Brand Packaging July 2011

JUL11 www.brandpackaging.com

OCTOBER 6-7, 2011 PackagingThatSells.com

NEUROSCIENCE EXPLAINS THE

BUY >

PLUS: COCA-COLA. 125 YEARS YOUNG.

makers of food-loving, flavor-preserving glass packaging

CHEFS KNOW GLASS IS A TRUE FOOD LOVER. “Everything begins with taste,” says chef Geir Skeie. “Nothing should interfere with that experience.” That’s why the Bocuse d’Or winner prefers glass for his preserved foods. “Glass is inert. It doesn’t transfer any flavor to my ingredients or to the finished dish. Only the food speaks.” GlassIsLife.com

JUL11

CONTENTS Volume 15 > Number 05

16

NEUROSCIENCE EXPLAINS THE EMOTIONAL BUY How brands like Gerber and Chips Ahoy! are using neuroscience to study shopper emotions, understand purchase motivations and improve their package designs.

26

BRAND (re)NEW > DR. PEPPER SNAPPLE GROUP’S SINGLE-SERVE BOTTLE The beverage company creates a consumer-preferred, proprietary bottle.

28

TALKBACK > THE END OF OIL-BASED PLASTIC? With Coca-Cola widely rolling out its PlantBottle, and Pepsi testing a 100 percent plant-based bottle, we asked three industry experts for their thoughts.

30

125 YEARS YOUNG: COKE LOOKS FORWARD Checking in on CEO Muhtar Kent's '2020 vision' and the company's Venturing and Emerging Brands unit.

DEPARTMENTS 06 EDITORIAL 10

NEXT+ NOW

36

JUST OUT

38

THE BOTTOM LINE > THE ROI OF DEBBIE & ANDREW’S REDESIGN

> LOOKING FOR MORE ON A TOPIC? go to www.brandpackaging.com

JUL11

www.brandpackaging.com

05

CONTINUITY AND CHANGE

>

editor-in-chief PAULINE HAMMERBECK [email protected] associate editor JENNIFER WELBEL [email protected] contributing editor KATE BERTRAND CONNOLLY art director CHRISTOPHER PIRRONE

>

ADVISORY BOARD

PAULINE HAMMERBECK EDITOR IN CHIEF [email protected] twitter: @phammerbeck

T

he big branding news this summer has likely been the 125th anniversary of Coca-Cola. It’s hard to imagine any other brand that can claim its global impact: “Coke” is the world’s second most-widely understood term (“Ok” is the first) and the company’s distribution system reaches nearly unreachable corners of the world (a sharp nonprofit is even trying to tap that network by inserting aid products into crates of CocaCola delivered to remote African villages, www.colalife.org).

principal, Brandimage, Desgrippes and laga HOWARD ALPORT chairman, pratt inst. graduate school of package design DON ARIEV president/ceo, brandscope GARY CHIAPPETTA president, the consumer research network, inc. MONA DOYLE principal of integrale GRETCHEN GOGESCH vice dean and director, undergraduate division, the wharton school BARBARA E. KAHN dean lindsay design DEAN LINDSAY chairman, department of food marketing, st. joseph’s university JOHN B. LORD, PH.D. president, source/inc. WILLIAM J. O’CONNOR

Of course, this all isn’t something you can quantify. But company CEO Muhtar Kent said it well when he told those gathered at Atlanta headquarters for the big celebration, “Coca-Cola is more than just a drink. It’s an idea…a vision…a feeling…one of the truly common threads that actually bond the world together.”

jft studios FRANK TOBOLSKI assistant professor, school of packaging, michigan state university DIANA TWEDE, PH.D. director, food & brand lab,university of illinois BRIAN WANSINK, PH.D.

>

ADVERTISING group publisher: packaging group, MIKE BARR (630) 801-4152 [email protected] associate publisher, SAM WILSON (847) 405-4075 [email protected] senior development manager, SENNA M. SHEHADEH (248) 227-1029 [email protected] advertising/production manager, JEFF BAGWELL (248) 244-6481 [email protected]

>

BNP CUSTOM MEDIA GROUP business development manager, CHRISTOPHER WILSON (248) 244-8264 [email protected]

>

AUDIENCE DEVELOPMENT audience development manager PEGGY PEREZ multimedia coordinator STACEY NOOCHA audience audit coordinator CAROLYN M. ALEXANDER for subscription information or service, please contact Customer Service at: Phone: (847) 763-9534 Fax: (847) 763-9538 E-mail: [email protected] www.brandpackaging.com

>

LIST RENTAL postal contact KEVIN COLLOPY 800-223-2194 x684 [email protected] email contact MICHAEL COSTANTINO 800-223-2194 x748 [email protected]

>

CORPORATE DIRECTORS publishing TIMOTHY A. FAUSCH publishing JOHN R. SCHREI corporate strategy RITA M. FOUMIA marketing ARIANE CLAIRE production VINCENT M. MICONI finance LISA L. PAULUS creative MICHAEL T. POWELL directories NIKKI SMITH human resources MARLENE J. WITTHOFT conferences & events EMILY PATTEN clear seas research BETH A. SUROWIEC

Coca-Cola can also claim dominance in our slice of life. Is there anything more iconic, more readily identifiable, than the Coca-Cola contour bottle? For some, it would be easy to rest on that heritage. But not Coca-Cola. The brand has been living a hybrid reality of continuity and progress for more than a century—and it’s something we’ve seen more dramatically in recent years with new packaging formats and an altered identity that scrapped graphic soda conventions like drops of water for a focus on the brand’s core: the classic Spencerian script and “Coke red.” And then there’s the brand’s “Open Happiness” campaign, which, essentially has expanded the idea of enjoying a Coke into a meaningful, memory-making moment. Genius! So while we celebrate the brand’s impact on packaging, design, marketing and — it’s no overstatement — the world, we also look to the future with a check-in on CEO Muhtar Kent’s vision for 2020 and the company’s Venturing and Emerging Brands unit, which is charged with finding and developing the next big thing. Coke has certainly been that over the last 125 years — it will be interesting to see what the next century brings. BP

OCTOBER 6-7, 2011 W Chicago–City Center PackagingThatSells.com > HOW TO CONTACT BRANDPACKAGING PHONE (847) 405-4000 FAX (847) 405-4100 MAIL 155 pfingsten rd., suite 205, deerfield, il 60015

INTERNET http://www.brandpackaging.com

BRANDPACKAGING (ISSN 1558-3570) is published 8 times annually, Jan/Feb, Mar, Apr, May/Jun, Jul, Aug, Sep/Oct and Nov by BNP Media II, L.L.C., 2401 W. Big Beaver Rd., Suite 700, Troy, MI 48084-3333. Telephone: (248) 362-3700, Fax: (248) 362-0317. No charge for subscriptions to qualified individuals. Annual rate for subscriptions to nonqualified individuals in the U.S.A.: $115.00 USD. Annual rate for subscriptions to nonqualified individuals in Canada: $149.00 USD (includes GST & postage); all other countries: $165.00 (int’l mail) payable in U.S. funds. Printed in the U.S.A. Copyright 2011, by BNP Media II, L.L.C. All rights reserved. The contents of this publication may not be reproduced in whole or in part without the consent of the publisher. The publisher is not responsible for product claims and representations. Periodicals Postage Paid at Troy, MI and at additional mailing offices. POSTMASTER: Send address changes to: BRANDPACKAGING, P.O. Box 1080, Skokie, IL 60076. CHANGE OF ADDRESS: Send old address label along with new address to BRANDPACKAGING, P.O. Box 1080, Skokie, IL 60076. CANADA POST: Publications Mail Agreement #40612608. GST account: 131263923. Send returns (Canada) to Pitney Bowes, P.O.Box 25542, London, ON, N6C 6B2. FOR SINGLE COPIES OR BACK ISSUES: contact Ann Kalb at (248) 244-6499 or [email protected].

06

www.brandpackaging.com

BNP MEDIA HELPS PEOPLE SUCCEED IN BUSINESS WITH SUPERIOR INFORMATION volume reprints contact: reprint sales manager JILL L. DEVRIES Phone: 248-244-1726 Fax: 248-244-3934 E-mail: [email protected]

JUL11

ADVERTORIAL

Closing the When Packaging Matters >> by Erika Flynn

LOOP ™

W

hat if you knew that more than one billion water and soft drink bottles had been diverted from landfills and converted into packaging that could make your product stand out on-shelf? And what if you were told this same packaging offers greater clarity, improved functionality, top-notch seals and closures, and sells more products? Would you want to continue the conversation?

SUSTAINABLE PACKAGING EcoStar® packaging from Placon Corporation is RPET made from up to 100% post-consumer bottles and thermoforms. As one of the first thermoformers to produce plastic packaging from recycled materials, the company continues to prove its leadership in the industry, now with nearly 20 years of experience working with post-consumer recycled PET. In May, the company opened the doors of its new 70,000-square-foot EcoStar® closed-loop recycling facility, becoming one of the first thermoforming companies in the food and consumer packaging industry to implement its own in-house recycling facility to process post-consumer bottles as well as thermoforms. EcoStar® recycled PET products include utility flake, LNO (letter of non-object) flake for food packaging, and sheet products for the food and consumer products markets.

Because of vertical integration within the company’s Midwest facility, EcoStar® materials minimize the total carbon footprint, according to Jennifer Mitchell, marketing communications manager for the company, from primarily sourcing bottles throughout the Midwest to streamlining local and regional operations at every step of the process. “We’re taking everything that’s collected from curbside recycling and bringing it back in to grind, wash and process it through our system into flake and roll stock materials,” says Mitchell. “Companies buying thermoforms from Placon are getting a complete vertically integrated process back a step earlier than other thermoformers.” Being able to control the entire process, she adds, enables Placon to control both its supply and the products’ quality. According to Mitchell, new equipment within the EcoStar® facility has unique capabilities that enable the production of 100% post-consumer recycled PET for food packaging. “Many times when you have recycled content, a virgin layer has to be what is touching the actual food,” she says. “But with the decontamination process this material goes through, it is approved for food contact.” Dimensions Bakery packaging is now also available from the company, which is a complete line of bakery containers that, along with using up to 100% post-consumer recycled content, it also provides exceptional clarity to promote in-store sales. According to the company, the line provides retailers with “a way to address environmental concerns without sacrificing packaging integrity, freshness or appearance.” The PET material and secure perimeter snap on the packaging keeps it closed and the product safe from store to home.

CONSUMER PACKAGING CREDENTIALS Consumer packaged goods customers are recognizing Placon as a launch partner early on in their new program initiatives, and Placon has an internal team of professionals in place that serves as an integral part of any customer’s product launch. Working to meet both customer and industry requirements, this team

of commercial, design and program management professionals concentrates on developing right-sizing options, recycled content and “smart” solutions that link environmental sustainability with design impact. “Besides delivering a package that encourages customer interaction with your product, we’re attuned to the delivery, distribution and merchandising requirements of mass merchandisers,” says Mitchell. “Keeping an eye on the constantly evolving requirements of mass retailers and environmental standards means we offer a knowledgeable partnership that helps make your job easier.” Whether food items or retail product packaging, Mitchell adds that keeping products visible to consumers is key. “We all know it promotes more sales when people can see what they’re buying,” she says. “Being able to see any product clearly will generate more sales than something that’s sitting behind a closed cardboard box. We have the ability to color trays or anything a customer would want, but the majority of everything we make is clear packaging for store shelves.” Q

www.placon.com • www.ecostarplastics.com 800-541-1535

>

innovation W H E N PA C K A G I N G M AT T E R S .

>

You don’t need just any package for your product, you need the right one. Choose Placon as your thermoform packaging partner when design, experience and the environment matters. You’ll receive unparalleled service and unique solutions for even the most challenging packaging project. Don’t settle for anything less than the best solution. We’ll help you find it. Placon. When Packaging Matters.

your

800-541-1535 | www.placon.com

+NOW

NEXT NIKE (MAKES POSTER) FREE

Nike has put packaging at the center of a global campaign for Nike FREE, a line of shoes meant to simulate barefoot running. A promotional wrap that “celebrates the individual” has been created for the shoeboxes to highlight the footwear’s positioning for everyday athletes. Though it surrounds the box, the wrap maintains the same production parameters as the conventional shoebox and serves as a keepsake poster—a way to reinforce the alternate meaning of “free” in Nike FREE. (Campaign creative: Hybrid Design, www.hybrid-design. com; creative director Dora Drimalas; design director Caleb Kozlowski; design Sumila Mehta.)

LIVING OFF FOOD WASTE In America, even the dumpsters are filled with food. That’s a line from a documentary called Dive!, which follows director Jeremy Seifert and friends as they sift through the garbage receptacles of Los Angeles supermarkets to salvage thousands of dollars worth of edible food. The fi lm sheds a spotlight on the problem of food waste and serves as a call to action: The director hopes to empower individuals to reduce their own waste and to press grocery stores and the foodservice industry to fi nd alternate means of disposing expired, blemished or uneaten prepared foods. The unasked question, of course, is ‘how can packaging take on a bigger role in all of this.’ (Dive! The Film: Living Off America’s Waste, www.divethefi lm.com)

6-PACK FOR YOUR SIX PACK Heineken has partnered with fashion retailer Union LA and six culture blogs in a t-shirt collaboration that takes packaging to a new level. The Heineken x Union LA tees are each shrink wrapped into the form of a Heineken beer bottle, then placed in a six-pack carrier. The limited-edition concept is exclusive to members of the beer brand’s Heineken 100 project, an “insider’s club” made up of 100 of the brand’s greatest fans.

10

www.brandpackaging.com

JUL11 JU

Packaging. Processing. Powerful.

Package design and branding, all wrapped up. At PACK EXPO Las Vegas you’ll find everything you need to put your idea into consumers’ hands. Don’t miss the expanded Brand Zone, featuring innovative containers, materials and package designs: s The latest advances in glass, plastic, metal and paperboard packaging, decorating, printing and re-sealable technologies. s The Showcase of Packaging Innovations®, sponsored by The Dow Chemical Company. s PACK EXPO Selects™ awards for best consumer packaging. Don’t miss the largest packaging and processing show in North America. Register Today! www.packexpo.com/brandzone

PACK EXPO Las Vegas 2011

P R O D U C E D B Y:

September 26-28, 2011 Las Vegas Convention Center Las Vegas, Nevada USA

CO-LOCATED WITH: C

+NOW

NEXT

PACKAGING-FREE GROCERY STORE America’s first no-packaging grocery store is coming to Austin. The store, named in.gredients, asks shoppers to bring their own containers to shop for everything from dry bulk foods and dairy to wine and household cleaners. The new store will feature predominantly local and organic foods; the founders claim that out-ofseason produce and processed foods contribute to unhealthy eating and energy waste. “Truth be told, what’s normal in the grocery business isn’t healthy for consumers or the environment,” says in.gredients co-founder Christian Lane.

in.gredients co-founders, Christian & Joseph Lane

NO PREP? NO FRIDGE? GOPICNIC.

A unique take on the meal kit trend, Go Picnic provides ready-to-eat meals that have the added convenience of being shelf-stable. The company’s initial customers were major US airlines wrestling with waste and customer service issues from their “buy on board” fresh food programs. Recognizing the broader benefits of pre-packed “picnic” meals, the company expanded its offerings to consumers, retailers, hotels and airports. The kits — sized to fit totes and briefcases for on the go convenience — come in eight varieties and retail for $4.99.

PAINT MADE FROM RECYCLED PET Sherwin-Williams has received the EPA’s Presidential Green Chemistry Challenge Award for a first-of-its-kind paint, which uses soybean oil and recycled PET bottles to cut air pollutants (known as volatile organic compounds) by 60 percent. The new paint formula, found in multiple SherwinWilliams brands, is said to have reduced 800,000 pounds of VOC emissions in 2010. The $7.7 billioncompany says that it’s supporting the recycling of multi-million pounds of PET each year with this new formulation.

12

www.brandpackaging.com

JUL11

transparentcontainer.com/impulse1

We make these seconds count. You need to get noticed, give her the information she needs, fit her expectations of the brand and compel her to purchase. With the right packaging, the impulse buy happens in a matter of seconds. But before your product gets into her hands, it has to work in your marketing plan, in your boardroom and on your production line. It has to meet retail demands and it has to work on your balance sheet. We know, and that’s why our packaging solutions take brands from design to manufacturing to the shelf and into the cart. Make every second count on your next packaging project. Call us at 888-449-8520.

ADVERTORIAL

SFI – AN EYE ON THE BIGGER PICTURE BY KATHY ABUSOW President and CEO, Sustainable Forestry Initiative

The Sustainable Forestry Initiative® (SFI®) on-product label stands for responsible forest management. But that’s just the starting point. We have a bigger picture at SFI — a picture that embraces conservation, integrity and community. No other third-party forest certification program in North America can match this broad perspective. We start with a rigorous third-party forest certification standard, and build on it so we can accomplish more in the forest, in communities and in the marketplace. We are entrusted with a responsibility we take very seriously. We are the only forest certification program in North America requiring that participants support forest research. The only program that makes sure forest landowners have access to the knowledge and training they need to manage forestlands in a responsible way. Our unique Conservation and Community Partnerships Grant Program is building knowledge, strengthening global supply chains and showing landowners how they can manage forests to enhance wildlife habitat. SFI Inc. has committed $1.1 million to 24 projects to date, and contributions by partners have raised the value to $4.2 million. Our partnerships also help to build strong communities through support for organizations such as Habitat for Humanity. When you specify paperboard packaging from a company with SFI chain-of-custody certification or certified sourcing, you are telling your customers you care about forests and communities. The SFI program may have earned international respect but our roots will always be deep in North American communities — addressing their needs and gaining insight from their knowledge. We also appreciate that the SFI program is part of a bigger picture — that third-party forest certification is just one element of your own corporate responsibility commitments. The SFI label tells your customers a lot about your company’s values. It tells them you are saying yes to responsible forestry, to conservation research, to community outreach, and more.T Kathy Abusow is President and CEO of Sustainable Forestry Initiative Inc. (www.sfiprogram.org), an independent non-profit organization that is responsible for the internationally recognized SFI program. Across North America, more than 180 million acres/ 74 million hectares are certified to the SFI forest management standard, making it the largest single forest standard in the world. SFI Inc. is governed by a three-chamber board of directors representing environmental, social and economic sectors equally.

The SFI program is growing rapidly — we manage the world’s largest single forest certification standard and have 1,000 chain-ofcustody certifications at close to 2,500 certified locations. Our on-product label is recognized across the United States and Canada, and organizations in 23 countries are certified to the SFI standard so our fiber is found in packaging around the world. Learn more at SFIprogram.org

SUPPORT

RESPONSIBLE

FORESTRY.

When you consider that only 10% of the world’s forests are certified, we have a long way to go. The good news is that there are a number of credible forest certification programs. And each one, including SFI, encourages responsible forestry. When you buy or source SFI-labeled paper, packaging or wood products, you increase demand for responsibly managed forests. So look for the SFI label, and source wisely. For more on forest certification and what you can do, visit www.sfiprogram.org.

NEUROSCIENCE EXPLAINS THE

BUY By Scott Young

H 16

ow brands like Gerber and Chips Ahoy! are using neuroscience to study shopper emotions, understand purchase motivations and improve their package designs.

www.brandpackaging.com

JUL11

JUL11

www.brandpackaging.com

17

F

ew would dispute that emotion plays an important role in packaging. In a world of overwhelming choice, with hundreds of products in each category, shoppers simply don’t have time to consider all the options and can’t rely

solely on rational, fact-based product comparisons. Instead, they sort through items quickly—and the packages that “break through” and make an immediate connection are most likely to end up in the shopping cart.

That’s why we’ve partnered with EmSense, a neuromarketing firm, to bring the study of emotions and cognition to package research. Without question, neuroscience represents a promising new research tool, which may offer a window to a greater We analyze neuroscience data with a very simple framework. EEG understanding of shoppers’ motivations and, readings are considered along two critical dimensions—emotions ultimately, a path to better packaging. By looking (positive or negative) and cognition (the amount of thought)—and at EEG readings that reveal emotions (positive four response/reaction types: unengaged, confusion, interest and or negative feelings) and cognition (the amount easy enjoyment. of thought), marketers and designers can use neuroscience as a diagnostic tool and a source of design inspiration. And by linking these measures to our eye-tracking data, we’re able to help them develop packaging that engages shoppers, makes an emotional connection and, ultimately, drives sales.

30

WHAT WE MEASURE

Interest

Frustration

Anticipation

Attempting to figure out element

New, relevant information

Unengaged

Easy Enjoyment

Checked out

Pleasant, familiar

Uninterested, no new information

Appealing, but not new information

10 -10

0

For Gerber baby products, we used neuroscience in pre-design research to get a baseline assessment of the brand’s existing packaging. We wanted to confi rm its strengths and limitations against the competition and identify opportunities for improvement.

-30

-20

Cognitive Response

20

Confusion

-30

-20

-10

0

10

20

30

Emotional Response

Generally speaking, marketers and designers would like to see their packages fall in the “interest” quadrant (with positive emotion and high cognitive engagement). However, we’ve found that many successful packs, particularly for CPG products, fall into the “easy enjoyment” quadrant, suggesting that they serve as positive, comforting reminders of familiar brands, without demanding significant thought. The more concerning examples are those that drive confusion (high cognition and negative emotion), which often ties to frustration or direct rejection of a package.

18

www.brandpackaging.com

As might be expected, the study reinforced the power of the familiar Gerber branding and baby visual. But the research also uncovered negative emotional reactions to various graphic elements, including the visual icon intended to convey baby stages, the benefit bands and less-prominent health claims. These reactions suggest either confusion in interpretation and/or difficulty reading smaller print. Taken collectively, they spoke to a need to “clean up” and simplify the packs, to make them more accessible to shoppers. We have also used neuroscience to help fi lter potential design directions for a new ownbrand of food products from a major retailer. We found that, while a scripted logo treatment for this new brand was visually impactful, it was far less emotionally engaging to shoppers than a more traditional style. Similarly, a more concise product depiction was more cognitively engaging and emotionally positive than more extensive approaches. These insights guided the development of the packaging and brand identity that were later launched to market.

JUL11

Pure. Simple. Perfectly protected. At xpedx, we extend design strategy beyond the physical package, by helping you find smarter ways to market your products and generate profitable sales — concept to production, distribution to consumption. We call it Packaging ExpertiseSM: Bundling together innovations in design, materials, equipment, workflow and logistics to lower costs, improve quality, promote sustainability and optimize the supply chain.

Are you prepared to go to market? Call 513 248-7858 or e-mail [email protected] today for a Packaging ExpertiseSM Kit

xpedx, an International Paper Company © 2011

xpedx.com

Neuroscience has also been helpful for larger, on-shelf evaluations. When we worked on a new packaging system for Chips Ahoy!, we gathered shoppers’ emotional and cognitive reactions to both the current and proposed design systems. While the proposed system met many of Kraft Foods’ primary design objectives for the brand, neuroscience research revealed several opportunities for enhancement.

+ Pre-design research revealed negative emotional reactions (indicated in red on the image above, right) to the visual icons indented to convey baby stages, and to less-than-prominent

For instance, resealability health claims. was known to be a valued feature, but the resealability claim itself was driving negative emotional reactions; it was too jarring on the current packaging and too difficult to read on the proposed. The cookie visual on the proposed packaging was also problematic. Despite its prominence, it didn’t appear to be effective because it only drew neutral reactions. These insights led to significant refinements to both design elements prior to launch. The resealability tab was made more legible, while the cookie visual was given more energy with flying chips visuals. Of course, neuroscience can do more than identify the design elements that are inadvertently driving negative reactions. It has another role in helping us understand why

GETTING THE DATA So, how do we actually measure and analyze shoppers’ emotional responses to packaging? Through an unobtrusive headset that gathers their EEG readings (i.e., brainwaves). By linking these readings directly to eyetracking data, we are able to know exactly what a person was viewing when we measured their neurological responses. The practice eliminates reliance on shoppers’ claimed feelings or behaviors, which can be difficult to accurately gauge or express— people often don’t know exactly how and why they made certain decisions.

20

a design isn’t working—to discern the underlying factors driving poor performance. For instance, in a personal care product study, we conducted an on-shelf shopping exercise which revealed that a proposed design system was not working. Neuroscience suggested that the changes in cap color and on-pack messaging were the likely drivers. In a frozen food study, a proposed design system tested poorly; we found that removing a familiar brand character from the packaging had a negative emotional impact. In a cereal study, neuroscience measures uncovered that a brand’s current packaging was not connecting emotionally with shoppers and was the probable driver of recent sales declines. In these case and others, the pattern is clear: On-shelf measures (purchase patterns, etc.) tell us which packaging systems are working and neuroscience measures (among others) help us uncover why. And while it’s best to be cautious in generalizing across brands and categories, we have seen several consistent drivers of negative emotion toward a packaging system. Take, complexity. Negative reactions appear to be linked to instances when shoppers are being asked to work “too hard” to decipher packaging (usually due to small print or unclear messaging). We also know that it’s critical to get the food visuals right, as slight changes can have a significant impact. For example, we’ve found that something as seemingly minor as omitting the rising steam from a hot entrée visual or not properly executing the “cheese pull” on a frozen pizza

www.brandpackaging.com

JUL11

drove negative emotional reactions toward packages. In addition to identifying which elements need to be fi xed, and why, neuroscience can often help us uncover alternative approaches (more appetizing food visuals, more relevant claim treatments, etc.) that were more compelling—and were ultimately incorporated into new packaging. Of course, we are still in the early stages of using neuroscience in packaging research and we have many issues to explore, including the differences in emotional reactions across product categories and cultures; the role of context versus universal approaches; and the link between emotion and purchase decisions. However, based on our experience, we can offer several guidelines to

“Neuroscience can do more than identify the design elements that are inadvertently driving negative reactions. It can help to discern the underlying factors driving poor performance.”

Southern Film Extruders is a Solution Focused Enterprise

marketers and designers for getting the most value from neuroscience research. First and foremost, researchers should use neuroscience in conjunction with other packaging research tools, rather than as a replacement for them. It’s also important to avoid thinking in terms of absolute measurement (i.e., the most “emotional” design). Instead, the focus should be on understanding reactions to design elements and using this learning to optimize packaging. Finally, neuroscience insights are most valuable if they are gathered early in the design process rather than at the end of the process, when the primary objective is to validate and there is less opportunity to make fundamental changes. When marketers and designers use neuroscience in this way, they can develop packaging that resonates emotionally and also performs effectively on shelf

6ROXWLRQV0RUHWKDQÀOP6RXWKHUQ Film Extruders customers are looking for sustainability based solutions. And that’s what we deliver. We strive to help our customers achieve their sustainability goals by recycling our own postindustrial products, down gauging, and using modern day resin blends. In fact, many of the LQQRYDWLRQVZHPDNHLQÀOPIRUPXODWLRQVFRPH IURPDGHVLUHWRPDNHWKHPRVWHIÀFLHQWXVHRIUDZ materials. )RUÀOPVWKDWDFKLHYHWKHSHUIRUPDQFHQHHGHGWR EULQJ\RXUSURGXFWVWRPDUNHWORRNWR6)(7HOO\RXU SDFNDJHVXSSOLHUWRFRQWDFWXVWRGD\ VRXWKHUQÀOPFRPRUVDOHV#VRXWKHUQÀOPFRP

'IVXM½IHQMRSVMX]S[RIH  4VMQI*(%ETTVSZIHVIWMRW

JUL11

www.brandpackaging.com

21

ORIGINAL VERSION

+

LAUNCHED VERSION

Neuroscience insights led to signifi cant refinements in the new Chips Ahoy! packaging — and resulted in an improved version being launched into market.

(ensuring visibility and shoppability, which we’ve long known are the keys to driving purchase). Without question, neuroscience is very promising. It has the potential to be a powerful diagnostic tool that uncovers shopper reactions to specific package design elements, identifies why they’re not working and suggests compelling alternative approaches. By understanding the “why” behind shopper emotions toward packaging, neuroscience can help brands make stronger connections and, ideally, drive more sales. BP

22

Scott Young is president of Perception Research Services, International (www.prsresearch.com), a company that conducts more than 800 consumer research studies annually to help marketers win at retail. Scott can be reached at [email protected] or 201.346.1600. WHERE TO GO FOR MORE INFORMATION… NEUROSCIENCE RESEARCH

EmSense, www.emsense.com

www.brandpackaging.com

JUL11

ADVERTORIAL

Packaging the by Erika Flynn

Expertise

A

n executive at xpedx recently commented, “My biggest challenge is getting customers to think about their product packaging not just in terms of its physical design, but rather as an evolving end-to-end process that affects many touch points throughout the supply chain.” As a division of International Paper, xpedx has teams of packaging experts across eight design centers in the U.S. who each day embrace the discipline of Packaging ExpertiseSM to bring success stories to life for its broad global base of customers.

Orchestrated Solutions Notes Kevin Southwick, an xpedx package design center manager, Packaging Expertise starts with the initial design brief and ends with distribution at the final destination. It is an orchestrated activity, encompassing many areas of specialization, from design services, production line automation and sustainable production and processes, to custom services and supply chain expertise.

Business Growth Through Packaging Expertise Every enterprise has unique business objectives, yet Packaging Expertise from xpedx has proven itself as a universal conduit to achieving measurable results. “Everyone, from the art director, the graphic designers, the structural engineers and the supply

chain specialists, will interface with each client to extract the information they need to be successful,” says Southwick. Packaging, he adds, can benefit virtually every aspect of a business, bringing positive impact to cost reduction, production efficiency, sustainability, as well as marketing and brand initiatives. The innovative thinking behind Packaging Expertise at xpedx transcends design, materials, equipment, workflow and logistics to enhance a company’s performance. It can be as incremental as a new approach to load containment prior to shipping, or as dramatic as reconfiguring entire product packaging to cut costs, reduce its carbon footprint and enhance shelf appeal.

Differentiated Design The design centers at xpedx function on three levels, Southwick says. They create conceptual and production-ready structural and graphic designs (including prototypes); they function as field-level consultants; and finally, serve as a merchandising and procurement entity “to ensure we’re getting the best cost for our clients from our very large supply chain.”

Southwick's team functions as an ad agency on the front end because of its capabilities to create both conceptual graphics and structural designs. “And we can build a very capable bridge to our clients, regardless of what size or how they operate,” he says. Any client will interact with several members of his team on any given project. He adds that design center specialists offer their clients the "entire spread of possibilities” in terms of packaging and printing, from temporary to permanent programs, P-O-P displays, to any type of flexible or fiber-based packaging. “That is one way we differentiate ourselves in the marketplace.”

Structural Proficiency and Insight While packaging structure may not be as glamorous as design, it touches every opportunity across multiple material categories, allowing for SKU reduction, detailed 3D design work, or performance improvement. Design engineers at xpedx create innovative packaging solutions utilizing molded and wire-cut foam, fiber-based containers including corrugated and honeycomb, as well as flexible packaging with film lamination and eye-catching graphics on shrink film, labels and bands. One of the company's biggest selling points, Southwick notes, is being material neutral. “We’ll design to any material or substrate that fits the design solution. We are

able to roll up a myriad components into one entity, packaging together the right staff, the right software and the right capabilities.”

Cost-Effective Solutions for Today and Tomorrow xpedx designers create the optimal solution with cost savings being a driving factor. The company may be asked to re-create an existing package and look for opportunities within material- and cost-reduction. In other cases, it goes deeper and gets into highend audits or process profiles to identify ways to reduce materials, lower cost, enhance throughput and productivity and be more sustainable. What’s more, there’s no translation needed in terms of what Southwick calls “the arcane language” associated with all the channels a typical project has to go through. “We speak the language of design and production across all of those materials and prep methods, and that enables xpedx to manage the entire process.” Q

[email protected] 513-248-7858

T N E N I Re Y

R E V E HING T

10/06/11 - 10/07/11 W CHICAGO – CITY CENTER

YOUR 2011 MUST-ATTEND EVENT PACKAGING THAT SELLS bridges package design with brand strategy and real-world examples of the powerful influence packaging has on consumer buying decisions. This conference is the go-to source for insights, inspiration, connection-making opportunities and superior education for brand marketers and their package design and development teams.

SPONSORS

COMPREHENSIVE PROGRAM:

2

DYNAMIC KEYNOTE PRESENTATIONS

8

INSIGHTFUL SESSIONS FROM TOP INNOVATORS

6

23%

11%

MARKETING

56% CREATIVE SERVICES & BRAND/ PACKAGING DESIGN

HOURS BUILT INTO THE PROGRAM TO ENGAGE WITH INDUSTRY EXPERTS AS WELL AS YOUR PEERS

PACKAGING DEVELOPMENT / NEW PRODUCT DEVELOPMENT

6% OTHER

ATTENDEE BY JOB FUNCTION

4% MANAGEMENT

REGISTRATION RATES: Early Bird: $1195* Standard Registration: $1495 Group Discount: BUY TWO, GET ONE FREE

*

$300 SAVINGS expires july 31

INSPIRING TALKS FROM HOT BRANDS

Learn How to Leverage Your Brand in Front of Your Target Audience, Contact • Senna Shehadeh Sr. Development Mgr. 248.227.1029 [email protected]

• Sam Wilson Associate Publisher 847.405.4075 [email protected]

• Mike Barr Group Publisher 630.801.4152 [email protected]

www.PackagingThatSells.com

BRAND (re)NEW DR. PEPPER SNAPPLE GROUP’S

SINGLE-SERVE

BOTTLE By Jennifer Welbel

> The story: In 1885, pharmacist Charles Alderton invented Dr. Pepper in Waco, Texas. More than 120 years later, the Dr Pepper Snapple Group (DPS) — the result of numerous mergers and acquisitions by Cadbury Schweppes Americas Beverages — became a standalone, publicly-traded company. Today, DPS is the leading producer of flavored beverages in North America with more than 50 brands of carbonated soft drinks, juices, teas, mixers and waters, including Sunkist Soda, 7UP, A&W, Canada Dry, Crush, Mott’s and more.

> The challenge: In 1997, many DPS brands began using a proprietary, 20oz single-serve package that featured an embossed splash-like pattern (often referred to as the “splash” bottle). But after 10-plus years in the marketplace, the company wanted to rework the bottle structure and create an improved visual and tactile design that would work across 21 brands within the DPS portfolio. Yet, despite multiple redesigns, consumers continued to prefer the original, “splash” version. According to Robin Utay, director of packaging, Dr. Pepper Snapple Group, “I don’t think we were listening to consumer needs. [Instead] we were developing what we thought was the right thing, which was just something that was different from what we currently had and would stand out on shelf.” To come up with the ideal design — one that would tap consumer insights upfront — DPS joined forces with plastic packaging design solutions firm R&D/Leverage.

it’s got to be perfect, in many ways,” says Utay. As a result, R&D/Leverage began by conducting comprehensive consumer research. The first component, “the unlock phase,” consisted of ethnographic work. Here, R&D/Leverage and DPS immersed themselves in the consumer experience, spending time in homes and cars, and in stores and gas stations.

(

)

BEFORE

ming sessions sess ssiio ss ions that ions t ha hat were w re we They then conducted brainstorming fer eren ence ces explicit. expl p ic icitt. According Acccord rd din ingg designed to make consumer preferences everage’s director of research, ev research h, to Tamara Christensen, R&D/Leverage’s n the label. So, when n “[Consumers] get very wrapped up iin we try to get feedback from them [on tactile or structural elements], they are still thinking very visually.” Therefore, during the brainstorming sessions, Christensen’s team covered 15 concept bottles in black bags, which enabled consumers to give targeted, structural feedback. “After that exercise, we had a pretty clear picture of the bottles and structures that were preferred for functionality,” she says.

> The solution: For DPS, it was essential that the new bottle was a consumer-preferred package. It was also important to them that they perfect the 20oz single- serve size, because consumer research showed that the bottle was their “on the go, preferred package.” “The 20oz size is central to our efforts to grow our business in single-serve formats across our flavor portfolio, so

26

CREDITS RESEARCH AND PACKAGE DESIGN

R&D/Leverage, www.rdleverage.com

www.brandpackaging.com

JUL11

The last step was to ask consumers to design their ideal bottles. But according to Christensen, “We were less interested in how they would design the bottle—what features or shapes—but more how they would connect that [design to] specific benefits they were looking for.” The research, brainstorming sessions and ideal designs all revealed that some of the most important benefits were grip and texture. “Texture is a big thing, because it helps [consumers] understand where to hold [the bottle] and how to hold it,” says Christensen. “It also facilitates grip.” However, most soft drinks are actually very slippery, because the label panel is often placed in the middle of the bottle where people hold their drinks. So DPS pushed the label panel up higher and made the waist smaller on this redesigned bottle. The company also incorporated soft panels below the label that have a light bubble texture. Together these changes resulted in a new, curvilinear structure with the grip and texture consumers were looking for.

> The results: After 28 weeks, including three complete cycles of research (two qualitative and one quantitative), the new DPS “legacy” bottle (named for the brands’ longevity and heritage) was complete. “This is a totally unique shape, because of that gripability, high waist and high label,” Utay says. [And although] the [changes] may look minimal from the outside, it is actually fairly substantial what we were able to do,” says Christensen. BP

>

To facilitate a better grip, DPS pushed the label panel up higher and made the waist smaller.

>

DPS incorporated soft panels below the label that have a light bubble texture.

>

It was essential to DPS that they perfect the 20oz single-serve size, since it was the preferred, on-the go package.

(

)

AFTER A

EDITOR’S NOTE: Interested in submitting new/redesigned packages? Email [email protected] with project background, images and supplier credits for consideration.

JUL11

www.brandpackaging.com ck kaging.com

27 2

TALKBACK THE END OF

OIL-BASED

PLASTIC?

W

ith Coca-Cola Coca-C Cola widely widely rrolling olling o out ut iits ts PlantBottle, PlantB Bottlle, and on the heels of Pepsi i iit would ld b i testing i a 100 percent plant-based l b d PET bottle, b announcing begin a senior scientist with the Natural Resources Defense Council said we’re seeing the beginning of the end of petroleum-based plastics. Is that overstating things? Or did he hit it on the head? We asked three industry experts for their thoughts:

28

www.brandpackaging.com

JUL11

> ANDREW DENT

> TOM SZAKY

> ERIC HARTMAN

VICE PRESIDENT, LIBRARY AND MATERIALS RESEARCH, MATERIAL CONNEXION

FOUNDER AND CEO, TERRACYCLE

DIRECTOR OF PACKAGING TECHNOLOGIES & COMMERCIALIZATION, PRODUCT VENTURES

I welcome the developments we have seen from beverage companies, such as Pepsi and Coca Cola, to increase the amount of plant-based raw materials used in their packaging, and I hope many others will follow suit. The use of plant-based plastics has been seen mostly in food service and packaging, and it may well be a glimpse of “the beginning of the end” for petroleumbased plastics — but I wouldn’t hold my breath! Some of the more basic packaging containers lend themselves well to this change, but there are many other more demanding applications, whether they are in the packaging of more volatile or corrosive contents such as fragrances, cleansers, bleaches that require multilayered packaging or more resistant materials than the plant-based solutions can currently handle easily. Looking beyond packaging to the wide world of plastics, there are many engineering plastics that cannot currently be replaced by plantbased solutions — again in the more demanding higher performance or more corrosive environments — and in applications that use higher molecular weight plastics, it is hard to see how plant-based solutions could ever replace current solutions. I am optimistic, however. Given how innovative chemists have been in creating our current range of amazing plastics over the last 40 years, think what they could do for these new plant-based versions! JUL11

I am very excited by this development and commend Pepsi for their action and effort, [but] I fear it may be overstating things quite a bit. As I see it there are two main challenges to bioplastics and compostable packaging: 1. Consumer response: Look at what happened with SunChips, a compostable chip bag was pulled because of consumer complaints about the noise. What will we (the American consumer) find wrong with a plant-based plastic bottle? The feel? The smell? The taste? I cringe at the thought of what we will find wrong next. 2. Pepsi is a massive company with nearly endless resources and a highly entrenched brand. I fear too many small companies, private labelers and generic manufactures will not soon have the resources to pull off this kind of switch. I hope that I am wrong, but I don’t see the end of petroleum-based plastic coming soon enough. After all, the first electric car was sold in the 70’s.

I do applaud Pepsi’s announcement that it will soon begin testing a 100 percent plant-based PET bottle. Ultimately, moving away from petrochemicalderived polymers to those that are sourced from renewable resources is what we must do in order to improve the sustainability of packaging. Unfortunately, most of the infrastructure that supports the production of these plant-based polymers is still heavily dependent on the use of petrochemicals as a source of energy, and the amount of petroleum that actually goes into the production of plastics is relatively small. Just like it took us the last 100 years to develop a society based on the use and exploitation of petroleum resources, it will take us time to wean ourselves off of them and embrace the use of alternative technologies to create materials similar to what we use today. I don’t believe that the use of petroleum-based plastics is coming to an end just yet, but it’s a start. As the Chinese philosopher Lao-tzu said in the 5th century BC, “A journey of a thousand miles begins with a single step.” BP

EDITOR’S NOTE: Suggest a topic for a future Talkback discussion. Email editor Pauline Hammerbeck at [email protected].

www.brandpackaging.com

29

F 125 YEARS Y YOUNG

or The Coca-Cola Co., marking its 125th anniversary is less about looking back at the Coca-Cola brand’s storied history and more of an opportunity to highlight the company’s future.

“We are just getting started,” says Muhtar Kent, the company’s chairman of the board and chief executive officer. “We remain today as energized and as excited as Dr. John Pemberton was, I am sure, back on May 8, 1886, when he poured his first Coca-Cola. The fact that we are a thriving business, a growing business and a dynamic business 125 years later is not a testament, for sure, to our age, but to our youth.” Marking that milestone, Coca-Cola remains laser focused on the growth prospects Kent set forth in his 2020 Vision, a roadmap for “winning,” in partnership with the company’s bottling partners. To develop that vision, Kent first organized Coca-Cola’s leadership and bottling partners to identify a framework for what he saw as a dramatically changing global landscape. “The world that we were inheriting at the end of 2007 was shaping up to be one that would be significantly different than even a year or a couple of years before that,” says Kent. “The change was very rapid.” The leadership team identified key global trends that, they believed, would fundamentally change the company’s business — and the world — by 2020. Chief among them is the emergence of a larger, global middle class; Coca-Cola predicts 800 million to one billion new people will join the middle class ranks by 2020. The rest of the trends trickle down from there. Coca-Cola predicts a massive relocation to urban environments around the world; over the next several years, an urban population equivalent to the size of New York City will be created about every 90 to 100 days, says Kent. The middle class boom will also result in a rebalance of economic wealth, shifting the economic landscape from one or two superpowers to several: the BRIC countries, but also Indonesia, Turkey, Morocco, Vietnam, Chile and Mexico. The growing global population will naturally put more strain on the world’s supply of commodities and energy, creating a scarcity of natural resources. And with population growth on both sides of the spectrum — an increase in people ages 40 and older and the rise of a sophisticated, engaged youth generation — Coca-Cola is watching demographic shifts. The consumer landscape is also marked by a fundamental

LOOKS 30

www.brandpackaging.com www.b b

JUL11

+

Coca-Cola CEO Muhtar Kent marked the Coca-Cola brand's 125th anniversary during the annual shareowners meeting in April. The meeting featured a chorus of 125 students from metro Atlanta and New York. Credit: Michael Pugh.

reset of priorities, values and expectations, and consumers are demanding more from companies and sharing their priorities for products, packages and pricing. The trends indicate a future marked by great change, but Kent says they also present increased possibilities. “We see a world with more people, more wealth, more demand for choice, living on-the-go and highly mobile lifestyles that [have] contributed to a higher demand for ready-to-drink, non-alcohol beverages,” he says.

Of course the global megatrends are just a framework. To put the strategy in place, Kent organized corporate goals around simple ideas: profit, people, portfolio, partners, planet and productivity. As he broadly explains, the vision is to “more than double our system revenue, [win] with the greatest talent pool in the world, certainly [leverage] the power of trademark Coca-Cola and our sparkling beverages, [create] the most valuable portfolio and [ensure] that we have greater leadership position than we have today in the sustainability spectrum by embedding that into our business planning process.”

The company believes that global market demand can grow its business from its current $650 billion marker to $1 trillion in the next decade. Translated into daily servings, that means doubling from the current level of 1.7 billion servings of CocaCola products worldwide every day to 3 billion daily servings by 2020.

At the heart of the plan is the idea of building on the power of the company flagship — trademark Coca-Cola — to bring people together around the world. “Coca-Cola is more than just a drink: it’s an idea, it’s a vision, it’s a feeling and a great connection,” says Kent. “It’s one of the truly common threads that actually bond the world together, tie the world together.”

FORWARD JUL11

www.brandpackaging.com

By Jennifer Zegler

31

Innovation is clearly based on consumer realities, says Guy Wollaert, Coca-Cola’s senior vice president and chief technical officer, who has roles covering research and development, science, global product quality and integrity and supply chain functions. “First and foremost, in everything we do, is making sure that we excel in sensory delight,” Wollaert says. “Taste is king and, of course, taste is a captive word for aroma and other aspects of sensory platform.” Innovation also centers on worldwide trends toward natural products as well as wellness and nutrition. Wollaert says the company is on pace to transform products to remove artificial ingredients and preservatives. And, of course, it’s all impacted by sustainability, in which goals range from packaging innovations to plant efficiencies, Wollaert says.

+

Coca-Cola headquarters is illuminated against the Atlanta skyline in celebration of the company's 125th anniversary in May. The display was the world's largest single-building illumination, covering more than 210,000 sq. ft. Visual design/projection: Obscura Digital. Photo credit: Michael Pugh.

The Coca-Cola brand also has a role in helping the company build its broader portfolio. Coca-Cola’s business was based on one product in one package until 1955, when it launched a king-sized package. Soon after it began expanding into new beverage offerings.Today, its portfolio includes 3,500 beverages throughout the world. “One of the true strategic advantages of a truly global system, such as this one, is transfer of knowledge,” says John Farrell, the company’s vice president and chief strategy officer. “So as you’re having a great product or a good consumer proposition, the faster you can transfer it to other countries around the world, the greater your opportunities are.” A recent example is the international success of Minute Maid Pulpy, a juice drink that features added fruit pulp. The beverage launched in 2005 in China, where the local preference is for pulp. The brand is now available on three continents in 18 geographies and has been designed to appeal to local taste profi les in each market. In 2010, the pulp-enriched juice product was introduced in Algeria, Malaysia, Singapore and Vietnam, and in Kazakhstan as Piko Pulpy and Mexico as Valle Pulpy. The global expansion resulted in Pulpy joining CocaCola’s roster of billion dollar brands.

32

“Innovation in terms of our package portfolio and our availability strategy makes sure that we have the right package in the right place, [geared] to the right consumer needs in the right way,” he says. “It requires also a lot of exploration of new technologies on how we do consumer interfacing as well as technologies related to new packaging and base science of new packaging material.” The company also looks to innovate around its methods of connecting with consumers, Wollaert says. The company is considering how to best leverage global trends of connectivity, mobility and social media — a large focus for the company’s marketing team, he says. As The Coca-Cola Co. considers all these trends and strategies and continues momentum toward its 2020 Vision, Muhtar Kent keeps the lessons the company has learned in its 125 years in business top of mind. “Arrogance is what almost brought us down in the 1990s — being away from markets, not touching the consumer, not understanding the consumer,” he says. “That’s what keeps me awake, because you can easily get mesmerized by the portfolio of wonderful brands that we have. Today, the consumer needs to be understood even better than any time before. We have to earn the trust of our consumers every single day.” Kent insists that achieving the goals set forth is not going to be easy, “It is not for the people who have a faint heart,” he says, “But is it achievable? The answer is absolutely yes.” BP

Jennifer Zegler is the editor of Beverage Industry, www.bevindustry.com. Follow Beverage Industry on Twitter, www.twitter.com/beverageind.

www.brandpackaging.com

JUL11

HOT BRANDS By Jessica Jacobsen

{NICHE}

COKE’S VENTURING AND EMERGING BRANDS TEAM SCANS THE GLOBE FOR BRANDS WITH THE POTENTIAL TO BECOME THE ‘NEXT BIG THING’

W

ith a portfolio of more than 500 brands offering more than 3,500 beverages, The Coca-Cola Co. has expanded greatly since it poured its fi rst Coke 125 years ago. But even with this vast portfolio, Coca-Cola continues to search for the next ‘big thing,’ charging its Venturing and Emerging Brands team to do just that. The goal is to make sure that Coca-Cola isn’t surprised by trends in the beverage marketplace, and to boost innovation efforts and find high-potential growth brands, says Deryck van Rensburg, president and general manager of VEB, which is a dedicated operating unit of Coca-Cola North America. “This is extremely important to the company’s overall vision and strategy,” he says. “In the four years since the VEB team was formed, we have created a portfolio of brands developed by external entrepreneurs, imported to the US and crafted from scratch.”

bicha it repurposed the Japanese Sokenbicha ng tea brand, along with its marketing and packaging, to appeal to the US take consumer. It also has an equity stake ully in ZICO coconut water and has fully acquired Fuze and NOS, which were incubated to scale and then graduated to the company’s core Cola business units. In March, Coca-Cola fully acquired Honest Tea, which an completes a transaction that began nit, three years ago, led by the VEB unit, when the company purchased a minority stake in the company. Spotting brands like these involves research. VEB team members are active ng in the marketplace and in absorbing consumer needs and demands.

+ For instance, VEB has entered into a global joint venture with an Italian company to create illy issimo, a high-end espresso in a can. It has also borrowed from its operations in France to sponsor Cascal, a naturally fermented soda in f lavors like black currant and cherry; and Japan, where

JUL11

Coca-Cola's Venturing and Emerging Brands team fully acquired Honest Tea in March. h. The unit seeks out niche brands ds with high-growth potential.

www.brandpackaging.com

33

+

Led by its VEB unit, Coca-Cola purchased a minority stake in ZICO coconut water in 2007.

“The most important part of the process is being in the market and networking with cultural leaders, wellness experts and early adopter consumers,” says van Rensburg. “We have to be real-time in the market, staying close to the consumer, watching what they do, where they shop and what trends they are following.” VEB also gets inspiration from new entries in retail channels. “We have a group that, each month, visits an urban environment, goes to stores, engages retailers and collects all of the products that have been launched in that city,” van Rensburg says. “We research each brand—because every brand starts small before it becomes big.”

“I think the reason that Coke invested [in Honest Tea] is we’re really at the center where a lot of the trends are, with healthier products [and] environmentally friendly products.” The company also attends trade shows, particularly for natural products, which is what drove the company’s interest in Honest Tea. “The consistently strong growth of Honest Tea, as well as its leadership in the natural foods channel, was among the many elements that attracted The Coca-Cola Company,” van Rensburg says. “When we made the investment in Honest Tea, we did so because we saw that it had great potential to be a significant brand of the future.” Seth Goldman, co-founder, president and “TeaEO” of Honest Tea, says that the company has already realized tremendous growth with the support of Coca-Cola. He says that, when Honest Tea first began its deal with Coca-Cola, its products were available in 15,000 accounts, but, now, its accounts have grown to 75,000 and the brand is on its way to 100,000.

34

www.brandpackaging.com

JUL11

+

Coca-Cola's VEB unit partnered with Italian coffee company illycafe to launch illy issimo, a line of ready-to-drink coffee beverages.

“I think the reason that Coke invested [in Honest Tea] is we’re really at the center where a lot of the trends are, with healthier products [and] environmentally friendly products,” Goldman says. “We expect to continue to grow aggressively in the years ahead.”

“I appreciate that Coke saw value in our team and our leadership and what we were doing,” he says. “They really have continued to invest in us and our management.”

But the value of being part of Coca-Cola’s VEB business unit expands beyond distribution.

VEB also appreciates lessons learned from its investments and acquisitions, such as the natural sales channel force that accompanies Honest Tea.

“We bring a great deal of passion, entrepreneurial energy, [and] a great deal of knowledge on a natural foods industry,” says Goldman, “but for a lot of our team there [are] so many new dimensions that we don’t have expertise in.”

“When Honest Tea was first created, the management team knew they needed to get their product to the natural channel,” van Rensburg says. “VEB is now able to leverage this industryleading sales team to sell current VEB brands as well.”

Goldman says he expects that Honest Tea will benefit from Coca-Cola’s depth in marketing and with packaging, such as the company’s bio-based PlantBottle.

Van Rensburg says all of these efforts reflect why VEB has chosen to invest in entrepreneurs like the team at Honest Tea. “They provide a source of innovative ideas and energy that enhance our own,” he says. BP

“We’re very excited to have access to that kind of technology,” says Goldman. “That’s something we never would get on our own operating out of our little office in Bethesda, Maryland.” But, what stands out most for Goldman, now that his company is fully part of Coca-Cola? He says it’s the company’s commitment to Honest Tea’s brand, quality and authenticity.

JUL11

Jessica Jacobsen is managing editor of Beverage Industry, www.bevindustry.com. Follow Beverage Industry on Twitter at www.twitter.com/beverageind. EDITOR’S NOTE: These features were adapted from Beverage Industry's Coca-Cola 125th Anniversary coverage in June 2011

www.brandpackaging.com

35

JUST OUT > USA

POCKET-FRIENDLY KLEENEX PACKS LAUNCHED: JUNE 2011

Adding a dash of style to conventional Kleenex pocket packs, Kimberly-Clark launches Kleenex Wallet Packs. Each folding, wallet-style package holdss en n by current fashion trends (think zebra-patterned flowers rs o red d an and d bl blac a k “s ste t pp pin ingg 10 tissues and features creative graphics that are driven orr a re black “stepping stone” design), with contrasting patterns on the inside of each poly sleeve. Brand design agency Webb deVlam developed trend boards that inspired the internal senior design team to create the collection. Kleenex Wallet Packs are sold individually and also in assorted packs of three. (Package design: Webb deVlam, www.webbdevlam.com and Kimberly-Clark's senior design team, www.kimberly-clark.com)

>

USA & CANADA

THE CAVEMAN DIET NATIONAL ROLLOUT: JUNE 2011

In prehistoric days, cavemen used to eat a simple diet of nuts, fruit and honey. Taking cues from this “Paleolithic diet,” Caveman Cookies makes its national debut. The all-natural cookies are made with only four or five ingredients and are gluten-free, dairy-free and contain no refined sugar or preservatives. To depict the caveman ethos, each package features an illustration of a caveman rubbing his belly and wearing a lei for the tropical variety or ear muffs for the alpine variety. Before finalizing the logo, nine designs were crowdsourced, and the brand ended up going with the majority pick. (Package design: Kristina Sacci, www.kristinasacci.com)

> HONG KONG

DINNER FOR N LAUNCHED: APRIL 2011

Designed for the growing number of busy professionals who want high-quality food but don’t have the time to cook, Dinner for N is the newest fresh food kit to hit shelves. ‘N’, which stands for anyone, communicates the universality of the product, “an easy fine dinner pack that everyone can DIY and enjoy.” The paperboard box features a white-and-turquoise chef’s jacket, complete with two triangular windows (between the chef’s arms and body) that allow consumers to view the fresh ingredients. Dinner for N is available in five varieties, including rib eye steak, sirloin steak, pork chop, salmon filet and pasta alla carbonara. (Package design: Dragon Rouge China, www.dragonrouge.com)

36

www.brandpackaging.com

JUL11

>

CANADA

CORONA EXTRA ENJOYS A DAY AT THE BEACH LAUNCHED: MAY 2011

Where’s your “happy place”? That’s what Corona Extra encourages consumers to uncover with its “Find Your Beach” campaign. To promote the campaign, the brand created nine limited-edition bottles that feature collages of relaxation-related imagery, such as beaches, mountains and lakes. The colorful designs also carry over to the 6-pack carriers. (Package design: Shikatani Lacroix, www.sld.com)

>

USA

BOT BEVERAGES: ALL GROWN UP LAUNCHED: MAY 2011

Originally introduced in 2007 as a kids’ beverage marketed to moms, bot is relaunching with an updated brand identity. Redesigned to target health-conscious adults, the enhanced flavored water has replaced its character-focused packaging with a modern, white dot pattern that stands out against a solid, colorful background (green, orange, blue, red, yellow or purple, depending on the variety). Bot is available in key lime, valencia orange, blue plum, mixed berry, meyer lemon and concord grape. (Package design: TDA_Boulder, tdaboulder.com)

>

UK

WAITROSE LOVES LIFE LAUNCHED: JUNE 2011

Developed to provide more healthy options at the grocery store, Waitrose introduces its latest sub-brand Waitrose LOVE Life. The 270-product line is the retailer’s largest sub-brand launch since essential Waitrose and includes such nutritionally balanced foods as a blueberry, black currant & beetroot smoothie; chicken and mango lettuce wrap; and Italian bean soup. The colorful packaging, d which is a departure from Waitrose’s typical monotone designs, features vivid food photography and front-of-pack nutritional information. The Waitrose LOVE life logo will also be used on products o across the retailer’s entire offer to highlight nutritional benefits. “The new identity effectively works to ays indicate the nutritional value of the range and the design reflects its energy, vitality and positivity,” says Rupert Thomas, Waitrose marketing director. (Package design: Pearlfisher, www.pearlfisher.com)

EDITOR’S NOTE: Interested in submitting new/redesigned packages? Email Jennifer Welbel, [email protected] with project background, images and supplier credits for consideration.

JUL11

www.brandpackaging.com

37

THE BOTTOM

LINE

D

ebbie and Andrew met at 17, married at 22 and had four kids. Struggling pig farmers, they diversified into sausage-making and set up Debbie & Andrew’s as a small company in 1999. The pair developed recipes in their family kitchen (where product development still happens) and sourced pork from British farms with high animal welfare standards. In the early days, Debbie and Andrew designed the packaging themselves—and they are the first to admit that it showed. An initial rebrand in 2003 took them from a blue polystyrene tray with a cartoon of a farm on the label to sleek black trays with eye-catching discs of color. To break with category norms, a second rebrand in 2009 turned the packaging orientation from landscape to portrait. It also featured photos of the owners’ Wellington rubber boots, to emphasize their involvement in the sausage making.

> THE BOTTOM LINE: Debbie & Andrew’s credit packaging design with establishing brand awareness and massively boosting revenue in the absence of advertising. The brand rocketed from £30,000 ($49,000 USD) in 2001 to £4million ($6.5 million USD) in 2007, with continued growth of 42.9 percent the year after the second rebrand. Debbie & Andrew’s is now number one in the branded premium sausage sector. BP

CREDITS

EDITOR’S NOTE: Submit a project for consideration in The Bottom Line. Email [email protected] with details on the effectiveness of your design.

PACKAGE DESIGN

Elmwood, www.elmwood.com

INDEX OF ADVERTISERS BRANDPACKAGING PACKAGING THAT SELLS CONFERENCE ............................................................................. 24, 25

PMMI-Pack Expo............................................................................................................... 11

Ciulla Associates................................................................................................................4

Southern Film ................................................................................................................... 21

Diamond Packaging .........................................................................................................7

Sustainable Forestry Initiative ............................................................................14, 15

Leibold ............................................................................................................................... 22

Sustainable Packaging Forum .................................................................................. 39

Owens Illinois ...............................................................................Inside Front Cover, 3

Transparent Container................................................................................................... 13

Placon ...............................................................................................................................8, 9

Xpedx ........................................................................................................................... 19, 23

R+D Leverage ................................................................................................ Back Cover

This index is for the convenience of our readers. Every care is taken to make it accurate. BRANDPACKAGING assumes no responsibility for errors or omissions.

READER & MARKETING SERVICES LETTERS Pauline Hammerbeck [email protected] 155 Pfingsten Road, Suite 205 Deerfield, IL 60015 PRINT & INTERNET ADVERTISING

WHERE DESIGN AND STRATEGY MEET BNP Media 155 Pfingsten Rd. Suite 205 Deerfield, IL 60015 (847) 405-4000 Fax: (847) 405-4100 www.bnpmedia.com

GROUP PUBLISHER

Mike Barr [email protected] (630) 801-4152 ASSOCIATE PUBLISHER

Sam Wilson [email protected] (847) 405-4075

BRANDRESOURCES Diana Rotman [email protected] (847) 405-4116 REPRINTS Jill L. DeVries [email protected] Phone: (248) 244-1726 Fax: (248) 244-3934 CUSTOM MEDIA Christopher Wilson [email protected] Phone: (248) 244-8264 Fax: (248) 283-6528

SENIOR DEVELOPMENT MANAGER

Senna M. Shehadeh [email protected] (248) 227-1029

38

www.brandpackaging.com

LIST RENTAL For postal information please contact Rob Liska 800-223-2194 x726 [email protected] For e-mail information please contact Shawn Kingston 800-409-4443 x828 [email protected] For subscription information or service, please contact Customer Service at: Phone: (847) 763-9534 Fax: (847)763-9538 E-mail: [email protected] SINGLE COPY SALES/BACK ISSUES Ann Kalb [email protected] (248) 244-6499

JUL11

The Future Direction of Sustainability 7th Annual

SEPTEMBER 20-22, 2011 Intercontinental • Dallas, TX

PRODUCED BY

WWW.PACKSTRAT.COM

The Only Sustainable Packaging Event in the Industry Officially Endorsed by:

KEYNOTE PRESENTATIONS The Power of Packaging: Fulfilling the Sustainability Mission Mike Maggio, Vice President, Global Strategic Design Operations, Johnson & Johnson

MEDIA PARTNER

SUPPORTED BY

Co-located with SPC FALL MEMBER MEETING September 19-20

The Consumer Vision and the Sustainably Packaged Brand Mitch Baranowski, Co-Founder, Chief Creative Officers, BBMG

SPONSORS

SPC Member and Team Discounts Available. REGISTER NOW!

www.SustainablePackagingForum.com