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Tiny Toblerones are allowing Kraft to scale new heights |
SWITZERLAND. Kraft Foods World Travel Retail Division grew its market share by value in the duty free confectionery market by two percentage points year-on-year for the first quarter of 2004, the company announced today.
Drawing on the first results of Generation’s Travel Retail Indicator Quarterly survey into the duty free confectionery market (see below for details), Kraft said it enjoyed a “high double-digit value share” within the confectionery category in 2003. In the first quarter of 2004 the company’s share grew by a further two percentage points in value and by 0.8 percentage points in volume.
General Manager Andreas Fehr said: “Value and volume performance 04 vs 03 were way above category average. Given the strong shipment performance in quarter two 2004, we expect our share to grow even further.”
Kraft’s best-performing brands were its “˜key stalwarts’, Toblerone and Milka.
Fehr added: “The overall recovery in the market has been an important factor, supported by several focused and highly-effective demand side initiatives.
“Our new product programme launched at last year’s TFWA World Exhibition in Cannes has been very well-received by our global partners, (foremost Tiny Toblerone),and is showing very encouraging results. The other significant development has been the far wider geographical expansion of our Milka brand. It has been supported by a programme of partnership activities in association with key customers.”
Kraft – the world’s number one confectionery house in travel retail with a global market share nearly twice that of its nearest competitor – faced tough competition in 2003 when its position in all regions came under vigorous challenge from competitors led by Nestlé and Masterfoods International Travel Retail especially. Companies such as Lindt, Cadbury and Ferrero also underlined their focus on the travel retail channel.
However, the Q1 2004 results underline Kraft’s successful new launches and its determination to maintain sector leadership.
ABOUT TRIQ: Travel Retail Indicator Quarterly (TRIQ) was launched by Swedish research house Generation last year, with the first findings relating to the first quarter of 2004.
Ten of the sector’s leading 12 companies contributed their sell-in numbers to the survey. Generation owner Yngve Bia is in the process of extending TRIQ to other key categories. A similar concept, also run by Generation, has existed for several years in the pivotal fragrances & cosmetics sector. Travel Retail Perfumery Report features supplier-fed sell-in data.
Generation is working with some of the trade’s retailers to launch Travel Retail Audit Quarterly (TRAQ), the industry’s first 100%-retailer-driven analysis of sales performance.
MORE STORIES ON GENERATION
Heathrow, Seoul, Dubai top Generation duty free rankings; Silja highest ferry company – 16/06/04
Generation is on-TRAQ to boost industry transparency – 05/06/03
