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This week in FMCG

Coke AmatilAn exciting week has gone by in the Australian FMCG sector once again. What made the headlines this week?

Soft drinks giant announced plans to launch an alcoholic drink in Japan; consumers witnessed Aussie’s beloved iconic brand end ties with its long-time creative agency; supermarket giant revealed its new campaign and another Australian grocery giant dropped gift card expiry date.

Coca-Cola revealed plans to launch alcoholic drink in Japan

Coca-Cola is set to launch an alcoholic drink in Japan in 2018. The soft drinks giant said on its website its Japan business has stood out as an “almost truly unique market”. It offers a wide array of options across the beverage landscape which has also continued to evolve in the US market, creating new products like kombucha.

Jorge Garduño, president of Coca-Cola’s Japan said the Japanese market is “incredibly dynamic, fiercely competitive and rooted in innovation.” Adding their consumers want variety and to experiment. Coca-Cola spokesperson told Inside FMCG the soft drinks giant owned a subsidiary called Wine Spectrum from 1977 – 1983 but later on was sold to Seagram & Sons for $200 million in 1983.

We’re quite excited and hope to also see new unique Coke products in Australia in the future!

Vegemite ended 74-year relationship with JWT

Vegemite has cut ties with its long time creative agency JWT, after 74 years. JWT was the creative mind behind the now famous “Happy Little Vegemites” campaign. The iconic Aussie brand and Bega announced its new partnership with creative agency, Thinkerbell.

Ben Hill, marketing director of Bega Foods, said the recent strength and positive-growth on Vegemite attributed largely to the increased exposure the brand generated. The return of the iconic brand to Australian ownership under Bega and the positivity surrounding its move back to home soil contributed to it.

The Aussie company looks forward to creating new marketing plans with Thinkerbell. It’s not the only one excited to see new things from Vegemite, we’re keeping tabs on it too in the next few months!

Coles revealed new “Good Things are happening” campaign

Australian supermarket giant has unveiled their new “Good Things are happening at Coles” campaign this week to complement its “Down Down” marketing campaign. Coles spokesperson told Inside FMCG it will continue to lower prices for our customers since price and quality are equally important. The latest move comes after receiving thousands of feedback from their Aussie customers.”

Moreover, Coles’ “Down, Down” campaign triggered the supermarket price wars with its rival grocery Woolworths, the latter released its own “Cheap, Cheap” campaign. Coles also dropped its own milk brand to A$1 per litre. Columnist Gary Mortimer wrote in The Conversation article Coles waved the white flag, indicating a move away from price-based marketing, to a focus on other attributes, such as sustainability, local produce and community.

We’ll see how this one pans out in the next few weeks. We wonder what Woolworths has up its sleeves this time around?

Woolworths scrapped gift card expiry dates

Supermarket giant Woolworths dropped the expiry dates on its gift cards. Shoppers will be happy to know they can now choose exactly when they want to use them. Retailers across Australia also faced calls to follow suit.

Woolworths’ head of financial services and insurance Chris Cramond said the decision comes after talking to their customers, which takes a load off from their shoulders as they continue on with their busy lives as they can buy whenever they want.

Woolies said the gift cards for use at its supermarkets and other retail outlets will be sold without expiry dates starting on 31 March. It includes gift cards bought from the end of March last year. Choice spokesman Tom Godfrey said they welcomed Woolworths’ decision and hopes to see other major retailers to follow their lead. We’re also happy with the supermarket giant’s latest decision. Now we can shop whenever we want.

Have a great weekend everyone!

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