WATERMELON PRESENTATION
Domestic A & U Study
rose research, llc.
November, 2008
Study Purpose
• Understand the dynamics operating in the watermelon category - among purchasers (respondents who have purchased watermelon in the
past 12 months) and non-purchasers.
• Both summer and winter purchasing/non-purchasing habits
• Measure consumer awareness of watermelon health benefits
• Determine the affect the economy has on watermelon purchasing habits
• Update the attitudes and behavioral practices of consumers since the last
project was conducted in 2006.
Methodology
A total of 3,204 interviews were conducted – 2,802 during
June - August and 402 during March/April, 2008.
Qualified respondents were men and women 18 years of age
or older, who are the primary grocery shoppers of their
household.
The study was conducted online among a nationally
representative sample of consumers living in the
United
States.
Purchase Penetration
Fruit Purchased Within the Past 12 Months
While incidence of purchasing produce has gone down slightly this year
compared to previous years, watermelon purchase penetration remains
strong despite weakened consumer spending.
100%
96% 92%95%
92%
90%
90%
92%
87%
87%
77%
74%
70%
66%
80%
70%
77%
72% 70%
77%
80%
74%
72%
65%
60%
50%
37%
36% 33%
32%
40%
30%
20%
10%
0%
Bananas
Apples
Watermelon
2008
2006
Cantaloupe
2004
Oranges
2002
Honeydew
Watermelon Purchasers (By Subgroup)
Watermelon purchasing is skewed toward consumers who are aware of
watermelon health benefits, households earning in excess of $50,000 and
respondents with children under the age of 18 living at home.
Aware of Watermelon
Health Benefits
Income
Children <18 @ Home
79%
77%
Yes
61%
No
64% 72%
<$50K
$50-$75K
77%
67%
$75K+
Yes
No
Reasons for Purchase & Non-Purchase
Watermelon Purchase Motivators
In addition to being loved for its refreshing great taste, consumers also
praise watermelon for the following:
100%
93%95%
90%
89%88% 88% 90%
84% 83% 84%
79%
80%
81% 81%
76%
Summer
70% 71%
70%
63%
62%
60%
Winter
59%
53%
50%
50%
50%
40%
40%
30%
20%
10%
0%
Refreshing
Family
likes it
Satisfying
Heathy &
Nutritious
Low in fat
Safe food
to eat
Good value
Contains
lots of
vitamins
Good for
my heart
Versatile
Contains
lycopene
Reasons for Non-Purchase – Summer vs. Winter
While price is the major reason for not purchasing watermelon –
especially in the winter, the perception that watermelon is a summer fruit,
lack of availability and quality concerns are the primary reasons for not
buying watermelon during the winter months.
It’s too expensive/not a good
value
It has a poor taste
It’s poor quality
It’s not available at the store
where I shop
It has a poor texture
I only buy it in season
It’s too cold outside
It’s a summer fruit
Nothing/no particular reason
Summer
%
27
Winter
%
42
8
5
3
21
23
27
3
1
62
11
8
14
36
66
Health Awareness & Benefits
Awareness of Health Benefits
NWPB has been successfully promoting the various health benefits of
watermelon - - and positively, awareness of it’s health benefits continues
to grow.
Awareness of Watermelon Health Benefits
70%
60%
65%
50% 50%
50%
56%
65%
62%
44%
40%
35%
30%
35%
38%
20%
Yes
10%
No
0%
2008 Summer
2008 Winter
2006
2006
2004
Watermelon & Lycopene Content
Also encouraging, a greater number of respondents (who know that
watermelon contains lycopene) are aware that it contains more of this
antioxidant than any other fresh produce item versus previous years.
80%
76%
74%
70%
60%
50%
59%
61%
41%
39%
40%
Yes
30%
24%
20%
26%
10%
0%
2008 - Summer
2008 - Winter
2006
2006
No
Awareness of Watermelon Health Benefits and
Purchase Intent
Moreover, and an indication of the importance of “watermelon health
benefits”, the vast majority of the respondents (who are aware of
watermelon health benefits) would buy watermelon because “it’s healthy
and nutritious”.
80%
74%
77%
74%
78%
70%
60%
Yes
50%
No/Don't know
40%
30%
26%
26%
23%
20%
21%
10%
0%
2008 - Summer
2008 - Winter
2006
2004
Awareness of Heart-Healthy Benefits of
Watermelon and Purchase Intent
Knowing that watermelon is “good for your heart” is even more
impactful, as 81% of the respondents indicated that they would be more
apt to buy it if they had this information.
81%
19%
Yes
No/Don't know
NWPB Health Claims & Logos
Affect of Health Claims on Purchase Decision
Reinforcing the importance of watermelon health perceptions, at least
three-fifths of the consumers reported that all of the claims below (which
have been approved for use by the USDA) would be impactful and
encourage them to buy watermelon – however the more general
positioning is directionally more positive.
Summer
%
Winter
%
Eating watermelon can help maintain cardiovascular health
74
69
Watermelon amino acids citrulline and arginine can help maintain blood flow and heart health
72
67
Watermelon consumption increases free arginine and citrulline, which can help maintain
cardiovascular function
70
67
Watermelon has amino acids such as citrulline and arginine that help maintain arteries
70
65
Affect of Health Claims on Purchase Decision
The “heart healthy” logo elicits a better response (in terms of stimulating
purchasing), followed by the “lycopene leader” logo and the “I love
watermelon” logo.
66%
Winter
38%
51%
59%
Summer
49%
56%
Summer
Winter
Summer
Winter
Price/Value, Economic
Environment & Watermelon
Affect of Current Economic Environment
At least three-quarters of the respondents agree that they are paying more
attention to prices (including food products) and cutting back on
expenditures due to the current economic climate.
Summer
%
I am more concerned about the prices of food
products than ever before
I am cutting back on my expenditures due to the
current economic environment
I pay attention to prices when I’m shopping more
than I used to
I am sacrificing luxury items and only buying the
things I need
87
82
88
76
Perceived Value for the Money - Summer
Importantly (especially in this soft economic environment), more than
three-fifths of the respondents who’ve bought watermelon this past
summer believe it is a better value compared to other produce items.
Somewhat better
value, 36%
Much better value,
26%
Equal value, 33%
Much
worse
Somewhat worse
value,
value, 5%
0%
Recommendations
Recommendations
The National Watermelon Promotion Board should continue to stress its
health strategy to consumers - - especially the cardiovascular/heart
healthy messages (approved by the USDA) as well as utilize their “heart
healthy” logo – which will help differentiate it from competitive items
in the produce section.
In addition, the NWPB should consider positioning watermelon as the
produce item that offers the best value for the money (especially price
per pound) during these difficult economic times.
Recommendations
The NWPB should also reinforce watermelon “all-year-round” usage by
stressing its healthiness, versatility and availability as this can result in
significant sales gains.
In addition, the NWPB should consider testing promotions before launch
to determine which ones will work the best in terms of increasing sales.
Finally, based upon our experience working with numerous commodities
(some of whom have had to change their strategic plans based upon our
research results and the declining economy), results from this study
validate & confirm NWPB’s 2009 strategic approach of “Making
Watermelon an Everyday Healthy Choice”.