PowerPoint Presentation

Beverage Category Roundup

Beverage BonanzaWelcome & IntroductionsCategory OverviewFun FactsDoing Business with the Beverage TeamExamplesQuizQ & A2

Bonanza (Theme Playing)

Don & Chris begin-Don Welcomes all to the Beverage Bonanza.

During this session we will provide an overview of the Beverage category, Share some interesting fun facts to know and tell, Explain how Michelle and her team want to do business, give good examples, and answer any questions you may have.

We want this to be an interactive session and at the end of the presentation we will give time for your to ask any questions you may have.

Lets begin by introducing the Beverage Category Team.Michelle Frost Category Manager Lisa Owens, Merchandising SpecialistBusiness Analyst - VacantMichelle Bibbs/Loretta Tucker - Planogrammers

2Beverage Category DirectoryBEVERAGES

Michelle Frost, Category Manager(804) 734-8000, extension 4-8696Fax: (804) 734-8009 PP 78696 E-mail: michelle.frost@deca.mil

Coffee Ground Bagged, Coffee Whole Bean, Coffee International, Coffee Instant Flavored/Bagged, Coffee Instant Regular, Coffee Canned, Coffee Ground Flavored, Coffee Creamers, K-Cups, Coffee Filters, Instant Breakfast, Tea Bagged, Herbal/Flavored Tea, Instant Tea/Mix, Hot Cocoa, On-the-Go Breakfast Shakes, Instant Breakfast, Shelf Stable Milk, Milk Modifiers, Canned and Powdered MilkMulti-Pack Juice, Cranberry/Cranberry Blend Juice, Drink Mix Syrup Fruit Flavors, Drinks Fruit and Nectars Juice, Vegetable/Tomato/Prune Juice, Aseptic Juice, Lemon/Lime Juice, Pineapple Blends/Juice, Apple Juice/Cider, Grapefruit Juice, Sparkling JuiceSoda, Premium Soda, Value Soda, International Beverages, Water, Water Filtration, Flavored/Sparkling Water, Isotonic Beverages, New Age Beverages, Kosher Beverages, Cocktail Mixers, Powdered Instant Drinks, Water Enhancers, Freeze Pops, Energy Drinks, Hispanic Beverages, Liquid Coffee

Lisa Owens, Merchandising Specialist Vacant, Business Analyst(804) 734-8000, extension 4-8181 Fax: (804) 734-8009 PP 78181E-mail: lisa.owens@deca.mil

Michelle Bibbs & LorettaTucker - Planogrammers

Michelle Photo

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3The Beverage CategoriesCONUS EX AK HI (THIS WILL BE UPDATED) DeCA 52 Week Ending 2/1/2014Dollars%1COFFEE $ 81,760,941 22.83%2SOFT DRINKS $ 71,463,962 19.95%3SHELF STABLE JUICES AND DRINKS $ 56,738,304 15.84%4WATER $ 38,292,023 10.69%5NEW AGE BEVERAGE $ 32,783,986 9.15%6ISOTONIC BEVERAGE $ 19,131,269 5.34%7TEA PACKAGED AND BAGS $ 8,608,910 2.40%8COFFEE CREAMERS $ 7,556,784 2.11%9POWDERED INSTANT DRINKS $ 6,988,327 1.95%10CANNED AND POWDERED MILK $ 4,793,302 1.34%11LIQUID COFFEE $ 4,155,423 1.16%12BEVERAGE HISPANIC $ 4,132,293 1.15%13SHELF STABLE MILK $ 3,949,620 1.10%14INSTANT TEA AND TEA DRINK MIX $ 3,858,753 1.08%15MILK MODIFIERS $ 3,319,035 0.93%16HOT COCOA $ 3,134,449 0.88%17LIQUID TEA $ 3,055,414 0.85%18HERBAL TEA $ 1,886,940 0.53%19COCKTAIL MIXERS $ 1,378,134 0.38%20COFFEE FILTER $ 1,128,885 0.32%21SHELF STABLE CHOCOLATE DRINK $ 22,634 0.01% $ 358,139,388 100.00%4

The Beverage CategoriesBREAKFEST BEV2GOMayCOFFEE K-CupsJuneCOFFEE GROUND BAGGEDApril/JulyCOFFEE WHOLE BEAN BAGGEDApril/JulyCOFFEE INTERNATIONALApril/JulyCOFFEE INSTANT FAVORED/BAGGEDApril/JulyCOFFEE INSTANT REGULARApril/JulyCOFFEE CANNED REGULARApril/JulyCOFFEE GROUND FLAVOREDApril/JulyCREAMERS POWDERED NON DAIRYAprilTEA BAGGEDNov/DecTEA FLAVORED OR HERBALNov/DecTEA INSTANTNov/DecCOCOAMayMILK SWEET EVAPORATEDjanuary/JuneMILK POWEREDjanuaryMILK ULTRA HIGH TEMP UHTjanuaryK-CUPS ALL OtherJuneMILK FLAVORINGMayFILTERSAprilJUICE MULTI PACKSMarch/AugustJUICE CRANBERRY/CRAN BLENDSMarch/AugustJUICE DRINK MIX SYRUP FRUIT FLAVORMarch/AugustJUICE DRINKS AND NECTARS FRUITMarch/AugustJUICE VEGETABLE TOMATO/PRUNEMarch/AugustJUICE ASEPTICMarch/AugustJUICE LEMON /LIMEMarch/AugustJUICE PINEAPPLE OR PINEAPPLE BLENDSMarch/AugustJUICE OR CIDER APPLEMarch/AugustJUICE GRAPEFRUITMarch/AugustSODA PREMIUMDecemberWATER FILTRATIONSeptemberSODAS ALL FLAVORSJuly/DecemberWATER SeptemberDRINKS ENERGYApril/OctoberDRINK MIXES POWDEREDJanuary/FebruaryDRINKS ISOTONICOctoberSODA VALUEJulyMIX SPECIALITY LIQUID & DRYAugustFREEZE POPSNovemberDRINK MIX TONIC CLUB SODAAugustNEW AGE BEVERAGEApril/OctoberWATER SPARKLING OR FLAVOREDSeptemberINTERNATIONAL BEVERAGES - HOLIDAYJanuaryNEW

ITEM

PRESENTATIONS5

Overall Category Management ObjectivesGrow Volume, Grow Value, Grow Loyalty

Transform strategies of business plan to category plan which should be implemented around the The First Moment of Truth

Use fact-based decision process

Continuously focus on best practices, recognizing different shopper behavior6

Marketing StrategiesRight Assortment

Right Prices

Right Promotions

Right Location and Space in Store

Right NPIs

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Marketing Strategies (Continued)Traffic Building Getting more patrons to the store and the categoryTransaction BuildingIncreasing the patrons average spend while showing savingsCreating ExcitementContinuing to offer innovative, fashionable products and promotionsImage EnhancingStrategy aimed at creating the right image toward the category consumer Your commissary, its worth the trip!8

TacticsAssortmentFocus on the leading brands of the categoryReview marginal items with low contribution to salesFocus on new-to-the-world productsPriceShelf prices offering patron savings of 30%Optimize sale prices no lower outside the gateFocus on top brandsMerchandisingShelf space sufficient to last between stocking periodsSufficient space for Regional and S-coded itemsPromotionsContinue creative theme eventsDevelop activities and events for new item introductionsUse pallets when offered to simplify merchandising

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How Joint Business Plan Overall ObjectiveWorking together to create better business results for both DeCA and youCreate better understanding of common business issues and opportunitiesJoint development of growth strategiesJoint development and implementation of category development planOngoing monitoring and negotiation based on common understanding and best practices

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How The Joint Business Plan-Guiding Principles

Common focus to grow the category, based on improved consumer and shopper satisfaction, greater volume, greater turnoverWork in the greatest possible transparency and there should, in principle, not be any sacred cowsCommon goals and objectives and decisions based on facts and dataBoth parties must be committed to implement decisionsFrequent check point discussionsResults for All

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Bonanza Quiz12

Lets see if you were paying attention

Bonanza Question 113This city in the US consumes 7 times more coffee than any other US City.

Bonanza Question 214According to many historians, from which country did coffee originate?

Bonanza 315What 2 countries were the first to bottle Coca Cola outside of the US?

Bonanza 416What soft drink manufacturer was the first foreign product allowed into Russia?

Bonanza Question 517Which major soft drink is a blend of 23 different flavors?

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Bonus What is the Name of this Iconic Beverage Character

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Questions20Thank You

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