MID-YEAR REPORT Infant Nutrition Council of America

JAN-AUG 2015

© 2015 Kellen, Inc.

2

• Online conversation about infant formula has increased not only in volume (+3%) but also in terms of net sentiment (+1%) YTD versus 2014.

• The new INCA site has benefited from new content, design, and functionality that has increased key measures of bounce rate and pages per session which have increased 18% and 5%, respectively, versus 2014.

• Paid media is also driving key gains in website traffic with promising results in “long-tail” issues where INCA can be a voice of authority.

Executive Summary

© 2015 Kellen, Inc.

3

ONLINE INFANT FORMULA CONVERSATION (1/1-8/31/15)

0

10,000

20,000

30,000

40,000

50,000

60,000

0

50,000,000

100,000,000

150,000,000

200,000,000

250,000,000

300,000,000

350,000,000

400,000,000

1-Jan-15 1-Feb-15 1-Mar-15 1-Apr-15 1-May-15 1-Jun-15 1-Jul-15 1-Aug-15

Potential Impressions Mentions

Increase in both mentions and impressions attributed to global stories, focusing on recall of Australian paleo cookbook that featured a

DIY formula recipe and a threat to poison baby formula in NZ.**

The volume of online conversations is growing for infant formula. Mentions in 2015 increased 3% over 2014, due in part to increased news coverage of formula-related stories.

© 2015 Kellen, Inc.

4

ONLINE INFANT FORMULA CONVERSATION (YTD)

-40

-30

-20

-10

0

10

20

30

40

50

1-Jan-15 1-Feb-15 1-Mar-15 1-Apr-15 1-May-15 1-Jun-15 1-Jul-15 1-Aug-15

Infant Formula Net Sentiment Year over Year

2015 2014

Global stories, focusing on recall of Australian paleo

cookbook that featured a DIY formula recipe and a threat to

poison baby formula in NZ.

Major manufacturers introduced organic products and the #ISupportYou campaign from

FormulaFeeder.com impacted online conversations.

• Net sentiment for infant formula decreased due to global news stories with negative

content. However, these stories were not negative to infant formula and showed

support for appropriate use and development.

• Net sentiment not only recovered but has increased more than 9% over 2014 due to

organic formula introductions from major manufacturers and campaigns supporting

formula feeding.

© 2015 Kellen, Inc.

5

NET SENTIMENT OF INFANT FORMULA CONVERSATION • Positive sentiment continues to drive infant formula conversations. In fact, mentions with

positive sentiment drivers saw a 37% increase year-over-year since 2014.

• Mentions around safety increased 150% in 2015 and mentions of work increased 358%

• Of note, mentions of taste in 2015 shifted from negative to positive and “convenience” ranked as a top sentiment driver.

0 100 200 300 400 500 600

safe

work

baby

easier

healthy

not poison

formula feeding

2015 2014

© 2015 Kellen, Inc.

6

SOURCES OF CONVERSATION

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

Sources of Conversation 2015 v. 2014

2015 YTD 2014

Forums and microblogs (such

as Twitter) continue to be the

primary sources of

conversation for infant

formula.

Microblogs and news outlets

both increased their share of

conversations, 39% and 10%,

in 2015, due in part to

increased news-related infant

formula conversations.

© 2015 Kellen, Inc.

7

TOPICS OF CONVERSATION: INFANT FORMULA GMO conversations around infant formula increased nearly 94% from 2014 to 2015, and conversations around cost decreased nearly 34%.

0

1000

2000

3000

4000

5000

6000

7000

GMOs Cost Convenience Brestfeedingdifficulties

Obesity Societalpressure

WIC Diabetes Cancer SIDS

2015 2014

Conversations included mentions of organic, “GMO-free” formulas

© 2015 Kellen, Inc.

8

Conversation around GMOs saw the most significant change in net sentiment year-over-year, shifting from -27 to +40.

NET SENTIMENT OF TOPICS: INFANT FORMULA

-100

-80

-60

-40

-20

0

20

40

60

Bre

stfe

ed

ing

dif

ficu

ltie

s

Co

nve

nie

nce

SID

S

Soci

etal

pre

ssu

re

WIC

GM

Os

Ob

esit

y

Co

st

Dia

be

tes

Can

cer

2015

2014

© 2015 Kellen, Inc.

9

The updated infantnutrition.org was introduced (via limited release) in February of Q1 2015.

Site visitors reaching infantnutrition.org from referral sites are consuming more of the updated site information. Of the Top 10 Pages, two topics new website articles:

• Homemade Formula

• Article: Homemade Formula Poses Risks No Parent Should Take

• Blog: Homemade Baby Formula is not a Safe Feeding Choice

• Select a Pediatrician

• Article: Looking For a Pediatrician? Find One Who Shares Your Philosophies

• Blog: Put “Shared Values” and “Good Listener” at the Top of Your Pediatrician Search Checklist

Web

© 2015 Kellen, Inc.

10

The improved site experience, which includes user-friendly page headings and easy navigation, has resulted in a nearly 18% increase in Pages/Session, lengthened Average Session Duration and a lower bounce rate.

INCA Web Traffic

Related Articles navigation helps readers discover and access new information

Consistent headers make the site easier to use and provide a cohesive look/feel

© 2015 Kellen, Inc.

11

Sources of Site Traffic

Referral traffic to InfantNutrition.org has seen significant improvement, with bounce rates dropping more than 5%, Pages/Session increasing nearly 56% and Average Session Duration improving almost 53%. These gains indicate that visitors from other sources are not only consuming more information on the site (Pages/Session) but also finding value in the content (increased Session Duration.)

© 2015 Kellen, Inc.

12

SITE PAGE PERFORMANCE

• Four refreshed/new content articles are driving nearly 15% of Page Views among the Top 10 Pages

• These same pages are

responsible for more than 11% of all Page Views.

• Two of of Dr. Meg’s blogs rank among Top 10 pages.

New and refreshed content for InfantNutrition.org is proving to be a strong driver for Page Views on the updated site, indicating recognized reader value in the new content.

© 2015 Kellen, Inc.

13

• Six dedicated Dr. Meg posts have been published since the site re-launch.

• Blog posts from Dr. Meg have garnered 2,788 page views and account for nearly 6% of all page views.

• The bounce rate for Dr. Meg blog posts is 37% lower than the site average.

TRAFFIC FROM DR. MEG BLOGS Strong performance from blog posts by Dr. Meg Meeker, coupled with the sites’ positive referral traffic, indicates an opportunity to expand the influencer program.

© 2015 Kellen, Inc.

14

Paid Search

• Supporting organic search with paid extends the message reach for

Infant Nutrition Council of America and supports continued growth of

the re-designed site.

• Initial performance of long-tail keywords indicates opportunity for

Infant Nutrition Council of America to impact conversations around

infant feeding thought leadership.

© 2015 Kellen, Inc.

15

TOP-PERFORMING KEYWORDS Keyword Impressions Clicks CTR Cost newborns 1,236,601 2,176 0.18% $2,891.70 newborns 236,924 1,044 0.44% $563.69 babies care 200,696 1,000 0.50% $1,382.56 babies care 103,844 674 0.65% $641.32 newborns 317,654 585 0.18% $782.97 pediatricians 81,698 506 0.62% $438.57 pediatricians 98,697 397 0.40% $573.90 infant feed 22,402 329 1.47% $205.44 infants feeding 43,760 269 0.61% $371.26 infant feed 74,373 258 0.35% $313.23 infants feeding 13,346 222 1.66% $159.76 having a newborn baby 20,385 219 1.07% $278.24 baby tips 14,578 178 1.22% $261.02 how to make infant formula 2,298 169 7.35% $89.93 feeding newborn 3,519 141 4.01% $76.22 newborn things 15,949 131 0.82% $204.94 newborn baby birth 13,509 123 0.91% $178.65 pediatricians information 11,827 120 1.01% $182.30 things for newborn 14,771 108 0.73% $178.05 how to feed an infant 3,058 104 3.40% $90.17 medical pediatricians 13,911 103 0.74% $151.20 recipes for babies 12,668 99 0.78% $142.88 medicaid pediatricians 6,028 94 1.56% $63.00 how to feed an infant 2,533 88 3.47% $121.55 feeding newborn 2,496 87 3.49% $110.37

© 2015 Kellen, Inc.

16

Top 10 Organic Search Terms

Keyword Sessions Pages / Session

can you reheat formula 32 1

nutritional needs for infants 28 1.04

infant nutrition 20 2

can formula be reheated 17 1

infant formula 17 1.76

reheating formula 17 1

hydrolyzed formula 16 1.19

can i reheat formula 10 1

international formula council 9 2.33

nutritional needs of infants 9 1

Using organic search terms to inform and optimize paid campaigns

ensures that content is being strategically leveraged to impact

conversations.

HTTP://KELLENCOMPANY.COM HTTP ://WWW.FACEBOOK.COM/KELLENCOMPANY

HTTP://WWW.LINKEDIN.COM/COMPANY/KELLEN-COMPANY HTTP://TWITTER.COM/KELLENCOMPANY

CONTACT US

Atlanta

1100 Johnson Ferry Road

Suite 300

Atlanta, GA 30342

Phone: (404) 252-3663

Fax: (404) 252-0774

Beijing

11/F, R.1177, Block A

Gateway Plaza

No.18 Xiaguangli

North Road, East Third Ring

Chaoyang District

Beijing, 100027 China

Phone: +86 10 59231096

Fax: +86 10 59231090

Brussels

Avenue Jules Bordetlaan 142,

1140 Brussels, Belgium

Phone: +32 2 761 16 00

Fax: +32 2 761 16 99

Chicago

Phone: 630-696-4000

Fax: 630-544-5055

Denver

10200 W. 44th Avenue, Suite 304

Wheat Ridge, CO 80033

Phone: 720-881-6100

Fax: (720) 881-6101

New York

355 Lexington Avenue

15th Floor

New York, NY 10017

Phone: (212) 297-2122

Fax: (212) 370-9047

Washington D.C.

National Press Building

529 14th Street, NW

Suite 750

Washington, DC 20045

Phone: (202) 591-2438

Fax: (202) 223-9741