100720_FD_Issue 188

Party like a‘Rockstar’? No problem!Rockstar energy drink, distributedin the UK since the beginning of2008, has added another offeringto the seven-strong range.

Rockstar Recovery is thename of the latest additionand features an ingredientslist which is similar to thatof the regular Rockstarenergy drink. However,unlike the original,Rockstar Recovery alsocontains electrolytes tohelp rehydration - hencethe recovery proposition.

In terms of flavour, thenew drink is lemonade-flavoured, sweetened withsucralose, sugar andacesulfame-k so it has anatural sweetness to itand only contains 20calories in a full can. Inaddition, it is non-carbonated, furtherenhancing its hydrationabilities and ease ofdrinkability; in fact, it hasbeen said that this is thefirst non-carbonatedenergy drink in the UK.

The launch of an energydrink with recovery claimshas created a significantbuzz among core energydrink consumers, who have warmly welcomed

the addition not only for its benefits, but also forits taste which is said to resemble that of anatural lemonade.

According to Rockstar's distributor in the UK,AG Barr, the newcomer will be joined by anew 1 litre PET range that will retail for only£1.69 each.AG Barr has said that for the timebeing, only the Original and Punched - Guavavariants will be available in the new PET bottles.

Adrian Troy,AG BarrHead of Marketing,commented on thelaunch, "RockstarRecovery 500ml can bringreal innovation to theenergy drinks market andis a great addition to theexisting 5 Rockstar 500mlcan packs which deliver acompelling energy drinksrange for shopkeepers.The new Rockstar 1ltPET pack also representsa great opportunity forshopkeepers because weknow that the 1lt formatis appropriate for anumber of reasonsproviding all day energy,all night energy, a mixerand a share format".

Rockstar Recovery wasfirst launched in the US atthe beginning of 2010 andhas been available in theUK since June.

The energy drink isavailable in 500ml widecans and retails forapproximately £1.19apiece.

www.rockstarenergy.co.uk

enhanced new age nutraceutical energy sports juice dairy

functionaldrinkszenith international newsletter Issue 188 20 July 2010

Page threeProtein drink foractive US women

Page sevenCzech drink withtriple benefits

Page fiveFrance gets endless energy

Page sixNew ingredientsadded to Actimel

This issue at a glance...

energy drinks United Kingdom

New energy shotraises the heatCoca-Cola España has justlaunched a shot-sized version of itsfamed energy drink Burn.

Burn Shot was first launched in 2006 in the US,and has since quickly extended its presence to awide range of countries including France,Belgium, Netherlands,Austria, Poland, Romania,Denmark and Sweden.

In Spain, the launch of Burn Shot builds on thesuccess of the original Burn energy drink, BurnDay - a lower-caffeine energy drink to provide asteady flow of energy throughout the day - andof Burn con Zumo which contains 20% fruit juicelaunched last year.

Burn Shot, the smallest of Coca-Cola España'sportfolio at only 50ml, contains a whopping 80mgof caffeine, taurine, vitamins B3, B5, B6 and B12 inaddition to sugar and low-calorie sweeteners.

The new drink is positioned as the ideal energyboost for university students, drivers, sportsenthusiasts and athletes, which is why thecompany has opted for initially placing the shotsexclusively at petrol stations. However,Coca-Cola España has not ruled out distributingBurn Shot to other retail outlets such assupermarkets in the future.

According to reports, in the US alone sales ofBurn Shot have registered growth of 800% byvalue since its launch four years ago. Meanwhile,the Burn brand is estimated to hold second placein the Spanish market with a value share of18.2%.

www.burn.es

Issue 18820 July 2010

editorial commentWelcome to the 188th issue offunctionaldrinks. In recent news,Nestlé HealthCare Nutritionhas agreed to settle with the USFederal Trade Commission (FTC)for the charges of falseadvertisement for its Boost KidEssentials probiotic drink.

According to the complaint, the ads falsely claimthat the product prevents upper respiratory tractinfections, such as colds and flu in children, andreduces absences from school due to illness.

In Europe, advertisement rules are also becomingtougher, mainly due to EFSA's health claimsregulation. In this issue we look at the solutionDanone España adopted to ensure it couldcontinue marketing Actimel as aiding the immunesystem while it waits for resolution on the healthclaims process (see Page 6).

Coca-Cola España has recently unveiled itsown energy shot purely targeted, at least for thetime being, at on-the-go consumption (see below).Also in the energy category, Red Bull hasintroduced its very popular large-size can inFrance, offering better value for money toconsumers (see Page 3). Following on the ever-growing popularity of energy drinks, Frenchretailers Cora and Intermarché have each

introduced their own offerings (see Page 5).

Soft drinks producer AG Barr has commencedselling an energy drink, originating from the US,with added electrolytes that promises not only toenergise, but to help recover lost electrolytes fora faster recovery (see Page 1). UK-basednutritional and chemical materials specialist GeeLawson explains the difference between thebody's readiness to absorb different compounds(see Page 6).We look at a new powdered drinkwith anti-ageing ingredients launched by skincarespecialist Rodial (see Page 4).

In the Czech Republic, we look at the fruit of thecollaboration between local company Sojo andBeneo-Orafti in the form of a probiotic drink(see Page 7).

In the US, we cover the first branded proteindrink to have been launched by food ingredientand private label beverage manufacturerCalifornia Natural Products (see Page 3).Meanwhile, we report on the progress made byRainforest Beverages LLC in preparation forthe full launch of its superfruit cola (see Page 5).

Finally, leading Indian edible oil specialist RuchiSoya Industries has made its foray into thebeverages industry with an enriched drinktargeted at children and young mothersconcerned about nutrition (see Page 4).

Cecilia Martínez NúñezDeputy Editor

[email protected]

functionaldrinkszenithinternationalnewsletter


energy drinks Spain

All-natural energyboostFood ingredient and private labelbeverage manufacturer CaliforniaNatural Products (CNP) haslaunched its first branded product inthe US market, CalNaturale Svelte.

PatMitchell,PresidentandFounder ofCaliforniaNaturalProducts,said, "Afteryears ofworkingbehind thescenesdevelopingproductsthat havetruly

shaped the natural landscape, California NaturalProducts is ready to embark on our first nationalconsumer brand."

CalNaturale Svelte is a sustained energy proteindrink, containing organic and all-natural ingredients.The beverage is formulated to provide energy,protein and 'lasting nutrition' for active consumersand as a dairy- and gluten-free alternative to otherenergy, protein and meal replacement beverages.

The beverage is packaged in 15.9oz recyclableTetra Prisma aseptic cartons in four flavours -Chocolate, French Vanilla, Cappuccino and SpicedChai. Each carton contains 16g of organic proteinfrom fresh organic soymilk, along with organiccomplex carbohydrates such as rice syrup andinulin for sustained energy.The drink is also a goodsource of fibre, with 8g per carton, and is certifiedlow-glycemic with 9g of organic sugar.

Svelte is available to purchase online athttp://sveltebrand.com and from various retailoutlets, including Whole Foods Market and othernatural food stores. Individual cartons are priced atUS$2.69-2.99, or can be purchased in cases of 12via the online store for US$39.50.

http://sveltebrand.com




Red Bull portfolioreaches new heightsin France

Two years after it was firstunveiled on the Frenchmarket, Red Bull has addedthe increasingly popularsupersized 473ml format toits Gallic line up.The latestaddition, which is already incirculation in numerousother markets, wasshowcased in France at thestart of May 2010.

The larger format boasts a 10% lowerprice per litre than its smallercounterparts with a recommendedpack price of €2.35, offering

consumers better value for money.And despiteits supersized volume, the packaging has beendesigned to replicate the slimline appearance ofthe original 250ml format, giving continuity tothe brand.

This latest addition to the Red Bull range comeshot on the heels of the launch of the energyshot variant, packaged in a 6cl reclosable pack, atthe end of 2009. However, according to thecompany, its success, together with that of rivalshot brands Burn and Dark Dog, has beenmixed with few supermarket and hypermarketchains stocking the diminutive format, largelydue to the fact that these packs are at thegreatest risk of being pick-pocketed!

Nevertheless, since its belated arrival to theFrench arena in May 2008, the global energydrinks leader has secured an impressivestronghold of the market, reportedly holding a77% share of the 250ml and 355ml format, andthe company's share of the market looks setonly to grow further given that the new bigformat variants are spearheading the category'scontinued growth.

www.redbull.fr

nutraceuticals United States

energy drinks France

Protein drink‘N’rich’es dietsRuchi Soya Industries, owner ofthe well known Nutrela oil brand,has re-launched its range ofprotein beverages to capitalise onthe popularity of the Nutrelabrand name.The drinks were first launched in 2008 under thesub-brand name N'rich; however they were notpopular with the Indian market because theflavours chosen originally were considered byconsumers as being too exotic.This is why the

company decided to re-introducethe beverages in apple-kiwi, apple-peach and multifruit flavours.

N'rich is described by thecompany as being a 'tasty proteindrink' that is rich in vitamins,minerals and antioxidants.Furthermore, N'rich ispreservative-free as it is packaged

using cold fill technology in Tetra Pak cartons.

According to the company, the beverages aretargeted at young, health-conscious motherslooking for nutritious drinks for their children. Inorder to reach this group, Ruchi Soya willconduct extensive sampling activities includingmodern retail outlets. On top of this, radiopromotions and activities featuring the brand'smascot Popeye will commence shortly.

N'rich is currently only available in the cities ofPune and Mumbai, but the company expects towiden distribution to the country's top 20 citiesshortly.

Ruchi Soya's Head of Food Division, SarveshShahra, commented that the drinks offer alucrative opportunity for the company as marginsare expected to be in the range of 25% to 40%.Shahra also mentioned that in the first year ofsales since the re-launch, the company expects togain 5% market share of the category.

N'rich is available in 200ml cartons retailing forRupees 15 and 1 litre cartons for Rupees 75apiece.

www.ruchisoya.com




Drink yourselfglamorousRodial, a face and body skincarecompany, has launched apowdered drink that promises tohelp slow down the ageingprocess.

The new sticks have beenlaunched under the Glamtoxrange of collagen-rich anti-ageing products.According tothe company, Glamtox Stickshelp reduce face lines by upto 30% in six weeks thanks toactive ingredients Rousselot'speptan hydrolyzed collagenwhich increases firmness andelasticity, and pomegranateextract which helps promoteskin regeneration.

According to media reports,

the sticks are already a hit among stars such asSienna Miller,Victoria Beckham and KateBosworth. Furthermore, it has been speculatedthat around 35,000 people have already orderedthe product.

Maria Hatzistefanis, founder of Rodial,commented on the launch, "We pride ourselveson being at the forefront of science and beautyand, after a year's worth of research anddevelopment, we believe we have devised the

most advanced and simplisticway of combating the signsof ageing from the insideout."

To obtain the desired results,consumers need to drinktwo sticks daily dissolved in200ml of water. GlamtoxSticks can be purchasedthrough the company'swebsite as well as otherselect skincare stockists andretail for £49.99 for a pack of14 sticks.

www.rodial.co.uk

wellness beverages India

cosmeceuticals United Kingdom

http://www.rodial.co.uk

Energy own brandofferings jostle ontoFrench marketFrance's increasingly crowdedenergy drinks sector has seen therecent addition of two newown brand offerings fromretailers Cora andIntermarché.Cora has dubbed its own brandenergy formula For-X.The product ispackaged for the retailer by drinksspecialist Karlsbräu and is available intwo slimline formats, 25cl and 50cl,with colours reminiscent of marketleader Red Bull's eponymous drink.

For-X contains the standard caffeinecontent for energy drinks, namely32mg/100ml, in addition to vitaminsB3, B5, B6 and B12.The 25cl and 50cl

packs are priced at €0.85 and €1.45respectively.

For its part, Intermarché has unveiled a newenergy own brand called 'I have no limit'.Produced for the retailer by Refresco from itsbase in the Netherlands, the new addition ispackaged in a 25cl slimline pack, competitivelyretailing at €0.53 per unit.The can features eye-catching graphics with the slogan prominently

placed in jaunty lettering.As in Cora'sFor-X offering, the product'sformulation features vitamins B3, B5,B6, B12 and additionally vitamin B2;and the customary 32mg/100ml ofcaffeine.

Both products also contain theingredient taurine, the presence ofwhich had essentially blocked thedevelopment of the energy drinkmarket within France until it wasfinally approved by French authoritiesin May 2008.

www.intermarche.comwww.cora.fr

New cola with ahealthy differenceHaving completed a test marketphase in over 100 outlets duringspring 2010, RainforestBeverages LLC ispreparing for the fulllaunch of its superfruit colain convenience andsupermarket stores frommid-August.Circulated by an existing breweryindustry distributor with a provennon-alcoholic division, the availabilityof Rainforest Cola has to date beensupported by point of sale (POS)banners and cooler window stickers.POS materials will also be used forthe official launch, with the support ofa leading social media company inBoston also enlisted to spread theword via various online platforms.

Featuring natural herbs from the BrazilianAmazon rainforest, all-natural stevia sweetener,10g of açaí berries, omega-3, -6, and -9 fatty acids,protein, vitamins and minerals, fibre, ginseng,guarana and muira puama, the cola elixir hasbeen well received amongst consumers for itsunique taste. Given its close resemblance to cola

in terms of both mouthfeel and taste,consumers reportedly find it hard tobelieve that the product contains just35 calories.

In addition to its low calorificcontent, the botanical-cola hybriddrink, designed to be an entirelyhealthy alternative to soft drinksavailable in the market, is free fromsugar as well as artificial sweeteners,flavourings and preservatives.

Based on the success achieved duringits test phase, Rainforest Beverages iscurrently in the formulating processfor additional variants and is keen toexpand the beverage to otheroutlets/markets in the near future.

www.rfbeverages.com




energy drinks France

wellness beverages/soft drinks United States

http://www.intermarche.com

Immunity drink getsreformulatedFollowing Groupe Danone’sdecision to withdraw the claims forits Actimel and Activia brands fromthe nutrition and health claimsprocess for the second time,

Danone España hasreformulated its starprobiotic drink so it isin compliance with newregulations.

The French company decided towithdraw its applicationsbecause it is waiting forprocedural guidance from theclaims assessment agency, theEuropean Food Safety Authority

(EFSA).The claims it had submitted were "helpsto strengthen the body's natural defences" forActimel and "improves slow transit and digestivecomfort" for Activia.

As Danone waits to resubmit its claims to EFSA,Danone España added vitamins B6 and E toActimel; allowing it to continue marketing Actimelas helping maintain a healthy immune system asvitamin B6 has been demonstrated to provide thisbenefit.This is a smart move as the claimsassociated with Actimel can remain unchangedwithout involving the product's probiotic content.

Some industry insiders have praised DanoneEspaña for its decision, given that category leaderActimel generates annual revenues of €300million.

At the same time, Danone España has recentlyadded Gran Danone to its portfolio.The additionis a spoonable yogurt in a larger than usual 400gpot that is currently available in plain sweetenedand strawberry flavours. Gran Danone containsless than 2% fat.

www.actimel.es




Approaching thebody with benefits itrecognisesQuality nutritional and chemicalmaterials specialist Gee Lawsonshines at the Geneva-hostedVitafoods event in May through itspartner Global Calcium.

Providing ingredients as well as finished products,Gee Lawson prides itself on developing bothprofitable and ethical business relationships withits customers and suppliers in accordance withindustry regulations and, combined with GlobalCalcium, boasts over 30 years experience.

With its product portfolio covering a wholespectrum of offerings from amino acids, enzymesand herbal extracts, to minerals, oils, probiotics andvitamins, the superior bioavailability credentials ofits calcium as well as other compounds werepromoted through the Vitafoods forum.

Currently focusing its activity on developingspecial tailor-made premixes with premium

quality for enriching food, nutraceutical andpharmaceutical products, the firm is able to meetrequirements for various applications, be it fruitjuice, energy drinks, dairy drinks or dry powderformats in the beverages sector, or cereals, babyfoods, bakery products and pasta, staple foods orconfectionery.The production of these premixesis said to demand comprehensive knowledge offood chemistry, pharmaceutics, food technologyand applications.

In highlighting the quality of its ingredients, GeeLawson explains the significant difference in thebody's readiness to absorb inorganic compounds(those that it does not recognise as useful) andorganic compounds (those that it deems useful),with the latter having far higher bioavailability.Inorganic compounds such as oxides, carbonatesand phosphates are less easily absorbed - at arate of 1-3% for calcium carbonate - whilstorganic compounds such as citrates, malates andamino acid chelates (for example bisglycinates,lysinates and taurinates) are more quicklyaccepted into the bloodstream - at a rate of 30-40% for calcium citrate.

Thanks to its technological facilities, Gee Lawson isable to have complete traceability of all materials,with all products supplied with a Certificate ofAnalysis, GMO,Allergen and non-irradiated status.

www.geelawson.co.uk

ingredients United Kingdom

functional dairy Spain

EuropePortugal: Unilever-owned Lipton haslaunched a 20 day-long campaign during whichconsumers who register on the brand's websitewill receive two daily tips on fitness and wellbeingto help women feel good about themselves. Inaddition, by registering the products purchased,consumers will be awarded points and receivevouchers for massage sessions, beauty treatmentsand consultations on nutrition.

UK: Provexis has entered into a long-termresearch and development collaboration dealwith the Institute of Food Research and PlantBioscience Limited.As part of the agreement,Provexis has been granted exclusive access to aportfolio of potentially high-value intellectualproperty related to the treatment and reductionof systemic inflammation, from which it intendsto develop commercial products. Stephen Moon,CEO of Provexis commented, "The collaborationwith IFR is a further step in the continuedexpansion of Provexis and its product pipeline.This new venture further strengthens ourpipeline and is an important element in creatinglong-term shareholder value."

Solution Sciences Ltd, producer of Alibipretox drink, was present at the recently heldGlastonbury and Isle of Wight music festivalsgiving free samples of the drink to attendees aswell as performers.According to the company, ithanded out 5,500 cans of Alibi.

North AmericaCanada: According to a study conducted atMcGill University in Montreal,Teawell, aningredient produced by A. Holliday &Company may delay or prevent Alzheimer'sdisease and dementia. In the study, rats that ateTeawell 50 extract had an 18% reduction In freeradicals, which accelerate the loss of neurons in akey region of the brain involved with memoryand learning.

Health Canada has dismissed reports that it hadapproved the sale of pre-mixed alcoholic energydrinks.The confusion arose after the bodyauthorised the sale of energy drinks throughliquor stores.

US: According to retail data, the leading brand inthe coffee energy drink segment is Java Monster

Fibre-rich soy drinkdebuts in CzechRepublicCzech-based company Sojo haslaunched an eponymous prebioticsoy drink, available in pineapple andstrawberry flavours.

The Sojo companywas founded in2009 by THEFERBEV projectwhich aimed todrive innovation infermentedbeverages inEastern Europe.Soy is rich inproteins andcontains essentialamino acids, andregularconsumption canhelp preventcardiovascular

disease and lower cholesterol.The Sojo beveragealso contains omega-3 fatty acids - 60mg per100g, and probiotic cultures - 1g contains at leastone million live probiotic bacteria.

The drink is one of the latest products to bearthe BENEO label as it contains the fibres inulinand oligofructose from Beneo-Orafti, part ofthe BENEO-Group which is a division of theSüdzucker Group specialising in functionalingredients.The company extracts inulin from thechicory root and then derives the oligofructosefrom the inulin.The fibres are said to helpmaintain a healthy digestive system by stimulationof good bacteria (bifidobacteria), increasedcalcium absorption and optimal intestinalfunction. Each 100g of Sojo contains 1.4g ofdietary fibre.

BENEO-Orafti's BENEO label is now found onmore than 380 products in 33 countries.TheBENEO Label Program is designed tocommunicate the health benefits of Orafti inulinand oligofructose through the use of an easy-to-understand quality label.The company hasrecently boosted awareness of the label bycreating its own Facebook page to educateconsumers.

www.sojo.cz




functionaldrinks in brief

wellness beverages Czech Republic


from Hansen. Moreover, with the exception ofStarbucks' Doubleshot coffee energy line, thecategory growth in 2009 was limited.

IRI figures have revealed that Dannon holds amajority share of the probiotic yogurt market inthe US. In 2009, sales of Activia jumped 16% toUS$383 million for the year.This contrastssharply with General Mills' YoPlus brand, whosesales for the period dropped 16% to less thanUS$44 million, giving it a 1% share of the marketagainst Dannon’s 10.5% share.

Coca-Cola Enterprises (CCE) has said that itis seeing a rebound in the US soft drinks market,despite a fall in sales volume in the countryduring the first quarter of 2010. Steve Cahillane,President and CEO for Coca-ColaRefreshments added, "Vitaminwater isexceeding our expectations from a consumerstandpoint perspective and helping us drive ouroverall still business."

Ingredient supplier BI Nutraceuticals (BI) hasadded maqui, an antioxidant-rich, dark-purpleberry native to Chile, to its portfolio ofingredients. Recent research suggests theantioxidant compounds in maqui have anti-inflammatory and cardioprotective properties.Maqui joins elderberry, rosemary, mangosteen andyerba mate as the newest ingredients in BI'srange.

Scientists from Louisiana State University haveclaimed that children and teenagers who regularlydrink pure juice have higher intakes of keynutrients compared with those who chose otherdrinks. By contrast, a higher percentage of non-juice drinkers failed to meet the recommendedlevels for key nutrients including vitamin A andfolate.

Vacation in a Bottle (ViB) has signed anagreement with GTG Beverages for thedistribution of its eponymous relaxation drink

across ten states in the Northeast US.ViB will beavailable at grocery and convenience chainretailers.

Bond Laboratories has publicised that itsFusion Premium Beverages (FPB) division hasentered into an agreement with Zink DistributingCompany to market FPB's Resurrection HangoverPrevention Drink. Zink distributes to the high-population counties in the Central Indiana marketand provides access to approximately 1,600businesses.

Eric Schnell, co-founder of Healthy BeverageCompany and creator of the Steaz brand hasleft the company. Schnell's departure comesamidst ownership and management changes atSteaz, including majority ownership shifting toSwiss investment company Inventages. Schnellcontinues to hold a significant stake in thecompany.

PureCircle, producer and marketer of stevia-based sweeteners, and Michigan State Universityhave signed an agreement covering research andbreeding of the stevia plant.The goal is toaccelerate the creation of proprietary varieties ofstevia that contain dramatically higher levels ofsweetness in the leaf as well as other improvedagricultural properties.

Stefan Kozak, head of the Latin American andCanadian operations of Red Bull, has beenappointed CEO of Red Bull North Americafollowing the departure of Selim Chidiac.Theappointment was made effective 1 July 2010.

WorldRecently released data suggests that contrary tothe slowdown in sales of energy drinks seen inthe US, in other regions growth continuesunabated.The two most promising regions areWestern Europe and Asia, forecast to grow by10% and 8.3% respectively in 2010.

Editor: Anya HembroughDeputy Editor: Cecilia Martínez NúñezContributors: Laura KnightMarket Intelligence Director: Esther Renfrewfunctionaldrinks is issued 25 times a year and is onlyavailable by subscription: electronic PDF format only £495;hard copy and PDF £595**VAT chargeable on electronic format to UK companies and EC companies not

registered for VAT

7 Kingsmead SquareBath BA1 2ABUnited Kingdomt +44 (0)1225 327900f +44 (0)1225 327901e functionaldrinks@zenithinternational.comwww.functionaldrinksnews.com

No part of this periodical may be reproduced in any form,copied or stored electronically without prior permission inwriting from the publisher. Every effort is made to verify allinformation published, but Zenith International cannot acceptresponsibility for any errors or omissions or for any lossesthat may arise as a result.

functionaldrinkszenith international newsletter



functionaldrinks in brief

100720_FD_Issue 188

Documents

Transcript of 100720_FD_Issue 188