Research on „Free From‟ foods December 2010 /January 2011 Growing the success of Irish food & horticulture AIDAN COTTER Growing the success CHIEF EXECUTIVE BORD BIA of Irish28food & horticulture JANUARY 2009 Research Background & Objectives The „Free-From‟ sector is one of the fastest growing in niche foods. In certain respects it has the potential to supplant vegetarianism and veganism as a market driver and, as an often clinical based food choice, to move into the mainstream of food provision and purchase. Given this dynamic, Bord Bia considered the timing opportune to undertake consumer and category research of the „free-form‟ category with a focus on the bakery and confectionery sectors. Behaviour and Attitudes conducted the research. The data gathered provides benchmark intelligence on „free-from‟ consumers perceptions and behaviour and can be used to identify opportunities, stimulate growth and to leverage relationships with retailers. Growing the success of Irish food & horticulture Research Background & Objectives The key areas of investigation for the research can be summarized as follows:- • The ‘free-from’ shopper – the consumer and the market. A comprehensive benchmark understanding of the „free-from‟ shopper was conducted to develop a thorough understanding of the broad marketplace. • Category: Meaning and Experience. Appreciate how the category is defined by consumers and what its meaning is to them • Marketing Communications Deliver benchmark measures of awareness and evaluation on various forms of marketing communications and channels. • Trade Perspective To provide insights from Trade buyers into perceived trends and opportunities for the Free From category Growing the success of Irish food & horticulture J.2394 Research Approach A phased research programme was employed to address these objectives: Phase 1 The Consumer and the Market A national benchmark survey via Behaviour & Attitudes Barometer survey. Phase 2 The Category - Meaning and Experience Qualitative research involving Re-Convened group discussions where respondents were brought in-store as part of a group accompanied shopping trip. Phase 3 The Trade Perspective A series of individual in-depth interviews with Trade Buyers Research was conducted in December 2010 and January 2011. Growing the success of Irish food & horticulture J.2394 Research Background & Objectives The national survey was conducted via Behaviour & Attitudes Barometer survey. Each Barometer survey is based on a nationally representative quota sample of 1,000 adults (aged 16 years and over) with a fresh sample used for each survey over a two year period. All interviewing is carried out face-to-face in respondents‟ homes and care is taken to ensure that the overall interview length does not exceed 35/40 minutes duration. Interviewing is conducted across 60 separate sampling points for each survey and all aspects of this Barometer survey are identical to using a bespoke, ad hoc survey approach. Within each sampling point, respondents are selected on the basis of quota controls relating to gender, age and social class within region – to ensure that the resultant sample is microcosm of the national adult population. All interviewing is conducted by fully trained and experienced members of our field-force, who work under direct supervision and are subject to rigorous quality controls (personal, postal and telephone checks). All aspects of our Barometer survey operate within the guidelines set out by the MRS and ESOMAR (the international industry representative body). Fieldwork took place between the 16th and 29th November, 2010. Growing the success of Irish food & horticulture J.2394 Free From Foods – Frequency of Purchase % Base: All Respondents 998 78% – never purchased 12 – purchased regularly 5 – purchased occasionally 12 3 – purchased from time to time 5 2 – purchased in the past 3 2 78 Growing the success of Irish food & horticulture J.2394 Free From Foods – Frequency of Purchase Base: All Respondents 998 Total Base: I buy them regularly (weekly or more) I buy them occasionally (monthly or more) I buy them from time to time (once every 3 months or longer) I have bought them in the past but I no longer do so Ever bought Gender SOCIAL CLASS AGE REGION AREA Users Men Women <34 35-49 50+ ABC1 C2DE Dublin Leinster Munster Conn/ Ulster Urban Rural 998 488 510 367 284 347 428 570 287 255 281 175 161 833 % % % % % % % % % % % % % % 12 8 15 9 14 12 13 10 20 10 6 10 13 9 5 4 5 4 7 4 7 3 7 2 3 8 5 4 3 2 3 3 4 2 4 2 2 2 4 4 3 2 2 1 3 1 3 3 3 1 2 1 2 5 2 3 22 16 27 18 28 21 28 17 31 16 15 27 24 18 Growing the success of Irish food & horticulture J.2394 Attitudes to Free-From Foods Base: Ever bought Free-From products - 208 % I have to eat certain 'free from' foods as I suffer from a condition such as coeliac disease, dairy intolerance etc. 16 One or more family members must eat certain 'free from' foods as they suffer from a condition such as coeliac disease, are dairy intolerant 12 I like these products because I prefer to remove certain ingredients from my diet 19 I like these products because they are generally healthier for me. One or more family members like these products as they prefer to remove certain ingredients from their diet One or more family members like these products because they are generally healthier Growing the success of Irish food & horticulture 31 9 15 J.2394 „Free From‟ Consumers – Attitudes to… & Frequency of Purchase Base: Ever bought Free-From products - 208 % ‘Must Eat’/ Frequent purchaser 25 ‘Healthy’ / Infrequent (186,000) 75 Growing the success of Irish food & horticulture J.2394 „Free From‟ Consumers – Attitudes to… & Frequency of Purchase Base: Ever bought Free-From products - 208 TOTAL GENDER SOCIAL CLASS AGE Men Women <34 35-49 50+ ABC1 208 75 133 65 76 67 111 97 % % % % % % % ‘Must Eat’/ Frequent purchaser 25 28 23 31 21 23 ‘Healthy’ / Infrequent 75 72 77 69 79 77 Base: Growing the success of Irish food & horticulture REGION AREA Leinster Munster Conn/ Ulster Urban Rural 83 40 41 44 142 66 % % % % % % % 20 30 26 36 21 16 26 23 80 70 74 64 79 84 74 77 C2DEF Dublin J.2394 „Free From‟ Products Ever Purchased Base: Ever bought Free-From products - 208 % 68 Sugar Free products 29 Gluten Free products 24 Dairy Free products 18 Wheat Free products Don’t know 1 Growing the success of Irish food & horticulture J.2394 „Free From‟ Products Ever Purchased Base: Ever bought Free-From products - 208 TOTAL FF CONSUMERS ‘Must Eat’ ‘Healthy’ 208 75 133 % % % Sugar free products 68 35 79 Gluten Free products 29 56 20 Dairy free products 24 28 23 Wheat free products 18 28 15 Base: Growing the success of Irish food & horticulture J.2394 Purchase Most Often Base: Ever bought Free-From products - 208 % 59 Sugar free products 18 Gluten Free products 12 Dairy free products 7 Wheat free products Don't know 4 Growing the success of Irish food & horticulture J.2394 Purchase Most Often Base: Ever bought Free-From products - 208 TOTAL FF CONSUMERS ‘Must Eat’ ‘Healthy’ 208 75 133 % % % Sugar free products 59 24 70 Gluten Free products 18 45 9 Dairy free products 12 17 10 Wheat free products 7 8 7 Don't know 4 5 4 Base: Growing the success of Irish food & horticulture J.2394 Bakery/Confectionary „Free From‟ – Ever Purchased % Breads Base: Ever bought Free-From products - 208 39 31 Breakfast Cereals 29 Rice cakes 20 Sweet biscuits 19 Chocolate 18 Sweets 16 Cakes 14 Bread products Cookies 10 Savoury crackers 10 Bread mixes 9 Pastries 9 Hand held snacks Cake slices 8 7 28 Other None 14 Growing the success of Irish food & horticulture J.2394 Bakery/Confectionary „Free From‟ Regular Purchase % Base: Ever bought Bakery/Confectionery Free-From products - 179 34 Breads 22 Breakfast Cereals 20 Rice cakes 17 Drinks 12 Sweet biscuits Chocolate 10 Sweets 10 9 Bread products 8 Cakes 7 Hand held snacks Bread mixes 6 Cookies 6 Savoury crackers 6 4 Pastries Yogurts 3 Cake slices 3 Don’t know 2 All other mentions 1% or less Growing the success of Irish food & horticulture J.2394 Bakery/Confectionary „Free From‟ - Regular Purchase Base: Ever bought Bakery/Confectionery Free-From products - 179 TOTAL FF CONSUMERS „Must Eat‟ „Healthy‟ 179 49 130 % % % Breads 34 59 25 Breakfast Cereals 22 17 23 Rice cakes 20 21 20 Sweet biscuits 12 14 12 Chocolate 10 22 6 Sweets 10 15 9 Bread products 9 22 4 Cakes 8 17 5 Hand held snacks 7 9 6 Bread mixes 6 10 4 Cookies 6 13 3 Savoury crackers 6 4 7 Pastries 4 6 3 Cake slices 3 2 3 Other 26 21 28 Base: Growing the success of Irish food & horticulture J.2394 Bakery/Confectionary „Free From‟ - Purchase More of/ Less of Base: Ever bought Bakery/Confectionery Free-From products - 179 % -3 Breads 4 0 Bread products Bread mixes -2 Breakfast Cereals -2 Cakes -3 1 Pastries -2 1 Cake slices -2 1 Sweet biscuits -3 Cookies -3 Rice cakes Sweets Other 12 5 1 2 -5 5 -2 Hand held snacks Chocolate 3 0 Savoury crackers None 13 -6 2 3 2 -5 -2 12 4 -47 Don’t know-23 Growing the success of Irish food & horticulture 13 J.2394 Retail Outlets Purchased From Base: Ever bought bakery/confectionery „Free From‟ products - 179 % 41 Tesco 37 Dunnes Stores 13 SuperValu 12 Other supermarket 9 Superquinn 6 Other specialist store 3 Pharmacist Holland & Barrett 1 8 Other Don’t know 3 Growing the success of Irish food & horticulture J.2394 Retail Outlets Purchased From Base: Ever bought bakery/confectionery Free From Products TOTAL REGION FF CONSUMERS Users Dublin Outside Dublin ‘Must Eat’ ‘Healthy’ 179 78 101 141 38 % % % Tesco 41 35 45 46 39 Dunnes Stores 37 45 31 37 37 SuperValu 13 9 15 19 10 Other Supermarket 12 12 13 11 13 Superquinn 9 19 2 8 10 Other Specialist Store 6 4 8 10 5 Pharmacist 3 3 3 10 Holland & Barrett 1 1 1 3 Other 8 6 10 15 5 Don't know 3 2 3 - 3 Base: Growing the success of Irish food & horticulture J.2394 Brand Awareness Base: Ever bought bakery/confectionery Free From products - 179 Spontaneous 52 Kelkin Mulligans Gluten free bread 6 Delicious Gluten Free Bakery 5 Celtic Chocolates 5 Total Awareness 86 20 13 25 Barkat 3 9 Sowans Organic Bread Mix 3 5 Ballybrado Spelt Flour 3 5 Aine's Chocolate 2 10 Virginia Harvest 2 14 Blazing Salads Bakery 1 Heron Foods % 10 5 Growing the success of Irish food & horticulture J.2394 Brands Trial and Preference Base: Ever bought bakery/confectionery Free From products - 179 Preference 50 Kelkin Celtic Chocolates 6 Mulligans Gluten free bread 7 % 66 14 12 6 Virginia Harvest 0 Delicious Gluten Free Bakery 4 6 5 Barkat Blazing Salads Bakery 1 4 Aine's Chocolate 1 4 Ballybrado Spelt Flour 1 Sowans Organic Bread Mix Trial 3 1 Heron Foods 0 0 Growing the success of Irish food & horticulture J.2394 Advertising Awareness Base: Ever bought bread/baked goods/crackers/confectionery… „Free From‟ - 179 % Don’t know 1 8 Yes FF CONSUMERS % Total 8 Must Eat Healthy 16 4 91 No Growing the success of Irish food & horticulture J.2394 Overall Satisfaction Base: Ever bought bakery/confectionery Free From products - 179 Bread, Baked Goods & Crackers 9 -10 Confectionery 21 28 36 7-8 36 1-6 19 21 Average: Q.12a 7.8 7.4 On a scale of 1-10 how satisfied or otherwise are you with the quality of the Bread, Baked goods, Crackers and Confectionary free from foods you have purchased. The more satisfied you are, the higher the score you should give. The more dissatisfied you are, the lower the score you should give. J.2394 Information Provided Base: Ever bought bakery/confectionery Free From products Bread, Baked Goods 179 Confectionery & Crackers 9 -10 26 29 7-8 36 1-6 18 31 23 Average: Q.12b 7.7 7.5 On a scale of 1-10 how satisfied or otherwise are you with the information provided on the labelling of the Bread, Baked goods, Crackers and Confectionary free from foods you have purchased? J.2394 Value for Money Base: Ever bought bakery/confectionery Free From products 179 Bread, Baked Goods Confectionery & Crackers % % 9 -10 7-8 1-6 7 9 29 30 43 43 Average: Q.12c 6.4 6.3 On a scale of 1-10 how satisfied or otherwise are you with the value for money of the Bread, Baked goods, Crackers and Confectionary free from foods you have purchased? J.2394 Availability of Product Base: Ever bought bakery/confectionery Free From products 179 Bread, Baked Goods Confectionery & Crackers % % 9 -10 7-8 1-6 19 19 27 36 33 29 Average: Q.12d 7.0 6.8 On a scale of 1-10 how satisfied or otherwise are you with the availability of Bread, Baked goods, Crackers and Confectionary free from foods ? J.2394 Headline Measures: Baked Goods Base: Ever bought bakery/confectionery Free From products - 179 TOTAL MUST EAT HEALTHY (1-10) (1-10) (1-10) Overall satisfaction 7.8 8.0 7.7 Information promised 7.7 7.8 7.7 Value for money 6.4 6.3 6.5 Availability 7.0 6.5 7.2 Growing the success of Irish food & horticulture J.2394 Headline Measures: Confectionery Base: Ever bought bakery/confectionery Free From products - 179 TOTAL MUST EATS HEALTHY (1-10) (1-10) (1-10) Overall satisfaction 7.4 7.6 7.4 Information promised 7.5 7.6 7.4 Value for money 6.3 6.1 6.3 Availability 6.8 6.3 7.0 Growing the success of Irish food & horticulture J.2394 Suggested Improvements Base: Ever bought bakery/confectionery Free From products - 179 Baked Goods Cheaper price 23 Wider selection 19 9 Availability 11 8 Better taste 8 4 9 Better labelling 2 Fresher 2 1 Longer life/long lasting 2 1 Less salt 2 1 Nothing at all % Confectionery % 2 9 Don't know Growing the success of Irish food & horticulture 7 39 41 J.2394 „Ideal‟ „Free From‟ Product Base: Ever bought bakery/confectionery Free From products - 179 Baked Goods Clear ingredient information on labelling 50 Low price 48 51 Texture 47 23 Calorie count 23 22 Crumbliness Don't know 53 49 Great taste Other % Confectionery % 25 9 8 2 2 15 Growing the success of Irish food & horticulture 16 J.2394 „Ideal‟ „Free From‟ Product – Confectionery Base: Ever bought bakery/confectionery Free From products - 179 TOTAL FF CONSUMERS Users ‘Must Eat’ ‘Healthy’ 179 49 130 % % % Clear ingredient information on labelling 53 56 52 Low price 48 50 47 Great taste 47 52 46 Texture 23 29 21 Crumbliness 8 12 6 Calorie Count 25 33 22 Other 2 2 2 Don't know 16 8 19 Base: Growing the success of Irish food & horticulture J.2394 Ideal Store Position for „Free From‟ Base: Ever bought bakery/confectionery Free From products - 179 % Don’t know 12 Other 1 With mainstream non ‘Free From’ products 28 Growing the success of Irish food & horticulture 59 In a specific ‘Free From’ section J.2394 Ideal Store Position for „Free From‟ Base: Ever bought bakery/confectionery Free From products - 179 TOTAL FF CONSUMERS Users ‘Must Eat’ ‘Healthy’ 179 49 130 % % % In a specific 'free from' section 59 75 53 With mainstream non 'free from' products 28 18 32 Other 1 Don't know 12 Base: Growing the success of Irish food & horticulture 1 7 14 J.2394 National Survey Summary & Conclusions Just under 200,000 adults purchase Free From foods regularly because they or a family member have a clinical need to do so. This group only constitute 1 in 4 of those who purchase Free From foods. Only one in three of the „Must Eat‟ group ever purchase sugar free products. Gluten free and Dairy free are key products for „Must Eat‟ while sugar free is dominant product for „Healthy‟. The dominant food category for the „must eat‟ group is bread. Clear labelling, competitive pricing and taste are the key components of the ideal Free From product. In terms of overall evaluation, general feedback is reasonable albeit reservations particularly exist in relation to value for money. Growing the success of Irish food & horticulture In Depth Trade Interviews Background & Objectives The in-depth trade interviews were designed to provide insights into opportunities and trends in the „Free From‟ marketplace as a complement to the consumer findings from the Barometer survey and qualitative study. The informational areas covered in the interview included: relative size and importance of category at a market level; general dynamics of the bakery and confectionary sectors; Free From supplier overview; key brands and category best practice; Free From opportunities and innovation. Given the limited Universe of „Free From‟ buyers from the multiples, four interviews with Trade buyers were conducted for this element of the research. Growing the success of Irish food & horticulture In Depth Trade Interviews Headline Findings The current trade view of „Free From‟ is of a small category with potential, currently accounting for a maximum of 1% of turnover. While Free From consumers are often considered to be high spend, the key potential for the category relates to the possible size of the hidden/undiagnosed Free From market. Free From products are beginning to receive more attention from the trade, albeit that they are grouped within the broader wellbeing or health category. Dominant category within Free From is bread and baked goods, with recent „fresh‟ product developments warmly received by the trade. The greatest scope for further product developments is also envisaged to be in the bread area. Not a category that is particularly well branded in the trade view, however Kelkin is recognised and appreciated as a strong performer. Little promotional activity to date in a premium priced category but traders are open to the potential of information based promotional activity. Growing the success of Irish food & horticulture In Depth Trade Interviews Headline Findings The Free From sector is recognised as growing year on year and traders are facilitating that growth through some investment activity. However, current trade strategy might be viewed as wait and see – with the appreciation that this market may grow rapidly in the coming years. Growing the success of Irish food & horticulture Trade Interviews Bread products are also seen to be developing strongly in an attempt to address historic and existing issues around taste. Technical improvements enabling fresh bread products are appreciated by trade and consumers and typically possess a reasonable and practical shelf life. Traders found it difficult to provide a detailed percentage breakdown between gas flushed and fresh, but it is clear that fresh is in the ascendency. In this regard, developments by the Genius brand are readily acknowledged. The introduction of new types of speciality breads, such as naan and pitta are seen as exciting and the initial feedback on taste is typically positive. Rice cakes are also a key product which are seen to be maintaining their development through the introduction of new flavours and toppings. Product developments are viewed as less evident in other Free From product areas with some suppliers broadly noted as being „quite stagnant‟. Growing the success of Irish food & horticulture Trade Interviews The range of Free From suppliers is generally perceived as being broad. Most distributors are described as being UK based and relationships with these appear largely logistical with sales reps executing effectively. Attractive commercial terms appear the norm on products that are largely premium priced. Promotional activity is also rarely evident in a category where purchasing is often driven by clinical needs. However, it is suggested that there is plenty of opportunity to develop promotional activity, particularly in relation to information and dietary advice based promotions. Advertising support is considered to be growing but still relatively minor. Kelkin is the principal Irish brand mentioned and is affirmed as efficient, responsive and supportive. The Kelkin brand is generally perceived to have room to develop its offering further in the Free From category. Indeed trade buyers can suggest that consumers would appreciate and be reassured by the entry of more well established brands (e.g. Heinz, Knorr) into the Free From category. Growing the success of Irish food & horticulture Trade Interviews Ultimately, the broad trade strategy might be described as being both optimistic but also somewhat „wait and see‟. Trade led developments around enhanced in-store positioning and promotions (information based) are likely to help maintain consistent growth of a „small‟ category. The market is also considered likely to go through supplier led developments that continue to enhance the taste and convenience of Free From products. However, a much greater potential can be envisaged through the entry of a „hidden‟/undiagnosed consumer market which would likely trigger significantly enhanced trade and established brand activity. Growing the success of Irish food & horticulture Background & Objectives The „free from‟ sector represents one of the fastest growing in niche foods, with the potential to expand into the provision and purchase of „mainstream‟ food. As such, Bord Bia decided to conduct consumer and category research of the „free from‟ category, with a focus on bakery and confectionery. Ultimate aim of the research was to gather benchmark information on consumer behaviour and attitudes regarding free from food category, with a view to verifying opportunities, stimulating growth and fostering manufacturer relationships with retailers. A modular research approach was adopted, incorporating qualitative and quantitative consumer research, along with trade depth interviews. This section of the report covers the consumer qualitative module. Growing the success of Irish food & horticulture Background & Objectives Specific objectives of this module were to explore: • • • • • Consumer definition and meaning of category Analyse how decisions are made Consumer led segmentation and labelling of bakery and confectionery sectors In-depth understanding of the in-store experience Explore drivers and barriers to the category as a whole and the bakery and confectionery sectors in particular Growing the success of Irish food & horticulture Methodology A series of focus groups was conducted, to the following specification: Group No. Gender Age Disposition Location 1 Male/Female As falls ‘Must eat’ Dublin 2 Male/Female As falls ‘Must eat’ Dublin 3 Male/Female 25-40 Healthier Dublin 4 Male/Female +40 Healthier Cork Fieldwork was conducted during the week commencing Monday, 13th December, 2010. Growing the success of Irish food & horticulture Free From Food: A Multi-Faceted Category In the main, the term „free from‟ for this broad category does seem to be a familiar one to most consumers. The category does however tend to be sub-categorised in accordance with a number of differing yet integrated variables, including: • • • Nature of condition suffered from Chilled versus dry foods Specially produced versus mass produced products The above distinctions, which co-exist in the mind of the consumer, have practical and emotive implications as to how free from products are marketed and merchandised , as is discussed in subsequent sections of this report. Growing the success of Irish food & horticulture Free-From Consumer Segments LACTOSE INTOLERANCE All in all, sufferers appear reasonably satisfied with the range and quality (but not price) of products available, and the dietary solution often appears to be simply to eat „very plain‟ (nonspecialist) food. Specialist foods most often purchased/consumed include: - soya milk - soya yogurts - goat‟s milk - flour-based products COELIAC Arguably the product area with the greatest commercial potential given that coeliacs tend to point to the fact that they have to be careful of practically all products they consume: “You are talking about lactose. Try eating gluten free which is everything!” DIABETES The onset of diabetes seems to be particularly traumatic, not least due to the sense in which sufferers perceive there to be an inevitable degenerative element to the condition. The sense of trauma tends to be greater amongst type 2 diabetics, who will often have been diagnosed quite late in life, and will thus need more „hand-holding‟ as they adapt to their new dietary regime. Products particularly sought after for this segment include: Products particular attention need to be paid to by coeliacs includes: - bread - soup - biscuits - sauces - pasta NB: many point out that many gluten-free products have a very high fat/saturated fat content - Biscuits - Confectionery Growing the success of Irish food & horticulture Although of course the entire diet is affected Free From Category Purchaser: A Key Distinction PURCHASER ONLY BOTH CONSUMER & PURCHASER Adult purchasers This segment can be further broken down into those who have had special dietary needs for all/most of their life, and those who have developed ailments (e.g. diabetes) in later life. The latter are often characterised by a deep FRUSTRATION with the need to change their lifestyles „overnight‟. The notion of the consumption of free from foods as a means of PREVENTING the onset of further dietary conditions also begins to emerge amongst middle aged and older consumers, and this could represent a significant opportunity for the category in the future. Growing the success of Irish food & horticulture Purchasing for a child (from birth to adult children living at home), although also includes some female consumers shopping for their husband. Can display acute signs of ANXIETY due to their desire to protect their charge‟s physical welfare on the one hand, and a fear that he/she may be unable to lead a „normal‟ life on the other. Free From Food Categories As identified on the previous chart, the most commonly spoken of Free From Foods are more likely to be staples, with confectionery tending to be primarily referred to in relation to diabetics. With the exception of rice cakes (which fulfil the role of semi-sweet snacks for some – as a potential substitute for confectionery), specialist sweets and chocolate are deemed to be inordinately expensive, and not particularly gratifying from a product consumption perspective. Confectionery products/brands mentioned spontaneously included Weight Watchers, (although not strictly viewed as a „free from‟ brand), Kelkin, Mrs. Crimbles. One key segment representing potential for the Free From confectionery sub-category is the children‟s gluten-free market, with some acknowledgement that there has been significant NPD in the area in recent years. Growing the success of Irish food & horticulture Free From Food Consumers: Key Challenges Today Eating Out: Whether for themselves or their partner/children/dependents, eating out in restaurants is invariable described as a „nightmare‟ for those in need of „Free From‟ food products. Out of home eating behaviour varies depending on the nature and severity of the sufferer‟s complaint, and can range from an avoidance of eating out altogether (e.g. some people with nut allergies) to eliminating certain types of restaurants from the equation (e.g. Indian/ Italian restaurants for lactose intolerant individuals), to establishing a personal list of restaurants which are proven to cater for the individual‟s dietary needs (e.g. clear labelling on the menu, type of food specialised in, etc.) Lack of Adequate Food Labelling System Food manufacturers are consistently criticised for a perceived lack of clear labelling of both ingredients (e.g. nuts/traces of nuts) and/or suitability of products (e.g. coeliac logo) for specific conditions. Growing the success of Irish food & horticulture Free From Food Consumers: Key Challenges Today Food Gratification: Free From Foods (in general) are often described as „tasteless‟, „dry‟, „unsatisfying‟, and generally uninspired from a gratification perspective. Particular food types singled out in this regard include chocolate/confectionery, bread, sauces and soups. Striking the Right Dietary ‘Balance’ Whether concerned with their own, or a dependent‟s dietary requirements, many point out that “no two people are the same” when it comes to devising the most appropriate food plan for their specific needs. A significant amount of trial and error is often required in doing so, often over the course of a number of years. The optimum solution is often a mix of everyday food products, specialist free from brands/products and, more often than not, the elimination of certain food categories from the diet altogether. Growing the success of Irish food & horticulture Free From Food Consumers: Key Challenges Today Maintaining a Normal Lifestyle: Understandably, those with special dietary requirements would like to live as normal a lifestyle as possible, from being able to eat outside the home, when and where they want, to being able to avail of suitable easy-to-prepare/convenient foods in the home. This theme of „normalcy‟ will be an important one from both an NPD, and a communications point of view as the broad Free From category continues to grow. Free From Food Information Support Systems A number of respondents made reference to (with some being members of) the Coeliac Society of Ireland. A key benefit of membership of the Society is clearly access to its food list of suitable manufactured products, with some describing it as a „Godsend‟. Discussion of the listing prompted others in the focus groups to wonder aloud as to why the food retailers and manufacturers do not co-operate closely with such bodies in the labelling, signposting and general communication of products suited to sufferers of various conditions. Growing the success of Irish food & horticulture Free From Food: Where Purchased MAIN MULTIPLES Most acknowledge that “all the main supermarkets” carry a range of „Free From‟ products, with Tesco praised by some in this regard for its free from bread range. SPECIALIST HEALTH SHOPS/ ARTISAN PRODUCERS Many consumers speak of having to purchase particular products in specialist food outlets, because they simply are not available in the main supermarkets. Superquinn was nevertheless praised by some as having forged links with the Irish Coeliac Society. While SuperValu and Dunnes were mentioned by others as having improved the range and display of Free From products recently. Growing the success of Irish food & horticulture ONLINE A number of consumers have begun to purchase certain products through specialist websites (the same price as in the shops, but with everything under the one „roof‟). Interestingly, one or two spoke of attempting to search the „Free From‟ products on main retailer websites, only to draw a complete blank or to be presented with dairy free products only. Free From Food: Key Brands (Top of Mind) As mentioned, many „main brand‟ products are spoken of within the context of the „free from‟ category (e.g. pastries and wine gums for lactose intolerant children) with brand less of an issue here than it would be for specialist free from products. Key free from brands mentioned spontaneously in all four focus groups included: Growing the success of Irish food & horticulture Pricing & Promotional Activity As mentioned previously many automatically refer to „free from‟ foods as being „very expensive‟ compared to their „main brand‟ alternatives. Crucially, the vast majority feel they are being taken advantage of in this regard, and are paying well over the odds even allowing for the high costs they assume are involved in producing specialist goods of any type. Typically, a gluten free loaf of bread or bag of flour is deemed to be up to three times the price of a regular alternative, driving many consumers to prepare as many free from foods themselves, „from scratch‟! To compound the issue, few can recall specific promotional activity in the general Free From category, although any type of special offers would clearly be appreciated. Growing the success of Irish food & horticulture NPD Opportunities: Spontaneous Before being presented with any design test material, respondents were asked what their priorities would be for new Free From Food products. The type of products most frequently mentioned included: • • • • • • • Ready made bread. Specifically, bread that does not need to be toasted/microwaved, is soft in texture, and tastes like „real bread‟ Lactose free ice cream (for kids, but also an opportunity for adults) Gluten free pastry/frozen pastry Gluten free soups and sauces (made from potato or corn starch?) Muesli/breakfast cereal Gluten free products that aren‟t high in calories! Good quality pizza base Growing the success of Irish food & horticulture NPD Opportunities: Specialist versus Main Brand While most Free From products are perceived to be produced by specialist manufacturers, there is a low level awareness of emerging main brand propositions. Specifically, Avonmore Lactose Free Milk, McCambridges Gluten Free Bread and Knorr Gluten Free Gravy and Soup were all mentioned by respondents as the conversation unfolded. While some queried the practicalities of mass produced Free From products (due to the oftenstated need to produce such products in a „sterile‟ environment, free from cross contamination), most assumed that this could be readily resolved in practice. Indeed, Free From products produced by major brands are likely to assume the values of the mother brand, and help dissipate the underlying feeling expressed by such consumers that they are not being taken seriously. Note, these consumers will expect main brand Free From products to be less expensive than specialist brand alternatives. A significant growth in such main brand products would also have implications from an in-store category management perspective. Growing the success of Irish food & horticulture Key Conclusions The Free From Food category is a multi-faceted one, incorporating a range of savoury, sweet, dried and chilled goods, both „specialist‟ and mainstream. Key consumer needs are dictated first and foremost by consumer segment, and these break out into three main groupings: • • • Coeliacs (the „core‟ driver of the Free From market) Lactose intolerant (an important segment, often overlapping with the above) Diabetics A fourth „latent‟ segment also arguably exists. That is, the section of the population which currently suffers from food intolerances, but are heretofore undiagnosed. Growing the success of Irish food & horticulture Key Conclusions Furthermore, there is a significant opportunity in stretching the Free From Food category to incorporate non-food intolerant family members who wish to eat the same foods as sufferers in the home, and indeed, the broader „health conscious‟ population who may wish to introduce a limited number (most likely gluten free) of healthier products to their diet at a broad market level. In addition, people in the early stages of a food intolerance/medical condition may be convinced to consume more Free From products as a means of preventing a deterioration in their condition, and/or the contraction of another. While it is generally acknowledged that the range and (to a lesser extent) the quality of Free From products has improved in recent years (including bakery and confectionery products) there is still seen to be an insufficient number of such products in existence. This limitation in product range is compounded by the fact that the multiples are seen to be generally providing a poor and inconsistent range of foodstuffs, with the category in general deemed to be exorbitantly expensive. Slide 55 lists the products which respondents suggested would benefit from new product development. There may of course be others which, when presented, to the consumer, would be received just as enthusiastically. Growing the success of Irish food & horticulture Key Conclusions No one brand is seen to dominate the Free From market, regardless of product sub-category in question. A whole range of brands was however mentioned with quite some consistency across the four consumer focus groups, with the vast majority of them deemed to be „specialist‟ food producers, skilled in the manufacture of such products, and produced in particularly clinical production facilities. This is not, however, to say that the marketing of Free From product ranges from mainstream brands would be rejected. In fact, the notion was received quite positively by most respondents, on the basis that main brand manufacturers are likely to have the resources required to mass produce specialist products to the highest of standards and, presumably, on a more cost effective basis. The in-store merchandising/category management of Free From Foods emerges as quite a bone of contention for these individuals. Growing the success of Irish food & horticulture Key Conclusions Apart from the perceived problems with consistent stocking of products and an inadequate mix and range of goods to begin with, the following issues are noted: • • • • Free From fixtures are often located at a number of differing, often far-flung, positions within the store. Thus, gluten free, lactose free, sugar free, etc. products may be situated at different points across the store. Even where a single/main free from fixture exists, it is often located in an out-of-the-way location in the store, and can by definition be missed by any shoppers other than regular users of the outlet. Where single/main Free From fixtures exist, they are often brand-blocked, whereby the potential to pick up an inappropriate product (e.g. a food with wheat content for coeliacs) is heightened. With regard to layout of the fixture, the shopper requires that manufacturers raise their game with regard to the clear labelling of „mainstream‟ brands which may nevertheless be suitable for coeliacs, diabetics, etc. Growing the success of Irish food & horticulture Key Conclusions With regard to communications messaging, tone and style, the following pointers might be noted: • Consumers are likely to respond positively to any messaging built around the convenience of pre-prepared Free From products. Many of these individuals are spending an inordinate amount of time preparing foods „from scratch‟ in the kitchen, due to the fact that they do not trust current labelling and merchandising practices in-store. • • The marketing of Free From products as appropriate for both sufferers of food allergies/intolerances and other members of their family as healthier alternatives is also likely to strike a chord, particularly in families with small/teenage children. Any sensorial cues (whether on marketing communications material, packaging, etc.) which „dials up‟ the taste, flavour, aroma, etc. of the products are likely to resonate, assuming of course that the product can actually deliver on these properties in reality! Growing the success of Irish food & horticulture Key Conclusions The introduction of in-store promotions and price offers can only serve to address the issue of Free From Food price premia, as well as begin to position the broader category as one which is a more mainstream/‟normal‟ one. Finally, all of these individuals are in need of regular information and up dates on the types of food stuffs available to suit their, and their dependents conditions. A more focused programme of partnership between bodies such as the Coeliac Society of Ireland and the Food Retailers and Manufacturers would assist in reassuring the consumer of the seriousness with which their needs are being addressed, thereby engendering greater consumer loyalty in the long run. Growing the success of Irish food & horticulture Please see www.bordbiavantage.ie for more information for small business and join our new online Forum For more information please contact Linda Cullen at Linda.cullen@bordbia.ie Tel: 01-6142278 Growing the success of Irish food & horticulture