Transcript HGCA presentation template

Provenance in the cereal products Sector
Current issues and future opportunities
Contents
1.
2.
3.
4.
5.
6.
7.
8.
Introduction & objectives
Research Sample
Defining provenance and purchase drivers
Who buys provenance? Identifying the provenance shopper
Provenance in the cereal products category
•
Comparing cereal products with other categories
•
Cereal products and provenance attributes
•
The role of farmers within cereal supply chains
•
Provenance and organic cereal products
•
Cereal products, provenance and health
The hurdles for cereal products – brands & meal occasions
Provenance observations and opportunities across the cereal products categories
Summarising provenance opportunities
1.
Introduction & Objectives
Introduction & Objectives
The market for foods with provenance is evolving
• Shoppers taking greater interest in food origins, with local food the most prominent
form of food provenance
“The number of shoppers buying locally produced food has almost doubled in the
last three years to 27%, compared to 15% in 2006.”
Source: IGD Consumer Unit 2009
• Provenance attributes are being used to build superior credentials and support sales
“Products that can demonstrate quality and clarity of provenance, whether it be
through geography, production methods or some other factor, are well placed to
prosper.“
Source: “Britain’s Posh Nosh Passion Intensifies”
http://www.igd.com/index.asp?id=1&fid=6&sid=25&tid=90&folid=0&cid=249
Introduction & Objectives
• Across various categories, provenance is already impacting on consumer perceptions
of food quality and taste
“Shoppers motivated by better food quality and greater knowledge of the product.”
Source: FSA Local Food Omnibus Research Report
http://www.food.gov.uk/multimedia/pdfs/localfoodreport.pdf
• Readily associated with local foods and organics, but much wider potential e.g.
producer and/or place of origin; variety; production standards; regional speciality;
environmental positives
Introduction & Objectives
Provenance attributes are most apparent in the meat, dairy and fresh produce categories
To date, the use of provenance across the cereal products sector has focused on
supporting premium positioning and organic foods
Current provenance use varies widely across the sector e.g. beer includes a large
number of SKUs of regional specialities whereas cereal bars have few provenance-based
product lines
HGCA aims to:
• Provide insight into this evolving market place
• Identify how provenance relates to cereal products
• Understand the provenance opportunities for the cereal products sector
Introduction & Objectives
This research has used sales data to analyse shopper behaviour and to identify shopper
groups who already buy into the wider provenance category
It compared the types of shopper that buy specific products with provenance with those
active in the overall parent category e.g. profile of shoppers who buy flour with specific
provenance attributes versus the profile of flour shoppers in general
The hypothesis is that shoppers who buy provenance in other categories will also be the
most likely to buy cereal products that incorporate relevant provenance attributes
Based on the profiles of these groups, focus groups were selected to research their
shopping behaviour and interest in provenance in detail
Quotes from focus group respondents are included in this report to illustrate the opinions
and issues expressed throughout the primary research stage
Introduction & Objectives
Researcher Comment
This research has sought to identify possible building blocks for provenance and
understand their relevance.
The potential to incorporate provenance varies across cereal products. In addition,
the ability of individual businesses to develop provenance will be impacted by their
supply chain, scale and existing business practices.
This report highlights the significance of provenance with different cereal product
types, based on respondents’ feedback from across the focus groups, although the
qualitative focus of research confines the capacity to produce a definitive hierarchy of
specific attributes,
2.
Research Sample
Research Sample
7 focus groups comprising of different lifestage and lifestyle
•
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Family: aged 30-50, with at least one child under 16 still at home
Post family: aged 50-70, with no children under 16
Each focus group to consist of either urban or rural dwellers:
•
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Rural – live in a market town, village or open countryside
Urban – live in a city/large town, town suburb
General Research Criteria:
•
•
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•
Main Shopper of the Household
Have an interest in where their food comes from
Shop at a mixture of supermarkets
Respondents from broad socio-economic classifications (ABC1C2D)
Research not skewed to high income shoppers or upmarket retailers
Research Sample
Group
Lifestage
SEC
Residence
Region
1
Third age (50-70 no children aged under 16 at home)
ABC1
Urban
London
2
Third age (50-70 no children aged under 16 at home)
ABC1
Rural
Lancashire
3
Third age (50-70 no children aged under 16 at home)
ABC1
Urban
Lancashire
4
Third age (50-70 no children aged under 16 at home)
ABC1
Rural
Norfolk
5
Family 30-50 at least one child under 16 still at home
BC1C2D
Urban
London
6
Family 30-50 at least one child under 16 still at home
BC1C2D
Rural
Norfolk
7
Family 30-50 at least one child under 16 still at home
BC1C2D
Urban
Lancashire
Research Sample
Research Stimuli
As part of the discussion guide framework used across all focus groups, a range of
products were used as stimuli to encourage debate. These included Waitrose Leckford
Estate flour, ISB bread from Tesco & Sainsbury, Hill Farm oil, Walkers shortbread
biscuits, Dorset Cereals, Quaker cereal bars, and Hook Norton beer.
Through all focus groups, respondents also participated in interactive exercises. These
used stimuli including flash cards with logos, products, and provenance specific
messages in exercises to:
•
Map regions associated with cereal products
•
Group bread, breakfast cereal and flour products according to perceptions of
provenance attributes
3.
Defining Provenance & Purchaser Drivers
What is provenance?
Oxford English Dictionary definition:
• the origin or earliest known history of something
• a record of ownership of a work of art or an antique
Focus groups identified that provenance is a term not widely
understood or recognised by respondents
No clear definition of provenance was established in the
focus groups
Respondents are familiar, however, with a diversity of
attributes that can be considered as providing provenance
Specific attributes have wider appeal and relevance than
the term provenance itself
“Where it comes from
originally, where it is
produced and packaged
and how it got to the
shops.”
Norfolk Rural Family
“If any chemicals that
have been used or
haven’t been used, like
pesticide use or
environmental measures
or it might have come
from a traditional farm
using old style
techniques.”
Lancashire Urban Family
Provenance attributes
A range of provenance
attributes were raised by
respondents in focus
groups
Clearly, the relevance to
cereal products varies
across these attributes
Applicable attributes and
their relative significance
to different cereal
products are explored in
more detail later in this
report
British
Production
Organic
Heritage &
Tradition
Local &
Regional
Food
Low
Food Miles
Production
Standards
Traditional
Production
Method
Provenance
Examples
Using
Independent
Shops
Natural
Ingredients
Low
Pesticide
or Chemical
Use
High Animal
Welfare
Speciality
Foods
Key provenance themes
The provenance examples raised by respondents in the focus groups relate to a number
of core themes:
• Supporting the local community
e.g. buying local or regional food, items with low food miles
• How food has been produced
e.g. to specific standards, using natural ingredients
• Where food has come from
e.g. named producer, assured supply chain
• Environmental issues
e.g. organic, welfare standards
Specific attributes overlap across core themes, with organic a prime example.
Respondents view organic as delivering environmental benefits, and also providing
information on how a food has been produced and where it has come from.
Themes and reasons to buy
Probing of attitudes through the focus groups identified that these core themes in turn translate to a
range of purchase drivers. Purchase drivers and the respondent reasoning behind them are outlined
below. It should be noted that overlap across the drivers, themes and reasoning was again
observed.
•
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•
•
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•
Purchase drivers
Knowing the origin of a food provides me with
reassurance on food quality
Demonstrates standards
Shows transparency
Implies freshness
Supports rural
economy/farmers
Demonstrates health
Provides food safety
reassurance
Good for environment
Implies a tastier product
Buying a food with natural ingredients will be
healthier for me and the environment
Buying local food indicates freshness, and
implies a better tasting product
Because a local food hasn’t travelled as far, I
expect it to be cheaper. But I am willing to pay
more for foods that I think are better quality
I help my local community prosper through
buying food locally
4.
Who buys provenance? Identifying the
provenance shopper
Lifestyle of provenance shoppers
Provenance currently appeals to three distinct lifestyles (based on shopper sales analysis
data), and these represent segments that are an initial target for cereal products with
provenance
Traditional
Enjoy cooking from scratch,
typically plan their weekly
shop, value heritage and eat
traditional meals (i.e. meals
with a ‘meat and two veg’
focus – chops, stews, roast
dinners, etc)
Will use a portfolio of shops
to buy their food
Healthy
Interested in foods that are
‘Good for me and/or good
for the environment’
Shoppers of organic foods,
Fairtrade and products that
are low in fat/sugar
Finer foods
Most likely to buy premium
products, adventurous in
their cooking and willing to
experiment
High income but timesqueezed shoppers who
are interested in where food
comes from
Lifestyle of provenance shoppers
These shopper types cover a broad social spectrum and this allows a number of
observations (based on shopper sales analysis profiles)
• Finer food shoppers are time squeezed and only visit a limited number of retailers.
Therefore, the provenance option needs to be readily available in the places where
they already shop (i.e. supermarkets) rather than rely on them visiting additional
outlets
• Traditional shoppers respond to the heritage or long-standing values surrounding a
product or brand
• Healthy shoppers’ interest in naturally produced foods gives potential for foods that
demonstrate authenticity and traceability assurances
Lifestyle of provenance shoppers
A note on lifestyle segments:
• Analysis is based on a comparison of shopper types that buy specific cereal products
with provenance with those active in the overall parent category
Although initial targets, provenance in cereal products will not be limited to traditional,
healthy and finer food segments
In other food categories, we have seen food provenance emerge onto mass market
products and gain mainstream appeal e.g. Walkers crisps use 100% British potatoes,
Muller yogurt source 90% of milk from within thirty miles, increased use of grower imagery
and details across all packaging types and not just premium lines
The lifestyle of shoppers that buy into cereal products with provenance will
evolve as more products develop and convey provenance attributes
Lifestage of provenance shoppers
There is a clear link with lifestage and shoppers that are
already buying cereal products with provenance
• Tend to be older adults (adults aged 40-59) and
pensioners
• Typical tipping point after children leave home
• Post-family shoppers most likely to have the time
(and money) to buy different foods and ‘shop
around’ and venture beyond the supermarket
“I shop in Tesco, M&S
but there’s also two local
farm shops and I like to
buy my stuff in there
when I can. One of them
actually does all the
bread, and that is where
I always get my eggs as
well.”
London, Post Family
“As you get older you
body and you worry
more about your health.”
Lancashire Urban Post
Family
Lifestage of provenance shoppers
Young Families are an emerging lifestage (based on shopper sales
analysis)
Buying for children
Parents endeavouring to
give their children healthy
and wholesome foods
Evident for some breakfast
cereals, but most prominent
in healthy snacks (cereal
bars in lunchboxes)
Buying for themselves
View cereal products as an
‘affordable indulgence’
Opportunity to buy foods
specifically for themselves
alongside child-focused
products
5.
Provenance in the cereal products category
Comparing cereal products with other categories
The focus groups revealed that provenance is not as ‘top of
mind’ for cereal products as it is for fresh produce and meat
products
The lack of speciality cereal products (compared to other
categories) limited respondents’ views
•
By contrast regional cheeses, Cornish clotted cream,
Scottish salmon were all name-checked across focus
groups
Two factors mean respondents perceive provenance in cereal
products to not be on a par with the meat and produce
categories
•
The prevalence of brands
•
The nature of meal occasions for cereal products,
“I think the problem with
cereal products is that I
don’t think about it. I
know what to use and
what to recognise, I think
it is because we haven’t
had to think about it
before, where it has
originated from.”
Lancashire urban post
family
Comparing cereal products with other
categories
Shoppers largely trust the cereal products
brands they purchase
The prevalence
of brands
The nature of
meal occasions
for cereal products
These hurdles are explored
in more detail later in the
presentation.
The lack of brands in fresh produce and meat
categories means they look for provenance as
a form or reassurance about product quality or
taste
Bread and breakfast cereals in particular are
regarded as staple purchases that are
consumed over a number of meal times
Shoppers are more inclined to choose
provenance when buying something ‘extraspecial’ or as an occasional purchase e.g. if I
had more money I’d buy a good leg of Welsh
lamb
Cereal products and provenance attributes
Local food is the most prominent aspect of food provenance,
although the focus groups revealed:
• Few UK regions linked with cereal products by shoppers
• Exception is oats, porridge and shortbread and the link
with Scotland
• Where oats have Scottish provenance, they are typically
viewed as premium products
• Although geographic link not top of mind, shoppers are
aware of local food processors (in urban areas) and/or
farms/bakeries (in rural areas)
• High awareness of local breweries
• Yet beer was not immediately associated with cereal
products
Cereal products and provenance attributes
Creates a blank canvas
• Producers, processors and manufacturers
can link their region with cereal products
• Scope to develop shopper expectations
about region and quality
Perceptions of finest smoked
salmon from Scotland / best clotted
cream from Devon and Cornwall
Similar preconceptions about cereal
products are not widespread
Clear opportunity to ‘stake a claim’
First in ‘wins’; need to be credible
• Geographic expansion can complement
product re-positioning for regional
products
• Benefit from lack of pre-conceived
ideas about location and product
E.g. a locally-produced bread brand
was perceived as mid-lower market
by shoppers in the region where it
was produced, but was perceived
to have a higher market positioning
by shoppers in other regions.
Cereal products and provenance attributes
Focus groups identified greatest interest in buying British cereal
products, in the absence of a local or regional knowledge of
cereal products
Respondents viewed this as an extension of supporting their
local community
• Rural shoppers see farmers as integral to local community
(along with independent food outlets)
• Urban shoppers more familiar with food manufacturers and
processors, citing the relative importance to the local
economy
“I think ours is as good
as anybody else’s if not
better, probably fresher
and it’s supporting the
farmers isn’t it?”
Lancashire Urban Post
Family
Cereal products and provenance attributes
Respondents’ desire to buy British was a strong reaction to
the credit crunch
Across the focus groups, the importance of supporting the
UK economy was a frequent discussion point
Particularly emotive with older shoppers
Indicative of a growing recognition of interdependence
“I think with the credit
crunch now we should
buy everything British.”
Lancashire Urban Post
Family
Cereal products and provenance attributes
Respondents acknowledge that buying British is more than
supporting the economy:
• Lower food miles
• Greater confidence in UK production standards
• Post family shoppers were also concerned about Britain’s food
security
Background concern that shoppers may have to alter their
shopping habits to buy British e.g. use a farm shop or local
specialist
Respondents interpreted British origin as supporting several
different provenance attributes
Opportunity to remind consumers of product origin and
the inherent benefits, as well as flagging availability in
mainstream outlets
“I think we should
buy British whenever
we can. We have
got to support our
farmers.”
Lancashire Urban
Post Family
“It should be British it is important to the
environment and the
area that you live in.”
Norfolk Rural Family
The role of farmers
Supporting farmers is inherently linked with buying British
Respondent recognition that meat and fresh produce have
underlined provenance e.g. images of producers, naming
specific suppliers on packaging and labelling
Why use farmers?
“If you go to farmers
markets and buy things
from the farmer and you
get a really nice feel
good factor from that.”
Norfolk Rural Family
• Has relatively broad appeal with shoppers
• Using a farmer indicates traceability
• Traceability creates trust
Cereal and oilseeds sector can do similar, building on
farmers’ role in the supply chain and shoppers’
favourable perceptions
“You feel like you are
doing your bit,
supporting the farmers.”
Lancashire Urban Family
Farmers and cereal supply chains
Opportunities for specific messages relating to farming/agriculture
Favourable perceptions among
respondents related to:
• A network of family farms
• Heritage and tradition
• Preserving the fabric of the
countryside
• Natural production
• Producing environmental
benefits
=> particularly in terms
of reducing pesticide/
chemical use
Respondents’ underlying motivations:
• Smaller businesses seen to be more
altruistic
• Established businesses are experts
at what they do
• Reassurance that food consumption
does not have a negative
environmental impact
• Underlines the natural origins of food
• Can give a ‘feelgood’ aspect to foods
purchased
Farmers and cereal supply chains
Given the consumer appeal of farming messages, there is potential for cereal products
to use the Red Tractor logo more widely.
In general, there are advantages and disadvantages associated with using the logo, but
the research has highlighted that a focus on educating consumers about the logo
through more communication would be beneficial.
Reasons to Exclude
Reasons to Use
Low levels of logo awareness across
focus groups
Recognition by a particular segment
=> older and rural respondents
Associated with meat and livestock
and not cereal products
Communicates a standard e.g. food
safety
Mixed interpretation of the logo,
including some link with organic
Underlying respondent scepticism in
logos – Who polices it?
Respondent recognition they need
signposting towards quality products
Provenance and organic cereal products
Due to widespread availability of organic cereal products in mainstream outlets, organic
is a recognisable form of provenance, generating a range of positive and negative
talking points across focus groups
Organic cereals – the positives
Organic cereals – the negatives
Perceived taste benefits
Viewed as healthier
Natural foods
Always use high quality ingredients
Linked to small scale / specialist production
Perceived as fresher
A way of addressing food intolerances and
avoiding harmful substances
Some view organic as a way of feeding
children responsibly
Better for the environment
Generates a ‘feelgood’ factor
Irregular purchase
Price viewed as barrier
Credibility of organic standards prone to
questioning
Organics considered as exclusive and ‘not
for us’ foods
Difficult to understand health benefits of
eating organic if also eating conventional
Volume of organic imports is a concern
Growing awareness of media questioning of
organic benefits
Provenance and organic cereal products
Researcher Comment
Some longstanding barriers for organic producers and unlikely to alter due to credit
crunch
But opportunity for organic producers and food manufacturers to:
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Communicate the values behind organic production
Inform the benefits of buying organic
Tell shoppers why they should be buying organic
Demonstrate the efforts you put into growing/producing organic
Organic on the label helps to differentiate products, but there is
potential to go beyond just the organic message in order to
remind and inform shoppers why organic products are unique.
Cereal products, provenance and health
Provenance was associated with less processed foods
across the focus groups
Specific attributes linked with provenance included natural
ingredients, low chemical / pesticide use and higher
production standards
Such attributes convey an image of a more natural, less
processed product, and help to emphasise the health
attributes of cereal products
Respondents considered the health message to be
particularly important for breakfast cereals, and
specifically children’s cereal products
“Breakfast is a bit of a
credit isn’t it? Have a
healthy breakfast and in
the evening you can
have treats.”
London Urban Post
family
Versus adult products,
kids’ cereal products are
perceived as artificial,
highly processed, not as
healthy and at the lower
end of the quality scale.
Cereal products, provenance and health
Researcher Comment
There is potential to link provenance and health by
emphasising natural ingredients or production techniques
Respondents particularly open to health messages as they
get older
Consistency and coordination in messages and branding is
essential
Health expectations are shaped by the quality and type of
packaging
• Respondents currently expect health foods in earthy
colours, and to use recycled and minimal packaging
“Just tell them to keep it
as natural as they can”
Lancashire Urban Post
Family
“If it’s just wheat, how
can it be anything than
really good for you?”
Lancashire Urban Post
Family
6.
The hurdles for cereal products
The hurdles for cereal products
Some of the provenance attributes that respondents are
familiar with from other food categories are not necessarily
synonymous with cereal products. Specifically:
Local
• Respondents identified a lack of a local choice, and
feel they have little opportunity to buy local cereal
products
Welfare
• Respondents viewed animal health and welfare as key
reasons for buying livestock products with provenance.
• The same level of concern over production practices
for cereals were not evident across focus groups.
“For fresh fruit and veg, I
buy local. You go to the
local greengrocers but
with cereal products you
can’t.”
Lancashire Rural Post
Family
“It bothers me that food
has travelled from
around the world,
because sometimes the
animals are poorly
treated. I don’t think I
worry about the travelling
time for cereal products.”
London Urban Post
Family
The hurdles for cereal products
In addition, one of the underlying purchase drivers behind
provenance is freshness
Freshness is a key motivator for fresh produce and meat
products
Respondents equated fresher with better tasting
This is not immediately relevant to cereal products, particularly
where relatively high degrees of processing are involved.
“Cereal products are
processed anyway. With
vegetables, fruit and
meat, you think if it is
local it is better because
it is fresher.”
Norfolk Rural Family
Clearing the hurdles
Although barriers may exist at present to taking advantage of these provenance
attributes, it is not to say that they are irrelevant
Freshness
Welfare
Local
• Critical that bread is viewed as fresh
• Beers use ‘brewed on’ dates to imply freshness
• Underlying concern over pesticide use, particularly amongst
urban and family shoppers
• Environmental measures being taken by supply chains
could help address these concerns in a positive way
• Shoppers buy local products where available
• Shoppers like the appeal of supporting local businesses
• Artisan and small scale producers are successful in targeting
local markets e.g. rapeseed oil producers.
Brands and provenance
Focus group feedback confirms some food brands have
become an integral part of our diet and shop
They are firmly established within our food heritage and
tradition
Respondents viewed heritage and tradition as key provenance
attributes, and interpreted this as implying an underlying
quality
• ‘They must be doing something right if they’ve been
around all these years’
“Some breakfast cereals
they have been around
for years. We know they
are reliable because we
grew up with them we
still stick with them.”
Lancashire Urban Post
Family
“That bread advert tells
me they are still as they
were, all these years
later.”
Norfolk Rural Family
Brands and provenance
Respondents regarded many brands in the cereal products sector as long established
The concept of brand inheritance (buying the same brands as our parents used to)
particularly evident in the bread and breakfast cereal categories
• Hovis, Warburtons, Shredded Wheat & Weetabix were among the brands namechecked in the groups
Established businesses and brands can use heritage and
tradition to convey provenance and support brand extension
Brands and provenance
Researcher Comment
For new or own brand products, generating a similar
sense of heritage is an obvious challenge
•
Farming and the supply base can provide a
simple and clear link with tradition
•
Longevity of many farm businesses can be used
to strengthen the proposition of new to market
brands or producers
•
But be credible in any claims made about
sourcing or supply chain
Meal occasions and provenance
Respondents did not regard cereal products as ‘centre of plate’ ingredients
But provenance does have a role
Research identified occasions when respondents look for
provenance e.g.
• Following a recipe that specifies good quality ingredients (most relevant for
flour and rapeseed oil)
• Purchasing an affordable and regular treat or indulgence (biscuits)
• Buying complementary products (a premium bread or cracker to go with an
extra-special cheese)
• Buying different types of bread at weekends
• Emphasising healthy options/natural ingredients at the breakfast table
Meal occasions and provenance
Researcher Comment
Consider that pack size can limit trial
• Core provenance shoppers are likely post family
lifestages
=> product size is important
• e.g. if they buy an 800g loaf, they may not buy another
bread product in the same shop as they perceive they
are being wasteful
• Older respondents viewed rapeseed oil in half litre bottles
as being in a bottle size much larger than they would
need
• Imminent deregulation of specific sizes for pre-packaged
bread (and possibly unwrapped bread) could create
opportunity to expand purchase repertoire
“I only need to buy
small loaves. When
your family is like
mine and flown the
nest, or like my
mum who is on her
own, it’s very very
hard to use up
anything other than
a small loaf.”
Lancashire Rural
Post Family
Impact of the credit crunch
Research was conducted in autumn 2008
Anticipated that the credit crunch and food prices would be a focus of discussion
In fact, respondents had to be prompted to discuss financial concerns and their
shopping/eating behaviour
Respondents reported several behaviour changes:
• Shopping around
• Trialling new stores, particularly discounters
• Trimming back on waste
• More baking and cooking at home
“Credit crunch? It will be
alright. We know how to
cook up here.”
Lancashire Rural Post
Family
Changes to purchasing patterns were focused on fresh produce (buy more seasonal) and
meats (shifting to different cuts), rather than cereal products
Impact of the credit crunch
Price was not a key issue for respondents that already buy
provenance, particularly for older lifestages
• Indicative of them not willing to trade-off their values
(and taste preferences) for value
• Relatively low price of cereal products in total shop
means few regularly compare prices
• e.g. few had switched bread brands although they
had noticed the increase in price per loaf
“I use a traditional local
bakery. I like the bread.
Price wise I not worried
because I like it.”
Lancashire Rural Post
Family
“I don’t pay attention to
how much it is.”
Lancashire Urban Family
Provenance may be associated with upmarket positioning,
but the credit crunch does not translate to shoppers
abandoning their provenance purchases
7.
Provenance observations and opportunities
across the cereal categories
The following slides summarise the issues and views of focus group respondents
across different cereal products categories. The generic opportunities
highlighted are indicative of actions that the cereal industry could pursue based
on this research, rather than being a prescriptive list of recommendations.
Bread, morning goods and provenance
Observations
Opportunities
Respondents focused on fresh and health as
key factors for influencing purchasing
Use provenance attributes to underline health
and freshness e.g. links to farm, natural
ingredients, etc
Evidence of regional differences across the
focus groups - respondents in the south
associated bread with ‘the North’
It is recognised when retailers take account of
regional differences in product and packaging
Respondents perceived in store bakery
products to be fresher and more natural
Respondents expressed positive views of
independent, local bakeries
• Freshness guaranteed
• Lower levels of preservatives used
Opportunity for region to ‘stake a claim’ in
terms of bread production and origins
Mainstream outlets and brands can introduce
regional specialities e.g. a series of limited
edition bakery items
NPD that takes the local bakery ethos to
mainstream brands e.g. small production
batches, hand-made, ‘bakers best’, etc.
Breakfast cereals and provenance
Observations
Opportunities
The simple, unprocessed nature of breakfast
products appealed to many respondents
Use provenance to emphasise natural
ingredients, wholesome origins
Focus groups identified that children’s cereals
were viewed as unhealthy compared to adult
brands (perceived high quantities of sugar)
Identify and demonstrate the provenance
behind mainstream brands to make parents
feel better about the kids’ products they buy
But parents want children to have a healthy
and nutritious start
Brands with an existing provenance focus can
introduce dedicated children’s items to
capitalise on parents who are already buying
the brand for themselves
Long-established breakfast brands are
considered part of the nation’s food heritage
Remind consumers of brand origins and
established position on breakfast tables across
the country
Cereal bars and provenance
Observations
Opportunities
Focus group respondents did not regularly buy
cereal bars, but viewed products as healthy
and convenient
Scope to underline health with provenance
attributes
Family lifestage shoppers raised the challenge
of looking for healthy alternatives for their
children
Target cereal bar products specifically at
school lunchboxes, with potential to
incorporate:
• Specific promotional activity
• Natural packaging
• Smaller pack sizes
•
Healthy eating initiatives in schools is
driving the replacement of chocolate
bars with cereal bars
Biscuits and provenance
Observations
Opportunities
Taste, quality and indulgence are top of mind
when considering biscuits
Use provenance to differentiate across biscuit
category, particularly for distinguishing
premium/luxury products from ‘everyday’
biscuits and brands
Not immediately thought of as a cereal product,
unless an oat biscuit and respondents not
explicitly looking for provenance as a quality
indicator (unless it is Scottish shortbread)
High levels of trust in brands, including own
label
Interest in the provenance of added ingredients
that convey luxury
Scope to partially challenge the image of
biscuits as a ‘treat that’s bad for me’ by using
provenance
• Based on the association with health of
specific provenance attributes e.g.
natural ingredients, natural production
methods
Flour and provenance
Observations
Opportunities
Older respondents associated flour with
imports from North America
Emphasise the origins of flour
• Older respondents likely to support the
British message and to bake / cook
from scratch
Respondents found it difficult to compare
quality differences across flour
Flour is viewed as a mass produced product
Scope to educate and inform shoppers,
through labelling and on-pack information,
including recipe ideas
Brands are currently viewed as the quality
indicator
Potential to use provenance to differentiate
products across the category
Shoppers will follow recipe suggestions and
buy products specifically for recipes e.g. use a
good quality plain flour
Rapeseed oil and provenance
Observations
Opportunities
Growing awareness of rapeseed oil,
particularly in the Norfolk and London focus
groups
Given farm diversification and small-scale
origins of many brands, there is a natural link
with provenance in addition to the UK produced
message
Respondents identified the influence of recipes,
opinion formers (celebrity chefs, product
endorsement) and word of mouth in making
them aware of the product
Yet few respondents actually purchased
Younger respondents already buy a range of
different oils for cooking with, so potentially
more receptive to buying an additional oil
Give health issues more clarity and validity,
and link to the natural origins of the product
Review pack size e.g. smaller bottle sizes
would encourage trial purchase
Oats and provenance
Observations
Opportunities
Products containing oats viewed as high quality
products, whether it is for breakfast cereals,
biscuits, cereal bars or bread
Using oats in NPD could help to reposition a
product in terms of health and quality
perceptions
Across all cereal products, oats were viewed
very favourably by respondents
Relevance across a number of categories –
bread, breakfast cereals, biscuits, cereal bars
Oats have a positive health message that
resonates
Potential to target premium lines/brands with
oats
Products perceived as less processed if they
contain oats
Depending on processor location, there is
potential to reinforce the regional message or
challenge existing perceptions of Scottish oats
•
‘It’s healthy because it has oats in it’
London Urban Post Family
Strongly linked with Scotland
8.
Summarising the provenance opportunities
Summarising the provenance opportunities
Researcher Comment
Regardless of the product, there are some key points that cereal manufacturers and
processors need to consider if they are to benefit from shopper interest in the origins of
food
• Provenance issues can be complex
• Communicating information about products takes time to establish (cannot just
rely on shoppers reading packaging)
• Sensible to focus on issues individually as opposed to attempting to communicate
a variety of mixed messages
• Consistency is important
• Shoppers value your honesty & integrity
Summarising the provenance opportunities
Where is the opportunity?
• There is a target market who already buys into provenance
• These shoppers are already buying cereal products products with provenance
attributes
• Respondents are not shifting their cereal purchasing as a result of the credit crunch
• Potential to expand the shopper segments who buy into cereal provenance over time,
given the lead of other food categories into mass market and mainstream appeal
• Potential for more products with provenance attributes to come to the market and
existing brands/products can take on provenance messages
• Not just an opportunity for small scale and artisan producers
Summarising the provenance opportunities
This research has demonstrated that there are a range of provenance attributes that can
be used across the cereal products sector, beyond the local or regional food that many
immediately associate with provenance
In particular, there is:
• Significant scope to link provenance with natural products and emphasise healthy
& wholesome attributes (strong relevance for children’s and breakfast time
products)
• The potential to communicate your product origins, engaging shoppers who are
interested in buying British or supporting local farmers and food producers.
Research conducted for HGCA by Bidwells Agribusiness
www.bidwells.co.uk/agribusiness
email: [email protected]