Hormel Foods Corporation · NYSE:HRL
Hormel Foods — Investor Day (June 2017)
21 slides from Hormel Foods's investor day presentation, Jun 15, 2017
Slide 1: Deanna Brady
Deanna Brady 21 Years with Hormel Foods Group Vice President; President, Consumer Products Sales Hormel Foods Career History 2015: Group Vice President; President, CPS 2013: Group Vice President, Foodservice 2007: Vice President, Foodservice 2003: Regional Manager, Foodservice 1996: Territory Manage
Slide 2: Inspiring Growth In a Fluid Environment
Inspiring Growth In a Fluid Environment Deanna Brady Group Vice President; President, Consumer Products Sales (CPS)
Slide 3: CPS is the Retail Sales Arm for Hormel Foods
CPS is the Retail Sales Arm for Hormel Foods BRAND BRAND BRAND BRAND BRAND Internal Data
Slide 4: CPS is the Retail Sales Arm for Hormel Foods
CPS is the Retail Sales Arm for Hormel Foods RETAIL E-COMMERCE CLUB EMERGING COMPANIES
Slide 5: Our Organization Performs Numerous Functions
Our Organization Performs Numerous Functions CPS Net Sales $ Millions 2012 2013 2014 2015 2016 Internal Data
Slide 6: Our Actions are Being Recognized
Our Actions are Being Recognized CATEGORY CAPTAINS CATEGORY ADVISOR Deli – Prepared Foods Snacks and Spreads Ethnic Foods Protein Snacks “…But partnerships that have grown closer and more open through the sharing of insights have proved to be the most effective in driving sales, not just of a partic
Slide 7: Inspiring Growth in a Fluid Environment
Inspiring Growth in a Fluid Environment Retail Fragmentation Deflation Trade Productivity Deceleration in Shopper Shifts Price Wars Retail Grocery in Purchase
Slide 8: Inspiring Growth in a Fluid Environment
Inspiring Growth in a Fluid Environment • Thought Leadership • Assortment Productivity PEOPLE CULTURE INSIGHTS • Trade Collaboration
Slide 9: Thought Leadership
Thought Leadership Turning Shopper Behavior into Category Insights Voice of the Category Consumer Shopper Affinities Decision Trees $ Pricing Shelving Assortment
Slide 10: Thought Leadership
Thought Leadership Turning Shopper Behavior Into Category Growth THOUGHT LEADERSHIP JOURNEY Assortment Adjacency Segmentation Store Optimization Recommendation within Aisle Optimization
Slide 11: Thought Leadership
Thought Leadership Turning Shopper Behavior Into Reality 1 2 3 4 NATURAL CHOICE® Brand Sales CAGR +5% 2013 2016 Defining Shopper Defining the Consumer Optimizing Customer Behavior Decision Tree Shopability In Store Implementation *IRI MULO CY 2013-2016
Slide 12: Thought Leadership Is Driving Growth
Thought Leadership Is Driving Growth Canned Meats Nut Butters Mexican Foods Spreads category – Leading US Retailer Shopper Card Data IRI - L12 weeks 5/7/17 IRI – MULO L52 weeks 4/9/17 – L52 weeks 3/25/17
Slide 13: Assortment Productivity: More Important Now Than Ever
Assortment Productivity: More Important Now Than Ever COMPETITION FOR SHOPPER & OPERATIONAL FLAWS SHELF SPACE INDUSTRY SHIFTS Source: Nielsen Innovation Database 52 weeks ending 11/28/15, Food channel, 2014; Nielsen Breakthrough Innovation Report; FMI; Nielsen Scantrack: xAOC YTD 2015 through 9/26/1
Slide 14: The Premise of Assortment
The Premise of Assortment To Gain Insight & Drive Growth THE RIGHT PRODUCT STORE SHELF
Slide 15: This Work is Demonstrated By the Success of the Kroger Team
This Work is Demonstrated By the Success of the Kroger Team HORMEL FOODS Base Dollar Sales Base Volume Sales • Distribution +6% +5% • Innovation • Pricing • Merchandising 2013 2016 2013 2016 Source: IRI, 3 year data trends w/e 12/18/2016; Total Kroger
Slide 16: Trade Collaboration
Trade Collaboration The Old Way Doesn’t Work Anymore
Slide 17: Partnering with Retailers
Partnering with Retailers rm _ = | ie Br -
Slide 18: Trade Collaboration: Aligning with Kroger
Trade Collaboration Aligning with Kroger Bringing New Customers Into the Brand * * F17 Actual results pending, Q4FY 16 reported 8.1% lift
Slide 19: Trade Collaboration: Partnering with Retailers
Trade Collaboration Partnering with Retailers New Year’s Eve Party Planning Solutions * Internal Data
Slide 20: Inspiring Growth in a Fluid Environment
Inspiring Growth in a Fluid Environment • Thought Leadership • Assortment Productivity PEOPLE CULTURE INSIGHTS • Trade Collaboration
Slide 21: Inspiring Growth In a Fluid Environment
Inspiring Growth In a Fluid Environment Deanna Brady Group Vice President; President, Consumer Product Sales