It would be fair to say that our members' knowledge and expertise is in the intricacies of dairy farming - not marketing. But in today’s market, where market forces, retail pressure and consumer fickleness effect the dairy industry, you need to be aware of how marketing and consumer behaviour is affecting your bottom line.
Household staples such as bread and dairy are particularly prone to being categorised as commodities, as their very popularity and naturalness works against them. They are bought frequently, but without a great deal of thought as they are seen as raw materials which are essentially alike.
An international survey by a leading market research consultancy saw commodity products described as “overlooked, taken for granted, bland, boring” and “bought on autopilot, often on price or Best By date.”
There are several strategies that commodity products can use to change consumer behaviours. Clever campaigns that create an emotive connection or tap into leading consumer trends are the key to reset consumer indifference towards commodity products and their brands.
The providence of locally-sourced foods becomes one of the key deciding factors in fresh food purchase – particularly dairy. According to leading research institute Canstar, 10% more Australians feel that purchasing locally-sourced food is important to them compared to five years ago – a promising trend that continues to grow.
UK brand Cravendale, used a clever idea to justify the price differentiation for their filtered milk and changed the way shoppers perceived the brand versus private label and saw “The cows want it back" campaign (click to view) run effectively for over 5 years and was noted to be the one thing that the company did that could be directly attributed to its sizeable profit margin increase.
Any member who would be interested in implementing their own marketing plans or participate in the Buy Local campaign should email her at email@example.com or call 3236 2955.