Mining Operator Data - An Overview into CHD Expert

Data
Challenges
and How Big Data
Mining Helps
Foodservice
Players Grow
Ways data science helps you build a
highly targeted approach to identifying
potential unknown customers with a
high propensity to buy.

Introduction
Bad Data Leads to Bad Decisions
Segmentation Issues due to Bad Data
Lack of Transparency Leads to Lost Opportunities
Bid Data Mining for More Accurate Lead-Generation
How Big Data is Collected and Analyzed
Case Studies
What Sets CHD Expert Apart
Solutions Toolbox : CHD Expert Bespoke Lead-Gen Lab
Contact Us
Table of
Contents

INTRODUCTION
It’s no longer good enough to do a spray-and-spray approach
for campaigns or prospecting to marketing and sales growth. It
results in wasted ad spend and wasted time spent prospecting.
To increase your ROI on your sales and marketing activities, you
need to target the right lead at the right time on the right channel.
In this guide, we’ll show you how data science is used to build a
highly targeted approach to identifying potential customers with
a high propensity to buy.
Right Operator ?
Right Channel ?
Right Offer ?
Right Time ?
Right Contact Info ?
Page 1 - Reproduction interdite – CHD Expert 2018 Tous droits réservés

CHAPTER 1
Bad Data

Challenges:
Bad Data
Bad or Dirty Data refers to information
that can be erroneous, misleading, and
without general formatting.
Unfortunately, no industry, organiza-
tion, or department is immune to it. If not
acknowledged and fixed early on, bad
data can cause serious coercions.
Dirty or bad data can disrupt the entire
revenue flow of an organization, and
with a strong need to fill the funnel,
bad data is seeping into our marketing
& CRM systems.
RESULTS: DATABASE HEALTH CHECK-UP
Expired Records Duplicates Non-Standardized Incomplete Addresses
54% 19%54%4%3%
Coverage Rate
When we returned the results, the company was shocked to see their data
didn’t even cover half of the available outlets.
Market Share 45%

Bad Data Consists of the Following:
Data is Not Uniform
Data coming from multiple sources is in multiple formats.
This makes it impossible for companies to create a clear
view of the full market census.
Data is Inaccurate
It is possible that a data value can be correct, but not accu-
rate. At times, it is practical to examine against other files or
fields to find out if the data value is accurate based on the
context it is used.
Data is in Many Locations
Information exists in multiple locations creating siloes ma-
king it hard to turn the raw, unstructured data into struc-
tured data that can be easily segmented. When data is not
segmented, companies waste money on poor decisions.
Data is Incomplete
The best way to gauge your
prospect potential in a certain
market is to make sure you have
a complete, up-to-date picture
of the industry.
Data incompleteness is particu-
larly alarming because it essen-
tially stalls marketing operations
by preventing marketers from
extending their contacts base and
building the proper image of the
customer.
Data is Outdated
With restaurants opening and closing every 7 minutes, it’s
nearly impossible to keep your data updated. Outdated data
includes closed businesses, address changes, etc.
Did you know ? In less than 1 year, 20% of your CRM can be obsolete. It is essential to mo-
nitor and keep track of openings and closings within your scope of work.

Too Much Data to Handle
The more data available for prospecting, the better. The problem
today is, there is too much data out there for any one sales team to
handle. Salespeople today are wasting time on prospecting instead
of generating revenue.
Takes Sophisticated Tech
Once the raw data is cleaned, matched and de-duplicated, data
science can be applied to generate actionable insights. This usually
takes the form of estimating propensity (likelihood) of buying and
purchase quantity of a given product for a specific operator based
upon relevant attributes.
DATA INFORMATION MEANING INSIGHT
Compare
Context
Connotation
Page 5 - Reproduction interdite –CHD Expert 2018 Tous droits réservés

CHAPTER 2
Inability to
Segment
Accurately

Segmentation
BENEFITS OF SEGMENTATION GLOBAL CLASSIFICATION
Segmentation allows foodservice businesses to make better use of their marketing budgets.
Marketing efficiency – Breaking down a large customer base into more manageable
pieces, making it easier to identify your target audience and launch campaigns to the most re-
levant people, using the most relevant channel.
Determine new market opportunities – During the process of grouping your customers
into clusters, you may find that you have identified a new market segment, which could in turn
alter your marketing focus and strategy to fit.
EXAMPLE
Not being able to
segment your pros-
pects makes it difficult
to differentiate in the
same SIC code.
SIC Codes Aren’t Enough
Standard Industrial Classification (SIC) codes are often used to get
an indication of the size of a particular market. They are easily ac-
cessible and standardized across most Western countries, e.g. UK,
Europe, and the USA. However, somehave argued that SIC codes
contain categories which are too broad to be useful.
Commercial Operators
Targeting commercial foodservice operations is incumbent upon updated information, and
with operations closing every 7 minutes, it’s nearly impossible for one organization to maintain
an updated database.
Through market segmentation, you can get more specific about your target market. This way
you can make sure your marketing budget is spent on on a smaller, but smarter, group who will
be most likely to buy.
TIP
One uniform Global Foodservice Classification system is the first step to classifying the data for
segmentation. (see pages 6-8)

CHAPTER 3
No
Transparency

Lack of Transparency
Foodservice’s complex industry structure has made the exchange of data limited.When F&B
Manufacturers are directly selling to retailers, they need to rely on good data to visualize mar-
ket trends, shopper profiles, market share and penetration rates. In growing in the Away-From-
Home market, manufacturers run into a few stumbling blocks due to lack of transparency in
consumer data. Unfortunately, the block between foodservice players limits our ability for per-
forming data-driven strategies.
Lack of transparency is changing with the emergence of 3rd-party data sources. These sources
have brought about the potential of moving foodservice closer to a fact-based, data-driven
industry.
BLOCK
Opportunities Lost via Lack of Transparency
BLOCK

CHAPTER 4
Mining Big
Data for New
Insights
Increase Transparency through Analyzation of Third-Party Big Data
Sources,
Big data-driven analytics supports food industry businesses with critical
decision-making capabilities in the areas of pricing, product promotion,
product development, and demand forecasting.

Increased operator-level
data sources are unlocking
new ways for players to
make smarter decisions.

The Foundation for
Big Data Analyzation
Operator Census Data:
Before you can really benefit from analyzing data, it is necessary to have a database with
expanded attributes in which data science can be applied, The more data attributes, the
more insights you can pull through data science by layering the different fields.
These databases continue to be refined to more accurately cover the high-turnover uni-
verse of operator locations and to add new fields that provide greater breadth and depth of
operator understanding, from front-of-house to back-of-house best practices.
(See all of our attributes for each segment on pages 5 - 8.)
CHD Expert Census
Our operator data is filled with tons of different segments, so you can easily filter by
attribute.
Global coverage Most accurate
& up-to-date
Most segmented
& qualified7.5M outlets
in 50 countries
+1,000 sources
aggregated
+100 attributes
enrichment
Commercial
Foodservice
Retail Non Commercial
Foodservice KeyFIND
Full service
Restaurants
Limited service
Restaurants
Hotels & Lodging
Catering
Bars & Taverns
Travail & Leisure
Conveniences
Stores
Gas Stations
Grocery / Proxi
Retail Bakery
Business &
Industry
Healthcare
Education
Social Based
Leisure
Others (prisons,
military…)
Key Accounts
Headquarters
of Restaurant
Chains
Hotel Chains
Management
Frims
GPOs

CHAPTER 5
How Big Data is
Collected and
Analyzed

How Big Data is Collected
and Analyzed
Powerful Data Mining
Through awesome third-party partnerships, we are able to analyze operator-related
big data sets to help you make better planning decisions
Procurement
Invoices
SOURCE1
Consumer
behavior
SOURCE2
Loyalty
program
SOURCE3
Raw,
unstructured
Data
Combinedwith
OperatorCensus
DataScienceto
PullInsights
Execution
POS
SOURCE4
External
Facts
SOURCE5
Social
Networks
SOURCE6
Gather
Sort
Cleanse
Assign Operator IDs
Machine Learning
Predictive Analytics
Artificial Intelligence
Lead Generation

1. Mobile:
Consumer
Behavior Based
on Geography
It’s important to know the best operators
to target based on their client base, and
now you can do it by leveraging consumer
mobile behavior, such as location tracking
and behavior interests (based on the other
apps installed) to know the best places to
prospect. This is done via analyzation of
consumer behavior flows through powerful
SDK integrations.
Through exclusive third-party partnerships,
it is possible to analyze consumer dining
behaviors, such as when and where
clusters will be in a specific location
during specific times.
EXAMPLE: Site SelectionA well-known food manufacturer came to us
to identify a location with a high density of “best guests,” but one that
is far enough away from existing stores to avoid cannibalization. Using
demographic information with geo-targeting, we helped this company
avoid the costly mistake of a wrong site selection.

2. Social Networks
Semantic Analytics
Using techniques such as naturallanguage processing, data analysis tools go through
the text and categorize it into positive, negative or neutral. This technique of big data
analysis can be used by food companies to analyze customer emotions on a scale.
There are many benefits including learning what consumers really want, updating
recipes based on consumer sentiment, locating popular operators and understan-
ding why, receiving new opportunities for growth, and targeting operators based on
their own clients’ needs
EXAMPLE: Lead Prospecting
A well-known coffee manufacturer wanted to find new locations to put their
coffee in, so we helped them uncover the places most in need of a new cof-
fee manufacturer based on what consumers were saying about the coffee at
different retail locations.

3. POS
Operator-level Big Data Sources
Front of House
A slew of insights can be gleaned from analyzing POS data. You can visualize and
compare things including:
How the market is performing on different periods?
Where does the performance come from?
What was the impact during one of the Fact days (External Factors)?
How a certain segment is per-
forming at lunch in a specific
location?
What are the trends in F&B
consumption ?
How did beer consumption
evolve compared to wine
consumption last month ?
What is my brand’s incidence
rate? (example below)
How does consumption levels
of one brand compare to the
consumption levels of its com-
petitor, for example Evian
consumption compared to Dasani ?
What food pairings are most common? What are the top drinks consumed with a burger, for example ?
What is the price of a certain beverage across different market segments ? (example below)
Incidence Rate
Price Analysis

Distributors can leverage invoice data for several
things including true spend analytics thru ratios
dedicated to specific market segments in order
to compare annual revenue to purchase product
potential. Another big advantage is in defining
your top buyer profile.
Operator-level Big Data Sources
Back of House
4. Procurement Invoices
Suppliers are benefitting by answering ques-
tions such as the following:
How do I identify my top buyer profile?
What is the ratio of products purchased?
EXAMPLE: Identifying Top Buyer Profiles
Recently, we were able to help one distribution company identify the best
segments to target by analyzing thousands of procurement invoices. With the
analysis, this company was able to close more opportunities by focusing their
resources on the specific buyer profile.
Data Extraction
Thousands of anonymous
Procurement Invoices from Operators
Layered with Operator Database
Pull Insights
Your Top Buyer Profiles
The ratio of products purchased.

5. External Factors
EXAMPLE: Demand Forecasting
Monitoring weather, games, holidays, festivals, concerts, and other events al-
lows you to measure those factors against consumption rates.
Over and underestimating demand both result in unneces-
sary costs being incurred which can be extremely detri-
mental to businesses’ bottom lines.
With guidance of the deep-learning frameworks, compa-
nies can predict how much stock they should have in pre-
paration for Black Friday or the World Cup.
Since the industry is easily influenced by seasons and pro-
motions, it is important to consider the specific time of year
or type of activity because they have a huge impact on
sales and demand.
Companies are also able to tap into most demanded pro-
ducts as well as right consumer segment and work to im-
prove the less popular goods and less engaged customers.

CHAPTER 6
Case
Studies

HOW ONE FRENCH COMPANY
INCREASED ITS GLOBAL
MARKET SHARE THROUGHT
DATA-DRIVEN DECISIONS
GOAL CHALLENGE METHODOLOGY OUTCOME
Identify the best
international markets
to enter.
Understanding the
global demand and
landscape for Foie Gras.
Full Analysis on six
markets to find the one
with the most potential
for success.
Identify the best
international markets
to enter.
BACKGROUND
A highly popular foie gras food manufacturing company in France came to us wanting to know the demand for their
product in six international markets. Once we were able to narrow down the best two markets to enter, we were
able to deliver custom marketing messages based on cultural traits in different locations.
ABOUT THE COMPANY
The company draws on a long history of expertise.
In fact, it has deep roots in fattened duck. The brand
is renowned among chefs thanks to its 100% French
integrated production units which enable it to offer
the finest products to restaurants in France and the
rest of the world.
MARKET SCENARIO
The world production of Foie Gras is evaluated at close to
26,000 tones in 2015, for a value exceeding 2 billion euros
(source FranceAgriMerCifog). With 19 200 tones of mer-
chandise, French production represents nearly three quar-
ters of the world production and the Foie gras producers
can penetrate new market.
MARKET RESEARCH: OPTIONS
DELIVERABLES
Research on product demand globally.
New product launch roadmap and activities Based on the market feedback, developed key marketing messages and dependencies.
Developed the overall marketing approach, tools and timing the Go-To-Market Program you‟ll need, in terms of marketing and sales
activities.
Our Market Research capabilities are powerful tools for exploring and identifying the fastest-growing, most pene-
trable market for your product.
Collected secondary research to understand the key trends in the food and drink industry.
Performed primary research to understand the key buying behaviors of the target market for a new ingredient product.
What is the number of units in the new location?
What is your breakdown by channels?
What the average usage per month is; and to define
the size of the price?
Who are your competitors, and how large are they?
What are the required standards, testing, and certifi-
cations?
Do your products (or their labeling or packaging) need
to be modified for one or more markets?
Is your price point appealing within the market? If not,
what can you do to make it more appealing?
What distribution channels are available? Who the
main distributors are in order to fix the Road to Market.

HOW WE HELPED THIS FORTUNE
500 COMPANY LEARN IT WAS
MISSING 55% OF THE
SWEDISH MARKET
Find White Space
Opportunities.
No Way of Knowing if
Their Data is Complete
Database Cleansing,
Market Coverage
Analysis
High Potential Leads
Delivered
BACKGROUND
This beverage manufacturer wanted to evaluate its current market penetration in Sweden to identify new growth
opportunities. When we spoke in March, the company was certain its data was nearly perfect. After all, this Fortune
500 company has access to the latest, most-advanced industry tools. So, we asked for a sample of their data, to
show them the difference between working with a general data partner compared to us, who is laser-focused on
HORECA. And the results were impressive.
MARKET CONDITIONS
Sales of soft drinks declined in 2017 despite the country’s growing population. This can be attributed to falling de-
mand in the largest carbonates category as consumers are opting more for sugar-free and healthier options.
MARKET OUTLOOK
Because of changing demographics and purchasing behaviors, the growth of soft drinks is not expected to keep up with population
growth in Sweden. It’s important that beverage manufacturers capitalize on key consumer insights to identify growing trends. In this
location, that means introducing healthier options.
OBJECTIVES RESULTS: DATABASE HEALTH CHECK-UP
Cleanse and segment
its existing database.
Understand its penetration
in the HORECA
market in Sweden.
Identify
new opportunities.
Expired Records Duplicates Non-Standardized Incomplete Addresses
19%54%4%3%
Coverage Rate
When we returned the results, the company was
shocked to see their data didn’t even cover half
of the available outlets.
Market Share 45%

HOW THIS BEVERAGE
MANUFACTURER IMPROVED
ITS MARKET PENETRATION
RATE IN GERMANY
Target the beverage
sector in Germany.
Understanding what
flavors are purchased
and what is missing.
Consumer research
survey of 1,045 outlets.
There is room for a
premium brand focusing
on taste and practicality.
BACKGROUND
A popular beverage manufacturer came to us to investigate its potential of success entering the German market.
They wanted to know the landscape of the current beverage consumption in Germany and to know about the com-
petitors out there in order to position its branding and pricing.
ABOUT THE COMPANY
With almost 50 years of history, the company has become not just a favorite brand that people enjoy at home. It is
also one of those served most frequently in restaurants and bars. The company is one of the leading producers of
fruit beverages in Europe.
MARKET SCENARIO
Total volume sales of alcoholic drinks in Germany are predicted to decline over the forecast period, with growth
constrained by maturity and rising consumer health-consciousness. However, bright spots remain, including the
expansion of craft-orientated products in both beer and spirits, which will form part of a broader premium trend.
METHODOLOGY: MARKET SURVEYS & RESEARCH
A total sample of 1,045 outlets were chosen at random for an 8-10 minute phone interview from our comprehensive
German database.
Measure the
penetration rate
of syrup in beverage
preparations.
Measure brand
positioning and
penetration.
Measure usage
inside different
categories of outlets.

HOW ONE FITNESS EQUIPMENT
MANUFACTURER BROKE INTO
THE CHINESE MARKET VIA
DATA-DRIVER DECISIONS
To understand the
Chinese market’s need
for its product.
Finding, contacting and
setting up meetings
with qualified clients: all
4- and- 5- star hotels
with fitness centers who
A telemarketing survey
of 3,000 4- and- 5-star
hotels was conducted
to find places that were
interested to learn
A total of 796 hot leads
delivered.
ABOUT THE COMPANY
The company, headquarted in Cesena, Italy, is a world leader in the design of fitness equipment for private homes,
fitness clubs, hotels, spas, rehabilitation centers, corporate gyms, universities, professional sports facilities and
beyond.
The company has 3 divisions:
Clubs and Gyms, HCP (Health, Corporate, Public) and Hospitality & Residences, positioned in the upper segments
of the hospitality market. It operates in the rest of the world through 16 branches, 11 stores and showrooms and a
global network of 70 exclusive distributors and it has about 2000 employees.
OPERATING ENVIRONMENT
In 2015, the company saw a profit of EUR 37.1 million and depreciation and amortization expenses of 15.5 million
yielding an operating cost of EUR 15.9 million. Economic recovery was uneven during 2015.
MARKET SCENARIO
Global business in the fitness equipment manufacturing market totaled around Euro 7.4 billion at the end of 2015,
representing a 3% increase on the previous year, according to an Allied Market Research 2015 Report).
The business in which the Group operates is concentrated in the hands of a few significant market operators, with
roughly 40% of total business, including both B2B and B2C, being controlled by the top 7 companies.
OBJECTIVES
Find all the 4 and 5 star
hotels in China with
fitness centers.
SOLUTIONS
Identifiy
Set up opportunities
with potential leads.
Connect
Create new sales strategies
and marketing campaigns
based on the new market’s
Create
Predict the pricing model
needed for immediate
success.
Plan
Find all the 4 and 5 star
hotels in China with
fitness centers.
Database Management
If the company closes deals with
2% of the leads (796/100*2=15) at
an average amount of €10K, the
company will gain €150 000.
A phone-qualification survey was
conducted on the entire database
of approximately 3,000 4- and-
5-star hotels.
Telemarketing Campaign

CHAPTER 7
What Sets
Us Apart
We are the only company to combine the world’s largest
foodservice commercial database with sophisticated
analytics to deliver a sales-and-marketing intelligence
solution packed with actionable insights.

Industry Leaders:
Global Foodservice Classification
Being a market leader in the provision of foodservice information, CHD Expert has developed
an unrivaled knowledge and understanding of the foodservice industry. This allows CHD Ex-
pert to create a Global Foodservice Classification (GFC) system segmenting the entire market
into relevant industry segments. The GFC is used as an international standard by the profes-
sionals of the foodservice industry.
This classification allows CHD Expert to manage data with the highest level of accuracy and
provide our clients with a reference table that encapsulates the entire foodservice industry.
The GFC codes are linked to a Foodservice Menu classification which provides a detailed un-
derstanding of each Foodservice Operator.
The Global Foodservice Classification operates in all countries where CHD is active. Allowing
the comparison of Operators who are classified in the same segments on a country by country
basis.
The first 4 characters are numerical. Each country can then use 2 supplementary codes to
describe individual segments.
The complete code will therefore consist of :
The first 4 figures of CHD’s GFC as described above
A 2-character country code, using the international internet codes (fr, de, uk, nl, it, … )
2 figures for each individual sub-segment (e.g pasticceria, paninoteca, imbiss, …)
This method therefore makes it possible for each country to personalize the specific charac-
teristics of each market segment whilst retaining a global profile and overview of the entire
foodservice market.
Examples :
2310-IT-01 Paninoteca
2310-DE-01 Imbiss
2310-FR-01 Sandwicherie à la française
2310-DK-01 Polsevogne
This method therefore makes it possible for each country to personalize the specific charac-
teristics of each market segment whilst retaining a global profile and overview of the entire
Foodservice market.

ROI for One Easy2FIND License
We have helped companies save thousands by elimina-
ting wasted opportunities and poor prospecting practices.
Results our
clients witnessed
Increase in Relevant
Leads by 20%
Decrease in Marketing
Costs by 7%
Increase in Sales ROI
by 13%
Decrease in Prospecting
Costs by 10%
Increase in Conversion
Rate by 25%
How We Help You Save
PRODUCTIVITY
We provide your sales team with high quality records and
leads, so that they can spend more time generating reve-
nue and less time on prospecting and missed opportuni-
ties.
MISSED OPPORTUNITIES
We specialize in identifying opportunities you simply don’t
have the time or resources to find yourself. We are experts
in prospecting in all the hard-to-find places.
The cost of missing out on a sales trigger that leads to a
new business meeting is significant.

Make sure you’re
set up for data-driven
decision-making!
We provide complete access to disparate informa-
tion sources and systems. We enable foodservice
companies to quickly harness the value of big data
by utilizing strong analytics.
Contact us for a free consultation to see how one
of our bespoke solutions will help save you.
AMERICAS
CHD Expert
130 S. Jefferson Street
Suite 250 Chicago, IL 60661
1-888-CHD-0154
EMEA
CHD Expert
15 Rue Claude Tillier,
75012 Paris
+33 1 73 73 42 00
www.chd-expert.com

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