Nestlé set to unveil fresh initiatives in ambitious category growth drive

Nestlé will reveal the latest initiatives in its drive to make food the #1 most purchased category in travel retail at this year’s TFWA World Exhibition (Beach Village 02).

Ahead of the event, it is promoting its ambitions via a colourful makeover of The Moodie Davitt Report this week; these ambitions were the subject of a special edition of the Moodie Davitt Spotlight eZine published in recent days.

The company will launch brand and category initiatives within its VERSE (Value, Engagement, Regeneration, Sense of Place and Execution) model, including eight new travel retail-exclusive products, as it strives to “accelerate industry growth by tapping into unmet consumer needs within the vast opportunity offered by the wider food category”.

These include a new travel exclusive brand – Nestlé Sustainably Sourced Cocoa – that combines Nestlé’s Swiss chocolate expertise with sustainability. Launching in Cannes this is a direct result of Nestlé’s work with the Rainforest Alliance to support cocoa farmers and their communities.

“The fantastic news is that the strategy is already working and has been embraced by many of our key retail partners across the industry,” says Nestlé ITR General Manager Stewart Dryburgh.

“We are delighted to report that m1nd-Set research for H1 2023 shows that the purchase penetration of food (including confectionery) has increased from 30% to 35% of duty free buyers. This is the fastest growth of any category. Critically we are seeing this growth from both confectionery and non-confectionery with additional sales being incremental; in other words, with zero cannibalisation,” he said.

While confectionery continues to be the “beating heart of food”, noted the brand owner, it is the non-confectionery sector, including vitamins/minerals and health supplements, that reports the fastest growth across all travel retail sub-sectors. It also has a higher conversion rate than any other for the fast-growing Gen Z traveller, added Nestlé.

To ensure that growth continues, Nestlé ITR will continue to leverage its VERSE model to drive sales – and TFWA World Exhibition will provide the platform to announce these key initiatives to retail partners globally.

Value

  • Nestlé Sustainably Sourced Cocoa: This new premium travel retail-exclusive product has strong sustainability credentials through the Nestlé Cocoa Plan. It features chocolate in a variety of flavours, and supports the education of 156,000 children through Nestlé’s collaboration with Rain Forest Alliance. The brand portfolio presents 170g tablets in four flavours including Dark Chocolate, Blueberries, Almonds & Hazelnuts; Milk chocolate, Cranberries, Almonds & Hazelnuts; Milk chocolate & Hazelnuts and Milk Chocolate, Raisins, Almonds & Hazelnuts. Four further flavours – Milk Chocolate, Dark Chocolate, Dark Chocolate with Almonds and Milk Chocolate with Almonds – are available in 270g tablets.

A 50-piece Assorted Chocolate Chunks is included, with Milk Chocolate, Dark Chocolate and Milk Chocolate with Hazelnuts.

Supporting communities: The Sustainably Sourced Cocoa range

The launch is supported by a new gondola, featuring the products along with key NITR brands and highlighting the company’s long-standing and ongoing sustainability efforts.

“Nestlé Sustainably Sourced Cocoa will drive incremental sales by attracting the fastest growing consumer segments – notably Gen Z – into confectionery. My team looks forward to sharing this initiative and all our great work on the world’s #1 chocolate bar, KitKat, sustainability award winner Smarties and key gifting brands After Eight and Quality Street at TFWA World Exhibition,” commented Dryburgh.

The Sustainably Sourced Cocoa portfolio can help attract new consumers to the category, says the brand owner
  • Innovations from KitKat, including new flavours for the Senses Collection, an updated travel retail exclusive assortment and a new industry-specific ‘Live Your Best Break’ communications platform that will span all key touchpoints on the consumer journey.
  • Adding value to the gifting occasion, the After Eight brand will see the addition of a Strawberry and Mint Limited Edition.
  • New additions to the world-leading Nescafe coffee portfolio enabling retailers to offer five distinct product ranges to meet all customer profiles, along with travel retail store and merchandising concepts focussed on bringing the coffee experience to life.
  • Further evolution of Nestlé’s commitment towards 100% paper or recyclable packaging by 2024 with new offers for KitKat and Quality Street to sit alongside Smarties.
Click here to view the Nestlé Food #1 Moodie Davitt Spotlight Series eZine

Sense of Place

  • KitKat destination gift packs marrying the appeal of the global brand with Sense of Place for the perfect gift.

Regeneration

  • The launch of a travel retail-specific multi-brand Sustainability Platform to meet both consumer and retailer needs. Industry research (m1nd-set) showed that consumers feel confectionery doesn’t offer enough sustainable products and these are difficult to locate. In addition, they are increasingly concerned about ‘greenwashing’.  In response, Nestle ITR has created a platform called Together We Grow which will engage at all points of the consumer journey and enable the brands and the retailer to demonstrate their sustainable credentials.
  • In-store merchandising is ultra flexible to showcase multiple brands tailored to the passenger mix with clear endorsements and proof points on the positive impacts of projects such as the Cocoa Plan. Furniture and signage is made from recycled wood and paper.

Execution

Bringing this will be the launch of a future-focused Food Reimagined store design and layout created in partnership with Portland Design. More information will be announced at TFWA World Exhibition in Cannes. ✈

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