1. American Egg Board 2010 Shopper Research Study

2. Overview
Major marketers are focusing on the “last mile,” attempting to influence the many buying decisions that are made in-store
Success in this key area is driven by shopper insights that go beyond traditional consumer market research.
Insights must come from an understanding of attitudes, motivations and actions that are specifically tied to the shopping experience.

3. Objectives
Overall:
Increase the overall knowledge of egg shoppers, and how they think and behave
Identify opportunities to stimulate increased retail egg sales

4. Objectives More Specific Objectives: Provide insights regarding
The egg purchase process
Motivations for egg purchases
Factors promoting/inhibiting purchase of all types of eggs
Potential impact of in-store factors on egg purchases

5. Methodology Conducted by K.L. Simon & Associates
Quantitative survey among a nationally representative sample of egg purchasers
1400+ completed surveys among light, medium and heavy users of eggs
Light = buy one carton or less a month
Medium = buy 11/2 – 2 cartons a month
Heavy = buy 3 or more cartons a month

6. The Egg Purchase Overview: Eggs are primarily a planned purchase
But not typically purchased with a use in mind
Always on the list and constantly being re-stocked

7. The Egg Purchase Influencing factors:
Price/promotion consistently appear as key influencers on…whether to buy, how much to buy, which type of eggs to buy.
Store factors also play a key role
Product condition and appearance
Code dates and pricing
Availability of desired variety

8. Relative importance of factors:
The Egg Purchase
Relative importance of factors:
84% of respondents say “appearance of eggs inside carton” is a very important influencer
Code Dates (66%) and Price (67%) are also key contributing factors.
Health/dietary concerns are very important to 32% of respondents

9. The Egg Purchase Spontaneous egg purchases do occur
72% of those surveyed buy eggs when they were not on their list – driven primarily by heavy users
Even 60% of light users made unplanned buys
Unplanned egg sales are triggered by:
Noticing a sale price
Buying something else that requires eggs
Remembering a need while in-store

10. Overall Egg Usage Influencing amount of eggs purchased:
Amount of eggs purchased varies significantly from trip to trip – particularly among heavy users.
The opportunity exists to increase average purchase quantity via in-store stimuli and improved egg case conditions

11. The Egg Purchase Attitudes/perceptions encouraging egg use
Perceptions of nutritional benefits
Heavy users much more likely to perceive positive nutritional benefits of eggs
Perceptions of eggs as good protein source most widespread among heavy users
Perceptions of price/value
Heavy users more likely to see eggs as a good value and economical meal
Openness to eating/serving more eggs
All egg user groups expressed a definite openness to consuming more eggs

12. The Egg Purchase In-Store Factors discouraging purchase
40% of egg purchasers go to the egg case, examine the options and walk away!
Why?
Eggs are broken or in poor condition
Egg prices are too high
Lack of availability of desired variety

13. The Egg Purchase Other Factors limiting purchase
Number of occasions they want to eat eggs (34%)
Number of egg dishes they know how to make (21%)
Concerns about cholesterol (23%)

14. The Egg Purchase Other Factors limiting purchase
Perceptions of nutritional benefits
2/3 of egg shoppers do not hold the belief that eggs contain important nutrients you cannot easily get in other foods
1/3 are mixed about the overall health benefits of eggs
1/4 do not see eggs as one of the best protein sources
Perceptions of price/value
Almost 40% do not see eggs as a particularly good value or economical meal

15. The Egg Purchase Impact of the egg case
The egg case is perceived as easy to shop
The number of product choices is viewed as appropriate
However, there are many opportunities to improve:
25-30% are confused about the differences in egg types and options
Poor egg condition dissuades a significant number of purchases
Light/medium users are less likely to enjoy the egg purchase experience

16. Overall Egg Usage Breakfast focus limits purchases:
Majority of egg users (particularly medium/light) do not use eggs for non-breakfast occasions.
Another opportunity to increase purchasing by promoting non-breakfast usage via in-store messaging.

17. Heavy/Medium/Light Users
Usage patterns vary greatly across user groups:
46% of heavy users use eggs for lunch vs. 22% for light users.
Heavy users are also much more likely to use eggs for dinner/snacks…but still far below breakfast usage levels.
Opportunity to increase non-breakfast usage across all groups and all occasions.

18. Heavy/Medium/Light Users
Heavy user differences
Heavy users are much more likely to
Perceive positive nutritional benefits of eggs
See eggs as a good value and an economical meal
Be motivated by in-store promotions
Find the egg case appealing
Assign greater importance to code dates and egg appearance in the carton

19. Egg Types Perception & Knowledge
Significant differences in familiarity and knowledge of egg types across user groups
Heavy users have the greatest overall knowledge of all egg types.
But, familiarity with Organic (34%), Cage-Free(30%) and Nutrient-Enhanced(16%) eggs is quite limited among all groups.

20. Egg Types Perception & Knowledge
The majority of egg shoppers do not understand the differences that would lead them to buy one kind of egg over another
Overall favorability ratings of alternative egg types are lower than for regular white eggs
Very few see Organic, Cage Free and Nutrient-Enhanced as a good value for the money.

21. Opportunity Summary The Egg Case
What if even 10% of those walking away from the case had made a purchase???
Capitalizing on this opportunity requires:
Better in-carton egg quality
Full availability of egg options

22. Opportunity Summary In-store messaging
Attitudes impeding egg purchase can be impacted via succinct messaging in the “last mile”
Messaging opportunities on the carton and in the aisle/section include:
Non-breakfast serving suggestions
Recipes for all day-parts
Information on all health/nutritional benefits of eggs
New data to alleviate cholesterol concerns
Education information on various egg types.
Information on the positive value story for eggs

23. Opportunity Summary In-store promotion
Every day price and regular features are still the number one motivator across all user groups
A variety of promotional tactics should be explored to try and drive increased purchases
Tie-in promotions with complimentary items
Inclusion in retailer circular (with or without price discount) on a regular basis
Coupons delivered via carton, online or FSI

24. Opportunity Summary
Improving the overall experience can drive increased usage across all user groups
Maintain a neat, well organized case
Assure well stocked sections with eggs that are in good condition
Provide information on new ways to enjoy eggs
Reinforce the many positive health/nutritional aspects of eggs
Inform shoppers on the various egg types
Present relevant promotions that support the value, flexibility, and nutritional story that is unique to eggs.