Gymboree Marketing International has been contracted by US giant Quaker Oats to distribute its products throughout the Philippines.


The deal follows the termination of Quaker’s exclusive two-year contract with Alaska Milk Corp (AMC) on 1 April because it was losing money. Quaker Oats Asia marketing director Richelle Mendoza explained that the choice of Gymboree signified a move for the company into the multiples: “The choice for Gymboree stems from its expertise in efficient and wider supermarket distribution. This criterion played a significant role in our choice for a new distributor.”


“Gymboree is more focused on supermarkets and other upscale outlets, which we hope can provide a higher level of flexibility and service that can meet our coverage needs,” he said. “This new move will mean better delivery of our products which will eventually result in improved consumer response.”


The products of Quaker, including sports drink Gatorade, cereals and snack bars, do not over lap with those imported or manufactured by Gymboree, which include UHT milk, butter cookies and canned meat.


Gymboree president Evelyn Lao Yap welcomed the new contract, saying: “This comes as a challenge for our company considering that Quaker Oats is a world leader in the breakfast food category. We are confident that we can meet the distribution needs of our new partner consistent with our vision of bringing quality products to our end-consumers through the right distribution network.”

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AMC has meanwhile also stopped selling products for other US companies, for example Nabisco International.