MacDill AFB POD Meeting March 10-14, 2008 Produce Agenda National and Regional Advertising ...
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Transcript of MacDill AFB POD Meeting March 10-14, 2008 Produce Agenda National and Regional Advertising ...
MacDill AFB POD MeetingMacDill AFB POD MeetingMarch 10-14, 2008March 10-14, 2008Produce AgendaProduce Agenda
National and Regional AdvertisingNational and Regional Advertising MerchandisingMerchandising OrganicsOrganics OutreachOutreach COOLCOOL TrainingTraining
National Produce AdsNational Produce Ads
Advertising in Commissary Base Advertising in Commissary Base Newspapers and Specials FlyerNewspapers and Specials Flyer
2-3 produce items on front page2-3 produce items on front page National pricingNational pricing Dates range from 3 days to 3 weeksDates range from 3 days to 3 weeks Monthly frequencyMonthly frequency All stores participateAll stores participate
33
COMMISSARIES REACHEDCOMMISSARIES REACHED • Belvoir Belvoir • LewisLewis• OceanaOceana• McChordMcChord• MeadeMeade• San DiegoSan Diego11
• MiramarMiramar• Bragg (North/South)Bragg (North/South)• CampbellCampbell• QuanticoQuantico• TravisTravis• Little CreekLittle Creek• NellisNellis• LangleyLangley• MacDillMacDill• JacksonvilleJacksonville• MyerMyer• AndrewsAndrews• PendletonPendleton• BenningBenning
• Scott• Sam Houston• Bliss• Lackland• McGuire• Eglin• Luke• Davis-Monthan• Pensacola• Norfolk ²• Hood (I&II)• Kirtland• Eustis• Jackson• Offutt• Knox• Lee• Stewart• Hunter
Commissary SpecialsCommissary SpecialsCirculation Summary - 2008Circulation Summary - 2008
50% of DeCA Conus Sales
Base Paper Circulation:
2,000 circulars placedin each store:
Total Distribution: 758,400
82,000
98,000
578,400
1) Also reaches North Island, Imperial Beach 2) Also reaches Portsmouth and Dahlgren
Broadcast email to MilitaryShoppers.com
registrants:
Advantages of a National AdAdvantages of a National Ad
Potential of reaching 750,000 patronsPotential of reaching 750,000 patrons
Creates an engaging, eye catching display when Creates an engaging, eye catching display when you walk in the store you walk in the store
Expands sensory experience while shoppingExpands sensory experience while shopping
Reinforces the importance of fresh and Reinforces the importance of fresh and emphasizes the changes that DeCA is making in emphasizes the changes that DeCA is making in the store.the store.
National Ad Internal Motivators National Ad Internal Motivators Complete support for the ad from headquarters to Complete support for the ad from headquarters to
store levelstore level
Ability to secure valuable real estate in the store Ability to secure valuable real estate in the store to “Go Big”to “Go Big”
Drives competition among commissaries to build Drives competition among commissaries to build bigger displaysbigger displays
Every store is on the same retail price, easier to Every store is on the same retail price, easier to monitor and analyze performancemonitor and analyze performance
Disadvantages of a National AdDisadvantages of a National Ad May not be the “BEST” retail price in every regionMay not be the “BEST” retail price in every region
Loss of regional preferences when all stores must Loss of regional preferences when all stores must conform to the same unit of measure (lbs Vs each)conform to the same unit of measure (lbs Vs each)
Length of ad (3 weeks) is not industry standard for Length of ad (3 weeks) is not industry standard for produce, can’t be as “sharp” as regional promotionsproduce, can’t be as “sharp” as regional promotions
Length of ad affects the weekly promo’s and impacts our Length of ad affects the weekly promo’s and impacts our choice of items to promote for the national adchoice of items to promote for the national ad
Advantages of Regional AdsAdvantages of Regional Ads Ability to write very aggressive retail price pointsAbility to write very aggressive retail price points
Shortened lead timeShortened lead time Not trying to coordinate five other produce contractorsNot trying to coordinate five other produce contractors
Highlight and support local growersHighlight and support local growers Fresher to marketFresher to market Local connectionLocal connection
Ability to react quickly to market conditionsAbility to react quickly to market conditions Take advantage of grower abundanceTake advantage of grower abundance
Challenges for Regional AdsChallenges for Regional Ads
Participation and execution of ads at store levelParticipation and execution of ads at store level Ad items are not mandatoryAd items are not mandatory Additional space may not be allocated to the ad itemsAdditional space may not be allocated to the ad items Produce Managers may not post ad items or discuss Produce Managers may not post ad items or discuss
the merchandising of the items with the produce team the merchandising of the items with the produce team Timely changing of retails and point of saleTimely changing of retails and point of sale
Merchandisers and the Role Merchandisers and the Role They PlayThey Play
Assist the produce department to meet goals.Assist the produce department to meet goals.
TrainingTraining How receptive is the produce team to change?How receptive is the produce team to change? Following guidelines of merchandiser.Following guidelines of merchandiser. Consistency day to day, store to store.Consistency day to day, store to store.
Increased communication with DeCA supervision.Increased communication with DeCA supervision. Merchandisers will follow up with Store Management at end of Merchandisers will follow up with Store Management at end of
each visit.each visit. Coordinate up coming events (Farmers market, promotional Coordinate up coming events (Farmers market, promotional
items, demos, etc.)items, demos, etc.)
Best PracticesBest Practices
What keeps the patrons coming back? What keeps the patrons coming back?
Provide the best produce available at the best price.Provide the best produce available at the best price. National AdsNational Ads Farmers Markets, Sidewalk Sales, and Case Lot Promotions add Farmers Markets, Sidewalk Sales, and Case Lot Promotions add
excitement to the produce department and generate increased excitement to the produce department and generate increased sales.sales.
Sampling of product / demosSampling of product / demos Store participation in weekly ads through eye appealing well Store participation in weekly ads through eye appealing well
merchandised displays.merchandised displays. Departmental customer service: produce personnel should have Departmental customer service: produce personnel should have
knowledge of product, seasonal changes, and market trends.knowledge of product, seasonal changes, and market trends. Cleanliness of the produce department.Cleanliness of the produce department. Proper ordering-ensuring the racks are always filled.Proper ordering-ensuring the racks are always filled. Proper rotation of product.Proper rotation of product.
Designated Display AreaDesignated Display Area
““Designated Store Entrance Mass Designated Store Entrance Mass Displays” allow the produce department to Displays” allow the produce department to make a clear positive statement when make a clear positive statement when patrons walk in the door. patrons walk in the door.
Opportunity to attract patrons to the Opportunity to attract patrons to the produce department by eye appealing well produce department by eye appealing well merchandised displays with bold ad merchandised displays with bold ad pricing exhibited.pricing exhibited.
Results: High volume sales less shrink.Results: High volume sales less shrink.
OrganicsOrganicsHere is Where DeCA Stands:Here is Where DeCA Stands:
Generally 4-8 foot sets – segregated.Generally 4-8 foot sets – segregated. Primarily packaged programs. Exceptions Primarily packaged programs. Exceptions
are the mountain and Ohio Valley areas.are the mountain and Ohio Valley areas. Reluctance by stores to handle due to Reluctance by stores to handle due to
higher priceshigher prices Sales flat + 2%Sales flat + 2% Participation in promotions is light, with Participation in promotions is light, with
many stores not participating.many stores not participating.
What is the Commercial World What is the Commercial World Doing with Organics?Doing with Organics?
National supermarkets are making commitments National supermarkets are making commitments of up to 75 itemsof up to 75 items
Regional supermarkets are making Regional supermarkets are making commitments to over 100 itemscommitments to over 100 items
Price is not an issuePrice is not an issue Offer segregated and integrated setsOffer segregated and integrated sets Organic fresh fruit and vegetable sales up 11% Organic fresh fruit and vegetable sales up 11%
nationwidenationwide Commercial promotional participation is Commercial promotional participation is
mandatorymandatory
TrendsTrends Organic foods are the fastest growing segment in the food industryOrganic foods are the fastest growing segment in the food industry
Consumers are increasingly conscious of eating healthy and consuming more fresh Consumers are increasingly conscious of eating healthy and consuming more fresh fruit and vegetables including organics then they did 10 years agofruit and vegetables including organics then they did 10 years ago
Higher income families and families with at least two children are likely the biggest Higher income families and families with at least two children are likely the biggest organic purchasersorganic purchasers
Science is now finding that organic fresh fruit and vegetables can be nutritionally Science is now finding that organic fresh fruit and vegetables can be nutritionally superior to conventionally grown fruit and vegetables. Other studies are showing that superior to conventionally grown fruit and vegetables. Other studies are showing that organically grown produce contains more flavonoids than conventionally grown organically grown produce contains more flavonoids than conventionally grown produceproduce
Organically grown fruit and vegetables used to be sold only at natural food stores and Organically grown fruit and vegetables used to be sold only at natural food stores and farmers markets. Now, major commercial stores have chosen to offer expanded farmers markets. Now, major commercial stores have chosen to offer expanded organic produce choices reflecting public demand and making it commonplaceorganic produce choices reflecting public demand and making it commonplace
Fresh herb and bunched vegetable programs being offered are organic instead of Fresh herb and bunched vegetable programs being offered are organic instead of conventionalconventional
Larger PLU stickers and “bowtie” wraparound PLUs are being used in bulk programsLarger PLU stickers and “bowtie” wraparound PLUs are being used in bulk programs
Consumers are prepared to pay more for organic productsConsumers are prepared to pay more for organic products
Recommendations for DeCARecommendations for DeCAMoving ForwardMoving Forward
Commitment to organics. Dedicated sets based Commitment to organics. Dedicated sets based on store volume and clientele.on store volume and clientele.
Increase participation by stores in the organic Increase participation by stores in the organic programs and promotions. More disciplineprograms and promotions. More discipline
Offer organics in national ads.Offer organics in national ads. Expand sets to offer more variety including bulk Expand sets to offer more variety including bulk
organic fruit and vegetables.organic fruit and vegetables. Sample organics in storesSample organics in stores Consider slightly higher shrink rate for organicsConsider slightly higher shrink rate for organics Consider the top sellers as core itemsConsider the top sellers as core items Merchandise in high traffic areasMerchandise in high traffic areas
Outreach ProjectsOutreach Projects
Pre-natal ClassesPre-natal Classes
Fun RunsFun Runs
Fitness CentersFitness Centers
On Base Newspaper AdsOn Base Newspaper Ads
Changes to WICChanges to WIC
Walk to WellnessWalk to Wellness
How can we help generate a greater level of participation, on base, to support
the Commissary Benefit.
COOLCOOL History of COOLHistory of COOL Coming… Sept 2008 COOL will be mandatory, Coming… Sept 2008 COOL will be mandatory,
however without knowing the rules, however without knowing the rules, implementation is an unknown.implementation is an unknown.
More reasonable than the original proposalMore reasonable than the original proposal State designation will sufficeState designation will suffice
Penalties to retailers have changedPenalties to retailers have changed Significantly reduced penaltiesSignificantly reduced penalties Reduces liability to the retailerReduces liability to the retailer Onus more on supplierOnus more on supplier No new record keeping requirementsNo new record keeping requirements
Five Basics to Increase SalesFive Basics to Increase Sales
QualityQuality
Stock LevelStock Level
CleanlinessCleanliness
Customer ServiceCustomer Service
SignageSignage
QualityQuality
Backroom ProceduresBackroom Procedures Defined Area for PerishablesDefined Area for Perishables Visual InspectionVisual Inspection CullingCulling Price vs. AllocationPrice vs. Allocation Product HandlingProduct Handling RotationRotation
Stock LevelStock Level
Order GuidesOrder Guides Product Location/Family GroupingsProduct Location/Family Groupings Space AllocationSpace Allocation Rotation PracticesRotation Practices Working efficientlyWorking efficiently Display TechniqueDisplay Technique Organics / ComminglingOrganics / Commingling
CleanlinessCleanliness
Cleanliness Starts with YouCleanliness Starts with You Work NeatWork Neat Avoid Cross ContaminationAvoid Cross Contamination List of Approved Cleaning AgentsList of Approved Cleaning Agents Cleaning SchedulesCleaning Schedules Cardboard BalingCardboard Baling
Customer ServiceCustomer Service
GreetingsGreetingsAttentiveAttentiveSamplesSamplesPersonal PridePersonal PrideExceed ExpectationsExceed Expectations
SignageSignage
Signs – Descriptive, AccurateSigns – Descriptive, Accurate Conform to DeCA standardsConform to DeCA standards Report missing signs to managementReport missing signs to management Promote MultiplesPromote Multiples
Thank YouThank You
Thank you for allowing us to freely discuss the Thank you for allowing us to freely discuss the opportunities and challenges the produce opportunities and challenges the produce industry, DeCA and the produce contractors industry, DeCA and the produce contractors meet each day.meet each day.
We look forward to strengthening our partnership We look forward to strengthening our partnership with the commissaries, increasing sales, driving with the commissaries, increasing sales, driving customer satisfaction to new heights and customer satisfaction to new heights and delivering the maximum benefit to the military delivering the maximum benefit to the military patron.patron.