Kraft Foods will launch at least eight new products by July under its Health & Wellness umbrella and bow a coffeemaker, its first bid in the home appliance segment.
Marketing spending on new products could hit $350 million to $400 million, as Kraft boosts total marketing spending $500 million to $600 million this year.
Kraft’s convenience division will launch Tassimo coffeemakers in France in the second half, with “global aspirations” but no date for a U.S. launch, per a Kraft spokesperson. Kraft will launch single-serve packets of Carte Noire coffee, Suchard chocolate and Twinings tea to use with Tassimo single-serve appliances. Braun will sell and market Tassimo for Kraft. Tassimo may go up against Procter & Gamble’s Home Café single-serve system, launching in the U.S. in May, and takes on Starbucks Corp., whose beans and ready-to-drink coffee beverages are distributed in supermarkets by Kraft.
Some Health & Wellness launches extend current Nabisco and Kool-Aid brands; others launch new brands.
This quarter, Kraft bows the CarbWell brand with four salad dressings and barbecue sauce; other low-carb items are expected to follow. Balance GoMix is a high-protein, low-fat trail mix.
Extending current brands are Kool-Aid Jammers 10, with fruit juice and 10 calories per serving; Capri Sun Waves 100% juice drinks; Crème Savers Smoothies dairy beverage, 98% fat-free; and Triscuit crackers with no trans fats. Tirscuts launch first quarter; other cookie and cracker brands will get reduced or zero trans fat flankers later this year.By mid-summer Back to Nature organic line gets cookies, crackers and macaroni and cheese in addition to existing cereal and granola.
Northfield, IL-based Kraft will also will launch by mid-year Nabisco 100-calorie packs, single-serve packs of reduced trans fat Wheat Thins, Chips Ahoy!, Cheese Nips and Oreos. The thin, crisp snacks have three grams or less of fat, zero grams of trans fat and no cholesterol.
The new product blitz is part of Kraft’s four-part growth plan that includes expanding global scale, cutting costs and reinvesting in brand value.
Kraft projects worldwide revenues will grow 3% this year based on volume growth of 2% to 3%.