SUGAR CONFECTIONERY: RICOLA


“Ricola is more of an impulse product so people actually need to see it in order to even consider purchasing. This is why we need to work on the visibility.”


Andreas Reckart, Ricola


showcase for the brand. “We are actually growing all our


domestic businesses worldwide, but our CEO says that in order for people to visualise that and say ‘yes Ricola is there’ we must be present in travel retail.”


Airport fit Ricola products clearly suit all DF&TR channels, but airports are the main focus. “For us, we have limited resources


so have to focus somewhere,” admits Reckart. “Our prime focus is airports, but we also have good business, for example, in European border shops, on ferries and so on and so forth. “If there is an opportunity we


take it, but we focus our efforts on airports. There, we can gain credibility and eventually be successful in other channels.” The need for Ricola products in the


channel may not be clear to everyone, but for Reckart the message is clear. “Everyone knows they are exposed


to many adverse environments when travelling. When you sit on a plane, for example, you never have enough water and want some refreshments. “Also, when you are in an air


The Ricola range includes shelf items for individual consumption available in 125g bags.


retailers left before we achieve our goal. These are mainly in Asia. “Some have very specific business,


especially the Korean ones,” he says. At present, Ricola has yet to


penetrate the Korean DF&TR market but is confident of doing so. “It is something I am working on,”


confirms Reckart. “It is an interesting market. Our domestic volumes there are picking up very strongly so it is a good time to go to the duty free retailers and provide them with a specific offering.” The importance of the travel retail


and duty free channel is not lost on Reckart and the company as a whole. He explains: “For us, the prime focus [in terms of travel retail] is presenting or displaying Ricola as a global brand. “This is the focus of our CEO. He wants to use travel retail as a kind of


64 TRBUSINESS


conditioned controlled environment you want to have something to feel refreshed. Ricola helps in all instances.” He continues: “This is why we


came up with the strapline ‘herbal travel essential’. Our products have a relevance and deliver benefits to travellers.” With most confectionery products


targeting children, Ricola is well placed to benefit from having ‘no real’ direct competition. “Most of the sugar confectionery


products are targeting children, which is not the case with us.


“Obviously, children can consume


our products, but we are targeting adults because of the benefits we communicate. “The benefits of the herbs might


be lost on children. Adults might appreciate them more.” Moving forward, the aim is


to increase exposure in DF&TR and work with retailers on specific projects. Reckart states: “We have a major


promotion, for example, coming up with Dufry at Zurich Airport and we are also working with Duty Free Philippines on placing some personalised units.” Securing listings is one thing, but


ensuring optimum visibility instore is of paramount importance. “Obviously, in travel retail, like any


domestic business you have to be visible in order for people to pick up the product,” says Reckart. “Ricola is more of an impulse


product so people actually need to see it in order to even consider purchasing. This is why we need to work on visibility.” Obtaining a listing and ensuring


optimum visibility in partnership with the retailer are Ricola’s biggest challenges, according to Reckart, who explains: “Much of the [confectionery] category is driven by chocolates which occupy most of the space. “For us, it is a matter of getting


listed and having some visibility in order for people to see and pick up our products.” As far as 2018 is concerned, the


priority is to secure additional listings and place more products with existing retailers. He concludes: “We are performing well across


the board. Our aim is to consolidate in the first part of the year and ideally move forward after that.” «


Pocket-size payoffs in the Philippines


Ricola has continued its brand-building efforts in Asia Pacific following the success of its travel retail exclusives launched at last year’s TFWA World Exhibition. Meanwhile, its pocket-size packaging, available in checkout and shelf versions, has performed so well with Duty Free Philippines that the Swiss herb drop confectioner is placing four personalised units in shops at Manila Airport NAIA Terminal 3, Fiesta Mall, Cebu Airport Terminal 2 and Zamboanga City.


JUNE 2018


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