FDBusiness.com

Haribo devotes division to travel retail

 Breaking News
  • Lactalis Expands in Infant Nutrition With €740 Million Acquisition Lactalis Group, the international dairy group based in Laval, France, is acquiring the Nutritional business of Aspen Pharmacare for €739.8 million (R12.9 billion). The business being acquired supplies a wide range of infant nutritional and growing-up milk products across both the premium and value segments. It manufactures and markets well established quality brands, including S-26, [...]...
  • Thatchers Cider to Invest £14 Million in New Cider Mill Thatchers Cider, the family owned English cider producer, is to invest £14 million in a new cider mill at its Myrtle Farm site in Somerset to meet growing demand for its products. The company has applied for planning permission and, if granted, the new mill would come on stream in 2019. “This investment is about our [...]...
  • Coca-Cola Great Britain Teams Up With Premier League Premier League and Coca-Cola Great Britain have announced a new three-and-a-half-year partnership, starting in January 2019. It is the first sponsorship Coca-Cola Great Britain will activate across multiple brands within its portfolio, showcasing a range of drinks including sparkling soft drinks, water and fruit-based drinks, with low and no-sugar options. The partnership will see Coca-Cola work [...]...
  • Barry Callebaut Completes $30 Million Capacity Expansion in North America Barry Callebaut, the world’s leading manufacturer of high-quality chocolate and cocoa products, has announced the completion of several expansion investments in three of its North American facilities located in St Hyacinthe, Quebec; Chatham, Ontario; and St Albans, Vermont. The investments amount to close to US$30 million and are in line with previously announced plans. Recent investments [...]...
  • Strong First Half From Hilton Food Group Hilton Food Group, the UK-based leading specialist international food packing business, has reported a 25.0% increase in turnover to £863.6 million and by 24.5% on a constant currency basis for the 28 weeks to 15 July 2018. Volumes increased by 12.7% reflecting growth in the UK, Ireland and Australia. Operating profit for the first half [...]...

Haribo devotes division to travel retail

April 23
13:36 2013

Haribo has spotted an untapped opportunity for sugar confectionery in travel retail and has set up a new division dedicated to the channel to fill the void.

The company has been in the channel for some time, but sales were previously managed by around 35 subsidiaries in its operating countries.

Manuel Coronilla, head of the new division, told ConfectioneryNews.com: “We are centralizing this part of the business,”

“Last year we saw the potential. We saw that we can we can develop in this sales channel and saw a big increase without making big efforts.”

Few players

Coronilla, who has worked at Haribo for 11 years, said that between 80-90% of confectionery in travel retail was chocolate, such as Mondelez’s Toblerone and Yıldız Holding’s Godiva chocolate.

He said that sugar confectionery only made up a maximum of 20% of the category, with Perfetti Van Melle’s Chupa Chups the only other major recognizable brand.

“There we see the potential. In sugar confectionery you don’t have that many.”

Travel retail: A whole new world
Coronilla said that in travel retail you need to understand “the traveller”.

“It’s a completely different world. They buy for different reasons”.

Some will buy a treat on impulse to eat while travelling; others will buy confectionery to share with families, while some buy products as gifts.

Unlike traditional retail, the duty free channel is much more about the brand, the customer shopping experience and creating a sense of luxury akin to the glamorous spirits and cosmetics found at airports, said Coronilla.

Take taste preferences on holiday

He added that confectioners must also cater to local preferences. For example, many British people take vacation in the South of  Spain.

“You should offer them something they know,” said the division head.

Although it is not big in Haribo’s home market, Germany, Starmix is the Haribo’s bestselling UK product and would be a safe bet, he said.

“Asian people spend more than the average European consumer,” he continued, making it possible to offer products at higher prices in Asian airports.

New products and growing markets

Haribo’s travel retail division is currently very fragmented. The firm exports to 100 countries, but operates in around 40-50 countries in travel retail.

The candy maker is currently doing business in the channel with German firm Heinemann, Swiss Group Dufry and Asia-Pacific firm DFS Galleria among others.

“Asia is a growing market and definitely the Americas,” said Coronilla.

About Author

colin

colin

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • September 15, 2018iba
  • September 25, 2018PPMA Show 2018
  • September 27, 2018Int'l Fruit Show (eurofruit)
  • September 30, 2018Trade Fair for Butchers, Caterers and Meat Industry (Meat Expo)
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber





Subscribe Here



Advertisements