Super Bowl 2014 Retail Promotions February, 2014.

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Super Bowl 2014 Retail Promotions February, 2014

Transcript of Super Bowl 2014 Retail Promotions February, 2014.

Super Bowl 2014Retail PromotionsFebruary, 2014

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What You Need to Know AboutSuper Bowl Retail Promotions

• Copyright restraints keep retailers from promoting the Super Bowl BY NAME. Most make general references to “the big game”.

• Drug Chains are moving away from a big Super Bowl push CVS did not even mention it on their front cover.

• Mass Retailers are running multiple pages of electronics (especially TVs) and food.

• Other brands decide to go all in on FSI coupons. Newman’s Own, Velveeta run their most of their coupons during Super Bowl week.

• Super Bowl TV ads have become better coordinated with retail promotions. Top Super Bowl Commercial Brands are matching the spending with additional circular advertising.

• Retailers downplay their private brands for the Super Bowl. Super Bowl week traditionally ranks dead last in private brand ad support.

Super Bowl Tie-Ins Vary Across Supermarkets

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Kroger – 1/27/2014Super Bowl Tie-In on Front Cover “Party

must-haves”Page 4 features “Game

Day Greats”

Safeway – 1/29/2014Visual Front Cover Super Bowl Tie-In

“The Joy of Football”

Publix – 1/30/2014Super Bowl Theme on

front page including party themed

pages 8 & 9. (10 pages contain football

game themed page topping banners)

Super Bowl Sales Events in the Mass Channel

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Walmart– 1/26/2014Super Bowl Theme on 6 of 20

circular pages.3 pages featuring TVs/Video,

3 pages featuring cell phones & tablets.

Super Bowl Sales Events in the Mass Channel

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Walmart– 1/26/2014Super Bowl Theme Wrap Pages

“Game Time” food item focused.“Game Time” Appliances on 50%

of page 3.

Page 4 devoted a quarter page to a Valentine’s Day item section!

Super Bowl Sales Events in the Mass Channel

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Target– 1/26/2014Unlike Walmart, front cover

includes snack and beverage items.

Pages 2 & 3 feature TVs and electronics, similar to

Walmart.

Super Bowl Sales Events in the Mass Channel

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Target– 1/26/2014In contrast to Walmart, Target chose to

feature event food item on only 2 middle circular pages.

Like Walmart, Target gave Valentine’s Day

items a quarter page this week.

Super Bowl Sales Events in Other Retail Channels

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Walgreens – 1/26/201475% front cover is tied to Super Bowl. Pages

3 & 4 feature party food items.

CVS – 1/26/2014Only page 3 of CVS circular is tied to the Super Bowl.

No CVS 2014 circular front cover Super

Bowl connection!

Super Bowl Sales Events in Other Retail Channels

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Dollar General – 1/26/2014No front circular cover Super Bowl

connection.Page 4 has only mention of Super Bowl

theme.

Family Dollar – 1/26/2014Front page “Savings For The Game” promotion

Some Retailers Diverged from Last Year’s Circular

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Safeway 2-3-2013 Safeway 2-2-2014

Similar items featured 2014 week-to-week and as in

previous 2013 year but without the heavy focus on “The Joy of

Football”

Safeway 1-29-2014

CVS Does Not Feature Super Bowl Theme in 2014

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CVS 1-27-2013 CVS 1-26-2014

No Front Cover Super Bowl Tie-In for 2014!

Walgreens Features Super Bowl Theme in 2014

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Walgreens 1-27-2013 Walgreens 1-26-2014

A bit more overt Super Bowl

connection in 2014!

Copyright Fears Keep Retailers from Promoting the Super Bowl by Name

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Retail Banner Super Bowl EventCVS Big Game

Dillons Game Day

Giant Eagle Big Game

Hannaford Football Frenzy

KmartBiggest Game/Football

Frenzy

Kroger Game Day

Lucky Supermarkets

Big Game

Meijer Big Game

Publix Supermarkets

Game Day

Safeway Stores The Joy of Football

Shop 'n Save The Big Game

Stop & Shop Game On

Target Stores Game Day

Walgreens Game Day

Walmart Game Time

Major Food Brands SpikingAds for the Super Bowl

Annie Chun's

Red Hot

Lit'l Smokies

Wholly Guacamole

La Choy

Voskos

REV

Ro*Tel

Garden Fresh Gourmet

SuperPretzel

1,124

980

930

614

613

565

549

546

538

515

Recipe Secrets

Pace

Naked Juice

Farm Rich

Curly's

Back To Nature

Twix

Black Box

Sweet Baby Ray's

Claussen

484

459

445

436

428

428

415

407

393

390

Ad Count Index – Super Bowl Week Ending 2/1/14 Vs. 52-Week Average

Limited to Brands with over 100 true ad block count over the 52 week period.

Annie Chun’s has 11x as many ads for Super Bowl week compared to an average week.

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Top Food Sub-CategoriesPromoted for the Super Bowl

Ad Count Index – Super Bowl Week Ending 2/1/14 Vs. 52-Week Average

Platters/Trays 359 Limes 219

Dips & Spreads 287 Mustard 218

Barbeque/Steak & Other Sauces 286 Grapefruit 214

Salsa&Chip Dips 282 Snack Nuts & Seeds 212

Ketchup 269 Avocado 205

Refrigerated Dips 262 Sandwich & Hot Dog Buns 197

Poultry/Wings 262 Cream Cheese 196

Pizza Sauces 258 Salty Snack Mix 195

Hard Cider 249 Nutritional Snacks 194

Radishes 227 Malt Liquor 190

Limited to sub categories with over 100 true ad block count over the 52 week period.

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Platter Wars – How Supermarkets Differentiate

Super Bowl party platters allow supermarkets to feature their deli & produce departments to create a differential advantage vs. mass and drug competitors selling food.

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Betting it All on Super Bowl FSIs

For smaller brands, a successful FSI can make or break their year. Free standing inserts (FSIs) allow a brand to stand out and differentiate with unique attributes, recipes and coupons.

32% of Newman’s Own annual FSI’s occurred the week of the Super Bowl

Source: ECRM’s Marketgate

24% of Axe’s annual FSI’s occurred the week of the Super

Bowl

Ragu, Dannon Oikos, and Speed Stick, each see significant portions of

their annual ads during the super bowl week.

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2/9/

2013

3/2/

2013

3/23

/201

3

4/13

/201

3

5/4/

2013

5/25

/201

3

6/15

/201

3

7/6/

2013

7/27

/201

3

8/17

/201

3

9/7/

2013

9/28

/201

3

10/1

9/20

13

11/9

/201

3

11/3

0/20

13

12/2

1/20

13

1/11

/201

4

2/1/

2014

0

50

100

150

200Newman's Own

Coordinating FSIs with Retail Ad Support

Weekly Circular Ad Counts

0

50

100

150

200

250Chart Title Strong Ad Support

with Velveeta Super Bowl FSIBack-to-School FSI

Also Aligned with Ad Support

One FSI Per Year on 1/22/12Unrelated to Retail Ad

Support

Source: ECRM’s Marketgate18

CheeriosIncreased promotional support in the week

prior to event by 28.5%

Budweiser ‘Puppy Love’

Budweiser feature ads increased 39.3% week

prior to Super Bowl.

2014 Super Bowl TV Ads & Coordination with Retail Promotions

Dannon Oikos Greek Yogurt

Promotional share increased for week prior to event; +4.6%

Coca-Cola ‘America the Beautiful’

Flat (+0.04%) change in promotional share week prior to

event & lower feature ad support for the same week vs. same week

prior year (-12.6%)

Heinz KetchupIncreased promotional

share 22.5% week before Super Bowl event

Doritos ‘Cowboy Kid’Increase in promotional share

the week prior to event; +3.9%

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Retailers Pull Back on Private Brand Ads for the Super Bowl

Private brand ad support is tied to demand for ad space. High demand for Pre-Super Bowl circular ads creates less room for store brands.

19.4%

15.8%18.5%

15.3% 15.7%

11.6%

15.9%13.3%

15.5%12.8%

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Promoted Pricing Types Across Key Retailers

Key retailers use similar promotion types for Super Bowl week compared to previous

52 weeks.

 Albertsons

IM Kroger CIN Meijer Safeway Stores Target Stores

  CurrentWk

EndingCurrent

Wk Ending

CurrentWk

EndingCurrent

Wk Ending

CurrentWk

Ending

Promo Type52-

Weeks2/1/2014

52-Weeks

2/1/201452-

Weeks2/1/2014

52-Weeks

2/1/201452-

Weeks2/1/2014

Price Point 64% 66% 57% 42% 63% 58% 66% 66% 83% 80%

X-For 26% 26% 26% 20% 19% 21% 19% 24% 6% 7%

BOGO 3% 4% 1% 2% 5% 7% 4% 4% 2% 1%Free w/Purchase

0% 0% 0% 1% 0% 0% 0% 0% 0% 0%

Incentive 0% 1% 1% 0% 1% 7% 1% 1% 2% 3%

Recipe 0% 0% 0% 0% 0% 0% 0% 0% 0% 0%

Save $X 2% 2% 11% 31% 6% 2% 6% 3% 1% 1%

Save X% 2% 1% 2% 4% 5% 5% 1% 0% 6% 8%

W/Purchase 3% 0% 2% 0% 0% 0% 3% 1% 0% 0%

Lowest U.S. Prices on Super BowlSnack & Beverages

Retailer Ad Price Product Size

SnacksLongs Drug (Hawaii) $0.69 Just the Basics Cheese Twists 5 oz.Sentry Foods $0.79 Essential Everyday Crackers 9 oz.Navarro Discount Pharmacies $0.79 Conchita Guave Bites 4.9 oz.Bi-Mart $0.88 Act II Popcorn 3 ct./pk.H.E.B. $0.88 H.E.B. Potato Chips 4 oz.Walgreens $0.99 Keebler Cookies 5.25 oz.Walgreens $0.99 Nabisco Cookies 3.47-7 oz.Harvey's Supermarkets $0.89 Turkey Creek Pork Skins 3 oz.Northgate Market $0.99 Corn Nuts Snacks 4 oz.Lowes Big 8 $1.29 Calidad Tortilla Chips 12 oz.

BeverageTerry's Super Markets $0.47 Parade Soft Drink Products 2 ltr.Albertsons SOW $0.58 Powerade 32 oz.Giant Food Landover $0.59 Giant Mixers 1 ltr.Hornbachers Foods $0.68 Super Chill Sparkling Water 17 oz.Lowes Foods $0.69 Coca-Cola Products 2 ltr.Safeway Stores $0.69 Glaceau Vitamin Water 20 oz.Weis Markets $0.77 Pepsi Products 2 ltr.Food Basics $0.78 Yoo-hoo Chocolate Drink 6.5 oz. 3 ct./pk.Acme Markets (NAI) $0.79 Schweppes Mixers 33.8 oz.Save Mart $0.79 A&W Products 2 ltr.

Source: ECRM’s Marketgate22

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Lowest U.S. Prices on Super BowlDipping & Disposables

Retailer Ad Price Product Size

Condiments/Salsa/Dips/IngredientsBreaux Mart Supermarkets $0.39 Shurfine Hot Dog Sauce 10.5 oz.La Fiesta $0.49 Kraft Barbecue Sauce 17.5-18 oz.Lowe's Market $0.69 Shur Fine Mustard 12 oz.Hy-Vee Food Stores $0.69 Sweet Baby Ray's Barbecue Sauce 18 oz.Sellers Bros. $0.69 Kraft Barbecue Sauce 17.5-18 oz.Foodtown $0.79 Foodtown Sauerkraut 14 oz.Foodarama Market $0.79 Vlasic Relish 10 oz.Select Markets $0.89 Western Family Olives 3.8 oz.

Hy-Vee Food Stores $0.98 Kraft Barbecue Sauce 16.25-18 oz.Cardenas Markets $0.99 Hunt's Barbecue Sauce 18 oz.

Platters & Trays

Mars Super Markets $1.89Mars Store Prepared Deviled Egg Platter/Tray 6 ct./pk.

Market Street United $1.99 In-Store Bakery Kaiser Roll Platter/Tray 6 ct./pk.El Super $2.97 Fruit Platter/Tray-Store Prepared 1 lb.

Disposable Cups, Plates, NapkinsFood Town (TX) $0.55 Good Time Disposable Tableware 22 ct./pk.Price Chopper (Golub) $0.58 Clear Value Disposable Tableware 40 ct./pk.Discount Drug Mart $0.79 Ideal Disposable Cutlery 24 ct./pk.

Methodology & Details

Report Methodology

• Retail ad support measured by number of ad blocks in retailer print circulars.

• “Pre-Super Bowl” week includes week ending 2/1/201

More About ECRM’s MarketGate Ad Comparisons

Web Site: www.AdCompare.MarketGate.com

Studies on Seasonal & Category Promotions: www.PromotionalReflections.com

Contacts:Scott Whalley 847-482-1793 [email protected]

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