october 5, 2018 ambient yogurt an untapped potential · dupont nutrition & health october 5,...

D u P o n t N u t r i t i o n & H e a l t h

OCTOBER 5, 2018

Signe Causse, Strategic Marketing Manager, Dairy

CLAL Dairy Forum 2018, Bardolino

Ambient Yogurt – an untapped potential

CLAL Dairy Forum, Oct 5 2018

EU Market dynamics calling for export strategies

Ambient yogurt – benefits and target markets

Market examples and Concepts

Content


3

51.000

51.200

51.400

51.600

51.800

52.000

52.200

52.400

52.600

52.800

53.000

100.500

101.000

101.500

102.000

102.500

103.000

103.500

2012 2013 2014 2015 2016

Western Europe, Dairy retail consumption

Dairy value Dairy volume

-0.5%

CAGR vol

Source: Euromonitor

MM EUR

The European dairy industry is seeing dynamics that call for expansion outside

of the region…

Projected evolution of EU milk production

000 Tons


4

The Middle East, Africa and Asia are showing continuous opportunity for growth,

especially in yogurt and drinking yogurt

000 Tons

0

5.000

10.000

15.000

2012 2013 2014 2015 2016 2017

Asia PacificRetail consumption volume

Cheese Flavoured Milk Drinks

Yoghurt & Drinking yogurt

4.8%

CAGR

-2.9%

CAGR

11%

CAGR

000 Tons

0

500

1.000

1.500

2.000

2012 2013 2014 2015 2016 2017

Middle EastRetail consumption volume



2.0%

CAGR

8.2%

CAGR

2.4%

CAGR

Source: Euromonitor

0

500

1.000

1.500

2.000

2012 2013 2014 2015 2016 2017

AfricaRetail consumption, volume



000 Tons

6.0%

CAGR

6.4%

CAGR

7.5%

CAGR


5

Traditionally, export strategies have focused mostly on powders, cheese, milk ,

cream and butter….

Solid dairy fats; 200; 5%

Cheese; 1.000; 27%

SMP; 700; 19%

WMP; 300; 8%

Whey; 500; 14%

Cream; 220; 6%

Liquid milk, 770, 21%

EU export 2018 estimate000 tons


6

Ambient Yogurt - a new strategic path

Click once on

’Increase Indent’ for bullet

and click max. three times

To get previous design back,

Change the Presentation Title

under >Insert >Header and

Footer and write in field ‘Footer’

Deactivate by clicking CLAL Dairy Forum, Oct 5 2018

What is Ambient Yogurt?

same production process as chilled yoghurt in the initial

stages, but needs heat treatment (pasteurization) and

aseptic filling after fermentation

9-12 months shelf life

no need to be chilled

comes in the form of stirred yogurt or drinking yogurt

can be consumed ambient or chilled, depending on

consumer preference

In light of the strong growth of yogurt consumption in Asia, Africa and Middle East, ambient

yogurt is another potential strategic path for export.


8

Consumer advantages of ambient yoghurt with no need for refrigeration

Convenience /

On-the-Go

Supports the convenience trend; consumers are able to take the product with

them on transportation to work, school lunch packs or picnics for

consumption later

Healthy nutrition for

well-being

Offers similar nutritional value as fermented chilled yoghurt (even though no

alive probiotics), and is good for digestion and mild lactose intolerance due to

the initial fermentation stage

Stable taste and

texture out of the

fridge

Texture and taste does not change or whey-off when stored outside of the

fridge – for households with limited or no refrigeration, yogurt consumption can

become more of pleasurable

Ensuring food safetyPasteurized products have low safety risk – ambient yogurt thereby ensures a

higher degree of food safety, avoiding bacterial hazards, potentially present

otherwise in home-made dairy and street shop dairy production

(Easier) access to

nutritious yogurt

products

Enables the possibility of transporting yogurt to rural areas in markets, where

consumers would not normally have access to retailed fermented dairy

products

Click once on








Ambient yoghurt presents many good business opportunities, when compared

with fresh fermented products

• Enables long distance transportation (rural

areas or export to other countries)

• Reduces cold chain requirement for storage,

transportation and shelf life

• Reduces waste

• Reduces the total distribution cost

• Increases production efficiency through

larger production batches - Chilled products

have limited shelf life and are therefore produced

in relatively small batches

While the yogurt is transported at ambient temperatures, it can then be stored, displayed and sold chilled by

retailers. The consumer will thereby continue to have a fresh experience.

BOOST EFFICIENCY

CUT COST


10

Both Asia, Middle East and Africa are seeing industry challenges and consumer needs,

which can be met with the benefits of ambient yogurt

• Rise of the middle class and an

urban life style, demanding on-the-

go

• Consumers like warm or ambient

food and beverages

• Fermented products have a positive

and healthy image

• Undeveloped cold-chain network in

several Asian countries

• Rise of the middle class and an

urban life style, demanding on-the-

go

• Consumers are increasingly

discerning, wanting healthy dairy

products

• Yogurt has a positive and healthy

image

• Challenges of hot climate and

energy / water scarcity

Asia Middle East Africa

• By 2030, the African population will

grow by 62% (ref. UN).

• Refrigeration in personal house-holds

is not a given

• Food safety is becoming increasing-ly

important

• Low buying power calls for affordable

products

• Distribution and cold-chain network

is still largely under-developed

Click once on








11

The three regions are still largely underpenetrated in terms of new ambient yogurt

launches, even in Asian markets, leaving a lot of opportunity for growth

0100200300400500600700800

African countries: Penetration of ambient yogurt launches out of total yogurt launches,

2010-17

Remaining yogurt launches Ambient yogurt launches

050

100150200250300350

Middle Eastern countries: Penetration of ambient yogurt launches out of total yogurt

launches, 2010-17


0200400600800

1.0001.2001.4001.6001.800

Asian countries: Penetration of ambient yogurt launches out of total yogurt launches, 2010-17


Source: Innova 2018


There are already pioneers in the market..


13

Anmuxi Greek Yogurt Drink With

Strawberry Flavor

Yili: Pasteurized heat treatment.

35% protein content. Shelf life: 6

months.

China, Aug 2017

Momchilovtsi Flower Secrets

Yogurt Drink With Rose Flavor

Bel Group: Heat treated after

culturing.

Philippines, Dec 2017

Megmilk Snow Brand Yogurt Drink

Megmilk Snow Brand: Shelf

life: 120 days.

Japan, Nov 2017

Examples of ambient yogurt launches in Asia


14

Examples of ambient yogurt launches in the Middle East

Creamy Yogurt With Apricot

And MangoCherry Yogurt

Sweetened Plain

Greek Style Yogurt

Lactalis: Heat treated fermented

cow's milk. Saudi, Jun 2017

Calidad Pascual: Pasteurized

yogurt after fermentation.

Jordan, Nov 2016

Calidad Pascual: Pasteurized

yogurt after fermentation.

Pakistan, Mar 2016


15

Examples of ambient yogurt launches in Africa

Danone: Can be stored without

refrigeration.

Ghana, Oct 2017

Yoginos Creamy Yogurt In Strawberry

And Raspberry Flavors

Ehrmann: Needs no

refrigeration.

Cameroon, Apr 2016

Fan Milk Fanmaxx Creamy Drinkable

Pasteurized Skimmed Yogurt

Elle And Vire Dairy Dessert With

Pineapple Fruit Pieces

Savencia: Heat-treated fermented

cow milk Morocco, Mar 2017


Focus group interviews conducted in China, Saudi Arabia, Pakistan and Kenya have

provided us with key insights on consumer preferences around ambient yogurt C

HIN

AK

EN

YA

City coverage: Shanghai, Beijing, Wuhan, Dezhou.

Sample size: Total N=180 (45 per city, 3 groups in each

city)

Objective: Evaluate the consumer interest of Long Shelf

Life Yoghurt with Fruit Cubes Consumed at Room

Temperature

City coverage: Pakistan (Lahore & Gujranwala), Saudi

Arabia (Jeddah & Tabuk)

Sample size: Total N=64

Objective: Understand general consumer preferences on

yogurt and evaluate 6 ambient concepts

City coverage: Nairobi, Mombasa and Kisumu

Sample size: Total N=187

Objective: Understand general consumer preferences

on yogurt and evaluate 3 ambient concepts

SA

UD

I A

RA

BIA

&

PA

KIS

TA

N

Click once on








Must adhere to the consumer preferences, specific to a

region

Must match the expected structure and sensory quality

requirements, compared to fresh fermented yogurt

Must keep consistent quality and stability over the

course of shelf life

Must reduce whey off tendency

Must ensure high texture and fast acidification

Success criteria for the development of ambient yogurt

With our GRINDSTED® Stabilisers, YO-MIX® Cultures and technical expertise combined,

we can help you develop a successful solution!

Click once on








18DUPONT CONFIDENTIAL

Sugar reduction

Healthy solutions(Digestive, Immune, Weight

management, Sports nutrition)

Lactose free solutions

Plant-based solutions

Cost optimization(SMP, protein or fat reduction)

Ethnic dairy solutions

Clean(er) labelling

Indulgence

DuPont Nutrition & Health is generally able to address all major current trends in

the dairy industry…

Click once on








Have a taste of our concepts!

19

Sweet Drinking Yogurt Premium Stirred Yogurt

Thank you for your attention!

DuPont Nutrition & Health.Delivers Value Far Beyond Products

Emulsifiers

Hydrocolloids

Antioxidants

Antimicrobials

Enzymes

Cultures

Probiotics

Proteins

Sweeteners

Fibers …

We use renewable raw materials to create food ingredients…

…that food manufacturers use to create safe, nutritious and healthy products

DuPont Nutrition & Health. It’s What’s InsideWhat we do

22

On the Web

food.dupont.com

danisco.com

On LinkedIn

linkedin.com/company/4943

DuPont Nutrition & Health. It’s What’s Inside.

Connect with us!

october 5, 2018 ambient yogurt an untapped potential · dupont nutrition & health october 5,...

Documents