CAULIFLOWER REGULAR ANALYSIS YEAR TO 01/11/2014

Copyright ©2012 The Nielsen Company. Confidential and proprietary Market Overview 2. Demographics 3. Retail Health Situation by State Agenda This analysis is part of a vegetable consumer purchase data project funded by HIA using the vegetable levy and matched funds from the Australian Government. This report captures only Fresh Vegetables and excludes processed vegetables (e.g. Fresh Sweet Corn excluding Canned Sweet Corn; Fresh Beans excluding Canned Beans).

Copyright ©2013 The Nielsen Company. Confidential and proprietary. 3 Data Source – Nielsen Homescan Market – Total Australia – States of Australia – Retailers Analysis Measure – Value – Volume Periods – Last year: 52 weeks To 02/11/2013 – This year: 52 weeks To 01/11/2014 ANALYSIS PARAMETERS RESEARCH METHODOLOGY NIELSEN HOMESCAN A Panel of 10,000 Australian households Demographically and geographically representative Households electronically record their household purchases of all take-home grocery goods (fresh and packaged)

Copyright ©2012 The Nielsen Company. Confidential and proprietary. 4 HIGHLIGHTS RECOMMENDATIONS Contracting buyer base is of a concern, potentially due to reduced awareness for the crop and being only fair value for money. Colmar Brunton June 2014 report indicates that the popularity of the vegetable has been decreasing in the last 3 waves. To arrest buyer losses across most lifestages, growers and the industry should actively campaign to raise the profile of Cauliflowers. (e.g. nutritional angle, uses for common dishes like mashes, purees, roast vegetables, and hearty sauces) Retail activation is crucial not only to regain the penetration momentum of Cauliflowers but to raise conversion levels overall. Growers can explore joint projects with the main grocers around front of store merchandising, product features in catalogue, and preparation tips in magazines and recipe suggestions. Cauliflower represents 2.2% of the value and 1.6% of the volume market share. Its shopper base has reduced considerably this year, however, the buyers are spending more on Cauliflower compared to last year. Senior Couples are the key buyers for Cauliflower. They account for more volume share than their share of buyers. Although Senior Couples have witnessed a decline in the number of Cauliflower buyers, they have increased their number of trips. Larger households (3 or more members) account for 48% of Cauliflower volume sales. All household sizes except 4 members have witnessed buyer leakage this year. All retailers have grown in terms of value sales but all major supermarkets have lost volume sales of Cauliflower this year. Almost 52% Woolworths shoppers who buy Cauliflower, prefer to purchase it at Woolworths stores, whereas the conversion rate is only 45% for Coles. All states have witnessed a decline in the number of households buying Cauliflower this year.

Copyright ©2012 The Nielsen Company. Confidential and proprietary. 5 Copyright © 2014 The Nielsen Company. Confidential and proprietary. Market Overview Cauliflower

Copyright ©2014 The Nielsen Company. Confidential and proprietary. 6 Share of Market Volume Total Vegetables Australia Share of Market Value Total Vegetables Australia Cauliflower represents 1.6% of the total volume and 2.2% of the total value share of Vegetables this year. Source: Nielsen Homescan

Copyright ©2014 The Nielsen Company. Confidential and proprietary. 7 How many Households buy annually? How much (Kg) do they buy per year? How much ($) do they spend per year? This Year Last year Source: Nielsen Homescan Cauliflower lost 204,629 buying households this year, however average spend has risen significantly.

Copyright ©2014 The Nielsen Company. Confidential and proprietary. 8 How much ($) do they spend per occasion? How much (Kg) do they buy per occasion? How often do they buy annually? Source: Nielsen Homescan The increase in average spend is due to rise in both trips and the spend per trip. This Year Last year

Copyright ©2014 The Nielsen Company. Confidential and proprietary. 9 Source: Nielsen Homescan The number of households buying Cauliflower has increased in the latest 4 weeks as compared to year ago. Kg

Copyright ©2014 The Nielsen Company. Confidential and proprietary. 10 Source: Nielsen Homescan Oct; However, the amount spent on Cauliflower has seen a $0.20 drop in the last month compared to same period last year. Quality seems to be good at acceptable prices*.

Copyright ©2014 The Nielsen Company. Confidential and proprietary. 11 Source: Nielsen Homescan The drop in the average spend is driven by decrease in the spend per trip; buying frequency remains the same.

Copyright ©2014 The Nielsen Company. Confidential and proprietary. 12 Demographics Cauliflower

Copyright ©2012 The Nielsen Company. Confidential and proprietary. 13 Copyright © 2014 The Nielsen Company. Confidential and proprietary. LIFESTAGE SENIOR COUPLES | 2 or more adults 60+ (17.6% of population) ESTABLISHED COUPLES | 2 or more adults (22.4% of population) INDEPENDENT SINGLES | 1 adult >35 with no children (20.8% of population) YOUNG TRANSITIONALS | Adults <35 with no children (9.2% of population) BUSTLING FAMILIES | Oldest Child (14.0% of population) SMALL SCALE FAMILIES | Oldest Child 6-12 (9.6% of population) START UP FAMILIES | Oldest Child <6 (6.4% of population) HOUSEHOLD SIZE 1-2 MEMBER HOUSEHOLDS (58.7% of population) 3 MEMBER HOUSEHOLDS (15.9% of population) 4 MEMBER HOUSEHOLDS (15.6% of population) 5 MEMBER HOUSEHOLDS (9.8% of population) View your consumers according to…

Copyright ©2014 The Nielsen Company. Confidential and proprietary. 14 Source: Nielsen Homescan Cauliflower Distribution of Buyers Australia Cauliflower Distribution of Volume Australia Senior Couples are significant buyers for Cauliflower, contributing towards one-fourth of volume sales while accounting for 21% of buyers.

Copyright ©2014 The Nielsen Company. Confidential and proprietary. 15 How many Households buy annually? Note: The difference in the bar heights for same data labels is due to the difference in decimal points. The data has been rounded up to one decimal point. Source: Nielsen Homescan How often do they buy annually? How much (Kg) do they buy per occasion? The rising importance of Senior Couples is a result of their increased buying frequency, despite having 63,890 less households buying Cauliflower. This Year Last year

Copyright ©2014 The Nielsen Company. Confidential and proprietary. 16 Source: Nielsen Homescan Larger households (3 or more members) contribute almost as much volume sales to Cauliflower as smaller households (1-2 members). Cauliflower Distribution of Buyers Australia Cauliflower Distribution of Volume Australia

Copyright ©2014 The Nielsen Company. Confidential and proprietary. 17 How many Households buy annually? How often do they buy annually? How much (Kg) do they buy per occasion? Cauliflower has witnessed a decline in the number of buyers across all household groups except 4 members. This Year Last year Note: The difference in the bar heights for same data labels is due to the difference in decimal points. The data has been rounded up to one decimal point. Source: Nielsen Homescan

Copyright ©2012 The Nielsen Company. Confidential and proprietary. 18 Copyright © 2014 The Nielsen Company. Confidential and proprietary. Retail Health Situation by State Cauliflower

Copyright ©2014 The Nielsen Company. Confidential and proprietary. 19 Share by Retailers This year Cauliflower Sales vs. Last Year This year vs. Last year Cauliflower Other Supermarkets Non Supermarkets Volume Value Cauliflower witnessed a -3% decline in volume sales driven by drop in volume sales across all major supermarkets. In contrast, all retailers have seen value growth this year. Source: Nielsen Homescan

Copyright ©2014 The Nielsen Company. Confidential and proprietary. 20 Other Supermarkets Non Supermarkets Value growth in Coles and Woolworths is driven largely by growth in spend per trip by buyers. Drivers of Account Growth & Decline Year to 01/11/2014 vs Year Ago (YA)

Copyright ©2014 The Nielsen Company. Confidential and proprietary. 21 Source: Nielsen Homescan *Colmar Brunton Project Harvest June % of Woolworths shoppers are purchasing Cauliflower on their shopping trips to Woolworths. The conversion rate is lower than that of Broccoli, Carrots and Potatoes – common vegetables accompanying Cauliflower*. Account Shopper Conversion Year to 01/11/2014 | Woolworths (WW)

Copyright ©2014 The Nielsen Company. Confidential and proprietary. 22 Source: Nielsen Homescan Low conversion is more pronounced in Coles. Only 45% of Coles’ shoppers that buy Cauliflower are choosing Coles for the purchase. Account Shopper Conversion Year to 01/11/2014 | Coles

Copyright ©2014 The Nielsen Company. Confidential and proprietary. 23 SA + NT (9%) VIC (28%) NSW (30%) QLD (19%) WA (12%) Average KG per Buyer Penetration of households this year vs. last year ( ) State share of Cauliflower $ sales consumption Is there a particular State driving the category performance? Source: Nielsen Homescan All states have lost buying households as compared to last year. VIC and NSW, together account for 58% of total spend and have witnessed a rise in consumption of Cauliflower.

THANK YOU