Oser Communications Group

GOURMET NEWS NOVEMBER 2016 www.gourmetnews.com NATURALLY HEALTHY 1 7 For the 10th year in a row, Certified Angus Beef LLC reported record sales of its signa- ture Certified Angus Beef ® brand, market- ing 1.015 billion pounds of product in fiscal 2016 (ending September 30). The in- crease of 13.3 percent represented an addi- tional 119 million pounds of product sold by a network of more than 18,000 licensed partners worldwide. "Thanks to a dramatic positive shift in the supply of high-quality Angus cattle, our partners were able to deliver more of the highest quality beef to consumers while supporting ranch families and rural com- munities," said brand President John Stika. "Our partners' collective achievement – from the farm to the table – illustrates the relevance of our mission established nearly 40 years ago. By delivering unique experi- ences and value to consumers, our individ- ual partners succeed as well." Monthly sales records and category growth The Certified Angus Beef brand set sales records in all 12 months of fiscal 2016. Fur- thermore, eight of the 10 best sales months in the brand's 38-year history were set in fiscal 2016. Sales of more than 90 million pounds in July, August and Septem- ber reflected partners' strong marketing and pro- motional activity during grilling season. Growth was balanced across product categories. Backed by traditionally strong demand, particularly for consumers' celebrations and special occasions, sales of premium steaks (middle meats) grew by 11.4 percent. End meat sales grew by 87 million pounds, and ground beef sales in- creased by 8.5 million pounds. Illustrating the appeal of premium beef to the most discerning consumers, sales of the brand's Prime product extension grew by more than 26 percent. Divisional success After six years of deceleration, retail divi- sion sales exploded with 18.5 percent growth, or 68 million pounds. Quality-fo- cused retailers have long represented the largest portion of brand sales – 43 percent in fiscal 2016 – but lower beef prices linked to increased supply encouraged more con- sumers to choose beef for family meals more often. Plus, grocery partners aggres- sively featured brand items in their circu- lars, further driving sales. The foodservice division, already on a well-established path of growth, enjoyed its seventh consecutive year of record sales: 355 million pounds, a 6.3 percent increase. Three-quarters of the brand's licensed dis- tributors grew their business by an average 9.3 percent. Sales to licensed restaurants also increased 10 percent, demonstrating the brand's relevance and value to chefs, restaurateurs and customers. International sales of the Certified Angus Beef brand reached a new record of 138 million pounds in 49 countries. Sales in Japan, his- torically important for U.S. beef, more than doubled in fiscal 2016, thanks to the efforts of partners strongly committed to the brand. Sales in Mexico also increased a no- table 16 percent. Processors responded to growing con- sumer demand for high-quality conven- ience meals in both retail and foodservice with branded value-added products. Sales were up by 8.9 percent, driven by key items including smoked brisket, marinated fajita meat and fresh corned beef. Family farmers' focus on quality leads to increased supply Family farmers and ranchers have been the foundation of the Certified Angus Beef brand since its start; their efforts to raise quality cat- tle meeting the brand's 10 exacting standards enable licensed processors, distributors, restaurateurs and retailers to meet con- sumers' growing demand for premium beef. A few years after a devastating drought across much of the United States, these fami- lies finally saw the fruits of their efforts to re- build herds. Beyond simply adding more cattle, they improved the quality of their herds with a strong focus on Angus genetics and the brand's quality target in mind. As a result, the rate of cattle eligible to earn the brand name rose to a record 28.9 percent, up from just 14 percent a decade ago. The collective improve- ment in cattle translated into increased supply for the brand of 440,000 head, or 115 million pounds of branded product. "This additional supply led to reduced prices for consumers while delivering more of the same superior beef they've come to ex- pect from the brand," said Stika. "This inten- tional focus on quality by our family farmers and ranchers is at the core of the brand's rel- evance, not just to the ranching families themselves, but also to the brand's partners and consumers. It's a relationship that has a collective impact much greater than the sum of its many individual parts, all passionately focused on quality and family." GN Certified Angus Beef Posts Record Sales White Coffee Corporation is taking the plunge into the cold brew segment this fall with the introduction of Organic Cold Brew. Cold brew, the method of brewing coffee through a totally cold process with- out exposure to hot water, is taking the country by storm. White Coffee's Organic Cold Brew may take the lead in the contest for a rich taste from the new way of prepar- ing cold coffees. White Coffee Organic Cold Brew enables a distinctive cold-brewed drink, smooth and rich, with little acidity and no bitterness as found in iced coffee. It's certified organic, a coveted label for its insistence on brewing and roasting coffee without the use of fertil- izers, growth substances, antibiotics or pes- ticides. White Coffee's brewing technique takes a fraction of the 20+hour process em- ployed by competitors. In just three hours, the Organic Cold Brew is ready to be served. "Consumers are looking for speed and convenience, but are not willing to sacrifice great taste," says Jonathan White, Execu- tive Vice President of White Coffee Corpo- ration. "The Millennials are the first generation to grow up with high quality coffee tastes. We are proud of the taste that Organic Cold Brew offers and through re- tail locations, and on-line, this product will help fulfill that demand." According to Mintel International, the cold brew cate- gory of the specialty coffee market has soared, with sales increasing 339 percent between 2010 and 2015. The flavorful cold brew process is brewed in place, right before your eyes. The coffee is pre-ground and overwrapped to ensure product freshness. Each filter bag is brewed with one gallon of water. GN White Coffee Challenges Leading Brands with Organic Cold Brew Entry Applegate ® has announced Nicole Glenn as its new Vice President of Marketing. Ap- plegate Farms, LLC (Applegate) is a stand- alone subsidiary of Hormel Foods Corporation. "We're thrilled Nicole is joining us, bringing her extensive brand management and food marketing experience to the Ap- plegate team," said Steve Lykken, Presi- dent, Applegate. "Nicole will play a key role in leading us as we continue to build an innovative and integrated brand market- ing strategy for the Applegate portfolio, en- suring that we bring to life our mission of 'changing the meat we eat'." Prior to joining Applegate, Glenn was a marketing director for WhiteWave Foods, where she was most recently responsible for leading the Earthbound Farms organic produce business. In this role, she managed one of the company's largest brand refresh initiatives and was responsible for strategic promotions, consumer engagement initia- tives and portfolio innovations. Glenn's brand marketing experience also includes positions with Constellation Brands, Ter- lato Wines International, and Procter & Gamble. "I'm eager to join Applegate and a group that is recognized in the industry for its creative and purposeful marketing strategies," Glenn said. "This is an excit- ing time to join the team, as consumers increasingly seek natural and organic foods from brands they can trust, like Applegate." GN Applegate Farms LLC Names New V.P. Marketing All flavors of Dream ® Non-Dairy Yogurt have earned verification from the Non- GMO Project. These products include Al- mond Dream ® and Coconut Dream™ re- frigerated non-dairy yogurts that contain live and active cul- tures. Available in a wide range of flavors including Vanilla, Strawberry and Mixed Berry, they provide a solution for consumers seeking a dairy-, gluten- and/or soy- free lifestyle or for those who just want to enjoy these de- licious flavored yogurts. "Dream Non-Dairy Yogurts have always been made with high quality ingredients, and the verification from the Non-GMO Project provides an additional level of as- surance to our con- sumers and customers," said Basel Nassar, Chief Operating Officer of Hain Refrigerated Foods Division. "The Non-GMO Project is such a trusted organiza- tion and provides a rig- orous approval process from ingredient sourcing through manufac- turing to ensure that genetically modified organisms (GMOs) are not intentionally added to products. We are proud to carry their seal on our products." GN Dream Non-Dairy Yogurts Non-GMO Project Verified "Thanks to a dramatic positive shift in the supply of high-quality Angus cattle, our partners were able to deliver more of the highest quality beef to consumers while supporting ranch families and rural communities." —John Stika

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