PROJECT MABUDULA

Cyro Benchmarking study

Gaborone

01 September 2014

Maize snack manufacturerESTABLISHED 2013

BACKGROUND

• REGISTERED COMPANY NAME: Cyro Industries (PTY) Ltd • COMPANY REGISTRATION NUMBER: CO 2013/13626

• DIRECTORS: MUHAMMAD MOINUDDIN AHMAD (Motswana)DANIEL GRACA FERREIRA (South Africa)

• COMPANY POSTAL ADDRESS: P.O. Box 1080, Gaborone, Botswana• OPERATIONAL ADDRESS: Plot 60, Unit 1, Gaborone International Commerce Park.

• TELEPHONE NUMBER: (+267) 3907785• FAX NUMBER: (+267) 3907789

• NATURE OF THE BUSINESS: MANUFACTURING-Expanded Maize Snacks

• Cyro Industries (Pty) Ltd is a registered company of Botswana under Registration Number CO 2013/13626 and incorporated on the 23rd November 2013.

• Cyro Industries is a locally based snack line manufacturer in Gaborone, the Capital city of Botswana.

• Cyro Industries PTY LTD is new snack Manufacturing Company that has entered into the Botswana market

• Produces high quality maize based extruded products such as puff maize chips and maize cereal on single production line capable of producing both type of products as spiced or caramelised.

About us

Cyro Industries manufactures expanded maize

snacks in various sizes and shapes.

Products

Ultimate Objective

To evaluate the concept maize puff chip offering against key competitors (in this instance

concept maize puff chip vs other offerings) within set or pre-determined guidelines

Assist Cyro Industry in a more strategic approach with product performance and

management thereof – assisting in quicker response times to any changes in the market

dynamics &/or sensory elements

7

Executive summary

Cyro business challenge

To benchmark concept chip against key

competitors, in order to respond to any changes in

the market dynamics &/or sensory elements before

introducing the new product to deliver a consistent

experience for consumers

• To evaluate consumer preference of key

competitors within each of the various maize chip

market in Gaborone

• To benchmark concept chip against possible

competitors to determine the product fit in the

current chip market and comparison to most often

consumed chip

• To determine the most appealing maize chip

flavour profile for the establishment and

development of the new concept chip before

introduction into the market

Quantitative

• A detailed sensory diagnostic test

• Using a sequential monadic unbranded taste

evaluation. This methodology allowed for each

respondent to taste 3 products ( concept vs

Regos & Prime snacks) within 3 specific flavour

categories.

• We aim to measure specific product performance

related attributes & flavour test

Objectives

How research aims to meet objectives?

Timings

Completed by November 2014

Sample

Sample Options

Phase 1 n = 150

Phase 2 n = 150

Phase 3 n = 150

Botswana Gaborone

8

Explore the potential of the product offering to introduce the

concept product into the current chip snacking repertoire in

the Botswana market

Attention: Initial reaction, overall liking and drivers for

resonance

Branding: Uniqueness for both brand and product, brand

image & product targeting

Explore product expectations & gain deeper understanding

of the difference between current chips and product offering

from concept chip. Insight into consumers ideal maize puff

chip design (pre tasting) followed by comparison of test

products to ideal design

Mix Evaluation – proposition & product objectives

Proposition

Explore consumer response to product - Attributes

consumers associate with their favorite / ideal maize puff chip

Key metrics to explore include – taste, texture and variants

(appeal, likes/ dislikes)

Establish flavour liking score compared to most often

consumed maize puff chip

Evaluate product to establish the fit between expectations

created by proposition and product taste delivered

Explore expectations for pricing - Price Sensitivity measure on

the concept and new maize puff chip offerings

Product

Research Objectives

Concept evaluation

9

Product

sensory test

Freshness &

Flavour

Overall liking

Spontaneous likes &

dislikes

Uniqueness & Relevance

Brand fit

Purchase intent

Suggested changes /

improvements

Overall opinion

Spontaneous likes &

dislikes

Appearance liking

Colour liking

Aroma liking & strength

Taste

Texture liking

Free choice sort card

Chip size & thickness

(Worms, bombs &

rounders)

Flavour

Freshness

Aftertaste liking &

strength

Sourness

Saltiness

Sweetness

Bitterness

Spiciness

Cheesiness

1 3 4

Overall liking

Spontaneous likes &

dislikes

Appearance liking

‘VFM’ offering

Purchase intent

Suggested pricing of

concept product

Suggested changes /

improvements

Preference

1Packaging

appeal

2

Detailed Research Objectives – Product format and sensory Evaluations

10

OUR APPROACH

Recruitment FieldworkData

Processing

Presentation

Preperation

QA & sample

design

& approvalAnalysis

Project kick-off

Quantitative Research

Data Processing

Reporting

Planning & Instrument design

Project

Commissioned

Project OverviewResearch process

Solution Outline

Scoping &Exploration Research

Analytics &BusinessIntelligence

Recommen-dations

Communi-cation &Next Steps

A program to

engage stake-

holders and identify

relevant knowledge

1 2 3 4 5

Quantitative – face to

face interviewing with

product sensory

evaluation

Analyze results and

other data sources

using a variety of

advanced statistical

tools to identify

opportunities and

generate insight

Develop core set

of conclusions and

recommendations

for your business

Provision of reporting,

cross-tab and

visualization tools.

Run interactive action

planning sessions to

develop strategy

5

Kick off meeting

Delivery of stimulus material

Delivery of concept product for sensory evaluation

Research tool design

• Questionnaire

Approval of research tools

1 2 3 4 5

1 2 3 4

1

3

2

4

5

Kick offKey Steps

Research Outline

Research

Analytics &BusinessIntelligence

Recommen-dations

Communi-cation &Next Steps

2 3 4 5Scoping &Exploration

1

Quantitative – face to

face interviewing with

product sensory

evaluation

Solution Outline

1 2 3 4 5

Methodology – Key steps

Respondents will be recruited according to specific screening criteria. In the recruitment respondents’ current purchasing and usage behaviour will be determined, as well as their demographic profile.

Surveying of tests (exposed to product), respondents will be interviewed to evaluate three products to be tested.

Easy & quick deployment incorporate both sensory and flavour test insights

Our methodology combines sensory taste test and flavour test with survey based diagnostics in three phases:1. Hawkers shop shelf and a sensory evaluation on competitors products to determine benchmarks 2. End user (consumers) shop shelf and a sensory evaluations on competitors products to determine benchmarks3. End users (consumers) and a control group of hawkers sensory evaluation on concept product

1 2 3

Recruit

Survey

Analyze

Methodology – key steps

Recruitment

Including current consumption behaviour

Specific Sensory Diagnostics Evaluation

(overall liking, appearance, colour, aroma, flavour, texture, bar size,

aftertaste etc)

Future purchase behaviour

(concept chip vs current most often used chip)

Purchase Intention

Quantitative research design

The Goal

Interviewing face to face with questionnaires comprising of the product sensory test are an ideal method to obtain

insights.

Face to face interviewing allows for respondents to taste the products and interviewers are able to record

spontaneous results and first impressions in a more controlled environment. Face to face interviewing has a high

response rate and interviews can be conducted from different locations.

We recommend using a sequential monadic concept evaluation.

This sequential monadic approach allows for:

• Each product to be equally rotated providing each product an equal chance of being evaluated first

• The product to be evaluated in random order.

• The respondents to test two or more products comparing them and providing a preference rating.

Face to face interviews are the best way to optimally answer objectives

Research Methodology

Demographics

• Gender• 60% - Females• 40% - Males

• Age: • 50% - 18 – 34 years• 50% - 35 – 49 years

• Race: • 100% - Black

Overall sample considerations

• Heavy user of chips and consumes maize chips at least once a week

• Hawkers - sellers of maize puff chips

Sample considerations1

The method of sampling will be focusing on purposive sampling

2. Target markets and sample sizes

1 2 3 4 5

1 2 3

Target markets and sample size

Usership break down

• 33% prime snack users

• 33% Regos users

• 33% Redos users

Target Sample Overview

Usership1 2 3

Questionnaire Coverage Insight required from each Question Area

Current purchasing Capture information sources and include sufficient attributes to clearly identify which information sources

are most important in making the purchase decision

Usage behaviour Ascertain what is the current usage behaviour and why, identifying the relative importance of factors

driving brand choice

Sensory taste evaluation Used to measure appeal of specific sensory diagnostics such as product appearance, aroma, taste,

texture and freshness

Preference of the products Used to understand what drives palette preference in Botswana

Purchase intention Measure satisfaction after tasting the product (taste, texture and freshness ), as well as understanding

any barriers to success of entry, also model against purchase intent

To ensure the study is focused and streamlined it is imperative every question delivers insight

1 2 3 4 5

1 2 3

3. QUESTIONNAIRE COVERAGEQuestionnaire coverage

Research AnalyticsRecommen-dations

Communi-cation &Next Steps

2 3 4 5Scoping &Exploration

1

Analyze results and

other data sources

using a variety of

advanced statistical

tools to identify

opportunities and

generate insight

SOLUTION OUTLINESolution Outline

Benefits

Helping you to make informed business decisions

• By “connecting all the dots” across the customer journey, we can provide a truly holistic view of the lifetime relationship that customers can have with your brand

• More granular information = deeper insights = more informed decision-making

• Identify key opportunities across multiple touchpoints

• We can model future scenarios and predict how consumers will react to new products and brands

Our aim is to provide you with the business intelligence that you need to make better business decisions. Generating intelligence comes from analyzing and making sense of a wide variety of data sources, not just survey data.

1 2 3 4 5

We will collect, combine and analyze multiple sources of data to help you better

understand how to influence consumers across multiple touchpoints.

Helping you make informed decisions

Solution Outline

Scoping &Exploration Research

Analytics &BusinessIntelligence

Recommen-dations

Communi-cation &Next Steps

Develop core set

of conclusions and

recommendations

for your business

Solution Outline

Building a Story

from the Data

Identifying

Opportunities &

Possible Solutions

Putting Data

into Context

Providing Key

Recommendations

Turning business intelligence into key recommendations for your business. Key steps

Starting from a big picture

perspective, we will take

into account competitors

strategic objectives and

any KPIs they have in

place helping you to

benchmark

The “Scoping &

Exploration” phase will

have helped us to identify

key challenges that need

to be addressed,

as well as potential

opportunities

We’ll identify relevant

themes/trends by analy-

zing the data, both positive

and negative, and

combining with other

knowledge

We’ll identify several

opportunities for your

concept brand and provide

evidence for each

We’ll bring in in best

practices from competitors

to help us identify possible

strengths opportunities

weaknesses and threats

We’ll recommend what

actions you should take

based on the business

intelligence we have

gleaned

1 2 3 4

1 2 3 4 5

1 2 3 4

Turning business intelligence into key recommendations

for your business. Key steps

Scoping &Exploration

Solution Outline

Research

Analytics &BusinessIntelligence

Recommen-dations

Communi-cation &Next Steps

Provision of reporting,

cross-tab and

visualization tools.

Run interactive action

planning sessions to

develop strategy

1 2 3 4 5

Solution Outline

Benefits

Communicating the “story” effectively

• Viewing all insights and “connecting the dots” will

enhance your ability to make quicker and more informed

business decisions

• Communicate the stories that really matter to your

business in more efficient and high impact ways

• Tailoring deliverables ensures greater engagement

increasing the likelihood that those finding will be acted

upon

We fully understand the need to provide

• Visually stimulating output that will help to communicate

the “story” to clients quickly and in more accessible ways

• Analysis tools that will enable you to manipulate the

data yourself (SPSS with data)

1 2 3 4 5

Next steps

25

TIMINGS

Project timetable – approximately 13 weeks to completion

W1 W2 W3 W4 W5 W6 W7 W8 W9 W10 W11 W12 W13

Scoping &exploration

Research

Analytics

Visualization & comms

Planning

Key Milestones

Stakeholder interviews

Knowledge review

Design Fieldwork

Identifycore tools

Statistical analysis

Identify require-ment & plan

Deliver all visualsand comms

Outline project plan Detailed project plan Review progress Interim results Final results

Kick-off

Fieldwork

Project timetable

4 Core fieldwork

Core fieldwork stage phase 1 and 2

Key milestones of project

Sep Oct

1 Scoping phase

Briefing on research process design and

implementation review

2 Core fieldwork

Core fieldwork stage phase 1 and 2

3 Key deliverables

Delivery of topline reports

Aug2013 Nov

5 Key deliverables

Delivery of final report

Timings

Client & researcher Notes

• Input to questionnaire design

• Timely sign off of all field material e.g. questionnaires and diaries (as per the timing plan)

• Any print materials input at least 7 working days before field is due to start

• Draft reports feedback

• Final presentation attendance

Client Requirements

The Goal

• Questionnaires and sample design

• Personal briefing by research executives

• Fieldwork

• Face to face presentation

ResearcherDeliverables

29

THANK YOU