Arnott’s win Reader’s Digest Most Trusted Biscuit Brand two years running.
Biscuits are important to the average Kiwi – we spend around $600 million on biscuits and crackers every single year, buying about 140m packets.
“Everyone loves a biscuit, and it is often the centre of everyday life – you know, a cup of tea and a biscuit,” says Arnott’s New Zealand Managing Director Mike Cullerne. “For many people, their favourite brands bring back happy memories and a nostalgic trip down memory lane,” he says.
There’s good reason for his cheerfulness – Arnott’s has just added a second Reader’s Digest Award in a row as New Zealand’s Most Trusted Biscuit Brand and the company has so much belief in Kiwis’ love of the humble biscuit that it has unveiled a multi-million-dollar innovation hub in Avondale, designed to further roll out the biscuit barrel to capture taste buds.
“It is pretty exciting to win this award for the second time in a row,” he says. “It’s quite an accolade. It shows what we’re doing resonates with our consumers, not just in terms of the quality and taste they get with every packet, but also in terms of what we’re doing in the local community.”
Cullerne is confident in the bold claim that the biscuit category has practically 100 per cent market penetration. Aside from having more than 70 different types of biscuits and crackers on the shelves of supermarkets and dairies across New Zealand, Arnott’s presence is evident in its work with organisations including Plunket (with the Dunk It For Plunket morning tea), KiwiHarvest Food Rescue, the Kindness Collective Foundation, as well as partnership with local suppliers like NZ icon Barker’s of Geraldine.
“Being a trusted brand means delivering what it says on the packet. It also means doing things locally, and that’s a major focus for Arnott’s,” explains Cullerne. “This year it’s even extended to getting involved with the One NZ Warriors with Arnott’s Shapes partnering as the team’s official snack partner, which is quite exciting – though it does mean the fingernails get a workover on a Sunday arvo.”
He believes the company has the right recipe for success (‘so to speak’, Cullerne grins), but says there is always room for innovation in the biscuit and cracker industry.
“That’s a focus of our Avondale facility, which opened up just last year. Unlike our other facilities which are designed with tunnel ovens and a high degree of automation, this one is set up a bit more like a traditional home kitchen.”
That’s significant because it enables the local Arnott’s operation to make smaller runs of biscuits, testing new recipes and new flavour combinations. “Tracking local customer trends, wants and needs is important. Obviously, we’ll always have our old classics and traditional favourites like Tim Tam or Monte Carlos, but there’s plenty of room for something new.”
While the 4000sq m facility isn’t exactly small, it is nimble and capable of producing ‘experimental’ biscuits. As a result, new products can hit the market faster – and, if customers approve, those products might just become tomorrow’s classic not only in New Zealand but across the ditch and further afield.
The inaugural products baked at the Avondale facility are Arnott’s Shortbread Bites, a new range of premium biscuits made with fruit from Barker’s. The melt-in-your-mouth shortbread range are batch-baked and come in three varieties - Black Doris Plum (made with Black Doris plum puree plus dark chocolate chips); Feijoa (made with sweet feijoa puree plus poppy seeds); and Mixed Berries (made with boysenberry & blackcurrant puree plus white chocolate chips).
“Another good recent example was our 180 degrees Brownie Snaps, a thin-baked brownie. We did a small run to try them out and, because we make those in batches, we can see what works and what doesn’t without having to set up a substantial production line with the associated cost,” Cullerne explains.
Bringing a biscuit to market is a fascinating process – one to which most customers probably give little attention. Cullerne is happy to provide insight: “We start by looking at trends and what consumers in supermarkets are buying – for example, gluten-free has emerged as a significant opportunity recently. Then we look at how we can deliver against that, working with our R&D and marketing teams for the right proposition, and foods that deliver against what consumers want.”
The teams work iteratively in product development, which soon involves gearing up manufacturing and distribution lines, and product placement on shelves around the country. “The launch is the cherry on top; we support that with our supermarket partners as well as advertising and using social media to let our consumers know we’ve made something they might enjoy.”
Being a trusted brand is important to Arnott’s, Cullerne stresses, because the company has a proud legacy of being there for Kiwis at their leisure or relaxation times and wants to be there into the future. “We’re part of everyday life. We get a lot of handwritten letters from consumers who love our brands and biscuits, often reminiscing about how the products were part of special moments and biting into a bikkie can bring back happy memories,” he says.
“We’re also aware that there are many brands out there in a really competitive market; that’s exciting and fun to be a part of. It keeps us on our toes to do right for our consumers.”
For more information visit arnotts.com/