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November 15, 2016

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November 15, 2016 November 15, 2016 1 Agenda • Foodservice Burger Landscape • 4 Key Drivers of Burger Trends • Top 10 Trends to Drive Burger Sales • Recommendaons 2 Each Week, Three Out Of Four Americans Eat a Burger 75% Burger Recency: % wHo Had a burger… 26% 26% 23% 11% 7% 7% I’ve Had a burger Within the past 2 to 3 Within the past week Within the past 2 Within the past It’s been longer than a within the past day days weeks month month since I Had a burger Source: Datassen.al Burger Keynote Report, 2015 QR1: When was the very last .me you had a burger? This includes both burgers you had at home as well as one you might have purchased away from n=1017 at a restaurant or other eatery. 3 Key Drivers of Burger Trends Health & Wellness High Flavor All Day Indulgent Eating Eats 4 Health & Wellness 5 1. Vegetarian/AlternaHve Protein Burgers Veggie Burgers are Turkey Burgers are Bison Burgers are found on found on found on 19% 18% 2% of burger menus, up of burger menus, up of burger menus, +25% vs +31% vs up +45% YAGO* YAGO* vs YAGO* 6 *Source: Datassen.al Burger Keynote Report, 2015 Bison, Salmon and Brisket are the Top Trending Burger Proteins on Menus +45% +40% Trending Burger Proteins +29% +24% +19% +18% +17% +12% +6% +5% +5% +2% +2% +1% +1% Pork Crab Beef Bison Lamb Bacon Bacon Brisket Turkey Pepper Grilled Salmon Chicken Bacon Smoked Fried Eggs Pulled Pork Applewood Source: Datassential MenuTrends Direct, 2016 Steak Burger MENU GROWTH: % relative change over the past year 7 Source: Datassen?al MenuTrends Evoluon of small plates has helped Sliders maintain their popularity Everything from standard cheeseburgers to trending sauces and flavors can be found on sliders across the industry. ON THE MENU ITEM DESCRIPTION wild sockeye salmon cakes with a hint of lemon and dill, served on grilled WILD SALMON SLIDERS and garlic-buJered slider buns. topped with housemade tartar sauce, arugula, green onions and roma tomatoes. Ground turkey topped with goat cheese, arugula and caramelized onions GOAT CHEESE & TURKEY SLIDER and mel’s sauce on a brioche bun Mini angus burgers topped with pepper jack cheese, homemade BURGER SLIDERS guacamole and caramelized onions 8 9 2. Healthy Halo Burgers % burger menu penetraHon growth vs 4 YAGO** 52% 41% SpinacH 24% Avocado 34% % of consumers interested % of millennials interested in non-leuce greens on in non-leuce greens on burgers burgers Arugula 222% Source: Datassential Burger Keynote Report, 2015 **Source: Datassential MenuTrends Direct, 2016 10 Fruit & Vegetable Toppings Such As Cranberry, Poblano, and Habanero are Trending on Burger Menus +44% +40%+38% Trending Burger Toppings & Veggies +25% +22%+21% +21% +19% +17%+16% +14% +11% +10% +9% +7% +7% +7% +7% +7% +6% +6% +5% +5% Apple Pickle Carrot Truffle Truffle Green Iceberg Arugula Pepper Spinach Pimento Grilled Poblano Roasted Peppers Avocado Avocado Onion Dill Pickle Habanero Cranberry Pineapple Pineapple Cucumber Red Onion Green Chile Leaf Lettuce Black Beans Source: Datassen?al MenuTrends Direct, 2016 Caramelized MENU GROWTH: % relave cHange over the past year Fruit & Vegetable Toppings Growing on Burgers Specialty peppers, non- lettuce greens and pickled veggies are especially notable. ON THE MENU ITEM DESCRIPTION CHIPOTLE BLACK BEAN BURGER On ciabaJa with chipotle cheddar, caramelized onions, tomatoes and chipotle WITH AVOCADO mayo LONGHORN GOURMET with aged white cheddar, garlic spinach, crispy onions and bacon mayo. BURGER Local goat cheese, basil pine nut pesto, roasted red pepper with sweet potato PESTO BURGER fries 12 Pursuit of plant-based foods fueling the vegetarian burger trend Restaurants are eleva.ng the classic burger with alterna.ve, and oUen healthier, proteins, including veggie burgers, salmon burger and poultry-based burgers (chicken and turkey) ON THE MENU RESTAURANT ITEM DESCRIPTION ADOPTED LUKE VEGGIE B. GOOD Mushrooms, caramelized onions, gouda, bbq sauce BURGER BUTCHER & BEE VEGGIE BURGER Green tahini, grilled onions, tomato, feta, zucchini pickles Bison, queso fresco, guacamole, jalapenos, spicy pico de gallo, BAREBURGER EL MATADOR BURGER green leaf, brioche bun 13 14 High Flavor 15 3. Differenated Cheddars % Burger Menu PenetraHon 66% Growth vs 4 YAGO 54% 41% Almost 23% 50% 9% of Consumers Love CHeddar CHeese on THeir Burgers* CHeddar SHarp Aged WHite Smoked CHeddar CHeddar CHeddar CHeddar *Source: Datassential Burger Keynote Report, 2015 **Source: Datassential MenuTrends Direct, 2016 16 English Cheddar has been Americanized in more flavors than ever Look to smoke, aging, color and blends to spruce up any burger. Cheddar is versa.le across the menu and the perennial favorite for all demographic groups. ON THE MENU ITEM DESCRIPTION Double ranch beef, smoked white cheddar, grilled red onions, green leaf CHEESEBURGER leJuce, tomato, sherry vinaigreJe, and spicy aioli Aged white cheddar, bbq sauce, caramelized onions, greens, tomato, sweet BBQ BURGER green chili sauce Our signature burger blend, flame-grilled and topped with sliced smoked SMOKED BRISKET BURGER brisket, our original bbq sauce, aged cheddar cheese and buJer pickles on a grilled brioche bun 17 18 4. Globally-Inspired Flavors % burger menu penetraHon growth vs 4 YAGO** 52% 39% SriracHa 1000% Habaner 200% o % of consumers interested % of millennials interested in ethnic spicy sauces on in ethnic spicy sauces on burgers burgers CHipotle 42% Source: Datassential Burger Keynote Report, 2015 **Source: Datassential MenuTrends Direct, 2016 19 Sriracha is the Trendiest Sauce on Burger Menus; Savory Marmalades and Jams are Also +160% Growing Trending Burger Sauces & Flavors +44%+41% +39%+37% +36% +33% +26%+26% +24% +20% +15%+15% +13% +12% +12% +12% +11% +11% +11% +11% +11% +10% +9% +9% Dill Jam Aioli Baja 1000 Salsa Island h Steak Sauce Ranch Dijon Sauce Buffalo Buffalo Sauce Garlic Honey Special Ranch Cilantro Cheese Mustard Mustard Chipotle Ketchup Pesto Sriracha Roasted Bourbon Hot Sauce Garlic Aioli Garlic Vinaigrette Vinaigrette Horseradis Mayonnais Marmalade Source: Datassen?al MenuTrends Direct, 2016 MENU GROWTH: % relave cHange over the past year 20 Source: Datassen?al MenuTrends Ethnic spicy components connue to heat up on menus, parHcularly on burgers Sriracha and habanero have seen notable spikes on burger menus, while chipotle has become a staple offering. ON THE MENU ITEM DESCRIPTION burger with ghost chili, pickled jalapenos, cilantro, red onion, pepperjack cheese, ATOMIC BURGER habanero sauce. PINEAPPLE EXPRESS teriyaki infused, stout caramelized pineapple, sriracha, BURGER chipotle plum jam, bacon, onion, avocado and mixed greens. JOSEPHINE HOUSE cheddar cheese, harissa aïoli, house-made bun, frites. BURGER korean bbq sauce, cucumber, asian peanut slaw, sriracha, mayo, sweet garlic KOREAN BBQ BURGER chile sauce. 21 22 5. MulHple Cheeses • Cheese Mash Ups = layering more than one cHeese in new and interes?ng combinaons to deliver ‘one-of- a-kind’ builds consumers crave! • CHeese can be delivered in many ways: – Mul)ple slices of cheese – Slice of cheese + cheese sauce – Slice of cheese + Sargento Culinary Complement – Sargento Culinary Complement + cheese sauce 23 Cheese Mash Ups on Trend Layering more than one cheese in new and interesting combinations delivers new and one of a kind builds that consumers crave! ON THE MENU ITEM DESCRIPTION 7 oz. of sizzling burger, pepper jack cheese, jalapenos, sauteed onions & mushrooms, EL WHOPPO BURGER and our queso sauce, served with shredded romaine, sliced tomato, red onion and pickle chips First, we take fresh, never frozen, Midwest-raised beef and sear it on a grill. Then top it COLBY JACK PUB BURGER with Wisconsin Colby Jack cheese, add crispy onions, our 4-pepper mayo with a touch of A.1.®Steak Sauce on an authen.c pub bun, expertly seasoned with herbs and spices. Two giant beef paes topped with monterey jack and mozzarella cheeses, served with DOUBLE CHEESEBURGER leJuce, onions and tomatoes 24 Indulgent Eats 25 6. Stuffed Burgers 37% 66% 60% of Millennials are Interested in Stuffed Burgers* % of Consumers Interested in Stuffed Burger % menu Stuffed Burgers* penetraon growth vs *Source: Datassential Burger Keynote Report, 2015 4 YAGO* **Source: Datassential MenuTrends Direct, 2016 26 Stuffed Burgers offer presentation twist for common toppings and condiments The Juicy Lucy, a cheeseburger with cheese stuffed into the paJy from Minnesota, is also trending on menus. ON THE MENU ITEM DESCRIPTION THE RIGHT STUFFED BURGER stuffed burger filled with crumbled bleu cheese and crispy bacon. 1/2 lb. of house ground sirloin stuffed with roquefort cheese & topped with GOOD DOG BURGER caramelized onions on brioche seasoned angus stuffed with 3 ounces of chihuahua cheese, topped with STUFFED PATTY BURGER roasted poblano pepper, green chile aioli. JUICY LUCY stuffed with american cheese, topped with sauteed onions and mushrooms. 27 7. Indulgent/Over-the-Top Burgers • WHile consumers are certainly interested in Health & wellness, indulgence con?nues to play a role • Indulgence can be part of a balanced diet – consumers indulge as part of their mental well-being Skirt Burger 28 Burgers are the perfect backdrop for experimentaHon and indulgence Skirt Burgers, Sloppy Burgers, Fork & Knife Burgers – over-the-top deliciousness in every bite! ON THE MENU ITEM DESCRIPTION Angus burger piled high with crispy ale baJered french fries, grilled sirloin IRON CITY BURGER steak and Sam Adams craU beer cheese sauce atop a lightly toasted bun with tomatoes, shredded leJuce, and our signature chipotle ketchup Cer.fied Angus beef burger on a buJer-toasted brioche bun,
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