10th December 2020 By Bridget O'Connell | email@example.com | @foodtickernz
Two New Zealand exporters have developed a new bottled water beverage to push into the $2bn global collagen ready-to-drink (RTD) market.
Adashiko Collagen Refresh has been developed in a joint venture between Hawke’s Bay manufacturer Parkers Beverages and NZ collagen company Adashiko.
The shelf-stable collagen and artesian water blend with no preservatives, flavours, colours or other additives took more than a year to develop and is set to be sold through FMCG and hospitality channels both domestically and internationally.
Adashiko chief executive, Luci Firth, said the drink “is designed to rejuvenate the premium bottled water industry” and “introduce nutraceutical beverages widely into the hospitality industry.”
She said: “The bottled water category in the hospitality industry typically consists of unflavoured still and sparkling varieties and has seen little innovation for some time.
“Many New Zealanders will struggle to pay for bottled water and with so little value added by suppliers, restaurateurs and bar owners are left to compete head-on with tap water, while still having to cover the cost of supplying it.
“The addition of a functional water product to this category means they will now be able to offer a competing product which they can justify retailing at a premium price point.”
Firth added that local interest from NZ buyers “has been strong” and the product is now retailing in a number of supermarkets, restaurants and bars “with an increased uptake expected from both channels as we head into summer.”
On the global market, Parkers managing director, Doug Speedy, said the use of pure NZ artesian water from an on-site well is a “valuable marketing asset in building international brand equity”.
“Exporting bottled water from New Zealand can be a tough sell, there are relatively low barriers to entry and little point of differentiation which has commoditised the category.
However, he added that there is currently strong interest on a global level for Kiwi made wellness products “and the initial discussions we have had with buyers overseas suggest this will be a key differentiator for us as part of our export marketing strategy.”
Speedy added that each market around the world views the same ingredients differently which entails navigating each country’s requirements.
“With a beverage like this the conversation isn’t just around product and price, it is product, price and regulations.
“None of these challenges are insurmountable however and we have already begun the process in several key markets such as Australia, USA and Singapore,” he said.
The company is also seeking distribution partners in the United States.