Sweet opportunity
The role of private labels differs greatly in various segments of the German baked goods and sweets market. Private labels take occupy the largest share of shelf space – and account for the largest volume share. Of course, all private label ranges include copies of some of the most popular products, but they also include a number of products that have no direct branded equivalent.
In Germany, the choice of private label offerings is lower in chocolate confectionery compared to branded offerings. Many private label ranges merely offer economy products – in some cases, with very basic packaging.
|
The private label presence is even lower in sugar confectionery (fruit gums and boiled sweets), where most of the shelf space is given to branded products, even at discount stores.
Discounter: ALDI Süd
Given ALDI's overall reliance on own-label products, the most eye-catching aspect of its confectionery portfolio is the low number of own-label products in sugar confectionery, offset by a high presence of branded products – mainly by Haribo and Storck. Own-label ALDI products include three premium fruit gum varieties as part of the Gourmet range, as well as two products offered under the Sweetland brand (Sour Yogurt Swirls and Yogurt Fruits).
While ALDI also stocks branded products in chocolate, it has two large chocolate brands of its own: Moser Roth and Choceur. The premium Moser Roth brand is one of ALDI's flagship brands and best-known brands overall. Permanent varieties include Milk Chocolate, Dark Chocolate, Dark Chocolate with Orange and Dark Chocolate with Caramel, all sold in 150-gram tablets at €1.49. Moser Roth also includes some Mousse chocolates – for example, in the Orange, Cherry & Chili and Classic varieties (all €1.49 for a 187.5-gram tablet) – and various boxed chocolates, including seasonal varieties.
But ALDI 's whole offering in the biscuit category consists of own-label products. Its largest biscuit range is Choco Bistro, which also includes biscuits that have no chocolate content. Although ALDI is known as a trendsetter in many other sectors, its regular biscuit range is rather basic, consisting mainly of market standards such as biscuit mixes, short pastry whirls, chocolate-covered butter biscuits and waffle rolls.
Discounter: Lidl
Lidl has one of the widest choices of private label chocolate, even compared to other discounters, offering chocolate under four different core brands: Fin Carré, Mister Choc, Bellarom and J.D. Gross. Fruit gums and foam-based sweets are offered under the Sugarland brand, although the choice is not extensive.
Fin Carré is the economy brand, selling at €0.39 for a 100-gram tablet, and comes in Milk Chocolate, Milk Chocolate with Hazelnuts, Dark Chocolate and White Chocolate varieties. The Bellarom brand (which is also Lidl's umbrella brand for coffee) covers mid-price chocolate with varieties including Coffee & Cream, Whole Almonds, Nuts, Nuts and Raisins and three types of white chocolate (plain, with nuts and with strawberries).
Premium chocolate is sold under the J.D. Cross brand. Varieties include 125-gram tablets such as Amazonas 60% Cocoa and Papua 35% Cocoa, and 125 grams of flavoured tablets such as Ecuador Orange 70% and Ecuador Raspberry 70% Cocoa. The J.D.Gross range also includes several varieties of boxed chocolates such as Belgian Sea Shells. Meanwhile, the Mister Choc range includes mainly copies of well-known Mars chocolate bars such as Mars, Bounty, Twix and Baliso, as well a version of M&Ms and chocolate-covered raisins.
Lidl's most important brands for baked goods are Sondey for biscuits and Favorini for waffles. The Sondey biscuit range includes standards such as butter biscuits and chocolate-covered butter biscuits. More unusual products are the Kaffeegebäck (biscuits for coffee) sub-range or Sondey Minis, which are available in Chocolate, Orange, Jungle Mix and Piccadilly varieties.
Supermarket: Edeka
Following the relaunch of both the Gut & Günstig economy range and the Edeka mid-price range, most of Edeka's private label offerings in confectionery, chocolate and biscuits are now to be found under the Gut & Günstig brand. In sugar confectionery, the range includes a number of fruit gum/foam products, positioned mainly on the lower shelves, with varieties that include Fruit Bears, Yogurt Fruits, Cola Bottles, Fruit Mix, Wine Gums, Vita Gums, Tropical Mix and Sour Fruit. In chocolate, the range includes bars at €0.39 for 100 grams and bars at €0.59 for 100 grams. Varieties at €0.59 are Whole Nut, Fine Milk, Fine Milk & Nut and Creamy Dark Chocolate. Furthermore, Gut & Günstig also covers the obligatory copies of the Mars, Twix, Snickers and Bounty bars.
Only a relatively small number of products are offered under the Edeka brand. These include two varieties of Swiss chocolate, packaged in the typical style of Swiss tablet chocolate. In addition, there is a selection of products sold in 200-gram bags that all have a special selling point in terms of ingredients/quality. For example, the Jamaica Rumballs contain 4 per cent Jamaica rum, while the Jelly Bananas, Jelly Pineapple Corners and Fruit Jelly Mix do not contain gelatin as gelling agent. The Peppermint Taler contain Rose Mitcham peppermint oil, and the Coconut Flakes contain 24 per cent dark chocolate and 20 per cent rasped coconut. All of these products are free from artificial aromas and colours.
Edeka's biscuit range changed quite considerably during the recent private label revamp. The Edeka Backstube sub-brand is now gone, and most products are now part of Gut & Günstig, sold in packs weighing between 100 grams and 500 grams. The Edeka brand is reserved for a smaller number of more niche products: for example, three varieties of American cookies (Double Chocolate, Triple Chocolate and Chocolate & Nut) and two varieties of biscuit mixes, which are now called Edeka Variance.
|
Supermarket: Rewe
In the chocolate segment, Rewe offers private label products in the economy segment under Ja!, and in the premium segment under Feine Welt. Ja! products include the standard selection of milk chocolate, milk chocolate with nuts and plain chocolate in the price segments that are common among all retailers – €0.39 for 100 grams, €0.59 for 100 grams and €0.99 for 200 grams.
Where Rewe stands out is at the top end. Tablets offered under Feine Welt are rather expensive at €1.99 for 75 grams, but are more "exotic." Examples are 45% Madagascar Cocoa with Cranberries, 52% Colombian Cocoa with Coffee and 66% Caribbean Cocoa with Pink Pepper. The range also includes the new winter variety – consisting of both dark and milk chocolate and containing cinnamon, cloves and orange oil.
Meanwhile, Rewe's sugar confectionery offerings are all under the Rewe brand and include fruit gums such as Fruit Bears and Cola Bottles, as well as boiled fruit sweets. However, Rewe is one of the few retailers that offers private label organic fruit gums (under Rewe Bio) in the flavours Strawberry and Mango at €1.99 for 125 grams – considerably more expensive than Rewe-branded fruit gums at €0.79.
Feine Welt products also stand out in the biscuit segment. Varieties include Apfelzauber (filled with apple jam covered with almonds), Cocoa Magic (hand-filled with hazelnut cream), Milan Squares (filled with almond purée) and Erdbeerzauber (filled with strawberry jam). Rewe also offers a choice of organic biscuits under Rewe Bio such Sandwich Biscuits, Spelt & Almond Biscotti and Amarettini. In addition, the retailer offers a selection of bakery products within its Rewe mid-price and Ja! discount ranges.
Temporary offers
Seasonal products and products available only temporarily form an important part of the biscuit market, and to a lesser degree, the confectionery market, especially in discounters. Apart from Easter and Christmas products, discounters run regular country-specific promotions that also include sweets and baked goods such as U.S.-style jelly beans and marshmallows or cookies; Italian-style biscuit and chocolate specialities; Swedish oatmeal biscuits; and Swiss chocolate and biscuit specialities. During the Christmas period in 2013 and beyond, the role of private labels should be even stronger following the decision by Bahlsen to withdraw from the autumn/winter seasonal biscuit segment.