The J.m. Smucker Company · NYSE:SJM
The J.m. Smucker — Investor Day (December 2024)
29 slides from The J.m. Smucker's investor day presentation, Dec 10, 2024
Slide 1: The J.M. Smucker Co. U.S. Retail Coffee
THE JM. SMUCKER Co U.S. RETAIL COE.
Slide 2: Rob Ferguson
ROB FERGUSON Senior Vice President and General Manager, Coffee and Procurement
Slide 3: U.S. Retail Coffee $2.7B
U.S. Retail $2.7B #1 COFFEE AT-HOME FY24 Net Sales COFFEE ACCRE TIVE MANUFACTURER MARGIN PROFILE 26% DOLLAR SHARE 3 OF TOP 7 COFFEE BRANDS OF MARKET SOURCE: SMUCKER INTERNAL CIRCANA MULTI-OUTLET SHARE REPORT 52 WEEKS ENDED NOVEMBER 03, 2024.
Slide 4: Coffee is a Great & Resilient Category
COFFEE IS A GREAT & RESILIENT CATEGORY 3 out of 4 7 out of 10 Americans drink coffee, cups of coffee over the age of 18 are consumed at home SOURCE: QUARTERLY MARKET SIZING REPORTS VIA NCA. NCA SPRING 2024 REPORT.
Slide 5: Evolution of the Coffee Category
EVOLUTION OF THE COFFEE CATEGORY Traditional hot coffee still Consumers look for products New categories are making holds the dominant to adapt to their lifestyles coffee more accessible & market share through temperature state convenient & convenience SOURCE: SMUCKER INTERNAL CIRCANA MULTI-OUTLET S
Slide 6: Coffee Consumption is Starting at a Younger Age
COFFEE CONSUMPTION IS STARTING AT A YOUNGER AGE While younger consumers are DRIVING GROWTH IN COLD COFFEE trends, they are also highly likely to be HOT COFFEE CONSUMERS W E W I L L K E E P PA C E W I T H E V O LV I N G TRENDS WHERE OUR BRANDS CAN LEAD SOURCE: SMUCKER INTERNAL QUANTITATIVE SHOPPER RE
Slide 7: Long-Term Growth
We manage our coffee business for LONG-TERM GROWTH balancing growth and cost management +1-2% Net Sales Growth High 20% Segment Profit Margin
Slide 8: One of Our Fastest-Growing Brands
ONE OF OUR FA S T E S T - G RO W I N G B R A N D S 7 Coffee Category th Largest Brand in the Over #1 Latin Coffee $350MEstimated Net Sale in FY25 SOURCE: SMUCKER INTERNAL CIRCANA MULTI-OUTLET SHARE REPORT 52 WEEKS ENDED NOVEMBER 03, 2024.
Slide 9: Café Bustelo Was the Fastest-Growing Leading Brand in the Category
CAFÉ BUSTELO WAS THE FASTEST-GROWING ® LEADING BRAND IN THE CATEGORY LAST YEAR Consumer takeaway grew 22 GROWING 20% consecutive quarters in ALL SEGMENTS Latest 13-Weeks of dollar sales growth SOURCE: SMUCKER INTERNAL CIRCANA MULTI-OUTLET SHARE REPORT 13 AND 52 WEEKS ENDED NOVEMBER 03, 2024.
Slide 10: Next Phase of Growth
NEXT PHASE OF GROWTH Next Phase of Growth Current Momentum Regional Brand Top 4 Brand in R&G & Multi-Serve Deep Cultural Relevance Double-Digit Annual Highly-Loyal Consumer Base Net Sales Growth BROADEN NATIONAL APPEAL & LAUNCH INNOVATION
Slide 11: Fueling the momentum with new creative
Fueling the momentum with new creative
Slide 12: Video Commercial Playing in Room
Video Commercial Playing in Room
Slide 13: Our New Marketing Creative
OUR NEW MARKETING CREATIVE Aims to INCREASE BRAND AWARENESS & HOUSEHOLD PENETRATION Leverage our proven marketing model powered by a disciplined approach built on INSIGHTS & CULTURE
Slide 14: Expand Distribution
EXPAND DISTRIBUTION Visibility and accessibility of Café Bustelo ® coffee to consumers across the U.S. through geographic expansion in all formats GROWTH OPPORTUNITY
Slide 15: Pre-Pack
Innovation in Opportunity to disrupt PRE-PACK the pre-pack segment Made with Arabica coffee Begin shipping in Summer 2025 Margin accretive to the Café Bustelo® brand Also in K-Cup pod formats ®
Slide 16: Multi-Serve
MULTI-SERVE Original launch is exceeding expectations Multi-serve is a growing category Ambition for a single-serve RTD form SOURCE: SMUCKER INTERNAL CIRCANA MULTI-OUTLET SHARE REPORT 52 WEEKS ENDED NOVEMBER 03, 2024.
Slide 17: Continuing Growth
CONTINUING GROWTH Growing in all key demographics with more room to grow Aspiration to Become the Latin Coffee Authority Across All Formats in the U.S. SOURCE: SMUCKER INTERNAL CIRCANA MULTI-OUTLET SHARE REPORT 52 WEEKS ENDED NOVEMBER 03, 2024.
Slide 18: #3 Coffee Brand
#3 Coffee Brand Long-Term LO W - S I N G L E - D I G I T Annual Net Sales Growth SOURCE: SMUCKER INTERNAL CIRCANA MULTI-OUTLET SHARE REPORT 52 WEEKS ENDED NOVEMBER 03, 2024.
Slide 19: Dunkin' Brand Health is Positive
DUNKIN’ BRAND HEALTH IS POSITIVE ® Core Formats Seasonal & Cold Coffee Support Through National Innovation Focused on Evolving Media & Brand Building Consumer Preferences SOURCE: SMUCKER INTERNAL BRAND HEALTH TRACKER
Slide 20: Seasonal Coffee
SEASONAL COFFEE C AT E G O RY W I T H O P P O RT U N I T Y TO G RO W ~$350M Current Category Size 3 out of 4 Households Buy Coffee, but Only 11% of Households are Buying Seasonal Coffee SOURCE: SMUCKER INTERNAL CIRCANA MULTI-OUTLET SHARE REPORT 52 WEEKS ENDED NOVEMBER 03, 2024.
Slide 21: Strong Seasonal Coffee Momentum
STRONG SEASONAL COFFEE MOMENTUM #2 We are Launching NEW FLAVORS IN SEASONALS & FORMS CATEGORY for All the Seasons SOURCE: SMUCKER INTERNAL CIRCANA MULTI-OUTLET SHARE REPORT 52 WEEKS ENDED NOVEMBER 03, 2024.
Slide 22: Folgers
FOLGERS #1 At-Home Coffee Brand in Volume Share Anticipate Maintaining our Share Position Over the Long-Term SOURCE: SMUCKER INTERNAL MULTI-OUTLET SHARE REPORT 52 WEEKS ENDED JANUARY 29, 2023. SOURCE: SMUCKER INTERNAL CIRCANA MULTI-OUTLET SHARE REPORT 52 WEEKS ENDED NOVEMBER 03, 2024.
Slide 23: Nationwide Taste Test
NATIONWIDE TASTE TEST 60% Preferred Folgers® Black Silk C O M PA R E D TO 35% Chose Starbucks French Roast ® NOTE: NATIONWIDE TASTE TEST OF HOT BREWED GROUND COFFEE PURCHASED AT GROCERY.
Slide 24: Opportunity to Grow in K-Cup Pods
OPPORTUNITY TO GROW IN K-CUP PODS ® Win fair share in K-Cup® pods Folgers Classic Decaf launching in May 2025 ® Drive awareness and conversion through marketing
Slide 25: Cost Management
COST MANAGEMENT A key part of our strategy Leveraging our Exploring DEEP EXPERTISE COFFEE CHANNELS in to expand our green coffee COFFEE SOURCING sources & reduce costs & ROASTING where possible
Slide 26: We Are Uniquely Positioned with Our Leading Brands
WE ARE TAKING ACTION TO MEET THE NEEDS OF THE CONSUMER & FOCUS ON OUR LARGEST GROWTH OPPORTUNITIES WE ARE UNIQUELY POSITIONED WITH OUR LEADING BRANDS
Slide 27: The J.M. Smucker Co. Investor Day
THE JM. SMUCKER Co INVESTOR DAY
Slide 28: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation contains forward-looking statements, such as projected net sales, operating results, earnings, and cash flows that are subject to risks and uncertainties that could cause actual results to differ materially from future results expressed or implied by thos
Slide 29: Additional Information
ADDITIONAL INFORMATION The J.M. Smucker Co. is the owner of all trademarks referenced herein, ® except as set forth below and ® for Dunkin’ , which is a trademark of DD IP Holder LLC. The Dunkin’ brand is licensed to The J.M. Smucker Co. for packaged coffee products sold in retail channels such as g
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