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Lyle's Golden Syrup - Nearly 125, and still a sweet sensation!
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Created in 1882, Lyle's Golden Syrup is a British grocery classic that remains a perennial favourite with each new generation of consumers, and is run by a brand team firmly committed to innovating and driving market growth to new levels. This much loved and trusted brand is recognised by 86% of consumers, giving it one of the highest awareness levels in the supermarket. The original Lyle's Golden Syrup, in its iconic tin, has spawned a growing Lyle's family of different products, varieties and formats, extending the opportunity to enjoy the outstanding taste and pleasure of Lyle's Golden Syrup into new usage occasions. Alison Ashman, Lyle's Golden Syrup Senior Brand Manager at Tate & Lyle, spoke to The Grocery Trader.
GT - Who originally created Lyle's Golden Syrup?
Abram Lyle discovered golden syrup in 1882 as a by-product of refining sugar, and established that it was great for baking and spreading on bread. Originally he gave it to his staff, then they gave it to their friends and word got round, and then Lyle started selling it commercially.
GT - Do you still supply Lyle's Golden Syrup to bakeries as an ingredient for bread?
It's not really used in bread as such, but it's very important in many other aspects of baking, such as cakes, biscuits and flapjacks. On the ingredient side, we do a lot of business with bakeries producing syrup sponge puddings, treacle tarts and fruit loaves, to name a few.
GT - What products does the LGS brand cover?
The main product is Lyle's Golden Syrup, in the instantly recognisable tins, which has been joined in store in recent years by other extensions and licensed products.
GT - What are Lyle's Golden Syrup's main roles seen as now?
Spreading, topping desserts and baking.
GT - Where is it produced?
Lyle's Golden Syrup is produced in a factory in East London, on the banks of the Thames. It's been made on this site since Abram Lyle started production at the factory in 1883.
GT - Has the recipe changed much since then?
The process essentially hasn't changed. There were improvements in the first few years, but the packaging and the process remain largely unaltered.
GT - Who owns the LGS brand now?
It's owned by Tate & Lyle Plc, which was formed in 1921 in a merger of Abram Lyle and Henry Tate's two companies. There is a rich family heritage from both sides, though it's said the respective founders never met.
GT - How big is the Lyle's Golden Syrup brand, in sales terms?
Excluding foodservice and ingredients, its total retail value is £17 million (AC Nielsen MAT end Oct 05), including the licensed range. Lyle's has 86.6% of the golden syrup market, the rest being mainly own label.
GT - What share of spreads do you have?
The overall UK spreads market is worth around £230 million. We've just launched Lyle's Golden Spread specifically for that market, which we'll talk about later, but it's too early for results.
GT - Have sales of Lyle's Golden Syrup been affected in any way by recent concerns about health and obesity?
As one of the essential staples for baking and cooking, like flour and sugar, Lyle's Golden Syrup is less affected by the health debate than some other grocery products. Sales have been more affected by the fact there's less baking than 20 years ago, although we have seen a small resurgence in cooking from scratch recently. Our consumer research shows that Lyle's Golden Syrup is not just used in baking now, people rely on it for a host of different usages, and this is driving growth.
GT - Has the health debate had any impact on how you market LGS?
We believe that the key to a healthy lifestyle is eating a variety of foods in moderation and exercising regularly, and we're communicating this with new product labelling. Incorporating a little of what you like in your diet adds to your overall enjoyment of food.
GT - Do you have any figures for spreading and topping usage?
Taylor Nelson Sofres data shows that 13% of Lyle's Golden Syrup's volume is used for spreading and topping, up from 7% three years ago. Consumers recognise its versatility, especially on porridge, pancakes and even in savoury foods like stir-frys and meat glazes, in place of honey. People rely on it for a whole host of different recipe needs, such as subtlety of flavour, richness, texture, aroma and binding.
GT - How fast is LGS growing?
LGS tins are stable, at 1% growth. That's not bad for a brand nearly 125 years old! Lyle's Black Treacle is also growing 1%. Spreads as a category have only grown 1% per annum recently. In the Lyle's Squeezy Syrup format we have seven flavours, with 56% growth YOY. In pouring bottles, where we have original LGS and Maple flavour, we have 21% growth year on year, against toppings' overall 4% growth.
GT - Tell me about Lyle's Squeezy Syrup. What's the story?
Lyle's Squeezy Syrups are perfect toppings for ice cream. They feature mum-friendly recipes, with real fruit juice, and are free from artificial colours and preservatives. The different syrups are suitable for vegetarians and coeliacs, and are also Kosher-approved. The packaging is innovative. It's curved and has a non-drip valve, so it's mess free. The squeezy pack gives consumers added value and a reason to purchase.
They are great toppings on ice cream; the packaging is quite funky, not just for the family, but young adults and foodies, taking the Lyle's Golden Syrup packaging into a new dimension.
GT - Are your toppings in the top ten?
Yes, four of our toppings are in the Nielsen top 10 toppings, making Tate & Lyle the UK's top topping supplier!
GT - What flavours are there?
Lyle's Squeezy Syrup flavours come in raspberry, blackcurrant, strawberry - all three fruit flavours made with real fruit juice - banoffee, toffee, chocolate and of course golden syrup. We also market Lyle's Coffee Syrups - chocolate, vanilla, Irish cream, hazelnut, caramel and a mixed pack of single servings of different flavours.
GT - What packaging formats is LGS available in?
Lyle's Golden Syrup tins are available in two sizes - 454g and 907g, which equate to the old 1lb and 2lb measures. This is in line with legislation going back to Second World War rationing, which says that refined syrup can only be sold in these prescribed weights. LGS Pouring and Maple flavour come in 454g bottles. Lyle's Squeezy Syrups are available in 340g bottles and Lyle's Coffee Syrups come in 375ml bottles. Lyle's Golden Spread comes in a 350g glass jar - that's about the average size in the spread category.
GT - You recently launched Lyle's Golden Spread. What was the rationale?
We launched Lyle's Golden Spread in September. It sells alongside marmalade, jams and peanut butter, and has all the great taste of Lyle's Golden Syrup in a semi-solid set texture, which doesn't drizzle out of the spoon.
GT - Presumably you researched Lyle's Golden Spread thoroughly before launching it?
Yes, we did a lot of consumer research. Our research showed the Lyle's Golden Syrup tinned product was being used more and more as a spread, so we developed a new spreadable format, which opens the way to wider consumers of jams and chocolate spreads. The findings are really positive - 89% of consumers said they would buy it, and taste tests were all very positive too, with 96% of consumers saying it was as good as or better than their favourite spread.
The design is a natural development of Lyle's Golden Syrup, with its green colour ways and the illustration of the lion with its tongue sticking out, confirming the heritage.
GT - With so many different products, flavours and formats, are consumers confused?
We disagree strongly! By segmenting our range by usage, ie Lyle's Squeezy Syrup for ice cream, we're actually making it easier for consumers. We're bringing flavour differentiation into the toppings and spreads categories, and providing incremental growth for the retailer. People are adding these products to their repertoire, not substituting one for another.
GT - How should retailers merchandise Lyle's Golden Syrup and the other products, for best results?
To highlight Lyle's Squeezy Syrup's relevance, it should be merchandised in the ice cream sundries aisle or above ice cream. Lyle's Golden Spread sits with preserves, so put it next to the jams. Lyle's Golden Syrup belongs either with home baking or preserves, depending on the store. The preserve aisle is still a high traffic area compared to home baking. Wherever it's found in the store, we want to maximise the sales opportunity in all fixtures.
GT - Do you work closely with individual retailers to get the best from the opportunity?
Yes, we've got good working relationships with retailers. Merchandising isn't uniform from one store group to another: the multiples and independents all vary. Our category planning department is there to help retailers drive their sales.
GT - Are there any seasonal 'highs' for LGS products?
The pouring bottle and maple syrup peak in the run up to Pancake Day, which this year is on 28 February. There's only a short window of opportunity, from Valentine's Day to Shrove Tuesday, so stores need to make the most of it. Lyle's Squeezy Syrup has a longer window, the summer ice cream season, from early May to the end of the summer holidays. Lyle's Golden Syrup and Lyle's Black Treacle are very strong in the run up to Christmas. Lyle's Black Treacle peaks in the autumn for Bonfire Night and in making Christmas cakes.
GT - What are you currently doing in terms of advertising and promotion?
At the moment, we're running a PR campaign, Simply Delicious, featuring Gary Rhodes, focusing on quick and easy family meal time solutions. We carried out a national survey, which revealed people are getting round the dinner table more, and celebrity chefs like Gary are drawing people back to real food values. We're also running an ad campaign starting in February in the women's and general food consumer press, with full page ads promoting our full range of products, backed by in-store promotions.
GT - What's Gary doing for you?
Gary's been talking on radio programmes and featured in national and regional newspapers and magazines. The interviews have generated coverage from October and will continue into the first quarter of 2006.
GT - How big is the media spend?
The media spend is consistent with previous years. We're the biggest spender in the toppings category. We're also investing in NPD, improvements and extensions, and looking to the future.
GT - Are you using new media?
We've got a new web site, which launched in October, www.lylesgoldensyrup.com. It promotes Lyle's Golden Syrup usage and demonstrates that baking can be simple and quick, and consumers can make tasty dishes really easily. We'll be adding more to the site in February, including sections on Lyle's Golden Syrup's history, Frequently Asked Questions and the growing number of Lylešs Golden Syrup franchise products.
GT - Is the URL on the packaging?
We're changing our packs to include the URL. It's featured in the Gary Rhodes activity, and the site also includes downloadable recipes by Gary.
GT - With the various LGS products prominent on the table or in the kitchen in millions of homes, do you make use of their potential for on-pack messages to reinforce usage?
We haven't always done so in the past, but we're changing that strategy. Lyle's Squeezy Syrup features usage suggestions, and the tins are being revised at present. The first stocks with new-look back of pack texts are coming into the trade soon, including Lyle's Black Treacle.
With a product like Black Treacle, many people don't understand how to use it, hence the importance of on-pack suggestions. For instance, it's great as a glaze on salmon. LGS pouring packs feature a series of different usage ideas printed on the bottle, like porridge and salad dressing.
GT - For people who just can't get enough of Lyle's Golden Syrup, are there any licensed brand extensions, like cakes, biscuits or ice cream?
Yes, you can get Lyle's Golden Syrup cakes, biscuits, flapjacks, treacle tarts and fruit bread. In cakes and biscuits, McVitie's has the longest serving franchise and launched Lyle's Golden Syrup Cake in the 1980's. This autumn has seen them launch Lyle's Black Treacle Parkin Cake. Interlink Foods is doing well with Lyle's Golden Syrup treacle tarts and flapjacks with their Hopper's brand.
GT - How do you work with these manufacturers to ensure authenticity?
We work closely on product and packaging development. Our Product Application Manager and Franchise Development Manager work collaboratively with our partners to ensure that we are all happy with the final product for launch. Consumers know and trust Lyle's Golden Syrup as a brand, and we don't want to disappoint. There will be further brand extensions in Spring 2006, taking us into some exciting new categories.
GT - Where do you see Lyle's Golden Syrup going from here?
As a £17 million brand, there is still huge potential for growth with the core range. The challenge is to get LGS out of the cupboard and encourage people to use it as a more everyday product, rather than just a seasonal one. We will continue to support the newer extensions and launch new ones to plug any gaps, and invest in the brand.
We're lucky to have a brand with such a strong heritage. It's still highly relevant today, and can be used in all applications and products, and is delicious every time. Furthermore, it delivers results for everyone who stocks it.
Lyle's Golden Syrup 020 7540 1117
www.lylesgoldensyrup.com
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