MD Foods is to double the advertising spend on Lurpak butter to pounds
4.5m next year to back the launch of its first brand extension, Lurpak
The Danish dairy company will screen two ads by BMP DDB featuring its
claymation star Douglas and the voice of actress Penelope Keith early in
the new year.
MD Foods is using the launch to attack its principal competitor,
Anchor, which relaunched its own Spreadable product three months ago.
Anchor has a 32% share of the butter market, with Lurpak second on 18%.
Marketing director Henrik Nygaard. admits that up to 40% of the expected
pounds 12m sales of Lurpak Spreadable in its first year will come from
consumers transferring from the original brand. But he points out that a
10p price premium on Spreadable will raise the total value of the brand.
The pounds 60m Lurpak brand has grown by 6.6% over the past year, faster
than its larger competitors Flora and Anchor. It contains less salt than
standard butter, capitalising on consumers’ increasing awareness of
needing to reduce salt intake.