolate with Ginger & Salted Caramel, there is something for everyone. For wholesale enquiries and orders please contact the small but mighty team at hello@remarkablechocolate.com.

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Supplying quality Italian smallgoods to New Zealand supermarkets, hospitality trade and delicatessen wholesalers. Call us now for authentic quality Italian smallgoods.

Granarolo New Zealand Ltd

337 High St, Boulcott, Lower Hutt 5010, New Zealand

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