• by Sarah Mahoney  @mahoney_sarah, September 12, 2024

Omaha Steaks, which has been selling high-end protein for over a century, is moving in new directions. The company says it is moving forward with a subscription model it has been testing and is striking up its first-ever sports partnership. It’s not just serving up its meat products to feed the Kansas City Chiefs. It’s offering a special deal: Every time a Chiefs player causes a fumble and strips the ball away from an opponent, fans can score four free New York strip steaks with any order of $99 or more. Angie Kubicek, the company’s senior director of growth marketing, tells Marketing Daily more about both initiatives.

Interview has been edited for length and clarity.

 Marketing Daily: Let’s start with the Chiefs’ tie-in, which includes signage at the stadium and a dedicated concession stand. Your company has been around since 1917, and this is your first football deal?

Angie Kubicek: Yes, this is our first foray into any type of major partnership. We do food service in many stadiums, but this is our first in the partnership category. We also have brick-and-mortar locations and are expanding into the Kansas City market. What better way to start than with the reigning Super Bowl champions? We want to elevate that Game Day experience.

We believe the best way to get someone to connect with Omaha Steaks is to have them try our product. Besides our steak offer, we give the player who caused the fumble a 36-ounce steak when that fumble happens. Everyone gets to celebrate with a big piece of meat.

We’re also working with the team chef, feeding them our filets.

Marketing Daily: How about the new subscription business?

Kubicek: We're one of the originals in this space, bringing quality products directly to people’s homes. And we have an audience base that already loves Omaha Steaks. We wanted to lean into convenience, offering a subscription so people can get their products without thinking about it.

We’ve been in beta, and now we’re launching, offering a 10% savings on products brought through subscription. That’s locked in for life. We’ve been listening a lot, and this is what our customers say they want.

Marketing Daily: It’s a little counterintuitive because the subscription category has been so challenged in the last few years. Many meal kit companies, for example, have failed or pivoted to alternative models.

Kubicek: As I said, we start everything we do by listening. Our customers want convenience and to have the right products in their freezer. We arrive frozen, which is important to them -- they don’t like the food waste that happens when they keep a product in the refrigerator and wind up throwing it away. And we’ve got lots of innovation in our tech stack that makes it easy to subscribe and choose products.

Marketing Daily: You’ve also been testing ads to appeal to potential subscribers. Who do you think the typical customer will be? And how do they differ from your primary audience?

Kubicek: Customers typically come to us a few times a year, buying for themselves. Maybe they’re making dinner for a special occasion or just want to have an excellent meal on a Tuesday night. Within our subscription customers, we’re seeing a shift to a somewhat younger audience. They’re asking: “How can I make my life a little bit simpler?”

Marketing Daily: Younger consumers are more apt to live in cities, which typically means tiny freezers.

Kubicek: Some do. But they are also newer to cooking and worried about messing up meal prep. Any meal is easier when you start with great products. And they like that there’s no waste. Also, they can pause the subscription if their freezer gets too crowded.

Marketing Daily: What products are most popular for subscribers?

Kubicek: The No. 1 thing is that they always want quality proteins in their freezer. We have protein solution packs that offer air-chilled chicken breasts, pork chops, and our filet mignons, which we can now say are Certified Tender by the USDA. That just happened, and we’re very proud of that. People also love our franks and our burgers, which are pure ground filets. And they like our desserts too, like the Caramel Apple Tartlet. The packages are priced at between $129 and $149.

Marketing Daily: Besides selling more products, what’s the goal of building a subscription business?

Kubicek: It’s about having that right blend of that subscription and a la carte customer. And when I think about where our ad spend is going, the question is: Did we get people to say yes to Omaha Steaks, and did we make it easier for them to get their favorite proteins whenever they want them? The goal, then, is a longer retention rate and a faster clip of adoption.

Marketing Daily: Consumers have become very interested in protein over the last few years. They like plant-based protein and are often cutting back on red meat. How has that impacted you?

Kubicek: Mostly, they focus on protein quality, which has been good for us. And while “Steak” is in our name, we’ve got an impressive array of protein: pork, chicken, turkey, and seafood. The more we can bring that forward to give people confidence, the better we do. That’s why we have a 100% satisfaction guarantee. Our products should be the best products you put on your table.