11

William G WalkerVice President

WGW Marketing

NEW PRODUCT DEVELOPMENT

3119

22

Product PrincipalsProduct Principals Sales – Wholesale & V/A RetailSales – Wholesale & V/A Retail Vendors, Clients & CustomersVendors, Clients & Customers Profit Centers & Cost CentersProfit Centers & Cost Centers Distribution ChannelsDistribution Channels Short Term Sales / Long Term MarketingShort Term Sales / Long Term Marketing Tracking ProcessTracking Process Office NecessitiesOffice Necessities Support & ResearchSupport & Research Product Design OutlineProduct Design Outline Cost Build UpCost Build Up Program RecapProgram Recap

Product Development Outline

33

Product – Product – (Fresh & Further Processed )(Fresh & Further Processed )

Growers, Processors Growers, Processors & V/A Further Processors& V/A Further Processors National & Regional Brand Comp ShopNational & Regional Brand Comp Shop Distribution ChannelsDistribution Channels BrokersBrokers Product Development Product Development & Marketing Companies& Marketing Companies Margin & Mark-Up Levels/ImpactMargin & Mark-Up Levels/Impact Access Leverage CustomersAccess Leverage Customers

Product Principals (vendors, clients and customers

44

WholesaleWholesale Ingredient Ingredient (Processors)(Processors) Re-Distribution Product Re-Distribution Product (Retail, Foodservice)(Retail, Foodservice)

Direct Distribution Direct Distribution (Processors, Foodservice)(Processors, Foodservice)

End-User Fresh & V/A Bulk Sales End-User Fresh & V/A Bulk Sales (Retail, Foodservice)(Retail, Foodservice)

RetailRetail BrandedBranded Private LabelPrivate Label

Sales Wholesale & Value-Added Retail

55

Vendors, Clients & CustomersVendors, Clients & Customers

VendorsVendors Further Processor (adds value)Further Processor (adds value) Multiple Vendors (flexibility)Multiple Vendors (flexibility) Multiple Capabilities (processing, packaging)Multiple Capabilities (processing, packaging)

ClientsClients Product Development CompaniesProduct Development Companies Marketing Companies & BrokersMarketing Companies & Brokers

CustomersCustomers ProcessorsProcessors FoodserviceFoodservice Retail BrandsRetail Brands

66

Profit Centers & Cost CentersProfit Centers & Cost Centers

Branded Item Sales • Retail Brand and SKUs (A/R)

Private Label Sales• Resell Capabilities & Items (A/R)

Branded & PL Commissions•Direct Sell Processor Capabilities (no A/R)

77

Distribution ChannelsDistribution Channels

Food Processors • Direct, Marketing Companies, Brokers

Mass Retail• Direct, In-House Brokers, Brokers

Foodservice• National Accounts, Leverage Operators, F/S Distributors, Brokers

Retail• Fancy Food, Catalog, Grocery, C-Store, Brokers

88

Short Term Sales Short Term Sales Long Term MarketingLong Term Marketing

Short Term Sales= Leverage Operators Each Market Channel

Long Term Marketing+ Processors= Eliminate Distributors Spec Products through R&D and Product Development Companies Leverage Operators / Customers Make Careful Choices for Long Relations Professional Follow-up Food Service= Leverage Operators Eliminate Distributor in Decision Making Retail= Eliminate Distributors Spec Products & Packaging with Buyers Value-Added Product Development Branded & Private Label

99

Tracking ProcessTracking Process

GOAL:ACTION:RESULT:NEXT STEP:

•Daily/Weekly Communication with vendors, clients and customers•Revise Tracking Process weekly

Prepare for the worst, expect the best! Deliver bad news first! Start early and work late! Be passionate about your products and your work! Be prepared to fail! Don’t quit until you succeed! Chance prefers the prepared mind!

1010

Office NecessitiesOffice Necessities

High Speed InternetPhone, Fax & CopierComputer & PrinterWeb SiteCell Phone Digital Camera

• Snap shot view of simple necessities

1111

Support & ResearchSupport & Research

National Industry AssociationsState Growers and Industry AssociationsWeb SearchFancy Food DirectoryState Economic Development CentersPrivate Label, Fancy Food & Foodservice Trade ShowsBusiness Referrals

1212

Product Design OutlineProduct Design Outline

Identify Product Item – select

Identify Flavor – test & select

Package – select

Brand – select

Prototype / Mock-up - create

1313

Cost Build UpCost Build Up

EVALUATE Component Cost & Minimums Standard & Variable Cost Forecast Breakeven Quantity Sell From Prototype Sell To Meet Production Minimums Adjust To Client Needs

1414

Program RecapProgram Recap

Select Product Research Production Sources & CompetitionResearch Industry AssociationsInterview PrincipalsAssess Viability in Market PlaceSelect Processors & Identify Leverage OperatorsCreate Bench Sample & Mock-up PackagingMake Sales AppointmentsSell from PrototypeAdjust to Clients NeedsPurchase OrderProduction

1515

Contact InformationContact Information

William G WalkerWilliam G Walker

Vice President Vice President

WGW Marketing, IncWGW Marketing, Inc

www.WGWmarketing.comwww.WGWmarketing.com

1616