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Newsletter 25 February 2011

This week’s news! Click here!
SA: Famous Brands goes shopping again.

SA: Shoprite ready to take on Wal-Mart in a price war.


SA: Food Control agency to be fast-tracked by govt.

Nestle’s strategy in dealing with price hikes.

Coca-Cola and Heinz partner on the PlantBottle.

Cornish pasty gets protected status.
The big food trend is food trends!

Relaxation drinks continue to sizzle.
Update on SA kid’s health since 2007.
High vitamin-D bread could help solve widespread insufficiency problem.

Focus on lower fat foods.
Mother’s milk may determine later taste preferences.
Killer paper: next generation packaging.
Out with tuna, in with sardines.
Horse semen on the menu at NZ food festival!


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Editor’s Stuff – An entirely new beverage category in the making?
Dear Brenda Neall,
It has been a quiet week on the local food industry front, and so it’s a story of out the US that piqued my interest and which is worth highlighting here…

The success of Apple, Microsoft, Google and the likes, can be attributed to the fact that their founders have “envisioned markets that do not yet exist and have staked them out ahead of the competition”. Those are the words of the late, great business thinker CK Prahalad. Well, it would seem that America’s food behemoth, Kraft Foods, has taken Prahalad’s advice to heart with its latest launch announced this week.

Kraft is hoping to make a big splash with an exciting new beverage concept, called MiO water flavouring, and which it believes will create a whole new beverage category. As this report in USA Today puts it: “Just when you figured there were no new ways left to tweak water, along comes Kraft with a product almost certain to raise eyebrows and seriously shake the $1-billion water flavouring category: liquid water enhancer. In March, Kraft Foods will rollout of MiO (“mine,” in Italian), a zero-calorie, concentrated line of liquid flavourings — from Berry Pomegranate to Strawberry Watermelon — sold in sleek bottles that look like palm-sized water droplets … ‘This is the next big thing,’ says Roxanne Bernstein, director of the MiO brand.”

Time will tell if this is to be a whole new drinks category or just another close-to-the-core-business line extension. According to researchers as diverse as Mintel and PriceWaterhouseCoopers, less than 5% of new food-bev products can actually be classified as innovative in any way. Perhaps that’s the reason why 90% of new product launches fail. Enjoy this week’s read!


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Feature article of the week

UK: Finger lickin’ gone: KFC joins the health kick

One of the world’s most famous advertising slogans is to disappear. Since the 1950s Kentucky Fried Chicken, or KFC, has described its meals as “finger lickin’ good” , but, in an attempt to keep up with healthier eating trends, will now use the phrase “So Good”. KFC has also pledged to display the calorie count of its main items, launch its first grilled product and switch to rapeseed oils to reduce saturated fats.

And what’s behind KFC’s climb on the healthy eating bandwagon? Read what the fast food chain is trying to achieve and how the rest of the industry is changing.

FOODStuff SA is published and edited by Brenda Neall.

Published every Friday on http://www.foodstuffsa.co.za/, this newsletter is a cherry-picking, agglomerating service for all food and beverage industrialists. To read the actual newsletter you need to go to the website. Click here

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