Stage 1: Groundwork The Bord Bia Consumer Insight & Innovation team have worked with Flahavan’s to understand their consumers better and maintain their strong brand position in the marketplace. This case study details how consumer insight has been integral to keeping the brand relevant and fresh in all aspects of design and communications. BRANDING WORKBOOK Flahavan’s Growing the success of Irish food & horticulture Stage 2: Building Brands Stage 3: Expression Stage 4: Launching BRANDING WORKBOOK Flahavan’s PROJECT BACKGROUND The Flahavan’s brand of porridge has been around since 1785 when the great-great-great-grandfather of the current managing director, John Flahavan, began milling in Kilmacthomas in Co Waterford. Despite increasing competition from global players and an ever changing retail landscape, Ireland’s oldest family owned food business has built up their brand leadership position in the hot breakfast cereal category. The company wanted to ensure the Flahavan’s brand maintained this leadership position by understanding its core consumers and remain relevant to them. The company approached Bord Bia’s Insight and Innovation team to conduct a root and branch review of the brand in order to prepare a roadmap for the brand going forward. BUSINESS ISSUE The market for breakfast cereals in Ireland is worth €170m and within that hot cereals (porridge type products) is worth €27m. Big box cereals are in decline due to consumer concerns regarding their nutritional content while consumers switch to healthier options. This has driven growth of porridge over the last few years as its significant health benefits have been recognised by consumers. CONSUMER ISSUE Flahavan’s enjoy 50%+ market share of this hot cereals category making it the clear market leader. However, recently new competition has entered the category from global players like Kellogg’s Special K porridge and Alpen Porridge. In addition private label brands have grown in the category predominately due to increasing number of shoppers shopping in discounters. The business challenge for the Flahavan’s brand is to stay relevant to consumers and in doing so to retain its No 1 position in category. Further, as the brand expands into export markets, understanding the local cultural nuances of these markets is critical to ensuring a relevant positioning for Flahavan’s in those markets. In approaching Bord Bia’s Insight and Innovation team Flahavan’s wanted a root and branch review of the brand and in particular answers to the following: • How do we defend this strong brand against new competitors and new retail landscape? • How can we better explain this brand to consumers so that they are willing to pay a premium for it? • What sort of innovation fits with the brand and is most likely to appeal to consumers (current and new)? • Help us understand the nuances of the market in each territory and what the brand means in each market and how it needs to mutate to accommodate market differences? Stage 1: Groundwork Stage 2: Building Brands Stage 3: Expression Stage 4: Launching THE PROCESS The role of the Consumer Insight & Innovation team has been to work alongside the Flahavan’s team and take a consumer focused approach to maintaining their strong brand. We worked through Branding Workbook from Stage 1: Groundwork, right up to Stage 4: Launch. HOW DID WE HELP? Stage 1: Groundwork: We started with GROUNDWORK stage so as to understand from primary and secondary sources the key breakfast occasion, competitor strategies and new developments globally. Using the Bord Bia library and Flahavan’s own bank of previous research we reviewed all existing knowledge. Using Bord Bia’s Brand Health Check we could measure quantitatively consumer loyalty to the brand as well as the drivers underlying this loyalty. Stage 2: Building brands: The team accompanied shoppers on their weekly shop and probed how they interacted with the breakfast cereal category to understand the drivers of purchase decision making. Qualitative research groups were undertaken in all the key markets to get inside the hearts and minds of consumers to help define what lay at the core of the brand. Bord Bia undertook an extensive programme of consumer and shopper engagement across key markets. Stage 3: Expression: Insights gathered in the consumer and shopper work fed into the Expression Stage of the brand. A pack design brief and communications brief were prepared with the aim of communicating the core values of the brand in a contemporary context. Various pack design routes were tested with consumers to ensure a fit with the brand’s core. WHAT WERE OUR INSIGHTS? Stage 4: Launching: New look pack designs were implemented across the full range of Flahavan’s products. New advertising around the slogan “energy for life” was aired on TV and radio showing how the brand fits with today’s consumers’ lifestyles. New product introductions such as Golden Syrup flavour and Apple, Raisin and Cinnamon were launched. Market specific actions were undertaken in export markets which took on board the learning local to those markets. There is a real movement among consumers to return to basic values in recessionary times, a desire for simple living – we call it “keeping it real”. Products like porridge have benefited from this trend. To guide the New Product Development agenda within Flahavan’s consumers were invited to input into which ideas best fitted with their perceptions of the brand and how far the brand could stretch. The brand consolidated its leadership position and held its price premium Strong local brands like Flahavan’s still have a huge connection with consumers against global players. A heritage brand can leverage its history in a positive way by talking in a contemporary way to today’s consumers. WHAT WAS THE IMPACT ON BUSINESS? As a result of the joint work between Bord Bia’s Insight and Innovation team and the team at Flahavan’s the brand consolidated its leadership position and held its price premium despite intense international competition and challenges posed by a changing retail landscape. Bord Bia’s Branding Workbook This process was developed using best practice techniques detailed in Bord Bia’s Branding Workbook. For more information contact: E-mail: info@bordbia.ie Telephone: (01) 6885155 Growing the success of Irish food & horticulture