|OTC Medicines : Health & Beauty Aisle|
Are retailers ready to tap into new growth opportunities in the over-the-counter (OTC) medicines market? FMCG finds out what’s on the horizon for 2012.
The days are getting shorter and winter is just around the corner – a time to stock up on cold and flu remedies, vitamins and other seasonal necessities.
As one of the most important stakeholders in this category, GlaxoSmithKline Consumer Healthcare (GSK) has worked to partner with both Grocery and Pharmacy to develop the overall OTC market.
“GSK believes there is still substantial opportunity to grow the OTC category in grocery through supporting consumers with a range of brands and improved navigation” says Neill Arnold, category and shopper marketing manager, GSK. Pharmacy is differentiated by offering the opportunity for expert recommendation and pharmacy-only medicine.
In Grocery, GSK’s range of leading and trusted brands forms a strong component of the current OTC category. In the analgesics category is Panadol, New Zealand’s most trusted brand of pain reliever*, which remains the largest single brand (Nielsen Grocery Scan Data, MAT 01.01.2012).
Coldrex has been at the forefront of growth in Grocery, championing the growth of solid dose cold and flu remedies and is proud to have the number one and three sku in the category.
In 2012, the new creative for Coldrex will help more shoppers understand that they have the opportunity to ‘Fight Back’ when a cold or flu strikes.
Where to next for growth in Grocery?
Arnold says: “The OTC category will need to meet additional shopper needs whilst becoming easier to shop. Better shelf navigation could be a potential solution.”
As for new segments, specific conditions such as cold sores offer potential. Zovirax is NZ’s number one cold sore remedy and is now available in grocery, says Arnold. It offers a solution to shoppers’ needs and is a substantial driver of basket value.
“Overall GSK has a strong range of trusted brands and capabilities to partner with both retail segments in developing this category to meet more shoppers’ needs.”
*Reader’s Digest Survey, 2001-2011.
Centrum and Caltrate
Pfizer New Zealand distributes Centrum (multivitamin) and Caltrate (calcium supplement).
FMCG caught up with Pfizer Consumer Healthcare’s national account manager – Grocery, Michelle Latta, who explained that Centrum was re-launched in August 2011 as Centrum Advance – an improved formulation with increased levels of many vitamins and minerals, plus, new antioxidants for healthy eyesight (Lutein and Vitamin A) and healthy heart (Lycopene, Vitamin B6 and Folic Acid).
She said: “Centrum Kids Orange was launched in December 2011 – a flavour extension to our kids range. It provides the right combination of essential nutrients that children need every day to supplement any nutritional gaps and help ensure healthy growth, development and performance, as well as Vitamin A, C and E which may support a healthy immune function.”
Latta adds: “A successful re-launch in August has resulted in $ growth of 3.6% (quarter to 08/01/12 Aztec). Centrum Kids Orange has strengthened the Kids offering and added visibility to the brand ($ Growth of 26.4% quarter to 08/01/12 Aztec). Current ranging is approx 50% of Grocery accounts, with distribution growing month on month.”
In Latta’s experience, consumers are incredibly time poor and taking a once-a-day formula minimises the complication of taking a multivitamin. As far as consumer trends are concerned, she says online is also a huge growth area, where consumers are researching symptoms and product benefits prior to the purchase.
EBOS Healthcare is launching Deep Heat Arthritis Relief in the next few weeks, says brand manager Maya Banks. Deep Heat Arthritis Relief offers fast temporary pain relief to consumers suffering from arthritis.
Osteoarthritis is the most common form of arthritis. Almost half of all people over the age of 60 and virtually all over the age of 80 are likely to suffer from osteoarthritis.
New Zealand has an aging population. The numbers of consumers suffering from osteoarthritis will continue to increase.
Banks comments: “The Deep Heat brand is growing faster than the liniment category in Grocery and the introduction of Deep Heat Arthritis Relief will help continue to drive this growth*.”
* Aztec MAT p/e 01/01/12, share of liniment category and dollar growth.
New flavour for Fisherman’s Friend
Fisherman’s Friend lozenges with the signature menthol ingredient have been invigorating consumers since 1865, says Lisa White, marketing assistant – Fishermans Friend at Stuart Alexander & Co.
Available in a range of flavours, including sugar-free variants, Fisherman’s Friend has a flavour to suit everyone and is sold in over 100 countries.
Fisherman’s Friend consumers are loyal and purchase often, says White. There are a variety of flavours to suit every taste and every occasion.
Launching in 2012 is a new flavour: Sugar Free Sweet Liquorice, combining the right amount of sweetness with invigorating menthol for a long lasting burst of flavour and refreshment. Sweet Liquorice, a unique flavour for the Medicated Segment, provides a completely new flavour offering for consumers.
Experiential sampling in Auckland, Hamilton, Wellington and Queenstown will ask consumers “Which Fisherman’s Friend are you?”
The ‘Flirty’ or ‘Feisty Fisherwoman’ will hit the streets with Sugar Free Blackcurrant and Original Extra Strong flavours for consumers to sample and they can take away a full sized pack to enjoy or share with family and friends.
Fisherman’s Friend flavours in New Zealand include Original Extra Strong, Sugar Free Blackcurrant, Sugar Free Fresh Mint, Aniseed, Strong Mint and new Sugar Free Sweet Liquorice. All flavours are packaged in resealable 25g packs ensuring convenience and freshness for consumers. Fisherman’s Friend products are available at all major retailers (RRP $2.50).