Languiru Brazil increases investment in connected pack

21-Jan-2020 - Last updated on 21-Jan-2020 at 20:09 GMT

Image courtesy of Languiru

Brazilian dairy producer Languiru continues to expand its commitment to connected pack technology with the commissioning of a third filling line from Swiss aseptic packaging company SIG.

Based in the southernmost state of Rio Grande do Sul, Languiru first implemented SIG’s Connected Pack solutions in 2017 with individual on-pack Quick Response (QR) codes that allowed consumers to connect digitally beyond the pack with five of its milk products.

The new line is part of the Languiru’s “Quality from beginning to end” initiative to improve quality perception and ensure that end-to-end traceability is implanted on all of its long-life milk and Chocolan chocolate milk products.

“Languiru operates in an environment where consumers are demanding more transparency in business, more product information and more digital communication with their brands of choice,” SIG said in a statement.

From their smartphones, consumers scan the QR codes to access detailed product data throughout the product journey — from raw milk collection through production to retail. They are also able to engage with the brand through digital marketing activities like games, quizzes and promotions.

For producers, SIG’s integrated trace-and-track system provides smart factory benefits like in-line monitoring capabilities and data collection to “optimize production and logistics and manage quality risks more proactively”. In 2018, Languiru saw a 5% improvement in productivity, less waste and improved cost at its dairy plant. It also reduced the process of product traceability in the supply chain from five hours to five minutes, making recalls significantly easier, said SIG.

Consumer trust, emotional connection and market share growth

Before implementing the connected pack solution, Languiru was the fifth largest dairy producer in the region. Since then, it has increased its market share to become one of the top three, according to consumer knowledge and insights company Kantar WorldPanel.

Languiru attributes this success not only to its products and productivity but also to increased trust, quality perception and emotional connection of the user.

“Languiru has always stood out for the quality of its products, and the use of SIG’s innovative Connected Pack technology has enabled us to strengthen this perception and show consumers that Languiru milk is truly differentiated,” said Languiru Cooperative president Dirceu Bayer.

During a two-month test digital promotion in early 2018, consumers scanned the on-pack QR codes to win prizes including bikes, smartphones, vouchers and a series of Languiru-branded emoji pillows that emotionally connected with younger consumers. The result was a year-on-year increase in sales between 5-6%.

In 2013, Budweiser Brazil was also an early adopter of connected pack marketing. Through its Buddy Cups campaign it sought to engage customers more deeply in the brand by turning cheers between ‘intelligent” paper cups into Facebook requests between beer drinkers.