Cologne draws confectioners from all corners. (Conference Coverage).

Despite less than robust economies, despite growing anxieties about a war in Iraq [anxieties that proved true], and despite the absence of several heavyweight confectionery companies, the 33rd International Sweets and Biscuits Fair (ISM) held in Cologne Jan. 26-29 again drew strong international

Statistics aside (see above) ISM continued to fulfill its primary mission, providing an annual platform for the confectionery trade throughout the world.

Within the thousands of new product introductions launched at ISM, some reflective of industry trends, some hoping to generate trends and others simply providing an alternative to existing products through pricing, packaging or distribution, certain confectionery currents signaled shifts in segments, in consumer buying patterns, in technology and in changing retail and wholesale realities.

Health and hedonism continue to intermix at the Fair, as manufacturers see consumers anxious to soothe their stressed lifestyles with a blend of indulgence and invention, be it through higher cocoa content chocolates infused with exotic flavors, or through functional products--gum, lozenges, hard candies--using a variety of herbal and/or natural additives to deliver specific benefits.

The growth of sugar-free confections beyond gum continues to increase, as developments in ingredient technology has fostered favorable formulations in not only sugar confections, but chocolate as well.

Interactivity as a component of children's candy products is also on the rise, fostering tie-ins to popular movies, sports stars, gadgets and games. The "eatertainment" potential within confection remains strong not only in children's products, but in a more sophisticated manner as reflected in delivery and packaging options, a classic case being the proliferation of breath strip products, the success of Warner-Lambert's Listerine PocketPaks breath strips having created a new niche within oral care.

Flavor fusion, organic and natural products, alcohol-filled chocolates, developments that are certainly not new to the Fair, appear to have gained additional momentum this year, as small and large companies look for niches they can exploit.

The following review of companies and products provides a sampling not only of new products, but of those confectionery companies as well, reflecting future investments, shifts in category strategies, as well as forays into new niches.

ICAM

One of the chocolate manufacturers that's enjoying success as a result of the increased interest in organic products is ICAM S.p.a. And while organic remains a small segment of ICAM's total chocolate output, demand has jumped 100%, with the company supplying several other manufacturers with organic coverture drops for their production needs.

At the ISM show, ICAM emphasized its Italian heritage in chocolatemaking, a specialty that's been understated in the past.

"Italy to people often means coffee, nuts, fruit or Italian liqueurs," says Antonio Agostoni, research & development manager for ICAM. "We want to take those characteristics and translate them into the realm of chocolate, since ICAM has been one of Italy's specialists in producing high-quality chocolates. As a result, we've introduced a new line of chocolates that emphasize that. The Italiano line features new packaging, good ingredients and the usual Italian flair for presentation."

Indeed, the gold and silver 250-gram gift boxes feature slick graphics, tempting consumers with an assortment of coffee and nuts fillings. In the Caffe Italiano line, consumers can enjoy espresso, cappuccino and corretto creamy coffee fillings in milk and dark chocolate pralines.

The Autunno Italiano variety features milk and dark chocolate combinations containing hazelnuts, almonds and pistachios.

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Haribo

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Fruit gummi and jellies are back, the BSE scare having been--for the most part--debunked by gelatin suppliers and scientists and/or replaced by confectioners in many instances. That said, manufacturers have now returned to focusing on what they do best, delivering taste, texture and fun to consumers with fruit jelly products.

Bonn, Germany-based Haribo continues to experiment with new tastes, shapes and packaging as a way of stimulation consumption.

The company's newest adult offering, Coffee Gums, transfers real coffee notes into a gummi form, creating a different experience for aficionados of coffee and sweets. The "gummi-bonbons" look to piggyback on the ever-growing appeal of coffee flavors in confectionery products.

There's still, however, plenty of fun in a host of new product introductions from Haribo. Some of the new items on display at the show include: Multi-colored snail-shaped fruit jellies, a sweeter version of escargot; individually wrapped fun gums; classic fruit gummy shapes in a single-serving packets; and multi-flavored, multi-colored new shapes, such as pretzels, octopi, pears, apples and skateboards.

The company also continues to enjoy success with its recently introduced Pyramid mini-mix package, which allows children to squeeze and pop open a plastic pyramid containing a mix of tiny fruit gummies.

Margie Walter, marketing and product manager for Haribo of America, Inc., in Baltimore, notes that U.S. sales enjoyed double-digit increases last year, thanks in part to a strong advertising print program featuring the "naughty" Haribo bears.

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The company has also benefited from the success of its NASCAR link, using racecar star Rusty Wallace as the "driver" for its gummi stockcars item. Haribo looks to introduce a 2-oz. version this spring.

As a result of the company's success in the United States and markets in Europe and around the globe, Haribo has had to expand its production capacity, opening up a new plant in Hungary while building another facility in Turkey.

Trolli

Another one of Europe's key gummi and marshmallow producers, Mederer GmbH, also faced the pleasant but still demanding challenge of matching production to demand. Poor economic times generally prompt consumers to resort to a broad range of comforts. ranging from liquor and cigarettes to candy and chocolates.

For Mederer, manufacturers of the famous Trolli gummies and marshmallows, sales outperformed the category. Consequently, the company is expanding its Czech Republic facility, an investment that could reach $10 million.

"We posted a 35% gain in market share, giving us a 10% share of the category in Germany. And this was done without using any media," says Herbert Mederer, managing director for Mederer GMbh. "We are hoping to reach our target of 12% market share."

In response to the BSE scare last year, the company opted for a gelatin replacement in its formulations, a "difficult process when one wants to maintain high quality standards."

Noting that the company's sole mission is dedicated to gummi and marshmallow products, "head, heart and soul", Mederer believes that the new items introduced at ISM represent "good ideas," often breaking new ground with the segment.

He singled out the new Trolli Playmouse, a multi-colored, mouse-shaped marshmallow that features a gummi tail as an example of innovation and imagination, a development that combines technology with creativity.

The patented Trolli Eyeball, a realistic depiction of an edible marshmallow and gummi eyeball, continues to remain popular. At the same time, there's definitely a movement toward health-conscious gummi items, such as newly introduced Trolli Milch Kuh (Milk Cow) marshmallows using fresh milk, and Apfelschorle apple gummi, using pure apple juice.

Nevertheless, pure fun remains a key component, as evidenced by the Starlight gummi debut and the Gummi Lunch assortment featuring hot dog, hamburger, pizza and French fry gummies.

Katjes

Echoing the successes some of the other German sugar confectioners reported last year, Katjes announced it has posted a 13.3% sales jump in 2002. Part of that strong performance came from the company's acquisition of Frigeo, with its Ahoj-Brause branded line of sherbet sweets and powders.

Co-owner and managing director Tobais Bachmueller, indicated he expects the company to continue its double-digit performance (10%) in 2003, thanks to a strong advertising program pushing Katjes Yogurt gums, Katzen Pfoetchen, Sallos Original and Ahj-Brause.

To keep up with sales, Bachmueller said Katjes has decided to invest 15 million Euros in building a third plant adjacent to its existing facilities in Emmerich, Germany.

At the ISM show, Katjes, which expanded its booth space significantly by picking up the location vacated by Bahlsen, announced it had signed an agreement with Procter & Gamble to promote the sale of Wick Rachendrachen dragon-shaped throat sweets.

In addition, as a result of German pop and rock groups and MTV having agreed to waive royalties for the use of their logos in the form of fruit gums, Katjes unveiled a Charity Fruitgum Katjes Rock 'n Rolls gum product with proceeds going to music therapy.

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And, in all effort to take advantage of the "retro" trend that consumers have found appealing, Katjes reformulated its Dr. Hillers brand peppermints.

"We've relaunched Dr. Hillers, using a retro design for the packaging and changed the recipe, still keeping the original formula, but tweaked to appeal to gourmet tastes, " explained Brigitte Rutten, international sales director. To ensure that the flavor profile would neither overpower nor underwhelm palettes, Katjes enlisted the help of renowned sommelier and food connossiuer Markus Del Monego, with Cave & Co.

As Rutten explained, "A sommelier has the best tongue for favor nuances, something we were definitely striving for." (See "Toasting tastebuds.")

Loacker

Long known for its broad range of quality wafer products, Loacker has expanded its expertise in premium confectionery manufacturing to include chocolate snacking biscuits.

The new Gran Pasticceria line features six original varieties that combine Loacker's "light and crispy crunch with creamy fillings and delicious chocolate.

Available in Coconut, Cappuccino, Creme Noisette and Noir Orange, the Gran Pasticceria line, available in 3.53-oz. packs, provides consumers with indulgent yet light snacking options.

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The Tortina variety, available in large and mini versions, "rounds" out the line. The circular, chocolate-covered wafers come in a hazelnut, milk chocolate variety as well as a dark chocolate option, in bite-size "minis" or regular larger-sized portions.

All of the products reflect the company's commitment to using only natural ingredients, with no preservatives, artificial colors, hydrogenated fats, or GMO ingredients.

Since June 1, 2001, Loacker has reformulated all of its products to reduce sugar content by introducing more milk, hazelnuts, coconut, and cocoa. In addition, only real vanilla and lemon juice are used. The move reflects Loacker's intent to deliver more intense, genuine and natural flavors to the consumer.

Kambly SA

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Trubschachen, Switzerland-based Kambly continues to drive innovation within the premium biscuit category. It's "chocofeuille" item combines thinly sliced hazelnuts atop a sweet biscuit base that's shaped like a leaf blade. A thin strip of chocolate forms the blade stalk of the biscuit, "bringing energy to the leaf," explains Oscar Kambly, chairman and chief executive officer for Kambly SA.

Complementing the chocofeuille introduction, which debuted shortly before the ISM show, the company launched three new items in Cologne: Tuiles aux Amandes, crisp almond biscuits decorated with slice of caramelized almonds in the classic tuile shape and tradition; Rocher aux Amandes, almond biscuits topped with slightly roasted almond pieces and completely enrobed with Swiss milk chocolate; and Delice de Noisettes, light and airy hazelnut biscuits filled with hazelnut cream."

The new items reflect Kambly's commitment to push his company's preeminence in premium biscuits beyond Swiss borders. Last year, the Kambly brand became the market leader within the premium biscuit segment in France. This year the company is focusing its efforts on southern Germany.

Droste

Droste B.V. has opted to upgrade its classic tablet line, introducing a Superior variety, which features 75% cocoa content, the Connoisseur variety, which features two types of milk chocolate and a praline filling that includes hazelnuts, almonds, orange and yogurt, and Bittersweet item, that delivers bittersweet chocolate with a chocolate mousse filling.

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"This three-staged rocket," says Rene van Voorst, national account manager food for Droste, reflects the company's efforts to deliver increased value to the consumer.

Droste continues to enjoy success with its octagon-shaped gift boxes, a popular export item to the United States distributed by the Dorval Trading Co.

Riegelein Confiserie

Rumors that Europeans are embracing Halloween and its accompanying tradition of candygiving are more that just talk at Riegelein Confiserie. Rommert H. de Jong, export manager for the Cadolzburg, Germany company, says the company is in its third year of having Halloween candies at the ISM show.

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"We're very happy with our Halloween items," he says. "We had one problem last year, two weeks before Halloween we sold out. It's definitely coming to Europe. It's still a matter of educating older people about what to expect. But in France this year, the streets were full of children dressed up in Halloween costumes. We even sell our Halloween products to customers in the United States."

Sherwood Brands

Rockville, Md.-based Sherwood Brands" going natural these days, natural as in more natural flavors and colors, says Katherine Owens, v.p.--business development. At the same time, creativity continues to reign, as in twising existing confectionery standards with fun-filled variations.

For example, the company debuted its "stuffed candy canes" at the ISM show. The traditional candy canes contain a chocolate or bubble gum filling within the candy cane.

In addition, candy cane lovers will also have a chance to go retro with the reverse stripe candy cane variety, also launching this Christmas season.

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Sherwood Brands also looks to take advantage of some marketing moxie with its launch of licensed jelly cane items, particularly with the Rudolph, Animal Planet, Norman Rockwell and Muppets brands.

The company will also launch some new gummi products for Halloween, with prospective winners such as the Candy Corn and the Jelly Mummy mix promising good volume.

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RELATED ARTICLE: Toasting tastebuds.

"Dr. Hillers, well, it's the oldest [mint] brand in Germany," explains Christian Bauckholt, principal at Bauckholt Consulting. Founded in 1885, the famous "pfefferminz" quickly found fancy throughout the continent, eventually gaining global distribution in the late 1920s, early 1930s, he continues.

"They were a real sensation at the time," Bauckholt says. But times change, and the brand lost its direction, eventually being sold to Katjes in 1997. Although conscious of the peppermint's history, Emmerich, Germany-based Katjes didn't examine the mint segment closely until about a year-and-a half ago.

That's when the company's management brought in Bauckholt, who had experience in confectionery branding, to breathe new life into the venerated Dr. Hillers.

"We did an analysis of consumers, looking at why consumers bought certain lozenges or mints. What we found out was that there was a group of consumers who wanted extreme and very intense kinds of products. Those consumers, while high frequency buyers, actually represent a low percentage of a much broader base. There were consumers out there who weren't particularly loyal to any brand. We simply needed to get their attention."

To do so, Bauckholt enlisted the services of Markus Del Monego, a champion sommelier and world-renowned food expert.

"Nobody in the whole confectionery industry had ever developed a recipe using a sommelier," he says. "But I had a clear idea of where I wanted to go with the product, just wasn't quite sure how to get there."

Del Monego, general manager of Cave & Co., found the challenge both intriguing as well as natural.

"The idea of having an after-dinner mint is an old tradition, going back to Charles the Great, who ate mint leaves as a digestive and to hide food flavors," he says.

Nevertheless, in working with Bauckholt, Del Monego quickly discovered that the process was not going to be easy. As he explains, although Bauckholt knew what kind of flavor he wanted, it was not simple to communicate that sensation to Del Monego.

"I asked him a series of questions, whether certain flavors were too strong or too mild," he says. Even then the development process proved tricky, with more than 200 recipes tested.

The key involved using mint from Washington State's Yakima Valley, the same mint preferred by Wrigley.

"Funny, it happened to be one of our first recipes, but the flavor proved too strong. Only when we combined the Yakima mint with other ingredients did we achieve what we wanted."

To determine whether their recipe suited the most demanding of palates, Del Monego took the mints with him to Bordeaux, passing them out to a select group of wine producers.

"The recipe passed the test," he says with a sommelier's sense of satisfaction.

"It's all about taste," Del Monego asserts. "And following taste, it's aroma. Most people don't know that we smell with our mouth."

With Dr. Hillers, there's a delicate interplay between aroma and taste, a mint sensation that delivers contentment as well as complexity. And there's never a need for a corkscrew.