2. The Store is Changing
How Emerging Technologies are
Redefining the Shopping Experience

3. HANS FREDERICKS VIC CLESCERI
SR. DIRECTOR, JOINT BUSINESS
VP, MOBILE BUSINESS PLANNING
DEVELOPMENT
hfredericks@comscore.com linkedin.com/in/vclesceri
BRIAN LECOUNT
DIRECTOR, INSIGHTS & PLANNING
@blecount
MANUEL ROSSO MATTHEW GASE
FOUNDER & CEO PRESIDENT & CEO
@manuelrosso @Matt_Gase

4. Today’s Agenda
• The World We Live In
• Opportunities for Marketers
– Food on the Table & Stubb’s Bar-B-Q
– ConAgra Foods & POSSIBLE
• Q&A
• Hands On

5. 3 TRENDS WE’RE WATCHING
1 Where’s the Store?
2 Life is a Game
3 The Package is the Key

6. 1 Where’s the Store?

7. 2 Life is a Game

8. 3 The Package is the Key

9. PARTICIPATION
IDEA
UNDERSTANDING HOW AND WHY
PEOPLE INTERACT WITH DIGITAL
ALLOWS US TO ENGAGE THEM WITH
CONTENT, STORIES & EXPERIENCES
THAT GIVE THEM A ROLE TO PLAY
WITH THE BRAND.

10. The World We Live In:
Mobile’s Impact on Shopping Behaviors
Hans Fredericks Vice President Mobile – hfredericks@comscore.com
October 2012

11. CONTINUING TIDAL SHIFT TO SMARTPHONES
• Total Smartphone audience increased by 42% year-on-year
• Your shoppers have smartphones – or will very soon!!
Growth of U.S. Smartphone U.S. Smartphone Penetration
Installed Base June 2012
180,000
160,000 Smartphone
140,000
47.4%
# Phone Owners (000)
120,000 Not
100,000 Smartphone
80,000 52.6% 110.9 million
60,000
40,000
+47%
20,000 Year on Year Growth
0
Product: comScore MobiLens, US
Data: Three month average ending June 2012

12. SMARTPHONES ARE CHANGING COMMERCE
E-commerce and Related Services Accessed By % of Smartphone Users
June 2012
Bank Accounts 38%
Online Retail 25%
Credit Cards 22%
Electronic Payments 21%
Deal-A-Day 16%
Shopping Guides 16%
0% 5% 10% 15% 20% 25% 30% 35% 40%
Product: comScore MobiLens, US
Data: Three month average ending June 2012

13. CONSUMERS SHOP – AND BUY ON-DEVICE
Shopping Activities with Smartphone
June 2012
Found store location 34%
Compared product prices 22%
Researched product features 21%
Found coupons or deals 21%
Made shopping lists 20%
Purchased goods or services 18%
Checked product availability 17%
0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0%
% Smartphone Audience
Product: comScore MobiLens
Data: Three month average ending June 2012

14. CONSUMERS BUY LOTS OF THINGS ON-DEVICE
Type of Goods or Services Purchased Using Smartphone
June 2012
Clothing or accessories 33%
Tickets 25%
19.7 million
Books (not ebooks) 22% U.S.
Smartphone
Daily deals or discount coupons 21% Shoppers
Consumer electronics / household appliances 20%
Meals for delivery or pickup 20%
Personal care / hygiene products 17%
Gift certificates 15%
Groceries 15%
Sports/Fitness equipment 12%
0% 10% 20% 30% 40% Product: comScore MobiLens, US
% Purchased Goods or Services with Smartphone Data: Three month average ending June 2012

15. MOBILE SHARE OF E-COMMERCE GROWING
Percentage of Total e-Commerce Dollars Spent via Mobile or Tablet Device
Spike in percentage of 9% 9%
e-commerce sales via mobile
coincides with surge in tablet
8% 8%
ownership
6% 6%
3% 3%
2%
Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
2010 2010 2010 2011 2011 2011 2011 2012 2012 Source: comScore Mobile Measurements

16. VARYING USE OF WEB/APPS AMONG RETAILERS
Top Smartphone Retail Properties,
% Share of Time Spent by Access Method
June 2012
Amazon
Wal-Mart
Netflix
Target
Best Buy
Redbox Web
Ticketmaster App
Blockbuster
Home Depot
shopkick
Walgreens
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Product: comScore Mobile Metrix 2.0, US
Data: June 2012

17. MOBILE DISRUPTING BRICK AND MORTAR
Penetration of Activities Performed on Phone While in Retail Store
June 2012
Took Picture of Product 21%
Texted or Called Friends/Family about Product 18%
Scanned a Product Barcode 17%
Sent Picture of Product to Friends/Family 17%
Compared Product Prices 11%
Found Store Location 10%
Found Coupons or Deals 9%
Researched Product Features 7%
Checked Product Availability 5%
Product: comScore MobiLens, US
Data: Three month average ending June 2012

18. SURGE IN QR CODES LAST HOLIDAY SEASON
 Almost 21 million U.S. Smartphone owners scan a QR Code at least once per month –
up 28% since Sep 2011
 19% or nearly 1 in 5 smartphone owners currently scan QR codes each month
 48% scanned a QR Code while in a Retail Store
QR Code Users (M) Among Smartphone Users
June 2012
25.0
20.0
19.9 19.8 20.9
15.0
16.3
10.0
5.0
0.0
Sep 2011 Dec 2011 Mar 2012 Jun 2012
Product: comScore MobiLens, US
Data: Three month average ending June 2012

19. MOBILE BRIDGES PHYSICAL/DIGITAL CHANNELS
Top Sources of QR Codes Scanned by Smartphone Owners
60% June 2012
50% 46% 44%
40%
30% 26% 25%
20%
10%
0%
Printed Magazine or Product Packaging Poster or Flyer or Website on PC
Newspaper Kiosk
Mobile
provides link
to Newsprint Retail Outdoor Digital
Source: comScore MobiLens
Data: Three month average ending June 2012, US

20. OPPORTUNITIES FOR PUSH AND CHECK-IN
Have you used a retail app to alert you about coupons/deals based on your
location (push notifications)?
Among Mobile Shoppers
Yes, I would
like to be
No No, I would
Yes alerted
60% not be
40% 46%
interested
54%
Check in services or sharing location for a reward/discount/deal at the store
Among Mobile Shoppers
Yes, I would
share my
Yes, I use No, I do not 55% location for a
Check-in use check-in discount
Services services
38% 62% 45% No, I would
not share my
location
Source: Custom Mobile Retail Advisor Survey April 2012
Source: Custom Mobile Retail Advisor Survey April 2012

21. CASE STUDY
Proprietary and Confidential 21

22. Technology increasingly influences offline purchases
of purchases are “Web2Local”
80% determined before a
customer leaves the
home
• Web–influenced offline commerce
is a more attractive segment than
e-commerce
• Success will be in ability to prove
attribution
• $700 Billion opportunity
Mobile Influence in Food/Beverage Bringing Content to Context
Smartphone Mobile Projected
shopping Frequency of influence influence
adoption use by store factor (2012) factor (2012)
35% 58.2% 5.7% 18.7% - 23.0%
Proprietary and Confidential 22

23. Stubb’s is a “Craft” brand competing
against “Kraft”-size companies
• Stubb’s is the #1 premium, all natural BBQ
sauce and marinade brand
– #6 BBQ sauce and #3 Marinade
– Surrounded by large CPG brands
• Stubb’s is available on shelf at leading
retailers nationwide (86% ACV)
• Stubb’s consumer is higher income (HHI +
$75K), educated, with families. Also lead an
active and healthy lifestyle.
• Stubb’s consumer is highly loyal - ranked 2nd
in category
• Stubb’s brand awareness is low compared to
big brand
23

24. Stubb’s Opportunity
Opportunities Can We Use Find the
• Increase trial and Technology? Right Partner
brand awareness • Live in a forward • Collaboration
• Highlight looking city • Constant Iteration
differentiators • Every mom has a
• Test market new smartphone
product ideas
24

25. FOTT is the most comprehensive meal planning app
• Helps Mom through the entire
cooking process
– New recipe discovery
– User’s existing recipes
– Local store savings
– Discover personalized recipes
– Create meal plan
– Build shopping list

26. How FOTT does it
• Own the entire meal planning funnel
• Can place shopper marketing content so it doesn’t feel like advertising
What should I make? What’s on sale?
We are out of…
Where’s my list?
Planning
Shopping What can I make with this?
Is this good or me?
Where do I find…?
I want the one on sale…
Proprietary and Confidential 26

27. Case Study: Campaign Elements
Recipe Sponsored Recipe Branding and Promotion
Preference Category on Grocery List
27

28. Case Study: Grew market for barbecue sauce recipes
Details Results
• Campaign targeted a • 260% increase in number
statistically significant of users adding BBQ sauce
number of mobile users recipes to their meal plans
across 2006 stores in 8 • 25% increase in the
grocery chains from 7/3/12 number of BBQ sauce
– 7/23/12 recipes added per user
Increase in
335% BBQ Sauce
recipes added
(compared to non-promotional stores)
Proprietary and Confidential 28

29. Trial & Review: New, Seasonal Stubb’s Green
Chile Marinade
• Stubb’s is testing seasonal
product concept
• Used part of FOTT’s Consumer
Panel for Trial and Feedback
– Oversubscribed in an hour
– 100% completion rate
– 7 day turnaround
• Feedback on Stubb’s Facebook
page and FOTT recipes
– 26 photos
– 19 Facebook posts
– 21 recipe/product reviews
29

30. What’s Next: The Evolution of Collaboration
Target by Target Retailer at the Panel Testing New
True Seasonality Store Level Concepts
January July
80º
BOS PHX BOS PHX
• Traditional retailers insist • NEW Stubb’s Spice Rubs • Stubb’s is creating new
promotions be a specific are only available in select seasonal products as well as
time, implying the same stores at certain retailers other new products
seasonality for every region • Promote Rubs only to • Use Food on the Table’s
• Extend promotional calendar consumers at that store consumer panel to test new
by target consumers based on products before they’ve even
true seasonality hit the bottle

31. CASE STUDY
Proprietary and Confidential 31

32. Technology is Reshaping…
• Consumer wants, needs, expectations
• Shopping behaviors
• The retail experience
• How brands plan and execute shopper
marketing initiatives

33. CPG Brands are Accustomed to
Planning Across the Path to Purchase

34. Digital Path to Purchase
and the Mobile Mediator
Contextually-
Need/Desir
Options Relevant
e
Choice
Select & Navigate
Buy
Validate ‘Store’
Brand Capture Share /
Experience Experience Advocate

35. Identification of growth opportunities emerge
from the intersection of 4 “lenses”
What are the What are
retailer’s strategic Retailer ConAgra’s strategic
priorities and priorities and
growth drivers? growth drivers?
What is most What segments
important to are growing
Shopper Category
the shopper or (Products, Price
consumer? Tiers)? What gaps
exist?
35

36. Frozen Activation Opportunities / Strategic Levers
• Perception of • Perception of
higher prices complex, time-
consuming aisles
• Perception of • Low conversion
less variety between Frozen &
GM
• Focus on GM
during Season
36

37. EXPANDING THE MEANING OF
VALUE

38. Building value into the Marketing
Make Your List & Earn Points
Manage Points, Redeem & Track

39. DELIVERING ASSORTMENT WITH
DIGITAL

40. Expanding Consumer Views on Product Offerings

41. DRIVING SHOPABILITY WITH A
DIGITAL DESTINATION

44. DRIVING BRAND ENGAGEMENT IN
UNEXPECTED PLACES

45. DRIVING IMMEDIATE
ENGAGEMENT & GM CONVERSION

46. Use the 4 Lenses
Retailer Brand
Shopper Category

47. QUESTIONS?

48. LET’S GET OUR HANDS ON,
ON.