1402-P
AUTHORIZATION REQUEST FOR FY 2014
CBB Budget Category: Promotion
Name of Contractor: Meat Import Council of America
Name of Organizations Subcontracting:
Pennsylvania Beef Council/Northeast Beef Promotion Initiative
I. OVERVIEW
A. AR Description: The Northeast Beef Promotion Initiative will focus on filling the resource gap and extending the national program in the area of enhancing the domestic consumer preference for beef and beef’s image in the region where over 23% of the total American population lives, works, shops and dines and only 2.4% of national checkoff dollars are collected. This work plan supports the vision and mission of the Beef Industry Long Range Plan by reaching the millennial audience and focusing on the essential demand drivers of value, taste, health and nutrition all the while seeking to enhance industry transparency and consumer trust.
B. Costs Requested from this AR:
Source of Funding / Total / Direct Costs / ImplementationBeef Board/BPOC / $167,375 / $ 100,000 / $ 67,375
Federation of SBCs (FSBCs) / $ / $ / $
Other Sources (SDBIC) / $ 20,000 / $ 20,000 / $
Total Funds Requested / $ 187,375 / $ 120,000 / $ 67,375
C. Start date: October 1, 2013 Completion date: September 30, 2014
II. PLANNING INFORMATION FOR THIS AR
A. Long Range Plan Core Strategies/Demand Drivers Addressed by This AR: Improve Domestic Consumer Preference for Beef including the demand drivers of Value, Taste, Health & Nutrition and Strengthen the Image of Beef and the Beef Industry
B. Committee(s) recommendations for work plan funded by this AR: Improve Domestic Consumer Preference for Beef Committee, Value Subcommittee and Strengthen the Image of Beef and the Beef Industry Committee
III. PROGRAM INFORMATION FOR THIS AR
A. Long Range Plan Core Strategy 1: Improve Domestic Consumer Preference for Beef
Strategy 1 Proposed Cost: $132,936
Specific Tactic Information:
Tactic 1A: Channel Education- Extend nationally developed marketing and merchandising materials to channel partners. Organize channel educational events, demonstrations and trainings to bring together influencers in the industry and focus topics around beef’s value in the protein category both in the meat case and on the menu. Utilize the nationally developed Better Beef Sales and Beef University programs. Coordinate ‘Beef in the Culinary Classroom’ grant program for post-secondary culinary schools, primarily Millennials, located in the Northeast region where innovative new beef cuts can be demonstrated to chefs and future culinarians.
§ Measurable objectives:
o Conduct a minimum of 5 channel educational training sessions reaching at least 150 influencers total.
o Achieve at least a 25% increase in menuing/featuring beef and/or accepting new recipes/cutting methods following training presentation as measured by a pre and post survey.
o Reach at least 200 culinary students through the Beef in the Culinary Classroom program.
§ Proposed cost: $36,927
Tactic 1B: Channel Communication- Work with national and state beef council staff to identify accounts with limited or no direct, existing relationship with beef in the Northeast region. Maintain existing relationships with channel influencers through in-person meetings whenever possible. Provide partners with materials available to promote beef’s value proposition around nutrition, cut options, taste, convenience and price. Attend industry influencer events, food shows and conferences (when appropriate) to continue to promote beef’s value on the menu and in the meat case. Maintain NEBPI website to serve as a tool for constant partner reference.
§ Measurable objectives:
o Attend and exhibit at a minimum of 3 channel trade shows with a goal to increase contact database by 10% and goal to reach total audience of 500 influencers.
o Increase NEBPI website visitor traffic by 10% using inaugural year (July 2012-2013) as benchmark.
§ Proposed cost: $29,541
Tactic 1G: Channel Promotions- Shift away from Northeast regional specific printed in-store point-of-sale materials associated with seasonal promotions and utilize the resources created by State Services when available. Develop three online based seasonal promotions (New Years, Summer Grilling, Fall Tailgating) for retail partners specifically located in the Northeast region, target Millennials. Leverage online promotion through retailer social media accounts, websites, and ad circulars. Offer on-pack labels when appropriate. Design attractive and enticing contests around each seasonal promotion as a means to encourage shoppers to engage in a positive beef atmosphere centered on beef’s value through nutritional density, price, versatility, convenience and taste. Seek out opportunities to partner with SBC’s located in the Northeast region on veal specific retail and/or foodservice based promotions.
§ Measurable objectives:
o Offer 3 seasonal online-based retail promotions/interactive contests, offering beef-related give-a-ways to enhance consumer knowledge and understanding of beef’s taste.
o Utilize online survey on promotional microsites to gauge consumer preference for beef, establish preference benchmark in Q1 promotion to grow in subsequent years/promotions.
§ Proposed cost: $66,468
B. Long Range Plan Core Strategy 2: Strengthen the Image of Beef and the Beef Industry
Strategy 2 Proposed Cost: $54,439
Specific Tactic Information:
Tactic 2A: Transparency- Engage channel influencers in positive beef production immersion experiences such as farm/plant tours to convey beef’s transparency and sustainability. Coordinate online efforts to enhance beef’s image through social media campaigns. Rapidly respond to the current and potential consumer concerns which are present through the use of social media, e-newsletters as well as our website.
§ Measurable objectives:
o Conduct minimum of 2 channel influencer farm/plant tour immersion experiences and achieve at least a 4 out of 5 on attendee tour value survey. Goal of 20 attendees at each event.
o Create pre and post surveys for influencers at immersion events. Increase the positive rating one level from pre-event to post-event.
§ Proposed cost: $54,439
IV. DETAILED BUDGET SUMMARY
Strategy & Tactic / ProgramManager / Completion
Date / Total FY
2014 Budget (Direct + Estimated Implementation) / Total
Direct Cost / Direct Cost by Funding Source / Est.
Impl.
CBB/BPOC / FSBCs / Other
Strategy 1: Improve Domestic Consumer Preference for Beef
Tactic 1A: Channel Education / Laurie Bryant / 9/30/14 / $36,927 / $25,000 / $20,000 / *$5,000 / $11,927
Tactic 1B: Channel Communications / Laurie Bryant / 9/30/14 / $29,541 / $20,000 / $20,000 / $9,541
Tactic 1C: Channel Promotions / Laurie Bryant / 9/30/14 / $66,468 / $45,000 / $45,000 / $21,468
Totals - Strategy 1 / $132,936 / $90,000 / $85,000 / *$5,000 / $42,936
Strategy 2: Strengthen The Image of Beef and the Beef Industry
Tactic 2A: Transparency / Laurie Bryant / 9/30/14 / $54,439 / $30,000 / $15,000 / *$15,000 / $24,439
Totals- Strategy 2 / $54,439 / $30,000 / $15,000 / $24,439
AR Totals / $187,375 / $120,000 / $100,000 / *$20,000 / $67,375
*South Dakota Beef Industry Council
V. Supplemental Information
A. Will all of the work detailed in this AR be completed by the end of the fiscal year? If not, please provide an explanation. Yes, all work will be completed in FY2014.
B. Changes from FY 2013 Approved AR:
· Shift Northeast specific printed in-store point-of-sale promotional materials toward channel influencer immersion experiences.
· Enhance “Northeast Loves Beef” social media tools.
· Outreach methods focus on building relationships through “experiences”
C. Subcontractor information (agencies, etc.): Streetmarc Advertising, Marketing & Promotions, LLC
· Name of proposed subcontractor: Pennsylvania Beef Council
Will all work with subcontractors be competitively bid? If not, why not? No. Initiative utilizes Pennsylvania Beef Council resources
D. Identify any relationships between this AR and projects previously funded by the Operating Committee: Similar program requests have been funded in FY’s 2006-2013.
E. Summary of Prior Year AR Budgets and Expenses:
StrategyTactic / FY 2013 Approved Budgets / FY 2013 Actual Expenses
(through May 31, 2013)
CBB/BPOC / FSBCs / Direct Cost / Total / CBB/BPOC / FSBCs / Total
Direct EXP / Impl.
Promotion- Retail Marketing*
Strategy 1: Product / $250,000 / $175,000 / $250,000 / $119,465 / $86,170 / $32,422
Totals - Strategy 1 / $250,000 / $175,000 / $250,000 / $119,465 / $86,170 / $32,422
Promotion-Foodservice**
Strategy1:Product / $65,000 / $50,000 / $65,000 / $48,493 / $24,839 / $26,774
Totals - Strategy 1 / $65,000 / $50,000 / $65,000 / $48,493 / $24,839 / $26,774
AR Totals / $315,000 / $225,000 / $315,000 / 167,958 / $111,009 / $59,196
*The Promotion- Retail Marketing Strategy 1 accounts for all FY 2013 AR tactics: Tactic 1A: Retail Contacts, Tactic 1B: Retail Channel Initiatives and Tactic 1C: Seasonal Promotions.
**The Promotion- Foodservice Strategy 1 accounts for all FY 2013 AR tactics: Tactic 1A: Foodservice Contacts and Tactic 1B: Foodservice Promotion.
F. Historical Summary of Budgets and Expenses:
Strategy&
Tactic / Total Approved Budgets / Total Actual Expenses
FY 2012 / FY 2011 / FY 2010 / FY 2012 / FY 2011 / FY 2010
Strategy 1: Retail Product / $250,000 / $252,000 / $250,000 / $231,026 / $251,929 / $217,818
Strategy 2: Foodservice Product / $65,000 / $63,000 / $68,500 / $58,615 / $60,474 / $68,463
AR Totals / $315,000 / $315,000 / $318,500 / $289,641 / $312,403 / $286,281
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