cucumber report brand health & demographics

Cucumber ReportBrand Health& Demographics

•Source: • Nielsen Homescan data until 3rd of September 2011• Nielsen Scantrack data (National Woolworths) until 28th August 2011

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Copyright © 2011 The Nielsen Company. Confidential and proprietary.

77.5 % of Australian Households purchased Cucumbers; spending on average $ 17 in the last year, which equates to 9.4 shopping

trips and $1.8 spent per shopping trip

Cucumber…..

Looking at trended information we can see that price spikes during this year natural disasters, have remained higher than previous year levels.

However, during the last 2 periods, prices per kilo have started to decrease, closing the gap

with previous year’s

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Cucumber…..

Woolworths has held the dominant share of the Cucumber trade, whilst Coles has share gains at expense of IGA, Independents and Green Grocers

Despite Cucumber price increase, most household segments remained purchasing it; however “Bustling Families” (HH

with children above 12yo) segment was the only one where cucumber decreased its penetration.

Most of the cucumber’s additional value come from current cucumber buyers, while those who decided not to buy it more are spending more in Pumpkin & Tomato

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Homescan Overview

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This report leverage two different types of information: 1) Retail Measurement Data (Scanning Sales) 2) Household Panel Information

• Complementary data sources, not substitutes for one another• Address separate sets of business issues

• Volume & Share Tracking• Promotion Execution & Effectiveness• Price Sensitivity• Account Performance

•Components of Sales•Brand Loyalty & Repeat•Demographics•Buyer Analyses•Cross Purchasing•Switching/Source of Volume

Store-Level Scanning Sales Household Panel Information

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Purchase data is automatically modemed back to Nielsen via

the telephone lineNielsen processes the data together with stringent QC

checking

At home they scan the purchases via a barcode scanner - supplementing data

from a barcode book for shopping trip info and non barcoded items

Panel member buys products from any retail outlet and takes

them home

Information is supplied via Advisor i-sights to clients to evaluate consumer and retail trends.

Start with a panel that is statistically representative of

Australian households

How does Household Panel Information (Homescan) work?

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Key Measures

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During the last year the number of Australian Households purchasing cucumbers decrease by 96k, however those who keep purchasing, spent $2.1 more than previous year in the commodity.

* New Nielsen Scanning guides began capturing loose Asian Vegetables, Celery and Capsicum purchasing despatched to panel in Sept 2009

*NB - Fresh Salads contain all pre-packed salads

Nielsen Homescan data until 3rd September 2011

This chart compares Cucumber household reach (penetration) against some other

vegetables. Blue represents year ago while yellow represent current year

This chart show the average household spend across various vegetable

commodities.

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Households that buy Cucumbers are purchasing the commodity less often, 9.4 times compared to 9.6 times last year, however they are spending $0.3 more in every shopping trip.

* New Nielsen Scanning guides began capturing loose Asian Vegetables, Celery and Capsicum purchasing despatched to panel in Sept 2009

*NB - Fresh Salads contain all pre-packed salads


This chart compares how frequently Cucumber is purchased

each year compared to other vegetable commodities

Households are spending approximately $1.80 each time they purchase Cucumber.

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Average household spend on Vegetables peaked immediately following the natural disasters in February

Cyclone Yasi

QLD Floods


This chart shows that the average household increased their spend (red

line) on Vegetables in the periods during & after the natural disasters.

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Over a two year period we can see that average weight of purchase has increased over the Cyclone Yasi period and has remained at higher levels than a year ago.

Cyclone Yasi

QLD Floods


During peak seasons, average household spend decreased (red line) as the

number of households increased (blue bars)

Cucumber peak season November- April

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Growth in $AWOP are linked to increases in spend per shopping occasion

Cyclone Yasi

QLD Floods


Green Line: how many times consumers buy it – it is

stable.

Yellow Line: How much they spend each time. It increased

in the last period to $2.3

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Looking at Woolworths information, Cucumber volume sales have declined by -5.9%, however total value grew more than 19% due to the effect of price increase (+2.9 $/Kg)

Nielsen ScanTrack data until 28th August 2011

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Looking at trended Woolworths information, the affects of Queensland natural disasters can be seen, however during the last two periods, prices started to close the gap with levels from a year ago.

Cyclone Yasi

QLD Floods

Nielsen ScanTrack data until 28th August 2011

Blue Line: Price per Kg. $19.90 in latest period vs. $14. 07 last year.

Yellow Bar: Kgs sold by Woolworths during each

period.

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The overall positive value change during the last 52 weeks can be traced mostly from Existing Cucumber buyers, while most of the lost value went to Pumpkin & Tomatoes

Most of the value growth (4.1%), come from existing buyers and in

a smaller proportion from new cucumber buyers

Those few households that stop buying cucumber, increase their

spend mostly in Tomatoes & Pumkin

Category Expansion/Contraction

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Demographics

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Despite penetration is even in most demographics groups, Bustling Families segment show an excellent opportunity to recover its previous level and capitalise the increase it has on spend.


The green bar represents the percent of each demographic purchasing in latest

period with the red bar representing the

percentage last year

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Low & Medium income households decreased their value importance for cucumber, while High income households accounts for almost half of cucumber value

Opportunity exists develop Low and Medium income households


Low & Medium Income households have decreased their importance in

value during the last year

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1-2 member households have had the most significant contribution to value sales within Cucumbers, however still opportunity to increase reach within this household size


By far, 1-2 member household size is the most important demographic as they account for 48.4% of sales.

Opportunity to increase reach as 1- 2 member household has the

lowest penetration

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Share of Trade

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Coles has gained 1.9% share points over the last year growing at 22% at expense of IGA, Independents and Green Grocers


This pie chart shows how is the Cucumber value distribution among different retailers/classes of trade

This show the actual sales values percentage growth/decline behind the

share of trade changes

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Coles has gained share through increasing average household spend and penetration


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Coles variation in AWOP is a result of increases in spend per occasion, while Aldi also show increases in purchase frequency


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Glossary

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Terms• Penetration – The proportion of households purchasing a product in the

specified period expressed as a percentage of all households.

• Average Weight of Purchase (AWOP) – The average volume/value/units of a product bought across all buyers of that product in the specified period.

• Occasions Per Buyer – The average no. of times each buyer purchases the specified product in a specified period. A product/date/shop combination, eg. a household purchasing 2 identical products on a shopping trip to Woolworths constitutes a single purchase occasion.

• Amount Per Occasion – Average value or units purchased on each purchase occasion.

• QTR – Quarter year; rolling 13 weeks.

• MAT – Moving annual total; a rolling yearly total which accumulates 52 weeks of data.

• PP – Prior Period

• YA – Year Ago.

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Lifestage Demographic DefinitionsYoung Transitionals

Adult households (no children <=17)Head of household <35

Small scale familiesHouseholds with oldest child 6-11 years

Start-up familiesHouseholds with young children only, oldest child < 6

Bustling familiesHouseholds with oldest child 12-17 years

Senior CouplesTwo (2) or more adults (No children <=17)Head of household 60 or over

Independent singlesOne (1) person adult household (No children <=17)

Head of household >=35Established Couples

Two (2) or more adults (No children <=17)Head of household 35-59

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Young Transitionals,

15%Start Up

Families,9%

Small Scale Families,11%

Bustling Families,16%

Independent Singles,17%

Established Households,

18%

Senior Couples,

14%

Lifestage Distribution of Households

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Scanning guide enhancements were introduced in August 2009, providing greater depth of information…

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How to read a Source of Volume Chart

New/Lost Category Buyers Households that purchased the category in one

period but not the other and the

focus brand was included in the

category purchases.

New/Lost Brand Buyers

Gains or Losses within the Focus

Brands by Households who

added/omitted the focus brand to their category

purchases.

Existing brand buyers

The Focus Brand experienced gains/losses

from households who

increased/decreased their

purchases of the focus brand

SwitchingIncludes

households who shifted their focus

brand purchases

from/to alternative

category items.

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Appendix

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Whilst Woolworths has held a dominating share of Cucumbers with 32.9% share, Cucumbers are well developed in both Coles and Green Grocers. Coles is rapidly closing the gap with WW.


cucumber report brand health & demographics

Documents

nielsen company

new nielsen scanning

purchase data

cucumber trade

cucumber price increase

average household

current cucumber buyers

previous year levels