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Project part-financed by the European Union
A Dutch department store selling everything from shoes to emulsion paint is an unlikely place to see an opportunity for fresh British fruit juices and smoothies, but it proved to be the ideal outlet for Daniel’s Chilled Foods.
After taking advice from Food from Britain (FFB) in The Netherlands, Daniel’s began selling its fruit juices and smoothies in HEMA, the Netherlands’ largest chain of own-brand department stores, in late July 2007.
With 300 stores, 80 years of experience and a one-brand management, HEMA is unique within the Dutch borders. An organisation with a national brand awareness of 100%, HEMA’s brand is part of Dutch national culture.
HEMA’s dominance in Dutch non-food retail means that many food and drink suppliers do not realise that its food and catering arm accounts for a 30% share of the organisation. Ambient food is sold in every store, chilled food in 200 stores, take-away outlets operate in 150 stores and restaurants in 100.
FFB’s recent “Alternative Retail Channels” research report outlined the potential for British food and drink to sell through routes other than the traditional mainstream multiple retail. FFB The Netherlands identified HEMA as one such opportunity. When Pim Haasdijk, managing director of FFB The Netherlands, learnt that HEMA was seeking to build a new position in convenience categories such as ready meals, healthy drinks and snacks – areas in which the UK leads the world – he was quick to seize the opportunity.
Daniel’s Chilled Foods which has its headquarters in Leeds is one of the key players in the British chilled food market. FFB The Netherlands, knowing that the company was interested in exports, told them about the opportunities that HEMA’s direction offered them, and arranged an introduction. They dealt with the pre-launch preparation, organising factory visits, labelling, logistics and marketing for the launch. Daniel’s was able to enter the market with a wide range of its products.
Mike Cassidy, sales director at Daniel’s Chilled Foods, welcomed FFB’s efforts. He said: “FFB were insistent that this was a great opportunity and I’m glad we listened! They set up a strong introduction with HEMA, as they do, and as things progressed they provided the glue that kept the whole process moving forward. Export turnover represents only a small part of our group sales but we recognise that there is real growth potential on the Continent for our core categories. The HEMA experience has certainly given us the confidence to embrace more opportunities.”
