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Jul 12, 2018 / Richard Hall

Dairy brands high in global rankings

Out of 43 countries assessed by Kantar Worldpanel for brand strength of consumer preference, dairy brands came top overall in 10:

BLOG-12JULY2018-DairyBrandsHighInGlobalRankings

This was in spite of global brands having a lower share in dairy than any other sector. Local brands accounted for 80% of dairy spending, with global brands making up the remaining 20%.

Jul 10, 2018 / Richard Hall

Top global food and drink brands

Kantar Worldpanel’s latest ranking of consumer brands has amazing coverage and contrasts.

The analysis encompasses 18,000 brands across 43 countries that account for 75% of the world’s economy. The 5 chosen sectors include beverages, dairy and food but exclude alcohol. To be considered, a brand has to be available in 2 continents. The measure used is active consumer choice during 2016/17.

Among beverages and dairy, the top brands are:
Blog-10JULY2018-Top Global Food and drink brands

In online reach, Yoplait, Wall’s and Tropicana score more highly than any of these, with President also in the top 25.

Global brands account for just 20% of dairy spending, compared to 38% for beverages.

Local brands increased their overall share slightly in 2017 to 64.6%, up from 63.8% in 2015.

Jul 5, 2018 / Richard Hall

58 acquisitions in June

A total of 58 transactions were recorded in the bevblog.net mergers and acquisitions database for food and drink deals in June 2018.

3 topped $500 million, with one of them amounting to over $10,000 million:

• $10,900 million in frozen food for Conagra to buy Pinnacle Foods in the United States

• £1,450 million in packaging for UK-based DS Smith to purchase Spain-based Europac

• $600 million also in packaging for Platinum Equity to gain 51% of Ball’s steel food assets in the United States.

12 of the equity initiatives were funding rounds of various kinds.

Of the 58, 13 were in alcohol, 7 in soft drinks, 5 in packaging, 5 in services and 3 each in dairy, ingredients, meat and snacks.

35 were within individual countries, including 24 in the United States and 7 in the United Kingdom.

23 were international, involving 20 countries.

Overall, the United States featured in 33, the United Kingdom in 17, Spain in 4, France in 3 and the Netherlands in 3.

Jul 3, 2018 / Richard Hall

3 weeks to decompose water bottle

I read it too. A story from Australia. It sounds so good. But I question its wisdom.

The Choose Water bottle has an outer lining of recycled paper and an inner lining of composite material. The bottle “can fully decompose within 3 weeks when left in water or landfill and can be eaten by sea creatures.”

Surely the solution is not to encourage disposal, but instead to collect and re-use ?

More sea creatures will be saved that way than by decomposition.

I have doubts too about shelf life and product integrity, but what about the label and the cap ?

Apparently, “the steel cap on the bottle will also rust and fully decompose in about a year.” I’m not sure that can be true or desirable.

Jun 28, 2018 / Richard Hall

Strong growth for organic

Organic food and drink sales now seem back in strong growth almost everywhere, even where they had slowed or fallen in recent years.

The latest US figures from the Organic Trade Association highlight the successes, but also point to some interesting contradictions.

• 6.4% growth in 2017 to a record $45.2 billion from 24,000 certified organic operations and now accounting for 5.5% of overall retail value.

• Fruit and vegetables the largest segment, up 5.3% to $16.5 billion.

• Dairy and egg in second place, up a much lower 0.9% to $6.5 billion, but organic dairy ice cream was up more than 9% and organic cheese up nearly 8%.

• Beverages in third place, up 10.5% to $5.9 billion, led by fresh juices up 25% to $1.2 billion in contrast to continuing declines for non-organic juices.

Jun 26, 2018 / Richard Hall

Obesity and soft drinks don’t add up

Carbonated soft drinks volumes are relatively stable in many countries and in long term decline in the United States.

Calories in soft drinks are falling on both sides of the Atlantic.

Yet obesity is not following a similar path anywhere, as far as I am aware.

The obesity figures recently reported in The Sunday Times are quite shocking:

• For adults in the United States, up from 23% in 1991 to 38% in 2014.

• For adults in the United Kingdom, up from 14% in 1991 to 27% in 2015.

• For children aged 12 to 15 in America 21% aged 11 to 15 in England 23%.

• For children aged 9 to 11 in America 18% and aged 10 and 11 in England 20%.

• For children aged 2 to 19 in America 29%, UK 28%, Ireland 27%, France 18% and Japan 14%.

The UK Government forecasts that 50% of UK adults will be obese by 2050, costing £10 billion a year in health service provision and £50 billion a year to the wider economy.

The figures will only slim down if policies are given added weight.

Jun 21, 2018 / Richard Hall

Update of dairy sustainability

After 10 years of its Dairy Roadmap sustainability programme, the UK dairy industry has reported on its progress over that time.

The results are to be commended:

• 24% reduction in greenhouse gas emissions from milk production

• 24% increase in water efficiency

• 18% uplift in energy efficiency

• 85% of HDPE milk containers now recycled

• almost 90% drop in waste to landfill from 35% to 4%.

Also of note:

• Dairy is the largest UK agricultural sector, accounting for 15% of output value, worth £8,800 million in wholesale sales and employing over 70,000 people.

• The UK dairy sector is no 3 in Europe and no 10 worldwide.

Jun 20, 2018 / Richard Hall

Dairy preferred to plant-based

Despite their growth, plant-based alternatives to dairy are not as popular as might be expected, according to consumer research by Cargill, as published for the United States in the May 2018 edition of Dairy Foods.

• Just 13% of US consumers are dairy avoiders, with 10% limiting their consumption and only 3% consuming none at all.

• Only 12% prefer plant-based, with 8% also consuming dairy and 4% consuming just plant-based.

• A very substantial 42% consume both, with a further 24% having tried plant-based but disliking it and 21% never having tried it.

So plant-based still has some way to go.