Can something actually still be developed about a traditional product like syrup? Or is it just a matter of sticking to the plan? With this question in mind, the Kiempunt editors visited Paul Visschers of Frumarco, one of the largest syrup producers in the Benelux. And it turns out that these are exciting times for Frumarco when it comes to product development. And that starts with a delayed flight.
A message on the screens: the flight has been delayed. While waiting at the airport, Paul Visschers gets into a conversation with an Iraqi, who now lives in Stockholm. The man is very interested when he hears that Visschers knows how to make syrup from apples and pears. The experience that Frumarco has gained with preventing crystallization in the production process is something that would also be useful in the production of date syrup. Date syrup is a popular product in Middle Eastern cuisine and many migrants from Syria, Turkey, Morocco and other countries continue to buy it as they settle in North-Western Europe. Wouldn't Visschers be interested in producing date syrup, just from Beesel? It is the beginning of a further market exploration and search for the perfect date syrup. Visschers: "Dates do not grow here, but it has properties that we do have experience with. We know how to remove the pit from the fruit, retain iron and other minerals from the fruit in the production process and ensure consistent product quality."
On market exploration
Visschers didn't go out on a limb and delve into the market potential. "I find it especially interesting that I don't know that market. That's business: looking for new sales markets and exploring them. It starts with something as simple as checking the CBS figures: is there indeed an interesting market to which we can supply? And recently I have been travelling a lot and talking to different parties. For example, I went to Israel, an important place for food producers. That's how I discovered that kosher foods inspire confidence. It is more important than halal, even for many Muslims. A pure and honest product is also important; the sugar content matters less than to the average Dutchman. Doing business is really different: it's much more about relationships and trust. The Iraqi entrepreneur from Stockholm is now our wholesale partner. The next step is the food fair in Dubai."
Surprising the retailer
Frumarco is a true family business and has been around since 1852. Visschers is the 7th generation of syrup makers and has been running the company since 2007 which is now based in Beesel. Frutesse is the main brand they carry. They also produce private label syrup. "That has been our salvation, it has strengthened our relationship with retail. We now have 85% coverage in Dutch and Belgian supermarkets, which is really very high. We want to continue to surprise retailers, category managers are always looking for something new with which they can score. Even though new product variants are not by definition cash cows for us, they are important to be able to continue the dialogue with the customer and to maintain our shelf position. For example, we have developed apple syrup with cranberries and aloe vera."
"We are not competing with other syrup producers, but with other types of bread spreads."
No growth
For that matter, Visschers doesn't expect there to be any growth in the syrup market. "Syrup as we know it will not grow. Perhaps it will even decrease a little, because of the trend to eat less sugary products. But the Dutch are otherwise very stable in their choice of sweet bread spreads: chocolate sprinkles, peanut butter, hazelnut spread, jam, then nothing for a while and then comes syrup. So we are not competing with other syrup producers, we are competing with other types of sandwich spreads. We target families with children up to 12 years old and students. Because of the relatively low price, syrup is popular among students ánd when they start a family of their own, syrup is still top-of-mind." The marketing of Frutesse syrup therefore focuses on customer loyalty. A campaign around 'the Club of Sticky Fingers' spread videos on social media. This already yielded a reach of 1 million for the first episode. With prize promotions for clubs, consumers themselves are used to spread the fire. In cooperation with Smulweb, recipes for other use moments and applications are introduced.
The campaign around the 'Club of Sticky Fingers' with videos on social media is generating a lot of reach.
Partnerships
Visschers thinks partnerships are a great way for a relatively small brand to make an impact in the marketing jungle of the food industry. "We look for producers who are in certain niches and see if we can make an interesting spinoff. We sent out a mailing to several parties asking if they wanted to come out and play. That struck a chord immediately. That way we create a consortium of parties that complement each other nicely. Think of a wine producer, a party that makes beautiful breadboards and Soma Rye Bread. Together we look at product development and cross selling. We don't profile ourselves as a syrup from Limburg either, but we are a product from the South. We are authentic, but also contemporary. You can see that in everything we do."
Growing with other products
And growing into other countries? "In other countries, fruit syrup is just unknown and not part of their diet. Then you have to invest a lot to introduce such a product. We did try it once in Denmark, but it was still difficult. The consumer can't place it and just doesn't take it off the shelf. We do deliver in Canada and Australia, but that is really a homesick product for emigrated Dutch people. We think we need to make the growth in a different way. We are looking at products such as Marmite. A jar costs 4 euros, which makes it interesting to explore whether we could develop a variant of such a product. Frumarco also supplies syrups or concentrates as ingredients for food products, such as fruit or muesli bars. There, too, we continue to look at new possibilities. For example, the peels and the fruit pulp are a waste product for us. But that is full of pectin and can also be processed into moisturizing cosmetics or it can be a digester for pharmaceuticals. All sorts of things are still possible."
A family of entrepreneurs
The development of the company is obvious. "My grandfather was really a cooperating foreman, stood on the shop floor in overalls. My father and his cousin were already concentrating more on marketing and management. And I am taking the next step, professionalizing the company further and paying even more attention to market development. I am originally a mechanical engineer and really only got to know that side of management, trade and marketing in practice. It is remarkable that the whole family has the entrepreneurial DNA, nobody had to teach me that. We see opportunities, dare to act upon them and think ahead."
The challenge: finding good people
Visschers notes one more important area of concern for the further development of his company. "At all levels it is difficult to find good people. I don't even find the training that interesting, it's about the right motivation. At the same time I realize that we are dealing with a generation that has a different view of the importance of work. Work must be interesting and challenging and there must be a good work-life balance. That's why it's good to have contact with young people, so that you understand what drives them. We do graduation projects with students from HAS University of Applied Sciences, one of them has even found a role within the company. But we always look for enthusiastic people, because that determines the future of the company."