Arla Foods is repositioning its Anchor Butter brand in the UK with a GBP10m (US$15.2m) marketing campaign.

The marketing will look to reposition the brand as the “Original Butter Co.” Arla said today (25 February).

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The new positioning will focus on Anchor being “the oldest butter brand in the UK” and will include new packaging which will be on shelf from the end of next month.

“The simpler, bolder and cleaner packaging design builds on the strong visual equities and heritage of the Anchor brand. The Anchor branding features alongside a larger red Anchor which acts as a focal point helping consumers locate the pack on shelf; while a softer yellow adds warmth and the olive green script evokes a sense of freshness,” Arla said.

The GBP10m brand investment is an increase from GBP8m in 2009, and will include a new TV campaign in the summer, print advertising, PR, outdoor and point of sale.

“We are repositioning Anchor Butter to further strengthen the brand within the competitive butters and spreads market,” said Kate Richards, brand manager for Anchor Butter. “Frequent Anchor Butter consumers recognise that the product has been in their fridges for several generations, so the new position helps to remind them of the longevity of the brand.”

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Arla Foods earlier this week booked profits ahead of budget boosted by cost cuts and rising prices for bulk industrial products. The Danish group’s profits for 2009 totalled DKK971m (US$176.9m), DKK71m higher than the firm’s budget, exceeding the expectations of the business, Arla said.

Despite profit being ahead of expectations, Arla’s turnover was “significantly dented”, the company conceded, as customers and consumers reacted to the global recession and bought fewer and lower-priced dairy products.