CTFA Vice President of Marketing by pengtt

VIEWS: 84 PAGES: 10

									Period Ending July 12, 2006

CTFA Vice President of Marketing
Sheri Mierau

We are in the third week of the Tasty Tunes promotion. On day 20 of the 80-day promotion, we’ve
already reached a number of redemptions that’s over 25% of the total number of redemptions from
last year. During that time, only six out of the 18 divisions that will participate were active in the
promotion. These numbers excite us and early signs for a profitable promotion are very good.

Over 2,000 image files have been downloaded from the website. Users include retailers, industry
members and media. Many editors have been ecstatic to have images readily available for their use.
We have had many great articles written in trade publications as well as food features in other
periodicals utilizing the images available. Additional photography is being completed this summer to
enhance the selection for all.


Northeast U.S. / Eastern Canada
Ken Berger

Markets Visited: New York, New Jersey, Pennsylvania, New England, Ontario, Québec, Atlantic
Canada

Accounts:
New England      BJ’s, Big Y, Hannaford, Market Basket, Shaw’s, Stop &
                 Shop, PPO
NY/NJ/Western PA A&P Atlantic, Pathmark, Shoprite, Food Town, Price
                 Chopper, Wegmans, Acme, Giant
Ontario          A&P Canada, Loblaw Companies East, Sobeys Canada
Québec           Métro, Sobeys Québec, Provigo
Atlantic Canada  Sobeys Atlantic, AWL
Market Observations:

Front page flyer ad activity has been reserved almost exclusively these last couple of weeks for either
New Jersey blueberries or Northwest cherries – the two hottest produce items by far.

With a plethora of peaches available from a variety of regions now, retailers have, for the most part,
gone back to identifying origin in their flyer ads, with a great number indicating California as the
source.

On the other hand, several retailers, particularly in Canada, have gone to premium pricing on yellow
peaches and nectarines, mixing and matching conventional fruit with tree ripe, as may be noted in the
PLU codes recorded in the store audits below.

Acme in particular, took a varied approach the week of July 10, featuring Southern-identified peaches
at $0.99 per lb., California identified nectarines at $1.78 per lb. and “Ripe ‘n Ready” identified
peaches and nectarines at $1.99 per lb.

NORTHEAST U.S.

SCHEDULED CTFA PROMOTIONS

      RETAILER                             ACTIVITY                                     DATE(S)
    Acme                 Category review                                      Presented to CM in May
                         Tasty Tunes and CTFA POS package                     July
    Ahold USA            Category review                                      Presented to corporate
    Stop & Shop                                                               and to banner CMs in
    Giant                                                                     May
    Big Y                Nutrition Consumer Newsletter                        June/July
    B.J.’s               Customized signage hardware and CTFA POS             w/o July 8
    Pathmark             Category review                                      Presented to CM in May
    Shaw’s               Tasty Tunes and CTFA POS package                     July


Retailers featuring both California identified or tree-ripe tree fruit and Southern tree fruit during this
reporting period:
   w/o 7/3: Acme - “Ripe ’n Ready” peaches or nectarines - 2#/$5 (3rd week running); Southern
   peaches - $0.99 per lb. (5th week running)
   w/o 7/10: Acme - “Ripe ’n Ready” peaches or nectarines - $1.99 per lb. (4th week running);
   California nectarines - $1.78 per lb.; Southern peaches - $0.99 per lb. (6th week running)
   w/o 7/10: Shoprite - California sweet and juicy nectarines - $1.49 per lb.; California white peaches
   or nectarines - $1.99 per lb.; tree-ripe plums or nectarines - $1.99 per lb.; California red or black
   plums - $1.99 per lb.; sweet juicy peaches - $1.29 per lb.


Retailers featuring California identified or tree-ripe tree fruit during this reporting period:
   w/o 7/3: A&P Atlantic - Repeating its California peach, plum and nectarine ad of last week again
   with the bold advertorial claim, “Left on the tree longer for a more mature flavor.”
   w/o 7/3: Big Y - “Sweet California Peaches or Nectarines; Extra Large, High in Vitamin A, Good
   Source of Vitamin C - $1.88 per lb.; White Fleshed Nectarines or Peaches; Fat Free, Sodium
   Free, Good Source of Vitamin C and Beta Carotene - $1.88 per lb.”
   w/o 7/3: The Food Emporium - “Tree Ripe Peaches, Plums and Nectarines, From California,
   Good Source of Vitamin C, the best tasting summer fruits available - $3.99 per lb.”
   w/o 7/3: Food Town - “Fresh California Nectarines - $1.99 per lb.; California White Flesh Peaches
   or Nectarines - $2.99 per lb.; California 50 size Large Red or Black Plums - $2.99 per lb.”
   w/o 7/3: Genuardi’s - “Tree Sweetened Peaches and Nectarines, Large Size - 2#/$4”
   w/o 7/3: Giant Foods (Carlisle) - “California Nectarines, Large Size - $0.99 per lb.” (Front page)
   w/o 7/3: Pathmark - “Large California Black Amber Plums – 2#/$5”
   w/o 7/3: Price Chopper - “Fresh California juicy and sweet, fresh, ready to eat peaches or
   nectarines - $1.68 per lb.”
   w/o 7/3: Shaw’s - “Ripe ’n Ready” peaches, nectarines or plums - $1.88 per lb.
   w/o 7/10: A&P Atlantic - “California Peaches; large size - 2#/$4”
   w/o 7/10: Big Y - “Sweet California Peaches or Nectarines; Extra Large, Fat free, sodium free,
   good source of vitamin C and Beta Carotene - $1.88 per lb.; Sweet California Jumbo Red or
   Black Plums; Low in calories, low in fat - $1.82 per lb.”
   w/o 7/10: The Food Emporium - “Tree Ripe Peaches, Plums and Nectarines, the best tasting
   summer fruits available - $3.99 per lb.” (2nd week running)
   w/o 7/10: Food Town - “California 64 size large Nectarines - $1.99 per lb.; California White Flesh
   Peaches or Nectarines - $2.99 per lb; California 45 size Red or Black Plums - $2.49 per lb.” (2nd
   week running)
   w/o 7/10: Giant Foods (Carlisle) - “California Peaches, Large Size - $0.99 per lb.” (Front page –
   coming off a front page California nectarine ad last week)
   w/o 7/10: Pathmark - “Extra large California peaches or nectarines - $1.99 per lb.; Extra large
   white peaches or nectarines – 2#/$5; Large California Red or Black Plums – 2#/$5” (2nd week
   running on the black plums)
   w/o 7/10: Price Chopper - “Fresh California White peaches or White nectarines, sweet and juicy -
   $1.68 per lb.”
   w/o 7/10: Shaw’s - “Ripe ’n Ready” peaches, nectarines or plums - $1.88 per lb. (2nd week
   running)
   w/o 7/10: Stop & Shop - “Orchard Perfect fresh peaches - $1.79 per lb.”
   w/o 7/10: Wegmans - “California red or black plums - $1.49 per lb.”


Retailers featuring “Southern/Eastern/Local” tree fruit or with no origin specified during this reporting
period:
   w/o 7/3: A&P Atlantic - (Eastern) peaches - $0.99 per lb.
   w/o 7/3: Pathmark - (Southern) peaches - 2#/$3
   w/o 7/3: Shoprite - (no origin) peaches or nectarines - $0.99 per lb.
   w/o 7/3: Stop & Shop - (Southern) peaches - $0.99 per lb.
   w/o 7/10: A&P Atlantic - (no origin) nectarines - $1 per lb. (Front page)
   w/o 7/10: Genuardi’s - (no origin) red or black plums - $1.50 per lb.
   w/o 7/10: Price Chopper - (Southern) peaches - $0.78 per lb. (Front page)
Retailers featuring organic tree fruit during this reporting period:
   w/o 7/3: Giant Foods (Carlisle) - “Organically grown peaches, large size - $1.99 per lb.”
   w/o 7/3: Shoprite - “Peaches or nectarines, organic - $2.99 per lb.”

CANADA

SCHEDULED CTFA PROMOTIONS

             RETAILER                  ACTIVITY                 DATE(S)                 COMMENTS
     Loblaw Companies East,   Category review for all   To be compiled by       Awaiting ’05 PPN data from
     including Provigo, QC    regions                   Fusion at end of this   CM
     and AWL, Atlantic                                  season

                              90-Day Challenge direct   Distribution through
                              to store tear-off         June
                              distribution
                                                        Store visits to be
                              Consumer research         conducted through       MAP funded activity
                              project                   August
     A&P Canada               “Fresh Start” in-store    Ongoing through end
                              signage program           of August

                              90-Day Challenge direct   Distribution through
                              to store tear-off         June
                              distribution
                                                        Store visits to be      MAP funded activity
                              Consumer research         conducted through
                              project                   August
     Métro                    Consumer research         Store visits to be      MAP funded activity
                              project                   conducted through
                                                        August
     Sobeys Atlantic          "TasteUS!" ad/demo/Air    w/e July 8              MAP funded activity
                              Miles promo
     Sobeys Québec            Consumer research         Store visits to be      MAP funded activity
                              project                   conducted through
                                                        August
     Sobeys Ontario           90-Day Challenge direct   Store visits to be      MAP funded activity
                              to store tear-off         conducted through
                              distribution              August

                              Consumer research         Distribution through
                              project                   June


Retailers featuring both California identified or tree-ripe tree fruit and “Southern/Eastern/Local” tree
fruit during this reporting period: none

Retailers featuring California identified or tree-ripe tree fruit during this reporting period:
   w/o 7/3: Colemans - “California #1 Label Fresh Juicy Nectarines - $1.99 per lb.”
   w/o 7/3: COOP (The Produce People) - “Ripe ‘n Ready Peaches - $2.49 per lb.”
   w/o 7/3: Loblaws Québec - (see account recap below)
   w/o 7/3: Longo’s - (see account recap below)
   w/o 7/3: Métro - “Ready to eat peaches and nectarines, product of California - $2.99 per lb.”
   w/o 7/3: Sobeys Atlantic - “One Taste and You’ll Smile, Ripe ‘n Ready Peaches or Nectarines -
   $1.47 per lb.” (back page of flyer) Also included is the following advertorial: “Ripe ‘n Ready fruit is
   carefully controlled from the time it is harvested until it reaches you. The right varieties, timing of
   the harvest, and handling post harvest, deliver a consistent enjoyable eating experience.”
   w/o 7/3: Sobeys Québec - “Ready Now! Peaches or Nectarines - $1.29 per lb.” (Front page)
   w/o 7/10: COOP (The Produce People) - “Ripe ‘n Ready Plums, new crop, large size, fresh and
   juicy, product of California - $1.99 per lb.”
   w/o 7/10: Colemans - “California #1 Sweet Juicy White Peaches and Nectarines - $1.49 per lb.”
   w/o 7/10: Loblaws, Québec - “Peaches or Nectarines from California - $0.99 per lb.”
   w/o 7/10: Métro - “Ready to eat peaches and nectarines, product of California - $2.99 per lb.” (2nd
   week running); “Ready to eat large red or black plums - $2.99 per lb.”
   w/o 7/10: Provigo - “California peaches or nectarines - $0.99 per lb.” (Front page)
   w/o 7/10: Sobeys Québec - “California 56 size white flesh peaches - $2.49 per lb., California 50
   size black plums - $1.79 per lb.”

Retailers featuring “Southern/Eastern/Local” tree fruit or with no origin specified:
   w/o 7/3: Loeb - (U.S.A.) Large red or black plums - $1.99 per lb.
   w/o 7/3: Sobeys Ontario - (U.S.A.) peaches or nectarines - $1.49 per lb.
   w/o 7/10: Canada Safeway - (U.S.A.) nectarines, white peaches, red plums, peaches and black
   plums - $1.99 per lb.
   w/o 7/10: Loblaws, Ontario, Fortinos, Zehrs - (U.S.A.) peaches and nectarines - $1.49 per lb.,
   white peaches and nectarines - $1.99 per lb.
   w/o 7/10: Real Atlantic Superstore (Loblaws) - (U.S.A.) peaches or nectarines - $0.99 per lb.
   (Front page)
   w/o 7/10: Real Canadian Superstore, ON (Loblaws) - (U.S.A.) red or black plums - $0.99 per lb.
   w/o 7/10: Sobeys Ontario - (U.S.A.) red or black plums - $1.49 per lb.

Retailers featuring organic tree fruit during this
reporting period:
   w/o 7/3: Longo’s - fresh organic plums - $1.99
   per lb.
   w/o 7/10: Sobeys Québec - “California 70 size
   organic nectarines” - $1.99 per lb.; “California
   70 size organic plums” - $2.49 per lb.

ACCOUNT RECAP:

NORTHEAST U.S.

ACME - Ordered 150 of the backroom handling
posters after receiving the electronic file proof from
CTFA on July 7.

RLB - Contacted via email by this New Jersey
wholesaler:

CANADA

LOBLAWS QUÉBEC – Front page flyer ad w/o July 3,
with California-identified assortment of fruit: peaches
and nectarines: conventional - $1.49 per lb.; tree-ripe -
$2.49 per lb.; organic - $2.99 per lb.; white flesh - $1.99
per lb.; red and black plums - $2.49 per lb.

LONGO’S (ON) - w/o July 3 full page tribute ad to its
California shipper. Certainly one of the most spectacular
features yet seen.

STORE CHECKS

   RETAIL
   STORE              DATE           SPECIES              PLU #       PRICE               LABEL
   NAME
                              CA yellow peaches TR –      4044    $1.49/lb       Ripe ‘n Ready
                              lg                          4036    $1.49/lb       Ripe ‘n Ready, Z&S
                              CA yellow nectarines – lg   4378    $1.99/lb       Kingsburg
   Sobeys, Toronto    7/4
                                                          n/a     $1.99/lb       Z&S
                              CA red plums
                                                          4039
                              CA black plums – sm
                              CA yellow peaches TR –      4044    $2.99/lb       Wawona
                              lg                          4378    $2.99/lb       Prima
   Dominion (AP),             CA yellow nectarines TR     4401    $2.99/lb       Wawona
                      7/4     - lg
   Toronto
                                                          3035    $2.99/lb
                              CA white peaches – lg
                              CA white nectarines – lg
                              CA yellow peaches TR –      4044    $1.99/lb       Fruit Patch, Prima
                              lg                          4038    $1.69/lb
                              CA yellow peaches – lg      4378    $1.99/lb       Prima
                              CA yellow nectarines TR     4036    $1.69/lb
                              - lg
   Loblaws, Toronto   7/4                                 3035    $2.49/lb       Prima
                              CA yellow nectarines - lg
                                                          n/a     $1.99/lb       Fruit Patch
                              CA white nectarines - lg    n/a     $2.99/lb       Jasper
                              CA red plums
                              CA black plums
                                                          4044    $2.99/lb ADV
                              CA yellow peaches TR –      4401    $2.99/lb       Ripeway
                              lg
   Métro, Montreal    7/4                                 4378    $2.99/lb ADV
                              CA white peaches - lg       3035    $2.99/lb
                                                         4042   $3.49/lb
                             CA yellow nectarines TR
                                                         4040   $3.49/lb
                             - lg

                             CA white nectarines TR -
                             lg

                             CA red plums – lg
                             CA black plums – lg
                             CA yellow peaches - lg      4038   $1.49/lb ADV
                             CA white peaches – lg       4401   1.99/lb ADV     Kingsburg
                             CA yellow nectarines – lg   4036   $1.49/lb ADV
   Loblaws,
                   7/4       CA white nectarines – lg    3035   $1.99/lb ADV    Kingsburg
   Montreal
                                                         4042   $2.49/lb ADV
                             CA red plums – lg
                                                         4040   $2.49/lb ADV
                             CA black plums – lg
                             CA yellow peaches           4038   $1.99/lb
                             CA white peaches - lg       4401   $2.99/lb        Kingsburg
   Provigo                   CA yellow nectarines –      4035   $1.99/lb
   (Loblaws),      7/4       sm                          3035   $2.99/lb        Kingsburg
   Montreal                  CA white nectarines – lg    4042   $2.99/lb
                             CA red plums – lg           4040   $2.99/lb
                             CA Black plums - lg
                             CA yellow peaches           N/a    $1.29/lb ADV
                             CA white peaches – lg       4401   $3.49/lb
                             CA yellow peaches TR –      -      $4.99 ADV       ReadyNow!
                             2# clam                     4378   $1.29/lb ADV    Fruit Patch
   IGA (Sobeys),             CA yellow nectarines TR     3035   $3.79/lb
                   7/4
   Montreal                  - lg
                                                         -      $4.99 ADV       ReadyNow!
                             CA white nectarines – lg
                                                         4042   $2.99/lb
                             CA yellow nectarines TR
                             – 2# clam
                             CA red plums – lg




Western U.S. / Western Canada
Matt Ellison
Markets Visited: Portland, Seattle, Northern California, Southern California, Phoenix, Cincinnati.

Accounts: *Fred Meyer, *Winco, *Kroger Corporate, Albertson’s Corporate, *Costco, *Safeway
Corporate, Food 4 Less, *Savemart, *Ralphs, *Stater Brothers, *Fry’s, *Bashas’, *Safeway Buying
Office, Raley’s
*visited this period
Market Observations:

Nice weather, larger sizes and lower retail prices have increased sales for Washington and Oregon stores.
Many retailers continue to offer two sizes at this time.

Washington Fruit Commission is reporting a full crop on peaches and nectarines. They estimate 1.5 million
cases of peaches and 700,000 cases of nectarines. Product should start entering stores the week of July 24.

Account Recap:

Attended the Fresh Produce and Floral Council Trade Show in Anaheim, CA with Sheri Mierau and Angela
Davis. The new backroom poster, featuring answers to common questions about peaches, plums and
nectarines, was well received by attendees.

Brian Balladares, Ralph’s Director of Produce Merchandising, is reporting a good season so far. ”We’ve
been running lots of ads with good pricing and quality,” stated Mr. Balladares. Ralph’s stone fruit buying will
move to Kroger’s corporate offices in Cincinnati, OH within the next four weeks.


 Southwest
 David Anderson


Markets Visited: Bentonville, AR; Dallas/Ft. Worth, TX; Austin, TX; San Antonio, TX; Kansas City,
MO; Des Moines, IA; Minneapolis, MN; Wichita, KS; Oklahoma City, OK

Accounts: Wal-Mart*, Sam’s Clubs*, Schnuck’s, Save A lot, AWG KC*, Ball’s Food Stores*, Hy-
Vee*, King Soopers, Minyards, Albertsons Ft. Worth, Brookshire Grocery Company, Fiesta Mart,
First Quality, Kroger SW*, FoodTown, HEB*, Central Market, Whole Foods SW, Dierbergs, Dillons*,
United Supermarkets, Kroger Cincinnati, Kroger Indianapolis, Kroger Louisville, Kroger Great Lakes,
Marsh, Meijer, W. Newell Company (Super Valu), Super Target*
*visited this period

Market Observations:

Ad activity is robust in Central U.S., although quality of ads could improve.

Frequency is there but the size, quality and message of ads generally are not.

With plum harvest well underway, the last two weeks showed a marked improvement in multi-
product ad insertions.

Account Recap:

Wal-Mart - Met last week with buyer who indicated their intent to message in-
store but the ability to match our intent continues to clash with Wal-Mart’s
corporate directive to simplify the shopping process, and take down barriers of sight lines, etc. When
delving further, it appears there may be some hope, however, to take the significant resource we
have available, which is in-store messaging copy, and at least look at testing this concept via some
kind of rpc flap / flip top. More to come on this as the concept is further discussed and reviewed.
This will be presented to co-managers chosen by Wal-Mart as possible partners. Meanwhile, buyer
indicated their intent to visit CA still holds, but their ability to define when that might be is a problem.
Volumes are off but improving. Contact is fighting to secure endcap space for the category and in-
store positions are excellent. Another action alley display is seen here, taken from an Arkansas
market. Quality is excellent, and both size and price are in line with what consumers might view as
value.

Sam’s - Met with category buyer and reviewed demo sales from weekend of June 23 and provided
recap by accounts payable rep at Wal-Mart Corporate. Sales on demo were only fair and will be
reviewed in depth, as clearly we need to develop some alternative promotional options here. Demos
can be an excellent choice, but this event can only be described as adequate vs. dollars expended.
Meanwhile there remains an interest from Sam’s to take advantage of messaging options provided by
CTFA. Meeting is tentative, but intended for late season to review options for 2007.

HEB - Below is some of the ad activity occurring here in the last two weeks. CA
fruit is beginning to take a larger role. Nectarines also appeared on the front
page during the reporting week but that ad has not yet been recorded by Adview
and so was not available to include in this report.

Fiesta Mart - Heading to Houston the week of July 24 to report on this very
competitive market area.

Kroger SW - Contact confirms we are good to go on Tasty Tunes, with
POS arriving to stores the week of July 17. Major ad insertion will take
place the week of July 24. Much hotter ad pricing as of late at this account.

King Soopers - Significant plum promotion that was developed with much
fanfare and input from supplier and CTFA breaks as we speak. Next report will
share input from merchandiser. Scheduling market visit to Denver August 4.
Note in picture the local deal is starting up with organic peaches from Colorado
in ad.

Super Target - In visit to Minneapolis last week, met with contact at Super
Target who noted volumes on 2 lb. bags were exceeding expectations, while volumes on bulk fruit
were average. Affiliation with Super Valu remains intact, albeit on a smaller scale as they move
forward. Super Target is opening 30-40 new locations per year, and clearly targeting the upper end of
the discounting spectrum. Contact noted their “corp policy” prevents them from taking advantage of
typical board / commission resources, although he did show some interest of using some of the
imagery from the Download Center to possibly enhance their internal in-store messaging concepts
and efforts. Ad insertions are tough here, as they get limited space, and do limited ads (26 per year).
Web was a thought, and we discussed working through some of the PR offerings as a consideration.
Much work to be done here, as out-of-the-box thinking will be required.
Kansas City Market - Hy-Vee visit to the Des Moines office location. Contact
pleased with volumes overall, but discouraged at their inability to further develop
white flesh portion of category. Indicated there needs to be clearer delineation at
retail and thought packaging might play a part in this effort. Ad activity is strong –
see here for recent ad insertion. 90-Day Challenge posters were of interest and
contact asked that we send them what we could for placement in key retail locations. I sent 93,
exhausting inventory on hand.

AWG KC - visit with corporate procurement. Field buying consolidator confirmed their
intent is indeed to move to a consolidated purchasing model. They intend to visit CA
grower, packer, and marketing locations in next couple of weeks, with the intent to
move all divisions into “program.” What that will be remains to be seen, but their
combined operations supply well over 1,000 supermarket locations.

Ball’s Food Stores - Hen House and Price Chopper banners showed as usual a
lot of polish and flourish at retail. This customer continues to push the bar in
Kansas City with first-class merchandise promoted aggressively. Showed strong
interest in the Download Center and reviewed the site during the meeting to
examine both content and how it works.

Jewel-Osco - Feature pricing finally getting aggressive. Contact on vacation last week
– will have further input on next report.

Kroger Cincinnati, Great Lakes - Ad activity and pricing sharpening here as well.
Some of them used PPN to differentiate themselves from supercenter
competitors.

Albertsons LLC - Denver and North Texas ads shown here. White
peaches were on endcap display in two stores audited in Texas - $1.99
per lb. retail, but it appears most activity on PPN at this point is towards
three- to four-day weekend sales. There remains much industry talk
about what LLC Albertson’s divisions will become or what they in fact are,
although it should be noted they’re being staffed both corporately and
regionally with some accomplished industry veterans. They
claim their intent is to reverse their four- to five-year share slide
and pull these divisions out of red and into black.

								
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