Juice meets coffee
PURCHASE, N.Y. — PepsiCo is testing the waters of a new beverage segment with Kickstart, a new breakfast drink that’s a mix of Mountain Dew and 5% real fruit juice. The beverage comes in two flavors, orange citrus and fruit punch, and has 80 calories per 16-oz. can, about half the calories found in a typical soda.
So far, Kickstart is being positioned as an alternative to coffee or juice, and not as an energy drink.
Higher alcohol content, craft beers brew sales
Brewers finally have something to celebrate. After three years of flat performance, the category is up 5.3% due to a flurry of new introductions. In an attempt to keep the momentum going, Anheuser-Busch InBev introduced several new products just in time for the Super Bowl.
The newest launch is Budweiser Black Crown, a beer the brewer claims has more body, color and hop character than the flagship lager, as well as a slightly higher alcohol content, at 6% alcohol by volume.
Industry experts say A-B is betting large on the launch and hoping it does proportionately for Bud what Bud Light Platinum did for the Bud Light brand.
In early January A-B InBev also introduced Beck’s Sapphire, a golden pilsner brewed with German Saphir hops. Sapphire, aimed at a high-end market and packaged in sleek black glass bottles, also features a 6% ABV. A-B InBev supported both launches with Super Bowl spots.
Increased alcohol content is a key trend. "Over the past two years, large brewers have launched new brands or brand extensions with higher ABV. The products span across high-end craft beers and above premium domestic beers, to the lower-priced economy beer segments. Our initial studies indicate that this could be working. The high ABV brands launched in 2012 sourced more volume from spirits than we would have expected," said Andrea Riberi, VP and group client director of beverage alcohol at Nielsen.
Craft beers are still seeing explosive growth and showing no signs of fatigue. "Crafts are the only segment to see double-digit growth for the past three years," Riberi said. She said hoppy and seasonal beers contributed significantly to segment growth, as did variety packs.
"Continued, aggressive expansion of distribution for major players outside of their core markets will continue to boost craft growth in 2013, as will the consistent flow of new entrants," she said.
Growth of imports has been spottier than craft beers. Stella Artois, Modelo Especial and Corona have been strong. Beer segments that typically have a strong Hispanic following have seen significant growth in recent years, according to Riberi.
Ciders are an emerging segment to watch. "In 2012, we saw 24 new brands enter the cider segment, two of which were in the top 20 brands by the end of 2012," Riberi said. That growth rate is showing no signs of slipping. "Existing brands will continue to offer new flavors and packages, and several other new brands will hit the United States this spring and fall."
The article above is part of the DSN Category Review Series. For the complete Beer and Wine Buy-In Report, including extensive charts, data and more analysis, click here.
Birds Eye to share marketing strategy, introduce new products at Partnership for a Healthier America summit
PARSIPPANY, N.J. — Pinaccle Foods brand Birds Eye has encouraged kids to eat their vegetables while simultaneously increasing its sales — and health advocates are taking notice. The frozen vegetable brand was invited to share its strategy at the Partnership for a Healthier America’s 2013 Building a Healthier Future Summit this week.
Sally Genster Robling, president of the Birds Eye frozen division at Pinnacle Foods, will discuss the company’s successful partnership with Nickelodeon, and Birds Eye executive chef Michael Christiansen will share his secrets for cooking for kids, based on his own experience as a father. He’ll also offer summit attendees tastings of the company’s four new additions to the Birds Eye Family-Approved Steamfresh Chef’s Favorite line, which are expected to hit grocery stores in the next few months.
Birds Eye went to the source for advice on how to make vegetables more appealing to kids. Thanks to its partnership with Nickelodeon, the company received more than 16,000 kid-created recipes through the "iCarly iCook with Birds Eye" campaign, and used those recipes as inspiration for new recipes and ideas, including the new Steamfresh Chef’s Favorite products.
The company has invested $6 million toward encouraging kids to eat more vegetables and committed to a three-year partnership with PHA last year. While the cause is a good one, it turns out it’s also lucrative. On Thursday, Birds Eye released its "2012 Progress Report," which showed significant increases in sales and overall growth in frozen vegetables during the promotional period. It also showed that Birds Eye was responsible for more than one-third of the frozen vegetable growth in the United States, according to a company press release.
For Birds Eye recipes and cooking ideas, visit BirdsEye.com/kids.