Pocky Competitive Ads

August 2019

1 1. In-Category Brands WHAT • Media Landscape • Creative Themes • Brand Deep Dives YOU’LL 2. Misc • Brands Connecting to a Great Cause SEE • Risk To Cause Marketing Approaches • Brands Doing Cool Things TODAY 3. Out-of-Category Brands • Media Landscape • Brand Deep Dives

2 + EXECUTIVE SUMMARY

3 + EXECUTIVE SUMMARY

IN & OUT OF CATEGORY • Spend and creative continues to be focused on visually impactful environments (TV, print, digital, celebrities, influencers) • National Television continues to be used as a primary channel among most brands as a mass-reach vehicle and strengthening their message with the use of sight, sound, and motion • Overall, YoY media spend/channel mix changes are minimal

IN-CATEGORY • Cable TV and Magazines specifically are the preferred channels within the Cookie and Chocolate category • The few brands that reported Spanish language media support in 2018, continued to do so in 1H2019 • Some brands that showed little spending in 2018 have dropped significantly in spending • Seasonality continues to play a large role, especially around key holidays (Valentines Day, Easter, etc. • Brands are partnering with other big names for the cultural cache (some even expanding ecommerce through these initiatives) • Brands are creating more content that appeals to trends among youth (Millennials and Gen Z) • Brands investing in bilingual creative and putting paid support

OUT-OF-CATEGORY • Most brands continued to spend most of their media budget in 1-2 channels and focus on specific audiences • YoY media mix relatively consistent with most of the brands

4 + TRENDS

5 + CULTURAL PARTNERSHIPS ON THE RISE! Brands are in tune with the top trends and creating products and creative inspired by them

Oreos released their Game of Thrones themed Oreo right before the debut of the season finale of the popular show. Oreo released a statement that they are, “always looking for new ways to playfully tap into emerging trends and mainstream culture.”

Travis Scott x Reese’s Puffs Pop-Up debuted in Paris and instantly sold-out. This special- edition cereal box was designed by Travis Scott himself.

6 + BRANDS RESONATING WITH YOUTH (MILLENNIALS AND GEN Z) Brands are tapping into trends among the youth and generating content that resonates with these audiences

Reese’s freezes their (chocolate and peanut butter) eggs as a stunt to “Send a mood” IG Stories by engage with fans after Easter while Snickers further reinforce playing into the popular method how they’re trying to stay Chips Ahoy! taps into ASMR as Hershey’s integrates millennial women are using to save hip with the youth by using a trending treatment for emojis into their classic their reproductive eggs for some time trending lingo “thumbstopping” content milk chocolate bar in the future

7 + UNCONVENTIONAL MOMENTS ARE TABLESTAKES Aligning with unconventional (or even creating “new”) holidays give ownership to a brand and yet another reason why their brand is relevant to people.

Oreo turns the 50th Anniversary of Reese’s creates their own national holiday, Brands like Snickers are Apollo 11 into a big deal on their giving users yet another excuse to enjoy Reese’s. showcasing unconventional feed and in the aisle holidays to further showcase their product and stay top of mind.

8 + BRANDS FOCUSING ON ONE PAIRING OR MULTIPLE USE-CASES Brands have figured out that audiences are excited by finding out different ways to enjoy and pair their product ONE PAIRING USE-CASES

Brands, like Twix, focusing on pushing how coffee and Twix are Hershey’s focuses on pairing their Milk’s favorite cookie pairs well the perfect pairing! chocolate bars with ‘Smores this summer with other dessert items!

9 + EXPERIENTIAL EXPERIENCES TO STAY TOP OF MIND Competitors capturing busy Millennials attention with experiential activations

OREO is already planning to have a Team USA truck tour the US prior to the 2020 Olympics (truck will make 20 stops around the US The rooms in the truck will allow fans to meet the athletes and enjoy free samples of Oreos Hershey’s promoting experiential activation on social to get more foot traffic

10 + BRANDS INVESTING IN HISPANIC DEMO Brands tapping into “trending treatments” that appeal to Gen Zers and Hispanic interests through paid social.

Snickers taps into Hispanic-American Hershey’s M&Ms bar is Twix continues to appeal to Hispanic cultural insights to show off their new marketed towards Hispanic audiences while pushing how Twix Creamy Snickers product audience with Spanish creative and Coffee is the perfect duo

11 + BRANDS CONNECTING TO A GREATER CAUSE

12 + CAUSE MARKETING SPECTRUM Brands need to identify the level of involvement based on how much it aligns with their brand’s mission/strategy and their audiences’ affinities

M&Ms BEN & JERRY’S LACOSTE DOVE NIKE

Low High

M&Ms celebrates pride Ben & Jerry’s launched To raise awareness for Dove partnered with Getty Nike took a huge risk by with light-hearted, limited time ice cream endangered species, Images and Girlgaze for taking a stance in the fun in-feed gamified flavor named ‘Save our Lacoste replaced its iconic Project #ShowUsand featured political climate. were giveaway. Swirled’ to bring crocodile logo with 10 over 5,000 photographs of rewarded with huge awareness to climate different animals. women from 39 countries support from their change. with zero digital distortion. customers

13 + RISKS TO CAUSE MARKETING

14 + CAUSE MARKETING MISSES Brands risk coming off as inauthentic and tone deaf when they rush to support social causes with no organic relevance to their values. Cause-led marketing is most effective when the brand stays true to itself and its audience while displaying genuine sensitivity and cultural relevance.

Burger King quickly drew criticism from some OREOs shows off their “pride” with special McDonalds sparked controversary on Int'l Women's Day on social media, who claimed it was edition packs, but fans aren’t impressed with an empty gesture of turning their infamous 'M' downplaying mental illness or attempting to upside down profit off the subject

15 + IN-CATEGORY REVIEW MEDIA & CREATIVE

16 + OREO

17 + 1H2019 OREO SPEND: $16,763,364 TARGET: Millennials and Gen Z BRAND STRATEGY: Originality. Creativity. Reactivity. Local Radio Local TV TAGLINE: Milk’s Favorite Cookie 1% 1% CAMPAIGN LINE: Stay Playful HIGHLIGHTS: • Oreo takes an even stronger pop-culture moments approach with partnerships like GoT • Oreo taps into unconventional holidays to generate other days in to stay top- of-mind for fans • Oreo Thins has a different strategy that doesn’t quite fit in with “Stay Playful” National TV 1H2019 MEDIA SPEND INSIGHTS: 98% • Heavily invested Cable TV (wide range of networks • Noticeable spike in cable spend in March (likely from Oreo Day)

18 IG: 2.6M Followers | TW: 851K Followers | FB: 42M Likes | Posting Cadence: Daily-Every Other Day + OREO’S AREN’T JUST MILK’S BFF Oreo is showcasing various ways to enjoy their cookie, instead of their classic Milk marketing

PAID

19 + BLOWING UP CULTURAL MOMENTS TO STAY TOP OF MIND Oreo was one of the only brands to tap into the cultural phenomenon Game of Thrones which thoroughly impressed their audience

20 + OREOTHINS SPOT SHOWS OFF OREO’S EDGY SIDE New spot that ran on TV and Hulu preroll/midroll shows off a different side of OREO that isn’t as bubbly and playful as we’re used to with their regular OREO spots

‘CRISP TWIST’

21 + GETS RID OF THEIR O’S To promote World Blood Donor Day

• Oreo removed the O’s from their name to help promote World Blood Donor Day • They said they were missing their O’s to mirror blood type O • Oreo then monitored their progress on Twitter, showing followers that they were slowly helping Oreo get back their O’s

22 + UNCONVENTIONAL MOMENTS LEAD TO EXTRA UGC Oreo also uniquely tapped into Holidays such as Moon Landing anniversary which few brands participated in

Weekly highlight that shows off UGC and encourages Moon Landing Anniversary others to create their own posts

23 + 50th ANNIVERSARY OF APOLLO 11 Limited Edition Marshmallow Moon Oreos

• To commemorate the 50th Anniversary of the Apollo 11 moon landing, Oreo released limited edition Marshmallow Moon Oreos • These cookies are filled with a purple marshmallow creme and feature images of an astronaut, a crescent moon with stars and a rocket ship • To top it all off, the packaging is made with special ink that glows in the dark

24 + TEAM USA SPONSORED BY OREO An Interactive Social Media Experience ahead of Tokyo 2020

• This interactive experience allows fans of Team USA to meet the athletes, collect prizes and more • The truck will make 20 stops around the US • Fans will navigate 4 rooms that simulate: the Opening Ceremonies, the streets of Tokyo, a hype room and finally the last rooms allows fans to meet the athletes and enjoy free samples of Oreos

25 + OREO TEASES NEW PRODUCT THAT ADDRESSES WORLD-WIDE #SELFCARE TREND

• CBD-infused food is one of the top culinary trends of 2019 • Oreo is looking into introducing CBD- infused Oreos into the family • Would require new packaging and possibility of risking the company’s family friendly label

26 + BANNERS DRIVING DIFFERENT OUTCOMES

Driving to shop.oreo.com

Driving to recipe site

Driving to recipe site

27 + REESE’S

28 + 1H2019 REESES SPEND: TARGET : Millennials & Gen Z $68,304,585 BRAND STRATEGY: There’s no better candy than Reese’s

TAGLINE: Reese’s… Perfect. Local TV Cinema HIGHLIGHTS: 2% 3% • Continues to take a tongue-in-cheek, unconventional approach to all they do • Dropped limited edition cereal with Travis Scott that sold out in minutes • Tapping into unconventional holidays and cultural trends to resonate with audiences • Announced Twitch partnership further reinforces appeal to younger audiences 1H2019 MEDIA SPEND INSIGHTS: • Majority of the National TV spending from Reeses is driven by Cable TV • Cable TV network list largely focused on sports, entertainment, and a National TV younger audience 95% ESPN and MTV are the two top reported networks. Both networks reported a spike in spend n February

29 IG: 199K Followers | TW: 313K Followers | FB: 11.9M Likes | Posting Cadence: Weekly + CREATING MORE REASONS TO STOCK-UP & EAT REESE’S Reese’s tying naturally national holidays, creating their own moments and pushing a lot of sweeps

30 IG: 2.6M Followers | TW: 851K Followers | FB: 42M Likes | Posting Cadence: Daily-Every Other Day + PAID SOCIAL ADS PROMOTE ALL REESE’S TYPES Reese’s continues to incorporate their #NotSorry strategy into all product promotional creative

PAID PAID

31 + BANNERS SHOWING OFF NEW REESE’S FLAVORS Reese’s uses bright and captivating colors to grab viewers attention on their banners

LIMITED TIME PROMO

LIMITED TIME PROMO

LIMITED TIME PROMO

RETAILER SPECIFIC

32 + REESE’S SHOWCASES ALL PRODUCT LINES ON TV Reese’s uses their TV ads to promote their #NotSorry campaign

‘TECHNOLOGY’ ‘MOTHER OF THIN’

33 + REESE’S IS UNAPOLOGETIC ABOUT HOW THEIR “EGGS” ARE IN PLAIN SIGHT Reese’s uses Will Arnett’s sarcastic, funny and witty voice as the VO on their campaign

‘IN PLAIN SIGHT’

34 + REESE’S COMMITED TO PB VS CHOCOLATE LOVERS FEUD

‘EITHER OR EITHER’ Reese’s promotes limited time only 2-day pop-up in NYC: fans had to decide The Hershey Company “Reese’s Lover Cup” with more if they were a Peanut Butter Lover or opened HersheyPark and chocolate or more peanut butter Chocolate Lover and were encouraged to Reese’s introduced a PB vs language, in TV spot. swap something they love for an early Chocolate interactive taste of Reese’s Lovers Cups. experience.

35 + TRAVIS SCOTT LIMITED EDITION CEREAL BOX SELLS OUT IN :30 SECONDS Brands are tapping into more exclusive products to generate

• Travis Scott partnered with Reese’s Cereal to create a limited edition cereal box designed by Travis himself • Travis also designed a cereal bowl and spoon • His special cereal box sold out in just 30 seconds. Each box was $50, but users are selling the box and bowl online for $200+ • Collaboration went live with a pop-up shop in Paris for Paris Fashion Week

36 + REESE’S DEBUTS ON TWITCH

Reese's makes their grand debut on Twitch by showcasing their "eggs"

• The Hershey Company signs on as a sponsor for TwitchCon North America, reinforcing dedication to appeal to younger audiences • Video ads will appear on Twitch and Reese’s will also have an official presence at TwitchCon North America

37 + REESE’S EGGS GET “FROZEN” SO FANS CAN ENJOY POST EASTER

• Playing on the method many women utilize to save their eggs for the future, Reese’s is also freezing their (chocolate and peanut butter) eggs • People are obsessed with Reese’s Peanut Butter Eggs. So obsessed that some even stockpile the limited-edition chocolate before they disappear • Reese’s froze thousands of Peanut Butter Eggs and have recently just redistributed them in the middle of summer

38 + SNICKERS

39 + TARGET: Everyone. Media tends to skew more Millennial & Male. 1H2019 SNICKERS SPEND: BRAND STRATEGY: When you’re hungry, you’re not yourself. Snickers is the perfect antidote, $26,201,211 satisfying your hunger. TAGLINE: You’re not you when you’re hungry HIGHLIGHTS: • You’re not you when you’re hungry campaign continues with a slight tweak to the creative focus (brand also activating in experiential initiatives) Online Video Print • Snickers goes heavy on promoting their new “Creamy” Snickers line by tying it into 1% 22% #YourNotYouWhenYourHungryby showing how this product “smooths” awkward moments over Local Radio • Snickers is investing more into Hispanic audience with unique creative that appeals to 1% Hispanic-American culture Network 1H2019 MEDIA SPEND INSIGHTS: Radio • Similar to the rest of the category, Cable TV and Magazines makes up most of Snickers 1% National TV reported media spend 75% • Cable TV network list is quite broad (mix of sports, entertainment, younger audience, women lifestyle, etc.) • Snickers also reports Spanish Language TV support • Similar to Cable TV, the types of print partners reported are among a broad mix (Sports Illustrated, Better Homes & Garden, People, U.S. Weekly, etc.)

40 IG: 382K Followers | TW: 349.7K Followers | FB: 10.1M Likes | Posting Cadence: Daily-3+ Posts Per Platform/Week + SNICKERS ICE CREAM BAR: SATISFYING + EASY TO GET ”Summertime satisfaction” means all the benefits of an ice cream truck without the hassle

41 + STAYING TOP OF MIND ORGANICALLY Snickers is creative in the way that they show off product while encouraging users comments

42 + “SEND A MOOD. GIFT A SNICKERS” GOES AFTER GEN Z AUDIENCE Snickers encouraging interactive experiences, which we have seen has proven to perform well. This also taps into the “gifting” insight we have seen recently with Pocky

43 + SNICKERS HUMOR SHINES THROUGH EVEN ON BANNER ADS Brands are promoting all product lines with exclusive banners for each product

44 + NEW CREAMY SNICKERS SMOOTHS AWKWARD MOMENTS YOU’D SEE ON MOVIES/TV SHOWS These very different looking ads shows how Snicker’s promotes varied types of spots to appeal to different audiences

‘HEIST’ ‘ADULT SWIM: ACTION TEAM UNITE!’

45 + MS DHONI STUNT SHOWS IRL HOW EVEN CELEBS AREN’T THEMSELVES WHEN THEY’RE HUNGRY

• Snickers teamed up with Snickers ambassador and Cricket player MS Dhoni and created a prank campaign playing on the Snickers slogan ’You’re Not You When You’re Hungry’ • In a video, Dhoni told his fans that we was quitting Cricket to become an artist. He even revealed some of his artwork • He then creates another video that ends with Dhoni admitting he was hungry when he made the video and is rethinking his ‘hungry decision’

46 + TWIX

47 + 1H2019 TWIX SPEND: TARGET: Millennials and Gen Z $16,041,421 BRAND STRATEGY: There are two sides to every Twix TAGLINE: Try both and pick a side HIGHLIGHTS: • Twix focusing efforts on positioning Twix & coffee as the perfect duo Print • Social creative really pushing new flavors with same quirky tone 34% • Twix continues to appeal to Hispanic audiences (with paid support, as well) 1H2019 MEDIA SPEND INSIGHTS: • One of the few competitors with presence seen in Spanish language networks National TV • Top network spending comes from MTV, VH-1, Adult Swim, Comedy Central, 66% and TBS being the top stations (clearly a stronger focus on younger/comedy audiences) • Magazine publications tend to be focused on entertainment and women lifestyle (People, Southern Living, Cosmopolitan, etc.)

48 IG: 732K Followers | TW: 20.2K Followers | FB: 10.1M Likes | Posting Cadence: Daily-Every Other Day + TWIX + COFFEE = BEST COMBO Twix pushing how Twix and Coffee are a match made in heaven.

49 + INNOVATIVE WAYS IN THROUGH PAID SOCIAL Twix shows a unique way to mix their product with Chocolate and Coffee

50 + INNOVATIVE ORGANIC CONTENT THAT PROMPTS ENGAGEMENT BY ASKING TO PICK A SIDE (OR PAIRING) Twix shows a unique way to mix their product with Chocolate and Coffee

51 + “PICK A SIDE” VS “PICK A FLAVOR” IG STORIES Twix utilizes their IG stories

52 + CTA PLACEMENT FURTHER DRIVES “PICK A SIDE”

53 + HERSHEY

54 + 1H2019 HERSHEYS SPEND: TARGET: Chocolate Lovers $53,703,276 BRAND STRATEGY: Hershey’s has always warmed hearts. Now, it’s their mission. All to create a better world. Cinema TAGLINE: There’s a smile in every Hershey’s bar 2% Local TV CAMPAIGN LINE: Heartwarming the world 2% Print HIGHLIGHTS: 9% • Continuing to push brand campaign that launched September 2018 -- #HeartwarmingTheWorld • Social efforts touting more reasons to buy Hershey’s products throughout the year 1H2019 MEDIA SPEND INSIGHTS: • Cable TV network list a broad mix of interests • Top networks include USA, MTV, VH-1, Comedy Central, Adult Swim, TV Land, etc. National TV • Magazine spend is more focused on women, lifestyle, and food publications 87% • Publications include Better Homes & Gardens, People, Real Simple, Martha Stewart Living, Rachael Ray Every Day, etc.

55 IG: 212K Followers | TW: 235.2K Followers | FB: 9.8M Likes | Posting Cadence: 3x (or more) per platform/week + HIGHLIGHTING USECASES ON SOCIAL

56 + CAPITALIZING ON THE CLASSIC HERSHEY’S CHOCOCLATE S’MORES EXPERIENCE

Hershey’s promoting experiential activation on social to get more foot traffic

57 + HERSHEY USES SIMILAR CREATIVE ON THEIR BANNERS AS ON THEIR SOCIAL

58 + YOU’RE NEVER TOO OLD TO CHANGE THE WORLD

‘HEARTWARMING THE WORLD: BOB’

59 + HERSHEY’S ADDS AN EMOJI BAR TO THEIR CANDY BAR LINEUP

60 + THE EMOJI COMPANY & HERSHEY PARTNERSHIP • Hershey has signed a licensing agreement with The Emoji Company • Following the agreement, Hershey has put emojis on their wrappers and have etched emojis into their chocolate bars for a limited time

61 + HERSHEY PARTNERS WITH LAUREN JAUREGUI

• Hershey partnered with member of Fifth Harmony, Lauren Jauregui to inspire teens to increase connection and overcome social isolation • Jauregui headlined the “Makers of Good Teen Summit,” a one day event in NYC for teens across the nation to come together to collaborate and develop ways for overcoming social isolation

62 + M&M’S

63 + TARGET : 18- to 50-year old 1H2019 M&Ms SPEND: BRAND STRATEGY: Connecting with customers by living in the moment, being part of culture, $53,409,685 and making sure M&M’s always brings something positive TAGLINE: Melts in your mouth, not in your hand HIGHLIGHTS: Cinema • Advertising campaign remains focused on relatable, beloved M&M’s characters 16% • Consistent product innovation centered around holidays, social media heavily reflects this • Consumer involvement implemented with new flavors to be voted upon Print 1H2019 MEDIA SPEND INSIGHTS: 15% • 43% of cable spend comes from MTV, Comedy Central, TV Land, VH-1, and TBS Search National TV (Younger/Entertainment/Comedy focused 1% 63% • Sizeable Spanish Language TV reported within National TV investment Online • M&M’s had a big push with IMDB.com in 1H2019, which aligns with their continued Video Display commitment with Cinema support 1% 4% • Top print partnerships are with People, Better Homes & Gardens, and Entertainment Weekly

64 IG: 1M Followers | TW: 105.4K Followers | FB: 10M Likes | Posting Cadence: Daily-Every Other Day + WHICH WAY DO YOU LIKE YOUR M&MS?

65 + HIGHLIGHTING M&M BARS TOWARD A HISPANIC AUDIENCE

66 + EMPHASIZING THEIR NEW M&M BARS

67 + M&M’S ARE TOO DELICIOUS TO SPEAK FOR THEMSELVES

‘NEW SPOKESCANDY’

68 + NEW M&M’s BARS

M&M’s released chocolate bars in 5 new flavors: Almond, Milk Chocolate, Crispy, Peanut and Crispy Mint

69 + M&M WANTS YOU TO TRAVEL

M&M’s brought back their flavor vote program, allowing fans to vote on their newest peanut flavor variety line and a chance to win a trip around the world

70 + KIT KAT

71 + 1H2019 KIT KAT SPEND: $21,609,752 TARGET: Media is Millennial-focused BRAND STRATEGY: Be the social snack for people of all ages Local TV 2% TAGLINE: Have a break…Have a Kit Kat! HIGHLIGHTS: • #BreaksAreGood campaign brings iconic tagline into social • Organic social highlights recipes incorporating Kit Kat, coordinating with calendar holidays • Paid social is a quick, snippy way to push their overall social strategy 1H2019 MEDIA SPEND INSIGHTS: • Kit Kat’s media mix shifted to solely focused on video National TV • Cable TV network list largely focused on a younger audience 98% • 22% of cable spend comes from MTV alone • Other notable networks include VH-1, USA, and Comedy Central

72 IG: 778K Followers | TW: 400K Followers | FB: 26M Likes | Posting Cadence: Daily-Every Other Day + TAKE A BREAK WITH A KIT KAT

73 + THERE’S A KIT KAT FOR EVERY OCCASION

74 + ANY KIND OF BREAK, KIT KAT WILL BE THERE

75 + KIT KAT AD STAYS ON BRAND Brand continues to push “have a break” brand strategy in new TV spot

‘REVERSE’

76 + TAPPING INTO “NO SUGAR” HEALTH CRAZE

• Kit Kat is making a “no sugar added” chocolate bar that is “naturally sweetened” • The sweetness will come from extracting sugar from the pulp of the cacao fruit, a section of the fruit that is typically thrown away • Kit Kat plans to launch this treat Fall 2019 in Japan, and expand to other countries in 2020

77 + KITKAT TAPS INTO PUMPKIN-EVERYTHING TREND EARLY THIS YEAR In July Kit Kat released their new Halloween Flavor: Pumpkin Pie

78 + CHIPS AHOY!

79 + 1H2019 CHIPS AHOY SPEND:

TARGET: Millennials and Gen Z $5,786 BRAND STRATEGY: America's Favorite Chocolate Chip Cookie! Display 5% HIGHLIGHTS: • Most activity to be found is in social, as of late November 2018 1H2019 MEDIA SPEND INSIGHTS: • Minimal spend in Chips Ahoy for 1H2019, can essentially consider Chips Ahoy dark for 1H2019 as reported from Kantar. Please keep in mind, Kantar under reports on digital channels, so Chips Ahoy may have shifted spend to online channels • Only reported Print partner comes from Convenience Store News, a B2B publication

Print 95%

80 IG: 38.1K Followers | TW: 36.6K Followers | FB: 1.4K Likes | Posting Cadence: 3x (or more) per platform/week + CHEWY AND GOOEY CHIPS AHOY

81 + ASMR CONTENT SHOWS APPEAL TOWARDS GEN Z AUDIENCE

82 + CHIPSAHOY! SWAG TO CELEBRATE #NATIONALCHOCOLATECHIPCOOKIEDAY

83 + OUT-OF-CATEGORY BRAND REVIEW MEDIA & CREATIVE

84 + OUT-OF-CATEGORY BRANDS FROM 2018

WEST COAST BRAND WITH $5MM BRANDS WITH $5MM TOTAL SPEND BRANDS WITH $35MM SPEND IN 2018 IN 2018 NATIONAL SPEND IN 2018

85 + OUT-OF-CATEGORY BRANDS – 1H2019 UPDATES

1H2019: $2,715,731 1H2019: $1,851,813 1H2019: $246,821

• YoY first half spend is on pair with 1H2018 • YoY first half spend slightly decreased (- • Spend dramatically decreases in 1H2019, • Media mix continues to be largely Print 20%) dropping from $4.6MM in 2018 (95% Newspaper) • Media mix continues to lean heavy Local • 1H2019 spend reported exclusively in TV (81%), followed by some Outdoor Local Radio in Feb/Mar 2019 (18%)

Source: Kantar 2018 – 1H2019 (Net Dollars) 86 + OUT-OF-CATEGORY BRANDS – 1H2019 UPDATES

1H2019: $2,343,870 1H2019: $2,902,208 1H2019: $488,175 1H2019: $1,320,574

• Slight decrease in YoY first half spend • YoY first half spend slightly decreased • Spend dramatically decreases in • YoY first half spend increases (-14%) (-11%) 1H2019, dropping from $1.6MM in • Media mix shifts from previously being • Reported media mix completely • Media channels used YoY has not 1H2018 digital focused to now being National adjusted. Shifts from Print dominant to changed, however, allocation shifts to • Print, Search, and Display drop TV (66%) and Print (26%) dominant 100% National TV be heavier Print and Online Video drastically (which aligns with the cookie/candy • TV still represents 50% and radio • However, current mix still largely comes category) represents 24% of the total mix from Search (81%)

Source: Kantar 2018 – 1H2019 (Net Dollars) 87 + OUT-OF-CATEGORY BRANDS – 1H2019 UPDATES

1H2019: $21,566,358 1H2019: $12,590,532 1H2019: $13,898,558

• YoY first half spend is slightly higher (24%) • YoY first half spend reports sizeable • Spend decreases in 1H2019, dropping • National TV continues to be the decreased (-39%) 34% from 1H2018 dominant channel (97%) • Media mix YoY unchanged – continues to • Previous media mix shifts from largely be National TV (78%) and Print (10%) National TV and some Local TV, to almost dominant all National TV in 1H2019 (98%)

Source: Kantar 2018 – 1H2019 (Net Dollars) 88 + Three Evaluation Approaches “What type of media channels do advertisers with $5MM in advertising spend use?”

West Coast Brand Brands with $5MM Brands with $35MM with $5MM Spend Total Spend National Spend

Includes brands that spend Consist of brands that spend Brands that spend approximately approximately under, at or a approximately $5MM in total. $35MM nationally, which slightly above $5MM within CA, OR, Majority of advertising spend is represents approximately $5MM or WA done nationally within CA, OR, or WA

89 + THANK YOU

90 +