Syralite Product Launch

Syralite™ Product Launch

Contents 1

Facts & Trends

2

Market for polyols

3 4 5

Positioning & Marketing strategy

Data collection Methodology

Suggestions & Recommendations

Food specialities Ltd Food Specialities Ltd headquartered in Jebel Ali , Dubai 20 years of experience in the Middle East

Presence in major GCC countries Integrated System - All branch offices online with Dubai office ISO 9001:2000 certified company

Food specialities Ltd Food Specialities Limited

Food Ingredients Division

Consumer Products Division

Ingredients & Dairy Commodities Unit

Meat, Poultry, Snack and Food Ingredients

Food Additives, Confectionery and Bakery Unit

Trade Agencies Division

Pharmaceutical Division

In Frame/Out Frame POLYOL BLEND FINALIZATION AND LABORATORY TESTING


PRIMARY DATA FROM CUSTOMERS

PRODUCT PRICING AND NEGOTIATIONS


ANALYZE COLLECTED DATA
IDENTIFY POTENTIAL BUSINESS UNITS TO SELL THE PRODUCTS
INTERVIEW MANUFACTURERS AND OBTAIN INFORMATION
FORMULATE MARKETING STRATEGY BASED ON RESPONSES

PREPARATION OF RECIPES AND SAMPLE CONFECTIONARIES

FOLLOW UP WITH MANUFACTURERS AND HANDLING PRODUCT SALES

TRENDS AND FACTS

Sugar Facts  MENA population: 6% of world population

Sugar Consumption and Growth Trends

32

35

23

28

 Sugar consumption: 9% of world sugar consumption

21

14

 Regional consumption 12 million tonnes per annum

7

3

2

0 Sugar Growth Rate(%)

MENA

Per Capita Sugar Consumption (KG) World Avg

Health Angle – A few facts

Diabetes prevalence in the adult population: Nauru(30.7%) UAE (19.5%) Saudi Arabia (16.7%) Bahrain(15.2%) Kuwait (14.4%)

Diabetes is the fourth leading cause of global death by disease

At least 50% of all people with diabetes are unaware of their condition In some countries this figure may reach 80%

Sugar Trends

Sugar and sweeteners typically account for more than 10% of total calorie intake

European and US consumers are trying to cut down sugar intake

Low calorie sweeteners are proving increasingly popular

WHO Findings: 19981998-2000 Survey by WHO & UAE Ministry of Health (1998-2000)

6,609 men and women • 2,363 nationals • 4,246 expatriates Overall percentage of people with diabetes 19.6% • UAE citizens – 24% • Expatriates – 17.4% Higher prevalence in 60+ age group - 40%

WHO Findings : 2005

One in every four UAE adult is believed to be diabetic

Diabetes and childhood obesity are major health concerns - the two go largely hand-in-hand

Type II diabetes (a.k.a. “Adult onset" diabetes) more common among younger individuals

UAE youth likely to be 2-3 times more obese than the international standard

Sugar--Free Sugar What is “Sugar-free”?

Intense Sweeteners - Aspartame based • Equal®, Splenda®, NutraSweet®, Canderel® Bulk sweeteners - Polyol based • Xylitol® , MaltiSorb® , MaltiSweet®

WHAT ARE POLYOLS

Polyols - Properties Also called as sugar alcohols

Hydrogenated form of carbohydrate

Used for replacing sucrose in food stuff • in combination with high intensive sweeteners (HIS) Incompletely absorbed into the blood stream

Calorie comparison

POSITIONING AND STRATEGY

Market for Polyols Health conscious people

Diabetic and Hypoglycaemic

Overweight

Dental problems

Positioning of Polyol Blend

Phase 4 Phase 3 Phase 2 Phase 1

Communicate and deliver value to the customer

Project product as a low calorie ingredient

Highlight as a ‘health enhancer’ with all the features of normal sugar

Differentiate ‘Syralite’ as a brand from other similar substitutes

Whom to market to?

Demography

Ho-Re-Ca

Middle and high income group

Hotels, restaurants and caterers

Whom to Market to?

Aviation Catering Industry Dubai an international hub for middle-east flying

Bakeries & Sweet shops Premium bakery shops and subpremium bakery shops

Marketing Strategy

Secondary Research

Approach end customers

Push StrategyManufacturers

Data collection and Study to enable the team to find a suitable strategy to capture the market

Partnering with Sweetshops and Bakeries

Endorsements from Dubai Municipality

RESEARCH METHODOLOGY

Data Collection - Methodology

Primary data collection

Secondary research

Preferential sampling – Customers

Sugar consumption in UAE

Online data collection

Diabetes prevalence

CUSTOMER DATA ANALYSIS

Customer Questionnaire Divided into three logical segments Customer information Age group, Nationality, Gender

Food habits

Awareness & Pricing

Frequency of having sweets

Their opinion on healthy sugar

Where do they buy these sweets and confectioneries

How much are they willing to pay for a healthy living?

Data Analysis and Interpretation Gender Male

Nationality

female

Arab

Asian

European

1%

15%

20% 73%

27%

27% 64%

Age Group Less than 18years

18 to 30 years

4%

50%

30 to 50 years

6% 40%

Above 50 years

Others

Data Analysis and Interpretation Consumption Pattern

Tried Sugar Free products? 50

38% 62%

40

29 19

30

21

20 10 0

Yes

No

Skimmed milk or low fat milk

Milk with full cream

 Good number of people have already used Sugar Free product and there is a marked preference for low-cal products

Both skimmed milk as well as full cream milk

Nationality Vs Experience Same taste. I dont find any difference. I didnt like the taste Never tried but would like to try them in future Good 100.0%

61.5%

7.7%

57.9% 29.5% 29.5%

32.6% 10.5%

15.4% 10.5% 15.4%

29.5%

10.5% 0.0%

30.5% 21.1%

Middle East

0.0%

0.0%

10.9% 27.1%

Asian European

Others Total

Nationality Vs Opinion No idea about it

I think it tastes bitter / bland

I don't mind using them

Good, I use them

7.7% 16.8%

21.7%

30.8% 52.6%

50.0%

49.5%

45.0%

53.8% 31.6% 12.6%

21.1% 7.7%

Middle East

50.0%

10.5% 5.3%

Asian

European

16.3%

17.1% 0.0%

Others

Total

Nationality Vs Price Premium Same Price

0.0%

upto 20%

0.0%

20% to 50%

above 50%

0.0%

7.4%

53.8%

37.9%

50.0% 57.9%

5.4%

42.6%

7.7% 43.2%

38.0% 31.6%

50.0%

38.5%

11.6%

14.0%

10.5% 0.0%

Middle East

Asian

European

Others

Total

Sweets Preference Vs Opinion Arab Sweets

Indian Sweets

Pastries And Cookies

50.6% 37.8%

32.4% 13.5%

16.2%

22.4% 31.0%

9.4%

41.4% 17.6%

6.9% 20.7%

No idea about it I think it tastes bitter / bland

I don't mind using them

Good, I use them

Sweets Preference Vs Price Premium Arab Sweets

Indian Sweets

32.4%

24.3%

Pastries And Cookies

43.2%

43.5%

43.5% 50.0%

28.6%

7.1% 0.0%

17.9%

5.9% 3.6% Same Price upto 20% 20% to 50% above 50%

Prevents Diabetes Vs Diabetic in Family Does Not Prevent

Prevents

67.16% 60.71%

8.96%

16.07%

No Diabetic history Diabetic History

Diabetic In Family Vs Opinion No idea about it

23.9%

I think it tastes bitter / bland

I don't mind using them

16.1%

Good, I use them

21.7% 50.0%

42.9% 45.0% 49.3% 16.7% 19.6% 16.3% 11.9% 14.9%

33.3% 21.4%

17.1% 0.0%

No

Yes

Can't Say

Total

MANUFACTURER DATA ANALYSIS

Manufacturer Questionnaire

Customer information & product line

Three logical segments

Awareness and usage Willingness to use and customer demand

Clientele, Types of sweets, Modifications in product line Awareness of low calorie sugars Current products using lowcalorie sugars Motivational factors, promotional pricing Customer demand for low calorie products

Data Analysis and Interpretation

Data Analysis and Interpretation

Data Analysis and Interpretation

Data Analysis and Interpretation

Manufacturer’s Purchase Decision Process

Ensure product acceptance

Add Your Text

Project health benefits Add Your Text and create Urgency

Add Your Text Make them aware that customers are aware

Add Your Text

Make them understand the difference

LABEL

LABELLING

COMPETITION ANALYSIS

Possible Competition

1

2

“MALTISWEET™”

“Bite Rite”

DM Flavors and SPI Polyols, New Castle

NMC Foodlands, Abu Dhabi

3 “LYCASIN®” “MaltiSorb®” Roquette, France

4 Distributors Sahtain Foodstuff Trading, Dubai

Price Comparison

Normal Polo AED 1.5

Chocolate Biscuit 250gms AED 2.5

Sugar-free Polo AED 3.45

Sugar-free Biscuit 150gms AED 5.25

TOOLS AND METHODOLOGIES

Resistance Analysis

Key Constituent

Reason for resisting change

Level of resistance

Strategy for dealing with resistance

Approachability of Arab women for survey

Culture of Arabs and no female in the group to assist with data collection from women

High

Organize events in malls

Time of survey data collection

Ramadan period. Fasting was going on and people were not receptive towards answering questions related to food

High

Call back after Ramadan

Data collection inside malls

As per policy in malls data collection is strictly prohibited

Medium

Lack of awareness

Due to their lack of awareness they are not interested in responding to surveys

Medium

 Target other potential places  Collect data through disguise Make them taste the product and show the market demand

QFD AND FMEA

SUGGESTIONS

Suggestions & Recommendations Emphasize on ‘Health angle’- Stress as a ‘Functional’ product

Add new blends / Value additions

Continuous interaction with consumers

Events and promotions

FSL

Strategic tie-ups with major sweetshops and bakeries

Marketing gimmicks

Suggestions & Recommendations

Promote ‘Syralite’ as a brand with recall value among manufacturers Get endorsements from health community and the Dubai Municipality Draw on lessons from Diet Cola marketing

VALUE ADDITIONS

Sample Recipe FSL tried the product on following recipes Arabian  Baklawa

Indian  Gulab jamun

Pastries And Cookies  Devil’s Cake  Strawberry Mousse

Unique Customer responses “I will not go for sugar free products even if I get diabetes”

“So this means I can eat more sweets, right?”

“The product looks cool. Where can I buy it?”

SPJCM – “Go Healthy” Team Arvind B Arvind S Anush R Aswin N Jayakumar R