Specialist
Former Head at Oatly
Agenda
- Consumer trends and demand dynamics within the plant-based milks industry
- Review on the competitive landscape and Oatly’s relative competitive positioning
- Oatly business model, unit economics and growth strategy – challenges vs opportunities
- Mid-term growth and profitability outlook
Questions
1.
What is the rough size of the plant-based milk industry globally? How does it break down geographically and by segments? What are the different growth rates across those geographies or segments?
2.
What are your thoughts on oat milk within the broader milk category? You mentioned oat milk outgrowing some of the more mature categories. What about oat milk is resonating with the consumer, particularly in key markets such as the US?
3.
Could you quantify the potential of the oat milk category? Can we be confident it’s not going to be another soy? What do you think about the development of this category in terms of penetration rates or other metrics?
4.
How have price points for plant-based milks evolved? What is your outlook for pricing? Should we think about this as absolute pricing or relative to cows’ milk?
5.
How strong or significant is Oatly’s first-mover advantage into oat milk? It has lost its number one position in the US. What is the company’s USP, considering brand equity, product quality and technological capability?
6.
What do you think about the white space opportunity geographically? There’s still a lot of room for Oatly to grow as an oat milk company. Is there any way to quantify it? Are there any open markets it is not yet in? How does it go about entering a new market? What might be the costs involved?
7.
Could you elaborate on the channel opportunity, using the US as a template? What is the rough split across retail and food service? How important are the relationships with players such as Starbucks? If Starbucks is out of stock, could that be a material risk to its relationship with Oatly?
8.
Is there a rule of thumb around profitability by channel for plant-based milk producers? Is there any marked difference in profitability across the different channels?
9.
Could you elaborate on Oatly’s pricing strategy? How does it think of pricing relative to its competition, whether from other plant-based milks or within the oat category?
10.
Could you elaborate on Oatly’s issue with manufacturing capacity and the shortage it has faced? What plans does it have to get that demand to market? What is the CAPEX model of the business or the industry? How should we think about CAPEX as an ongoing expense, as a percentage of sales?
11.
What are the Oatly's supply chain logistics for sourcing? What are the risks?
12.
What is the P&L like for an oat milk producer vs a producer of other plant-based milks?
13.
What other risks and challenges does Oatly face over the next few years that investors should consider?
