gotbeer
Tue, Dec-30-03, 12:33
Slim-Fast Turns to Whoopi Goldberg
By SHERRI DAY
Published: December 30, 2003
link to article (http://www.nytimes.com/2003/12/30/business/media/30adco.html?ex=1073451600&en=59155d7917e85514&ei=5062&partner=GOOGLE)
IN time to capitalize on the inevitable flood of New Year's resolutions to lose weight, the Slim-Fast Company has enlisted Whoopi Goldberg to entice consumers to forsake fatty foods and competing diet programs and join the Slim-Fast plan.
Television and print ads featuring Ms. Goldberg, who started the Slim-Fast diet in November, will begin appearing on Thursday, as the holiday foodfest comes to an end.
The campaign will combine the ads with new products and a 24-hour online support network for Slim-Fast dieters, who will be able to customize their diet plans and talk with dieticians on the company Web site (www.slimfast-challenge.com).
"Slim-Fast is reinvented; it's not the same old Slim-Fast," said Michiel Kruyt, the vice president for marketing. "It's more than a shake. It's a whole plan, and it's doable."
In the face of increasingly popular low-carbohydrate diets, persuading consumers to try Slim-Fast products could prove difficult, analysts said. Slim-Fast, like many of its competitors in the $40 billion-a-year diet and weight control industry, has recorded declining sales as the Atkins diet gains more followers.
Sales at Slim-Fast, which is the unit of Unilever based in West Palm Beach, Fla., dropped 32 percent in November from a year ago and more than 20 percent in 2003, according to Andrew Wood, a food analyst at Sanford C. Bernstein. In October, Unilever cut its sales forecast for the second time this year, citing slow sales of its frozen meals and Slim-Fast products as the primary reasons.
"Clearly, they realize that it's almost now or never," Mr. Wood said of Slim-Fast. "This is a business that's lost 20 percent of its business in the last 12 months, and it can't continue to fall at this rate. They've got to stop the rot."
The company, which is still the largest player in the diet food business with about 27 to 32 percent of the diet powder and shake market, is betting that the new campaign, products and promotions will help return the brand to healthy sales.
The company has also reversed its position on low-carbohydrate foods, which some company executives derided while promoting Slim-Fast's existing product line. Slim-Fast will introduce a line of low-carbohydrate meal replacement bars and shakes next month, including items like a high-protein carrot cake bar and a chocolate-covered peanut butter bar.
"We're not jumping on the low-carb bandwagon," Mr. Kruyt said. "Recognizing a real trend out there that is much broader than just weight loss is a very real thing for consumers these days. As the leading brand in weight loss, we have to address that issue."
In "Whoopi/Low Carb," Ms. Goldberg runs around a swanky apartment and calls herself a "big loser" who has big news about the Slim-Fast plan. As she introduces several products, she takes a bite out of a low-carbohydrate meal bar and gives a nod of approval. "Baby, your mouth is going to go low-carb crazy while you lose weight," Ms. Goldberg said as she tugged on her blue jeans to reveal that the once-snug pants now have quite a bit of room. Mr. Kruyt declined to say how many pounds Ms. Goldberg has lost, but said that it was healthy to lose about two pounds a week.
In "Whoopi/Lose Twice," Ms. Goldberg encourages consumers to "shake the notion of just shakes out of your head."
As images of the company's pasta, soup and ice cream products flash across the screen, Ms. Goldberg says, "Come on, if I can be a big loser, there's nothing stopping you." She is scheduled to appear in more Slim-Fast ads later next year.
The spots, which were created by Grey Worldwide in New York, part of the Grey Global Group, are aimed at women ages 18 to 45 and will appear on television broadcast networks and several cable stations beginning on New Year's Day. Print ads featuring Ms. Goldberg are also intended to appeal to the same audience and will appear in national weekly and monthly publications like Allure, Time, People and Family Circle magazines, Slim-Fast executives said. The company declined to release information about how much the campaign cost.
After consumers view the ads, Slim-Fast executives hope to woo them into Wal-Mart and Sam's Club stores to buy the products.
On Jan. 10, Slim-Fast representatives will be in Wal-Mart and Sam's Club stores to give personalized service to potential customers, including checking consumers' body mass index and distributing pedometers, product samples and personalized exercise plans.
While some analysts say that Slim-Fast's moves are too little too late, others caution against quickly proclaiming the company's demise.
"You have to take your hat off to Slim-Fast because they've had a number of good years in a row," said John M. McMillin, a food analyst at Prudential Equity Group.
"The fact that the last 12 months have been so bad," he said, "I still think you have to believe that they have a chance of turning it around. Often it takes a long time to reverse a big decline. This, if done correctly, should work to stabilize the business."
By SHERRI DAY
Published: December 30, 2003
link to article (http://www.nytimes.com/2003/12/30/business/media/30adco.html?ex=1073451600&en=59155d7917e85514&ei=5062&partner=GOOGLE)
IN time to capitalize on the inevitable flood of New Year's resolutions to lose weight, the Slim-Fast Company has enlisted Whoopi Goldberg to entice consumers to forsake fatty foods and competing diet programs and join the Slim-Fast plan.
Television and print ads featuring Ms. Goldberg, who started the Slim-Fast diet in November, will begin appearing on Thursday, as the holiday foodfest comes to an end.
The campaign will combine the ads with new products and a 24-hour online support network for Slim-Fast dieters, who will be able to customize their diet plans and talk with dieticians on the company Web site (www.slimfast-challenge.com).
"Slim-Fast is reinvented; it's not the same old Slim-Fast," said Michiel Kruyt, the vice president for marketing. "It's more than a shake. It's a whole plan, and it's doable."
In the face of increasingly popular low-carbohydrate diets, persuading consumers to try Slim-Fast products could prove difficult, analysts said. Slim-Fast, like many of its competitors in the $40 billion-a-year diet and weight control industry, has recorded declining sales as the Atkins diet gains more followers.
Sales at Slim-Fast, which is the unit of Unilever based in West Palm Beach, Fla., dropped 32 percent in November from a year ago and more than 20 percent in 2003, according to Andrew Wood, a food analyst at Sanford C. Bernstein. In October, Unilever cut its sales forecast for the second time this year, citing slow sales of its frozen meals and Slim-Fast products as the primary reasons.
"Clearly, they realize that it's almost now or never," Mr. Wood said of Slim-Fast. "This is a business that's lost 20 percent of its business in the last 12 months, and it can't continue to fall at this rate. They've got to stop the rot."
The company, which is still the largest player in the diet food business with about 27 to 32 percent of the diet powder and shake market, is betting that the new campaign, products and promotions will help return the brand to healthy sales.
The company has also reversed its position on low-carbohydrate foods, which some company executives derided while promoting Slim-Fast's existing product line. Slim-Fast will introduce a line of low-carbohydrate meal replacement bars and shakes next month, including items like a high-protein carrot cake bar and a chocolate-covered peanut butter bar.
"We're not jumping on the low-carb bandwagon," Mr. Kruyt said. "Recognizing a real trend out there that is much broader than just weight loss is a very real thing for consumers these days. As the leading brand in weight loss, we have to address that issue."
In "Whoopi/Low Carb," Ms. Goldberg runs around a swanky apartment and calls herself a "big loser" who has big news about the Slim-Fast plan. As she introduces several products, she takes a bite out of a low-carbohydrate meal bar and gives a nod of approval. "Baby, your mouth is going to go low-carb crazy while you lose weight," Ms. Goldberg said as she tugged on her blue jeans to reveal that the once-snug pants now have quite a bit of room. Mr. Kruyt declined to say how many pounds Ms. Goldberg has lost, but said that it was healthy to lose about two pounds a week.
In "Whoopi/Lose Twice," Ms. Goldberg encourages consumers to "shake the notion of just shakes out of your head."
As images of the company's pasta, soup and ice cream products flash across the screen, Ms. Goldberg says, "Come on, if I can be a big loser, there's nothing stopping you." She is scheduled to appear in more Slim-Fast ads later next year.
The spots, which were created by Grey Worldwide in New York, part of the Grey Global Group, are aimed at women ages 18 to 45 and will appear on television broadcast networks and several cable stations beginning on New Year's Day. Print ads featuring Ms. Goldberg are also intended to appeal to the same audience and will appear in national weekly and monthly publications like Allure, Time, People and Family Circle magazines, Slim-Fast executives said. The company declined to release information about how much the campaign cost.
After consumers view the ads, Slim-Fast executives hope to woo them into Wal-Mart and Sam's Club stores to buy the products.
On Jan. 10, Slim-Fast representatives will be in Wal-Mart and Sam's Club stores to give personalized service to potential customers, including checking consumers' body mass index and distributing pedometers, product samples and personalized exercise plans.
While some analysts say that Slim-Fast's moves are too little too late, others caution against quickly proclaiming the company's demise.
"You have to take your hat off to Slim-Fast because they've had a number of good years in a row," said John M. McMillin, a food analyst at Prudential Equity Group.
"The fact that the last 12 months have been so bad," he said, "I still think you have to believe that they have a chance of turning it around. Often it takes a long time to reverse a big decline. This, if done correctly, should work to stabilize the business."