Post on 22-Sep-2015
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Presenter Name | Company Name
Despite a sluggish economy that has motivated some consumers to brown-bag it, the lunch meat category still faces lower usage levels due to negative health perceptions and elevated meat prices. Brands who hope to combat these demand-dampening trends and expand usage need to innovate, both with new products and new lunch meat positioning that will inspire new lunch meat occasions, such as snacking. Sarah Day Levesque, Food Analyst
What does that mean? Means we need to
Improve
Innovate
Inspire
61% of shoppers indicate that the type of meat is the primary purchase motivator
Look for freshness & quality
Things like the look, taste & texture of roasted turkey or baked ham
Has potential to be a highly sensorial experience: based on taste, texture, & aroma
Enjoy moist, not dried out, but not slimy or preserved
Is healthy, and can be used for multiple meal items
Source: Acosta Shopper Community Smithfield Lunchmeat Shopper Study
Packaging is important, and can drive sales
But consumers dont want to pay for additional packaging
Being able to determine freshness through package very important
Attractive & functional
The package itself is an important signal to the consumer
Like the look & feel of a package that suggests a quality product, without being too expensive
Satisfy an attractive price point for the consumer while maintaining solid margins?
Create a product that is both fresh & versatile?
Develop packaging that demonstrates both quality & affordability?
Compete in an increasingly competitiveand crowdedmarketplace?
1 lb of seasoned, spiral ham with the quality and flavor youve come to know with a whole new take youll love
A great value with easy to open, securely sealed packaging to ensure freshness
An affordable price point that contains a sizeable quantity of meat
Completely aligned with the Smithfield heritage, emphasizing our local, all natural roots and focus on quality.
A true point of differentiation, as no other company provides the spiral ham cut, the intense flavor, or the amount of pork for the reasonable price as we do.
Savvy Homemakers
93% female
Quality of high importance
Use meat for more than just sandwiches
Consumer trends show us that other uses for lunch meat are growing. We believe that the Small Smithfield can really expand and own this category
The Smithfield Small Spiral is more than just lunchit can be used as an entre on its own, added to things like eggs & salads, or used to complement soups, pizzas, pastathe opportunities are endless
Tubs showing 5% growth
TOTAL U.S. - MultiOutlet
Current 52 Weeks ending Aug 3, 2014
Dollar Sales
Dollar Sales
% Chg YrAgo Volume Sales
Volume
Sales % Chg
YrAgo
Package Lunch Meat $4,889,121,280 -0.3 1,202,613,120 -1.1
TUB PLM $1,822,449,152 4.4 317,869,760 5.1
4X6 PLM $322,967,488 -9.5 77,537,144 -10.0
SHELF/WELL PLM $2,294,276,352 -0.3 708,393,280 -1.3
PEG PLM $449,428,416 -9.9 98,812,952 -9.3
We have crafted a deli product that perfectly captures what consumers want: healthy & versatile without sacrificing flavor.
We have crafted a deli product that perfectly captures what consumers want: healthy & versatile without sacrificing flavor.
Dollar share dominated by just a few brands
Average unit price related to market share
High concentration of products at lower price point,
Some gourmet options towards the higher end
No one has capitalized on sweet spot in between, at about$6
Positive signal to our target segment: this is a high quality product
Improved brand perception, aligning with Smithfields ideal positioning strategy
Work with existing partners
Demonstrate shelf space value
Located with other TUB products
Positioned in between deli meats and ready-to-eat meat entrees
Packaging emphasizes the Small Smithfield Spirals all-natural, locally sourced & healthy position
Clearly demonstrates spiral cut and enticing, holiday-quality meat
Marketing & advertising campaign will emphasize Smithfield values: take a journey with flavor, enjoying the world of options at your fingertips from a brand
Natural, local, delicious
High quality at a price you wont believe
Integrated marketing campaign to reach consumer
Offline
TV spots, coupons, leverage existing products
Online
Bloggers
Facebook recipe share, coupon distribution, photos & testimony, cooking ideas
Twitter #spiraling
Extensive, extremely sharable content on Pinterest
Improvement
High quality
High margin
Healthy AND delicious
Doing what we do best, even better
Innovation
Revolutionary, transitional product that works as a meal OR as a lunch meat
Transforming an old favorite
Truly capitalizing on the Smithfield brand while breathing new life into lunchmeat positioning
ExcitingThis is healthy, high-quality meat from a company that
prides itself on being the brand you trust to feed your family during the holidays. Now you can have that holiday quality everyday with Smithfield small spiral cuts, a new product that takes the local farm, high quality ham you love and makes it easy to enjoy on sandwiches, salads, pastas or even alone.