SUGAR CONFECTIONERY: RICOLA
A grown-up alternative H
ow has the business performed in Q1 year-to- date?
It has been a good quarter for us, especially with our key partners such as Heinemann and Dufry, mainly in Europe. That is our base, and now we are featuring into Asia, but we need more effort and we hope that a new product range will help us. With the key accounts, we are growing between +30% to +40%.
From your perspective, what makes Ricola unique in the sugar channel? We are sugar confectionery, but we are not targeting children – it is the adult traveller. The way we want to differentiate ourselves is the functionality of our products i.e. the herbal ingredients. We have been looking at the needs of the adult traveller and we have done some research with m1nd-set. We found that in sugar
confectionery, people are looking for products that help them on their trips; for their own consumption. When they have dry mouths,
coughs and dry throats in environments with cabin air, they need relief in those situations and that is where Ricola comes into play. That is why we position ourselves
as herbal travel essentials, something that you carry along when you travel.
Andreas Reckart, Head of Middle East & Travel Retail for Ricola, explains to Luke Barras-Hill why self-consumption is now a firm focus for the herbal sweet supplier.
High profile Ricola activation at Zurich Airport.
It is a fairly unique brand… We do not add any active ingredient apart from the herbs in our products. In many countries, herbs are traditionally used for self- medication. Usually when you get sick, this is the first step before you see a doctor and you contain the sickness with herbal remedies in many cases. A lot of our consumers take Ricola when they travel.
You have redefined the range assortment off the back of the m1nd-set research. Tell TRBusiness what
you have
learned from this? Historically, our assortment was pretty much focused on gifting and sharing as purchase occasions and we found this has its relevance, however, we were missing out a little on the individual consumption side. This is why we have now come
up with this smaller pack to address the impulse purchase and that will obviously be presented much closer to the till point than what we have
JUNE 2017 right now.
How much growth potential do you see for the sugar segment in travel retail and what is key to increasing its market share within total confectionery? Chocolate confectionery is always a bit sidelined when it comes to confectionery; in general, the majority of the space is given to chocolate. I guess if you want to see [sugar]
growth, you have to give it visibility, otherwise if you sideline it is hard to grow. If you are not at the till point with the Ricola product, there is a
“It has been a good quarter for us, especially with our key partners such as Heinemann and Dufry, mainly in Europe.”
Andreas Reckart, Head of Middle East and Travel Retail, Ricola
TRBUSINESS 69
Below left: Ricola Doypack 3D.
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