MAKING IT HAPPEN An Open Innovation Model from Concept to Launch 21 October 2010 Maria Cabrera Head of Innovation Uren Food Group Ltd Direct T: Office T: E: Wood Park, Neston, Wirral, CH64 7TB, England

The Journey Uren Food group Ltd JuiceVibe in context Evolution – refining the model One size does not fit all The sense in sharing Grey Areas Open Innovation results

Uren Food Group Ltd The Uren Company was founded in 1885 by Mr Harold Uren in Liverpool and still remains a family business today Growers, importers and processors of quick frozen fruits (IQF), vegetables, fruit purees and fruit juice concentrates for the food industry, both in the UK, Europe and World Wide. A bulk supplier of Honey. Fair Trade & Organic Division Gross turnover of £50,000,000. Volume 34,000 tonnes

Business split per division

Poland Uren Cold Stores / Uren Novaberry Chile Berries Chile UK Serbia Zadrugar Spain CANLA Turkey Ulubay Argentina Tradecos China Uren China Operations of the Group

Supply Partners with Expertise in Specific Product Areas Red Fruits Apple Citrus Tropicals Stabilisers Functional Ingredients Colours, Flavours Co-packers Packaging/Process Equipment Analytical Laboratories Trade Bodies

Freezing plant and cold store in Laszczów, Poland. IQF berry fruits. BRC and American institute of Baking certified € 2.5 m investment including Ferrum Cherry Pitters, Sortex Niagra scanner, second flow freezer 16,000 Mt production capacity, 4,000mt storage capacity UCS (Uren Cold Stores) - Poland

Uren Novaberry, Kreznica 1999 – Purchase of Novaberry, Kreznica for production of chilled and frozen products particularly for the yoghurt industry 4+1 Strawberry production IQF Strawberry, Strawberry puree IQF Raspberry, Raspberry Puree IQF Sliced Rhubarb IQF Sour Cherry, Whole & Halves

Berries Chile UK Uren’s frozen fruit production factory located in Linares, Chile The only UK owned facility in Chile Started in March 2007 Rolling 5 year investment plan of $2.5m Direct contracts with growers for raspberry, strawberry, blueberry and blackberry Direct technical input from Uren UK 2010 AIB Approval awarded - SUPERIOR rating BRC Approval awarded in February

What is JuiceVibe? Set up 4 years ago as a service to existing and new customers, generating new business through innovation in product development of beverages. Resource for businesses looking to outsource expertise In-house understanding of the supply chain, market, ingredients & products to create and help to launch successful branded new products onto the market

ACTIVITY Introduction of new concepts Right product for type of consumer & occasion Creating trends in beverage concepts Anticipating requirements of the consumer Providing turn-key product development for liquid beverages Close customer contact & support

Key elements within Uren for Innovation Entrepreneurial environment Individual ownership Can do culture Facilitating

Fostering front end Innovation processes in SME’s Start up companies often with no knowledge of the industry. Get them up to speed quickly Understand their limitations. Effectively translate their requirement. Become part of their organisation. Initially give support & guidance in all areas Put them in contact with experts in the required areas. Liaise & assist so that they get best advice to make informed decisions

Case Study 1 – First contact at IFE in March 2007 Started work to improve the products being packed abroad. Nov’ 2007 About turn on the formulations to reflect consumer expectation & Cracker ideal NFC (Not from Concentrate), like fresh fruit & natural ingredients Ambient stable products with premium taste & image

Wayne Miller MD Tatiana Miller Purchasing & Planning Manager

Retro Cracker First Phase

THE BEST TASTING EVERYDAY FRUIT JUICE DRINK AFFORDABLE HIGHEST QUALITY FRUIT; NOT FROM CONCENTRATE EXPERTS IN RECIPE FORMULATION, BLENDING, & FRUIT SOURCING TO HAVE THE “X FACTOR” WITH USE OF NATURAL, CLOSE-TO -THE FRUIT INGREDIENTS NO ARTIFICIALS USE OF STYLISH INNOVATIVE PACKAGING. 18 MONTH’S LIFE ADD VALUE & DIVERSITY TO THE BEVERAGE CATEGORY WITH PREMIUM NFC JUICE DRINKS COMMERCIAL PRICE LEVEL DRIVING THE JUICE DRINK CATEGORY LEADING TO INCREMENTAL SALES & MARGINS. INDEPENDENT CONSUMER RESEARCH TO REINFORCE QUALITY CRITERIA & PREFERENCE OF THE BRAND CHARITY SUPPORT – give something back by supporting a good cause. - RAINBOW TRUST CHILDREN’S CHARITY Strategy Revolutionising Quality and choice It’s not just a crush...it’s a life long love affair” Never From Concentrate “ It’s not just a crush...it’s a life long love affair”

Second Phase

A 750ml Carton available in Multiple Retailers “Crushed Fruit Juice Drinks that taste as good as eating fresh fruit” Made from the finest hand selected fresh fruit.

Selected Customers It’s not just a crush...it’s a life long love affair” Never From Concentrate “ It’s not just a crush...it’s a life long love affair”

New 1 Litre Packs Launch September / October 2011 Supported by a Permanent Multi-buy to drive loyalty and range purchase

Balancing Creativity & Innovation Innovation in ambient beverage category Where to take the brand Consumer perspective Introduction of more mainstream products continuing to innovate in ambient category Opening more opportunities as brand strengthens Supporting brand with fast NPD, competitive pricing of ingredients & external network

New 1 litre 100% Juices Preferred in blind tests to Copella & short shelf life 21 day product

New Apple & Lychee Consumer panel testing shows endorsement for the Key attributes ( refreshment, taste, after taste, ease of drink) and high propensity to purchase

Opportunity 1 Litre Cranberry Healthy competition in the Cranberry market Cranberry for the first time can be part of a range purchase with other Cracker flavours Cranberry will also have the permanent multi-buy offering will is available across the full Cracker range Cranberry is from North America and supplied by the top 2 growers in the US

330ML Bottles It’s not just a crush...it’s a life long love affair” Never From Concentrate “ It’s not just a crush...it’s a life long love affair” A big hit in the Off Trade single & multi – pack of 4 Sainsbury’s could be first in the Retail Sector!

It’s not just a crush...it’s a life long love affair” Never From Concentrate “ It’s not just a crush...it’s a life long love affair” Town Pubs Premium Country Dining

IP Rights & Joint Creation NDA’s Mum’s the word Trust IP Rights Business through recommendations Balancing the commercial advantages to Uren Group & the risks

Case Study 2 – Mile High Launch into Waitrose 2007 Company private partnership Initially flight recovery drink High Antioxidant positioning Hot Fill long life with synergistic ingredients

AOK Drinks (was Mile High) 2 nd Phase: External investment 2010 repositioning Sales growth through Waitrose Distribution into independents T/O £0.5M

Other Brands Developed with Similar Model

“I’m not lost, just undiscovered” James Morrison