Australian Cherry Marketing Program 2013/14 –

Your Levy Investment

Elisa Tseng Marketing Manager

• Presenter – Heath Adams – Sprout Research

• 2013/14 Marketing Program Overview • Program consolidation

• Integrated marketing program

• Cherry season launch

• National breakfast TV celebrating season start

• Media coverage

• Aussie cherries facebook page

• Point of sale kits

• Woolworths national promotion

• State promotions

• Export co-operative promotions

• Cherry category performance

Agenda

• Industry Strategic Marketing Plan 2012~2017

• Key Marketing Objectives • Driving fresh consumption of Australian cherries by increasing:

– household penetration (% of households that buy)

–purchase frequency (how many times they buy)

–average weight of purchase (how much they buy)

• Increasing the export %

• Marketing Measurements • AC Nielsen Homescan (includes Woolworths scan data)

• Bespoke industry research tool (conducted by Sprout Research)

• Export market intelligence (by Fresh Intelligence Consulting)

Marketing Objectives

• Maximise industry’s marketing levy investment

• Limited funds / leverage every opportunity

• Building blocks in place:

– consumer insights

– past campaign learnings

• Pitched to award winning agencies based on agreed brief

2013/14 Marketing Program Consolidation

Key Challenges and Opportunities Presented in the Brief

• Cherries are largely an impulse buy fruit unlike staple fruit

• The season is short, consumers need to be reminded that Australian cherries are in season

• They have a playful side to them and they evoke strong memories of childhood fun

• Cherries have a strong linkage to Christmas (20% sales in 1 week). Drive cherry sales - before and after Christmas

• Consumers love cherries. Cherry consumption is an experience. There is a strong emotional connection

• Overall Campaign Objectives:

• Generate, maintain and increase consumers’ interest and purchase of Australian cherries for the duration of the season

• Position cherries as the quintessential Australian summer fruit

• Drive awareness of cherries

• Design the campaign to allow for leveraging

• generate positive exposure (media, retail, trade and industry)

Integrated Marketing Campaign

Celebrating the playfulness cherries can bring to the everyday and position Australian Cherries as the ‘play instigators’.

Overarching Strategy

Implementation – Activity Outline

• Media pitching to encourage debate around loss of childhood. Call to action to pick up Spit or Miss game in store with purchase, or via Facebook promotion. Cherry recipes also placed with key food media.

Press Office

• Giant Spit or Miss game launched on national breakfast TV to drive widespread awareness around start of cherry season.

Season Launch

• Spit or Miss used as key content stream, encouraging a push/pull approach to community engagement. Promotion to win game and free cherries incentivised purchase, usage and sharing.

Facebook

• Limited edition version of Spit or Miss game available within POS kits. Distributed via grocers nationally.

POS

PLAY INSTIGATORS

Channel + Role Idea Strategy

“Harnessing the traditional and much loved childhood game of cherry seed spitting contests, the Australian cherry industry

developed a must-play game for the summer, Spit or Miss as the hook, which was integrated into all marketing activities to

encourage families to buy and play with cherries during the season”

Cherry Launch

• The Spit o Miss Game was launched on 10’s breakfast show at Manly Beach on Friday 15th November.

• Primary schooled aged children from Manly were invited to participate in the game.

• The message of tapping into the nostalgia of childhood fun was reinforced by the rope skipping, hopscotch playing – cementing the position of cherries as traditional summer fun.

National Breakfast TV

Media Coverage - Program

CHERRIES PROGRAM KPIS

Metric Estimated Actual

Total Media Clips 420 479

Total OTS N/A 115,258,112

Total AVE N/A $2,820,096

Total PR Value N/A $8,460,288

ROI N/A 77:1

OTS = Opportunities To See AVE = Advertising Value Equivalent PR Value = AVE x 3 ROI = Return On Investment (Cost of campaign / PR value)

The program delivered an ROI of 77:1 – the industry standard for a successful PR program is 3:1. The amount of total media clips generated was 14% higher than the KPI.

CHERRIES PROGRAM KPIS – by media type

Media Type Estimated Actual

TV 20 29

Print 100 157

Magazines 70 54

Online 150 166

Radio 80 73

Trade* 0 20

*Trade coverage also counted in Online KPI.

Media Coverage – Media Engagement

PRESS OFFICE KPIS

Metric Estimated Actual

Total Media Clips N/A 468

Total OTS N/A 113,552,112

Total AVE N/A $2,766,254

Total PR Value N/A $8,298,762

ROI N/A 754:1

PRESS OFFICE KPIS – by media type

Media Type Estimated Actual

TV N/A 24

Print – Nat/Metro N/A 43

Print - Regional N/A 113

Magazines N/A 54

Online N/A 162

Radio N/A 72

Trade N/A 19

*Trade coverage also counted in Online KPI.

Based on the cost of the Press Office component of the program, the Return on Investment is 754:1. This demonstrates that day-to-day media liaison remains a hugely important work stream – investment into up-to-date media assets would be hugely profitable and would likely secure a higher magazine KPI next season.

OTS = Opportunities To See AVE = Advertising Value Equivalent PR Value = AVE x 3 ROI = Return On Investment (Cost of campaign / PR value)

Spit Or Miss KPIs

SPIT OR MISS KPIS

Metric Estimated Actual

Total Media Clips N/A 11

Total OTS 500,000 1,706,000

Total AVE N/A $53,842

Total PR Value N/A $161,526

ROI N/A 7:1

SPIT OR MISS KPIS – by media type

Media Type Estimated Actual

TV N/A 5

Print N/A 1

Online N/A 4

Radio N/A 1

Trade N/A 1

*Trade coverage also counted in Online KPI.

The launch stunt delivered an ROI of 7:1 – the industry standard for a successful PR program is 3:1. The reach KPI of 500,000 was met and surpassed by 240%. Launching via national breakfast TV contributed substantially to this and delivered mainstream mass awareness of the start of the cherry season.

OTS = Opportunities To See AVE = Advertising Value Equivalent PR Value = AVE x 3 ROI = Return On Investment (Cost of campaign / PR value)

Coverage During Season

0

50

100

150

200

250

Oct Nov Dec Jan

Misc.

Spit or Miss

Health

Trade

Industry

Event/Festival

Auction

In Season

Recipe

Recipes are a large source of media coverage throughout the season, spiking in December. The opportunity next season is to continue to try and extend the media spike beyond Christmas.

Coverage Highlights

Create engaging and engaged community with consumer driven content Encourage positive conversations around Australian Cherries Develop connections for ongoing marketing communication KPI: Build number of Likes to 5,000 by the end of the 2013 – 2014 season

Aussie Cherries Facebook Page Objectives and KPIs

Create engaging and engaged community with consumer driven content Encourage positive conversations around Australian Cherries Develop connections for ongoing marketing communication KPI: Build number of Likes to 5,000 by the end of the 2013 – 2014 season

2013/14 Facebook Strategy

18,211 Facebook Fans 1,552 Promotion Entries

Overall Results

Strategy Results

Create engaging content

Overall Engagement: Engagement = 23,520 unique responses to page (Includes Liking our page, posting to our page's timeline, Liking, commenting on or sharing one of our page posts, etc.)

Overall Reach: Reach = 5,485,984 (Any individuals (fans and friends of fans) who were exposed to our page at one time or another)

Likes = 260, Comments = 25,

Shares = 11

Likes = 415, Comments = 30,

Shares = 48

Likes = 208, Comments = 22,

Shares = 26

The most successful and engaging posts were: - Factual - Original - Timely

Results Breakdown - Content

Strategy Results

Facilitate a promotion

Total Promotion entries = 1,552 Total New Page Likes = 1,500 Total Cost = $870 Cost Per Like = $0.56

Linking advertising directly to our promotion was very successful as it provided a real incentive for new Likes.

Results Breakdown – Promotion

- We received four large spikes in Likes, Comments and Shares throughout the season, attributed to four particularly popular posts (see below).

- Advertising spend was also at it’s highest during these times.

Season Overview

2013-2014 Season demographic

The majority of our current fan base is made up of females, 45-54. This is a positive result as we are now interacting with our target audience.

Facebook Demographic

Point of Sale Kits

• Each kit contained: – Spit or Miss game x 300

– Cherry paper bags x 500

– Bunting x 5 meter

– A 3 poster x 1

– A4 pricing boards x 2

– A4 trade presenter x 1

* 750 kits distributed nationally

• 500,000 copies of in-store brochures

• >750 Woolworths stores nationally

• Placed next to the cherries – popular with consumers

• Included information:

– Cherry selection and storage tips

– Industry facts

– Health and nutrition benefits of cherries

– Cherry recipes and serving suggestion

Woolworths National Promotion

Woolworths In-Store Brochure

• Victoria

- Spit or Miss Game was integrated into the Victorian Cherry launch activity

• New South Wales

-Young cherry festival – integrated into the event. The giant Spit or Miss game was incorporated into the annual event

• Tasmania

- Promoted the Farm Gate Guide as well as having a stand at Asia Fruit Logistica

• South Australia

-Promoted the cherry trail guide by encouraging consumers and tourists to pick their own cherries

• Western Australia

-Held a cherry auction to celebrate the start of the season

• Queensland

- Cherries were promoted with the support of the Brisbane wholesale market

State Promotions

• Export promotions that met the broader industry objectives were eligible

for applying for matched funding

• Applications were assessed by a panel of independent members and conflicts of interest were declared and removed from the review process to allow for fair and equitable assessment

Export Co-Operative Promotions

• Domestic retail price $/kg increased by 43% from $10.62 to

$15.16

• Export FOB price $/kg increased from $10.86 to $14.33, this translated to a 32% lift

• In 2013/14, cherry supply was tight. The total national cherry crop was about 8,900 tonnes, about 36% less than 2012/13. It’s on par with the 2011/12 production levels.

Cherry Category Performance

Thank you