FMCG - October 2017 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

October 2017 – Volume 4 – No 9

PLUS! EVENTS ■ ICE CREAMS & DESSERTS ■ WHAT’S HOT ■ NEW ZEALAND’S LARGEST FMCG AND LIQUOR AUDIENCE

contents

October 2017

Up Front

Events

Editor’s note

The Chocolate & Coﬀee Show

Industry news

Gear New technology for work, rest and play

NZ Chocolate Awards New Zealand’s top chocolates revealed

C&I Expo all wrapped up

Category Insights

Events Calendar

Ice Creams & Desserts

Sugar-free options

Social Sphere Industry members spotted out and about

The Shout

Regulars 12

Marketing

Milestones 5+ A Day celebrates 10 years

Editor’s note

Industry news and insights

Getting back to barrels Beer writer Neil Miller explores barrel aged beer

How package design attracts today’s wine consumer Nielsen U.S. explores how important labelling is for wine retailers and manufacturers

In Season Fresh produce in store

Cover story Meadows celebrates international cuisines

Buy NZ Made Getting BBQ-ready in a ﬂash

Health & Wellness Demand for vegetarian and organic food is increasing

Best wine buys on a budget Countdown Greenlane’s Liquor Specialist, Karan Patyal, shares his top 10 wine picks

Packaging Ahead of the pack

Fantastic sparkling wine options Tasting notes from Cameron Douglas MS

What’s Hot New products in store

Make it sparkling The lowdown on bubbles from The French Café’s Sommelier Stephanie Guth

Meet the winemaker

Good Business 32

Industry news

Export Bringing the fresh taste of NZ seafood to the world

Q&A CP Foods’ Head of Retail, Andrew Turner, reveals a new product launch

Legal advice Preparing to sell an FMCG business

FGC FIZZ under scrutiny

See the latest product launches in this issue.

FMCG BUSINESS - OCTOBER 2017

[ editorial ]

Fabulous producers and distributors

ne of the most enjoyable aspects of my job is talking to the producers, growers and distributors of the wonderful food we have available in New Zealand. This month we find out what’s new at Meadow Mushrooms (as seen on our cover), discover an exciting new product launch from CP Foods, check out fresh local produce and officially kick off BBQ season. A focus on quality and delivery is what gives Southern Clams its competitive edge, not only in New Zealand – where they’re sold in New World and Pak’n Save supermarkets – but in markets all over the globe. Roger Belton explains how he brings fresh local seafood to the rest of the world and shares his top tips for exporters on pg 34. If you’ve missed the amazing Chocolate & Coffee Show in Auckland, you can see some of the highlights on pg 38-39 and find out all about New Zealand’s first Chocolate Awards on pg 40. Spending a whole weekend surrounded by my favourite indulgences – coffee and chocolate – was sheer bliss and my foodie soul felt quite replete. Sweet treats are wonderful when enjoyed in moderation, but demand for zero and low-sugar products has clearly increased, so our team took a close look at this trend on pg 26-29. Also in this issue, FGC Chief Executive Katherine Rich shares her thoughts about a paper supporting a tax on sugary drinks for New Zealand. Local Brand Managers reveal what’s new in organic and vegetarian products – and we bring you the latest updates in the ice cream and frozen desserts categories. (Just imagine what we could do with the new, naturally pink chocolate, which may be introduced within the next year.) Please contact our friendly team to share your product launches and company news we’re here to help! You can also join our conversations on Facebook, Twitter and Instagram, and subscribe to our weekly e-news via www.fmcgbusiness.co.nz. 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

fmcgbusiness.co.nz

L E A D I N G

I N D U S T R Y

N E W S

October 2017 – Volume 4 – No 9

ON THE COVER Meadows is excited to announce the launch of their new international series mushroom prepacks - see pg 18 for all the details.

PLUS! EVENTS n ICE CREAMS & DESSERTS n WHAT’S HOT n NEW ZEALAND’S LARGEST FMCG AND LIQUOR AUDIENCE

FMCG BUSINESS IS PROUDLY ASSOCIATED WITH

FMCG BUSINESS - OCTOBER 2017

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 © 2017 - The Intermedia Group Ltd

TAKE TWO A DAY NEW

â&#x20AC;

2g of plant sterols daily lowers cholesterol within 4 weeks as part of a healthy diet low in saturated fat.

[ news ]

Brands need to adapt to cater for ageing consumers

The world population is ageing at unprecedented rates, which oﬀers huge opportunities for savvy FMCG marketers, says GlobalData. In its latest report, TrendSights Analysis: Ageing Populations, GlobalData, a recognized leader in providing business information and analytics, confirms that the world’s population is ageing at unprecedented rates. The number of people over 60 years of age will increase by 56%, from 900 million in 2015 to over 1.4 billion by 2030. The report highlights that FMCG brands will have to adapt to cater

for this age group – addressing the specific health concerns of older consumers while building consumer trust, all without making older consumers feel bad about their age. With high levels of disposable income this demographic will have a clear impact on FMCG brands particularly for companies in personal care, health, food, non-alcoholic and alcoholic drinks. The report also states that 44% of consumers aged 65 and over believe that that technology has a positive impact on their social lives; quelling a general misconception that older consumers do not use modern technology. The report also confirms that older consumers tend to seek products that provide health and wellness benefits. Trends show that 59% would trust a product containing natural ingredients, 36% would buy established brands and 30% will choose products oﬀering healthier ‘good-foryou’ ingredients. Older consumers spend their time quietly sitting around is another misconception, when in reality, 58% of consumers over the age of 65 exercise at least once a week presenting an opportunity for sports clothing and nutritional / supplement brands.

Emerging FMCG Leaders Over 100 young FMCG professionals attended the inaugural FMCG Emerging Leaders Forum at the Auckland Museum on Wednesday 20th of September. The event was the brainchild of the FGC Talent Working group in conjunction with EDGE Creative and was aimed at challenging and inspiring young leaders within the industry. Five topic areas were covered throughout the day with prominent business leaders featured as speakers. Christopher Luxton was the opening speaker, sharing his leadership journey within FMCG, having worked for many years internationally for Unilever. Pier Smulders from Alibaba then tackled the future of Retail, followed by Francis Valintine who introduced the audience to the workplace requirements of the future. Diversity Works lead a workshop in conjunction with CCA and ASB discussing the importance of Diversity in the workplace, which stimulated some great table discussions. Sam Hazeldine shared his success in building high performance teams and oﬀered some advice on the importance of culture. The final speaker session was Judy from 6

FMCG BUSINESS - OCTOBER 2017

MC Vicki Taylor from Smart Foods.

Inventium who provided five tools for improving innovation within the workplace. The day concluded with a CEO panel where delegates were given the opportunity to ask questions and discuss key topics. This was facilitated by MC Vicki Taylor from Smart Foods. FMCG Business was one of the sponsors of the FMCG Emerging Leaders Forum.

[ news ]

Meadow Fresh Goodness

Meghan Blair, Head of Consumer Engagement, Goodman Fielder NZ; Paul Metcalf, National Manager, Blind Foundation Guide Dogs and Sonia McConnachie, Director, Commando.

At Meadow Fresh, the team has always believed the more goodness the better. That’s why they took their Milk 4 Good truck on its Auckland Goodness Tour recently, visiting shopping malls, night markets and sports grounds, collecting money for charity, while sharing some Meadow Fresh Goodness. On the tour, the public gave a gold coin donation to either St John Northern Region, Starship Foundation, Blind Foundation Guide Dogs or Osteoporosis New Zealand and, in return, they received a 1L bottle of Meadow Fresh milk. The donation totals were: For Starship Foundation - $11,784.11 For Blind Foundation Guide Dogs, St John Northern Region and Osteoporosis causes - $10,000 each. That’s a grand total of $41,784.11 across the four charities and it’s Meadow Fresh’s way of giving goodness for goodness. Goodman Fielder’s Head of Dairy, Katherine Jensen is thrilled with the generosity of Aucklanders. “Everyone was so keen to be part of the tour and happy to be able to give to such good causes,” she says.

Look out for Pink Chocolate! Are you a lover of dark, white, or milk chocolate? Hold that thought - because pink chocolate is set to be the hottest new trend in confectionery! Barry Callebaut, the world’s largest cocoa processor, has come up with the first new natural colour for chocolate since Nestle started making bars of white chocolate more than 80 years ago. The new pink chocolate could be introduced into the market within the next six months. The chocolate has been named “Ruby” for its natural pink colour that doesn’t contain any extra colours of flavours to change the colour. The pinky colour comes from a powder that is extracted during the processing of beans that are grown in the Ivory Coast, Ecuador and Brazil. Barry Callebaut’s chief innovation and quality officer Peter Boone said the colour comes from the bean in its natural form. “It’s a dedication to years of research into the artisanal processes of making chocolate. But it was also luck that we found this potential in the bean 13 years ago,” he said. Boone also said the new creation will fit perfectly into the “hedonistic indulgence” trend of millennials. “It perfectly matches the food trends now, so I think the market will respond very positively to it.” He said he hoped that the pink chocolate would become as popular as the other varieties currently available.

[ news ]

‘Project Chilly Bin’ under way in Hornby Foodstuffs South Island has begun work on a new 28,551 square metre temperature-controlled distribution centre in Hornby. The first stage is expected to be complete by August 2018, with a final completion date of March 2019. “Our existing temperature-controlled facility is struggling to keep up with demand – particularly in peak trading periods,” Foodstuffs South Island CEO Steve Anderson says. “This new facility will increase our chiller capacity by 100% and our freezer capacity by 50%. For customers, that means we’ll be able to offer an expanded range of products. For our stores, it means they’ll get those products delivered daily - seven days a week. We’re investing in range and supply chain so that we can get products out to stores even faster,” he says. “After the recent expansion of our ambient distribution centre, this is the next logical progression for our supply chain in the South Island. “We’ll be able to sell a wider range of fresh products – that includes produce, seafood and meat. We’re investing in the South and making sure our customers are getting the freshest product possible. “This will be one of the biggest distribution centres in the country and will have some world class features. It will have four large chiller chambers and 16 dock doors. The design includes two 1000Kva generators that could keep the chilled and frozen areas running in the event of a power failure.

Foodstuﬀs South Island GM Supply Chain John Mullins, CEO Steve Anderson and GM Property & Retail Development Roger Davidson on site.

“We will be using a truck docking system developed in Belgium and widely used in warehouses throughout Europe and the USA. The site will have its own truck wash, weighbridge, automated pallet wrappers, fast-charging facility for forklift batteries and smart lighting.” “We’re really looking forward to oﬀering an improved working environment for our suppliers and staﬀ, as well as an expanded product range to our customers through our New World, PAK’nSAVE, Four Square, Raeward Fresh and Trents brands,” says Anderson.

POTATO SHORTAGE… NO PROBLEM • • • • •

Cooked with healthy oils (Hi Oleaic oil) No artificial flavours or colors Gluten Free and Non GMO No added MSG Tumeric is becoming a healthy talking point with several brands

SNACK WORLD IS EXCITED TO INTRODUCE UNIQUE PRODUCTS FOR A NEW MARKET Contact your DKSH New Zealand Limited representative for more information.

Nutella’s new Morning Mood jars roll out No matter what side of the bed you woke up on this morning, Nutella is on a mission to make you smile. Nutella has launched a new range of limited edition jars to New Zealand, each labelled with a diﬀerent morning mood. Whether you feel happy or grumpy, cheeky or fabulous, everyone can be a morning person with a fun Nutella jar to suit. Use a matching mood jar to create a delicious Nutella breakfast and smile knowing you’ve sparked a positive day ahead! The new limited edition jars are available in nine moods: Happy; Smiley; Awesome; Cheeky; Legendary; Fabulous; Inspired; Grumpy; Loved. The full Nutella range, including the new limited edition jars, is available in supermarkets nationwide.

MINI store with mighty prices A new prototype small format store has opened in Levin where The Write Price supermarket used to be. Its new bright yellow incarnation as PAK’nSAVE MINI opened on 13th of September and will offer around 2,500 key products in a revamped layout. A standard PAK’nSAVE big box retailer usually offers around 8,000 SKU’s. Gwen Bailey, owner-operator, says: “I’ve been in the grocery business since 2006 – it’s a family tradition, but now I’m getting the chance to do something entirely different. PAK’nSAVE MINI packs great value essential every day products into a smaller space at our renowned low, low prices in a store that’s been given a fresh new makeover. I look forward to hearing what they think.” Grocery retailing is going through an exciting time, says Doug Cochrane, GM Retail at Foodstuffs North Island. “There’s a real sweet spot out there at the moment where population growth and a change in shopper tastes for products and service at great value is putting pressure on companies like ours to move and adapt, at speed. We need to try new things and learn quickly. We’re trialling PAK’nSAVE MINI in Levin, which should give us a good indication of how the model might be received elsewhere in the country. “While some people may think 2,500 products is limiting customer choice, it’s a common format in other parts of the world. You’d be surprised to know that most of us tend to shop the same selection each week – branching out only when there’s a special occasion or a challenging recipe. The PAK’nSAVE MINI product range is carefully selected based on shopper insights and basket analysis where new stores like this one allow customers to pop in and out quickly as our lives get busier. It’s also a nimble model which can be tweaked on the fly without incurring additional costs,” adds Cochrane. “We’ll be watching day by day, making sure we’re satisfying customer demand all while driving our pricing down.”

ARE YOU UTILISING ALL THE SENSES THIS CHRISTMAS? Gain insights from our 2016 Energi Christmas Shopper Report to maximise your Christmas activity. Contact Lew at lew.bentley@energi.co.nz

Shopper marketing specialists since 1984

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FMCG BUSINESS - OCTOBER 2017

FMCG Magazine 1/3 PG Vertical Ad 57mm x 270mm Christmas 22/06/17 Shopper 11:20 AM 2.indd

[ gear ]

Sony A1

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

Sony’s newest TV drops LCD technology for the more vivid, brighter and colourful OLED tech that’s powering a growing number of TVs. Sony’s A1 is beautifully designed. Its near invisible screen bezel sees its gorgeous picture dominating. There’s also no visible stand. This sees the A1 set up like a photo frame, with its screen supported by a fold-out rear stand.

http://www.sony.co.nz/electronics/ televisions/a1-series

Aurora Nano Leaf Consisting of triangular, colour-changing LED light panels that are controllable with a smartphone or amazon’s echo, the Aurora Nanoleaf is an ingenious way of adding intelligent mood lighting to your home. The Auroa Nanoleaf tiles are unique. Each triangular tile can connect to other tiles to form a range of shapes. They’re able to display over 16.7 million colours and can be animated to add a shimmering forest canopy eﬀect or even a gentle sunrise to gently wake you in the mornings.

https://www.macgear.co.nz/products/nanoleaf-aurorasmarter-kit

Samsung Note 8 Samsung’s latest smartphone, the Note 8 smartphone picks up from last year’s fiery note 7. That said, it’s got a lot going for it. Twin 12MP rear cameras oﬀer better zoom and shoot detailed photos. It also sports the same edgeless screen as the hugely successful Galaxy S8+. Whipping out its S Pen stylus from a slot on the Note 8’s underside allows you to scribble notes, translate text or create works of art. The Note 8 also supports wireless charging, and has a water resistant design.

http://www.samsung.com/nz/smartphones/galaxynote8/

FMCG BUSINESS - OCTOBER 2017

[ gear ]

Oppo R11 Oppo’s latest smartphone, the R11 looks a lot like an iPhone 7 but its screen is both vibrant and bright. It sports two rear 20Mp/16MP cameras. These deliver stunning photos. The R11’s battery life delivers two full days of use. Better still, it also comes with a fast-charging system. Just 30 minutes of charging is enough to bring the R11’s battery up to 70%.

https://i.stuff.co.nz/technology/gadgets/96214598/ review-oppo-r11

Intel NUC Not so long ago the words PC conjured up images of ugly XXL sized beige boxes tucked away in a dark corner of the house. Intel’s NUC (Next Unit of Computing) is the polar opposite. The NUC is a cigar-box-sized PC that’s small enough to mount on the back of a TV or PC monitor. It packs enough processing power to act as a powerful media centre or productivity workhorse. Who said good things don’t come in small sizes?

https://i.stuff.co.nz/technology/gadgets/95746456/ building-a-media-pc-for-under-500

Sphero R2D2 Last year, Sphero made a big splash with the smartphone controlled BB-8, a realistic rendition of the super cute rolling droid from Star Wars: The Force Awakens. BB-8 is now one of the most wanted collectables by Star Wars fans everywhere. Just when you thought BB-8’s cuteness couldn’t be topped, Sphero launched a smartphone controlled R2-D2. Sphero’s R2-D2 is very detailed, all the way down to the various colour changing lights on its body. It can be driven around and its head swivels. A built-in speaker also sees R2-D2 making its trademarked bloopy blip noises. It also comes with a tonne of different moves built in - including falling over (as it did when captured by Jawas in the first movie). Sphero’s R2D2 Is the droid you’re looking for. http://www.sphero.com/ starwars/r2d2

FMCG BUSINESS - OCTOBER 2017

[ marketing ]

CONNECTION & CONTRAST

Marketing to Australian and New Zealand consumers

arketing teams strive to show how their smarts and silver deliver Return on Investment (ROI). And with incessant pressure on budgets, reaching consumers with messages that resonate remains a priority. Some global brands are looking for efficiencies by centralising marketing teams and exploring the merits of wider Pacific campaigns - so how alike are we to our Aussie neighbours and what are the differences to watch out for? Along with a passion for sport, Australia and New Zealand share similar demographics in terms of age and gender. More Aussies live in their own home, 65% compared to 60% in New Zealand and more Australians live in cities (65% vs. 55%). When it comes to ethnicity, we see more divergence: sevenin-10 Kiwis describe themselves as New Zealanders or NZ European; compared to eight-in-10 Australians born in Australia or of European descent. New Zealanders are twice as likely to speak a language other than English (29% vs.14%), driven largely by our Asian, Pacific Island and Maori populations. Kiwi households are also bigger, nearly a quarter (23%) have five or more people in the household compared to 15% in Australia.

Planning for the future Regarding consumer confidence and our finances, New Zealanders are a little more optimistic. Nearly a third of Australians say they find it hard to make ends meet (31%), compared to nearly a quarter of Kiwis (24%). More New Zealanders find it easy to deal with money matters (46% vs. 36%) and we are also more likely to say it’s essential to plan for the future (71 % vs. 61%). Our feeling of fiscal responsibility extends to bargain hunting; 73% of New Zealanders shop for specials and bargains while 55% of Australians say they tend to hold out for a sale. Consumers in both nations are increasingly health aware, but still regularly indulge in fast food. In New Zealand, Fish and Chips are the fast favourite takeaway meal, which, in comparison, is ranked fourth in Australia. 12

FMCG BUSINESS - OCTOBER 2017

Aussie consumers choose McDonalds, followed by KFC and Hungry Jacks (Burger King) ahead of the classic Kiwi treat. Both Aussies and Kiwis value our respective heritages, three quarters of New Zealanders think it’s important to celebrate our indigenous culture, while 67% agree in Australia. But across the ditch consumers make more of an effort to buy Australian made (60%) compared to 50% of Kiwis who purchase equivalent products as often as possible.

While there’s some shared history and good natured sporting passion between Australia and New Zealand, there are also some key differences in demographics, how we shop and our views. When it comes to putting consumers front and centre for new products, marketing messages and media planning, a ‘one size fits all’ approach requires finesse. Source: NZ: Nielsen Consumer and Media Insights Q1-Q4 2016 (All People 14+) Australia: Nielsen Consumer and Media View Q1-Q4 2016 (All People 14+)

NEW LOOK LIMITED EDITION DESIGNS

FOR MORE INFORMATION CONTACT YOUR NESTLÃ&#x2030; SALES REPRESENTATIVE

www.nescafe.co.nz

*Sensory research 2014

5+ A DAY CELEBRATES 10 YEARS

decade has passed since the 5+ A Day Charitable Trust was launched to help encourage us all to eat more fresh fruit and vegetables. The message is simple – eat at least five servings each day to help maintain good health – but one which requires ongoing promotion and education to ensure New Zealanders of all ages understand the importance of healthy eating. We’re fortunate to live in a country where fresh, delicious, seasonal produce is always available and the 5+ A Day Charitable Trust, with support from valued industry organisations, is proving to be an effective way to help increase consumption. The 5+ A Day logo now appears on over 600 packages and promotions while independent research shows 94% of household shoppers are aware of 5+ A Day (up from 82% in 2012). Around two-thirds 14

FMCG BUSINESS - OCTOBER 2017

of household shoppers with children eat at least two servings of fruit, and three or more servings of vegetables, per day. But there is still plenty of work to be done. According to a 2017 Ministry of Health survey, only 40% of the general population eat five or more servings a day (up from 36% in 2013).

Connecting with consumers The 5+ A Day Charitable Trust is focusing on a range of different initiatives to connect with people in schools, workplaces and online, to boost consumption even further. A dedicated education website (www.5adayeducation.org.nz) is well

[ milestones ]

THE 5+ A DAY LOGO NOW APPEARS ON OVER 600 PACKAGES AND PROMOTIONS.”

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

utilised by schools around the country and the ‘Growing and Learning with Fredge and 5+ A Day’ is the most widely used resource amongst Early Childhood Education providers. The consumer website (www.5aday. co.nz) provides recipes and nutritional information and hosts the new Workplace Wellness Hub, which large companies such as The Warehouse, Mitsubishi, health boards and city councils are encouraging their employees to use. 5+ A Day ambassadors Julia & Libby are highly effective, sharing key messages and healthy recipes with their 125,000 social media followers. The Kiwi sisters are part of the trust’s wider move to reach more people via digital platforms. 5+ A Day now regularly shares vibrant photos,

recipes, serving suggestions and fun facts on its own Facebook, Twitter, Instagram and Pinterest accounts, connecting with a huge audience nationwide. The trust sponsors Sticky TV, Stage Challenge, the National Secondary Schools Culinary Challenge, and a Football in Schools programme to reach a younger audience, and engages with United Fresh members through seasonal fruit and vegetable promotions and regular media releases. Ten years is a significant milestone but 5+ A Day continues to look to the future. It plans to focus on the workplace and education sectors, stay at the forefront of social media and develop more nutritional information for Kiwis to use.

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

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

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

www.convergencepartners.co.nz

[ fresh produce ]

Best in season

ctober is the month to enjoy new season asparagus, potatoes, mushrooms and fresh herbs. Basil, oregano, sage, thyme, chives, dill and Vietnamese mint are all now in season and supplies will be plentiful over the coming months. Globe artichokes are available from now until January and are becoming more popular with chefs and home cooks who are looking for more adventurous ingredients to try. Citrus fruit such as grapefruit and tangelos are a great source of Vitamin C and remain in good supply. The latter is sweet and juicy, has very few pips and is easy to peel. Meanwhile rhubarb is coming to the end of its season and provides a nice tart alternative for dessert. While most people think of rhubarb as a fruit, it is actually a vegetable which is native to China.

Artichokes Globe artichokes are considered a delicacy in Southern Europe where they have been grown for centuries. The immature flower bud is the part that is eaten. They can be boiled, baked, microwaved, roasted or steamed. What to look for: Choose Globe artichokes that have a fresh, bright colour and tightly closed firm leaves. Storage: Store in the refrigerator and handle with care as they can bruise easily. Nutrition: One artichoke will provide over half your daily Folate requirements and about 25% of your daily Vitamin C needs. They’re also a good source of dietary fibre.

Tangelos New Zealand tangelos are primarily grown in Gisborne and are available from now until December. The Seminole variety was first introduced here in the 1950s and is a hybrid of mandarin and grapefruit. What to look for: Look for tangelos that are dark orange in colour (almost red) to ensure they’re ripe and ready to eat. Storage: Store at room temperature. Nutrition: Tangelos provide 63% of the recommended percentage daily intake of Vitamin C for adults. 16

FMCG BUSINESS - OCTOBER 2017

Mushrooms Mushrooms are a versatile vegetable that can be eaten for breakfast, lunch and dinner. They’re available all year round and over 250 varieties exist – the most popular sold here are Button, Portobello, Shiitake, Oyster and Swiss Browns. What to look for: Button mushrooms are the most commonly consumed in New Zealand. They’re harvested while still small – once they open to a stage where the gills are visible they’re referred to as ‘cups’. Choose bright, white button mushrooms to maximise their storage life. Storage: Remove any plastic wrapping and store in the refrigerator inside a paper bag. Nutrition: Mushrooms have been used throughout history as medicine. They contain a wide variety of vitamins and minerals including Selenium, Phosphorus, Niacin, Riboflavin and Vitamin B6.

Asparagus Early season New Zealand asparagus is available now, with the main crop in store by November, with supplies tapering off again in January. The green variety remains the most popular here, although purple asparagus is becoming increasingly available. Overseas, consumers like white asparagus, which is grown out of the sun. What to look for: Fresh asparagus will sound ‘squeaky’ when rubbed – if it doesn’t make this sound, it’s not fresh. Storage: Store in the refrigerator and keep the cut ends covered in moist paper towels to prevent them from drying out.

Nutrition: Asparagus is a great source of Folate, Niacin, and Thiamin. It also contains a good amount of Vitamin B6, Vitamin C and Vitamin K. United Fresh New Zealand Incorporated support the 5+ A Day Charitable Trust. Visit www.5aday.co.nz for more fresh fruit and vegetable facts, storage information, nutrition information and recipes. 5+ A Day is also on social media: @5adaynz .

t n a i l l i r B . . . g n i g n a r r e m sum NEW

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With summer here, we are committed to driving our brilliant fresh range through shopper and category support pre Christmas. Waitoa free range proudly SPCA Blue Tick accredited and 'Only' free range. October

November

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proudly Blue Tick SALES OFFICE: P.O. Box 247 Te Aroha 3342, 624 Waihekau Road, Ngarua R.D. WAITOA. Free phone 0508 800 785

Free Range

[ cover story ]

MEADOWS CELEBRATES INTERNATIONAL CUISINES

eadows is excited to announce the launch of their new international series mushroom pre-packs. With a workforce comprising over 30 nationalities, in the spirit of acceptance and togetherness, they are celebrating New Zealand’s growing diversity with a new campaign highlighting that mushrooms are friends with all cuisines. The inspiration labels have become a defining feature of Meadows mushrooms and this season Meadows is Kick’n it with Korea, Mates with Mexico, Chums with China, and Friends with France. Their new labels feature Bibimbap, Taco, Dumpling and Galette and they have created a delectable new recipe for each cuisine to help inspire Kiwi kitchens (available on www.meadowsmushrooms. co.nz, Facebook and in Countdown stores). Their biodegradable punnets have also had a refresh and now feature messages highlighting key sustainability updates from the company, including - waste reduction, food bank donations and energy savings as the company continues to improve its carbon footprint. Plus they are encouraging consumers to recycle punnet film across the country, via the soft plastic recycling initiative they support (www.recycling.kiwi. nz/solutions/soft-plastics). 18

FMCG BUSINESS - OCTOBER 2017

THE NEW CAMPAIGN WILL HELP SHOPPERS BECOME MATES WITH MUSHROOMS AND DISCOVER A WHOLE WORLD OF POSSIBILITY.” Mexican Mushroom Tacos

Chinese Mushroom Dumplings

The international theme will continue into summer with four additional international labels and recipes launching to inspire mushroom lovers, families and cooks, so they can celebrate slow food, fast food, gluten free and gluttony, Lebanese, Chinese, American or Indian - whatever your taste mushrooms love every plate. Meadows Mushrooms love a delicious Chinese dumpling, they are happy in a creamy Italian pasta or a full English breakfast! The new campaign will help shoppers explore new uses for mushrooms and discover a whole world of possibility. The international series labels went live around the country in September including digital, street posters and in store messaging.

[ Buy NZ Made ]

Getting BBQ-ready in a flash

umour has it we’ve just endured the coldest winter since 2009, so if you’re finding yourself a little overexcited about the prospect of summer, you know why. And while we can’t speed up its actual arrival, we can at least indulge in some almost-instant summer food, thanks to Buy NZ Made licensees. Waitoa Free Range offers a selection of highquality chicken products that has seen them become one of the leading, premium free range chicken brands in the country. They carry the SPCA blue tick, meeting the growing consumer demand for animal welfare. And they meet the all-important taste and convenience test too, meaning customers can quickly rustle up something that will impress their family and guests. That could be as simple as serving up a few sizzling chicken sausages in bread, but for those customers looking to add something a little different to the mix, Waitoa also has a range of pre-prepared kebabs. The kebabs are available in four taste-bud tempting flavours (Satay Chicken, Honey & Soy, Honey & Rosemary, and Chipotle & Maple). And of course, customers can whip up any flavour they like by dicing up some of Waitoa’s chicken breasts or thighs and adding a quick, flavourful marinade. Side dishes are equally simple to cater for, with a quick trip to the frozen aisles for a few fresh frozen products, like Talleys’ hash browns or corn on the cob. Hash browns are a consistent crowd pleaser, no matter how demanding the crowd. Talley’s are

gluten free, vegetarian, and made from local spuds. This satisfies on many levels, including the hunger for locally owned and produced goods that are known to be exceptional quality. Grown in the sunshine-drenched, pure and fertile environment of the South Island, all of Talley’s vegetables are harvested and processed rapidly to preserve the flavour, colour and nutritional content and provide a ‘just picked’ experience. For produce such as corn on the cob, which would usually only be available from December, this means summer really can start early. Having such a wide range of high quality fresh and frozen produce year round makes it easy for your customers to enjoy a long-awaited BBQ, regardless of whether the sunshine’s arrived. So now’s the perfect time to start tempting them with high-quality New Zealand produce and get the best-ever summer season started early!

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

[ health & wellness ]

A GROWING TREND

Demand for vegetarian and organic food is increasing in New Zealand.

nterest in organics is on the rise. Ceres Organics research has shown that people generally understand organic to mean “food from nature, processed without artificial stuff.” Their next challenge is pushing understanding beyond this. Intensive use of synthetic chemicals and natural resources, in an attempt to globalise food, has adversely affected dozens of ecosystems, says the Ceres team. Organics is based on the use of renewable resources, growing things where they naturally grow best. In the case of quinoa, it’s a crop that grows in harmony with its local Andean ecosystem. That’s why Ceres Organics source their white quinoa from Peru. It’s relaunching this month, in a world first, triple layer, transparent, home compostable packet. Ceres Organics is taking organic to the next level, it’s a vegetation circle of life. Production & Packaging Manager at Ceres Organics, Nicola Brady, has been across the quinoa packaging project and is excited to now be composting the pouch, seeing the breakdown with her own eyes. “Leading the charge of more environmentally friendly options for food is extremely important to us. We’ve got a long way to go, but we’re stoked to reach this milestone step in the journey.” 20

FMCG BUSINESS - OCTOBER 2017

Their white quinoa is also certified EcoSocial. More than just your standard fair trade certification, it originates from the biodynamic movement, and promotes ethical trade by integrating organic, economic, social and environmental criteria into a single verification programme - this too is at the heart of organics. Also on the rise is plant-based eating. Roy Morgan Research (2016) found the proportion of Kiwis who say the food they eat is all, or almost all, vegetarian has grown 27% since 2011. Ceres Organics realised just how popular this style of eating was when they launched their vegan Mayonnaise. “Our stock disappeared almost overnight, we knew we were filling a gap in the market but it completely outperformed our expectations,” says NPD Manager Marianne Weber. Ceres Organics have been sure to orderup on their new vegan Garlic Aioli launching in October – the perfect summer accompaniment.

ORGANICS IS BASED ON THE USE OF RENEWABLE RESOURCES.”

[ packaging ]

Ahead of the pack

e’ve reached a turning point in how we shop and what consumers expect when it comes to sustainable packaging and practices. We’re seeing more customers demand that the packaging around their food is as considered as the ingredients. And as packaging specialists, we’re thrilled to see some of our clients not only respond to this demand, but actually lead the way. GoodFor wholefoods refillery was a response to growing global awareness around environmental degradation and urgent plastic waste issues. It offers organic bulk food and household items with zero packaging. Marx Design has partnered with GoodFor since the start to tell their story and build a successful modern brand. MD James Denton says the consumer response has been overwhelmingly good, with more than 24,000 customers in the first six months. “People feel a sense of purpose when they shop with us, where a task

as simple as grocery shopping helps them contribute to the clean-up and preservation of our environment.” Ceres Organics Ryan Marx, Director has long been a Marx Design leader in organically, sustainably grown and ethically sourced foods. We worked with them on designing graphics for a world first, transparent, triple layer, home compostable ‘EconicClear’ pouch for their white quinoa. The pouch is the first of a range of more sustainable packaging options the company is developing. Another client, The True Honey Co. bottles its super premium Manuka honey in glass, and couriers jars directly to customers. To forgo bubble wrap or polystyrene, we collaborated with Think Packaging to create an FSC Certified cardboard shipping box, that also

unrolls to provide a spectacular reveal. Here are four ways brand owners can successfully answer consumer demand for sustainable packaging: 1. Talk to the experts. A smart packaging agency will be up with consumer and packaging trends and can recommend options that will boost shelf presence while reducing environmental impact and translating ethical values into packaging practice. 2. Think laterally. Could your packaging be reusable, compostable or more easily recyclable? Could you offer product refills that minimise waste? 3. Ask your customers. What would they like to see from your packaging? And how can you make it easy for customers to reuse, compost or recycle your packaging. 4. Share your journey. By communicating positive changes to packaging, you demonstrate responsible corporate leadership and encourage consumer engagement.

Good things in great packages

For a good time call Ryan Marx 021 683 040 ryan@marxdesign.co.nz

marxdesign.co.nz

FMCG BUSINESS - OCTOBER 2017

[ category insights ]

COOL DELIGHTS

Discover what’s driving sales in ice creams and frozen desserts.

n 2001, oob organic sold its first punnet of fresh blueberries from its Omaha orchard. Fast-forward 16 years and oob now produces a range of organic fruit and ice cream, distributed both locally and offshore. Providing New Zealand consumers with the world’s best certified organic ice cream, the oob organic team ensure each and every flavour is made with premium ingredients, delivering delicious, quality products to supermarkets nationwide. “Our oob crew is 100% committed to premium products, made the right way. We produce delicious organic ice cream made with sustainable farming practices, honest ingredients and an organic certification we receive from an external organization,” Erik Tams, Sales and Marketing Manager of oob organic, says. Proven to be a favourite flavour year round, oob organic’s peppermint chip is made with creamy organic New Zealand milk, crisp mint freshness and just the right amount of organic chocolate chips.

oob organic’s peppermint chip ice cream range is available in three sizes, including 120ml, 470ml and 850ml containers. The 120ml individual servings are the perfect size to take on-the-go (includes a spoon) on a summer’s day, with the larger sized 470ml and 850ml suited for sharing with family and friends. “We recognise the demand for quality organic products, and particularity noticed a trend towards wellness and people wanting to purchase products that are portion controlled, better for you and better for the planet,” adds Tams. As oob organic grows, so has their range. Available to purchase in supermarkets around New Zealand, oob offers 12 different flavours of certified organic ice cream and sorbet. To check out oob organic’s full ice cream range, visit oob.organic/.

OOB OFFERS 12 DIFFERENT FLAVOURS OF CERTIFIED ORGANIC ICE CREAM AND SORBET.”

Iconic ice creams for kids In September 2016 House of Fine Foods Limited launched licensed multi-packed ice cream take home packs suited for the grocery sector. They are FMCG BUSINESS - OCTOBER 2017

[ category insights ] entering this market with three iconic licenses: Star Wars, Peppa Pig and Thomas the Tank Engine. House of Fine Foods have worked with Park Avenue, an Australianbased company, for a number of years, bringing a range of licensed products into the grocery sector in NZ, “so we were really excited by the prospect of entering the Family Pack Ice Cream sector,” says Brett Tibbotts CEO of House of Fine Foods Ltd. Park Avenue Frozen Dessert Treats are manufactured in a state-ofthe-art factory in Europe, which can form the ice cream to a recognisable shape associated with wellknown brands. This gives the ice cream a real point of difference offering parents a great opportunity to treat their kids to a 60ml portioncontrolled, on-trend licensed character that they will love. “Great standout packaging will enhance the freezer space and really talks to consumers,” says Tibbotts. “Fast forward to summer 2017 and license options give instant consumer awareness, leveraging the brand power of Paw Patrol, Peppa Pig and Despicable Me. These instantly recognised brands are sure to keep children happy all summer long.” For further information please contact sales@houseff.co.nz or call 0800 10 1046.

Frozen Desserts Aunt Betty’s steamed puddings have been loved in NZ for over 20 years and remain as New Zealand’s favourite steamed puddings, says Marketing Manager Kylie Jillings. “Our single serve steamed puddings are market leaders in shelf stable puddings, with new product development including gluten free options – so everyone can enjoy Aunt Betty’s puddings. Aunt Betty’s is now bringing consumers a family sharing option – beautifully steamed family size puddings covered in deliciously decadent sauces. Aunt Betty’s new Self Saucing Puddings are made to share and come in two flavours: Heavenly Chocolate and Sticky Maple. Find them in the Freezer now!”

AUNT BETTY’S STEAMED PUDDINGS HAVE BEEN LOVED IN NZ FOR OVER 20 YEARS.” MARKETING MANAGER KYLIE JILLINGS

NIELSEN DATA Total Supermarkets - CURRENT MAT to MAT to 10/09/2017 Val Sales

Val % Chg YA

Frozen Desserts

$28,935,671

3.0%

Frozen Dairy Desserts

$14,036,736

4.8%

Frozen Pastry Desserts

$11,524,929

2.6%

Frozen/Chilled Cakes

$1,847,850

-6.4%

Frozen Fruit Juices

$1,280,977

0.7%

Cookie Batters

$245,180

6.2%

Total Ice Cream

$188,585,184

1.3%

Ice Cream - Family Packs

$79,066,428

0.3%

Ice Cream - Take Home Standard

$72,674,922

0.1%

Ice Cream - Take Home Premium

$24,262,495

8.0%

Ice Cream - Novelty/Singles

$7,333,672

-2.4%

Ice Cream - Take Home Health Based

$5,247,623

11.3%

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. 24

FMCG BUSINESS - OCTOBER 2017

Sweeten up your frozen dessert sales

AMIL

auntbettys.co.nz

500g

Si e Z

Introducing two NEW delightful frozen puddings, made to share with the whole family!

Beautifully baked and covered in deliciously decadent sauce. Just irresistible served with Vanilla Ice Cream or freshly whipped Cream.

SUGAR-FREE OPTIONS 26

FMCG BUSINESS - OCTOBER 2017

[ category insights ]

iabetes New Zealand was the beneficiary of the Grocery Charity Ball this year, Chef Simon Gault discussed his personal challenges with the disorder in his latest TV Show, and the next event raising diabetes awareness will be Diabetes Action Month in November. The increasing incidence of Diabetes in New Zealand, as well as a general interest in healthy food and beverage options, has created demand for more sugar-free and low sugar products. The FMCG Business team decided to find out more about this trend. Ray Nicholls of CH’I beverages says the challenge for all food and drink producers is that sugar is a very effective ingredient - it is relatively low cost, it has universal taste appeal, and it enhances a wide range of flavours. Finding a low-calorie replacement that does all these is difficult. New Zealand owned CH’I Drinks have been a pioneer in producing sugar free drinks free from synthetic sweeteners and ingredients. Within a year of the launch of the original CH’I herbal drink in 1987, the company was working on a diet version.

Chef Simon Gault revealed his personal challenges with diabetes in a TV Show recently.

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

• • • • •

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

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

[ category insights ] Sugar-free treats

MENTOS SUGAR FREE GUM AND MINTS OPTIONS ARE GREAT FOR THE HEALTHCONSCIOUS PERSON.”

Refusing to use the synthetic sugar replacers available at the time, CH’I learned about the unique sweetness of Stevia leaf and attempted to have it classified as a permitted ingredient in New Zealand. Unfortunately, a letter to the Minister of Health in 1988 expressing the company’s concerns about sugar and potential issues with its use, and requesting approval to use the plant-based Stevia sweetener, fell on deaf ears. The company had to wait another 20 years before Stevia became officially accepted in New Zealand. With Stevia’s acceptance in western countries in 2008, CH’I finalised their naturally sweetened sugar free CH’I product. Since its release in 2011, CH’I Sugar Free has established a loyal following with Diabetics and other consumers making better choices. Nicholls says sugar usage at CH’I has halved over the last five years. The company is now working with the stevia skills gained over three decades to bring consumers a wider range of naturally sugar free drinks.

NIELSEN DATA Total Supermarkets - CURRENT MAT to 03/09/2017 Val Sales

Val % Chg YA

Total Beverages (excl. Water)

$625,907,006

-0.3%

Regular

$489,189,857

-0.9%

No Calorie/Low Calorie

$136,717,148

1.9%

Mentos offers choice for those looking for a sugar-free treat with a range of sugar free gum and mints available in all supermarkets. Steven Young, Senior Client Manager, DKSH New Zealand Limited explains: “Mentos Pure Fresh gum is not only sugar free, but also contains green tea extract for pure breath confidence. Pure Fresh is available in Spearmint, Fresh Mint, Lime Mint and Strawberry Mint flavours. There is also Pure White Bubble Fresh to help keep your teeth naturally white. Pure Fresh gum is the only gum available in the convenient tin format.” Adding to the Mentos Pure Fresh sugar free gum portfolio, Mentos Spearmint and Fresh Mint gum are now available in the larger bottle format. “These are great for various consumption occasions from sharing to keeping one in the home, car or office. The bottle format is driving the growth in gum, and 57% of gum sales are for pack sizes greater than singles (IRi MarketEdge MAT to 13/08/17) so Mentos gum bottles will help drive increased basket spend and investment in the gum category,” says Young. Consumers looking for a zero-sugar treat that’s big on flavour have an option available to them with Mentos NOWmints. “Zero sugar Mentos NOWmints combine the benefits of mouth freshness and great tasting flavours, and are available in Fresh Mint, Spearmint, Strawberry and Watermelon. The unique and convenient slim line tin will fit perfectly in pockets, handbags, desk drawers and car consoles and is an excellent option when you need a burst of freshness,” says Young. These Mentos sugar free gum and mints options are great for the health-conscious person and can help with the management of diabetes.

Werther’s Original With the ongoing demand to reduce added sugars and create indulgent experiences, Werther’s Original No Sugar Added offers a delicious caramel candy with less than 0.1g of sugar per serving. This flavoursome product is available in a family bag and a flip top box for on the go convenience. The iconic caramel candies brand has a diverse range that offers something for everybody with Classic Cream, Éclair, Caramel Crème, Soft Chocolate Caramel, Caramel Chews as well as No Sugar Added, says Alana Parry, Senior Client Manager at DKSH New Zealand Limited.

FMCG BUSINESS - OCTOBER 2017

Drive your GUM sales ÂŽ with Mentos Pure Fresh The bottle format is the biggest driver of growth within the Gum Category*

freshness now bottled

new

Increase basket spend and average weight of purchase 59% of shoppers would add to their current confectionery purchase - strong incrementality^

*IRi MarketEdge MAT Data to 13/08/17 ^Harvest Insights Research 2016

NEW

PURE FRESH BOTTLES

Contact your DKSH New Zealand Limited representative for more information.

Introducing NESCAFÉ’s first seasonalinspired flavoured coffee mix! NESCAFÉ’s special edition flavours are well known for attracting new users to the growing, high basket value flavoured coffee mixes segment. NEW Toffee Nut Latte will take this to the next level, with NESCAFÉ launching this seasonal-inspired flavour in time for Christmas when indulgence and sharing occasions in home are heightened. Ranking #4 for flavour in the NESCAFÉ range when it launched in the UK (qtr ending Dec 16), this is not one to be missed! For more information please contact your Nestlé Representative.

Sujon adds new Berry Veg mix NZ’s Original Berry Company, Sujon Berryfruits, are adding real innovation to their already popular range with a new Berry Veg mix variant. An amazing mix of boysenberries, blueberries, raspberries + iron-rich spinach. Naturally gluten free with absolutely no added sugar. For more information on our product range visit www.sujon.co.nz

Park Avenue licensed multipacked ice cream Leveraging the power of brands such as Peppa Pig, Despicable Me & Paw Patrol, our character shape dessert treats are sure to be loved by all. Conveniently packed six to a box and available in three delicious flavours: Peppa Pig = Strawberry, Despicable Me = Banana and Paw Patrol = Chocolate. For more information contact House of Fine Foods 09 410 1066 or email sales@houseff.co.nz

A new breed of hotdog

Introducing Kiri – NZ’s ﬁrst Greek style spreadable cream

Howler Hotdogs are a new breed of hotdog. They’ll evoke all the memories of a day at the A&P Show, but be prepared for a twist on this old time favourite with the ‘kiwi as’ Mitee Dog With Cheese (called this because we’re not allowed to divulge which of your favourite breakfast spreads we use), Peri Peri Chicken and a Gluten Free Hotdog that everyone will enjoy. Contact the Howler Sales Team On 021 2266469 or topdog@howlerhotdogs.co.nz

Kiri - one of New Zealand’s fastestgrowing cream cheese brands - is delighted to announce the launch of two exciting new cream cheese products, available in convenient snacking-sized tubs. Made with fresh cream, milk (& yoghurt for Greek style), Kiri is deliciously creamy and easy to spread. It delivers a superior experience in taste and texture – fresh, light in the mouth and clean on the palate. For more information please contact Hutchinsons 0800 555 258

FMCG BUSINESS - OCTOBER 2017

[ what’s hot ]

Product of Thailand

ABE’S Bagel Bakery’s new bagel crisp

New Zealand’s leading Sweet Chilli sauce range now looks as authentic as the sauce itself. Trident’s range of sauces are all made in Thailand with locally sourced ingredients for a truly authentic taste of Thailand. Trident Sweet Chilli sauces are available in Original, Ginger, Hot and Lime variants, also available is an authentic Sriracha hot sauce. www.tridentfoods.co.nz

ABE’S Bagel Bakery has collaborated with SUN-MAID to create a new favourite bagel crisp - Cinnamon & Raisin! Available in a 150g sized pack, it’s the perfect size to sweeten up your afternoon snack. For more information contact ABE’S Bagel Bakery. 09 527 3736 www.abes.co.nz

Mushrooms for everyone Meadows new international pre-pack series bring Mexico, China, France and Korea together with inspiration labels to help Kiwi cooks get ‘mushroom-inspired’. Feature recipes include a Chilli Chicken, Snow pea and Mushroom Bibimbap, Portobello & Black Bean Tacos with Smoked Cheese and Coriander Queso and Black Sesame Beef Dumplings with Mushrooms & Shallots plus a divine mushroom galette. For more info visit meadowsmushrooms.co.nz or call 0800 687 476

New Weet-Bix™ Cholesterol Lowering New Zealand’s No. 1 breakfast cereal, introduces Weet-Bix™ Cholesterol Lowering, the first cereal product in the country with 2 grams of plant sterols per serve, clinically proven to reduce LDL (bad) cholesterol by up to 9% in four weeks when consumed daily as part of a healthy diet low in saturated fat. Visit www.sanitarium.co.nz or contact 0800 100 257 for more information

Dairy free taste sensation It’s rare that something tasting so good is free from so much – dairy, gluten, soy and added sugar! The Coconut Collaborative yoghurts are proudly a vegan, made from a base of coconut cream and coconut water, it’s bursting with coconutty goodness. Give your tummy some love with The Coconut Collaborative! For more information, email CSTeam@hansells.com or phone 09 579 7199 or visit Facebook.com/coconutconz FMCG BUSINESS - OCTOBER 2017

[ good business ]

Introducing Weet-Bix™ Cholesterol Lowering Breakfast Cereal

first of its kind in the breakfast aisle in New Zealand, Sanitarium Weet-BixTM brings you a proven way to manage cholesterol and contribute to supporting the heart health of New Zealanders alongside a healthy diet and lifestyle. Rob Scoines, GM of Sanitarium New Zealand, says the company is dedicated to improving Kiwi lives through better nutrition. “We know that maintaining good heart health is one of the most important considerations for making a significant and positive impact on the long term wellbeing of New Zealanders. We are committed to investing in innovative food solutions which will make a real difference in the lives of thousands of Kiwis managing their cholesterol. Weet-Bix™ Cholesterol Lowering is a convenient way for consumers to effectively take charge of their heart health,” he says. Cholesterol is a wax-like substance that is produced in the body by all cells. It is an essential building block in the human body and plays a key role in many metabolic processes, including maintaining cells and production of hormones. There are two types of cholesterol:

FMCG BUSINESS - OCTOBER 2017

1. LDL or “Bad” cholesterol which causes narrowing of the blood vessels when it is high. 2. HDL or “Good” cholesterol that works to clear cholesterol from cells. If there is too much cholesterol in the blood, it can build up in the walls of our arteries causing narrowing blood vessels and impacting heart health. How does it work? Weet-Bix™ Cholesterol Lowering helps lower cholesterol by the action of added plant sterols. Just 2 grams of plant sterols consumed on a daily basis is proven to lower cholesterol by up to 9%†. But the amount of plant sterols naturally occurring (not fortified) in plant foods is very small. For example, to get 2 grams of plant sterols from kiwifruit, you would need to consume 500kg! Sanitarium conducted a trial with Dr Peter Clifton, Professor of Nutrition at the University of South Australia that showed

by eating two Weet-Bix™ Cholesterol Lowering biscuits a day, it effectively reduced cholesterol by up to 9%† within 4 weeks. So by consuming just two Weet-Bix™ Cholesterol Lowering biscuits every day, you receive the 2 grams of plant sterols in a concentrated form, an effective, easy and nutritious food for people wanting to manage their cholesterol. Weet-Bix™ Cholesterol Lowering at a Glance • Reduces cholesterol by up to 9%† in four weeks (clinically proven) • Contains 2 grams of plant sterols per serve (two Weet-Bix™ Cholesterol Lowering biscuits) • Only food product in New Zealand to contain 2 grams of plant sterols per serve • Same great taste as the Weet-Bix™ New Zealanders know and enjoy • Low in sugar and saturated fat, very high in wholegrain Sanitarium are proud to bring Weet-Bix™ Cholesterol Lowering breakfast cereal to the New Zealand market, and have exclusivity on using plant sterols in breakfast cereals for 12 months. For more information view our website www.sanitarium.co.nz. †2 grams of plant sterols daily lowers cholesterol within 4 weeks as part of a healthy diet low in saturated fat.

Soft Plastic Recycling Programme expands

gsd 4U MERCHANDISING SOLUTIONS

(L to R) Aaron Murray, Kate Porter, Penny Hardaker, Leon Jarden, Sue Carrington, and Ronnie Saini.

Customers across the South Island can now recycle their soft plastics while they pop in for their weekly shop at any Countdown supermarket. All 38 Countdown stores from Blenheim to Invercargill have joined the Soft Plastic Recycling Programme, including Nelson, with the rest of the South Island launching in the coming weeks. The programme is a consumer recycling initiative that enables customers to recycle a range of soft plastic packaging such as empty bread and frozen food bags and plastic shopping bags which have previously gone to landfill. The South Island wide launch of the programme was made possible through the support of Countdown’s logistics partners, who will transport the collected plastics back to a central distribution hub in Christchurch. Countdown General Manager Corporate Affairs, James Walker, says Countdown is thrilled to extend the programme to the wider South Island for customers to get behind. “This is a big step forward for the Soft Plastics Programme, bringing on board all of our stores in the South Island means more of our customers will now have the ability to reduce the amount of waste going to landfill. The great thing about this programme is that it includes manufacturers, distributors and consumers, everyone involved in the lifecycle of plastic bags.” Lyn Mayes, Project Manager of the Soft Plastics Recycling Programme said the South Island roll out of the programme meant that the initiative now reaches over 70% of New Zealanders. When the programme was first introduced the goal was to reach 70% of the country within three years. This has now been achieved in less than two years. Mayes said: “The ability of the retailers to transport the collected materials means we have been able to expand to regions such as Marlborough and Nelson, which would otherwise be too expensive to service. New World, PAK’nSAVE and Countdown stores will all commence the service this month.”

M: 027 473 4811 E: gsd4uoffice@xtra.co.nz

www.gsd4u.co.nz

Get in touch with us

[ export ]

Bringing the fresh taste of NZ seafood to the world

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

UNDERSTAND WHAT THE MARKET NEEDS AND WANTS.”

t was while he was overseas that Roger Belton first had the spark of an idea that led to what is now a thriving New Zealand seafood business – Southern Clams Ltd. “Back then – in the 1980’s - I perceived that there were a lot of high end food products in New Zealand that if developed, would have value elsewhere in the world. “The natural resources were the easiest to focus on rather than complicated things such as cheeses. So I started with what New Zealanders call cockles – known elsewhere as clams. I believed these would work because I had seen them in North American and European markets and restaurants, where they had a high value placed on them.” On returning to New Zealand, Belton could see there was lots of untapped potential and set about focusing on the higher end restaurant trade. “Targeting niche markets meant I could avoid being in a sea of commodities where price is king.” He found that niche markets are different according to different cultures, so has focused on being responsive to those niches. “I do make a point of trying to visit most clients at least once a year – which means a lot of travel. There’s always a fairly long chain between the production of a product and the consumer – and a lot of valuable information can get lost in transmission. If there are five or six different parties in the chain, as a producer it’s really important that you can cut through that and have more direct

FMCG BUSINESS - OCTOBER 2017

contact with the consumer. While I don’t usually have contact with the consumer eating the seafood, I do with the people who are selling them the shellfish – the retailers and restaurants.” As all exporters know, when starting out, it’s imperative you find an import agent who is the best channel for the products you want to find a market for. Belton found selecting the best channel to be particularly difficult in China. Here are Belton’s top tips: • Spend some time on the terrain, learn as much as possible about the culture and the systems. This is a lot easier in a European context than an Asian context – especially when it comes to food products, because the values assigned to foods are very much tied to the cultural context. So if you don’t understand that cultural context, it’s going to be very difficult to put your product in the optimum position. • Find a good agent – I started by providing product to New Zealand exporters who already had the channels open. As demand grew, we had direct approaches from buyers in the countries we were exporting to. Then we developed a direct export to those markets and ended up forming a subsidiary company that focuses exclusively on exporting seafood to niche markets in North America, the UK and Asia. • Understand what the market needs and wants. If you can satisfy that demand, and respect the requirements that may not be explicit, and service that demand, then in a sense one doesn’t have to do any marketing because you’re offering the complete delivery of a product for which there is a strong demand. Overall, a focus on quality and delivery is what Roger believes gives Southern Clams its competitive edge, not only in New Zealand – where they’re sold in New World and Pak’n Save supermarkets, restaurants and wholesalers – but in markets all over the globe. “We’re focused on developing channels that work for delivery of a live, highly perishable product,” says Belton. “We guarantee at least a week’s shelf life on delivery anywhere in the world.”

[ Q&A ]

Authentic Asia Duck range arrives in NZ FMCG Business caught up with Andrew Turner, CP Foods’ Head of Retail, Australia, New Zealand & Pacific Islands (Oceania), to find out more about an exciting new product launch

Please tell us about CP Foods and their relationship with House of Fine Foods. In early 2015, CP Foods made a strategic decision to enter the New Zealand Retail market with the Authentic Asia Range. As we are based in Australia, we needed a trusted partner on the ground in New Zealand who had proven retail relationships with Foodstuffs and Progressive, to assist us in penetrating into the seafood and ready meal categories. House of Fine Foods had come highly recommended as they already had long standing relationships with many major FMCG companies, and it was a perfect fit for our business. House of Fine Foods, with their extensive field sales and marketing team, allows us to get buy in at store level across both major brands. We have only recently entered the New Zealand Market after successfully ranging our Authentic Asia brand in the Australian market since 2008, with our Authentic Asia Soups now being sold through Foodstuffs.

Do you have new product launches planned for New Zealand this year? New Zealand has one of the strictest bio-security regulations and conditions in the world. CP Foods, was the first company globally to be approved to export Duck into New Zealand…A world first! So yes, we are very excited about expanding the presence of the Authentic Asia brand with our Retail Fully Cooked Duck lines. We will be launching with Foodstuffs (North and South Island) in late October / early November with three SKUs – Slow Cooked Duck Legs, Aromatic Peking Duck Pancake Kit, and Aromatic Peking ½ Duck. What are the biggest trends in the FMCG industry at the moment? Premiumisation is the big trend in the freezer space at the moment. The days of buying low quality ‘TV Dinners’ are well and truly gone. We are seeing more bespoke ingredients being used in these freezer meals, and the flavours and tastes of these meals reflect a more

diverse ethnic background than they ever have. Pricing in this category remains as competitive as ever, but the manufacturers have certainly lifted their game in regard to their offers. This trend has been in the Australian market for about two years now, and we are starting to see this in the New Zealand market as well. What is your company’s point of difference? Although CP Foods is Asia’s largest food company, we still have a family business mentality of being humble and open. What sets us apart is our dedication towards foods safety, sustainability throughout the whole supply chain, caring for the environment and giving back to the community. Of course making great products is important, but our focus has always been Food safety/Sustainability/Environment and community/charitable programmes. Our company has the following philosophy, or what we call our ‘3-Benefits’: What we do must always benefit; the country, the people and then the company, in this order. In regards to the great products we make, authenticity is what sets us apart from our competitors – All of our Authentic Asia products are prepared in Thailand to the highest standards. Traditional ingredients and cooking techniques allow us to offer a product range that really captures the essence of the “out of country” experience, at home. With over 20% of New Zealanders being from Asian heritage, and the fact that 200,000 New Zealanders visit Thailand every year we know New Zealand consumers are savvy when it comes to what types of flavours to expect from our products, and we know these products deliver! FMCG BUSINESS - OCTOBER 2017

[ legal advice ]

T Tony Steindle, Director Tony Steindle is a director of Steindle Williams Legal. He works in the areas of commercial and property law including structuring and dispute resolution.

REMEMBER THAT THE VALUE OF PLANT AND EQUIPMENT CAN HAVE TAX IMPLICATIONS.”

Preparing to sell an FMCG business

he FMCG businesses we deal with when assisting with the sales process are usually a dairy, superette, or supermarket. Often a lawyer gets involved at the time the purchaser is doing their due diligence on a business. That is when an FMCG business is subject to scrutiny by the lawyer or accountant for a purchaser. Being prepared well before selling makes the sale process smoother, and maximises the sale price. Our top tips for preparing an FMCG business for sale include: • The Lease: Make sure your lease has a lengthy term remaining. Businesses like this are locality based and having a number of rights to renew the lease gives the purchaser confidence to pay more in goodwill. It is better to negotiate further rights to renew the lease, rather than ask for them when the landlord’s consent is needed to sell the business; • Food Act: Make sure your business is registered, and meets all Council requirements; • Liquor: Do you have a current liquor licence? Is it coming up for renewal? • Lotto and NZ Post: Do you have a current signed agreement with the Lotteries Commission for both Lotto and Instant Kiwi, and with NZ Post for postal services? What is the term remaining on those licenses/ franchises? • Plant and Equipment: Is your list of plant and equipment up to date? Often a prior financial year set of accounts are used with out of date information. Remember that the value of plant and equipment can have tax implications; • Franchise: If you are operating under a franchise, check that your agreement has a long

FMCG BUSINESS - OCTOBER 2017

term remaining on it. A franchise name may be an important selling feature, so engage with the franchisor early in the process of selling; • Registered Charges: When you buy products the sellers of those products will register a charge on the Personal Property Securities Register (PPSR). Get an up to date search of the PPSR and make sure all old charges have been removed. Often this becomes a sticking point at settlement so it is better to deal with the issue early on; • Key Employee: If you have a key employee needed, and you do not work in the business, think about engaging with them in relation to the sale process as they may be very important for a purchaser; • Management Accounts: Many small businesses will run expenses through the business which may be more of a personal nature such a lease of a luxury car. Think about moving unnecessary expenses out of the business, as they can diminish business profit; • Stock: The standard agreement for the sale of a business will estimate the level of stock and have a process to adjust stock payments at settlement. For that reason, keep the level of stock at normal levels; and • Get Financial Advice: Don’t just talk about the business sale with a business broker. Your accountant will know your business better than you think. Ask your accountant what the business is worth and how to present the business for sale. It is better to invest time in preparing a business for sale, than negotiating on the day the agreement is going to go unconditional, or even worse, on the day of settlement

[ FGC ]

FIZZ under scrutiny

group of academics who are part of a “Bottled water and zero sugar alternatives global network of sugar-tax campaigners becoming cheaper by comparison” has published a paper supporting a This didn’t happen in Mexico. Nielsen sales tax on sugary drinks for New Zealand. The information shows that after the tax, as before it, important-sounding New Zealand Beverage sugar-sweetened beverages have been consistently Guidance Panel is part of a wider initiative cheaper than low-cal by a significant margin. The called Fight Sugar in Soft Drinks, or FIZZ tax doesn’t send any price signal to consumers (which should really be FISS, but no one seems except by way of making all beverages – to mind). including water – more expensive. In the paper, they claim the introduction “Incentivising industry to reformulate their of such a tax “is likely to have a number of products reducing sugar content to avoid benefits,” including: the tax” • increased cost of sugary drinks This has been happening for 30 years. The • bottled water and zero sugar alternatives reformulation of sugar-sweetened sodas by the becoming cheaper by comparison big companies has been massive, particularly • incentivising industry to reformulate their in the past five years. There are more zero and products reducing sugar content to avoid the tax low-sugar formulations available than ever, and • increased likelihood that new products they’re everywhere. That hasn’t happened because from the industry will have a lower sugar of any tax – it’s due to changing consumer concentration demand and the industry acting accordingly. • increased availability of “Increased likelihood water and zero sugar beverages that new products from the • enhanced public awareness industry will have a lower of why sugary drinks are sugar concentration” detrimental to health. This is already happening – So let’s look at these, using nothing to do with tax. evidence from before and after “Increase availability THERE ARE the sugar taxes introduced in of water and zero sugar MORE ZERO AND Mexico in 2014, and on-thebeverages” ground experience of the New This argument was used in LOW-SUGAR Zealand industry: Mexico and other developing FORMULATIONS “Increased cost of countries, but it’s not relevant sugary drinks” to New Zealand, a developed AVAILABLE It’s true that in Mexico the nation. We have extensive retail THAN EVER.” cost of sugary drinks increased and food supply networks, after the tax was introduced. so both are freely available But so did the price of diet and low-calorie already. Plus we have readily available drinkable offerings – and even bottled water. This was tap water. because, as an excise levied on companies, the “Enhanced public awareness of why sugary tax was treated like any other cost of doing drinks are detrimental to health.” business and was spread over the whole product Public discussion, media coverage, and portfolio. Big companies with economies of nutrition campaigns have delivered the message scale can spread extra costs, but artisan/craft that too much sugar is not good for our health. manufacturers, with smaller scale and limited Full-sugar beverage sales have declined each year ranges, have to take the full hit of any big for some time, and sales of zero and low-sugar cost increase. have increased, demonstrating that people are As a final inconvenient truth, raising the getting the message. costs of large-scale or artisan manufacturers in Basing claims on theory is all very well, but New Zealand does not necessarily mean higher sometimes it pays to look at what’s happening out prices for consumers. Retailers set prices, not here in the real world. manufacturers. Those supplying the supermarket Mexico’s tax has raised billions of pesos from duopoly will tell you how hard it is getting the Mexican people: 23 billion in 2016, 21 a price increase accepted with even the most billion in 2015 and 18 billion in 2014. Those legitimate case. The big companies have a better who believe the tax has been a wild success in chance, but those without bargaining power curbing consumption need to answer this: why would likely have to absorb additional tax. That is the money collected from sales increasing each means there is no price signal to consumers. year?

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

FMCG BUSINESS - OCTOBER 2017

THE CHOCOLATE & COFFEE SHOW The FMCG Business team spent a blissful day surrounded by indulgent treats.

Chefs Sam Mannering and Julie Le Clerc shared their culinary tips at the show.

Two tickets to Paradise please,” said the handsome stranger in front of us at the entrance to The Cloud in Auckland’s Viaduct, which hosted another marvellous celebration of all things chocolate and coffee in September. As we entered the venue, we were immediately enticed by irresistible aromas and exotic flavours, amazed by the diversity of products and surprised by some of the culinary skills displayed. The show was pumping and the many chocolate and coffee lovers around us seemed super excited about the gourmet delights on offer. The very best of New Zealand’s Artisan chocolatiers, coffee roasters and producers of amazing tasty treats, from big names through to amazing new craft businesses were there, offering samples and products at special show prices. The fabulous winners of the first ever New Zealand Chocolate Awards drew big crowds at the show too. This year, the Chocolate & Coffee Show was hosted by Master of Ceremonies, Mike Puru. The Demo Kitchen was the place to be for 38

FMCG BUSINESS - OCTOBER 2017

free presentations and top tips from Celebrity Foodies, including Julie Le Clerc, Sam Mannering and award-winning chocolatier Karl Hogarth. You could learn Barista skills and all about coffee and latte art at the new Barista Zone, or grab exclusive espresso101 or Sensory Coffee Masterclasses at a 45-minute workshop with the gurus from the Barista Academy. One-hour Craft Chocolate and Tea Tasting Workshops were hosted by Fine & Dandy Tea and chocolate guru Luke Owen from The Chocolate Bar. You could also bring out your inner cupcake diva with Cupcake Decorating Masterclasses from the teams at Delish Cupcake and BONDIE Designer Cupcakes, then chill out in the Martini Lounge with delicious drinks from Jumping Goat Liquor. We returned home with bags full of artisan chocolates and treats to share with family and friends. Our foodie souls were inspired, energised and quite replete, after another wonderful Chocolate & Coffee Show.

[ events ] MC Mike Puru.

“With new branding, involvement of the NZ Chocolate Awards and over 80 exhibitors at this year’s show we enjoyed a terrific turnout,” says event organiser Dale Spencer. “Over 6000 visitors came along to enjoy the chocolate and coffee celebration at The Cloud, an event that has enjoyed 20% year on year growth for some time. It’s safe to say the vibe in the venue was a happy one and I would like to thank over 200 people who pulled this together and all the consumer visitors as well. Looking to 2018? It’s a must-have on your marketing plan, spaces and sponsorships are open for discussion right now.”

Our sweets are making headlines! The Fini DOY bag range include gluten free and made with natural juice options Resealable to keep fresh once opened Unique branding that is sure to stand out on shelf

fat!

A RENOWNED INTERNATIONAL BRAND THAT IS SOLD IN 80 COUNTRIES AROUND THE WORLD. Contact your DKSH New Zealand Limited representative for more information.

[ events ]

New Zealand’s top chocolates revealed

ollowing intensive tasting and judging of 125 chocolates, the country’s best have been named. The Supreme Winners are: Honest Chocolat Salted Caramel & Buckwheat Milk Chocolate Tablet (Best Chocolate Bar) and Jo’s Sublime Chocolate Salted Sesame and Caramel Bonbon (Best Filled Chocolate). Auckland-based Honest Chocolat is run by husband and wife team, Nico and Emily Bonnaud. They hand craft chocolates in small batches using only natural ingredients. Chocolatier Nico trained in France as a pastry chef. He worked as Head Pastry Chef for Kauri Cliffs and Peter Gordon’s Sugar Club before starting Honest Chocolat. Joanne McAlpine of Jo’s Sublime Chocolate balances her boutique chocolate making with a fulltime job. A former chef she aims to make chocolate making a fulltime career, but for now Joanne creates handmade chocolate creations. Each Christmas she makes up to 3000 chocolates for gifting. The Supreme Winners are among 70 chocolates to have received accolades in the inaugural awards. Of the 125 chocolate products judged, seven received Best in Class, 22 received Gold Medals, 28 were awarded Silver Medals, a further 19 received Bronze Medals and three Special Awards were made.

Supreme Award winner, Joanne McAlpine of Jo’s Sublime Chocolate.

Supreme Award winner, Chocolatier Nico Bonnaud.

Innovative ﬂavours and ingredients According to the judges, innovation in the artisan chocolate scene is blossoming. Head Judge Luke Owen Smith, owner of The Chocolate Bar in Wellington said, “New Zealand’s chocolate industry has shown rapid development and we think it will go from strength to strength over the next few years.” Organisers of the NZ Chocolate Awards, Intermedia NZ and Marvellous Marketing were delighted with the support from the industry. Marvellous Marketing Director, Kathie Bartley said it was amazing to see so many entries, especially for the first year. “It shows the growth in artisan chocolate making in New Zealand. Kiwi chocolate lovers have lots of choice with a 40

FMCG BUSINESS - OCTOBER 2017

selection of innovative flavours showcasing local ingredients and plenty of amazing chocolate products.”

A panel of 17 chocolate and food experts tasted and assessed the 125 different chocolates and chocolate products from 36 producers at the Fresh Factory in Auckland on Wednesday 6 September. To prevent bias from makers judging their own chocolates a Double-blind system was used. It meant if in the unforeseen event someone judged their own chocolate the mark would not count. Many of the award-winning chocolates were showcased at the Chocolate & Coffee Show in September at The Cloud in Auckland. For a complete list of award winners visit www.nzchocolateawards.co.nz

[ events ]

C&I Expo all wrapped up!

Events 2017 OCTOBER 3-4 VEGANFACH Cologne, Germany www.veganfach.com

he C&I Expo 2017 was held in Sydney recently and with over 130 exhibitors, there was no shortage of product innovation or creative displays. Imperial Tobacco Communications Executive Michelle Park said: “It has been a great opportunity for us to talk about how important the tobacco category is for their businesses and a lot of retailers have been concerned about illicit tobacco and the impact it is having on their business. It has been fantastic to hear from retailers what their concerns are and give them all the information they need to capitalise on the tobacco category in their outlet. “We have a lot of retailers from all around the country – mostly fuel retailers. This is the second year in a row that we have exhibited at the C&I Expo and we will definitely back again next year. We think it is invaluable for building and maintaining relationships with suppliers and meet with our retailers face to face. The C&I Expo was co-located with the AACS Gala Awards Dinner and Convenience Leaders Summit this year. Pacific Optics were named Supplier of the Year at the AACS Awards. Pacific Optics GM of sales Theo Foukkare said the show had a great turnout. “We have seen all of the major retailers come through here – we have seen Woolworths, 7-Eleven, Caltex, United Petroleum, AA Petroleum, all of the UCB team, all of the New Sunrise team and we have also seen all of the key independents,” he said. “We have met some new customers that are dealing with some of our competitors, so it has been a good opportunity to show them everything that we do in the one location and we have had a lot of success. All in all – it has been a great show.”

FMCG BUSINESS - OCTOBER 2017

3-12 FOOD AND WINE CLASSIC Hawke’s Bay, NZ www.fawc.co.nz 4 NZ CIDER FESTIVAL

7-11 ANUGA Cologne, Germany www.anuga.com 13 DEVRO GREAT NEW ZEALAND SAUSAGE COMPETITION Auckland, NZ

Nelson, NZ www.nzciderfestival.com 11 DUNEDIN CRAFT BEER & FOOD FESTIVAL Dunedin, NZ http://dunedinbeerfest.co.nz

www.rmnz.co.nz/

19 TOAST MARTINBOROUGH

sausagecompetition

Martinborough, NZ

14 OKTOBERFEST

http://toastmartinborough.co.nz

Wellington, NZ

25 AIR NEW ZEALAND WINE

www.oktoberfest.co.nz

AWARDS

NOVEMBER

Taradale, NZ www.airnzwineawards.com

1-3 FGC CONFERENCE Wellington, NZ www.fgc.org.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.

[ social sphere ]

Out & About Intermedia NZ Publisher Dale Spencer and Chocolate Judge Julie Le Clerc at the NZ Chocolate Awards.

Gala Dinner (L to At the Countdown Awards t Operator of the ckou Che ish, R) PM Bill Engl wn MD Dave ntdo Cou ray, Mur Year Rachael Brett Ashley. ns ratio Ope GM and Chambers,

Kellogg’s Special K was named oﬃcial breakfast partner to the Silver Ferns. (L-R) Silver Ferns Shannon Francois, Maria Tutaia and Jane Watson).

SNAP & WIN!

My Food Bag Co -founder Nadia Lim with Silua Ett and Sarah Szego les ta from New Ze aland Winegrowe at the ‘Women rs in Wine NZ’ eve nt in Blenheim.

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 three blocks of each flavour (total value $30) of the new Cadbury Dairy Milk Marvellous Creations Spider range! Cadbury Dairy Milk Marvellous Creations Spider comes in Choc Raspberry and Choc Orange. It has a pleasantly surprising creamy texture inside with speckles of hidden fizz flavoured treasure that will tantalise taste buds in the most deliciously marvellous way.

Just email your high res image with a caption to trubanowski@intermedianz.co.nz FMCG BUSINESS - OCTOBER 2017

www.theshout.co.nz October 2017

INDUSTRY NEWS

■

SPARKLING WINE

■

BARREL AGED BEER

NEW ZEALAND’S LARGEST LIQUOR AUDIENCE

Introducing two delicious new wines, just in time for the summer season! Whether you prefer a Luscious Pinot Gris or a Berries & Cream RosĂŠ...

[ editorial ]

CONTENTS Add a bit of sparkle

October 2017 4

Industry news and insights

Getting back to barrels Beer writer Neil Miller explores barrel aged beer

How package design attracts today’s wine consumer Nielsen U.S. explores how important labelling is for wine retailers and manufacturers

Best wine buys on a budget Countdown Greenlane’s Liquor Specialist, Karan Patyal, shares his top 10 wine picks

Fantastic sparkling wine options Tasting notes from Cameron Douglas MS

Make it sparkling The lowdown on bubbles from The French Café’s Sommelier, Stephanie Guth

Meet the winemaker Introducing some of New Zealand’s winemaking experts

The Shout Editor Charlotte Cowan

THE SILLY season is almost upon us, so it’s time to start planning for one thing – our bubbles collection. Sparkling wine – whether it be Champagne, Prosecco or Methode Traditionelle – is synonymous with celebration and fun, so this month we’re celebrating all things sparkling with two great features. Take a look at Cameron Douglas’ Fantastic Sparkling Wine Options on pgs 12-13 and The French Café’s Sommelier, Stephanie Guth, gives us the lowdown on sparkling styles in Make It Sparkling on pgs 14-15. But saving for Christmas presents can also mean limited funds to splash out on the good stuff, so if you’re looking for something a bit more budget-friendly, take a look at Countdown Liquor Specialist Karan Patyal’s top 10 wine picks for under $15.00 on pg 10. Also this month we take a look at how wine labelling affects sales, beer writer Neil Miller explores barrel ageing and we meet some of the country’s best winemakers. We hope you’re following us on Instagram @theshoutnz to see the latest news, events and releases in the world of liquor and don’t forget to ‘like’ us on Facebook. For even more from us, head to www.theshout.co.nz and sign up to our fortnightly eNewsletter and if you have anything you’d like to include, please email me on ccowan@intermedianz.co.nz. Have a lovely October!

Editor’s picks

No.1 Family Estate Marlborough Virginie Cuvée Methode Traditionnelle 2009 Made by ‘the Grandfather of Methode Traditionelle in New Zealand’, Daniel Le Brun, this Cuvée is blended from 80% Chardonnay and 20% Pinot Noir and crafted especially by Le Brun as a tribute to his daughter, Virginie. Read more on pg 12. Blue Nun 22 K GOLD EDITION Containing fine pieces of 22-carat gold leaf, this sparkling wine is light and elegant with a full, rounded flavour and is perfect for celebrations and gifts! For more info, visit www.qll.co.nz, email info@qll.co.nz, or call (0800) 111 828 or (09) 636 7730. Babich Marlborough Sauvignon Blanc Babich’s Irongate Chardonnay is known as one of New Zealand’s most iconic wines, so we weren’t surprised that the family-owned winery’s Marlborough Sauvignon Blanc has been produced with the same elegance, refinement and tenacity. For more information, visit www.babichwines.com. 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 - OCTOBER 2017

[ news ]

100% family-owned Babich Wines has renewed domestic focus ONE-HUNDRED-AND-FIVE YEARS after its founder planted his first vines, Babich Wines is New Zealand’s most experienced familyowned winery. Founder Josip Babich came to New Zealand from Croatia as a 14-year-old in 1910, worked in the Northland gum fields and planted the first Babich vineyard in 1912. Raised in grinding poverty, his only chance to improve his circumstances was by emigrating to join his older brothers in the ‘New World’. In New Zealand, first on the gum fields and then breaking in land at Henderson, he prevailed through tough times. Today, the company is stronger than ever and run by David Babich, the third generation. In the last three years it has doubled its Marlborough land holdings and built a winery that can handle 6,000 tonnes of grapes. Family ownership continues to bring advantages. Babich Wines has the luxury of high vineyard ownership and therefore have high control over grape quality. This reflects positively in their end product with high consistency to style (e.g. tropical in Sauvignon) and high consistency of quality. For Babich Wines, the future will bring more investment in vineyards and technology. As New Zealand’s most experienced family-owned winery they will stay young and open to understanding what’s going on. “We will continue to develop our understanding of how consumers at the end of the chain are making their wine choices,” says David Babich.

Selaks launches tasty new varietals SELAKS IS adding to its Taste Collection by launching two delicious new varietals this month – Luscious Pinot Gris and Berries & Cream Rosé. Just in time for summer, the new offerings are crafted to bring to life some of the best characteristics of each variety. The ripe and juicy berry flavours of the Berries & Cream Rosé are reminiscent of strawberries and cream in the summertime, and the mouthwatering rich fruit flavours of the Luscious Pinot Gris include a fresh fruit medley of succulent apples and pears, with layers of melon, honey and spice. The Selaks Taste Collection is RRP$21.99. For more information, visit www.selaks.co.nz

FOR MORE INDUSTRY NEWS FOLLOW US ON 4

FMCG BUSINESS: THE SHOUT - OCTOBER 2017

David, Joe and Peter Babich.

With 90% of Babich wine going to export, the company recently put a renewed focus on domestic sales. For a long time they didn’t have enough wine. Now the company has got to a size that they can grow both export and domestic. That means lifting the company’s profile in New Zealand and making their wines more widely available – and making sure New Zealanders have a chance to hear the unique Babich story.

Invivo Wines appoints new Director INVIVO HAS announced the appointment of Paul Schaafsma, former CEO of Accolade Wines, to its board as an Independent Director. Under Paul’s leadership, Accolade Wines - the fifth largest wine company in the world Paul Schaafsma - exceeded AUD$1billion in revenue with a team of 1700 employees across Australia, New Zealand, UK, China, Japan, South East Asia, USA, Chile, Canada and South Africa. Invivo co-founder Tim Lightbourne says having Paul on board is an incredible coup for the company. “We spent a long time finding the right Director to join our board, but when we spoke with Paul it was obvious he shared the same ideas about brand building and standing out from the crowd as we do. We look forward to working with Paul to achieve our global ambitions for Invivo,” he says. Invivo is New Zealand’s first and only equity crowdfunded winery and recently announced record growth in the last year with a jump of 70% in sales.

CHECK OUT THESHOUT.CO.NZ

[ industry insights ]

Craft boom brings growth and challenges CRAFT BEER continues to grow in New Zealand, both in sales and in production, and this rapid growth brings unique challenges as the industry matures. New Zealand’s small independent brewers’ combined output has more than doubled since the boom began in 2012. Then they produced 7.5 million litres of beer – last year they produced 17 million litres, enough to make up 6% market share by volume. The number of small independent breweries operating in New Zealand was pretty stable from 2001 to 2011, at around 60 breweries. Since 2012 the number of independents has doubled to 130 operating last year. That figure is simply for production breweries and doesn’t include the growing number of contract beer brands also trading. It’s impressive growth and few other consumer sectors have doubled in numbers in such a short time. To give a bit of perspective, beer sales overall have been falling ever since the late 1970s. New Zealand has never seen anything like this current growth period, and small independent brewers have

revitalised beer sales and introduced new consumers who the major brewers were not able to attract. But this boom also brings challenges, because increasing brewery numbers bring increasing competition too. We’ve all seen the expansion of the craft beer category – new taps, dedicated craft beer venues, increased shelf space in off-licences and supermarkets. The growth in small brewery numbers shows that most of the industry’s expansion has come from new entrants. The growth in volume is coming primarily from these new players, rather than from small breweries getting bigger. This is in a commercial environment that faces its own restrictions from the Sale and Supply of Alcohol Act and other regulations. The Brewers Guild’s role is to continue to work with brewers big and small, to ensure Government and other officials see the economic and social benefits of enjoying a well-crafted local beer with friends and family, and allow this boom to thrive. Martin Craig is a beer writer, journalist and publisher of www.Beertown.NZ

Martin Craig Brewers Guild of New Zealand www.brewersguild.org.nz

[ news ]

Wine by numbers

WE TAKE a look at a few of the numbers highlighted in the recently released 2017 Annual Report of New Zealand Winegrowers…

Wine is now New Zealand’s

largest goods export

Exports have reached a record high of

$1.66 billion

Exports to the USA passed

$500 million for the first time

There are

76% 72% 37,129 ha 67.7%

2005

vineyards in New Zealand

of white wine produced in NZ is Sauvignon Blanc

of red wine produced in NZ is Pinot Noir

total wine producing area

of wine production is in Marlborough

For the full report, visit www.nzwine.com FMCG BUSINESS: THE SHOUT - OCTOBER 2017

GETTING BACK TO BARRELS

Ageing beer in barrels was once a brewing necessity but award-winning beer writer Neil Miller discovers that more local brewers are going out of their way to combine beer and wood, solely for the flavour.

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

FOR MOST of beer’s long and storied history, beer was stored and served from wooden barrels. Medieval Belgian monks had their famous barrelled beers marked with crosses to denote their strength (the Quadruple – four crosses – was reserved for visiting bishops) while the English shipped their soon-to-be-famous Pale Ale to colonial India in oak casks. This became India Pale Ale which is one of the most popular styles of craft beer in New Zealand. Over time, breweries almost universally adopted metal kegs. They were cheaper, endlessly reusable, easier to clean and flavour neutral. The first time I saw beer in a barrel was at the iconic Mussel Inn brewpub in Golden Bay, way back in 2005. Even then, the brew was an experiment and/or prank. Basically, a beer had accidentally become sour and the brewer decided to put it in an old wine barrel in an attempt to save a batch which would otherwise be tipped down the drain. To the surprise of many, including the brewer, it worked - and Larry the Lamb Lambic sold out. It was during a visit to America that I first saw large-scale barrel usage. The rightly renowned Lost Abbey brewery in California has oceans of barrels, many of which are stuffed with fruit, spices and crazy wild yeasts, then left to blend for a year or

FMCG BUSINESS: THE SHOUT - OCTOBER 2017

two. The resulting beers challenge the palate, but are adored for their depth and complexity. These are clearly not your standard easy-quaffing lagers. New Zealand brewers have been quick to pick up on the barrel ageing trend. Moa Brewery, with special access to the neighbouring Allan Scott vineyard’s hoard of barrels, was one of the first. Epic famously sent two barrels of Armageddon IPA

The Lost Abbey’s Cuvee De Tomme.

[ beer feature ]

Liberty Brewing’s Prohibition Porter.

Liberty Brewing’s Joseph Wood says the challenge of barrel aging is consistency.

“THERE IS NO FLAVOUR COMPOUND THAT YOU CAN BUY THAT SIMULATES WHAT THE BARREL DOES TO THE BEER.” JOSEPH WOOD, LIBERTY BREWING on the Interisland Ferry for six weeks in a (successful) attempt to recreate the historical ship journeys to India. It was delicious with the oak and vanilla notes from the wood clearly evident in the glass. Now, many breweries have a barrel ageing range. It is important to note that this process is not easy – barrel aged beers are expensive to make and take a great deal of time. At the end, there is no guarantee that the beer will be drinkable as many things can go wrong in the barrel. However, the demand for barrel aged beers is strong and local brewers are embracing the challenge using wine, whisky, sherry and bourbon barrels. Soren Eriksen is the head brewer at 8Wired Brewery in Warkworth. He is well known for his range of barrel aged beers saying: “It was a hobby that just got out of control really. We started barrel ageing beers just for the fun of it. The first beer we put in a barrel was in December 2010”. He was inspired mainly by American breweries, such as Russian River and Lost Abbey, and his first barrel beer was an Imperial Stout. Eriksen explains that the key feature of barrel ageing is that it adds complexity. “The microbes that thrive in the wood add a more complex and deeper flavour to the beer,” he says. However, wood aged beers are not easy and they are not cheap. There is a significant investment of time and money involved. “[There is] always the danger of an infection you were not planning on,” says Eriksen. Barrel aged beers are unpredictable and usually require blending before being bottled for public consumption. At the time of the interview, Eriksen was

about to barrel a “13% or 14% Imperial Stout in a clean bourbon barrel”. He predicts that barrel ageing will be “a huge part” of his brewery’s future. They are investing heavily with plans to build a new barrel hall facility specifically for the style. The aim is to triple barrel aged capacity within the next few years. Joseph Wood is the founder and head brewer at Liberty Brewing Company in Riverhead. His brewing philosophy differs from 8Wired in that he does not use barrels to create sour beers. Wood favours bourbon barrels which he says imparts a char and a wood sugar character which adds an extra dimension to beers like a stout or a barley wine. “It is obviously better suited for the bigger, darker, gruntier beers. That is what I like basically. I have ******* cracked it, I reckon,” says Wood.

The first barrel aged beer Wood made was four years ago just as he was moving his brewery from New Plymouth to Auckland. Liberty is now co-located with the excellent Hallertau brewery and they both produce barrel aged beers. That first beer was a porter put into an American medium toast wine barrel. “It came out pretty good but it was not quite what I was looking for,” says Wood. “The barrel and the oxidation and the tannins change the balance of the beer. Different barrels give you different characteristics.” Wood says he has learned a lot about the challenges of barrel ageing but says that is the fun part. Standard beers can be tasted and tested pretty much straight away but he points out that it takes a year or two for barrel aged beer. It also costs money because he only uses high-end bourbon barrels from Jack Daniels. Eight years ago Wood tried his first barrel aged beer - a blend from Firestone Walker Brewery in California. “It blew my mind. There is no flavour compound that you can buy that simulates what the barrel does to the beer,” he says. “I thought I had beer nailed until I tried this blend of six different beers. I am an amateur compared to them.” Amateur or not, he is still working on his Prohibition Porter which won awards at the Beervana festival. This silky dark beer booms with notes of chocolate, vanilla, caramel, oak, cocoa and, let us be honest, bourbon. The challenge of barrel ageing, Wood says, is consistency: “Every barrel is different”. Both 8Wired and Liberty produce a range of barrel aged beers. They are joined by breweries such as Moa and Hallertau. Used judiciously and with skill, barrel ageing can add a whole new flavour dimension to beer. It is well worth seeking out some ‘beer from the wood’.

8Wired’s Soren Eriksen says the key feature of barrel ageing is that it adds complexity.

FMCG BUSINESS: THE SHOUT - OCTOBER 2017

HOW PACKAGE DESIGN ATTRACTS TODAY’S WINE CONSUMER Nielsen U.S. explores how important labelling is for wine retailers and manufacturers. REGARDLESS OF varied consumer preferences, there are surely enough wine options available to satisfy nearly every American of legal drinking age (21+). Whether these consumers are riding the Rosé wave or enjoying varietals like Chardonnay, Merlot or Cabernet Sauvignon, one thing is for certain: Label design is a key purchase driver in an increasingly crowded wine market. As of June 2017, more than 3,500 new wine products had hit [U.S.] shelves in the last year, representing 14% of all items in the category and 4.5% of category sales volume. But the influx isn’t just giving consumers an array of new brands to choose from; it’s forcing retailers to make tough choices about how to use their finite shelf space. With this many options at consumers’ fingertips, wine manufacturers and retailers need to understand the factors that influence wine purchase decisions. And in the wine category, where traditional media spending is low, the ‘advertising’ that happens at the shelf is particularly important.

more consumers saw the most visible bottle than the least-visible bottle within the first few seconds of looking. Since consumers can’t consider purchasing a wine that they don’t see or notice, strong standout is a key requirement for effective design. Once consumers notice a bottle, the label needs to compel them to purchase it. For this reason, manufacturers should assess to what extent their designs reflect the brand’s personality and effectively convey key messages. Which elements are working well, and which aren’t?

Rely on market feedback and avoid personal bias Moreover, according to Nielsen’s Beverage Alcohol Category Shopping Fundamentals study, only 29% of consumers know which brand they intend to buy before they enter a store. The remaining 71% of consumers are making their decisions as they peruse the options on the shelf. So what can wine manufacturers take to stand out and land in consumers’ baskets?

Conduct a pack health assessment Understanding package design trends is critical, and that means assessing design performance on a variety of dimensions. First, does a design grab consumers’ attention quickly? In a recent label analysis of 20 wine brands that utilised eye-tracking technology, 57% 8

FMCG BUSINESS: THE SHOUT - OCTOBER 2017

It’s incredibly difficult to predict how consumers will respond to package designs. For example, which of the package designs on the next page would wine buyers view as the ‘most fun’? According to Nielsen’s recent wine label analysis, wine buyers found Amour to appear the most fun. So what makes a label ‘fun’? In the case of Amour, respondents described the font and tilt of the ‘A’ as fun and inviting. They also liked the use of the word Amour, which they found recognisable and associated with love. Trying to guess how consumers will react to packaging is a big challenge for manufacturers. In fact, more than half of FMCG professionals cite subjective decision-making within their company as a top complaint when asked about the biggest pain points in their company’s design process; 75% indicated that design decisions

[ category insights ]

ONLY 29% OF CONSUMERS KNOW WHICH BRAND THEY INTEND TO BUY BEFORE THEY ENTER A STORE.”

at their companies are made based on judgment or design by committee—whether it be group consensus (33%), qualitative focus groups (55%) or the infamous senior executive favorite (53%). The real way forward, however, as with most other aspects of new product development, is through quantitative consumer feedback. It’s the only dependable way to understand how a package design will perform in market.

Explore more design directions In studying more than 90 client package redesign initiatives, Nielsen uncovered an interesting finding: As the number of designs evaluated increases, so too does the performance on key packaging metrics, including consumer preference and the ability to standout. The unfortunate reality, however, is that most brands evaluate three or fewer design directions, while only 15% explore more than four options. In Nielsen’s wine label analysis, the most preferred package redesign was Del Rio Vineyards Rosé—with nearly twice as many consumers preferring the new design to the old one (see graphic

below). The Del Rio team explored 10 initial design directions—much more than the typical brand - then iterated further on a subset of those designs. Dark Horse, a wine brand launched in 2015 by E. & J. Gallo Winery and a 2017 Nielsen Breakthrough Innovation Award winner, credits its package design as a key factor in driving trial and in ultimately helping the brand to achieve $61 million in firstyear sales - an impressive figure for a new entrant in the highly-fragmented wine category. The brand describes its creative exploration as ‘relentless’; the team considered more than 100 design directions, including a wide range of close-in and also very disruptive, far-out designs. “It was crucial to create a package that had a memorable, impactful icon that also offered strong, premium wine cues so consumers would be surprised by the [low] cost,” said Stephanie Gallo, Vice President of Marketing at E. & J. Gallo Winery.

FMCG BUSINESS: THE SHOUT - OCTOBER 2017

[ wine ]

BEST WINE BUYS ON A BUDGET

Countdown Greenlane’s Liquor Specialist, Karan Patyal, shares his top 10 wine picks for $15.00 and under.

George Wyndham Bin 555 Shiraz 2015, $12.00

Giesen Sauvignon Blanc 2016, $14.49

This is an Australian wine, which is well known for its Shiraz, and George Wyndham is known as the father of Shiraz. As it comes from a hot region where the fruit gets particularly ripe, this Shiraz builds aromas of plum, black pepper, cloves and dark chocolate with vanilla. On the palate it has very fine savoury tannins and is really well-balanced.

Again from Blenheim in Marlborough, this Sauvignon Blanc has a good blend of aromas of lemon, apple, elderflower and dried herbs. It has a nice balance of acidity with vibrant citrus and a bright and crisp finish on the palate.

Thornbury Sauvignon Blanc 2016, $14.99 This wine comes from the Marlborough region, which is well known for its Sauvignon Blanc. The aroma from this wine is a lovely mixture of gooseberry, passionfruit and nectarine. It has a really nice balance of acidity with a good finish and vibrant fruit flavours on the palate.

Giesen Riesling 2015, $14.99 Coming from Blenheim in Marlborough, this wine has some nice floral notes of honeysuckle and lavender, along with apricot and citrus notes as well. It is a very luscious wine with a medium sweetness and has some lingering acidity finish to it.

FMCG BUSINESS: THE SHOUT - OCTOBER 2017

Peter Yealands Reserve Pinot Gris, $15.00 This wine is a blend of selected grapes from the Marlborough region. It has aromas of pear, pineapple and various spices. It is very well balanced and is an easy drinking wine with a nice long dry finish.

Bosco Dei Cirmiolo Prosecco NonVintage, $14.99 This Italian wine has a wonderful smell of green apple, grape, melon and honeysuckle and is dry on the palate.

Vidal Estate Chardonnay 2016, $14.99 This Hawke’s Bay wine is a great example of a Chardonnay from a hot region. It

has aromas of ripe pineapple, peach, cedar and vanilla. This is a great wine with good body, particularly if you like an oaky Chardonnay. It is the best you can get for the price.

Mount Ara Pinot Noir 2013, $14.99 Coming from Marlborough, this wine has a lovely light colour with aromas of raspberry, cranberry, and cherry. It is a well-balanced, easy-drinking wine with some good concentration of fruit.

Villa Maria Cellar Selection Merlot Cabernet Sauvignon 2015, $15.00 This wine has a good deep colour in the glass, with aromas of blackcurrant, blackberry, and chocolate. It has some really good firm tannins, with a great body and long finish.

Yalumba Galway Shiraz 2015, $14.00 Coming from Barossa valley in Australia, this wine is named in honour of L.T Col. Sir Henry L. Galway. It has a rich dark colour with aromas of blackberry, black olives, and black cherry. The wine is really fruit-forward and ready to drink, it will keep you warm in winter.

LEN GE 2

[ tasting notes ]

Fantastic sparkling

wine options

Cameron Douglas is New Zealandâ&#x20AC;&#x2122;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 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.

Sparkling wine is still an extremely popular beverage. Sales remain steady with the range, styles and pricing varied from below $10.00 a bottle for most carbonated and some tank fermented options through to sub $100.00 and well over $100.00 a bottle for bottled fermented versions. Bottle fermented, tank fermented and carbonated sparkling wines are each produced differently; for example, a carbonated product requires only that the base wine is balanced, generally has no oak influences and has a forced marriage with carbon dioxide. Restaurants do not generally list these wines as they are too widely available off-premise and make little to no real margin. Tank fermented examples are a modern twist on bottled fermented wines with the finished blend of base wines fermenting for a second time in bulk, usually in a steel tank, aged on lees for a short time then filtered and bottled. Methode Traditionnelle and Methode Champenoise are essentially the same product with the only real difference being the origin of the fruit - Champenoise

FMCG BUSINESS: THE SHOUT - OCTOBER 2017

material must be 100% from the Champagne region whereas Traditionnelle fruit is from outside Champagne and France. Both methods blend batches of wine (as few as two or three and as many as several dozens) to form a CuvĂŠe or blend. This blend is then refermented inside a glass bottle to produce bubbles. The wine is then aged on its yeast lees for several months or years. This resting time produces an autolysis effect from the yeast throughout the wine caused by the degradation of the spent myces cells. Bready, biscuit or brioche aromas associated with sparkling wine comes from this effect. The range and quality of New Zealand sparkling wine is incredible and any decent wine list will feature at least a few from our regular clients and tourist visitors to enjoy. Whatever your sparkling wine selection, make sure you and your team can discuss the provenance and production methods of sparkling wine confidently with your customers and focus on local product first.

[ tasting notes ]

NO.1 FAMILY ESTATE RESERVE BLANC DE BLANCS NV Very complex bouquet, very alluring and very seductive, distinctive autolysis signature with oats, butter brioche/croissant, toasty honeyed tone and fruits of the orchard with peach, baked lemon and apple. On the palate – fullbodied, powerful and complex; flavours reflect the nose, this wine has finesse, elegance, complexity and sex-appeal; very fine mousse that mushrooms slowly; long fine finish. Drink now and through 2035. Points 98 RRP: $96.00 Distributor: No.1 Family Estate Phone: (03) 572 9876 www.no1familyestate.co.nz

NO.1 FAMILY ESTATE VIRGINIE CUVÉE METHODE TRADITIONNELLE 2009 Seductive, complex, developing and sophisticated bouquet. Aromas and flavours of toasty white and yellow fruits laced with lees-led autolysis, grapefruit and apple, honey and a hint of almond. A fine delicate mousse with finesse and charm, some floral and chalk texture, abundant acidity, complex, engaging and long. A wine of significance, beautifully crafted. Drink now and through the next 10-15 years at least. Points 96 RRP $85.00 Distributor: No.1 Family Estate Phone: (03) 572 9876 www.no1familyestate.co.nz

NO.1 FAMILY ESTATE ASSEMBLÉ METHODE TRADITIONNELLE NV Complex, alluring, traditional scents of autolysis with baked goods then suggestions of oats; fruit aromas include white and yellow peach, baked apple and citrus. On the palate – complex, slight savoury appeal, mealy textures and flavours that reflect the nose. A fine mousse and bold acidity, fine leesy after taste, lengthy dry finish. A lovely example of a wine still developing and showing potential to age for a further decade at least. Drink now and through 2030. Points 95 RRP $32.00 Distributor: No.1 Family Estate Phone: (03) 572 9876 www.no1familyestate.co.nz

NO.1 FAMILY ESTATE CUVÉE BLANC DE BLANCS NV Beguiling, rich, complex and seductive bouquet. Aromas of significant autolysis enveloping scents of baked stone fruit, bakery goods, butter brioche, lemon zest and rose; complex. On the palate – full, rich, light savoury layer highlights the citrus first then dovetails into stone fruit flavours; the acidity, very fine mousse and natural phenolics show off a wine with texture, finesse and charm. Points 95 RRP $36.00 Distributor: No.1 Family Estate Phone: (03) 572 9876 www.no1familyestate.co.nz

AKARUA BRUT METHODE TRADITIONELLE NV Very attractive and alluring bouquet with a complex autolysis fronting an array of fruit and bottle complex aromas; baked stonefruit and apple, brioche and artisan bread. On the palate – fine mousse and high acidity add texture and complexity; flavours of citrus and stone fruits laced with autolysis flavours. Complex. Dry and lengthy finish. Drink now and through 2026. Points 95 RRP $34.00 Distributor: Hancocks Phone: (03) 445 4292 www.akarua.com

AKARUA METHODE TRADITIONELLE VINTAGE BRUT 2011 Complex and alluring bouquet with a developing toasty quality showing of a light honeyed note, still youthful and fruity too with baked stone fruit, apple and grapefruit aromas. Some baked goods as well – brioche then some baked custard moments. On the palate – dry with a very fine mousse and crisp acid led textures then flavours that reflect the nose, long complex finish. Delicious! Drink now and through 2025. Points 95 RRP $48.00 Distributor: Hancocks Phone: (03) 445 4292 www.akarua.com

FMCG BUSINESS: THE SHOUT - OCTOBER 2017

MAKE IT SPARKLING

Almost every wine-producing country in the world has a sparkling wine (or two, or 100), but they’re not all one and the same. The French Café’s Sommelier, Stephanie Guth – recently named The New Zealand School of Food & Wine’s Sommelier of the Year 2017 – gives us the rundown on a few sparkling styles.

Champagne The region Synonymous with celebration and luxury, Champagne is a legally regulated and protected term that can only be applied to sparkling wine made in the region of Champagne, France; such as Louis Roederer and Piper-Heidsieck. These wines are produced using the Methode Champenoise and the aromas can range from fruity to toasty with lots of fine, delicate bubbles and a refreshing finish.

The method The Methode Champenoise begins by making a highacid still wine, which is referred to as the base Cuvée. It is then bottled with the addition of liqueur de tirage (a blend of still wine, yeast and sugar), which begins a second fermentation in the bottle. This secondary fermentation can last up 14

to eight weeks as the yeast slowly convert sugars into alcohol and carbon dioxide gas. Lees (dead yeast cells) collect in the neck of the bottle and the wine will be aged on lees for a period of time. The lees are removed by a process called degorgement, which involves freezing the neck of the bottle. The wine may then be topped up with a dosage/ liqueur d’expedition (a mix of sugar syrup and wine) to determine the final level of sweetness. Legally, seven different grapes are allowed in Champagne but most of what is available on the market is made from one or a combination of three grapes - red-skinned Pinot Noir and Pinot Meunier and white Chardonnay.

The taste Piper-Heidsieck Vintage Champagne 2008

FMCG BUSINESS: THE SHOUT - OCTOBER 2017

Styles range from lean and crisp with aromas of lemon, green apple

and stony minerality, to rich and full-bodied with aromas of brioche, toast and baked apples. Rosé Champagne will have more red fruit and berry aromas and its colour can be achieved by blending red and white wine or by the saignée method (extended skin contact). Champagne can come in varying sweetness levels, from the driest Brut Nature to sweetest Doux. Brut styles tend to sit on the dry end of the scale, as legally the wine can have from 0-12 grams of residual sugar.

Vintage vs Non-Vintage Non-Vintage examples represent a house’s signature style. They are often a blend of grapes from various growing areas and also include previous vintages. Reserve stocks from previous years can contribute complexity and richness. NV wines are aged on lees for a minimum of 12 months and are generally Brut in style. Vintage Champagne requires that all of the blend must come from the stated vintage. Vintage wines should only be declared in exceptional years and must be aged on lees for a minimum of 36 months to develop further complexity.

[ wine feature ] Methode Traditionelle/ Classique/ Champenoise

The method

Prosecco is made from the Glera grape using the Charmat Method. Also referred to as the tank method, this method of production was developed by Frenchman Eugene Charmat in the early 20th century. It The regions is quicker, cheaper, and less labourWines made like Champagne intensive than the traditional method. but produced elsewhere may be The second fermentation takes place in labelled as Methode Traditionelle a large tank from which the carbonated (traditional method). This method wine is bottled. There are different is used in other regions of France, levels of bubbles; Spumante is the as well as around the world in fizziest, while Frizzante is the more New Zealand, Spain, California traditional, only slightly bubbly style. No.1 Family Estate Marlborough Reserve and Tasmania. Some producers Blanc de Blancs NV continue to label their sparkling The taste wines as Champagne, but such Because it is not aged on lees, the wines are banned from the European Union. flavours tend to be fruit-forward with citrus, white flower, peach and pear aromas. The The method bubbles in tank method wines will be larger As the name implies, it is made the same way and coarser, and the wine will have a less as Champagne. A finished wine undergoes uniform texture. a secondary fermentation in the bottle with additional yeasts and sugars. And the level of sweetness can be adjusted after the second fermentation is complete. Ageing The regions time on the lees is often less restricted than Made by a method that pre-dates the in Champagne. traditional Champagne Method, the name Pétillant Naturel translates to The taste ‘natural sparkling’ and came about in Examples can vary from bone-dry to sweet, France in the 1990s when two natural white to rosé and made from almost any winemakers rediscovered the method grape. Textures and aromas can vary from of producing sparkling wines in this fresh and crisp to toasty and creamy. Blanc style. The term is now popular de Blancs, such as Huia Marlborough Blanc with winemakers all over France, de Blancs 2010 and No.1 Family Estate California and New Zealand; Marlborough Reserve Blanc de Blancs NV, examples include The Supernatural refers to making a white wine from only Hawke’s Bay The-Super-Nat and The white grapes. Hermit Ram Ancestral Method North Canterbury Sauvignon Blanc.

Pét-Nat

The method

A view of Prosecco vineyards from Valdobbiadene, Italy.

Prosecco The region This sparkling wine comes from the Prosecco region in Veneto, Italy. After a legal dispute between what can and can’t be called Prosecco, the Italian authorities decided that Prosecco wine had to come from the specific region but before that, you could produce Prosecco anywhere.

alcohol. The bottles are often cloudy, due to lack of filtration and so the lees remain in the bottle. The end result is a rustic and lively wine, reflective of the terroir from which it came. It can be made from any grape so can be white, rosé or red in colour.

A Franciacorta vineyard at sunset.

Franciacorta The region

Franciacorta comes from the Lombardy region in Italy. It refers to the name of the wine as well as the region where it’s made.

The method Franciacorta was Italy’s first wine to be produced using the Methode Champenoise. It can be made from a single variety or be a blend of Chardonnay, Pinot Nero (Noir) and Pinot Bianco (Blanc). Made in a variety of styles which have varying aging requirements; NV, Saten (Blanc de Blancs), Rose, Riserva and Millesimato, such as Contadi Castaldi Zero Millesimato. A minimum of 18 months on lees aging is what many say makes this wine rich, creamy and complex.

Pét-nat can refer to any sparkling The taste The Supernatural wine made in the Methode As a warmer region than Champagne, Hawke’s Bay The-Super-Nat 2017 the wines tend to be riper and Ancestrale. This means that the wine is bottled before primary fuller with softer acidity and lots of fermentation is finished and without the bubbles. Aromas and flavours can include addition of a liqueur de tirage, allowing almond peach, apple and citrus fruit but carbon dioxide to be produced by natural finishing dry. sugars in the grapes. This production method is contrary to the Methode Champenoise, The Shout NZ’s newest wine where the base wine is fully fermented, then writer Stephanie Guth is the undergoes a secondary fermentation in Sommelier at The French bottle with the addition of yeast and sugar. Café in Auckland where she Unlike Champagne, Pét-Nat is not disgorged, is responsible for the wine and may or may not be filtered. list and assisting with the

The taste Pét-Nats have a light and fizzy mouth-feel, usually slightly sweet and generally low in

bar programme. Originally from Canada, Stephanie has worked in Toronto, Italy and England and names South Africa as her number one bucket list wine destination. FMCG BUSINESS: THE SHOUT - OCTOBER 2017

[ people ]

MEET THE WINEMAKER Introducing some of the talented people behind New Zealand’s most successful vineyards.

Chloe Gabrielsen

Andrew Keenleyside

Head Winemaker for Lake Chalice Wines Raised in Turangi on the shores of the mighty Lake Taupo, Chloe’s early exposure to viticulture began with helping her parents pick out wine from the local store (fiends for a big Aussie red). After finishing college in 2001, Chloe moved to Marlborough to pursue a Bachelor of Viticulture and Oenology through Lincoln University, completing her first harvest at the Saint Clair Family Estate in 2006. Now more than 10 vintages later, Chloe represents Lake Chalice Wines as the Head Winemaker, delivering a fresh perspective to a wine label with more than 25 years of pedigree. Alongside a brand refresh for Lake Chalice wines, 2017 will see Chloe producing a higher number of single vineyard expressions of Lake Chalice’s uniquely diverse vineyards.

Winemaker for Akarua Andrew Keenleyside has been a key member of the Akarua team since 2009 when he joined as Assistant Winemaker. More than ready for the next progression in his career, Andrew was promoted to Head Winemaker in 2015. After graduating from Massey University with a Degree in Applied Science, he spent three years as a vineyard manager in the North Island, before realising his ambition was to become a winemaker. With seven years also working in the renowned wine regions of California, Germany and Oregon, Andrew’s international experience provided him with the platform to hone his skills in Central Otago. Andrew believes that his challenge as a winemaker is to capture the intensity of flavour of the grapes at the optimum point; at the peak of flavour and the threshold of ripeness. Central Otago as a region offers plenty of uncharted territory. Every vintage is a journey, with a new set of challenges.

Tim Adams

Dave Edmonds

Head Winemaker for Toi Toi Toi Toi Head Winemaker and Viticulturist, Tim Adams, is looking forward to drawing upon his winemaking experience to help the brand continue to evolve. Tim is based in Marlborough and has taken on responsibility for Toi Toi’s winemaking and viticulture, working with company-owned and grower vineyards in Marlborough, Central Otago and Gisborne. With almost two decades’ experience making quality wines, Tim has spent the past decade winemaking for Astrolabe wines. He also has international experience, having worked vintages in France, Australia, the USA and Slovenia. At home, he has made wine in Marlborough, Waipara and Central Otago. Tim is passionate about quality Marlborough grapes, in particular, Sauvignon Blanc and he is looking forward to making Toi Toi Sauvignon Blanc for markets including Australia, the USA, the UK and Canada. Additionally, Tim says the opportunity to get back and make Central Otago Pinot Noir is very exciting.

Senior Winemaker for Nobilo After earning a degree in horticulture science at Lincoln University, Dave headed to Hawke’s Bay for his first vintage, unsure whether he’d pursue viticulture or winemaking. “I was hooked on winemaking by lunchtime on the first day,” he says. This passion for wine has taken him to Germany, California and back to New Zealand, joining Nobilo as Senior Winemaker in 2002. “I’ve always been drawn to Sauvignon Blanc’s capacity to bring the palate alive. The tools for making wines of complexity and depth have never been greater—my mission is to unlock the undiscovered possibilities,” says Edmonds. He’s also passionate about fostering the next generation. Each year, Constellation Brands (which owns Nobilo) offers scholarships to students pursuing a career in wine. Dave recently returned to Lincoln University to interview candidates. “Many students don’t know if they’ll take the winemaking or viticulture route. It’s up to us as an industry to help guide them.”

FMCG BUSINESS: THE SHOUT - OCTOBER 2017