'NEWS' IS GOOD NEWS WHEN MARKETING TO KIDS

LIZA CASABONA

While kids and tweens have emerged increasingly as an attractive market, beverage marketers and manufacturers have to accommodate the unique approach kids have to purchasing while also addressing the problems that come with marketing to a group that does not control its own purchases all the time.

"Kids spend a whole lot of money; they influence a lot of their parents' spending. And the No. 1 category kids request in terms of dollar volume are foods and beverages," said Julie Halpin, chief executive officer, the Geppetto Group, New York. "It makes sense; mom or dad goes to the grocery store every week and says to their kids, 'Anything special you want this week?' Kids have many opportunities to make those requests."

But, she cautions, marketing to children is not the same as marketing to adults. She said her firm assumes nothing when dealing with child-oriented programs.

Kids, Halpin said, are a very different kind of consumer. They are both excited by new things and reluctant to take too many risks. What works best, she said, is when a trusted, known brand adds a new element.

"I think the whole notion of bringing 'news' to this category is a very powerful, successful marketing technique with children," Halpin explained.

New products, new flavors, new promotions and new packaging can all appeal to children, particularly when they are presented by a known and trusted brand. Children are surprisingly brand loyal, but conversely very easy to lose.

"The reason that the 'news' idea is powerful is that is gives a kid a reason to want to try 'Product X' now. Try it now because there's this great new package, or try it now because there's this great new flavor. It can make a product that's been around a long time, that maybe has fallen off their radar screen, become much more interesting."

Many beverage companies have also tried to give their beverages kid appeal by utilizing popular licensed images. In the spate of drinks emblazoned with everything from Looney Tunes to video game characters, recent programs have started to approach licensing very strategically and intelligently. In the past, Halpin said, licensing programs had a short shelf life; when children lost interest in a program, the beverage product was no longer a hot commodity.

New products like the Disney Xtreme Coolers, the Hundred Acre Wood 100% juices from Minute Maid and the Sesame Street juices from Apple & Eve marry the right license with the right age segment and right manufacturer, Halpin said.

"That's what makes both Sesame Street and Disney such excellent licenses; they have both mom appeal and kid appeal."

That dual mode addresses some of the particular issues facing manufacturers of beverages targeted toward younger children, primarily that mom and dad make the buying decisions for a younger child, acting as gatekeepers.

"Making sure that you have a product that both moms and kids feel good about is a unique challenge," said Rick Zuroweste, director of innovation for the Minute Maid company. "Oftentimes what kids want and what moms want them to have are two different things. That's a challenge."

The enduring quality of Disney and Sesame Street's licenses is a powerful combination, Halpin and Zuroweste both agree, giving the product a much longer shelf life than a typical licensed beverage.

And retailer response to the new licensed products has been positive. The new Disney brands were shipped to stores beginning Sept. 24 but retailer acceptance rates speak volumes about retailer reaction, said Mike Saint John, senior vice president of sales for the Minute Maid Co.

With over 90% of Minute Maid's retailers accepting some segment of the new Disney line and approximately 85% accepting all 18 stockkeping units in the line, Saint John said retailers seem very excited about the new marriage of trusted kids brands.

"The retailer acceptance has been phenomenal. In my 20 years in the business I've never seen anything like it." he added.

Marketing to children also requires thinking out of the box, Halpin stressed. If a company doesn't have a beverage brand or a license that a child is already familiar with they have to go the extra mile to reassure them that a product will be liked.

Kids, Halpin said, need to see what a product will taste like to reassure them that something they put in their mouth will be something that they like.

"When sampling can't be done, really product-focused advertising that brings the brand proposition to life for kids is also really, really powerful," Halpin said. "If it tastes like fruit, show me the fruit, tell me the fruits. If it tastes like milk and chocolate, show me the chocolate, show me the milk. Kids taste with their eyes. It's very important that they see what it's going to taste like."

When asked what their favorite flavor is, Halpin added, younger children will often say red. Their visual identification is so strong that they don't go beyond color.

Manufacturers need to be concerned with how these brand images are presented. If a child is the target of a brand image or advertising campaign it is important that retailers place those beverages at eye level, in places where a child is likely to spot them. The product size should be accessible for children.

Kid as consumer is primarily concerned with fun, Halpin said, but mom as buyer is looking at the health content of the beverages she purchases for younger children as well as the value. As with any product, the merchandising comes into play. But more importantly with a product targeted to children, the selling points of a product matter.

Moms, Halpin stressed, are becoming more holistic in their approach. As long as children are absorbing adequate nutrients and vitamins over the course of the day or week, moms are often satisfied. Moms will monitor how much and how often less healthy products are consumed, Halpin said, but not as regimentally as one might think.

"Over the course of the day, there's room for multiple kinds of products in the house, which is why this is an important target. Because very often what moms bring in the house for kids gets drunk by everybody, there's also a major volume opportunity," Halpin added.