1. 1 © 2007 Mintel International Group. All rights reserved. insight + impact The world is going nuts! Trends and opportunities in nuts Presented by: Lynn Dornblaser, Director, Custom Solutions Group Mintel International January 19, 2008

2. 2 © 2007 Mintel International Group. All rights reserved. insight + impact Mintel’s trend tracking tools GNPD: tracking new products around the world GNPD IRIS: providing an understanding of product success Product retrieval: delivering products to your door Mintel Reports: understanding the “why” behind the trends Menu Insights: revealing trends in menus, flavors, ingredients Mintel Custom Solutions: bringing it all together

3. 3 © 2007 Mintel International Group. All rights reserved. insight + impact Today’s presentation First, an overall look at the new product numbers A closer look at numbers in nuts Trends in nuts: –Flavors –Healthy positioning –Exclusivity Some thoughts for the future

4. 4 © 2007 Mintel International Group. All rights reserved. insight + impact Food and beverage shows strong increases

5. 5 © 2007 Mintel International Group. All rights reserved. insight + impact Europe, Asia have strongest growth Source: Mintel GNPD Global food & beverage new product introductions, 2005-2007

6. 6 © 2007 Mintel International Group. All rights reserved. insight + impact What’s happening in nuts? The numbers: –Snack nut sales in the USA up only slightly, but new product introductions up more strongly –Asia leads in snack nut introductions –Consumers use nuts primarily as snacks The trends: –Sweet, salty, unique flavors –Health-related claims –Energy claims –Providing a sense of “exclusivity”

7. 7 © 2007 Mintel International Group. All rights reserved. insight + impact Nuts form an important part of salty snacks Source: Mintel Premier

8. 8 © 2007 Mintel International Group. All rights reserved. insight + impact Nuts by region dominated by Asia Source: Mintel GNPD Global snack nut introductions, by region, 2005-2007

9. 9 © 2007 Mintel International Group. All rights reserved. insight + impact US snacks Source: Mintel GNPD US snack introductions, by category, 2005-2007

10. 10 © 2007 Mintel International Group. All rights reserved. insight + impact Snack nuts hold their own in salty snack category Source: Mintel Premier

11. 11 © 2007 Mintel International Group. All rights reserved. insight + impact Salted nuts most popular Source: Mintel Premier

12. 12 © 2007 Mintel International Group. All rights reserved. insight + impact Global flavored nuts: most prevalent and emerging Source: Mintel GNPD

13. 13 © 2007 Mintel International Group. All rights reserved. insight + impact Unique flavors Dan On Foods’ Dan D Pak Coconut Peanuts, Vietnam; Aldi’s Farmer Black Pepper Peanuts, Germany

14. 14 © 2007 Mintel International Group. All rights reserved. insight + impact Flavors: hot and spicy Migros’ Party Peanuts with Wasabi, Switzerland

15. 15 © 2007 Mintel International Group. All rights reserved. insight + impact Unique flavors: hot and spicy Sabritas’ Radical Chili and Lemon Peanuts, Mexico, in an “Inferno” variety; Santa Barbara Pistachio’s Chile-Lemon Pistachios, USA

16. 16 © 2007 Mintel International Group. All rights reserved. insight + impact Consumers understand the healthfulness of nuts Source: Mintel Premier

17. 17 © 2007 Mintel International Group. All rights reserved. insight + impact Energy Kraft Foods’ Planters NUT-rition Energy Mix, USA, with almonds, dark chocolate covered soy nuts, walnuts, and pecans

18. 18 © 2007 Mintel International Group. All rights reserved. insight + impact Energy Sweet Energy’s Energy Nuts Mix, USA, with raisins, peanuts, pecans, cashews, walnuts, almonds, and Brazil nuts; Dakota Valley Products’ Sumseeds Energy Seeds, USA, sunflower seeds with added caffeine;

19. 19 © 2007 Mintel International Group. All rights reserved. insight + impact Naturally rich in Australian Pioneer’s Oven Dried & Salted Australian Pistachios, Australia, with a claim of being a good source of fiber and vitamin E

20. 20 © 2007 Mintel International Group. All rights reserved. insight + impact Portion control Blue Diamond Growers’ 100 Calorie Pack Grab & Go Bags, Canada; CVS Pharmacy’s Gold Emblem Cashews, USA, in a 1.5-oz. snack size

21. 21 © 2007 Mintel International Group. All rights reserved. insight + impact Portion control Kraft Foods’ Planters Nuts on the Go!, USA, a multipack of 24 individual 28g bags; Costco’s Kirkland Variety Snacking Nuts, USA, a box with 24 individual snack-size packs of cashews, almonds, and peanuts

22. 22 © 2007 Mintel International Group. All rights reserved. insight + impact Healthy: organic Safeway’s O Organics Organic Almonds, USA, part of a broad line of organic products; Kraft Foods’ Planters Organic Nut Selections, USA

23. 23 © 2007 Mintel International Group. All rights reserved. insight + impact Fair trade Equal Exchange Trading’s Montecristo Cashew Nuts, Finland; Alter Eco’s Amazonian Nuts, France, made with nuts from Peru

24. 24 © 2007 Mintel International Group. All rights reserved. insight + impact Nuts mostly eaten on their own Source: Mintel Premier

25. 25 © 2007 Mintel International Group. All rights reserved. insight + impact Nuts as ingredients, global Source: Mintel GNPD

26. 26 © 2007 Mintel International Group. All rights reserved. insight + impact Meals Bofrost’s Chicken-Curry Dish, Austria, frozen meal with chicken, peppers, cashews, and pineapple; Loblaws’ Presidents Choice Pineapple Rice Side Dish, Canada, with cashews and vegetables

27. 27 © 2007 Mintel International Group. All rights reserved. insight + impact Almonds show greatest growth in usage Source: Mintel Premier

28. 28 © 2007 Mintel International Group. All rights reserved. insight + impact Walnuts trend toward older consumers Source: Mintel Premier

29. 29 © 2007 Mintel International Group. All rights reserved. insight + impact Unique packaging Kraft Foods’ Planters nuts in a Mr. Peanut canister, USA; Albert Heijn’s Nut Duo, Netherlands, a two-compartment tub with cashews and almonds

30. 30 © 2007 Mintel International Group. All rights reserved. insight + impact Exclusivity: upscale World’s Finest Chocolate’s Continental Chocolate Almonds, USA; NaturSource Luxure Cashews, Canada, positioned as “a source of energy and a decadent delight”

31. 31 © 2007 Mintel International Group. All rights reserved. insight + impact Exclusivity: upscale seasonings Duyvis’ Cashews with sea salt, Netherlands

32. 32 © 2007 Mintel International Group. All rights reserved. insight + impact Thoughts for the future Keep an eye on overall market trends for ideas for snack nuts (salt varietals, social responsibility, inherent goodness, satiety)‏ Packaging innovation appears to be lacking in the snack nut category—how can packaging better convey benefits, improve usage, or increase perceived value? Focus on the inherent goodness of nuts: protein, healthy oils, fiber Opportunity for limited-edition or limited-time flavors, perhaps with regional or ethnic appeal

33. 33 © 2007 Mintel International Group. All rights reserved. insight + impact www.mintel.com Lynn Dornblaser lynnd@mintel.com 312 932 0400