February 3, 2020
According to GlobalData, Bega Cheese intends to strengthen its presence in the spread market by launching the low-salt version of Vegemite in Australia
After today's announcement of a new product, Vegemite 40% less salt, by Australian dairy company Bega Cheese Ltd;
Nabila Azmatulla, Consumer Insights Analyst at GlobalData, a leading data and analytics company, offers her view:
“Australians are looking for products that improve their health and think healthy eating is very important to create a sense of well-being. The National Health and Medical Research Council (NHMRC) recommends that Australian adults consume no more than 4 to 5 grams of salt a day, while actual consumption is estimated to be double.
“According to GlobalData's consumer survey for the third quarter of 2019, 8 out of 10 Australians are actively trying to reduce or consume salt in moderation. This offers manufacturers an immense opportunity to take advantage of this consumer sentiment. In addition, the syrups and spreads market shows the potential for manufacturers to further explore this market through innovations, including healthy product offerings.
“According to GlobalData, the Australian syrups and spreads market is $ 655.2 million in 2019 and is expected to grow at an average annual growth rate (CAGR) of 4.3% between 2019 and 2024.
“Nutella from Ferrero is the leading provider in this market, followed by brands such as Kraft, Capilano, Ribena and Vegemite. Vegemite is a very popular brand with a strong connection to Australia. It is therefore expected that Bega Cheese's move to capitalize on the popularity of its brand and take into account the changing nutritional needs of consumers is a welcome step. "