Youngs Bluecrest is supportive of the MSC

™ About Young’s Bluecrest
™ Market Dynamics
™ The Consumer and Influences
™ Adding Value
™ Future Challenge
™ Summary
The Merger of
Young’s and Bluecrest in 1999 Created The UK’s
Largest Seafood Company
Joint venture between Legal & General and UB
UK Seafood Sector Leader…
YOUNG’S BLUECREST
£500M
ICELANDIC GROUP
£260M
BIRDS EYE
£ 90M
CUMBRIAN
£ 85M
SIF (UK)
£ 75M
PINNEYS (UNIQ)
£ 60M
One of the UK’s Fastest
Growing Grocery Brands
£M’S
200
180
181M
160
160M
140
149M
120
131.5
100
80
99M
60
40
20
0
Source: TNS
P2 2001
P2 2003
P2 2004
P2 2005
+82%
Norway - the largest supplier to Youngs
Bluecrest outside the UK
Norway accounted for 15% of Youngs Bluecrest purchases in 2004
However, Norway’s share has declined from 34% in 2000 as Fresh whitefish
has become an increasing part of YBSL fish purchases
Norwegian value share of YBSL Seafood purchases
35%
30%
25%
20%
15%
10%
5%
0%
2000
2001
2002
2003
2004
Youngs Bluecrest is supportive of the
MSC
™ Our Deputy Chief Executive sits on the MSC
™ Whilst sustainability is currently low on the
consumer agenda in the UK, YBSL wants to
support responsible fishing practises
™ We’ve tested the water but it has proven hard to
get consumers to adopt MSC products
A Huge and Growing Market
Chilled
+15%
+12%
+10%
+9%
186
712
105
799
2002
2003
2004
2005
Ex Mongers
Frozen
Chilled Prepacked
Chilled Loose Mongers
Chilled Loose Multiples
Frozen
+4%
TOTAL SEAFOOD
£1.8 billion
Source: TNS
+1%
+1%
2002
2003
+2%
2004
2005
The move towards Chilled is accelerating
but Frozen is still growing
1200
1000
800
600
400
200
0
1992
1993
1994
1995
1996
1997
1998
Frozen Seafood
Value £m Frozen & Chilled Seafood Purchases in GB
Source SFIA (TN Sofres)
1999
2000
Chilled Seafood
2001
2002
2003
2004
Fish is the fastest growing protein over the last
two years in consumption
2000
Total Fish inc Canned
Total Fish (Exc Can)
Poultry
Beef
Lamb/Mutton
Pork
1828
Number of Occasions (Millions)
1829
1481
1500
1055
1000
=
1555
+5.0%
1103
1002
+ 4.5%
494
- 3.4%
333
+4.1%
+ 2.9%
974
511.4
500
319.9
0
S/A 02
W/S 03
S/A 03
% changes SA 04 vs. SA 02
In Home
Source: TNS
W/S 04
S/A 04
Consumer Attitudes Are Positive
Retailers Have Got The Message
“
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ainsbury
pport S
op
Sainsb
… We’ve Got The
Key Opinion Formers
“Seafood is a truly magnificent food and vital
for a healthy diet”
Anthony Worrall Thompson
“Fish really is the food of the 21st century”
Delia Smith
“If everyone had two bits of fish a week we’d
be a lot healthier”
Jamie Oliver
“Thumbs Up” From Scientists
“I’d recommend a seafood diet
of all sorts – and lots of it”
Professor Michael Crawford
“Director of the Institute of Brain
Chemistry and human nutrition at
London Metropolitan University”
“Women ca
n halve the
ir risk
of having a
stroke by r
egularly
eating oily
fish, say re
searchers”
D a i l y Ma i l
od
ays seafo
s
y
d
u
t
s
“New
ce
May redu isk”
r’s r
Alzheime
… And We’ve Got
Government Backing
“…we should all try and eat at least
TWO PORTIONS OF FISH A WEEK
one of which should be oily”
Everything is in our favour
The ball is on the line…
…all we have to do is kick it in the net.
Not quite…..
Average Fish consumption is still only
just over once a week
•Most consumers are already aware that they should be eating fish more often
% of respondents
Think they should be eating Seafood
twice a week or more
Claim they eat Seafood
twice a week or more
71%
42%
Source: BMRB Omnibus
•But a significant percentage of them fail to do so…….WHY?
Consumer Barriers
The UK Seafood Market has grown by £345m over
four years of which £147m was Added Value
600
+£39m
500
+£184m
400
+£108m
300
200
+£7m
100
2001
Source: TNS
2002
2003
2004
2005
Chilled Pre-packed added value
Chilled Pre-packed Natural
Frozen Added Value
Frozen Natural
What’s Driving Chilled Added Value?
2 yr % growth
Honey roast Salmon flakes
Mousses, terrines, appetisers
Prawns and dips
What’s Driving Frozen Added Value?
Frozen Added Value
Meals Centres
Source: TNS
Battered Fish
Others
Brand Strategy
“I enjoy fish, but
it’s far too fussy to
prepare at home”
Brand Strategy
“I enjoy fish, but
it’s far too fussy to
prepare at home”
You don’t,
Young’s do
Brand Strategy
“I enjoy fish, but
it’s far too fussy to
prepare at home”
You don’t,
Young’s do
Future Challenge
™ Innovation comes with risk:
¾ Cost of development
¾ Store wastage
¾ High failure rates
Consumer Insight is essential
Summary
™ Remove the barriers
™ Add Value
™ Understand the Consumer