Consumer X

or the future

of consumption

The Portuguese Clipfish consumerKantar's point of view

Marta SantosClient Director, at Kantar Worldpanel

HH’S PANEL

It collects the purchases made in all type of

establishments (not only in Hypermarkets

and Supermarkets, Perfumeries, Fairs,

Catalog ... etc) destined to the HOMES

It allows to know constantly the response of

buyers to actions of PRICES, ADVERTISING,

TRADE ...

It allows to MAKE ANALYZES ON THE

MODERN DISTRIBUTION

MEASURES WHAT THE HH

PURCHASES

4.000Households

Sample

Scope:

Universe: Homes of Continental Portugal

Complete coverage of distribution channels for

consumer products

2017 Universe:

4.053.863 Household of Mainland of Portugal

All FMCG products are included: all categories

All household members enter the purchases they make

Purchases of products without a bar code are collected through a

Codebook

| 2

SHOPPER'S NEEDS CHANGE: MORE WELLBEING AND CONVENIENCE

HIGHLY ENGAGED WITH “PROMO” AND “PRICE”

“I SEARCH THE PRODUCTS IN PROMOTION "

89%-2,6ppvs 2014

Kantar Worldpanel Life Styles: % of Household’s that agree with the statement, 2017 vs 2014

“I DO NOT MIND PAYING MORE FOR QUALITY"

66%+10,4pp

vs 2014

“NOWADAYS I EAT LESS FATS"

78%+1,3ppvs 2014

MORE “HEALTHY”

“I AM WILLING TO PAY MORE FOR PRODUCTS THAT MAKE IT EASIER FOR ME TO

DO THE HOUSEWORK"

52 %+24,5pp

vs 2014

MORE “CONVENIENCE”

“I AM INFORMED ABOUT THE PRODUCTS IN TV ADS"

45%+15,6pp

vs 2014

MORE INFORMED

| 3

4

% YEAR ON YEARVALUE GROWTH

Global FMCG

Global GDP

2012 2013 2014 2015 2016 2017

FMCG DECOUPLEDFROM ECONOMIC GROWTH

GROWING PENETRATIONIS THE ONLY WAY TO WIN

5

0

2

4

6

8

10

12

0,0 5,0 10,0 15,0 20,0 25,0 30,0 35,0 40,0 45,0

Fre

qu

en

cy p

er

bu

yer

Penetration more variable than frequency

TOTAL CODFISH | % PENETRATION – ROLLING MAT

91,2

89,8 89,4

88,1 88,287,3

2012 2013 2014 2015 2016 2017

COD ATTRACTIVENESS IS INCREASINGLY DIFFICULT

LINK Q | CHRISTMAS PLANNING 2017

AND STILL IN THE HEART OF PORTUGUESE HABITS

9384

77 77 7564

CodFish Vegetables Bolo Rei Dry Fruits TraditionalPortugueseSweets

Pralines andChocolates

| 7

TRADITION IS STILL ALIVE

“I try to choose

traditional dishes“

54%

LESS TYPICAL DISHES

| 8

20%

% OCCASIONS SHARE

+7,5%

16,1%

+2,1%

4,4%

+12,9%

5,8%

-0,2%

5,2 %

+11,7%

4,1%

+19,1%

COLD / WITHOUT COOKING

BOILED

STEWED OVENFRIED

GRILLED

* FOOD : Fresh, Frozen and Salted and Sweet Groceries

CONSUMPTION | FOOD * | 2016 vs 2015

NOT ENOUGH TIME

LIFESTYLE 2017 | % POSITIVE ANSWERS

| 9

It seems like I

never have

spare time

2017 vs 2011

-2,4%

47,7%

I have

enough time

to cook

59,6%

2017 vs 2011

-7,7%In some products, I

prefer the speed and

ease of preparation

58,4%

2017 vs 2011

+15,4%

CONVENIENT SOLUTION : FROZEN COD

FROZEN COD vs DRIED COD| PER CAPITA CONSUMPTION | ROLLING MAT

DRIED COD FROZEN COD

6,696,85

6,93

6,676,60

6,326,16

6,24 6,30 6,23 6,16

5,98 6,055,93

MAT

T1

2014

MAT

T2

2014

MAT

T3

2014

MAT

T4

2014

MAT

T1

2015

MAT

T2

2015

MAT

T3

2015

MAT

T4

2015

MAT

T1

2016

MAT

T2

2016

MAT

T3

2016

MAT

T4

2016

MAT

T1

2017

MAT

T2

2017

Consumo per Capita

Linear (Consumo per Capita)

0,55 0,57 0,58 0,56

1,25 1,21 1,23 1,20 1,21 1,25 1,211,28 1,24 1,26

MAT

T1

2014

MAT

T2

2014

MAT

T3

2014

MAT

T4

2014

MAT

T1

2015

MAT

T2

2015

MAT

T3

2015

MAT

T4

2015

MAT

T1

2016

MAT

T2

2016

MAT

T3

2016

MAT

T4

2016

MAT

T1

2017

MAT

T2

2017

| 10

OCCASIONS EVOLUTION IN % - USAGE 2015 VS USAGE 2014

-26,1-18,0 -16,4 -15,3 -13,6 -13,3 -11,7 -8,1

10,6

-10,7 -13,5 -14,1 -15,5 -15,9 -18,0

Co

okin

g F

lou

r

+B

akin

g P

ow

de

r

Po

tato

es

Dry

Ve

ge

tab

les

Co

okin

g &

Oliv

e

Oils

Sa

uc

es

&

Se

aso

nin

gs

Ye

llow

Fa

ts

Ric

e

Pa

sta

Fre

sh &

In

du

stria

l

Bre

ad

Fis

h/S

ea

foo

d

Eg

gs

Fru

it

Ve

ge

tab

les

Me

at

Drie

d C

od

Carbohydrates

-15%

Proteins

-13%

COD THE MOST IMPACTED PROTEIN

| 11

12

INCONVENIENTCONCLUSIONS

INCREASE PENETRATIONIS THE ONLY WAY TO WIN

13

0

2

4

6

8

10

12

0,0 5,0 10,0 15,0 20,0 25,0 30,0 35,0 40,0 45,0

Fre

qu

en

cy p

er

bu

yer

Penetrationmore variable than frequency

Cmm meta database – 178 CMMs – 14 countries – 58 brands

PROMOTION IS ALL ABOUT THE SHORT TERM WHERE THEY BEAT ADVERTISING

drink food household personal

Other %

Digital %

TV %

Promotion %

BaseLine %

Drink Food Household Personal

15

2/3 OF PURCHASE PROPENSITY IS LOSTAT POINT OF PURCHASE

OF ADDITIONALSALES

+63%

16

TOO MANY SMALL INNOVATIONSDESPITE OPPORTUNITIES TO PREMIUMIZE

88.262 new SKUs measured across 5 countries.

356

285

199

3

Price

Volume

Trips

Buyers

Number of launches with

significant positive shopper

behavior change

Only 1% of new SKUs achieve

a penetration of at

least 1% in their first year

17

NOTHING OLDERTHAN AN IGNORANT YOUNG PERSON

% MARKETINGSPEND

% SHAREOCCASIONS

0100 000200 000300 000400 000500 000 0 100 000 200 000 300 000 400 000 500 000

Source : Pordata (INE Portugal) 22 January 2018

Portuguese Population by Gender (in thousands)

4 OUT OF 10 PORTUGUESE HAVE MORE THAN 50 y.o

85+

80-84

75-79

70-74

65-69

60-64

55-59

50-54

45-49

40-44

35-39

30-34

25-29

20-24

15-19

10-14

5-9

0-4

Man Woman

Portuguese Population Total(in

thousands)

4.882.456 5.427.117

10.309.573

428.244

490.004

524.168

558.165

538.556

551.919

614.838

731.253

811.722

758.984

756.882

714.805

653.393

606.795

510.244

426.680

347.305

285.616

85+

80-84

75-79

70-74

65-69

60-64

55-59

50-54

45-49

40-44

35-39

30-34

25-29

20-24

15-19

10-14

5-9

0-4

| 18

T h a n k s

www.kantarworldpanel.com/pt

twitter.com/KWP_Portugal

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The Portuguese Clipfish consumer

Kantar's point of view

Marta Santos

Client Director, at Kantar Worldpanel