FMCG Business - May 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

May 2018 – Volume 5 – No 4

N EW

The great taste of fruit and chocolate combined PLUS! INSIDE ALIBABA n NIELSEN AD INTEL n NEW PRODUCTS n NEW ZEALAND’S LARGEST FMCG AUDIENCE

contents 38

Up Front 4

Editor’s note

Industry news

10 Gear New technology for work, rest and play

Category Insights

May 2018 Events 38 Celebrating Outstanding NZ Food Producers We partied with the Champion and Special Award winners! 40

Fine Food New Zealand NZ Pie Awards New Celeb Chef Judge revealed

Convenience Meals & Pies

Oils & Spreads

Events Calendar

Regulars

The Chocolate & Coffee Show

Social Sphere Industry members spotted out and about

Special Report Alibaba opens doors to China

The Shout

14 Q&A Next Level Ad Intel from Nielsen 21

What’s Hot New products in store

Best in season Fresh produce

Health & Wellness

Good Business 28

Industry news

Buy NZ Made Honesty the best policy

Legal advice Electronic signatures

Export Winning formula

Editor’s note

Industry news and insights

Z expands presence at record N ProWein 2018 Report on this year’s global wine and spirits exhibition

Cheers to Chardonnay Tasting notes from Cameron Douglas MS

13 Do you Chardonnay? Kiwi wine experts share their reasons why we should love this varietal

14 New on Shelf This month’s exciting new product launches 15

32 FGC Focus on obesity

The art of Ciderology Q&A with The Ciderologist, Gabe Cook

16 Sour beer Beer writer Neil Miller takes a look at this polarising style

33 Innovation The science of soft drinks – can you have it all? 34

Sustainability Transport Trends

See the latest gear and new products in this issue.

FMCG BUSINESS - MAY 2018

[ editorial ]

New products, tech and trends to watch

elcome to our May edition – can you believe we are nearly half way through 2018!? We reveal many fantastic new products in this issue, but I’m especially excited about Fruit Sensation - a sophisticated dark chocolate snacking offer with premium ingredients - as seen on our cover. In a global Nielsen survey, consumers were asked which snack they would choose above all others and the overwhelming answer was ‘fresh fruit’, but ‘chocolate’ was a close second. Fruit Sensation has a soft fruit center coated in premium Lindt dark chocolate, combining the two most popular segments to snack on. Fruit Sensation comes in three delicious recipes: Raspberry & Cranberry; Blueberry & Acai and Orange & Pink Grapefruit, all coated in premium dark chocolate. See what’s trending in convenience meals on pg 16-20, discover Nielsen’s Ad intelligence solutions on pg 14-15, and find the latest tech gear for work, rest and play on pg 10-11. FMCG - and especially food and beverage - is the next big sector that will feel the influence of digital shopping. We’re seeing the shift already with Click & Collect and home delivery options at many supermarkets. To support the unique challenges of online food shopping, many companies are pioneering new ways of getting orders into their customers’ hands. We consider the future of retail and online shopping of a different kind, in our special report from AliBaba’s Campus on pg 12-13. FMCG Business was very privileged to be invited to take a peek behind the scenes there, on a whirlwind visit to China. Alibaba Group Holding Ltd is one of Asia’s most valuable companies and it has now become so big that it is looking for growth by forging into new territory: the offline world. Alibaba has snapped up stakes in grocery stores, electronics chains, department stores and malls. Alibaba’s market capitalization now exceeds a mind-boggling half a trillion US dollars. Enjoy this issue,

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 PUBLISHING ASSISTANT Eclypse Lee elee@intermedianz.co.nz

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

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L E A D I N G

I N D U S T R Y

N E W S

May 2018 – Volume 5 – No 4

N EW

ON THE COVER Lindt is launching Fruit Sensation in June to create a premium sub-segment in the Bitesize category. Find out more on pg 8.

The great taste of fruit and chocolate combined PLUS! INSIDE ALIBABA n NIELSEN AD INTEL n NEW PRODUCTS n NEW ZEALAND’S LARGEST FMCG AUDIENCE

76695 FruitSens FMCG Mag_NZ_Front Cover_chosen_FA.indd 1

19/04/2018 8:57 AM

FMCG BUSINESS IS PROUDLY ASSOCIATED WITH

FMCG BUSINESS - MAY 2018

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

CO O K I N G G R E AT FO O d j u st g ot e as i e R

introducing OUR NEW RANGE

It has the ideal fatty acid profile, offering a mix of high monounsaturated oils and moderate saturated fats. Great for roasting vegetables, enhancing steak, finishing soups and stews.

EMIU

Made with premium beef marrow oil, derived from New Zealand grass-fed beef bones and then blended with rice bran oil to create a cooking fat that gives authentic flavour.

m a k E u t t e r ly m o u t h - wat e r i n g c r i s py ROAS T potato es BEEF M A R ROW OIL

[ news ]

Takeover offer for Tegel As this magazine goes to print, The Bounty Fresh Group, a leading Philippines-based farm-to-market poultry producer announced that Bounty Holdings New Zealand Limited (‘Bounty Fresh’) has filed a Notice of Intention to make a full takeover offer under the Takeovers Code for 100% of the shares in Tegel. Bounty Fresh has also entered into a binding lockup agreement with Claris Investments Ptd. Ltd. (‘Claris Investments’), which holds 45% of all Tegel shares on issue, for Claris Investments to accept the Offer when made. The Offer price is NZ$1.23 per Tegel share, which represents a premium of 50.0% on NZ$0.82, the last traded price before the giving of the Notice of Intention, and a premium of 25.4% on NZ$0.98, the volume weighted average share price for the three months ended on Tuesday April 24 2018. Bounty Fresh’s Offer places a market valuation on Tegel of approximately NZ$437.8 million. “Tegel is a leading brand in the New Zealand market with real potential to expand into Tennyson Chen, President, international markets, particularly Bounty Fresh Food Inc.

T&G sells Kiwifruit assets T&G Global Limited (T&G) has reached an agreement regarding the sale of its Kerikeri-based kiwifruit orchards, packhouse facilities and assets to Seeka Limited (Seeka). The agreement, valued at approximately $40 million will see Seeka purchase T&G’s post-harvest facilities in Kerikeri for the packing and storing of avocados, kiwifruit and citrus. Additionally, T&G has agreed to sell all its Zespri shares to Seeka, valued at approximately $2 million. T&G is also selling approximately 80 hectares of orchards in and around Kerikeri to Seeka on which it currently grows the Hayward, ENZAGold and ENZARed kiwifruit as well as Zespri Sungold varieties. T&G will however remain the trademark owner of the kiwifruit brands. T&G will also have access to fruit grown by Seeka for its existing customer-base here in New Zealand and overseas. Seeka will rename T&G’s Kerikeri facilities and operating business entities ‘Seeka Kerikeri’. All staff from T&G’s post-harvest and kiwifruit orchard business areas will be retained by Seeka. T&G’s Executive General Manager NZ, Andrew Keaney says the company is extremely pleased to have secured a positive outcome for its kiwifruit growers and employees in Northland. “Our staff and grower partners will benefit from being owned and operated by Seeka, which has confirmed it will invest for the long-term. The New Zealand avocado, kiwifruit and citrus industries need good fruit processors in Northland such as Seeka and T&G is delighted to have found such a strong partner to take the business forward.” 6

FMCG BUSINESS - MAY 2018

the Philippines where Bounty Fresh Group’s sales and distribution networks are extensive,” said Tennyson Chen, President, Bounty Fresh Food Inc. “We believe our Group is naturally aligned to Tegel, and our offer is motivated by a desire to further grow the Bounty Fresh Group beyond the Philippines. Our intention is to acquire 100% of Tegel’s shares on issue, but we also welcome any shareholder that wishes to remain invested in the company’s future alongside us,” he added.” Bounty Fresh’s Offer is subject to a number of conditions, including minimum shareholder acceptance condition of more than 50%; New Zealand Overseas Investment Office approval given the Sensitive Land held by Tegel; key third parties exercising or stating an intention to exercise rights due to, or refusing to consent to, the change of control; and Tegel meeting earnings performance thresholds for the financial period ending 29 April 2018 and 26 week period ending on or about 28 October 2018.

Fresh/Clean Breath is the #1 driver of Candy/Mint purchase* $120k support package including social media and sampling Impactful floorstand to maximise awareness and sales

*Source: Millward Brown â&#x20AC;&#x201C; December 2017

NEW CLEAN BREATH SUGAR FREE MINTS AVAILABLE NOW Contact your DKSH New Zealand Limited representative for more information.

[ cover story ]

Lindt Fruit Sensation arrives in NZ! Lindt is launching Fruit Sensation in June to create a premium sub-segment in the Bitesize category to add value and profitability. “Fruit Sensation is filling an opportunity gap in the market by targeting adult consumers,” explains Ken Davis, Client Manager Lindt Chocolate. Fruit Sensation is a sophisticated dark chocolate snacking offer with premium ingredients. Fruit Sensation has a soft fruit center coated in premium Lindt dark chocolate - combining the two most popular segments to snack on, fruit and chocolate. “In a global Nielsen survey, we asked consumers around the world what one snack they would choose above all others. The overwhelming answer: Fresh fruit. But chocolate was a close second,” says Davis.

Fruit Sensation is available in three mouth-watering recipes, Raspberry & Cranberry, Blueberry & Acai and Orange & Pink Grapefruit, all coated in premium dark chocolate. In quantitative research 91% of consumers loved the taste and a massive 81% said they would purchase Fruit Sensation. In markets where launched, Switzerland and France, Fruit Sensation established a 7% market share within the first six months. The Fruit Sensation launch in New Zealand will be supported with a comprehensive marketing campaign, including a national TVC, digital, social media and instore sampling campaign with dedicated point of sale in store.

[ news ]

New MD for P&G

5 TECH TRENDS YOU CAN’T AFFORD TO MISS Five key technology trends will influence Australian and New Zealand retail environments and business strategies in 2018, predicts Manhattan Associates. The key trends include: 1. Increased personalisation of shopping experiences 2. More flexible checkout experiences 3. Accelerated automation integration 4. Reimagined use of AI-based technologies 5. G reater implementation of employee engagement solutions. Employee engagement today requires more visual, graphic based content that is personal and digital. In 2018 retailers will look beyond traditional engagement channels to share news and feedback in more creative and intuitive ways. Raghav Sibal, Manhattan Associates Managing Director for Australia and New Zealand says: “With the pace of innovation increasing, we anticipate retailers will double down on technology deployments in the year ahead.” 8

FMCG BUSINESS - MAY 2018

Procter and Gamble (P&G) has appointed Vivek Gupta to the position of Managing Director and Vice President for Australia and New Zealand. Gupta was previously the Sales Director and began in his new role in April. He took over the role from Antoine Brun who will be returning to Europe to lead P&G’s South-East Europe business unit. Vivek Gupta, Managing Director Gupta said he is and Vice President for P&G Australia and New Zealand. passionate about the company’s strong foundations of innovation and category leadership. “We aim to be the innovation leaders of our industry, and feel it’s our responsibility to market the most superior products that improve consumers’ lives and to work with our retailer partners to create total category growth,” he said. “At P&G we have a team of highly dedicated, expert leaders with a strong momentum of results. I am honoured to be leading this team and look forward to contributing to even greater future success.” Gupta has established vast experience across various retail channels, product categories and in both developed and developing markets.

[ gear ]

2Degrees Wi-Fi Calling

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

Heading overseas? If you bought an iPhone or a Samsung S8/S9 smartphone from 2degrees and have a 2Degrees SIM in it, you’ll be able to save cost on mobile roaming costs when overseas. Instead of routing calls and text messages through a mobile network and incurring roaming fees, Wi-Fi calling compatible phones can route calls and text messages over Wi-Fi. In practice this means that all calls/text messages made when your phone is connected to Wi-Fi are treated as if they’re made in New Zealand, no matter where in the world you happen to be, saving you a bundle. https://www.2degreesmobile.co.nz/ help-and-support/mobile/products-andservices/wifi-calling/ (requires compatible phone)

ChatSIM If you’re the lucky owner of a Wi-Fi calling compatible phone but don’t have any Wi-Fi handy, there’s an alternative for those addicted to messaging services such as WhatsApp or Facebook messenger. Check out ChatSim. It’s a SIM card that gives you unlimited use of chat apps such as WhatsApp, Facebook messenger, LINE, WeChat ChatApps for a mere US$40 a year. It works in over 165 countries too. https://www.chatsim.com/personal

3SIXT Samsung S9 Plus Neo Clutch Wallet Case/ Protector After parting with large chunks of cash for Samsung’s latest XXL sized smartphone you’d be forgiven for worrying about dropping it. Adding to your worries is the fact that the S9’s chassis is made of toughened glass. If dropped, it won’t bounce. So, buying a protective case designed to help your investment survive an involuntary drop test is a must. 3SixT have that covered with the Neo Clutch case that does double duty as a cash and credit card wallet (which helps reduce pocket and purse clutter). The Neo Clutch also has an additional detachable protective case for the S9+ that magnetically attaches inside the wallet. https://www.3sixtgear.com/product-tag/samsung-galaxys9plus/ RRP $44.95

FMCG BUSINESS - MAY 2018

[ gear ]

Fitbit Versa Fitbit’s latest smartwatch/fitness tracker, the Versa, is finally here. Like the Fitbit Ionic, the Versa is a smartwatch but it is also an industrial grade fitness tracker. It tracks steps, the calories you’ve burned, your sleep and heart rate, plus it has built coaches for specific workouts and exercises. It can display phone notifications and its battery runs for up to four days. Its slim and light design also makes for a comfy fit and it is water resistant to 50m. https://www.fitbit.com/nz/shop/versa?color=wovencharcoal

System Mechanic If like many, you’re finding your ageing PC has slowed and is becoming a pokey pain to use, don’t despair. You could rush out and buy a new PC, but then why spend all that money when Iolo’s System Mechanic app will keep your existing PC running as fast as the day you first powered it on? Consisting of a suite of applications that let you tune and tweak your PCs performance, System Mechanic runs in the background to continually and automatically optimise your PCs performance. System mechanic is a subscription based free download. http://www.iolo.com/products/system-mechanic/ RRP US$49.95

Huawei P20 Pro Competition in the smartphone market just got ratcheted up another degree as Huawei launched their latest smartphone, the P20 Pro. It’s IP68 rated, which means it can take a dunking and come back for more. It also has three rear cameras and takes astonishingly good photos. The venerable photography benchmark site DxOMark.com rates the P20 Pro’s cameras as the best currently available on a phone. https://consumer.huawei.com/nz/phones/p20-pro/

FMCG BUSINESS - MAY 2018

Alibaba’s XiXi campus Alibaba HQ, Hangzhou, China

Alibaba Chairman Jack Ma’s office

‘Napping stations’ for Alibaba employees

ALIBABA OPENS DOORS TO CHINA

FMCG Business reveals exciting new opportunities, in a trade exclusive report from Alibaba.

n April this year, Chinese President Xi Jinping announced reforms to open up China’s economy to foreign imports and lower tariffs, instantly providing smaller countries and businesses with the option of introducing their goods to the country with the world’s largest population - over 1.3 billion. Yi Qian, Global Business Director of Alibaba’s retail B2C Tmall.com said that this the first real indication from President Xi Jinping that China is open for business. Qian explained: “This is the beginning of the Chinese consumer upgrade and the next five years offer the biggest global opportunity 12

FMCG BUSINESS - MAY 2018

to reach into China. Everything to Chinese people is new and interesting.” Chinese retail is growing by 11-12% per year currently, however imports far exceed this with a 20-30% growth expectation over coming year. In a trade exclusive, FMCG Business visited China recently and explored the opportunities for New Zealand business through the country’s largest and one of the world’s most innovative businesses - Alibaba. Already the biggest retailer in the world with over 100,000 brands online, Alibaba has a growth goal to be the 5th largest economy in the world by 2036.

Kiwis might know it mainly as an online wholesaler, but the ‘Alibaba Economy’ is much, much more, consisting of: • Digital, media and entertainment (Youku, a similar product to YouTube now delivers more than 900 million views per day) and Alistudio, the movie makers • Core E-commerce -A libaba and 1688, wholesale online products -A nt Financial Services - Alipay smartphone based payments online/offline system with integrated loyalty system -T aobao – China’s largest C2C platform similar to ebay

[ special report ] -T Mall and TGlobal – B2C online selling platforms -A liexpress – B2C selling Chinese products to the world - J uhasuan – a Groupon-style format and China’s largest -M apping services - Fliggy – travel website -H ema – a new flagship subsidiary supermarket chain -C loud computing and security – for the likes of Phillips, Nestle, Toyota, Amazon and Microsoft A tour through the 20,000 strong XiXi campus does not give the impression that frenzied development is occurring in all stages of the business behind the scenes. Adorned with art and sculptures, the campus is based on the edges of a restored wetland within the Hangzhou district, three hours’ drive south-east of Shanghai. All is calm. Employees zoom quietly past us on electric vehicles of all varieties. Their working hours are flexible, cafes and rest spots are plentiful, offices are green and sustainable. Napping stations are provided in small tents through the buildings, which we found to be mostly full during our lunchtime visit.

Alibaba takes on the world The year 2015 marked the beginning of the Alibaba Globalisation Strategy, which has

Alibaba Fast Facts • Founded in 1999 by Jack Ma and a small team in his apartment • 60,000 employees throughout China, 20,000 alone at the XiXi Campus. • 2017 revenue at US$12.8billion • 515 million active Alibaba purchasers • Mobile users reached 580 million in the month of December 2017 alone • Alibaba market cap on the NSYE is over $450 billion • Surpassed Walmart as the world’s largest retailer in 2016

seen unprecedented growth in China for international brands. In both Hangzhou and Shanghai, you could be mistaken for feeling you are in a European city with Audis, Starbucks, H&M stores, Louis Vuitton boutiques and more on nearly every corner. A New Zealand Business Roundtable meeting hosted by Alibaba and NZTE provided insight from key players already in the market, including Sanitarium, Delegats, Kono and Go Healthy. NZTE and Alibaba have a strategic alliance to assist Kiwi businesses wishing to enter China and provide advice in terms of regulation and Government networks, while Alibaba provides the many necessary Damon Paling, NZ Trade Commissioner to China and Tanne Andrews, China Country Manager for Sanitarium at the NZ Business Roundtable hosted by Alibaba and NZTE

Alibaba Chairman Jack Ma

retail and financial tools such as Tmall. com to sell brands to the market. There are currently about 40 New Zealand brands engaged online in China via Alibaba. The product categories that are seen to have the greatest growth potential in China are around health supplements, organics and – interestingly - pet food. NZTE Trade Commissioner to China, Damon Paling said: “Boards, CEOs and smaller businesses need a long-term view of the Chinese market and have to visit to understand the opportunities available here more fully”. Sanitarium’s China Country Manager, Tanne Andrews explained: “You are not just competing with NZ brands, you are competing with global brands,” so standing out in the crowd takes additional effort. Their use of KOLs - key opinion leaders or influencers, enabled Neutrabix (Weetbix as we know it) to break into the market through product placement on a highrating TV show and also using KOLs as brand ambassadors for social media and web. Sanitarium maintains its existing ANZ branding throughout China to make use of the heritage, however on traditional marketing, Andrews says: “If 90% of your sales are online, why wouldn’t you just use online advertising?” If you would like more information on how Alibaba Group can open the doors to China for your business, please contact NZ Country Manager, Pier Smulders: piersmulders@alibaba-inc.com

Did you know? China’s richest man, Alibaba Founder and Chairman Jack Ma, visited New Zealand in February to check out his latest investment. The Alibaba Group and Ma’s venture capital company are 57% owners of Milk New Zealand Dairy, the export arm of the investment. Only 72 hours after it is produced in New Zealand, fresh milk is on the shelves of 18 Alibaba Hema Fresh supermarkets in Shanghai.

FMCG BUSINESS - MAY 2018

[ Q&A ]

NEXT LEVEL AD INTEL

Digital ad placement can be challenging with programmatic buying decreasing the visibility on where an ad is ultimately placed. We talked to Nick Whitehead, Senior Manager, Client Development at Nielsen on how their ad intelligence solutions are shedding light in this area. What is Nielsen Ad Intel? Nielsen Ad Intel is the leading provider of competitive advertising information. It alerts you to new sales opportunities by tracking ad spending in more detail while making it easy for you to interpret the data and address your most competitive questions. To expand the digital component of Nielsen’s Ad Intel measurement, Nielsen partnered with U.S.based Pathmatics.

What is Pathmatics? Pathmatics is a leading digital ad intelligence platform that enables our clients to understand who’s buying and selling ads, the creative format and execution as well as their ad impressions across multiple devices and ad formats. It provides competitive digital campaign information, including unique insights on the programmatic market.

How is the information captured? Simply put, advertiser-level data is collected through the use of a web indexer. This information is captured across multiple categories and stored in a central library for you to use for competitive ad intelligence analysis.

FMCG BUSINESS - MAY 2018

How has the partnership worked out so far?

NIELSEN AND PATHMATICS ARE ABLE TO DELIVER ACTIONABLE INSIGHTS IN DIGITAL AD INTELLIGENCE.” How did Nielsen get into this space? Digital advertising is an area that’s highly important to our clients as they try to understand how to better reach their customers across digital platforms. We knew that we needed to invest in better quality measurement in this area and this is why in late 2015, Nielsen and Pathmatics formed an alliance to provide a more comprehensive ad intelligence solution for our clients. Since we formed this alliance, our relationship with Pathmatics has expanded around the world, with this solution now supported in New Zealand, Australia, United States, Japan and many of the European markets.

Together, Nielsen and Pathmatics are able to deliver actionable insights in digital ad intelligence for the media and advertiser sectors. Pathmatics has brought a cuttingedge and innovative technology, while Nielsen has been able to leverage its already established relationships across the globe in the media and advertiser sectors as a trusted and independent measurement company. The result has been greater visibility on, and accuracy of, digital campaigns across more websites and more devices. This has led to highly valuable outcomes for publishers, agencies and advertisers.

How have publishers, agencies and advertisers been using Pathmatics? Publishers have been using Pathmatics as a sales prospecting tool by looking at competing publishers and the successes they have had in winning business. Advertising agencies are using Pathmatics to analyse the digital campaigns of their clients in comparison to a competitive set of other digital campaigns. For

challenges for advertisers is the visibility of where an ad is placed. We’ve seen examples of alcoholic beverage ads being placed next to news articles related to under-aged drinking and flight commercials placed next to stories about airplane crashes. This is why visibility is important - to minimise the risk to publisher and advertiser brands.

How are insights delivered to clients?

Nick Whitehead, Senior Manager, Client Development at Nielsen

advertisers, the tool is being used predominantly for two reasons; to provide greater transparency into programmatic buys, showing which sites their digital campaigns were placed on; as well as helping them to better brief their agencies in future digital campaigns.

Why is visibility of ad placement important? With programmatic buying being an automated process, one of the biggest

What you get with Pathmatics is access to our whole digital campaign library since the service went live in New Zealand in May 2017. This allows you to search for specific creative by advertiser. This also gives you the ability to view your own digital campaign execution as well as competitor campaign strategy. This is delivered through a simple to use web-based interface. Within the interface, clients can easily pull together presentation form reports like top advertisers, top sites and top categories. Users can also follow specific brands, setup alerts for the latest creatives and track the impressions of those brands over time.

What does the future of ad intelligence look like? Continual change. If we just look at the last ten years, Digital ad placement has changed dramatically and we expect this to continue. Consumers increasingly have access to content across multiple devices, apps and platforms. Nielsen’s ad intelligence service will continue evolving to allow a comprehensive measure of campaigns, across platforms and devices.

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: 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

For more information contact: Nick Whitehead Senior Manager, Nielsen New Zealand nick.whitehead@nielsen.com

www.convergencepartners.co.nz

QUICK & EASY MEALS

Convenience is King – from iconic NZ pies to new Mexican and Asian-inspired flavours.

arrah’s offers a fresh and modern approach to Mexican, with a range of meal kits that are proudly New Zealand made, contain no artificial colours or flavours and are ready in under 30 minutes. “We know consumers want convenient, good tasting meal solutions that the whole family will enjoy, which is why our meal kits are mild, with tasty sauces and spices that actually show off the natural pieces and real ingredients – no powdery sachets around here,” says Farrah Canak – founding partner and Co-owner. “Farrah’s have shaken up the Mexican category in New Zealand since launching their standout range of Mexican Meal Kits, 16

FMCG BUSINESS - MAY 2018

Spice Mixes and Tortillas in September 2017. While the Mexican Food category has remained relatively flat at 4.1% value growth, Farrah’s are growing at 166% and have added an incremental $1.3M to the category (IRI scan data, Total Supermarkets, MAT ending 25/03/18),” says Jana Macky – National Marketing Manager. “Meal kits are growing at a rapid rate outside of grocery and we believe there is potential to reinvigorate grocery sales of ambient meal kit offerings through launching further good quality products under the Farrah’s brand”. Farrah’s latest launch hit shelves on 30th April 2018 and consists of a Fajita Meal Kit; a Crispy Chicken Meal kit and a Crispy Chicken Spice Mix. All line

NEW MEXICAN New Farrahâ&#x20AC;&#x2122;s Meal Kits and Spice Mix instore from 30th April. Supported by an extensive launch campaign. Talk to your Twin Agencies representative for more information.

NEW

[ category insights ]

FARRAH’S ARE GROWING AT 166% AND HAVE ADDED AN INCREMENTAL $1.3M TO THE CATEGORY.” JANA MACKY, NATIONAL MARKETING MANAGER

priced with the existing ranges they are packed with delicious flavours and contain authentic flame baked flour tortillas that won’t crack or split when rolled. The launch is being supported by a targeted media campaign, reaching out to shoppers and reinforcing that good tasting, convenient meal solutions are available in supermarkets.

Kungfood - made in NZ James Crisp Ltd distributes the KUNGFOOD brand in selected Countdown, New World and Pak’n Save stores. KUNGFOOD is a range of authentic, delicious, frozen, Asian fusion food, made right here in Godzone. Melanie Taylor, Marketing Manager – Own Brands, James Crisp Ltd explains: “KUNGFOOD Dumplings, Steam Buns and ready to fill Bao Buns are a clever fusion of our favourite Kiwi flavours and ancient techniques. Asian Fusion food so tasty, it’ll give your taste buds a karate-kick! The KUNGFOOD range provides restaurant quality Asian fusion food from the convenience of your home, with quick and easy to prepare cooking instructions (https://kungfood.co.nz/cookinginstructions). “The KUNGFOOD range of frozen Dumplings, Steam Buns and Ready to Fill Bao Buns was launched in late 2017 and includes: Restaurant quality, Asian fusion Dumplings that will transport you to your happy place, whilst giving your taste buds a good ol’ karate-kick! Our generous sized Dumplings provide more of our perfect filling to pastry ratio. • Lemongrass Chicken Dumplings 288g • Thai Green Chicken Dumplings 288g • Hoisin Pork & Cabbage Dumplings 288g • Garlic Pork & Prawn Dumplings 288g • Vegetable Medley Dumplings 288g Restaurant quality Steam “Buns that are light, fluffy, pillows of deliciousness with a hot, slow-cooked BBQ meat filling. • BBQ Pork Steam Buns 400g • BBQ Chicken Steam Buns 400g

“Restaurant quality Bao Buns are light, fluffy pockets of deliciousness that are ready to fill with your favourite fusion fillings. • Bao Buns (Ready to Fill) 360g “Having launched in late 2017, KUNGFOOD is driving incremental category growth and is already the no. 2 Frozen Finger Food brand in New Zealand grocery1 and the leading Frozen Finger Food brand in New World North Island with 38% value share2,” says Taylor. “KUNGFOOD falls into the intersection of two major trends in New Zealand grocery: 1.Frozen Finger Foods is a fast-growing segment within Total Frozen Foods (+48.0% value growth vs. MAT YA)3 2.The Total Frozen Asian Foods segment is in significant growth (+61.3% value growth vs. MAT YA)3” Source: 1. IRI MarketEdge, T. Frozen Finger Foods, T. NZ Grocery, Value, latest 4 weeks to 11/03/18 2. IRI MarketEdge, T. Frozen Finger Foods, NWNI, Value, latest 4 weeks to 11/03/18 3. IRI MarketEdge, T. Frozen Finger Foods, T. NZ Grocery, Value, MAT to 11/03/18

Meat-ing the need for convenience Arm yourself with lots of napkins and prepare to get messy! Beak & Sons BBQ Pork Ribs are the perfect combination of meaty St Louis cut ribs and marinade, slow cooked so they’re tender and full of flavour – melt-in-your mouth deliciousness,” says General Manager, Mary Boulton. Available in two flavours from the butchery chiller: Smoky Hickory and Chinese Hoisin. Super convenient and easy to prepare – already slow cooked for convenience, they take less than 10 minutes to heat on the BBQ or under the grill. “Convenience is such a huge driving force in the food sector now. However much we like to watch people creating or posting online about their amazing meals, there is often little time to replicate these dishes at home for our families and friends. With time-poor New Zealanders increasingly looking for healthier and convenient options for meals, it is no surprise that easy to make, fresh ready-to-go meals that never compromise on taste and quality are growing in popularity,” says Boulton. “Our slow cooked meat range was created with busy consumers in mind, who are always on the hunt for quick, convenient, inspiring meal options. Inspiration behind the new range came from increased interest in food from Southern States of America. Smoky BBQ, slow cooked flavours have never been more popular – or more in demand! Our Beak & Sons pork ribs draw on the slow cooking and ‘melt in the mouth’ textures of the

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 - MAY 2018

[ category insights ] Total Supermarkets - MAT to 25/03/2018 - Nielsen ScanTrack Val Sales

Val % Chg YA

Total Canned Meals

82,034,109

-2.7%

Canned Baked Beans

30,408,942

-3.9%

Canned Spaghetti

23,351,429

-5.5%

Canned Corned Meats

16,394,440

6.6%

Canned Meats

8,838,224

-6.5%

Canned Meals

3,041,074

-2.9%

Total Chilled Convenience Foods

152,690,177

3.7%

Fresh Meat Pies

56,343,730

7.9%

Fresh Soup

24,822,321

9.6%

Fresh Pasta

19,454,428

-1.0%

Fresh Pizza

13,503,294

-7.5%

Fresh Pizza Bases

13,099,991

2.6%

Fresh Pasta Sauce Excl Pesto

6,974,863

-4.2%

Fresh Pesto

6,586,374

2.3%

Quiche

6,141,210

-1.4%

Convenience Food

3,874,112

6.7%

Fresh Sausage Rolls & Savouries

1,600,741

4.4%

Fresh Non Pasta Cooking Sauce

289,113

23.3%

Total Frozen Convenience Foods

130,783,912

11.5%

Frozen Meat

23,607,312

6.3%

Frozen Pizza

21,622,613

15.6%

Frozen Snack Meals

21,426,563

-0.4%

Frozen Full Meals

18,398,915

8.7%

Frozen Sausage Rolls & Savouries

18,233,759

5.8%

Frozen Party Snack

15,468,779

62.2%

Frozen Vegetarian

6,410,175

33.9%

Frozen Meat Pies

5,593,852

-12.0%

Frozen Pizza Bases

21,944

184.5%

T. Total Soup

57,479,110

1.4%

Canned Soup

24,152,924

1.0%

Instant Soup

17,147,001

2.6%

Packet Soup

10,102,306

2.6%

Soup Mix & Pulses

6,076,880

-2.4%

FMCG 3rd Page May 2018.pdf 1 4/24/2018 11:49:04 AM

American food movement and are full of flavour. “The popularity of pre-cooked products that simply need to be heated is on the increase; consumers seek products that save time and are easy to use. Some meat cuts may have once been overlooked because of the lengthy cooking time required, but consumers can now get the fantastic tenderness and flavours in a matter of minutes by simply reheating. Beak & Sons have taken care of the preparation, the seasoning and cooking.” New Beak & Sons slow cooked pork ribs are a great option for an easy inspiring quick weeknight meal, or weekend gatherings. Perfect for sharing and feeding a crowd. Contact your local Alliance Marketing representative for further info.

New Craft Range from Dad’s Pies The humble Kiwi Pie has been a New Zealand icon since way back and with tens of millions of pies eaten every year in this amazing country, having the freezer fully stocked this winter with premium pies is essential.

BUTTER CHICKEN ANGUS STEAK & CHEEDAR CHEESE Family Owned & Operated Since 1981

FAMILY RANGE Hand Made Prime NZ Meat Short Crust Pastry MSG Free

PRIME STEAK & CARAMELISED ONION PRIME STEAK & CRACKED PEPPER

CRAFT RANGE ANGUS BEEF BOURGUIGNON WITH MUSTARD CHEDDAR

CREAMY FARMHOUSE CHICKEN

[ category insights ] The Family behind Dad’s Pies have been feeding the winter chills since 1981, and there’s no better way to feed the family than with a 900g Family Pie. Chocka to the brim with prime NZ meat, the 900g family pies are all hand-made with no artificial ingredients. The Family Pie Range currently consists of four delicious flavours: • Angus Steak & Cheddar Cheese • Prime Steak & Cracked Pepper • Prime Steak & Caramelised Onion • Butter Chicken They’ve also recently launched the new Craft Range. The Craft Range is at the very gourmet end of the pie world, with ingredients carefully selected by their on-site chef to create two unbelievable pies: Angus Beef Bourguignon with Mustard Cheddar and Country Farmhouse Chicken. They’re handmade with all butter pastry, fresh vegetables and Black Angus Beef or Bostock’s Free Range Organic Chicken. Both pies have clean labels and are made with the taste of home. With this extensive range of Family Pies there’s something for everyone, and with a few awards under their belts for these great flavours, they’re a contender to become the new household favourite. Complement your current pie listings with the Dad’s Pies Family Range. Nationwide merchandising and sales support is available, for more information contact info@dadspies.co.nz

Love your Soup on the go?

LA ZUPPA ALSO CATERS TO THOSE CONSUMERS WHO ARE LOOKING FOR A GLUTEN AND DAIRY FREE MEAL ALTERNATIVE THAT IS 99% FAT FREE.” DORA CONSTANTINOU, HEAD OF MARKETING & OPERATIONS La Zuppa

Enjoy a hearty and wholesome meal in minutes that’s 99% fat free, all natural, gluten and dairy free.

lazuppa.com.au 20

FMCG BUSINESS - MAY 2018

/lazuppasoup

“At La Zuppa we are passionate about living well and soup,” says Dora Constantinou, Head of Marketing & Operations. She explains: “Soup is one of life’s greatest comfort foods, but we know not everyone has the time to make them from scratch, so we do it for you giving you a convenient meal option that is healthy and all natural in minutes. “Sharing our passion means providing New Zealanders with high quality soups made using fresh wholesome ingredients that are full of flavour, completely free from nasty artificial ingredients or flavour enhancers.” La Zuppa also caters to those consumers who are looking for a gluten and dairy free meal alternative that is 99% fat free.

[ what’s hot ]

NEW Twinings Feel Good range Discover the NEW Twinings Feel Good range which has been carefully created by our master herbalists to help you feel good all day, every day. Available in 5 delicious blends - Sleep, Detox, Digest, Vitality and Calm - find your feel good today. Available nationwide through selected retailers. www.twinings.co.nz Facebook @TwiningsNZ

NEW Harraways Oat-activ® Single Sachet Packs Harraways has developed a new Oat-activ®, locally produced range of oats. The mix adds in natural plant sterols – whereby both this ingredient, alongside the naturally occurring beta-glucan within the oats work together to lower blood cholesterol absorption. The ‘Simply Original’ variant has just won a Silver award in the “Outstanding NZ 2018 Food Producer Awards”. RRP: $6.99 (PNS & NW nationwide). For delicious recipes visit www.harraways.co.nz, Facebook or Instagram @HarrawaysNZ.

What’s better than bacon? Bacon chips! We know Kiwis love chips. And we know they love bacon. So we devised a cunning plan to combine the two, creating the all-new Maple Bacon flavoured chip. With the smokey tang of bacon, the sweet tones of maple and the classic crunch of our Old Fashioned Wave Cut Chips, we’re sure they’ll fly off the shelves. +64 3 688 7510 www.heartlandchips.co.nz

All New Sour Cream and Chives! The words divine and moorish don’t begin to describe the delicious experience of New Zealand Kettle Korn’s all new Sour Cream and Chives flavour! The perfect snack for those looking for a lighter, healthier option! All NZ Kettle Korn products are lab certified gluten, soy, dairy and peanut free. Made in small batches with only the best NZ produced ingredients, we are proudly 100% NZ Made! See your Wilson Consumer Product Rep 09 379 5350 or info@kettlekorn.co.nz

Howler – A New Breed Of Hotdogs Howler Hotdogs are a new breed of hotdog. They’re exciting customers with their great taste and ease of preparation, going from freezer to table in 15-18 minutes! Flavours include Mini Munchers, Original, Gluten Free, Peri Peri Chicken & Mitee Dog With Cheese (we can’t divulge which favourite Kiwi Breakfast spread we’ve used)! Contact us on mob 021 2266469 or email jo@howlerhotdogs.co.nz FMCG BUSINESS - MAY 2018

PANTRY ESSENTIALS Spreads and oils are staples in most households. The FMCG Business team talked to local suppliers to find out what’s new and what’s driving sales.

ansells Chef’s Kitchen Roasting Blend is a fantastic new product launching into stores now. It is made with premium beef marrow oil, derived from New Zealand grass-fed beef bones and then blended with rice bran oil to create a superior roasting fat with authentic beef marrow flavour. It has a balanced fatty acid profile and melting point similar to duck fat. Great for roasting vegetables (especially potatoes), enhancing steak, finishing soups and stews. Use in any roasting or frying application as a tasty alternative to duck fat or other cooking oils/fats.

Alfa One Alfa One Rice Bran Oil continues to be a key player in the Cooking Oil category. “Alfa One’s range of Rice bran oils are drivers within the Rice Bran segment with 58.6% value share (MAT),” says Kylie Jillings, Marketing Manager. 22

FMCG BUSINESS - MAY 2018

Within the range, Alfa One offers pourable oils in a variety of sizes, as well as oil sprays for both the BBQ and frying, and a spray that is specific for non-stick baking and cooking. Jillings explains: “Rice Bran Oil is fantastic for high temperature cooking and frying. It has a high smoke point maintaining its properties when cooking at high temperatures. Alfa One Rice Bran Oil is made from the nutritious part of the grain, so it’s high in natural antioxidants such as Vitamin E and Oryzanol. Our oils have a light flavour, so they won’t affect the flavours of your food – making them some of the most versatile oils in the kitchen.”

Lupi Olive Oil, from deeper roots Created by Giuseppe Lupi In Italy in 1880, Lupi Olive Oil was first imported by William Aitken & Co. over 70 years ago, and quickly became one of New Zealand’s favourite Olive Oils for generations. Today Lupi Olive Oil is the Number 1 olive oil brand TKA (Nielsen Scantrack Value Sales MAT to 01/04/2018).

GOO

D FOR YOU

O FOR YOUR FO

THE ONE FOR EVERY OCCASION

To find our more visit alfaone.com

[ category insights ]

RICE BRAN OIL IS FANTASTIC FOR HIGH TEMPERATURE COOKING AND FRYING.” KYLIE JILLINGS, MARKETING MANAGER

Lupi Olive Oil’s Extra Virgin range continues to grow in-line with the category, and the 750ml range in-particular has also seen significant growth at TKA over the last 12 months. “The results of research we undertook at the end of 2017, saw that Extra Virgin Olive Oil dominates the olive oil repertoire with 53% value sales of total olive oil. It has the highest frequency of usage and is rated the healthiest olive oil by our NZ consumers (sample of 700 NZ Oil consumers),” says Donna Wafer, Brand Manager NZ-William Aitken & Co. “Later this year we are extending our Extra Virgin range and will offer our consumers a variety of Lupi Extra Virgin Olive oils,” says Wafer. The end of 2017 saw Lupi on TV screens once again with the new ‘From Deeper Roots’ campaign. The first significant ATL campaign Lupi has done since the early 2000’s. 2018 will see a continuation of the From Deeper Roots campaign in support of an exciting Lupi packaging relaunch and the unveiling of NPD.

Total Supermarkets - MAT to 25/03/2018 - Nielsen ScanTrack Val Sales

Val % Chg YA

Total Butter And Margarine

242,566,150

17.0%

Butter

149,382,067

28.9%

Margarine (Excl Olive)

56,296,343

0.6%

Olive Based Spreads

23,685,882

4.6%

Butter & Margarine Blends

11,435,408

4.0%

Flavoured Margarine

1,553,557

9.9%

Flavoured Butter

212,893

-60.8%

Liquid Cooking Oils

100,019,642

5.1%

Olive

47,411,496

8.2%

Canola

15,236,880

0.7%

Rice Bran

12,989,741

2.0%

Vegetable/Salad & Cooking Oils

7,788,959

3.7%

Coconut

7,351,326

0.9%

Sesame

1,880,707

11.2%

Seeded

1,642,748

25.6%

Sunflower Oil

1,592,533

14.9%

Avocado Oil

1,461,244

14.3%

Soya

1,155,859

-7.7%

Nut Oils

817,318

2.1%

Infused Oils

690,831

-26.2%

Total Spreads

169,773,494

3.1%

Honey

58,470,958

2.7%

Peanut Butter

41,785,741

6.6%

Jam

27,131,772

-0.1%

Sweet Spreads

18,363,612

6.2%

Vegetable & Yeast Extracts

16,223,332

0.5%

Marmalade

6,744,112

-1.1%

Sweet Spreads Mossop’s have been producing and packaging top-quality New Zealand honeys since 1947. They are involved in all aspects of honey production and therefore maintain control over the quality and flavour of their honeys. “Mossop’s honey and honey-based products are highly sought after in rapidly expanding overseas markets and export growth figures indicate the desirability of their products,” says General Manager Wendy Mossop. Mossop’s also currently supplies New World and PAK’nSAVE supermarkets with their genuine, top quality UMF® grade Manuka Honeys, table Manuka, Rewarewa, Field, and Comb honey. “UMF® Manuka and table Manuka Honey are top sellers as consumers are increasingly aware of the benefits these honeys offer,” explains Wendy Mossop. Mossop’s now also have their own UMF15+ honey, lemon and propolis lozenges to help with sore throats. These long lasting, great tasting and effective lozenges are available in supermarkets. “Mossop’s are always considering and investigating new and interesting products using their top quality honeys. As General Manager, I am in charge of exports and oversee the development of new products and have introduced a number of these over the years, including their honey-based natural skin care range, natruél. This amazing skin care range is a truly unique and natural product, with no chemicals”. With its documented benefits, particularly the Manuka UMF® rated honey, which is a key ingredient in the natruél range,” says Wendy Mossop.

FMCG BUSINESS - MAY 2018

[ category insights ] Pic’s Peanut Butter Pic’s General Manager Stuart MacIntosh told FMCG Business: “This month, our snack-size Pic’s Peanut Butter “Slugs” is relaunching with a tear-off spout and new slinky feel, for easy eating on the go. Creating a snacking option for peanut butter lovers with our natural peanut butter, this taps into the better-for-you convenience trend, taking peanut butter out of the pantry and into pockets. Each slug contains 30g of our finest smooth peanut butter - a perfect hit of protein, fibre, and good fats, or what we like to call ‘Pocket Fuel’. They are ready to eat: add a banana and its breakfast on-the-go; on an apple or celery, it is a healthy 3pm snack; and it’s a spot-on portion size to add to your smoothie or on vanilla ice-cream.” MacIntosh adds: “Pic’s Peanut Butter remains New Zealand’s No. 1 peanut butter. The peanut butter category in New Zealand TKA has grown 7% MAT to 25/03/18. Pic’s has been a driver of this growth, with an 11% increase in sales in the

same period, going from 39% to 40% value share in the peanut butter category for New Zealand grocery (IRI scan data updated 25/03/18). “The Pic’s recipe for making the finest peanut butter hasn’t changed in the ten years since Pic started making it in his concrete mixer. We fresh roast our 100% Australian Hi-Oleic peanuts, and then double squash, for smooth and use a single multi-textural grind for crunchy peanut butter. Our dedicated team of peanut butter makers and our roaster has got a lot bigger and later in the year, we move into Pic’s World of Peanut Butter, BUT our commitment to making the best peanut butter hasn’t changed one bit and it won’t. Come 2019, you are all welcome to visit us at our new home in sunny Nelson,” says MacIntosh.

NEW

PIC’S PEANUT BUTTER REMAINS NEW ZEALAND’S NO. 1 PEANUT BUTTER.” PIC’S GENERAL MANAGER STUART MACINTOSH

DISPENSER

20 SLUG DISPENSER PACK

ALSO AVAILABLE IN 6-PACK VED

NEW & IMPRO

NEW SHAPE

NOW WITH EASY-OPEN SPOUT

POCKET F

UEL!

hEArty shots of the world’s fINest smOOth PEANUT BUTTER SALES CONTACT

Chris Phillips chris@picspeanutbutter.com

We know our Peanut Butter from pod to pantry

Each slug contains 30g – a decent tablespoonful for a perfect hit of protein, fibre and good fats aka Pocket Fuel Ready to eat, free of gluten, dairy and sugar and just about everything except peanuts, so all the good pure stuff with nothing weird Add a banana and it’s a breakfast on-the-go On an apple or celery, it is a healthy 3pm snack Perfect portion size to add to your smoothie or on vanilla ice-cream Pic’s Slugs are slinky smooth and fit snugly into the pocket of even the tightest trousers, in a manner that no food has ever done before!

[ in season ]

Best in season

ay is the month of glory for cauliflower, broccoli, leeks and celery, along with other winter crops which are now hitting their peak. Fingers crossed the weather will be kind to growers

this year. Devote plenty of prime retail space to all green leafy vegetables so you can take advantage of the seasonal change in consumer eating habits. Imported green beans will be in plentiful supply for the next six months and are a great margin-maker for your produce department. Celeriac and fennel bulb are two under-rated vegetables that are wonderful to eat in winter. Roast them, use in stir-fries, steam them or include in soups and stews. Highlight them in store with other winter vegetables to encourage consumers to give them a try – they taste delicious and boost the flavour of other veges they’re cooked with. The New Zealand citrus season is underway. Mandarins should be a major feature this month and displayed as a point of difference in your store. Sub-tropicals like persimmons and feijoas are also in full swing and May is the best time to maximise your sales.

Celeriac Celeriac is a type of celery which is cultivated for its root. The flesh is creamy-white and firm, but not as firm in texture as carrots. Consumers may not know how to use this vegetable so display (refrigerated if possible) with some pictures, information or recipe tips. Storage/handling: Celeriac is fairly bullet proof but should be kept in your coolstore. It’s slightly sensitive to ethylene so keep away from ethylene producing fruit and vegetables. What to look for: Smaller roots are more tender. Choose firm roots that feel heavy for their size and avoid ones that are damaged or discoloured. Availability: April until November.

Fennel Bulb Fennel is one of the oldest cultivated plants and was hung above doorways in medieval times to ward off evil spirits. It has an aniseed flavour and aroma which complements other vegetables like courgettes, carrots, 26

FMCG BUSINESS - MAY 2018

beans and cabbage. Every part of fennel is edible from seed to the leaves and root. Storage/handling: Store in your coolstore. Display with information or recipe ideas to help educate consumers on how to use. What to look for: Firm, plump, white bulbs with fresh feathery foliage. Smaller bulbs (less than 12cm diameter) are more tender. Availability: Limited quantities are available March – August.

Persimmons Persimmons are the fruit of deciduous trees that originated in China where there are over 200 varieties. In New Zealand the Fuyu variety is the most common. It’s nonastringent which means it can be eaten while it’s still crisp. Persimmons can be eaten fresh or cooked and are sweet in taste (they are in fact a berry). Storage/handling: New season persimmons are best kept at ambient temperature. However, controlled atmosphere persimmons will arrive in sealed bags later in the season. Keep these in your coolstore and cut/ remove bags once they’re ready for display and sale. What to look for: A ripe Fuyu persimmon is a deep orange colour. Across other cultivated strains the colour can range from glossy light yellow-orange to dark red-orange depending on the species and variety. Availability: A short window only from May until June.

PERSIMMONS ARE THE FRUIT OF DECIDUOUS TREES THAT ORIGINATED IN CHINA.”

Mandarins Sweet, seedless, easy peel Satsuma mandarins are always a big seller from May until August. Northland’s new season crop will be in store this month and will be followed in due course by the Kiyomi and Richards Special varieties. Storage/handling: Store in your coolers and display at ambient temperature. Rotate stock well. What to look for: Choose mandarins that are unblemished and heavy for their size. Avoid those with cuts, soft spots or mould. Availability: May until September. 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

[ health & wellness ]

NATURAL WELLNESS

While it may seem like autumn and winter is the time to prepare for cold and flu season, natural products for health and wellbeing are driving sales year-round.

ough and cold syrups, drops and lozenges and other remedies are among the topperforming health care items as the cold weather arrives. However, in the business of health and wellness, immune-boosting, preventative, hydrating and holistic products are increasingly popular. Traditional supplements and over-the-counter remedies aren’t the only categories seeing growth. With increased accessibility to product information, consumers are armed with even greater abilities to manage

their health regimes with utmost level of detail and care. As a result, knowledge of natural ingredients with medicinal properties has never been higher, and the demand for holistic natural health products is growing.

Find your Zen Brand new to the market, OSOM Ayurvedic Spiced New Zealand Spring Water is made with authentic Fair Trade Ayurvedic spices with NO Sugar and NO artificial sweeteners. Jay Patel, CEO Ashon Ventures NZ Ltd explains: “OSOM has a unique flavour profile that has to be tried to be believed. OSOM Ayurvedic Spiced

New Zealand Spring Water has been designed to provide specific natural detoxifying, calming and restorative benefits for consumers looking for holistic hydration for body and mind.” Enjoy OSOM chilled, ambient or warmed. “OSOM is finding strong demand from consumers looking for something new in the healthy beverages market,” says Patel. For reseller enquiries contact: Ashon Ventures NZ Limited FREE CALL 0800 827 466 or 09 2743030, or email marketing@ ashon.co.nz

FMCG BUSINESS - MAY 2018

[ good business ]

Farro to ban single-use plastic bags

James and Janene Draper, Co-founders and owners of Farro Fresh.

Farro Fresh has announced that it will eliminate the use of singleuse plastic bags from checkouts from July 2018. Late last year, Farro asked customers what they thought about plastic bag usage. The results were overwhelmingly in support of banning single-use plastic bags at checkout. Farro will introduce compostable bags made from 100% plantbased materials that compost in less than 9-12 months, are certified ‘zero harm’ and ‘non-toxic’. Farro has already reduced bag usage by 20% since offering a reusable bag credit (5c if you bring your own bag) two years ago,

and will continue to offer this incentive. Customers will not be charged for the compostable bags, but Farro Co-founder and owner, Janene Draper, says they may look to charge for compostable bags in the future. “The compostable bags cost around three times more than single-use plastic. As a business striving for sustainable outcomes we’re happy to absorb that cost. And if we decide to charge, all the money raised will be donated to an environmental charity supporting this work. The purpose of any charge would be to further encourage people to move to reusable bags,” says Draper. Eliminating plastic bags at checkouts is just one example of how Farro is strengthening its commitment to the environment. The company partners with organisations to reuse, repurpose or recycle their waste. Over the past three years Farro has reduced their waste amount by 75%, which equates to 475,000 kilograms per year of less waste going to landfill. Farro already offers a variety of reusable bags including cotton bags, hessian bags, paper bags and chiller bags. Farro was opened in 2006 by James and Janene Draper in Lunn Ave. The family-owned business now has five Auckland stores, with plans to open a sixth store in Mt Eden later this year.

Nestlé’s vision for recyclable packaging Nestlé aims to make 100% of its packaging recyclable or re-usable by 2025. Nestlé’s vision includes the ideal that none of its packaging will end up in landfill or as litter, to minimise the impact of packaging on the environment. Nestlé CEO Mark Schneider said: “Plastic waste is one of the biggest sustainability issues the world is facing today. Tackling it requires a collective approach. We are committed to finding improved solutions to reduce, reuse and recycle. Our ambition is to achieve 100% recyclable or reusable packaging by 2025″. Nestlé has already introduced new packaging with labels to help customers correctly recycle the packaging, starting with Allen’s lollies in New Zealand and Australia this year. Nestlé Oceania CEO Sandra Martinez said: “Nestlé has been a leader in adopting the Australasian Recycling Label, which has been designed to outline what product packaging is made from so consumers can correctly recycle”. Nestlé focuses on three core areas: eliminate non-recyclable 28

FMCG BUSINESS - MAY 2018

plastics; encourage the use of plastics that allow better recycling rates; and eliminate or change complex combinations of packaging materials.

[ Buy NZ Made ]

Honesty the best policy

’m sure you’ve heard it all before, but honesty is the best policy when it comes to your brand and your products. Unfortunately, there have been some cases recently where consumers are feeling like they are drawing the short straw. Products are being sold under a New Zealand brand or New Zealand branding that is strongly implying the product is from New Zealand. However, under closer inspection, this has turned out to not be the origin of the product at all. There might be multiple reasons why this happens. One case may be those thinking it seems like a smart short-term solution; however, possible long-term consequences of these decisions need to be considered. Consumers do not appreciate being taken for a ride, particularly with products that are considered precious and hold a significant amount of nostalgia. And it is not just words that can mislead consumers; symbols are often used to represent where the company or brand originates from. When using a New Zealand symbol on products that have not in fact been made in New Zealand, the following advice is given by the Commerce Commission on their website: “Where such symbols are used on a product that was manufactured overseas, the Commission’s view is that sufficient information should be put as prominently as possible on the label to indicate that the product came from elsewhere.”* You could also apply the same logic to any New Zealand branding that is strongly implying your product is made in New Zealand, when it’s not - just ensure you are being explicit about where your product actually originates. In today’s day and age with the internet and its social platforms, consumer upset or anger can spread like wildfire, so it can only take one individual to raise the issue and gain traction. Reputation can take years of blood, sweat and tears to build and then can be snatched away in a moment. Please be aware that branding decisions being made are not likely to erode away years of hard work.

REDUCES BLOOD CHOLESTEROL

Trust and reputation in a brand are linked with customer loyalty and profitability, so maintaining that trust in your product and your brand can be crucial to your future success. Kiwis are particularly known for their integrity so let’s uphold that value and ensure we are being honest and open about the origins of our products. For businesses wishing to proudly show their products are New Zealand Made, the Buy NZ Made Campaign offers a licence to use the iconic “New Zealand Made” Kiwi trademark. Products licensed with us can be verified on our website: buynz.org.nz. *Source: http://www.comcom.govt.nz/fairtrading/fair-trading-act-fact-sheets/place-oforigin-representations/

TRUST AND REPUTATION IN A BRAND ARE LINKED WITH CUSTOMER LOYALTY AND PROFITABILITY.”

Anna Heyward Marketing Co-ordinator & Acting Executive Director www.buynz.org.nz FMCG BUSINESS - MAY 2018

[ legal advice ]

Electronic signatures

Vance Leach is a solicitor at Steindle Williams who specialises in litigation and dispute resolution. www.swlegal.co.nz

SOME AGREEMENTS MAY REQUIRE A DIGITAL SIGNATURE INSTEAD OF AN ELECTRONIC SIGNATURE.”

FMCG BUSINESS - MAY 2018

ith the world becoming more digitalised and the majority of transactions taking place on computers it is seemingly archaic to hand write your signature on paper. Because of the changing times, the Electronic Transactions Act 2002 introduced statutory framework to allow electronic signatures and digital signatures to be valid with certain documents. This act was recently superseded by, and expanded on, by the Contract and Commercial Law Act 2017 (CCLA). An “electronic signature” is any signature that is in electronic form, as opposed to paper-based ink signatures – for example: • a scanned image of your ink signature • a mouse squiggle on a screen or a handsignature created on a tablet using your finger or stylus • a signature at the bottom of your email, • a typed name, a biometric hand-signature signed on a specialist signing hardware device, • a click in an “I Agree” checkbox, or any other form of electronic medium to indicate acceptance of an agreement In the past, you would be provided with a hard copy of a document which all parties would be required to sign, or, you would print out documents and then provide a scanned copy with your handwritten signature to the other parties for them to do the same. The provisions in the CCLA enables a person to use an electronic signature to sign these documents and be accepted as long as certain conditions are met. The act prescribes that the electronic signature must clearly and sufficiently: • identify the person signing (text of your name, position and organisation); • indicate the person signing approves of the information to which the signature relates (statement signalling your intention to be legally bound); • be appropriate and reliable given the purpose and circumstances in which the signature is required. • If you are receiving a document with an electronic signature, you are able to sufficiently rely on its validity if:

• the creation of the signature was by the person signing and no-one else, and • the means of creating the signature was under the control of the person signing and no-one else, and • any changes to the signature are detectable, and • any changes to the documents are detectable. To be noted is that some agreements may require a digital signature instead of an electronic signature. These two terms are commonly used interchangeably; however, this is incorrect as they have very different meanings. A “digital signature” provides a layer of security and trust services in the signature delivery: such as encryption of the document to prevent modification after the document has been digitally signed. Digital signatures are therefore the most secure method of signing documents in relation to reliability, however a significant cost to the user will be incurred in setting up their digital signature. As with any new technology or processes there will be risks associated to the parties such as: an increased risk of terms and conditions being missed given that the agreement will be fully digital; or agreements being lost if the business’s computer servers are not well maintained. However with offices moving towards a paperless or paper-lite environment, electronic signing of documents will be a step towards a business achieving their goal.

[ export ]

Winning formula

hen hearing about Blue River Dairy’s “One of the things we did to take the brakes off journey to success, I can’t help but our growth was to diversify. We knew we’d never think of famous musicians – such as get enough sheep’s milk to meet demand if we Ed Sheeran – who slaved away relatively unknown made just sheep’s milk infant formula. So we also for years before they hit the big time. introduced a goat’s milk and cow’s milk formula too. You may have seen Blue River Dairy sheep’s milk It made a lot more commercial sense. We already cheese in NZ supermarkets, but the company’s had the equipment we needed and it allowed us to reach and product range is now much larger as it’s produce four times as much formula.” enjoying astronomical growth – ranking 10th in On 1 January 2018, the new CFDA regulations the 2017 Deloitte Fast 50. brought in controls to what had been 2,500 Gareth Lyness, Marketing and Supply Chain different brands of infant formula in China. They Manager, explains how the turning point came in limited companies to having a maximum of three 2015, as what started in 2003 brands – which is what Blue as a vertically integrated sheep River have, so this gave them a milking business, split when the great opportunity, whereas other farms separated from the plant, companies had to take brands off which was bought by BlueRiver the shelves. Nutrition Hong Kong Limited. It It also helped that Chairman was after this fork in its history of the Board, Mr Chen, has that things really started to experience founding other COMMODITISING change for Blue River. infant formula businesses in SHEEP’S MILK The company recognised that China, and bringing them to outside of New Zealand and IPO level. His market knowledge POWDER WAS A Australia, competing profitably distribution channels – WORLD FIRST FOR and in the sheep’s cheese market was relationships with lots of baby not feasible. Instead, they realised BLUE RIVER.” store chains for example – have they needed to get into valuebeen key. added products using sheep’s milk. A whole milk Lyness says the company’s rapid growth and need powder was developed to provide a shelf-stable to scale very quickly has been achievable through form of milk. Commoditising sheep’s milk powder really good partnerships and having an incredibly was a world first for Blue River. nimble, resilient team of staff who have embraced Following this, they identified the area for the challenges. maximising added value was infant formula in the “We’ve recognised that we can’t do everything Chinese market. So they developed the world’s alone. We partner with other Kiwi manufacturers first 100% sheep’s milk protein infant formula. who produce the base powder for us, which we Then in May 2014, with the introduction of dry blend with other ingredients. It’s great that the CNCA registration as mandatory for selling this economic flow-on effect from our business means type of product in China, the industry changed there are other Kiwi businesses benefitting – be it overnight. Blue River did not have the registration, through freight, storage, manufacturing, or supply and this drove the sale of the business in early of services and materials.” 2015. The new owners were able to marry a product with great potential, with very strong established distribution and marketing networks in China. This proved to be a winning formula.

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

Fastest growing agribusiness in NZ Once the business got its CNCA registration in August 2015, the re-branded sheep milk infant formula was launched into the Chinese market, selling 400,000 cans in 2016, followed by a whopping 2.7 Million cans of sheep, goat and cow formulations in 2017! “With 445% revenue growth we were the fastest growing agribusiness in the country last year – and the only one to make the Deloitte Fast 50 list,” says Lyness. FMCG BUSINESS - MAY 2018

[ FGC ]

Focus on reducing obesity

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

NEW ZEALAND’S OBESITY RATE REMAINS ONE OF THE HIGHEST IN THE DEVELOPED WORLD.”

FMCG BUSINESS - MAY 2018

s predicted, the food industry year is shaping up to be dominated by what more can be done to reduce obesity. This is no surprise, since New Zealand’s obesity rate remains one of the highest in the developed world. It’s a problem everyone should be concerned about. As promised, the Government is now moving into action on the issue. After receiving a report from the NZ Institute of Economic Research, which concluded sugar taxes had not identified impact on health outcomes, Health Minister David Clark said he was focused instead on voluntary sugar reductions in products. He said he would talk to the industry about voluntary measures to improve food quality, including reducing sugar content, and have a wider conversation about sugar substitutes and plainer labelling. In March, food industry representatives were invited to a meeting with Clark and Food Safety Minister Damien O’Connor. Ahead of the discussion, FGC provided a briefing letter to express support for their focus on the issue, and share some recent calorie reduction successes and FGC’s ideas about how the industry can play a constructive part in reducing obesity. I made three main points: • FGC supports the Government’s concern about obesity levels, particularly child obesity, and our members are committed to playing their part in encouraging people to make healthier dietary choices. • We support the Government’s ambition for foods to be reformulated where that’s achievable. Making products healthier and food reformulation has been on our members’ agenda for many years. Many have already reformulated or developed new food and beverage products across categories to address salt, fat and sugar: bread, carbonated drinks, yoghurts, breakfast cereals, gum, soups,

sauces, spreads, noodles and many others. One example is the carbonated drinks category, which has been transformed in the past decade with sugar-free versions of all major brands, removing thousands of tonnes of sugar. There are now more low-sugar/salt/ fat choices on shelves today than ever, and additional reformulations will be launched this year. Recent research suggests less than 43% of non-alcoholic drinks on supermarket shelves are sugar-sweetened, and we expect this trend to continue. Coca-Cola and Frucor Suntory have an agreement with the government to not sell sugarsweetened beverages to schools, and last year committed to selling only water to primary and intermediate schools. • FGC is a signatory to the Ministry of Health’s Healthy Kids Industry Pledge, and promotes the uptake of the government’s Health Star Rating Scheme for packaged foods that has driven considerable reformulation. As a final point, FGC emphasised that in terms of food laws it was vital to our economy that the Australia New Zealand Food Standards Code was protected in any changes the government may make. It’s little recognised outside the industry that one of the most important parts of the Closer Economic Relations agreement is our shared Food Standards Code with Australia. Prior to the joint code, New Zealand manufacturers had to make separate production runs for the local market and for different Australian states. The value of being able to make one run for both countries and having New Zealand goods acceptable on Australian shelves is immeasurable. Any departure from the Code would jeopardise that and increase costs. New Zealand must be careful, given our market is tiny and we want to encourage new food and beverage production for export as well. The meeting was positive, with the Government sharing its expectations and the industry, which included the big companies that have to date done much of the heavy lifting around product reformulation and education, voicing its resolve to continue to be part of the solution. The industry has been invited to a follow-up meeting, on May 2, and I’m confident it’ll be the start of a practical plan for progress. Obesity is something in which all Kiwis have an investment, and as such I welcome ideas from the wider FMCG industry that FGC could take to the table.

[ innovation ]

The science of soft drinks – can you have it all?

’ve been watching with interest as the UK starts to digest its new sugar tax. Everyone wants a solution to the obesity epidemic, there’s no argument about that, but there’s no clear evidence globally that sugar taxes reduce obesity. Here in New Zealand, Coca-Cola has one of the widest drink portfolios in any market around the world. Beverage companies are working towards providing more choice in soft drinks and juices. The fact is, if you feel like a drink to kick start your morning, or something more special to have over lunch with friends, sometimes water just doesn’t cut it. People still have the desire for drinks that taste good, but don’t necessarily want the sugar. They want the same taste as the drinks they grew up with, but don’t want the kilojoules. And they want food and drink to be the product of sustainable practices, but still want to pay reasonable prices. There has always been some sort of trade-off for shoppers. My job as Technical Director for Coca-Cola South Pacific is to solve all of these challenges through research and development. It isn’t daunting, our job is to rise to the challenge. Sometimes it takes years, but when we get it right it’s a great feeling.

Stevia plant

Our team and our partners have spent almost ten years working with stevia, a sugar alternative from a natural source - the stevia plant. It’s far more complicated to use in drinks than you might think. It’s not as simple as just saying “here’s a sweetener sourced from the stevia leaf, let’s just throw that into the recipe as an alternative to sugar.” It has to taste good and it has to feel good in your mouth. You could make a drink that ticks most boxes but it wouldn’t make a difference to people’s lives, or health habits, if they didn’t want to drink it. We’ve just launched Coca-Cola Stevia No Sugar. This is our very first Coca-Cola product sweetened only with stevia, which is derived from a natural source – the leaf of the stevia plant. We’ve introduced a new flavour in New Zealand’s most popular juice brand, “Keri 50% less Sugar” by using stevia. We’ve been working towards increasing the amount of stevia we can use as a sugar alternative across our drinks portfolio while still having a drink that tastes good. The stevia leaf has been used for more than a century. It originates from South America. It’s up to 200 times sweeter than sugar, meaning we can use far less and it has zero kilojoules. Stevia has been known to leave a bitter aftertaste, we needed to fix that. Our team of experts, along with our stevia partners have become pioneers in using the sweetness from the leaves of the stevia plant, making it sweet but also taste good without the bitter aftertaste. Although stevia is native to South America, it’s now also being grown in Asia and Africa. We want our beverages to be sustainable. Stevia farming, extraction and purification requires less water and energy to produce the same amount of sweetness found in other sweeteners derived from natural sources. In addition, stevia requires little land and provides an opportunity to diversify crops, an important component of environmental sustainability and healthy ecosystems. The techniques we’re using to create beverage recipes with less sugar, the reduced size of our servings and clearer labelling show that we’re taking public health and wellbeing seriously. People’s wants and needs are always evolving and so we have to keep innovating to stay relevant with those who are looking for a range of drinks to fit their lifestyles and needs. We think we’re getting closer and closer to producing beverages without the trade-offs and without being compelled to do it through a tax like in the UK. Sponsored by Coca-Cola

George Droumev Technical Director for Coca-Cola South Pacific

FMCG BUSINESS - MAY 2018

Ashley Drake with the New World Thorndon e-van.

TRANSPORT TRENDS Foodstuffs is charging ahead as NZ businesses begin to future proof their vehicle fleets.

y the end of 2018 Foodstuffs will have 50 electric vehicle fast charging points at PAK’nSAVE, New World and Four Square stores around New Zealand. Customers will be able to top up their electric vehicles, as they top up their shopping baskets – all while shrinking their personal energy use. “The roll-out strategy complements the fleet of 28 electric vans which were taken up by stores in 2017 and represents an important part of Foodstuffs’ transition to a low-carbon operating model,” says Mike Sammons, National Sustainability Manager with Foodstuffs New Zealand. “Working with the Energy Efficiency and Conservation Authority (EECA) and ChargeNet, we are at the leading edge of New Zealand’s transition to electric vehicles. With new fast charging stations opening almost weekly, we want to support and encourage our customers to move with them to this lower impact mode of transport.” Early reports show store owners are very happy with their vans and think customers Charger station at Frankton. will take an interest in them too. 34

FMCG BUSINESS - MAY 2018

Charger station at PAK’nSAVE.

[ sustainability ]

“For Foodstuffs, this is just a small part of a huge effort to reduce our carbon footprint and make our business more environmentally sustainable,” says Sammons. Thorndon New World in Wellington was the test store, and received its electric van in May 2017. They continue to lead the charge in terms of kilometres covered every month. The store offers an online delivery service, ‘I Shop New World’ and the electric van is an important part of the programme. “Fully electric vehicles produce no emissions, improving local air quality and helping reduce global warming. They use battery technology, which powers an electric motor, they require less maintenance and are extremely quiet. They’re also very functional and can accelerate and climb hills better than a standard petrol vehicle,” says Sammons.

The first quarter report gave the vans a satisfaction rating of 9/10 from the stores over the first 35,000 km (1,806 trips) and resulted in collective fuel savings of $3,000 a month and CO2 savings of 6 tonnes for the quarter. Foodstuffs is now evaluating the benefits of transitioning the wider corporate fleet to electric vehicles to supercharge the emissions and cost reductions already achieved. This will involve a number of initiatives including improved routing, consolidated deliveries and back-loading logistics operations nationally.

FULLY ELECTRIC VEHICLES PRODUCE NO EMISSIONS, IMPROVING LOCAL AIR QUALITY AND HELPING REDUCE GLOBAL WARMING.” MIKE SAMMONS, NATIONAL SUSTAINABILITY MANAGER WITH FOODSTUFFS NEW ZEALAND

NZ businesses future-proof their fleets Other New Zealand businesses are also increasingly embracing more sustainable transport options to get their employees from A to B.

Mike Sammons, National Sustainability Manager with Foodstuffs New Zealand

ELECTRIC VEHICLE FAST FACTS • The battery life of an EV is between 120km – 450km, depending on the make and model. • EVs can be charged through a wall socket or dedicated wallbox charger using a cable and an on-board AC charger in the car. • The best way to calculate how quickly an EV will charge is to divide the capacity of the batteries by the voltage of the wall socket, charger and cable (whatever of the three is the less powerful). • Based on the average-sized petrol vehicle, an EV driver will save approximately $2,500 each year on fuel and servicing costs (source: Ecotricity) • It costs about $3 to drive 150km in an EV and $200 every 6 months to service an EV. • Drivers spend about a quarter of the money they would spend on petrol on electricity to travel the same distance. • Portable charging options are available for emergencies and can be carried in the vehicle. • The cost of charging infrastructure can range from under $1,000 for an AC charger to over $50,000 for a DC charger.

FMCG BUSINESS - MAY 2018

[ sustainability ]

Driveline CEO Lance Manins.

Driveline, one of New Zealand’s leading specialist vehicle leasing and finance companies, says businesses are safeguarding their future by adding a small number of electric vehicles (EVs) to their fleets – preparing for a time when EVs could be the norm. The latest figures from Driveline show a growth of 286% in the first quarter of this year, compared to the first quarter of 2017. “We’re seeing genuine interest from small to medium New Zealand companies keen to embrace electric vehicles. They recognise the benefits EVs bring beyond reducing their carbon footprint and the associated marketing benefits,” says Driveline CEO Lance Manins. Other advantages for companies switching to EVs are the elimination of fuel costs as well as health and environmental benefits. Maintenance outgoings are reduced too - there are only 20 moving parts, on average, in an EV, compared to around 2000 in an internal combustion engine and with regenerative braking systems, brake pads on EVs require little or no replacing. The volume of enquiries for EVs at Driveline this quarter has already exceeded the number for the 12-month period to 31 December 2017. Manins expects this trend to continue as companies research the pros and cons of EV ownership, but he doesn’t expect a blanket uptake of EVs Did you know? in Kiwi businesses without challenges. Driveline is a vehicle leasing and finance company “The reality is we’d based in Auckland, Wellington and Christchurch, with need to see major operations in most major centres around New Zealand. changes from vehicle Every Driveline consultant has a minimum of 15 years’ manufacturers to experience in the motor, finance or business industry. make the cost more Driveline was founded in 2001 by Lance Manins to attractive if we are provide a complete vehicle supply and finance service to have more EVs – from establishing fleet requirements to sourcing the on our roads. The perfect commercial or private vehicle, fleet, trucks, purchase price of an heavy equipment or capital equipment, whether new or electric vehicle is at a used. They can also arrange accessories, fit outs, signsignificant premium writing, warranties and financing. For more information, when compared to visit: www.driveline.co.nz internal combustion 36

FMCG BUSINESS - MAY 2018

engines, so it requires a lot of savings to be made on the EV to make economic sense,” says Manins. For example, a 2018 Hyundai Ioniv EV retails at $59,990, whereas a 2018 Hyundai Elantra has a price tag of $35,990 and a new petrol vehicle now retails for around the same price as a second-hand Nissan LEAF. Then there are issues around the capacity to charge EVs. While there’s an increasing network of charging stations around the country – some solar-powered – recent power outages in Auckland highlighted potential problems around infrastructure inability to recharge these vehicles. The Government plans to introduce a Zero Carbon Bill later in the year and has a national target for 64,000 electric vehicles in New Zealand by 2021. This could be a step towards following suit of countries such as China, Britain, Germany, The Netherlands and France, all of which have committed to a future ban on the sale of vehicles with internal combustion engines. “Until we see the mass production of electric vehicles internationally which would lead directly to a significant pricing shift, then I think the current targets for EV sales will be a struggle to achieve,” says Manins. “Of course, an increase in the price of fuel could bolster EV sales, but the long-term outlook doesn’t foresee major fuel price hikes.” In 2016, 30 of New Zealand’s leading corporates committed to filling at least 30% of their fleets with EVs by 2019. While Manins says this signals a positive direction he thinks this shift would take longer to filter down to smaller and privatelyowned companies. “For SMEs to feasibly add EVs to their fleets they may have to look at second-hand vehicles released into the market at around three years or 75,000km after the corporate’s replacement policy expires.” However, drivers have far more choice than they did a few years ago when it comes to choosing a suitable EV; Toyota has made a commitment to make every model in its Toyota and Lexus range available in an EV version by 2025, and Audi, BMW, Renault and Hyundai and LDV have moved into the electric vehicle space too. This is an evolution from what was once only a choice of Tesla, the Nissan LEAF or VW eGolf. In addition to rapid charging stations around the country, Manins predicts more companies will add Worksafe-compliant intelligent EV charging infrastructure to the workplace. This will enable staff to charge up during the day, helping to solve the problem around charging logistics on vehicles that typically need a recharge at around 200km. “It’s great to see growing interest from New Zealand companies that are keen to introduce EVs to their fleet and do their bit to take small steps towards a more sustainable future,” adds Manins.

1 September 2018

NeW ZEALAND RoomS, SkY CITY â&#x20AC;¢ 6.30PM - 1AM

[ events ]

Celebrating Outstanding NZ Food Producers Clevedon Buffalo Co owners Helen and Richard Dorresteyn with Nicola McConnell (L) and Kathie Bartley (R) of Marvellous Marketing.

FMCG Business Outstanding New Product Award winner: The Wholemix team (L to R) Angela Thompson, Belinda Bonnor and Ross Kane.

levedon Buffalo Co has been named Supreme Champion of the Outstanding NZ Food Producer Awards 2018, with a further eight food businesses receiving awards recognising the outstanding quality of their produce. The food producers were named New Zealand’s finest after 186 food products from 100 producers were assessed by a panel of judges in March. The majority of judging marks were for aroma, taste, and quality, with a further 20% for brand story, product and pack design and sustainability. Shortly after judging, 25 New Zealand food producers received Gold Medals and a further 57 received Silver. Champions were chosen from the highest scoring Gold Medal winners.

Outstanding NZ Food Producer Awards 2018 Champions Supreme Champion; Clevedon Buffalo Co – Clevedon Marinated Buffalo Cheese (Auckland) Fresh.co.nz Dairy Champion; Clevedon 38

FMCG BUSINESS - MAY 2018

Buffalo Co – Clevedon Marinated Buffalo Cheese (Auckland) Ara Wines Paddock Champion; Homegrown Farm Fresh Meats – Gourmet Whole Lamb Box (Wairarapa) Farro Earth Champion; The Clareville Bakery – Miche Sourdough (Masterton) Water (Sea/fresh water) Champion; Genevieve’s Mahurangi Oyster Mousse (Auckland)

Special Awards NZ Life & Leisure Spirit of New Zealand: Turk’s Poultry - Turk’s Corn-Fed Free Range Fresh Butterflied Chicken Sriracha Chilli & Lime (Foxton) T & G Global Outstanding Sustainability Award - Jersey Girl Organics A2 Organic Milk (Waikato) Label & Litho Outstanding Pack Design - The Lucky Taco Habanero Hot Sauce (Auckland) Marvellous Marketing Outstanding Drink - Hill Road Fresh Orange Juice (Gisborne) FMCG Business Outstanding New Product - The Whole Mix Spiralised Vegetable Noodle Range (Marton)

The Lucky Taco’s Sarah Frizzell and Otis Frizell with their Award.

Judges loved the convenience of the FMCG Business Outstanding New Product The Whole Mix Spiralised Vegetable Noodle Range, saying they were well made and delicious, making vegetables accessible and fun, even for kids. The Whole Mix Spiralised Zucchini Noodles received a Gold Medal and The Whole Mix Spiralised Butternut Noodles and The Whole Mix Spiralised Noodle Medley both were awarded Silver Medals.

The People’s Choice Awards (chosen by popular online vote by food lovers) Coast Outstanding Producer, Clevedon Herbs and Produce (Auckland) Coast Outstanding Product, Lakes Farm Classic NZ Steak with Aged Gouda (Waikato) New Zealand’s Outstanding Farmers’ Market, Clevedon Farmers’ Market (Auckland) Shoppers will recognise Outstanding NZ Food Producer Awards winners as they will carry champion, gold or silver medal award stickers.

Congratulations to the winners of the 2018 Awards! After an exhaustive tasting and assessment of 186 food products from 100 producers the winners’ of the Outstanding New Zealand Food Producer Awards have been announced. Thanks to the country’s amazing producers who work tirelessly to deliver amazing products, the team of professional judges and the awards sponsors who make it possible for us to celebrate and recognise New Zealand’s Outstanding Food Producers.

Helen and Richard Dorresty n of Clevedon Buffalo Co

Supreme Champion Clevedon Buffalo Co, Clevedon Marinated Buffalo Cheese

Champions Fresh.co.nz Dairy Champion: Clevedon Buffalo Co, Clevedon Marinated Buffalo Cheese Ara Wines Paddock Champion: Homegrown Farm Fresh Meats, Gourmet Whole Lamb Box

For a full list of all award winners see

Farro Earth Champion: The Clareville Bakery Miche Sourdough

outstandingfoodproducer.nz

Water Champion: Genevieve’s Mahurangi Oyster Mousse NZ Life & Leisure Spirit of New Zealand: Turk’s Poultry, Turk's Corn-Fed Free Range Fresh Butterfiled Chicken Sriracha Chilli & Lime T & G Global Outstanding Sustainability Award: Jersey Girl Organics, A2 Organic Milk Label & Litho Outstanding Design: The Lucky Taco Habaerno Hot Sauce FMCG Business Outstanding New Product: The Whole Mix Spiralised Vegetable Noodle Range Marvellous Marketing Outstanding Drink: Hill Road Fresh Orange Juice

People’s Choice Awards Coast Outstanding New Zealand Food Producer: Clevedon Herbs & Produce Michael and Rose Kloeg of The Clareville Bakery

Coast Outstanding New Zealand Product: Lake Farm Pies Premium Steak with Aged Gouda Outstanding New Zealand Farmers’ Market: Clevedon Farmers’ Market

Thanks to our sponsors: NZ

& Leisure INSPIR ING NEW ZEAL ANDERS

[ events ]

Fine Food NZ

strong international flavour is guaranteed at the upcoming Fine Food New Zealand expo, with companies from across the world readying to display their wares at the premier food retail, hospitality and food service event of the year. Taking place at the ASB Showgrounds on 24-26 June, Fine Food New Zealand brings together the finest in food, beverage, equipment, packaging and much more. Event Manager Lorraine Smith says organisations from Australia, Thailand, Malaysia, Singapore, the USA, the UK, the Pacific Islands and Japan will add zest, excitement and variety to the event. “There’s growing recognition from food, beverage and food service organisations that this is the place to reach the New Zealand hospitality and related industries,” says Smith. Among the exhibitors are the Dallas Group, Amoy Canning Corporation, Niue Vanilla, Ariki Spirits, the US Meat Export Federation and Pacific Island Trade and Invest. Their reasons for being at Fine Food New Zealand are diverse, reflecting the multifaceted nature of the business to be conducted at the 10,000 square metres of exhibition space. Senior VP of Singapore’s Amoy Canning Corporation, Darius Huang, says the company is on an Australasian expansion drive for its range of Asian cooking pastes, sauces, chilli condiments and drinks. “We’ll be at the show looking to set up a distribution channel to import our products into New Zealand.”

Several Malaysian companies are joining the show. The New Zealand market is important to these organisations, confirms Bhavani Foods’ Rathinasabarathy Sachithanantham. “We’re looking to explore, launch new products and establish distributorships,” he says. Fine Food New Zealand is set to be a bonanza for local and international brands as a diverse arena where multiple opportunities for trade and commerce will present themselves. Smith notes: “‘The strong relationships with our International agents ensures we have many more companies taking note of the valuable New Zealand market and to experience our famous Kiwi hospitality. We are excited about all the innovative International products to be showcased at the show from countries around the world.” For more information, to see what’s on, or to register as a trade delegate and visit for free please visit: https://www.finefoodnz.co.nz/.

FOOD. IT’S OUR BUSINESS.

1/2 advert Touch, taste and experience what’s cooking in the Fine Food food retail, foodservice and hospitality industry at Fine Food New Zealand 2018.

Uncover the latest industry trends, get tips on how to manage and run a successful business, stay ahead in the market, use technology to benefit your business and much, much more in the Silver Chef Seminar Series. See the full schedule at finefoodnz.co.nz Strictly trade only.

FMCG BUSINESS - MAY 2018

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

NZ Pie Awards new Celeb Judge revealed

Events 2018 Celebrity Chef Judge Ben Bayly.

e’s a household name thanks to the enormous success of top Auckland restaurants where he was Executive Chef until recently, as well as his role on My Kitchen Rules NZ on TV. Now Ben Bayly is preparing for another challenge as Celebrity Chef Judge at the 22nd NZ Bakels Supreme Pie Awards. It’s an honour he’s thrilled to accept. In his informative years abroad as a chef, Bayly never quite found anything to compare with a Kiwi pie. So, on the trips back home he would fantasise about the taste of that first pie after leaving the airport… a quick stop to grab a steak & cheese pie from the pie warmer at the nearest shop, one bite, and Bayly felt like he was home. Like his career as one of NZ’s most successful chefs and restaurateurs, he’s taking the chance to judge New Zealand pies seriously, and he certainly knows what he’s talking about when he mentions tastes, textures, and keeping pie recipes honest. He says pie is ‘every person’s food’ and “they deserve to have their pie made properly”. He’s also looking for a return to vegetables in pies. “Remember back in the day when they had peas and carrots in pies? What happened to that? That was another nostalgic moment for me; back at school my pies had peas and carrots in them. They’re a natural sweetness. Use vegetables to bulk out the meat, they’re cheaper than ready-made gravies and even frozen is fine.” He adds: “Think about the contrasting texture in a pie. You bite through the pastry which is textural and then you want to feel the difference of the filling in your mouth. Show economy using interesting cuts of meat that don’t cost much. Think about supporting organics too; there’s no reason why you couldn’t make an organic pie. The way we eat food is changing and people who make pies will be thinking about changing too,” says Bayly.

Key Dates Entries open - May 1 Judging Day – July 26 NZ Bakels Supreme Pie Awards - July 31 http://www.nzbakels.co.nz/pie_awards.cfm

MAY

JULY

9-10 CLEAN NZ ASB Showgrounds Auckland, NZ www.cleannzexpo.co.nz

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

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

31 NZ BAKELS SUPREME PIE AWARDS Auckland, NZ http://www.nzbakels.co.nz/ pie_awards.cfm

31 NZ Ice Cream Awards Auckland, NZ www.nzicecream.org.nz

JUNE 24-26 FINE FOOD NZ ASB Showgrounds Auckland, NZ www.finefoodnz.co.nz 24-26 TOP SHELF Trade Liquor Expo ASB Showgrounds Auckland, NZ https://www.finefoodnz.co.nz/ whats-on/auckland-2018/zones/ top-shelf-boutique-drinksfestival/

AUGUST 15-16 C&I EXPO Melbourne Convention & Exhibition Centre Melbourne, Australia https://www.candiexpo.com.au/

SEPTEMBER 18-20 FOODTECH PACKTECH ASB Showgrounds Auckland, NZ 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. FMCG BUSINESS - MAY 2018

Saturday 6 & Sunday 7 October 2018 The Cloud, Auckland Waterfront Stands and partnerships now available! Contact Sam: swood@intermedianz.co.nz

[ social sphere ]

Out & About

d Hill: (L to R) At Dinner Dans Le Noir with Sacre FMCG Business Food Writer Bri Di Mattina and nowski. Head of Content Tamara Ruba

NZ Bakels scored ‘Best Baking Display’ at the Foodstuffs Expo with an amazing Madhatter’s Tea Party theme.

Fonterra Farmers visit the state-of-the-art Apollo beverages plant in Whakatu, Hawke’s Bay.

MG Marketing were voted Best Fresh Produce Display and Overall Best Display at the Foodstuffs Expo in Auckland.

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 a gift hamper courtesy of Beak & Sons BBQ Pork Ribs - the perfect combination of meaty St Louis cut ribs and marinade, slow cooked so they’re tender and full of flavour. Prize includes a Global Knife and is valued at $300!

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

FMCG BUSINESS - MAY 2018

www.theshout.co.nz May 2018

Cheers to Chardonnay PLUS PROWEIN 2018 n THE CIDEROLOGIST n SOUR BEER NEW ZEALANDâ&#x20AC;&#x2122;S LARGEST LIQUOR AUDIENCE

A Giesen Wine For All Occasions. CONTACT YOUR GIESEN GROUP REPRESENTATIVE OR PHONE 03 344 6270

[ editorial ]

Kiwis are pros at wine

CONTENTS May 2018 4

News and industry insights

6 NZ expands presence at record ProWein 2018 Report on this year’s global wine and spirits exhibition 10 Cheers to Chardonnay Tasting notes from Cameron Douglas MS

The Shout Editor Charlotte Cowan

IF YOU’RE anybody who’s somebody in the global wine industry, then ProWein is a must-attend event. The world’s biggest wine and spirits exhibition, ProWein is held annually in Düsseldorf, Germany, and features hundreds upon hundreds of international wineries and distilleries showcasing their wares. This year at ProWein, the Kiwi contingent really showed up – with a 40% increase in New Zealand wineries attending, including all the big names such as Yealands, Villa Maria and Giesen. The Intermedia Group Publisher James Wells was one of the 60,000 trade visitors (yes, 60,000) who made the trek to Deutschland and you can read his report on ProWein 2018 on pgs 6-8. And while of course Sauvignon Blanc was a big topic of conversation at ProWein, we’re turning our attention this month to Chardonnay. Love it or hate it, everyone has an opinion on this varietal and we have some delicious examples on pgs 10-12. Plus, Kiwi wine experts share their reasons to love an oaky drop on pg 13. But if a cheeky Chardonnay isn’t for you, what about a crisp cider? We may be heading into the winter months but that’s no reason to put down this fizzy friend. Take a look at our Q&A with The Ciderologist, Gabe Cook, on pg 15. For more from The Shout NZ make sure you follow and like our Instagram and Facebook pages @TheShoutNZ and head to our brand new website www.theshout.co.nz to sign up to our dedicated fortnightly eNewsletter. Enjoy your May!

13 Do you Chardonnay? Kiwi wine experts explain why we should love this varietal

14 New on Shelf This month’s exciting new product launches

16 Sour beer Beer writer Neil Miller takes a look at this polarising style

The art of Ciderology Q&A with The Ciderologist, Gabe Cook

Editor’s picks Tohu ‘Hemi’ Reserve Marlborough Chardonnay 2016 A select parcel of premium upper Awatere Valley fruit was fermented in French oak barriques to create this elegant Chardonnay which is a tribute to James Wheeler, the leading pioneer of Māori wine. This wine is just one shining example of a superb Kiwi Chardonnay for more on our oaky friends, take a look at Cameron Douglas’ tasting notes on pgs 10-12. Curiosity Gin - Curious Dry A classic style, dry gin made with New Zealand native botanicals including Kawakawa, Horopito (Bush Pepper), Manuka and urban foraged Tarata (Lemonwood), Curious Dry is the perfect accompaniment to a crisp tonic after a long day – bring on the G&Ts! For more exciting new products hitting the shelves, head to pg 14. Hallertau Funkonnay This sour ale from Riverhead’s Hallertau Brewery spends a year in Chardonnay barrels “partying with the nicest bugs we know”. Lean, fruity and dry, you may not know you love sour beer until you try this one. For more on this wild style, check out Neil Miller’s feature on pgs 16-17. 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 - MAY 2018

[ sponsored news ]

The Wine Auction Room launches in NZ A NEW way to buy and sell fine wine and spirits has launched in New Zealand, with the opening of The Wine Auction Room. The brainchild of wine auction specialist Reece Warren, The Wine Auction Room sources the best rare and fine wines and spirits for clients around New Zealand to be sold and purchased through live and online auctions. With more than 30 years’ experience in the wine industry, Warren and his team are dubbed the ‘Wine Maven’s, having grown grapes, sold prestige brands, heaved barrels and lugged cases. “[This year], perched in New Zealand and inspired by the fruits of our labour, we believed it was time that the loyal (and novice) wine enthusiast had access

to an interesting variety of wine,” says Warren. “We know that we are not alone in our love for rare and fine wine and are thrilled to help others access these products on the secondary market.” The Wine Auction Room specialises in curated auctions for rare and fine wines and spirits, but they also value clients’ wine collections and help novice winebuyers start their cellars. “One of the things I love about working in the wine industry is turning people on to wine, showing them something that they have never experienced before and seeing their absolute delight,” says Warren. “What the auction market does give people is the opportunity to procure wines that are no longer available

anywhere else in the world. And we get a lot of wines like that.” And to ensure sales and purchases are as safe as possible, The Wine Auction Room is New Zealand’s first accredited member of WineFraud.com, ensuring the company is up-to-date with breaking international news of wine thefts, bad sources of wine and discovered frauds. For more information on The Wine Auction Room, visit www.wineauctionroom.com

[ news ]

Marlborough set to host Sauvignon 2019

New CEO for Allan Scott

IN JANUARY 2019, the world’s top wine experts will arrive in Marlborough to attend New Zealand’s International Sauvignon Blanc Celebration. The event is set to run for three days, from 28-30 January, with a programme designed to demonstrate the complexity of Sauvignon Blanc, emerging styles, vineyard practices, winemaking influences and future trends. There will be opportunities for guests to sample more than 200 different examples of Sauvignon Blanc from across the globe and to learn from experts in the field of science, research, journalism and gastronomy, all while experiencing some stunning locations in Marlborough. Chairman of the International Sauvignon Blanc Celebration committee, Patrick Materman, says New Zealand produces some of the best Sauvignon Blanc in the world, and our wine is renowned for its quality and explosive flavours. “International Sauvignon Blanc Celebration 2019 is the opportunity to seize on this success and grow our reputation with international wine experts and influencers,” he says. This is the second time New Zealand has hosted the International Sauvignon Blanc Celebration. Sauvignon 2019 is a truly international event, with eight different Sauvignon Blanc producers outside of New Zealand flying in to join the festivities. The programme for Sauvignon 2019, which will feature international tastings, seminars and panel discussions, keynote speakers and unique dining experiences, will be announced this month. For more information, visit www.sauvignonnz.com

ALLAN SCOTT Family Winemakers has announced the appointment of Darrell O’Brien to the newly created position of Chief Executive of the Allan Scott Companies. “Darrell will lead the company through the strategic requirements of growth to a level fulfilling the rising demand for our quality product in overseas markets; plus, ensure a continuation of the broadening of its innovative beverage presentations as the company also adapts to generational change in the next few years,” says founder Allan Scott. O’Brien says he has long admired the pioneering spirit, sustainability and innovation of Allan Scott Family Wines. “Their combined efforts and care for each part of the winemaking process leads to the creation of great quality wine varietals vintage after vintage,” he says. “My new role allows me to add my experience, skills and passion to the existing Allan Scott Companies team and to lead the journey from ‘current state’ to the ‘future state’ that the group aspires to achieve.”

FMCG BUSINESS: THE SHOUT - MAY 2018

[ news & industry insights ]

Last chance to register for Top Shelf 2018! THERE’S JUST one month until New Zealand’s largest trade liquor event takes place in Auckland, so make sure you register to attend. Top Shelf is taking place from 24 to 26 June at ASB Showgrounds in Auckland, as a component of Fine Food New Zealand, and is a festival dedicated to wine, beer, spirits, craft drinks and suppliers. Just a few of the premium local and international brands attending include Yealands Wine Group, Good George, Q-Liquid and Monin. There will also be The Shout Lounge, offering demonstrations, tastings, mixology, educational sessions and meetand-greets. Exhibitor, event partner and Managing Director of Intermedia Group New Zealand, Dale Spencer, says Top Shelf is a must-attend event for the FMCG sector. “Grocery and retail liquor merchants should definitely register to come along to Top Shelf at Fine Food,” he says. “Exciting new liquor brands, new product launches and much more will be on show!” For more information and to register for the event, visit www.finefoodnz.co.nz. The show is almost sold out but limited stands are available, for bookings contact Sam Mackey-Wood on 021 256 6351 or swood@intermedianz.co.nz.

What’s on May 12-13 The World of Wine Festival AUT’s Auckland City Campus www.theworldofwinefestival.nz

June 26-28 Top Shelf ASB Showgrounds, Auckland www.finefoodnz.co.nz

June 1-24 F.A.W.C! (Food & Wine Classic) Hawke’s Bay www.fawc.co.nz June 10 NZ Boutique Wine Festival Fort Lane, Auckland www.boutiquewine.co.nz June 22-23 and 29-30 Winetopia Shed 10, Auckland and TSB Arena, Wellington www.winetopia.nz

June 30 GABS Beer, Cider & Food Fest ASB Showgrounds, Auckland www.gabsfestival.com

FOR MORE INDUSTRY NEWS FOLLOW US ON

New Zealand confirmed No.3 in USA wine market SURPASSING SEVERAL major wine producing countries, New Zealand has again been ranked the third biggest wine importer (dollar value) to the USA. This milestone was first reached in 2016, and statistics from the latest Gomberg Fredrikson Report show New Zealand wine achieved it again in 2017. Last year, the total value of New Zealand wine imported Philip Gregan to the US reached US$422 New Zealand Winegrowers CEO million, up 6% on 2016, and was surpassed only by Italy (US$1.9 billion) and France (US$1.8 billion). New Zealand sits ahead of Australia, Spain, Argentina and Chile. It’s an incredible achievement, given New Zealand produces less than 1% of the world’s wine. What began as just a few hundred thousand cases per year in the late 1990s, is now over 7.7 million cases imported to the US per annum. We have a reputation for premium quality and innovation. New Zealand itself is also a vital part of the success, with our sustainability practices and clean, green image very attractive to consumers, meaning they are prepared to pay a premium for our wines. New Zealand’s varietal offering to the United States is led by Sauvignon Blanc, with a strong supporting cast of Pinot Noir, Chardonnay, Pinot Gris and Syrah. The Gomberg Fredrikson Report shows New Zealand shipments of red wines to the US grew by 23% in 2017, indicating the quality of New Zealand reds, and particularly Pinot Noir, is being embraced by trade and consumers. Owner of the Gomberg Fredrikson Report, Jon Moramarco, says New Zealand Sauvignon Blanc continues to be extremely popular, with its distinctive style and flavour driving imports. Meanwhile, New Zealand wine has reached another export milestone – with a total of $1.71 billion in exports globally in the 12 months to the end of February. This brings us one step closer to the industry goal of $2 billion in wine exports by 2020.

CHECK OUT THESHOUT.CO.NZ FMCG BUSINESS: THE SHOUT - MAY 2018

Pic credit: Messe Dusseldorf, Constanze Tillmann

NZ EXPANDS PRESENCE AT RECORD PROWEIN 2018 This year’s ProWein event, the largest global wine and spirits exhibition, delivered another record attendance of visitors and exhibitors - including a 40% increase in participation from New Zealand wineries. The Intermedia Group Publisher James Wells chats to some of the 70 Kiwi wineries at the show. MORE THAN 60,000 trade visitors met with more than 6,870 exhibitors from 64 countries to deliver a record attendance at ProWein in Düsseldorf, Germany, in March. The huge showing at the event included a 40% increase in participation from New Zealand wineries. NZ Winegrowers Chief Executive Officer, Philip Gregan, said the larger stand presence with 70 New Zealand wineries represented at the exhibition was “a statement about the importance of ProWein, which is the best by far”. New Zealand is now the third largest exporter to the United States, which represents a $500 million market and Gregan is confident it will be worth $700 million in the years ahead. The trend towards millennial consumers was reflective of ongoing change in the wine market, according to Gregan. 6

FMCG BUSINESS: THE SHOUT - MAY 2018

“One thing our industry has done well over the last 25 years is actually listen to the market and the consumer is currently changing rapidly,” he told The Shout NZ. “The market is very different to what it was 10 years ago and it will be different again in 10 years’ time. You have to embrace the consumer and understand what it is that is changing. Listen to your market and if it is not growing, a really good question to ask would be ‘why?’”.

What the Kiwi wineries had to say… Yealands Wine Group

Peter Yealands

Gregan said he was confident that there would be a record vintage in New Zealand this year and Peter Yealands was prepared to stick his neck out a bit further and claim that the 2018 vintage would represent a record 450,000 tonnes.

[ feature ] “In Marlborough, we have a lot of new production and it could be as high as 370,000 tonnes and I’m game enough to claim it will be a record production in Marlborough and it will be a vintage of good quality,” said Yealands. Celebrating his 10th anniversary at the winery, and his 70th year on Earth, Yealands is not showing any signs of slowing down. “We want to be number one in New Zealand and it might take a few years, but we are getting there and that’s the goal,” he said. “Please don’t think for a minute we are satisfied with standing still. If you stand still, you go backwards, as other people overtake you. To get to number one will probably take the rest of my life, but you have to have a good goal – there is no point having a goal that you can reach tomorrow. “We are currently the sixth largest producer in New Zealand and, as an independent, we see ourselves on par with Villa Maria. We are in a race and there is no prize for second as far as I am concerned,” he said. Yealands sees high single digit growth in North America continuing as the US consumer embraces Marlborough Sauvignon Blanc. “We haven’t even started yet. We are like a sprout coming out of the ground. We have years to go before we mature in the American market. “In China, the theory that they drink 5% white and 95% red is fast diminishing – it is now 10 to 15% white and if you give it another 10 or 20 years, it will probably be 50/50.” Yealands said he is currently experimenting with wine in cans under the Babydoll brand, as he seeks to find product to meet the needs of millennial consumers. “You have got to be realistic – the old wine consumer is going to pass us by, so we have to capture the young ones. They are innovative, they want new products, they want to feel brave and they are up with the trends – so you have to have the products that are going to capture their eye,” he said.

Mitch Gardiner

Allan Scott Family Winemakers Allan Scott Wines introduced the second vintage of its hopped Marlborough Sauvignon Blanc in a can, Gooseberry Bomb, at ProWein. According to Mitch Gardiner, General Manager Sales for Allan

Scott, for this vintage the wine was co-fermented with Calypso hops, which is an American hop traditionally associated with West Coast IPA. “Calypso gives it a little bit more fruity but vegetal fruit, such as caramelised shallots and we wanted that to complement and contrast with a lot of the zesty characters that we were getting out of the Sauvin hops we used in our first vintage,” he said. “We are also looking to can our Razor’s Edge Riesling with lemongrass and chilli. Since we are using Riesling, it is lower in alcohol and is a much lighter lifestyle option. Gooseberry Bomb is 11.5% ABV, which is around 1.5% lower than a lot of other Marlborough Sauvignon Blanc. We expect the Razor’s Edge Riesling could be as low as 9% ABV.”

Richard Thomas

Villa Maria Villa Maria Chief Operating Office, Richard Thomas, was pleased to see most buyers looking for premium wines, as consumers seek higher price points for New Zealand wines. With more than 140 separate SKUs in the range, there were no new products for the exhibition, but the additional stand space provided more storytelling for the other brands in the Villa Maria stable – Vidal, Esk Valley, Thornbury and Left Field – which are all performing well in the domestic market as well as internationally. “New Zealand remains critical for Villa Maria because it is our home base,” says Thomas. “We want to be strong at home because we have seen other export industries where they have neglected their home market. And we also make our wines in New Zealand so we want people in New Zealand to enjoy them.”

THE OLD WINE CONSUMER IS GOING TO PASS US BY, SO WE HAVE TO CAPTURE THE YOUNG ONES. THEY ARE INNOVATIVE, THEY WANT NEW PRODUCTS, THEY WANT TO FEEL BRAVE AND THEY ARE UP WITH THE TRENDS.” PETER YEALANDS, YEALANDS WINE GROUP

Giesen Wines Theo Giesen, co-owner of Giesen Wines, said that New Zealand wine remains in vogue internationally. “New Zealand wine is up by double digits in the US and in the UK. People say the bubble will burst, but even a mature market like the UK is still growing,” he said. “Our production is 80% FMCG BUSINESS: THE SHOUT - MAY 2018

[ feature ] campaign titled: ‘Where does experience take you?’ – drawing on the winery’s century of experience and using this to increase consumer awareness. Babich also released Forbidden Vines Marlborough Sauvignon Blanc and Pinot Noir Rosé in pink and blue shrink-sleeve packaging, appealing to the millennial consumer under 35 years of age, which now represents 33% of the wine category.

Sacred Hill Pic credit: Messe Dusseldorf, Constanze Tillmann

THE MARKET IS VERY DIFFERENT TO WHAT IT WAS 10 YEARS AGO AND IT WILL BE DIFFERENT AGAIN IN 10 YEARS’ TIME.” NZ WINEGROWERS CEO, PHILIP GREGAN.

Theo Giesen

Sauvignon Blanc, followed by Chardonnay and Riesling. We export 97% of our production to nearly 60 countries.” Reflecting on the New Zealand domestic market, he believes smaller regional wines are “locked out” of the national buying processes and he would like to see independent buying opportunities. “Individual managers of the supermarkets should be able to use their own discretion to showcase specialty wines, otherwise there may be an opportunity for small wine shops to open up and display a broader variety of regional wines,” said Giesen.

Babich Wines

Philip Gregan

Jo Pearson from Sacred Hill Vineyards said ProWein provided efficient access to a number of global buyers across the UK, US and key European markets. She said the interest continues to be Marlborough Sauvignon Blanc, but there was also interest in Pinot Noir as well as wines from Hawke’s Bay. “New Zealand buyers can be 100% confident that the wines they are buying from domestic wineries are world class – we absolutely stand with some of the best wines in the world and they can be confident that they are selling wine that a lot of the world is jealous that we have,” she said.

Dave Babich from Babich Wines introduced a number of new marketing initiatives at ProWein this year. Babich said the new labeling project, to retire the scripted logo which has been in place for more than 30 years took, almost about 10 months to complete. He admitted that this process is “one of the hardest things to do in the wine business” but he is happy with the premium execution he describes as “contemporary but classic”. “Our packaging tended towards masculinity and we wanted to create a more female-friendly label without alienating males,” said Babich. Babich has also launched a new marketing

FMCG BUSINESS: THE SHOUT - MAY 2018

Agnes Seifried

Seifried Estate Agnes Seifried from Seifried Estate has been a supporter of ProWein for several years and she uses the exhibition to maintain relationships with her business partners. She says that with more than 40 years of history and being from Nelson provides a unique story for buyers. “Nelson is a great alternative to the other areas in New Zealand. It is a smaller area – we are all family owned, and to many of our partners that is very important,” she said. “With so many massive wineries around the world, the people we work with are generally family owned and like to work with a similar business – so the Nelson story is an easy sell for us.” The next ProWein exhibition will be held in Düsseldorf from 17-19 March 2019. The next ProWine China event will be held from 13-15 November 2018. For more, visit www.prowein.com and www.prowinechina.com

EVERY BIT EXTRAORDINARY

[ tasting notes ]

Cheers to Chardonnay 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.

Ask anyone what style of Chardonnay they drink and you’ll likely get a different answer from each. Quality Chardonnay does have many expressions and is often a direct reflection of site, soil, climate and wine making. The use of oak is common in Chardonnay from not much, to a significant amount and the form the oak takes will also have a bearing on the overall flavour profile. For example, a wine that sells at retail for more than $25.00 per bottle will likely have spent some time in an oak barrel. Barrels are expensive, they add layers of flavour and complexity when used judiciously. Others Chardonnay examples at less than $25.00 may be aged in tank with wooden inserts used to infuse oak flavours. Wines at around $12.00 and under are likely to be soaked in oak chips for a time. These techniques are also interchangeable – there are no set rules. How the fruit is managed from hand harvesting to machine-assisted will have an impact on style; some skin contact can be used, whether a natural ferment is induced or not and when exposure to oak all have style

FMCG BUSINESS: THE SHOUT - MAY 2018

implications. A modern approach by some producers is to allow some solids to remain in the juice (immediately post juice extraction) so that extra texture and flint-like characters can be drawn into the wine through the fermentation process. Chardonnay can be grown almost anywhere and in any soil type, so it is when a winemaker is delivered fruit at optimal ripeness that the real expression of Chardonnay can be discovered. A winemaker’s skill is paramount in harnessing an expression of site and style. In many ways, less interference in the wine making process often achieves a more interesting result. The technique of Malolactic Fermentation (MLF) is common in many Chardonnay wines and this method which converts acid into a softer, more lactic form can influence the wines texture making it more creamy on the palate (or not) and when combined with the oak regime can also induce a nutty butter-like flavour. The Chardonnay wines tasted for this month’s issue reflect the detail required to produce quality examples.

[ tasting notes ]

ELEPHANT HILL RESERVE HAWKE’S BAY CHARDONNAY 2016 Striking bouquet with loud aromas of fruit, spice and oak. Roasted stone fruits, baked apple, baked citrus and leesy, youthful textures. Dry, bold, oaky and youthful, with plenty of fruit at the core, obvious oak - still at the beginning of integration, spicy toasty layers and all wrapped in a full body blanket. Complexity beginning to show through a long and engaging finish. Drink now and through 2026. Points 95 RRP $54.00 Distributor: Procure Liquor Phone: (09) 376 9385 www.elephanthill.co.nz AUNTSFIELD ‘COB COTTAGE’ MARLBOROUGH CHARDONNAY 2016 Complex and enticing bouquet with wood spices, ripe citrus and stone fruits, as well as silty dry stone mineral message. Equally complex on the palate with layers of flavour woven through textures of acidity, oak and lees complexity. A fine wine - decant for service. Best from 2019 through 2026. Points 95 RRP $48.00 Distributor: Negociants Phone: (03) 578 0622 www.auntsfield.co.nz

DOMAIN ROAD ‘DEFIANCE’ CENTRAL OTAGO CHARDONNAY 2016 Distinctive and alluring bouquet with a mineral ripe fruit and oak all in play. Aromas of grapefruit, peach and apple, vanilla and baking spice oak influences and a white flower note. Dry on the palate with flavours that emphasise citrus and stone fruit. A minerality returns on the finish as does the layer of oak and its baking spices message. Lengthy finish, very youthful still with weight and freshness. Drink now and through 2027. Points 94 RRP $28.00 Distributor: Co Pilot Phone: (09) 412 9137 www.copilotdistributors.co.nz AUNTSFIELD SV MARLBOROUGH CHARDONNAY 2016 A plush and pure fruit attack, with a calm creamy bouquet. Aromas of white peach and apricot, sweet red apple, then wood spice and vanilla. Firm youthful and dry on the palate with a vibrant fruit core, wet stone mineral moment, mild fine wood tannins and plenty of refreshing and balancing acidity. Lush, fresh and juicy finish with a building complexity. Drink now and through 2026. Points 93 RRP $36.00 Distributor: Negociants Phone: (03) 578 0622 www.auntsfield.co.nz

GIESEN ‘THE BROTHERS’ MARLBOROUGH CHARDONNAY 2017 A bouquet showing complexity, ripeness of fruit and enticement from oak, lees and a flinty mineral-like layer from clever winemaking. Dry on the palate with a great texture from attention to detail using lees and oak, fluffy solids and ripe fruit. Flavours of fuzzy white peach, apple and lemon. Well placed use of oak, vibrant texture, freshness and a lengthy finish equal a well-made and enticing example. Drink now and through 2024. Points 93 RRP $29.99 Distributor: Giesen Wines Phone: (03) 344 6270 www.giesenwines.co.nz BLACK BARN VINEYARD HAWKE’S BAY CHARDONNAY 2016 Immediately complex and alluring bouquet with a mix of fruit oak and a little mystery. Aromas of peach and baked apple, lemon and a suggestion of quince. Moderate oak spice and wood layer, engaging and enticing. Dry, textured, fruity and delicious - a lovely example with flavours of citrus, peach and oak, brown wood spices and leesy textures. Medium+ acidity, fine balance and well made. Drink from now and through 2026. Points 93 RRP $32.00 Distriburoe: Negociants Phone: (06) 877 7985 www.blackbarn.com

FMCG BUSINESS: THE SHOUT - MAY 2018

[ tasting notes ]

TOHU ‘HEMI’ RESERVE MARLBOROUGH CHARDONNAY 2016 Smoky, fruity, oaky and spicy with baked vanilla and toasty wood attack. Aromas also include baked peach and nectarine, custard and brioche. Full-bodied, fruity, woody and dry. Packed with the flavours described above, fine wood tannins, medium+ acidity, bold, youthful and yummy. Drink now and through 2025. Points 93 RRP $38.00 Distributor: Wineworks Phone: (03) 546 8648 www.tohuwines.co.nz

MAZURAN’S DIRECTORS MARLBOROUGH CHARDONNAY 2015 Golden hues, deep straw and very bright appearance leads to a bouquet filled with roasted stone fruits, burnt butter and vanilla cream. Full-bodied and very creamy on the palate, with flavours that match the nose stone fruits, baked apple, butter and cream. The oak message is loud and clear - well

FMCG BUSINESS: THE SHOUT - MAY 2018

placed. Balanced and lengthy finish. Ready now and through 2022. Points 90 RRP $39.00 Distributor: Mazuran’s Vineyards Phone: (09) 838 6945 www.mazurans.com

LEEFIELD STATION MARLBOROUGH CHARDONNAY 2017 Very inviting bouquet with aromas of fresh and baked peach, red apple and vanilla scents of oak. Lush, fruity and silky on the palate, with flavours that match the nose, plus lemon and grapefruit. A fine balance between the oak and acidity, crunchy, fresh and lengthy finish with a little more of the oak punching through at the end. Best from late 2018 through 2024. Points 90 RRP $26.99 Distributor: Lion Phone: (09) 522 9684 www.marisco.co.nz

HUNTER’S ‘JANE HUNTER’ MARLBOROUGH CHARDONNAY 2017 Peaches, cream and vanilla scented bouquet with yellow apple and a light grapefruit note. Firm and dry on the palate, with flavours of cashew nut oak, grapefruit then peach. Vibrant textures from the acidity and oak tempered by the fruit, fine powdered tannin moment then juicy fleshy fruit flavours again. Fairly lengthy finish, balanced and well made. Drink now and through 2022. Points 89 RRP $24.90 Distributor: EuroVintage Phone: (03) 572 8489 www.hunters.co.nz Wines are scored out of 100 points and are listed in no particular order. Numbers are not indicative of a ranking.

[ wine ]

DO YOU CHARDONNAY?

Chardonnay can be a polarising varietal. Too oaky or buttery? Or perhaps not enough? We Kiwis have previously been fans of the ABC (anything but Chardonnay) mentality, but not anymore. We asked some local wine experts why we should all love a charming Chardonnay. Chardonnay is the perfect ‘anytime wine’ owing to the seductive range of styles, flavours and textures it’s capable of. The ripe Chardonnay grape has aromas and flavours of stonefruit and citrus, depending on the climate, but the winemakers create the magic of this variety. The careful use of oak, influence of lees and malolactic fermentation, can create a palate of flavours ranging from citrus and steely acidity in cooler regions, through to the warmer, rich, textural, creamy wines with aromas of exotic pineapples, creamy vanilla and spice. Jim Harré - Chair of Judges for the New World Wine Awards 2018

“People should love Chardonnay because it’s one of the most versatile wines to match with food. It’s a real winemaker’s wine. From the clean flavours of stainless steel fermentation, to adding oak with layers of texture and complexity, it’s a varietal that offers something to enjoy for every palate.” Wendy Stuckey – Chief Winemaker for Constellation Brands

Chardonnay makes you sparkle! When blended with Pinot Meunier and Pinot Noir, Chardonnay is not only the queen of grape varietals but also the base for many great sparkling wines around the world, including French Champagne. Blanc de Blancs wines are made of 100% Chardonnay, while other famous sparkling wines are usually a blend of local varietals. Caro Jensen and Emily Camblin – Founders of Sip NZ

“Marlborough may be better known for producing world class Sauvignon Blanc, but the Chardonnay coming out of the region is rivaling its bigger brother. I love a good Chardonnay because it offers complexity, texture and versatility which makes it a great match for any food occasion.” Jono Fisher - Business Manager - Wine for Countdown

“With Chardonnay, there is a style for everyone because it’s the most versatile of white varieties. From the lively, mouth-wateringly lean and zippy, all the way to round, rich and luscious - and everything in between. The winemaker can choose to play a little or a lot and make wildly different wines from the same vineyard. It’s the ‘wine nerd’s wine’ without being too wanky - and that’s why I love it!” Justin Dry – Co-founder of Vinomofo

The Panelists’ favourites…

Saint Clair Marlborough Premium Chardonnay 2016 “Rich and textural but still showing beautiful fine acidity, this really is an elegant wine for all occasions.” Jim Harré Matahiwi Estate Hawke’s Bay Blanc de Blanc Cuvée NV “Fresh and fruity, it has a lovely biscuit on the nose with rich full apple and melon flavours.” Caro Jensen and Emily Camblin Kim Crawford Small Parcels Marlborough Chardonnay 2016 “It’s currently one of my favourite wines with food – a long palate with weight and layers of complex citrus fruit.” Wendy Stuckey Black Cottage Reserve Marlborough Chardonnay 2016 “It has everything you would expect from a cool climate Chardonnay stone fruit, citrus and minerality, combined with subtle oak, culminating in a refined Chardonnay, that poundfor-pound packs a punch!” Jono Fisher Mimi Flamingo Yarra Valley Chardonnay 2016 “It’s impossible to have just one favourite Chardonnay as each is so complex and unique but I love this Yarra Valley Chardonnay that is made in collaboration with the team from Oakridge.” Justin Dry

FMCG BUSINESS: THE SHOUT - MAY 2018

[ new releases ]

NEW ON SHELF This month’s exciting new product releases.

The Shout NZ Wine Medals The Shout NZ’s new-and-improved wine medals are the perfect way to make your wine stand out from the crowd and share your high wine scores with the world. 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. RRP $45.00 per thousand + GST Contact: Samantha Mackey-Wood on 021 256 6531 or swood@intermedianz.co.nz

Selaks The Taste Collection Silky Smooth Merlot Selaks has introduced a new addition to the successful range that celebrates the generous and distinct flavours that have made Selaks sought after for more than 80 years. The 2016 Hawke’s Bay Silky Smooth Merlot is named for the rich berry fruit flavours that gently cascade along the palate, underpinned by soft fine tannins. A sumptuous, fruitforward wine with lingering flavour right to the finish. RRP $21.99 www.selaks.co.nz

Curiosity Gin – Curious Dry Curiosity Gin’s newest product, Curious Dry (40% ABV), delivers a beautifully balanced London Dry-style gin using only New Zealand native botanicals. Made ‘grain to glass’, starting with Canterbury barley and utilising wild harvest Kawakawa and Horopito (Bush Pepper), Manuka and urban foraged Tarata (Lemonwood) botanicals. Curious Dry is as Kiwi as a gin can get and adds the perfect twist to a G&T and all the best gin cocktails! RRP $70.00 Contact orders@ thespiritsworkshop.co.nz or info@spiritus.co.nz

Peter Yealands Marlborough Rosé 2017 Yealands craft awardwinning wines in harmony with nature, helping them lead the world in sustainable winegrowing. Yealands’ latest addition - the award-winning Peter Yealands Marlborough Rosé 2017 – is a light, peach-coloured Rosé with an enticing bouquet of pomegranate, fresh strawberries and honeysuckle and finishes with flavours of strawberry shortcake. Just one of the great-tasting wines from Yealands that doesn’t cost the earth. RRP $14.99 www.yealands.co.nz Contact: (09) 920 2880

Leefield Station Chardonnay 2017

Ecology + Co London Dry and Asian Spice

An authentic expression of Marlborough winemaking, all the key elements of climate, site and winemaker influence are seamlessly balanced in Leefield Station Chardonnay 2017. Bold French oak with a rich, creamy nuttiness all wrap around a vibrant core of ripe, yet distinctly coolclimate Chardonnay fruit – qualities imbued by the iconic Leefield Station vineyard. This wine is to be enjoyed within three to five years of vintage date. RRP $26.99 www.marisco.co.nz

Ecology + Co’s distilled non-alcoholic spirits are made in New Zealand from traditional gin botanicals and sophisticated spice blends. London Dry is made from light citrus and botanicals, blended with distinctive green-fresh juniper. A full, fragrant taste with a smooth, refreshing finish, it is hand-crafted from small batch distillations. Asian Spice has aromatic shades of spicy-sweet cassia and vivid mint cardamom. Soothing and restorative with a warm citrus finish. No sweeteners. No carbs. No regrets. RRP $57.00 Limited pre-orders available from www.ecologyandco.com

FMCG BUSINESS: THE SHOUT - MAY 2018

[ Q&A ] Being a Ciderologist is all about extending knowledge and passion for this wonderful drink through a variety of means - from hosting education classes and tastings and to presenting and writing on all things apples!

THE ART OF CIDEROLOGY

Just when you thought you knew a thing or two about cider, along comes The Ciderologist, Gabe Cook. This charismatic Brit took a whirlwind trip Down Under to judge the 2018 New World Beer & Cider Awards recently and we grabbed a quick chat. How did you get into Ciderology? I was born in the heart of Ciderland in the West of England and grew up surrounded by orchards and the heritage of cider making. After graduating and travelling, I went to work on a small, local cider farm where I spent the best part of a year living (in a shed in the garden – no, really), and learning the craft of cider making. I came to discover cider was the path for me. It brings together all of my interests - landscape (I’m a geography grad), local history, nature, science. It also helps that I enjoy drinking the stuff! I’ve been making it, talking about it, and judging it, ever since. What does your job entail? As a Ciderologist, I’m attempting to redefine the way we think about cider. There are a number of wonderfully knowledgeable, articulate and entertaining beer and wine writers, sommeliers, critics, suppliers and consumers, but poor old cider doesn’t have any of this… yet.

Pic credit: Bill Bradshaw

I am on a mission to demonstrate that cider can exude as much quality and finesse as any wine and strut as much character and brazen attitude as any craft beer.

How do you rate NZ cider compared with British cider? Cider in the UK is predominantly made with apple varieties that have been grown for centuries for the specific purpose of cider making. They contain tannin, much like you would get in coffee and red wine, providing richness, bold, mouthfeel and bitterness. There aren’t so many of these apples available in New Zealand because cider making is fairly new here. But what New Zealand has in abundance are top quality dessert (eating) apples. These apples are dominated by acidity, providing crisp, clean and fresh ‘appley’ flavours. It’s not a case of one style being better than the other – they’re different, just like a red wine is different to a white wine. Every style has their own preference. What do you think is the ‘next big thing’ in the world of cider? Cider is on the rise all over the world, not just in the traditional areas of Northern Europe. It’s an incredibly exciting time to be involved in a growing global industry. I think that ciders which appeal to craft beer drinkers are going to be an important part of the global cider category over the next two years. At the forefront of this is hopped ciders. It’s not easy to balance and blend the impact of the hops with the cider base, but when done well, it produces a fantastic drink! What is one cider that everyone should try before they die? In Northern France is an ex-Sommelier turned cider maker called Eric Bordelet. Over the last 15 years he has garnered a reputation for producing some of the most exquisite, delicate and finessed ciders in the world. My favourite is Sydre Argelette, a prestigious offering combining 19 apple varieties, which undergoes the final part of its fermentation in the bottle, therefore delivering a beautiful, light natural sparkle. This is as good as it gets! Winners of the fourth New World Beer & Cider Awards will be announced later this month. For more information, visit www.newworld.co.nz/ nwbca. FMCG BUSINESS: THE SHOUT - MAY 2018

SOUR BEER

LET ME EMBRACE THEE, SOUR ADVERSITY Sour beer is a style that beer writer Neil Miller still struggles with, even after many years, but which is undisputedly one of the hottest trends in New Zealand brewing right now.

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

SETTING THE record straight, sour beers are not a new invention. Not even close. For most of beer’s long and glorious history of at least 6,000 years, the beer made would have been sour to a greater or lesser degree. This was because they were fermented with wild yeasts (primarily Brettanomyces) which brought in funky and sour flavours, often described as ‘barnyard’ notes. Despite the worrying flavour descriptors for modern imbibers, these beers were considered refreshing and flavourful by a grateful drinking public. After all, drinking beer was generally much safer than drinking water for much of history. It was not until the late 1880s that brewers managed to isolate individual yeast strains and make them pure. Yeast is the single celled organism that converts sugar into alcohol and carbon dioxide. Basically, it makes beer. Previously, brewers had largely relied on airborne wild yeasts (which could vary wildly) or used previous batches of beer to kick start the next brew with the still active yeast (which could also vary wildly). Science became involved with the legendary Louis Pasteur working with the Carlsberg Brewery to cure ‘beer diseases’ (which was basically the

FMCG BUSINESS: THE SHOUT - MAY 2018

wildly variable results of wild yeast) in the 1880s. He not only confirmed the fundamental nature of yeast, but brewers could then isolate and cultivate particular strands for the Louis Pasteur worked with the Carlsberg Brewery to cure best results. Yeast ‘beer diseases’ in the 1880s was basically not well understood prior to this with many brewers historically describing the fermentation process as the ‘Breath of God’ (a miracle) rather than the work of energetic microbes (science). Pasteur and his famous microscope changed the brewing world. Since this discovery, brewers have largely focussed on clean yeast strains from the best laboratories. Sourness in beer became to be generally considered a flavour flaw. New Zealand was certainly no exception – in fact, our beer tended towards sweet rather than bitter, and certainly not sour. The country which continued

[ beer feature ] additions of fruit and barrel aging. to embrace, and indeed champion, sour beer For this limited edition beer, the was Belgium - the Land of Beer. Classic examples beer has been subjected to a include Rodenbach Grand Cru, and the range Chardonnay barrel aging to get of blended beers from Lambic (traditional the dry, peachy finish. wild fermented) breweries, such as Boon and Timmermans. Moa Sour Blanc (6.4% ABV) For a long time, these Belgian breweries Moa’s head brewer David were swimming against the popular tide of Nicholls utilises a combination crisp lagers and hoppy pale ales. However, of house-blend bacteria and they inspired a wave of sour beers primarily in wild yeasts to sour beers America in the early 2000s. The trend spread during the fermentation to New Zealand as this writer predicted as process. The beer is based early as 2013. One of the figureheads of on a traditional wheat the global sour beer renaissance is Vincent beer recipe and has been Cilurzo, owner and brewer at Russian River fermented in old oak wine barrels as its Brewing Company in California, USA. In the predecessors would have been for a book Oxford Companion of Beer he wrote: minimum of twelve months. “Think less “While a certain level and quality of acidity about hops and malt, and more about is widely considered desirable in wine, fruitiness, tartness, earthiness, and all often forming the backbone of flavour kinds of funkiness. A decent sour develops structure, acidity is usually considered more on the palate with each sip,” a flavour fault in modern beer. When Nicholls said. speaking of beer, the word ‘sour’ is usually pejorative. That said, there is a range of Garage Project Wabi Sabi older beer styles that are traditionally Sour (7.7% ABV) acidic, and together with modern variants When the Garage Project inspired by them, they have been termed, Moa Sour Blanc team themselves call the perhaps a bit rakishly, ‘sour beer.’ When beer “challenging and well made, they can be among the most interestingly different”, then there complex and refreshing of beers, terrific with food has to be something seriously and easily pushing the boundaries of what the funky happening in the bottle. modern drinker thinks of as ‘beer’.” They are probably the most He also notes the emergence of “what might adventurous brewers in the be termed ‘new world’ sour beers” which are land. I’m not sure whether to quite different to the traditional Belgian sours. The skyrocketing number of local sour beers kiss Wabi Sabi or hide under entered in the annual Brewers Guild of New the table until someone else Zealand Beer Awards is testament to this trend. drinks it. It is a strong golden As proof, the Malthouse bar in Wellington hosted beer which has been soured an annual event called Sourfest in April, which by multiple strains of semishowcased sour brews from no less than 15 wild yeasts and bacteria, New Zealand breweries. then conditioned on Yuzu Sour beers are not to everyone’s taste. (Japanese citrus fruit) and Garage Project Wabi Sabi Sour They are startling, terrifying and/or beguiling. honey dew melon. People hate them or absolutely love them – but the most important part is to simply try Fork & Brewer Tainted Love (6.2% ABV) them. At my beer tasting events, I tend to This beer, I kid you not, is a passionfruit and ask participants to try the sour beer all at juniper yoghurt sour beer. It will be available the same time. There is no science behind in bottles shortly and is surprisingly this. I just like watching the instant and quenching with notes of citrus, pine and a honest reactions which range from tart sour finish which may remind a brave outrage to rhapsody. Many people just drinker of a classic gin. really adore sour beer and they often are The title of this article was provided not traditional beer drinkers. by no less than the Bard himself, William Here are four of the best: Shakespeare. In his play Henry VI, the Hallertau Funkonnay (6.5% ABV) Shake himself did write: “Let me embrace Brewer Steve Plowman uses semi wild thee, sour adversity, for wise men say it yeast which he describes as ‘nice bugs’. is the wisest course.” He may have been He has long embraced sour beer, Hallertau Funkonnay onto something.

THEY ARE STARTLING, TERRIFYING AND/ OR BEGUILING. PEOPLE HATE THEM OR ABSOLUTELY LOVE THEM – BUT THE MOST IMPORTANT PART IS TO SIMPLY TRY THEM.”

FMCG BUSINESS: THE SHOUT - MAY 2018