1. Creative Brief Ryan KitchensKatie OsterColin ParajonXiyao Yang

2. Meet Our Team Ryan Kitchens Katie Oster Colin Parajon Xiyao Yang 3. Its not party starter, but a party goer!- Shannon 4. CHALL NGConsumers dont perceive any differentiation between granola brands. 5. Analysis of Primary ResearchCHALLENGE p. 19 6. Executive Summary 7. This presentation represents theculmination of our research and analysis ofthe current situation as well as our creative brief for the Bear Naked company.p. 3 8. Situation Analysis 9. Current TrendsConsumers are T down economy The number ofincreasingly reducescompetitors in the concerned withconsumption of granola market purchasing organichigh-priced snacks.continues to rise.products. p. 6 10. Current UsersDemographicCategoryGranola Incidence ofIncidence of Market Index Granola MarketBear Naked Consumption ConsumptionMarital Status: Engaged165 7.4 9.9Age 25-34160 28.831.5Graduated College Plus 158 46.540.5Professional & Related Occupations 158 23.328.8HHI $150,000+155 13.611.8Child Age: < 2 Years 139 9.4 12Census Region: West115 26.923.5Home Value: $200,000-$499,999112 26.727.9Women106 72.879.3White105 80.569MRI p. 7 11. Current UsersPsychographics Affluent with abundant resources Receptive to new ideas and technologies Image is important as an expression of personality Busy, career-oriented lifestyles Informed and active in consumer marketplace Environmentally-conscious Seek adventures and challengesVALS p. 7 12. Market Analysis Major Manufacturers & Market Share Kellogg CompanyGeneral Mills Inc. PepsiCo Inc. Ralcorp Holdings(32.4%) (21.1%)(13.1%) Inc. (6.7%) HoneyQuakerCorn Flakes Cheerios Bunches of Foods NAOats All-Bran ChexQuaker OatsRaisin BranCapnApple Jacks Fiber OneGrape-NutsCrunch MothersLuckySmart StartNaturalHoneycomb IBIS World CharmsFoodsChewy ShreddedKashi WheatiesGranolaWheat Bars 13. Market Analysis Cereal Hot Cereals12%Ready-To-Eat CerealCereal Bars53% 35%IBIS World p. 10 14. Market Analysis Snack Food Peanut Butter Seeds4.3%5.9% Canned Nuts6.8%Potato Chips 26.9% Bulk Nuts11.5% Other Chips Corn Chips and Snacks22.9% 21.7% IBIS World p. 11 15. Market Analysis Snack FoodSnack CategoryShare of MarketVolume ofNew Share ofConsumption Market Peanut Butter4.3 Seeds5.9Canned Nuts 6.8 Bulk Nuts 11.5Potato Chips 26.9Corn Chips 22.9 Other Chips and Snacks21.7 CerealGranola Candy Crackers 16. Market Analysis Snack FoodSnack CategoryShare of MarketVolume ofNew Share ofConsumption Market Peanut Butter4.3 Seeds5.9Canned Nuts 6.8 Bulk Nuts 11.5Potato Chips 26.9Corn Chips 22.9 Other Chips and Snacks21.7 CerealGranola Candy Crackers 17. Competitor Analysis Founded 2002 19841994 1972 1985 1973$600$300 million$65 million $70 million$275 millionSalesMillion N/A(2010)(2007)(2011) (2008) (2009)Parent Smart KelloggsKelloggsGeneral MillsN/AGeneral Mills CompanyBalanceSeven whole Full of taste. Where Earth NurturingThe Taste Do you get Tagline grains on aFree ofDay is everyPeople, NatureNaturebear naked?mission.gluten. day. and Spirit IntendedFairtrade100% USDA Organic, Certified, USDA Natural, USDA FeaturesNon-NGOGluten FreeOrganic & Non- Variety KosherOrganic Project Verified NGO Project Certified VerifiedCompany Websites, Bloomberg, The Cornucopia Institute p. 13 18. Brand ImageCascadian FarmsKashiNaturesNature Bear Naked UdisPath Valley 19. Bear Naked Advertising Benefit: Bear Naked givesyou energy. Dominant Medium: Internet 20. KashiAdvertising Benefit: Kashi finds the best ingredients.Dominant Medium: TV Spent $100.1 million on advertising last year. 21. Cascadian Farm Advertising Benefit:Traditional and trustworthy Dominant Medium:PrintSpent $16.9 million onadvertising last year. 22. Natures PathAdvertising Benefit: Organic is good for you & the environment.Dominant Medium: Print Spent 17.7 million on advertising last year 23. UdisAdvertising Benefit: Artisan GranolaDominant Medium: Print 24. Nature ValleyAdvertising Benefit: Be one with nature.Dominant Medium: Print 25. Research 26. Research Methods Store Checks Personal Interviews Professional Detective Interviews Focus Group Interviews Double Blind Taste Test Ethnographic Study p. 18 27. Store ChecksBear Naked is not present in all Whole Foods stores.Bear Naked is least expensive at Walmart.Prices varied by $0.50 between Kroger locations.Granola is most expensive at Homeland.Natures Path and Udis were not present at Target, which has its own brand, Market Pantry. 28. Store Checks p. 20 29. Personal InterviewsGenderAge58% 20s78%30s12%Consumption: 79.350s6%42% 40s3%Consumption: 20.7 Consumption:Age 18-34: 39.3p. 23 30. Personal Interviews 18 16 14 12 10 What criteria do you use when8 choosing a granola brand?6420p. 25 31. Personal Interviews353025201510 What granola brands do you know?5 0 p. 24 32. Personal Interviews Have you heard of Bear Naked? p. 24 33. Personal InterviewsTastes like granola. Its good. I like the diversity of flavors they offer, but it would be nice if there was a chewier option like a bar.I like that they dont try and dress it uptoo much. Granola is supposed to be I remember seeing bear claws on thenatural and naked. packaging. Its a high quality brand. I really like Bear Naked and its packaging. p. 24 34. Professional Detectives Nutrition ExpertsMarathon RunnersStore Checkers Kashiis the most Good additive to High sugar content popular granola your diet Advertise at races brand Good source of Typical consumers fiber are women Typically has a No one has asked high sugar contentthem specifically about Bear NakedProf. KenanBryant Dr. Allen Knehans Robert Hogue Store Checkers Dr. Lindy Rossow Gracie EvansMs. Sage Corallip. 26 35. Focus Group PackagingGreat Value clip here 36. Focus Group Packaging Interesting p. 29 37. Focus Group Personality College students and young adults 67% were likely to eat granola.Granola eaters weredescribed as green people. p. 30 38. Focus Group 39. Focus Group 40. Focus Group Eating HabitsAll participants said they would only eat granola withother things such as milk, yogurt, or honey.100%Two out of three participants said they would prefer to 67%eat granola before exercising. p. 31 41. Focus Group Taste Test Majority of participants were undecided on the taste of Bear Naked Peak Oats & Honey Granola. Its too mushy. Shannon Bird food. Alli It seems like a garnish. Ashley Kind of bland maybe a little bit of honey in there. Brop. 33 42. Focus Group 43. Focus Group Participants associated granola with a younger, hip demographic. Overall, they had a hard time defining granola and recalling granola brands. Participants perceived granola as a snack food they would eat throughout the day. Granola cereals and flavored granolas ranked higher in taste, but participants agreed that they prefer to mix granola with milk or yogurt. Participants agreed that taste was more important than price the their purchasing decision. 44. Perceptual MapTaste6543210Natures Path KashiBear Naked Cascadian Farms Udis 45. Perceptual MapPrice6543210Natures Path KashiBear Naked Cascadian Farms Udis 46. Perceptual Map Health*Based on low calories, low fat, high carbohydrates and high protein*6543210Natures PathKashi Bear NakedCascadian FarmsUdis 47. Ethnographic Study Thirteen out of twenty-one people checked the price of granola. Majority of the consumers picked up a competitors product and 1/3 of the consumers picked up Bear Naked. Only a few individuals asked a store employee questions about the products. Consumers spent 33 seconds, on average, deciding what product they wanted. p. 35 48. Ethnographic Study of Blogs 49. SWOT AnalysisStrengthsWeaknesses Kelloggs distribution Not USDA Certified Granola market grew Organic, Freetrade11% in 2011 to $16Certified or Non-NGOmillion Project Verified Unique blend of granola Limited advertisingis softer-baked budget No granola bar optionOpportunitiesThreats 80% of consumers agree 48% of consumers thinkthat manufacturers have organic products areto improve the taste of betterhealthy snacks Retail food prices are 36.7% sought healthierrising faster than inflationfood and beveragesrateslightly more, while Prop. 37 and labeling ofanother 24.4% did sofoods with GEmuch more ingredients p. 46 50. Summary of Findings Little differentiation between granola brands. Kashi had the greatest recall. People try to compensate for inactive lifestyle by eating healthy products similar to granola. Busy lifestyles have caused consumers to skip breakfast and eat more snacks throughout the day.p. 35 51. Mini-SagaDaily RunnerCorbin has beentraining his entirelife, and not just for theIronman. Finally, hishard work is paying off.Hes great withnumbers, and his bosskeeps adding them tohis paycheck. Hiswealth and success arewell-deserved, and hellsoon put it to usesupporting his growingfamily. p. 39 52. Mini-SagaHealthy MotherIts tough watching herkids grow up sofast, but Tonya isexcited that her firstborn is old enough tocome to yoga classwith her. Despite herfamilys busyschedule, she findstime to take care ofherself because beinghealthy means beingthere for her kidslonger.p. 39 53. Mini-SagaNature LoverMusic festivals arewhere Dakota feels themost alive. He lovesthe sense ofcommunity that comesfrom being around like-minded people as theyescape the worries oftheir everyday lives. Itsa few days of peacebefore going back tohis part-time job to earnenough for next year. p. 39 54. Consumer Groups Experiencer Motivated by self-Achiever Daily Runner Goal-oriented lifestyle expression They follow a strict work out regime Seek variety andand diet Deep commitment to They are disciplined and like career and family excitementstructure. Age 18-34, Graduated College Plus, Professional and RelatedInnovatorOccupations Change leaders Likely to purchase upscale, niche productsHealthy MotherNature Lover Is highly concerned for her Innovators Enjoys outdoor activities childrens well being and isinvolved in their lives. Chooses ecofriendly products She attends regular workout Seeks new experiencesclasses Census Region West, Age 18- HHI 150,000+, Child Age