lettuce report brand health & demographics source: nielsen homescan data until 21 st of jan 2012...

Lettuce ReportBrand Health& Demographics

• Source: • Nielsen Homescan data until 21st of Jan 2012• Nielsen Scantrack data (National Woolworths) until 15th Jan 2012

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Copyright © 2012The Nielsen Company. Confidential and proprietary.

Lettuce…..

Over 86% of Australian Households purchased Lettuce during the last year, spending $18.9 in average and buying about 1.6 kilos of

the commodity during the same period.

Increase in the average spend per Household in Lettuce to $18.9 was a result of a rise in the amount spend per shopping trip, which increased from $2.1 to $2.3

Looking at Woolworths scanning information, Lettuce volume increased by 3.3%, while value did by 7.5% as prices increased by around 50 cents during last MAT

While Lettuce value growth can be traced mostly from Existing buyers, most switching to Lettuce came from Potatoes, Mushrooms and Other Vegetables.

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Copyright © 2012The Nielsen Company. Confidential and proprietary.

Lettuce…..

As with Total Vegetables, Established Couples, Senior Couples and Bustling Families account for the majority of Lettuce value

sales; while there is potential to increase spend at Star Up Families and Established Couples.

While Woolworths, Coles and Green Grocers lead Lettuce trade, Green Grocers and ALDI were the only retailers - channel that managed to increase their importance during last year

Buyers have increased their total spend and spend per occasion for all Channel/Retailers except for IGA, where spend per shopping trip remained at similar level.

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Homescan Overview

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This report leverage two different types of information: 1) Retail Measurement Data (Scanning Sales) 2) Household Panel Information

• Complementary data sources, not substitutes for one another• Address separate sets of business issues

• Volume & Share Tracking• Promotion Execution & Effectiveness• Price Sensitivity• Account Performance

• Components of Sales• Brand Loyalty & Repeat• Demographics• Buyer Analyses• Cross Purchasing• Switching/Source of Volume

Store-Level Scanning Sales Household Panel Information

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Purchase data is automatically modemed back to Nielsen via

the telephone lineNielsen processes the data together with stringent QC

checking

At home they scan the purchases via a barcode scanner - supplementing data

from a barcode book for shopping trip info and non barcoded items

Panel member buys products from any retail outlet and takes

them home

Information is supplied via Advisor i-sights to clients to evaluate consumer and retail trends.

Start with a panel that is statistically representative of

Australian households

How does Household Panel Information (Homescan) work?

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Key Measures

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W hat is driv ing how m uch m y consum ers buy? - Brand Health - Va lueA U S | M A T TO 2 1 /01 /2 0 1 2 | B ase d on V alu e ($ 0 0 0 s)/1 0 0 0 & V olu m e(0 0 0 s)/1 0 0 0

S o urc e : AC N ielse n H o m e s ca n A us tra lia

Source: Nielsen l Homescan Australia

Lettuce penetration has Increased by 1.6%, while Lettuce buyers are spending $18.9 per year and purchasing about 1.6 kilos of the commodity per household. This chart compares Lettuce

household reach (penetration) against other vegetables. Blue

represents year ago while yellow represent current year

This chart show the total average household spend across various

vegetable commodities.

This chart show the total average household volume purchase across

various vegetable commodities.

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W h at is dr iv ing ho w m uch m y con sum ers b uy? - Brand Health - Va lueA LL S HO P P E RS - A US - M A T TO 21 /0 1 /20 12 - B A S E D O N V A LUE ($000 'S )/1000


Lettuce buyers are purchasing the commodity less often than a year ago, however this was compensated by a slight increase in the amount spend during each shopping trip to $2.3

This chart compares how frequently Lettuce is purchased each year

compared to other vegetable commodities

Households are spending approximately $2.30 each time they purchase Lettuce

Households are spending in total, approximately $18.9 per year in Lettuce

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W hat is dr iv ing how m uch m y consum ers buy? - Brand Health - Va lueA US | M A T TO 21 /0 1 /20 12 | B ased on V a lue ($000s)/1000

S ourc e : AC N ielse n H om es can A us tra lia

The total volume decrease was a result of a slight drop in the shopping frequency, while volume per occasion maintained its previous level.

Source: Nielsen l Homescan Australia

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How are th e key con sum er dr ivers of sales ch an gin g o ver t ime? - Bran d H ealth - ValueA LL S HO P P E RS - A US - T. V eg e tab les - BA S E D O N VA L U E ($ 0 00 'S )/1 0 0 0

S o urc e : A C N ielse n H o m e s ca n A us tra lia

Average household spend on Vegetables decreased in the latest time period

Cyclone Yasi

QLD Floods

This chart shows that the average household increased their spend (red line) on Vegetables in the periods during & after

the natural disasters.

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How are th e key con sum er dr ivers of sales ch an gin g o ver t ime? - Bran d H ealth - ValueA LL S HO P PE R S - A US - T. L et tu ce - B A S E D O N V A L U E ($ 0 0 0 'S )/1 0 0 0


Average household spend decreased ,however penetration increased in the latest time period compared to year ago

During peak seasons, average household spend decreased (red line) as the number of households

increased (blue bars)

Lettuce peak season January - August

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W hat is d riv ing how much m y consumers buy over tim e? - Brand Health - Va lueA LL S HO P PE R S - A US - T. Let tu ce - B A S E D O N V A LU E ($0 00 'S )/10 00


Variation in $AWOP are linked to changes in the level of spend per shopping occasion

Green Line: how many times consumers buy it

Yellow Line: How much they spend each time. For

January, this index reached: $2.0

Lettuce peak season January - August

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T able R epo rt | AUS W OOL WO RT H S/S AFE W AY - T . Le ttu ce | T . Fresh Frt V eg Dried F rt N utUn its o f M e asu re: U n its = U NITS (0 0 0 'S ) | V o lu m e = V O LU M E (0 0 0 'S ) K IL O G R AM S | V alu e = V A L UE ($ 0 0 0 'S )

M A T TO 22 /0 1 /2 0 1 1 M A T TO 21 /0 1 /2 0 1 2

V O L UM E (0 0 0 'S ) K IL O G RA M S

V A L UE ($ 0 0 0 'S )

P rice p er V o l (K g )

3 ,1 7 7 .0

4 3 ,1 0 3 .1

$ 1 3 .5 7

3 ,2 8 3 .0

4 6 ,3 7 2 .7

$ 1 4 .1 3

S OU R C E: N ie ls e n A ust ra lia S ca nT ra ck (H IFV D H A L )

Looking at Woolworths information, Lettuce volume increased by 3.3%, while value did by 7.5% as prices increased by 56 cents during last MAT

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T able R epo rt | AUS W OOL WO RT H S/S AFE W AY - T . Le ttu ce | T . Fresh Frt V eg Dried F rt N utUn its o f M easu re: U n its = U NITS (0 00 'S ) | V o lum e = V O LU M E (000 'S ) K ILO G R AM S | V alue = V A LUE ($000 'S )

S OU R C E: N ie ls e n A ust ra lia S ca nT ra ck (H IFV D H A L )

Looking at trended Woolworths information, the affects of Queensland natural disasters can be seen however, prices have dropped at levels below than a year ago while volume is at 2 year high.

Blue Line: Price per Kg. $11.87 in latest period vs. $14.03 last year.

Yellow Bar: Kgs sold by Woolworths during each

period.

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Brand Shifting | Based on ValueAUS - LETTUCE - MAT to 21/1/2012

Source: Nielsen | Homescan® (Australia) - Issue # WBSF387469_528082

While Lettuce value growth can be traced mostly from Existing buyers, most switching to Lettuce came from Potatoes, Mushrooms and Other Vegetables.

Most of the value growth (3%), came from existing Lettuce buyers

Those buyers that switched to Lettuce, used to buy Potatoes,

Mushrooms, and Other Vegetables

Category Expansion/Contraction

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Demographics

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Wh o b uys m y bran d? (Lifestage ) - D emo graph ics - V alu eA US - T. L et tu ce - M A T TO 2 1 /0 1 /20 1 2 - B A SE D O N V A L UE ($ 0 0 0 'S )/1 0 0 0


While from a demographic perspective overall performance was similar to previous year, there are opportunities to increase spend for Start Up Families and Established Couples. The green bar

represents the percent of each demographic purchasing in latest

period with the red bar representing the

percentage last year

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W ho bu ys my b rands? ( Income) - Dem ograp hics - V alu eA US - T. L et tuce - M A T TO 21 /01 /2012 - B A SE D O N V A LUE ($000 'S )/1000


From a Household income perspective, all three income segments increased their spend in the commodity.

High Income households have increased their importance in value at expense of Low income

during the last year

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W ho buys my b ran ds? (H ouseho ld Size) - Demo graph ics - Va lueA US - T. L et tuce - M A T TO 21 /01 /2012 - B A SE D O N V A LUE ($000 'S )/1000


1-2 member households have had the most significant contribution to value sales when compared to other groups within Lettuce, however penetration in this group could be improved.

1-2 member household size is the most important demographic as they

account for 52.5% of sales.

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Share of Trade

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Share of Trade - Share of TradeA LL SH O PP ER S - M AT T O 21/01 /2012 - T . Lettuce - B A SE D ON V ALUE ($000 'S )/1000

S o urc e : AC N ielse n | H o m e sc a n A ust ra lia

While WW, Coles and Green Grocers lead Lettuce value trade, Green Grocers and ALDI have managed to increase their importance during last year

This pie chart shows how is the Lettuce value distribution among different retailers/channels

of trade

This show the actual sales values percentage growth/decline behind the share of trade changes

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ALL S HOPPE R S - T . Le ttuce C onsumer K PI'sV a lu e B a s is : V A L U E ($ 0 0 0 'S )

S ou rce : N ielsen Ho m esca n

While Green Grocers and ALDI increased their share, WW decline was a result of an important drop in the penetration for this commodity

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W h at is dr iv ing ho w m uch m y con sum ers b uy? - Brand Health - Va lueA LL S HO P P E RS - A US - M A T TO 21 /0 1 /20 12 - B A S E D O N V A LUE ($000 'S )/1000


Buyers have increased their total spend and spend per occasion for all Channel/Retailers except for IGA, where spend per shopping trip remained the same

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Glossary

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Terms• Penetration – The proportion of households purchasing a product in the

specified period expressed as a percentage of all households.

• Average Weight of Purchase (AWOP) – The average volume/value/units of a product bought across all buyers of that product in the specified period.

• Occasions Per Buyer – The average no. of times each buyer purchases the specified product in a specified period. A product/date/shop combination, eg. a household purchasing 2 identical products on a shopping trip to Woolworths constitutes a single purchase occasion.

• Amount Per Occasion – Average value or units purchased on each purchase occasion.

• QTR – Quarter year; rolling 13 weeks.

• MAT – Moving annual total; a rolling yearly total which accumulates 52 weeks of data.

• PP – Prior Period

• YA – Year Ago.

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Lifestage Demographic Definitions

Young TransitionalsAdult households (no children <=17)Head of household <35

Small scale familiesHouseholds with oldest child 6-11 years

Start-up familiesHouseholds with young children only, oldest child < 6

Bustling familiesHouseholds with oldest child 12-17 years

Senior CouplesTwo (2) or more adults (No children <=17)Head of household 60 or over

Independent singlesOne (1) person adult household (No children <=17)

Head of household >=35Established Couples

Two (2) or more adults (No children <=17)Head of household 35-59

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Young Transitionals

11%

Start Up Families 6%

Small Scale Families 10%

Independent Singles 22%

Established Households

19%

Senior Couples

17%

LifestagesDistribution

MAT 24/Dec/2011

Bustling Families 15%

http://en.wikipedia.org/wiki/File:Simpsons_FamilyPicture.png

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Scanning guide enhancements were introduced in August 2009, providing greater depth of information…

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Source of Growth / Decline - Bulla Premium Family Tubs | Based on UnitsFor Period MAT to 19/02/2011 vs YA | Relative to Total Ice Cream

Incremental / Lost Category Sales

65.5

1.1

18.1

27.8

18.5

Total %Change in

Volume

New/LostCategoryBuyers

Cat Exp/Cont- Retained

BrandBuyers

Cat Exp/Cont- New/Lost

BrandBuyers

SwitchingTotal

% Change In Volume Due To Switching To/From…

-0.5-0.5-0.2-0.1-0.1

-0.10.10.10.10.10.10.20.20.20.30.40.40.50.50.50.60.60.80.91.21.21.41.5

1.86.2

-0.1-0.1

PL MPs (79) Billabong MPs (163.6)

Magnum Temptation MPs (191.8) Magnum Other MPs (127.2)

Bulla Creamy Classic MPs (102.3) Paddle Pop Regular MPs (208.6)

Splice MPs (204.2) Connoisseur Tubs (154.9)

Bulla Premium Family Tubs (112.5) W eiss MPs (117.1)

Calippo MPs (138.8) Sara Lee Tubs (115.4)

Bulla Health Tubs (151.6) Blue Ribbon Regular Tubs (84.7)

Icy Pole MPs (129.8) Maxibon MPs (92.7)

Bulla Fruit & Yog MPs (159.2) Weis Tubs (144.3)

Bulla Bars MPs (253.7) Gaytime MPs (134.4)

Blue Ribbon Light Tubs (143.9) Paddle Pop W ater Ice MPs (116.6)

Frosty Fruit MPs (137.6) Magnum Minis MPs (97.6)

Bulla Splitz MPs (114.9) Heaven MPs (135.3)

Cornetto MPs (121.9) PL Tubs (76)

Drumstick MPs (112.2) Bulla Everyday Family Tubs (146.7)

Other Nestle MPs (121.1) All Other (74.4)

Source: ACNielsen | Homescan® (Australia) - Issue # 467940

How to read a Source of Volume Chart

New/Lost Category Buyers Households that purchased the category in one

period but not the other and the

focus brand was included in the

category purchases.

New/Lost Brand Buyers

Gains or Losses within the Focus

Brands by Households who

added/omitted the focus brand to their category

purchases.

Existing brand buyers

The Focus Brand experienced gains/losses

from households who

increased/decreased their

purchases of the focus brand

SwitchingIncludes

households who shifted their focus

brand purchases

from/to alternative

category items.

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Appendix

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W hat is d riv ing g rocery sales? (Account C om parison) - Bigger Pic ture - Va lueA LL S HO P P ER S - T. L e t tu ce - S HA R E O F TR AD E ($ )

S o urc e : AC N ielse n | H o m e sc a n A ust ra lia

Thank You

lettuce report brand health & demographics source: nielsen homescan data until 21 st of jan 2012...

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