the-candy-industry.pdf - saif dewan's blog

AUTOMATIC CHOCOLATE COATING INSTALLATION: THE PERFECT COMBINATION OF DESIGN AND KNOW-HOW FOR THE BEST QUALITY PRODUCTS

IMPROVED PRODUCTIVITY, FLEXIBILITY AND CONSISTANCY WITH LOWER LABOUR AND ENERGY COSTS

Chocolate coatingand varnishing

IDA-CZ.I. Le Closeau5, rue Auguste Perdonnet 77220 Tournan-en-brie - FRANCETél. : +33-(0)1 64 84 50 00FAX : +33-(0)1 64 84 50 01

www.dumoulin.fr E-mail : [email protected] RCS MELUN 582 045 852

visit us at

INTERPACK (Dusseldorf)

from 12th to 18th May 2011

Hall 1-B17

Blue Diamond is MORE than an industry leader in food

safety and almond processing technology. We’re MORE

than a company with vision and a century of experience.

Blue Diamond is a family of MORE than half of the

industry’s almond growers, with a long term stake

in sustainable agriculture, who deliver MORE quality

and a MORE reliable almond supply year after year.

MORETHAN THE WORLD’S LARGEST ALMOND SUPPLIER

916-446-8500 [email protected] www.bluediamond.com/industrial

Blue Diamond. Now MORE than ever.

Contents

C O V E R S T O R Y

MANUFACTURER PROFILE

14 GOO GOO CLUSTERS’ COMEBACK KID

Lance Paine looks to revitalize Standard Candy Co.’s centennial-to-be brand through a series of quality, production and marketing upgrades.

INTERNATIONAL SNAPSHOT: PAKISTAN

18 DESPITE ODDS, CONFECTIONERY CONTINUES TO GROW

An overview of Pakistan’s existing confectionery marketplace touches on major players, main product segments and brands as well as prospects for the future.

March 2011Volume 176, Number 3

RC8

Printed in USA

Kristine Collins Publisher 847.224.8944 [email protected]

EDITORIALBernard Pacyniak Editor-In-Chief 847.405.4004 [email protected]

Crystal Lindell Associate Editor 847.405.4050 [email protected]

Grace Weitz Editorial Intern 847.405.4077 [email protected]

ADVERTISINGKristine Collins North American Sales 847.224.8944 [email protected]

Dee Wake eld European Sales Manager + 44.207.792.3344 (London) Fax + 44.207.792.3331 [email protected]

Diana Rotman Classi ed Sales Manager 847.405.4116 [email protected]

Jill L. DeVries Corporate Reprint Manager 248.244.1726 [email protected]

Steve Pintarelli Group Publisher [email protected]

PRODUCTIONJennifer Allen Advertising/Production Manager 818.224.8035 x2214 [email protected]

Sarah Zagacki Art Director

BNP CORPORATE DIRECTORS

Timothy A. Fausch Publishing

John R. Schrei Publishing

Rita M. Foumia Corporate Strategy

Ariane Claire Marketing

Vincent M. Miconi Production

Lisa L. Paulus Finance

Michael T. Powell Creative

Nikki Smith Directories

Marlene J. Witthoft Human Resources

Emily Patten Conferences & Events

Beth A. Surowiec Clear Seas Research

AUDIENCE DEVELOPMENT Amy Schuler Group Audience Development Mgr.Stacey Noocha Multimedia CoordinatorCarolyn M. Alexander Audience Audit Coordinator

LIST RENTALPostal List Rental Robert Liska, 800.223.2194 x 726 [email protected]

E-mail List Rental Shawn Kingston, 800.409.4443 x 828 [email protected]

For subscription information or service, please contact Customer Service at: Tel. 847.763.9534 or Fax 847.763.9538 or e-mail [email protected] or visit www.candyindustry.com.

4 CANDY INDUSTRY March 2011 www.candyindustry.com

14CI 18

ALSO IN

THIS ISSUE ... RC2 Sweet Talk Associate Editor Crystal Lindell asserts the

importance of trade magazines amidst the transition to digital media.

RC4 New Products Juicy Fruit Juicy Secret, Kukees, Herr’s Hot

Sauce- avored Potato Chips, Raisels and Welch’s Fruit Snacks are among this month’s featured introductions.

RC8 Industry Trends: Snack Bars Consumers aren’t just looking for a healthy

snack bar; they want a decadent tasting one as well.

RC12 Cover Story: Theater chain has just the ticket for sales

Marcus Theatres’ feature presentation is a new “Grab and Go!” display that entices moviegoers and boosts the bottom line.

RC 4


Contents

D E PA R T M E N T S

OPENING SHOTS

8 Tools of engagement Editor Bernie Pacyniak reflects on the growing in-

fluence of social media and how combining new technology and “old school” customer service can bolster brands.

NEWS & ANALYSIS

12 For Love of Chocolate Foundation Dazzles with Delights

Plus: The United Nations Food and Agriculture Or-ganization (FAO) and Messe Düsseldorf GmbH will

hold a SAVE FOOD congress during interpack. SPECIAL REPORT

24 Better-for-You Confections

With the steady growth of the candy market, companies have introduced a slew of new fortified products.

INGREDIENT TECHNOLOGY

28 A sustainable future

Chocolate manu-facturers see sustainable cocoa beans, healthier choices and higher prices as emerging cocoa trends.

SUPPLIER SPOTLIGHT

30 Chocotech Increased emphasis on food safety make Cleaning-

in-Place functions ever more critical.

CANDY WRAPPER

34 Transforming hard knocks into a sweet career

Setbacks for Elyissia Wassung’s mother, and eventu-ally for Elyissia, go on to open a new opportunity for both in gourmet chocolate.

Haas-Mondomix B.V. is a business unit of privately owned Franz Haas Waffel- und Keksanlagen Austria. As a leading supplier of continuous aeration systems and related process equipment, Haas-Mondomix B.V. can be found around

the world in more than 50 countries, serving mainly the bakery, confectionery and dairy industries.

Whether unit machines or turnkey projects, a dedication in fully satisfying the highest requirements is the foundation upon

which our success has been built.

Being a part of the Haas group makes us capable of delivering solutions to our customers worldwide.

www.mondomix.nl

RC 8

CI 28

PMCA 2011 – Lancaster, PAApri l 11 – 13, 2011Booth #25

PMMI Pack Expo 2011Las Vegas, NVSeptember 26 – 28, 2011Aasted ApS – booth # S-7009


S H O T SOpening

By Bernie Pacyniak

Tools of engagement

Most of my colleagues, both within the industry and here at work, know I’m not much of a social media

person. I guess it’s because when I’m at work and/or travelling, I’m pretty much in contact with the confectionery world and my own personal world constantly, even at times instantaneously, via e-mail. In doing so, there doesn’t seem to be much time left for “socializing” on the web. So-cializing in real time, real life has its more immediate benefi ts.

I recognize, however, that there is an entire brave new world involving social media. As my new associate editor, Crystal Lindell told me, she has XXX number of friends on Facebook (I’m keeping her number secret to preclude any numeri-cal prejudice since this isn’t my fi eld of expertise). Moreover, she’s thoroughly connected to her smart phone.

Hence, it was only natural to delegate our social media initiatives to Lindell and our wonderful student intern from North-western University, Grace Weitz, who’s also more in tune with Facebook and Twitter than I ever will be.

As typecast as I am at being an “old school” editor,” I’m still capable of adapt-ing to technological and cultural game shifts as long as they mesh with personal and professional goals.

In fi elding this month’s story on Goo Goo Glusters, LLC, it was interesting to hear Lance Paine, the executive vice president and chief operating offi cer of the company, discuss his plans of using social media to revitalize this wonderful 99-year old brand.

Naturally, in revamping the com-pany’s website, Paine intends to imple-ment Facebook and Twitter strategies.

What I found interesting is that he’s also going to actively pursue bloggers, bloggers who have a follow-ing, of course. What Paine explained to me is that these bloggers have a signifi cant infl uence with their fol-lowing, which can translate into hav-ing an impact on brand building.

Then there’s the even more instant forms of communication — text messaging and Tweets. As we’ve seen repeatedly in entertainment, and now most recently in the political upheav-als in Tunisia, Egypt, Libya, Iran and other countries, they can be extremely powerful tools in swaying public opinion.

But in the end, these are just tools. What’s happening here is that — thanks to technology — people are becoming engaged with a colleague, an acquain-tance or co-worker about anything and everything. Often, that engagement helps make things happen.

Engagement, however, isn’t relegated to texting or tweeting. As Tony Hsieh, ceo of Zappos.com, Inc., one of the speakers at last month’s NCA State of the Indus-try Conference explains, integration marketing and social media are all well and good, but the old-fashioned tele-phone remains one of the “best branding devices out there.”

In his book, “Delivering Happiness, A Path to Profi ts, Passion and Purpose,” Hsieh describes how he built his billion-dollar company by focusing on customer service. This Millennial entrepreneur

details how unconventional team build-ing techniques rooted in solid business fundamentals can result in extraordinary organizations that are both profi table and joyful.

In digesting all of this in my mind, I’m thinking that the fundamentals of really being successful in business, be it in con-fectionery or anything else, haven’t really changed. One, it’s critical to keep deliver-ing the best value (be it goods or services) to the customer at the right time and right place to their satisfaction; and two, it’s important to keep tracking your business to ensure it’s doing this consistently.

Now we have all sorts of new tools out there. I recommend using them in what-ever creative ways your young staff can come up with, but don’t forget what you’re using them for — to connect with the cus-tomer and keep him or her happy.

After all, confections are about deliver-ing happiness.

Wire Belt Company of America, 154 Harvey Road, Londonderry, NH 03053

ISO 9001:14001 Registered Company

We’ve got candy covered!We’ve got candy covered!

Flat-Flex conveyor belt®

Need a conveyor belt for your chocolate enrobing conveyor? Look no further than Wire Belt’s Flat-Flex® conveyor belt. With over 65 years of industry experience, we know your equipment and process better than anyone.

Our Flat-Flex® conveyor belts are available in a variety of mesh sizes to fit your conveyor’s exact model. Available in stainless steel and high strength carbon steel, we will have your belt when you need it.

Call us at 603.644.2500 or check us out online at www.wirebelt.com

News& A N A LY S I S


Takashi, the acclaimed chef and owner of his namesake restaurant, spoke warmly about his

miso braised pork belly and Japanese vegetables.

Paul Kahan and David Posey — from the acclaimed Chicago restaurant, Blackbird — served elegant garbanzo bean soup with falafel, sumac and pickled Asian pear.

The Executive Chef of Vie and newly appointed Executive Chef at Perennial Virant, Paul Virant, chatted with a lady about his foie gras panna cotta.

Even Marie Antoinette made an appearance.

What brought all of these elite chefs, pastry chefs and even an iconic 18th century French Queen together? A common cause and a passion for food.

About 900 attendees and more than 50 celebrated culinary fi gures packed themselves into the Merchandise Mart building in downtown Chicago for the For the Love of Chocolate annual gala on Saturday, Feb. 5.

Organized by the For the Love of Chocolate Foundation, the black tie fundraiser invited chefs and patrons out for a night of foodie indulgence with all proceeds raised being donated toward scholarships for future full-time students of the French Pastry School (FPS).

“Our guests had a great time and it was fantastic to see that a good deal of the participating chefs and establishment were now alumni of the school,” says Franco Pacini, the For Love of Chocolate

Foundation’s director.In its sixth year, the fete fi rst was

created in 2006 by Pacini after being approached by one of his employees, Lisa Woodrich. Her daughter Abigail had been born nine weeks early and was in need of a kidney transplant.

Pacini said he approached the co-founders of FPS, Jacquy Pfeiffer and Sebastien Canonne, M.O.F and they came up with the idea of a chocolate fundraiser. The money from that years’ event went toward assisting the Woodrich family with the medical cost of the surgery.

“Things just kind of fell into place from there,” notes Pacini, who referred to this years’ event as phenomenal.

Known for its extravagance, the affair did not disappoint.

Human candy canes danced around the cavernous main entrance while a reincarnation of Marie Antoinette—complete with petite parasol—used her abnormally large dress to cover a mobile table full of chocolate gifts.

“The woman in the dress,” as Patrick Fahy, pastry chef of Blackbird, referred to her, wheeled around three main areas: Cocoa Candy Land, Cocoa Cuisine and Cocoa Sutra.

“We wanted to do something that wasn’t just a regular fundraiser,” explains Pacini.

Housed inside a maze of showcase rooms normally used to display kitchen models and cabinet displays, the Merchandise Mart building served for the fi rst time as a whimsical background for the annual gala. Normally, held in the

City Colleges building, the venue had to be changed this year after an infl ux of ticket sales.

Koriath notes that 400 people attended the event last year, but that they had to cut of ticket purchases early this year because of the growth in sales. “We thought, ‘What could be another spectacular space that would allow for more people to attend?,’” says Lindsay Koriath, the French Pastry School’s communications specialist.

The huge jump in patrons prompted the foundation to look elsewhere for a venue, eventually settling on the stately Merchandise Mart. Koriath notes that the growth in attendance could be attributed to

One ne chocolate nightElite chefs and candy makers came together for a sweet time to help raise

scholarship money at “For the Love of Chocolate.”

By Grace Weitz

Displays, such as this mannequin elaborately decorated in chocolate, helped create an air of extravagance at the Merchandise Mart. All photos by: Crystal Lindell

www.candyindustry.com March 2011 CANDY INDUSTRY 11

an expansion in their marketing efforts.“We’ve just increasingly been trying to

get the word out to people,” says Koriath. “This is a fabulous event, an amazing culinary experience.”

Patrons like Sue Klaus, who have attended the bash for three years straight, found the new setting quite remarkable.

“They’ve really blown it up and expanded it. It’s very impressive,” says Klaus.

Despite the excitement over the new venue and wealth of entertainment, the night’s spotlight fell on the food and desserts.

Chocolate offerings ranged from a

sea salt caramel and nougat in dark chocolate created by Chris Kadow-Dougherty, founder of Whimsical Candy, to a Verrine from Blackbird Pastry Chef, Patrick Fahy. The layered dessert included eight different parts, but was mainly composed of butterscotch cream, caramelized white chocolate streusel, dark chocolate mousse, and blood orange gelee.

Confections, however, weren’t the only highlights. The Cocoa Cuisine section featured savory food from sumptuous butternut squash gnocchi by Chef David

Danielson to a succulently fresh fl uke tartar from Merlin Verrier, the executive chef of Graham Elliot and Grahamwich.

“I always try to keep things simple,” explains Verrier. “We try to serve things that are raw, bright and acidic.” To go along with the fi sh Verrier delicately paired shaved fennel, pink peppercorn, and Meyer lemon.

Throughout the mingling of delicacies and people a common thread permeated — a sense of community and cause.

“These are my people,” said Kadow-Dougherty, a graduate of the FPS. “This is like coming home.”

The whimsical event included such themed characters as a costumed Marie Antoinette serving desserts to patrons.

A myriad of chocolate and sugary confections highlighted the annual gala, which was attended by more than 50 celebrity chefs and candy makers.

News & Analysis


Save Food initiative launched at interpack

This year, the United Nations Food and Agriculture Organization (FAO) and Messe Düsseldorf GmbH will pool

their international resources to discuss the problem of food losses and possible solutions with experts from industry, politics and society. This longer-term initiative is based on three country studies by the FAO, the results of which will be presented to the public for the fi rst time at the SAVE FOOD congress in Düsseldorf, Germany.

The SAVE FOOD initiative, which will be held during interpack on May 16-17 at the Fair, highlights the extent of, and reasons for, global food losses and intends to show — among other things — the contribution that packaging types can make toward safeguarding foods.

To this end, the congress is bringing together stakeholders from the food and packaging industries, retail, politics, administration, research and non-governmental organizations in Düsseldorf.

Within the framework of the congress, the FAO will be presenting three new studies founded on surveys currently being conducted in developed, developing and transition countries.

One study investigates the reasons for and extent of food losses in developed countries and estimates the degree to which the type of packaging can remedy the problem. Another study is concerned with the same subject in less developed countries. The third study aims to quantify the investment is needed to ensure an adequate supply of food packages locally in these countries.

“World-wide food losses are estimated

to range from 20 to 75%, depending on the type of food,” explains Robert van Otterdijk, FAO offi cer for SAVE FOOD. “The total quantity could be as high as 1.2 billion tons. In developed

and industrialized countries the food loss is about 300 kg per capita per year, which is mostly wasted at the consumer level. Therefore awareness raising and behavioral change is highly necessary.

“Between now and 2050 the world population is expected to grow by 50% to 9 billion,” he adds. “All of this growth will be urban, and most of it in developing countries. Now in the countries most food losses occur at production level, as a result of underdeveloped production, conservation, packaging and marketing practices as well as inadequate storage, transport and other infrastructure facilities. Economic development and investment are needed to improve the situation and get the food from the farmer to the cities.”

In the course of two days at the SAVE FOOD congress, experts from all regions of the world will refer to the results of the FAO studies and discuss such subjects as the global food supply, supply security,

urbanization, food development and marketing, logistics and agriculture. The program encompasses keynote speakers, debates, panel discussions and best

practice presentations. As Van Otterdijk points

out, “We have to seek possible solutions along the entire food value chain – from farm to fork – and with as much attentiveness as possible.”

Sector-specifi c knowledge, international networking and the ability to showcase subjects worldwide – these are the skills that Messe Düsseldorf GmbH wishes to contribute to the initiative. Werner M. Dornscheidt,

Messe Düsseldorf GmbH’s ceo, explains. “As a trade fair company with global

operations, we — including myself personally — are aware of the markets and problems of the countries in which we do business,” he says. “As the organizers of interpack, the world’s most important trade fair for the packaging sector and related processing industries, we have the necessary knowledge of the industry, the people in charge and the necessities locally.”

The accompanying exhibition at the SAVE FOOD pavilion on the interpack site is intended to broaden access to the congress themes and to the FAO studies. Among other things, it will show the best practices of companies and associations in the fi ght against global food losses. In exemplary fashion, the adjoining Food Court is pursuing a sustainable catering strategy.

For more information, visit www.save-food.org.

“Between now and 2050 the world population is expected to grow by 50% to 9 billion. All of this growth will be urban, and most of it in develop-ing countries... Economic develop-ment and investment are needed to improve the situation and get the food from the farmer to the cities.”- Robert van Otterdijk, FAO of cer, SAVE FOOD

Manufacturer Pro le

Lance Paine, executive vice president and coo of Goo Goo Cluster, LLC, looks to restore the Goo Goo Clusters brand back to prominence.


It was the late 19th century British novelist Edward Bulwer Lytton who came up with the metaphor of “forcing a square peg into a

round hole.” Although rarely used today, the idiom used to be a battle cry for individualism versus conformity several decades ago.

In Standard Candy Co.’s case, the square peg round hole analogy could mean the revitalization of one of this nation’s oldest brands – Goo Goo Clusters.

Developed in 1912 by Howard Campbell, the round mound of caramel, marshmallow, fresh roasted peanuts and pure milk chocolate claims to be the world’s fi rst ever combination candy bar.

Moreover, it defi ed conformity — and traditional wrapping machines — by being shaped as an irregular round piece. That, coupled with a wonderful mix of quality ingredients, quickly made it a local and eventually a national favorite for years to come.

Despite the onslaught of automation and technology during the 20th century, Goo Goo Clusters remained a production manager’s challenge. As Neal Spradley, vice president of Nashville-based Standard Candy Co., relates, when Jimmy Spradley, Neal’s brother acquired Standard Candy Co. in 1982, the preparation and processing time took about fi ve days, despite using an automated starch-

moulding machine to produce the marshmallow centers.

“Our goal was focused on speeding up the process, reducing it from fi ve to three to two days to even 24 hours,” he says. In the end, in today’s highly competitive world of candy bar production, the costs associated with producing Goo Goo Clusters didn’t leave much room for profi t margins in a retail arena focused on low-cost treats.

In the interim, Standard Candy Co. formed a new contract manufacturing subsidiary, Standard Functional Foods in 1999. Gradually, the emphasis moved away from branded products, such as Goo Goo Clusters and Cumberland Ridge Pecan Rolls.

At its peak in the early 1980s, Goo Goo Cluster sales approached $30 million across a broad range of retail outlets throughout the United States. The volume, nevertheless, failed to refl ect production and marketplace challenges.

Retailers sought inexpensive candies. Despite ongoing improvements, the starch moulding marshmallow process didn’t deliver sought-after effi ciencies.

Moreover, the contract manufacturing side of Standard Candy’s operations continued to grow.

“Sales started to slip and there was little attention paid to the brand,” explains Jimmy. “Contract manufacturing took over.”

Enter Lance Paine. Formerly with La Brea Bakery and SLJ Desserts, Paine had extensive experience in bakery food marketing. Having sold his interest in SLJ Desserts, Paine was searching for another opportunity.

An investment banker suggested a breakfast meeting with Jimmy. The two met in May and quickly found common ground, which led to Paine developing a business plan for the revitalization of Goo Goo Clusters.

Lance Paine looks to revitalize Standard Candy Co.’s centennial-to-be brand through a series of quality, production and marketing upgrades. In doing so, customers and consumers will be reminded of how good a Goo Goo Cluster really is.

By Bernard Pacyniak

Goo Goo Clusters’ Comeback KidComeback Kid

At a Glance

Headquarters: NashvilleSubsidiaries: Goo Goo Cluster, LLC, Standard Functional Foods Co.Sales: $100 million (Candy Indus-try estimate)Employees: 700Plant: 100,000 sq. ft; five produc-tion linesWarehousing: 150,000 sq. ft.Brands: Goo Goo ClusterManagement team: (Standard Functional Foods Group) Jimmy Spradley, ceo; Tom Drummond, president; Neal Spradley, vice president; Bill Hood, vice presi-dent – operations; Dennis Ad-cock, v.p. of administration; Bryan Lewis, director of business development. (Goo Goo Cluster, LLC): Jimmy Spradley, ceo, Lance Paine, executive vice president and coo.

Standard Candy Co.

Manufacturer Pro le


Goo Goo Cluster, LLC was formed as a subsidiary of Standard Candy Co. Paine became its executive vice president charged with bringing the gloried candy brand back.

As Paine notes, “Goo Goo Clusters had become somewhat of the red-headed stepchild. Both Jimmy and I thought that if it was treated as a contract customer by the company, that would change the way the brand was viewed internally.

“It’s important to remember that

Goo Goo Clusters are a quality product, and that it’s made in America,” he continues. “The company was selling this at a discount, forgetting what it costs to make this product.”

It was quickly apparent to Paine that customers needed to be reminded of how high quality Goo Goo Clusters actually were. In addition,

to ensure a broader acceptance of the product amongst consumers and customers, a review of the ingredient label delivered a clear upgrade.

“We no longer use vanillin; we simply buy better chocolate,” says Paine. “In the past, we used pecans with wheat germ. Today, it’s all fancy pecan pieces.

“Also, keep in mind that this company has been making Goo Goo Clusters for nearly 100 years. It’s been people from middle Tennessee putting their blood, sweat and tears into the product. We want to celebrate this fact more.”

Given that the brand will celebrate it’s 100th anniversary next year, the timing’s ideal to kick off such a campaign.

But to ensure that the marketing push dovetailed with a targeted sales effort, it was critical that production challenges be addressed.

And this is where the square peg round hole analogy comes into play again. By capitalizing on existing slab bar technology, the company was able to convert a labor-intensive, batch process into a highly efficient, continuous slab line production process.

Instead of waiting on the production of marshmallow centers, marshmallow mass cooked in the kitchen is poured into a hopper that feeds a Lloveras BK bar line.

(From top to bottom) Marshmallow mass comes off a cooling drum. Operator Francisco Amaya cuts out a sample piece to perform a weight test. Caramel comes off a second cooling drum and becomes the second layer of the Goo Goo Cluster base. After compression and further cooling, the mass is cut into 13 rows.

(From top to bottom) The 13 rows of Goo Goo Cluster base head toward a guillotine cutter. An operator positions the pieces for an initial chocolate bath, followed by a seeding of pecan pieces. The squares received another generous bath of milk chocolate, changing shape into rounds as they head toward nal cooling.


The marshmallow base comes off a cooling drum and travels along a non-stick belt. A caramel layer is then added to the base, afterwhich the two layers are compressed and chilled before they are slit into 13 rows.

Once the rows gradually separate, they move toward a guillotine cutter that produces 2-in. squares. The squares are aligned and then head toward the fi rst of two enrobing units.

Once a layer of milk chocolate is deposited, squares continue forward passing under a nut seeder. The seeded nut squares begin to take a rounded shape as they move toward the second enrobing unit.

The second chocolate bath “rounds” out the square cluster before a prolonged march in the cooling tunnel. After cooling, the clusters head toward one of three fl ow-wrapping machines, each capable of handling 200 units per minute.

As Neal relates, it took about a year to fi ne-tune the production of Goo Goo Clusters on a slab line. One of the challenges the production team faced was making squares into round mounds. But thanks to “pliable ingredients,” the team resolved the issue.

The biggest test, however, involved comparing old-style Goo Goo Clusters to slab bar-produced pieces

“It had to be a side-by-side comparison, one whereby you couldn’t tell the difference,” he says.

Suffi ce it to say that the new-method Goo Goo Clusters passed the test with aplomb, both from blind tastings as well as effi ciency requirements. Today, the company produces about 30,000 clusters an hour.

During this same time frame, Paine continued to work on expanding the sales and marketing reach.

As he explained, it was important to reach out to existing customers — Cracker Barrel (600 restaurants) and Tractor Supply Co. (1,000 stores) — and explain the positioning shift. The upgrading of ingredients necessitated a price increase.

It also meant a better product, one that would be supported by an ever-widening marketing campaign. Both customers backed the strategy.

First, as Paine explains, the marketing effort will focus on home turf. As he points out, the city gets 10 million visitors each year.

Thus, this March, at the Nashville International airport, there will be ads for Goo Goo Cluster by the baggage claim area. Paine currently is looking at initiatives to get Goo Goo Cluster sponsorships in LP Field, home of the Tennessee Titans pro football team, and Herschel Greer Stadium, home to the Triple-A baseball team, the Nashville Sounds.

The program will gradually expand south as the company begins to focus on Southern supermarket and drug store chains to re-introduce Goo Goo Clusters into the mainstream.

In April, a new website will debut for Goo Goo Cluster. Here too, Paine looks to generate excitement through social media initiatives, one of which involves bloggers.

“We’re looking to include bloggers who have high Klout scores [Klout is a measurement of infl uence derived from Facebook and Twitter],” he says. “Take for example, Beth Eats [www.eat-drink-smile.com]; there are people that trust her implicitly.”

As a result, Paine is investigating the idea of sponsoring bloggers to get the word out about the confection.

“Candy is such an experiential thing; it has a life force beyond the candy aisle,” he adds.

To build on that life force, Paine has moved to tweaking the graphics associated with Goo Goo Clusters. First, the logo was stylized slightly to contemporize it.

The packaging also is getting a face lift, moving from a photograph of the product to an illustration.

It’s not exactly a “retro” look, or a return to nostalgia, Paine says. Rather, it’s simply more refl ective of the brand’s heritage.

By year’s end, the fi lm used for the new packaging will be 100% compostable with a matte fi lm fi nish. Even the cartons will be made from uncoated stock.

“We’re also purchasing Renewable Energy Credits,” he says. Renewable Energy Credits (RECs), also known as green tags or renewable energy certifi cates, are tradable, non-tangible energy commodities that represent proof that 1 kiloWatt-hour of electricity was generated from an eligible renewable energy resource. In this instance, the company is purchasing kiloWatt-hours generated from a wind farm in Texas.

Interestingly, all of these initiatives — better quality, a cleaner ingredient statement, compostable film, a smaller carbon footprint — represent part of the new sustainable American corporate culture.

For Goo Goo Clusters, LLC, it’s also the beginning of a sweet comeback.

The Goo Goo Clusters travel toward one of three ow-wrapping machines, each capable of handling 200 units per minute.

InternationalS N A P S H O T

Despite the country’s economic and political woes, Pakistan’s confectionery and chocolate industry has

enjoyed an emerging and growing trend in the recent past. Nevertheless, that performance pales compared to other countries within the Asia-Pacifi c region. The industry has grown at an average annual rate of 6.5 to 7.5% between 2002-2008. Domestic brands dominate the market accounting for more than 85% of total value sales of the industry.

The industry as a whole can be divided between two broad sectors: Branded (highly organized segment) and generic (an unorganized segment). The branded segment features nine prominent, active players in the competitive landscape. However, 80% of this segment’s share is controlled by the fi ve companies listed in Fig. 1. A complete breakout of players in the segment is shown in Fig. 2.

The branded marketplaceThe branded confectionery and

chocolate market is highly price elastic and growing with the bulk of sales

Despite odds, Pakistan’s confectionery industry continues to growThe author provides readers with an overview of Pakistan’s

existing confectionery marketplace, touching on major

players, main product segments and brands as well as

prospects for the future.

By Saif Dewan

Company Product lines Brands Est. Annu. Sales Share %

Hilal Candy, Bubble, Jellies,

Chocolates, Beans,

powder Drinks, Supari

Ding Dong Bubble, Fresh

up, Tulsi, AamRus, Kopra,

Limopani

3.5 billion 26%

Ismail

Industries Ltd.

(Candyland)

Jellies, candies, lol-

lypops, Chocolates,

Biscuits, Snacks etc.

Chillimili, Fanty, Now, Bisconi

Chocolito, Cocomo, Snack

city, Sonnet

2.8 billion 21%

B.P sweets Jellies, candies,

lollypops, Choco-

lates, Biscuits, Bread,

Snacks etc.

Spacer, Dolphin Jellies, B.P

Lollies, Dream Chocolates etc.1.7 billion 13%

Cadbury’s Chocolates (Countlines

and Moulded) Toffees,

Chewable mint candies

Dairy Milk Chocolate, Éclairs,

Softmint, Velvet 1.5 billion 11%

Kidco Bubbles candies, lolly-

pops, Chocolates etc.

4ever, Centro-bubble, Lollies,

Punch, Chox1.20 billion 9%

Mayfair Candies, Toffees, Creamers, Amrood, Éclair,

Cafe biscuit0.8 billion 6%

Mitchell’s

(only Con-

fectionery &

Chocolates)

Groceries ( Squashes,

Jams, sauces, Choco-

lates- Moulded and

Countlines , Toffees

and candies

Milk Toffee, Fruit BonBon,

Butter Scotch, Jubilee,

Golden Hearts 0.70 billion 5%

DanPak Bubble Gum, Lolly

Pops, Candies

Chini mini, Fresh’ O bubble,

Choco Bisco, Milko Sip0.70 billion 5%

Sweet Hills Candies, Toffees Dr. Milk, NutKut, Love, Cow 0.50 billion 4%

TOTAL - - 13.4 Billion PKR* -

* $1 equals 85 Pakistani rupees.

Fig.1: Major Branded Confectionery Companies in Pakistan

s

mpanies in Pakistan

Pakistan


International Snapshot


concentrated in mid-price range products. Urban markets account for the major share and also for a higher penetration rate. Various retail price points exist within the mass market segment of chocolates hovering between the 3 to 25 Pakistan rupee (PKR) price.

In sugar confectionery most confectionery count good items fall into the retail price segment of Rs. 0.50-1.00. (Rs. is the offi cial designation for rupees). Major efforts by industry giants to introduce confectionery units priced at Rs. 2 have been in vain so far.

However, Rs. 2 and 3 are popular price points for lollipops and chocolates. The industry has faced a “coin-barrier” issue in sugar confectionery products at least three times during the last three decades when all key players unanimously agreed to increase their products’ price because of escalating prices of raw materials (fi rst from 25 paisa to 50 paisa — in mid 80’s, than 50 paisa to Rs. 1 — in mid 90’s and lastly from Rs. 1 to Rs. 2-in late 2008). The confectionery companies were compelled to raise their prices by 100% because there was no

alternative with the country’s coin currency denomination.

It would be interesting for the readers to learn that such moves, however, have always proved to be a “bitter pill” for the industry as it brought immense resistance from consumers and trade.

In some of the cases the decline in sales stemming from the price increase was so huge that it forced the leading brands to roll back the price increase. Even then, they were not able to retrieve their original volumes again.

Mitchell’s Milk Toffees and Kidco’s4ever products are classic examples.

To avoid and defer this situation, pro-active companies in Pakistan’s confectionery industry have adopted three kinds of strategies that are aimed at maintaining trade margins:

• Reduce either the number of units per pack, unit size and/or packaging to reduce cost.

• Alter product quality by reducing quantity and/or quality of expensive raw materials.

• Use less expensive substitute ingredients as a replacement of expensive raw materials.

Distribution Dictates Selling Strategy

About 70-80% of all sugar confectionery and chocolate sales are generated through the wholesale channel. Almost all, but especially Hilal and B.P, rely heavily on the wholesale channel to generate the bulk of their total sales. To support their sales

through this channel, they advertise heavily on electronic media to create brand pull for their brands and subsequently force

retailers to buy these brands from wholesale.

The underlying reason behind limited coverage in the

retail sector by these two companies is they do not have premium priced items that could yield suffi cient revenues to make retail distribution viable for their

distribution partners. As a result, they have limited coverage in the traditional retail sector.

Since these companies themselves do not emphasize retail penetration, their distributors also take an escape route and adopt the way of easy selling through wholesalers.

However, there are companies like Cadbury, Candyland, Mitchell’s and Mayfair that are fully aware of the importance of retail penetration. Hence these companies pay due importance and attention to retail coverage and subsequently allocate resources for the retail sector.

As stated earlier the emphasis of Hilal and B.P has always been focused on building consumer pull through mass media advertising (mostly through

SweetHills, 4%

DanPak, %5

Mitchell’s, 5%

Mayfair, 6%

Kidco, 9%

Cadbury, 11%

B.P, 13%

Candyland, 21%

Hilal, 26%

Fig. 2: Market Share (%) 2008-9

Pakistan

The Islamic Republic of Pakistan is a medium-sized, densely populated country with more than 170 million people living in 796,095 sq. kilometers. With respect to population and area, Pakistan ranks seven and 43, respectively, among the nations of the world. It is located in southern Asia, bordering the Arabian Sea, between India on the east and Iran and Afghanistan on the west and China in the north.

During 2004-07 GDP growth hovered between 6-8%. Infl ation remains the top concern among the public, jumping from 7.7% in 2007 to 20.8% in 2008, primarily because of rising world fuel and commodity prices. In addition, the Pakistani rupee has depreciated signifi cantly as a result of political and economic instability.

At a Glance

• Nationwide 17 terminal network with dispatch open 24/7, 365 days a year

• Specifi c on-time to RAD deliveries with a 98.5% On-time Performance Level and the reporting to help you better manage your business

• Mass Merchant deliveries at any time day or night is our specialty – “Your One Source for Scorecard Improvement”

• No sailing schedules required, we service your needs by giving you the fl exibility to ship to all 48 states any and everyday

• Custom EDI 214 & 210 reporting

• Custom reporting created to your specifi cations

• Custom pricing to fi t your budget

• All shipments are temperature protected based on your requirements

• Weekend pickup-ups and deliveries provided

• Critical expedited service available to save that customer

Roadtex is a proven LTL transportation provider, specializing in refrigerated confectionery products and nutritional supplements. We are also a proud member of the National Confectioners Association. • Nationwide 17 terminal network with dispatch open 24/7, 365 days a year

• Specifi c on-time to RAD deliveries with a 98.5% On-time Performance Level and the reporting to help you better manage your business

• Mass Merchant deliveries at any time day or night is our specialty – “Your One Source for Scorecard Improvement”

• No sailing schedules required, we service your needs by giving you the fl exibility to ship to all 48 states any and everyday

• Custom EDI 214 & 210 reporting

• Custom reporting created to your specifi cations

• Custom pricing to fi t your budget

• All shipments are temperature protected based on your requirements

• Weekend pickup-ups and deliveries provided

• Critical expedited service available to save that customer

CALL US AT 1-800-ROADTEXOR VISIT US AT WWW.ROADTEX.COM

International Snapshot


television) and pushing their brands through a wide-spread network of distributors and wholesalers throughout the nation.

This combination of “push & pull” has proved to be a successful tool in their cases because the nature of their brands also support this strategy as they manufacture mass market products priced at Rs. 1, 2 and beyond. This pricing strategy makes their products equally popular in rural and urban towns among middle and lower middle class.

Because of this strategy, B.P and Hilal enjoy the benefi ts of a wide-spread distribution network in 300-plus towns and more than 350 distributors nationwide (as they have more than one distributor in some towns). They always try to adopt a cost leadership strategy and generate revenues through high volumes of sales.

Frequent launches, re-launches and re-introductions of old brands with slight modifi cations, withdrawals, adjustments in packaging, product designs and even recipe changes are a common phenomenon for these two major companies’ brands.

On the opposite end, companies such as Cadbury’s , Candyland and Mitchell’s believe in establishing brands and brand equity and, therefore, emphasize quality as their top priority.

Though retailer margins vary from company to company and product to product, the generally acceptable margin in local items for retail trade ranges between 15 to 25%. It is lower for fast-moving brands and higher in the case of slow-moving items.

Drivers and challenges Until the mid 1980’s chocolates were

supposed to be the domain of the upper and upper-middle class segments in Pakistan. In 1983 Mitchell’s Jubilee was launched for fi rst time in the Pakistani market at Rs. 3.50 per bar. Due to its attractive packaging, quality, affordable price and focused media support, the brand received un-matched consumer reception and became a success story in Pakistani industry. The brand is still very popular among less affl uent consumers and available in three different price points at Rs. 2, Rs. 5 and Rs. 10.

In early 2000 Cadbury’s introduced quality products with affordable price. The launch of Dairy Milk (Rs.5/-), 5 Star (Rs.5/-), Velvet (Rs.5/-) and Perk (Rs.3) with attractive dispens-ing-chillers was the turning and revolutionary

point for making chocolates the choice for ev-ery one. The role of Cadbury in expanding the chocolate market in Pakistan will become a primer on how to penetrate and grow a fl edg-ing segment in an underdeveloped economy.

The most common challenges to this in-dustry are soaring prices of raw material, high excise and import duties on raw material, high entry barrier because of strong monopolistic competition and the infl ux of cheap imported brands through gray-channels.

TrendsDriven by marketing initiatives, consumer

preferences are speedily changing in favor of chocolates. Independent retailers and wholesalers are still the largest channel contributors. However, the role of international modern retailers (Makro, Metro and Hyper Star) is growing at the increasing rate. Foreign or imported brands are successfully targeting the lucrative premium segments in urban areas.

ABOUT THE AUTHOR

Saif Dewan has 14 years’ experi-ence in sales, marketing and distribution management. He has been associated with Pakistan’s leading companies, including Mitchell’s and B.P Sweets where he worked at strategic manage-ment positions. Dewan is currently employed by Muller & Phipps Pakistan (Pvt.) Ltd., as a business development manager.

Brands and segments

The following provide a snapshot of the most popular brands in various product segments:

Hard-boiled (candy): Price range 0.50 paisa -Rs.1: Fanty (Candyland), AamRus (Hilal), Choran Chatni (Hilal), Kopra (Hilal), 4ever (Kidco), Butter Scotch (Candyland) and (Mitchell’s), Amrood (Mayfair), Creamers (Mayfair) and Fruit Bonbons (Mitchell’s).Soft-boiled (Toffees): Price range 0.50 paisa-Rs.1: Spacer (B.P) – a brand of 450- 500 million PKR, Milk Toffee (Mitchell’s), a brand worth over 250 million PKR and Éclairs (Cadbury’s) can be ranked top three among others in this category.

As of today, there hardly exist any 50 paisa confectionery count goods. Most have been switched to Rs.1 price point.

Lollypops: Price range Re. 2- Rs. 3/-: twin-lolly (B.P), Paint n Pop (B.P), Kidco Pop (Kidco), Funny Bunny (Candyland) are popular among consumers. Enrobed Chocolate: Price range Re. 1- Rs. 5/- : Jubilee (Mitchell’s), 5 Star ( Cadbury) Perk (Cadbury’s), Now (Candyland), Dream (B.P), Choco Dip (B.P), Kat Kat (B.P) Unitee (Mitchell’s), Sonnet (Candyland), Luxuree (Mitchell’s), Chox (Kidco) and Paradise (Candyland).Moulded Chocolate: Price range Re. 2- Rs. 10/- : Dairy Milk (Cadbury’s), Cone (B.P), Mr. Bear (B.P) Twin Rabbit (B.P), Golden Hearts ( Mitchell’s), Velvet (Cadbury’s).Bubble: Rs. 1: Ding Dong (Hilal) in Rs. 1 and recently launched in Rs. 2 as well. The brand has worth about 1,000 million PKR, Fresh Up (Hilal) – retail Rs.5/-, Tiger (Mayfair) and Kidco Bubble, Centro (Kidco).

RC2 RETAIL CONFECTIONER March 2011 www.retailconfectioner.com

T A L KSweet

Hi. My name is Crystal Lin-dell and I work for a print magazine. Yes, print as in, “on paper.”

The publication has a website (two actually), and a Facebook page and a Twitter account, but at the heart of our work is our monthly print publica-tion. Long story short, I rely on dead trees and snail mail for my paychecks each month (which makes me a little crazy), but I believe in what we do here.

Short story long, we’re doing just fi ne.

I hear all the time that pub-lishing is dying and journalism is on its last breath and print publications are [insert random cemetery analogy]. I receive sad, know-ing looks from people when they fi nd out I’m in “the business” that seem to scream “your industry is going to be in a virtual obituary section soon!”

But, we have 13,501 readers. Those readers don’t grab our publication off the racks at the grocery store or the coffee table at the dentist office. They are far from random, and we like it that

way. We’re not trying to reach the world, we’re just trying to reach the industry, and we do a great job.

They turn to us because we’re one of the few places to turn for industry news, new products and information on how other retailers and manufacturers are doing their thing. It’s like a conven-tion in a book — every single month.

As a side perk, it also ends up mak-ing the publication a great place for advertisers to reach a specific segment of the world. If you want to tell candy retailers you have a new packaging concept or confectionery manufactures you have a new logistical system, you can’t just place an ad in TIME magazine or even the Wall Street Journal. Too few readers would be interested. If you

put it in Candy Industry though, every single reader believes it’s relevant.

At the end of the line, it comes down to specifi c content for a specifi c audience.

Do I believe that in the future ev-eryone in the candy business — from the woman buying the chocolate to the guy setting up the displays — will be reading our work on some sort of

electronic device (which may or may not include infiltrating dreams through special sleep eye contacts/ear phone concepts)? Yes. I really do.

I also love the digital platform for my work. I love the concept of displaying 23 pictures because all 23 are the best and ink is free online. I love being able to link

to past articles and outside websites so readers can get more information. And, I love publishing work whenever the mood or the news strikes.

So, I look forward to that future.For now though, I’m not worried

about print product dying because even if it did, I know we’d survive. It’s our content that’s important after all — both to you and to us.

“They turn to us because we’re one of the few places to turn

for industry news, new products and information on how other

retailers and manufacturers are doing their thing.”

Trade Publications Still VibrantEven as the digital age takes over, trade magazines and their content still are important.

By Crystal LindellAssociate Editor

New Products


M&M’S Brand Star Wars Novelty Candy Mars, Inc., McLean, Va.www.candyri c.com 502-893-3626M&M’S soon could help the force be with you. Candyrifi c now has Star Wars inspired candy products — like a Lightsaber that actually glows blue. The dispenser, which instantly becomes ready for battle when you press a red button on the side, features M&M’S characters duking it out with Lighsabers. When you open it up, you’ll fi nd a bag of FUN SIZE M&M’S. The Star Wars-inspired line also includes a M&M’S Brand Star Warsmotorized fan, a Star Wars Coin Bank and a M&M’S Star Warsdispenser, all of which also come with FUN SIZE bags of the treat. Ingredients: (Lightsaber) Milk chocolate (sugar, chocolate, cocoa butter, skim milk, milkfat, lactose, soy lecithin, salt, artifi cial fl avors), sugar, corn starch, and less than 1% of the following: corn syrup, dextrin, coloring includes blue 1, lake, red 40 lake, yellow 6, red 40, blue 1, blue 2 lake, yellow 6 lake, yellow 5 lake, blue 2), and gum acacia. Product is kosher. Allergen information: Contains milk and soy products. May contain peanuts. S.R.P. (Lightsaber): $3.99. It features a .53-oz FUN SIZE bag of M&M’S.

Welch’s Fruit SnacksPromotion In Motion, Closter, N.J.201-784-5800www.welchsfruitsnacks.com Welch’s will add a twist to its popular Fruit Snacks brand with the launch of Tangy Fruits. The new sweet and tart treat will feature six different burst-in-your-mouth fl avors including Tangerine, Lemon, Pink Grapefruit, Cran-Grap, Cherry and Green Apple. Like all other Welch’s Fruit Snacks, Tangy Fruits will be made with real fruit and fruit juices and contain 100% of the daily value of vitamin C and 25% of vitamins A and E. The item also is fat-free, gluten-free and preservative-free. The product will be available in grocery stores, convenience stores, movie theaters and other locations.Ingredients: Juice from concentrates (grape, pear, peach, and pineapple), corn syrup, sugar, modifi ed corn starch, fruit purees (apple, grape, tangerine, grapefruit, cherry, lemon and cranberry), gelatin, citric acid, lactic acid, natural and artifi cial fl avors, ascorbic acid (vitamin C), alpha tocopherol acetate (vitamin E), vitamin A palmitate, sodium citrate, coconut oil, carnauba wax, red 40, yellow 5 and blue 1. Gluten Free. S.R.P.: (10-count box) $2.99

Kettle Cooked potato chipsNatural Snacks, Addison, Ill.www.naturalsnacks.com630-628-0211Natural Snacks, LLC has a new line of Kettle Cooked Potato Chips meant to be a healthier alternative to the conventional kettle chip. The snack, sold in single-serve packages, comes in fi ve fl avors, including: Lightly Salted, Unsalted, Honey BBQ, Jalapeno, as well as Sea Salt and Balsamic Vinegar. The chips, a part of the Michael Season’s brand, feature 40% less fat and low sodium. Also, like all of Season’s products, they are all-natural, and contain no preservatives, no artifi cial colorings, no artifi cial fl avorings, no hydrogenate or partially hydrogenated oils, no MSG, no wheat and no gluten. Ingredients: (Sea Salt and Balsamic Vinegar) Potatoes, sunfl ower oil, sea salt, maltodextrin, dry vinegar, sugar, lactose, dry balsamic vinegar, dry molasses, citric acid, canola oil and natural fl avor. Contains: Milk. S.R.P.: (5-oz bags): $2.99, and (2-oz. bags): $1.19

i ifi i l l i

www.retailconfectioner.com March 2011 RETAIL CONFECTIONER RC5

Juicy Fruit Juicy SecretThe Wrigley Company Chicago, Ill.www.juicyfruit.com1-800-974-4539The makers of Juicy Fruit have a secret, and it’s got 50% fewer calories than their regular gum. Juicy Fruit Juicy Secret marks the fi rst time Juicy Fruit is available sugar-free in its original stick form. The gum tastes and smells just like the original Juicy Fruit.

It currently comes in a traditional fl ip-open package with individually wrapped sticks, but it’s expected to be available in pellet form in Big-E-Paks later this year. Ingredients: Sorbitol, gum base, glycerol; less than 2%

of: Hydrogenated starch hydrolsate, natural and artifi cal fl avors, aspartame, citric acid, malic acid, soy lecithin, mannitol, fumaric acid, acesulfame K, BHT (to maintain freshness). Phenylketonurics; Contains PhenylalanineS.R.P.: (15-stick Slim Pack™) $1.19

Editor’s Choice

werrks theick

y Fruit.ttesip-th

ppedpectedn pellet

ks

Herr’s Hot Sauce- avored Potato Chips Herr Foods, Inc., Nottingham, Pa.www.herrs.com1-800-63-SNACK (76225)Herr Foods and TW Garner Food Co., the Winston-Salem, N.C.-based producer of Texas Pete hot sauce and chili sauce, have created Herr’s Hot Sauce Flavored potato chips. Herr’s Ripple potato chips are doused in Texas Pete hot sauce to deliver a three-pepper zing.Ingredients: Potatoes cooked in vegetable oil (contains one or more of the following: corn, cottonseed, soybean, sunflower), malto-dextrin, sodium diacetate, hot sauce (aged cayenne red pep-pers, vinegar, salt, garlic), salt, spice, monosodium gluta-mate, sunflower oil, paprika, natural flavoring.S.R.P.: (1-oz. bag ) 35 cents; (1.875-oz. bag) 99 cents; (8-oz. bag) $2.99; (10-oz. bag ) $3.99

f d d h h d l

t

,

KukeesKukees LLC, Sherman Oaks, Calif. www.Kukees.com310-426-0440A California baker has created a cookie so exceptional, it has to be spelled differently. “Kukees” are fresh cook-ies that come in a variety of gourmet fl avors, such as cranberry turtle, peanut butter banana and pumpkin white chocolate.

Shaped like mounds of dough, and at three ounces each, they’re roughly the size of a cupcake. The fresh ingredients shine through, such as in the dark chocolate cherry, which features chunks of dark chocolate and dried cherries.

The company currently offers nationwide dropship delivery in its Kukee gift boxes, and local bulk wholesale delivery. They also are in the fi nal stages of perfecting wholesale bulk delivery nationwide.Ingredients: (Dark Chocolate Cherry Kukee) Butter, eggs, vanilla, baking powder, baking soda, kosher sea salt, white sugar, brown sugar, all purpose fl our, oatmeal, dark chocolate chunks, cherries.S.R.P.: $39 plus shipping. The Kukee box is 7x7x12 inches and weighs around 4 lbs. Each Kukee is 3-oz.

— Crystal Lindell

New Products

RC6 RETAIL CONFECTIONER March 2011

Stars & Stripes Cotton CandyTaste of Nature, Santa Monica, Calif. 1-310-396-4433www.candyasap.com and www.sharicandies.comExpanding on their current lineup of treats, Taste of Nature has added an American-themed confection to their list. Hitting shelves in time for spring, the Stars & Stripes Cotton Candy is a play on Taste of Nature’s popular Cotton Candy Swirlz, originally introduced as a mylar bag cotton candy in the late 1990’s. The product features the dual fl avors of cherry and blue raspberry to mimic the red and blue colors of the American fl ag. Additionally, Stars & Stripes Cotton Candy is cholesterol-free and fat-free.Ingredients: Sugar, artifi cial and natural fl avors, artifi cial colors (including fd&c blue 1, red 40, yellow 5, yellow 6).S.R.P.: (3.5-oz. bar) $1.99 to $2.49.

RaiselsNational Raisin Company, Fowler, Calif.www.raisels.com1-800-874-3726Raisels are the newest twist on sun-dried grapes. They’re golden raisins coated with sour flavors, like Sour Peach Pucker and Sour Lemon Blast. The makers claim they’re a healthy alternative to candy, cookies and gummy fruit treats because they feature 100% of the U.S. recommended daily allowance for vitamin C, are fat free, cholesterol free and have no high fructose corn syrup and no sodium. They’re packaged in traditional raisin boxes, and are sold in six-pack retail units designed for horizontal and vertical display. Each box also has a joke on the back, such as “What did the boxing Raisel ask for at the barber’s? An upper cut!”Ingredients: (Sour Peach Pucker) Golden raisins, sugar, natural fl avor, citric acid, ascorbic acid (vitamin C), sulfur dioxide. S.R.P.: $1.99 for a six-pack brick containing six 1.25-oz. (35 grams) cartons

Fruity Pebbles TreatsPost Foods, LLC, St. Louis, Mo.1-800-431-7678www.postcereals.comA fun and convenient snack, New Fruity Pebbles Treats brings Fred Flintstone, Barney Rubble and the rest of the Flintstones gang to life. Post has combined delicious fruity fl avor with your favorite Flintstones characters, wacky colors and a marshmallowy texture. The bars have only 90 calories and six essential vitamins including vitamin A and vitamin D. Additionally, the treats are gluten free and contain no high fructose corn syrup. Ingredients: Toasted rice cereal [rice, sugar, salt, red 40, nacinamide, reduced iron, zinc oxide (source of zinc), tumeric oleoresin (color), yellow 6, yellow 5, blue 1, vitamin B6, thiamin monoitrate (vitamin b1), vitamin a palmitate, ribofl avin (vitamin b2), blue 2, folic acid, vitamin D, vitamin B12], marshmallow [corn syrup, sugar, gelatin, natural and artifi cial fl avor], fructose, sugar, hydrogenated vegetable oil [coconut and palm kernel oils], partially hydrogenated palm kernel and palm oils, dextrose, glycerin, soy lecithin, whole milk solids, reduced mineral whey powder, nonfat dry milk solids, natural and artifi cial fl avor, salt.S.R.P.: (6.2-oz box with 8 treats): $2.49

For more new products, visit www.retailconfectioner.com. There, you also can subscribe to our free e-newsletter, sweet & healthy, which features a “sweet of the week.”

Fiberenrichment?

An Invisible Fiber - No Taste, No Sweetness!Excellent Digestive ToleranceSugar FreeOnly 2.1 calories per gram

Your success is in the recipe...

om naturewww.nutriose.com

Distributed by Roquette America and National Starch Food Innovation


IndustryT R E N D S

Cherry chocolate bliss, chocolate caramel mousse, s’mores, white chocolate macadamia nut and marshmallow nutslide

— not a list of fl avors usually associated with the words “nutrition bars.”

But, as the nutrition and snack bar sector continues to grow — albeit much slower than before — companies have turned toward providing customers with more indulgent fl avors.

The top fl avors are still things such as chocolate and peanut butter, says Bill Patterson, a senior analyst at Mintel, a Chicago-based research fi rm.

“It’s almost like we have this interest to have bars that are nutritionally healthy and good for you and, on the other hand, we do want to indulge ourselves a little bit,” he explains.

According to a March 2010 study on cereal and snack bars from Mintel, the cereal and snack bar sector grew 50% in between 2005 and 2010. While Patterson

says category growth will not be as dramatic during the coming years, he still expects the nearly $1.7-billion market to rise 7-8% during the 2010-2015 period.

Continued growth will be fueled by companies who target what consumers want — a nutrient-rich, portable snack that also tastes good. People still want their snack bars to be nutritious, but above all they crave a delicious treat in “gourmet dessert fl avors.”

“One thing we see across the board is people rarely want to give up taste even if they’re trying to eat good,” notes Patterson.

Gourmet Dessert FlavorsCompanies, such as Clif Bar & Co. —

which in the past year overtook General Mills’ (GM) FiberOne amongst wellness bars, and stands as the No. 2 company behind GM in nutrition bars overall — have successfully adopted this approach. With nearly $117 million in dollar sales over the past year, what Clif does so well, is

understand the consumer and approach them in a very targeted way, says Patterson.

Clif launched a slew of new products in 2010, including adding a chocolate-dipped coconut and chocolate chunk offering to their LUNA line and a mint chocolate chip and chocolate type to their new LUNA PROTEIN line.

“The variety of new chocolate fl avors provide women more options to get the nutrients they need like vitamin D, calcium, folic acid and iron — while satisfying chocolate cravings in less than 200 calories,” says Michelle Ferguson, the executive v.p of marketing for Clif Bar & Co.

According to Patterson, Clif focuses on niche targeting, producing their bar for a specifi c type of consumer.

“Our experience tells us that we will continue to attract customers as long as we keep making healthy foods that people enjoy or have specifi c needs for, such as our sports and

Nutritional IndulgenceConsumers aren’t just looking for a healthy snack bar, they want a decadent tasting one as well.

By Grace Weitz

Top 5 Nutritional/Intrinsic Health Value Bars (Latest 52 weeks ending Jan.23, 2011)

Dollar Sales Dollar Sales % Unit Sales Unit Sales %Rank Brands (in millions) Chg. Vs. Yr. Ago (in millions) Chg Year Ago

1. General Mills’ Fiber One Nutritional Bars 158.1 9.80 56.7 13.06

2. Clif Nutritional Bars 117.0 45.26 69.8 34.82

3. Kellogg’s Special K Protein Nutritional Bars 92.6 29.05 35.0 27.59

4. Zone Perfect Nutritional Bars 68.1 6.76 30.5 1.65

5. Clif LUNA Nutritional Bars 57.6 37.07 35.1 31.14

Total, including brands not shown 1.2 (billion) 15.31 100.00 -

Total US FDMxC (Supermarkets, Drugstores, Gas/C-Stores and Mass Market retailers excluding Wal-Mart).

Source: Symphony/IRI Group, a Chicago-based market research rm.

understand theconsumer and

ar, they


nutrition products,” says FergusonOther major players in the nutrition

bar segment also have upped their fl avor offerings. Abbott Nutrition, which produces the ZonePerfect brand and registers fourth overall amongst nutrition bars according to Symphony IRI, introduced their Cookie Dough line of bars last year. Available in chocolate chip, peanut butter and oatmeal raisin fl avors, they contain 170-190 calories per serving and are a “good source” of 17 vitamins and minerals as well as an “excellent source” of protein.

Another mainstay amongst the market, Kellogg, also unfolded their own new decadently fl avored product — a chocolaty peanut butter version of their FiberPlus Antioxidant Chewy Bar.

Fiber for FodderThough snack bars are concentrating

on fl avor, companies haven’t forgotten the raison d’etre for this segment — nutrition. According to fi gures from Mintel, 61% of consumers say they eat energy bars for

overall health and wellness, with about half saying they eat them as fuel before exercise. The highest claim of new product launches, says Patterson, go to items that are kosher, higher in protein and fi ber, all-natural and organic.

To go along with those fi gures, a Cereal & Energy Bar report from Innova Market Insights indicates that in the U.S. market, allergy-free and clean-label bars dominate, with more than 30% claiming to be “allergy-free” and more than 25% touting a “gluten-free” claim.

“People are continuing to look for healthier fare,” says Ferguson. “Demand is growing for gluten-free snack options as well as more organic snack options in general.”

Clif jumped on board this trend with two additional offerings in 2010 — CLIF CRUNCH and CLIF C bars.

The CLIF CRUNCH bars are 70% organic with 4g of protein and one serving of organic whole grains. CLIF C bars, a new

doubled-layered fruit and nut bar, are also all-natural and include one serving of fruit.

Mainstays such as General Mills and Nestlé also have hopped on the bandwagon. GM created Wheaties Fuel bars in the early part of the year. Co-developed with fi ve of today’s elite athletes, each contain 15 grams of protein and 100% of the daily value of fi ve B vitamins. Nestlé’s PowerBar rolled out a whole new line as well. The PowerBar Pure & Simple Long Lasting Energy Bar is an all-natural snack with high-protein, whole grain and fi ber content.

As the nutrition and snack bar industry continues to grow, customers are reaching for bars that are high in protein and ber, all-natural and organic.

Industry Trends


Even the smaller companies are taking advantage of these new market trends. EatStrong, a health and wellness company, recently released its own line of all-natural energy bars in February. The bars combine fi nely crushed fl ax, sunfl ower and hemp seeds with omega-3, omega-6 and whey protein, a protein that rapidly absorbs into the blood stream.

“They are the one bar you can pick up and not think, ‘this would be perfect if only it did/did not have xyz,’” says

Sophie Pachella, the owner of EatStrong.

A Less Indulgent Future

The list of new launches offering healthful benefi ts stretches on, but even with these new products, an August 2010 study on snack bars in the U.S. from

Euromonitor notes that high-protein and high-fi ber bar products, though they’ve been popular in the past, will see very little innovation in the coming years.

“Scientifi c advancements in snack bars, such as high protein and high fi ber, are running their course, and will offer limited incremental growth into the forecast period,” says the Euromonitor report.

Patterson expects more targeted, niche activity, like that of Clif Bar, to be the way forward.

Bottom line, says Patterson, is that the bars succeeding are the ones with a more indulgent platform. High-protein, high-fi ber, all-natural and organic bars will always be important, but it is very unlikely that people will give up taste for the sake of nutrition especially as they look to cut back on buying snack bars.

“Everyone loves chocolate,” says Ferguson. “Nutrition bars are no exception.”

And, with the industry’s track record, it’s not likely companies will quit anytime soon.

Sopow

A LFut

Tlaunheastreevepr20ba

Get Your Get Your

MonthlyMonthly FFix!ix!

Confectionery Fix provides a dedicated dose of information on category trends, emerging developments in ingredient formulation and advancements in processing and packaging technologies.

A Single Serving of Information on Category Trends and Technology

Brought to you by the editors ofTHE GLOBAL RESOURCE, FROM MANUFACTURING TO RETAILING

RETAIL

a Free eNewsletter

Delivered to Your InboxDelivered to Your Inbox

Subscribe For Free!Sign up to receive our

newest eNewsletter at:www.CandyIndustry.com/enews

A man with a nutrition plan

A bike ride and an energy bar were the bottom of the pyramid for this Calif.-based energy bar company. During his jaunt, owner Gary Erickson took a bite out of another energy bar and thought to himself “I could make a better bar than this.”

Two years after his revelation, in 1992, Erickson created the Clif Bar.

Now, with more than 19 different avor offerings and eight different types of bars, the Clif test kitchen is always innovating.

“Our focus on organic and natural ingredients has proven to be a smart business decision that our customers have rewarded us for,” says Michelle Ferguson, the executive v.p. of marketing for Clif Bar. “Part of our innovation philosophy is always trying new avors and textures.”

According to Ferguson, Clif hopes to unveil 10 new avors and products by the summer.

p

pany. owner Gary te out of another hought to himself “I

U.S.A.

Sensient Colors LLC2515 N. JeffersonSt. Louis, Missouri [email protected]

©2011 Sensient Colors LLC, all rights reserved. The FUSION PRECISE NATURAL COLORS trademark is owned and registered by Sensient Colors LLC. The SENSIENT trademark and the Sensient Technologies Corporation logo are owned and registered by Sensient Technologies Corporation. All rights in trademarks are reserved.

Canada

Sensient Colors Canada Ltd.30 River StreetKingston, Ontario K7K [email protected]

Mexico & Latin America

Sensient Colors S.A. de C.V.Rodolfo Patron Num 12Parque Industrial Lerma Lerma, Edo. De Mexico, C.P. 52000,Apartado Postal 17, Mexico52-728-285-0569

Brasil

Estrada dos Romeiros KM 38,5 nr. 105 06513-001 Santana de Parnaiba, Sao Paulo, Brasil [email protected]

Safe and Secure Ingredients

Characterized by vibrant custom color solutions, Sensient® natural colors define and protect confectionery brands. By uniting

advanced science and creativity with global capabilities, Sensient helps customers produce reliable, preservative-free products with

clean labels, safe and secure ingredients, and consistently stable color.

Define your brand with superior natural color. Visit sensientfoodcolors.com.

The Bold Difference in Your Brand

Natural Colors

®

Retailer Pro le


Theater chain has just the ticket for sales

Retailer Pro le

Marcus Theatres’ feature presentation is a new ‘Grab and Go!’ display that entices moviegoers and boosts the bottom line.

(From left to right) Bob Menefee, v.p. of advertising, marketing and concessions for Marcus Theatres; Carolyn Cunningham, a general manager for the chain; and Jim Janssen, a district director for the chain, hold some of the their most popular concessions.

Moviegoers at the Marcus Theatre in Sturtevant, Wis., are met with an expansive lobby that

overfl ows with traditional elegance — a grand piano anchors the scene, dim mood lighting hangs from the ceiling in a multi-circle design and plush furniture dots the landscape.

But after they get their tickets to the

show and pass through the old-fashioned lobby, they reach a concession stand notable for its slew of new concepts. Cotton candy hangs on a stand on the counter, the confections are displayed on impulse-like racks in front of the tradi-tional glass candy case and White Castle hamburgers are on the menu.

Although popcorn and soda — which account for more than half of vending

sales for Marcus Theatres — are the tradi-tional money makers for theater chains, owners are starting to see how much potential profi t there is in other items.

Love affair with candyMoviegoers have had a long love

affair with holding a box of candy while watching the latest fi lms.

“Everybody knows that movie theater

By Crystal Lindell


candy is better than any other candy,” notes Jim Janssen, a district director for the chain.

Bob Menefee, Marcus Theaters Cooperation’s vice president of advertis-ing, marketing and concessions, says candy makes up about 10 to 15% of his chains’ vending sales — a fi gure that’s been modestly growing over the last few years.

Tastes have evolved though. Former favorites such as Snow Caps and Good and Plenty don’t have the draw they used too, having been edged out by candies such as Skittles and Sour Patch Kids, which, are among their top sellers. Some traditional movie treats, such as Twizzlers, still hold their own, though, and also are among the top 10 sellers.

Menefee explains that the famous movie theater boxes for treats are based partly on the fact that moviegoers usually want to share their candy, and bite-sized pieces make that easier. At the same time, traditional candy bars tend to be coated with something that melts very quickly. Also, many patrons like to mix their candy with their popcorn, and the smaller pieces are more conducive to that.

As for the package itself, Menefee says it’s intentional as well.

“The larger size, that was all about separation from the retail grocer,” he explains. “That was a way to separate ourselves [and] there was also a way to check carry-ins... and we were also able to increase the average sales transaction by selling a larger item.”

Even so, Janssen admits that candy haven’t always been in the spotlight.

“Our highest profi t item is popcorn,” he explains. “As a theater manager, that’s where I put the focus, on popcorn and soda.”

But now, the chain’s most recent in-novation is anchored in the idea of selling more candy.

“Grab and Go!”The Milwaukee, Wis.-

based theater chain — which operates nearly 700 screens at

locations in Wiscon-sin, Illinois, Minne-

sota, Ohio, North Dakota, Iowa and Nebraska — most recently started testing “Grab and Go” con-cepts at 16 sites.

They rolled it out in Novem-

ber after noticing the trend at other

theater locations, Menefee says.

Some, like the one in Sturtevant, Wis., feature

fl oor racks, which come out from the counter and have rows of

candy ready for customers to grab before they get up to the attendant to make a purchase. Others have “Grab and Go” racks right on top of the counter.

Menefee said initial reports indicate that the concepts are working.

“It’s that impulse,” he explains. “See it. Touch it. Oops, I think I better buy it.”

And, the concept doesn’t end with candy. Other locations feature refriger-ated display cases with water, juices and energy drinks, while still others have an ice cream dispenser installed in front of the vending stand.

Although the company doesn’t have

Left: An elegant lobby greets moviegoers at the Sturtevant, Wis., Marcus Theater. Right: Concession stand employee Josh Servie scoops popcorn for a customer.

Left: A traditional glass candy display sits in the concession stand at the Sturtevant, Wis., Marcus Theatre. Right: A new “Grab and Go!” display sits in front of the counter, inspiring more impulse concession purchases.

Retailer Pro le


all the data yet, Menefee did note that the counter candy racks haven’t been as successful as the stand-alone racks that pop out.

“When you get to the counter, having stood in line for a few minutes, you pretty well have decided what you’re going to get, and we have candy display cases right there that have the same items that are in the counter racks, so why do I reach to the counter rack when I can ask the attendant to get it for me?” Menefee explains.

He adds, “[With] the fl oor racks, people are encountering them before they get up to buy... so as they’re approaching, they’re taking a look and saying, ‘The Milk Duds. Ya, I think we’re going to do that.’”

Janssen says the candy somehow looks more real when it’s out on the rack near the customers.

Menefee agrees.“There’s no question, at least in my

mind, if I’m a patron, that’s there to sell,” he says of the candy racks. “Is that item in the candy case, is that there to sell? There’s that mental thing that they have to go through.”

Carolyn Cunningham, general man-

ager for the Sturtevant location, said it’s also enticing for children.

“It comes out so far from the conces-sion stand that kids are running up and they’re grabbing it,” she says. “The minute the kid grabs it, the parent says yes.”

So far, the only draw back to “Grab and Go” is that the current concession stands aren’t designed for it, Menefee says. For example, at the Sturtevant location, the racks block the glass cases of their top seller — popcorn.

“We think that’s kind of obtrusive,” he admits. “That’s not really pretty what we’re doing.”

He says it’s likely that if the concept takes off, the company would look to better incor-porate it during remodels and new construction. One idea would be to take the space where the current glass candy display cases are and put an insert into that, which would come out 12 to 18 inches.

“[We’d] hope that that could be as effective as what we’re doing with the racks,” Menefee says.

When the concept fi rst was introduced, he says owners and managers were concerned that it could lead to more theft.

“People just have pre-con-ceived notions... that we have to work through,” he says. “And in the case of shrink, we’re actually measuring that... and there’s no noticeable shrink.”

The foundational inspira-tion for the “Grab and Go” concepts seems to be the impulse lanes at grocers and c-stores. Janssen says that they didn’t think to mimic impulse checkout sooner because they spend so much time thinking about popcorn.

“Everything is obvious after you do it,” he says. “It just never occurred to us for the longest time.”

Along those same lines, Menefee says movie theaters look at candy retailing dif-ferent than a typical grocer or c-store.

“I believe when people go to the gro-cery story, they go to buy groceries, and they pick up snacks,” he says. “When they come here, they’re looking for treats.”

Other concessionsOne of those treats will always be pop-

corn. Menefee says the company looks for kernels that expand a lot when they pop and taste great.

He adds that most of his chain’s locations don’t feature self-serve butter stations — a newer trend — because many

moviegoers like custom-ized popcorn with butter and salt in the middle. That’s only feasible when the concession stand workers do it.

Another salty snack that’s edging its way into the concession stand is the pretzel. At Marcus Theaters, Jans-sen said they tried to sell whole pretzels, but that didn’t take. So now, they sell pretzel bits, which like box candy,

are easier to share and more fun to eat throughout a movie.

Other non-traditional items that have found their way on to the menu include White Castle hamburgers and Lavazza Coffee. At some Marcus Theatres, conces-sions stands even sell ice cream, which Cunningham says a lot of people order to-go after they watch the movie.

Cotton candy, which the chain intro-duced about six or seven years ago, also has been a big seller for the company, Menefee says. Now, it hangs on racks right on top of the counter, ready to sell.

“We let the customer speak to us,” he says. “Their purchases are going to guide us, along with the supplier community.”

Although the list of the treats at the concession stand will never change as quickly as the list of current movies, the chain’s ability to keep up with new con-cepts will no doubt help Marcus Theatres stay just as relevant as the new releases.

Marcus Theatres operates nearly 700 screens across the Midwest. (Photo provided by Marcus Theatres).

PIECESBITS&


Chicagochocolatier brews up treatsBeer? Good. Candy? Good. Beer-candy? Awesome.

Truf e Truf e, a Chicago, Ill.-based chocolatier, has created a line of beer- avored treats, including: beer and pretzel brittle bits, beer and pretzel truf es, beer and pretzel marshmallows, beer and pretzel caramels and beer and pretzel brittle.

“I love the combination of salty and sweet... and I’m a huge baseball fan,” says Nicole Greene, Truf e Truf e owner. “So, it all sort of came together in my head one day.”

The beer and pretzel truf e — a milk chocolate ganache combined with American chocolate stout, enrobed in milk chocolate and rolled in crushed salted pretzels — was her rst creation.

Her latest treat, a beer and pretzel marshmallow, combines a thick house-made beer marshmallow dipped in milk chocolate with beer on top and pretzel brittle bits.

The company uses Rogue Chocolate Stout, a craft beer, for the entire collection.

“You get the saltiness from the pretzels, [and then] with the beer, you get lovely maltiness and a little bit of a touch of bitterness” she explains. “It stimulates every single taste bud.”

For more information, visit www.truf etruf e.com.

Brands Dollar Sales Dollar Sales Dollar Share Unit Sales (in millions) % Chg. Vs. Yr. Ago of Type (in millions) Chg. Vs. Yr Ago

1. Russell Stover $91.4 5.13 1.65 18.72. Whitman’s Sampler $34.5 1.85 0.15 7.13. Hershey’s Pot of Gold $21.1 (20.79) (2.56) 4.34. Queen Ann Gift Box $15.1 (4.89) (0.41) 8.65. Ferrero Prestige $12.1 (8.66) (0.56) 1.5Total, including brands not shown: $224.7 0.86 - 48.2

Top 5 Gift Box Chocolates (Latest 52 weeks)

Total US FDMxC (Supermarkets, Drugstores, Gas/C-Stores and Mass Market retailers excluding Wal-Mart). In addition to excluding Wal-Mart, the FDMxC data also does not include sales at Club Stores or Liquor Stores.

Source: SymphonyIRI Group, a Chicago-based market research rm.

Caught on the WebFind the latest in new products, promotions, commercials, games and other interactive resources on these clever URLs, and check out the next issue of Retail Confectioner for more websites worth visiting.

www.m-ms.com/uswww.lando icorice.co.uk

Japanese designer driven by chocolateLuxury chocolate manufacturer, Q-Pot, has released a unique version of the

Mercedes-Benz Smart car in Tokyo that’s sure to get anyone’s sweet tooth tingling.First displayed at the International Fashion Fair, the mainly brown car features

a pattern of chocolate bars. Q-Pot’s designer Tadaaki Wakamatus created the whimsical vehicle to help honor the Japanese Valentine’s Day traditions. In Japan, it is customary for the women to give gifts of chocolate to their husbands, boyfriends and male family members on Feb. 14.

“I designed this car hoping that not only men, but also women would drive this car and spend sweet time at the wheel,” Wakamatus, a chocolate lover himself, told AP Television.

Orders for the limited-edition car could only be placed from Feb. 2 to March 13, a day before the so-called “White Day.” On this day in Japan, men return the favor, giving their own gifts to female family members and signi cant others.

Although Mercedes-Benz, a division of automotive company Daimler AG, of- cially had nothing to do with the creation of this car, the company wasn’t surprised that Wakamatus choose the Smart car as the canvas for his creation.

“Smart symbolizes — and is — an alternative solution to four-wheel mobility and has attracted public recognition as such ever since it appeared on the scene roughly 12 years ago,” says Josef Ernst, who works in the communications department at Daimler AG.

Purchasing this expressive holiday gift was not cheap, though. While the original Smart car is priced around $22,439 the chocolate-themed car costs $28,780.

Your source fornew products,trends, newsand insider

perspectives!

THE GLOBAL RESOURCE, FROM MANUFACTURING TO RETAILING

Subscribe for Free atSubscribe for Free atWWW.CANDYINDUSTRY.COMWWW.CANDYINDUSTRY.COM/enews/enews

Industry eNewsIndustry eNews at Your Fingertips! at Your Fingertips! Delivered to Your Inbox Every WeekDelivered to Your Inbox Every Week

Reduce energy costs and CO2 emissions. Buhler understands climate change as

a challenge to create new services and solutions. Therefore the company supplies

customers with energy-efficient solutions for chocolate and cocoa production.

The optimization of thermal processes, a new cocoa shell combustion and an

active energy management offer opportunities to save energy. High efficient

motors and the tempering system SeedMasterTM are tailormade solutions for the

chocolate industry to cut costs by reducing the energy consumption.

Innovations for a better world.

Bühler AG, Chocolate & Cocoa, CH-9240 Uzwil, Switzerland, T +41 71 955 11 11, [email protected], www.buhlergroup.com

Visit us at interpack in Düsseldorf/Germany, 12–18 May 2011Buhler booth in hall 03, stand no. 3C43/D28

Healthy candy? Sounds like an oxymoron.

Not only does it exist, but it has been successfully

growing through a stream of new product launches focusing on nutritional value.

According to Euromonitor, sales of fortifi ed/functional confectionery prod-ucts topped $930 million in the U.S. alone in 2007, indicating a 39% growth during

the previous fi ve-year period. Additionally, sales in the global choco-

late market have risen 3% since 2008, clocking in at an estimated $17 billion, and the non-chocolate confectionery market continues to expand, posting a 28% growth in total U.S. sales in a nearly $5.6-billion market, according to a report from Mintel, a Chicago-based research fi rm.

With both these markets ripe, com-

panies are turning their attention down fresh avenues to create what the consum-ers want — better-for-you candy.

A Fruitful SectorThe latest innovation in the non-

chocolate confectionery sector lies in one of nature’s purest ingredients — the fruit. According to a non-chocolate confection-ery study published in October 2010 by Mintel, 45% of consumers are attracted to labels reading “made with real fruit juice.”

“That [phrase] actually ranked higher than other claims like low-fat, sugar-free or reduced-calorie,” says David Browne, a senior analyst with Mintel.

The report indicated that the non-choc-olate confectionery market has been driven by aggressive product innovation. Browne explains that, as of late, companies have be-gun including real fruit juice and even some higher vitamin C content into their items in response to consumer demands.

“It is very conducive to the product innovation and the formulation of the product,” says Browne, who mentioned several different companies embracing this trend.

Confectionery brands like Willy Wonka, who already produce fruity non-chocolate candies, have explored the possibilities of including real fruit juice. Their newest products, Sluggles and

A healthy duo: fruits and functional ingredients With the steady growth of the candy market, companies have introduced a slew of new forti ed products.

R E P O R TSpecial

By Grace Weitz


YearDollar Sales(in billions)

Dollar Sales% Chg.

Index(2005 = 100)

Index(2010 = 100)

2005 4.3 - 100 78

2006 4.3 1.7 102 79

2007 4.5 3.1 105 82

2008 4.7 3.4 108 85

2009 5.2 9.7 119 93

2010 (est) 5.5 7.7 128 100

2011 (est) 5.8 5.1 135 105

2012 (fore.) 6.1 4.9 141 110

2013 (fore.) 6.4 4.7 148 115

2014 (fore.) 6.7 4.6 155 121

2015 (fore.) 7.0 4.4 161 126

Sales and forecast of non-chocolate confectionery

Total U.S. retail sales of non-chocolate confectioner, at current prices, 2005-15

Source: Mintel/based on SymphonyIRI Group InfoScan® Reviews; U.S. Census Bureau, Economic Census and Annual/Monthly Retail Trade Survey

Sour Puckerooms, run under a line titled Garden Variety and contain 25% real fruit juice. Meanwhile, Tasty Brand Inc makes an organic fruit gummy that also has a claim of 100% of the daily value of vitamin C.

Continuing along the fruit theme, Browne has noticed another tentative trend — super fruits. The goji berry, the acai berry, pomegranate and even the cranberry have proven rich in antioxidants and health benefi ts, making for a perfect addition to a better-for-you confection.

Interestingly enough, though, even with all the hype surrounding super fruits, very few sugary treats have been released with these ingredients as the star.

“One of the caveats…whether it’s acai berry or pomegranate, they’re quite intense fl avors and by themselves they’re not very pleasant — they’re very sour,” says Browne, who indicates that the best way to include super fruits in confections is through combining it with other fl avors.

He also explained that the high ex-pense of super fruits deters companies. Products with super fruits are marketed toward higher-end grocery stores such as Trader Joes and Whole Foods, mean-ing that “perhaps the specialty gourmet market hasn’t really translated into the mainstream,” says Browne.

GumAlthough real fruit juice has fueled

most new product innovation, fortifi ed gums and mints actually compose most of the better-for-you confectionery cat-egory, focusing on everything from cavity prevention and teeth cleaning to vitamin content and most recently, energy.

Philippe Levresse, Roquette’s project manager for technology & applications development, surveyed recent launches, noticing that 4% of new products claim-ing to possess vitamins and minerals were released in the form of chewing gum.

Products such as Kraft’s new Stride SPARK, which established itself in the mar-ket in February. The new gum contains 25% of the recommended daily value of vitamins B6 and B12 — nutrients known for helping release energy in the body.

“We conducted consumer research that found Americans are looking for

products that not only taste great, but also suit their everyday on-the-go lifestyles.” says Melissa Batchilder, the corporate af-fairs manager at Kraft Foods. “In response, we created Stride SPARK.”

Although Kraft hopes to be successful with their latest item, according to Mintel, functional gum and mint products have not been met with a tradition of success. Wrigley’s Stay Alert gum and Surpass antacid gum folded after disappointing performances.

“The vast majority of purchases of these types of products are impulsive,” says Browne. “The consumer that makes these sometimes split second decisions are operating with other priorities in mind as far as fl avor and the right price point. Some of these functional [gum] offerings, while they’re good and perhaps even nutritionally somewhat substantial, they are sometimes more expensive,” notes Browne.

Choco-ful of NutrientsFortifi ed gummies and gums aren’t

the only benefi cial confections on the market. According to the National

Confectioners Association’s (NCA) 2009 Industry Trend Report, three drivers con-trol the better-for-you industry — portion control, fortifi ed products and healthy chocolate, with 45% of experts noting an emerging trend toward healthier choco-late options.

The premium/gourmet chocolate, organic chocolate and dark chocolate market has grown 30% over the last two years due in part to the copious amounts of studies released regarding dark choco-lates’ healthy side effects.

Born from the fruit of the cocoa tree, Theobroma cacao, chocolate is actually made from cocoa seeds. Because choco-late is a plant-based food it contains many of the same nutrients as other plant-based foods, including fl avanols.

Flavanols are part of a group of chemi-cals known as polyphenol antioxidants that have been show to have positive effects on blood pressure, enhance fl ex-ibility of blood vessels, insulin sensitivity and glucose tolerance as well as support cardiovascular health.

Companies such as Barry Callebaut have expounded on the natural properties



Special Report

of chocolate with their specialty line of AC-TICOA Chocolate — released in the U.S. in July. ACTICOA contains a high concentra-tion of cocoa fl avanols — three times the fl avanol content of typical dark chocolate — and helps to restore a balance between antioxidants and free radicals.

“Today, medical experts and nutrition-ists underline the importance of integrat-ing delicious and fun eating moments in a balanced diet,” says Barry Callebaut’s Chief Innovation Offi cer Hans Vrien. “Chocolate fi ts the bill perfectly and the rise of functional chocolate has brought the two worlds together.”

While sugar-free options and dark chocolate have become popular, compa-nies are going even further and adding additional nutraceuticals such as omega 3, probiotics and vitamins to their bars and truffl es.

“Chocolate is a phenomenal carrier when it comes to delivering omega-3, calcium and probiotics into your body,” says Barry Gasaway, v.p. of marketing for Maramor Chocolates. “The chocolate has an absorbing quality that some other foods don’t that help [functional ingredi-ents] absorb into the bloodstream.”

Maramor currently carries three dif-ferent products in its functional choco-late line — a dark chocolate truffl e with calcium and vitamin D3, a premium dark chocolate bar with probiotics and a pre-mium dark chocolate bar with omega-3.

Beginning fi rst with the omega-3 version three years ago, Maramor hoped to capitalize on what their company thought would be a long-term trend.

“We looked at [the low-carb fad] and we looked at functional chocolate and we thought one was a fad and one was more of a lifestyle change,” says Gasaway.

He highlights that consumers want not only a snack, but a way to get vitamins and minerals into their body daily. He ex-plains that nutritionists prefer the human body receive what it needs directly from food sources as opposed to a pill.

Furthermore, “there is capsule fatigue out there,” says Gasaway. People no longer want to take 20 to 30 pills a day, but instead hope to substitute that supple-ment with an actual snack.

Once consumers make a decision to

add functional ingredients, such as probiotics into their daily diet, they have to decide what food sources to use. In terms of pro-biotics, Gasaway explains those can be found in anything that is fermented — such as yogurt.

To get the daily value needed, however, a consumer would have to eat four cups of yogurt, which creates a calorie issue.

“So then you’ve got to fi nd a better source. That is where chocolate becomes an outstand-ing carrier for probiotics because I can give you [your daily dose] in half an ounce of a food traditionally seen as an indulgence,” says Gasaway.

While he believes Maramor has suc-cessfully created these nutrient-rich treats, the major problem lies with trying to convince a weary consumer about the healthy benefi ts of chocolate.

“The biggest hurdle… is to try and overcome the false information that choc-olate is not good for you,” says Gasaway

Maramor sees education as the root. In order to get the correct information out into the airwaves the company has gone into full-force marketing mode.

Expanding their Internet site to in-clude studies on the benefi ts of chocolate is just the start. Maramor also has created a Facebook page, manned a Twitter ac-count and eventually will be installing a YouTube channel to help spread the word. Live demonstrations and work with specifi c Whole Foods stores are other ways Maramor is trying to enlighten the public’s knowledge of chocolate.

With the industry continuing to grow, Gasaway says Maramor doesn’t want their line of functional products to stop at just three.

The company will return to choco-late’s inherent goodness with its upcom-ing product. They plan to start produc-ing a tablet with a cream-like center or maybe even an almond cluster to be used in a chocolate extremely high in polyphe-nols — those chocolate fi ghters that like

to neutralize free radicals.“We see the fi eld growing,” says

Gasaway. “Why wouldn’t you want to eat something that tastes good and has an added value for you?”

Product placement also can be a challenge for manufacturers, who aren’t sure whether to place their items in the candy or health aisle. Browne says he sees this problem, but expects it to dissipate, pointing out that gum products, even the premium, functional ones, have already begun to be merchandised together.

A Flourishing FutureWith all of these issues, bigger

companies often are deterred from exploring the better-for-you sector. Browne highlights brands like Skittles, Starburst and Jolly Rancher that haven’t really pushed the nutritional envelope because they’re afraid of jeopardizing the reputation of an already strong brand.

Regardless, this segment is prime for continued expansion. With a sound market and multiple different avenues showing in a still underdeveloped market, Browne says there is a lot of positive outlook going forward.

“I think these better-for-you products are really a trend of interest to consumers across a lot of different demographics — ages, races, etc,” says Browne. “This market has the opportunity to explore products that meet those needs.”

Products such as Maramor’s Premium Dark Chocolate with Probiotics are just one example of the growing trend of functional chocolates.

y seen to neutralize free radicals

as miume withust one

e of colates.

Enhance your nutritional appeal

Encourage a natural attraction

Appeal to the hearts

of millions

Tap into a demand that’s going nuts

Boost your healthy profile

Connect with healthy consumers

AND YOU THOUGHT YOU WERE JUST ADDING ALMONDS.

A lot goes in with a little almond. Start with 13 essential nutrients and a reputation for helping people maintain healthy

cholesterol levels. Add in the fact that almonds are the number one nut introduced globally.* And finish with a tastier,

crunchier creation that’s sure to appeal to millions in search of healthier products. Blend it all together

and you’ve got the recipe for success.

© 2

011

Alm

ond

Boar

d of

Cal

iforn

ia. A

ll rig

hts

rese

rved

.

Good news about good fat: U.S. Dietary Guidelines recommend that the majority of your fat intake be unsaturated. One serving of almonds (28g) has 13g of unsaturated fat and only 1g of saturated fat.

Scientific evidence suggests, but does not prove, that eating 1.5 ounces per day of most nuts, such as almonds, as part of a diet low in saturated fat and cholesterol may reduce the risk of heart disease.

*Mintel Global New Products Database and Sterling-Rice Group, Global New Product Introductions Report, 2008.

COMMAND DEMAND


IngredientT E C H N O L O G Y

A sustainable futureChocolate manufacturers see sustainable cocoa beans, healthier choices and

higher prices as emerging cocoa trends.

By Crystal Lindell

In the future, even a plain chocolate bar won’t be a plain chocolate bar.

Rather, it will likely feature a label exclaiming that a third party certifi ed it as sustainably grown; it will be about 70% cocoa, and it’ll probably cost you more than whatever you’re paying now.

As the chocolate world changes, makers and consumers alike are looking at a future with increased sustainability efforts and different fl avors, while keeping a watchful eye on prices.

Sustainable CocoaBlommer Chocolate

Company’s Director of Cocoa Kip Walk predicts that the next big thing in chocolate is going be sustainability efforts, which the United Nations World Commission on Environment and Development in 1987 defi ned as “development that meets the needs of the present without compromising the ability of future generations to meet their own needs.”

Walk says it’s an offshoot of consumers expecting sustainability from other products, such as coffee and produce.

“I think this is probably the biggest trend the industry’s seen in a long time,” he says. “Major brands are really helping to drive it, and I think it’s the major retailers having a high expectation of what

you’re putting on the shelves.”In fact, major companies such as Cargill

and Mars Inc. are even being recognized for their work in this area. Late last year, Mars won the U.S. Secretary of State’s 2010 Award for Corporate Excellence for its efforts to help cocoa farmers in Ghana. The company has pledged to certify its entire cocoa supply — 250,000 tons a year — as sustainable by 2020.

Meanwhile, in January, the U.S. Chamber of Commerce recognized Cargill for its work to improve livelihoods for cocoa farmers and their families in Africa, Asia and South America.

Courtney LeDrew, marketing manager for Cargill Cocoa and Chocolate, explains

that there is a growing demand for certifi ed cocoa beans.

“Consumers want to know more about where their food is coming from and how it’s produced,” she notes. “Chocolate manufacturers, in general, are concerned about the well being of the cocoa farmer and of sustainability in general.”

Walk notes that U.S. consumers have been slower to catch on to this trend than others in Europe and Canada. However, he expects that as more products tout their sustainability certifi cation, American consumers will naturally start to expect it on even more of the things they buy.

“It is going to become more of an awareness issue,” he explains. “The

Experts expect crop sustainability efforts to be the next big trend.


consumer is going to start getting exposed more and more.”

Walk says he doesn’t know if shoppers will be willing to pay more for sustainable chocolate, but notes that they have been willing to pay more for other sustainable foods.

Higher Prices, Healthier ChoicesUnfortunately, shoppers may be asked

to pay more for their chocolate regardless of whether or not its certifi ed as sustainable.

Walk says fundamental market conditions and political unrest where many cocoa plants are grown have contributed to the prospects of higher prices.

He says there’s hope on the horizon, but nobody should expect a metric ton of cocoa, which currently is about $3,600, to be as cheap as it used to be.

“I think the market is over infl ated right now because of the nervousness,” he explains. “Will we return to $1,500 cocoa prices? No, I don’t believe we will. [Instead, the climate] will keep prices north of $2,000.”

One way to lure consumers into buying even more expensive chocolate products is by touting the health benefi ts of the food.

Walk says dark chocolate has become a stable force in the market, a trend he attributes to the fact that consumers see it as healthier than a regular chocolate bar.

“That’s an interesting segment though, because I see that potentially as a growing market for adults, but I don’t see children moving into that sector,” he notes.

Along those same lines, John Zima, with ADM Cocoa, said there is more demand from customers for their chocolate to include things like fi ber, as well as a growing interest in coatings with no added sugar and no added salt.

“[It serves to] meet the consumer demand for healthier food choices,” he explains.

Walk says manufacturers have to walk a fi ne line with healthier chocolate products, though, because they are unlikely to draw people in who otherwise wouldn’t eat chocolate, while at the same time, most consumers still tend to reach for chocolate as a “comfort food.”

Niches Encourage Experimentation

One trend that Walk sees loosing steam is origin fl avors — whereby chocolate makers specify which geographic location their beans comes from.

“Personally, I think that’s something that has kind of come and gone,” he says. “And I think the economy was part of the reason for that.”

Walk notes that the market saw a lot of launches of single-origin chocolate in 2007 and 2008, but that it’s faded since then.

“There is very little demand in the general market place for single-origin products,” he says. “I think it’s still strong as a niche area, [though].”

Another niche trend is experimentation with unusual fl avor combinations. LeDrew says Cargill also is experimenting more

with sweet and savory combinations. “This can range from cocoa nib

encrusted scallops seared in cocoa butter, to chocolate raspberry vinaigrette on a green salad,” she explains. “Savory chocolate bars and confections are more common [though]: not only can you fi nd a bacon chocolate bar in your local candy shop, you might also see a chocolate porcini mushroom truffl e or a basil thyme confection.”

She also said Cargill is seeing more of “the chocolate experience.”

“There are new chocolate-themed restaurants and cafes opening and they are not just in New York City,” LeDrew says. “These restaurants not only have chocolate on the menu, but they have chocolate and candy décor.”

So, maybe the future of chocolate won’t be a chocolate bar at all.

Manufacturers are keeping an eye on cocoa prices, which have increased because of political unrest. Photo provided by Cargill.


Hygiene critical to kitchen designIncreased emphasis on food safety make Cleaning-in-Place

(CIP) functions ever more critical.

The design of today’s modern kitchen technology should not only guarantee

a good product, but also allow maximum continuous run times encompassing a 24/6 work week, even with caramel or fudge recipes, before CIP (Cleaning-In-Place) is required.

Hygienic design and maintenance friendly features (Chocotech Service Informa-tion System, SIS) are also key features in minimizing downtime. Well-thought out fully automatic CIP loops, us-ing dairy-type non-mix valves, allow part of the system to un-dergo CIP while the other part continues in production mode.

A full CIP of the complete kitchen in one step is also possible depending on customer philosophy. Advanced process controls should allow startup procedures and unscheduled stops because of down steam problems to be controlled safely and effi ciently, allowing full product re-claim to be achieved in an inline process. This avoids the requirement to store large amounts of rework, which have to be processed separately.

Another important factor of advanced process control is compensating for vary-ing atmospheric pressures, which — in turn — guarantees a more consistent product. All these and more are part of Chocotech’s kitchen, which manufactures

up to 3,800 kgs/hr of product on continu-ous multi-shift production runs.

In conjunction with interpack, Chocotech will unveil several new devel-opments. Highlights include the following:

• The Chewmaster has been further developed to include an additional crystallizer. For the fi rst time, opera-tors can achieve defi ned continuous crystallization, independent of the sugar glucose (corn syrup) ratio. As a result, products do not later show any signs of “cold fl ow.”

• Batch and continuous caramel cookers such as Carastar, YPP and Sucrofilm will be on display. The recently developed Sucrofilm 1500 can handle more than 2,000 kgs/hr (4,400 lbs/hr) of caramel, depend-

ing on the recipe, with a turndown rate of more than 50%. All Sucrofilm cookers now include a direct drive, doing away with belt and chain drives, minimizing maintenance.• The newly developed Carafl ex allows caramel masses with a color spec-trum from milk-white to dark brown to be manu-factured and already has shown great potential on the market place.• Recently engineered improvements include the automatic adaption of control parameters to deal

with varying atmospheric pres-sures. Such inline viscosity control ensures a consistent mass quality.

• The Chocoform PSL drop line, de-signed to manufacture chocolate centers such as lentils, balls and eggs that are eventually panned, will feature a new design. This allows an easy exchange of the drop rolls, which facilitates a quick changeover (30 minutes) in product shape, such as from lentil to egg shape.

At interpack, stop by booth A07/B08, Hall 3.

For more information, visit www.chocotech.de

SupplierS P O T L I G H T

Chocotech’s kitchen, which encompasses hygenic design and maintenance friendly features, can produce up to 3,800 kgs/hr on continuous multi-shift production runs.

Chart Your Course to Real

SUCCESS

Find out how we can customize a research solution to help your bottom line.

[email protected]

An industry-focused market research company

At Clear Seas Research we developcustomized research solutions to identify:

The outlook for new/existing productsCustomer needs and expectationsOptimal product price pointsMarketing messages with impactYour position in the industryAreas of customer satisfactionOpportunities for new solutions/products

. . . and much more

CLEAR SEAS RESEARCH.Making the Complex Clear.

As a CASRO member, we subscribe to the Code

of Standards and Ethics for Survey Research established by the

Council of American Survey Research Organizations.

To place your classifi ed ad in Candy Industry

call Diana Rotman at847-405-4116

Fax: 248-502-9083E-mail: [email protected]


EQUIPMENT FOR SALE

EQUIPMENT

See your ad here!Advertise in the Classified Network

Contact Diana Rotman at 847-405-4116 or [email protected]

CONSULTING

APT Depositor - Heads, Pump blocks, Parts & ServiceConfectionary Wrapping & Processing

Consulting & ServiceFast, Reliable Part Design, Fabrication & Service

Custom Designed Equipment for Your Needs2D Auto Cad Services, R&D Services

Co-Manufacturing, Rebuild Facility

CANDY MACHINE CONSULTING614-607-0295 • Candymachineconsulting.com

WANTED TO BUY

WE BUY CANDY, FOOD & BEVERAGE

Nationwide pick up since 1993

CLOSEOUTS

e-mail: [email protected] www.whamcloseoutfoods.com

Nationwide pick up since 1993

CLOSEOUTS

Call Jon (954) 649-7857

CI1110Wham.indd 1 10/29/10 3:48 PM

• Chocolate Melters - 100# - 300# - 1000# • Greer 16” Ebrobing Line w/o cool tunnel• Forgrove 22B Twist Wrapper• Flow Wrappers - Forgrove 255 - F.M.C.• Scotty Doboy Flow Wrapper• Foil Wrapper Forgrove 26P• Sharp Packaging Machine• Friend Depositor• Depostors - 32” Racine - 32” National• Rovena Vertical Bagger w/Weightpack• Rasch Temperer

Cerreta Candy Company5345 W. Glendale Avenue

Glendale, AZ 85301623-930-9000

WASHERS & DRYERSWASHERS & DRYERSFor Chocolate Molds & Plaques

KUHL CORP. - PO BOX 26FLEMINGTON, NJ 08822-0026

Tel: 908-782-5696 Fax: 908-782-2751

www.candyindustry.com

Phone: (314) 919.5045www.habib-ADM.com

Email: [email protected]

Organic & Kosher • Rice Syrups • Rice Syrup

Solids • High Maltose

Rice Syrup • Rice Oil • Maltodextrins • Soluble Rice

Fibre • Rice Protein

Concentrate

Non-GM Conventional Kosher

• High Fructose Rice Syrup 42

• Rice Sorbitol Syrups • Rice Maltitol Syrup

For sale:• Hilliard 10” enrober with a pre-bottomer• Creamy fudge mix in 11 lb batches- can be

rolled on a marble and beat by hand or mixer - just add water. No refrigeration necessary.

We buy and sell:• K wire and model K steel Jaw wrapping machines• K & H long candy wrapping machines

We also make parts, rebuild and restore this equipment as well as candy pullers, hard candy machines and other candy making equipment.

Phone Email

252- 966-2200 [email protected]

CHOCOLATE CONCEPTS330-877-3322 | [email protected]

• Nice 7” W.C. Smith Enrobing Line• Chocolate Depositing Measuring Pump• Chocolate Tanks from 80 to 1200 lbs.• Candy Bar Wrapping Machine• Hilliard Coater and Enrobing Line• Hillard Chocolate Melters• New Caramel Cutter 21 Blade S/S• Foil Wrapper Machine for Eggs and Bars• 42” S/S Pre-bottomer• Savage over/under S/S Melter• Chocolate Vibrating Tables • One Shot Truffl e Machine • Langen Candy Cartoner • Friend Lab Depositor• Equipment to Totally Coat Toffee, Marshmallow,

Chocolate, with Nuts, Coconut, etc.

Coming soon...

Ohio Candy Equipment Auction

email for equipment list and date:

[email protected]

AUCTION

INGREDIENTS

To place your classifi ed ad in Candy Industry call Diana Rotman at847-405-4116Fax: 248-502-9083E-mail: [email protected]

www.candyindustry.com March 2011 CANDY INDUSTRY 33www.candyindustry.com March 2011 CANDY INDUSTRY 33

SUPPLIESEQUIPMENT FOR SALE

ADM Cocoa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . www.adm.com

Almond Board of California. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27. . . . . . . . . . . . . . . . . . . . . . . . . . . . www.almondboard.com

American Chocolate Mould . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7. . . . . . . . . . . . . . . . . www.americanchocolatemould.com

Blommer Chocolate. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . www.blommer.com

Blue Diamond Growers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3. . . . . . . . . . . . . . . . . . . . . . . . . . . . www.bluediamond.com

Buhler AG . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23. . . . . . . . . . . . . . . . . . . . . . . . . . . . . www.buhlergroup.com

Concord Foods . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . RC9. . . . . . . . . . . . . . . . . . . . . . . . . . . .www.concordfoods.com

Dumoulin . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .www.dumoulin.fr

Haas-Mondomix. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . www.mondomix.nl

Hilliard’s Chocolate System. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . RC10. . . . . . . . . . . . . . . . . . . . . . . . www.hilliardschocolate.com

Ladco/MacIntyre Chocolate System. . . . . . . . . . . . . . . . . . . . . . . . . . 13. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . www.macintyre.co.uk

National Confectioners Assoc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . RC3. . . . . . . . . . . . . . . . . . . . www.sweetsandsnacksexpo.com

Peter’s Chocolate. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Insert. . . . . . . . . . . . . . . . . . . . . . . . . .www.peterschocolate.com

Petzholdt Heidenauer. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13. . . . . . . . . . . . . . . . . . . . . . .www.petzholdt-heidenauer.de

Roadtex . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . www.roadtex.com

Roquette America . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . RC7. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .www.roquette.com

Sensient Colors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . RC11. . . . . . . . . . . . . . . . . . . . . . . .www.sensientfoodcolors.com

Sollich North America . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . www.sollich.com

Union Confectionary Machinery. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35. . . . . . . . . . . . . . . . . . . . . . . . . .www.unionmachinery.com

Wire Belt Company of America . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . www.wirebelt.com

CANDY INDUSTRY (ISSN 0745-1032) is published 12 times annually, monthly, by BNP Media II, L.L.C., 2401 W. Big Beaver Rd., Suite 700, Troy, MI 48084-3333. Telephone: (248) 362-3700, Fax: (248) 362-0317No charge for subscriptions to quali ed individuals.Annual rate for subscriptions to nonquali ed individuals in the U.S.A.: $115.00 USD. Annual rate for subscriptions to nonquali ed individu-als in Canada: $149.00 USD (includes GST & postage); all other countries: $165.00 (int’l mail) payable in U.S. funds. Printed in the U.S.A. Copyright 2011, by BNP Media II, L.L.C. All rights reserved. The contents of this publication may not be reproduced in whole or in part without the consent of the publisher. The publisher is not responsible for product claims and representations. Periodicals Postage Paid at Troy, MI and at additional mailing of ces. POSTMASTER: Send address changes to: CANDY INDUSTRY, P.O. Box 1080, Skokie, IL 60076.Canada Post: Publications Mail Agreement #40612608. GST account: 131263923. Send returns (Canada) to Pitney Bowes, P.O.Box 25542, London, ON, N6C 6B2.Change of address: Send old address label along with new address to CANDY INDUSTRY, P.O. Box 1080, Skokie, IL 60076.For single copies or back issues: contact Ann Kalb at (248) 244-6499 or [email protected]

Also publishers of Beverage Industry, BrandPackaging, Dairy Foods, Flexible Packaging, Food & Beverage Packaging, Food Engineering, Industria Alimenticia, The National Provisioner, Prepared Foods, Private Label Buyer, Refrigerated & Frozen Foods Retailer and Snack Food & Wholesale Bakery.

A D I N D E X


CANDY WRAPPER

What do you do when life hands you lem-ons? Well, if you’re 2 Chicks with Choco-

late founder Elyissia Wassung’s mom, you bypass the lemonade thing entirely and go straight for the chocolate. When a disabling car accident left her unable to commute to work, Elyissia’s mom turned to making chocolate in her kitchen as a way to bring home the sweet.

Wassung would then load up her shopping cart and venture down blocks of Queens, N.Y. streets, going door to door to sell all she could. One day, unfortunately, some neighborhood bullies stole both.

It was a cruel lesson, but one that didn’t deter her from being a chocolate entrepreneur.

Following her Mom’s advice to “never take no for an answer,” Wassung knew she would follow her heart and make a change. Despite being in a lucrative telecom job while managing her choco-late business, Elyissia decided to get re-ally serious about taking the chocolate industry by storm. She left her telecom job and has been happily immersed in the chocolate world ever since.

2 Chicks with Chocolate is a mother/daughter-owned chocolate company best described by some as “Willy Wonka meets Build-A-Bear meets Sex in the City.”

The South River, N.J.-based, award-winning operation — recently named

Top 10 Chocolatier in America for 2009 by Dessert Professional magazine — of-fers artisanal chocolate as well as fun and kitschy chocolate-covered items.

Stephanie Vazquez, a gifted choco-latier and pastry chef trained under renowned Master Chocolatier Patrick Coston, oversees day-to-day operations, which can involve handpainting bon bons or creating racks of bark and toffee.

What’s new for 2 Chicks? The company looks to expand its Wine Collection series with such varietals as Malbec and Syrah. In addition, custom-ers can look for more kitschy items such as chocolate-covered s’mores, krispies, pretzels, etc. There are new hot cocoa flavors in the works, as well as a healthy chocolate line powered up with acai, pomegranate and other super fruits. For more information, visit www.2chickswithchocolate.com

What did you think you would be when you grew up? A veterinarian first, then a lawyer.

Name one of your favorite movies.

“The Goonies,” “Pretty in Pink” and all of the origi-nal “Star Wars” movies.

Describe your perfect dream vacation. A beach, a chair, books and a frozen cocktail with an umbrella in it. What book are you cur-rently reading?

‘The Tipping Point” by Malcolm Gladwell.

Aside from a family member, whom would you most want to be stranded with on a deserted island?Silence is golden — my husband will be reading this.

What’s your pet peeve?People without drive and with a lack of passion. I’d give anything to meet:Warren Buffet.

The best piece of advice that I’ve gotten:To never give up, always believe in yourself and help others that are less fortunate than you. That, of course, came from the wisdom of Chick 2, aka mom.

What excites you most about your job?Everyday is something new. I can take 2 Chicks to as many levels as I want. Knowing that I have the power to take my team to places they’ve never dreamed of excites me.

Transforming hard knocks into a sweet careerSetbacks for Elyissia Wassung’s mother, and eventually for Elyissia, go on to open a new opportunity for both in gourmet chocolate.

Elyissia Wassung and her mom, the women behind South River, N.J.-based 2 Chicks with Chocolate.

NEW, USED AND REBUILT CONFECTIONERYPROCESSING & PACKAGING MACHINERY

New TINSLEY Belt Coaters 24” to 74”Tinsley Chocolate Tanks 100 to 20,000 lbs.

New NATIONAL EQUIPMENTStainless Steel Revolving Pans

New TINSLEY Stainless Steel Cold Tables

Werner Lehara 16” Wire-Cut Extruder with Jacketed Rolls

Bepex Hutt DDP3/250-100 Triple Layer Extruder

HOHBERGER Model 2300 Stainless Steel Cooling Wheel - 30” Wide x 40” Diameter

48” Stainless Steel Panwith Ribs

Westal 300 x 205One-Shot Depositor

SIG Model CK High Speed ChocolateBar Wrapper with Foil from a Roll

WORLD’S LARGEST SUPPLIERBUYING & SELLING USED MACHINERY WORLDWIDE

Visit us online at:

www.unionmachinery.comfor complete inventory, auctions & liquidations.

Sollich model TSN-1050 1050 mm wide Chocolate Enrober with Built-in Tempering with 20-meter Cooling Tunnel

New YorkO 718.585.0200F 718.993.2650

[email protected]

Chicago773.376.5400 O773.376.0634 [email protected]

For customers around the world, ADM draws on its resources—its people, products, and market perspective —to help them meet today’s consumer demands and envision tomorrow’s needs.

800-558-9958 | [email protected] | www.adm.com

PRODUCT DEVELOPMENT

© 2011 Archer Daniels Midland Company

Confectioners have come to rely on ADM Cocoa for consistency and quality. But what really

sets us apart are the added extras you can’t get anywhere else. Like product development.

Come to us with an idea, we’ll help you transform it into a high-performance product your

customers will crave. To fi nd out more about how ADM’s technical expertise can give you an

advantage, visit us at adm.com/ambrosia.

ADM. Chocolate…and so much more.

the-candy-industry.pdf - saif dewan's blog

Documents