Already a well established player in the marketplace, cooler manufacturer Cosmetal has its sights set on even bigger and better things. cooler innovation Editor Hannah Oakman visited the company at its Recanati headquarters to find out more. Total drinking water solutions is the current mantra of Italian cooler company Cosmetal, but it has not always been so. The name Cosmetal is a shortened form of costruzioni metalliche (literally metallic constructions in English), reflecting the company’s past interests in manufacturing metal components for the office market. To discover the real roots of the company, you really need to visit Cosmetal’s headquarters, based just outside Recanati, a short journey from the busy port town of Ancona on Italy’s Adriatic coast. This is a relatively unspoilt part of the country, a beautiful area of sunflower filled fields, rolling hills and a coast line sparkling in the sunshine. As the birthplace of famous Italian romantic poet Giacomo Leopardi, it is not hard to see where he found inspiration. But along with lovely scenery, the area is also famous for manufacturing, from lighting specialists to musical instruments, including companies such as Clementoni, still around to this day. In fact, this is how the company founder Sen Morilli (the father of the current Chairman Fabio Morilli) started out in the 1950s, as a specialist maker of keyboards for electric organs and harmonicas. An original keyboard still sits proudly in Fabio’s office, a reminder of Cosmetal’s roots. Today, as most people in the industry are aware, Cosmetal is one of the best known and ubiquitous water cooler manufacturers both in Europe and on an intercontinental scale. The company employs around 80 people and had turnover last year of around €17 million. It shipped out around 80,000 water coolers from its wide range last year, with the majority staying in Europe, including vast new markets in Russia, along with customers in the US, Japan, where they are reportedly increasingly attracted by classic Italian design, and as far away as Australia. In fact, the company has always had an “export spirit” with exported products accounting for a very high percentage of sales. Cosmetal is currently enjoying a great deal of success in parts of the Middle East, with many units sold in Israel, Oman and Saudi Arabia, working mainly on a non exclusive basis with both local distributors and the well known multinationals. A visit to Cosmetal’s offices and plant clearly shows that working atmosphere is an important part of the business. The purpose built facility, which opened in early 2005 is light and airy, with brightly painted walls in the company’s signature blue. Even the production floor, which you might expect to be noisy and dull, is surprisingly quiet and light, due to the fact all machines are fully hand assembled and staff can enjoy the views of the Italian hills out of the windows. Tiled corridors with open plan offices off to each side reveal sales and technical teams hard at work, plus design teams using the latest computer aided design software to develop “fly throughs” of potential new cooler designs. Including this new facility, Cosmetal currently has two production sites. The older facility, nearer to Recanati is due to be relocated next to the new one, offering an 8,000 square metre production site, set to open early in 2007. Current output is around 250 machines per day, with an impressive 800 variations in the models when taking into account customers’ various preferences for colour, water types and sanitisation methods. cooler innovation interview Cosmetal Sales and Marketing Director Daniele Nava explained more about the evolving nature of the business. How did the company move from musical keyboards and metal parts manufacturing to water coolers? “In the 1970s, the company became involved in refrigeration and related projects in the catering business, which is more in line with the current business. In fact, the first coolers were produced for the catering industry. Around this time, Cosmetal launched the Niagara, the first point of use (POU) machine for the catering industry and the longest serving product in our current range. At the time, POU was a very new concept so, without really knowing it, we started to do something different. Following this came a range of fountains, including the River, aimed at schools, hospitals and the municipal market.” When did manufacturing of bottled water coolers begin? “Around the mid 1980s, we began to look at bottled water coolers, launching the Rio - a classic square water cooler. “We later brought out the Avant and Connect models, investing a lot more in these two products. The design for the Avant cooler arose from wanting to create something a little more inspired. We realise that a cooler is a cooler, and there are limitations, but we looked at developing the rounded shape, with multiple pieces which are easier to replace singularly, plus a more aesthetic built in cup dispenser. You have to combine practicality with ergonomics.” What has been the focus of some of your more recent designs? “In 2003, we launched the Jet, a POU product with hot, cold, ambient and sparkling water, using ice bank technology to produce a continuous six litre supply. The Jet is suitable for all sectors, with particular suitability to professional and industrial customers. “Sanitisation obviously remains a top priority. We offer Self Sanitising Technology (SST) to provide the highest safety levels and prevent bacterial growth within the cooler. The system has a removable reservoir which can stay in the cooler for 12 months. “We believe that we have to push the hygiene message hard. While the SST technology means distributors may not have so many opportunities to visit and sanitise their customers’ coolers, the cost can be built in by distributors, saving time on their part.” What are the most important aspects of the design process? “As well as always considering the ergonomic aspects of any new model, we are also looking at environmental issues as these are a reality and do have cost implications. We already comply with the RHOS restrictions here in Italy and the WEEE Directive is having an impact across European markets.” Which areas of the business are growing at the moment? “We are having a lot of success with our POU machines, while maintaining our share of the bottled water cooler market, which obviously has a much larger base. It does seem that POU will continue to be more and more important, but the bottled market is huge and still very important, so we cannot lose sight of this. In Italy, for example, the POU market is just starting out and the issue of poor tap water quality, perceived or otherwise, is one of the biggest barriers to growth. “We are still looking at the residential market and have plans for further innovation here. While the Jet cooler has recorded 80% of its sales in the home, it probably offers too high an output for the average family and, size wise, is still a little big for European kitchens. “In other sectors, such as schools and hospitals, the Niagara model has proved a success. With water becoming a more popular drink in schools following successive bans on soft drinks in vending around Europe and in the US, we believe this will continue to increase.” How do you win new business? “We have a certain advantage as we have been in this industry for over 30 years and have a wide range of products. In a lot of countries, Cosmetal is a well known name and we have been working with some distributors for over two decades. We are of course looking to acquire new clients, which happens through various contacts and marketing activities.” Do you face much competition or barriers to growth in the market? “We are not afraid of fair competition - it is normal practice in any industry. Competition helps our research and development teams to come up with new ideas, our sales team to be better, and our production to be more effective. It boosts the industry and means we do not focus purely on price. “But what does bother us, to a certain extent, is low price imports from certain markets. We do not know how long these imports will last but we still have to plan how we can compete. “The reality is that we are losing some clients in certain markets. They are buying cheap models and keep Cosmetal models to attract customers at the high quality end, while pushing the cheaper cooler harder. Again, this is not all bad news as it forces us to look at more efficient production methods - we have already become more competitive as a result. “The threat also varies from market to market. For example, we see the Middle East as very much a price market, whereas European distributors tend to display a bit more loyalty.” Can you compete on both quality and price? “We believe that the industry must aim to maintain quality standards. If we all just focus on price, this is the beginning of the end. It all comes down to whether price or quality issues are most important. “We made a choice that the quality is the most important. In the long term, I believe that if you don’t have quality, you will run into problems. We realise that “quality” is a word which everyone uses frequently, but we really mean it. We will not produce cheap coolers. Of course we will always look at our efficiency and staying competitive, but we will not cut quality to cut price.” Is manufacturing in West Europe now more expensive in general? “Yes, of course, more so than other areas, but we are lucky here that we are in an area where we can be competitive. If we were based in Milan, for example, our overheads would be much higher. The introduction of the euro here in Italy has affected the general cost of living but this is all relative in terms of manufacturing costs. “I do believe there are advantages to being an Italian company, as we have a great heritage of manufacturing in this country, not just in water coolers, but in many other well known household and industrial appliance brands.” How do you work with distributors? “We are willing to create exclusive agreements with distributors located globally. For example, in the UK, Spain and Ireland, there are distributors who are committed to our products and we are committed to them. We will not sell our products to anyone else, within the same product range. “However, sometimes when we become involved with the big players it can be difficult because they do not tend to create agreements. We believe in partnerships which are reciprocated and wish to create a network of partners. We always wanted to have our own independence, rather than be at the whim of the fortunes and acquisition activities of the big players.” Do you have a wish list for distributors? “Our ideal distributor is the one which values our products above others. If we are only 1% of their turnover, it’s difficult for us to have real loyalty from them. “It is a reciprocal thing. We are more than happy to work closely with distributors to look at different markets and see what the best strategy would be. We don’t want to be just supplier and client, we want to be partners looking together at co-marketing activities, trade shows, special promotional items, email marketing. In doing so, we can boost the entire market.” What does the future hold? “We are set for a busy period, with our new 8,000 square metre site due to open next door in 2007. We are also looking at expanding our marketing and sales department. While we already have managers responsible for each geographical area we focus on, our strategy for partnerships means we already need more people on the ground. “We are always looking to new markets. This includes improving our position in West Europe and developing in East Europe, with Russia as one main focus. “We want to be a truly global company and now have the capability, finances and desire to achieve this. We will expand our sales network and maybe open new operating subsidiaries in certain markets. We certainly believe our future will also be based on acquisitions, so watch this space . . .”

Many of us have visited water bars, but what about total concept of an entirely Water Shop? In 2001 José and Floriane Barroca launched Vital’ Eau in Switzerland. Claire Phoenix asked how, almost five years on, they are making water work as a retail concept. In 2001 Floriane and José Barroca launched the new concept of a Water Shop, selling originally from a car, with warehouse storage in a garage. Today their shop Vital’ Eau sits 1,000 metres above sea level opposite the station at La Chaux de Fonds in Switzerland and stocks some of the latest ideas in bottled water. It is frequented by customers who believe in its healthy ideals and by many more who utilise its nationwide delivery service. Vital’ Eau now holds stock from around 200 water and watercooler suppliers - promoting the latest in coolers, mineral waters, flavoured and functional waters, with many of the waters in beautiful collectible bottles. Products can be collected directly from the shop or is delivered by the company to homes, offices, fitness clubs, hotels and restaurants throughout Switzerland – and in the past to Aqua-Expo for its water bar. Brands currently held include Evian, Valser, Volvic, Perrier, Eptinger, Hydroxydase, Hildon, Badoit, Ty Nant, Wattwiller, Highland Spring and around 200 others. * A flavoured future? * Floriane’s idea at the beginning was to sell lemon and orange flavoured water – which she could see was part of the future for bottled water. “We soon decided to buy premises – just 50 square metres at first, which has now grown to 150 square metres. The idea was daring, but many water brands gave us strong support right from the start - they believed in us and in our unique idea.” Floriane and José were convinced that there was a future in bottled water, but saw it working differently to the traditional concept of a bar or boutique. “Mineral water producers were keen for us to communicate with those who, like us, believe in this vital element. As a result the company has a well designed website from which customers can order.“ Being a relatively small concern, the company is often willing to be flexible. For example boxes of mixed varieties of water are supplied to hotels and restaurants. Last year the company offered a mixed ‘discovery pack’ to highlight new variants in bottled water. The shop is also designed to make buying water simpler. “Our shop is divided into four sections – standard bottled and flavoured water, designer bottles, water coolers and point of use and vending. A wide range of coolers are sold including those by Ebac, Cosmetal, Dieau, Mistral and Saeco – its best selling water cooler. Recent developments have taken them into the POU and vending sectors. Each season a part of the shop is dressed to focus on a certain area of the globe. For instance this summer it was Tahiti, with bottled waters arranged to complement the theme. “Our next idea is to venture into 'Lié a l’eau'" explained Floriane. “We still believe strongly in our concept that good water is essential to a balanced lifestyle and that we need to make room for it in our homes and day to day businesses.”

Output of St Kiraly is expected to reach 150 million litres by the end of this year and the brand aims to be Hungary’s market leader in both the still and sparkling segments. Features Editor Claire Phoenix spoke with Szentkirályi CEO Levente Balogh about the battle for market leadership in Hungary. Szentkirályi Mineral Water Ltd of Szentkirály, a tiny village south east of Budapest, bottles its St Kiraly brand from a mineral water spring sourced 206 metres below the ground. This company, relatively unknown elsewhere in Europe before 2000, has recently surprised the market leaders with its aggressive price cutting tactics and innovation programme. For some years Nestlé Waters has held pole position in Hungary, with its well known Theodora and Aquarel brands. The appearance of St Kiraly in bulk on many supermarket shelves rocked the acknowledged leaders’ stable position and has engendered a year of major promotional spend in order to combat this increasing competition. Suitable for mothers and babies, being low in sodium and high in calcium and magnesium, with a mineral content of 520 mg per litre, Szentkirályi has a strong story to tell, along with its willingness to sell at a lower than premium price. To its credit, Szentkirályi also won an Eauscar prize in 2004 at the Paris Aqua-Expo for the taste of its water. The company is now looking for export markets in Europe and further afield and, through its now established relationships with the major supermarkets, looks likely to succeed. Interview Features Editor Claire Phoenix spoke to Szentkirályi CEO Levente Balogh. What is your view of the bottled water market in East Europe and where is Szentkirályi currently placed? “East Europe, especially the landlocked Carpathian basin, has the largest sweetwater reserves in the world. This is due to the fact that, throughout the rest of Eastern Europe, undersurface rivers typically end up in the seas and oceans. “By 2050, several Central East European mineral water producers will become major players in global markets. Mineral water consumption is on the rise worldwide, with forecasts of a boom in sales for the next 15-20 years. "Although we have experienced an increase in lobbying activity from processed water producers, aimed at counterbalancing the growth potential of mineral water producers in the Eastern European region, we have also seen an increase in consumer awareness in sensing the difference betweeen purified and natural mineral water products." “Our combined share (carbonated and non-carbonated mineral waters) in the local market jumped from 0.2% at the end of 2003 to 12.2 % in May 2005.” Who are the major players in your market? “Most major international producers, such as Nestlé, Danone, Coca-Cola and PepsiCo are present and active in Hungary. Besides these, there are several small privately owned mineral water companies. In such a competitive market - according to the figures from the international market research firm ACNielsen - Szentkirályi took the market leading position in the non-carbonated water category, with a total market share of 18% in May 2005. “We estimate that by August 2005 Szentkirályi will be maintaining a 20% share in the local non-carbonated mineral water market and we also expect to take the lead in the carbonated water segment in the second half of 2005.” What are the current major issues for Szentkirályi? “The three burning issues for the company are increasing production capacity, launching new products and strengthening the brand both inside and outside Hungary. “When we received the Eauscar award in 2004, our production output was 4,500 litres per hour. In early June, we finalised the expansion of our plant, increasing its capacity to 600,000 litres a day - 25,000 litres an hour. We expect that our output of St Kiraly will reach 150 million litres by the end of this year. This is about one quarter of the total local mineral water consumption of 650 million litres. “The plant is also unique in terms of its state of the art filling facilities, offering sterile conditions for production. Our strategic plan is to increase annual production to around 300 million litres by the end of next year. Of this, 200 million litres will be sold in Hungary, the rest abroad.” “Since mid 2004, we have launched a new product every three months. Earlier this year, we launched a refreshing natural mineral water facial spray as well as a flavoured and functional mineral water product. “For 2006, we are planning to launch an international media campaign – the first time in our history. This will be aimed at increasing our brand presence both in this region and West Europe.” How has Szentkirályi achieved such good distribution through the major multiple supermarkets? “Our former holding company Vitapress Kft had been operating in the local market since 1989. Vitapress supported us throughout the process of being listed by all major retailers in Hungary and our strong marketing activity also helped us reach the retail chains.” Tell me about your recent flavoured water launch. ”This year we were awarded the Paris Aqua-Expo Eauscar prize for our rose flavoured mineral water, which is already available in the shops. ”The water is flavoured exclusively with natural ingredients, such as rose oil and herbal extracts, and so does not contain any preservatives. “Most recently we also launched a lemon mint flavoured water. Now both types are also available in 33 cl bottles. In fact, these are the first two functional water products in Hungary that have been made available for the horeca sector in suitable packaging. “We expect to see a major rise in the consumption of such flavoured and functional waters. They offer an alternative to those that do not find the taste of natural mineral waters acceptable, but are committed to leading a healthy lifestyle. The consumption of these products will increase at the expense of soft drinks that contain sweeteners, artificial flavours and colourings.” What do you see as Szentkirályi’s strengths and weaknesses? “Szentkirályi is a dynamically growing, small private enterprise, whose simple corporate structure ensures flexible operation and a quick response to changes in the marketplace. “The competitive edge of the company is the quality of its water: it has outstanding purity, a fine taste, an ideal dissolved mineral content and, regardless of age, anyone can drink it. “On the other hand, Szentkirályi is not a multinational company with unlimited cash to invest, so we can only increase our production capacity in line with actual growth in demand. This requires us to plan all development projects carefully and to keep an eye on the market at all times.” Which markets do you see as being right for Szentkirályi? “Besides the local marketplace, our major target markets in terms of sales volume are the Central and West European countries. As for international brand building, we are primarily targeting the US market and various countries in the Middle East. “Currently, we have export contracts in 13 countries, including the UK, Croatia, the Netherlands and Dubai in the UAE. “The East European markets are equally interesting. We are negotiating with potential partners in Ukraine, Latvia, Lithuania and Estonia.” Where do you see Szentkirályi in five years’ time? “I envisage that Szentkirályi – the absolute local market leader by then – will grow into one of the five largest mineral water producers and exporters in the Central East European region in five years. By the end of 2006, we shall double our production capacity to 300 million litres a year, which we expect to double again by the end of 2010.”

As in any rapidly developing market, the challenge to attain and maintain the top slot produces intense competition. While Szentkirályi claims to have risen quickly to number one, rival market leader Nestlé Waters’ Kékkúti believes otherwise. While the numbers contradict, Kékkúti has plans to ensure its position is secure. The bottled water market in Hungary has changed a great deal in recent years, with the private label sector rapidly gaining ground. This has led to a strong reaction from the major players - from competitive pricing structures to major television and outdoor advertising initiatives and product redesigns. At the forefront of this response to market change is Nestlé Waters’ Kékkúti. “Although the Hungarian mineral water market experienced some unfavourable changes last year, Kékkúti managed to remain strong,“ commented Kékkúti Marketing Director Noémi Csete. “Not only did the company succeed in holding market leader position in take home by reaching 13.2% in volume and 19.2% in value shares, but Theodora was also the most efficient player on the market." The brand reached 11.4% volume and 16.5% value share. According to ACNielsen, it also held its number one position in the horeca segment with 35.4% volume share. “The company’s other brand Nestlé Aquarel was launched in 2002 and has been gaining reputation among consumers ever since. According to ACNielsen, the spring water doubled its market share since January 2005 reaching 3.8% in April. Aquarel is sold as being suitable for the whole family, with a quality guaranteed by Nestlé standards and an acceptable price.“ Talking specifically about the recently revamped packaging for the Theodora range, Ms Csete added: “The Hungarian mineral water market has become highly fragmented, with many new competitors. We cannot afford to wait and see. We are constantly monitoring consumers’ needs and try to do the best we can to meet their expectations. “We launched the Theodora campaign with press, television and billboard support to increase sales activity. As well as celebrating the redesign, the main messages include the brand’s heritage and the vitality Theodora gives the human body each day” A seasonal label for the horeca sector on 33cl returnable bottles is a new move for Theodora. As for Nestlé Aquarel, a new 25cl litre bottle was launched in March 2005 for horeca distribution. “Hungarian mineral water consumption has increased rapidly in the last couple of years – reaching over 60 litres per person each year. “With the help of our carefully planned marketing activity, we will do our best to keep Theodora as a trusted brand in consumers’ minds. In a survey last year by TNS 2004, 94% of consumers knew the brand. It is the best known and most often consumed mineral water on the market,” continued Ms Csete. “Quality has never been an issue for Theodora and Aquarel. These waters derive from the Káli Basin, one of the most beautiful and harmonious landscapes in Hungary and home to the perfectly reserved Balaton Upland National Park. Both versions are bottled carefully on site without spoiling the balanced mineral water and trace element composition. “Kékkúti has recently opened an eight kilometre long educational Theodora trail through the Káli basin, with 15 information stations on the region’s natural resources and water base.” Theodora was recently selected as the ’Most Trusted Brand’ in the mineral water and soft drink category by Reader’s Digest subscribers for the second time and also won Superbrand status - awarded by communication professionals to brands with strong consumer trust. * Hungary for success?* With a steadily improving economy and consumers spending proportionally more on luxury goods and eating out, the challenge presented to the established bottlers by discounters and private label has created a vibrant and exciting market, with two players battling for the number one slot and others keen to catch up.

Yili, China’s leading ice cream manufacturer and an official sponsor of this year’s Olympic Games in Beijing, has developed an Olympic torch of its own in the form of a novelty ice cream. The Chinese company soon realised that some special efforts would be needed produce these special ice creams and be ready for the arrival of the Olympic torch in Beijing. So Yili turned to Tetra Pak to come up with a solution for high capacity, automated processing. Produced on a Tetra Hoyer Comet C filling machine, the automated version of the novelty ice cream is a remarkably close match to the original. Thanks to the machine’s servo ice cream doser and rotary device, Yili has achieved the required production capacity and reduced its dependence on manual labour considerably. The machine is one of four Tetra Hoyer Comet C fillers ordered by Yili in 2007. This year, the company upped its order to nine – overturning an earlier decision to buy five machines from a local competitor at half the price. The key factors in Yili’s revised decision were the proven stability of the Tetra Hoyer technology, flexibility in product changeovers and the consistent quality of the final products. Despite the higher price, Yili felt that the prospect of an excellent return on investment was sufficient reason to increase their investment budget. Ruby Fang, ice cream plant sales manager at Tetra Pak China, is highly satisfied with the increased Yili order: “When we first started talking to Yili about this project, they only wanted to buy four filling machines from us,” she said. “We spent a lot of time preparing documents for Yili’s management to illustrate the advantages of our machine. It was also important for us to have the right understanding of industry trends and our customer’s needs. That meant the discussion with the customer was focused upon the values.”

Formulators seeking to reduce ingredients such as sugar, salt or fat can now using a patented Encapsulated Aroma Release technology from ScentSational Technologies. New research from INRA in Dijon, France, which investigated the interaction between aroma and saltiness, indicates that "when a consumer expects a certain flavour, the perception of saltiness is enhanced; and that change in taste perception comes through aroma". In addition, the researchers concluded that "aroma-induced taste enhancement could be used to compensate for the taste of fat and sugar content in foods formulated along healthier lines – for example, butter or cream aroma could enhance the perception of creaminess." ScentSational has long demonstrated these facts in its consumer research into the efficacy of its CompelAroma technology that encapsulates flavour molecules in plastic, which helps to keep them fresh and stable. “Once flavours are added directly to food and beverage ingredients, they mix chemically, resulting in loss of aroma profile and degradation due to oxidation and other atmospheric conditions,” said Steven M Landau, chief technology officer, ScentSational Technologies. “Encapsulated Aroma Release locks those flavours in the packaging material, which helps them stay stable significantly longer than when added directly to the contents.” ScentSational’s CompelAroma Encapsulated Aroma Release technology adds FDA-approved food grade flavours within the structure of rigid or flexible, plastic packaging components at the time of manufacturing, ready for release at point of purchase, package opening, product preparation or consumption.

* Industry leaders and businesses were urged to scale up their engagement with Fairtrade to help tackle poverty in developing countries at the annual Commercial Conference (16 September) entitled 'Tipping the Balance', held by the Fairtrade Foundation in London. * 'Tipping the Balance' is also the name of the new five-year strategy launched in February aimed at achieving a fourfold expansion by 2012 to £2bn, and making Fairtrade the trade norm rather than the exception. “The scale and level of poverty worldwide demands that businesses and consumers urgently need to play their part to scale up Fairtrade," said Harriet Lamb, Executive Director of the Fairtrade Foundation. "And in these tough economic times, people in developing countries who typically spend over 50% of their income on food are the most severely affected. In Kenya recently, a farmer told me that a bag of maize had increased by 100%." The call to action comes in the run up to a high-level UN event on 25 September to renew government and business commitments to meet 2015 Millennium Development Goals (MDGs) at the halfway point. The Secretary of State for International Development, Douglas Alexander, said: "We congratulate all businesses who have helped put Fairtrade on the shelf, and call upon the business community to take Fairtrade to the next level, making it more mainstream still. The retail industry can open doors to more farmers in developing countries and play their part towards the MDGs by enabling shoppers to support Fairtrade every day." * Continued growth* Sales of Fairtrade products for April to June 2008 grew by 55% from an estimated retail value of £113m to £176m in the same period last year. Volume, the best indicator of the amount of Fairtrade premiums that go back to producer groups to spend on community development projects, such as classrooms and clinics, increased by 42% in food alone. Sugar (including retail, catering and composites) increased in volume by 467%, an increase in sales value from £10m to almost £24m. Tea grew in volume by 186%, an increase in sales value from just under £7m to almost £16m. According to recent TNS figures, Fairtrade certified foods have increased their market penetration 61% to 70% over the last year (from 15.2 million households to 17.5 million), meaning that an extra 2.3 million households now purchase Fairtrade certified food products. Major category switches by Tate & Lyle, the Co-operative and Sainsbury’s have largely contributed to this increase in Fairtrade sales, but sales generated by dedicated Fairtrade companies such as Cafédirect, Divine Chocolate, AgroFair fruit company and the new Fairtrade nut company Liberation have also made their mark. Core categories such as bananas and coffee continued to show a steady growth of 27% and 23% in the second quarter of 2008 respectively. Iain Ferguson, CBE, Chief Executive of Tate & Lyle plc, one of the keynote speakers, said: “We have had an excellent response from consumers to our switch to Fairtrade, and we've seen good volume growth in key customer accounts, somewhat ahead of our expectations.” Fairtrade Fortnight 2009 The theme for Fairtrade Fortnight 2009 (23 February – 8 March) 'Make it happen. Choose Fairtrade', was also unveiled to conference delegates. Companies were encouraged to build on last year’s success, which saw several all-important conversions to Fairtrade from major high street companies. Fairtrade Fortnight presents companies with a unique opportunity to market Fairtrade and is the perfect time for companies to improve visibility at point-of-sale, or even consider extending their range of Fairtrade certified products.

Shoppers are being given five reasons to go nutty this Saturday on World Fair Trade Day (May 10) and celebrate the day by buying the delicious range of cashew and peanut snacks from Liberation, the world's first 100% Fairtrade nut company. The company has given the following five reasons: 1. Liberation nuts are baked using just a drizzle of oil which makes them a healthier choice than nuts which have been roasted in oil. 2. Because they are high in protein, just a handful of nuts will fill you up and stop you reaching for the biscuit tin. 3. Peanuts are full of vitamin B6 which is well known as a stress-buster and the magnesium in cashews can help deal with mood swings, anxiety and irritability. Cashews also contain oleic acid which is known as a heart healthy fat. 4. More than 22,000 farmers from co-operatives in Africa, Asia and Latin America who supply Liberation co-own the company and benefit from its success. 5. Thanks to sales, the loved ones of hospital patients in Mchinji, Malawi, who have travelled miles to get family members and friends medical care, have somewhere to sleep and cook next to the hospital. A special shelter has been built using Fairtrade premium money to provide them with much-needed protection from the elements. People who buy from the delicious Liberation range of mixed cashews and peanuts can choose from four flavours - lemon and a hint of chilli, a hint of smoked flavour, lightly salted and natural (no added salt).

* In the US, Celsius – the original calorie burning beverage – is now available in 438 outlets of the Midwestern retailer, Kum & Go. * Celsius has been scientifically formulated and clinically tested to burn up to 100 calories or more per serving will be available in all Kum & Go locations. Kum & Go will carry the popular green tea raspberry acai, green tea peach mango and sparkling wild berry and orange flavours. Celsius can be found in Kum & Go stores in New Year’s end cap displays for consumers eager to start their New Year’s resolution of consuming healthier beverages and foods. Celsius will support sales at Kum & Go with pump toppers, promotional pricing and advertising. According to Kevin Krause, Senior Vice President of Marketing: "We pride ourselves on providing quality products and superior customer service in each and every Kum & Go store. We believe that our customers are looking for great-tasting, functional beverages such as Celsius calorie burning beverage. The clinical studies that scientifically support Celsius confirm that this is a high performance drink our customers will embrace." Celsius Vice President of Strategic Accounts and Business Development Janice Haley said: "Kum & Go is a cornerstone of the Midwest community as is evident by their recent award for Retail Leader of the Year, by CSP magazine. We're honoured to be working with them to deliver Celsius to their customers, and have been impressed with their launch process and the education within their company ranks, which has resulted in great enthusiasm for Celsius. It's clear to us how Kum & Go continually retains their leadership position in convenience store ranking." Sustained calorie burn Celsius drinks are powered by a proprietary blend of ingredients including green tea with EGCG, ginger, caffeine, calcium, chromium, plus B vitamins and vitamin C. Scientifically shown to raise metabolism over a three-hour period, consuming Celsius results in a sustained calorie burn while keeping you energised. Kum & Go, awarded as Convenience Store, Petroleum’s 2008 RetailLeader of the Year, was started in 1959 in Hampton, Iowa and now hasmore than 430 stores in 12 states.

Krieglstein, who will oversee UK marketing for Red Bull drinks, brand and sponsorship activities, has been drafted in to the UK business after five years with Red Bull, first at its German office and then as marketing coach at Red Bull's international headquarters in Austria. It’s understood that Krieglstein is analysing the performance of the Simply Cola brand before committing to further marketing spend. However, a Red Bull spokeswoman denied the cola was in danger of being pulled from the market. The launch of Simply Cola was overseen by Feiler last year. The line was more recently backed by a £1m poster campaign highlighting its natural ingredients. The ads showed a can between two bull-shaped ice sculptures. Source: Marketing Magazine

* As political controversy continues to swirl around the Beijing Olympics, Coca-Cola North America (CCNA) is launching a major promotional campaign focused on the athletes and the sporting ideal of the Games. * The campaign revolves around a group of high-profile US Olympians and Olympic hopefuls, with the message being communicated to consumers through special limited edition Olympic packaging, press and television advertising, and various online tie-ups. The aim is to unite sports and Coke lovers through the international spirit of the Olympic movement. “Together, Coca-Cola and the Olympic Games have shared and promoted the values of unity, optimism and inspiration for 80 years,” said Hendrik Steckhan, President and General Manager, Sparkling Beverages, for Coca-Cola North America. “For the 2008 Olympic Games in Beijing, we’re continuing that legacy of engaging the world. By combining Coca-Cola cans in different languages with six amazing athletes, we have created a programme that celebrates global communities coming together, and the unifying spirit of the Olympic Games and Coca-Cola.” On 19 May, almost three months before the opening of the 29th Olympiad in Beijing, CCNA will release limited edition cans and FridgePacks bearing the familiar Coca-Cola logo in different languages including Ethiopian, Russian, Thai and Mandarin, as well as English. It will be the first time the Coca-Cola script has appeared in different languages in the US, with new designs being released every two to three weeks. Special 20oz (591ml) Coca-Cola bottles will also feature labels with multiple languages including those of Bangladesh, China, Egypt, Georgia, Israel, Korea, Nepal and Sri Lanka. To link US consumers with the approaching Summer Games, collectable packaging and in-store materials will feature a “Six Pack” of athletes: Olympic gold medallists Natalie Coughlin (swimming), Steven Lopez (taekwondo), and Sanya Richards (track and field); Olympic competitors LeBron James (basketball) and Andy Potts (triathlon); and Olympic hopeful Shawn Johnson (gymnastics). * Active ambassadors* The “Six Pack” athletes are also serving as Coca-Cola “Ambassadors of Active Living,” encouraging consumers to maintain a healthy lifestyle. In New York on Friday (9 May), five of the six filmed special NBC vignettes that will air on US television to raise awareness of the collectable Coca-Cola packaging. These vignettes will join other Olympic-themed Coke ads over the summer, including a commercial celebrating the 80-year relationship between Coca-Cola and the Olympic Games. The website mycoke.com will meanwhile run a number of Olympic promotions designed to appeal to teenage consumers in particular. Visitors to the site can design their own virtual Coke bottle to share with other fans around the world; learn about the Coca-Cola “Six Pack” of athletes; download wallpaper and screen savers; and enter a sweepstake to win a snowboarding trip with Olympic medallist Gretchen Bleiler to Vancouver, future venue of the 2010 Winter Olympics. <1> will also feature “WE8,” a global collaboration between eight visual artists and eight progressive musicians to create eight limited-edition aluminium bottle designs and free, downloadable companion songs. Over the summer, thousands of samples of the special bottles will be given away in Simon shopping malls across the country. Members of the mycokerewards.com loyalty programme can also redeem their points for Olympic gear, download Olympic packaging collector’s sheets, and enter a sweepstake to win a tour of the US Olympic Training Centre with an Olympic athlete. The Coca-Cola Company has been an Olympic partner for 80 years, and is the longest continuous corporate supporter of the Olympic movement. Coke is the official non-alcoholic beverage of the Olympic Games to the year 2020. <1>: http://Mycoke.com

"I’m excited about this opportunity to take Skinny Water to the next level,” said Wilson. “In less than six months, Skinny Water has been embraced by millions of customers who are searching for great-tasting flavoured water that provides functional benefits – and most importantly, zero calories and zero sugar. As we go forward, we’ll expand our flavour offerings and look to use the Skinny trademark in other beverage categories, such as ready to drink teas and coffees." Wilson brings with him more than 38 years in the beverage industry. He began his career in the soft drinks industry in 1969 as a route salesman for Pepsi-Cola, and worked his way up to branch manager. He joined the Coca-Cola system in 1977 as a financial analyst with Coca-Cola Bottling Company of New York. Over the years, he held various positions within Coca-Cola Bottling Company, rising from division manager to vice president/general manager of the New Jersey division. In 1985, he became the president and chief operating officer of The Philadelphia Coca-Cola Bottling Company. He led the company to become the fourth largest Coca-Cola bottler in the country. While at the helm, he was also president of the Coca-Cola Bottlers’ Association and a vice president of the Dr Pepper Bottlers’ Association. In October 2008, Ron Wilson was inducted into the Beverage World Soft Drink Hall of Fame. "The appointment of Ron Wilson as the President and CEO represents the transition of the company from the start-up phase to a growth and operational phase,” said Don McDonald, former president and CEO of Skinny Nutritional Corp. “Ron’s experience and leadership will be invaluable, and we know he’ll take the company to new levels of profitability.” McDonald will now serve as chief financial officer of Skinny Nutritional Corp, and will focus on investor relations to introduce the company to a variety of institutional bankers. “Ron Wilson’s tenacity for detail and years of beverage experience brings the financial disciplines and leadership to build the Skinny brand into a beverage powerhouse,” said Pat Croce, member of the board of advisers. “As an emerging company, it’s a real triumph to get a veteran executive of this magnitude to join our company.”