rules of stevia marketing: getting the right communication for the right consumer

Neal Cavalier-Smith Director of Consulting

Stevia 2011 Advance in Strategy and Innovation June 2011

Rules of Stevia Marketing

Getting the Right Communication for the the Right Consumer

All content including Wennstrom’s Four Factors® and the FourFactors® Brand Analysis system (The three- stakeholder curve) ©2010 Healthy Marketing Team Reproduction ONLY by written consent from SimonG@HealthyMarketingTeam.com

Who am I?

Neal Cavalier-Smith

Global specialists in Strategic Direction for health.

1.   Brand New: How to create and launch the right new idea

2.   Brand Direction: How to choose “Where to Play” in the market

3.   Brand Rescue: How to deal with a failing brand

Director of Consulting Healthy Marketing Team

Neal Cavalier-Smith has lived and worked as a Brand Strategy Consultant all around the world and visited more than 80 countries.

• Chair: World Food Technology and Ingredients Forum, Rotterdam • Chair: Agra Innovations in Value Added Dairy • Chair & Speaker: Dairy Futures conference, Budapest • Speaker: Functional Drinks Forums, London, Geneva • Judge: International Beverage Innovation Awards

1.  Who is your consumer?

2.  Successes and Failures with Stevia

3.  Rules of Stevia Marketing

Three short sections

First, let me ask you a question...

Can you remember when milk was just milk?

From Tech-push to Consumer-pull

1980 1990 2000

Full-fat milk

Semi-skimmed milk Skimmed milk Second brand

Calcium-fortified Lactose–free Omega 3 Milk

Target-groups: Toddler’s milk Milk for women Yoghurt for middle-aged men

Tech push Consumer pull

Source: TetraPak

Adding even more value?

£0.45

or £0.07 per 100ml

£2.11

or £0.35 per 100ml

There’s a group of people willing to

pay 7x more to feed their cat

Key rule: All consumers are NOT alike…

? ? ? ? ? ?

People pay for value as they perceive it.

If you need to find your way, in this complex landscape, you need a map

Introduction to the Healthy Marketing Map

Understanding the rules

The HMT Map: 4 Stakeholders in HEALTH

Here’s the map we use with our clients. I’m going to:

•  Describe each territory we’ve got in the map

•  Explain how can you segment that territory to more precisely target your consumer

We borrow a model from the technology market because new health technologies develop the same way.

EARLY MASS MARKET STAKEHOLDERS

Mobile phone market example

Driven by NEED Volume low, price HIGH

Communication RATIONAL Commoditised – Driven by NORMAL

Highly price-competitive: low margin Communication on EXTRAS/PRICE

Driven by EMOTION Excellent price-PREMIUM

Communication LIFESTYLE

Which stakeholder?

Technology Lifestyle Early mass Mass

Which stakeholder?

Technology Lifestyle Early mass Mass

Which stakeholder?

Technology Lifestyle Early mass Mass

Which stakeholder?

Technology Lifestyle Early mass Mass

Which Stage is your Proposition at?

Is it accepted by the Medical Community?

DOES IT FIT MY CONDITION

Is it new / different ??

DOES IT FIT MY VALUES?

Does it make me look good &

FIT WITH MY ROUTINE?

Is it normal / for everybody?

DOES IT FIT MY FAMILY TRADITION

Why did this fail?

Where does Coca-Cola live?

EARLY MASS MARKET STAKEHOLDERS

Successes and Failures with Stevia

Technology Stakeholder

Does it fit my condition?

©2010 Healthy Marketing Team – Four Factors® Brand Analysis system

Focused on Need state – High- Cholesterol, Diabetes

“Is it approved by the medical community?”

?

Approved by the Medical Community

Lifestyle Stakeholder

http://www.youtube.com/watch?v=yYPr06MmTxA

How will I look drinking it?

Does it fit me?

©2010 Healthy Marketing Team – Four Factors® Brand Analysis system

A Segment driven by emotion. New, innovative packaging, formats, ingredients, values.

Typical lifestyle stakeholder consumer insight:

“I don’t need it, I want it – it’s cool / on trend”.

Is it aligned with my values?

http://www.youtube.com/watch?v=wTGMnj1Tz54

Is it on trend?

http://www.youtube.com/watch?v=u2xmFBLg4W0

Early Mass Market

Does it fit my routine?

©2010 Healthy Marketing Team – Four Factors® Brand Analysis system

Aspirational values, convenience, taste and value.

Typical early mass market consumer insight:

“It makes it easy for me to make better choices”.

Help me make better choices…

http://www.youtube.com/watch?v=NjKpb9jFESw

Make it easy to understand…

Mass Market Stakeholder

Does it fit my family?

©2010 Healthy Marketing Team – Four Factors® Brand Analysis system

Normality – not changing habits. Taste, value and convenience are most important.

Typical mass market consumer insight:

"I don't have a problem. And besides, I think health is a matter of luck, anyway"

Juice

http://www.youtube.com/watch?v=7TGJWWv-NgA

Rules of Stevia Marketing

The rules for each stakeholder:

FIT MY CONDITION

PROVEN NEW TECHNOLOGIES

FUNCTION BEFORE FOOD

HEAVY INVESTMENT IN EDUCATION

EXPERT BRAND

HEALTH CLAIMS!

FIT ME

TRENDY: NEW / DIFFERENT

ALIGNED WITH VALUES

VALUES BRAND

INGREDIENT TRENDS

FIT MY FAMILY TRADITION

NO CHANGE IN HABIT

NORMAL EVERYDAY KITCHEN CUPBOARD INGREDIENTS

TASTE & FOOD BEFORE HEALTH & NATURE

MASS-PRICE BRAND

NO CLAIMS! NOTHING NEW, JUST CONNECT TO WHAT THEY KNOW

Driven by NEED &

RATIONAL Life or death

Driven by EMOTION & LIFESTYLE

Want new things

Driven by NORMAL

No need or motivation to change

FIT MY ROUTINE

EASY TO MAKE HEALTHY CHOICE

CONVENIENCE & REASSURANCE

PREMIUM BRAND

WELL KNOWN INGREDIENTS

Driven by CONVENIENCE

Make it easy for me

TECHNOLOGY STAKEHOLDERS

LIFESTYLE STAKEHOLDERS

EARLY MASS STAKEHOLDERS

MASS MARKET STAKEHOLDERS

©2010 Healthy Marketing Team – reproduction prohibited

Sprite Green – is this normal?

Sprite Green – a fit me proposition from a fit everyone brand.

EARLY MASS MARKET STAKEHOLDERS

Thank you

More information:

Neal Cavalier-Smith Neal@HealthyMarketingTeam.com