1. TBWA\PRAHA CZECH REPUBLIC
PASSWORD 2006

2. AGENDA TBWA\ introduction Mission Philosophy
Guseppe - frozen pizza case study
Background
Strategy
Results
Jim Beam case study
Simply enjoy…

3. TBWA\MISSION
To make our clients famous for the ideas they stand for. Fame way beyond just having a good campaign - that famous idea that can drive a company forward for years. Lee Clow Chairman & Chief Creative Officer

4. AGENT\CHANGE
We are hired when clients need a change, because change is in our DNA.
Change is our working methodology and in our language we call it DISRUPTION.
Because we believe that doing the same thing over and over again and expecting different results is a sign of insanity.
Jean-Marie Dru President & CEO, TBWA Worldwide

5. One cannot win on the market provided
that he adheres to its conventions

6. DISRUPTION - PHILOSOPHY
Disruption is about what makes for an effective communication
Communication ideas that lead to ganing a larger share of the brand’s future
Disruption is about what kind of co-operation we offer to our clients
Looking at the problem as a whole, not only at the communication
Taking the situation as an opportunity for the whole client’s organization
Creating new market opportunities
Jean-Marie Dru, President and CEO TBWA\Worldwide

7. HOW DISRUPTION WORKS VISION DISRUPTIVE IDEA CONVENTION
Where we want to be TOMORROW, identification of company vision
VISION
Where we are NOW, identification of conventions
DISRUPTIVE IDEA
Way to change the market rules
which helps realizing the company vision
CONVENTION

8. A TOOL WE USE WHEN PLANNING EFFECTIVE INTEGRATED COMMUNICATION IS „CONNECTIONS PLANNING“
A tool to find the most effective way of communication with a customer
While Disruption deals with strategic issue „WHAT“ to communicate, Connections Planning deals with a question „WHERE“, „WHEN“ and „HOW“ to communicate
Connections Planning enables us to choose from a wide array of communication tools, both media and non-media, and to select the ones that are the most relevant ones for a given brand

9. RESULTS
Since 1985, TBWA\ has won 10 Grand Effies awarded for advertising effectiveness - seven more than our closest competitor.
1985
1986
1987
1989
1990
1997
1999
2000
2001
2003

10. FROZEN PIZZA
CASE STUDY

11. WHERE WE WERE?

12. BACKGROUND
Guseppe was launched in Czech Rep in 1993 and established a market leading position in a growing market of „ready meal“. Leading market position lasted till Communication support of Guseppe in media was limited and unfocused.
In 2000 Ristorante (by Dr. Oetker) entered Czech market supported by the strong media investments behind the brand. In 2002 it became no.1 on the market. Support has been allocated to TV only – using the same copy in the rest of Europe.
Guseppe was continually loosing it‘s market share, being on the same level as local private labels market position.
In the half of 2003 SOM Ristorante was 28,2% vs Guseppe 16,1%
STAGNANT MARKET WITH SIGNIFICANT DOMINANCE OF DR. OETKER WITH RISTORANTE, THANKS TO MEDIA INVESTMENT

13. BACKGROUND
Guseppe was loosing market share in Czech Republic due to several
reasons:
Continuous heavy media spending on Dr. Oetkers Ristorante
Lacking media spending on Guseppe brand
Lost of distributor Nowaco to Dr. Oetker autumn 2001 lead to reduced in-store impact
Attempts to drive Guseppe sales through launch of new variants did not prove successful
Consumer preference towards product quality has changed in parallel with increased penetration of Ristorante - making Guseppe pizza inferior

14. VALUE SHARE DEVELOPMENT
Guseppe decrease started in the autumn of 2000, but has later stabilised around 18 %
Ristorante is market leader with 26 % value share
Maestro market share remains stable - but is currently being challenged by new value brands
Bon Giorno relaunch in the autumn of 2001 was not successful

15. Value Curve Ristorante vs Guseppe: situation in the end of 2003

16. Key insights about: Consumers Brand Communication Category
WHERE WE WERE?
WHY WERE
WE THERE?
Key insights about:
Consumers
Brand
Communication
Category

17. KEY INSIGHTS ABOUT CONSUMERS
Mothers use to prepare pizza for kids and themselves, that‘s why kids have an important influence during the shopping.
Consumers do not differentiate between Italian and American pizza, they don‘t care.
Guseppe pizza is acceptable for whole family because of the taste and sufficient size.
Pizza is informal meal (way of consumption)
Frozen pizza is good value (comparing to pizza in Pizzeria)

18. KEY INSIGHTS ABOUT THE BRAND
While Ristorante positioned itself as a replacement of „the real pizza from an Italian pizzeria“ in convenient form (and it is becoming the category reference), Guseppe didn‘t stand for anything valuable in the „pizza world“.

19. KEY INSIGHTS ABOUT COMMUNICATION
Since 2000 there were no media investments behind Guseppe
On the other side – the main competitor Ristorante is on air continually, using the communication which established the brand as the category reference – pizza which taste great (just like if it was made in a real Italian pizzeria)

20. RISTORANTE TVC

21. KEY INSIGHTS ABOUT THE CATEGORY/MARKET
Overall convenient food category is growing
Main market players in frozen pizza segment were Ristorante (market leader), Guseppe, Bon Giorno and Maestro
80% of distribution focused in international chains
Market is polarized on „real tasty pizza“ (Ristorante) vs „filled“ pizzas (Maestro, local brands). Guseppe and Bon Giorno are somewhere in the middle
Guseppe (American) pizza is perceived as having insufficient topping (asking to add something on the top)
Frozen pizza is perceived as being very convenient (easy to prepare, fast and no dishes requiring).

22. WHERE WERE WE?
WHY WERE
WE THERE?
WHERE WE
WANTED
TO GET?

23. WHERE WE WANTED TO GET ? Business goals:
Increase value market share to 22% = regain leading position on the Czech Market
Marketing goals:
Inform consumers about the product quality improvement in order to support trial and re-purchase
Communication goals:
Increase communication indexes
UBA above 23%
ABA above 45%
To build brand image as a family pizza for every day
To achieve a quality brand perception by consumers

24. Regain TOP position on Czech market in ready meal category

25. WHERE WERE WE?
WHY WERE
WE THERE?
HOW DID WE
GET THERE?
WHERE WE
WANTED
TO GET?

26. RELAUNCH OF GUSEPPE Goal
Relaunch Guseppe American range in Czech Rep and regain no 1 position
Mandate
Improve product quality and communicate this improvement to consumers through new packaging design and TV ad
Critical Success Factors
- Assure substantial product improvements
- Develop single minded communication

27. NEW GUSEPPE POSITIONING
Existing core idea
“Guseppe pizza is the complete meal provider that is substantial and „popular”
Well suited for building total market and establishing Guseppe in the popularity position (need for everyday meal solutions that everybody in the family can share and enjoy)
“Completeness” may not be the best way to make pizza more relevant
New core idea “Guseppe pizza has more of the good stuff that all youngsters love”
Simple and relevant message that should be able to generate trial

28. NEW MARKETING MIX Recipe improvement Weight changes Product
New variants
Product
Packaging
New design
Increased price per kilo and unit
Pricing
Communication
New TV ad

29. NEW PRODUCT ASSSORTMENT
Core assortment:
Ham g, 300 g
Champignon g, 300 g
Ham & Spinach g
Mexicana g
4 Cheese g
Multi-pack:
Ham 2x450 g
Ham/Champignon 2x450 g
Variants to be developed:
Hawaii g
Bacon g

30. PRODUCT DEVELOPMENT Crust - reduced thickness from 15 to 9 mm
- whole grain crust on 4 Cheese
Topping - different cutting on ham
- change of topping sequence
- more vegetables
- more meat
- more sauce
- new pepperoni
- new sauce with more tomato flavour
- extensive use of herbs
Weight - reduced on all variants
Diameter - remains 26 cm

31. PACKAGING Packaging design challenge:
- communicate improved product quality
- assure strong branding and maintain design properties
- differentiate clearly between variants
- facilitate freezer impact
- enable use of multilanguage packaging
- improve preparation guidelines

32. PRICE Average hypermarket retail price points Per unit Per kilo
Existing Guseppe Ham 520 g CZK 106 CZK
Ristorante Prosciutto 330 g CZK 194 CZK
Bon Giorno Ham 510 g CZK CZK
Maestro Ham 500 g CZK CZK
Private Label 500 g CZK CZK
New Guseppe Ham 480 g CZK 125 CZK
The new price level:
represents 9 % increase of invoice value per SKU
assumes a higher willingness to pay due to improved quality, new packaging and media support
differentiates Guseppe more clearly from value brands and PL

33. COMMUNCATION VISION DISRUPTIVE IDEA CONVENTION Problem:
Guseppe lost its leadership position in the category after Dr. Oetker launched the heavily promoted Ristorante brand.
VISION
DISRUPTIVE IDEA
CONVENTION

34. A family enjoying a pizza as a source of a home ease
COMMUNCATION
Problem:
Guseppe lost its leadership position in the category after Dr. Oetker launched the heavily promoted Ristorante brand.
VISION
A family enjoying a pizza as a source of a home ease
DISRUPTIVE IDEA
CONVENTION

35. COMMUNCATION VISION DISRUPTIVE IDEA CONVENTION Problem:
Guseppe lost its leadership position in the category after Dr. Oetker launched the heavily promoted Ristorante brand.
Guseppe is the most popular family pizza
VISION
A family enjoying a pizza as a source of a home ease
DISRUPTIVE IDEA
CONVENTION

36. The way to harmonize the home is to forget about it for a while
COMMUNCATION
Problem:
Guseppe lost its leadership position in the category after Dr. Oetker launched the heavily promoted Ristorante brand.
Guseppe is the most popular family pizza
The way to harmonize the home is to forget about it for a while
VISION
A family enjoying a pizza as a source of a home ease
DISRUPTIVE IDEA
CONVENTION

37. „THANKS TO THE GREAT TASTE
KEY IDEA
„THANKS TO THE GREAT TASTE
OF GUSEPPE PIZZA
YOU WILL FORGET ABOUT
THE WORLD AROUND YOU“

38. WHAT WOULD SUPPORT THE VISION?
Product improvement (including new varieties and weight changes)
New packaging design
New communication

39. Make consumers to TRY improved Guseppe pizza.
FIRST GOAL
Make consumers to TRY improved Guseppe pizza. BY
Giving them relevant reason WHY?
Make product present on market
Improve visibility of the brand
Build emotional bond between brand and consumers

40. WHERE WAS THE ROLE OF ADVERTISING?
To create BIG IDEA for Guseppe,
that would be:
Simple, with broad impact
Truth (for both product and brand)
Unique for Guseppe
Timeless
Media neutral
Accepted by current consumers
Positive and attractive

41. COMMUNICATION STRATEGY
Guseppe has to win back consumers from Ristorante and to grow the whole segment by becoming a reference themselves.
To achieve this tactically Guseppe will try to own the differentiations of abundant topping, family consumption and everydayness.
From the strategic point of view, however, additional brand leverage has to be developed to support Guseppe‘s „pizza competence“.

42. GUSEPPE BRAND LADDER TOM Atributs Benefits Territory Values Role
Pizza from Guseppe
Thinner crust
Lots of good topping
Good taste,
Please all family, especially kids
Urban family table-fun
Family, time spent together, humor
Family Pizza expert

43. WHO WERE WE TALKING TO? Primary:
Urban working mothers with kids (8 – 18). They prepare supper for kids and themselves after coming back from work while fathers usually stay at work late.
Frozen food is an integral part of their „cooking repertoire“. While they value the convenience of frozen food (pizza) they are not ready to compromise quality and taste.
Secondary:
Young/teenagers

44. CREATIVE STRATEGY
Creative solution based on communication of brand values (family, time spent together, humor) in combination with product benefits and attributes in original, genuine, humorous and memorable story that would attract TG.
To avoid cliché in communication that is usually used by other brands in FMCG/food category – happy people sitting round the family table and being satisfied because of product using.
Unexpected reactions of acting people end up humorous, funny and human-touching.
Building of emotional bond between product and consumers.
Appetizing shots supporting rational benefit – quality improvement.

45. MEDIA STRATEGY Limited budget didn't allow to run multimedia strategy.
100% media budget was allocated to TV due to effective reach of target group.
Improved product features could be best communicated through TV
Various forms of TVC – 35 sec, 2x 15 sec in order to get high frequency.
Media budget – 10,7 mio CZK in gross for one wave.

46. GUSEPPE TVC 35“

47. GUSEPPE TVC 15“

48. GUSEPPE TVC 15“

49. WHERE WERE WE?
DID WE
GET THERE?
WHY WERE
WE THERE?
HOW DID WE
GET THERE?
WHERE WE
WANTED
TO GET?

50. IN FROZEN PIZZA CATEGORY
AFTER THE COMMUNICATION CAMPAIGN GUSEPPE PIZZA BECAME A CZECH MARKET LEADER
IN FROZEN PIZZA CATEGORY

51. VALUE SOM – TOTAL CR
YTD 2003
YTD /FM 2004
GUSEPPE
17, 2%
23, 1%
RISTORANTE
27%
22,0%
NSV YTD (1-5/04) vs. LY: +51%
Source: AC-Nielsen FM04

52. FROZEN PIZZA COMPSUMPTION IN CZECH HH
COMMUNICATION RESULTS:
COMMUNICATION INDEXES
UBA
ABA
FROZEN PIZZA COMPSUMPTION IN CZECH HH
GUSEPPE
32%
65%
42%
RISTORANTE
15%
47%
23%
Source: GFK 1/04 – Omnibus research

53. SPONTANEOUS VS. PROMPTED AWARENESS OF SELECTED FROZEN PIZZA BRANDS AMONG THE WHOLE POPULATION%
Base = whole sample
N = 500
Q.1 - Which brands of frozen pizza do you know, even if only by name? Q.2 - I will read you several brands, which brands of them do you know, even if only by name?

54. AWARENESS OF THE GUSEPPE BRAND BY AGE%
Base = whole sample
N = 500
Q.1 - Which brands of frozen pizza do you know, even if only by name? Q.2 - I will read you several brands, which brands of them do you know, even if only by name?

55. BRANDS OF FROZEN PIZZA CONSUMED IN THE HOUSEHOLD%
Base = pizza consumers only
N = 232
Q.4a - Which brands of frozen pizza do you buy and eat in your household? Q.4b - Which brands of frozen pizza do you buy and eat in your household most often?

56. BRANDS OF FROZEN PIZZA CONSUMED IN THE HH GUSEPPE VS. RISTORANTE
GUSEPPE consumers in total
42 %
BOTH brands consumed (Guseppe + Ristorante)]
RISTORANTE consumers in total
23 %
GUSEPPE consumers only (no Ristorante)
RISTORANTE consumers only (no Guseppe]
other brands
Base = pizza consumers only
N = 232
Q.4a - Which brands of frozen pizza do you buy and eat in your household?

57. TYPES OF PRODUCTS ASSOCIATED WITH THE GUSEPPE BRAND%
                                     
Base = Guseppe consumers only
N = 97
Q.5b - Which types of products do you link with the Guseppe brand?

58. AWARENESS OF THE TV COMMERCIAL GUSEPPE aware vs. GUSEPPE not aware
Whole sample
Base = whole sample
N = 500
GUSEPPE aware
Base = aware of Guseppe brand
N = 326
GUSEPPE not aware
Base = not aware of Guseppe brand
N = 174
Q.7/8a/8b - Do you remember the last pizza Guseppe TV commercial? …. COMMERCIAL READ OUT … Is this the right commercial?

59. AWARENESS OF THE BRAND VS. AWARENESS OF THE TV COMMERCIAL
Brand awareness in total
aware of Guseppe brand %
not aware of Guseppe brand 35 %
TV commercial awareness in total
commercial remembered %
commercial not remembered 16 %
Base = whole sample
N = 500
Q.2 - I will read you several brands, which of them do you know, even if only by name?
Q.7/8a/8b - Do you remember the last pizza Guseppe TV commercial? …. COMMERCIAL READ OUT … Is this the right commercial?

60. MESSAGE OF THE PIZZA GUSEPPE TV COMMERCIAL%
Base = aware of the TV commercial
N = 422
Q.9 - In your opinion, what was the main message of this advertisement?

61. EVALUATION OF THE COMMERCIAL
Top 2 Box (1+2) 70 %
Low 2 Box (4+5) 14 %
Mean value 2,1 %
Base = aware of the TV commercial
N = 422
Q.10 - How did you like this commercial?

62. EVALUATION OF IMAGE STATEMENTS FOR THE GUSEPPE BRAND - OVERVIEW
Average
2,2
2,1
2,6
2,5
2,8
2,9
Base = aware of brand or TV commercial
N = 446
Q.12a-j - For each statement indicate, in which extent the statement applies to the Guseppe brand!

63. GUSEPPE CAMPAIGN EVALUATION
„Strategie“ – weekly magazine about media and marketing communication, issue 48/03
Regular column „Sujet Focus“ – TVC testing
Top 10 TVCs evaluated in categories: awareness, likeability, association with the brand – Guseppe TVC achieved rank no 2. (after regional TVC adaptation)
Guseppe TVC achieved best score in originality and creativity
Awareness evaluation – no1 ranking (88%) - best awareness among spots aired in Oct. – Nov. 2003
2002 average awareness was 59%
Likeability evaluation – no1 ranking (7 points within the scale 1 – 10)
2002 average was 5,7 pt
Association with the brand – no2 ranking (44%),
2002 average was 31,1%

64. GUSEPPE CAMPAIGN EVALUATION
„Strategie“ – weekly magazine about media and marketing communication.
Full page article about the campaign in marketing/communication professional weekly magazine positively evaluating unconventional advertising developed for Guseppe.

65. GUSEPPE CAMPAIGN EVALUATION
„Marketing & Media“ – weekly magazine for marketing, advertising and media, issue 48/03
Regular column „TVC evaluation“
Monthly evaluation of TV commercials in terms of creativity, execution and brand relevance.
Guseppe TVC achieved ranking no 2

66. GOLDEN EFFIE 2004 IN THE MOST PRESTIGIOUS FMCG CATEGORY FOR GUSEPPE

68. On-trade communication 2005 Case study

69. DRIVE TRIAL AMONGST YOUNG WHILE MAXIMIZING RELEVANCE
Market situation
Declining consumption and losing relevance of whiskey amongst younger audience
The spontaneous awareness and TOM figures of Jim Beam lead the whiskey segment
They do not translate into expected consumption volumes though
Whiskey seen as a drink for older people, imagery-wise not relevant to today´s young people lifestyle
DRIVE TRIAL AMONGST YOUNG WHILE MAXIMIZING RELEVANCE

70. STRENTHEN THE IDENTITY
Jim Beam positioning
A genuine brand for genuine people
Key Brand Pillars
Authentic Spirit
Natural Confidence
True Connections
Personality
Confident straight-talker
STRENTHEN THE IDENTITY

71. REAL MESSAGE FOR A REAL BOURBON.
Jim Beam audience
The tone of Jim Beam communication has to take into account its audience
Urban & active
Well educated
Liberal minded
Worldly
Naturally confident
Masculine
They demand authenticity & what you see is what you get attitude
REAL MESSAGE FOR A REAL BOURBON.

72. JIM BEAM MUSIC communication platform
7 years of consistent activity that has helped to define what Jim Beam is and what it stands for
Focus on live music & original production
Carved out the clear position within the whiskey category
Built the awareness within its core target group
BUILD ON MUSIC FRANCHISE

73. REAL BOURBON - REAL MUSIC
Key Theme
REAL EXPERIENCE
REAL BOURBON - REAL MUSIC

74. Concept: JIM BEAM MUSIC NIGHT
Extension of Jim Beam Music program, bringing the real music from concert halls to real bars
Experience the life music performance in the Jim Beam way
Authenticity in the true sense of the word

75. Communication support

78. A Jim Beam Brands Worldwide, Inc
A Jim Beam Brands Worldwide, Inc. Company has evaluated TBWA\Praha concept as the best within the Europe and 3rd best worldwide in 2005.

79. Thank you for your attention.