Rexam and Alcon Group lead the way in dairy with the launch of Mio, milkshake in a can
Alcon Group, has chosen to partner with Rexam to launch MIO, a unique and refreshing lemonade flavoured milkshake. Recognising a gap in the market amongst teenagers and young adults for a carbonated milk based drink, Rexam and Alcon have worked together to produce an innovative can design to launch the first beverage of this type in Russia.
The launch of MIO sees Rexam working with a dairy product, demonstrating the growing demand for the use of aluminium cans in the category. Produced out of Rexam’s Vsevolozhsk plant in Russia, the bright and concise design is being produced in a 33cl Sleek can.
Nikita Volkov, MIO Marketing Director says, “It was great to work closely with Rexam to produce a can that represents our brand image – young, fun and dynamic. The aluminium can is the perfect packaging for MIO offering an alternative format and giving us stand-out in the dairy based beverage category.”
Company: MIO & Rexam
Category: Dairy Drinks
Packaging: 330ml can
Variants: Blackcurrant and mint, pear, apple, strawberry and vanilla
Where to Buy: Sold in retail outlets and local networks across Russia
The drink drops business is getting a new participant, or should we say a giant. Hoping to piggyback on the success of Kraft´s MIO drops Coke believes there is a lot of opportunity for this type of product.
"I think there's an opportunity beyond just flavored waters," said John Roddy, vice president of Coca-Cola's water, tea and coffee business in North America.
Since Kraft´s MIO launch last year there have been numerous copycat products hoping to capitalize on this new market. The drops are popular because you can carry the bottle with you anywhere you can and choose how much or little you decide to use. The economic factor is important as well since consumers can save on paying for bottled water or flavored waters. Both Kraft and Dasani´s drops are made with artificial flavors and zero calories.
There are no set plans or dates as to when Coca Cola will enter this market but we are sure their product development team is hard at work.
Analysis & Impact
With Coca Cola´s massive distribution network they can easily bring this new product to market. In reality the drops are a modern version of Kook Aid in liquid form with better health benefits. The beverage giant will use Dasani water and distribute wherever Dasani is sold. The idea is that the new drops will also boost the consumption of Dasani water as well. Other units of their business will be hurt in the process but the new market will introduce additional profits.
Soda products are under attack worldwide because of their high sugar content and links to obesity. It will become harder and harder to successfully sell regular soda products so beverage manufacturers like Coca Cola have to begin diversifying their product lines to make up for lost sales. As consumers become more aware of the poor health benefits of soda sales will continue to drop.
Kraft may be enjoying initial success because of the uniqueness of the product and by being first to market. With added competition and the novelty wearing off only time will tell how popular these drink drops really are. In our opinion this is a product for home consumption, I have yet to see anyone dropping flavored drops into water in a public setting. MIO has diversified its line with new flavors and an energy product. The segment is new and there is a lot of room for innovation. Because of Coca Cola´s huge reach we would expect them to make an immediate impact in the industry as soon as they launch.