what’s going on in...
TRANSCRIPT
THE LATEST RANGE INSIGHTS FOR FOOD OPEN
MARKETS IN THE NETHERLANDS
April 2016
WHAT’S GOING ON IN ASSORTMENT?
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WHAT’S GOING ON IN ASSORTMENT ?Range insights for Food Open Markets in the Netherlands
The Importance of Range
The Netherlands vs Europe
A Reflection on Supergroups
The PL perspective
Deep Dive into Your Supergroup
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WHY IS RANGE SO IMPORTANT?Rethinking your assortment strategy
IT INFLUENCES SHOPPERS’
STORE CHOICE
In fact, five of the top ten attributes that influence shoppers’ store choice the most can be traced to assortment¹.
ASSORTMENT IS CRUCIAL
PUSH AND PULL
TENSION ON SHELF
It is hard to find a balance between launching new
products and refining the brand and overall
category offerings.
ACT NOW TO WIN THE
GAME
RANGE IS ‘OVER-
SHADOWED’ BY THE
OTHER P’S
It is essential to get the assortment correct first. Without the right products in the right stores, sales can only grow so much.
NIELSEN CAN HELP
THE RANGE IN AN AVERAGE STORE IN
NETHERLANDSNIELSEN, RMS DATA P8 2015
…has 9200 different items
per store
...and 246 Categories
having in average 38 items
per category
SO HOW TO DECIDE WHICH ITEMS SHOULD BE LISTED?
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THE INCREASE IN #SKUS IN THE NETHERLANDS
DOES NOT MEET EXPECTED VALUE GROWTHThe Dutch grocery channel assortment trend exceeds the European average strongly,
but does not deliver a similar, three times higher, value sales growth.
Source: Nielsen Scantrack, 2014 vs 2015
EUROPE
Assortment size: +1.9%
Value sales : +1.1%
THE NETHERLANDS
Assortment size : +6.1%
Value sales : +2.2%
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8 OUT OF 10 CATEGORIES CHANGING RANGE
SHOW SALES TREND IN SAME DIRECTION
29% 71%% CATEGORIES THAT DECREASED
ASSORTMENT
% CATEGORIES THAT INCREASED
ASSORTMENT
80%
20%
# OF CATEGORIES WITH DECREASED SALES
# OF CATEGORIES WITH INCREASED SALES
27%
73%
# OF CATEGORIES WITH DECREASED SALES
# OF CATEGORIES WITH INCREASED SALES
TOP
3
TOP
3
1. BREAD SPREADS
2. FRESH CHILLED FRUIT
3. ADULT INCONTINENCE
1. SUGAR
2. FRESH CREAM
3. FLOWERS
1. FABRIC SOFTENERS
2. FROZEN MEALS
3. PORT/SHERRY/VERMOUTH
1. YELLOW FAT
2. HAIR COLORATION
3. INSTANT SOUP
Source: Nielsen Scantrack, 2014 vs 2015
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ON AVERAGE, NEED TO REVIEW ON
HOME & PERSONAL CARE AND BEVERAGES
0%
2%
4%
6%
8%
10%
12%
-3% -2% -1% 0% 1% 2% 3% 4%
FRESH
GROCERIES
BEVERAGES
CONFECTIONERY & SNACKS
FROZEN FOOD
PERSONAL CARE
HOME CARE
TOBACCO
Assortment Development
Value development
Assortment and Value Development (per store) in Food Open Markets
Size of the bubble: shelf share
Source: Nielsen Scantrack MAT week 48 2015 vs MAT-1
* Based on closed group
*
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OPTIMAL RANGE POTENTIAL IN FOM 1 BILLION €
Size of bubbles represents number of SKUs
Nielsen Assortman, MAT P12 2015
* Based on closed group
-
5.00
10.00
15.00
20.00
25.00
30.00
(10.00) (5.00) - 5.00 10.00
FROZEN FOOD
BEVERAGES
HOME CARE
GROCERIES
PERSONAL CARE
TOBACCO
FRESH
CONFECTIONERY &
SNACKS
Tobacco
RATIONALISE DEVELOP
SQUEEZE NURTURE
Incremental value in €
ROS in €
Strong differences in opportunity for the different Supergroups.
*
Henri van Voorthuizen
+31-6-5312 7775
Dewy Heiser
+31-6-2890 0908