The Opportunity For Branded Produce
By Phil Lempert, CEO, Retail Dietitians Business Alliance
New research conducted by Foodmix Marketing Communications reveals the underdeveloped state of branding within the fresh produce industry and how commodity growers can make a larger profit by leveraging their authentic stories. Interestingly enough the study of over 1,000 regular produce shoppers looked at 4 generations: Boomers, Gen X, Millennial and Gen Z generations. Key findings include the revelation that more than half of consumers find it important to shop specific brands in the produce department vs. non-branded products. The popular perception that younger generations are less brand engaged is proven wrong according to the study's results.
In reality, brand affinity is growing generationally with almost half of Gen X and Boomers considering it important that the fresh produce they buy is branded, while two-thirds of Millennials and Gen Z generations are likely to purchase branded fresh produce. Foodmix's study reveals that brands with an established story generate trust and engagement among consumers by having the ability to share their "truths." With sustainability as a table stake for many Brand Lovers, it's more about key attributes that will drive advocacy and Brand Love than broad statements. What we know, especially since the beginnings of the pandemic is that more consumers of all generations have increased their awareness and interest in sustainability issues. Dan O'Connell, CEO at Foodmix Marketing Communications said, "Through our research, we have identified that customers will indeed buy more at higher margins from brands who embark on sharing a true, sustainable story. Consumers have made it clear that there are not enough brands to love, and they want more."