But there was a reason that only 10% of lemonades were low- or no-sugar, and that is because it is really, really hard to do. “It was pretty clear that there was an opportunity there. Rather than feel dispirited, Klavsons said he saw an opportunity to take the brand into the low- or no-sugar category, where only about 25% of carbonated soft drinks, 27% of teas and only 10% of lemonades existed. He explained that while Calypso performed well across consumer sets, regardless of age, ethnicity or other metrics, consumers told the company through social engagement that they were leaving the brand after years of loving it because it had too much sugar. “The essence of Calypso’s Taste of the Island branding was of a vacation in a bottle,” with bold flavors that could recall trips to the tropics or other getaways, but like many juice brands in the middle of he last decade, Calypso’s sales began to falter as consumer concern about sugar increased, Klavsons said. What he discovered was a common tale of reversing fortunes shared by the overall juice category, which for decades consumers flocked to for its health-halo, convenience and fun, but more recently saw sales decline due to sugar concerns. Addressing juice’s sugar problemīefore Klavsons could turnaround Calypso, he said he needed to understand why consumers loved the brand – and why they were walking away. “We knew it just needed a little push and a significant investment to get the business back to growth mode, and that is essentially what we did over the last three years – we’ve brought this brand back,” Klavsons said, adding that he expects 2021 to be a “breakout year” for the brand as its investment in new branding, products and a marketing & sales approach continue to pay off with increased distribution. But, he added, he saw lot of potential for the brand, which he said had a great name and position as a founder of the flavor lemonade category and which virtually flew off shelves with little to no marketing or sales support. “When we took the business, it had declined about 5-6% in 2017, and the idea of a turn-around might have been a little bit tough,” Klavsons admitted to FoodNavigator-USA. While the company’s sales spike last year may have been due in part to pandemic-inspired increased consumer grocery spending, it is on top of strong year-over-year growth from the prior two years, including a 33% increase in 2019. Emulsifiers, stabilizers, hydrocolloidsīut rather than following the lead of other major CPG companies at the time and embracing a zero-based budgeting approach, Klavsons took the long view and doubled down on marketing, branding, sales and distribution – a decision that some might have viewed as risky, but which is paying off now with a near 60% sales increase in 2020 that allowed Calypso to surpass Lipton Brisk to become the second largest player in the shelf stable lemonade category.Chocolate and confectionery ingredients.Carbohydrates and fibers (sugar, starches).Plant-based, alt proteins, precision fermentation.
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