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October 22, 2007

UK: Cadbury loses, Warburtons gains in brand poll

The salmonella scandal that hit Cadbury Schweppes last year cost its flagship chocolate brand some GBP83m (US$169m) in lost sales, according to a survey listing the top 100 brands in the UK.

The salmonella scandal that hit Cadbury Schweppes last year cost its flagship chocolate brand some GBP83m (US$169m) in lost sales, according to a survey listing the top 100 brands in the UK.

Cadbury Dairy Milk slipped to third in the league table for the top 100 grocery brands in the UK by value, a list complied by business consultants Intangible Business. The brand’s sales fell to GBP441m after last year’s salmonella scandal, which caused Cadbury to recall more than 1m chocolate bars.

Warburtons bread leapfrogged Cadbury Dairy Milk to reach number two in the list, with sales of GBP516m. Rival bread brand Hovis stood at number five in the list with Heinz Baked Beanz at number nine the other food brand in the top ten. Coca-Cola remained the UK’s most valuable grocery brand, enjoying sales of GBP1.2bn, Intangible Business said.

Stuart Whitwell, joint MD of Intangible Business, said: “Creating this report has once again provided valuable insight into the ups and downs, trends and predictions in the UK’s most dynamic industry sector.

“Coke extended its lead, Cadbury suffered under health scares from which Bernard Matthews emerged largely unscathed, the Actimel steam train hit the buffers, Innocent debuted in the top 50 and Premier Foods entered the major league for the first time.”

Actimel fell nine places in the list, while Birds Eye tumbled 12 positions. Some 11 brands made their debuts in the list, with Innocent the highest new entry. Baxters soup entered the list at 90 with sales of GBP51m, while Kettle Chips, Green & Black’s chocolate and New Covent Garden soup were other new entries from the food category.

Whitwell said: “Each of these brands have skilfully carved out a niche, increased distribution, invested in their brands and ridden the wave of relevant consumer trends such as health, convenience and provenance. These new brands are really challenging the more established players and, I suspect, attracting their attention as possible acquisition targets in 2008.”

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