Metal Packaging The Revolution Ahead!

Today’s Discussion

• Packaging Value

• Will the Consumer Pay More?Why?

• Examples of Metal Packaging Success

• Metal Packaging Future

• Division of CCL Industries

• Traded on the Toronto Stock Exchange

Symbol: CCL.NV.B

• CCL Industries - 2004 Sales of 1.5 Billion CDN

• CCL Container-North America’s Largest producer of Aluminum Packaging

Packaging and the 4 P’s of Marketing

• Product

• Promotion

• Place – (Distribution)

• Price

Elements of Great Packaging

• Design delivers a unique experience to the consumer

• Function must be intuitive

• Performance preserves or enhances the product and product distribution

• Loyalty improves on or creates a distinct brand experience

• Drives consumption increases product use

Metal Packaging

• As a primary container has lost market share over the past 25 years to other materials

• Reasons?

• Cost

• Design Equity Limitations

Good News!-Metal Has high perceived Value.

“Good Looks”

“People are willing to spend about

25% more for something that is

beautiful – packaging included.”

Karim Rashid - Keynote Speaker

Packaging Strategies: Package Design 2004

Will consumers pay more?

Trading Up

• Consumers are turning to premium brands across a whole range of categories.

• Compensation for hectic life styles and uncertainties about the world in which we live

• Mainstream brands are becoming more premium and premium brands are becoming more accessible

High End

Lower entry points

Premiumisation

Low End

Source: Henley Center Sources: Henley Centre, Mintel, Euromonitor, Siebert Head

Consumers seek freshness and premiumisation

Relevancy• You can have something that is unique,

edgy, cool, cost effective and fantastic in everyway, but if the consumer finds it irrelevant it won’t sell !

• Relevancy is in the eye of the consumer !

• Relevancy Drives Consumption!

• Relevancy is dymanic!

Is it Authentic?

• Today’s consumers crave product authenticity

• Package design can enhance authentic properties of the brand

• We are entering an era where package design will actually drive brand authenticity

Design Equity = Authenticity

Glass Packaging - Vodka

Personal Care-Plastic Container Packaging

Aluminum growth North America

• The Body Spray and Colognes - Mid 1980’s

Driver: Size and convenience

• The Mousse Products Phenomena – Mid 1980’s

Driver: The Chloride Ion

• The “Saline Solution”- Early 1990’s

Driver: Thimersol Preservative

• Hair Spray – Late 1990’s

Driver: Product Formulation,Shaping

Great Story…but

• Of the original dynamic businesses only mousse is a core product today

• This forces reinvention!

• Demands a culture of innovation!

The Aluminum Bottle Arrives!

The Rosetta

Stone of Shaped

Aluminum

Containers

The Beginning-Cheese and Bullets!

Next Stage..

TrimWave

Extended Neck Trimline

Commercial Market Designs

Cebal’s “Boost” CanCCL’s

“Comfort Hold”

Major MarketersGet in Shape!

Unilever L’Oreal

Sun Care Products!

Proctor & Gamble

Household ProductsEmbrace Design!

Hair Spray

Zoto’s Farouk Systems

Sexy Hair

Concepts

Cleaning Up-In Europe!

Body Wash Category

New Shaped Body Spray

Gillette ( P&G )

Unilever

Proctor&

Gamble

Women’s Body Spray Category

Tesco Proctor & Gamble

Multi Shaped Product Line

Sexy Hair Concepts

What is new with this package?

Packaging Value in Personal Care

Package Design Value

6 oz. @

$2.50

4 oz. @

$3.99

Design Authenticity!

WD-40 SICO- Automotive

Product

Goen Technologies

Trimspa®

Tail Fins for your Aluminum Containers!

• Harley Earl meets the Aluminum Packaging!

• The union of fabulous form and sound function!

Shaped Aluminum Containers

Introducing Body Shapes

Full Body Shaping

53mm to 66mm Diameters

The Package that Roared!

Before the Beer Run…

Vincor-Launch 2002

Snapple-Launch 2003VPX-Launch 2004

Mistic Launch2002

Death By a Thousand Cuts

The Perfect Package

• Functionality – must be

intuitive

• Design – delivers unique

experience to consumers

• Performance – preserves or enhances product and product distribution

• Builds on unique use experience

• Increases Consumption

Thank you.

Edward B. MartinVice President of Sales and Marketing