Tuesday, April 29, 2014

Hain Celestial acquires Rudi's Organic Bakery for $61.3M

Hain Celestial acquires Rudi's Organic Bakery for $61.3M | Wrigley files patent to control gum sweetness | Kellogg CEO Bryant to become chairman of the board
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April 29, 2014
GMA SmartBrief
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Hain Celestial acquires Rudi's Organic Bakery for $61.3M
Rudi's Organic Bakery, maker of about 60 products, some of which are USDA-certified organic, has been purchased by Hain Celestial for $61.3 million. "As a company committed to driving product innovation, we plan to build upon Rudi's leadership position and see the opportunity to take Rudi's into other categories where the brand does not have products today," said Irwin Simon, CEO and founder of Hain Celestial. Rudi's CEO Jane Miller will leave the company, which will remain a branded entity within Hain Celestial. FoodNavigator (4/28)
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Wrigley files patent to control gum sweetness
Wrigley has requested a patent for its process that uses encapsulated sweetener enhancers to improve the sweetness of sucralose and other sweeteners in gum, which could help lower costs. "It was discovered that by treating the sweetness enhancer so as to modify its rate of release from chewing gum that the sweetness enhancer was effective to increase the perceived sweetness of the T1 R2 sweetener [sucralose and other sweeteners] in the chewing gum," Wrigley wrote in its patent application. ConfectioneryNews.com (France) (4/25)
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Kellogg CEO Bryant to become chairman of the board
John Bryant, CEO of Kellogg, will also become chairman of the board for the company in July, succeeding James Jenness. Bryant has "a clear vision of how we will deliver on our strategy and grow our business around the world," said Jenness, who will continue as a non-executive director of the board. Bloomberg (4/25)
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New research reveals keys to successful food innovation
Affinnova's new study shows "anticipated taste" impacts food innovation, specifically:
Why unique flavor combinations drive anticipated taste.
How "Flavor Focused" line extensions drive incremental sales.
Why consumers want flavors ingrained in other locations.
The impact a brand can have on a flavor combination.
Download the full report by clicking here
 
Trends
Health, natural trends spur colossal coconut water growth
The top three coconut water brands -- Vita Coco, Zico and O.N.E. -- have grown by almost 600% since 2009 and by 2,759% since 2007, according to BevNet CEO John Craven. The beverage, which was first available in the U.S. in 2004, has been pushed to such colossal growth by the nation's obsession with everything healthy and natural. Producers claim it naturally replenishes the electrolytes in the body and positioned it as a low-calorie choice. While coconut water is an acquired taste, producers have "been extremely successful at incorporating flavors like mango and chocolate to make it more appealing to a mainstream audience," said Virginia Lee, an analyst for Euromonitor. Quartz (4/26)
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Companies live and die by their employees
Businesses with fewer than 500 employees drive the economy, and represent about 55% of all jobs in the country. However, finding suitable employees can be tough. Small Business Owners with limited time and resources need to make every new hire count because the actions of each employee can go straight to the bottom line. Download your free white paper, Welcome Aboard: A Guide to Small Business Hiring and learn how to hire smarter.

SmartBrief Originals
Read the latest food and beverage coverage in SmartBrief Originals:
Corporate Social Responsibility
Companies commit to recyclable packaging goals
Some CPG companies rely on flexible plastic pouches to package their products, but these packages often end up in landfills. Colgate-Palmolive has committed to making packaging for three out of its four product categories recyclable by 2020, and Keurig Green Mountain said it will begin making recyclable K-cups by 2020. Johnson & Johnson released a video encouraging consumers to recycle all packaging, including products used in the bathroom. GreenBiz.com (4/28)
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Advertising & Marketing
Hamburger Helper's modern makeover boosts brand's popularity
Hamburger Helper was having an identity crisis, and General Mills needed to do something to make it relevant for both moms and millennials. It used Facebook and the Betty Crocker website to attract moms but took a more tongue-in-cheek approach for its millennial marketing with irreverent humor on Tumblr and Twitter, such as a tweet that played off a popular Beyonce song. The brand is now the company's most popular in social media with more than 300,000 total connections. Digiday.com (4/28)
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Mondelez, NowThis News to create real-time reaction videos
Mondelez International has signed a deal with NowThis News to form Blink Studios, which will create real-time marketing videos within minutes of a story breaking. The deal includes "24/7 access" to creative and production teams inside the NowThis studios. "Instead of responding with a simple copy line or static image, we can actually create, produce and distribute video content very quickly," said Laura Henderson, Mondelez's associate director of U.S. media and communications. Advertising Age (free access for SmartBrief readers) (4/28)
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Kimberly-Clark's general-market campaign has a Hispanic hook
Kimberly-Clark's "Celebrate Family Unity" campaign is bringing together five consumer brands in a general-market campaign that's meant to feel distinctly Hispanic. The campaign centers on a FUN Song Web App that allows consumers to build a family song and gain coupons, with Cuban-American artist Christina Milian serving as the celebrity face of the campaign. The campaign directly targets "the core consumer, who is a bicultural Latina mom," Senior Brand Manager Lizette Williams said. Advertising Age (free access for SmartBrief readers) (4/28)
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Retail Spotlight
How Door to Door Organics is achieving growth in online groceries
Door to Door Organics has achieved profitable growth and is outpacing its competition with a strategy of discipline and focus, company President and CEO Chad Arnold says. The online grocer is projected to reach $40 million in revenue this year, up from $26 million last year, and now serves customers in 10 states. "We are built around the model established by farmers of delivering a weekly box of seasonal fresh produce to customers. We just add technology to the picture and hedge the risk by sourcing from lots of farmers and producers," Arnold said. FoodNavigator (4/28)
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GMA News
Important jurisdiction differences can impact your company's liability
States have the power to create their own legal framework when it comes to product liability. Food, beverage and CPG companies must be aware of the requirements of their respective state and the importance of understanding jurisdiction differences that can impact their legal obligations and brand reputation. Learn about this and more at the 2014 GMA Consumer Complaints Management Conference.
SmartQuote
The key to everything is patience. You get the chicken by hatching the egg, not by smashing it."
-- Arnold Glasow,
American businessman and humorist
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