Nielsen Homescan® Data and Retail Insights American Egg Board 52 Weeks Ending December 26, 2009 Nielsen Homescan® Panel • • • • • 125,000 U.S. households Demographically balanced Statistically reliable Households scan all retail purchases Uploaded to Nielsen weekly Channel * Facts • How do consumers shop and buy the EGG category in a particular retailer? • Examines opportunities and potential sales increase within a retail channel Shopper Penetration • % of households that purchased the category at least once and that shopped the retail channel Channel Facts: Shopper Penetration 52 weeks ending 12.29.2007 12.27.2008 12.26.2009 Total Outlets 92.6 92.4 92.8 Grocery 91.4 91.0 91.3 Drug 75.7 75.2 74.4 Warehouse Clubs 47.9 46.9 47.6 Convenience / Gas 37.9 37.3 35.4 Dollar Stores 59.8 59.5 60.2 7.3 7.9 7.8 Mass Merchandise w/Supers 88.8 88.3 88.5 Mass Merchandise w/o Supers 76.6 73.8 72.1 Supercenters 61.1 63.2 65.2 Trader Joes Item Penetration Channel Importance • What % of the business moves through the various channels? • Which store do most buyers go to? Channel Facts: Item Penetration 52 weeks ending 12.29.2007 12.27.2008 12.26.2009 Total Outlets 92.6 92.4 92.8 Grocery 82.7 82.7 82.7 4.7 5.0 4.7 12.7 12.9 13.3 Convenience / Gas 2.0 1.8 1.8 Dollar Stores 3.0 2.2 3.2 Trader Joes 0.7 1.1 1.0 38.1 38.5 40.1 7.2 7.0 7.7 33.1 33.6 34.5 Drug Warehouse Clubs Mass Merchandise w/Supers Mass Merchandise w/o Supers Supercenters Item Penetration: 1999 - 2009 100 94.9 94.7 94.3 94.0 94.5 94.1 93.3 93.0 92.6 92.4 92.8 90 80 70 60 50 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 “Percent of U.S. Households that purchased fresh eggs at least once during the year” Retailer Shoppers • Projected number of shoppers for that item in the retailer (the potential) Channel Facts: Retailer Shoppers (000) 52 weeks ending 12.29.2007 12.27.2008 12.26.2009 Total Outlets 107,485.7 108,762.2 109,904.2 Grocery 106,078.1 107,148.1 108,223.9 Drug 87,920.3 88,458.1 88,128.6 Warehouse Clubs 55,574.9 55,206.3 56,400.8 Convenience / Gas 43,987.1 43,857.9 41,995.7 Dollar Stores 69,448.1 70,086.8 71,325.2 8,465.6 9,255.4 9,198.6 103,084.7 103,906.7 104,834.0 Mass Merchandise w/o Supers 88,948.9 86,828.0 85,442.8 Supercenters 70,937.9 74,412.4 77,290.6 Trader Joes Mass Merchandise w/Supers Item Buyers • Projected number of buyers for that item in the retailer (the converted) Channel Facts: Item Buyers (000) 52 weeks ending 12.29.2007 12.27.2008 12.26.2009 107,485.7 108,762.2 109,904.2 96,045.9 97,350.9 98,040.5 5,492.7 5,838.2 5,572.0 14,747.9 15,214.5 15,730.8 Convenience / Gas 2,280.3 2,112.8 2,099.5 Dollar Stores 3,487.2 2,633.3 3,849.9 801.1 1,338.3 1,158.5 44,215.0 45,310.9 47,517.4 8,304.0 8,218.8 9,138.7 38,445.1 39,550.2 40,930.9 Total Outlets Grocery Drug Warehouse Clubs Trader Joes Mass Merchandise w/Supers Mass Merchandise w/o Supers Supercenters Buyer Conversion • The % of shoppers buying eggs by channel • Answers the question: "how many shoppers do I convert to buy EGGS in my store?” • Opportunity: convert shoppers into buyers Channel Facts: Buyer Conversion 52 weeks ending 12.29.2007 12.27.2008 12.26.2009 100.0 100.0 100.0 90.5 90.9 90.6 6.3 6.6 6.3 26.5 27.6 27.9 Convenience / Gas 5.2 4.8 5.0 Dollar Stores 5.0 3.8 5.4 Trader Joes 9.5 14.5 12.6 42.9 43.6 45.3 9.3 9.5 10.7 54.2 53.1 53.0 Total Outlets Grocery Drug Warehouse Clubs Mass Merchandise w/Supers Mass Merchandise w/o Supers Supercenters Buyer Conversion: Grocery Channel 100 92.4% 91.5% 90.5% 90.9% 90.8% 90 80 70 60 50 2005 2006 2007 2008 2009 “How many shoppers are converted to buy eggs in a particular channel” Buyer Conversion: Trader Joe’s 20 14.5% 12.6% 9.5% 10 0 2007 2008 2009 Retailer Trips • Projected number of trips that EGG buyers made into the retailer in total Channel Facts: Retailer Trips (000) 52 weeks ending 12.29.2007 12.27.2008 12.26.2009 17,810,486.7 17,580,085.9 17,352,624.0 Grocery 6,213,879.9 6,240,516.1 6,299,733.1 Drug 1,257,821.7 1,277,715.1 1,224,533.3 Warehouse Clubs 611,533.0 616,606.8 643,289.4 Convenience / Gas 623,678.3 582,358.2 545,751.0 Dollar Stores 859,952.7 888.233.5 909,854.5 64,910.0 69,483.5 71,375.1 Mass Merchandise w/Supers 3,280,352.3 3,232,617.1 3,227,989.3 Mass Merchandise w/o Supers 1,368,359.7 1,261,998.5 1,183,387.2 Supercenters 1,911,992.7 1,970,618.7 2,044,602.1 Total Outlets Trader Joes Item Trips • Projected number of trips that EGG buyers made into the retailer for EGGS Channel Facts: Item Trips (000) 52 weeks ending 12.29.2007 12.27.2008 12.26.2009 1,183,852.5 1,196,342.9 1,232,349.7 810,695.4 822,722.6 848,664.1 Drug 14,115.8 14,597.3 11,364.2 Warehouse Clubs 58,811.6 58,332.2 62,466.3 Convenience / Gas 5,122.3 4,820.7 5,077.0 Dollar Stores 8,868.3 5,024.0 9,994.1 Trader Joes 2,550.4 4,429.9 3,602.3 232,794.3 235,044.0 238,441.0 19,964.9 20,442.2 22,668.6 212,829.4 214,601.8 215,772.4 Total Outlets Grocery Mass Merchandise w/Supers Mass Merchandise w/o Supers Supercenters Trip Conversion • Percent of total retailer trips made by the EGG buyer that included EGGS Channel Facts: Trip Conversion 52 weeks ending 12.29.2007 Total Outlets 12.27.2008 12.26.2009 6.7 6.8 7.1 13.1 13.2 13.5 Drug 1.1 1.1 0.9 Warehouse Clubs 9.6 9.5 9.7 Convenience / Gas 0.8 0.8 0.9 Dollar Stores 1.0 0.6 1.1 Trader Joes 3.9 6.4 5.0 Mass Merchandise w/Supers 7.1 7.3 7.4 Mass Merchandise w/o Supers 1.5 1.6 1.9 11.1 10.9 10.6 Grocery Supercenters Item $ per Item Buyer • How much the item buying household spends on EGGS in the retailer throughout the year Channel Facts: Item $ per Item Buyer 52 weeks ending 12.29.2007 12.27.2008 12.26.2009 Total Outlets $ 24.30 $ 28.10 $ 23.80 Grocery $ 18.50 $ 21.20 $ 17.90 Drug $ 4.90 $ 6.20 $ 3.90 Warehouse Clubs $ 13.90 $ 15.30 $ 14.20 Convenience / Gas $ 4.50 $ 5.60 $ 5.30 Dollar Stores $ 4.20 $ 3.80 $ 4.40 Trader Joes $ 5.60 $ 7.70 $ 6.20 Mass Merchandise w/Supers $ 10.60 $ 12.30 $ 9.80 Mass Merchandise w/o Supers $ 4.80 $ 5.80 $ 4.80 Supercenters $ 11.20 $ 12.90 $ 10.30 Total Retailer $ on Item Trip: • The "in-basket market basket" value measure • The $ per trip spent by item buying households in that retailer among all trips that included EGGS Channel Facts: Total Retailer $ per Item Trip 52 weeks ending 12.29.2007 12.27.2008 12.26.2009 Total Outlets $ 77.80 $ 81.00 $ 80.40 Grocery $ 70.30 $ 72.90 $ 72.30 Drug $ 26.30 $ 26.90 $ 26.90 Warehouse Clubs $ 130.70 $ 132.90 $ 137.20 Convenience / Gas $ 23.40 $ 27.00 $ 25.90 Dollar Stores $ 24.90 $ 36.90 $ 32.50 Trader Joes $ 36.90 $ 43.70 $ 47.50 Mass Merchandise w/Supers $ 97.20 $ 102.90 $ 100.50 Mass Merchandise w/o Supers $ 75.70 $ 73.80 $ 73.70 Supercenters $ 99.30 $ 105.60 $ 103.30 Total Retailer $ When Item N-I-B • The "out of-basket market basket" value measure • The $ per trip spent by EGG buying households in that retailer among trips when EGGS were not in the basket Channel Facts: Total Retailer $ When Item N-I-B 52 weeks ending 12.29.2007 12.27.2008 12.26.2009 Total Outlets $ 41.90 $ 42.80 $ 42.80 Grocery $ 35.90 $ 37.10 $ 27.80 Drug $ 23.70 $ 23.90 $ 24.00 Warehouse Clubs $ 94.30 $ 97.00 $ 94.50 Convenience / Gas $ 17.80 $ 19.30 $ 19.80 Dollar Stores $ 13.40 $ 13.70 $ 14.00 Trader Joes $ 32.60 $ 33.70 $ 33.70 Mass Merchandise w/Supers $ 54.00 $ 55.90 $ 54.90 Mass Merchandise w/o Supers $ 48.20 $ 48.90 $ 47.80 Supercenters $ 58.60 $ 60.80 $ 59.40 Channel*Facts In-Basket vs N-I-B Value • Dollars spent per Household per trip when eggs were in the basket vs dollars spent when eggs were not in the shopping cart Channel*Facts: Eggs in Basket vs Eggs N-I-B $103.30 100 90 $80.40 80 $72.30 70 $59.40 60 50 $42.80 $32.50 40 $27.80 30 20 $14.00 10 0 Total US Grocery Supercenter Dollar % of Egg Volume Sold on Deal • The percent of item volume sold in conjunction with any consumerperceived deal. Channel Facts: % item $ on Deal 52 weeks ending 12.27.2008 12.26.2009 Total Outlets 18.0 % 18.5 % Grocery 19.6 % 24.1 % Drug 48.3 % 45.5 % Warehouse Clubs 1.7 % 2.4 % Convenience / Gas 7.8 % 13.0 % Dollar Stores 5.5 % 6.8 % Trader Joes 1.7 % 1.6 % Mass Merchandise w/Supers 4.2 % 6.0 % Mass Merchandise w/o Supers 7.7 % 9.5 % Supercenters 5.3 % 5.6 % % Egg Volume Sold on Deal in Grocery Channel 30 26.9% 24.1% 25 21.9% 20.0% 19.6% 20 15 10 5 0 2005 2006 2007 2008 2009