FMCG Business - March 2018 by The Intermedia Group

fmcgbusiness.co.nz

L E A D I N G

I N D U S T R Y

N E W S

March 2018 – Volume 5 – No 2

^ Source: IRI MarketEdge NZ National Grocery – Value share MAT ending 01/07/2018 * Based on 2/3rds of NZ DHBs providing Huggies Newborn & Infant Nappies ^^ Source: IRI MarketEdge NZ National Grocery – Dollar sales growth MAT ending 01/07/2018

PLUS! SWEET INNOVATIONS n NZ EVENTS n BREAKFAST FOODS n NEW ZEALAND’S LARGEST FMCG AUDIENCE

contents

March 2018

Up Front

Get ready for Fine Food NZ 2018!

Editor’s note

Industry news

Social Sphere Industry members spotted out and about

Cover story Huggies’ new product launches

The Shout 3

Editor’s note

Category Insights

News and industry insights

Rise & Shine Breakfast Foods get a make-over

Sweet Innovations Confectionery trends

7 Dogged Determination Q&A with ParrotDog’s Matt Kristofski and Matt Warner

Regulars

10 Gear New technology for work, rest and play

8 The crystal ball of beer Neil Miller shares his predictions for the Kiwi beer industry

Best in season Fresh produce in store

10 The language of beer Beer writer John Oszajca explains a few beer terms that you might not know (but should)

Profile Meadow Mushrooms

Good Business 24

15 Hip hip Rosé! Q&A on our favourite pink drink with Sip NZ’s Caro Jensen and Emily Camblin

Industry news

26 Feature Made in NZ 28

Buy NZ Made Get your swag on

29 FGC Has the tide on the sugar tax debate turned?

Rosé: Pink, salmon, peach and red Tasting notes from Cameron Douglas MS

16 Between a rock and a wine place A chat with US rocker-turned-winemaker Charles Smith 17 New on shelf This month’s exciting new product launches

30 Q&A Meet Magnus Glennborn, MD of Arla Foods Australia & New Zealand 31 Export The power of packaging

Events 32 Celebrating New Zealand’s finest cheeses 32

Events Calendar

33 Star chefs for the Food Show in Christchurch

See the latest product launches in this issue.

FMCG BUSINESS - MARCH 2018

[ editorial ]

Top trends and premium events

ot on the heels of our special Leaders Forum edition, this month’s issue brings you insights into some key trends set to impact the FMCG sector over the coming year. According to the Mintel Global Food & Drink Trends 2018 report, transparency and traceability will play a major role, and there will also be plenty of opportunities for tantalizing and surprising textures, such as cookies and confectionery with popping candy inside. Turn to pages 20-23 to see what’s new in New Zealand’s confectionery aisles this month. Meanwhile, Dunedin-based chocolate company OCHO is one step closer to opening a new chocolate factory. The site has enough room for chocolate production, a chocolate factory tour and a cafe. OCHO is championing a new people-led model of regional development, with around 3500 shareholders from around the country purchasing $2,000,000 in shares. This shareholder funding is enabling OCHO to expand its production and create new jobs in Dunedin. You can find out more on pg 6. Speaking of chocolate, the FMCG Business team is super excited to be the media partner again for the NZ Chocolate Awards, the NZ Chocolate & Coffee Show, as well as Fine Food New Zealand 2018. We hope to see you there! If you want to be involved with these premium events, as sponsor, visitor or exhibitor, you will find everything you need to know in this issue. It was also a privilege and a pleasure for me to be on the judging panel for the NZ Champions of Cheese Awards again (see pg 32 for more information). We bring you the latest product launches and fresh produce updates, take a peek behind the scenes at Meadow Mushrooms, share insights from FGC and Export NZ Chief Executives, and celebrate 30 years of Buy NZ Made. Happy reading,

PUBLISHED BY The Intermedia Group Ltd 505 Rosebank Road, Avondale Auckland, 1026, New Zealand ph: 021 361 136 PUBLISHER Dale Spencer dspencer@intermedianz.co.nz EDITORIAL DIRECTOR James Wells The Intermedia Group Pty Ltd AUSTRALIA james@intermedia.com.au HEAD OF CONTENT Tamara Rubanowski trubanowski@intermedianz.co.nz ph: 027 278 4761 NATIONAL SALES MANAGER Joel Bremner jbremner@intermedianz.co.nz ph: 021 370 065 SALES DIRECTOR Wendy Steele wsteele@intermedianz.co.nz ph: 021 300 473 THE SHOUT EDITOR Charlotte Cowan ccowan@intermedianz.co.nz ph: 021 774 080 THE SHOUT SALES MANAGER Sam Wood swood@intermedianz.co.nz ph: 021 256 6351 ART DIRECTOR Ryan Vizcarra ryanv@intermedia.com.au HEAD OF CIRCULATION Chris Blacklock cblacklock@intermedia.com.au PRODUCTION MANAGER Jacqui Cooper jacqui@intermedia.com.au

Tamara Rubanowski trubanowski@intermedianz.co.nz www.fmcgbusiness.co.nz

fmcgbusiness.co.nz

L E A D I N G

I N D U S T R Y

N E W S

March 2018 – Volume 5 – No 2

ON THE COVER Huggies continues to drive growth in the Nappy Category. Read the full story on pg 7.

PLUS! SWEET INNOVATIONS n NZ EVENTS n BREAKFAST FOODS n NEW ZEALAND’S LARGEST FMCG AUDIENCE

FMCG BUSINESS IS PROUDLY ASSOCIATED WITH

FMCG BUSINESS - MARCH 2018

PUBLISHING ASSISTANT Eclypse Lee elee@intermedianz.co.nz SUBSCRIPTION ENQUIRIES Eclypse Lee elee@intermedianz.co.nz

DISCLAIMER This publication is published by The Intermedia Group 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 © 2018 - The Intermedia Group Ltd

[ news ]

Celebrating 100 years in business Wellington’s family-owned food emporium Moore Wilson’s has reached a big milestone - 100 years in business this year. After emigrating from England to Wellington, New Zealand in 1892, Frederick William Moore worked various jobs, from labourer to shop assistant, before opening Moore Wilson & Co. Ltd in 1918. From day one Moore Wilson’s has been a family-owned and run business. Frederick’s son Stanley became involved in the business in the 1930’s, followed by his son Graeme in the 1960’s who today runs the business with daughter Julie. “It is very special to be able to carry on my great-grandfather’s legacy. I think he would be extremely proud to see how the business has progressed today”, says Julie. Built up around the food service and hospitality industry, Moore Wilson’s began life as a General Wholesale Merchant, selling bulk dry goods to Wellington’s grocers, hotels, and restaurants. Today Moore Wilson’s operates four stores in the Wellington region (Wellington Central, Porirua, Masterton and Lower Hutt) which are open to both trade and home shoppers. Still home to a core Foodservice range, the offering of products has grown over the years to include everything from kitchen and homewares to local and imported wines, beers, and spirits. The range extended further with the launch of the Moore Wilson’s Fresh concept in 1998, providing fresh, top quality ingredients with a strong regional focus. Centenary celebrations are planned around the middle of the year to coincide with the official commencement of business on 1st June 1918.

Dunedin’s new chocolate factory Dunedin-based chocolate company OCHO is one step closer to opening a new chocolate factory in the city with a signing of a lease on a Steamer Basin building. The site at Roberts Street has enough room for chocolate production, a chocolate factory tour and a cafe. OCHO is championing a new peopleled model of regional development, with around 3500 shareholders from around the country purchasing $2,000,000 in shares in November 2017. This shareholder funding is enabling OCHO to expand its production and create new jobs in Dunedin. This community-driven initiative began as a response to Mondelez announcing it planned to close Dunedin’s Cadbury factory. Initially Jim O’Malley and a team of volunteers aimed to purchase the Cadbury factory to keep confectionery production in the city. However, ‘Own the Factory’ strategy evolved to premium chocolate-making, joining forces with independently owned OCHO.

FOR MORE INDUSTRY NEWS FOLLOW US ON 6

FMCG BUSINESS - MARCH 2018

OCHO founder and General Manager, Liz Rowe.

OCHO General Manager, Liz Rowe says: “We had been focused on finding premises in the Steamer Basin area as we think it’s ideal for the tourism venture we are planning. This building is light and spacious plus it has a heritage component which will be perfect for the business we are developing. “We’re excited to be able to move to the next phase and start planning the building development. An order for new chocolate production equipment has been placed with an Italian manufacturer and its expected in the city by the middle of the year,” she says. “Our focus this year is to get the new chocolate factory up and running. Once we have achieved this we will start working on plans to operate chocolate tours and then look at opening a café on the site. The wonderful thing about this building is that it allows us to manage our expansion in stages.”

CHECK OUT WWW.FMCGBUSINESS.CO.NZ

[ cover story ]

HUGGIES new product launches ®

The Nappy Category saw significant change in 2017, with new product innovation; new entrants; an evolving retailer landscape and a births decline in New Zealand of -2.6% in 2016 (which was somewhat offset by net migration). The combination of these changes saw the Nappy category deliver strong growth of $5.4m across Total New Zealand Grocery. The fastest growing segment was Nappy Pants, which grew at 15.3%. From a brand perspective, growth was largely driven by the HUGGIES® Brand, which contributed $7.2m value growth for the calendar year*. Looking ahead for 2018, the Nappy Category will continue to see considerable change impacting consumer, retailers and manufacturers alike. Just released statistics of 2017 births show the number of births increased slightly +0.3%, however the fertility rate decreased to a record low of 1.81 births per women. The HUGGIES Brand has a long and trusted history of serving the needs of Kiwi parents, which has made us the number one nappy choice for Kiwi Mums and Dads*. We are proud to be the only nappy endorsed by Plunket, and the number one nappy choice of New Zealand hospitals**. To continue to drive category growth and meet the evolving needs of the category and consumer, 2018 will see some exciting changes in the HUGGIES Nappy Range. 1. In hospitals we are introducing HUGGIES Micro & Nano Premmie nappies, to be made available through our distributor partners to District Health Boards to care for the most delicate of babies. 2. Instore and online we now offer three tiers of HUGGIES Nappy care: Consumer Need

HUGGIES Nappy Range

DESIGNED FOR

PROTECTION COMFORT SKIN CARE

DESIGNED FOR

PROTECTION COMFORT

New Products Launching Toddler & walker sizes, allowing Mums and Dads to continue their journey in our premium Huggies Ultimate nappy range

DOWNLOAD THE FREE

ENERGIAPP

OPEN THE APP AND POINT YOUR PHONE OVER THIS AUGMENTED REALITY ADVERT Find out how Energi can help fire up your brand & energise your business with proven shopper insights,

Launching HUGGIES Ultra Dry Nappy pants in a Convenience pack size to continue to fuel the growth in the Nappy Pants segment

creative strategy & engaging campaigns.

DESIGNED FOR

PROTECTION

Launching HUGGIES Essentials, our new value range designed to provide up to 12 hours of protection

With new and improved products and packaging, we’re making it easier for consumers to shop for quality HUGGIES nappies products that meets their needs. For more information about how you can continue to drive growth in your Nappy Category, please contact your Kimberly-Clark Representative.

Shopper marketing specialists since 1984

energi.co.nz

*Source: IRI MarketEdge NZ National Grocery – Value MAT ending 01/07/2018 ** Based on 2/3rds of NZ DHBs providing Huggies Newborn & Infant Nappies

FMCG BUSINESS - MARCH 2018

[ news ]

Coca-Cola Amatil NZ appoints GM of People and Culture

Susan Lowe, General Manager of People and Culture at CCANZ.

Coca-Cola Amatil New Zealand (CCANZ) is pleased to announce the return of Susan Lowe to the business, this time as General Manager of People and Culture. Lowe served as the interim HR Manager for sales in late 2016 and has returned home from the UK to take up the executive position, responsible for developing capability and team

culture across New Zealand and Fiji. The appointment is testament to Lowe’s ability to coach and mentor employees and lead change in large organisations across New Zealand and the UK. Her work in previous leadership roles have resulted in a plethora of awards including the HRINZ Technology Award at Noel Leeming, the Best Workplace Award in the Large Workplace category at Warehouse Stationary Ltd and the Retail Employer of the Year Award for three years running at Warehouse Stationary Ltd. She also spent a decade at UK supermarket giant Sainsbury’s as Service Operations Manager.

DO YOU NEED A FOOD CONTROL PLAN? If you produce or distribute food then the chances are you’ll need one under the new Food Act 2014. The good news is we can help! Give us a call about our custom FCP evaluation, and book an audit to qualify for a 10% discount. Tel. 0508 00 11 22 www.asurequality.com

GLOBAL EXPERTS IN FOOD ASSURANCE.

FMCG BUSINESS - MARCH 2018

Chris Litchfield, Coca-Cola Amatil Managing Director New Zealand and Fiji, says Lowe brings significant experience and proven commercial acumen to the role, which will allow her to challenge existing ways of thinking and drive exciting new plans. “I’m thrilled that Susan is returning from the UK to bring a new perspective to our Pacific Leadership Team and keep Coca-Cola Amatil as one of the best places to work in New Zealand,” he says.

Did you know? Locally, Coca-Cola Amatil employs over 1,000 people and has four production facilities across Auckland, Putaruru and Christchurch, along with 13 bottling lines and three warehouses. In 2017 CCANZ received the Aon Hewitt Best Employer accreditation for the second year running, only businesses that provide exceptional and positive workplace experiences can receive the prestigious accreditation. CCANZ also won The Rainbow Tick two years in a row for its Diversity and Inclusivity credentials.

$NZ790 million retail development in Auckland Department store chain David Jones has revealed plans to set up a new store in Auckland, following on from its first store opening in Wellington in 2016. David Jones is set to be a key piece in a new $NZ790 million Westfield development in Auckland which will feature more than 200 stores over five levels. With Farmers, Countdown and Event Cinemas confirmed, Westfield Newmarket will deliver a world of fashion and beauty, immersive lifestyle experiences, rooftop dining and entertainment along with a gourmet market. The new development will focus on premium fashion, food and technology, which fits with David Jones’ focus on developing a high-end food offering for consumers. The 2017 preliminary report of its parent company Woolworths Holdings Ltd said David Jones will “provide a market leading food experience by investing $100 million over the next three years in existing and new stores.”

[ news ]

New FreshChoice for Cromwell

We don’t just find great individuals... We build great FMCG teams. Convergence Partners has been instrumental in developing the talent framework behind many iconic FMCG brands and organisations. Whether you’re looking to fill senior, niche, technical or business critical roles, we can help. Talk to our specialist FMCG recruitment team:

Members of the Fresh Choice team.

FreshChoice Cromwell was officially opened in February by Central Otago Mayor, Tim Cadogan. FreshChoice Cromwell owners, Sue and Ross Clark are Cromwell locals and they are excited to offer customers a range of quality fresh produce and meats, with an emphasis on local producers and suppliers as well as creating 55 jobs in the area. “We’re passionate about sourcing as many local products as possible. We’ve met with many local growers and producers to hear their stories and to taste their artisan creations, it’s been quite a privilege to be able to do this, and we’re proud to be able to share their creations with locals”. There will be a range of wines from Desert Heart, Immigrants Vineyard and local winemaker Matt Connell, fresh produce including fruits from Moorpark & Mulberry Orchard, as well as a selection of hand-crafted deli creations, freshly baked artisan breads and quality meat cuts. “We’ll also have a team of fresh experts on hand to offer customers advice and recommendations throughout the day,” say Sue and Ross Clark. Whilst fresh is a focus, customers can also expect to find competitive prices on a range of gluten free and speciality goods, hand-picked gourmet foods, international delights and a selection of everyday groceries. Competitive prices are complemented by fuel savings and ‘come-back coupons’ to reward loyal shoppers. Conveniently located next to the Cromwell Highway, the supermarket is home to Heartland Junction cafe, the perfect stop for lunch or a coffee getaway, serving a range of hand-crafted wholesome bites and barista made coffee. “We’ve built the store with the environment and technology in mind, using eco-friendly refrigeration, heat recycling, energy efficient lighting and electronic ticketing,” they say. FreshChoice Cromwell will also launch a Click & Collect service from mid-March, which allows customers to order their groceries online and pick-up in-store at a time convenient for them.

Lara Devereux Sales & Marketing lara@convergencepartners.co.nz 09 300 6877

Bobbi Ryan Supply Chain & Operations bobbi@convergencepartners.co.nz 09 300 6874

Erin Kirk Sales & Marketing erin@convergencepartners.co.nz 09 300 6791

Claire Ellis Finance & Accounting claire@convergencepartners.co.nz 09 300 6792

Chris Palmer Interim Talent chris@interimtalent.co.nz 09 300 6872

www.convergencepartners.co.nz

[ gear ]

Amazon Echo Dot

Pat Pilcher’s monthly round up of all the tech worth knowing about, for work, rest and play.

It’s taken an eternity but Amazon has finally launched the Echo smart speaker in New Zealand. Powered by a smart assistant, Alexa, the echo springs to action when you say Alexa’s name. From telling bad dad jokes to giving weather forecasts and streaming music from iHeart Radio or Amazon Music, Alexa’s speech recognition and smarts make her an incredibly useful household addition, even if her Aussie accent sees her bungling Maori names. https://www.amazon.com/dp/B01DFKC2SO/ ref=ods_xs_dp_oop RRP$89.99

Morepork Alarm System

Yale Assure Smart Lock

Being locked out of your own house needn’t be so frustrating. The folks at Yale reckon they may have the answer in the form of the Yale Assure Smart Lock. It uses a touch sensitive keypad or a smartphone app so you don’t need to worry about locking your keys inside your house. Brilliant! https://www.yalelock.co.nz/en/yale/yale-nz/products/ keyless-entry/electronic-digital-door-locks/assure-lock/ RRP$331.54

FMCG BUSINESS - MARCH 2018

Installing a good burglar alarm used to be a complex undertaking best left to professional installers. Not any more, thanks to Morepork. Their alarm system uses battery powered wireless sensors so there’s no messy cables. Passive infra-red sensors, door/window sensors and cameras can all be set up with little effort and the heart of the Morepork system is a small touch screen panel. The Morepork system can also play nice with some smart home gadgets and a mobile (IOS/Android) app will let you arm/disarm it remotely. It’ll also remind you if you’ve left a door/window open or forgotten to arm the alarm. https://www.morepork.nz/ RRP$39.95 p/month (12 month term)

[ gear ]

Crucial Mx500 Speeding up a slow PC can be as easy as swapping out its ageing and s-l-o-w hard drive with a much faster solid-state drive like the Crucial MX500. Because a solid-state drive is all electronic, it can read and write data at speeds that are massively faster than their mechanical counterparts. With a whopping 1TB of capacity, there’s also plenty of space too. Performance gains include hugely faster PC start up times and apps that load in the blink of an eye. http://www.crucial.com/usa/en/ssd/series/MX500 RRP$454.93

Neatamo Weather-station

Being able to grizzle about the heat/rain/snow around the water cooler at the office is one thing, but Neatamo’s weather station will give you the good oil on temperature, humidity and even carbon dioxide levels at your home, allowing you to own that weather conversation. https://www.netatmo.com/en-GB/site/ RRP$282.35

NetGear Arlo

Keeping an eye on the goings on around your property to keep it secure is easier than you’d think thanks to Netgear’s Arlo outdoor security cameras. Arlo cameras have easy to install magnetic mounting brackets and are completely wireless. Able to capture HD video, Arlo cameras also have a night vision mode too. Captured video is also stored for free for seven days. https://www.arlo.com/en-us/ RRP$899

FMCG BUSINESS - MARCH 2018

[ fresh produce ]

Best in season

ipfruit season is now underway and an influx of crisp apples, pears and nashi will be hitting retail shelves this month. Unfortunately for consumers, the summer fruit season has come to an end. An early harvest late last year means the historical tail that normally occurs in March won’t be the case this year. However, a good supply of imported citrus including mandarins and oranges from California will be available in March to help fill any gaps on shelves and in lunchboxes. A couple of exotic fruit worth considering this month are persimmons and kiwano (also known as horned melon). These make interesting instore displays and will tempt curious shoppers. Blueberries are nearing the end of their season and will be finished by April. Meanwhile, the winter crop of green-leaf vegetables such as broccoli, cabbage, celery, silverbeet and spinach is just starting and will be in plentiful supply.

Apples New Zealand has a proud history of developing new apple varieties and more than a dozen unique, tasty and crisp choices are now widely grown here. Braeburn and Jazz are just some of the popular varieties that will begin to appear in store this month. Storage/handling: Early season apples will be coming out of conventional storage and should be kept in your chillers until ready to display on your shop floor. An ambient temperature is fine at that point, as long as you have good stock rotation. Apples do produce ethylene so keep them in a separate area so they don’t speed ripening of other fruit and vegetables.

What to look for: Apples should be fresh and crisp to touch. They should be wrinkle and bruise-free. Do not be afraid to stock a full range of varieties to cater for all consumer preferences. Availability: Depending on variety, the main apple season runs from March until July/August, with Jazz stretching out until October.

Pears New season pears will be available later this month, with the main crop coming through in April and May. Both volume and quality look to be good this season. Popular early pick varieties include Beurre Bosc and Taylor’s Gold. Storage/handling: Lift the lids of your cartons or crates when they arrive and check fruit for any bruising or cuts. Pears should be stored in your chiller and ideally displayed in refrigeration units. If none are available, rotate your stock regularly. Carefully place fruit on display rather than tip bins to prevent bruising. What to look for: Pears should have a firm skin and a good colour. They will initially be crunchy to the bite but will soften to become juicy over 2-3 days. Availability: from March until May.

Kiwano This unusual-looking fruit is grown in the Bay of Plenty and can be used as an impressive garnish, for decoration or simply eaten. Also known as a ‘horned melon’, its green flesh is full of edible seeds encased in small jelly sacs. It has a tart flavour with notes of banana, passionfruit and lime. It contains zinc, magnesium, calcium and Vitamin A. Storage/handling: Kiwano should be stored at 18°C or above with good airflow. If stored properly, it has an excellent shelf life of 2 months from harvest. Display this fruit away from ethylene producers such as apples and tomatoes to prevent over-ripening. What to look for: The colour can vary from yellow to bright orange (ripe) and the colour will continue to develop if stored correctly. When ripe, the skin will also yield slightly to pressure. Availability: Supply is consistent from late January until June.

NEW ZEALAND HAS A PROUD HISTORY OF DEVELOPING NEW APPLE VARIETIES.”

United Fresh has over 27 years’ experience supporting and promoting the fresh produce industry in New Zealand and providing leadership on pan produce issues. For further information or to become a member of United Fresh, visit www.unitedfresh.co.nz 12

FMCG BUSINESS - MARCH 2018

[ profile ]

MEADOW MUSHROOMS

hat grows to maturity in just 16 days and can double in size every single day? Mushrooms, and in particular Meadow Mushrooms, which are cultivated at the company’s site in Hornby on the outskirts of Christchurch and supported by four other sites in the Christchurch region. Meadow Mushrooms is New Zealand’s largest producer of mushrooms and has been operating since 1970. It employs 520 people in its fully integrated operation from compost production, spawn laboratory, production, picking, packing, canning, dispatch, to sales and marketing. Founders Philip Burdon and Roger Giles originally started growing mushrooms in caves on the island of Cyprus in the Mediterranean in the 1960s, but their fledgling business was consequently cut short by the civil war between Greek and Turkish nationalists that divided the island in two. Their mushrooms are produced in a compost comprising both wheat straw and chicken manure – both by-products of the wheat and chicken farming industries - which provides the mushrooms their vital nutrients during the growing process. Up to 1200 tonnes of compost a week is produced. It is only used once to produce a crop and then sold for other compost uses to arable cropping, gardening and landscaping. In a complete recycling process some goes back to wheat farmers, who provide the wheat straw.

The mixing of the compost takes about three weeks including pasteurisation. It is then mixed with the mushroom spawn, which performs the same task as seeds do for growing plants. The compost is produced at Giggs Crossing, 35km south of Christchurch. The original site in Prebbleton still performs some composting functions, Miranda Laboratory produces the mushroom spawn and their cannery processes mushrooms for canning. The Hornby farm is progressively changing its harvesting process and growing sheds to a more mechanised system of metal trays and picking “lorries” in what looks like a giant parts warehouse facility, with the trays on shelves to ceiling height. Traditional wooden boxes are still used for production but these are considerably more labour intensive and time consuming to turn around between each crop.

By capturing rainwater and the run off from the constant moistening of the compost, only 30 litres of water are used to produce a kilogram of mushrooms (while a litre of milk needs 1000 litres of water). Meadow Mushrooms changed the packaging of their pre-packed mushrooms to a biodegradable punnet in 2015, replacing plastic containers and reducing plastic consumption by 48 tonnes a year. More recently they have joined the soft-plastics recycling scheme meaning their punnet film and bags can also be recycled. The company is also championing other sustainability measures and has reduced its energy consumption by 15% or four million kWh in the last two years. At the same time Meadow Mushrooms proudly supports a variety of Canterbury and national cultural organisations as well as distributing up to 70,000 servings (or 26 tonnes) of mushrooms a year to foodbanks and other charitable organisations operating throughout the country. In the final process the mushrooms are distributed nationwide 364 days a year to all major supermarkets and core produce traders, by refrigerated trucks and trailers, as once picked they must be chilled to maintain quality. From humble beginnings, in 2018 Meadow mushrooms strives toward further sustainability, innovation and modern farming breakthroughs to help maintain its position as a market leading quality produce brand, proud to serve New Zealand. FMCG BUSINESS - MARCH 2018

RISE & SHINE Breakfast foods are getting a make-over.

n New Zealand, pure delish created the ‘premium premium’ breakfast cereal category when they launched their first breakfast cereal 11 years ago and they have since added another nine to the range. Their cereals are renowned for amazing taste, being unique, innovative, and category challenging, offering many health benefits and using only the most premium ingredients available. Kaz Staples, Owner and Managing Director of pure delish has lots of exciting and new ideas on the horizon and the company is focused on continuing to innovate and update recipes to ensure they stay ahead of constantly evolving food trends. One of pure delish’s original muesli recipes has had a recent ‘make-over’ and will be re-launching into stores from early March. Staples comments: “Not only has our luxury Macadamia and Cranberry Muesli been ‘upsized’ from 400 to 450 grams at no 14

FMCG BUSINESS - MARCH 2018

extra cost, we have tweaked the recipe, adding amazing coconut nectar for extra flavour and also made it vegan friendly - a growing trend. She goes on to say: “We have some exciting things happening in our test kitchen and are hoping to have a new ‘ Nograin-ola’ variant hitting the shelves in the second half of 2018. Our current Raspberry and Maple Nut Nograin-ola is still the number one selling muesli in $Value in New Zealand so we know our loyal fans will be super excited with another delicious flavour on its way. It will still hold the integrity of being grain, gluten and dairy free, and as per all pure delish products, will be made from premium and natural ingredients.” pure delish has observed many new trends in consumer behaviour and the reasons behind ‘why they buy’ is constantly changing, especially in the health and well-being sector. Consumers

[ category insights ]

REDUCES BLOOD CHOLESTEROL

are not only aware of allergens but also the health benefits and nutritional value of the products they are buying. “Ten years ago everyone wanted ‘low fat’, fast forward a decade, now everyone wants ‘low sugar’ and ‘more good fats’, tomorrow will be something else, so, as a business it is important to be able to adapt quickly,” says Staples. Consumers also want to know the ‘story’ behind the brand and who is making the product. This is becoming an important decision in the buying process. pure delish products are still made completely by hand by highly skilled bakers the old fashioned way. Staples says: “We truly believe this is one of the key things that sets us apart from our competitors.” Nielsen Data November 2017 Sales for pure delish growing at 23.5%. Total category growing at 1.5% pure delish Raspberry & Maple Nut Nograin-ola is ranked Number 1 in Total Muesli by $Value. pure delish Original Chunky Nut Muesli is ranked Number 3 in Total Muesli by $Value.

Harraways Harraways, which is trusted by Kiwis for 150 years now, offers a range of Oat based breakfast cereals; Nicola’s Organics and Premium Muesli Mixes. Marketing Manager Peter Cox told FMCG Business: “To coincide with our 150th birthday celebrations last year, Harraways launched the ‘Birthday Berry Bonanza’ (Oat Singles, Berry Mix, Multi Pack) and the ‘Chia, Coconut and Cranberry Celebration’ (new, higher protein flavour mix from Oat Singles) – both available through New World and PAK’nSAVE outlets nationally. Birthday skus are now well established within Foodstuffs outlets nationally and growing nicely. IRI data to 31/12/17 show dollar sales growth of over 120% for both skus across the six months since June 2017 with total sachet segment growth over that time of 7.3%.” He adds: “Selling to trade (Grocery and selected Pharmacy) from February 2018 we are launching a first to market

FMCG BUSINESS - MARCH 2018

[ category insights ]

LOCAL PROVENANCE STORIES IN FOOD ARE GAINING MOMENTUM.” PETER COX, HARRAWAYS MARKETING MANAGER

in Hot Cereal – Harraways Oat-activ® Singles in Original and Cranberry. The proposition is that it reduces cholesterol with the double action of beta glucan and plant sterols. We have just had ranging confirmation from Foodstuffs North Island and South Island for this new range.” According to Cox, the consumer trends in this category include a move to smaller packs (buying less, more often), a move to more discerning offers (premiumisation) via health mix fortifications and taste combinations with grains. He says: “Oats is benefiting from the ‘just eat real food’ movement. This means many people are ‘over’ having to forbid certain food groups or count points, they should just want to eat wholesome foods in balanced quantities. Some relate it to ‘going back to how our grandparents used to cook and eat wholesome food’.” Other trends are: ‘Make it easy for me’ – versatility of offer, in convenience styled packs; ‘Be environmentally conscious’ – sustainable farming practices observed and be responsible with packaging (recyclability, reduce volume used); as well as ‘Tell me about where my food is coming from’. “Local provenance stories in food are gaining momentum. This is something that Harraways offers via its locally sourced Otago/Southland oats and its use of New Zealand Braeburn apples and Kamahi Honey within the Oat Singles line up,” says Cox.

and the Probiotic Porridge was honoured as a finalist in the 2017 NZ Food Awards and received a Highly Commended in the 2018 Healthy Food Guide Awards. In September, Blue Frog introduced its Crunchy Peanut Butter, Cacao and Zesty Raspberry Cereal, a grain-free format reflecting the massive consumer trend towards all things peanut butter. Crammed with peanuts, cacao and an abundance of whole freeze-dried raspberries, its fan club grows daily. This year, following the success of the original Probiotic Porridge, Blue Frog is thrilled to share a range extension of three new skus, just in time for cooler temperatures. These are in a bulk 440g format, designed to complement the existing single serve offering. Alongside the Vanilla and Chia, this Probiotic Porridge range will include a Raspberry and Chia Seed and a gluten-free variant – Spiced Apple, Coconut and Turmeric. The range extension will deliver critical mass in the Premium Porridge category, creating a real destination in store. It also captures three of the biggest global consumer trends today: gut health, plant-based whole foods and convenience, while continuing to surprise and delight customers with incredible new flavours. Nationwide merchandising and sales support is available along with strong instore sampling programmes. For sales enquires contact scotty@ bluefrogbreakfast.co.nz

Blue Frog Probiotic Porridge and Blue Frog Cereal Blue Frog has firmly established itself as the one to watch in the local breakfast market, with a range of premium and innovative products. Last year was an exceptional year for the trailblazing breakfast business, which saw it launch its two most successful products to date. “In June, having recognised that the porridge category had become highly restricted and commoditised, Blue Frog introduced “Probiotic Porridge” - literally a world first,” says Blue Frog Founder Scott Baragwanath. The groundbreaking Vanilla Bean and Chia Seed Probiotic Porridge, in a convenient single serve format consistent with the boxed category, includes a shelfstable probiotic, natural and organic ingredients and no refined sugar. Sales exceeded all expectations, 16

FMCG BUSINESS - MARCH 2018

Grant Pemberton MD for ISM People with owner Christine Millar from Something to Crow About.

Something to Crow About “The breakfast category is on fire, with growing consumer demand for healthy natural products and a wider offering of premium mueslis and cereals”, says Mike Millar, MD and Owner of Something to Crow About.

FAMILY MILLERS SINCE 1855 • Crunchy to the last mouthful • Full of whole grain goodness & bursting with flavour • Absolutely nothing artificial

JORDANS CRUNCHY OAT GRANOLA BURSTING WITH BERRIES 4x500g, EAN NUMBER: 5010477346216, JORDANS CRUNCHY SIMPLY OAT GRANOLA 4x750g, EAN NUMBER: 5010477349621, JORDANS CRISPY OAT CLUSTERS CHUNKY NUT 6x500g, EAN NUMBER: 5010477341273, JORDANS CRISPY OAT CLUSTERS STRAWBERRY 6x500g, EAN NUMBER: 5010477341259

OW Available N

life begins at breakfast

• Up to 50% fruits, nuts and seeds • Only the best quality ingredients • Carefully blended to ensure there’s absolutely no dust

DORSET GRANOLA BERRY 5x550g, EAN NUMBER: 5018357011452, DORSET GRANOLA SIMPLY NUT 5x550g, EAN NUMBER: 5018357011490, DORSET MUESLI REALLY NUTTY 5x560g, EAN NUMBER: 5018357011414, DORSET MUESLI SIMPLY DELICIOUS 5x600g, EAN NUMBER: 5018357011353

[ category insights ] “Our category is growing at such a fast rate it’s really exciting to be part of. We are constantly getting incredible feedback about our cereals and we are super proud to be riding this wave of support”, says Millar. In order to handle this growth and bolster their store support Something To Crow About have recently engaged ISM People, who also represent up and coming NZ brand Fix & Fogg, to represent them in the North Island in both Sales and Merchandising. Grant Pemberton heads the ISM people team, who have a combined 100 plus years of experience in establishing strong trade relationships based on proven strategies, integrity and trust. Core Sales will continue to proudly represent Something to Crow About in the South Island. Millar adds: “NZ’s fastest growing muesli brand Something to Crow About* has a range of five premium mueslis currently, including gluten free and paleo blends. Their latest offering includes New Zealand’s’ first Probiotic Muesli range, which experienced month on month double digit growth in 2017. The range includes two flavours, a delicious Supreme Nuts and Berries Muesli and a gluten free, paleo blend, Almond Maple and Cacao (RRP from $13.99 - $15.99). Enquiries to mike@crowabout.co.nz or grant@ismpeople.com *Source: Nielsen data July 2017

New fruit and vege smoothie mix from oob organic The goodness of organic fruit is getting a vegetable boost in the new fruit and vege smoothie mixes from oob organics. The first products in the range include a blend of kale, kiwifruit, apple and mint, and one that combines beetroot, blueberry, blackberry and ginger. Blends of NIELSEN DATA Total Supermarkets - MAT to 11/02/2018 Val Sales

Val % Chg YA

Breakfast Cereals

$291,094,155

1.7%

Ready To Eat Cereals

$219,693,364

1.0%

Hot Cereals

$37,081,779

2.8%

Convenience Cereals

$34,319,013

5.4%

Liquid Cereals

$34,236,395

5.2%

fruit and vegetables will gradually replace oob’s original all-fruit smoothie mixes. The new smoothie mixes are 100% certified organic. The ingredients are snap frozen when they’re perfectly ripe, cut and packaged, ready to blend. The zip lock packaging also avoids wastage, as you can use however much you need at a time and simply put the rest back in the freezer. “Our aim with our smoothies is to be 100% organic and 100% convenient,” says Shannon Auton, who founded oob with her husband, Robert. Starting as a family organic blueberry farm at Omaha in 2001, oob organics has since developed into a diversified food producer that offers fresh as well as frozen berries, frozen fruit, smoothie mixes, ice cream, sorbet and ice blocks – all of it fully organic. The new oob smoothie mixes are chockful of fibre and vitamin C. “They offer a great way for people to include more vegetables in their diet,” says Shannon. The two new oob organics smoothie mixes are now available in both New Zealand and Australia. Visit www.oob.org to see the full range of oob organics’ smoothies. For more information, email orders@oob.co.nz.

New cereals from Nestlé Nestlé is New Zealand’s fastest growing cereal manufacturer and third largest branded breakfast cereal supplier in the country1. The company has some well-known brands in its breakfast range including UNCLE TOBYS Oats, MILO, NESQUIK and CHEERIOS cereal. Its latest addition to the range, O&G is fast becoming a Kiwi favourite with its delicious crunchy granola and Bircher muesli’s.

Leading the way with UNCLE TOBYS Oats As market leader in Hot Oats with 35% market share1, UNCLE TOBYS products have been the key driver of growth in the segment introducing more Kiwis to the health benefits of oats through TV and digital advertising, instore sampling and with new innovation in quick oats. UNCLE TOBYS Quick Sachet Oats have grown at 17.4% and hold 70% share of market with its wide range of flavoured Quick Sachet Oats made from whole grain oats with no artificial colours or flavours1.

The FMCG Business team endeavours to produce a monthly snapshot of category news and highlights, based on information from participating clients, plus a table of the freshest Nielsen data available at time of print. If you wish to contribute news for upcoming category reports, please contact trubanowski@intermedianz.co.nz. 18

FMCG BUSINESS - MARCH 2018

[ category insights ]

O&G Crunchy Granola & Bircher Muesli The other key growth segment for Nestlé has been the Muesli segment, which is the fastest growing segment in Total Cereals +10.2% and driven mostly by the Crunchy Granola subsegment +82%1. Nestlé’s O&G Crunchy Granola has become one of the fastest growing crunchy granola brands since launching end of April 2017. It is currently ranked #2 in unit rate of sale3 and has the highest repeat purchase rate2 within the Crunchy Granola segment with its irresistible

tastes and textures, delicious oat, rye and barley clusters, fruits and nuts for a protein kick start to the day! The O&G range also has delicious café inspired Bircher muesli, a blend of whole grain oats and quinoa with premium fruit and nuts. Simply soak overnight for a cool and creamy Bircher muesli. Enquiries phone Nestlé NZ: 0800 830 840 1 Nielsen NZ Grocery Scan Data 28/1/18 2 Nielsen HOMESCAN 40 weeks to 31/12/17 3 Nielsen NZ Grocery Scan Data (Last 13 weeks to 28/1/18)

NESTLÉ IS NEW ZEALAND’S FASTEST GROWING CEREAL MANUFACTURER.”

Healthy

breakfast sales with

Enquiries phone Nestlé NZ: 0800 830 840

SWEET INNOVATIONS

Discover what’s trending in chocolate and confectionery.

antalising textures, Gummi Draculas, edible money, chocolates with seaweed, and no sugar or low sugar, as well as vegan-friendly confectionery were among the innovations seen at ISM, the world’s largest trade fair for sweets and snacks. ISM was held again in Cologne, Germany, earlier this year and attracted 1,656 suppliers from 73 countries. The exhibition space covered 110,000m², featuring 229 exhibitors from Germany and 1,427 exhibitors from abroad. About 37,500 trade visitors from 144 countries attended ISM 2018.

Visit www.ism-cologne.com for more information. Closer to home, we talked to confectionery suppliers in New Zealand to find out what’s hot in this popular category right now.

News from Wilson Consumer Products Limited “We continue to see consumers showing their preference for brands they know and trust with consumers preferring to purchase established and premium brands for key gifting periods as they identify with these all year round and they hold perceived value,” says David Cunningham, Business Manager at Wilson Consumer Products Limited. He adds: “Wilsons have had a busy year with a number of our brands introducing new items throughout the year, a great example of this was Jelly Belly introducing a premium advent calendar for Christmas. This was a new concept which offered customers an alternative to the traditional chocolate advent calendars. Building on the success of the Jelly Belly Advent calendar, for Christmas 2018 Jelly Belly have introduced a Beanboozled Advent calendar, to extend the family Christmas fun.

FMCG BUSINESS - MARCH 2018

[ category insights ] “In 2018 we are also looking forward to introducing the new Jelly Belly partnership with the Minions Movie franchise. Especially for this partnership, Jelly Belly have created some new Beanboozled flavours, including a Minion Fart flavour, which will be included in the new Minion Beanboozled range.” Following the successful 2017 Christmas period, Guylian’s master chocolatiers have created an exciting new range to celebrate 50 years. The new Masters selection offers an indulgent selection of petite chocolate creations beautifully packaged in a pink and silver gift box. This range offers new flavours, other than the traditional Guylian Praline, with the range having already won recognition in Europe for its taste and packaging. “We look forward to presenting this to the New Zealand Market this year,” says Cunningham. During Christmas 2017 we also saw Hershey’s introduce an exciting new Christmas flavour to

FMCG half page xmas confec.pdf 1 15/02/2018 3:44:02 p.m.

their Kisses range. “The Candy cane kisses were very popular with the bright new packaging and Christmas flavour definitely resonated with consumers, as a number of the indent orders sold out early in the seasonal period,” says Cunningham. He adds: “Overall we believe we will continue to see growth and premiumisation in the confectionery segment, as consumers are always looking to trade up to premium gifting options, as they like to be seen gifting items with perceived value.”

Lindt Chocolate The iconic Lindt Gold Bunny is back in store, “but be quick and catch him before he’s gone,” says Ken Davis of DKSH New Zealand Limited. “Lindt Easter sales in 2017 grew by 40% + and the Gold Bunny will be available in additional pack sizes this Easter. The Excellence % Cocoa recipe sales are growing at 17% MAT in TKA to 31.12.17,” says Davis. He explains: “Lindt also leads the dark blocks market with innovation. We launched the Excellence 78% Cocoa recipe in 2017, a rich and full bodied recipe that builds on Lindt’s expertise

For all your seasonal requirements contact: Wilson Consumer Products – 0800 651 044

[ category insights ]

MENTOS PURE FRESH SUGAR FREE GUM HAS EXPERIENCED PHENOMENAL GROWTH OF 12%”.” STEVEN YOUNG, SENIOR CLIENT MANAGER, DKSH NEW ZEALAND LIMITED

as the masters of dark chocolate. ‘Discover your perfect dark chocolate’. “Excellence blocks are mostly consumed in the evening as part of the nightly ritual, once the kids are in bed. Excellence fans will be excited with our new recipe launches coming in 2018,” says Davis. He adds: “In Boxed Chocolate, Lindt grew at 4% in 2017, driven by the Lindor Bags range. The new Lindor Hazelnut Crème and Lindor Lemon have been incremental to the Lindor Bags range. The Lindor TVC and sampling campaigns throughout 2018 will continue the increased consumer demand. The Lindor range still has the same delectably smooth Lindor balls with the smooth melting centers, which appear to be melting NZ palates as well,” says Davis. Look out for new and exciting Lindor launches later this year.

Mentos and Chupa Chups innovations To drive early growth for the Mentos Brand into 2018, Mentos has just launched its newest innovation of Mentos roll limited edition flavour Fruit Fusions, helping to drive stick pack/roll category sales. Each roll contains three delicious

variants of mixed flavour dragees; peach & orange, strawberry & banana and passion fruit & mango. “Mentos Pure Fresh sugar free gum has experienced phenomenal growth of 12%, driven through the introduction of the convenient bottle format (IRI MarketEdge MAT to 28/01/18),” says Steven Young, Senior Client Manager - DKSH New Zealand Limited. He adds: “The Chupa Chups brand has grown at 6.3% and continues to be the lollipop of choice at 63.7% share of total lollipops (IRI MarketEdge MAT to 28/01/18). In 2017 Chupa Chups launched bubble gum filled lollipops and Chupa Chups Surprise Minions, which drove the growth for the brand. “Innovation provides new news to the category and drives interest, increasing trial. This is the perfect opportunity to maximise sales by having disruptive, eye-catching displays in stores so consumers are made aware of what’s new, whilst also providing a focus on the regular brand and product offering,” says Young. Availability is key for these types of impulse purchases when in need of a sweet treat and flavour hit. Look out for other new and exciting Mentos and Chupa Chups innovations throughout the year.

EVENT DETAILS 6th and 7th October 2018. The Cloud, Queens Wharf, Auckland

THE CHOCOLATE AND COFFEE SHOW PARTNERSHIPS FOR 2018 NOW AVAILABLE! GET INVOLVED WITH NEW ZEALAND’S BIGGEST CELEBRATION OF CHOCOLATE, COFFEE AND TASTY TREATS. The 5th annual show this year is a purely consumer event dedicated to showcasing the talents and successes of these and related businesses. With over 6,500 passionate foodies attending the 2017 event, The Chocolate and Coffee Show has proven it is a firm favourite on the annual event calendar. The audience skews Female with a 25-54 age bias and they have money to spend on their favourite indulgences. The two-day show is supported by a comprehensive consumer advertising and PR campaign leading into the event, with our own social network followers exceeding 14,000 alone!

To discuss bringing your brand to life at The Chocolate and Coffee Show, please contact

Partnerships include: • Event naming rights • Masterclasses • Barista Zone • Artisan Marketplace • Roasters Alley • Event bar • Demonstration Kitchen Our goal is to create cost-effective, custom programmes for each partner to meet marketing and branding objectives.

Samantha Mackey-Wood swood@intermedianz.co.nz 021 256 6351

Dale Spencer dspencer@intermedianz.co.nz 021 361 136

[ category insights ] NIELSEN DATA Total Supermarkets - MAT to 11/02/2018

Werther’s Original “The Werther’s Original brand is currently growing at +2.6%, which is ahead of the category,” says Alana Parry, Senior Client Manager, DKSH New Zealand Limited. She comments: “Key Werther’s products continue to grow at a strong rate with the Éclair family bag growing at 19.2% and the No Sugar Added family bag growing at 5.0% (IRI MarketEdge unit sales MAT 28/01/18).” The iconic caramel candies brand has a diverse range that offers something for everybody with Classic Cream, Éclair, Caramel Crème, Soft Chocolate Caramel, Caramel Chews as well as No Sugar Added. “With the ongoing demand to reduce added sugars and create indulgent experiences, the Werther’s Original No Sugar Added Candy is the perfect product. Werther’s Original No Sugar Added offers delicious caramel candy with less than 0.1g of sugar per serving. This flavoursome product is available in a family bag and a flip top box for on the go convenience,” says Parry. Werther’s will continue to support their brand in 2018 with an exciting media schedule consisting of TV and Video on Demand advertisement that will commence April and run through until September.

Val Sales

Val % Chg YA

T. Confectionery

$564,701,205

4.8%

Moulded Chocolate

$207,486,377

3.4%

Sugar Conf Family Bags

$100,768,100

8.9%

Enrobed Bars

$51,689,063

1.8%

Easter Confectionery

$39,938,122

18.3%

Chocolate Self Lines

$38,836,217

5.9%

Chocolate Assortments

$36,193,447

2.4%

Chewing Gum

$26,536,659

3.5%

Sugar Conf Stick/Roll Packs

$23,357,617

4.4%

Sugar Conf Card/Tub Packs

$17,510,123

7.1%

Christmas Confectionery

$9,321,263

1.6%

Sugar Conf Jumbo Bags

$6,456,150

-32.0%

Sugar Conf Handy Bags

$2,771,294

15.6%

Sugar Conf Mini Bags

$1,655,558

-3.3%

Sugar Conf Bulk Bags

$933,108

4.4%

Bubble Gum

$706,504

-5.2%

Sugar Conf Fun Packs

$541,605

5.0%

Mentos Fruit Fusions, the perfect combinations of fruity flavours

1 IN 3 confectionary shoppers are looking for something NEW monthly* NEW FLAVOURS are a key driver for incremental sales Impactful floorstand to

MAXIMISE YOUR SALES

Banana & Strawberry Mango & Passionfruit Peach & Orange

*Shopperpedia Confectionery Deep Dive 2016

NEW FRUIT FUSION AVAILABLE FOR A LIMITED TIME Contact your DKSH New Zealand Limited representative for more information.

[ good business ]

Foodstuffs NI is on the move Foodstuffs North Island (NI) is moving its primary Distribution Centre (DC) and Support Office from its long term home in Roma Road in Mount Roskill and building an innovative complex at The Landing, Auckland Airport. Chief Executive Chris Quin says Foodstuffs NI has been at its current site for 53 years and is rapidly outgrowing that space. “We’ve been an important part of New Zealanders’ lives and communities for nearly 100 years and we plan on being around for many years to come. To do this we need better facilities to deliver what our customers at PAK’nSAVE, New World, Four Square, Gilmours and Liquorland and Fresh Collective need from us for the future. We’re planning significant future growth across the business and our success depends on being nimble, efficient and continuing to attract the best talent, who work in an agile and collaborative way.” Foodstuffs has made some big changes over the past few years, guided by its purpose of making sure New Zealanders get more out of life. Foodstuffs’ supermarket customers, along with Gilmours and

Liquorland, have seen major changes including the introduction of New World Clubcard, online shopping, support for Kiwi children in partnership with Eat My Lunch and new and improved Pams and Value products. The team has also been working on major sustainability programmes designed to drive waste out of the business and look after New Zealand’s environment. “Key to our success is developing a world-class supply chain to ensure we have a great offer for our customers in store and online every day. This new 65,000m2 distribution centre and 5-Greenstarrated office complex will be at the heart and will enable our Co-op to work more collaboratively and effectively,” says Quin.

9-10 May 2018 ASB Showgrounds, Auckland Showcasing the future of cleaning – New Zealand’s only dedicated cleaning and hygiene trade show

FREE TO ATTEND - Get your ticket now at www.cleannzexpo.co.nz or phone 0800 451 590 (NZ) In Association With

Lanyard Sponsor

FMCG BUSINESS - MARCH 2018

Awards

Media Partner

Organised By

[ good business ]

Cage eggs to disappear from NZ supermarkets SAFE is applauding retail outlets FreshChoice and SuperValue for committing to move away from selling cage eggs. This latest move brings all major New Zealand supermarket chains together, united against cage eggs. Prompted by social media activity, Countdown informed their customers all SuperValue and FreshChoice stores will be cage-free in whole eggs by the end of 2025. Progressive Enterprise’s extended policy is the latest in a series of trending cage-free commitments across the country. Earlier last year, supermarket giant Countdown announced their commitment to go cage-free by 2025 after intense public pressure, followed by Foodstuffs who committed to be cagefree by 2027.

“With both Foodstuffs’ and Progressive’s supermarkets going cage-free, approximately 1.3million hens will be freed from a life confined in cages,” said Mandy Carter, Safe Campaigns Director. The phasing out of cages is part of a global revolution by animal advocacy groups around the world including members of the Open Wing Alliance, of which SAFE is a partner organisation. “We vow to continue campaigning for hens until all cages are consigned to the history books,” says Carter. Progressive Enterprises commented: “We were delighted when Fresh Choice and Super Value made the commitment to go cagefree by 2025 late last year. We are pleased to be working with our suppliers towards offering only cage-free eggs in the near future.”

With new owners and an exciting new website, Storelink is your retail service partner of choice. When you choose Storelink as your outsourced retail service partner, you can be assured that our passionate team will take that responsibility seriously and represent your brands as if they are our own. Our services include: • Tailored field sales and merchandising services • Merchandising retail implementation • Relays • Display builds • Compliance reporting

• • • • •

Demonstrations and tastings Customised, real-time reporting Product recalls Key account management ISP expertise with dedicated resource based at PEL

Read more about the ways in which we can tailor a solution to maximise your sales results at www.storelink.co.nz or call us on 09 475 9039. Alternatively you can email us at enquiries@storelink.co.nz

[ Made in NZ ]

Buy NZ Made campaign celebrates 30 years • An online product check at www.buynz.org.nz to verify products labelled with the Kiwi trademark, providing greater accountability to licensed members. Sign up now and go in the draw to get next year free! To celebrate 30 years, businesses who sign up for a licence between now and 30th June go in the draw to win one of five chances of having their next year’s licence free. Sign up online at www.buynz.org.nz For existing licensees; you’ll also be in the draw for any referrals you make. Talk to Trina (Ph 04 4966557) or Anna (04 496 6284) for more information.

“I

’m sure it’s a sign of success” were the words of Trade Minister Mike Moore at the launch of the Buy NZ Made Campaign at Government House on 21 November 1988. Now a subsidiary of BusinessNZ, the successful campaign celebrating its 30th year is leading the way in helping business identify and promote their New Zealand Made products both here and abroad. The campaign provides a licence for businesses to use the iconic Kiwi trademark on products and services that qualify as NZ Made under

the Fair Trading Act for Country of Origin. Highlights from the past 30 years can be viewed online at www.buynz.org.nz . Today, with a strong social media and tradeshow presence, the campaign works hard to promote its licensees individually and as a collective of New Zealand Made. To recognise licensee success, 2016 saw the launch of the Buy NZ Made Hero Awards. Other recent changes include: • The Buy NZ Made Marketplace www.buynzmarket.org.nz, which showcases NZ Made products.

For

30 YEARS

[ Made in NZ ]

The perfect Kiwi pie

t was 1981 in Red Beach, where the family owned and operated, Dad’s Pies story began. Eddie and Erika Grooten purchased a small beach front shop selling pies and ice cream to summer beach goers. With the belief that ‘pies should be good for you’, it wasn’t long until New Zealand discovered their delicious pies and they began to outgrow their small beginnings. Fast forward 37 years, the next generation of Grootens have stepped

in and there’s a new wave of energy and innovation in the business. “Our wholesome tasty pies have laid the path for us since day one and we’re continually focused on improving. We only use prime NZ beef and lamb, tender NZ chicken and have no added preservatives, flavours and no MSG. This makes the recipe for the perfect Kiwi pie,” says Georgia Newman, Marketing Assistant. She adds: “2017 was an awesome year for Dad’s Pies.

We were very grateful to receive Gold at the NZ Bakels Pie Awards for our Mince & Cheese Pie. Our product launches consisted of our gluten-free Angus Mince option, as well as our new Spinach & Feta Roll, which contains 50% Spinach and 20% Feta, chocka full of goodies! “We’ve got a lot planned for 2018 so keep an eye out for us. We’ll be promoting our products at the Foodstuffs Expo in April and the 2018 Food Show in July with a few new, tasty treats to add to the menu. “With the goal to keep growing and keep getting better, there’s no doubt we have an exciting future ahead of us. No matter what the future holds, we will always be proudly family owned, operated and NZ made since 1981.”

WE ONLY USE PRIME NZ BEEF AND LAMB, TENDER NZ CHICKEN AND HAVE NO ADDED PRESERVATIVES, FMCG Sept2017.pdf 1 8/23/2017 5:43:23 PM FLAVOURS AND NO MSG.”

AWARD WINNING MINCE & CHEESE Family Owned & Operated since 1981

- Prime NZ Beef - Quality Ingredients - No MSG - No Artificial Flavours - No Preservatives For product info please contact your local sales representative or call 09 421 9027

[ Buy NZ Made ]

Get your swag on

Trina Snow Manager Buy NZ Made www.buynz.org.nz

A KEY FACTOR TO A SUCCESSFUL PROMOTION IS DELIVERING SOMETHING THAT YOUR CUSTOMERS WILL FIND USEFUL.”

ideas and high production standards come in. A key factor to a successful promotion is delivering something that your customers will find useful. For example, a branded drink bottle is the perfect partner to a sports drink, and popular with many other brands because it’s something almost every household is likely to need. Likewise, a reusable tote bag answers the growing resistance to plastic bags. Because much of this merchandise is relatively low-cost, with the ability to order items in bulk, it can become a smart alternative to display advertising. In fact, a 2012 study* by the British Promotional Merchandise Association found that swag delivered a better return than radio and outdoor advertising, and was equal to TV and print. The study also found that people keep these products for an average of at least a year, some for up to four years, giving you a massive return on what can be a relatively small investment. These figures are impressive, but again, what impressed us most of all is the fact you can sweeten your brand’s appeal with items that are locally made. Everything from jellybeans and lollipops to drink bottles, frisbees and cardholders, can be produced and printed right here in New Zealand. In the grand scheme of boosting brand awareness, you won’t be surprised to hear us say we believe • Trade Show/Exhibition assistance that’s one of the most valuable • Networking and business things your business can do. development opportunities

hen one of our licensees sent us some of the promotional products they’ve been working on recently, we were reminded what a powerful and often underutilised tool these items can be. Commonly referred to as ‘swag’, promotional products are all about building brand awareness and trust – and what we liked best is that it can be done with New Zealand Made products. Why is swag so effective? There are a number of reasons, the most obvious one being that the more familiar your brand is to customers, the more likely they are to reach for your product on the shelves as they feel reassured they’re making a good choice. This reassurance is not limited to the customer either, because every time they use that branded product in the future, they act as an ambassador for your brand. The ripple of trust this creates is the same principle that sees the Buy NZ Made logo work so well for our licensees. Of course, to do this, you need to make sure the promotional merchandise is a good reflection of your brand, and this is where some of the clever

Buy NZ Made member benefits include: • Use of the iconic “Kiwi in a triangle” logo on products and marketing • Facebook competitions • Product/business listings on buynz.org.nz • Inclusion in promotional emails

FMCG BUSINESS - MARCH 2018

• Advertising and publicity

*Source: British Promotional Merchandise Association, BPMAResearch 2012, https://www. brandwatch.com/blog/promotional-products-brandrecognition/

[ FGC ]

Has the tide on the sugar tax debate turned?

as evidence and common sense prevailed? A week can be a long time in politics, but a couple of recent events have given me hope that the tide has finally turned – that we may be able to stop wasting time debating a policy intervention that’s been proven to have little or no effect on improving health outcomes and concentrate on things that stand a much better chance. Sugar taxes are a flawed idea that have not worked anywhere in the world they’ve been tried. Experts in nutrition have studied the issue in depth and economists have crunched the data, and they have mostly come to the same conclusion: a tax on sugar in foods and beverages will not change behaviour to the extent it will make any sort of difference to the rate of obesity. As evidence of this, the Food and Grocery Council has been pointing to studies and evidence for some years now. First there was a study out of the London Metropolitan University, led by Jack Winkler, Emeritus Professor of Nutrition Policy, which estimated a 10% tax on sugary drinks in the UK would reduce the average personal daily intake by 7.5ml – less than a sip. Then, FGC asked New Zealand economist Dr Brent Wheeler to analyse sales data on the volume of sugary fizzy drinks consumed in Mexico before and after the imposition of their 10% tax in 2014. He confirmed that the data showed sales initially dropped by 3% but a year later had re-gained 3%, and concluded there was no noticeable change in monthly consumption following the introduction of the tax. Despite these studies, the calls for a tax continued, ignoring the evidence but producing none of their own. Though the National-led Government saw no value in a tax, preferring to go down the reformulation and education route, with the election of a Labourled Government the pro-tax campaigners once again called for change. They would have been disappointed that in February findings of an independent review into the effectiveness of a sugar tax were released. The economic report’s advice and conclusions were emphatic: • No study based on experience with sugar taxes had identified an impact on health outcomes • Reductions in intake “are likely too small to generate health benefits” and could easily be cancelled out by substitution of other sources of sugar or calories • “The evidence that sugar taxes improve health is weak.”

A sensible approach The only dubious aspect was how the report came to be made public. It was conducted by the NZ Institute of Economic Research for the Ministry of Health, but it wasn’t until the NZ Initiative was forced to ask the Ombudsman to intervene, that it was produced – months after it was completed. There was an impression the Ministry was keen to sit on it, and we await the reasons. Within days of it being released, the new Minister of Health, David Clark, was quoted saying he had no plans for a sugar tax, and was focused instead on voluntary sugar reductions. He said he would expect the industry to voluntarily reduce the content of sugar in food, and made it clear that if the industry didn’t make “credible” moves then he would regulate. It was a clear and sensible approach. I’m confident about the work that industry can do. I can’t speak for all, but I can say that FGC member companies have worked extremely hard in recent years to reformulate and innovate to develop foods and beverages with less sugar, and that work is continuing. There are more low- or no-sugar products on the market now than at any time in our history, and we are ready and willing to work with the Government to find new ways to help New Zealanders eat healthier. Reformulation and education are the keys to bringing down our high rates of obesity and type 2 diabetes, and now hopefully we can all put our energies into them.

Katherine Rich Chief Executive NZ Food & Grocery Council www.fgc.org.nz

FMCG BUSINESS - MARCH 2018

[ Q&A ]

Indulgent products from Denmark

e spoke with Magnus Glennborn, Managing Director, Arla Foods, Australia and New Zealand. Arla Foods is an international cooperative based in Viby, Denmark, and the largest producer of dairy products in Scandinavia. What brings you to New Zealand? I am here to support the Castello and Lurpak brands and explore market opportunities across retail and food service with the team at Hutchinsons. Arla has been exporting speciality cheeses to New Zealand for over 30 years, in partnership with Hutchinsons. Castello has very loyal New Zealand customers who continue to support our products across white and blue mould cheeses. Our Castello Creamy Blue is the No 1 Blue SKU in value (IRI Speciality Cheese 31/12/17). We are passionate about supporting the New Zealand market with indulgent cheeses for everyday sensations, along with our delicious premium Lurpak butter. Are there any instore or other activities planned for 2018? This year we are investing heavily in instore tastings so consumers have the opportunity to savour the taste of Castello. From experience, once people try the crafted taste sensation of Castello cheese, they love it. Instore tastings also allow us to help consumers choose cheese to match their wine or favourite beer. We are also investing in the digital space to grow Castello’s brand awareness and engage consumers with the Castello story. We think spreading the word on social media and working with key media partners will inspire New Zealanders to experience Castello’s indulgent sensations every day. Do you have NPD or new variants this year for New Zealand shoppers? In February we launched a Castello Havarti and Fetta cheese. Havarti carries the Danish heritage and was developed by Hanne Nielsen, one of Denmark’s outstanding cheese pioneers. Nielsen produced many different types of cheese, among these was Tilsiter cheese which, following the Stresa Convention, 30

FMCG BUSINESS - MARCH 2018

Recipe inspiration: Pearl Couscous with Castello Fetta & Zucchini.

acquired the name we are all familiar with, Havarti. The cheese was thus named after Nielsen’s farm -Havartigård. The NZ Havarti market is growing at approx. 16% in value vs last year (IRI Speciality Cheese 31/12/17). Now we have the opportunity to introduce Havarti lovers to Castello and reward current Castello consumers with a soft and creamy cheese that is also easy to slice. As it matures, the taste develops more character and is perfectly matched with apples, honey and red wine. Castello Fetta includes a Fetta in Brine with a drainage basket, so you can easily add the pre-cut cubes to your pizza or salad and put the basket back in the brine. The brine allows the product to last longer once the Fetta has been opened. The 100g Fetta in Olive Oil with Garlic

Magnus Glennborn, Managing Director, Arla Foods, Australia and New Zealand.

& Herbs is ready to go straight into a salad, also a great option for the lunchbox or added to a platter. Late last year we launched Lurpak Organic Spreadable Butter. As consumers continue to look for products that are better for them, Lurpak Organic fits into this trend. Lurpak is unmistakably fresh, ever-soslightly aromatic and perfect for cooking, baking, spreading and just about anything you want to make in the kitchen. Please tell us more about the Castello brand. Castello dates back to 1893 with the first master cheese-maker Rasmus Tholstru producing mould cheese. Today we continue to produce mould cheese, along with yellow, fetta and cream cheeses. Our history is an important part of who we are as we focus on developing uniquely, creatively created cheeses made from natural ingredients, with attention to detail. Your favourite way to share cheese with family and friends? When we put our daughter to sleep, my wife and I like to sit down with a wine and cheese. I am from Scandinavia and we usually share cheese later in the evening when the sun has gone down and the evening has set in. The setting is cosy, casual and about enjoying the company of others with great wine and indulgent cheeses.

[ export ]

The power of packaging

s proven by Madonna, to stand the test of time, you have to reinvent yourself to stay fresh and appealing to your global audience through the generations. In the confectionery world, RJ’s Licorice is a great example of how you can reinvigorate a classic product and turn around declining sales to triple the volume in just two years, through repositioning. I caught up with Jason Clements who joined RJ’s Licorice as International Sales Manager two years ago. RJ’s turns 23 this year and started exporting a decade ago, firstly to the UK, then also to the USA and Canada. But sales had stagnated and change was urgently needed. Back then, RJ’s was simply selling the NZ proposition offshore, and wasn’t investing a lot behind the brand or positioning it for the specific market. They needed to better understand their consumers and tailor the offer to meet their needs. After carrying out research in the North American market, RJ’s updated their brand positioning in line with the ‘better for you’ story and introduced new packaging to reflect this. “This hit shelves in early 2017. Internationally we’re now in a re-sealable pouch bag with marketleading health, claims including “Non-GMO Project” – a leading certifier in the North American market,” says Clements. “There has been no change in recipe to achieve this, instead we’ve taken what we were already good at, but significantly improved our brand story. “The global snack food market is very quickly becoming a healthier category to shop. This ‘better for you’ snacking trend is driven by millennials and is only going to increase – we needed to be at the forefront. So now not only does it taste great, but it is also clear why RJ’s is a healthier snacking choice than many other confectionery brands. “RJ’s is now the core licorice brand in Whole Foods Market – which promotes itself as America’s healthiest grocery store. This is a huge win and a significant endorsement, highlighting that we are on the right track.

“Our repositioning in the US and Canada has not only benefited our branded business, but has also helped RJ’s be seen as a leading private label manufacturer for premium offshore retailers. “RJ’s export business now accounts for over a third of overall revenue and we have plans in place to double our offshore branded business in the next 24 months. Our improved brand positioning has created the confidence to further increase investment with a focus on brand awareness. We aim to achieve this through growing distribution, targeted sampling campaigns, and a stepped up digital strategy through both social and e-commerce. “Key to this growth will be continuing to be at the forefront of the ‘better for you’ snacking trend. In the future, our global offer is likely to include organic ingredients and we are continually working to reduce sugar content (although it is currently well below the category average),” says Clements. “Brand NZ continues to play an important role. It provides us with a starting point as a premium positioned product, but we have recognized that there are other more important attributes needed to compete with the Jason Clements, International big boys offshore.” Sales Manager at RJ’s

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

Licorice.

KEY LEARNING Clements’ top tip is to tailor your product for the local market overseas. “Very few brands can enter a market without some form of change to meet local consumer needs. Invest a small amount in market visits and research and, if an opportunity exists, tailor your product and packaging to meet the market needs while staying true to your overall brand story.”

The RJ’s Liqorice team celebrates their Exporter of the Year Award in 2017.

FMCG BUSINESS - MARCH 2018

[ events ]

Celebrating New Zealand’s finest cheeses Events 2018 MARCH 15 NZ CHAMPIONS OF CHEESE AWARDS Fale Pasifica Auckland, NZ https://nzsca.org.nz/about

or cheese lovers it would be a day in paradise, but it was serious work for the 28 judges assessing more than 2000 kg of cheese for the NZ Champions of Cheese Awards at AUT School of Hospitality. The judging panel of cheesemakers, chefs and food experts, including FMCG Business Head of Content Tamara Rubanowski, operate under the guidance of Australian Master Judge Russell Smith. Smith was supported by Ross McCullum, Founder of Kapiti Cheese and a Life Member of the NZ Specialist Cheesemakers Association (NZSCA). The NZ Champions of Cheese Awards is organised by the NZSCA, which has run the awards since 2003. This is the 16th year of the awards which celebrate New Zealand cheese, recognise excellence and educate consumers. NZSCA Chair Miel Meyer says: “As always our judging panel is exceptional, in part due to the growing reputation for these awards and local cheese. The NZ Champions of Cheese Awards are an incredible opportunity to showcase New Zealand cheese.” “We’re also pleased to have introduced a new revitalized awards logo. From March, cheese lovers can look out for NZ Champion of Cheese stickers on award-winning cheeses. This is a guarantee of quality as judged by our experts.” All cheese is judged blind, which means judges receive and taste cheese without any branding to prevent bias. The event also involves three judging auditors. More than 300 different New Zealand cheeses entered the Awards and all medal and trophy winners will be revealed at a Gala event on 15th March, including the coveted Countdown Champion of Champions Cheese Award (Commercial) and Puhoi Valley Champion of Champions Cheese Award (Artisan). Consumers could judge for themselves by voting for their favourite cheeses in the Cheese Lovers’ Choice Awards supported by New World.

FMCG BUSINESS - MARCH 2018

24 MARCHFEST Founders Park, Nelson https://www.marchfest.com/

APRIL 6-8 THE FOOD SHOW Horncastle Arena Christchurch, NZ www.foodshow.co.nz/whats-on/ christchurch-2018/

JUNE 24-26 FINE FOOD NZ ASB Showgrounds Auckland, NZ www.finefoodnz.co.nz

JULY 26-29 THE FOOD SHOW ASB Showgrounds Auckland, NZ www.foodshow.co.nz

SEPTEMBER

MAY 2 OUTSTANDING NZ FOOD PRODUCER AWARDS Fresh Factory Auckland, NZ https:// outstandingfoodproducer.nz/ 9-10 CLEAN NZ ASB Showgrounds Auckland, NZ www.cleannzexpo.co.nz

11-13 THE FOOD SHOW Westpac Stadium Wellington, NZ www.foodshow.co.nz

18-20 FOODTECH PACKTECH ASB Showgrounds Auckland, New Zealand www.foodtechpacktech.co.nz

OCTOBER 6-7 THE CHOCOLATE & COFFEE SHOW The Cloud Auckland, NZ https://chocolatecoffeeshow. co.nz

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.

[ events ]

Star chefs for The Food Show Christchurch

he Food Show is returning to Christchurch’s Horncastle Arena in 2018, bringing Cantabrians a chance to see a star chef line-up with entertaining cooking demonstrations across the weekend. Leading the charge at the Food Show’s NEFF Cooking Theatre will be two of New Zealand’s most favourite female foodies – Masterchef winners Nadia Lim and Chelsea Winter. Since coming into Kiwis’ lives via our TV screens, both of these stand-out women have gone on to achieve incredible things in the food world; their range of popular cookbooks gracing the kitchen benchtops of thousands of New Zealanders! Visitors to this year’s show will also be able to seek inspiration from the likes of Australian My Kitchen Rules finalist and clean living cook Luke Hines, Annabelle ‘The Cuddly Cook’

White, Cantabrian restaurateur Jonny Schwass, local chef Giuilio Sturla of Roots Restaurant and local cake guru Anna Worthington, who has soared to foodie fame in Christchurch thanks to her incredibly beautiful one-off creations at her Cakes By Anna outfit. Once you’ve soaked up some inspiration, you can peruse all the different and delectable zones the show offers, including the Cargo Brewery Beer Garden, Countdown Fresh Market, Ceres Organics Healthy Hub Kitchen, Waterthins Cheese Alley and Artisan Village. Whether you’re looking for the most nourishing new health finds, rich indulgences, or a little bit of everything – come along and discover the delights that await! The Food Show Christchurch, 6 – 8 April, Horncastle Arena www.foodshow.co.nz

Celebrity foodie Nadia Lim will demonstrate her recipes at The Food Show.

FOOD. IT’S OUR BUSINESS. You’re invited to New Zealand’s leading food industry trade show – Fine Food New Zealand 2018. Touch, taste and experience what’s cooking in the foodservice, hospitality and food retail sectors. Discover cutting-edge food, drink, and equipment from leading producers, learn the latest industry trends, meet new contacts and suppliers, and network with your peers. Strictly trade only.

24 – 26 June 2018 ASB SHOWGROUNDS AUCKLAND NZ www.finefoodnz.co.nz

FMCG BUSINESS - MARCH 2018

[ events ]

Get ready for Fine Food New Zealand!

ew Zealand’s platform for business solutions and growth is a must for entrepreneurs struggling to take their products to market, or for businesses with an eye on exporting, innovation and commercial production. Fine Food New Zealand, the leading foodservice, food retail and hospitality trade show, is taking place on 24-26 June at the ASB Showgrounds and provides an opportunity for industry players of all levels to strengthen their own brands through the show’s various initiatives. No other NZ exhibition of its kind gathers so many relevant industry bodies and their 34

FMCG BUSINESS - MARCH 2018

members into a single, professional business forum. The show offers exhibitors a platform to sell their products to key decision-makers, launch new products, meet top buyers and network with leading industry players. Space however is filling up fast and those interested will have to act fast. Lorraine Smith, Fine Food New Zealand Event Manager, says the show is launching exciting new initiatives in 2018 and bringing the right people together to focus on industry solutions and business growth. “The show is so much bigger than the perceived food service show only. It spans from the food retail, food service and hospitality sectors that includes packaging, commercial equipment and much much more,” she says.

The Silver Chef Seminar Series delivers a range of informative, world-class sessions to help keep industry players on top of their game. Some of the topics include kitchen efficiency and cost control, technology for better food safety, and staff retention in the hospitality industry. This is a not-to-bemissed opportunity to discover and learn! Trade only registration is now open and pre-registration is required for free attendance. Register at https://register. finefoodnz.co.nz/register/. To book a stand please contact Lorraine Smith at 09 555 1141 or lorraine@finefoodnz.co.nz or for more information, visit www.finefoodnz.co.nz.

[ social sphere ]

Out & About

wn Ponsonby In Auckland, the Countdo T-shirts in a team wore brightly coloured e month. show of support for Prid

Central Otago Mayor Tim Cadogan officially opened the new Fresh Choice store in Cromw ell.

The Romeo Fami ly of the Romeo Group at their Mc Retail Laren Vale’s Fo odland IGA in South Australi a, which won Au stralian International Re tailer of the Year.

Erin Simpson (Red Carpet TV) and Mike Puru (The Café presenter) at Best Foods’ National BBQ Day media event.

SNAP & WIN!

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 the draw to win Barker’s of Geraldine’s new Classic Soda Syrups and Citta Design acrylic glasses (worth $59). There are four flavours in the range – caffeine-free Premium Dry Cola, Citrus Lemonade, Brewed Ginger Beer and Lemon Lime & Bitters – and all have at least 25% less sugar compared to full sugar syrups.

Just email your high res image with a caption to trubanowski@intermedianz.co.nz

FMCG BUSINESS - MARCH 2018

www.theshout.co.nz March 2018

Hip hip Rosé! PLUS THE CRYSTAL BALL OF BEER n CHARLES SMITH WINES n NEW ON SHELF NEW ZEALAND’S LARGEST LIQUOR AUDIENCE

International Credentials for Sommeliers An exciting opportunity for the wine and hospitality sectors of New Zealand has once again become available to all wine and service professionals.

The Court of Master Sommeliers is returning to New Zealand to offer its highly prestigious certification programme. The first two levels of the four level Sommelier Programme will again be available to career minded individuals who have a passion for people, service, wine and beverages.

The Court of Master Sommeliers is an internationally recognised examining body. Career minded individuals who want or require the correct credential for their chosen profession can engage in this programme to enhance their career, employment prospects and further validate their role in the hospitality sector. Sommeliers can and do make a significant difference to beverage sales in any On or Off-premise business.

WHEN AND WHERE Introductory Course and exams May 26th - 28th 2018: Lakeside Room, Villa Maria, Mangere, Auckland. $850.00 programme and exam fee*. Limited to 40 participants. Certified Sommelier Exams May 28th: Lakeside Room, Villa Maria, Mangere, Auckland $500.00 Exam fee. Limited to 20 Participants.

ENQUIRIES to: Cameron J. Douglas – Master Sommelier email: cameron@guildsomm.com For more information about the Court of Master Sommeliers please visit: www.courtofmastersommeliers.org. Comprehensive textbook available now NZ$80.00. *Members or new members of the New Zealand Sommeliers and Wine Professionals Association are offered a discount to the Level One course. http://www.sommelier.co.nz/

[ editorial ]

Drink pink

CONTENTS March 2018 4

News and industry insights

7 Dogged determination Q&A with Parrotdog’s Matt Kristofski and Matt Warner 8 The crystal ball of beer Neil Miller shares his future predictions for the Kiwi beer industry 10 The language of beer Beer writer John Oszajca explains a few beer terms that you might not know (but should)

The Shout Editor Charlotte Cowan

WE MAY be slowly stepping away from the beaches and BBQs as we head into the autumn months (sigh), but there’s one thing we will not be stepping away from Shout friends, and that’s Rosé. Traditionally, this pink drink has been known as a ‘summer sipper’ but we’re here to let you in on the big news – Rosé can be enjoyed all year round! Cameron Douglas MS shares his insights into the Kiwi Rosé industry on pg 12, followed by tasting notes on some of the delicious Rosés available right now. And make sure you check out Hip hip Rosé on pg 15, where Sip NZ’s Caro and Emily answer all your pressing Rosé questions! But, of course, this month is not just about wine. As we all know, the craft beer industry in New Zealand has taken off in a huge way, but what can we expect to see in the future? More mergers? Less hops? Neil Miller looks into his crystal ball of beer and shares his predictions on pgs 8-9. And for beer lovers who want to sound smart at parties, beer writer John Oszajca explains beer terms that you might not know (but should) on pgs 10-11. Plus, don’t forget to check out our super-interesting Q&As with Parrotdog’s Matt Kristofski and US rocker-turnedwinemaker Charles Smith on pgs 7 and 16. For more from The Shout NZ, check out our Instagram and Facebook pages @theshoutnz and make sure you head to our amazing new-and-improved website at www.theshout.co.nz where you can sign up to our fortnightly eNewsletters. Cheers!

12 Rosé: Pink, salmon, peach and red Tasting notes from Cameron Douglas MS

10 15 Hip hip Rosé! Q&A on our favourite pink drink with Sip NZ’s Caro Jensen and Emily Camblin 16 Between a rock and a wine place A chat with US rocker-turned-winemaker Charles Smith 17 New on shelf This month’s exciting new product launches

Editor’s picks

Crafters Union Wine Cans No more searching the house for a semi-sophisticated plastic cup to take to picnics, Crafters Union Wine Cans are easily transportable, so you can enjoy your favourite Crafters Hawke’s Bay Rosé or Pinot Gris and Marlborough Sauvignon Blanc anywhere, anytime. And for just $7.99 each, there really is no reason not to give them a go. For more info, visit www.craftersunionwines.com and for this month’s other exciting product launches, head to pg 6. Waimea Nelson Pinot Rosé 2017 To celebrate the month of pink drinks, Cameron Douglas MS has reviewed 10 amazing Rosés for you to take your pick from (or try them all), including Waimea Nelson Pinot Rosé 2017. Salmon pink in colour, this Rosé from the Waimea Plains boasts vibrant acidity, ripe melon and crunchy red apple skin on the palate and is so reasonably priced, you should probably buy two… or three. To check out Cameron Douglas’ tasting notes, head to pgs 12-14. Parrotdog Lager With no name and deliberately modest packaging, Parrotdog’s new Lager is a deliciously classic lager brewed for simplicity and drinkability. The perfect brew for those looking for less hops. For more from Parrotdog, visit www.parrotdog.co.nz and don’t forget to check out our Q&A with Matt Kristofski and Matt Warner on pg 7. MANAGING DIRECTOR-PUBLISHER Dale Spencer dspencer@intermedianz.co.nz PUBLISHED BY The Intermedia Group Ltd 505 Rosebank Road, Avondale Auckland, 1026, New Zealand ph: 021 361 136

EDITOR Charlotte Cowan ccowan@intermedianz.co.nz ph: 021 774 080 SALES MANAGER Sam Wood swood@intermedianz.co.nz ph: 021 256 6351

FMCG BUSINESS: THE SHOUT - MARCH 2018

[ news ]

New liquor industry appointments VILLA MARIA Estate has appointed Abe Salt as its new Chief Executive Officer, taking over from Sir George Fistonich. Sir Fistonich, who has been at the helm of the company for more than 55 years, will continue to have a hands-on role as Founder and President. “Due to Villa Maria’s success as a major player globally, my ambassador role has become extremely time consuming,” says Sir Fistonich. “As the CEO, Abe will be able to manage the important day-to-day operations and strategic priorities for the company. This will allow me to concentrate on my global brand ambassadorial role and drive other large projects, such as the development of our new winery and retail centre in Hawke’s Bay,” he says. Salt joins Villa Maria with 15 years’ experience across the wine industry, investment banking and strategic advisory. He will commence as CEO this month.

Don’t miss your chance to talk directly to an audience of over 8,000 restaurant, café and foodservice businesses in one place! New Zealand’s biggest liquor trade event is back as part of Fine Food New Zealand 24-26 June 2018.

Top Shelf T

NZ’S B IG G E ST

V E L IQUOR E

LIMITED STANDS NOW AVAILABLE Contact: Samantha Mackey-Wood swood@intermedianz.co.nz 4

FMCG BUSINESS: THE SHOUT - MARCH 2018

THE BREWERS Association of New Zealand has appointed Dylan Firth as its Executive Director, based in Wellington. Firth joins the Brewers Association after four years with Hospitality New Zealand, most recently as Advocacy and Policy Manager. Firth says he is excited about the opportunity to make a meaningful contribution to the industry. “The brewing industry has changed rapidly in the past decade. I’m committed to providing the Brewers Association members and wider industry with strategic support to help it grow and develop into the future,” he says. The Brewers Association of New Zealand was established in October 2017 as a stand-alone entity, having separated from the Australian Brewers Association.

TWE takes legal action against copycat wine producer TREASURY WINE Estates (TWE) has filed legal proceedings against ‘copycat operator’ Rush Rich in the Federal Court of Australia for trade mark infringements that exploit TWE’s iconic Penfolds brand, including the unauthorised use of TWE’s BEN FU trade mark (the Chinese transliteration for Penfolds). “We have become aware of a number of copycat operators that are taking illegal and unfair advantage of the success of iconic brands such as Penfolds,” says TWE Chief Executive Officer, Michael Clarke. “The infringing products and misleading claims these operators are making, and the association they falsely claim to have with our brands are unconscionable. We are putting on notice any bad faith operators in Australia - and anyone working with these operators - that this exploitation will not be tolerated.” Of particular concern for the company is the issue of copycat wine which is believed to be sourced and bottled through bulk wine suppliers and third party bottlers in South Australia, and then exported under labels that copy the look and feel of Penfolds wines. The case against Rush Rich is one example of TWE’s strategy to take legal action both in Australia and internationally to protect its brands against infringing products. It follows the landmark legal win in the Beijing High People’s Court in China in January 2017 that supported TWE’s lawful right to use and market the BEN FU trademark in China.

[ news & industry insights ]

The Shout NZ announces new wine medals! THE SHOUT NZ and Master Sommelier Cameron Douglas are thrilled to announce our stunning, new-and-improved 2018 wine medals! Available now, these stylish medals are the perfect way to make your wine stand out from the crowd and share your high wine scores with the world. The Shout NZ wine medals are available for reviews by Cameron Douglas MS of 90-99 points – based on the globally-accepted 100-point scoring system for recognising quality wine. “Wine producers in New Zealand leverage more wine sales as a result of having stickers on bottles,” says Cameron Douglas MS. “I want the scores I give a wine noticed first. If a wine buyer is interested in who gave that score, then they’ll have to pick up the bottle to discover it is that of a Master Sommelier.” The Shout NZ wine medals are available for $45.00 per thousand + GST. For more information, contact Sales Manager Samantha Mackey-Wood on 021 2566 351 or swood@ intermedianz.co.nz

What’s on March 3 The 2018 Royal Easter Show Wine Awards Pullman Hotel, Auckland www.wineshow.co.nz March 17 Nelson Beer Week 2018 www.nelsonbeerweek.co.nz March 19-22 Institute of Brewing and Distilling Asia Pacific Section Convention TSB Bank Arena and Convention Centre, Wellington www.ibdasiapac.com.au March 21-22 New World Beer & Cider Awards Judging takes place in Wellington www.newworld.co.nz/wineand-beer/2018-beer-andcider-awards-competition

March 24 Gindulgence Ilam Homestead, Christchurch www.gindulgence.co.nz March 24 MarchFest Founders Park, Nelson www.marchfest.com March 30 NZ Organic Wine Awards Entries close today www.organicwineawards. co.nz

New Zealand beers getting global recognition THE WORLD’S brewers are coming to New Zealand. The Institute of Brewing & Distilling is holding its Asia-Pacific Convention in Wellington this month. Around 300 brewers and distillers from all over the world are expected Martin Craig for the convention and Brewers Guild of New Zealand the opportunity to try New www.brewersguild.org.nz Zealand’s prised beers at their source. The convention runs from Monday 19 March – craft brewing day – and closes on Friday 23rd with a coach tour visiting Wellington breweries. With its relatively low alcohol contents, beer can suffer with travel, especially the hop-forward IPA styles so popular with Kiwi brewers and drinkers. International brewers will jump at the chance to try a range of New Zealand beers served fresh and shared with the brewers themselves. Emerson’s Brewing’s Chris O’Leary chairs the organising committee. His enthusiasm comes from attending an IBD Convention five years ago where he picked up techniques that are influencing his brewing today. “I’m still looking back on my notes of things I learnt during that week – it took my brewing forward about two or three years,” he says. “I came back with advice on yeast management, using oak, new techniques and technology, and these are things I would never have learnt if I had not gone to the Convention. That’s the kind of thing that will happen in Wellington.” Techniques and technology aside, Chris says one of the biggest benefits comes from meeting other brewers. “You’ll meet people there who you’ll be able to tap into in the future and your network will just explode. You’ve got a connection now because you’ve had a couple of beers with them, they’ve tried your beer, and you become mates and colleagues for life. The best competitive edge you can get as a brewer is to go for the full week, because you’ll learn stuff that other brewers won’t get to hear.” New Zealand’s malts, hops and beers already have a massive following overseas, and the IBD Convention is a great opportunity for New Zealand and international brewers to learn more about the ingredients and techniques that go to making a great New Zealand beer. Martin Craig is a beer writer, journalist and publisher of www.beertown.nz Original beer stories. Served fresh. FMCG BUSINESS: THE SHOUT - MARCH 2018

FOR MORE INFORMATION PLEASE CONTACT YOUR GIESEN GROUP REPRESENTATIVE OR PHONE (03) 3446270

[ Q&A ] Can you tell us a bit about your new beer launching this month? Matt W: Lager is a simple pale lager brewed using a single New Zealand pilsner malt, a single classic New Zealand hop variety (Green Bullet) and a German-style lager yeast.

Parrotdog’s Matt Kristofski, Matt Warner and Matt Stevens

DOGGED DETERMINATION Wellington brewery Parrotdog is set to conquer the rapidly growing craft beer industry in New Zealand. The Shout NZ chatted to two of the three Matts who run the place – Matt Kristofski and Matt Warner – to find out what’s new in the world of Parrotdog.

Lager is Parrotdog’s newest brew

Why did you decide to brew this particular style? Matt W: This beer came about because we selfishly wanted to have a beer like this available for our own drinking pleasure. There are only so many hoppy Pale Ales you can put up with, especially when you’ve been in the industry for a few years. A simple lager is the go-to beer for our team at the end of the day. It is also an ideal first beer to release in cans for us, as they really suit this style for ease of drinkability.

THERE ARE ONLY SO MANY HOPPY PALE ALES YOU CAN PUT UP WITH.” The craft beer market in NZ is growing by the day, how do you ensure you stand out? Matt K: I believe we stand out by cutting through the ‘noise’ in terms of how we present our product to market. Parrotdog’s philosophy stems from a desire to create beers that we genuinely enjoy drinking ourselves, and for this reason, we have always been careful not to create gimmicks or dress any of our products up as something they’re not. The focus is on the product and we ensure this message is clear through the use of clean and minimalistic branding, which works to convey the attributes of each beer, rather than developing a busy label to encourage added attention. What’s next for craft beer in New Zealand? Matt K: Pale lagers will continue to rise, as IPA consumers come full-circle and appreciate the simplicity and finesse of this classic style. There will also be a further reduction in beer bitterness in general, as the growing sample of new consumers jumping on board keep tipping the scale towards the modern-day human preference for sweetness. FMCG BUSINESS: THE SHOUT - MARCH 2018

THE CRYSTAL BALL OF BEER Award-winning beer writer Neil Miller predicts what will likely be trending in the New Zealand beer scene over the next two years.

Neil Miller is an awardwinning beer writer. To contact Neil regarding beer features or samples, please email him at beerlytweeting@gmail.com

“IT’S DIFFICULT to make predictions – especially about the future.” This quote was reportedly first uttered in the British Parliament during the late 1930s by a politician whose name has sadly faded into history. Since then, variations of the phrase have been attributed to numerous luminaries, including a physicist, a film producer, an American football coach, and even Mark Twain himself. I first came across the quote when I worked briefly as an analyst at The Treasury – a role which quickly confirmed that forecasting and predictions are a tricky business, even when you know what you are doing – and I did not. I became a professional beer writer shortly afterwards, much to the relief of the Minister of Finance. However, I do occasionally like to consult the mythical beer industry crystal ball to see what might happen over the next 24 months…

However, I will go out on a limb and suggest that at least one of the big three breweries will make a sour beer. Lion, DB or Independent Breweries – possibly all three – will embrace the sour beer trend with a commercial release. You read it here first.

Hop heads fight back

Accompanying the rise of sour beers has been a parallel backlash in the beer geek community about hoppy beers - particularly hoppy Pale Ales. These fine brews have been accused of being onedimensional and based purely on more and more hops, or more and more different hops. To me, this is like condemning a café for having too many and overly varied coffee beans. People can make up their own minds in this day and age. While it has become hip to decry ‘peak hop’ and Mac’s Green Beret Big brewers go sour berate beers for having ‘too Predicting that sour beer will many hops’, consumers have continue to be popular in 2018 responded by continuing to buy hoppy Pale and 2019 is hardly a bold move. 8Wired Feijoa Sour Ale Ales in record numbers. Mac’s has identified This style of mouth-puckering the market with Green Beret IPA, Three Wolves ale has proved to be a hit with a IPA and the new Interstate APA. Epic Brewing sizeable - and still growing - niche of beer drinkers. Company continues to prove that consumers

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[ beer feature ] Thankfully, it looks like they are back in the market under new ownership. New Zealand has a huge number of breweries per capita. I wrote in 2014 about the 50 breweries in New Zealand in a tone of awe. Now, the number is close to 200 and has probably increased even since I wrote this. International beer writers are staggered by the preponderance of beer brands here. Sadly, they cannot all survive. Some do not taste good and damage the industry, others taste good but do not have realistic business models. I actually expect the number of breweries to go down slightly in the short term as a ‘market correction’ because the store shelves and tap banks are becoming overcrowded. want more hops and new hops with a seemingly never-ending chain of single hop ales. Here, I am predicting that the hop heads (those who love hoppy beers) will fight back and assert the right to enjoy a hugely hopped beer without feeling guilty that it does not have boysenberry or kale in it.

Going really high or really low Radically changing tack, I see strong growth for zero and low alcohol beers. Overall, I pick there will be an increase in beers over 6.5% and, at the same time, a bigger increase for beers under 2.5%. Some people will want a couple of bigger beers, while others look for a few more but lower-strength brews. A growing number will be content with a zero alcohol beer, a style long popular in Europe. However, the majority of beer actually sold will still be between 4.5% and 6% - that is one statistic that will not change.

No more merging In the next 18 months I am forecasting that no craft breweries will be acquired or merged with big breweries. Certainly, the existing mergers – Emerson’s, Panhead, Tuatara and Founders – have gone surprisingly well because Lion, DB and Independent Breweries (respectively) have adopted a hands-off approach to the brewing but full-on support for marketing and distribution. I do not see any likely candidates for the same model in the near future. The two most likely targets would be Harrington’s and 8Wired. Harrington’s is a proudly family-owned brewery which has survived the Canterbury earthquakes. I expect it to remain so. 8Wired is a former Champion Brewery of New Zealand but the Head Brewer, Soren Erikson, is so fearless and creative it is hard to see him flourishing inside a corporate structure.

An expert opinion Seeking an expert opinion, The Shout NZ asked the newly-appointed Executive Director of the Brewers Association of New Zealand, Dylan Firth, for his thoughts. Firth says that beer consumption – and indeed all alcohol consumption – has been declining for many years but believes the beer market may be “levelling out just a little bit”. “There was a spike in demand before Christmas but that may have been because of the warmer weather,” he says. “You might see some stabilisation in the market - there may well be a saturation point for craft beer.” However, Firth believes that the number of craft breweries will continue to grow, and that beer production will “remain similar if not slightly increased” across the board. One of the notable developments that Firth pointed out was the development of new Little Creatures Brewery in Auckland. This is an iconic Australian brand which was recently acquired by Lion. It made one of the first genuine American Pale Ales in Australasia after jumping through many bureaucratic hoops to get real American hops into Oz. Frith also stressed the value of premiumisation over volume for the beer sector and indeed, any industry. Interestingly, for the head of an organisation that represents the big brewers, Firth believes there will be more cross-pollination of styles between alcohol brands, including beer combining with spirit barrels to provide more flavour, and the use of different yeast strains to produce new flavours.

Only the strong will survive On the other side of the coin, several craft breweries will close their doors. We have witnessed the recent difficulties of Renaissance Brewing in Blenheim and they were a well-established outfit.

Brewers Association Executive Director, Dylan Frith

HOP HEADS WILL FIGHT BACK AND ASSERT THE RIGHT TO ENJOY A HUGELY HOPPED BEER WITHOUT FEELING GUILTY THAT IT DOES NOT HAVE BOYSENBERRY OR KALE IN IT.”

The New Zealand beer scene faces challenges – as all businesses do – but the future looks promising, even if there are too many sour beers! FMCG BUSINESS: THE SHOUT - MARCH 2018

THE LANGUAGE OF BEER Beer writer John Oszajca explains 10 words that every beer lover should (but might not) know.

ONE ONLY needs to spend a few moments around ‘beer people’ to be left feeling as though they are listening to an entirely different language. That assessment wouldn’t be so far from reality. Whereas the language of wine tends to be more focused on ingredients and the environment (fruit, ripeness, and minerality), the language of beer tends to be inspired by science as much as it is by flavour. As craft beer continues to become an increasingly integral part of the fine dining experience, so too must our ability to describe and understand what it is that we are drinking. In an effort to help you better navigate your way through the bewildering world of beer speak, I thought I’d put together a list of 10 beer words that every beer lover should know…

IBU IBU stands for International Bittering Unit and it is a unit of measurement used to calculate the hop-derived bitterness of a beer. Different hop varieties have varying levels of bitterness potential. How much of that potential bitterness is imparted into the beer is largely determined by how long the hops are boiled. The more hops you use, and the longer you boil those hops, the 10

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more IBUs the beer will have (within limits). The average IPA (for example) might have 65 IBUs, whereas as an American Lager might only have 10.

strains that produce funky or barnyard-like flavours in beer. Depending on how and when in the fermentation process it is used, Brett can also produce intensely fruity esters. While Brett Beers are typically not for the faint of heart, their complex flavours and unique brewing qualities have led to the increasing popularity of ‘Wild Beer’ amongst craft beer fans. You might say that a Wild Beer is to a traditional lager, what a smelly French sheep’s milk cheese is to edam.

Esters DMS DMS stands for Dimethyl Sulfide. It is a sulphur compound which imparts an unpleasant cooked or creamed corn flavour and aroma in beer. All malt contains another compound called SMM (S-Methyl Methionine). Heating SMM converts it into DMS. However, DMS is a very volatile compound. When boiled for a sufficient amount of time (30-90 minutes in most cases), the majority of it is ‘blown off’, leaving most beers with such low levels of DMS as to be undetectable. Because lightly kilned malts such as Pilsner Malt tend to have higher levels of SMM, DMS is more common (and even desirable in some cases) in lagers and other light-coloured beers.

Brettanomyces Brettanomyces is a genus of yeast often referred to as ‘Brett’ or ‘Wild Yeast’. Unlike Brewer’s yeast, which has effectively been tamed (over centuries in many cases) to produce consistent, and somewhat ‘clean’ flavours, Brettanomyces strains are wild

Esters are the fruity flavours and aromas perceivable in beer, which are produced by yeast during fermentation. This occurs when a reaction between organic acids in the wort and developing alcohol cause esters to form. Have you ever noticed that banana-like aroma in your German Wheat Beer? That’s an ester. However, other common esters found in beer can include apple, pear, peach, plum, honey, rose, and many more. Factors such as yeast strain, temperature, oxygen, and the amount of yeast pitched, all affect the amount of esters in a beer. As such, brewers have a degree of control over the amount of esters ultimately present in their beers.

Phenols Phenols (or Phenolics) are a broad class of compounds typically produced by yeast and bacteria during the fermentation process, which are typically (though not always) unpleasant. Whereas, an ester is fruity, a phenol tends to be spicy, smoky, or medicinal. The clove-like phenol common in a Hefeweizen, as well as many Belgian beer styles, and the barnyard flavours produced by Brettanomyces would be examples

[ beer ] might be quite welcome in your favourite red wine, they are generally an unwelcome part of any good beer. However, as grain husks are rich in tannins, it only takes a few miscalculations in mash temperature, PH, or efficiency to force too many of those tannins out of those grain husks and into your beer. While all beers contain some level of tannins, too many of them will result in an unpleasant, harshly astringent, beer. of desirable phenols. By contrast, a beer that had been contaminated by unwanted bacteria might take on a similar (but unwanted) clove-like flavour, or a Band-Aid/ medicinal quality. Though phenols can be caused by several things, including the use of certain ingredients or chlorinated water, undesirable phenols are most commonly produced by a bacterial infection.

THE LANGUAGE OF BEER TENDS TO BE INSPIRED BY SCIENCE AS MUCH AS IT IS BY FLAVOUR.”

Hops are the tiny green flowers that are added to beer to produce bitterness. Without this bitterness, a beer would seem sweet and unbalanced. This bitterness is the result of boiling the hops to extract their oils. The longer you boil the hops, the more bitterness they produce (within limits). However, hops can also contribute an enormous array of floral and fruity qualities to a beer. The less heat and volatility that hops are exposed to, the more hop flavour and aroma is maintained in the beer. So when a brewer wants to create a maximum amount of hop flavour, and especially aroma (such as in an IPA), they employ a technique known as ‘dry hopping’. Dry hopping is the act of adding hops after the active fermentation has completed. When you crack open your favourite IPA and your senses are blasted with grapefruit, peach, orange, lemon, pine, flowers, or any number of perfumey aromatics, that is almost certainly the result of dry hopping.

Faux Pilsner

Infected beer

Lager is a broad class of beer styles that are all brewed with a clean, cooltemperature fermenting species of yeast called Saccharomyces Pastorianus, or more commonly ‘lager yeast’. The Pilsner would be one of the more flavourful, and thus more popular, lager sub-styles. However, Lagers are some of the more difficult beers to produce. They are fermented slowly at very cool temperatures and can take as much as 600% longer to produce than an ale. As such, there are many craft brewers out there who want to meet consumer demand for Pilsner without tying up their fermenters and aging tanks for weeks on end. The result is that many brewers have taken to using ale yeast strains to produce beers that they market as Pilsners. A beer brewed in this fashion is known as a Faux Pilsner. While the Faux Pilsner may sneak past the palates of the average beer drinker, it lacks the specific qualities of a true lager, and as such is not very highly regarded by the more discerning craft beer fan.

Beer is made by adding yeast to hoppy wort and letting nature take its course. Our only real job as the brewer is to craft a nice recipe and keep things clean. However, try as we might to keep our equipment sanitary, there are occasions when unwanted bacteria will find its way into our beer. When this happens, the beer is said to be ‘infected’. Bacteria can produce a wide array of unpleasant flavours and aromas including (but certainly not limited to), clove, plastic, rubber, medicine, butter, metal, barnyard, (and my personal favourite) baby diaper. Infections can also lead to unsightly film along the surface of the liquid and even give your beer a ropey, or ‘snot-like’ consistency. But on the brighter side, these same bacteriological affects that can ruin a beer, can also produce some of the more interesting and sought after beers around. The key is using bacteria deliberately to achieve specific effects, and as every good brewer knows, there is a fine line between infected and deliciously ‘wild’.

Skunked beer When hop-derived molecules become exposed to ultra-violet light from the sun (and even some shop lights) there is a chemical reaction that produces a molecule very similar to butyl mercaptan - the molecule responsible for the foul odours that skunks emit. Thus resulting in what is commonly known as ‘skunked’ beer. Brown bottles do a fairly decent job of keeping out the damaging effects of light, however beers packaged in green and clear bottles are more susceptible. This chemical reaction can happen in a matter of minutes depending on the level of hops and light exposure. So you might think twice next time you feel like pouring yourself a glass of your favourite IPA on a hot summer’s day. Or at the very least, find some shade before you do so.

Astringency Beer is made by fermenting wort into alcohol. Wort is made by steeping crushed barley (and other grains) in warm water (typically between 62 and 71°C). If the mashing process is done improperly, it can result in a beer that is full of astringent tannins. Tannins are compounds found in plants that are responsible for that dry, parched feeling in your mouth. Imagine sucking on a tea bag… those are tannins. While tannins

Dry hopped

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[ tasting notes ]

Rosé: Pink, salmon, peach and red Cameron Douglas is New Zealand’s first and only Master Sommelier. He is a Senior Lecturer at AUT University in Auckland, local and international wine judge, wine commentator and wine educator as well as a speaker and presenter in New Zealand and internationally. Cameron is also an examiner with the Court of Master Sommeliers Worldwide. He writes the wine lists for a variety of establishments including Merediths, Mekong Baby, Nanam Republic and Michelin-Starred New York establishment The Musket Room.

Once again, Rosé has been an extremely popular wine of choice, with significant amounts consumed through summer 2018. As the warm weather extends through the month of March, there are plenty of Rosé options available. A current trend in this category has been the expansion and variation of style, structure and expression. This means there is a much wider range of Rosé wines to explore. Firstly, the colour of Rosé has become an important consideration for consumers. From pale peach to salmon, from barely any colour at all, to light pink, through raspberry red – Rosé has many variants of colour. Which one is correct? All of them, although the trend recently has been towards the salmon/pale apricot hues. Secondly, Rosé can be made very dry, to dry and, most often, just-dry in style. What was once the medium-to-sweet option has all but gone. Rosé’s in vogue status has ushered in a selection of more serious options as well, and this in turn has grown the selections on wine lists and food pairing

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options. Serious in terms of complexity in the bouquet and textures on the palate. Lastly, winemakers have been putting a lot more attention towards aromatics and structure in these wines. For example, the use of wild fermentation for a portion or all of the juice; the use of older barrels to add structure; extended skin contact for more tannin and grip (the tradeoff is more red pigment, but remember all Rosé colour is valid); and finally - capturing some minerality aromas and flavours. All Rosé should have a floral scent. Rosé can be produced from any red grape variety – in New Zealand Pinot Noir seems the most common. Merlot, Tempranillo, Syrah, Cabernet Sauvignon and Cabernet Franc are also used adding more choices for listings. Some producers will also add Pinot Gris or Sauvignon Blanc to the blend, so it’s a good idea to read the back label or research each producer first. The back label will often indicate level of sweetness or dryness and alcohol.

[ tasting notes ]

ESK VALLEY HAWKE’S BAY MERLOT ROSÉ 2017 Pink and peach tea hues. Attractive and vibrant aromas of yellow plum, cranberry, peach and red apple. Crisp, refreshing and dry with flavours that reflect the nose, some delicate fruit tannins and sculptured, silky texture. Drink now and through 2020. A great example. Points 92 RRP $19.99 Distributor: Villa Maria Phone: (09) 255 0697 www.eskvalley.co.nz

VILLA MARIA CELLAR SELECTION MARLBOROUGH ROSÉ 2017 Rose pink hues and a silvery shimmer. Plush, juicy and fleshy red fruits aromas with crushed strawberry and sweet peach. Refreshing and juicy on the palate, with a very silky texture, vibrant acidity and lengthy finish; delicious and just-dry. Drink now and through 2019. Points 92 RRP $17.99 Distributor: Villa Maria Phone: (09) 255 0697 www.villamaria.co.nz

TE PĀ MARLBOROUGH PINOT NOIR ROSÉ 2017 True salmon hue and very bright. Flavours include brown spices, peach, lees and a whisper of ginger and saffron. Generous and lush on the palate, with plenty of texture and fruit flavours leading to a dry lightly-oaked finish. Nice balance and length. Drink now and through summer 2020. Points 92 RRP $17.99 Distributor: Beverage Brothers Ltd Phone: (03) 390 1377 www.tepawines.com

MAZURAN’S DIRECTORS MARLBOROUGH ROSÉ 2016 Deep salmon and peach hues. Developing bouquet with fallen leaves, roses and peaches. On the palate showing strawberry and peach, dusting of tannins, hints of brown spice and lees. Silken texture, decent acidity and complex. Great example and a wine to savour, don’t over-chill. Points 90 RRP $39.00 Distributor: Mazuran’s Vineyards Phone: (09) 838 6945 www.mazurans.com

WAIMEA NELSON PINOT ROSÉ 2017 Old rose and light-red hues. Aromas of red berries, with raspberry and plum in focus. Flavours of the same, plus cranberry and red apple; vibrant acidity and firm texture, some minerality and lengthy finish. Balanced and drinking very nicely now and through 2019. Points 90 RRP $17.99 Distributor: Federal Merchants & Co Phone: (09) 578 1823 www.waimeaestates.co.nz

WAIRAU RIVER MARLBOROUGH ROSÉ 2017 Light salmon hues and very bright. Flavours of fresh peach, red apple and red cherry; very fresh and zingy acidity, silky textures and lengthy finish. Vibrant and fresh. Drink now and through 2019. Points 90 RRP $20.00 Distributor: Federal Merchants & Co Phone: (03) 572 7950 www.wairauriverwines.com

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[ tasting notes ]

MT BEAUTIFUL NORTH CANTERBURY ROSÉ 2017 Pink and red rose hues. Flavours of crushed strawberry and cherries. Dry with a crisp and refreshing texture, peach and yellow plum come through, then a mild tannin layer. Lengthy finish with a mineral aftertaste. Points 90 RRP $23.00 Distributor: Negociants Phone: (027) 233 5588 www.mtbeautiful.co.nz

THE KINGS DESIRE MARLBOROUGH PINOT NOIR ROSÉ 2017 Light salmon and Auckland rose hues. Cherry, plum and light strawberry aromas; lush, fruity and creamy silk textures, crunchy with plenty of acidity leading to a just dry balanced finish. Drink now and through 2019.

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Points 89 RRP $29.99 Distributor: Lion (09) 522 9684 www.marisco.co.nz

TOI TOI SARA’S MARLBOROUGH ROSÉ 2017 Light salmon and peach hues. Bright and refreshing aromas of crushed peach and delicate scents of strawberry and rose. Fine, silky texture with plenty of acidity to contrast the flavours of peach, strawberry and apricot; just-dry on the finish. A lovely example overall. Points 89 RRP $16.99 Distributor: Toi Toi Wines Phone: (09) 972 9498 www.toitoiwines.co.nz

THE NED MARLBOROUGH PINOT ROSÉ 2017 Very light pink with a salmon hue. Aromas of red cherry, plum and white peach. Flavours of the same, plus strawberry and red apple. Crisp, refreshing and just-dry with abundant acidity. Drink now and through summer 2019. Points 88 RRP $17.99 Distributor: Lion Phone: (09) 522 9684 www.marisco.co.nz Wines are scored out of 100 points and are listed in no particular order. Numbers are not indicative of a ranking.

[ Q&A ]

HIP HIP ROSÉ! Sip NZ’s Caro Jensen and Emily Camblin share everything you need to know about your favourite pink drink in our Rosé Q&A. Can you age Rosé? Rosé is typically made to be consumed young, similar to white wines like Sauvignon Blanc and Pinot Gris. The grapes for Rosé wines tend to be picked early to preserve vibrant characteristics and the winemaking focus is to amplify and keep the fresh flavours and bright acidity, sometimes with a bit of sweetness. Added to the fact that Rosé wines are not generally aged in oak, but instead tend to be fermented in stainless steel vats. This means that the wines do not have excessive tannins from the wine skins, nor oak tannins from barrels. Ageability can also depend on the wine variety that is used to make the Rosé, as well as winemaking techniques. Some red wine grapes have more tannins than others, for example Mourvèdre or Cabernet Sauvignon, which allow them to age a bit better and longer than their other red wine variety counterparts. But really, you should enjoy Rosé throughout the year and not worry too much about ageing them. At what temperature should you serve Rosé? The technical definition for how cold it should be is 5-6 °C, but unless you have a high-tech wine fridge, pop it into your refrigerator a few hours before consumption and you should be sweet.

Are blush wine and Rosé the same thing? This designation can be very confusing but basically they are the same thing. Blush wine specifically made its name and became famous in the 1980s due to the White Zinfandel craze in the United States. Generally, blush wines were made strictly from red grapes that infused a ‘blush’ of colour to the wines and tended to be somewhat sweet. Nowadays, these terms can be used interchangeably, however ‘blush’ is now used as more of an adjective to describe a Rosé colour than a different style of wine. How is sparkling Rosé made? If you are talking about sparkling wine (not from Champagne in France), there are two ways to make a bubbly Rosé. The traditional Method Traditionelle or by infusing a sparkling wine style with carbonation. Either way, the pink colour is established by blending the juice from Chardonnay with the red wine grapes Pinot Noir or Pinot Meunier. The colour can be extracted either from the juice after a delicate pressing or the saignée method where

the grapes are allowed to macerate on its skins for a couple of hours prior to pressing the juice. Does price-point make a difference in choosing a good Rosé? As with any category or wine, it all depends on your tastes, the occasion and your expectations. Price alone does not make one wine better than another. Rosé wines overall tend to be quite accessible and you will generally get a good quality Rosé between $10-20. Over this amount, you will be looking at more boutique producers, more attention to vineyard and winemaking practices and limited availability. So we suggest you get a selection and make your own conclusions as to what Rosé wines you prefer best! What style of Rosé do you think is most popular with Kiwis? Kiwis’ tastes are changing and it is exciting to see how they are all getting behind Rosé as a category, as there are so many different regions, styles and producers that are making stellar New Zealand Rosé. That being said, Kiwis are starting to drink dryer and lighter-coloured Rosé wines and the most prolific varieties would be from Pinot Noir and Merlot. However, there are some renegades out there who are sure to convert consumers to alternative varieties such as Tempranillo, Cabernet Franc and different blends. For more from Caro and Emily, visit sipnzwine.com FMCG BUSINESS: THE SHOUT - MARCH 2018

[ Q&A ]

BETWEEN A ROCK AND A WINE PLACE

Rocker-turned-winemaker Charles Smith has launched his unconventional brand in New Zealand, so there’s no better time to try some Washington State wine. We don’t see a lot of wines from Washington State in New Zealand – can you describe the region? I believe Washington to be the most exciting wine growing region in the world right now – not just because I’m here, but because I love the wine that’s being made here. Throughout Washington State, growers are focusing primarily on Riesling, Chardonnay, Cabernet Sauvignon, Merlot and Syrah. The Charles Smith Wines collection highlights each of these revered Washington categories, while staying true to both typicity of varietal and vineyard. So, The Velvet Devil Merlot tastes like Merlot, Eve Chardonnay like Chardonnay and so on.

IT’S FAIR to say that most New Zealanders don’t include a lot of American wines in their shopping list. Coming from a land where Kiwi wine is king, it can be difficult for us to look outside our own vineyards (or those of France, Spain or Italy) to find a delicious drop. But rocker-turned-winemaker, Charles Smith, is hoping to pique our interest in Washington State wine by launching three varietals into New Zealand stores. We grabbed a quick chat with the USA’s rock star winemaker.

You spent almost a decade as managing rock bands, why did you decide to switch to winemaking? Wine has actually been a lifelong interest of mine. From trying sips as a child at the dinner table, to working in kitchens at the age of 18, surrounded by food, and, of course, wine. Touring with rock bands throughout Europe, including the famed Danish duo, The Raveonettes, naturally came with much wining and dining – ultimately influencing my path and leading me to where I am now. After moving back to the United States in 1999, I opened a wine shop on Bainbridge Island, just across from downtown Seattle, and soon after found myself on a road trip to Walla Walla, Washington. It was there that I met a young Frenchman and winemaker, and together we discovered a common passion for great Syrah. Eventually, I was convinced to move to Walla Walla and make my own juice.

Where did you get your inspiration for the unconventional wine labels? The goal is to communicate the language of wine to everyone. I do this by using straightforward words and symbols that everyone can understand to help tell the unique story behind each wine and to describe what’s in the bottle. Take Kung Fu Girl Riesling’s label for example, which was equally inspired by Lucy Liu and Uma Thurman’s epic fight in Kill Bill: Vol. 1, as well as the varietal’s ability to pair with spicy Asian takeout food. Or Eve Chardonnay, which is a total celebration of Washington State. Known as the Apple State and the top producer of apples in the US, Eve’s label features a bold Washington apple illustration, also hinting at the wine’s cool and crisp interpretation of the varietal. Charles Smith Wines are available at Glengarrys, Liquorland, West Liquor, Farro and Super Liquor and will be launched in supermarkets later in the year.

The Modernist Project Smith launched Charles Smith Wines in 2006 and themed the brand, ‘The Modernist Project’ - focusing on the way people generally consume wine today: immediately. He intended to make balanced and approachable wines to be enjoyed now and has been awarded Winemaker of the Year by three different publications for his efforts. 16

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[ new releases ]

NEW ON SHELF

Searching for something new to try? Take a look at these…

Juno 2018 Summer Gin Taranaki gin distillery, Juno, has launched its newest limited edition release - 2018 Summer Gin. Made using the potent Angelica grown at Kaitake Farms in Oakura, along with local bergamot oranges, 2018 Summer Gin is a vibrant and enticing summer spirit. The Shining Cuckoo, pipiwharauroa, on the label of 2018 Summer Gin reflects the feeling of summer holidays as the bird flies from New Guinea and the Solomon Islands to spend summer in New Zealand. Just 1000 bottles of 2018 Summer Gin are available. RRP $42.00 www.junogin.co.nz

Crafters Union Wine Cans Crafters Union have a desire to create something a little unique. Their latest innovation offers the same quality wine from their 750ml range in a convenient 250ml can, making it easier to enjoy their wines anywhere, anytime. New Crafters Union Wine cans are packaged using patented Vinsafe wine technology, ensuring premium quality, product integrity and longevity. The range includes Hawke’s Bay Rosé 2017, Hawke’s Bay Pinot Gris 2017 and Marlborough Sauvignon Blanc 2017, available nationwide from March 19. RRP $7.99 each www.craftersunionwines.com

Parrotdog Lager Refreshingly uncomplicated, Parrotdog Lager (4.5% ABV) is a classic lager brewed with New Zealand’s distinctive and underappreciated Green Bullet hop. Parrotdog kept things deliberately simple in the name and packaging of the lager, to show ‘it is what it is’ with this new brew. RRP $29.99 (12 x 330ml) www.parrotdog.co.nz Contact: orders@parrotdog.co.nz

Soljans Estate Tribute Hawke’s Bay Merlot Malbec 2015 Sweet florals and cherries abound on the nose, set amongst a background of coffee and dried herbal aromas in this beautifully composed red from winemaker Tony Soljan. An elegant wine, it shows a core of ripe red fruits and hints of toasty spiciness. Fine grained tannins lead the palate to its harmonious conclusion. Cellar for six years or more and enjoy with beef, lamb or venison. RRP $39.99 www.soljans.co.nz

Blush Gin

Peckham’s Cider

Made locally by a team of two, Blush Gin is sweet enough to be beautiful, smooth enough to be enjoyed on the rocks and has enough alcohol content to make it a proper drink, with a colour that is true to the rhubarb itself. The very first batch was made in a 500 ml jam jar and while batches are a bit bigger now, the same passion and love is still put into every bottle to make a truly memorable gin. RRP $85.00 www.blushgin.co.nz

Peckham’s Cider’s new-look packaging has their ciders sitting pretty on the shelf. The classic range of ciders is now available in bright new six-packs, with the different colours reflecting the real fruit used in each variety. Peckham’s grow their own cider apples in the Moutere Valley near Nelson and the 330ml cans range from 5.2% to 5.8% ABV. RRP $22.99 Contact Hop and Vine: orders@hopandvine.co.nz, (027) 433 0687

FMCG BUSINESS: THE SHOUT - MARCH 2018