The Campbell Soup Company has outlined plans to continue to increase its focus on faster-growing categories, such as health and well-being and packaged fresh, and developing markets. Its Global Biscuits and Snacks division that includes Arnott’s Tim Tams, will expand into faster-growing markets such as Indonesia and China.
President and CEO Denise Morrison said: “Campbell is taking unmistakable action to reshape our portfolio, redesign our organization and shift our investments so we can move more quickly to meet consumer needs.”
“Campbell’s newly integrated Global Biscuits and Snacks division will focus on building brands like Goldfish, Tim Tam and Kjeldsens beyond their home markets and across new geographic boundaries,” the company said.
“Under the new divisional structure, the company will be better positioned to drive growth by focusing on expanding these brands in developing markets where it has a strong foothold, including Indonesia and China.”
Campbell outlined plans for the company’s three new divisions, each with a clear portfolio role that include: Americas Simple Meals and Beverages; Global Biscuits and Snacks; and Campbell Fresh.
The company plans to remove artificial colours and flavours from nearly all of its North American products by the end of fiscal 2018. It will simplify the recipes of existing condensed soups for kids, removing ingredients such as added MSG and continuing to make the soup with no preservatives, no artificial colours and no artificial flavours. The first updated range of kid’s soups is expected to hit U.S. shelves in August.
To meet the growing demand for simple food, Campbell will increase its organic offerings with line extensions in its core portfolio.
In its third quarter sales released in May, Campbell’s posted a sales fall of 4% to US$1.9 billion, primarily due to negative currency impact. In Global Baking and Snacking, sales fell 2% to $555 million, while Arnott’s sales increased, driven by gains in Australia and Indonesia.