Beefy Burts

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Case for Beefy Burt's about the horse meat scandal

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Beefy Burts

  1. 1. BEEFY BURT’SCASE HORSE MEAT SCANDALJaakko Savolainen
  2. 2. BACKGROUND STORYOn the 16th of January 2013 a story broke out in UK that horse DNA was foundin a frozen beef burger productSince then horse meat has been found from several food products e.g. readymeals, meat balls and burger patties labelled as containing only beef
  3. 3. BACKGROUND STORYOn the 16th of January 2013 a story broke out in UK that horse DNA was foundin a frozen beef burger productSince then horse meat has been found from several food products e.g. readymeals, meat balls and burger patties labelled as containing only beefAs a result of of these news the customers vanished resulting in a loss ofalmost 1/2 of the frozen burger market and over 1/3 of the frozen beef market
  4. 4. SEVERE THREAT TO THE FUTUREOF BEEFY BURT’S BUSINESS
  5. 5. MARKET SITUATION
  6. 6. MARKET SITUATION£ 8,1 M£ 6,1 M05102012 2013£ MCumulative frozen beef categorysales (weeks 1-12)
  7. 7. £ 8,1 M£ 6,1 M05102012 2013£ MCumulative frozen beef categorysales (weeks 1-12)- 24,1%MARKET SITUATION
  8. 8. £ 8,1 M£ 6,1 M05102012 2013£ MCumulative frozen beef categorysales (weeks 1-12)-40-30-20-1001 2 3 4 5 6 7 8 9 10 11 12%weekFrozen beef category salesyear-on-year % change (weeks 1-12)MARKET SITUATION
  9. 9. £ 8,1 M£ 6,1 M05102012 2013£ MCumulative frozen beef categorysales (weeks 1-12)-40-30-20-1001 2 3 4 5 6 7 8 9 10 11 12%weekFrozen beef category salesyear-on-year % change (weeks 1-12)-30%MARKET SITUATION
  10. 10. £13,7 M£ 9,4 M0510152012 2013£ MCumulative frozen burgercategory sales (weeks 1-12)MARKET SITUATION
  11. 11. £13,7 M£ 9,4 M0510152012 2013£ MCumulative frozen burgercategory sales (weeks 1-12)-31,2%MARKET SITUATION
  12. 12. -60-50-40-30-20-100101 2 3 4 5 6 7 8 9 10 11 12%weekFrozen burger category salesyear-on-year % change (weeks 1-12)£13,7 M£ 9,4 M0510152012 2013£ MCumulative frozen burgercategory sales (weeks 1-12)MARKET SITUATION
  13. 13. -60-50-40-30-20-100101 2 3 4 5 6 7 8 9 10 11 12%weekFrozen burger category salesyear-on-year % change (weeks 1-12)£13,7 M£ 9,4 M0510152012 2013£ MCumulative frozen burgercategory sales (weeks 1-12)-45%MARKET SITUATION
  14. 14. CONSUMER RESPONSE
  15. 15. 96 % of the consumers are aware of the horse meat scandal76 % have expressed concern over the topic66 % feel they have been misled by the labelingCONSUMER RESPONSE
  16. 16. 67 % are less willing to buy processed meat in the future36 % of the frozen burger consumers have stopped buying theproductThose who still consume the product, buy it less frequently andbuy less volumeCONSUMER RESPONSE
  17. 17. GAME IS NOT OVER YET
  18. 18. KEY INSIGHTS
  19. 19. KEY INSIGHTSLACK OF TRUST
  20. 20. CATEGORY PROBLEMLACK OF TRUSTKEY INSIGHTS
  21. 21. None of the retailers have been singled out as the culprit; allhave suffered a decrease in consumer trustAll retailers have suffered decreases in sales in certain foodcategoriesSurveys indicate that consumers’ attitudes toward the retailersare shifting to positiveKEY INSIGHTS
  22. 22. SUGGESTIONS FOR BEEFY BURT’S
  23. 23. KNOW• Complete supply chain and supplier audit• Review of HACCP planSUGGESTIONS FOR BEEFY BURT’S
  24. 24. KNOWSHOW• Complete supply chain and supplier audit• Review of HACCP plan• Communication strategy• Consumers• Retail accountsSUGGESTIONS FOR BEEFY BURT’S
  25. 25. KNOWSHOWGROW• Complete supply chain and supplier audit• Review of HACCP plan• Communication strategy• Consumers• Retail accounts• Product development• New product development• Packaging developmentSUGGESTIONS FOR BEEFY BURT’S
  26. 26. THERE ARE OPPORTUNITIES EVEN IN A CRISIS
  27. 27. Jaakko SavolainenThank you for your attention

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