THE NEW GOOD OF MILK Tetra Pak Dairy Index Issue 8 17 June 2015 - PowerPoint PPT Presentation

Revitalising dairy THE NEW GOOD OF MILK Tetra Pak Dairy Index Issue 8 17 June 2015

External CY/2015-06-17 / 2

The milk perception External CY/2015-06-17 / 3

… and that was why we conducted a consumer perception study ► Research Methodology − Quantitative − Online interviews − Countries: Germany, Spain, Thailand, USA, China, Brazil ► Sample Size − About 200 interviews per country, a total of 1225 ► Fieldwork Timing − March 2015 ► Target − Representative samples of milk consumers or former milk consumers External CY/2015-06-17 / 4

Spontaneous associations Adjectives, images, nouns or emotions External CY/2015-06-17 / 5

Consumers’ response to negative stories Most have no doubts about the goodness of milk • Majority of consumers have no TOTAL TOTAL FORMER USERS doubts about the goodness of milk. USERS TOTAL GERMANY SPAIN THAILAND USA CHINA BRAZIL TOTAL 1225 200 200 202 215 200 208 1148 77 • 30% of the consumers say they don’t Q30:What's your response to these debates? believe negative stories, and more I am convinced that milk is not 3% bf h 6% 4% 15% 7% 3% 4% 6% 13% good for people 7% than 50% believe it comes down to 9% 12% 8% 12% 13% I now have doubts about the 8% 31% goodness of milk how much you drink. h 21% 45% 49% 51% I believe it comes down to how 52% 52% 67% much you drink. 57% Excessive consumption of any 42% food can be bad 52% 39% 36% 38% I 30% 31% 24% 19% 23% 14% I don't believe them at all External CY/2015-06-17 / 6

Reasons for drinking milk • Top reason for drinking milk in developed markets is taste TOTAL GERMANY SPAIN THAILAND USA CHINA BRAZIL (A) (B) (C) (D) (E) (F) (G) CURRENT USERS 1148 185 191 191 188 193 200 • Consumers in developing markets Q20:Why do you usually drink milk? Please rank the three most important reasons? Summary top 1 reason give their top reasons as “a good It is a good source of calcium 14% B 8% 20% ABE 14% b 10% 16% Be 14% b DF ACDFg DF f ACDF cDF It is tasty 13% 25% 10% 5% 20% 2% 17% It is healthy source of calcium” and a healthy, 12% F 10% 16% F 16% beF 10% 6% 12% f It is nutritious 11% BG 6% 9% 14% BG 11% bg 18% ABCeG 6% It is a good source of vitamin A and D 6% BD 3% 7% bD 2% 13% ABcDG 8% BD 5% nutritious drink It reduces the risk of osteoporosis 5% CE 3% 3% 9% aBCE 2% 7% bCE 9% BCE d D Dg d It is an essential part of my diet 5% 7% 7% 3% 4% 6% 4% It is rich of protein 5% C 3% 2% 5% c 3% 8% bCE 7% bCE It is one of the most natural food available 4% 5% 4% 3% 3% 6% 5% It is refreshing 3% CDFG 8% ACDFG 1% 1% 9% ACDFG 1% 1% It is natural and genuine 3% G 4% g 4% G 4% g 4% G 3% 1% eF eF eF f It is rich in minerals 3% 4% 2% 4% 1% 1% 3% It is suitable for everybody 2% 2% 4% 3% 3% 3% It is easy to digest 2% C 3% c 1% 1% 2% 4% Cd 4% C It is suitable for children 2% b 1% 3% 5% aBEFG 1% 1% 1% It is suitable for a moment of relax 1% 3% d 2% 1% 1% 2% 2% cf cf It reduces the risk of fractures in women 1% 1% 1% 3% 3% 1% 2% It is recommended by nutritionists 1% 1% 1% 3% c 1% 3% bce 1% It reduces the risk of heart disease 1% 1% 1% 2% 1% 1% 2% It is suitable for adults 1% 1% 2% 2% 2% It is suitable for senior 1% 1% 1% 1% 1% 1% It reminds me of childhood 1% 2% 1% 1% 1% 1% It reduces the risk of breast cancer 1% 1% 1% 1% 1% It is recommended by dentists 0% 1% 1% External CY/2015-06-17 / 7 Comparison Groups: ABCDEFG - Upper case letters indicate significance at the 95% level - Lower case letters indicate significance at the 90% level

Consumer motivations Three key reasons people cite for giving up milk are: ► I changed my habits for no particular reason - 27% (essentially other more interesting choices) ► I no longer liked the taste - 26% ► I became Lactose intolerant - 21% External CY/2015-06-17 / 8

Consumer motivations What would bring people back to milk Make it all natural Make it really digestible More protein More calcium New flavours Different smell External CY/2015-06-17 / 9

Two factors influencing consumer choices The desire for optimum health and wellness Increasingly busy, complex lifestyle External CY/2015-06-17 / 10

Product innovation trends Milk 2.0: Indulgence: Personalised Permissible Treats Products Pure Milk: Designer Dairy: The Natural Choice Made for Modern Life External CY/2015-06-17 / 11

Product innovation trends Indulgence INDULGENCE: Permissible Treats ü Rewarding ü New consumption occasions ü Tasty and nutritious ü Wherever I want! External CY/2015-06-17 / 12

Product innovation trends Milk 2.0 MILK 2.0: Personalized Products ü Better for me ü “Minus” milks ü Value-added products ü High personalisation External CY/2015-06-17 / 13

Product innovation trends Designer Dairy ü Meal replacement DESIGNER DAIRY: ü Sports recovery products Made for Modern Life ü On-the-go consumption ü Snacking External CY/2015-06-17 / 14

Product innovation trends Pure Milk ü Environment PURE MILK: ü Health concerns The Natural Choice ü Back to basics ü ...It’s/I’m trendy! External CY/2015-06-17 / 15

Effective communications External CY/2015-06-17 / 16

Milk campaigns around the world External CY/2015-06-17 / 17

The US: Changing times for marketing milk External CY/2015-06-17 / 18

Communications ► Maintain the flow of positive messages ► Keep the scientific findings alive ► Build relationship with influencers ► Stay close, stay relevant, speak to the young generation − Social media − Word-of-mouth − The language and tone ► Align and communicate collectively External CY/2015-06-17 / 19

Exploring “the new good of milk” ► Innovate and be relevant ► Communicate and resonate External CY/2015-06-17 / 20

Questions? External CY/2015-06-17 / 21