Arla Germany reports improved 2021
Despite complicated conditions due to the Covid-19 pandemic, Arla Deutschland has managed to successfully develop its business in Germany in the first half of the year, the company says. For example, sales growth (quantitative) with Arla branded products was 1.3% compared to the same period of 2020. There has been a special focus on the introduction of two product innovations, strengthening the Arla umbrella brand, as well as to drive the sustainability agenda in Germany.
“With the new Arla Buko Dip and Arla Kærgården Bio, we have brought two important innovations to market. It is now about establishing these innovations in the market as well as expanding the positions continuously. In the context of our brand strategy with our new campaign, we have first moved our roof brand Arla to increase the perception of the Arla brand family with consumers. In addition, we were able to achieve important milestones of our sustainability agenda, both on the farms of the Arla farmers and in the field of product packaging. Strong brands, innovation and sustainability are central components to successfully set up in the German market in the long term,” says Patrik Hansson, who since 1 June has been head of Arla Foods Deutschland.
Arla Buko cream cheese is one of the market leaders (pictured above). Since March, it has added three varieties. Via the Dip varieties, Arla is paying particular attention to the trends of snacks and uncomplicated cooking, the company says. With its Arla Kærgården Bio mixed product of organic milk butter and rapeseed oil, the dairy has also expanded the brand.
Arla’s umbrella brand launched its own campaign in the German market in May. According to market researcher Nielsen, it is one of the top 10 brands for dairy products, after a significant sales growth over the past five years. The brand family includes Arla Skyr, Arla Kærgården and Arla Bio, along with Arla.
The first round of the new Arla climate check programme was successfully completed on the farms of just over 90% of farmers in Germany, and the second round of data collection has been launched. Based on the checks, farmers can see where they are standing with their carbon footprint and take targeted improvement opportunities.
With participation in the programme, farmers make a significant contribution to achieving the goals of Arla Foods: 30% fewer CO2e emissions per kilogram of milk by 2030 and net zero-CO2e emissions up to 2050.
More sustainable packaging also contributed in the first half of the year. In Germany, the Arla Kærgården received a new, more sustainable packaging (250g), which can be recycled better compared to the predecessor packaging in Germany. In addition, it is 8% lighter and has a 1% lower carbon footprint. Last year alone, around 69 million packs of Arla Kærgården (250g) landed in the shopping cart of Germans.