Winning Strategies for Food and Drink Brand Loyalty: Effective consumer engagement, communication and innovation

Winning Strategies for Food and Drink Brand Loyalty: Effective consumer engagement, communication and innovation published by Business Insights in December, 2006. This report price starts from US $ 1910.

Introduction

Abstract

Brand loyalty is changing, under threat from the growth of private label and more promiscuous consumer purchasing habits. Food and drinks companies are beginning to question the strategic value of building brand loyalty over driving customer acquisition. While advertisers traditionally channel investment into brand awareness to capture the third to a half of customers unsure of which brand to buy, innovation and new marketing approaches provide the key to effective customer retention and profit growth. Winning Strategies for Food and Drink Brand Loyalty: Effective consumer engagement, communication and innovation is a new management report published by Business Insights that examines some of the key challenges to brand loyalty and provides actionable recommendations for strategic responses, drawing on opinion leaders? ideas, best practice, case studies and a proprietary survey of top executives in the industry. Enhance your strategies for building and maintaining brand loyalty using the actionable recommendations provided by this new report.

Table of Contents

Executive Summary

• Defining brand loyalty
• Challenges to loyalty
• Building loyalty
• Case studies
• Industry survey
• Conclusions

Chapter 1 Defining brand loyalty

• Summary
• Introduction
• Defining brand loyalty
• The changing nature of loyalty
• Less loyal
• A relationship over time
• Big brands have the advantage
• Not just about hunger
• Measuring loyalty
• A range of approaches
  • Tracking what consumers do
  • Asking what consumers think and do
  • Adding in brand emotion
• Linking to financial performance
• Measuring for real benefit

Chapter 2 Challenges to loyalty

• Summary
• Introduction
• Driven by desire
• Consumer cynicism
• Too much choice
  • Less time
  • Less attention
  • Less belief
  • Less structure
• Nuisance ads
• Premiumization and price shopping
• Premiumization
• Price shopping
  • Promotional activity and price competition
• Private label
• Substitution
• Decision-making at the shelf

Chapter 3 Building loyalty

• Summary
• Introduction
• Getting the basics right
• Product innovation
• Defining your market
• Targeting
• Outsourcing innovation
• Inspiration
  • Mass DIY customization
  • Occasion-specific
• Packaging
• Not just the product
• Marketing innovation
• Portfolio management
• Brand strategy
  • Authenticity
  • Brand as identifier
  • Part of the popular culture
• Marketing to kids
• Other marketing actions
  • Communicating
  • Relationships
  • In the right place at the right time
  • Pricing and deals
• Building Loyalty Checklist

Chapter 4 Case studies

• Summary
• Introduction
• Case study 1: Procter & Gamble (P&G)
• Company Overview
• Goals & strategy
• Initiatives contributing to loyalty
  • Consumer focus
• Consumer insight
  • Word of mouth marketing
  • Innovation
  • Communicating
• Learnings to take away from P&G' s approach
• Case study 2: Innocent Drinks
• Company Overview
• Goals and strategy
• Initiatives contributing to loyalty
  • Branding
  • Communications
  • Product innovation
  • Distribution
• Learnings to take away from Innocent' s approach
• Summary

Chapter 5 Industry survey

• Summary
• Introduction
• Research methodology
• Key Findings
• Overview
• Demographics of loyalty
• Factors impacting loyalty
• The rise of premium private label
• Category differences
• Strategies for improved brand loyalty
• Survey summary

Chapter 6 Conclusions

• Summary
• Introduction
• The future of brand loyalty
• Key strategic recommendations
• Focus
• The fundamentals
• Be more than just another product
• Authenticity
• Better targeting
• Leveraging technology
• Currency
• Don' t count on it
• Appendix 1.
• Five-level Brand Leadership Model - January 20, 2006
  • Level 1 - Proprietary goods
  • Level 2 - Branded products
  • Level 3 - Positioned brands
  • Level 4 - Identity-building brands
  • Level 5 - Mythological brand
• Index

List of Figures

• Figure 1.1: High involvement purchase decisions weigh more heavily on consumers' minds
• Figure 1.2: Building loyalty at every encounter
• Figure 1.3: Loyalty graphically represented
• Figure 1.4: Increasing stakeholder value
• Figure 2.5: Consumers are confronted with too many choices
• Figure 2.6: Working hours stabilize, but "harriedness" grows
• Figure 2.7: Local brands grow in popularity
• Figure 2.8: Tremor' s Teen Panel
• Figure 2.9: Relative purchasing powering selected European states
• Figure 2.10: Growing income inequality in Europe
• Figure 2.11: What constitutes a premium product?
• Figure 2.12: Transparent offers most attractive
• Figure 2.13: Increasing share of private label
• Figure 2.14: In-store examples
• Figure 3.15: Most common obstacles to innovation
• Figure 3.16: Yoplait Essence Yogurt Drink and Purple Machine Superfood 100% Juice Smoothie from the Naked Juice Co.
• Figure 3.17: H2O Pia Flavor Infusion Naturally Flavored Water Beverage and Campbell' s Microwaveable Gravy
• Figure 3.18: Promoting the umbrella brand
• Figure 3.19: One model of brand leadership
• Figure 3.20: American Pie
• Figure 3.21: What makes it Fairtrade?
• Figure 3.22: Top European Fairtrade markets
• Figure 3.23: Ethical luxury
• Figure 3.24: Example kids branded website with game
• Figure 3.25: Tactics employed on kids' websites
• Figure 3.26: Creating a buzz
• Figure 3.27: A flood of groceries through Amazon
• Figure 4.28: The five phase Tremor Process
• Figure 4.29: Amplifying the message
• Figure 4.30: Connect & Develop successes
• Figure 4.31: Beinggirl.com (UK)
• Figure 4.32: Lesfilles.com (France)
• Figure 4.33: Mr. Clean Bathroom Explorer
• Figure 4.34: P&G' s Health Expressions
• Figure 4.35: Innocent Product Range in 2006
• Figure 4.36: The first Innocent ad
• Figure 4.37: Grass-covered vans (at Fruitstock)
• Figure 4.38: The Innocent blog
• Figure 4.39: Smoothies for kids
• Figure 4.40: Appealing to kids
• Figure 5.41: Level of consumer loyalty towards mainstream food and drinks brands now and in the next 5 years 150
• Figure 5.42: Loyalty of different consumer groups to mainstream food and drinks brands 151
• Figure 5.43: Increases in various factors and their impact on brand loyalty 152
• Figure 5.44: Changes in the level of loyalty towards different types of brands over the next 5 years 155
• Figure 5.45: Levels of consumer loyalty to brands in food and drinks categories 156
• Figure 5.46: Views on loyalty 157
• Figure 5.47: Respondents' definition of their marketing strategies towards their brands 158
• Figure 5.48: Strategies to promote consumer loyalty 159
• Figure 6.49: Duchy Originals trades on its heraldry 172
• Figure 6.50: Putting it together 173

List of Tables

• Table 1.1: Long-lived brands
• Table 1.2: Behavioral & attitudinal approaches assessed
• Table 2.3: Examples of evolving private label
• Table 2.4: The value of eating out in foodservice channels (profit sector), by country (US$ billions), 2004-2009
• Table 3.5: Shift in thinking
• Table 3.6: Number of annual in-home and out-of-home breakfast, lunch and dinner occasions, country (billions), 2003-2008
• Table 5.7: Most effective at retailing customer loyalty

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