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AUGUST 2021 – Volume 8 – No 7
PLUS! INTERNATIONAL FLAVOURS n FROZEN PRODUCT TRENDS n EVENTS n WHAT’S HOT n NEW ZEALAND’S LARGEST FMCG AUDIENCE
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
Drink Yourself Healthy
contents AUGUST 2021
UP FRONT 4
EDITOR’S NOTE
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INDUSTRY NEWS
10 BEST IN SEASON Fresh produce update
SPECIAL FEATURES
20 37
14 RICE & PASTA Category insights 16 FROZEN FOOD TRENDS 20 INTERNATIONAL FLAVOURS
REGULARS 12 FRESH LOOK FOR FARRO 21 ANYTHING BUT PLAIN Dole Introduces Plantains, the most versatile fruit 25 WHAT’S HOT New products in store 26 DRINK YOURSELF HEALTHY WITH RESTORE BONE BROTH TONICS! 27 HEALTH & WELLNESS 27 COVER STORY New high protein almond milk to boost your morning
GOOD BUSINESS 28 INDUSTRY NEWS AND INSIGHTS 30 FMCG BUSINESS PRODUCT OF THE YEAR This month’s finalist is effective naturally 31 NEW FORMAT FOR TRAINING EMERGING LEADERS 32 FGC Facing our logistics nightmare 33 LEGAL ADVICE 34 SIPPER FOUNDER DRIVEN BY SEARCH FOR HEALTHY ALTERNATIVE
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35 PROFILE Say HELLO to new gourmet and keto ready meals 37 OUTSTANDING NEW PRODUCT AWARD PROVES THE LOAF RECIPE
EVENTS 38 JOIN US AT THE FMCG BUSINESS MARKETING SUMMIT! 40 FIRST QUEEN REIGNS SUPREME AT NZ PIE AWARDS 41 BEST NZ VEGAN CHEESES REVEALED 41 WHAT’S ON Events for your diary 43 OUT & ABOUT Our people at work and events around the country
CONVENIENCE & IMPULSE RETAILING 44 EDITOR’S NOTE 45 NZACS: Photo gallery from the Convenience Market Review Business Breakfast in Christchurch 46 CONVENIENCE MARKET REVIEW Lance Dobson from NielsenIQ outlines opportunities for convenience retailers 48 STRIKEFORCE Jon Barrell gives five tips for growing sales and profits 49 GOODTIME The Napier-based pie maker has been recognised for its vegan sausage roll 50 NEWS
21 FMCG BUSINESS - AUGUST 2021
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[ editorial ]
TRENDING: SAFETY, RESILIENCE, CONVENIENCE The last year has presented us all with a multitude of new challenges. Amidst the anxiety and turmoil of a pandemic we seek holistic, resilient solutions, more thoughtful consumption and ways to fight back. Shoppers want new ways to make life both convenient and safe, inside and outside. Sanitisers, immune-boosting drinks and easy meals are among some of the products that are driving sales right now. Our chat with Farro CEO Bryce Howard revealed interesting areas of growth and the latest consumer trends. Find out more on pg 12-13. Crises often give rise to remarkable innovations. If you have a hero product that deserves to be crowned FMCG Product of the Year 2021, we’d love to hear from you (see pg 30 for more details). “Good suppliers are recognising existing and emerging trends by identifying who their customers are and building brand loyalty,” said Foodstuffs South Island CEO Steve Anderson at the recent Primary Industries Summit. “With trends like low alcohol, frozen, which is huge, and plant-based flexitarians on the rise, suppliers need to think about how their products can either be adapted to meet these trends, or if there’s an opportunity to grow by diversifying their offer.” Turn to page 16-19 for a closer look at the Frozen category, with valuable insights from IRI. There’s a lot going on in New Zealand, from Farmers doing it tough and protesting all over the country, to the ComCom grocery sector report, and serious international freight disruptions. Please join our daily conversations on Facebook, Instagram, LinkedIn or Twitter to share your thoughts. You can also subscribe to our weekly news, over on www.fmcgbusiness.co.nz. We hope to catch up with you at the FMCG Business Marketing Summit - an inspiring networking event in Auckland on 5th October (see all the details on pg 38-39). Enjoy this issue,
Tamara Rubanowski trubanowski@intermedianz.co.nz www.fmcgbusiness.co.nz
PUBLISHED BY C&I Media (NZ) Ltd PO Box 109 342 Newmarket, Auckland 1149 MANAGING DIRECTOR Simon Grover COMMERCIAL DIRECTOR Safa de Valois safa@c-store.com.au EDITORIAL DIRECTOR James Wells james@intermedia.com.au HEAD OF CONTENT Tamara Rubanowski trubanowski@intermedianz.co.nz ph: 027 278 4761 MANAGING EDITOR – C&I NZ Deb Jackson d.jackson@c-store.com.au NATIONAL SALES MANAGER Vicky Bennett vbennett@intermedianz.co.nz ph: 021 626 115 SALES DIRECTOR Wendy Steele wsteele@intermedianz.co.nz ph: 021 300 473 ART DIRECTOR Ryan Vizcarra ryanv@intermedia.com.au PRODUCTION MANAGER Jacqui Cooper jacqui@intermedia.com.au DIGITAL AND PRINT COORDINATOR Eclypse Lee elee@intermedianz.co.nz C&I Media takes its Corporate and Social Responsibilities seriously and is committed to reducing its impact on the environment. We continuously strive to improve our environmental performance and to initiate additional CSR based projects and activities. As part of our company policy we ensure that the products and services used in the manufacture of this magazine are sourced from environmentally responsible suppliers. This magazine is printed on Impress stock from Spicers Paper using FSC-MIX source pulp from responsible sources and other controlled sources. We print using BIO-inks that contain base materials from renewable resources including wood resin (rosin, colophony), vegetable oils, linseed oil and soy bean oil. This magazine is printed by ICG, an ToitŪ enviromark gold certified printer.
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AUGUST 2021 – Volume 8 – No 7
ON THE COVER Keep an eye out for So Good™ High Protein Almond Milk in leading supermarkets New Zealand wide. Turn to pg 27 to find out more.
PLUS! INTERNATIONAL FLAVOURS n FROZEN PRODUCT TRENDS n EVENTS n WHAT’S HOT n NEW ZEALAND’S LARGEST FMCG AUDIENCE
FMCG BUSINESS IS PROUDLY ASSOCIATED WITH food& grocery COUNCIL NEW ZEALAND
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FMCG BUSINESS - AUGUST 2021
FMCG Business is audited and verified by ABC. DISCLAIMER This publication is published by C&I Media (NZ) Ltd (the “Publisher”). Materials in this publication have been created by a variety of different entities and, to the extent permitted by law, the Publisher accepts no liability for materials created by others. All materials should be considered protected by New Zealand and international intellectual property laws. Unless you are authorised by law or the copyright owner to do so, you may not copy any of the materials. The mention of a product or service, person or company in this publication does not indicate the Publisher’s endorsement. The views expressed in this publication do not necessarily represent the opinion of the Publisher, its agents, company officers or employees. Any use of the information contained in this publication is at the sole risk of the person using that information. The user should make independent enquiries as to the accuracy of the information before relying on that information. All express or implied terms, conditions, warranties, statements, assurances and representations in relation to the Publisher, its publications and its services are expressly excluded. To the extent permitted by law, the Publisher will not be liable for any damages including special, exemplary, punitive or consequential damages (including but not limited to economic loss or loss of profit or revenue or loss of opportunity) or indirect loss or damage of any kind arising in contract, tort or otherwise, even if advised of the possibility of such loss of profits or damages. While we use our best endeavours to ensure accuracy of the materials we create, to the extent permitted by law, the Publisher excludes all liability for loss resulting from any inaccuracies or false or misleading statements that may appear in this publication. Copyright © 2021 - C&I Media (NZ) Ltd
[ news ]
IS COMPETITION WORKING IN NZ’S RETAIL GROCERY SECTOR? The Commerce Commission’s draft report into competition in the retail grocery sector has found that competition is not working well for consumers in New Zealand. “If competition was more effective, retailers would face stronger pressures to deliver the right prices, quality and range to satisfy a diverse range of consumer preferences,” said Commission Chair Anna Rawlings. In November 2020, the Government asked the Commission to look at whether competition in the $22 billion a year grocery industry was working well and, if not, what could be done to improve it. “Our preliminary view is that the core problem is the structure of the market. In competitive terms, the major retailers, Woolworths NZ and Foodstuffs, are a duopoly, and while there is an increasingly diverse fringe of other grocery retailers, they have a limited impact on competition. This is because they are unable to compete with the major grocery retailers on price and product range in order to satisfy the widespread consumer demand for a main shop at a single store,” said Rawlings. The Commission observed features of the grocery sector which indicate the market is not working as well as it could be. These include persistently high profits being earned by the major retailers and high grocery prices when compared internationally. The level of innovation in the sector also appears modest by international standards. “The major retailers appear to avoid competing strongly with each other, particularly on price. Meanwhile, competitors wanting to enter the market or expand face significant challenges, including a lack of competitively priced wholesale supply and a lack of suitable sites for large scale stores," states the report. Other observations which indicate the market is not working as competitively as it could be include: • the complexity of the major retailers’ pricing strategies, promotions and loyalty programmes can confuse customers and make it difficult for consumers to make informed purchasing decisions • many suppliers have few alternatives but to supply the major retailers. This allows them to exercise their buyer power to push excess risks, costs and uncertainty onto suppliers. Suppliers report agreeing to these terms because they fear that otherwise their products may not be stocked. This conduct can reduce suppliers’ ability and incentives to invest and innovate, ultimately leading to less choice, lower quality, and potentially higher priced goods for consumers. “Without intervention, we currently see little prospect of a new or expanding rival being able to constrain the major retailers effectively, and improve competition in the sector,” said Rawlings. “We consider the best options for improving competition are those that enable an increase in the number of retailers directly competing against Foodstuffs and Woolworths NZ for a consumer’s main shop.”
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FMCG BUSINESS - AUGUST 2021
These draft options for recommendations include: • Making it easier for new competitors to enter or existing independent retailers to expand by increasing wholesale access to a wide range of groceries at competitive prices. • Making land more available through changes to planning laws and restrictions on the use of covenants. If these options were not feasible, had proved ineffective, or did not appear likely to improve retail competition within the desired timeframe, another potential option is to directly stimulate retail competition by creating a further major grocery retailer. Options to strengthen suppliers’ bargaining power with retailers include introducing a mandatory industry Code of Conduct and allowing suppliers to bargain collectively. Options to help consumers make more informed purchasing decisions and to enhance competition at the retail level include the introduction of mandatory unit pricing, as well as asking the major retailers to simplify their pricing and promotional practices, and ensuring that the terms and conditions relating to their loyalty programmes are clear. “We look forward to now testing our draft findings and options for recommendations in coming weeks through public submissions and a consultation conference, before publishing our final report,” said Rawlings. Source: https://comcom.govt.nz/about-us/our-role/competition-studies/market-study-into-retail-grocerysector/media-releases/commission-releases-draft-report-on-competition-in-the-retail-grocery-sector
CHECK OUT WWW.FMCGBUSINESS.CO.NZ
[ news ]
FOODSTUFFS SI STORES ROLL OUT ONLINE SHOPPING The phased roll out will continue throughout the South Island during 2022. As each store is owner-operated, the intention of online shopping is for New World and PAK’nSAVE customers to purchase groceries based on what is on the shelves at their local store. Both brands are offering Click & Collect, and customers can select any store from which to collect their order from. New World is also providing a home delivery option and this service will be location dependent, as there are different catchment areas depending on each customer’s local store. Furthermore, many New World and PAK’nSAVE shoppers who choose Click & Collect can enjoy the convenience of parking in a dedicated Click & Collect car park, where staff will bring the order out to the (L to R) Nadia Ollia, Lyn Marks, Amy Lovell, Lauran Brown, customer’s car. Tracey Schroeder and Harley Weller from New World Rangiora. Both New World and PAK’nSAVE South Island New World and PAK’nSAVE shoppers are set to customers will be able to place orders up to 7 days in advance. The enjoy added convenience as the supermarkets begin to roll out order checkout process can be completed up to 24 hours prior to online shopping. collection for PAK’nSAVE customers and up to 12 hours for New World Foodstuffs South Island stores began a staggered launch of their Click & Collect and home delivery customers. online offering from Motueka to Invercargill, with PAK’nSAVE Rangiora PAK’nSAVE Online customers can enjoy shopping for the same second in line to offer online shopping on Monday 12 July and New products they find in-store, and New World Online provides a great World Kaiapoi following on Monday 19 July. All Christchurch New World opportunity for shoppers to explore the recipe of the week, grocery stores will offer online shopping by Christmas. specials and dinner inspiration.
WORLD'S SECOND-LARGEST RETAILER TO OPEN IN NZ The roof is going on the first New Zealand building for Costco, the world's second-largest retailer. Costco’s website has launched, jobs are advertised, and Kiwis will soon be able to sign up for an annual membership to shop at the store, which is located in Auckland, near the Westgate shopping centre. Costco is now looking for retail workers ahead of the mega store’s opening early next year. Positions advertised include a membership marketing manager and an assistant general manager. It is expected that about 350 workers will be hired by the time the store opens. Costco has more than 100 million members across its 803 stores worldwide, including 12 stores in Australia, which sell everything from fresh food and groceries to supplements, furniture, TVs and even diamonds. In Australia, Costco prices are 25 to 30% cheaper than at other retailers and similar discount pricing is expected for New Zealand. Costco New Zealand Managing Director Patrick Noone said the company is also considering opening stores in Wellington and the South Island, after Auckland. For more information visit https://www.costco.co.nz/ Inside a Costco store
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FMCG BUSINESS - AUGUST 2021
Pop-up leadership course NZQA accredited to Level 3
A course for Competenz industry partners. Ideal for those in emerging leader roles or early leadership, and frontline leaders. This course has the best mix of self-study, group discussion, and learning through interesting, relevant content.
Next courses starting: Hawkes Bay
19 October
Learn • How to lead through change and how to be an emotionally intelligent leader • Wellness and resilience for your team
Auckland & Christchurch
20 October
• Creating space and time for you to lead via effective delegation and coaching • Goal-setting and problem-solving techniques • Effective team communication including TetraMap ‘Why are you like that?’ module • How to lead your team through a project - from ideas to evaluation • Technology for modern leadership - from meetings to remote teams
How is it delivered? • Flipped model delivered over 7 months
“Especially if you’re an aspiring leader, this course will help you achieve what you need to achieve.” Sione Vakalahi, Factory Manager, Solo Plastics
• 21 x weekly 1-hour Zoom sessions • 3 x full-day face to face training sessions in Auckland, Hawkes Bay and Christchurch • Access to self-paced e-course materials to support learning
Price
• Extra support for NZQA assessment completion
$990 per person* including TetraMap profile.
Get in touch with Holly Patterson to learn more: 021 156 3242 or holly@upskills.co.nz *Competenz industry partner price based on manufacturing, food and beverage sector, printing, engineering or fire protection. Discounts for groups of 3+ people
[ fresh produce ]
BEST IN SEASON
“STORE KŪMARA IN A COOL, DARK PLACE THAT IS WELL VENTILATED.”
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August marks the last month of winter, so now is the time to take advantage of fresh produce more readily available at this time of year. Brussels sprouts, parsnip, yams, swede and leeks fit into this category and are great value right now. Staples such as cauliflower, cabbage, broccoli and carrots are also in full swing and are essential items that should always be featured. Rhubarb, which is thought of as a fruit, is actually a vegetable and is in season until October. Winter fruit options include sweet and delicious Navel oranges, kiwifruit, lemons, limes and grapefruit. Beautiful, exotic tamarillos are only around until the end of August and along with imported mangos, are a nice addition to your produce department. Since May, a record volume of avocados have been packed for the New Zealand market, up 65% on the same period last year. This extra supply in the market is resulting in lower than usual prices at present. Try to feature avocados prominently to encourage consumers to take advantage of this.
Kūmara There are four main types of kūmara Orange (Beauregard), Red (Owairaka), Gold (Toka Toka) and the newest variety available, Purple Dawn. This variety has purple skin and flesh and is not as sweet as Orange or Gold kūmara. The majority of our kūmara is grown in Northland in the Northern Wairoa region where soil type and climatic conditions suit this root crop perfectly. Kūmara is harvested between February to April and is then stored in a temperature and humidity-controlled environment. During this important
FMCG BUSINESS - AUGUST 2021
storage period, they undergo a naturally occurring process converting starch to sugar. From this harvest, growers calculate regular consignments of produce that is sent to packhouses to be distributed year-round. What to look for: Kūmara should be firm with smooth and unbroken skin. Aim to buy regularly - ideally no more than a week’s supply at a time to ensure freshness. Stock as many varieties as possible as this vegetable is a consumer favourite. Storage/handling: Store kūmara in a cool, dark place that is well ventilated. Do not refrigerate as this can cause bitterness. Nutrition: Gold and Orange kūmara contain a good source of vitamin A, which supports healthy growth and development. Red kūmara contain a good source of vitamin C, which helps support immunity and mental wellbeing. All kūmara is a source of dietary fibre to help aid healthy digestion.
Fresh herbs Although herbs naturally flourish in spring, hydroponic growing has extended the season, ensuring a reliable supply year-round. Demand for fresh herbs has been steadily increasing and provide consumers with a natural, healthy way to add flavour, nutrients and minerals to everyday meals. A large selection of potted and convenient pre-cut herbs are available including basil, coriander, mint, sage, fennel, chives and parsley. What to look for: Choose clean, crisp, brightly coloured leaves with a pleasant aroma. Stock a range of the large variety available to create a visually appealing display. Storage/handling: Herbs are highly perishable, so buy small quantities regularly and maintain good stock rotation principles. Use refrigerated shelving for display between 2-7°C.
Join us on
www.unitedfresh.co.nz
*1 BILLION healthy bacteria per serve
The new store design in Lunn Ave
The team at the Lunn Ave store
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FMCG BUSINESS - AUGUST 2021
[ feature ]
FRESH LOOK FOR FARRO
Farro Fresh is celebrating their 15th birthday this year with a new look for their Lunn Ave store in Auckland. This is the first major renovation since Farro Lunn Ave opened back in 2006. Lunn was the original Farro store – the first of six stores to open. The makeover has been store-wide with new purpose-built shelving, refrigerators, serve-over counters and signage. The result is a much lighter, brighter look and larger, more open, layout, designed to make the shopping experience easier, safer, and more inspiring than ever. Farro has expanded their Ready to Go area with a growing offering of delicious hand-made meals and desserts from the Farro Kitchen. The team has also introduced a new Wellbeing Section, filled with health foods and quality supplements - the first of its kind in any Farro store. Shoppers can stock up on soaps and cleaning products at the ecostore refillery station, select fresh microgreens for smoothies and salads, or enjoy a freshly squeezed orange juice. A new-look deli section offers fresh salads, pasties, lunch staples, cakes and Allpress barista coffee, as well as new offerings like the Daily Bread range, Little + Friday pies and Roti Bros pies. Farro’s market day-style ‘Grand Re-Opening’ event took place at the Lunn Ave store on Saturday 10th July with plenty of tasters from some favourite Farro suppliers. Any purchase over $20 let shoppers have a go at the Farro Spin + Win wheel, with delicious prizes to be won.
Top trends and a new store FMCG Business caught up with CEO Bryce Howard, to find out more about trends at Farro and new plans in the pipeline. “Some of the big consumer trends we are seeing at our stores this year include the growth of the health and well-being section, with collagen products and nutraceuticals driving sales,” he says. “Refillery stations for milk and ecostore products are also popular at Farro and shoppers are enjoying the freshly squeezed orange juice,” adds Howard. “Produce and our Grab-and-Go meals are growing strongly and we have invested in new shelving and display cabinets for this section. Sales of Farro’s easy meals have grown 60% in the last 13 weeks and they account for 40% of our online sales. The Grab-and-Go meals are made in our kitchen daily and delivered fresh to our stores. “Our online shopping service is currently only delivering within Auckland, but we are working on expanding this to a wider area, from Wellsford to Taupo.” Farro’s expansion plans also include a brand-new store, which will be opening in Takapuna before Christmas 2022, says Howard. “We are also considering a few other sites in the Auckland area and may look at opportunities in Mount Maunganui and Christchurch in the near future.” FMCG BUSINESS - AUGUST 2021
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RICE & PASTA A quick snapshot of new and best-selling products.
Exciting new organic rice varieties with high levels of antioxidants have arrived in store and the Pasta category has evolved too. We now find ‘better for you’, high fibre, high protein, and gluten-free pasta variants on offer. San Remo’s Pulse Pasta range, for example, ticks some of these boxes with dried pasta made from lentils, peas, chickpeas, or brown rice.
Diamond Pasta & Rice Risotto Wilson Consumer Products markets the Diamond brand of Pasta as well as Diamond Rice Risotto and Meals. Diamond pasta is New Zealand’s first pasta brand, which was launched around the time of World War II. Unlike most pasta brands on the market today, Diamond is still Kiwi owned. “Generations of Kiwis continue to love the Diamond brand, which aims to be a cook’s best friend,” explains Marketing and Business Development Manager Susan Harvey. “Diamond has developed something for all cooks - from 14
FMCG BUSINESS - AUGUST 2021
confident experienced cooks to those who are less confident in the kitchen. “We have recently incorporated several features in our products that make life easier for every cook. For example, most of our pasta packaging is recloseable, so you don’t need to transfer pasta into another container. We also found that many people struggled to gauge how much dry pasta to cook up, which often results in too much finished pasta which was then thrown away. Each Diamond pasta pack has portion markings, which act as a guide on how much to cook for each person, minimising food wastage. “For those who are in a hurry or who are less confident in the kitchen, our range of Diamond Rice Risotto offers an easy family meal solution. Rice Risotto only takes 20 minutes to cook and just requires the addition of oil and water to make up a wholesome family meal. Rice Risotto can be eaten on its own or with the addition any meat or vegetables; also making it an ideal versatile meal option to keep in the pantry. The range also has
“DIAMOND WAS THE FASTEST GROWING BRAND IN THE LAST QUARTER WITH SALES UP 31%”.” SUSAN HARVEY, MARKETING AND BUSINESS DEVELOPMENT MANAGER
[ category insights ] handy little icons to help consumers to shop for their dietary needs from plant based to vegan, to vegetarian and gluten free there is something for everyone. “Diamond continues to grow strongly and was the fastest growing brand in the last quarter with sales up 31%*,” says Harvey. *IRI Data Diamond Pasta Quarter to 27/6/21 versus prior period.
Pasta made fresh in NZ Delmaine’s recent relaunch of their family range of Pasta and Pasta Sauces has generated renewed interest. The new look packaging celebrates the freshness of the quality ingredients. Every product in the range has either been reformulated or created by a trained chef, and the flavour profiles reflect this. Sales of Delmaine Pasta and Pasta Sauces have increased significantly since the new packaging and products hit shelves, with some stores re-ranging the products for the first time in five years. “The sales uplift has been so significant, that at times we have struggled to keep up with demand. Whilst it’s a nice problem to have, its one which we are working hard to rectify with new machinery that will increase capacity by 50% due to be commissioned in September,” says Nicole Detman, Sales Director for Delmaine Fine Foods. “Our ex-factory Pasta Sauce sales for June, where we had no supply constraints, reached 149% of June 2020. This is an impressive result and an indication of the potential of our new range,” Detman says. Delmaine is a locally owned business with local manufacture of all of their Pasta and Pasta Sauce this means product is made fresh, shipped fresh and supplied fresh from factory to fridge. To discuss opportunities for Delmaine Pastas and Pasta Sauces in your store, please talk to your local Delmaine sales rep or contact us on 0800 335 624.
Jasberry rice Jasberry rice is a unique variety of rice that is considered to be the healthiest rice in the world due to its high antioxidant content. “This little grain of rice is changing the world,” says Brand Manager Rose Findlay. She explains: “Jasberry rice is a superfood with 40 times more antioxidants than brown rice, seven times more than kale and three times more than red quinoa. Jasberry rice is: • Certified organic • Gluten free • Non-GMO • 100% whole grain Jasberry rice has a stunning rich purple colour, soft texture and is aromatic with a delicious nutty taste.
Easy to cook (no rinsing) and extremely versatile both hot and cold, sweet and savoury (use in salads, soups, curries, dessert, breakfast, baking). Jasberry Co. Ltd is a social enterprise, committed to transforming the lives of rice farmers in Northeastern Thailand in a sustainable manner while providing innovative and healthy organic food products to the world. Jasberry is working with 2,500 farmer families who have converted to organic farming and have been specifically trained to grow this high quality, innovative rice breed. Jasberry Co. Ltd is Thailand’s first Certified B Corporation. “With an increasing demand for better for you products, Jasberry rice provides consumers a healthy, organic product that is socially and sustainability responsible, it really ticks all the boxes,” says Findlay. There are two varieties available: Jasberry Rice Original 500g and Jasberry Rice Mix 500g, which is an equal blend of Jasberry and Organic Brown Jasmine Rice. Selling now at New World stores New Zealand wide, Farro and Huckleberry. Jasberry Rice is distributed in New Zealand by Findlay Foods Limited. For more information or to place an order email sales@findlayfoods.co.nz, phone 09 5252521 or visit @JasberryRice_NZ on Instagram and Facebook. Source: NIELSEN SCANTRACK Total Supermarkets - MAT to 20/06/2021 Val $ Sales
Val % Chg YA
TOTAL RICE, NOODLES & PASTA
194,639,013
-3.5%
Rice
76,161,282
-7.9%
Noodles
49,663,335
-1.8%
Dry Pasta
45,530,118
-3.1%
Fresh Pasta
23,284,278
8.0%
FMCG Business produces a monthly snapshot of category news and highlights, based on information from participating clients and Nielsen data available at time of print. To showcase your products in upcoming category reports, please contact trubanowski@intermedianz.co.nz. FMCG BUSINESS - AUGUST 2021
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FROZEN EXPLOSION After last year’s sales boost, it seemed Kiwi shoppers were giving frozen food the cold shoulder – but if recent data is anything to go by, they’re not about to let it go. About 34% of New Zealanders rely on convenience products to make cooking quick and simple, meaning frozen foods are a valuable addition to any shopping list – one that sees one in three shoppers regularly reaching for them5. As well as this need for speed and ease, the lift in sales in recent years can be attributed to product innovations that align with our dietary demands and desire for discovery and indulgence, capturing interest across a broader spectrum of consumers.
The big chill Pravina Patel Insights Consultant Solutions & Innovation at IRI
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Today, frozen food has reached $1.1 billion in annual sales and now makes up 7.4% of total pre-packaged groceries4, compared to 6.5% in 2019. The ‘at home’ trend in 2020 and ‘circumstantial consumption’ prompted by Covid-19 gave frozen foods a boost of 19.1%, trending ahead of total food and beverage sales in the grocery channel1. However, to date in 2021, the frozen aisle has been thawing out, with sales melting 7.5% on last year2. Consumers are coming back though, and the June period has seen a turnaround, improving 2.8%3 on last year and 20.6% compared to June 2019, leading to 1.3% growth in the latest 52-week period4.
FMCG BUSINESS - AUGUST 2021
Global flavours Perhaps a reflection of Aotearoa’s changing population, internationally influenced snacks and meals are an area of sustained attention in the frozen food aisle. Local consumers are willing to explore more diverse flavours, with 52% of Kiwis claiming they ‘like to try new ethnic foods’5. Asian buns and dumplings alone have risen 10.7%, with 27 new products launched in in the latest 52-week period. New Zealanders’ passion for DIY has even seen dumpling-pastry sales steaming 38.8% ahead of the equivalent period last year. Brands like Kungfood, Cartel and Elliott-Bateman, providers of frozen Asian, Mexican and Indian meals, have all experienced remarkable growth this year. And although it remains niche, the Asian influence is exerting itself on frozen desserts as well, with Lotte’s range of Yukimi Daifuku mochi products soaring 33% in the past 12 months4.
Big on bites Taking their cue from our love of ‘quick and tasty’, frozen ‘bites’ are big news. Launched in late 2020, Ingham’s Chicken American Bites are boasting sales of almost $700,000 in the past year; Howler
[ feature ] Hotdogs’ range of Mini Munchers have grown 46%; and Leader’s range of vegetarian bites are up 14.2% on the same period in 2020. Kraft Heinz is also in on the act, launching Wattie’s Veggie Bites, including the likes of Broccoli Fries and Crispy Cauliflower Florets4.
All the better ‘Better for you’ options are also drawing in Kiwi consumers. In frozen meals, brands such as Super Nature Wellness Bowls and McCain Healthy Choice are successfully surfing the wellbeing wave. Among the retailers and manufacturers finding new ways to sell nutritious ingredients to shoppers seeking time-saving short-cuts, Countdown recently introduced store brand Prep Set Go, offering pre-cut frozen vegetables such as pumpkin chunks and sliced zucchini. Hot-right-now vegetables like kale and seaweed are going strong in the freezer, and as cauliflower continues to become a more mainstream carbohydrate alternative, sales of frozen cauliflower ‘rice’ have increased by 21.8% in the past year4. Frozen fruit delivered an extra $3.8 million in sales this year, while products like Blue Ribbon Protein Bar ice-creams have succeeded in satisfying our sweet tooth and hankering for a healthier option by being high in protein and low in calories, fat and sugar4.
“FROZEN FOOD HAS REACHED $1.1 BILLION IN ANNUAL SALES AND NOW MAKES UP 7.4% OF TOTAL PRE-PACKAGED GROCERIES” Sweet sensations Kiwis’ craving for indulgence is also sweetening sales, and manufacturers are working hard to entice us. Ice-cream ranges such as Tip Top Crave and Magnum Luxe are satisfying our appetite for options and excitement and have both seen impressive gains this year of $3.4 million and $2.3 million respectively. Brands typically seen on confectionery shelves can now also be found in the freezer – think Toblerone and Oreo cheesecakes, and Cadbury and Hershey’s ice-cream4 – and unique takes are similarly tempting tastebuds: Duck Island’s clever ice-cream combinations, like White Chocolate Pomegranate Macadamia and Strawberry Coconut Kaffir Lime, helped the brand scoop an additional $658,000 in sales this year4.
Plant-based meets meat-mania
Celebrating the cold snap
As it is in many other realms, the plant-based craze is flourishing in the frozen food aisle, and along with vegan options can be found in a number of categories – Let’s Eat meat alternatives; Mrs Green’s vegan pizzas; V on Wheels’ ready-to-eat meals; and The Damn Good Food Company desserts, to name a few. But despite the success of brands like these, consumers aren’t completely moving away from meat. In fact, the meat category is leading frozen food’s growth, delivering an additional $11.5 million this year. Category blockbuster Tegel Take Outs, which mimics takeaway favourites, continues to see a significant rise of 73.6% compared to a year ago4.
Due in part to the many interesting innovations, frozen food looks set to retain its appeal among local shoppers, and for the increasing numbers who rely on convenience products to make cooking a cinch, it’ll undoubtedly continue to deliver. All this means brands have an opportunity to respond to developing trends in order to stay competitive, gaining momentum in an ice age for the new millennium. Source: 1 IRI MarketEdge Grocery, New Zealand, Value, 2020 2 IRI MarketEdge Grocery, New Zealand, Value, YTD to 27/06/2021 3 IRI MarketEdge Grocery, New Zealand, Value, 4 weeks to 27/06/2021 4 IRI MarketEdge Grocery, New Zealand, Value, MAT to 27/06/2021 5 IRI State of the Industry Survey 2020
Covid-19 key catalyst in 2020 frozen explosion % Dollar Sales Growth vs. Year Ago 26.9 15.3 4.3 6.3
4.5
7.0
11.8 5.8
2.1 2.8
-6.6 -7.5 1st half of 2019
2nd half of 2019
1st half of 2020
2nd half of 2020
Total Food & Beverages
1st half of 2021
June 2021
Total Frozen
Source: IRI MarketEdge Grocery, New Zealand, Value 1st half of 2019 [26 weeks to 30/06/2019], 2nd half of 2019 [26 weeks to 29/12/2019], 1st half of 2020 [26 weeks to 28/06/2020], 2nd half of 2020 [26 weeks to 27/12/2020], 1st half of 2021 [26 weeks to 27/06/2021], June 2021 [4 weeks to 27/06/2021]
FMCG BUSINESS - AUGUST 2021
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FROZEN INNOVATION What’s new and driving sales in the freezer aisle?
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FMCG BUSINESS - AUGUST 2021
[ feature ]
Exciting innovations have arrived in our stores. We found gluten-free pizzas, quick-bake fries and frozen dessert sandwiches from Korea with chocolate, red bean, or green tea flavoured filling, alongside new plantbased products in the freezers at a PAK’nSAVE supermarket in Auckland this month. The demand for convenience meals that cater for vegetarians and vegans is driving innovation in the plant-based space and new, allergyfriendly products are also emerging.
Birds Eye Vegetable Rices “Carb Replacements (Vegetable Rices) are the fast-growing sub-segment within Frozen Vegetables with value growth of +41.5% and $1.5m* RSV,” says Jayna Sukha – Category Development Executive at Simplot New Zealand Ltd. “The sub-segment now holds a 16% share of the Value-Added segment, up from 9% YA,” says Sukha. Simplot launched Birds Eye Cauliflower Rice and Broccoli & Cauliflower Rice in February 2020. “These have been a huge success, adding $713k to the category and are now market leaders in the Carb Replacements sub-segment with 36.5% share.” Following the success of the Birds Eye Vegetable Rices, two new extensions have been added to the range: Seasoned Broccoli, Cauliflower, Garlic & Parsley; and Cauliflower & Coconut. “The new range of Birds Eye Veggie Rices are the easy switch to get more veggies in,” says Sukha. *All data NielsenIQ Scantrack MAT to 04/07/21
Birds Eye Plant-Based Meats Plant-based meats are increasingly becoming the ideal way for consumers to substitute meat without compromise on taste and texture. “Within the NZ retail market, the frozen vegetarian segment grew at +31% over 2020 (source: NielsenIQ Scantrack MAT to 27/12/20),” explains Jayna Sukha – Category Development Executive at Simplot New Zealand Ltd. Key consumer drivers for following a vegan or vegetarian diet are animal rights and health considerations with over 50% of Generation Z indicating a desire to restrict their meat or other animal-based products intake (source: Euromonitor Health and Nutrition, February 2020). Simplot is introducing plant-based meats under the Birds Eye brand
“THE FROZEN VEGETARIAN SEGMENT GREW AT +31% OVER 2020.” JAYNA SUKHA, CATEGORY DEVELOPMENT EXECUTIVE AT SIMPLOT NZ with Chicken Style Tenders, Chicken Style Strips, Burgers, Mince and Meatballs. These product ranges are soy-based protein with added natural plant-based components. “Birds Eye plant-based meats will be available in supermarkets from September 2021,” says Sukha.
Award-winning, premium NZ ice creams The founders of PURE NZ Ice Cream share a love for real, sustainable food. This led them to become producers of PURE, artisan ice creams, gelatos and sorbets in stunning Wānaka. Sourcing high-quality, all-natural ingredients at prices that allow for premium ice cream to be delivered, whilst keeping the consumer happy with what they are paying for, is the biggest challenge. Due to a key brand pillar for PURE NZ being the use of allergen-free, natural ingredients with strong local provenance, cutting corners is nonnegotiable. Therefore, consumers can be certain they are receiving a premium product for their investment in PURE NZ ice cream. It is the natural goodness of the ingredients that create delicious and original flavours across their range of hand-crafted ice creams. It was this intense flavour in the PURE NZ Boysenberry Ice Cream that wowed the Outstanding NZ Food Producer Awards judges in 2020 when it was named Dairy Champion. To find out more about PURE NZ Ice Cream visit them at https://www.purenzicecream.com/ Meanwhile, at the Outstanding NZ Food Producer Awards 2021, Gold medals were awarded to Mint & Belgian Chocolate Ice Cream and Ginger Biscuit Ice Cream from Appleby Farms. FMCG BUSINESS - AUGUST 2021
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[ category insights ]
INTERNATIONAL
FLAVOURS Exciting new inspiration for shoppers.
Remember when travelling around the world was easy? Our borders may be closed due to an ongoing pandemic, but New Zealanders still love to explore exciting new flavours. The IRI State of the Nation Survey 2020 confirmed that 52% of New Zealanders ‘like to try new ethnic foods’. In addition to an increasingly diverse demographic, shoppers are inspired by social media, TV shows, ethnic restaurants and fond memories of visiting distant places. You will now find Mexican Fiesta nights, aromatic Indian curries and Italian-inspired long lunches on the weekend in many homes, from Invercargill to Kaitaia. Convenience is important for many shoppers, and we see that sales of frozen pizza bases in our supermarkets have increased by 47% (source: Nielsen Scantrack - Val % Chg YA MAT 20/06/21). Glen Goodall, National Sales Manager at Farrah’s told FMCG Business: “After strong growth during the COVID-19 lockdowns, International Foods is currently going through a stable period. Mexican is at $38.62M (-3.8% MAT 11/07/21 IRI) and there has been some successful innovation in the category that has produced positive results. “The Mexican category has flattened over the quarter, however positive growth is now coming back into the category driven by Farrah’s refreshed range delivering +48.9% dollars growth (% YA Quarter to 11/07/21 20
FMCG BUSINESS - AUGUST 2021
IRI). Other innovation in the subsegment of sauces has seen brands such as Culley’s meeting the consumer thirst for new flavours. He adds: “Consumer insights show convenience remains important fast, fresh and flavoursome meal solutions that provide healthy, betterfor-you, tasty meals that can be enjoyed by all the family. Possibly driven by the absence of travel there is a segment of consumers looking for ethnic flavours and recreation of restaurant quality fusion meals at home, again looking for fresh and flavour in these meals. Taco tortilla carriers are a great example of this, we have seen strong growth from Farrah’s taco tortilla where consumers are freestyling these fusion creations that are not just your typical Mexican creations but venture into customising these to suit their tastes, heat and spice levels easily so the whole family can enjoy the one meal.”
Consistent growth Keezia Haste, NZ Country Manager at General Mills told FMCG Business: “We have seen consistent growth in International Foods driven by more consumers coming into the category, consumers spending more and buying often! Covid had an incredible impact on this category, with more consumers cooking at home. Asian and Mexican have seen the biggest growth.
Continued on pg 22 ➤
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ANYTHING BUT PLAIN
DOLE INTRODUCES PLANTAINS, THE MOST VERSATILE FRUIT Leading global fruit supplier Dole is now bringing a unique new fruit to New Zealand supermarket aisles – the versatile and delicious tropical plantain. Grown across the globe and a staple food in many tropical countries, plantains are one of the most adaptable fruits in the world, and are perfect for soups, snacks, and even sweet desserts, depending on their ripeness stage. Indigenous to the tropical regions of Southeast Asia, plantains are enjoyed in West and Central Africa, the Caribbean, Central America, South America, and many tropical regions of the world. Dole General Manager Steve Barton says that with Kiwi shoppers keen to try new recipes and ingredients as they continue to stay at home and cook more often, Dole is anticipating that Kiwis will embrace this tropical ingredient over the coming months. “We are really excited to bring a new and likely unfamiliar fruit to Kiwis, giving them the opportunity to try something new that’s healthy, adaptable, and great-tasting.” “With more people staying home and embracing home cooking in 2021, there is an appetite for new and interesting ingredients and recipes – and we hope that plantains become a go-to ingredient for Kiwi cooks in a wide range of dishes.” Plantains are the savoury and sweet cousins of bananas, and stay delicious at any stage, which means they can be left in the fruit bowl for weeks and still be used. They start off green before turning yellow, and then finally black.
In their first stage they are firm and can be used as a potato substitute - perfect for boiling, steaming, or mashing or prepared in sauces and soups. Yellow plantains are usually baked, fried, or roasted as snacks; and spotted or black plantains are used for delicious desserts, sweet recipes, and smoothies. For ideal ripening, plantains should be stored at room temperature, or at higher temperatures to speed the ripening process. No matter the stage of ripeness, there is always something you can do with them – and they’re also a nutritious snack or ingredient, offering a rich source of fibre, vitamins, minerals, potassium, and magnesium. When green, it is best to peel plantains with a knife. Score the skin lengthways at several points and firmly pull it off or use a vegetable peeler. Once the plantain turns yellow, the skin should be scored crosswise with the knife before peeling. Once they turn black, they are easy to peel. When ripe, plantains freeze very well – simply peel and store in individual freezer bags. Dole has created some delicious recipes to show Kiwis just how many ways this savoury and sweet fruit can be used. Try creating patacones; a crispy savoury golden snack from the Caribbean, or a classic easy recipe - skillet fried plantains. This simply delicious, caramelised dessert is faultless when served with honey, a sprinkle of cinnamon, and ice cream. For delicious recipe ideas check out www.dolenz.co.nz. FMCG BUSINESS - AUGUST 2021
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[ category insights ] “Old El Paso saw strong growth during the lockdown periods. We really believe Mexican was such a perfect meal to bring families together during tough times, so we continued to invest in marketing to provide our consumers inspiring meal solutions to bring some fun to this time! Mexican is social, customisable and also a really great way to get lots of fresh vegetables into our families! June’s growth for the month +10.1% value growth is the first month we were free of the Covid impact from 2020, and we are excited to see the strong growth result in total category growth as well!” She adds: “Old El Paso launched Pockets in September 2020. This has been an extremely successful launch with both skus being in the Top 15 value ranked in total category (Total market [banner total] last 13 weeks period ending 18 Jul 2021). “We have also recently kicked off our Slam Dunk Mess Free Challenge campaign. This campaign invited global sporting stars to bring to life the ‘mess free’ element of pockets with their own version of a ‘Slam Dunk’ with a large donation element with a global target of 200,000
Source: NIELSEN SCANTRACK Total Supermarkets - MAT to 20/06/2021 Val $ Sales
Val % Chg YA
Total international foods
74,133,561
-4.6%
Asian simmer sauce
29,725,402
-6.4%
Mexican foods
44,408,160
-3.4%
Mexican carriers
18,215,375
-1.2%
Mexican meal ingredients
10,839,398
-7.6%
Mexican meal kits
10,907,685
-5.4%
Shelf stable dips
4,445,702
3.7%
Total herbs spices
80,365,750
-4.9%
Dry herbs & spices
40,234,409
-5.7%
Wet herbs & spices
14,831,068
-3.0%
Salt
11,261,364
-6.9%
Pepper
11,282,852
-1.7%
Curry powder
2,756,056
-6.3%
Continued on pg 24 ➤
FMCG Business produces a monthly snapshot of category news and highlights, based on information from participating clients and Nielsen data available at time of print. To showcase your products in upcoming category reports, please contact trubanowski@intermedianz.co.nz.
[ sponsored content ]
LET YOUR TASTEBUDS TRAVEL IN STYLE WITH BLUEBIRD DELISIO! Be transported around the world, with our new Bluebird Delisio flavours. Made with Kiwi potatoes, thinly sliced and cooked perfectly to give each chip a delicate crispness, then sprinkled with international-inspired special seasonings. Try American BBQ Ribs flavoured chips, inspired by a slowcooked, sticky smokey rack you’d find in the USA. You could be in dear old Britain itself, with the superb British Prawn Cocktail flavoured chips, just like the light and tangy British favourite. Or imagine yourself in the exotic piazzas of Italy, while you savour Italian Margherita Pizza flavoured chips, taking inspiration from the traditional and classic flavours of tomato, basil and mozzarella. Available in 130g sharing bags for a limited time only. Bluebird.co.nz Phone 0800 652 583
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FMCG BUSINESS - AUGUST 2021
[ sponsored content ]
NEW JALAPEÑO CHEESE KRANSKY ADDS SPICE TO LEONARD’S RANGE With a string of awards going back to the 90s, the team at Leonard’s know a thing or two about making a great sausage. Their latest addition joins the very popular Cheese Kransky and promises to be a true palatepleaser. It’s a Jalapeño Cheese Kransky, made with the finest quality beef and pork, and offering a classic combination of flavours. Owner and Group CEO, Robert Bell, promises their new product is a delicious option, and versatile too. “The eating experience starts with the creaminess of the cheese, then there’s a gentle hint of heat as the jalapeño kicks in,” he says. “It’s a traditional coarse-textured sausage, perfectly complemented by the lightly-smoked natural casing. We believe everyone deserves top quality kai at a great price and this new Jalapeño Cheese Kransky is the perfect example.” According to Robert, the new addition is perfect fried, grilled or cooked on the barbecue. “There are so many ways to enjoy it. Served as a traditional sausage, wrapped in pastry, in a bread roll–any way you like to serve it up, it will fit the bill.” Leonard’s new Jalapeno Cheese Kransky joins an established line up of sausages, bacon, ham, deli meats and packs, all created to bring family and friends together to enjoy great food and happy memories. Check out leonards.co.nz for details of the range. To order contact Viand Foods – call Robert or John on 0800 SAUSAGE.
DOUBLE
THE KRANSKY!
~ Cheese Jalapeno
KRANSKY SAU SAG ES
~ N E W JALAPENO CHEESE KRANSKY JOINS THE POPULAR CHEESE KRANSKY TO FIND OUT MORE ABOUT OUR AMAZING PRODUCTS PHONE
OR VISIT WWW.LEONARDS.CO.NZ
[ category insights ] Old EL Paso Kits. Locally in NZ we partnered with Tall Black, Tom Abercrombie and rugby legend Israel Dagg, donating a total of 16,000 Old EL Paso Pockets Kits to Foodbank Canterbury! We are really proud of this campaign and humbled to be able to give back to the community!”
Spice up entertaining! Alexandra Fine Foods makes the most authentic Dukkah in New Zealand. It is produced with premium batch-ground spices, herbs and nuts, all roasted and blended by hand to make this delicious ancient Egyptian spice blend as faithful to the original as possible. Best known as a dip enjoyed with artisan bread and olive oil, Dukkah is now increasingly used as an ingredient in cooking. It is ideal for adding wonderful exotic flavours to any dish – seasoning steaks, or dressing roasted veggies, for instance – and suitable for both gluten free and vegan diets. Alexandra’s Dukkahs are prepared the old fashion way by stone grinding whole spices, which helps to retain the freshness, quality, flavour and aroma. The range presents three ravishing blends – each using over 12 ingredients – with exquisite tastes and textures: • Traditional: Alexandra’s take on the original recipe,
made from hazelnuts, sesame, coriander and cumin. • Aromatic: more fragrant, made from pistachios, almonds, fennel and coriander. • Piquant: delightfully spicy, made from almonds, hazelnuts, coriander, paprika and chilli. Available at the deli section of New World, Pak’N Save, Farro Fresh, Moore Wilson and all major delis and now selected Countdown stores nationwide. Prices are usually under $10.
About Alexandra Fine Foods Inspired by the Mediterranean cuisines, Alexandra Fine Foods is a premium food manufacturer with a passion for spices and a wide variety of products based on exceptional ingredients. Alexandra’s uses their own spice blends, which are unique because of their exclusive proprietary recipes and preparation. They select their herbs, nuts and spices from very few suppliers who can meet their strict quality criteria. Alexandra’s offers a range of healthy and delicious ready-to-cook meals, traditional rice puddings, couscous, nuts and gourmet spice mixes, to enhance the everyday cooking experience and entertaining.
Rose Harissa paste
w g a – st! no cin oul es gu nd u m st u A rod er pa d A i t h in C ine m ew g m N Ta fro d e an abl l ai av
If you love Mediterranean flavours, then you’ll love our
Our Mediterranean pastes are a must in every kitchen.
Rose Harissa makes a spicy marinade – a staple in Ottolenghi’s pantry. We’ve added rose petals to add flavour and depth of colour to this versatile and delicious paste. Our new Chermoula Paste can be used for fish, chicken and vegetables and adds a rich lemon and herb flavour, or try it with lamb in a stew. We’ve also added a wonderful Tajine Paste with bold and complex flavours to enhance slow cooking of any lamb or vegetarian dish. Add flavour and depth to your cooking with these authentic recipes from New Zealand’s premium spice blend manufacturer.
SALES ENQUIRIES:
Ph (09) 570 4739 sales@alexandras.co.nz
www.alexandras.co.nz
Leonard’s cranks out new kransky Jalapeño and cheese is a classic sausage flavour combo. The new Jalapeño Cheese Kransky joins the wider awardwinning range of Leonard’s products on sale at major supermarkets, quality butchers and other retailers around the country. Like all our products it’s made with the best ingredients, plus it’s gluten and MSG-free. Visit leonards.co.nz for details
Fresh off the Press Fight off those wintery
The healthier tastier snap – now in Chickpea! Introducing new Harvest Snaps Chickpeas with adventurous flavours ready to excite and disrupt. Building on the success of Pea & Black Bean Crisps we are proud to announce our expansion into the trendy chickpea. We’ve snapped’em and packed’em maintaining all the benefits seen in the rest of our range. Filled with wholesome, tasty goodness, these crisps are the perfect healthier alternative to regular potato chips. https://calbee.com.au/brands/harvestsnaps-baked-crisps/ sales@houseff.co.nz Phone 09 410 1066
Restore Bone Broth Tonics Bone broth has a wealth of health benefits and is a good source of protein and collagen. This natural, flavour-rich broth is packed with nutrients to support gut health and boost the immune system. Gluten free, hormone and antibiotic free, keto and/or paleo friendly, and halal. For orders contact restore@greenlea.co.nz
woes with two new wellness juices from The Apple Press, 'Defence' with Royal Gala apple, lemon, lime, honey and ginger, and 'Boost' pairing Pink Lady™ apple, carrot, beetroot and ginger. Or, fancy something a bit more tart? Give the new limited edition Granny Smith a go! All available in 800ml, Defence also available in 350ml. theapplepress.co.nz hello@theapplepress.co.nz
New Graze Peanut Butter DUNX Humble roasted peanuts lovingly dunked in a moreish peanut butter blend…they’re about to become your new must-have, mid-morning snack! Find out more at www.graze.co.nz Email hi@graze.co.nz or phone 0800 895 218 FMCG BUSINESS - AUGUST 2021
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DRINK YOURSELF HEALTHY WITH RESTORE BONE BROTH TONICS!
Coming soon to a grocery store near you, the Restore tonic range is the perfect healthy replacement to your afternoon tea or coffee. Bone broth is widely regarded as having a wealth of beneficial health properties and is a good source of protein and collagen. At Restore Bone Broth, we understand that there is now a desire to consume healthy foods that are free from chemicals and preservatives. This is why we have created a clean, natural, flavour-rich broth that is packed full of readily absorbable nutrients to support the health of your gut and in turn the health of your entire body, by boosting your immune system and reducing inflammation. Our 24-to-48-hour slow simmer process creates a nutrient rich broth, extracting all the goodness from the bones including amino acids, collagen and glutamine that have amazing power to transform your health. All of our broths are gluten free, hormone and antibiotic free, keto and/or paleo friendly, and halal. Our tonic range also includes added herbs and spices that increase the beneficial effects. Choose from Forever Beautiful, Active Vitality and Super Defence. Your body will love you for it! For orders contact restore@greenlea.co.nz 26
FMCG BUSINESS - AUGUST 2021
[ health & wellness ]
FOLIC ACID WILL BECOME MANDATORY FOR NZ BREAD
The New Zealand government says it will cost our industry about $1.6m to transition to the mandatory addition of folic acid to bread, but it will help with financial assistance for the purchase and installation of the necessary equipment. Bakers will have two years to start adding the B vitamin to their nonorganic bread-making wheat flour, which the government said would help prevent neural tube defects like spina bifida.
Food Safety Minister Dr Ayesha Verrall said organic and nonwheat flour would be exempt from fortification, providing a choice for consumers who did not want to consume folic acid. “This is about protecting babies. Low folate levels in mothers cause neural tube defects that result in the death of babies, or lifelong disability.” Verrall said a review by the Ministry for Primary Industries estimated that fortifying all non-organic wheat flour for making bread could prevent between 162 and 240 neural tube defects over 30 years. This could save health, education and productivity costs of between $25m-$47.4m over the same period. New Zealand’s rate of neural tube defects was considered high compared to countries that took a mandatory fortification approach, such as Australia, Canada, and the United States. In Australia, neural tube defect rates fell by 14% following the introduction of mandatory folic acid fortification. Folate is naturally present in food. Folic acid fortification restores what is lost during processing such as flour milling. A 2018 report from the Prime Minister’s Chief Science Advisor and the Royal Society Te Apārangi found no evidence that folic acid, when fortified in food, had any harmful effects.
[ cover story ]
NEW HIGH PROTEIN ALMOND MILK TO BOOST YOUR MORNING With one out of four people looking to include more protein in their diets, the new Sanitarium So Good™ High Protein Almond Milk is the perfect way to do so! Whether you hit the gym every day, or enjoy a walk whenever you can, protein is an important part of a healthy diet and active lifestyle to support muscles and bones - the perfect addition to a balanced diet! In seeing an increased consumption of dairy-free milks, So Good™ High Protein Almond Milk allows consumers to conveniently incorporate more protein into their morning occasion. Despite both dairy-free milk growth and increased interest in protein, So Good™ High Protein Almond Milk is one of the only dairy-free almond products ranged in New Zealand with protein fortification. What’s more, So Good™ High Protein Almond Milk contains no added sugar and is made with high quality protein, providing a complete protein source. With as much protein and calcium as regular milk, So Good™ High Protein Almond Milk is enriched with 10g of plant protein to support healthy muscles and bones, helping to maintain strength. Importantly, So Good High Protein Almond milk is also fortified with vitamins B12 to support natural defences and vitamin B2. In addition, it is a natural source of antioxidant vitamin E. Keep an eye out for So Good™ High Protein Almond Milk in leading supermarkets New Zealand wide. Contact your local Sanitarium rep to find out more. FMCG BUSINESS - AUGUST 2021
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[ good business ]
RJ’S REMOVES PALM OIL FROM ITS PRODUCTS New Zealand based confectionery brand, RJ’s, has announced as of 5 July, they will be 100% Palm Oil Free, and are urging Kiwis to “Ask The Question” about what’s in their food. Palm oil is found in up to 50% of all supermarket products, from food to cleaners to cosmetics, but many people don’t know it because under New Zealand labelling laws it can simply be claimed as “vegetable oil” on the packaging. The iconic confectionery company, who operate from their factory in Levin, have not only removed palm oil, but worked with its suppliers to make sure all ingredients being used in RJ’s products are 100% Palm Oil Free. Jason Clements, RJ’s Confectionery General Manager for New Zealand and International, is proud of the commitment they’re making to the environment. “Here at RJ’s, our new Mission Statement is “Makes it Better” and going 100% Palm Oil Free is an exciting step in our journey,” he says. “Ultimately, we are both manufacturers and consumers and we know that it is our consumption habits that are driving an increasing need for palm oil. If we can both educate and provide a better
alternative – then it will hopefully make a small difference to what has become a large environmental problem”. “Very few New Zealand companies have made this step with both cost and complexity proving a barrier, however we know it is important to our customers with our Kiwi lolly lovers asking us to do more. We’re excited to share this first step in our sustainability journey with them. When consumers ask for better from businesses like ours, they can effect real change.” “Sustainability isn’t just a consumer trend businesses need to react to, it’s simply the right thing to do,” says Clements, “We’re committed to providing the best product to our customers and we can now show real proof that we’re doing something better for our lollies, our customers, the planet, the rainforests and endangered animals like the orangutan.” To make way for palm oil plantations, rainforests in Southeast Asia are being cleared at an alarming rate, to keep up with the demand. This causes the loss of irreplaceable habitat and wildlife.
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CHANTAL ORGANICS PROBIOTIC EASY OATS Chantal Organics Probiotic Easy Oats are a delicious, organic breakfast on-the-go, with 1 billion shelf stable, healthy bacteria in 100% recyclable packaging. Chantal Organics Probiotic Easy Oats provides a quality and convenient breakfast for busy lifestyles in three tantalising all-natural flavour options: Maple & Maca, Spiced Apple & Maca and Plum & Hemp Seeds. A unique blend of wholegrain oats, dried fruit and hemp seeds - packed with prebiotic fibre to fuel the probiotics, giving you a tasty breakfast and a happy tummy. Simply add boiling water, stir and enjoy! Chantal Organics Probiotic Easy Oats contain the natural probiotic ingredient GanedenBC30. Backed by over 25 published papers, research shows GanedenBC30 can help support digestive health, immune health, and may support protein utilization. Available from selected New World, Pak’nSave, Huckleberry and healthfood stores nationwide (RRP $3.49). Visit chantalorganics.co.nz for delicious recipes and sustainable lifestyle inspiration. For pricing information or to place an order, contact: orders@chantal.co.nz or call 0800 254 766 28
FMCG BUSINESS - AUGUST 2021
[ good business ]
500 TREES PLANTED THANKS TO ESSANO
Vanessa Sharpe, Anthony Gadsdon and Shannon Green from essano on tree planting day.
As part of essano’s commitment to the environment and local community the team volunteered some time recently to head out and plant 500 native trees in a park in Mangere in South Auckland. The team at essano look to volunteer in their community twice a year, whether it be packing Christmas charity boxes or helping to pick up rubbish in local parks – they enjoy the chance at giving back or helping out. CityCare Property and Auckland Council were able to help activate the tree planting and were very supportive in supplying tools and seedlings to plant. The rain kindly held off on the day and everyone got muddy and sweaty digging holes and planting native trees. The essano team are already planning to head out again to help plant some more trees, conduct a weeding bee and collect up stray litter.
[ sponsored content ]
SUNBITES GRAINWAVES – NEW PACK SIZE AND NEW FLAVOUR! Sunbites Grainwaves multigrain chips are now available in a new sharing 140g pack size, offering shoppers better value for money. We’ve also added a new Caramelised Onion & Balsamic flavour to broaden the appeal of the range to people looking for ‘better for you’ snack alternatives. Sunbites Grain Waves are snacks you can feel good about eating because they: • Are made from more than 65% wholegrain • Have 30% less fat than regular potato chips (compared to Bluebird Originals potato chips) • Are made with natural colours & flavours • Have at least a 3.5 Health Star Rating • Are proudly made in New Zealand. We will continue to support Grain Waves with the eye-catching advertising on both digital and social platforms from the 9th of August, communicating the goodness of wholegrains and great taste. Order yours today from Bluebird Foods. If you are a new customer, you can call us on 0800 652 583. FMCG BUSINESS - AUGUST 2021
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[ innovation ]
LAUNDRY THAT CARES FOR YOUR WORLD •F
PRODUCT OF THE YEAR
•
R• EA
•F
DUCT OF T HE PRO Y CG M FIN AL IST
R EA
This month’s finalist in the line-up for FMCG Business Product of the Year is a new laundry product that is good for you and good for the environment. Earthwise, one of New Zealand’s most trusted eco-friendly brands made right here for more than 50 years, is excited to be adding Laundry Capsules to their range. Earthwise is constantly innovating to help care for our planet and reduce our environmental footprint. Earthwise products are effective naturally and use biodegradable ingredients, so you can love your laundry without costing the Earth – planet and pocket! Laundry capsules are taking washing machines by storm, famed for their convenience and their concentrated formula also conserves water. New Earthwise Laundry Capsules are made from biodegradable surfactants and boosted with three stain fighting enzymes. Tucked inside a dissolvable wrapper in a unique kraft paper pouch, they are dermatologically tested, grey water and septic tank safe too! NEW - Earthwise Laundry Capsules - Orange and Eucalyptus (RRP $12) are available now.
DUCT OF TH PRO EY CG M
“EARTHWISE PRODUCTS ARE EFFECTIVE NATURALLY AND USE BIODEGRADABLE INGREDIENTS.”
G
UCT OF THE OD YE PR A
R G
R
PRODUCT OF THE YEAR
•F M C
•
•
•F M C
FMCG BUSINESS PRODUCT OF THE YEAR Do you have a Hero product that stands out from the crowd? If there’s a tasty tastebud teaser, NPD rockstar, or best seller in your portfolio that deserves to be crowned ‘Product Of The Year’ - we’d love to hear from you! We’ll showcase some of the finalists in upcoming issues and reveal the FMCG Business Product of the Year later in 2021.
UCT OF THE OD YE PR A
To find out more on how to enter please email: trubanowski@intermedianz.co.nz 30
FMCG BUSINESS - AUGUST 2021
[ sponsored content ]
NEW FORMAT FOR TRAINING EMERGING LEADERS
Throughout the ups and downs of lockdowns, training provider Upskills was looking for ways to innovate. The natural choice was to flip learning into an online environment. The challenge was to bring our dynamic face to face energy online, to deliver training that was engaging as well as relevant. The result? Pop Up Leadership - the right mix of face-to-face delivery, weekly zoom sessions and self-paced online learning modules for high quality learning. So when Life Health Foods wanted to develop three staff members, Pop Up Leadership was a natural choice – with clear outcomes. “I can confidently say as a result of the team attending the course we are seeing a more informed and confident group of leaders who are making a real difference,” says Operations Manager Peter Suisted. Pop Up leadership provides flexibility to participate - you can enrol as many or as few participants as you need. The course also maps against NZQA’s Level 3 New Zealand Certificate in Business (Team Leadership) so staff come away with an industry recognised formal qualification.
How is it structured? • Individual goal setting with participant and line manager prior to course start • Weekly 1-hour zoom online sessions with the tutor and group
• 3 full days of face-to-face training over the 7-month course duration • Access to our library of self-paced learning modules to reinforce your learning • Graduation event to celebrate the achievements • Problem solving and project skills applied to a company project of participant choice
What do people who have done this course say about it? "This course has been so good for me because it has helped me to refine the skills I've taught myself over the years. It helps you to understand people and lead people better," Nick, Solo Plastics "This has really improved the way I communicate with my staff and how to help others to achieve the company goals." Paulo, Cospak Your business may be able to take advantage of the Competenz industry partner price of $990 + GST per person*. The programme is starting in Hawkes Bay - 19 October, Christchurch and Auckland 20 October. Get in touch with Holly Patterson at Upskills to learn more: holly@upskills.co.nz; Ph 021 156 3242 *Competenz industry partner price based on manufacturing, food and beverage sector, printing, engineering or fire protection. Discounts for groups of 3+ people.
FMCG BUSINESS - AUGUST 2021
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[ FGC ]
FACING OUR LOGISTICS NIGHTMARE
Katherine Rich Chief Executive NZ Food & Grocery Council www.fgc.org.nz
food& grocery COUNCIL NEW ZEALAND
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The New Zealand economy has been built on the export of food, kicked off in a big way by the first successful shipment of frozen meat on the ‘Dunedin’ to Great Britain from Totara, in Otago, in 1882. Of course, there was exporting before that, with the first trades sent via canoe, then sailing ships, steamships, and finally air and the massive container ships of today. Back in those early days, having a New Zealand-based shipping capacity and businesses made sense. There was little international interest in serving a teeny-tiny economy at the bottom of the world. We had to solve our own problems, and creating our own network to get our goods (and people) to the world was one of the solutions. As a result, the Union Steam Ship Company was born in 1875. The history of freight is more complex than that but, interestingly, with us now facing skyrocketing container charges and global shipping companies rubbing out New Zealand sailings from their schedules, talk has turned to the idea of putting our own ships on limited routes. Admittedly the suggestion, borne out of frustration and supply chain fatigue, has not been a serious one, but there is a kernel of an idea that collaboration and new approaches could be required. As in the late 1800s, we’ll have to find our own solutions, because no one else will. The business behaviour of ‘big shipping’ recounted to me has been frustrating, unfair and unethical in some cases, but what can exporters and importers do, apart from pay these higher rates or not send or receive their goods (if it still makes economic sense to do the trade, that is)?
FMCG BUSINESS - AUGUST 2021
It’s true the logistics nightmare is a global one, but New Zealand has been affected more than most due to our market’s size and location. Global shipping firms have had no hesitation raising prices 400% in recent months (some suppliers quoting a 1000% increase in 12 months), breaking supply contracts, adding ad hoc extra charges, and bumping booked cargo for better offers. To be fair, some of the decisions to cancel sailings are based on sense, given long delays and constraints at our ports. With the pressure on elsewhere in the world, particularly the northern hemisphere where COVID has caused congestion, why would they risk having ships sitting off Auckland for weeks waiting for a slot? Time is money. We also face the consequences of industrial action at Sydney and Melbourne ports. If global shipping firms bypass Australia, they bypass New Zealand. If they bypass us to drop goods off, then there’s less space to take goods back. It’s becoming a vicious circle that compounds in impact, costing sales and ultimately jobs. We have KiwiRail and subsidised Air NZ freight so maybe it’s time to consider government-owned options for supporting or securing shipping to ensure we can get goods in and out. Among the ideas, one from the Customs Brokers and Freight Forwarding Federation is worthy of serious consideration: create a hub in Australia to where we ship our exports in smaller ships to be picked up by the big shippers heading back to northern markets. In turn, our ships return with our imports delivered by the big shippers. Of course, that would require Government support, but it’s the sort of thing we should be considering because indications are this isn’t getting better anytime soon. Some don’t expect to see new global ship and container capacity before the end of next year or early 2023, and we’re likely to be one of the last countries to benefit. Even then there’s no guarantee, meaning freight rates double those to Australia will continue to put huge pressure on prices of our imports and make our exports less competitive. The Government should be treating this as a matter of urgency.
[ legal advice ]
RETAINING KEY STAFF AS SHAREHOLDERS Closure of the New Zealand Border has created new challenges for employers seeking to recruit and retain key staff. Offering a key staff member, or new employee, a stake in the business is therefore increasingly common, particularly in industries such as hospitality. The common ways employers now incentivise staff to stay in their role, include: • Bonus Schemes, usually paid later in time, to encourage employees to stay in their current role, and also have more of a reason to achieve more; and • Giving that employee a shareholding in the business and/or making them a director. An ownership stake and/or a measure of control not only makes that employee less likely to take up another role, it motivates them. That motivation does not just come from financial rewards, it may include being seen by customers and other staff as being valued. For bonus schemes, they need to factor in: • How the bonus is measured – personal performance, based on company profits during that period, or a mixture of both. • Who determines the bonus if there is a dispute. • The employer paying tax on that bonus; and • When a bonus will not be payable, such as if the employee works for the competition or is dismissed for good cause.
Transferring shares to an employee has all of the issues above as well as the following: • The entry and exit price to be paid for a shareholding, or if the purchase price is loaned to that employee. • Requiring that employee to sell their shares back if they leave the company, or if the majority owner wants to sell the business; and • Preventing that employee from working for a competitor while they are a shareholder and often also for a period after they leave. When an employer provides benefits to an employee, there can be tax implications for both. Accounting and legal advice should be sought for all bonus or shareholder employee schemes.
Tony Steindle Director swlegal.co.nz
“ACCOUNTING AND LEGAL ADVICE SHOULD BE SOUGHT FOR ALL BONUS OR SHAREHOLDER EMPLOYEE SCHEMES.”
FMCG BUSINESS - AUGUST 2021
33
[ export ]
SIPPER FOUNDER DRIVEN BY SEARCH FOR HEALTHY ALTERNATIVE
Catherine Beard is Executive Director of ExportNZ, which serves its members via regional offices throughout the country. To find your nearest office go to www.exportnz.org.nz
Like so many great entrepreneurs, Sipper founder David Ball stumbled upon the idea for his venture and turned his idea into a passion. “After working in China for a few years I became very keen on drinking tea – both hot and cold. One day I had made a big pot of Earl Grey tea and forgot to drink it. “I decided to store it in the fridge in a soda stream bottle and when I went to drink it the next day I thought why not make it fizzy and squeeze a lemon in it. It was delicious, refreshing and I thought ‘why can’t I buy this at a shop?’.” He started playing around with flavours and slowly working through the product development phases. “I wanted to create a drink that was refreshing, healthy and something with a point of difference that wasn’t really being done.” When he was researching how to produce his product on a commercial scale and looking into contract manufacturing facilities around New Zealand, he came across a new company called FreeFlow Manufacturing. “After a few chats with the boys at Freeflow Manufacturing, they surprisingly ended up offering me a job as production manager,” he laughs. Ball says while having a busy full-time job with a rapidly growing company slowed down the process of getting sipper on the shelves, it also gave him more time to fine tune the product and brand.
“Having super supportive bosses and access to use a finely tuned production facility, and everything that comes with that like good links with suppliers, has been quite a gamechanger for the start-up phase of Sipper.” He launched Sipper earlier this year in Farro stores and online, so missed the worst of the Covid-19 fallout. “My first sales pitch was with Farro Fresh. I was so nervous. But it went well and they placed an order almost straight away,” he says. “With Covid in mind I have been trying to grow the company organically, running a pretty tight ship financially and making sure I can offer Sipper both retail and online in case of more lockdowns.” Ball says he is proud to have created a product which tastes good, is healthy and has a low impact on the environment.
NZ made advantage Ball has his sights set on export markets in the coming year and says it’s important to let consumers know Sipper is produced in New Zealand. “I'm proud of the produce that comes out of New Zealand so it's important to showcase this on my packaging. “I use an extract produced with lemons from the Hawke’s Bay in the Earl Grey lemonade, and also organic apple juice from Hawke’s Bay in all three flavours to add a touch of sweetness for balance.” “A lot of consumers these days would prefer to reduce their impact on the planet and buying locallyproduced goods is a great way to do this.” He also chose to package the drinks in cans as it's the most sustainable form of beverage packaging. Aluminium can be recycled an infinite number of times, while glass and plastic can only be recycled a handful of times. Ball hopes to export Sipper in the future and believes being Kiwi will be beneficial. “After living in China for a few years I got a good understanding of how much they love, and more importantly, trust products from New Zealand.” Sipper founder David Ball
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FMCG BUSINESS - AUGUST 2021
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[ profile ]
FMCG BUSINESS OUTSTANDING NEW PRODUCT AWARD PROVES THE LOAF RECIPE A belief that bakery goods, bread and desserts could be so much better than what was available in 2004, drove Sean Armstrong to prove the point and set up Loaf. More than 17 years on, he’s proven his point and created a company which employs 90 people making delicious bakery goods for food lovers in New Zealand – as well as exporting to Australia. Armstrong is a talented chef who had a successful, high profile career before becoming CEO of Loaf. He started his cookery career with an apprenticeship at 16 at Auckland’s Central Hotel. In 1996 he headed to London where he gained invaluable experience at several Michelin star restaurants. On his return to Aotearoa, after a stint at O’Connell St Bistro, Armstrong went into business with the owner, Chris Upton and together they started Auckland’s Prime, a bistro restaurant, espresso bar and catering business. “Our point of difference was that we made everything from scratch - ciabatta, paninis, sourdough, croissants, everything... I thought, I’m not buying in bread when we I know can make it better ourselves! We gained such a reputation that we were selling to a couple of other restaurants too.” “Then I just decided that I would open a bakery. I took three weeks leave from Prime and set up Loaf. Then I worked every day at Prime and every night baking for Loaf for a year without a day off.” Slowly, as revenue increased, I was able to employ my first person and then someone else and someone else and on it went, Armstrong explains. “Today I have 90 people working with me, which means Loaf is responsible for 90 families, which is something I’m very conscious of.” Armstrong says he realised after the first few years at Loaf that he had to make a decision not
to burn himself and his team out. That meant being more accepting and setting up systems. “Loaf is like a wheel, the spokes are the systems and processes and if they are broken the wheel isn’t strong. It’s all very well having great product, but if people can’t order it or it’s delivered late then we’re not doing a good job.” It was partly this understanding and the responsibility to his team which lead Armstrong to sell a portion of the business to Taranaki’s Yarrows Bakery three years ago. He explains Yarrows are another familyowned business, they are multi-generational and the two businesses complement each other, making each stronger. Loaf ’s Champion Salted Caramel Brownie Balls were created by Sean as a riff on the ever popular rum ball. “I wanted to create something a little different, to give the traditional dessert ball our Loaf spin.” He trialled Lamington balls with a crème brulee filling and strawberry balls before settling on the salted caramel balls. He put them in the Loaf factory store in Ellerslie and they sold out within a day, so he knew they were onto a winner. Just before Christmas 2020 the Loaf Salted Caramel Brownie Balls hit the shelves and they have proven popular. They also found favour with the Outstanding NZ Food Producer Awards judges who said the brownie balls were “rich, moreish, smooth, provocative” and noted that they “would be amazing with a coffee”. They were awarded a Gold Medal and named FMCG Business Outstanding New Product 2021. Loaf Salted Caramel Brownie Balls and many more delicious Loaf products are available at their Ellerslie store, can be ordered through their website https://www.loafshop.co.nz/ and can be found in Countdown and Fresh Choice stores throughout New Zealand. FMCG BUSINESS - AUGUST 2021
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[ events ]
JOIN US AT THE FMCG BUSINESS MARKETING SUMMIT! After a hugely successful launch in 2019 and a hybrid event in 2020, the FMCG Business Marketing Summit returns to Auckland as a face-to-face event on 5th October 2021. It promises to be a full day of uncovering the marketing insights that make FMCG brands successful. The summit will include presentations from industry experts, Q&A panel discussions, plus valuable opportunities to connect with other professionals over lunch and over networking drinks in the afternoon. Join us on this one-day marketing masterclass, jam-packed with education, stimulation and curated sessions that will help attendees to stay ahead of the game in New Zealand’s fast-moving grocery and retail sectors. Here is a sneak preview of some of the topics and speakers at the Summit.
Larissa Watson, Consumer Intelligence Lead at NielsenIQ NZ At the Summit, Larissa will share expert insights into Kiwi consumer groups influencing spend. More than a year on from the rise of the pandemic, four distinct groups have emerged, which are driving spending patterns in New Zealand. To reach each group effectively, companies need to update their understanding of these groups, navigate their changing motivations and redefine the ways to reach them.
“CONNECT WITH OTHER PROFESSIONALS OVER LUNCH AND OVER NETWORKING DRINKS”
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FMCG BUSINESS - AUGUST 2021
Larissa has a passion for data insights and storytelling and is relentlessly curious about what makes consumers tick. With more than two decades spent in the FMCG sector, Larissa has worked closely with both retailers and manufacturers. She started her career at NielsenIQ in Canada, and recently relocated to New Zealand, bringing her consumer insight expertises with her.
Lew Bentley, Head of Strategy for shopper marketing agency Energi Meet Lew Bentley at the Summit and discover the secrets of little brands that have made it big. Lew is Head of Strategy for shopper marketing agency Energi and a regular columnist for FMCG Business. He understands why people buy things and what can be done to influence them. His skills have been honed over a career path that includes Research Director of CM Research (now TNS), strategic planner for The Campaign Palace, M&C Saatchi and Clemenger BBDO, and as a senior marketing and communications consultant with Headlight and Maven. Over the years Lew has worked in many different categories with many different clients. This includes: • FMCG (Kiwicare, Sanitarium, Cottonsoft) • Financial services (ASB, ANZ/National Bank, Westpac, Cooperative Bank) • Destination marketing (Positively Wellington Tourism, Panuku Development Auckland) • Education (University of Auckland, Victoria University) • Public Sector (Immigration New Zealand, NZTA road safety, Statistics NZ).
Katherine Rich - CEO, New Zealand Food and Grocery Council The New Zealand Food and Grocery Council (FGC) is the industry body representing food and grocery manufacturers and exporters. Katherine Rich represents FGC member companies on a range of boards and Government panels and is currently also a New Zealand member on the APEC Business Advisory Council (ABAC). Katherine received her tertiary education at Otago University, New Zealand, gaining a BA/BCom in marketing and economics in 1990 and 1993. After leaving university she was a policy analyst with the Ministry of Agriculture and held other agri-business roles in marketing and general management. Additionally, she was a Member of Parliament in New Zealand for nine years from 1999-2008. In her presentation, Katherine will share valuable insights into FMCG Marketing in New Zealand and around the world.
MARKETING SUMMIT Ellerslie Racecourse, Auckland
EARLY B
IRD
TICKET
S
Register Now Tuesday 5 October 2021 The one-day marketing masterclass for every FMCG professional BROUGHT TO YOU BY THE TEAM BEHIND FMCG BUSINESS
FOR MORE INFORMATION M: +61 415 404 264 E: bcurtis@intermedia.com.au
#FMCGmarketingsummit
fmcgbusiness FMCGbusiness
www.fmcgsummit.co.nz
[ events ]
AUCKLAND BAKER REIGNS SUPREME AT NZ PIE AWARDS
Bakels NZ Supreme Pie Award winner Sopheap Long with (L to R) her husband Bunna Hout, celebrity chef judge Peter Gordon, NZ Bakels MD Brent Kersel and MC Dai Henwood.
Auckland baker Sopheap Long of Euro Patisserie in To win the Supreme Award Long’s pie had to Torbay has won the 24th Bakels NZ Supreme Pie outshine about 5000 pies in the competition this Award with a seriously good steak and cheese year, entered by 465 bakeries. pie. Long is also making baking history by The steak and cheese, and the mince being the first female to win a Bakels NZ and cheese categories year-on-year receive Supreme Pie Award since its inception in the highest number of entries in the 1996. competition, an indicator that Kiwis really NZ Bakels Managing Director Brent like the blend of beef and cheese, even Kersel says that it’s exciting to see Long though bacon and egg pies are a huge reach the top of baking stardom after breakfast seller and gourmet meat pies are having only won her Apprentice Pie Maker rapidly growing in popularity, as are the Award in 2019. vegetarian pies. “This is an enormous achievement and we “This year the Bacon and Egg gold award congratulate her on her success. It shows that if pie had a creamy sauce surrounding the egg and you are determined to work hard and be committed wonderful smoky bacon. The Gourmet Meat gold to the quality of what you produce then it can take you winner was slow-cooked Wagyu beef curry, perfectly Euro Patisserie’s steak and cheese far and reward you well. Pie fans from everywhere will balanced sweet and savoury spices in an Asian-fusion style. pie won the Supreme Award. be heading for her bakery to try her pies and I’m sure Both demonstrate that pies today are enormously superior they won’t be disappointed.” to when we started this competition and yet they are still Kersel says: “When it came to judging Sopheap’s gold-winning steak an affordable, nourishing meal,” says Kersel. and cheese pie in the final round to find the Supreme winner it seemed Bakers from across New Zealand came to the Hilton Hotel in Auckland like all of us judging stopped in our tracks as we tasted it and we were on July 27 for a New Orleans themed night - to celebrate the champions all deep in thought. This pie has everything going for it! The steak was among them and crown the first ever Pie Queen, Sopheap Long. chunky but so tender it just melted in your mouth. It was surrounded Among the winners were also Coupland Bakeries and Oxford by rich, dark gravy and topped with a semi-soft tangy cheese; just Pies who took out Gold and Silver in the Commercial Wholesale delicious. The golden flaky pastry had perfect layering and the base was category, respectively. lightly golden brown with a hand hold-able firmness. We just couldn’t See the full list of winners here: fault it.” https://www.pieawards.nz/pie_awards.cfm 40
FMCG BUSINESS - AUGUST 2021
[ events ]
BEST NZ VEGAN CHEESES REVEALED Have you ever gazed at vegan cheeses trying to decide which one melts best on pizza, or which one your friends will enjoy on a cheese board? Vegan cheese makers have finally cracked the Holy Grail of plant-based cheese, including blue, feta and mozzarella cheeses. Once considered the domain of the dairy industry, our Kiwi entrepreneurs have been working hard to create amazing plant-based alternatives. The judges at New Zealand’s first Vegan Cheese Awards tasted over 30 different local cheeses - nine different categories of cheese were tested and given marks out of ten. These plant-based cheeses are made from ingredients such as cashew nuts, potato starch, coconut oil, macadamia nuts, even kumara and a variety of herbs and spices. There is no cholesterol in plants, so those keen to preserve their health as well as the environment can finally eat their way safely into cheese heaven. Supermarkets know that vegan cheese is on the rise as they are seeing a 36% increase in plant-based foods. The Vegan Society Aotearoa New Zealand revealed their first award winners: Mozzarella winner: Zenzo Runner Up: Angel Food Feta winners are joint: Angel Food and Let Them Eat Vegan Runner Up: Savour Cream Cheese winner: Angel Food Runner Up: Grater Goods Soft Cheese winner: Let Them Eat Vegan - Cheddar Spread Runner Up: Treetops Foods - Sundried Tomato and Garlic Hard Cheese winner: Treetops Food - Pepper Kick Flavoured Cheese winner: Savour – Cumin Cheese Runner Up: Savour – Chipotle Cheese Surface Ripened winner: Moa – Blue Cheese Runner Up: Savour - Cashbert Commercial Cheddar winner: Zenzo Runner Up: Zenzo - Smoky Paprika Cheese The Supreme winner was Let Them Eat Vegan with their Cheddar Spread. The awards were judged by vegan comedian Tom Sainsbury, food and beverage industry judge Aaron Pucci, restaurant owners Mike Khuwattanasenee (Khu Khu) and Luke Burrows (Wise Boys) who had the delicious tasks of awarding marks based on texture, appearance and flavour of the vegan cheeses. They were particularly impressed with Angel Food's Cream Cheese saying it was “Amazing on a bagel, spreadable, classic authentic cream cheese, wonderfully rich.”
15
The Chocolate & Coffee Festival returns in September.
WHAT’S ON IN 2021 SEPTEMBER
11-13 ANUGA Cologne, Germany
10 NZ ICE CREAM AWARDS
Hybrid event
Entries close
https://www.anuga.com/fair/
https://www.nzicecream.org.nz/
anuga/anuga-home/
awards.htm
14 NZ FOOD AWARDS
11-12 CHOCOLATE & COFFEE SHOW
Powered by Massey University www.foodawards.co.nz
Auckland, NZ https://chocolatecoffeefestival.nz/
NOVEMBER
25 GROCERY CHARITY BALL Auckland, NZ
3 NZ ICE CREAM AWARDS GALA DINNER
https://s2nevents.eventsair.
Auckland, NZ
com/2021-grocery-charirty-ball/
https://www.nzicecream.org.nz/
book/Site/Register
awards.htm
OCTOBER
3 WORLD CHEESE AWARDS
5 FMCG BUSINESS MARKETING SUMMIT
https://gff.co.uk/awards/world-
Auckland, NZ www.fmcgsummit.co.nz
Oviedo, Spain cheese-awards/ 10 GO GLOBAL - THE ANNUAL EXPORTNZ CONFERENCE Aotea Centre, Auckland, NZ
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Visit the websites and contact the event organisers for further details and updates. To have your event listed in FMCG Business email: trubanowski@intermedianz.co.nz. FMCG BUSINESS - AUGUST 2021
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To book your table visit: grocerycharityball.org “Who in the world am I? Ah, that’s the great puzzle.” Lewis Carroll PROUDLY SUPPORTING
OUT & ABOUT
vegan comedian Awards were judged by (L). The NZ Vegan Sausage stry judge Aaron Pucci Indu e erag Bev and d Foo Tom Sainsbury (R) and
Foodstuffs has started to remove single use plastic produce bags from its supermarkets. (L to R) Steve Anderson (CEO Foodstuffs South Island), Justin Vaudrey (Owner New World Durham Street) and Chris Hunt (Produce Manager New World Durham Street) with alternative produce bags.
PAK’nSAVE’s inaugural PAK’canSAVE campaign asked customers to give a can and help feed a hungry fam.
ers and ropacific Partn the of Coca-Cola Eu oice by HRD for on the parade n Ch rai of r uld ye co plo r d Em land weathe rate being name leb ce Not even Auck to st rew a breakfa its staff who th ing. third year runn
Has your team moved to new premises, or been part of a fun event, great harvest, or promotional activity? Send us your favourite snapshots to be in to win an Outstanding NZ Food Producer Awards hamper (worth $115), including: Augustines Apricot & Date Chutney; Molly Woppy Salted Chocolate Cookie Bites; Proper Crackerbread; Taipa Salt Pig salt; Pinoli pine nuts; Sweetree Four Brothers Reserve Honey; Foundry Chocolate; Pure Delish Almond & Vanilla Snacking Clusters; Giesen 0% Sauvignon Blanc; NZ Life & Leisure July/August issue; branded tea-towel.
Just email your high res image with a caption to trubanowski@intermedianz.co.nz FMCG BUSINESS - AUGUST 2021
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[ convenience & impulse retailing ]
THE KEY TO SUCCESS
Deb Jackson, Managing Editor, C&I NZ
Welcome to Convenience & Impulse Retailing New Zealand (C&I NZ), created proudly in partnership with the New Zealand Association of Convenience Stores (NZACS). This issue is all about giving retailers the tools to make the most out of their businesses, with data around the best performing categories within the convenience channel and also insights into where retailers can look for growth. Lance Dobson, Executive Director, Retail Intelligence, NielsenIQ New Zealand, outlines where the opportunities for convenience retailers can be best realised, providing a snapshot of the Convenience Market Review, prepared in collaboration with NZACS for its members. We have an opinion piece from Jon Barrell, Country Manager, Strikeforce, who shares his top five tips for growing sales and profit in your business without spending a dollar.
Also, in this issue we’ve got a good news story from Napier-based pie maker, Goodtime, which has won big at the annual Vegan Sausage Awards and has a new vegan product about to hit the market. To retailers within the petrol and convenience industry, and to manufacturers that are supplying the industry, this publication is for you, and we want to hear from you. Please reach out to me at d.jackson@c-store.com.au if you have a good news story that you would like to share. We would like to thank Dave Hooker from NZACS, Lance Dobson from NielsenIQ, and Jon Barrell from Strikeforce, for their contributions to this edition of C&I NZ. Stay safe, Deb Jackson d.jackson@c-store.com.au
“TO RETAILERS WITHIN THE PETROL AND CONVENIENCE INDUSTRY, AND TO MANUFACTURERS THAT ARE SUPPLYING THE INDUSTRY, THIS PUBLICATION IS FOR YOU, AND WE WANT TO HEAR FROM YOU.”
PETROL AND CONVENIENCE NEWS PROUDLY BROUGHT TO YOU BY 44
FMCG BUSINESS - AUGUST 2021
[ convenience & impulse retailing ]
NZACS AND NIELSENIQ OUTLINE THE STATE OF THE CONVENIENCE CHANNEL NZACS has held two events in Auckland and Christchurch to present valuable insights from NielsenIQ about the state of the post-pandemic convenience sector. The New Zealand Association of Convenience Store (NZACS) has held successful events in both Auckland and Christchurch where they delivered insights into the current state of the convenience channel. Over the course of the two events, a total of more than 130 NZACS members gathered to hear Lance Dobson, Executive Director – Retail & Consumer Intelligence, NielsenIQ, share insights across a number of mainstay and emerging categories within the channel. The first event was held in Auckland on 27 May at Remuera Golf Club with more than 90 members in attendance. The second was a bit more challenging, held in Christchurch on 29 June at the Russley Golf Club. It was just two degrees and snowing, with
a huge southerly storm causing flights to be cancelled from Dunedin. Dave Hooker, Executive Director, NZACS, thanked the more than 40 members who braved the conditions to attend on the day. “The event was well received by members, and we had positive feedback about our decision to run a South Island event, so we may look at it again for next year if we continue to get good support,” he said. “On behalf of the entire NZACS board, we would like to thank everybody who attended our Convenience Market Review Business Breakfasts in Auckland and Christchurch.” On the following two pages Lance Dobson shares some key insights from the Convenience Market Review.
Dave Hooker, Executive Director, NZACS
More than 90 NZACS members attended the Business Breakfast event in Auckland
L-R: Lou Mitchell, NPD and Anne Ottley, On the Spot
FMCG BUSINESS - AUGUST 2021
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Lance Dobson presents the New Zealand State of the Nation Convenience Stores Dynamics Report
THE POST-PANDEMIC FUTURE OF THE CONVENIENCE SECTOR Lance Dobson, Executive Director, Retail Intelligence, NielsenIQ New Zealand, outlines where the opportunities for convenience retailers can be best realised. In collaboration with the New Zealand Association of Convenience Stores (NZACS), we look at the performance of the petrol and convenience (P&C) channel during, and in the wake of, the COVID-19 pandemic.
Covid happenings & channel performance Total business and segments performance
L4L Defined Service Satations
Channel performance
During Post
The convenience channel is seeing just over 4% value growth for the latest MAT* or $53MM vs year ago. MAT YA Tobacco and vaping is still the mainstay of the channel $1.2B Value Sales accounting for 55% of shop sales and nearly 90% 169M ($47MM) of the overall growth. Putting it slightly Unit Sales differently, for every $10 extra that is spent in the P&C channel, nine of those dollars go into the tobacco and vaping category. Flavoured vaping products make up well over 50% of the vaping segment (worth over $15.5MM), with flavoured vaping products topping the new product development charts this year. New legislation, which will restrict the sale of flavoured vaping products to +18-year-olds in specialist tobacco stores, poses a challenge to convenience retailers that will no longer be able to stock these products. We predict that this will wipe out approximately
Bread, Tobacco & Vaping, Gift Cards, Tech Accessories MAT TY $1.3B
Unit Sales
+4.2%
Value Growth
Source: NielsenIQ Scantrack | MAT to 28/03/2021
FMCG BUSINESS - AUGUST 2021
Ice Cream, Beverages, Snackfoods, Confectionary
Value Sales
162M
© 2021 Nielsen Consumer LLC. All Rights Reserved.
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How did Categories fair during & post Covid?
- 4.0%
Unit Growth
Printed Media, General Grocery, Chilled Foods 1
$20MM of sales as a result of flavoured vapes being taken off the shelf and the corresponding decline in sales of primary units and accessories. Performance is relatively flat outside of tobacco with some notable exceptions in certain categories – namely with products that have capitalised on consumers’ move to shop more locally.
[ convenience & impulse retailing ] Post-pandemic purchasing
Top 10 NPD Launches Service Stations Defined service stations top launches this year
Based on the first 13 weeks of sales
$565k*
$268k*
$231k
$200k
*10 weeks in market
*10 weeks in market
*10 weeks in market
V BLUE SUGAR FREE ENERGY DRINK 500ML
V BLUE SUGAR FREE ENERGY DRINK 250ML
MONSTER ENERGY DRINK ULTRA ROSA 500ML
$189k
$176k
$146k
OREO ICE CREAM SANDWICH 110ML
ALT POD PACK PINEAPPLE 40MG 2S
BOSS COFFEE ICED VANILLA LATTE 237ML
Source: NielsenIQ Scantrack | MAT to 28/03/2021
$189k*
ALT POD PACK PEACH ICE 40MG 2S
ALT POD PACK STRAWBERRY ICE 40MG 2S
$142k
TIP TOP MEMPHIS MELTDOWN MINT BIKKIE 115ML
$139k
GATORADE NO SUGAR GLACIER FREEZE 1L
2
© 2021 Nielsen Consumer LLC. All Rights Reserved.
Winners, watchouts, and where to look for growth
Shop Local driving emerging category growth Emerging category growth Dollar % growth vs. year ago
FRESH FRUITS AND VEGETABLES
121%
RTD COFFEE
104%
PREPACKED SMALLGOODS
92%
CULTURED CHEESE
66%
DIPS AND PATE
38%
FOODWRAP BAGS
35%
Source: NielsenIQ Scantrack | Market: Defined service stations | Period: MAT w/e 28/03/2021
3
© 2021 Nielsen Consumer LLC. All Rights Reserved.
Top NPD launches tobacco (e - cigg) Defined service stations top launches this year
Based on the first 13 weeks of sales
$200k
$189k*
$176k
While the channel saw a sharp decline in sales following the March 2020 lockdown, shop sales recovered as the nation moved to Level Two movement restrictions. The categories that performed well since the rise of the pandemic have continued to perform well. These categories include bread, tobacco and vaping, gift cards and technology accessories, or categories purchased during planned missions by consumers shifting their purchasing by shopping locally. The categories that initially suffered during lockdown but have since bounced back are impulse categories that rely on in-store foot traffic like ice cream, beverages, snackfoods, and confectionery.
$109k
$105k
We’re already seeing some signals for growth among certain products. Gift cards continue to grow, with more than $10MM in year-on-year growth. Beverages are growing by $4MM with notable new sugar free products driving the majority of this growth. In the last year, four of the top 10 new product developments in the beverage category were worth over $1.2MM combined in the first three months following their launch. Technology accessories continue to perform well, growing by $1MM vs year ago. Ice cream, driven by both take-home and single product sales, is also growing by $800k vs year ago. Emerging categories – those delivering high percentage growth year on year – include fresh fruit and vegetables, RTD coffee, delicatessen, cultured cheese, dips and pâté as local shoppers pick up convenient entertaining options. While still forming a low proportion of overall channel sales, these categories are growing at a rate of 60%-120% year on year and are good candidates for further category development.
In summary
'ALT POD PACK PEACH ICE 40MG 2S
'ALT POD PACK STRAWBERRY ICE 40MG 2S
ALT POD PACK PINEAPPLE 40MG 2S
VUSE EPOD ORIGINAL STRAWBERRY ELIQUID PODS 34MG 2S
'VUSE EPOD CRISP WATERMELON ELIQUID PODS 34MG 2S
*10 weeks in market Source: NielsenIQ Scantrack | MAT to 28/03/2021 © 2021 Nielsen Consumer LLC. All Rights Reserved.
E-Cig sales – flavours worth $15.5mm – potential $20mm drain to specialist stores Value Share
Vaping Dynamics
L4L defined service stations
New Legislation According to Smoke free Environment and Regulated product (Vaping) amendment Act 2020
11.0% 14.5%
37.2%
Restrict sale of vaping products under the age of 18
Val % Share
Specialist vs non-Specialist Stores Limit the sale of flavoured products including online retailers
17.7% 19.6%
Flavours
Tobacco
Mint
Menthol
Dairy’s, Supermarkets and Petrol stations to be restricted to mint, menthol and tobacco flavors only Starter Kits
Advertisement Prohibiting advertisement and promotion of products Encouraging people to buy them instore
New Zealand’s consumer dynamics continue to shift as consumers ‘shop local’, move their grocery spending online, and as out-of-home spending is substituted by in-home consumption solutions – particularly among financially constrained consumers. The convenience channel is well placed to take advantage of these shop local trends in particular with some retailers reinventing store formats to cater for these new shopper missions, offering fresh and quality meal products like hot chickens, and delicatessen goods for easy assembly at home. While it’s necessary to continue developing store formats that are finding success in other areas around the globe, these developments need to always consider New Zealand’s unique geography and population. For now, the opportunities for the convenience channel are best realised with local consumers, those who are changing their day-to-day shopping habits, and servicing the impulse and on-the-go needs of Kiwis travelling within the country. *Channel defined as Service Stations Organised plus Tier 2, Data to 28th March 2021
Source: NielsenIQ Scantrack| MAT to 28/03/2021 © 2021 Nielsen Consumer LLC. All Rights Reserved.
FMCG BUSINESS - AUGUST 2021
47
[ convenience & impulse retailing ]
FIVE WAYS TO GROW SALES (AND PROFIT) WITHOUT SPENDING A DOLLAR Jon Barrell, Country Manager, Strikeforce NZ, shares his five top tips for maximising the potential of your business. How can you grow sales without spending a dollar – it seems impossible, right? There’s a catch, there must be. Well, if you use what you have got better; then you can increase sales. Specifically, a better use of your range, your layout and your experience will maximise the potential of every shopper that comes in the door.
So, what are the five steps?
1
First understand your market and the role in you play in it. You might be a city fringe convenience store with a small, but very loyal customer base or a large high traffic, service station with a huge customer count but a low non-fuel basket. Whatever your market you need to understand it and then decide how you best cater for it. Can you describe your regular customers – what are their habits, when and how often do they shop with you and why do they choose you?
2
Second find your niche within that market and serve it well. Having established why your customers stop and shop with you, then leverage that. Give them more reasons to stop and grow frequency. We know that top-up shops dominate the convenience occasion, but have you got the right products to support that behaviour and end up in their basket? You’ve got to be realistic but extend the range that you stock for your loyal customers and so give them more reasons to buy.
3
Third analyse your sales data and work out where you make your money. Whether it’s a simple ranked spreadsheet or a POS report broken down by day versus last year – we always find nuggets for our clients! Find those big sellers, the rising stars and then run a margin review over them. Wouldn’t it be great if big sellers equalled big margins? It doesn’t normally work 48
FMCG BUSINESS - AUGUST 2021
Jon Barrell
that way but leveraging the bigger brands to interrupt the shopper is valuable. And while the local guy who produces down the road will often give you great margins, will you get the rate-of-sale and how will they drive their product off your shelf?
4
Fourth make your tailored range visible so it is easy to shop. We do a lot of relays for our clients each year, but this year has been our biggest by far. It’s fascinating to see which products end up dumped in the deleted trolley and which new ranges take prime position on shelf. It makes sense for customer satisfaction, for revenue and profit to give your biggest sellers the right shelf location and enough stock so your customers aren’t disappointed, and your staff aren’t constantly refilling. The cost of empty shelves on big brands can be huge – not just for the sale that day but the perception it can give to that new customer who thought they’d swing by that day.
5
The fifth and final point is all about making it a great experience. You can have the best range tailored and presented for your market, but if the store’s entrance is dirty or your staff don’t welcome new customers or smile when they are taking payment – it’s going to be tough. I read new research last week that said some customers are likely to spend up to 40 per cent more with a retailer who serves them with a smile. Staff engagement is critical – how many times have you walked into a store and felt something’s not right? Maybe the energy’s not there or staff just aren’t enjoying what they do. Ask friends to be mystery shoppers and recognise staff who provide a great experience. It really can be as simple as that – get to know your customers, serve them better using your data, and provide a great range and memorable experience – and none of those cost a dollar!
[ convenience & impulse retailing ]
GOODTIME WINS BIG AT VEGAN SAUSAGE AWARDS Following the successful launch of its award-winning Café Vegan Sausage Roll, Goodtime will now launch a new Cheesy Jackfruit Pie in August. Napier-based pie maker Goodtime has received top honours for its Café Vegan Sausage Roll, which launched in mid-2020 to fill a gap in the market for a snack sized vegan option. The Café Vegan Sausage Roll is plant-based, made from pea protein with herbs and spices, and wrapped in flaky pastry. It’s been a hit with meat eaters and vegetarians alike, with the company fielding numerous calls from people who couldn’t believe it didn’t contain meat. The award-winning vegan sausage rolls are available at Z service stations and selected cafés, lunchbars and dairies and have been met with such success that Goodtime will also be launching a new Cheesy Jackfruit Pie in August. Goodtime launched its first vegan product in 2015 – a Mexican pie – and has released a new vegan product annually to meet the demand for plant-based foods from its customers. Its products are no strangers to the Vegan Sausage Awards, held annually by the New Zealand Vegan Society, with Goodtime taking out both the winner and runner-up in the Best Commercial Vegan Pie category last year. Eric Hill, Managing Director, Goodtime, says that vegan products now make up 14% of Goodtime’s total production. “Vegan products are now a significant part of our business and further proof that vegans, vegetarians and flexitarian meat-eaters are all enjoying vegan products. Vegan sausage rolls, pies and snacks are appealing to a wide range of people and even meat eaters, an increasing number of whom enjoy eating meat but want to eat less of it.” Goodtime employs 115 people across its two bakeries in Napier and Christchurch, baking approximately 60,000 pies a day. Around 14 million pies, rolls and savouries are baked every year, with the company’s pies accounting for around 20% of the total pie sales in New Zealand. “The biggest driver for us is that we produce tasty pies and products, traditional or vegan,” says Hill.
Eric Hill and Paul Barber from Goodtime
“SNACKING IS AN ESSENTIAL PART OF SUMMER, WITH INNOVATION AND PREMIUMISATION DRIVING VALUE GAINS THIS YEAR.” ERIC HILL, MANAGING DIRECTOR, GOODTIME FMCG BUSINESS - AUGUST 2021
49
[ convenience & impulse retailing ]
GENERAL MILLS APPOINTS MATTHEW SALTER AS MANAGING DIRECTOR ANZ General Mills has announced the appointment of “Working alongside my colleagues, I am eager to build Matthew Salter as its new Managing Director for on this, by exploring new solutions to real consumer Australia and New Zealand. problems in our product categories. I have an After six years playing lead roles for General appetite for experimentation and for trying new Mills based in Europe, Salter says that his approaches to learn in order to continue to appointment to General Mills Australia and reinforce the purpose of our brands,” said Salter. New Zealand comes with opportunities to He said he is excited to invest in promoting continue a pathway to scale, building on the a culture of diversity and belonging, adopting a positive trajectory of growth. learning mindset and immersing himself in the “As we pivot from the pandemic in a position Australian and New Zealand markets. of strength, I am committed to maintaining “I’m looking forward to spending time getting to Matthew Salter, Managing Director for Australia and momentum in Australia and New Zealand. We are know the people behind the business in Melbourne, New Zealand, General Mills fortunate that our product offerings are all in growth Western Sydney and Auckland, New Zealand to better facing categories, like on trend Mexican meal centres, understand how the business works.” family favourite fresh pasta, snacking, baking and premium ice He is also eager to play a lead role in continuing the business’ cream,” he said. ethos of being a force for good and defining what this means for food The General Mills portfolio includes household names such as brands in 2021 across the value chain. Cheerios, Nature Valley, Blue Buffalo, Häagen-Dazs, Old El Paso, “For me, being a force for good means treating our people and our Pillsbury, Betty Crocker, Yoplait, Annie’s, Wanchai Ferry, Yoki and more. planet with care. General Mills will continue to be a force for good Headquartered in Minneapolis, Minnesota, USA, General Mills in regeneration, working to improve food security and always valuing generated fiscal 2021 net sales of US$18.1 billion. In addition, the inclusion and diversity to strengthen our community. Through our company’s share of non-consolidated joint venture net sales totalled strong partnerships with Foodbank Australia and Landcare Australia, US$1.1 billion. we will continue to harness the power of food for good.”
V ENERGY LAUNCHES ‘CAN YOU FEEL IT’ CAMPAIGN V Energy has launched its new ‘Can You Feel It’ campaign that celebrates feeling your best and spreading positive vibes. The V Energy team partnered with Clemenger BBDO and Psyop, a multi-awardwinning animation production company and collaboratively developed a new creative platform that pays homage to the past while taking V Energy into the future. Allison Yorston, Director Energy & Transformation says: “The aim of V’s new campaign, Can You Feel It, moves V Energy away from the traditional associations of energy drinks and extreme sports to a campaign that celebrates the feeling of energy and fun. “Together we developed an evolution of ‘Bugs’ that demonstrates how V helps you radiate positive energy and lift those around you. “While V has famously used bugs in the past, we wanted to bring them back in a way that felt fresh, entertaining and on-brand whilst communicating the feel of energy – and the wit long associated with the brand.” 50
FMCG BUSINESS - AUGUST 2021
In the new 30-second TV spot, the now human-sized bugs Mussa, Kaz, Roz and Pook personify energy, social connection and fun as they sing along to the iconic upbeat soundtrack, Wham’s ‘Wake me up before you go-go’ and embark on a road trip adventure. To make sure the campaign and creative hit the mark with V Energy drinkers, research was conducted with audiences across Australia and New Zealand. Head of V Equity Jonny Croft summarises it well: “V Energy is all about having fun, and at its heart, that’s what this spot is all about. We wanted to celebrate the feeling of energy – not just the function. “We are incredibly excited about the work and can’t wait to hear how our consumers respond!”
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Choose more. Share more. Get more. For just $15 you can get 1GB of data, 100 mins & unlimited TXTs, plus Free Social Data for a year! Get more value with MyFlex. Some functions will still use your plan data. Voice calls & TXTs are to standard NZ & Oz numbers. Plan lasts 28 days. Free Social Data: Limited time only. Must be on an active MyFlex plan on an Android or iOS device. No tethering or hotspots. Terms apply, see vodafone.co.nz/freesocialdataterms MyFlex: Plans must include data, mins & TXTs totalling $13 or more. Plans auto renew every 28 days with enough credit. Voice calls & TXTs are to standard NZ & Oz numbers (e.g. no short codes or MMS/PXT). Personal use only. Terms apply, see vodafone.co.nz/prepay