New ice cream season in Germany: will bring
health--and indulgence: R&R and Langnese both letting out all the
stops to broaden markets.
by Shoemaker, Ted^Saulnier, John M.
Healthiness, in more ways than one, clearly dominates the coming
ice cream season in Germany. Along with the introduction of
healthy-eating products, producers and marketers of frozen confectionery
treats are hoping for a return to healthy profits as well in 2008.
The R&R Group is offering low calorie, vitamin rich
"Smoothies on a Stick," an EIS-ZOO range aimed at getting more
milk into preschoolers, as well as the Nasch line for diabetics and
others who have to watch what they eat. Meanwhile, Langnese has expanded
its Cremissimo "Leichter Genuss" range of treats with 40% less
fat.
Producers can't wait to put the still lingering after effects
of the 2007 season behind them forever.
"Last year was not a bad year, it was a disastrous year,"
candidly commented Achim Schon, chairman of the R&R Ice Cream Group,
when interviewed by Quick Frozen Foods International (QFFI) at his
office in Osnabruck in March. "It is no secret that everybody in
the ice cream business in Europe suffered losses in 2007."
But it was not only the cool hand played by Mother Nature--which
reduced demand by shortening the summer season weather-wise--that
negatively impacted bottom lines. The wrath of skyrocketing raw material
costs took a major toll as well, with butter, milk and cream more than
doubling in price. Cocoa and sugar also became much more expensive,
along with packaging and energy. And now, workers are demanding more pay
to keep up with inflation.
After more than a decade of relatively stable prices for food
commodities, rising demand for dairy products in Asia coupled with
limited supply meant that European consumers and all other buyers around
the world had to pay more at the store or walk out the door.
"For the first time in many years," we had to go back to
our retail clients and renegotiate contracts," said the chairman.
"Needless to say, this was not a pleasant experience for either
party at the table."
But with Spring again in the air, hope springs eternal for a normal
return to summertime, when the living is easy and increased sales of ice
cream products is high on the agenda.
Meanwhile, Hans-Dietrich Kuhl, who is currently serving as
R&R's chief sales officer for Europe, is poised to assume
operational responsibility for the unit on July 1. He will thus succeed
Mr. Schon in running day-to-day activities in advance of the 65-year old
chairman's official retirement from the company on July 1, 2009.
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But don't for a minute expect the energetic chairman to
retreat to a full time life of golf, sailing or other leisurely
pursuits. "I will remain on the board and be available for
consultation," the chairman told QFFI.
Mr. Kuhl brings more than 15 years of experience in the food and
beverage business to R&R, having previously worked in the juice and
frozen seafood industries. His expertise in branded and private label
product sales, as well as extensive contacts among wholesale and retail
buyers, has already been put to good use.
"The ice cream business is very seasonal, and thus very
challenging," said Mr. Kuhl. "We aim to build upon an already
highly efficient production organization by increasing sales among our
established customers, while also further expanding market development
abroad. The introduction of creative new products, such as Smoothies, is
an important part of this strategy."
Smoothies have become quite popular in recent years because of
their fruitiness and richness in vitamins. Now R&R has been licensed
to use one of the world's leading fruit brands, Del Monte, in
offering the world's first "Smoothies on a Stick." The
R&R Group (Fax +49 541-9999-200), Europe's third largest ice
cream producer, was formed recently following the merger of
Germany's Roncadin GmbH and Britain's Richmond Ice Cream.
The first three of these premium smoothie flavors are pineapple,
mango and raspberry, all guaranteed made from real fruits, fruit juices
or fruit juice concentrates, and containing fewer than 100 calories.
They come either three to a multipack, suggested for retail at 2.39
euros, or as a impulse item at 1.20 euros. The introduction was promoted
with a media campaign.
In the EIS-ZOO range, each multipack contains six milk ices on a
stick: three vanilla lions and three chocolate elephants. Two of these,
made without additives, deliver the equivalent calcium (130ml) of a
glass of milk. They were designed for children aged three to six, with
small, 50ml portions and a stick that is just right for tiny hands. If
the product awakens an interest in the kids, they can learn more about
the jungle animals from the back of the package. The multipack is
suggested for retail at 2.79 euros.
Stick ice creams such as these are very popular in Germany.
According to Eis Info Service (EIS), Germans consume more than a billion
of them a year. And that has led R&R to bring out still another ice
cream on a stick. It is offering its beloved, creamy Landliebe that way
too. It's initially available in two flavors, Apple Vanilla, shot
through with yogurt and a Bourbon vanilla sauce, and Black Cherry,
refined with yogurt and a cherry sauce. The 100ml treats come either in
multipacks of four for sale at 2.89 euros, or as an impulse item for gas
stations and kiosks, to be retailed at 1.20 euros.
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R&R's Nasch Premium range is serving the ever growing
demand for products that taste good and are nevertheless suitable for
diabetics and others who must carefully watch what they can safely eat.
The variety of Nasch products has been extended by one more item: Schoko
Waffeln, an extra creamy vanilla ice cream sandwich half covered with
chocolate. They come in a multipack containing six 85ml units.
The Nasch assortment includes other ice cream sandwiches, ice
creams on a stick, cups and tubs. Some are also made with soy milk
rather than cow's milk and hence are free of the lactose to which
some people have an intolerance. The package, which gives the bread
exchanges (BE) of each product, has been newly redesigned.
Cremissimo Slims Down with Leichter Genuss
Hamburg-headquartered Langnese (Fax: +49 40-3490-3520), too, is on
a health kick. It has expanded its Cremissimo "Leichter
Genuss" (Light Pleasure) range by two fruit items with 40 percent
less fat. The Apricot-Mango flavor is combined with yogurt and shot
through with an apricot sauce and pieces of apricot, while the
Strawberry flavor likewise contains yogurt and is similarly shot through
with strawberry sauce and whole strawberries. They come in 850ml tub
packaging recommended for retail sale at 2.99 euros.
Following the success of its recent "From the Heart"
range, Langnese Cremissimo is trying another emotional theme: this time
the yearning for travel. The two items aimed at awakening the
consumer's wanderlust are Sudseezauber and Andalusische Traume.
"South Sea Enchantment" features a creamy coconut and
pineapple ice cream shot through with pineapple sauce, plus a shot of
ruin and some chocolate seashells. "Andalusian Dreams,"
meanwhile, combines orange and vanilla ice cream with a wild
cherry-sherry sauce and some chocolate hearts. They come in a 900ml tub,
suggested for retail at 2.99 euros.
In the "Vom Herzen" range ice cream and chocolate bits
were formed into such shapes as hearts, "come hither" lips and
"cloud nine."
And there is still more: Langnese is out with a large number of
other new items for 2008. They include the return of the sorely missed
Nogger Choc, products themed to 2008 events, and the increased use of
multipacks with a variety of contents.
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Nielsen reports that Langnese's Magnum Classic is
Germany's best selling impulse ice cream, so it is natural that one
of the latest introductions is to this assortment. Magnum Temptation is
creamy vanilla ice cream on a stick, shot through with caramel sauce and
crisp chocolate-coated California almonds. The whole thing has a thick
coat of milk chocolate. Magnum Temptation comes in a newly designed box,
and was introduced with a TV spot featuring Eva Longoria, who plays
Gabrielle Solis in the ABC television series Desperate Housewives.
Nogger Choc was reportedly returned to the market on the demand of
many fans who missed it. The Vanilla flavored ice cream on a stick with
a core of nougat now joins a newly introduced Nogger product: the
Riegel. It consists of vanilla-flavored ice cream with a core of caramel
sauce and a coating of fine chocolate with crispy bits.
The Cornetto cones have been quite successful for Langnese, with
Nielsen reporting a 43% increase in their market share. An important
role was played here by the Choco Disc, in which a disc of chocolate
topped the cone. Noting this, the company is now introducing the
Cornetto Frutti Disc, with a wild berry disc topping a cone full of an
ice cream shot through with a wild berry sauce. Also new this year is
the Cornetto Royal Schoko Vanilla cone full of creamy vanilla ice cream
laced with chocolate sauce and topped off with crunchy balls.
New for the Children
Two of this year's innovative new items for children are tied
to events. Calico Shots Batman, right out of Gotham City, is timed to
the release of the superhero's newest film. The Dark Knight is
pictured on the black package, which is full of little black and white
balls of ice cream with either a cola or a lemon flavor.
COPYRIGHT 2008 E.W. Williams Publications,
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NOTE: All illustrations and photos have been removed from this article.