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From health drink to indulgent dessert: Ovaltine's stirring journey

From the 2020 Annual Report

In the early 20th century, a Swiss chemist perfected a wholesome powdered drink to help combat malnutrition. Reflecting two of its key ingredients, eggs and malt, Dr Albert Wander named his creation Ovomaltine.

In 1906 the product reached the UK, where it was called Ovaltine. More than one century later, that drink – along  with numerous category and range extensions – is enjoyed by millions of people in over 100 countries. And while its nutritious benefits are still a prime attraction, it is now as likely to be consumed as an indulgent treat or an energy snack.

Continuous innovation  

Ovaltine’s growth has been driven by powerful innovation. The brand introduced its first line extension, a single-portion sachet for cafés, in 1931 with the Ovo Sport bar arriving six years later. Fast forward to 2020 and more than half of turnover in its home country of Switzerland now comes from products launched in the 21st century. Products range from ready-to-drink Ovaltine, muesli, ice cream and in Brazil, even pizza.

Consumer insight teams across the world closely monitor emerging preferences, often from a vantage point inside family homes. Indeed, the genesis of the brand’s successful Crunchy Cream spread – which includes crispy malt granules and cocoa – came when a Swiss consumer insight team noticed people were sprinkling Ovaltine on their bread at breakfast time. The winning idea was extended recently with the launch of Ovaltine Crunchy Roll - a bread roll filled with the spread for eating on the go.

Ovaltine has also introduced a palm oil-free version of Crunchy Cream in Europe, acknowledging demand from some consumers for such products. Carefully developed over three years  to ensure it has exactly the same consistency and taste as the original spread, the rapeseed oil-based product has been an immediate hit.

Straight from the Swiss mountains

Regional innovations are often subsequently rolled out into other markets. Rocks – bite-sized chunks of Ovaltine, originally launched in Switzerland three years ago – were first introduced in Brazil as a McDonald’s McFlurry flavour. Following that success, they have now hit retail shelves as a standalone product ‘straight from the Swiss mountains’. Ovaltine has also grown by recognising differences – as well as similarities – between regional tastes. In Brazil, it is crunchier and sweeter, with less malt. Its positioning as a delicious flavouring is on a par with chocolate, rather than a drink, giving it  a leading role in numerous categories – from cheesecake and ice cream to crêpes and biscuits. By contrast, in Thailand, Ovaltine’s biggest market, nutrition remains the focus, with a recent innovation being a soy-flavoured drink mix. 

Partnerships have played a key part  in the brand’s growth. In Brazil, for example, more than 25 major food chains, from KFC to Subway, offer  an Ovaltine-branded dessert. In the country’s supermarkets there are numerous Ovaltine-branded products produced by other leading food and  drink companies, from Hershey’s chocolate bars to Unilever ice cream. 

 

1904

Ovamaltine founded by chemist Dr Albert Wander

1906

Ovamaltine reaches the UK and is called Ovaltine

1937

The Ovo Sport bar arrives

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