One of the world’s largest aerospace companies and leading manufacturer of commercial jetliners wanted to offer healthy meals to associates. The goal was to see if associates purchasing decisions would be influenced by subsidizing Well Being (WB) meals on designated Wednesdays during July-September 2018. The challenge lied in the sale tracking for the café wellness program, which was resolved after a dedicated Registered Dietitian started supporting the account.
Challenge
Poor health costs the U.S. economy $880 billion a year, with $530 billion of that spend considered “lost productivity” due to absenteeism or associates working while ill and therefore not at an optimal level of performance (Integrated Benefits Institute, 2018). It is crucial now more than ever for employers to consider investing in the health and wellbeing of their number one asset – their associates.
Solution
This particular client wanted to offer healthy meals to associates and encourage participation. They wanted to see an increase in WB Meal purchases in the cafes to support the wellness initiative of positively impacting employee health and well-being. To encourage participation with the WB Meals program, the client decided to subsidize the meals on Wednesdays to create a $2 discount so associates could purchase wellness meals at a lower price.
During the subsidized period from July to September 2018, WB Specials were discounted $2 in all PNW cafes. The below graphs show average items sold with the subsidy and average items sold without the subsidy. Throughout the program, about 200 more subsidized WB Specials sold compared to non-subsidized WB Specials, indicating that customers may be more likely to purchase a meal if it’s subsidized.
Results
- 33.7% increased participation rate after 4 months
- ~200 more Specials sold during the subsidized period compared to the non-subsidized period
- Subsidized weeks with Chef’s Table sampling had more participation than non-subsidized weeks with Chef’s Table sampling
- Associates purchased more WB Specials when they were offered at a $2 discounted price
- Associates were more engaged with the WB Meal Program after subsidies were put in place
Reference:
Integrated Benefits Institute. (2018, November 14). Poor Health Costs US Employers $530 Billion and 1.4 Billion Work Days of Absence and Impaired Performance According to Integrated Benefits Institute [Press release]. Retrieved from https://www.ibiweb.org/poor-health-costs-us-employers-530-billion-and-1-4-billion-work-days-of-absence-and-impaired-performance/
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