Health and wellness food and beverage company OMG Group (ASX: OMG) has secured approval from Woolworths Group (ASX: WOW) to extend its Oat Milk Goodness PrOATein ready-to-drink (RTD) range throughout the retailer’s supermarket network.
The company will rollout three new high-protein products — Matcha & Strawberry PrOATein, Banana & Peanut Butter PrOATein and Salted Caramel PrOATein — to the shelves of 943 stores nationwide from May to June, with distribution also planned in line with OMG’s multi-channel sales strategy.
The Matcha & Strawberry drink was the first of its products to utilise premium-grade Japanese matcha the company procured under a recent five-year agreement with manufacturer SANDAI Group.
The deal will see SANDAI supply up to 350,000 kilograms of raw ceremonial-grade matcha to OMG as its exclusive Australian wholesale distributor, air-freighted at OMG’s cost for use in the PrOATein range.
OMG placed a maiden $16,000 matcha order in November following product trials and expects matcha revenues will complement anticipated sales uplift for OMG protein drinks and Blue Dinosaur protein bars through expanded ranging.
Ingredient Authenticity
Group chief executive officer Alex Aleksic said the use of SANDAI’s matcha marked an important step in enhancing product differentiation and ingredient authenticity within the PrOATein range.
“As the exclusive supply partner for SANDAI, we look forward to further expanding our wholesale distribution channels while incorporating ceremonial-grade matcha into the OMG Group brand portfolio so our customers can enjoy the health benefits of premium matcha-infused products,” he said.
“Our strategic partnership with SANDAI provides us with a new high-margin revenue channel to complement established momentum of our existing brands and sets the stage for another exciting year of growth.”
OMG believes the continued expansion reflects Woolworths’ confidence in the company’s brand and the performance of its high-protein functional beverage portfolio.
Summer of Cricket Campaign
The Woolworths extension follows OMG’s Summer of Cricket marketing campaign, which is reported to have materially increased brand awareness, retail engagement, and consumer pull-through during the peak summer trading period.
OMG believes the campaign acted as a “key catalyst” in strengthening retail engagement and supporting the decision to broaden the RTD range nationally.
“The campaign utilised our existing brand ambassadors and significantly increased consumer awareness and engagement, and we believe this momentum has supported recent sales growth as well as expanded ranging discussions,” Mr Aleksic added.
The company expects the Woolworths rollout will enhance shelf presence, support incremental sales growth, and further consolidate OMG’s position within the ‘Better for You’ FMCG (fast moving consumer goods) category during the current financial year.
