1. Why We Are Here Nestlé Cereals Helping Britain Breakfast better

2. Category Leadership in Health & Nutrition From 2000, our message has predominately been to communicate the benefits of whole grain From 2005 all our cereals contain whole grain. Stricter EU regulations constrained our messaging With little else to say on Whole Grain we have moved to Whole Grain Plus as from 2011

3. Category Insight: Consumers are uninspired with Cereal - finding morning inspiration elsewhere Breakfast is the biggest in home meal occasion Declined for the first time in 5 years Breakfast is the biggest in home meal occasion Declined for the first time in 5 years Source : KANTAR Consumption Panel Cereal = in home breakfast occasion 95% of all Cereal consumed at breakfast in home Cereal = in home breakfast occasion 95% of all Cereal consumed at breakfast in home Cereal has lost 23 million occasions RTE (140million) propped up by Porridge Cereal has lost 23 million occasions RTE (140million) propped up by Porridge

4. This is the continuation of a trend... Cereal Bars30.6 Morning Goods23.9 Hot Cereals18.7 Biscuits10.4 Bacon10.1 Vegetables4.9 Sausages2.7 Fruit1.9 Top Growing Foods at Breakfast in the last 3 years: % Change 08 Vs. 11

5. Who are these cereal deserters? Rolling YoY change in breakfast occasions (m) – RTE Cereals Kantar WorldpanelUsage, In Home, 12 m/e Nov 2011, Occasions (Actual ch)

6. Olivia, 39, lives with her husband & three children ages 5 - 11 Key to understanding these trends is understanding our consumer... Mornings are a hectic time in Olivia’s household Breakfast is a must – her family will eat something! Often ends up being convenience driven Wants what’s best for her family and knows cereal is a good choice, but food is fuel

7. To win in such a tough environment we have based our strategy in the benefits of cereal as a category OUR VISION To champion nutrition and all that is good in cereal THE STRATEGY To assert Nestlé Cereals’ nutritional superiority against other breakfast choices This has lead us to a brave, fresh approach...

8. Guess the Calories! Medium latte (Semi-skimmed milk) = 188 calories Starbucks Almond Croissant = 465 calories Starbucks All Day Breakfast Panini = 348 calories Greggs Bacon Roll = 460 calories Harvester’s ‘The Big Breakfast’ = 780 calories Sausage & Egg McMuffin = 560 calories Glass of Tropicana = 108 calories 2 slices of toast with Nutella = 360 calories Cheerios with semi skimmed milk = 171 calories

9. The Battle of the Breakfasts - A category driving initiative, championing cereal as the best breakfast choice Strong insight-led strategy, building long-term potential growth platform Use of high impact media with TV, Print and Digital featuring Excellent retailer reaction with strong Shopper Marketing Brave new creative with longevity potential...

10. ...executed through the line...and exciting Shopper trials in ASDA engaging consumers at POP...digital placement and takeovers providing dwell time for the numbers... With a PR campaign focussing on the benefit of cereal... The Battle of the Breakfasts - A category driving initiative, championing cereal as the best breakfast choice

11. Initial feedback & coverage has been very motivating...

12. In 2012 we have seen a step change in strategy. Insights have shown there is a need to re-invigorate belief in the cereal category, and re-establish cereal as the best breakfast option. This is in reflection of a period where the cereal category has been in decline, and the rise of out of home breakfast consumption has impacted the category’s growth.

13. Looking ahead to 2013 Our Strategy

14. Continue to demonstrate category leadership in 2013 with Breakfast Better Announcement of renovation news Awareness & engagement of existing comparative campaign All Nestlé family cereals are now a good source of Vit D and Calcium Helps kids build strong bones! Engage Mum with the surprising numbers Target her with long dwell time media at key influencing times: cupboard/store

15. What the year will look like JFMAMJJASOND H1 Renovation Focused H2 Engagement Focused Renovation news enhancing master brand comms Master brand comms / build engagement Light weight activity to maintain presence Awareness, informative, relevancy, encourage interaction Relevancy and consistency Awareness, informative, relevancy, encourage interaction Press, TV OOH, Digital/mobile, search Bespoke TV AV, OOH, Digital / mobile, search ROLE BEHAVIOUR CHANNELS

16. Our Key Challenges Cereal category still in decline – due to OOH growth and switching to other categories There is little we can communicate on whole grain EU regulations hindering our ability to make claims Building upon 2012 Breakfast Better campaign to ensure it stays fresh and exciting in 2013 Capitalise on renovation news in Q1 2013 –Vit D, Calcium and sugar reduction

17. Our brief to you

18. Create a digital presence for the 2013 Breakfast Better campaign BOTB Website / Stat Hub Still Surprising with numbers Consumer Interaction BB Champions Renovation & BOTB

19. Budget & Timings EXPECTATIONS Initial thoughts / ideas / challenges sparked by this brief Rough creative ideas Costs and top-line timing Align with the overall strategy and ATL messaging RESPONSE w/c 30 th July 2012 £75,000 £100,000 £130,000 Sliding scale

20. What else is going on? 2 Key activity periods: Jan- March TV Press (renovation news) Outdoor (renovation) Shopper activity Aug-Sept TV Outdoor Shopper Year round consumer PR

21. In summary.. We want to create a digital platform that can support the whole Breakfast Better campaign – allowing consumers to interact with our key messages All elements should be aligned with our strategic & creative direction and continue the momentum of the 2012 Battle of the Breakfasts campaign, whilst keeping it fresh and exciting in 2013