Seafood category expansion

Transcription

1 Seafood category expansion Jonathan Banks Wednesday 11 October 2017

2 Seafood category expansion The shopper and the consumer The category The retailers The way forward

3 Are we happy? Misery Index Inflation Unemployment Sources: Haver Analytics/The Economist October 2017

4 Source GfK NOP Sept 2017 UK Consumer Confidence

5 Consumer debt x trillion Consumer debt: 1.6 trillion 57k per h/h 31k per adult 116% of average earnings OBR 2022: 2.3 trillion = 86k per h/h Source: Bank of England Aug 2017

6 Category KPIs m +21% +32% +3% +6% Shellfish Chilled prepared Total 2.8 billion +5% +24% +11% +3% % +5% % +5% 1,001 Canned Frozen Wet/smoked Source: Kantar Worldpanel years ending 13 August % Change v year ago v 2010

7 Fish vs meat Grams/person/week Meat Fish Source: Defra Family Food survey, March 2017

8 The path to purchase Which store? Who am I buying for? Influencers In store Which product: Occasion Brand Added value Sustainability Nutrition Quality, freshness Wild vs aqua Species

9 Category growth CONSUMER behaviour changes Expandable Consumption New Users New Usage Occasions Trade Up / Premiumise

10 Shopper behaviour: Household Penetration 2015 and 2017 Source: Kantar Worldpanel years ending 13 August

11 Shopper behaviour changes Increase purchase frequency PEN (Penetration) FOP (Frequency) WOP (Weight of purchase)

12 Shopper behaviour changes: frequency Canned Source: Kantar Worldpanel years ending 13 August Chilled prepared Shell Wet/Smoked Frozen

13 Shopper behaviour changes More trip volume or /kg indexed on 2015 [CELLRANGE] [CELLRANGE] [CELLRANGE] [CELLRANGE] [CELLRANGE] [CELLRANGE] [CELLRANGE] [CELLRANGE] [CELLRAN GE] [CELLRAN GE] [CELLRANGE] [CELLRANGE] Source: Kantar Worldpanel years ending 13 August

14 Category growth: SHOPPER behaviour change summary More shoppers More trips More Penetration PEN (Penetration) Frequency FOP (Frequency) WOP (Weight of purchase) Weight of purchase

15 Trust? If Tesco charges more than Sainsbury's, it's ripping off consumers If it charges the same, it's price-fixing If it charges less, it's unfair competition

16 Kantar Worldpanel Grocery Market shares Total Grocery: +3.6% [VALUE] [VALUE] [VALUE] Source Kantar Worldpanel 12 we 10/9/17

17 Advantage Report FMCG excludes food service 500 retailers 41 countries 30 practice areas Retailer feedback suppliers Supplier feedback retailers

18 Suppliers rating of retailers Retailers rating of suppliers 18

19 Retailers priorities - Europe 1. Fill rate 2. On-time delivery 3. Order accuracy 4. Understands strategies 5. Distribution channels

20 Advantage Report: Best in class suppliers Understanding and alignment Open, collaborative Do what s best for the category Professional, proactive, supportive team Flexible

21 Category Well resourced, high calibre team Independent from the account team Strong understanding of the market, category, customer, shopper Work collaboratively to develop tailored plans Provide regular category updates Insight and recommendations based on strong interpretation of research and data Objective, total category approach Manage their product range effectively Recommend delists when appropriate

22 Stuff that costs a lot of money Consultancy Strategy Trivia Packaging Stuff that has a big effect Source: adapted from Rory Sutherla

23 Top 20 innovations of the 20th Century Accent on innovation of packaging and process as opposed to flavours 1. Frozen food 11. Powdered baby milk 2. Pasteurised milk 3. Sanitary products 4. Microwaveable food 5. Tea bags 6. Instant coffee 7. Ring pull cans 8. Sliced bread 9. Plastic bottles 12. Chilled food 13. Ready meals 14. Vacuum-packed food 15. Disposable razors 16. Gravy granules 17. Artificial sweeteners 18. Tetra Pak cartons 19. Pre-packed meat and fish 10. Disposable nappies Source: The Grocer/HI Europe 20. Screw-top wine bottles

24 You may not get your repackaging project right first time. If Plan B doesn t work, the alphabet has plenty more letters Source: wonkipedia

25 Summary Misery index Consumer confidence Category KPIs Headroom for growth Consumers and shoppers Frequency Penetration Weight of purchase Retailers have needs: objective category management Packaging