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Tag Archives: Australia

Long live Smith’s chips: Short lived product line extensions, long term gains

13 Mar

Smith’s chips do it again, bringing out three brilliant product line extensions including new flavours of American pulled pork, Chinese Peking duck and Mexican burrito, with the tag line ‘take your tastebuds on a holiday.’

The flavours of the world range introduction came at perfect time to coincide with Chinese New Year of the Dog. And as it’s Easter in two weeks time, another perfect way to get the mind dreaming of better things to do! And eat! While chip traditionalists might call this crazy, the marketers of Smith’s are right on track with their long term strategy.

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The chip market in Australia was worth around A$872m in 2017 (IbisWorld, 2017). And it is dominated by two players: Smith’s and Snack Brands. Smith’s own brands including Red Rock Deli, Grain Waves, Doritos, Cheetos and Twisties to name a few. On the other side of the chip corner stands brands like good old Samboy, Thins, Cheezels, Natural and Kettle. Snack Brands Australia was bought by Philippines food company Universal Robina, delivering a big pay-out for a cleaver group of investors who bought the business from Arnott’s a few years before.

There is a large war in the chip isle, as the fight for your snacks is large. Back in 2011, Smith’s started with their 75% less saturated fat chip, and the healthy rollercoaster hasn’t stopped. We’ve seen introductions in different vegetables including beetroot, and the amazingly popular (and very scrumptious), sweet potato ranges due to changing consumer tastes. As well we’ve seen the growth and the demand for the premium chip. There are also gluten free and vegan ranges. Smaller players Tyrell’s is distinctively English and have differentiated themselves with old style packaging

Smith’s have been bringing out new and short lived product lines since 2003, when they teamed with big and well known brands to create Aussie flavours such as Bega Cheese, Heinz Big Red Tomato Sauce & Meat Pie, and Ham & Keen’s Mustard.

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Product line extensions are a perfect strategy for products such as chips where the growth of the category is very slow. It is predicted that the sector will only grow at 0.7% per year, and when you take into account Australia’s GDP being 2.5%, then this sector is underperforming.

So how do Smith’s and Snack Brands for that matter, maximize profits? By doing the un-natural thing and cannibalizing their own products by introducing product line extensions. Why would a brand do this you ask?

Bringing out short lived ranges of incredibly delicious and creative chip flavours is a great strategy to keep customers interested. It creates buzz and allows for perfect use of a seasonal chip introduction. And top that off with asking your consumers to create a flavour is even more engaging.

For example, to celebrate the footy finals, Smith’s launched Hot Wings that are buffalo wing flavoured. Doritos also now has their Blaze range, introduced during Super Bowl 2018. If you haven’t seen this TVC, watch it here. The rap battle between Peter Dinklage and Morgan Freeman is incredible.

The beginning of the Australian Summer at the end of 2017 saw the introduction of lamb and mint and Summer BBQ flavours. What a perfect way to sit back by the pool, or get out the cricket set and team that with chips!

Smith’s think tank and researchers obviously have THE best job in the world, and must have a great time designing new flavours, but they have also been smart and put them out to the public in competitions to allow their audiences to be involved and create new flavours. The top flavours have been voted on within social media, again creating hype and excitement. This has allowed for community building and connecting with consumers, as well as creating brand loyalty.

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Let’s go back in time and see some other fabulous things Smith’s have done (we can’t mention them all but share with us your favourite memories). In 2006, Flavours of the Commonwealth were launched to celebrate the Commonwealth Games being held in Melbourne.

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In 2008, comedians Hamish & Andy came out with the People’s chip.

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Smith’s have gone into this as a long term strategy, and while they may be cannibalizing their other chip varieties, it creates engagement and excitement, and bottom line profits. I don’t know about you, but I’m hungry for some chips. Long live the chip!

 

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QANTAS rocks

7 Jan

Everyone disses QANTAS. I LOVE Qantas. I just have to say that no other airline lounge gives you free everything. QANTAS staff are so friendly. So helpful. I’m sooooo proud to be Australian.

(My) Great Adventures

5 Dec
A Qantas Boeing 747 with the kangaroo livery o...

A Qantas Boeing 747 with the kangaroo livery on display. (Photo credit: Wikipedia)

This will be the first of many posts of My Wonderful Adventure: so be warned!

First stop Madrid… however this will not happen for another 30 or so hours, but hey, who’s counting when you have an upgrade to Premium Economy on the BNE-SIN leg. I’ll fill you in on if I get an upgrade from SIN-LON! Fingers crossed.

But I have to weave in some marketing magic and here it is! I am sitting in the Qantas Lounge at BNE International airport sipping on a glass of lovely champagne. Cheers!

I have to say, for all of the woeful press that Qantas get (and you can see my earlier blogpost on Qantas), I do love the flying Kangaroo. The staff have been nothing but pleasant, the food, ambience: wonderful. Brands are going to help my adventure to allow me to tell stories. To share. Brands also have wonderful adventures, wonderful changes and hurdles. It’s the brands that are there through thick and thin, through disasters, that stand up and be counted, that make us share stories about them. To allow them to intertwine into our lives. Great adventures are all around.

So this is the start of my great adventures. Apprehensive but ready for the challenge. If you are having adventures over Christmas – ENJOY.

Vivid Sydney

10 Jun Museum of Contemporary Art

My little sojourn to Sydney just recently was amazing.  I love visiting Sydney. She put on her best weather for me, with two sunny days after a week long of rainy and cold weather. And I hear it’s raining down there again today! The Harbour just glistened and winked: teasing me! No wonder The Sea Shepherd decided to dock the ‘Bob Barker’ and stay for some sunshine in order to undertake some repairs!  People mingled around the ship and the newly opened and renovated Museum of Contemporary Art. Even Will.i.am was part of the opening on the night before I arrived. He is Intel’s Director of Creative Innovation and ”played” his latest world-first interactive music and light collaboration on the façade of the refurbished MCA. Watch it here.

I was down for the X Media Lab conference and it happened to be in the amazing Opera House. And while the conference had an incredible and famous array of speakers, the thing that stole my heart was Vivid and it’s light show. The Sydney Opera House was alight when I walked out of my conference.  But then the MCA was bedazzled… yes, just sparkling. Customs House was amazing… Circular Quay and The Rocks areas were buzzing. Museum of Contemporary Art

Vivid Sydney is on from now until 11th June. If you can click on the link and try to get down to visit.

Saturday I spent exploring Newtown. I had recollections of it from over 15 years ago when I went to an academic conference, but the eclectic shops, people, smells and restaurants was another impressive display that Sydney put on for me. Even before my first coffee, I had seen a spaceman riding on a Pennyfarthing bike, served by a trans-gender in a store (and I learnt alot of new things from that young lady), and walked past a couple strolling down King Street dressed as if they were straight out of the 18th Century.

Keep impressing Sydney.

The Cricket Colonial

20 Dec

For the baby of four girls brought up in a central Queensland country town, watching Test cricket was THE most boring thing in the entire world. It was SOOOO slow, even grass grew quicker than what happened in the centre of the field. OK… I was too young to appreciate Dennis K Lillee’s hairy chest, gold chains and high pants, or Thomo’s amazingly fast, fire balls. I probably didn’t appreciate The Ashes battles but I certainly have grown to LOVE them now! My childhood cricketing heros

Then an amazing person called Kerry Packer (who also must have been bored) –but he was also thinking of how to financially capitalize on 20million Aussies being totally bored and introduced the white cricket ball. And the concept went worldwide.

With my nextdoor neighbours, we had THE XI of Jessie Street! We were THE guns! The first white cricket ball in the steet. Cricket then became exciting… not that I remember a lot but men in funny colours, quick one day games that drew the crowds back into the stands for some beers and bikinis! Yellow was not a flattering colour (unless you were Dennis K)!! hehe

So today I’m off to my first Twenty20 match. But what’s wrong with me? I’m not excited. In fact, I’m a little apprehensive. I now have grown into a Test girl… yes, a girl who likes cricket, loves the 1st day of the 1st test at The Gabba. For those reading  & scratching their heads.. The Gabba stands for Wooloongabba (yes it’s spelt that way! A suburb in inner Brisbane, sunny Queensland, Australia. And a bit more trivia for those playing at home.. juts around the corner from the recording studios where Powderfinger started jamming about 20 years ago).

One day games, fine… and my dear Dad’s Xmas present (again) are One Day tickets for next year. I’m even taking my 14 year old girls today, and you guessed it, they are NOT impressed! They didn’t like One Day-ers!

But I am not a fan of the Big Bash games. I haven’t been to one… but the idea of smashing the ball to Kingdom Come (where is that place)?? Just doesn’t excite me.

I have read many a cricketing newspaper article about how this has destroyed the game. I realize and understand that you can’t be everything to everyone, and maybe that was the hardest thing for the cricketing lads to work out. They didn’t have to be in ‘every’ team to be a success. But maybe this game has brought the crowds back. Created excitement where no excitement was, says Yoda. There was a great article in The Aust Financial Review Magazine, Summer 2011. http://www.afr.com/afrmagazine 

That’s what marketing is all about isn’t it? Cricket Australia have seemed to created a war between the States, put sexy back with cool names, including Melbourne Stars (a bit gay), Sydney 6ers and Thunder (don’t mind those), Brisbane Heat (sexy), Hobart Hurricanes, Adelaide strikers, Perth Scorchers and Melbourne Renegades (bit American). And funky coloured outfitting!

Well… I’m sure that my girls’ and my experience will a fun one tonight …  I’m not a Shane Warne fan, but I am looking forward to seeing his facelift debacle and you can’t deny it, seeing him bowl in such a game like this will be fantastic!! Stay tuned! I’m a little bit excited now! 

Will the woes ever end for Qantas?

22 Nov

Fail

Oh dear… poor Qantas. Can they do anything right at the moment?

It seems that not many people are feeling sorry for the airline but rather smashing it on social media. OK, what were the QF social media team thinking with the Radike Samo black face prank, and now this competition offering the ‘amazing’ prize of an amenity pack and our famous PJs? PJs!!!! Puhleease Qantas…. what were you thinking?

My only concern is that Qantas will end up like Ansett and be something that we remember fondly. A distant memory, that nostalgic and feeling of warmth that we felt when we looked to the skies to see the red flying Kangaroo, especially when we were overseas. Don’t let Qantas and the flying kangaroo become extinct.

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