Gluten FreeProduct Campaign

MARKET POTENTIALIN THE USA

What is Gluten Free?

• Less than 20 mg/kg of Gluten or less in products1

•Gluten = Wheat

Health Impaired v. Conscious

Health Impaired• Celiac Disease• Physical Illness• Hypoglycemia• Allergic Reactions

Health Conscious• Weight control• Energizing factor• Longevity• Toxin reduction

Advertising Gluten Free

•Customers more likely to:•Buy Heinz• Trust brand•Recommend to friend

WORKING WITH SUPPLY CHAINS AND STORES

Positive Purchasing Cycle

Purchase

EnjoyRecommend

Support Pyramid

Consumers

Grocery Stores

Supply Management

Marketing

Heinz

Working with Grocers

New Product

Heinz Marketing

Grocery Space

Mutual Profits

• Grocers worry less• Increased Sales• Mutually Beneficial Relationships

SALES TACTICS

Coupons

• Increased chance of:•Repeat customers•Product testing•Benefits•Cheap production• Testing Factor

Displays

• Increase Chance of:•Visibility• Impulse purchases•Benefits• Eye catching• Inexpensive

In Store Sampling

• Increased Chance of:•Potential Customers•Repeat Purchasing•Benefits:• Shows Company Integrity• Encourages Spending

POSITIONING PRODUCTSHeinz History

New: Gluten Free Products

• Tomato Ketchup•Mayonnaise•Ore-Ida•Vinegar•Pasta

Company Rewards

•Accommodation •Brand trustworthiness

STATISTICS

Increase in DemandWould you be interested in purchasing

Heinz products if they were gluten free?

2013

YesNo

2014

YesNo

Customer Need

2008 2009 2010 2011 2012 2013 2014

Customers Identifying withNeed for Gluten Free Products

Implementation Comparison

Cost of Implementation

$50,000 over 3 years

$10,000 marketing

$25,000 development

$15,000 Advertisement

Cost to Not Implement

$75,000 over 3 years

$10,000 Lost sales

Opportunity

$15,000 Marketing

Loss

$25,000 Turning Away

Sales

Questions?

Sources

1. http://www.heinz.com/glutenfree/products.html

2. http://www.heinz.com/health-wellness/focus-foods/pure-ingredients.aspx

3. http://www.heinz.com/our-food.aspx