Branded flavoured milk steams ahead

Friesland Campina offers category insights

Yazoo cartons
From November, Yazoo’s Kids range will switch to more sustainable packaging.

PREMIUMISATION is a watchword in flavoured milks at the moment as shoppers seek out branded options in the chiller.

At Friesland Campina, the firm behind Yazoo and Chocomel, demand for branded flavour milk has been a boon for business, as business unit controller Wayne Thompson explained.

“The entire flavoured milks category has been supported by the trend for premiumisation in flavoured milks – this has brought new consumers to the category and helped wider growth,” he said.

According to Thompson, Chocomel and the wider category’s success over the last year, “shows that people are happy to pay more for indulgence that doesn’t break the bank.”

Thompson highlighted sales data that revealed premium milk drinks are growing 38% year-on-year, arguing this shows shoppers desire premium brands.

“As we’ve progressed through 2022 shoppers have looked for smaller indulgences and rewards such as a sweet treat or a drink instead of holidays and expensive treats,” he said.

That assessment would seem to hold up, when taking into consideration the ground Yazoo has gained against own-label competitors.

Thompson said Yazoo has surpassed own label as the largest online flavoured milk brand, with sales of £4.6m this year, although this number is marginally down against the previous year due to consumers switching back to more traditional retail channels.

Friesland Campina hasn’t been resting on its laurels though and Thompson highlighted the work it has been undertaking with delivery platforms to drive performance.

“We’ve recently run a successful trial with home delivery platform Snappy Shopper, seeing big sales uplifts for our Yazoo and Chocomel products.

“We have also dedicated time to building presence on online retailers such as Amazon, where Yazoo 1L is now number one in flavoured milks in the UK.

“We predict this purchasing trend will continue to grow throughout the year with more people shopping around for a bargain,” he said.

Premiumisation isn’t the only trend affecting behaviour in the flavoured milk category.

While many consumers increasingly consider the environmental impact of their purchases, Friesland Campina has been revamping packaging in its flavoured milk range, reducing its impact on the natural world in the process.

From November, Yazoo Kids will switch from plastic to more sustainable cardboard carton packaging.

And to drive the distinction between Yazoo’s core and Kids range, the Minions characters – made popular by Universal’s Despicable Me animated film series – will be appearing on packs.

Thompson said: “Minions will appear on x3 and x6 multipacks as part of the ongoing Universal collaboration.

“The Kids packs will showcase the recognisable Minions characters in new lunchbox-friendly, square packaging.

“Sustainability is a key focus for us at Friesland Campina so we’re proud to introduce the new eco-friendly square cardboard carton packaging this autumn,” he said.

Other innovation from Friesland Campina includes the development of its canned coffee brand Barista Coffee Co.

Available in Caffe Latte, Caramel Latte and Double Shot Espresso flavours, the range was created “with the convenience and on-the-go channel in mind,” Thomspon said.

“Our £1 price point is big news in a category dominated by higher priced bands, acting as a trial mechanic into the category for those put off by the higher price point of other brands or coffee shop offerings, but still wanting a great tasting pick-me-up.

“Value will be on the minds of many in the year ahead and we’re offering a convenient and affordable solution that retailers can really tap into,” he said.