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Heineken Malaysia launches 0.0% Tiger Radler, sleek cans in Singapore

Heineken Malaysia Bhd has launched the all-new 0.0% alcohol Tiger Radler Lime Mint. Described as a sparkling malt drink with natural citrus juice, the alcohol-free drink is now available at selected stores in Malaysia from December 2017 onwards.

Tiger Zero a precursor to Tiger Radler Lime Mint

The new Tiger Radler Lime Mint 0.0% reminds me of Tiger Zero, which was made available on a trial basis at selected food service establishments including at Sanoook in October-November 2016. Obviously, the company decided not to proceed with Tiger Zero and replaced it with a Radler version in the form of the new Tiger Radler Lime Mint 0.0%.

Heineken Malaysia now has two non-alcoholic products under its stable – Tiger Radler Lime Mint 0.0% and the lightly carbonated Malta. The latter does not contribute much to the company’s revenue – only a few percentage, according to the company.

Bintang Radler 0.0% in Indonesia since 2016

In Indonesia, PT Multi Bintang Indonesia Tbk was quite early to the game with the launching of the lemon version of Bintang Radler 0.0% in 2016. The zero-alcohol drink was given a packaging makeover in 2017.

Excise tax spurs interest in non-alcoholic segment

As reported by The Edge Markets, Heineken Malaysia Bhd Managing Director Hans Essaadi said in July 2016 that “historically, we stayed away from the non-alcoholic segment, but with the revised excise tax in place and consumer trend that we are seeing, we need to explore.”

The Malaysian government revised its beer excise duty structure to RM 175 per 100% volume per litre from previously RM7.40 per litre and 15% ad valorem tax with effect from 1 March 2016. The new tax regime resulted in the elimination of the ad valorem tax and led to a 10-12% increase in the beer’s excise duty. The new

He rightly said that any new product from the non-alcoholic segment would be realised only in 2017.

Here are the NPDs by Heineken over the years

Also launched in December 2017 is the limited edition Grapefruit variant with a 2% ABV.

2% ABV for new Tiger Radler Lime & Ginger in Singapore

In Singapore, Heineken debuted the new limited edition flavour Tiger Radler Lime & Ginger with a 2% ABV and the sleek can for the existing Tiger Radler Lemon.

Sleek can to meet today’s demand

The new can size meets today’s consumer preferences in terms of being sleeker, easier to hold and transport and able to chill quicker than the regular cans. “At Tiger Beer, we always strive to be at the forefront of innovation. Our new sleek cans are more stylish and sophisticated, an appearance that is as refreshing as the much-loved Tiger Radler within,” says Ms Venus Teoh, Marketing Director at Asia Pacific Breweries Singapore.

 

Tax on sweetened beverage in Philippines a game changer

Pepsi-Cola Products Philippines Inc. was reported by the Philippine Daily Inquirer on 21 December 2017 of planning to reformulate its drinks following the passing of the law by the Philippines government to raise taxes on sugar-sweetened beverages.

Taxes on sweetened drinks passed

The recent passing of the Tax Reform for Acceleration and Inclusion (TRAIN) bill in December 2017 saw the following taxes imposed:
  • PHP 6 per liter tax on drinks containing caloric or non-caloric sweetener
  • PHP 12 per liter tax on drinks containing high fructose corn syrup (HFCS) or combination

Exclusion includes stevia and coco sugar

However, all milk, whether powdered, ready to drink, flavoured or fermented, will be excluded from the tax, as well as ground and 3-in-1 coffee and 100% natural fruit and vegetable juices, meal replacements and medically indicated drinks and beverages sweetened with stevia or coco sugar.

The TRAIN bill favours stevia and coco sugar and there will likely be a strong push towards drinks sweetened with these in the future to avoid the hefty tax.

Pepsi to go for 100% sugar

At the moment, Pepsi-Cola Products Philippines uses 40% HFCS and 60% sugar. The soft drink company said it will reformulate to use 100% sugar. It will sell its HFCS inventory to other companies (possibly a Vietnam entity) to avoid loss. A source at Pepsi said the company started to reformulating its beverages as early as May and the taste will remain the same, reported the Philippine Daily Inquirer.

HFCS has been a contentious issue

The importation or in some instances the smuggling of HFCS into the Philippines has been blamed by local sugar planters for causing the drop in sugar prices. In March 2017, 6,000 people protested in front of the Coca-Cola factory in Bacolod City to demonstrate against the company’s preference for the use of HFCS instead of locally-sourced sugar.

At the end of November 2017, the Sugar Regulatory Administration (SRA) as reported by Manila Bulletin temporarily stopped the importation of HFCS to arrest the decline in sugar prices.

Coca-Cola shifting to local sugar

An earlier article in the PhilStar in April 2017 mentioned Coca-Cola used 90% HFCS and just 10% sugar. But the company has already taken steps and has increased its purchase of local sugar by more than 80% in 2017 to 2 million bags compared with 2016 where it bought 1.1 million bags, reported the Philippine Daily Inquirer on 7 December 2017.

The TRAIN bill has been a momentous event for the Philippines beverage industry. Price hike is imminent in 2018 and reformulation of the sweeteners used in beverages will become a key challenge for industry players. There will likely be more impetus to use stevia of coco sugar as sweeteners going forward.

 

 

Fuze Tea quenching the thirst at Burger King

Image from Brand Buffet

Coca-Cola (Thailand) Co., Ltd. has introduced Fuze Tea in Burger King outlets in Thailand. The introduction of the billion-dollar brand enlarges the beverage choices for patrons of the fast food outlet, which has around 80 outlets in the country.

The partnership with Burger King marks the debut of the ready-to-drink Fuze tea in the foodservice channel in Thailand. There is a possibility Fuze Tea will be made available in the retail channel down the road but it is just the author’s speculation. Nestea is served at McDonald’s.

What Mini Me thinks

Partnership with fast food provider has been a key focus for beverage companies in view of sluggish sales in the retail channel. We have seen F&N’s 100Plus successfully entering McDonald’s in Malaysia riding on the fast food chain’s 16% year-on-year growth in sales in 2016 and 22% growth in revenue in 2017.

 

Zico comes to Thailand

Zico, the US coconut water brand from The Coca-Cola Company, has finally arrived in Thailand. Zico is described as a “premium coconut water hand harvested from coconuts in Thailand, Indonesia, and the Philippines” on its brand website’s FAQs. We have already seen signs of the imminent launch of Zico.

Available at Makro and in two sizes

In Thailand, Zico will be available initially at Makro stores, said Karaked Puribhat, integrated marketing communications manager of Coca-Cola Thailand. It will be available in 1 litre (THB 95) and 250ml (THB 30).

It is interesting the company is making available Zico at Makro first and not 7-Eleven, which is more accessible due to its vast network of stores. However, there are quite a number of coconut water in 7-Eleven where competition is more intense.

As reported by Bangkok Post, “the demand for naturally sourced health products among Thai consumers has increased exponentially, and the market value for coconut water worldwide is forecast to [more than double] by 2020,” said Mrs Karaked. Zico is 100% premium coconut water with no added sugar.

The company said the current household penetration of coconut water in Thailand is low at a mere 2% citing Nielsen and Kantar data and this means the growth potential is there.

Regionally, Zico is available in Australia (first launched in 2014), China (2016), Singapore (2016), Malaysia (2016) and India (2017).

Pop Mie Pedes Dower makes your lip swollen

Spicy until your lips become swollen is the power of the new Pop Mie Pedes Dower by Indofood. The new cup noodle contains chili from Lombok to turn your lips swollen (dower).

Pop Mie targets consumers between the ages of 15 to 25 years old. The marketing message is designed to be as creative and funny as possible to appeal to the sense of humour for this age group. Featuring in the ad are university students, a Korean drama fan and a teenager who does not like to drink plain water.

https://www.facebook.com/PopMieNoodles/videos/1678199025535161/

For those who feel cold, tired or do not like to drink plain water, the new Pop Mie Pedes Dower is the solution because the spiciness will keep your warm, energise and make you want to drink more fluid.

Pop Mie also invited two popular Youtubers – prankster Brandon Kent and Tanboy Kun who challenges himself to the spiciest food and other extreme food challenge to try the new Pop Mie Pedes Dower.

Pop Mie Pedes Dower (75g) is priced at IDR 5,000 on the Indomaret online store.

What Mini Me thinks

Pop Mie Pedes Dower taps into the prevailing spicy food trend in Indonesia, a trend that has been successfully used by Bon Cabe spicy seasoning, Maicih snack and Samyang instant noodle through the Samyang spicy noodle challenge.

Dutch Lady embraces the Dark Side

Brands are in the Star Wars mood following the release of Star Wars: The Last Jedi. In Malaysia, Dutch Lady has introduced Milky featuring two Star Wars characters – Darth Vader and Stormtrooper in 225ml design available in strawberry and chocolate flavour.

They are available at 7-Eleven, myNEWS, FamilyMart, Happy Mart, Petronas, Shell, Petron, BHP Petrol and Caltex.

Dutch Lady has previously tied up with Disney and Marvel for its Milky flavoured UHT milk featuring characters from Frozen and The Avengers to encourage children to drink more UHT milk.

The Star Wars-themed packaging appears to be the first time Dutch Lady embraces character bottle, which has been widely adopted in Indonesia by brands such as Aqua bottled water and Milkuat flavoured UHT milk.

What Mini Me thinks

The packaging is a canvas for brand owner to demonstrate their creativity. The occasional use of character bottle does help to create excitement for the product but the overuse of it will make character bottle rapidly lose its appeal.

Sunglo yogurt maker launches online ordering platform

Malaysia Yoghurt Company, the maker of Sunglo, has launched an online ordering platform on its website. Click here for the link. The minimum order is RM 60 of any product mix and free delivery in the Klang Valley and Seremban within 3-5 days.

Interestingly, the website has a list of products that one will not commonly find in the retail channel. Examples include Sunglo yoghurt in cup (90g) in various flavours selling for RM 1.10 each.

 

Coca-Cola Amatil to bring café-quality coffee to Indonesian homes

Coca-Cola Amatil has launched a new range of café-quality Grinders Coffee capsules and professional Caffitaly capsule machines in Indonesia.

The Caffitaly machines comprise:

  • High-end Milano milk-integrated coffee capsule machine with a recommended retail price of IDR 3.5 million
  • Compact Roma machine (IDR 1.8 million)
  • Compact Venice machine (IDR 2.6 million)
  • Bella milk frother (IDR 990,000)

 

The compatible coffee capsules are:

  • Grinders range of authentic café-quality coffees for coffee purists

  • Fix range of blended quality café-style lattes, infused with delightful flavours such as Caramel Latte, Moca Latte

  • Romanza range of delicious, sweeter style hot beverages to fit Indonesians consumers and customers who like sweet flavoured coffee. Romanza will have four flavours including Vanilla Cappuccino and Caramel Choccolato.

Machines and capsules will be available nationally through leading Indonesian retailers from 20 November 2017. Extensive in-store sampling, demonstration and education program will be given to consumers.

Grinders is part of the Coca-Cola Amatil Group.

In Australia, the company has rebranded its Grinders grocery range and are compatible with Nespresso and Caffitaly machines.

More information about Grinders and the Caffitaly machines in Indonesia can be found on this website www.grinderscoffee.id.

* Images from Grinderscoffee.id website and some of the text comes from the press release.

 

Anchor Dairy Malaysia releases shredded cheese

Fonterra’s Anchor Dairy has rolled out two new shredded cheese – Anchor Cheddar Shredded Cheese and Anchor Mozarrella Shredded Cheese – in Malaysia. Both are priced at RM 14.50 each (200g) on Tesco Online.

The new Anchor shredded complements the existing Fonterra’s Perfect Italiano, which is described as the “pizzamaker’s choice in cheese”, due to its superior stretch and browning properties. The  nutritional ingredients of Anchor Mozarrella Shredded Cheese (200g) and Perfect Italiano Mozzarella Traditional Grated (250g) are surprisingly the same.

The key ingredients in Anchor Mozarrella Shredded Cheese are mozzarella cheese (pasteurised milk, salt, culture, enzyme), anti-caking agent and permitted preservative.

The price on a per volume basis for Perfect Italiano Mozzarella Traditional Grated is slightly more expensive at RM 72.5 per kilogram versus RM 71.4 for Anchor Mozarrella Shredded Cheese.

It is packed in Australia from New Zealand cheese and manufactured by Fonterra Brands (Australia) Pty Ltd distributed in Singapore, Malaysia and the Philippines by the respective local Fonterra units. It is certified halal by the Islamic Co-ordinating Council of Victoria (ICCV).

The Anchor shredded cheese competes mainly with Emborg.

 

 

Breakfast on the go with Nestle Koko Krunch Bar

Nestle Koko Krunch bar is finally in Malaysia following its roll out across Southeast Asia. Click here for the previous post on the launch of Nestle Koko Krunch bar in the Philippines and Indonesia.

In Malaysia, the new bar is marketed as ‘Breakfast anytime, anywhere.’ In the Philippines, it is ‘Goodness on the go’, while in Indonesia, it ‘Cereal in a convenient packaging.’ The marketing message in Malaysia focuses on the breakfast occasion.

RTE as the next segment of growth

Ready-to-eat (RTE) has been identified by Nestle Malaysia as the next product growth engine, reported CIMB Research on 7 November 2017 in The Edge Markets. The report mentions Nestle saying the RTE segment is the fastest growing product category for the group, growing at a double-digit pace. The RTE includes RTD (ready-to-drink).

Seen in this prospective, snack bar is likely to be part of this convenience trend.

 

 

 

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