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Category: Food

Retail News Asia is committed to providing both local and global retailers with the latest Food and Food & Beverage news throughout the Asian market. This on a daily base.

  • Olive oil brand Moro launches Eco Bottle made from recycled material

    Olive oil brand Moro launches Eco Bottle made from recycled material

    Moro, Australia’s number one brand of olive oil*, has expanded its olive oil and vinegar ranges with the launch of four new products.
    The new flavours to market include:

    • Moro Intenso Extra Virgin Olive Oil;
    • Moro Sherry Vinegar;
    • Moro Unfiltered and Organic Apple Cider Vinegar with the ‘Mother’ and
    • Moro Gourmet Chilli Glaze with Balsamic Vinegar of Modena.

    Marketing and Innovations Manager at Moro, Nicolett Butchard, said these products were developed in response to the growing consumer trend towards inspired home cooking.

    “The ongoing trend towards home cooking and creating a meal experience, is leading consumers to increasingly want to discover new flavours and experiment with easy and new ways to add depth of flavour to meals,” Nicolett said.

    “As a category leader, Moro puts great importance on the early identification of cooking and flavour trends, a must when striving to provide accessible, quality and authentic flavours that appeal to consumers”.

    “We can’t wait to hear how consumers find the newest additions to their cooking,” Nicolett said.

    New innovations: 
    Moro Intenso is the most robust and peppery Extra Virgin Olive Oil in the Moro range and was developed in response to consumers’ growing appreciation for different flavours of extra virgin olive oil.

    Moro’s Sherry Vinegar is produced in the Jerez region of Spain and aged for six months in oak barrels . A deep and complex flavour which is ideal for simply enhancing salad dressings or marinades but versatile enough for use in stews, soups and sauces.

    Moro’s Organic Apple Cider Vinegar is unfiltered and retains ‘The Mother’ which is linked to health benefits such as improved digestion and cholesterol management. Made with the finest Italian apples, this versatile vinegar will add a hint of fruit flavour to dressings, marinades and sauces.

    Moro’s Gourmet Chilli Glaze is a deliciously thick consistency made with Balsamic Vinegar of Modena and Italian chillies. Brush over meats prior to cooking or drizzle over salads for an easy way to add some warmth and bite to dishes.

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  • Vietnam spends over $480M on meat imports in first 5 months

    Vietnam spends over $480M on meat imports in first 5 months

    Vietnam imported more than 239,000 tonnes of meat and meat products worth $480 million in the first five months of this year.

    The number climbed by roughly 1.6% in terms of quantity but declined by 9.1% in terms of value, according to the General Department of Customs of Vietnam.

    In May, Vietnam imported 57,620 tonnes of meat, worth $108.8 million, up 9.5% in volume but down 10.2% in value year-on-year. This marked the fourth monthly growth in import volume of meat and meat products.

    During the period, the country imported from more than 36 markets, with the five largest suppliers being the U.S., India, Russia, Brazil, and Poland.

    In particular, meat imports from Russia have steadily soared after decreasing in 2022.

    The main types of imported meat and include poultry and offal, fresh chilled or frozen pork, and fresh chilled or frozen beef.

    Imports of chilled or frozen poultry, offal of pigs, buffaloes, and cows were on the uptrend, while pork and beef imports decreased year-on-year.

    In the first five months of 2023, Vietnam imported 29,610 tonnes of fresh chilled or frozen pork, worth $73.62 million, down 19.9% in volume and 5.7% in value.

  • Asahi reinvents Super Dry beer with a new taste and design

    Asahi reinvents Super Dry beer with a new taste and design

    Japanese beer and spirits company Asahi has unveiled a fresh look for Asahi Super Dry along with an enhanced taste inspired by the vibrancy of contemporary Japan.

    The reinvented Asahi Super Dry is curated to provide an improved drinking experience that will exceed expectations, according to the brand in a statement. It is also the first time that Asahi has reworked its recipe since Asahi Super Dry was introduced in 1987. The revamp aims to enhance the unique sake-inspired sensation that makes Super Dry a classic.

    Asahi Super Dry will now include a refined dry taste of the beer which elicits a clean aftertaste without any residual flavour and that goes well with various cuisines, boosting drinkers’ appreciation for the original food flavour.

    The changes made to the beer recipe also introduce a new hop treatment process that gives it a refreshing yet delicate hop aroma, and a new yeast control technology that provides a fermentation-driven aroma. With each sip of New Asahi Super Dry, the flavour of these two delightful aromas arrive at a quick peak of delicious sensation.

    Based on Super Dry’s iconic silver, delicate design adjustments have been made down to the finest details. Both cool and vibrant, the new design aims to highlight the unique character of modern Japan— where innovation and reinvention meet the beauty and precision of traditional craftsmanship, the company said. The design centers on two silvers: a shiny metallic silver and a deep oxidized matte silver.

    Along with this reinvention comes the commencement of partnerships with other brands. Asahi Super Dry has partnered with four city football group clubs: Manchester City, Melbourne City, Yokohama F. Marinos and Sichuan Jiuniu to be its new official beer partner. Additionally, Asahi Super Dry has been selected as one of the official sponsors for the Rugby World Cup 2023 to provide its beer to rugby fans worldwide.

    The new Asahi Super Dry will be made available in Singapore from July 7.

    At the ‘Art of Taste’ event, visitors are introduced to a sensorial field of barley and will utilise their sense of touch to engage with beer ingredients used in Asahi’s beer products. Additionally, the yeast room is constructed to simulate the fermentation process and provides visitors with the optimal photograph opportunity to capture their experiences and publicise it on their socials.

    Visitors are also able to experience a 30-minute step-by-step guided masterclass in a contemporary izakaya setting, where they will gain knowledge on how to differentiate between dry and non-dry versions of beer.

    Lastly, an abundance of food vendors from Hokkaido, Nagoya, Fukuoka and Osaka will be present at the taste zone, where partnerships with Kanpai Group, Courtyard Café and Otoko Japanese Restaurant will allow various types of Japanese foods to be available to reinforce that Asahi beer goes well with any food.

    “With an enriched, vibrant dry taste, the new Asahi Super Dry is ideal for different kinds of food pairings and elevates the senses for a better experience. It is the best match for every exciting “Super Dry Moment” of the modern lifestyle and drinking repertoire,” said Meryl Ho, marketing lead of Asahi Beer Asia, Singapore region.

    “Whether one is cheering on their favourite sports team, watching a movie, exploring new foods, bar hopping, or simply enjoying a day out, the new Asahi Super Dry is the perfect partner for these moments and occasions,” Ho added.

    The news comes shortly after it was announced that Carlsberg Brewery Malaysia and Asahi Group have mutually agreed to not renew the distribution of the Asahi brand in Malaysia.

    The exclusive distribution of the brand will expire on 31 December 2023, according to Carlsberg Malaysia in a statement. The brewery also noted that the renewal of the Asahi agreement is not expected to have any material financial impact to CBMB once the distribution ends.

    Stefano Clini, the managing director of CBMB shared that the parting is an amicable one, after having the sole rights to locally manufacture, sell and distribute the brand for more than a decade.

    “Having said that, the group will remain the exclusive distributor of Asahi for 2023 and we will continue to support the brand for the rest of this year,” Clini added. He went on to explain that following this development, Carlsberg will continue to drive its premiumisation strategy while simultaneously exploring opportunities to expand its premium portfolio to “deliver the best drinking experience to [its] Malaysian consumers”.

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  • Lychees enter Thailand’s major shopping malls

    Lychees enter Thailand’s major shopping malls

    Vietnamese lychees were already present in Thailand a few years ago, but this is the first time that the fruits are on sale at a major supermarket chain in the country.

    “I am very happy to be one of the pioneering firms to bring fresh lychees to Thai consumers,” said Nguyen Xuan Viet, Chairman of Vifoco, exporter of lychees to Thailand. “My company hopes to export from 1,000 – 2,000 tonnes of fresh lychee to Thailand next year.”

    At the Siam Paragon shopping mall, the lychees from Vietnam have attracted attention from shoppers.

    Somkiat Wongsakulchai, chief executive of Ekthai, distributor of Vietnamese lychees in Thailand, said that his company will expand the distribution of Vietnamese lychees to more branches next year.

    Lychee is grown in many localities in Vietnam, mostly in the north, with Bac Giang province known as the country’s lychee growing hub.

    The province harvested 199,500 tonnes of lychee in 2022 and earned over 290 million USD from lychee sales and support services.

    Bac Giang lychee has affirmed its brand and value in many countries and territories around the world with 75,900 tonnes shipped abroad, making up 38% of the accumulative sales.

  • South Korean cafe chain Compose Coffee to launch in Singapore

    South Korean cafe chain Compose Coffee to launch in Singapore

    The popular coffee chain from Korea, Compose Coffee, is set to open in Singapore at Suntec City.

    The scaffolding of the number one coffee in Korea can be seen around the shop, showing off the brand with two simple words: “Coming soon”.

    Its menu boasts a wide range of beverages, from its usual coffee to teas, frappés and even milkshakes.

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  • Vietnam earns over $2B from coffee exports

    Vietnam earns over $2B from coffee exports

    Coffee is an export highlight of agricultural products in the first half of 2023, as the industry’s export revenue earned $2 billion in the period, the General Department of Customs has announced.

    According to statistics from the department, as of June 15, the country exported 934,900 tonnes of coffee, down 3.7% compared to the same period in 2022 with export prices increasing nearly $2 per tonnes.

    The sector has been listed in “one-billion-USD” club since 2010 and reached its peak of $4.056 billion in 2022. The club includes exports that fetch at least $1 billion a year.

    Vietnamese coffee has been present in 38 markets worldwide, of which it enjoys an export turnover of over 10 million in 25 markets and more than $100 million in six traditional ones.

    If export turnover reaches about $360 million a month from now until end of this year, the sector will set a new record of $4.5 billion in 2023, an increase of 10.9% compared to 2022.

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  • Vietnamese-American billionaire’s Sriracha sauce sees eightfold price hike

    Vietnamese-American billionaire’s Sriracha sauce sees eightfold price hike

    Prices of the popular hot sauce Sriracha have surged eight times in the U.S. as drought in Mexico leads to a scarcity in the key ingredient, red jalapeños.

    The hot sauce, which is produced by Huy Fong Foods owned by Vietnamese-born billionaire David Tran, is sold at US$40 per bottle of nearly 500 grams on eBay, compared to $5 before.

    A bottle of nearly 800 grams is sold at $60 on the same platform. In Vietnam, a 500-gram bottle is sold at VND89,000 ($3.75) on e-commerce platform Shopee.

    The shop that sells it imports thousands of bottles a year from California, but since April Sriracha prices have risen as its supply become scarce. Huy Fong Foods recently told CNN that it’s still experiencing a shortage of
    raw materials.

    “Although some production did resume this past fall season, we continue to have a limited supply that continues to affect our production. At this time, we have no estimations of when supply will increase,” a Huy Fong spokesperson said.

    There’s been a shortage of the main ingredient, red jalapeños, for the past three years.

    Last year, the company temporarily stopped orders because of the shortage, which also affected its Chili Garlic and Sambal Oelek products.

    Drought in Mexico has resulted in a scarcity of chilli peppers. “It is a challenging crop to grow,” said Stephanie Walker, a plant scientist at the New Mexico State University, who serves on the advisory board of the Chile Pepper Institute.

    “Jalapeños are really labor intensive, requiring people to de-stem them by hand before they go for processing.”
    Huy Fong’s Sriracha, created in 1980 by Chinese immigrant David Tran, is sold in popular retailers like Target and Whole Foods.

  • Indonesia’s Tanamera Coffee launches in Malaysia

    Indonesia’s Tanamera Coffee launches in Malaysia

    Indonesian specialty coffee roaster and café chain Tanamera Coffee has opened its first outlet in Malaysia.

    The Kuala Lumpur outlet marks Tanamera Coffee’s third market after its native Indonesia, where it operates 22 stores, and Singapore, where it has opened eight sites since debuting in 2020.

    “We are thrilled to finally bring Indonesian specialty coffee to Malaysia with the opening of our very first outlet in the exciting and vibrant city of Kuala Lumpur. This is our third country and we can’t wait to serve you, both in this store and other upcoming outlets,” Tanamera Coffee said on social media.

    Founded in 2013 to promote Indonesian specialty coffee, Tanamera Coffee sources its coffee from the Aceh, Sumatra, Toraja, Bali, Java, and Flores regions of Indonesia.

    World Coffee Portal research forecasts the total Malaysian branded coffee shop market will exceed 2,700 outlets by 2025.

    Alongside strong outlet growth for convenience-focused operators, such as ZUS Coffee and Gigi Coffee, a wave of premium coffee chains are seeking to catalyse growing demand for specialty coffee in Malaysia.

    Having opened its first international outlet in Malaysia in October 2022, Indonesia’s Kopi Kenangan is aiming to reach 100 locations in the Southeast Asian country by the end of 2024. Luxury US brand Ralph’s Coffee entered Malaysia in the same month as part of its new flagship retail store in Kuala Lumpur.

    Meanwhile, Seattle-based Starbucks, operated in Malaysia by Berjaya Food Bhd, expects to reach 400 stores in July 2023. Additionally, Taiwanese specialty coffee chain HWC Coffee has grown its Malaysian footprint to 29 outlets and opened a flagship store and coffee academy in Kuala Lumpur in June 2023.

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  • Processed fruit, vegetable exports expected to rise by 20%

    Processed fruit, vegetable exports expected to rise by 20%

    Processed fruit and vegetable exports are likely to be worth US$1.2 billion from exporting processed this year, up from $1 billion last year, according to the Vietnam Fruit Association.

    Their exports rose by 23% year-on-year to $356 million in the first four months of the year, Dang Phuc Nguyen, the association’s general secretary, said.

    While exact figures are not available yet for May and June exports grew strongly in the second quarter, he added.

    But data is available for the combined exports of fresh and processed fruits and vegetables, and they surged by 63% to $2.8 billion in the first half, according to the association. They had been worth $3.4 billion last year, with 30% coming from processed items.

    For years Vietnam’s fresh vegetable and fruit exports have largely been to China, which accounts for a 60% share. But exports to the U.S., EU and Japan have grown rapidly.

    Nguyen called it “a good sign” as fruit and vegetable processors diversify into global markets and reduce their dependence on China.

    A large volume of Vietnamese canned fruit products and bottled juices with a shelf life of up to two years has gone to the U.S., Japan and Europe this year.

    According to the U.S. International Trade Commission, imports of Vietnamese processed fruits and vegetables have grown by 30-45% annually in the past three years.

    Exports to the EU have increased by 10-20% a year. Leading exporter Westfood shipped large volumes of processed fruits and vegetables to the world market in the first five months of this year, with exports to Europe growing by 22%, its chairwoman, Nguyen Thi Minh Nguyet, said.

    She said exports to China would increase dramatically this year, while South Korea, Japan, the Netherlands, and the EU (eh?) are increasing purchases.

    According to the Ministry of Agriculture and Rural Development, the country’s annual output of fruits and vegetables is more than 31 million tons, but only 4.5 million tons, or 14%, are processed.

    Most processing and preservation establishments are very small and run by households, and so their products often fail to meet export quality requirements.

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  • Vietnam leads rice exports to Philippines

    Vietnam leads rice exports to Philippines

    Vietnam continued to be the biggest rice provider to the Philippines in the first five months of this year with a turnover of $772.4 million, surging 31.1% year-on-year.

    During January-May, the Philippines imported 1.5 million tons of rice from Vietnam, accounting for nearly 90% of its total imported rice, according to the Asia-Africa Market Department under the Ministry of Industry and Trade, citing data from the Philippine Bureau of Statistics.

    This was also the record level of Vietnam’s rice exports to the Philippines so far.

    million dollarsRice export turnover to the PhilippinesJanuary-May period between 2019 and 2023turnover

    In the first five months, Vietnam exported 3.6 million tons of rice, with the Philippines accounting for 42.3% of the share.

    In the last six months of the year, rice exports to the Philippines are forecast to continue to increase due to the impact of climate change and the El Nino phenomenon that could severely affect domestic food production in the country of 113 million people.

    To take advantage of the opportunity to export rice to this market, businesses should closely follow market developments and policies on rice trade, the Asia-Africa Market Department said.

    Market research firm Fitch Solutions forecast that the global rice market will face the most severe shortage for 20 years in 2023. A shortfall of about 8.7 million tons is expected in the 2022-2023 crop year, the highest level since 2003-2004.

    Vietnamese agricultural experts said that rice prices will stay good in the short term due to global economic, and political uncertainties pushing up demand for food reserves.

    In addition to the Philippines, Indonesia and many countries in Asia are also increasing purchases of Vietnamese rice due to a decrease in supply.

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  • Fresh lychee conquering US market

    Fresh lychee conquering US market

    The first batch of fresh lychee has arrived in the U.S., opening up big opportunities for the specialty and other Vietnamese fruits to conquer the demanding market.

    Thanks to coordination between importer LNS International Corporation and the distributor L&V Food Supply Company in Houston, Texas, fresh lychee grown in the northern province of Bac Giang – dubbed Vietnam’s kingdom of the fruit, has been available on the shelves of many supermarkets and the largest Asian market in Houston.

    Chinh Nguyen, CEO of L&V Food Supply, said her group and LNS International Corporation are working on a plan to import big shipments of Vietnamese food and fruits to the U.S. this year.

    “After three shipments of fresh lychees (approximately 9 tonnes) to the U.S. in June, we plan to import frozen lychee (about 2 containers per month, equivalent to about 30 tonnes),” she said.

    “If Vietnamese suppliers can ensure enough standard products, we will import an additional three shipments (80-90 tonnes) this year.”

    The success demonstrates the efforts by Vietnamese ministries and agencies, including the Ministry of Industry and Trade, in trade promotion to deliver Vietnamese agricultural products to demanding markets such as the U.S. and the European Union.

    According to the Ministry of Agriculture and Rural Development, among Vietnamese agro-forestry-fishery products, the U.S. has purchased cashew nuts, aquatic products, wood and fruits most.

    The U.S. Department of Agriculture forecast that the US will import up to $199 billion worth of agricultural products this year, $5 billion higher than last year’s figure, which offers an opportunity for Vietnamese agro-forestry-fishery exports.

    Last year, the U.S.’s fruit-vegetable import reached a record high of over $31 billion, including $19.3 billion= of fresh and frozen fruits, an increase of 10% compared to 2021. The majority of these imports came from Canada, Mexico, and some countries in Central and South America.

    Apart from Vietnam, the U.S. also imported lychee from China, India and Thailand. Vietnam’s Bac Giang lychee has been favoured by local consumers for its quality.

    Vietnamese Trade Counsellor in the U.S. Do Ngoc Hung pointed out that there is ample room for Vietnamese fruits in the U.S. market.

    However, Vietnamese agricultural products and lychee still encounter obstacles in accessing the market due to the far geographical distance, and high irradiation and transportation costs.

    The Vietnamese trade office in Houston suggested relevant associations and businesses of Vietnam and the US exchange information and work together to support export-import activities.

    In particular, businesses should make long-term commitments to ensuring good coordination among exporters, importers, and distributors for large shipments, exchange market information and share responsibility and risks with partners, thus creating a healthy competitive environment, Hung said.

    He also suggested intensifying product promotion to introduce Vietnamese fruits to other communities in the US apart from Asian consumers.

  • Minor International acquires Sizzler brand

    Minor International acquires Sizzler brand

    Minor International Plc (Mint), an operator in the hospitality, restaurant and lifestyle sector, on Tuesday announced it would acquire a 100% stake in Singco Trading Pte, the intellectual property holder of the restaurant brand Sizzler, except in the US, Guatemala and Puerto Rico.

    The acquisition is valued at 546 million baht (S$21 million).

    Dillip Rajakarier, group chief executive of Minor, said the strategic move marks a milestone in Minor’s ambitious growth plans worldwide and reinforces its position as an industry frontrunner.

    According to Mr Rajakarier, the company expects to close the deal by the third quarter of this year.

    With the acquisition planned through MFG International Holding (Singapore) Pte, a subsidiary of Minor, the parent will gain control over Sizzler’s portfolio of franchises, including 64 restaurants in Thailand and another 10 in Japan. After the acquisition, Singco Trading Pte will be a subsidiary of Minor.

    “The acquisition comes at an opportune time for Minor as we continue to build on our track record of success and strengthen our position in the global marketplace,” Mr Rajakarier said.

    Minor has been operating Sizzler outlets for decades, but the acquisition is part of Mint’s three-year strategy called “Back to Growth”, as the pandemic is over and the company is moving head-on towards continued expansion, said Mr Rajakarier.

    “This acquisition sends a clear signal to the global market that Minor Food, like our hotel business Minor Hotels, is back on a trajectory of remarkable growth and we’re constantly seizing opportunities on the international scale through expansion of our own well-recognised brands in various countries either through partnership or acquisition,” he said.

    “We have a proven track record of successfully expanding our own brands in various countries, including some of the most difficult countries to dominate like China and Singapore. By gaining the ability to shape Sizzler’s development, we can replicate our proven past achievements and unlock the full potential of the brand.”

    With Minor’s deep industry knowledge, operational expertise and international partnership, Mr Rajakarier said the company looks set to introduce Sizzler to new audiences in other fast-growing markets around the world, such as Asean and the Middle East.

    He said the acquisition is earnings accretive and is made possible by Minor’s robust financial standing and healthy balance sheet. With Sizzler’s annual royalty income of S$3.5-4 million and full profit contribution without royalty payments from its Thailand operations, the investment offers an attractive double-digit percentage return, demonstrating Minor’s commitment to delivering accretive value to its stakeholders, said Mr Rajakarier.

    “We hope to be able to leverage our presence in the regions we have already strongly made a mark in, especially in Southeast Asia, as there has been interest from potential partners and existing franchisees of ours in those countries,” he said.

    The firm can now explore new markets to capture new customers in other regions. Apart from owning and operating the restaurants, expansion can also occur through joint ventures or franchising, said Mr Rajakarier.

    Following the acquisition, there will not be any drastic changes in operations because Thailand has always led the brand in terms of innovation and marketing, he said. The team in Thailand fully understands Sizzler’s value proposition that has proven it can differentiate the brand from competitors, said Mr Rajakarier.

    “We are constantly revitalising our brand to stay most relevant and up to date to promptly respond to market change, and with this comes customisation in each market to meet the needs of different groups of customers,” he said.

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  • Thailand expedites durian exports to compete with Vietnam

    Thailand expedites durian exports to compete with Vietnam

    Thai exporters are halving the time it takes to deliver durian to China, from 8 days to four days, in order to better compete with Vietnam over the pungent fruit.

    Thailand shipped 477,700 tons of fresh durian to China in the first five months, valued at a record high of $1.75 billion and the highest in 30 years, according to official data.

    This is because the country has been utilizing a new railway connecting it with Laos and China which help reduce transportation time.

    TerapongTechasathian, Assistant Chief Operation Officer at Pan-Asia Silk Road Ltd, which operates the railway, said that in April the company set the record by transporting 25 containers of durians from Thailand to China in one day.

    The train arrived at the destination in 4.5 days, quicker than the original estimate of six days, he added.

    In March, Thailand raised its durian export quality to retain Chinese customers.

    CEO of Vietnam’s fruit exporters Vina T&T, Nguyen Dinh Tung, said that Thailand is making moves to consolidate its durian market share in China amid rising competition from Vietnam.

    Vietnamese fresh durian exports to China in the first five months surged 18 times to $477 million. China accounted for 95% of all durian exports from Vietnam.

    Vietnamese durian can be harvested all year round, which is an advantage compared to Thai durian, Tung said. But Thailand has more advantage in shipment time, he added.

    Dang Phuc Nguyen, general secretary of Vietnam Fruits & Vegetables Association, said that Vietnam’s border with China means it is easier to export to there by road.

    Exporting by train from Thailand to China is fast but costly, he added.

    Vietnamese exporters need to be prepared to compete with rising competition not only from Thailand but also Malaysia and the Philippines for the Chinese market, with demand forecast to reach 2 million tons a year in the future, Nguyen said.

    Increasing exports quality, building brands and investing in technology to enhance preservation are key tasks, he added.

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  • KFC operator Collins Foods breaks $1 billion sales threshold

    KFC operator Collins Foods breaks $1 billion sales threshold

    The boss of major KFC franchisor in Australia, Collins Foods, still believes that the company’s quick-service Mexican food business Taco Bell can succeed in the Australian market despite the brand’s results hitting the group’s full-year profits.

    Revenue at Collins Foods was up 14.2 percent to $1.3 billion in the 12 months to April 30. KFC stores hit $1 billion in revenue for the first time, but the company’s net profit declined by 76.7 per cent to $12.7 million.

    A $36.7 million impairment against the Taco Bell business impacted the results, with Taco Bell stores posting a same-store sales decline of 4.8 percent for the year.

    Collins Foods’ shares surged 16.7 percent to $9.17 in late afternoon trade on Tuesday despite the drop in net profit for the year, with analysts saying the strength of KFC sales was impressive and the outlook for the group’s brands was positive.

    UBS analysts said the numbers were stronger than expected, with a key surprise being the strength of the company’s growth and earnings margins in Europe.

    Australia’s quick-service Mexican food market has become increasingly crowded over the past few years, with brands like Guzman y Gomez growing strongly, but Collins Foods chief executive Drew O’Malley said there was still a place for Taco Bell in the Australian market.

    “New brands can take time to gain traction. We have seen similar trends in other markets in the early years, where the brand [Taco Bell] is now thriving today,” he said.

    But the company acknowledges that it has had to invest in “enhancements to product quality” to bring more Australian consumers into Taco Bell stores.

    O’Malley said one key area of recent investment been in the quality of the brand’s chips.

    “One of my favorite examples is on French fries – we had gotten a number of complaints from our customers around chips being soggy. We have very recently launched an ultra-premium, sure-crisp French fry with McCain,” he said.

    “We have seen an immediate change in customer perception … Especially since we do so much customer delivery, we think that’s really important for the brand.”

    Collins Foods pointed to sustained inflationary pressures when releasing its full-year numbers on Tuesday, and O’Malley said the impacts of rising input costs is expected to be felt into next year.

    But he was upbeat about the value position of KFC in the current economic environment, saying customers view the fast food retailer as providing the best value in the market.

    “If you look at the consumer today, it’s like 12 straight rate increases, [which] has meant 12 straight letters from your bank saying your mortgage is going up. We are very sensitive to that, and we want to make sure our brands excel at a time like this,” he said.

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  • Nespresso appoints Stefan Vermeulen as new Oceania MD

    Nespresso appoints Stefan Vermeulen as new Oceania MD

    Nespresso has announced that Stefan Vermeulen, currently Managing Director for Nespresso New Zealand, will succeed Jean-Marc Dragoli as Managing Director of Nespresso Oceania.

    Mr Vermeulen brings a wealth of brand knowledge and local experience, having held leadership roles within Nespresso for more than 12 years, including three leading the team in NZ and four as Head of Nespresso Australia’s Professional business.

    Mr Dragoli will now step into the position of Global Head of Nespresso Authorised Brands, based in Switzerland, after four years growing the Oceania business from Australia.

    Under Mr Dragoli’s leadership, Nespresso says the market has benefitted from the launch of many new product innovations and services. His prioritisation of local sustainability initiatives has also helped the business deliver on its B Corp commitments and broader purpose of using coffee as a “force for good”.

    Mr Vermeulen, too, has driven strong growth for the business in NZ with the successful launch of the Vertuo system to market in 2021, the expansion of Nespresso’s coffee range, and local sustainability initiatives.

    Sharing his vision for the business in 2023 and beyond, Mr Vermeulen says: “We truly believe that coffee can be a force for good for people, communities and planet and the more we drive sustainable growth, the more we can have a positive impact as a brand and organisation through the entire value chain.

    “For Australians and New Zealanders, coffee plays such an important role in their lives so delivering exceptional coffee experiences based on an obsession for uncompromised in cup quality is paramount.

    “Nespresso often leans into and learns from the rich coffee culture and behaviours of this market to drive innovation for the benefit of customers around the world, which we saw with the launch of the Original Line Creatista machine in partnership with Breville.

    “There are more exciting innovations to come this year alone, particularly within our Vertuo system, that will reimagine how coffee can be enjoyed at home and in the workplace in the region.

    “Sustainability will also remain at the core of our strategy, as we explore new ways to engage more consumers with our recycling program and introduce initiatives that will help us on our journey towards net zero and improve as a B Corp.”

    Mr Vermeulen will start his new role from 1 July.

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