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Mikael Horsboll, marketing manager, Arla Foods U.S., says the cheese first was introduced to buyers at the International Dairy-Deli-Bakery Association’s show in June and currently is in the process of being rolled out nationwide. For now, Bellablu primarily is a U.S. product, but there is interest in it from other parts of the world as well, he says.
Bellablu is available under the Rosenborg label, Arla’s well-known brand under which it imports a variety of styles of Blue as well as Brie and Camembert. Danish traditional Blue, extra creamy Blue and mellow Blue under the Rosenborg brand also received updated packaging this year to reflect Best Taste Awards received from the American Culinary Institute.
Arla, which is probably best known for its Blue and Havarti in the United States, isn’t stopping new product introductions with Bellablu. Newer still to Arla’s U.S. lineup is Blue with fruit, which is just now being rolled out for the holidays. This cheese caters to the high-end specialty crowd looking to serve cheese on a special occasion. Blue with cranberries and Blue with pear both will be available.
Horsboll notes that while the company has a strong presence in both the U.S. Blue and Havarti markets, he believes there still is room for growth, particularly when it comes to Blue.
An emphasis on watching consumer trends helps Arla develop new products and keep its marketing fresh, according to Horsboll. It helps that the Arla Foods U.S. division has a large company behind it. The U.S. division makes one domestic cheese, Dofino Havarti, and imports several cheeses and butters. It is a significant supplier to the deli department.
“But I think in the U.S. people don’t recognize the size and scale of Arla. We’re the third-largest dairy company in the world,” Horsboll says.
In 2003-2004, Arla produced nearly 740 million pounds of cheese. With a share of just more than 25 percent of total annual turnover, cheese is Arla’s second-largest product area.
Even though cheese isn’t Arla’s biggest business fresh milk is Arla has a long cheesemaking history that is the backbone of the company. Arla was formed with the 2000 merger of Denmark’s MD Foods and Sweden’s Arla but these companies have cheesemaking roots going back to the 1800s.
“We have a strong heritage of cheesemaking in Denmark,” Horsboll says. “There’s a lot of tradition, heritage and knowledge of the business.
“Our high consistency and quality sets us apart,” he adds.
As such a large company, Arla is able to develop new products with a fair amount of ease and cater its marketing to various consumer segments. Each individual cheese is not meant for the same consumer. In fact, one of the biggest changes in the U.S. division, since it was formed in 1989, has been its evolution from simply a supplier of cheeses from Europe.
“We’ve really developed the business from being a cheese supplier to understanding what customers need,” Horsboll says.
That’s why in the late 1990s, the U.S. division began producing Dofino Havarti at White Clover Dairy in Wisconsin with a Danish cheesemaker overseeing production. Arla already was successfully importing Denmark’s Finest Havarti, but executives believed a domestic Havarti would sell well and not cannibalize the company’s existing marketing for imported Havarti.
Some consumers are willing to pay a premium and want an imported cheese, and that’s at whom Denmark’s Finest generally is targeted.
“There’s a segment that is not that confident shopping in the self-service deli that is the segment to which Dofino is positioned,” Horsboll adds.
Arla continues to focus on branded, retail-friendly consumer packaging for all of its brands. A relatively recent development has been the launch of Denmark’s Finest in an 8-ounce soft deep drawn package. With this packaging, no pressure is put on the seal, the Havarti is not crushed and the irregular eye formation of the cheese is not affected, the company says.
The company utilizes print and radio advertising, choosing radio in selected regions, particularly metropolitan areas, where consumption of specialty cheese already is higher.
Last year, for example, Arla began a radio campaign for its Rosenborg cheese and Lurpak butter lines. Radio ads featuring Rosenborg were broadcast in San Francisco, Chicago and the New York/New Jersey metro area. Lurpak radio ads were broadcast through premium radio channels throughout the holiday season last year and again will be broadcast this year. Bellablu also is being featured in radio advertising during the holiday season.
The Lurpak brand, which also won the American Culinary Institute’s Best Taste Awards, is Arla’s flagship Danish butter line. The line continues to do well in the United States, according to company officials. The company’s Mediterra brand, its specialty Feta brand, also is doing well.
Bellablu is being promoted at trade shows as well as with heavy couponing and coupon booklets featuring recipes.
The company will keep working with customers to develop the products consumers want, Horsboll adds. New products and promotions already are in the works, and Horsboll promises “exciting things for next year.”
CMN
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