ORGANIC AFFORDABILITY & ACCESSIBILITY Thursday, September 14, 2017 4:00-5:00 p.m. SPEAKERS Maxine Wolf, Publisher, KIWI Magazine / Mom’s Meet Andrew Mandzy, Director of Strategic Insights, Nielsen Patrick Knight, Director of Consumer Insights, SPINS MODERATOR John Grubb, Managing Partner, The Sterling Rice Group @OrganicTrade #ExpoEast #Organic
44
Embed
ORGANIC AFFORDABILITY & ACCESSIBILITY Thursday 316... · Damaged brand equity and enterprise valuation have stimulated commitments to change. Shorter ingredient lists, natural colors,
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
ORGANIC AFFORDABILITY & ACCESSIBILITY Thursday, September 14, 2017
4:00-5:00 p.m.
SPEAKERS Maxine Wolf, Publisher, KIWI Magazine / Mom’s Meet Andrew Mandzy, Director of Strategic Insights, Nielsen
Patrick Knight, Director of Consumer Insights, SPINS
MODERATOR John Grubb, Managing Partner, The Sterling Rice Group
Q: Please indicate how important each of the following attributes are to you and most of your group members when you are considering buying [product category].
(Very important, Somewhat important, Not very important, Not at all important)
Source: Moms Meet MA group sampling programs of organic and other food products, 2016 N= 51 programs, 35K groups, 700K opinions
Source: % of groups indicating they Probably would purchase, Probably would not purchase, or Definitely would not purchase the product being sampled. Moms Meet MA organic
product group sampling programs 2010-2016
Q: Which of the following best describes why any of your group members might not or would not purchase [product]?
Q: For each of the following statements, please indicate how likely they are to be the reason why you might shop at more than one store. (Very likely, Somewhat likely, Not very likely, Not at all likely)
Price, Availability, Store location and Specialty departments are reasons for multiple trips
Source: Moms Meet MA Grocery Shopping Habits Survey, July 2016
Pric
e
Ava
ilab
ility
58%
57%
55%
50%
34%
57%
50%
The product I want is on sale at another store
The product I want has a lower everyday price at another store
The brand or product I want is not available at the same store where I am
I have a store-specific coupon
They are out of stock
I need something last-minute and the store is conveniently located
I prefer another store's specialty department (Produce, Bakery, Meat, etc.)
• Purchase drivers: Price is important, but not the mostimportant. Attributes such as taste, organic, availability, andbrand trust matter, too.
• Purchase barriers: Price and availability are the top barriersto purchase, and the main reasons why moms shop multipletimes a week at multiple retailers per trip.
• Purchase = Awareness, education, trial, community Drive purchase by educatingmoms about new products, givethem an easy way to try newproducts and grow brand trust,and leverage their natural desireto share their experiences,opinions, and recommendations.
Sustainability in Food And Beverage Products - Growth VS Year Ago
2.5% 3.9% 10.8% 11.4% 4.2% 3.2%
Packaging Material
Animal Welfare
Business Practices
Sustainable Farming
Production Methods
Sustainable Fishing
Presenter
Presentation Notes
SUGGESTED SCRIPT: Shoppers are increasingly keys into the hows of the product, not just the products features. How it was made, where it was made, what the packaging is made of, and the ethics and philosophy of the company that made it are all gaining center stage positions on the packaging and marketing stories brands are seeing success in connecting with consumers. These things matter to today’s shopper, and the more depth, detail and richness brands are able to offer in these genres of product attributes, the more consumers respond, buy, and ultimately expect them from ALL products.
26% Percentage of Total Natural & Organic Dollar Sales
True Believers 10% (+16)
12%
Resistant Non-Believers
15% (-6)
16% 12% 14% 11% 9%
Enlightened Environmentalists
10% (+2)
Healthy Realists 14% (+2)
Strapped Seekers 10% (+2)
Indifferent Traditionalists
25% (-9)
Struggling Switchers 17% (-6)
NaturaLink presents a powerful combination of attitudes and purchase behaviors. Two segments form the leading edge of Natural/Organic trends: True Believers and Enlightened Environmentalists.
• While sales for Organic items areincreasing across all groups, somegroups are increasing faster
• Struggling Switchers areincreasing their purchases ofOrganic items across the store+34% versus the previous year
• Core Natural/Organic will alwaysbe at the heart of industry sales, butStruggling Switchers representwhere much of the incrementalgrowth is happening
So who are these people???
.
STRAPPED SEEKERS I’m passionate about…. Trying new things and living a healthy lifestyle (but sometimes I know I should make healthier food choices than I do). My friends often come to me for product recommendations! I make a point to seek out Natural/Organic products, but my limited budget is often a barrier to buying name brands. That’s okay, because I think store brand products are just as good. Bottom-line, though, product taste/efficacy are my biggest priorities.
BUT I SKEW DISPROPORTIONATELY
WHAT Holds Me Back
• Expense of natural/organicproducts
• Availability of natural/organicoptions at local store
• No all-natural/organicoptions available for productsI like
Northeast & West
These Are My Top 3 Priorities For…
Food & Beverage Personal Care Home Care
Best taste Free of chemicals Most effective
Made w/all natural ingredients
Most effective ingredients Is on sale/coupon
Is on sale/coupon Made w/all natural ingredients Multi-purpose
These Things Are Important and I’m Willing to Pay More