How FERRARA is Sharing Delight - through Content & Experiential Activations

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How FERRARA is Sharing Delight - through Content & Experiential Activations
How FERRARA is Sharing Delight
through Content & Experiential Activations   1
How FERRARA is Sharing Delight - through Content & Experiential Activations
Our History
How FERRARA is Sharing Delight - through Content & Experiential Activations
With a challenger mindset, we’re punching above our weight

       #1                 #2               #3                #2
   Seasonal Sugar    Sugar Confection   Fruit Snacks         Cookies
How FERRARA is Sharing Delight - through Content & Experiential Activations
Our diverse portfolio of over 35 brands connects to every
consumer

                 Top Dollar overindexes are shown
How FERRARA is Sharing Delight - through Content & Experiential Activations
CLEAR STRATEGIC PILLARS FOR GROWTH

                            VISION: Ignite the Growth Engine; Sharing Delight in Every Bite
    Growth
    Pillars

                                                                  Realize the            Enhance
                      Unleash               Consumer
                                                                      Full              Shopper!
                        The                   Inspired
                                                                   Potential             Win by
                       CORE                 Innovation
                                                                  of Seasonal            Channel
    Foundational
      Elements

                   Product Quality        Velocity & Equity        Operational &         Consumer &
                    & Preference            Investments          Commercial Agility    Customer Insights
How FERRARA is Sharing Delight - through Content & Experiential Activations
Differentiated & Proven BRAND’S FOUNDATIONS to win in-market

                                                                                             REAL JUICY, REAL GOOD: REAL delicious
  IT’S TROLLI: To shine a (weirdly awesome)     BE BOTH: To inspire and celebrate the
                                                                                             treats you can feel “good” about enjoying
  neon light in today’s dark world              duality and multiplicity within

                                                                                              RECOGNIZE THE CHEW: Celebrating hard
   NERD OUT: We elevate & celebrate nerdiness   PASS THE LAFF: To share sweet joy one joke    work & making a difference
   together                                     at a time
How FERRARA is Sharing Delight - through Content & Experiential Activations
LEVERAGING A PROVEN GROWTH MODEL

                                       VELOCITY
                                        Omni-Channel
                                          Marketing
                                     Paid-Earned-Owned
                                       In-store / Trade    WHITE SPACE /
           INNOVATION                     Marketing        DISTRIBUTION
        Driving Distinct & Ownable                              Category
                Propositions                                  Management
                  Proximity                                   Perfect Store
                Incremental                                 In-store Merch &
              Transformational                                   Display
                                        MARGIN
                                      Intentionally Fuel
                                       Portfolio Growth
How FERRARA is Sharing Delight - through Content & Experiential Activations
We’re investing to grow the category across the algorithm

              VELOCITY                                            INNOVATION                                            DISTRIBUTION
 Omni-Channel Marketing Paid-Earned-Owned

 Continually investing in A&P spend,
                                               +          Driving Distinct & Ownable Propositions
                                                                                                           +   Category Mgmt, Perfect Store, Merchandising

                                                                                                                In-Store and Shopper Tools
                                                       Driving Category Innovation growth
   +130% investment since 2017
                                                                               50%
                                                                            incremental
                                                                            to Category

                                                    $ Growth                                    76%
                                                                                             incremental
                                                    40X the
                                                    Category
                                                                                               to Brand              Category Management
                                                                                                                 Shelving Principles & Guidelines

  Our impact out-paces our size                        Framework to deliver EVEN MORE
                                                   Incremental Innovation & Meaningful Renovation

  +260%        16% Share
  increase
                                   +11B
                 of Voice        Impressions
  in reach     at 14% Share of
 since 2017        Category        in 2020

                                                   *IRI L52 12/27/20
How FERRARA is Sharing Delight - through Content & Experiential Activations
VELOCITY: We’re Connecting with consumers where they
are…across Paid, Owned, and Earned
How FERRARA is Sharing Delight - through Content & Experiential Activations
L52: +54.9%   L52: +21.1%
L13: +90.7%   L13: +26.3%

              Gummy Bears
               L52: +10.4%
L52: +15.5%    L13: +9.4%
L13: +17.6%
               Fruit Snacks
               L52: +31.3%
               L13: +11.6%
TWO THINGS TO SHARE TODAY

             1                       2
       TROLLI GAMING        NERDS GUMMY CLUSTERS

                                                   11
Brand Director, Trolli
Brand Size =
                                                                                               $257MM* Sales
                                                                                                 +15.5% YoY

                                                            Ownable Proposition
                             Products that are weirdly awesome, delivering levity through Trolli’s unexpected colors,
                                       flavors, shapes, and textures - with a punch of signature Sour Brite

               Consumer                    Human Truth / Insight                Brand Purpose                    Product Truth
      ✓ GenZ & Millennials                  The world today often feels               To shine a             ✓ Unexpected colors,
      ✓ Digital Native                      chaotic and stressful. So        (weirdly awesome) neon            flavors and textures
                                              now, more than ever, we                    light               ✓ Unique & Unusual
      ✓ Off-beat & comfortable              need moments of escape,             in today’s chaotic &           shapes
        in their own skin                    to keep perspective, and              stressful world.
      ✓ Fun-loving                            keep moving forward.                                           ✓ Punch of signature     13

                                                                                                               ‘Sour Brite’
*Source: IRI Scans L52wks ending 3.21.21
Gaming is attractive for Trolli, given the brand’s digital native consumer
    target and gaming’s sweet snacking occasions

          MAJORITY OF                                  GAMING IS BIGGER THAN MUSIC                                                GAMERS ARE SNACKERS
         AMERICANS ARE                                   AND MOVIES, COMBINED
           GAMERS
                                                               US ENTERTAINMENT COMPARISONS
                                                                                                                              87% of Gamers snack
                                                                        (annual revenue, 2019)                                while gaming

                                                                              $11.1B                                          94% of Gamers consider
                                                                                                                              themselves snackers

                                                                              $11.4B                                          69% of Gamers Like to
                                                                                                                              Indulge their sweet tooth

 96%* OF GEN Z ARE GAMERS                                                        $48.2B

                                                              GAMES HAVE MUCH                                                      An avg game brings in
                                                                                                                                        over 400 hours of
                                                             LONGER WINDOWS OF                                                              engagement.
                                                                  RELEVANCE.                                                          Hours of game time
                                                             YOU DON’T NEED TO BE                                                     means many more
                                                               TIED TO “OPENING                                                   snacking opportunities.
                                                                                                                                                     Source: SuperData
                                                                   WEEKEND”

*Includes Console, PC or Mobile games   Sources: ESA Essential Facts, NPD, NewZoo (gaming), Box Office Mojo (film), RIAA (music), Mintel
We know Trolli indexes high with
                                    Partnering with a gaming brand will
 gamers, so this is our chance to
                                      launch Trolli as a truly gaming-
corner the market and become the
                                               centric brand
     go-to snack for G amers
2
                                                                 0

Proprietary & Confidential: For Ferrara Innovation Summit only
Nerds Gummy Clusters launch drove 1+ billion impressions!

    CREATE BUZZ                DRIVE AWARENESS                  BUILD MOMENTUM              ACCELERATE WITH
      WITH PR                  WITH INFLUENCERS                     IN-STORE                360 SUPPORT IN Q1
     We started building        A team of paid influencers                                      We are accelerating
                                                                 Nerds Gummy Clusters
excitement with PR outreach   drove awareness and trial with                               momentum by engaging fans
                                                                velocity is 4X Big Chewy
 and achieved 1+ BILLION      our #NERDSBetterTogether                                     on the Clusters origin story.
                                                               Nerds and drove $7.5MM in
   IMPRESSIONS before            challenge on TikTok and                                    Our 360 program launched
                                                                    2020 retail sales.
          launch!                       Instagram.                                          with Gaten Matarazzo from
                                                                                            Stranger Things and will be
                                                                                           amplified with paid social and
                                                                                           digital, sampling and in-store
                                                                                                      support.
Nerds is just getting started with a full 360 support plan!

        Awareness              Shop               Engagement

                          Media
                         Support       In-Store
                                       Displays
            Sampling                              On-Pack
                                                  QR Code

 PR &                                                       Paid Social
Celebrity                                                    & Digital
Celebrities and influencers are driving buzz for Nerds
              Gummy Clusters!

             Gaten Matarazzo                                 Kylie Jenner                     Influencers

The Stranger Things star kicked off our   Kylie Jenner called Nerds Gummy          Great organic influencer content and
360 support plan by asking fans, “Where   Clusters “next level” in her Instagram   reviews
did this crunchy gummy yummy invention    Stories, driving earned press and
come from?”                               increased google searches!

                                                                                     @candyfunhouse
                                                                                     (100K followers)

                                                                                                            @katienolan
                                                                                                               (593K
                                                                                                             followers)

                                                                                        @lovliecakes
                                                                                      (234K followers)
24
Gummy Clusters sales surpass $18MM since launch and
                            velocities outpace top tier competition!
   Performance in the latest 26 weeks ending 3/21/2021

      Stand Up Bag                            Nerds      Hi Chew      Skittles               Medium Peg                        Nerds                     Hi Chew
                                                                                 Big Chewy                                                 Haribo                   Big Chewy
                                             Gummy       Assorted    Gummies                                                  Gummy                     Assorted
                                                                                   Nerds                                                  Gold Bears                  Nerds
                                             Clusters   Fruit Chew    Original                                                Clusters                 Fruit Chew
                                                                                 10oz SUB                                                 4.0oz Peg                  6oz Peg
                                             8oz SUB    12.7oz SUB   12oz SUB                                                 5oz Peg                   4.3oz Peg
      Dollar Sales                           $6,149K     $1,301K      $220K       $1,210K    Dollar Sales                     $4,637K     $10,935K      $1,207K      $4,532K
      ACV Weighted Distribution                41.7        58.7        19.0        57.1      ACV Weighted Distribution          5.1          39.0         18.6        21.4
      Avg Wkly $/ Store Selling               $18.95     $17.46       $16.32       $8.04     Avg Wkly $/ Store Selling        $13.32       $13.46       $16.04        $5.17
      Avg Wkly Units/ Store Selling             5.8        3.6          5.3         2.3      Avg Wkly Units/ Store Selling      5.7          13.5         8.1          2.1
      Quartile                                   1          1           1           2        Quartile                            1            1            1            2

      Theater Box                             Nerds                                          Sharepack                         Nerds
                                                        Sour Patch   Skittles    Big Chewy                                                 Airheads     Skittles    Big Chewy
                                             Gummy                                                                            Gummy
                                                         Original    Original      Nerds                                                   Xtremes      Original      Nerds
                                             Clusters                                                                         Clusters
                                                          3.5oz       3.5oz        4.25oz                                                  Sour 3oz       4oz           4oz
                                               3oz                                                                              3oz
                                                          T-Box       T-Box         T-Box                                                 Share Size   Share Size   Share Size
                                              T-Box                                                                          Share Size
      Dollar Sales                           $2,438K    $11,280K     $7,753K      $622K      Dollar Sales                     $3,785K      $2,938K     $18,200K      $1,156K
      ACV Weighted Distribution                24.4        81.4        65.7         7.4      ACV Weighted Distribution         30.2          21.6         44.4         5.3
      Avg Wkly $/ Store Selling               $10.33      $6.85       $6.98        $2.30     Avg Wkly $/ Store Selling        $20.61        $8.74        $6.36        $2.24
      Avg Wkly Units/ Store Selling            10.0        6.5          6.7        2.05      Avg Wkly Units/ Store Selling     13.3          6.3          3.3          2.0
                                                 1          2           2           3                                            1            1            2            3
Source: IRI MULO+C, Latest 26 Weeks Ending 3-21-21
Largest EVER
   Ferrara                         Great influencer
 innovation                          engagements,
                                   like Kylie Jenner
   launch                              and Gaten
                                       Matarazzo

                                                       Over $18MM in
                 1+ BILLION                              retail sales
               PR Impressions…                          since launch
                                                              &
                                                       Velocities out-
                         and                               pacing
                       counting!                        competition

                                                                         26
OUR LEARNINGS

      The importance of understanding your Equity and your
 1    Foundations. When you know who you are, you know what to do!

     Know your consumer – and their passions. Connect with them
 2   where they are!

     Consider the role of partnerships – and how affiliations /
 3   influencers can further drive your brand message

     “It takes a Village” – Internal partnership is essential – R&D and
 4   Ops help make the magic happen

     Embracing agility & a growth mindset – scenario plan over and
 5   over – Listen, Pivot & Act
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