Sensient Technologies is a local manufacturer and supplier of Natural Flavours, Extracts, Natural Colours, Specialty Sauces and Seasonings.
Our Auckland development team and manufacturing site take international trends and technologies from our global company’s resources and transforms them into local products, concepts and innovations for our New Zealand customers. We continue to support our customers with formulation development, short lead times and small MOQs with a focus on speed and flexibility.
For all your sensory ingredient needs, contact Sensient – we bring life to products!
5 Doraval Place
PO Box 22451
Lynn River is a market leader in hand protection and personal protective equipment (PPE) solutions to the meat, fish and food processing industries. Lynn River is the exclusive importer of Showa quality gloves and is a long standing licensee of DSM Dyneema – the world’s strongest fiber™.
Lynn River has an extensive range of products tailored for the food industry including cut resistant gloves, disposable gloves, industrial safety gloves, freezer gloves, aprons, bakers’ mitts and pads, earmuffs, respirators, safety glasses and workwear.
Our head office is located in Geraldine with a sales office and ancillary warehousing in Auckland. We have trained technical representative located throughout New Zealand who are able to assist with product recommendations and trials to ensure cost effective outcomes.
162 Talbot Street
PO Box 7
When it comes to moving and packing fruit and produce EQM has you packed, sealed and delivered.
EQM is a full service packing solutions business. We have the know how to create efficient and high performing packing systems using quality equipment such as conveyors, rotary tables, gearboxes and motors.
518 Omahu Road
We are a NZ owner operated business of over 30+ years, supplying customised flexible packaging solutions to a wide range of industries. From start ups to multi-nationals, we have solutions to fit almost any brief. We offer full consultation and have a genuine interest and passion for the presentation and delivery of your products to market, guiding clients through each step of the way.
We offer full inventory management services, 3PL throughout NZ and Australia, technical advice and a wide range of flexible packaging solutions – pouches, films, spout pouches, wholesale packaging, liners, dairy packaging, meat packaging, produce and agricultural solutions, pet food products… and more!
We encourage anyone looking to develop a new product or seeking a more creative and supportive supplier to give us a call to discuss in confidence.
220 Bush Road
PO Box 303509
Swisslog’s fully automated robot-based order picking system ACPaQ has been selected by food and beverage giant Coca-Cola Amatil as part of the automation and major expansion of its Auckland distribution centre.
Installed in Auckland this year, the system is an evolution of Swisslog’s proven advanced automation technology, which combines robotics solutions for palletising and depalletising with the company’s CycloneCarrier shuttle technology to create a fully automated process that facilitates high throughput and reliable picking of orders for logistics, distribution, food and beverage and retail applications.
Swisslog, and the KUKA Group of which it is a global member, have combined their robotics and intralogistics expertise to create this fully automated solution that allows customised and scalable pallets to be created.
Coca-Cola Amatil NZ supply chain general manager John Truscott says the new system will enable the business to keep pace with increased demand along with rising expectations on the quality of customer deliveries. “We are excited by this technology and the advantages that the fully automated case picking system provides us. This will certainly strengthen our capabilities heading into the 2018 pre-Christmas period,” he says.“The whole picking system will be fully integrated using Swisslog SynQ software, which also controls automated delayering of single product pallets into individual cases.”
Amatil has been using a fully automated pallet storage system in both Auckland and Australia since 2007, and the expansion into robotic picking allows the company to meet rising customer demand while reducing costs and improving quality, efficiency and predictability in its operations.
The heart of the new system will be three Swisslog RowPaQ robot cells, which can each handle up to four cases simultaneously and stack up to 1000 cases per hour into multi-product pallet loads ready for customer delivery.
“This is a far higher throughput than existing mixed case robotic palletisers, which greatly improves operational efficiency,” Swisslog head of sales and consulting Sean Ryan says. “These robots also have unique grippers designed for fast, gentle and accurate handling of almost any carton, shrink-wrapped or foiled package. The solution is completely scalable and additional RowPaQ cells can be added to the system to increase throughput as required.”
The new solution also includes Swisslog’s multi-level shuttle storage system CycloneCarrier, which quickly delivers sequenced cases to the robots, all linked with pallet and case conveyors.
The ACPaQ system will be installed this year and replaces a manual, voice-directed picking system, but will link with the existing automated pallet store to create a seamless operation.
“Coca-Cola Amatil are leading the way in applying new technology to support their long-term business requirements and we are excited to be working with them. The modular design of ACPaQ has been specifically developed so that extra capacity can be added with increasing demand,” Ryan says.
Swisslog’s ACPaQ palletising software allows companies to customise a palletising order to increase efficiency during in-store replenishment. It can be used in ambient temperature and chilled warehouse zones, and can handle almost all types of cartons, shrink wrapper or foiled packages, and pallet types used in retail and beverage industries.
Order picking by robots improves picking quality and quantity, and a unique gripper type allows gentle handling of various package types.
The system optimises ROI and offers reduced labour costs due to a compact solution design and best-in-class robotic performance with up to 1000 units per hour.
A special gripper allows picking of four cases per move, and the modular design allows growing companies to increase their capacity and efficiently handle peak demands. The solution is suited for small, medium and large companies.
American food manufacturer Jeanette Harris would never have put two teaspoons of cardamom in a recipe for a dozen biscuits.
The spice is strong, polarising and typically associated with India and Asian cooking, not gluten-free chocolate chip biscuits.
“Humans have internal biases about these sorts of things, especially cooks and bakers — we have these ideas that these are the tried and true ways,” Harris says.
Two teaspoons of cardamom is not one of those tried and true ways. But when an artificial intelligence designed to optimise parts for airplanes and spaceships told her two teaspoons of cardamom was the right amount, she listened.
“And it tasted delicious.” Harris, who founded the Gluten Free Goat Bakery, worked with Google’s AI research team at the company’s Pittsburgh office and its chef to develop a biscuit recipe using machine learning and artificial intelligence.
“It was arguably one of the tastier applications for Google’s Hypertune project”, engineer Daniel Golovin says.
The thought to apply Google’s AI technology to baking biscuits started one day as employees sat around talking at lunch.
Greg Kochanski, a member of the team working on AI, worried that the technology would develop with only applications for large corporations, and leave behind small businesses. He proposed finding a real-world, small use for it…and the Google biscuit experiment was born.
The team first worked with John Karbowski, a chef at Google who teaches cooking to employees. Karbowski and the team began baking chocolate chip biscuits using recipes devised by the AI.
The artificial intelligence works by using a relatively small data set to create the optimal conditions based on any number of parameters. For the chocolate chip biscuits, the AI could determine the amount of specified ingredients, the temperature and time in the oven or other factors in the baking process. The AI takes data from test batches of biscuits and uses it to design the best batch.
“You’re not going to do this billions of times,” Golovin says of baking batches of cookies. “The trick is to do this as few times as possible.”
Some biscuits concocted by the AI were terrible — not enough butter, too much chocolate. Some had orange extract and cayenne pepper. Some were good.
Google employees taste-tested the biscuits, and their feedback was fed into the AI to help it make better decisions about the next batch. After many batches of biscuits — Google’s kitchen has five ovens — the team landed on the optimal, basic, chocolate chip cookie recipe. But they weren’t done there.
To challenge the AI, the team went to Harris, whose bakery specialises in gluten-free, vegan and soy-free treats. Harris gave the team an unfinished, chocolate chip biscuit recipe that she was developing.
The AI took control over four or five ingredients, including cardamom and Szechuan pepper, the latter of which it decided does not belong in chocolate chip biscuits and was zeroed out of the recipe. The rest of the recipe was left to Harris’ expertise.
It took the AI about 60 batches of cookies to nail the recipe…not bad for a computer starting from scratch, Harris says.
Both she and Karbowski say it was a bit unnerving to give the AI control over some of the baking process and decision making. “You have to kind of surrender to how you as a baker or chef instinctually react when we look at ingredients and just trust in the recipe that the machine puts out,” Karbowski says.
Neither Harris nor Karbowski actively uses Google’s AI in the kitchen, and they both say that the technology may not be the most beneficial to their small-scale operations, where test batches and tastings are possible.
Both could see artificial intelligence and machine learning benefiting larger baking and cooking operations. And neither is worried that artificial intelligence is coming for their jobs.
Instead, the technology will help them do their jobs better, they say. “AI brought into a kitchen — it’s a little scary at first,” Karbowski says. “But it really expands your mind.” Or at least, it can help you find the perfect amount of cardamom for your cookies.
This story first appeared in the Tribune-Review in the US.
Auckland-based petfood company Feed my Fur Baby is making waves across the Tasman for its award-nominated use of sustainable and innovative packaging design.
The company, which only launched in January and offers a subscription service for petfood using a unique algorithm to provide regular tailored meals to hungry pets, has been awarded high commendation in the Australasian Packaging Innovation and Design Awards.
In addition to some unique design features such as a removable window and a custom ‘portion-control scoop’, the packaging has been nominated for innovative use of cardboard in an industry dominated by thick plastic packaging, co-founder Ben Rennell says. “The global pet food industry has a significant environmental impact and large, plastic packaging is a major factor in this. We believe this has to change.”
The company avoids the use of secondary packaging in the supply chain, which means the same box is used to pack, transport, bulk store and ship to the end customer in the same packaging with no additional tapes or wraps.
“The team are now working on ways to improve the design and sustainability of the packaging, including multi-use use of the box to further reduce material usage and increase environmental efficiencies,” Rennell says. “We are also working towards product traceability to provide ethical transparency within the supply chain. Watch this space.”
More than 25,000kg of plastic waste is littered in New Zealand each day, and the pet food industry is worth $400 million in New Zealand.
Some matters of taste are set in stone. Dogs rule, cats drool. Purple and green should never be seen. But when it comes to what we drink, Kiwis’ tastes change like traffic lights, says the team at Coca-Cola.
Using a groundbreaking New Zealand innovation (Needscope) that matches our choices to emotions rather than fixed demographics, the team at Coca-Cola has discovered what makes us tick when we’re in front of the fridge.
The truth is, we’re a fickle bunch. While water is the drink of choice for many, almost nobody drinks water all the time, no matter how health-conscious they are. “We are hard-wired not to do without,” says Coca-Cola knowledge and insights manager Carl Edkins. “We often don’t want to make compromises.”
Just like some people’s voices change when they pick up the phone or visit their elderly grandmother, different situations and emotions change our taste every moment of every day.
Instead of the traditional marketing demographics, which put us in rigid boxes like ‘household spender aged 25-34’, or ‘male, married with two kids, over 40’, our drinks choices can be roughly divided into six emotion-driven flavours: vibrancy, affiliation, tranquillity, composure, superiority and bravado.
Kiwis make around eight drinks choices a day based on our moods, whether we’re feeling insecure and need to show our superior taste (think a sophisticated drink like a Schweppes tonic water and mixer), or we’re at a beach party and we’re in the moment (something fizzy, fruity and calories be damned). The next morning, we may well be reaching for that soothing glass of water, as the guilt hits.
“You need to have an option available for each one of these needs when you walk into a store,” Edkins says.
And our options are set to expand. While Kiwis are spoilt for choice when it comes to drinks that tempt our risk-taking love of adventure (our bravado emotion), such as energy drinks, sports drinks and bottled water for hardcore fitness enthusiasts, we’re behind the Aussies when it comes to drinks that show our superior discernment.
As our population boom opens the door to niche products – and as more of us leave the age of mountain-running on weekends – Edkins says New Zealanders can expect more exotic choices that set us apart from the usual soft-drink crowd. In the future, we’ll be choosing more natural ingredients like stevia, or anything that screams ‘individual’.
Think iced coffee with the latest miracle spice or goats’ milk infused with wild orchid – although on a hot day, of course, nothing’s going to beat an ice-cold Coke.
The Six Taste Moods
- Vibrancy – That feeling of being alive. It’s tangy, it’s fizzy. It has an umbrella in it. Drink match – sparkling white sangria.
- Affiliation – Feeling part of a group. It’s what everyone else is drinking. Drink match – Coke, beer.
- Tranquility – Relaxation time. It’s like a hug in a mug. Drink match – herbal tea, hot chocolate.
- Composure – When you want to be in control of your emotions. It’s good for you. Drink match – water.
- Superiority – You want something that makes you feel like a boss. It’s an acquired taste. Drink match – elderflower and cucumber, Campari and soda.
- Bravado – Wahoooooooooo!! A bottle could power a small mountain kingdom. Drink match – Powerade, Demon Energy
- Consumer research and brand planning system
- Developed in New Zealand in the late 1990s
- More than 8000 studies in 80+ countries and countless markets.
Visiting New Zealand for the first time last year, Commonwealth Enterprise and Investment Council chief executive Richard Burge was struck by the internationalism of the country. Here, he talks exclusively to NZ Food Technology magazine about how Kiwi food and beverage exporters can use that quality – as one of many – to triumph in the post-Brexit age.
Walking around Auckland, all sorts of languages are being spoken by people from across a huge geographical spread but who identify as New Zealanders. New Zealand has proved over many decades that you don’t have to be at the physical centre of the world to be at the centre of its commerce, reinforced by the expeditionary and open approach of its exporters.
The Commonwealth Business Forum (CBF), held in London in March, highlighted the many business opportunities which exist across the Commonwealth. As one of the leading members of the Commonwealth, and most economically successful, I looked forward to seeing a strong delegation of New Zealand businesses there. This forum was organised alongside the biennial Commonwealth Heads of Government Meeting (CHOGM) and convened 800 senior Commonwealth business leaders alongside approximately 30 heads of state at three iconic London venues. It was a huge opportunity for business leaders and decision makers to make connections and explore the many reasons the Commonwealth is such a unique platform for trade and investment.
As chief executive of a business organisation, the issue of the UK leaving the European Union is obviously one which I discuss regularly. However, whilst it may be a preoccupation in the UK, it isn’t necessarily so for the rest of the Commonwealth members. Commonwealth countries may have to re-think how they trade with and gain access to Europe, but this shouldn’t result in diminished opportunities for their export markets. In January New Zealand reported record high export figures, contributing to a hugely reduced trade deficit. But it is still vital that the New Zealand business community continues to reach out to new export markets.
Commonwealth markets have both diversity and youth on their side – the network is made up of 53 countries of all shapes and sizes, with 60% of its population under the age of 30. The Commonwealth is adding to its middle class faster than any grouping, and is due to contain 1 billion middle class consumers by 2020. Including key global growth areas like India, East Africa and Nigeria, disposable incomes are rising and market opportunities growing. As a result, the total global exports of Commonwealth countries almost tripled between 2000 and 2013. In addition, the ‘Commonwealth Factor’ – shared values, regulatory systems and language – makes trade costs on average 19% lower between Commonwealth countries.
So, having plugged itself so effectively into the markets of the Pacific – China, Australia, the US, Japan, South Korea and, of course, the Commonwealth markets of the Pacific Islands (where the landmark PACER plus agreement is doing great work to stimulate trade), Singapore and Malaysia (one of New Zealand’s fastest growing export markets) – now may be time for New Zealand to look further afield for new growth. It is hugely encouraging to see the work that has already gone into the negotiation of a New Zealand-India FTA, and I’m delighted to see New Zealanders recognising the potential of Indian markets in the future. Indeed, with exports to India only valuing NZ$639 million in 2016, compared to $9.4 billion with China in the same year, there is clearly potential for growth in this area.
Exports to Africa are another area where there is an opportunity to do more. Major progress has already seen exports to the continent triple from 2004-2014, with 9% of New Zealand’s dairy exports now Africa-bound. But there is still huge untapped potential in the region. Commonwealth countries in the East African region are all growing their GDP in excess of 5% per annum (Kenya, 5.5%, Rwanda 5.2%, Uganda around 5% and Tanzania 6.6% in 2017), and represent major opportunities for New Zealand’s world renowned agricultural produce.
These are opportunities that CWEIC’s export champions are already making the most of. Our CommonwealthFirst Export Champions are carefully selected UK SMEs who have an exciting and innovative product or service, and an enterprising approach to export opportunities. Naturally Tribal are making the most of growing disposable incomes to find a gap in the African skincare market, particularly in Nigeria. London-based African fashion retailer Sapelle have a supply chain spanning 15 African countries and are shipping orders all over the world. And sweet potato snack manufacturer Sacoma are helping small holder farmers in Kenya to take their products across the continent and around the world.
At the larger corporate end, CWEIC’s strategic partners are also thriving in Commonwealth markets. World leader in construction and agriculture equipment manufacturing JCB makes more than half of its global profits in India, having manufactured an astonishing 75% of all Indian construction equipment in 2014. Banknote manufacturer De La Rue’s major clients include India, Botswana, Nigeria, Kenya, Sri Lanka and Malta, with a new Sri Lankan banknote being released by them just this month. Leading international bank Standard Chartered continue to earn around 90% of their profits in markets across Asia, Africa and the Middle East, many of them in the Commonwealth. So, there are opportunities in a range of sectors, across a huge spread of Commonwealth countries, that New Zealand’s businesses can capitalise on.
However, what makes New Zealand and its exporters stand out in the world and the Commonwealth is not just their excellent products, but the way they go about doing business. New Zealand, having topped Transparency International’s list as the least corrupt country on earth for the second year running, is a byword for probity and good business practices. It tops the World Bank’s Ease of Doing Business rankings overall, and three of the index’s subcategories. Both in integral areas of practicality like the availability of credit, handing out of construction permits and regulation; and in softer areas such as conforming to values of transparency and accountability…New Zealand measures exceptionally well.
New Zealand’s authority in and commitment to the values of democracy, good governance and the rule of law does not go unnoticed in Commonwealth markets, and offers an edge over competitors who may be viewed as less trustworthy – a key factor in terms of who governments and companies choose to invest in and trade with.
It was clear to me from my short tour of New Zealand and from my interactions both with government officials and businesses, that as a country New Zealand has exactly the right approach to free and open trade, and exporting. What it should be looking to do now is diversify its export destinations and, to a degree, diversify the products and services being exported to suit new markets. It is my hope that many of these will be Commonwealth markets, given the huge potential of the emerging markets within the network, and the changing global landscape which is forcing many of the Commonwealth’s established economies to adapt.
The changing face of global trade, and the unions which underpin traditional trading relationships, should not be a deterrent for New Zealand’s excellent business community to continue forming new trading relationships around the world.
Huge worldwide demand for premium natural pet food has prompted Mt Maunganui-based pet food company Ziwi to expand into the South Island this month, with the opening of a new manufacturing facility in Christchurch.
A global leader in air-dried technology and the largest New Zealand exporter of premium pet food, Ziwi is a rapidly growing $40m export-focused business and its first South Island operation will be based at Burnham.
Managing director Richard Lawrence says the new facility will double the company’s capacity within the next year, and employ more than 30 new people.
Ziwi’s slow and gently air-dried, quality New Zealand free-range meat and seafood has struck a chord with pet owners around the world wanting nurtrient-dense and digestible food for their pets, he says.
“With increasing pet ownership and a growing awareness of pet nutrition, consumers are demanding quality, nutritious meals for their pets and this has resulted in massive growth for Ziwi and the New Zealand petfood industry as a whole,” Lawrence says. “This investment in Christchurch comes on the back of three years of double-digit growth and signals another exciting chapter for the business.”
Along with the South Island expansion, Ziwi has partnered with ANZCO Foods to form a new joint venture operation producing pet treats and oral health products.
The New Zealand Natural Chews and Treats Company will also operate out of the Burnham site, producing a range of natural, premium products for export markets.
“This is ANZCO’s first foray into the pet food segment and it will be providing Ziwi with access to large quantities of premium quality, grass-fed products. The development of these treats and chews will enable the establishment of new international markets,” Lawrence says. “There is huge potential for growth and we can do it all with New Zealand-based, family-owned manufacturing operations and the very best of New Zealand suppliers.”
Ziwi exports to more than 20 countries, with its main markets in the USA, Australia and a rapidly growing China.
New Zealand pet food exports are valued at more than $120m, and have been growing at more than 10% compound annual growth rate for the past five years.
Ziwi is well-positioned to be a global leader in the industry, New Zealand Trade and Enterprise chief executive Peter Chrisp says. “Pet owners all over the planet are increasingly focusing on their pet’s health and nutrition, and New Zealand’s sustainable and authentic supply chains can deliver these benefits,” he says. “So this expansion by Ziwi is not only good for New Zealand, but is good for the world.”
Some of Ziwi’s biggest independent pet food retailers from North America as well as China’s largest pet e-commerce site operator have already visited the new facilities.
ZIWI’S PRODUCTS FOR DOGS AND CATS:
- Are made of 100% meat, seafood and green mussels sourced from New Zealand
- Are air-dried, with each piece boasting 98% fresh meat, organs, bone and seafood
- Provides a minimum of 263 calories per scoop
- Have no grains, corn, soy, wheat or rice, no rendered meat, no GMOs, antibiotics or growth promotants.
Raw fruit and vegetables may be better for your mental health than cooked, canned and processed fruit and vegetables.
University of Otago researchers have discovered raw fruit and vegetables provide better mental health outcomes, but the trick is in the way they are prepared and consumed.
Psychology senior lecturer and lead author Dr Tamlin Conner says public health campaigns usually focus on aspects of quantity for the consumption of fruit and vegetables – such as the 5+ a day campaigns – but for mental health, raw is best. “Our research has highlighted that the consumption of fruit and vegetables in their ‘unmodified’ state is more strongly associated with better mental health compared to cooked/canned/processed fruit and vegetables,” Conner says. “This could be because the cooking and processing of fruit and vegetables has the potential to diminish nutrient levels. This likely limits the delivery of nutrients that are essential for optimal emotional functioning.”
For the study, more than 400 young adults from New Zealand and the United States aged 18 to 25 were surveyed. This age group was chosen as young adults typically have the lowest fruit and vegetable consumption of all age groups and are at high risk for mental health disorders.
The group’s typical consumption of raw versus cooked and processed fruits and vegetables was assessed, alongside their negative and positive mental health, and lifestyle and demographic variables that could affect the association between fruit and vegetable intake and mental health (such as exercise, sleep, unhealthy diet, chronic health conditions, socioeconomic status, ethnicity and gender).
“Controlling for the covariates, raw fruit and vegetable consumption predicted lower levels of mental illness symptomology, such as depression, and improved levels of psychological wellbeing including positive mood, life satisfaction and flourishing,” she says. “These mental health benefits were significantly reduced for cooked, canned and processed fruits and vegetables. This research is increasingly vital as lifestyle approaches such as dietary change may provide an accessible, safe and adjuvant approach to improving mental health.”
The top 10 raw foods related to better mental health were carrots, bananas, apples, dark leafy greens such as spinach, grapefruit, lettuce, citrus fruits, fresh berries, cucumber and kiwifruit.
Coca-Cola Amatil has announced the launch of Amatil X, a new platform for emerging possibilities to power growth beyond Coca-Cola Amatil’s core business.
The new venture will support the development of concepts, start-ups and early-stage businesses that anticipate and address customer needs, and is a way for Coca-Cola Amatil to find new avenues of growth. Group managing director Alison Watkins says the world of customers is changing quickly, with increasing expectations driven by technology. “While remaining focused on our core is critical, we need to find new avenues of growth. We want to continue to challenge ourselves to provide our customers with ‘Only at Amatil’ experiences,” she says. At the core is AX Ventures, a multi-million dollar corporate venturing programme that has been set up to invest in future revenue growth opportunities outside of Amatil’s current business – and beyond innovation in beverages which sit within the core business. Investment opportunities will be identified via two avenues:
- Xcelerate – a corporate accelerator programme to operate in New Zealand and Australia powered by leading start-up accelerator BlueChilli. Xcelerate will seek applications from entrepreneurs and early-stage companies, gaining first-hand access to emerging technologies and trends; building a pipeline of investible businesses; and supporting the overall start-up ecosystem in New Zealand and Australia. Applications for Xcelerate opened last month.
- Xponential – an employee venturing programme. Xponential will leverage Amatil’s existing innovation programmes and other initiatives to identify internal opportunities for AX Ventures to invest.
Importantly, the programmes within AmatilX are not open to proposals for new beverages, and do not compete with existing innovation pipelines provided by brand partners including The Coca-Cola Company, Watkins says. Instead, there are three broad themes:
- Millions of moments of impact: concepts for creating a sustainable future
- One step ahead: concepts for redefining the customer experience; and
- Route to me: concepts for exploring alternative ways of getting customers what they want, when and where they want it.
The programmes will leverage Coca-Cola Amatil’s ability to rapidly test and validate relevant ideas and prototype solutions which improve the customer experience or create potential revenue streams.
At the end of the programme, AX Ventures will review participants for further investment. “Our team has been examining rapidly evolving companies across various sectors in Australia and overseas for the past six months,” Watkins says. “The result is Amatil X. Our aspiration is for Amatil X to set the benchmark for how to bridge the gap between large established corporations and the agility and innovation of start-up businesses, so that we leverage entrepreneurs to help fuel our growth agenda. We are investing today for tomorrow’s growth. We want the start-up community to know we’re open for business and supporting both the start-up community ecosystem, and the New Zealand and Australian economies.” www.ccamatil.com
If your Millennial offspring have stayed living at home pleading poverty, yet waste what ‘little’ they have on copious takeaway flat whites and smashed avocado, are you forgiven for being miffed? Kiwi consumer spending specialist Marketview managing director Stephen Bridle says yeah, nuh, maybe.
Millennial consumers in New Zealand have been labelled as big spenders, wasting their money on smashed avocado and takeaway coffee. And there’s more than a bit of truth to the epitaph.
In a report analysing spending behaviour by consumers aged 25-29, Marketview found that over the past eight years, these consumers have increased their spending by 56%, outstripping their growth in population.
Much of Millennial’s spending growth is due to a growing interest in eating out… whether it be cafes, restaurants, bars or fast food, Millennials really are dining out much more than previous generations.
With their preoccupation with convenience, takeaways are an increasingly popular purchase for this age group – our spending figures revealed that in 2017, Millennials spent more on takeaways than they did at clothing, footwear, health, beauty, pharmacy and cosmetic stores combined.
We also identified that Millennials have a strong preference for online shopping, with spending growth for nearly all online categories outstripping their bricks and mortar equivalents.
Figures show that since 2009, these consumers have more than tripled the amount they spend online, now allocating 10% of their spending budgets to online purchases. Popular online categories for Millennials are fashion, accommodation and, increasingly, groceries and food, encouraged by convenience and growing availability.
While many industries both on and offline are benefitting from Millennial money, figures from Marketview identified an emerging trend with potential to impact the wider retail landscape… younger consumers are increasingly spending their money outside the central cities.
In the past eight years, spending by Millennials in non-metro areas increased by more than 50%, while the CBDs of Auckland, Wellington and Christchurch combined only saw a 14% increase in spending from these consumers.
As young people increasingly turn to online options for their everyday shopping needs, the concept of the CBD and ‘High Street’ is becoming somewhat redundant, at least to Millennials. As they no longer need to head out to the shops in the city every weekend, Millennials are breathing life back into the ‘local village’, bringing business back to their communities as they go out for coffee, drinks and dinner in their local neighbourhoods – a phenomenon we are only seeing increase as this group grows.
Millennials are not to be underestimated in their spending power and ability to alter the retail environment. Retailers need to pay attention to the preferences and spending patterns of this generation if they want to profit from what is a highly valuable group of consumers, and not be left behind.
Wellington-based Marketview (https://marketview.co.nz/) analyses consumer spending patterns from reliable sources across all categories, enabling a deeper understanding of how consumers behave and helping clients across a range of industries to understand what is driving their sales growth or decline.
New Zealand is well positioned to lead the world in the meat substitute niche…and farmers should not fear the consumer-driven trend, but embrace it for full capitalisation.
Life Health Foods spokesperson Mark Roper says eco-conscious millennial consumers are reshaping demand for alternative sources of protein, and a nationwide survey commissioned by the country’s largest manufacturer of vegetarian foods shows millennials aged 18 to 34 are the target market to adopt a mostly meat-free diet in the next decade.
Life Health Foods – which makes plant-based Bean Supreme and recently launched Alternative Meat Co. products – says growing concern for the environment is leading this demographic to seek out other options to integrate into their diet. “
Among this age group, factors such as concern for animal welfare and the environment were some of the most important drivers of purchase choice,” Roper says, “whereas if you look at older consumers, health considerations and cost of meat were the primary reasons for choosing vegetarian foods.”
New Zealand is well positioned to take advantage of this emerging trend – which has seen accelerated growth in the global meat substitute market.
“Our research is showing that many consumers are not completely replacing meat in their diet – instead, they are integrating more meat-free options throughout the week. This makes development of a plant protein market complementary to our existing agricultural exports.”
Roper says the new consumer driven trend is something that farmers should not fear, but rather capitalise on.
“As a producer we are looking at this growth as a promising future market. As well as a growth industry globally, there is increasing demand for these products in the more well-established markets of the US and Europe, where there are potentially large export opportunities for us.”
At the same time, New Zealand is well positioned as a producer nation to capitalise on millennial’s demand for plant-based products.
“As a country, we have a strong agricultural research base, we are great at growing crops here, and the development of a more environmentally friendly, alternative protein market will potentially enhance the ‘pure NZ’ brand equity,” he says.
“With demand for meat alternatives expected to grow significantly in the coming years, we are looking at other sources of protein that have similar texture and taste to meat, and that can be developed into added value products for the domestic and export markets. Plants like pea, soy, mushrooms and even seaweed can be made into products with similar properties to meat and food companies around the world are investing millions of dollars to be at the forefront of this,” he says.
The local market for vegetarian food is developing quickly, with category growth exceeding 20% per annum.
Roper says his company’s recently launched Alternative Meat Co. has exceeded initial volume expectations to the point where production has been expanded.
“Around 80% of our added value vegetarian products that are sold in New Zealand are made here,” he says. “With increased demand locally and globally, greater volumes of ingredients will be required from suppliers to meet this opportunity.” www.lhffoodservice.co.nz
When NIWA fisheries scientist Dr Richard O’Driscoll went to sea earlier this year, he and his team measured so many fish that laid end to end, they would have stretched for 31km. That’s 71,752 fish to be exact – and a crucial part of the annual assessment of New Zealand’s hoki stock, NIWA says.
Hoki is a fish in demand. It is used by fast food chains in fish burgers, appears in supermarket freezers as fish fingers, crumbed or battered fillets, and can be bought fresh. Commercial fishing companies can catch up to 150,000 tons of hoki during the fishing season and it is an important export earner ($229M in 2017). Ensuring the hoki fishery remains healthy and sustainable includes monitoring the abundance of juvenile fish. This is done during the biennial trawl survey carried out by NIWA on the Chatham Rise, which measures the abundance of juvenile fish from both New Zealand hoki stocks – one that spawns on the West Coast of the South Island, and one that spawns in Cook Strait. “Juveniles of both those stocks end up together on the Chatham Rise, they get there when they are about a year old, stay all together until they’re about four,” O’Driscoll says. “Doing the survey here allows us to assess the numbers of small hoki from both stocks when they’re in the same place.” The hoki population has undergone some large fluctuations in the last few decades, due in part to some large annual changes in the numbers of juveniles. In the 2000s, the total allowable catch was drastically reduced from 250,000 to 90,000 tonnes following successive years of few younger fish appearing. Since then the quotas have gradually increased as the stock has grown and this year is set at 150,000 tonnes. Conducted from NIWA’s flagship research vessel Tangaroa, one of the main aims of the month-long survey is to provide information that enables the Ministry for Primary Industries (MPI) to sustainably manage the hoki fishery. “Results from this survey feed into a hoki population assessment, which supports an MPI consultation process before a decision on total allowable catch that is usually announced in late September, in time for the October 1 start to the fishing season,” O’Driscoll says. There are several additional pieces of scientific information that contribute to deciding the quota level. They include the results of an acoustic survey in Cook Strait and another biennial trawl survey in the Sub-Antarctic; information from commercial fishing vessels and MPI fishery observers who measure fish at sea and collect otoliths (earbones) which are used to determine the age of fish; and NIWA sampling of hoki in fish processing facilities. From there scientific modelling of all the available information is used to update the assessment of the stock, and a working group report is put together by MPI. The process also includes public consultation if changes are proposed. The last step is a decision and announcement by the Fisheries Minister on the total allowable catch for the next fishing year. “There is a direct link between what you go out and measure, and the management action that ensures sustainability of the fishery – that’s one of the reasons I enjoy it,” O’Driscoll says.
Highlights from this year’s hoki survey:
- 127 successful trawl survey tows were completed at 34 different depths
- Total catch of 159.8 ton comprised of hoki (42.5%), black oreo (13.9%), alfonsino (5.0%) and smooth oreo (4.8%)
- 71,752 individual fish of 139 species were measured
- 334 kg of samples were frozen for further analysis ashore
- Average surface temperature was 17.1 degrees: a couple of degrees warmer than usual
- More than 100GB of acoustic data was collected using the Tangaroa suite of multi-frequency echo-sounders.
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