The Engaging Mom Smartphones Lead to Smart Buys October 2, 2012 You’ve heard a lot about Social today….is it a fad? Some Stats to Get You Thinking 2 Word of Mouth In WOM We Trust It Demands a Reinvention of the Entire Organization “Human Beings are Powered by Emotion, Not by Reason” ♥ Word Of Mouth Trust Relationships Word of Mouth Transparency Community Emotional Ties Familiarity 4 You have heard a lot about Gluten Free… 5 Opportunity Even with the rise of gluten free, there is a much larger opportunity Celiac Sufferers 20 Million Consumers Source: American College of Gastroenterology, October 2011; Elucidare, January 2011 Other Food Allergy Sufferers 130 Million Consumers 6 “Free From” means… Definition free from: wheat Gluten Free + dairy peanuts tree nuts egg soy 90% of all allergies fish shellfish Source: National Digestive Diseases Information, March 2012; HealthCare Zone 03/12; National Foundation for Celiac Awareness, 2011; FoodAllergy.org ; American Academy of Pediatrics, 2011 7 Increased awareness and diagnosis are driving growth Opportunity U.S. Retail Sales of Gluten Free/Free From Food 2006-2020E ($ Billions) $12.0 $3.1 B Free From (ex GF) Free From is half a $ billion today $7.3 $8.9 B $3.8 Gluten Free $0.9 Source: Packaged Facts, Feb 2011; Product Launch Analytics, a Datamonitor service, Kantar Retail Estimates / GF Growth 322% 2006-2011 8 The FF upside grows as allergies increase 1990 2012 <1 in 50 children 2 in 20 children <.75% of Americans 4.0% of Americans 9 Free From shopper baskets are valuable Cooking More Healthier Choices Premium Products Index to Avg. Sales Premium Baking Items Premium Crackers Free From Product 456 1,101 Healthy Snacks Fresh Herbs & Spices 1,026 459 Fresh Produce Kosher Snacks 493 Fresh Goat Cheese 571 1,021 Sports Bars 749 Soy & Tofu 898 Source: Kantar Retail Shopper Genetics® 52 Weeks Ending 5/2012 1 Average Gluten Free Basket = $100 10 Free From Purchases Free From Buyers spend more at their favorite retailer Heavy buyers spend more on FF items… …and more per store Heavy FF Buyers All Other FF Buyers Non FF Buyers Source: Kantar Retail Shopper Genetics® 52 Weeks Ending 5/2012 The top 15% of buyers by annual sales are “Heavy” 11 Converting heavy Free From shoppers means “more” Free From Purchases 5X # of FF Categories 6X Frequency of Store Trips1 Heavy FF Buyers All Other FF Buyers Source: Kantar Retail Shopper Genetics® 52 Weeks Ending 5/2012 1With FF in basket 12 Free From Consumers Free From consumers take loyalty to a new level Consumer Devotion • Consumers have limited options • If they like something, they buy a lot 13 Consumer Trust “Trademarks are owned by companies who create them.” “Lovemarks are owned by the people who love them.” —Lovemarks: The Future Beyond Brands, Kevin Roberts Trustmark Enjoy Life Foods is the trustmark and lovemark of choice 15 Digital is not just another channel but a transformational force that requires marketers to rethink their entire marketing strategy Ad Age 16 What’s Your Tablet Strategy? 68.5 million tablets will be sold in the US this year 17 81% of consumers receive advice on a product purchase through social media 77% of online shoppers use reviews to make a purchase 44% of companies use crowdsourcing to get new ideas. 18 25% of search results of the world’s top 20 brands are links to user generated content 75% of people don’t believe companies tell the truth in advertising 19 Engaged Consumers What creates buzz? Stories not slogans. Stories are Everywhere Engaged Consumers Content is King 22 Engaged Consumers 92% of word of mouth… happens offline. Engaged Consumers Over 90% of all consumer decisions are due to a positive recommendation from someone they trust -Dr. Walter Carl Specialty Mobile Free From Consumers 25 Free From Consumers Specialty Mobile 26 Specialty Mobile Free From Consumers 27 Engaged Consumers “It’s not about eyeballs and ears, but hearts and minds.” – Jeffrey Hayzlett (Kodak) Mobile Consumers 29 Mobile Consumers 30 Mobile Consumers 31 Mobile Consumers 32 Engaged Consumers 33 Engaged Consumers 34 Engaged Consumers 35 Engaged Consumers 36 Engaged Consumers 37 Engaged Consumers 38 Empowered Consumers Viral Brand Awareness • You Don’t Own Your Brand – They own your brand • Who are they??? – – – – – – Customers Users Lovers Haters Competitors The People of Earth Knowledge is Power Empowered Consumers 40 Knowledge is Power Empowered Consumers 41 Alternative Channel WOM Engaging w/ Consumers 42 Engaging w/ Consumers Stop thinking like a marketer and advertiser and start thinking like a publisher and socializer Specialty Mobile Free From Consumers 44 Specialty Mobile Free From Consumers 45 2012 Results 2012 Sales Increase 43% 46 The Way We Connect Has Chnaged The Way We Connect Has Changed…Change Continues! Thank you! Connect with Me enjoylifefoods joelwarady @enjoylifecmo jwarady@enjoylifefoods.com