Revitalizing the OJ Business: a worldwide Brazilian marketing initiative AIJN Business Session – The Hague May 31st, 2012 Larissa Popp Abrahão| CitrusBR Juan Maresca| Concreto Brazil Sumit Khatter | Tetra Pak
Topics
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About CitrusBR • CitrusBR was founded in June 2009 by the biggest Brazilian producers and exporters of citrus juices and by-products:
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OJ Current Scenario • Structural changes in the Brazilian emerged economy have taken costs of orange production and processing to the highest levels in history; • Orange is the most popular juice flavour, part of people´s lives, presenting valuable attributes and aligned with consumers trends; • Increase OJ consumption will bring long-term sustainability and benefits to the whole sector, growers, processors and bottlers/brands, but will require stronger marketing investments and coordination.
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2011/12’s trend: Overall Brazilian OJ Exports to Europe increase by 0,4% when compared to 2010/11 with NFC growing by 12,8% and FCOJ declining by 2,2%
JULY-JUNE BRAZILIAN OJ EXPORTS TO EUROPE FCOJ + NFC (66 EQUIVALENT) - THOUSAND MTONS 1.000
DECADE OF GROWTH 682
680
903 917
869
795
800
928
926 817
791
830
932 869
861
839
861 788 791
DECADE OF STAGNATION
707
621 600
522
423 432 400
200
-
EUROPE
SOURCE: SISCOMEX 2011/12 - ESTIMATED BASED ON FIRST 10 MONTHS EXPORTS (July 2011 - April 2012) ANNUALIZED
Consecitrus – Signed in April 2012 by CitrusBR and SRB (Brazilian Rural Society) with the objective to promote a sustainable future for the Brazilian Citrus Chain by: 1. 2. 3.
Increasing transparency and sharing agronomic best practices; Re-focusing grower-processor discussions around productivity, cost efficiencies and marketing initiatives to increase consumption of OJ/fruit; Implementing a reference mechanism to calculate price of fruit based on: – actual sales prices of OJ and by-products on various markets, – actual costs of fruit processing , juice storage & distribution and overhead, – actual costs of fruit growing, harvesting and hauling based on minimum levels of farming efficiencies, – Proportional split of profit/loss amongst growers and processors based on the elements described above and pro-rata capital investments in the business 7
The Project • CitrusBR is sponsoring a comprehensive study in 10 countries in order to better understand the challenges, opportunities and marketing possibilities for OJ. The idea is to: – Understand the consumer behaviour; – Format an unique and long-term marketing positioning for OJ;
– Design an action plan including a positioning and a communication plan adjusted to each market, its culture and reality based on results from the study; – Co-invest in Health Claims research and initiatives; – Engage key non-industry stakeholders, government, NGOs, opinion makers, in the role of orange juice in a well balanced diet.
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OJ CONSUMPTION MAP
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Partnership with Tetra Pak Tetra Pak knowledge base Global as well as local expertise Market audits
Syndicated researches
Compass (Tetra Pak)
GfK Roper Reports Worldwide
Euromonitor
Global New Product Launches
Canadean
(GNPD)
IMES
IGD
Nielsen
Local knowledge partners
Household panel Local market audits
Partnership with Tetra Pak Tetra Pak knowledge base Global as well as local expertise Customised researches
Industry reports
Consumer trends
Euromonitor
Shopper trends
Business Insights
Customer trends
Canadean
Retail trends
Datamonitor
Environment trends
IGD
Packaging studies
Planet Retail
U&As
Mintel
Concept tests
News feeds (websites)
Specialised researches
Internal reports
...and much more
GLOBAL ORANGE PROJECT CITRUSBR PROPOSAL
GLOBAL ORANGE PROJECT CITRUSBR PROPOSAL
BEGINS THIS WEEK
IT WILL FINISH IN 6 MONTHS
DISCOVER OPPORTUNITIES + IDEAS + ACTION PLAN + MEASUREMENT CULTURE MARKET CONSUMER BRANDS PRODUCTS CONCEPTS VISUAL IDENTITY COMMUNICATION INNOVATION
CULTURE MARKET CONSUMER BRANDS PRODUCTS CONCEPTS VISUAL IDENTITY COMMUNICATION INNOVATION
THE CHALLENGE:
DISCOVER HOW TO PROMOTE ORANGE JUICE CONSUMPTION?
INCREASE CONSUMPTION
THE COMPLETE PROJECT INVOLVES 3 PHASES: DISCOVERY of opportunities
IDEAS
to create a solution in terms of communication
ACTION PLAN GLOBAL POSITIONING & MARKET TO BE DEFINED Where, When, How and What to say to consumers to increase consumption.
Focus on 10 COUNTRIES 8 countries under caution: Japan, EUA, UK, France, Russia, Poland, Germany and China (Shanghai, Beijing e Guanzhou) 2 benchmark countries: Norway and Canada.
Norway
Germany Russia
Canada
UK France
USA
Poland
China Beijing, Shangai, Japan Guangzhou
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DICOVERY OF OPPORTUNITIES
1)
2) 3)
A BRIEF SUMMARY OF THE COMPLETE PROJECT
IMMERSION AND DESK RESEARCH (ANALYSIS OF ALL MARKET RESEARCHES ALREADY DONE IN THE LAST 10 YEARS BY TETRA PAK AND CITRUSBR, IN DEPTH INTERVIEWS:EXPERTS IN DEPTH INTERVIEWS: CULTURAL ANALISTS
B) SECONDARY SOURCES MAGAZINES, NEWSPAPERS, BLOGS, SOCIAL NETWORKS, GOOGLE, BOOKS, SUPERMARKETS,WEBSITES ETC.. TRENDS REPORTS AS TRENDWATCHING OR WGSN.
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YES
A) ANALYSIS OF PRIMARY SOURCES
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NO WE HAVE ALREADY DISCOVERED WHY ORANGE JUICE IS LOSING MARKET SHARE/ SHARE OF STOMACH TO OTHER BEVERAGES?
CHECK POINT WITH CITRUSBR: CONCLUSION REPORT PRESENTATION OF THE DISCOVERY PHASE
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IDEAS + ACTION PLAN
YES
CO-CREATION WORKSHOP WITH THE CLIENT CHECK POINT OF DISCOVERY PHASE WE CREATE A TEAM
NO
CREATIVE DIRECTOR COPY + ART
4 FOCUS GROUP PER COUNTRY WITH EXTREME CONSUMERS
THE END OF THE PROJECT. DELIVERY OF THE BOOK
STRATEGIC PLANNING DIRECTOR
CULTURAL ANALISYS PHILOSOPHER + SOCIOLOGIST + ANTHROPOLOGIST
MARKETING
CREATION OF: GLOBAL POSITIONING + CONCEPTS + SLOGAN + MANIFESTO
THE END OF THE PROJECT. DELIVERY OF THE BOOK WITH THE 4 PHASES.
POSITIONING TANGIBILIZATION IN IDEAS ADAPTED TO THE LOCAL REALITY OF THE MARKET TO BE DEFINED.
NO
?
YES
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EVALUATION: DO WE NEED A REFINEMENT OF THE IDEA WITH CONSUMERS?
CO-CREATION FOCUS GROUP WITH CONSUMERS
Final Delivery
AN ACTION PLAN TO INCREASE THE ORANGE JUICE CONSUMPTION WORLDWIDE
Develop a long term POSITIONING that builds a current and contemporary image for orange juice in the world, understanding each problematic, culture and habits.
WHY A POSITIONING? WE NEED TO BE DIFFERENT. DIFFERENTIATION IS THE KEY. WE NEED TO TOUCH THE HEARTS OF OUR CONSUMERS WITH AN UNIQUE SELLING PROPOSITION WE NEED TO BUILD THE REASONS TO BELIEVE ALL OVER THE WORLD. WE NEED TO BE COHERENT WITH THE MESSAGE. WE NEED TO BE COHERENT ALGONG THE TIME. WE NEED A GLOBAL POSITIONING TO KNOW WHAT TO SAY AND HOW. TO MAINTAIN CONSISTENCY AND FOCUS ON ALL THE MARKETING ACTIONS POSITIONING IS A HIGHWAY. A ROUTE MAP.
A GOOD POSITIONING HAS COHERENCE AND IT IS CONSISTENT OVER TIME
CAMPAIGN #1
CAMPAIGN #2
CAMPAIGN #3
WE LOOK FOR A LONG TERM MARKETING AND COMMUNICATION GLOBAL STRATEGY WHICH SHOULD BE ADAPTED UNIQUELY IN EACH LOCAL CULTURE.
THAT WILL BE TRANSLATED IN: 1. 2. 3. 4. 5. 6.
A POSITIONING (THE HIGHWAY) A MANIFEST A SLOGAN A KEY VISUAL. IDEAS FOR MASS MEDIA + ACTIVATION A BRIEF TO ADVERTISING AGENCIES FOR LOCAL MARKETS ALL OVER THE WORLD.
The Project Investment: - Stage 1 – Research and Ideas: $ 700,000.00 - Stage 2 - Focus Groups – Positioning test (stage 4): $ 300,000.00 Total: USD 1 million - Duration: 6 + 2 months -Kick-off: TODAY!!
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The Project Conclusion: - The results of the study will guide the design of a CONSECITRUS MARKETING PROGRAM and investment plan on initiatives that will increase consumption of Brazilian Orange Juice . The funding should be put together amongst orange growers, processors, government and stakeholders interested in a greater future for the orange juice industry!
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QUESTIONS? Contacts: Brazilian Association of Citrus Exporters www.citrusbr.com/en | citrusbr@citrusbr.com