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Darren Weir
Senior Business Manager Fresh Produce
          Woolworths Limited
              July 2009
Woolworths Customer Focus

   “If you’re not directly
  serving the Customer,
   you must be serving
                                                      Customers
                             Marketing
     someone who is”
        (Harry Watts)                      Retail
                                         Operations

                              Buying

  Hort
Industry
Groups Suppliers                          Logistics

   Service
  Providers   Markets
Fresh Leadership
So what are we doing?

                    5     Customer FOCUS

              4      Whole of business focus
                         Training Focus

         3        Streamline work practices

     2    Multi-faced Fresh Training Programs

1    Honesty in our assessment of our offer
SUSTAINABILITY
Sustainability Strategy
Produce Crate System
Key Drivers of Opportunity for Suppliers

•   Quality and Food Safety is non-negotiable

•   Produce is sourced from suppliers who are aligned with customers needs for safe
    quality fresh food, consistently

•   Priority is to support with consistency those primary producers who have invested
    over time to assist in provision of consistent quality

•   Long term planning, Strategic Planning

•   Consistency of supply

•   New Products, Taste & Flavour, Value Add

•   Innovation and information
How to do Business with
      Woolworths
Woolworths Fresh Produce Buying
Fruit Growing Regions
                                                              Darwin


                                                      Katherine
Vegetables Growing Regions
                                                                                                                    Mareeba

                                          Kununurra                                                                  Innisfail
Hard Produce Growing Regions
                                                                                            Atherton                 Tully



                                                                             Mundubbera
                                                                                                               Bowen
                                                                          Ti Tree




                Carnarvon                                                                                                            Bundaberg
                                                                                                              Chinchilla
                                                                                                                                     Sunshine
                                                                                                          Lockyer                    Coast
                                                                                                          Valley
                                                                                                                                 Gatton
                                                                                                St
                                                                                                George                            Warwick
                                                                                                                                    Stanthorp
                                                                                                                                    e

                                                                                                                 Bourke               Coffs
                                                                                Virgi                                                 Harbour
                                                                                nia             Menindee
                                                                                                          Hillston             Dorrigo
                            Perth Metro                                                   Renmar
                                                                  Adelaide Hills                          Griffith Orange    Metro Sydney
                                                                        Riverland         k     Sunraysia             Young
                                                                                                        Swan Hill
               Pemberton, Donnybrook                                                                                  Batlow
                  and Manjimup                                                          Bendigo           Cobram & Shepparton
                                                                                                               Yarra Valley
                                                                                             Werribee !      Gembroo
                                                                                                             k
                                                                                                            Thorpdale



                                                                                                                    North & South
                                                                             Huon Valley and                          Tasmania
                                                                               Launceston
Vendor Profile
                                                14 9
                                                       27

         >$100,000,000
                                                               37
         >$50,000,000
         >$20,000,000
         >$10,000,000
         >$5,000,000
         >$1,000,000
         <$1,000,000      228




                                                                     149




•   Vendors Classified as Direct or Wholesale by No.
•                                                                     % of Total
•   Direct Vendor Total                   321               70.86
•   Wholesale Vendors                     132               29.14
•   Total Vendors                         453               100.00
Woolworths Fresh Produce Buying
•   Woolworths Quality Assurance (WQA) is about food quality and
    safety
•    Quality and Food Safety are non negotiable
•    WQA aims to “Protect our Customers Trust”
•    All of our Produce trade partners are certified to WQA.
•    All Woolworths Produce Distribution Centres are also certified to WQA.
HOW DOES THIS
   APPLY TO
  AVOCADOS
Woolworths Fresh Produce Buying

1. Promotion

2. Pricing

3. Payment
Focus on
Merchandising
Customer Education
Customer Education
Customer Education
Brochures
Fresh Market Updates




  Shepard Avocados
  featured in Fresh Market
  Report 6th & 7th March
Staff Education
Staff Education
Promotions
Hass 2008 Promotion
• In-Store dates:
   – W/C 19/5 until W/C 6/10.
• Key Messages:
   – demonstrate the many versatile uses
     for avocados
• 1,140 four-hour demos over 20 weeks
   – 5 blocks of 4 weeks
   – 240 stores per block
• Four week programme of in-store radio
  ran from the W/C 19/5 to 16/6
• Recipes demonstrated
   – Avocado and Basil Bruchetta
   – Avocado Toasties
   – Easy Guacamole (where there was no power
      outlet at the store)

• 112,740 Customers reached
Customer Feedback
Consumer Survey Results
Shepard 2008 Promotion

• In-Store dates:
   – W/C 3/3/08 Nationally for 2 weeks
   – BREAK for W/C 17/3/08 –
     EASTER
   – W/C 24/3/08 Nationally for 2
     weeks
• 495 demos in total
   – Top 250 stores – 2 sessions –
     1981 hours
• Key Messages:
   – SHEPARD AVOCADOS
     STAY GREEN
   – When Ripe & when Cut
Shepard 2008 POS
Shepard In-Store Activity
Shepard 2009 POS
Combing Local & Imports to
     achieve growth.
Local
         Total WOW Avocado Purchase Units NOV-JAN
Import




         07             08              09
THANK YOU

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Darren Weir

  • 1. Darren Weir Senior Business Manager Fresh Produce Woolworths Limited July 2009
  • 2. Woolworths Customer Focus “If you’re not directly serving the Customer, you must be serving Customers Marketing someone who is” (Harry Watts) Retail Operations Buying Hort Industry Groups Suppliers Logistics Service Providers Markets
  • 4. So what are we doing? 5 Customer FOCUS 4 Whole of business focus Training Focus 3 Streamline work practices 2 Multi-faced Fresh Training Programs 1 Honesty in our assessment of our offer
  • 8. Key Drivers of Opportunity for Suppliers • Quality and Food Safety is non-negotiable • Produce is sourced from suppliers who are aligned with customers needs for safe quality fresh food, consistently • Priority is to support with consistency those primary producers who have invested over time to assist in provision of consistent quality • Long term planning, Strategic Planning • Consistency of supply • New Products, Taste & Flavour, Value Add • Innovation and information
  • 9. How to do Business with Woolworths
  • 10. Woolworths Fresh Produce Buying Fruit Growing Regions Darwin Katherine Vegetables Growing Regions Mareeba Kununurra Innisfail Hard Produce Growing Regions Atherton Tully Mundubbera Bowen Ti Tree Carnarvon Bundaberg Chinchilla Sunshine Lockyer Coast Valley Gatton St George Warwick Stanthorp e Bourke Coffs Virgi Harbour nia Menindee Hillston Dorrigo Perth Metro Renmar Adelaide Hills Griffith Orange Metro Sydney Riverland k Sunraysia Young Swan Hill Pemberton, Donnybrook Batlow and Manjimup Bendigo Cobram & Shepparton Yarra Valley Werribee ! Gembroo k Thorpdale North & South Huon Valley and Tasmania Launceston
  • 11. Vendor Profile 14 9 27 >$100,000,000 37 >$50,000,000 >$20,000,000 >$10,000,000 >$5,000,000 >$1,000,000 <$1,000,000 228 149 • Vendors Classified as Direct or Wholesale by No. • % of Total • Direct Vendor Total 321 70.86 • Wholesale Vendors 132 29.14 • Total Vendors 453 100.00
  • 12. Woolworths Fresh Produce Buying • Woolworths Quality Assurance (WQA) is about food quality and safety • Quality and Food Safety are non negotiable • WQA aims to “Protect our Customers Trust” • All of our Produce trade partners are certified to WQA. • All Woolworths Produce Distribution Centres are also certified to WQA.
  • 13. HOW DOES THIS APPLY TO AVOCADOS
  • 14. Woolworths Fresh Produce Buying 1. Promotion 2. Pricing 3. Payment
  • 16.
  • 17.
  • 18.
  • 23. Fresh Market Updates Shepard Avocados featured in Fresh Market Report 6th & 7th March
  • 27. Hass 2008 Promotion • In-Store dates: – W/C 19/5 until W/C 6/10. • Key Messages: – demonstrate the many versatile uses for avocados • 1,140 four-hour demos over 20 weeks – 5 blocks of 4 weeks – 240 stores per block • Four week programme of in-store radio ran from the W/C 19/5 to 16/6 • Recipes demonstrated – Avocado and Basil Bruchetta – Avocado Toasties – Easy Guacamole (where there was no power outlet at the store) • 112,740 Customers reached
  • 29. Shepard 2008 Promotion • In-Store dates: – W/C 3/3/08 Nationally for 2 weeks – BREAK for W/C 17/3/08 – EASTER – W/C 24/3/08 Nationally for 2 weeks • 495 demos in total – Top 250 stores – 2 sessions – 1981 hours • Key Messages: – SHEPARD AVOCADOS STAY GREEN – When Ripe & when Cut
  • 33. Combing Local & Imports to achieve growth. Local Total WOW Avocado Purchase Units NOV-JAN Import 07 08 09