NITR dishes on its portfolio revamp, sustainability commitment and more
Focused on a future where food is the number one most purchased category in travel retail, Nestlé International Travel Retail (NITR) has identified six industry growth drivers: travel retail exclusives, sense of place, experiential retail, personalization, sustainability and digitalization – all of which are part of its VERSE model (Value, Engagement, Regeneration, Sense of Place and Execution).
Described as consumer-centric and wide-ranging, NITR’s offer targets demand moments, which according to the team effect over 90% of purchases in travel retail and take into account on-the-go purchases, self-consumption, gifting and sharing across age groups. While working to build KitKat into a travel icon, the company continues to explore developing segments including coffee and VMS (vitamins, minerals and supplements), as well as lead sustainability regeneration within the category. It’s fair to say its plate is full.
Global Travel Retail Magazine met with newly appointed General Manager Frédéric Porchet and Marketing Manager Aura Sanchez for an interview at the TFWA World Exhibition & Conference in Cannes, France. In addition to NITR’s portfolio revamp, which focuses on an enhanced KitKat value proposition, the two discussed the current cocoa market and the early response to the Nestlé Sustainably Sourced Cocoa travel retail exclusive range.
KitKat: breaking right
As shared by Porchet, the iconic slogan “Give Me a Break” has been central to KitKat’s identity for decades and captures the brand’s essence as a snack that should be enjoyed during a break from daily activity. The “break” theme has evolved over the years and can vary per person. “For global travel retail, NITR has successfully interpreted [the slogan] to mean a travel break from daily life and work with themes that resonate with Gen Z,” he continued. “KitKat’s ‘Live Your Best Break’ campaign taps into Gen Z’s desire for experiences rather than just products. We know this generation values memorable moments and travel is seen as a way to explore the world, take a break and recharge.”
Sanchez introduced three new KitKat products at the exhibition and conference: KitKat Mix Pouch, KitKat Senses Miniatures and KitKat Ball. The new product launches, which encourage consumers to bring variety to their break moment, will be supported by campaigns across the entire travel journey including pre-trip digital assets and standout displays to ensure strong in-store visibility and post-trip promotions via social media channels and influencers. All three are exclusive to travel retail and set to launch in 2025.
Speaking about NITR’s partnership with Avolta and KitKat’s integration into the retailer’s 360-degree Emotion campaign, Sanchez explains, “If we close the [consumer] journey on a strong presence at the point of sale and with engaging propositions and activations there, then we manage to transition from awareness to consideration to purchase.”
Cocoa update
KitKat is the first global chocolate brand to use 100% sustainably sourced cocoa via the Nestlé Cocoa Plan and its collaboration with Rainforest Alliance.
The first KitKat made with cocoa sourced from beans grown by families engaged in Nestlé’s income accelerator program launched in European travel retail earlier this year. The program, which started as an additional layer to the plan, provides families with cash incentives so they can increase their income, improve their living standards and incentivize sustainable farming practices.
“This is a significant milestone in Nestlé’s ongoing sustainability commitment to ethical sourcing, as well as improving the welfare of cocoa farming communities, while offering consumers the best cocoa that there is out there to find,” says Porchet.
While the price of cocoa has now stabilized to US$5,000 – 6,000 per tonne, it is still double the standard value. According to Porchet, cocoa prices reaching record levels in the past several months is due to three main causes: supply shortage due to climate conditions, previous underinvestment in cocoa farms and investor speculation.
“We have to continue as an industry to support cocoa farming. Now, importantly through our Cocoa Plan, we know that we have strong initiatives in place to improve cocoa availability, the quality of the crop and the support of the farming households. We’re also working to close the living income gap because it’s important that families don’t move away from producing cocoa,” Porchet adds.
Nestlé pays for cocoa the market price, the living income differential, as well as the premiums required for quality specifications and responsibly sourced cocoa.
Sustainability regeneration
Launched in April, the Nestlé Sustainably Sourced Cocoa line will soon include Dark Chocolate Thins, a three-flavor assortment (70% Cocoa, Cocoa Nibs and Salted Caramel) of 20 individually
wrapped squares that promise a multi-sensorial experience. Its comprehensive campaign which includes trade shows and industry events, online and in-store marketing and extensive sampling has been described as “just the beginning.”
“This launch underlines the commitment of Nestlé not only to innovation and travel exclusivity, but also to leading the overall sustainability regeneration of the category. It combines the Swiss chocolate expertise of Nestlé with the company’s sustainability efforts and is a direct result of Nestlé’s work with the Rainforest Alliance to support cocoa farmers and their communities,” says Porchet.