>>how a new product is performing

Cadbury jaffa cakes
Burton’s Foods
Launch date:
August 2006
Burton’s Foods went head to head with McVitie’s Jaffa Cakes last year when it decided to launch a Cadbury-branded milk chocolate version of the old favourite - not an easy task by any means.
However, the newcomer has proven a big success so far with ACNielsen figures showing strong growth. Cadbury Jaffa Cakes has clocked up £33.3m in sales, a figure that translates to an impressive 12.6% share of the burgeoning total biscuit everyday treat market.
Developed under licence from Cadbury, Burton’s Foods hoped that the new milk chocolate-coated variety would create a point of difference and generate renewed interest in the market.
With 29% of ACNielsen’s consumer panel having tried the product, and 47.3% of those coming back for a second purchase, the company - which at the time of launch said it would like to think the treat would become as big as its rival - is very happy with the performance of the newcomer.
“The brand has more than lived up to expectations and has overdelivered on our initial launch estimates,” said Helen Tomlinson, customer marketing controller at Burton’s Foods.
“We have had tremendous support from the trade, which views Cadbury Jaffa Cakes as a genuinely different alternative to McVitie’s because of our use of Cadbury milk chocolate.” She predicted that sales would double in the coming year. So far the range has achieved 83% distribution in all possible outlets.
The brand will be heavily involved in the advertising and in-store activity planned for Cadbury biscuits later this year and is also likely to benefit from the halo effect of the company’s overall advertising campaigns.
As a whole, the total biscuit everyday treat market is a good place to be with sales up to £264.3m from £257.9m last year.
n Data: ACNielsen 4 w/e or MAT to January 28, 2006.