TETRA PAK NEWSSummer 2010

INTRODUCTION

Innovation everywhereWelcome to Tetra Pak News. I write this introduction just over a year after taking up the role as UK & Ireland Managing Director. I am immediately reminded of our many great achievements during the last 12 months, as well as the changing landscape we continue to operate in. Without doubt the biggest development for all of us must be the change in government. There are certainly lessons to be learnt from the new administration regarding continuously finding new ways to do things better and the imperative in this changing world to work ever more closely with others, if we are to be truly innovative.

It is extremely rewarding to think of the great innovative developments we have made as a business in the past year, not least the certification of our cartons by FSC (Forest Stewardship Council) and our three-year partnership with WWF-UK. Both of these relationships demonstrate our understanding of the absolute need to look after our planet’s resources as well as our commitment to using renewable materials. There is already much activity underway to raise awareness of these partnerships and, crucially, to increase consumer understanding in this area. You can read more about our work with FSC and WWF-UK in this edition of Tetra Pak News.

Of course, some things change more gradually and we continue to operate in a tough economic climate. I am, however, convinced that by being innovative in the products we create and the way we work with our customers, suppliers and partners, we will remain one step ahead of the rest. We are already doing much to better understand these needs, as the report on our participation in a store replenishment project delivered with the help of the Institute of Grocery Distribution

highlights. Another of our bold approaches to collaborating with others includes our involvement in the Sustainability Advisory Panel. The discussion and debate in this forum has enabled us to better understand how, along with other industry leaders, we can boost recycling rates and reduce our impacts on the environment.

Today innovation touches every corner of our lives – that will be particularly evident if you are reading this on an iPad! However, revolutionary new products are simply an outcome of innovation and I believe that true innovation lies in a willingness and determination to improve what we do and challenge the status quo on a daily basis. In my opinion, that is a great mindset for us all to adopt and one that can only have positive impacts for all of us and the world we live in.

With best regards

Rik Jacobs

Managing Director Tetra Pak UK & Ireland

01

NEWS

of Calypso’s Orange, Strawberry, Blackcurrant, and Tropical flavoured ices, which have made Calypso the outright brand leader in the freeze drink market, with a 54% share.

A growth market for Calypso, freezeable products overall grew by 2% last year despite the recession and poor summer weather. The company manufactures over 150 million freezeable products each year, from its factory in Wrexham.

Marketed at kids and adults alike, the Jubbly range has showed strong growth year on year, and the introduction of the new retro cola flavour is designed to boost sales further.

Richard Cooke, Sales & Marketing Director, Calypso, said: “The freeze drink sector has continued to do well throughout the recession because they are an inexpensive treat and we’re confident that our latest addition to the Jubbly family will continue to be a hit.”

Calypso adds new cola flavour to range of ice lollies

With summer here, Calypso has added Cola as a new flavour to its popular Jubbly range of triangular ice lollies, packed in handy, eye-catching Tetra Classic Aseptic cartons.

Jubbly Cola, which is on sale now in a number of UK retailers including Iceland, Morrisons, Sainsbury’s and The Co-operative, follows the success

In March this year, the makers

of Ribena launched an exciting

new edition to its range – new

Ribena Juiced Up.

Initially available in secondary schools, Ribena Juiced Up comes in two flavours: a blend of apple & blackcurrant and refreshing raspberry. Ribena Juiced Up offers young people a delicious drink with the goodness of 85% fruit juices – equivalent to one of your five-a-day fruit and vegetable portions. The remaining 15% of the drink is water and nothing else, meaning Ribena Juiced Up is the ideal option for lunchtimes.

Make a difference, have a picnicFor the second year running, Irish milk brand Avonmore is encouraging consumers to fill their picnic baskets and raise money for charity with its Big Picnic for Barretstown campaign. Based in Kildare near the foothills of the Wicklow mountains, Barretstown is a camp for children from around the world with serious illnesses – primarily cancer and serious blood diseases.

Holding a Big Picnic couldn’t be simpler. Avonmore consumers can log onto www.sendmorefamilies.com to receive a free picnic pack. Then all

they need to do is arrange their picnic, invite some friends and ask them all to make

a donation to Barretstown. What’s more, Avonmore will also match every €1 raised to the value of €250,000.

By raising money for Barretstown, Avonmore will be able to help send more children and their families to the camp which helps the children regain their confidence and self-esteem through a unique programme of adventure, activities and fun.

Ribena Juiced Up meets all UK Government guidelines for schools and also helps schools do their bit for the environment as the cartons are not only widely recyclable across the UK, but they are made from FSC

certified Tetra Pak cartons – where the material is sourced from well-managed forests. Schools and businesses can recycle their cartons

too, with carton collection services available in over 69% of the country.

Andy Mahoney, Project Responsible at GlaxoSmithKline, said: “With school nutrition now a key government initiative, we are thrilled to be launching Ribena Juiced Up which offers real goodness in an exciting new format for the foodservice channel. This is an ideal opportunity for outlets to effectively respond to consumer demand for higher juice content drinks that provide one of five a day.”

Contents

News 01/02

Co-operative Corporate Partnership 03

Co-operative FSC campaign 04

UK juice market 05

WWF-UK partnership 06

Innovation in the supply chain 07

Global innovations 08

Green brands 09

Sustainability Advisory Panel &recycling update 10

‘Luvly’ Jubbly

Get juiced up with Ribena’s new juice drink

NEWS

02

Scarlets ‘convert’ to Daioni

Hot on the heels of launching its new look, Welsh organic flavoured milk drink range Daioni has announced that it is set to sponsor rugby giants The Scarlets to spread the healthy living message.

Hot on the heels of launching its new look, Welsh organic flavoured milk drink range Daioni has announced that it is set to sponsor rugby giants The Scarlets to spread the healthy living message.

Organic, low in sugar and fat, and free from preservatives and artificial colours, the Daioni range is available in three tasty flavours – Chocolate, Strawberry and Banana.

In addition to prominent displays of Daioni branding around the stadium, in match programmes and club literature, the deal sees Daioni become an Official Community Partner who will supply the drinks for use at Scarlets’ community events.

“We are delighted about the sponsorship,” said Trioni Managing Director and rugby fan, Laurence Harris.

“The club has forged close links with the local community, schools and the feeder clubs, promoting a fun and healthy lifestyle and we look forward to supporting this work.

“Daioni is a healthy and nutritional alternative to fizzy drinks, so we are thrilled to be able to help the Scarlets spread the healthy living message.

Already a favourite with many sports people, Daioni counts several top sports organisations and clubs among its fans, including the Welsh Rugby Union and Chelsea, West Ham and Tottenham Hotspur football clubs.

There has been much research recently into milk as a recovery and re-hydration aid for athletes, with a growing body of evidence suggesting milk may be just as effective in these areas as many sports drinks.

Available in Tetra Prisma Aseptic cartons, the packs are also handy and lightweight, making them perfect for lunchboxes and picnics. Marketed at children and adults alike, the range is widely available across the UK, and also exported to Greece, Malta, Cyprus and Australia.

News hot off the ‘press’ is that Cawston Vale, established in 1986, has been updated with a new name, logo and brand identity. The delicious juices will now be known as Cawston Press. A new logo and packaging design will clearly demonstrate to consumers and retailers that Cawston Press, which won the soft drinks category in the Grocer Branded Excellence Award in 2009, is a premium quality, 100% natural, pressed apple juice.

Cawston Press is delivered in Tetra Prisma Aseptic cartons, aiming to be better for the environment, preserving the juice until it is needed, with no need for refrigeration or preservatives. The packaging is also made mainly from wood, a natural renewable resource and this helps lower the carbon footprint of the package. Not only this, it is recyclable too.

The six different award-winning blends are found in the soft drink/squash & cordial aisle rather than the chiller cabinet. As an added bonus, it is also less expensive than many chilled fruit juices and smoothies.

Fresh new brand for fresh new juice range

A vibrant new pack design has been created which is fresh, eye-catching and creates a strong dynamic shelf presence. The exciting new range consists of six expert blends: Apple, Apple & Ginger, Apple & Elderflower, Apple & Rhubarb, Apple & Blackcurrant and Apple & Beetroot, distinguished by bright on-pack colours. The newly branded products will be sold in Waitrose, Ocado, Boots and speciality food stores.

Mark Palmer, Marketing Director at Cawston Press says: “In the cluttered market of the ambient aisle, an area that tends to be filled with similar looking own-label products and the majority made from fruit concentrates, we needed a pack design that could shout above the crowd, bringing some much needed news of premium branded innovation to the neglected ambient fixture.”

SECTION TITLE

03

CORPORATE PARTNERSHIP

03

Creating conversations with Co-operative customersConsumers today find themselves with less time but with a greater choice of products in store. It can therefore be difficult to reach them with messages about sustainability. However, our partnership with UK food retailer, The Co-operative, has enabled Tetra Pak to tell its story to the supermarket’s 20 million weekly customers and drive sales of ambient juice at the same time.

In today’s multi-media world, telling the Tetra Pak story cannot rely on one channel alone. The partnership with The Co-operative in 2009 recognised that in order to really bring home the benefits of ambient juice and the sustainability credentials of Tetra Pak cartons, the campaign would need a mix of online and offline channels, as well as in-store and direct promotions.

In-store retail theatre was a key element of the campaign, with eye-catching shelf talkers featuring in all 2,260 Co-operative Food stores over a six month period of activity.

As well as drawing customers’ attention to the products on display, the shelf talkers were designed to turn a fleeting moment in the ambient juice aisle into a lasting opportunity for consumers to find out more about Tetra Pak and sustainability. The shelf talkers therefore also featured details of a consumer competition to win £100 worth of Co-operative vouchers every week, prompting them to go online and visit www.protectswhatsgood.co.uk.

Other online activity also included a web banner on The Co-operative’s own retail website, featuring a competition teaser aimed at driving further traffic to the Protect What’s Good site, which ultimately received almost 800,000 hits over the course of the campaign. Consumers were also clearly keen to delve deeper into the issue of sustainability, as almost 45,000 visitors subsequently visited Tetra Pak’s main UK site www.tetrapaksustainability.co.uk,

where they could get a greater understanding about Tetra Pak’s achievements in the area.

Traditional media was equally important in reaching The Co-operative’s large customer base. The retailer’s magazine, which has a readership of over 1.9 million people, featured an advertisement that allowed Tetra Pak to tell them more about how cartons protect what’s good… inside and out. 160,000 members also received vouchers to further increase awareness and drive entries to the competition. Consumer entries into the campaign competition doubled in the time of their circulation.

“The partnership showed the power of creating the right buzz with consumers to drive sales of ambient juice,” said Sergey Chaplin, Marketing Manager, Tetra Pak UK & Ireland, “By using an innovative mix of channels and communications, not only were we able to create excitement in the ambient juice aisle, but we’ve been able to educate consumers about the benefits of cartons and the Tetra Pak story.”

While the second half of the year traditionally sees lower sales of ambient juice and, the promise of a ‘barbecue summer’ in 2009 proved unfounded, the partnership was able to limit the cyclical seasonal decline in sales to just 5%, compared to 18% in 2008. The communication activity also helped Tetra Pak claim a greater share in the ambient juice category as the campaign progressed. Tetra Pak products had a pre-campaign share of 88.5%, shifting to 91.9% in the last week of the campaign.

The success of this campaign and the joint values shared by Tetra Pak and The Co-operative have now led the way for a Corporate Partnership to be forged between both companies. By looking at new and innovative ways of working together, Tetra Pak and The Co-operative have been able to build real brand familiarity with thousands of new consumers that will benefit them, the partnership and the environment long after the shelf talkers have been taken down.

FSC

04

Consumers are increasingly making purchasing decisions for environmental and ethical reasons and the news announced last year that Tetra Pak is now able to offer FSC® (Forest Stewardship Council®) certified cartons gives shoppers another reason to purchase cartons. As some leading commentators discussed in the last issue of Tetra Pak News, there is still a big job to do in helping consumers understand what this means. That’s why Tetra Pak has devoted the first half of this year’s Co-operative Corporate Partnership to a campaign on educating shoppers on ’Forest Friendly’ packaging.

The success of last year’s Co-operative campaign showed that bringing sustainability messages into the shopping aisles can be powerful in bringing such important issues into the public’s consciousness. Tetra Pak has already

leveraged the Corporate Partnership it holds with The Co-operative again during 2010 to run a multi-channel communication programme during the first half of the year.

The aim of the campaign was to drive home the message that over 1.5 billion Tetra Pak cartons have gone FSC, making them a ‘Forest Friendly’ package. Certification by FSC, the global standard of forest certification, is a clear way for consumers to know that in buying that product, they are helping to care for the world’s forests.

Not only are cartons made from a natural, renewable resource, they are repeatedly shown to be a low carbon package in environmental studies across the world, further making the case for cartons.

As with the 2009 campaign, activity has been focused in-store around the ambient juice aisle, with the addition of the ambient milk aisle. Using shelf talkers, radio adverts and till screen display adverts to generate interest and excitement in-store, Tetra Pak has worked to drive further traffic to the long life milk and juiced product displays. This gives a combined total of 4,884

shelf talkers across all stores and over 69,000 hours of video and radio footage featuring Tetra Pak and the ‘Forest Friendly’ message across a 13 week period. There has also been a further opportunity to grab The Co-operative customers’ attention at the check-out, with snapshot messages attached to Chip & PIN readers.

Again, the in-store activity has been complemented by online communications and a competition for customers to win their weekly shopping. Prompting shoppers at all points to go home and log onto www.protectswhatsgood.co.uk gives Tetra Pak the opportunity to explain in more detail how it works hard to ensure the paperboard used in its cartons comes from well managed forests and the impact that has on the environment.

Sam Edgar-Gunn, Communications Officer, Tetra Pak UK & Ireland, commented: “The in-store activity with the Co-operative, together with the FSC label being rolled out on pack, means that our support for ‘Forest Friendly’ packaging is more visible than ever before. However, our focus is not only on awareness, but ensuring both customers and

consumers truly understand what it means to buy renewable, which is why our online activity seeks to educate and explain the big difference their small action in putting cartons on their shopping list makes.”

With an ultimate goal to have all paper in Tetra Pak packaging certified to the highest possible forestry standard, the partnership activity with The Co-operative demonstrates the real commitment to securing the future of the world’s vital forests.

Going ‘wild in the aisles’ for forest friendly packaging

The Tetra Pak UK & Ireland license code is FSC-C014047

SECTION TITLE

05

UK JUICE MARKET

05

Taste of the nation: mango goes mainstreamWhile some fruits like papaya and tamarind have failed to take root in the UK juice market, data compiled by Tetra Pak Business Intelligence shows that the nation has, however, developed a taste for mango. The tropical fruit has found its way into more and more British shopping baskets, significantly increasing its volume in recent years.

Last year the UK consumed 1.6bn litres of juice – the equivalent of 64 Olympic-sized swimming pools. The vast majority of that was made up of two perennial favourites, orange and apple. However, mango is fast becoming a consumer favourite, having increased its volume by 34% over the last three years to gain a 1.7% share, pushing aside traditional favourite flavours, such as grapefruit and blackcurrant.

With orange and apple flavours enjoying a 62% share of the juice market, their place at Britain’s dining tables looks secure, but the increase in mango shows that consumers are willing to give new flavours a go. Mango is also the only fruit in the

top five flavours which is not commercially grown in Europe.

“Britons are becoming more adventurous in terms of the juices they are drinking,” says Rupert Maitland-Titterton, Tetra Pak UK’s Director of Environment and Communications. “The old favourites are still dominating the market, but with mango being the example, we will see more exotic juices and blends in the years to come. Another factor for the surge in popularity is the trend towards more people drinking alcohol at home and using mango in several kinds of cocktails.”

For those wanting to mix and match their favourite fruit flavours, blackcurrant and apple is the most popular combination, suggesting our taste buds still respond well to long-time favourites. For some blends though, the writing may be on the wall, with orange & peach blends declining by a quarter since 2008.

Cartons remain the most popular way of purchasing juice too, with 70% of juice purchased in cartons compared to 22% in bottles. While consumers are increasingly recognising the environmental benefits of cartons, there is also

increased demand from retailers to provide juice which can be sold in ambient space rather than relying on a chiller cabinet.

The success of mangoes shows not only consumers’ willingness to try new flavours, but is perhaps indicative of people’s desire for a tropical escape from last year’s disappointing summer and grim winter.

The nation’s top five juice flavours

1. Orange (44%)

2. Apple (18%)

3. Cranberry (5.4%)

4. Mango (1.7%)

5. Grapefruit (1.2%)

Flavours also milking it...Our research also found that flavoured milk has seen phenomenal growth over the last three years, with carton family packs growing at a rate of 112%. An increasing range of innovative flavours, such as peanut punch and chocolate orange truffle, can be attributed to the surge in popularity. Parents are also viewing these flavours as an easier way of getting calcium into their children’s diets.

SECTION TITLE

WWF

06

Turning green intentions into actions

Actions speak louder than words. While that is generally true of everything in life, it’s also accepted that turning words into action can often be difficult to achieve. This is certainly true when it comes to the nation’s food shopping habits, where the public’s green intentions are not reflected in their purchasing decisions. However, a partnership between Tetra Pak UK and WWF-UK is seeking to change that and get shoppers to ‘walk the walk’ as well as ‘talk the talk’.

In April, research commissioned by Tetra Pak revealed that 82% of UK adults believe their individual actions can make some difference to the environment. Whilst a promising number, the same research also revealed that these green intentions don’t in fact make it all the way to the checkout. Instead green credentials came fourth on the list of product criteria, below quality, value and special offers.

With this in mind, Tetra Pak UK and WWF-UK, the UK arm of the world’s leading environmental organisation, have launched a three year partnership aimed at harnessing the nation’s green intentions and translating them into real action. A key aim for the partnership over the three years is to raise the awareness and understanding of renewability and the importance of choosing goods made from responsibly managed renewable sources, so that we can have these resources for many years to come.

In helping people to think and buy renewable, Tetra Pak and WWF-UK want to encourage innovation in how we live, by adopting more renewable lifestyles. Not only that, the partnership is taking an innovative approach in order to capture the collective imagination, spark debate and seek ideas from the public.

Through a dedicated website, members of the public can submit their own ideas – no matter how large or small – on how to change people’s habits and lifestyles. Up to £25,000 will go towards making the winning idea a reality, with the support of Tetra Pak and WWF-UK.

For every vote and idea submitted, Tetra Pak will donate 10p and £1 respectively, to WWF-UK. The funds generated will support a project to help conserve the forest habitat of a number of rare species including the Persian leopard and other important conservation projects.

So far the response to the campaign has been fantastic with hundreds of ideas coming in from across the UK on how to encourage shoppers to choose renewable products to how we can create a better understanding of what renewability means. However, there is still plenty of time for people to submit more great ideas as the competition is open for entries until 31st October and for voting until 30th November. By bringing together the nation’s minds, the hope is we will all be able to bring about change fasterand keep a healthy, living planet. Although currently the partnership is with WWF-UK, Tetra Pak will be launching the competition in Ireland very soon.

Renewability chatter“Our partnership with WWF-UK aims to help people understand what renewable means, why it matters and how they really can make a difference. We are calling for ideas – anything from an inventive shoppers’ loyalty scheme to an iPhone app that gives you a personal ‘renewability rating’.”

Rupert Maitland-Titterton, Director of Environment and Communications, Tetra Pak UK

“Tetra Pak has committed to support the growth of FSC forest management in critical forest habitats, and together we are aiming to raise awareness of the need to manage production of forests as renewable resources to provide economic, social and environmental benefits for the foreseeable future.”

Julia Young, Forest & Trade Network Manager, WWF-UK

“We all use an incredible amount of stuff, and when we’re done with it, it gets dumped. Well there is one simple phrase you can start off with. Renewability: the fourth R. Reduce, reuse, recycle, choose renewable... supporting Tetra Pak’s campaign with WWF-UK is the perfect way to get started.”

Steve Backshall, Naturalist and TV wildlife presenter

Make a difference with your own renewable ideaVisit the website: www.renewableidea.co.uk

Find the campaign on Facebook: www.facebook.com/renewableidea

Follow on Twitter: www.twitter.com/renewableidea

SECTION TITLE

07

INNOVATION

07

Unlocking success through innovationWhile innovation is often thought of purely in terms of items or products, true innovation runs through systems and procedures and focuses on the thought processes which improve what we do. At Tetra Pak therefore, innovation doesn’t just exist in the physical package, but rather at every stage of the supply chain.

Gaining insights into each part of the supply chain is crucial in understanding how our products are managed by customers, distributors, retailers and consumers alike. To help us understand the challenges and opportunities for us within the retail industry, we recently undertook a project with the help of the Institute of Grocery Distribution (IGD) to enable us to see our cartons on the shelves in different retail environments, just as our consumers do. This involved the overnight shelf replenishment of a retail store following a day’s trading.

As well as gaining our own insights into the supply chain, the exercise also gave us the opportunity to learn

from our customers’ expertise as we were joined in the aisles by MilkLink, Refresco, and Tesco’s packaging and supply chain team. By taking part in the exercise together, we were able to make sure we considered the issues and opportunities that store replenishment presents our products from both our own and our customers’ perspective.

A great opportunity, but what if we were to discover supply chain problems with Tetra Pak packaging or distribution units? Would it be possible to translate those problems and who would be expert enough to advise of potential solutions? Again, we enlisted assistance from some of our customers’ suppliers: Davis S Smith, Adalis, Payne International, Linpac, and of course our own colleagues in our Carton Value team.

So, at 10pm in late March, armed with bumbags, notebooks and cameras, around 30 of us descended upon Tesco’s Watford store where we received a warm welcome from the management team. To make the experience as beneficial as possible – and to keep all of us on our toes – the Tesco store managers identified some categories which potentially needed attention. However, the

aisles which invariably attracted our attention were ambient milk and juice.

Seeing the products on the supermarket shelves rather than in the warehouse got all of us thinking about purchasing habits and consumer choice. It made us realise that taking an innovative approach to product presentation can make all the difference to influencing shoppers’ behaviour, driving sales and reaching new consumers.

Putting ourselves in the shoes of our customers and transporting ourselves from the boardroom to the shop floor really brought home the importance of effective product presentation. Although the difference between how, where and why a carton of juice or milk is positioned in certain way on the shelf may seem subtle, they have a massive impact on which product will eventually find its way into a shopping basket.

Our nocturnal adventures provided Tetra Pak and our supply chain customers with a learning experience which would be impossible to simulate and will ultimately help us improve the way we present out products – delivering better value for our customers and a more appealing retail experience for our consumers.

By Ian Williamson, Retail Manager, Tetra Pak UK & Ireland

AROUND THE WORLD

08

Cartons: a passport to innovationThe popularity of cartons is driven by both shared, global reasons, such as environmental benefits as well as local needs and consumer trends. Here, Sergey Chaplin, Marketing Manager, Tetra Pak UK & Ireland, looks at some new and innovative developments in the world of cartons.

Going coco’nuts’ in BrazilFact file

Product: Coconut water

Fact #1: On average 300ml of water can be extracted from a coconut

Fact #2: Almost 98% of all packed coconut water in Brazil is sold in cartons

Fact #3: Celebrity coconut water drinkers include Madonna and Rhianna

The humble coconut has long been used for culinary purposes, usually for its meat, milk or nut oil. However, in recent years it is coconut water – once just a by-product – that has seen a significant surge in popularity. While the rest of the world is just catching on

to the nutritional benefits of coconut water as a drink, Brazilians have been drinking it since the 16th century.

In just 15 years, coconut water has experienced year-on-year growth of 18% in Brazil thanks to innovation within

the segment. The real pioneer of the segment was Kero Coco who spotted the opportunity to focus on the drink’s healthy and natural benefit. Selecting cartons also meant that what once was a difficult to handle natural product became a practical choice for ‘on the go’ consumers. It also meant that the water remained as tasty as the natural product and could be kept fresh without the need for refrigeration.

Another key factor in coconut water’s rapid growth is the innovative product launches within the segment. Brazil now leads the rest of the world with over 50 variants, such as waters with mango and passion fruit flavours. Now the USA looks set to follow in Brazil’s footsteps with annual sales rising to three times what they were five years ago and a legion of celebrity fans already.

Baby food boom in Russia

Fact file

Product: Juices and nectars (baby and toddler category)

Fact #1: The birth rate increase in Russia is driving growth in the baby food category

Fact #2: Juices and nectars are the second biggest contributor to category growth behind infant formula

Fact #3: Apple is the clear favourite flavour in the baby and toddler category

The increasing birth rate in Russia has fuelled growth in the baby and toddler food category in recent years. Since 2002, the juices and nectars segment

within the category has accounted for much of that growth, seeing an increase in volume of almost 31%.

Although glass often dominates the juices and nectars segment in many markets, Tetra Pak has helped ensure cartons are the most popular package in the baby and toddler category in Russia. Customers have been keen to innovate within the category and mothers – the main purchaser of toddler juices – have valued the ease of use that cartons bring. While customers have chosen carton packages over glass to ensure the highest safety, hygiene and environmental standards, mothers purchase cartons because it allows them to give their kids a package which they can drink from independently.

Larging it in Spain

Fact file

Product: Juice

Fact #1: Don Simon juices contain the goodness of 22 oranges in 1.5 litres

Fact #2: Large size container is the new Tetra Gemina Aseptic 1500 sq

Fact #3: Rates better than all competing packages for ‘in-store stimulation’

Don Simon is one of the first brands worldwide to take advantage of the Tetra Gemina Aseptic 1500 sq, Tetra Pak’s new large size container. The large size container segment is predicted to enjoy healthy growth over the next two years as consumers increasingly look for improved functionality in larger sizes.

The strong package functionality offers good pouring without ‘gulping’ in an attractive and innovative package. The package’s elevated top offers customers better on-pack branding opportunities, helping it stand out to consumers on the shelf. Research has also shown that the package brings the appeal of fresh beverages to the long-life ambient juice aisle.

The launch of Don Simon in the new, bigger size carton is being closely followed in other markets, with the launch of Fruttagel juices and Quaraentan wines, both in Italy.

GREEN BRANDS

09

Where next for the nation’s ‘green’ brands?

Twelve months ago we pondered the impact of the recession on the push for ‘green’ amongst brands.

We needn’t have worried. With the continued success of M&S’s Plan A and others’ initiatives, sustainability remains high on the consumer

agenda. But with green and ethical credentials starting to become the rule, rather than the exception, where do brands that have led and innovated on sustainability go next?

Over the last decade, the entire value chain has changed, with purchasing power removing waste at every stage, and consumer demands driving

higher ethical performance and transparency. In recent years, this has triggered a domino effect, with more and more brands changing their sourcing, manufacturing and commercial practices to satisfy more expectant consumers. Nestlé and Cadbury’s recent introductions of Fairtrade certification for some of the nation’s favourite confectionery are good cases in point.

Brands like innocent and The Body Shop used to stand out purely for their ethical and green reputations. But sustainability is now merely a hygiene factor – a criteria all brands must meet – rather than a USP. And after Copenhagen failed to live up to many people’s expectations, there is even more responsibility on companies to step up to the plate and deliver the changes political leaders struggled to achieve, but consumers demand.

But as consumers become more wary of claims and ‘greenwash’, how can brands establish their difference and stand out from the crowd?

Ongoing innovation is a good place to start; it speaks volumes about a brand’s commitment and willingness to embrace change and offer a leaner, greener product or service. At Tetra

Pak, our recent roll-out of FSC-certified cartons in the UK created a real buzz, whilst elsewhere the reductions in Easter egg packaging and Kenco’s introduction of a new Eco Refill pack format for its coffee last October to cut packaging weight by 97%, also impressed green consumers.

It is also crucial for brands that have strong environmental credentials to take a fresh approach to marketing to stay ahead of the competition. For this very reason, at Tetra Pak we launched a three-year partnership with WWF-UK, focussed on changing consumer behaviour. We are ‘crowd sourcing’ our solutions, asking consumers to tell us what the best ideas are to get people to live and act renewably. From a marketing point of view, crowd-sourcing is emerging as a great means of consumer engagement, and as an incentive we’ll be offering a prize of up to £25,000 to implement the best strategy, as well as donating money to a WWF-UK conservation project for every idea submitted and vote cast.

Partnerships like this are not just a good way of reassuring consumers of the project’s authenticity. More importantly, through close collaboration with WWF-UK, we have created more impactful marketing

ideas, increasing consumer participation, which give us a better chance of meeting our joint objective; getting people to think, act, and purchase more renewably.

Of course, these initiatives must be backed up by a track record of delivery and agreed commitments. Companies risk long-term reputational damage if they make promises that they can’t keep. What’s more, it is important that companies’ promises extend beyond the ‘here and now’. Increasingly consumers are looking for the 12 month, 3 year, and even 10 year pictures, with verifiable milestones along the way.

Working with stakeholder groups, government departments and expert committees remains important. However, innovation in marketing and communications will be key to taking ‘sustainability’ to a new audience – creating honest, consumer-relevant campaigns, which touch consumers’ lives, inspire and, ultimately, change lifestyles and behaviour.

By Rupert Maitland-Titterton, Environment and Communications Director, Tetra Pak UK & Ireland

UPDATE

10

Third Sustainability Advisory PanelThe third meeting of Tetra Pak’s Sustainability Advisory Panel took place in June, focusing on the issue of recycling. The Panel meets twice yearly to advise Tetra Pak on a range of environmental and sustainability issues – providing comment (and sometimes constructive criticism) to help shape the company’s green thinking.

The meeting was well-attended with representatives from the retail, environment and packaging sectors. They included Helene Roberts of Marks & Spencer, Dax Lovegrove of WWF-UK, Dan Crossley of Forum for the Future, Adisa Azapagic of Manchester University and Fergus McReynolds of Dairy UK.

The panel members gave views on how Tetra Pak could further increase kerbside recycling coverage and engage with consumers to raise awareness of carton recycling. The panel praised Tetra Pak’s progress to date and gave useful guidance on working with Local Authorities and Government to enhance recycling. The next meeting will take place at the end of the year.

Tetra Pak (UK) Ltd Bedwell Road, Cross Lanes, Wrexham LL13 0UT, UK Telephone +44 (0) 870 442 6000 Fax +44 (0) 870 442 6001 Email: enquiries.uk@tetrapak.com

Tetra Pak (Ireland) Ltd 5th Floor, Tuansgate, Belgard Square East, Tallaght, Dublin 24, Ireland Telephone + 353 (0) 1 4678000

www.tetrapaksustainability.com www.tetrapakrecycling.co.uk/tp_ news.asp www.tetrapakprocessinguk.co.uk

Tetra Pak, Tetra Brik, Tetra Classic, Tetra Prisma, Tetra Recart, Tetra Rex, Tetra Top, Tetra Wedge and Tetra Gemina are Trademarks belonging to the Tetra Pak Group.

Cert no. SGS-COC-0620

Printed digitally without the use of film separations, plates and associated processing chemicals. All the electricity used in this production process was generated from renewable sources and any paper waste is recycled.

Beacon Press is accredited with ISO 14001 and registered to EMAS environmental management systems. The company is CarbonNeutral® and has been awarded The Queens Award for Enterprise: Sustainable Development.

DID YOU KNOW?You can read and download Tetra Pak News at www.tetrapakrecycling.co.uk/ tp_news.asp

Recycling progressTetra Pak is focusing attention on increasing the number of UK Local Authorities which collect cartons for recycling at kerbside. The past year has seen kerbside collections leap to 28.3% of Local Authorities – a dramatic increase and a reflection on Tetra Pak’s efforts to make carton recycling as easy as possible for consumers. 86% of UK Local Authorities now collect cartons through either kerbside or bring bank schemes.

Tetra Pak is keen to maintain momentum and is working with Local Authorities to increase kerbside coverage even further in 2010. Current communications activity includes providing a briefing pack ahead of this year’s Let’s Waste Less Week, to provide Local Authorities with all the information they need to promote carton recycling in their local areas. Tetra Pak wants to achieve 40% kerbside coverage by 2012 and is working hard to meet this goal.

Helene Roberts, Head of Packaging at Marks & Spencer, said: “Tetra Pak and the carton industry have made huge strides with carton recycling. We have not received any consumer queries relating to carton recycling in over a year and a half, which is a clear indication of how recycling has moved on. Keep it up.”