Mondelēz International has debuted a new ‘power brand’ for the savoury cracker segment called Véa.
The healthy new line features bold and trendy flavours like Thai coconut, Tuscan herbs, Peruvian sweet potato and Greek hummus.
Véa is intended to be ‘a key pillar’ of Mondelēz’s effort to grow its share of the wellbeing snacks market, and is designed to drive growth in the savoury cracker segment.
The company has also reaffirmed its outlook for 2017, saying that it expects its free cash flow for 2017 to be approximately $2 billion and organic net revenue growth of at least 1%.
“Wellbeing is a significant growth opportunity for us, both in developed and emerging markets,” said Mondelēz’s chief growth officer Tim Cofer. “In fact, 2017 will be our biggest year ever in the wellbeing space with unprecedented innovation and renovation of our portfolio.”
Véa biscuits are baked with authentic ingredients and visible herbs and spices to deliver layers of complex flavour. They will eventually be available in a range of formats, including crunch bars, crisps and seed crackers.
They are free from artificial ingredients, colours, flavours and trans fats – and are packaged in contemporary stand-up pouches with standout designs.
“I’m really excited about this launch,” Cofer continued. “We created Véa from scratch with a truly global perspective and it truly underscores the best of what we’re doing across a wide range of growth capabilities, including breakthrough innovation and fearless digital marketing.”
Véa biscuits will be available in the US and Canada from July with a full launch across grocery, club stores, convenience stores and e-commerce to follow. The brand will be rolled out into markets worldwide.
The launch forms part of Mondelēz’s plan to accelerate growth by addressing key consumer demands. The company will update its core portfolio and address gaps in its product portfolio – through both expansion, such as entering the US and Chinese chocolate markets last year, and by developing new product lines such as Véa.
Cofer added: “Our strategy to distort investment behind our power brands, which represent nearly 70% of our global revenues, is paying off. In 2016, these brands grew organic net revenue at twice the rate of the company overall and continue to outpace category growth.
“We’re receiving tremendous response to Véa from our major retail partners across North America, and we’re confident it will be a big success.”
Mondelēz reported net revenue of $25.9 billion in its full-year results for 2016 – down from $29.6 billion the year before.
Mondelēz chairman and CEO Irene Rosenfeld said: “Despite significant economic disruptions, political uncertainties and slower global category growth, we remain confident in and committed to our balanced strategy for both top- and bottom-line growth.
“Throughout the year, we continued to sharpen the focus of our portfolio, increase power brand investments and modernise our supply chain. These actions, together with our excellent cost discipline, position us well to deliver strong operating leverage that will drive sustainable value creation for our shareholders.”
The company’s so-called power brands include some of its largest global and regional lines, including Oreo biscuits, Ritz crackers, Trident gum and Cadbury Dairy Milk.
© FoodBev Media Ltd 2022
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