Page 43 - CW-MAY-JUNE-2020

“By moving quickly and supporting the industry in a range of government fora, the Australian Beverages Council has supported continuity of supply and ensured governments have received timely and accurate information from the drinks industry. “For many industries, there’ll be a pre-coronavirus and post-coronavirus chapter in their history, and the drinks industry will be no different. It has strengthened preparedness planning, sharpened the focus of commercial strategy and demonstrated how industry associations can demonstrate real value in times of crisis.” Looking forward Mr Parker says that as the effects of the coronavirus pandemic are managed in the months ahead, it’s anticipated that growth and greater stability in beverages will return. “Ongoing branding and marketing initiatives and product innovation are expected to continue to buoy industry revenue growth in the coming 12 months, supported by dynamic innovation in the broader drinks industry,” he said. “New product development continues to drive revenue growth and supports loyal and new consumers across the industry, with product segments such as energy, probiotic and sports drinks leading the charge. While these new products complement other established drinks, energy drinks have enjoyed growth as an alternative to coffee or tea, to match increasingly busy lifestyles.” Nootropic beverage Shine+, for instance, continues to perform “very well” in the petrol and convenience channel, says CEO Steve Chapman, given the strong demand for energy drinks. “Shine+ caters to a similar consumer need state of wanting a pick-me-up, but differentiates via its use of natural ingredients and nootropics, as well as containing low amounts of sugar and no artificial sweeteners,” he said. Mr Chapman says Shine+ is a premium brand with high RRP, which gives retailers a chance to increase its average transaction size and dollar margin. “This is important through winter,” he said, “as sales from other categories such as sports, water or more seasonal drinks aren’t delivering their usual sales volumes.” Addressing the rising popularity of probiotics is beverage brand Perkii. With “looking after oneself” taking centre stage in the wake of COVID-19, Perkii Head of Sales Carl Ryan says the company believes consumers will be seeking products to support their overall health and wellbeing even more than they have been. “Our newest winter-wellbeing flavour, Apple Ginger, is made with real ginger extract and Lactobacillus casei, one of the world’s most documented probiotic strains,” he said. He advises retailers: “\\\\\\\[Push\\\\\\\] on-shelf promotion and \\\\\\\[implement\\\\\\\] targeted POS on better for you, specifically functional food and beverages like Perkii with real health benefits around probiotics/gut health that will help keep \\\\\\\[consumers\\\\\\\] healthy through the winter season.” TO PAGE 42 BEVERAGES Suppliers address the virus Lion Dairy & Drinks Marketing and Innovation Director Darryn Wallace “Like so many in our industry, we’ve had to adapt our supply chains and service deliveries to meet the rapidly changing protocols enforced as a result of COVID-19. During the past few months, our key priority has been adapting our processes and protocols swiftly to suit the changing landscape. “Internally, we’ve implemented new government guidelines in our processes and procedures and worked with our people and partners to ensure clarity through clear communication and education. “As a company, we’re pleased with how we’ve responded to these immense challenges. We’ve worked closely with our people, our farmer and grower partners, and all our supply chain partners to allow an uninterrupted product supply to the Australian market.” Shine+ CEO Steve Chapman “We’re seeing a very strong uplift in sales in the supermarket channel, with people highly health conscious right now. Furthermore, we’ve observed that the energy drink category is one of the most resilient and strongest through an economic downturn. With Shine+ playing at the intersection of those two categories (health and energy) we’re positioned nicely. “Thankfully, we’re seeing strong sales in the petrol and convenience channel relative to the through-total-store traffic being down. “It’s a chaotic time and I’m unsure of how long this will last or how large it will impact us (either positively or negatively), but I’m grateful for our retailer partners and customers for working through this together.” MAY/JUN, 2020 CONVENIENCE WORLD 41