February

Premier Foods to boost brands with big money marketing

Premier Foods, whose stable of brands includes Mr Kipling and Hovis, will launch a major on-pack initiative across all of its brands in March.

Pepper pasty sparks Facebook appreciation

One baker’s pepper pasties have become an internet hit, after pasty lovers set up an online fan club on Facebook.

Gelders Bakery strikes deal with Tesco

Gelders Bakery has just signed a deal with Tesco to sell its pies and sausage rolls in at least 20 shops.

Warburtons gets snack happy

Warburtons has announced it is moving into the snack market with the launch of two new ranges – ChippidyDooDaa Pitta Chips and SnackaDoodle Wholegrain Snacks.

Canada Bread reveals details of C$100m bakery

Maple Leaf subsidiary Canada Bread has announced that its new C$100 million mega-bakery will be in Hamilton, Canada.

Award win spurs growth for Anne’s

Anne’s Patisserie in Flint has announced plans to expand the business in 2010, following two gold wins at last year’s Great Taste Awards.

Its Sticky Chocolate Pudding with Rich Belgian Chocolate Sauce achieved three-star gold, while its Sticky Date and Ginger Pudding was awarded one-star gold.

Hovis to push white bread sales

Premier Foods has announced strong growth for Hovis’ branded bakery, and plans to push for increased sales of white bread.

In the firm’s preliminary results for the year ended 31 December 2009, it announced that branded bakery sales for Hovis grew by 13.5% to £370m, though it explained that the increase in volume sales was partly offset by pricing - with the proportion of bread sold on promotion higher than in 2008.

Retailer brand bakery fell by 15.6% to £179m, however Premier noted that the loss in non branded sales was “more than offset” by increased volumes of branded bread.

Hovis grew its market share of the branded bread market to 26.6% by value and 25.8% by volume in 2009, which Premier put down, in part, to the firm’s ability to develop advertising which emotionally connects with the consumer.

Commenting on opportunities for the future, Premier said growth was still available from “expanding in segments of the market in which Hovis is underrepresented, such as white bread”.

Total bakery sales in the Hovis division were up 2% to £549m. Milling sales fell by 16.8% to £193m, as raw material costs had a significant effect, according to the firm. This resulted in a fall in total sales for Hovis of 3.6% to £742m.

However trading profit for the division was up 75% from £24m in 2008 to £42m in 2009.

Premier announced that branded sales had increased across the board, and as part of its strategy for further growth it said it will “concentrate our investment into areas with the greatest growth potential”. It has therefore placed its brands into Drive, Core and Defend areas of focus.

Within the Drive category - the areas it believes it can grow ahead of the market - are its bread and cake businesses, including the Hovis and Mr Kipling brands. It classifies its Cadbury Cakes business as a core brand within its Drive category.



Pret continues expansion in airports

Pret A Manger has taken three steps towards its goal to be represented at all major airports across the UK, after securing locations at Birmingham airport.

The three new outlets will be the first to open in an airport outside the South East region. There will be one airside shop in the departure lounge of Terminal 1, one landside in Terminal 1 and a new external kiosk.

The food will prepared at a large on-site kitchen, and will enable Pret to react quickly to fluctuations in customer numbers.

Pret secured the locations as the result of a tendering process carried out late in 2009.

Work on the units is expected to begin in March, with the outlets due to open in May. There are also plans for 24-hour opening hours in the busy summer months.

Bakery enlists help of business doctor

Royston’s Traditional Bakery in Long Stratton has enlisted the help of a ‘business doctor’ to help grow its bakery and coffee shop business.

Royston Owen and his wife Michelle took over the bakery, formerly known as Mr Bunn the Baker, in May 2007 after spending four years as bakery manager for the previous owners Gary and Barbara Bunn.

Owen has worked to create an old-fashioned, traditional bakery and coffee shop, and called in business doctor Hamish McMinn to help develop a strategy for long-term growth.

“The recent economic climate has been a strong reminder that no matter how much passion you have as a baker, a bakery is a business like any other,” said Owen. “It’s easy to get too caught up in the everyday running of the bakery and forget you need a strong strategy to ensure the bakery remain successful as a business.”

He said it has help him focus on what the bakery does best, as well as looking at areas in which it could improve.

Business Doctors is a national network of business experts, specialising in helping small and medium sized businesses achieve growth through practical support with strategy, sales and profit growth and staff engagement.

£2m spend for Phileas Fogg

United Biscuits has launched a £2million marketing campaign for its snack brand Phileas Fogg, which includes new pack designs and new television advertising to start mid-February.

The firm has said the new TV advert will build on the brand’s 2009 theme of highlighting “the authenticity of Phileas Fogg ingredients and how they are sourced”, and will be set in Modena, Italy.

The new pack designs for its snack range, which includes crisps, tortillas and poppadoms were rolled-out last month, with the use of more colour to help consumers distinguish between the different flavours.

“Since it’s re-launch last year, Phileas Fogg has grown to become worth almost £12m at RSV and has had a significant impact on growing the premium bagged snacks segment, which is up 7% YOY and worth £517m,” commented Helen Warren-Piper, marketing director of bagged snacks at United Biscuits.

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