Unilever 2015 Annual Report Download - page 24

In July 2015 Knorr launched 100% natural
Mealmakers n the bggest European market,
ermany Ths nnovaton was n response
to changng consumer preferences and
growng demand for more authentc, fresh,
natural and sustanably sourced foods
Now consumers concerned wth natural
ngredents can cook ther favourte dshes
such as spaghett bolognese more easly
and faster, usng Knorr Mealmakers
FOODS
FOODS IS A 129 BILLION
ATEORY AOUNTIN FOR 24%
OF UNILEVER’S TURNOVER AND
31% OF OPERATIN PROFIT
Our portfolo conssts of Knorr, Hellmann’s
and Rama, our 1 bllon brands, and other
well-known global brands such as Becel
and Malle
The category’s strategc role s to
accelerate growth whle mantanng
strong proftablty and cash flow In 2015,
focus has been on three prortes to
accelerate growth n emergng markets
to regnte growth n Europe and North
Amerca and to adapt the portfolo to
address emergng consumer trends
The strategy successfully delvered a return
to postve underlyng sales growth of
15% n 2015, wth strong performances n
savoury and dressngs offsettng a further
declne n spreads We also saw contnued
strong growth by the global Food Solutons
busness, whch servces professonal
hotel, restaurant and caterng customers
Despte some market volatlty, emergng
markets delvered sold growth of 65%,
drven by Latn Amerca, Inda and South
East Asa Emergng markets now account
for more than 40% of our sales, up from
33% n 2012, fuelled by double-dgt growth
n 2015 n some of our local brands, such
as Mazena n Brazl, Fruco n olomba,
Kssan n Inda, Bango n Indonesa and
Lady’s hoce n the Phlppnes
Although markets n Europe and North
Amerca reman challengng overall,
savoury, Foods’ largest sub-category,
performed strongly, returnng to growth
n Europe and contnung to grow sales
and market share n North Amerca
Dressngs has also experenced broad-
based growth n Europe and ganed
market share n the compettve US
market We benefted from the launch
of new products ncludng Hellmann’s
wth olve ol and Knorr 100% natural
Mealmakers, respondng to changng
consumer preferences and growng
demand for more authentc, fresh,
natural and sustanably sourced foods
The spreads busness experenced another
dffcult year In mélange (mx of margarne
and butter), we saw strong growth ahead
of the market once more However, the
market for margarne contnued to suffer,
nfluenced by an ongong declne n the use
of spreads, compounded by a reducton
n butter prces In order to respond to ths
fast-changng market landscape, we have
created the Bakng, ookng and Spreads
busness amed at acceleratng the
turnaround of the busness n Europe
and North Amerca
Feedng the world sustanably s a maor
challenge That s why sustanablty
remans at the heart of our Foods busness
Our man Sustanable Lvng brands –
Knorr, Hellmann’s and Becel/Flora –
combne a clear sustanable lvng
purpose wth a long-term global growth
opportunty through mprovng nutrton,
food safety and an ever more effcent
use of resources
In 2015, Hellmann’s successfully
ntroduced an mproved squeeze bottle
wth new ‘Easy Out’ technology, whch
sgnfcantly reduces food waste, whle
Knorr launched the Knorr Anmal Welfare
programme desgned to mprove standards
n sourcng meat ngredents More than
90% of the vegetables most frequently
used n Knorr products are sustanably
sourced, already puttng us on target to
reach 100% by 2020
KNORR 100%
NATURAL
MEALMAKERS HAS
A LEAN LABEL
WITH NATURAL
INREDIENTS
KNORR 100% NATURAL
MEALMAKERS
THE LAUNH IN ERMANY WAS
FOLLOWED BY ROLLOUTS AROSS
OTHER OUNTRIES IN EUROPE
1 mllon
Knorr Mealmakers grew well
ahead of the market n ermany
n 2015 and attracted 1 mllon
new households to the brand
21Unilever Annual Report and Accounts 2015 Strategic Report