What are the Branding Challenges & Opportunities. Presentation @ the Turkey Food & Drinks Initiative by the Turkish British Chamber of Commerce and Industry (TBCCI), hosted by UBS in London. What are the issues & trends relating to country of origin branding, the competitive environment, impact of globalisation and the current situation regarding branding of Turkish food and drink products in the UK. April 9, 2015 by Anne Bacon

1. Anne Bacon
Marketing Director
Turkey Food & Drinks Initiative
Branding Challenges & Opportunities

2. Branding adds emotional value over and above rational attributes
Branding is a strategy for competitive advantage
USP
Unique Selling
Proposition
Brand Promise
BrandAttributes
BrandPersonality
Rational Benefit
Emotional
Connection

3. Where a brand comes from has historically been an intrinsic part of the
development of branding
Place of Origin Branding
Place of
Origin
Brand Promise
BrandAttributes
BrandPersonality
Rational Benefit
Emotional
Connection

4. Guinness
Dublin 1759
Colmans
Norwich 1759
HP Sauce
London 1895
Identity associated with
place of origin & production
- an important asset, part
of brand’s heritage &
symbolism
Glenfiddich
Glenfiddich 1887Beefeater Gin
London 1895
The first food & drink brands developed as trusted local products
Place of Origin Branding

5. Post WWII US and European brands expanded beyond their local borders.
Country of origin and heritage were an essential part of their appeal and
differentiation in export markets.
The Globalisation of Brands

6. So how important is place or country of
origin to the reputation and appeal of
a brand?

7. Overall Country of Origin Rankings
Source: FutureBrand ‘Made In’ Research 2014
CBI refers to FutureBrand’s Country Brand Index 2012-13
Quantitative research amongst 1,050 consumers and opinion formers.
USA, France, Brazil, India, China, Japan and Australia + qualitative research
in the Americas, Asia Pacific and Europe
Country of Origin (& Country Brand) Perceptions

8. The strongest Countries of Origin are clear in consumers’ minds.
Turkey is within the top 10 for Food & Beverages.
Rankings across industry sectors
Source: FutureBrand ‘Made In’ Research 2014

9. • The more brands we know of that are
made in a country, the more likely we are to prefer
it as a Country of Origin
• A strong country brand has a halo effect on
consumer brands
• The degree to which a country’s brand influences
a product, service or corporate brand depends
upon the degree to which the associations of the
country are valuable for the brand
Contributory factors to
Country of Origin strength
COI reputation is stronger when a country excels in multiple categories
Successful brands contribute to Country of
Origin strength
Source: FutureBrand ‘Made In’ Research 2014

10. Authenticity
A USP (Unique Selling Proposition) that can be
connected with the country’s history, people, or
geography
Differentiation
Demonstrating difference from competitors through
approach, heritage or culture
Quality standards
Commitment to manufacturing excellence,
craftsmanship, safety, and transparency
Expertise
Identified as the ‘best’ in a category or having created
or defined it
Key Criteria for a strong Country of Origin
Authenticity...Differentiation...Quality ...Expertise
Source: FutureBrand ‘Made In’ Research 2014

11. • Globalisation has challenged the realities of Country of Origin branding
• Growing differentiation between the Country of Origin of the brand, the
company ownership and place of production e.g.Kronenberg brewed in
Manchester by Dutch owned Heineken
• Many much loved, mass market British brands are foreign owned and
produced abroad
• HP sauce is owned by Heinz and made in the Netherlands
• Ribena is owned by Suntory of Japan
• Quaker Oats is owned by PepsiCo
• Jaffa Cakes, Mcvities Digestives, Jacob Cream Crackers owned by Yildiz
The Impact of Globalisation

12. The Impact of Globalisation

13. 1. Coco Cola (The Coca Cola Company, USA)
2 .Warburtons*(The Warburton Family, UK)
3. Walkers* (PepsiCo, USA)
4. Birds Eye (Pinnacle Foods, USA)
5. Cadbury Dairy Milk* (Mondelez, USA)
6. Kingsmill*(Allied Bakeries - Associated British Foods, UK)
7. Nescafe (Nestle, Switzerland)
8. Lucozade* (Suntory Japan)
9. Pepsi Cola (PepsiCo, USA)
10. Hovis* (Premier Foods, UK & The Gores Group, USA)
Source: The Grocer
The Impact of Globalisation
Heritage brands* still feature strongly in UK’s Food & Drink Top 10
...regardless of ownership

14. UK’s Top 10
Food & Drink Brands
1. Coco Cola
2 .Warburtons
3. Walkers
4. Birds Eye
5. Cadbury Dairy Milk
6. Kingsmill*
7. Nescafe
8. Lucozade
9. Pepsi Cola
10. Hovis
Source: The Grocer Source: Kantar Worldpanel
Top 10
Global Drink Brands
Top 10
Global Food Brands
US brands dominate global markets
The Impact of Globalisation

15. Does the UK consumer really care?

16. Does the UK consumer really care?
Country of Origin branding with invented associations is often used as a
marketing ploy

17. “As a nation, the British have
traditionally cultivated a magpie
approach to food, happily incorporating
everything from curries and kebabs to
pizzas into the gamut of their
national diet.”
“From lasagne sandwiches to chicken tikka-flavored
Blackpool rock, Briton’s eagerness to embrace ‘foreign
food’ has resulted in some atrocities that other
nations find hard to stomach.
Does the UK consumer really care?

18. Strong demand - 6 in 10 adults enjoy eating foreign food
44% of users are continually looking for new & interesting ethnic foods
Supporting factors include:
• Multiculturalism
• Growth in international travel
• Visibility of new cuisine types in food service, the media and
in-store choice
Mintel Report: UK Ethnic Food Market 2012
Growth, demand & diversification

19. • Steady growth over last 5 years
• Forecast growth of 14.8% between 2014 & 2018
• Indian & Chinese are major sectors
• Emerging sectors include Mexican/Tex-Mex & Caribbean
• Strong performance for niche ethnic categories - Japanese,
African & Indonesian
• Important relationship between foodservice sector and retail sector
• Consumers want to recreate dishes they have experienced outside the home
• More consumers are cooking ethnic meals from scratch
• Increasing variety is fuelling growth rather than dispersing sales
• Continued market diversification as consumers experiment with
new global cuisines
Authenticity is a key driver
Ethnic Foods Market Report Plus 2014
Growth, demand & diversification
“It is expected that growth
will continue throughout
the next 5 years, as
an increasingly varied
selection of ethnic foods
becomes more popular in
the UK.”

20. The branding of Turkish food & drink products in the UK

21. Turkish food & drink product brands
Aimed mainly at the local Turkish community
Available online and in niche food stores.

22. Turkish Food & Drink Retail brands
Simit Sarayı is positioned as a world brand, not a Turkish brand

23. Turkish Food & Drink Retail brands
The Kahve Dunyasi experience is also all about products and atmosphere
but only the website tells the full brand story

24. Turkish ethnicity and authenticity at independent kebab shops and stalls.
Integrated into mainstream British culture...like Indian, Chinese, American
and Italian food.
Non Branded Turkish Food & Drink Culture in the UK

25. “Except for the places that are visually loaded with ‘designed Turkishness’,
there is a certain invisibility of modern Turkish restaurants outside the
Turkish community...due to avoidance of the term ‘Turkish’.”
Non Branded Turkish Food & Drink Culture in the UK
Istanbul Technical University Paper - Turkish restaurants in London

26. Explicit Explicit
The Competition
Implicit Implicit
Clear country communication, whether explicit or implicit

27. The Competition
Explicit Language RecognitionImplicit
Clear country communication, whether explicit or implicit
- or through language

28. Challenges
The UK is a fiercely competitive market,
particularly in mass market grocery retail.
Opportunities
Niche, premium segments may offer
the best opportunities for branded
products?
Turkey Food & Drinks Initiative Branding Challenges
& Opportunities

29. Challenges
The UK is a fiercely competitive market,
particularly in mass market grocery retail.
In the UK, Turkey is probably in a
weaker position compared to findings
of international Country of Origin brand
research.
Opportunities
Niche, premium segments may offer
the best opportunities for branded
products?
Turkey is well placed to move up
the international Country of Origin
rankings in the Food & Beverages
sector.
Turkey Food & Drinks Initiative Branding Challenges
& Opportunities

30. Challenges
The UK is a fiercely competitive market,
particularly in mass market grocery retail.
In the UK, Turkey is probably in a
weaker position compared to findings
of international Country of Origin brand
research.
Turkish food/drink culture & heritage
suffers from a lack of profile in the UK
Opportunities
Niche, premium segments may offer
the best opportunities for branded
products?
Turkey is well placed to move up the
international Country of Origin rankings
in the Food & Beverages sector.
Increase Country of Origin visibility
and ownership in the UK. Strong
Turkish brands can help to spearhead
this initiative.
Turkey Food & Drinks Initiative Branding Challenges
& Opportunities

31. Creating Brand Synergy™
t: +44 (0)20 7371 7522 f: +44 (0)20 7371 8351 e: info@scglondon.com www.scglondon.com