national

local

specialty

dog

AGENDA

Online Market Online Consumer Building Programs Retail Responds

Source: Packaged Facts

$1.5B

US Online Meal Kit Sales, Billions

2017(est.)2016

+210%

Sources: NRA (2017 data); Packaged Facts; Progressive Grocer (2016 data)

$669B

$799B

US Sales, Billions

+4.3%

+3%

$4.7B +210%

Source: Packaged Facts

2017(est.)2016 2022(est.) 2026(est.)

$1.5B $4.7B

$11.6B

$25BUS Online Meal Kit Sales, Billions

Source: Packaged Facts

Almost 75% of consumers are aware of online meal kits…

Sources: Hartman; Packaged Facts

…but less than 20% are active users.

For those that do buy meal kits online,80% are still purchasing after one month.

Source: Cardlytics via CNBC.com

The retention rate drops to 50% after six months…

…and to less than 30% after one year.

$79B

Too expensive

Too time consuming

Food quality not worth the price

Disliked packaging waste

Restaurant trips interfered with usage

Source: Hartman

• 90% of users would recommend kit delivery to their friends

• 81% feel meal kits are healthier than prepared foods

• 46% would buy kits if they were less expensive

• 36% indicate a desire to buy kits at local grocery stores

Source: Packaged Facts; Nielsen

Online Consumer

60%

40%

Sources: Hartman; Packaged Facts

meal kit subscribers

meal kit subscribers

Source: Packaged Facts

Source: Packaged Facts

Source: Packaged Facts

Source: Packaged Facts

“In the last 12 months, where have you

shopped for groceries and fresh foods?”

Source: Packaged Facts

Why meal kits?

Save planning & shopping time

Short prep, cook times

Great way to try new recipes

Healthy

Less food waste

Fun

Source: Packaged Facts; Nielsen

What’s for

dinner

tonight???

What time

should we

eat?

What do

we

have?

Do I have

time/energy to

figure out what

to make?

How much

mess will

it make?

Do I have

all the

ingredients?

Is everyone

hungry?

Is there already

a meal plan in

place?

Do I have

time/energy

to stop at

the store?

Are there any

budget

concerns?

How much

time do I

have ?

How much

energy do I

have?

What can I do

to save time?

Will I feel

appreciated?

What else is

going on?

How hungry

am I?

What do we

want?

What does

my partner

like?

Are we all

eating

together?

What will the

kids eat?

When did

we last

eat that

dish?

How much

work is it

to make?

Is it

healthy

enough?

Should we eat at

home, go out, or

get delivery?

Do we have

wine &

chocolate?

Source: Nielsen

BUILDING the PROGRAM

product

Scalable & specific

Meals for two, meals for more

Offer options with specific dietary focus-vegan, gluten free, kid friendly

Instagram-worthy culinary appeal

Globally inspired dishes that offer approachable new and exotic flavors

Colorful dishes that inspire purchases and social media sharing

Prep time & cooking methods

product

Online kits

average 30-40

minutes prep

product

Online kits tend to use stovetop

and oven cooking methods…

…and require two separate pots or pans

for cooking.

price

Value

Take focus off of the dollar ring

Quantify value- time, quality, fun, culinary appeal

Encourage comparison to foodservice

Profitability

Be thoughtful about ingredient composition

Balanced assortment

placement

Display locations

Grab & go for quick checkout

Near prepared foods, meat, seafood

Who owns the program?

Make it “ours”

Set clearly defined expectations

Online marketplace

promotion

Menu copy

Descriptive and delicious

Clarity & correctness of instructions

In-depth testing with real people

Tasting is believing

Cooking demonstrations can also highlight easy prep

Big picture thinking

What’s for

dinner

tonight???

What time

should we

eat?

What do

we

have?

Do I have

time/energy to

figure out what

to make?

How much

mess will

it make?

Do I have

all the

ingredients?

Is everyone

hungry?

Is there already

a meal plan in

place?

Do I have

time/energy

to stop at

the store?

Are there any

budget

concerns?

How much

time do I

have ?

How much

energy do I

have?

What can I do

to save time?

Will I feel

appreciated?

What else is

going on?

How hungry

am I?

What do we

want?

What does

my partner

like?

Are we all

eating

together?

What will the

kids eat?

When did

we last

eat that

dish?

How much

work is it

to make?

Is it

healthy

enough?

Should we eat at

home, go out, or

get delivery?

Do we have

wine &

chocolate?

Source: Nielsen

RETAIL RESPONDS

KITS

MIX & MATCH READY TO COOK

CURATED DISPLAY

kits

kits

kits

curated display

kits

kits

kits

kits

mix & match

ready to cook

meal solutions

mix & match

curated display

ready to cook

kits

branded partnerships

local partnerships

Meal kits aren't a silver bullet - they’re just one part of

a plan to provide comprehensive meal solutions

Focus on options that are right for you and your customers

Top-notch fresh programs are the starting point