New day dawning

MWD says daily use can be driven up and that c-stores can grab growth by targeting the 80% of shoppers who go elsewhere for their milk

DAIRY giant Müller Wiseman Dairies is promising new thinking about the entire dairy products category that will, it argues, bring real opportunities for growth throughout the dairy chain.

Commercial director Dan Howell said: “We want to reinvigorate the milk category by developing a compelling category vision that will create value for all, now and in the future.

MWD milk packs Regional Lifestyle

“We see opportunities in increasing dairy usage overall, specifically in added value milk consumption such as filtered and flavoured milks to name a few. Milk is a crucial part of a healthy and balanced diet, and our aim for the future is to provide consumers with more choice and flexibility to meet their specific needs.”

Convenience retailers should, the firm says, increasingly use offers and deals to reach the four out of five shoppers who aren’t currently buying their milk from c-stores.

The potential for growth is huge, argues RWD, and it suggests communication about offers should appear around the shop, not just at point of sale, to maximise awareness.

Milk chillers should be well-stocked and clean and stock should be carefully rotated.

Most milk is sold after 3pm and that should be considered when ordering, the firm said.

Milk firm Arla says currently global milk production is growing by around 5% while demand is only growing by 2%, leading to a sharp rise in global stocks of dairy products and downward pressure in milk prices.

But the-long term outlook for dairy is positive, particularly when linked to the rise of middle classes in the developing world seeking protein-based diets, it argues.

Despite difficult conditions it says its brand Cravendale is worth £32.6m in convenience stores and is out-performing the market with sales of its 1-litre packs growing by 10.1% year on year.

The firm sees food to go as an area of growth in convenience outlets.

Retailers can take advantage of this trend, it suggests, by merchandising milk and milk drinks in food-to-go areas in stores.