coffee packaging after the k-cup
TRANSCRIPT
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Passion for packaging.
www.Rovema-NA.com | +1 (404) 640-5310 | [email protected]
Coffee Packaging After the K-Cup
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Passion for packaging.
www.Rovema-NA.com | +1 (404) 640-5310 | [email protected]
Presentation Outline
• Where have we been?: Background and History of the K-Cup• Current state
– Retail– Institutional
• Trends– Retail– Institutional
• Machine and Packaging considerations and implications
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Passion for packaging.
www.Rovema-NA.com | +1 (404) 640-5310 | [email protected]
We’ve come a long way…
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Passion for packaging.
www.Rovema-NA.com | +1 (404) 640-5310 | [email protected]
Nespresso (1986) Flavia (1984)
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Passion for packaging.
www.Rovema-NA.com | +1 (404) 640-5310 | [email protected]
Background: How did we get here?
• History K-Cup– Invention dates back to the early ‘90’s– Clearly not the first single use coffee system– Popularity began after 2006 when Green Mountain Coffee acquired
100% of Keurig– Wildly Popular
• Launched for office use and migrated to home use• Less waste of brewed coffee• Easy variety• Minimal mess with no scooping of coffee
out of a can• Convenience, convenience, convenience
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Passion for packaging.
www.Rovema-NA.com | +1 (404) 640-5310 | [email protected]
Background: How did we get here?
– Drawbacks• Environmental
– comingled waste which is difficult to recycle• Expensive ($55/lb vs $8 or $9/lb)
– Original patent expired in 2012– Changing climate in Institutional
• As consumers become more sophisticated about coffee, the quality vs. convenience pendulum is shifting
• Companies are continuing to look at Sustainability throughout their organization
More coffee packaging info on Rovema-na.com
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Passion for packaging.
www.Rovema-NA.com | +1 (404) 640-5310 | [email protected]
Interested in Learning More?
Our “on-demand” webinar provides commentary and depth on these topics. Watch it here.
We also offer complimentary coffee packaging telephone consults. Request yours here.
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Passion for packaging.
www.Rovema-NA.com | +1 (404) 640-5310 | [email protected]
Current State
• Retail– Very competitive market environment– Expensive to introduce or maintain brand awareness– Slotting fees add to costs and reduce margins– Typically packed hot and is fresher– Dominant package style
• Gable top, single fold, tin tie, button valve• Not typically vacuum packed in the U.S.• Pealable seal (15mm of seal area)• Aesthetics are critical
– Due to competitive pressures some Roasters are moving towards Institutional
More coffee packaging info on Rovema-na.com
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Passion for packaging.
www.Rovema-NA.com | +1 (404) 640-5310 | [email protected]
Current State
• Institutional– Brand owners now stipulating many aspects in bid packages
• Residual Oxygen level of less than 2% (gas flushing)• Fill accuracy +/- 1%• Seal integrity tested to 12” – 14” of vacuum (not just hand testing)• Bag aesthetics (graphics centered, code date clear, no grinds in seal • Cut-off length accuracy +/- 1mm
– Profitability for Roaster or Co-packer requires high output speeds and high efficiency (typically 110 – 120 packages/minute on a 2oz fractional or “frac” pack)
– Some Roasters submit bids without equipment that can comply
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Passion for packaging.
www.Rovema-NA.com | +1 (404) 640-5310 | [email protected]
Key Trends
• Retail– Flexible “coupon” valves trying to make inroads over “button” valves due to
the ability to increase speeds
– Stabilo packaging (4 side seal bag with true offset)
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Passion for packaging.
www.Rovema-NA.com | +1 (404) 640-5310 | [email protected]
Key Trends
• Institutional– “While the number of cups consumed in the U.S. may have declined slightly
in 2016…The food service coffee market alone increased 14.2% over the past 4 years”, according to research from Packaged Facts*
– Seeing more requests for flexible de-gassing valve• Eliminates the needs to de-gas in bins for 18 – 24 hours and reduce
Work-In-Process• Grind and package immediately for higher quality• Coupon valve is the preference due to the required
speeds that are needed– More Whole Bean coffee being packaged in a flat
bottom bag with button valve
More coffee packaging info on Rovema-na.com
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Passion for packaging.
www.Rovema-NA.com | +1 (404) 640-5310 | [email protected]
Machine and Packaging Considerations and Implications
• Most changes are happening in Institutional rather than Retail• Offensive and Defensive Strategies at play in Institutional
– Obtain new business– Retain current business as specifications evolve
• Key machine considerations– Speed for throughput and capacity
• Continuous motion baggers (Rovema BVK and BVC machines)• Continuous motion valve applicator with servo driven hole punch
– Gas flushing• Reduce residual oxygen levels via a closed system (Rovema Aroma-
Perm® purge forming tube, hopper and holding bin)– Accuracy of fill weights
• Rovema Horizontal Feed Screw meters product into the hopper to ensure consistent head pressure
– Ease of Operation• Rovema SD and SDH Servo driven Augers with split bowl for faster
cleaning• Rovema Premium Seal® allows greater variety of film structures
More coffee packaging info on Rovema-na.com
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Passion for packaging.
www.Rovema-NA.com | +1 (404) 640-5310 | [email protected]
Rovema BVK and BVC
• Both are continuous motion• Rovema baggers are reliable and produced billions of bags• Correct machine is based on product and packaging requirements
BVK260 BVC260
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Passion for packaging.
www.Rovema-NA.com | +1 (404) 640-5310 | [email protected]
SDH Auger with Aroma Perm®
• Servo driven Auger for high accuracy (view details here)• Split bowl for easy cleaning• Closed system to ensure best residual oxygen (optional horizontal feedscrew)• Turnkey solution from a single source to guarantee results.
More coffee packaging info on Rovema-na.com
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Passion for packaging.
www.Rovema-NA.com | +1 (404) 640-5310 | [email protected]
Are you a Roaster or Co-Packer that Wants More Info?
Our team has considerable coffee packaging expertise. We have experience in a number of facets of coffee packaging including:•Increasing speed•Improving fill accuracy•Installing coupon and button valves•Improving seal integrity•Reducing residual oxygen