CATEGORY MANAGEMENT YESTERDAY, TODAY

CATEGORY MANAGEMENT YESTERDAY, TODAY & TOMORROWAN ECR COMMUNITY REVIEW OF CURRENT PRACTICES IN CATEGORY MANAGEMENT 2020

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Download free at www.ecr-community.org Released Nov 2020 Downloaded in 70+ countries

A 200+ page Review

including 14 global case

studies + insight from

category management

experts + ECR National

Associations + leaders in

technology!

HELLO!

THIS WEBINAR WILL

BEGIN SHORTLY.

PLEASE ENGAGE & ASK

QUESTIONS

ENJOY!

WELCOME Declan CarolanCo-ChairECR Community

CATEGORY MANAGEMENT YESTERDAY, TODAY & TOMORROWAN ECR COMMUNITY REVIEW OF CURRENT PRACTICES IN CATEGORY MANAGEMENT 2020

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Download free at www.ecr-community.org Released Nov 2020 Downloaded in 70+ countries

A 200+ page Review

including 14 global case

studies + insight from

category management

experts + ECR National

Associations + leaders in

technology!

Scanning

Space Management

Category Management

Next GenerationStore Designs

ShopperMarketing

2011

Shopper-FocusedCM

CollaborativeCRM

1975

19901985

2000

1993

20082005

20152020

Omni-ChannelMarketing

Integrated Consumer & Shopper Marketing Category Management – Key Role

in Evolution of Retail Marketing

Dr. Brian Harris

Luc Demeulenaere

#ECR CAT MAN NETWORK WEBINARS

Webinar 112 January 2021

Webinar 216 February 2021

Webinar 316 March 2021

Education & Insight

The integrated consumer shopper approach in

Category Management & Shopper Marketing

Building a Consumer-Shopper integrated

segmentation to develop a category vision for the

category and the brand

How the retailer will win the consumer

shopper segment the relevant shopping missions

Casesdunnhumby – Metro,

CanadaYagora - Jack Links,

GermanyHoffrogge - Rewe & Coca

Cola, Germany

Cases Rainbow, China Barilla, ItalyMusgrave Retail Partners

Ireland

ECR Community

ECR France ECR Italy ECR Germany

Q&A Q&A Q&A

A series of webinars focussing on submissions from the ECR Community Review of Current Practices in Category Management 2020

SURVEY RESULTS FROM POLL AFTER WEBINAR #3

Please rate from 1– 71. The #ECRCatManNetwork Webinars 6.1

2. The Review of CM practices 2020 6.4

What would you like to see featured in future ECR webinars?1. More case studies

2. Shopper Insights

3. Online CM

4. 8 Step Process + Education

5. CM Structure in Companies

#ECR CAT MAN NETWORK WEBINARS

Webinar 421 September

2021

Webinar 509 November

2021

Cases Mars, Greece Nestle, Brazil

Cases Birra Peroni, Italy Heineken, Ireland

ECR Community

#ECRCatManNetwork

A series of webinars focussing on submissions from the ECR Community Review of Current Practices in Category Management 2020

ECR COMMUNITY CATMANWEBINAR – SEP 21

George Vlastos, Senior Category Manager GR-CY-MA, Mars, Greece Blending global led innovation with local consumer and shopper insights into a new consumption occasion-based category vision for a successful Rice Category Business Plan

Alessia Angelini, Head of Trade Marketing Off Premise, Birra Peroni, Italy Developing a Category Business Plan to recover declining sales in the Beer category in the hypermarket and supermarket channels

ECR Community Update on ECR #CatManNetwork 2022

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Blending global led innovation with localconsumer and shopper insights into a new consumption occasion basedcategory vision for a successful RiceCategory Business Plan

George Vlastos Mars Hellas S.A.Senior Category Manager GR, CY, MT

Το όραµα της Mars είναι να φέρει τον κόσµο στο τραπέζι του δείπνου ώστε να µοιραστεί µε

τους αγαπηµένους του εύκολα, υγιεινά, προσιτά και πιο νόστιµα γεύµατα

1 Δις πιο υγιεινά γεύματα

Our Category Vision is based on the major consumer insight…

To solve the dilemma for our DinnerFast & Easy OR Healthy?

Offering Healthy, Easy, Affordable & Tasty choices

That are Good Value for Money

They have less time to cook

They Want a Tasty Outcome

They are looking for Healthier Solutions

ABSOLUTE COST

INTRINSIC WORTH

RICE Category in Greece

ü50M Euros

ü1,1M plates of Rice are consumed

daily

ü40% Penetration in plates with Carbs

ü Yet, it was a commoditized category

until 2017

-3% -4%-8%

-4%

0%5%

-10%-15%

-10%

-5%

0%

5%

10%

FY 10 FY 11 FY 12 FY 13 FY 14 FY 15 FY 16

RICE CAT EVOLUTION IN GREECE (2010 - 2016)

4 Key Category Drivers of RICE

Establish the category Expand the category Maximize the categoryPenetration Frequency of

PurchasePremiumisation

92,4% 7,3 times / year 2,48€ / trip

Source: Household Panel Data May 2018 by Kantar

RTH can deliver on these trends and break the barriers to Rice Consumption…

Outcome Guaranteed:Uncle Ben’s Ready to Heat was primarily founded on consumer insight that the majority of rice buyers find rice difficult to cookRice that could be cooked in the microwave overcame this usage barrier

Range of exciting flavours:• Range of popular meal related flavour

varieties to add interest to a meal• Consumers find this appealing as they can

struggle to make these recipes themselves.• Great flavour + no compromise on quality.

Free from artificial colours, flavours and preservatives.

Barrier: Getting the right outcome

Barrier: Lack of time

Barrier: Perceived as dull

Barrier: Deciding amount of rice to cook2 mins or less ! • Uncle Ben’s Ready to Heat can be cooked

in the microwave or re-heated in a pan, dramatically reduces the standard cooking time of Dry Rice (10-20mins).

Serves 1-2 people• The average consumer uses between

120-150g of cooked Rice (depending on the meal).

• Uncle Ben’s Ready to Heat comes in convenient 250g packs, to deliver the right serving size, minimizing wastage.

What we did

89% of Consumers would like to eat 1 extra meal@home every week

60% have not decided what to eat for Dinner

until 14:00 o clock

Significant Decrease of Take – away meals (-23% in last 6 years)

Health is #2 Concern of Greek Consumer

PromotionalPlan

Shelf Layout Proposal

Visibility in the stores Sampling

• 3 SKUs 100% ND• 2 SKUs 83% ND• 1 SKU 70% ND• 1 SKU 45% ND

Results

Category Growth (Value Share Gain for My Market)

Premiumization of the Category by +13%

Value Share Gain for Uncle Bens

+10,3% RSV9,9% Value Share

(+0,5ppt)

Learnings

Ø In depth knowledge of your Category – areas that you want to focus

Ø Decide on your innovation pipeline based on strong consumer insights

Ø Engage Internally the organization

Ø Find the right Partner – Engage externally with compelling category story

Ø Set clear KPIs for success

Ø Best in Class execution in the stores

Thank you

Part of Asahi Europe & International

Birra Peroni CaseDeveloping a Category Business Plan to recover sales in the Beercategory

Sep 21


AEI: Internal

Asahi Europe Ltd

Background, Rational and Challenges of the project


AEI: Internal

• Focus on the IPER and SUPERSTORE formats with poor performance due to greater promotional pressure and complexity of the shelf assortment

• Beer shoppers from Northern Italy are our target: the consumers in 90% of cases, buy 2 liters of beer every 3-4 weeks

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BACKGROUND

RATIONAL

CHALLANGES

• The 50% of shoppers plan the category and impulse buying is driven by convenience, but - if not interesting enough - the purchase does not complete.

• Attract consumers with higher spending potential, sensitive to a healthier lifestyle to create value


AEI: Internal

Asahi Europe Ltd

Goals


AEI: Internal

1. Recover sales (total sales and no-promo sales) of the category in the hypermarket channel

2. Improve assortment and shelf visibility focused on no-alcohol /radler/gluten free segment

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Success indicators:

Total sales by value(€)

Total value sales not in

promotion(€)

Assortment holding by point

of sale

3


AEI: Internal

Asahi Europe Ltd

Project structure and tools used

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AEI: Internal

A study on shopper behavior allowed us to provide an alternative to the market leader approach

Consumers divide the beers into 3 types to meet different needs:

• The lager à for routine consumption• The no-alcohol/ radler / gluten freeà to keep up with the health trend• The specials à for a rewarding moment

4 types of specials beer identified: reds, strong, weiss and special lagers; everything else is still quite confusing.

The shoppers consume beer packaged in 33cl and 66cl glass, while the cans are chosen for occasions of consumption away from home.


AEI: Internal

Birra Peroni Category Approach


AEI: Internal

Asahi Europe Ltd

Project implementation

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AEI: Internal

Our "shelf" approach reflects shopper fundamentals:

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Occasion of consumption:

at home vs away from

home

Typology:

Brand and Price:

• Clear separation between can and glass format (33cl of 66cl)

• clear identification of the Brand and the Convenience scale

• beer segmentation in lager, zero alcohol / radler / gluten free and specialties divided by type


AEI: Internal


AEI: Internal

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• With the Retailers with we have implemented this kind of projects we have developed a synergistic category approach, considering the shopper's decision tree, simplifying the assortment and increasing the readability of the shelf.

• The implementation was constantly monitored at the store level, ensuring the maintenance of the new display layout over time.


AEI: Internal

Asahi Europe Ltd

Quantitative results

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AEI: Internal

Encouraging results in terms of:

Best trend in the beer

category, both in terms of total sales and non-

promo sales

Reversal of the negative trend

of the "healthy" sub-

segment

Improvement of the

assortment holding rate

Significant reduction in OOS on the

shelf of Peroni Beer

references

Total value sales Beer category*

Year 1 Year 2 DELTA

P0 (Gen-Apr) -3,0% +3,0% +6,0 pt

P1 (Giu-Ott) -0,3% +9,3% +9,6 pt

DELTA +2,7 pt +6,3 pt

* Retailer operating in the North of Italy


AEI: Internal

Asahi Europe Ltd

Qualitative results

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AEI: Internal

The approach implemented has helped to improve:

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Particular on Zero and Radlersegment:

the shelf visibility of the sub-

segments (No alcohol and specials)

and of BirraPeroni’s products

the navigation quality of the shelf

(crowded) : it facilitates the selection and

conversion into the act of purchase by

buyers

Shopper closurerate

The no-promo purchase rate of shoppers with a

higher spending power and

sensitive to a healthy lifestyle


AEI: Internal

Cheers!

CATEGORY MANAGEMENT YESTERDAY, TODAY & TOMORROW - 2020

#ECRCATMANNETWORK Set up a global Category Management Network.

A Network to

1. Develop & share Category Management knowledge & experience.

2. Track latest relevant CM related Hot topics & technologies

3. Focus on effective interaction & collaboration

4. Provide a forum for showcases, discussion, debate & learning.

FOCUS AREAS OF #ECRCATMANNETWORK

•Relevant for mid-size retailers & suppliers

•Sharing best case studies from around the world

•Webinars on new trends impacting CM

•Showcase for new tools

•Digital readiness checklist (and perhaps developing checklists for other relevant CM areas)

•Annual conference (virtual)

•Annual global survey of CM professionals

•Directory of CM professionals

•Training (online primarily)

•Not only focus on FMCG, but also include other sectors e.g. pharmacy, DIY, Non Food

•Online CatMan / eCommerce /

Omnichannel

•“New” technologies e.g. AI or in eCommerce e.g. personalization / individualisation – and how it can support the CM work

•Arrange targeted initiatives (webinars, workshops ...) to share knowledge to CEO level, middle management level, newcomers level, student level.

•Focus on retailers involvement.

•Create a link to sustainability issues

•Collaboration between retail and industry

•Bi-annual CM trend webinars

•Prizes for best case studies

•Revenue Growth Management

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FORM AN ECR STEERING GROUPWe want the best & brightest minds in category management to be part of this group.oLarge Steering Group of c.24. oECR Representation = 8 oCatMan Experts = 4 oDr Brian Harris + Luc Demeulenaere + 2 others

oRetailers & suppliers = 6 oService Providers = 6

o5 virtual meetings p.a. oRegional representation

oTasks of Steering GroupoPrepare webinars - determine hot topics - focus areas - identify

technologies - workgroups41

BENEFIT OF JOINING ECR STEERING GROUP

1. Global networking with leading category management experts & practitioners.

2. Peer to peer engagement – retailers & suppliers

3. Learning from other leaders in CM

4. Developing business opportunities for service providers

5. Presenting to global audience at webinars

6. Showcasing the CM credentials for an organization

7. Leveraging new CM paradigm1. Consumer shopper segmentation & category insights2. Consumer mobile technology3. Battle for the mission4. Personalisation & targeting5. Ecommerce6. AI

8. Learning from a global stage.

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#ECRCATMANNETWORK – WEBINAR FORMAT

1. 5 x 90 minute webinars p.a.1. Feb – Apr – June – Sep – Nov

2. Format –mix between following …1. Insight = education/expert pres. / academic2. Action = retailer, supplier case study3. Technology = service providers,

developments4. Hot topics5. Focus Areas6. Participant Interaction & Q&A

3. Communications1. Create page in ECR-Community.org2. Social Media #ECRCatManNetwork

1. Linked In2. Twitter

3. Media Partners?4. Consider Podcasts & webcasts

4. Training possibilities

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PROPOSED BUSINESS MODEL1. Free to attend webinars

2. Sponsors1. Primary & Secondary Sponsors2. Service Providers on Steering Group3. Retailers & Suppliers on Steering Group

3. Sponsor Privileges1. Speaking slot for Insight, Tech or Hot Topic Section2. Branding on Web3. Seat on Steering Group

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#ECRCATMANNETWORK

Dr. Brian Harris Luc Demeulenaere

#ECRCATMANNETWORKNEXT WEBINARNOV 09 @ 16.30 CET

1. Bárbara Rios Ribeiro,

Head Trade Mkt GC&Planning,

Nestle Brazil

Developing and implementing an Infant Nutrition Category Business Plan to maintain category growth and development in the Brasil Drug Store / Pharmacy channel

2. Heineken Ireland

In-store activation

3. #CatManNetwork 202246

Documents

CATEGORY MANAGEMENT YESTERDAY, TODAY