Executive summary - Department of Foreign Affairs and Trade

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Submission
to the
Mortimer Review of Australia’s Export Policies and
Programs
on the issue of
Branding for Australian Exports
Australian Made, Australian Grown Campaign
April 2008
1.
Context
Australian exporters face many challenges, one of which is how to identify their products
and produce as Australian. The reason they should consider doing this is that there is much goodwill towards
Australia and Australian products in many global markets.
Research shows Australia is recognised as a country that provides quality goods, and that quality is worth a
premium price.
Australia has one of the strongest nation brands in the world and our manufacturers and growers have a
unique opportunity to use the equity in our nation brand as a sustainable competitive advantage, both here
and in export markets.
There is a strong body of opinion that the promotion and use of a consistent country of origin label would
enhance export sales, even if only because of the strengthened opportunity it would provide for those goods
to benefit from Australia’s good standing in various markets.
Moreover, for many SMEs, the Australian brand is probably the most powerful available to them
internationally.
The challenge then is to make it easier for international consumers to recognise Australian products and
produce.
The Australian Made, Australian Grown logo does this effectively but on a limited scale due to limited
resources.
An official country of origin symbol, i.e. a symbol endorsed by the Australian Government, promoted widely
and consistently by the public and private sectors, will produce greater results because of the greater scale
of effort. The Australian Made, Australian Grown logo is well placed to be endorsed as that official symbol.
The following paper presents the case for Australia having an official product symbol that is available to be
used, voluntarily and at reasonable cost, by businesses in the traded goods sector on labels, packaging,
point of sale material, contract documents, etc, to help them identify their products/produce in global markets
as ‘Australian’. It argues also that the Australian Made, Australian Grown logo should be that symbol.
Finally, the fees paid to use that symbol in export markets should be an allowable expense under the Export
Market Development Grants scheme, both as a sign of the Government’s support for the symbol and to
encourage its use by exporters.
2.
Identification
Australian Made Campaign Ltd (AMCL) is a not-for-profit, public company established in 1999 for the single
purpose of administering and promoting the Australian Made, Australian Grown (AMAG) logo.
The AMAG logo is a certification trade mark (across all 34 classes of goods) created by the Australian
Government in 1986. It was assigned to AMCL by the Government in July 2002.
The AMAG logo has 22 years of market capital and is by far the best known and most trusted country of
origin symbol for Australia. It is known by 95% of domestic consumers, recognised by 98% and trusted over
other country of origin symbols such as flags, maps and pictures of various animals by 86%.
It has been used in export markets for all its time and in excess of 50% of the Campaign’s current licensees
export and use the logo in that activity. In 2007 AMCL registered the AMAG logo as a certification trade mark
in the US.
Page 1 of 8
3.
Scope of Submission
Consistent with AMCL’s role, this submission will only address the issue of country of origin
branding; in particular, the provision of an official country of origin symbol for Australia that its exporters can
have access to as a marketing tool to support the sales of their products and produce in global markets.
Interestingly, the issue of branding is not actually mentioned in the Terms of Reference or the Key Issues
Paper.
However, the absence of an official country of origin symbol is certainly a supply side factor; effective
branding of products and produce as ‘Australian’ is central to trade development programs, particularly as
they relate to SMEs; and the absence of an official Australian product and produce symbol certainly works
against the efficient use of Government resources – all matters raised as key issues.
This submission also focuses just on products and produce exports, rather than services. This simply
reflects the logo’s current use in the domestic marketplace – which does not extend to services. However for
markets outside Australia, this can be changed so that, as the official symbol envisaged, it could be used on
manufactured, produce and service exports.
4.
Current situation
In the absence of an official Australian country of origin symbol, we have an array of industry and sectoral
logos, usually funded by hypothecated taxes/levies raised under statute from the businesses in those
industry sectors. Some of the more significant are shown on Attachment A.
This situation is compounded by State Governments and even regions within States promoting their own
logos in export markets.
The problem with this of course is that it confuses the export market place and dissipates even further the
available pool of resources, both public and private.
This contrasts with the support readily available to exporters from countries such as Canada or the USA,
where they have access to such global symbols as the ‘Maple Leaf’ or ‘Stars and Stripes’ to establish
country of origin, if they wish to do so.
The correct strategy for Australia is to have one official country of origin symbol, available for exporters to
use on their products and produce (and services), and which can be promoted widely, consistently and
continuously by the private and public sectors in partnership, so that its global recognition increases over
time.
The ‘Brand Australia’ logo developed by Tourism Australia in 2004 is about capturing the excitement and
flavour of Australia as a tourism destination. It was not developed as a tool for use on products or produce
and may well be changed when Tourism Australia develops its next campaign to promote the experience of
coming to Australia. The role of the Tourism Australia logo is very important but should not be confused with
that of a country of origin symbol intended for use in association with products and produce at point of sale.
Page 2 of 8
5.
The benefits of Australia having an official symbol for
its product and produce exports
Australia should have a country of origin symbol, endorsed by Government, that its exporters can use, if it
suits them to do so, to more readily identify their products &/or produce as ‘Australian’; for the following
reasons:

Engagement by Government - an official mark would enable Government and its agencies to actively
and consistently promote that symbol as part of their everyday activities the world over. This contrasts
to the current position where, because there is no official symbol, Government and its agencies are
quiet on what should be a strategic activity.
This is of course not to say that Government should not continue engaging with different logos at
events where support is being provided to Australian exporters. The proposal for an official symbol is
not about restricting any businesses or groups of businesses, with or without the support of
Government, from using whatever symbol they want to promote their products globally - that must
always be a matter of choice.
But there should be an ongoing, global campaign to promote a designated country of origin symbol for
Australia.
Whilst this is essentially a whole-of-Government issue, it is particularly relevant to Austrade because
its role includes actually assisting businesses sell their products/produce/services in overseas markets
(in addition to the valuable work it and others do at the higher level in promoting Australia and
Australian values, culture, policies, tourism, etc).
An official Australian product/produce symbol, one that Austrade can promote throughout its network,
will help the sale of Australian products and produce “at the coal-face”.

Leveraging Australia’s good standing – an official country of origin symbol will enable Australia’s
exporters to more effectively access the leverage they can derive from Australia’s recognized
strengths and good standing in world markets.
This would give Australian manufacturers and growers a competitive advantage in those markets; and,
as mentioned in the key issues paper, this is important if the decline in exports’ share of GDP growth is
to be turned around.
Also, particularly for SMEs, the ‘Australian’ brand will most probably be the most powerful available to
them, certainly initially.

Trade show to retail shelf – the obvious connection – the wider use of an official
product symbol for trade shows, expos and other large scale promotions, would establish a much
stronger connection between the “country” branding used at such events and the “product” branding
on labelling, point of sale material, brochures, etc.
Attachment B shows the branding to be used at the National Restaurant Association show in Chicago
this year (May 2008) and also that used in the recent retail promotions in Bristol Farms (Southern
California) and Citarella (NY) in Jan 2008 (all part of the export project funded in part by the federal
Government).
The advantage of building such a connection is that it would have the effect of extending the impact of
the branding at the trade show or expo into the market place.

Not a big budget proposal - in fact all that is required from Government is for the symbol to be
promoted consistently and continually as part of its everyday activities in markets all around the world,
in partnership with the private sector. Over time the impact will be significant and the symbol will
become more recognised globally as the product/produce symbol of Australia, thereby enhancing the
contribution the public sector makes to the marketing of Australia’s exports.
Page 3 of 8
Government financial assistance need only extend to some promotional activities to
encourage its use and maybe some initial support to establish that it is a protected
mark in the international marketplace.
The administration of the campaign to promote and manage this symbol should continue to be, as
now, outside Government and ‘user pays’.
6.
Why the Australian Made, Australian Grown logo
The first decision is that there should be an official symbol, the next decision is that it should be the
Australian Made, Australian Grown logo; for the following reasons:

Animals, flags and maps – Exporters often use pictures of a kangaroo, the Australian flag or a map
on their label to achieve the connection with Australia.
The flags and maps generally don’t work. People overseas don’t recognize our flag and generally have
no idea of what a map of Australia looks like.
But the kangaroo is of course very Australian and does work. Research by AMAG and others clearly
establishes that the kangaroo is the most widely recognised symbol for Australia.

The stylised kangaroo - The argument for using the stylised kangaroo in the triangle is that it retains
the important connection with Australia, but at the same time:





looks official and trustworthy (AMAG consumer research in LA and Bangkok),
can be trademarked and therefore its use regulated and protected, as in the US,
is not a picture of an actual kangaroo, making it less likely to be inappropriate for certain
products or interest groups, and
it offers synergistic consistency from brand to brand.
Established market presence - The Australian Made, Australian Grown logo is a certification trade
mark, registered across all 34 classes of goods.
It has 22 years of market capital and is by far the best known and most trusted country of origin
symbol for Australia. It is known by 95% of domestic consumers, recognised by 98% and trusted over
other country of origin symbols such as flags, maps and pictures of various animals by 86%.
It is currently used by 1300 businesses (55% growth in 4 years) on over 10,000 products.
In 2007 the Government selected the logo for its new ‘Australian Grown’ label, thereby strengthening
the logo’s application to the fresh and packaged produce sector.
Over 50% of the businesses registered to use the logo are exporters and use the logo for that
purpose. In 2007 it was registered as a certification trade mark in the US.

Government “ownership” – the federal Government created the AMAG logo in 1986 and owned it for
the next 16 years. Its assignment across to AMCL in 2002 was accompanied by deeds of transfer
which place obligations on both the Government and AMCL. The Government has at the very least an
interest in the AMAG logo and, more probably, residual ownership.

The Campaign – the AMAG Campaign is independent, not-for-profit and self-funding. It has
administered the AMAG logo for 9 years and delivers the ‘Australian Grown’ logo for Government.
The campaign is directed by a national Board, elected by the 11 Foundation Members of AMCL. The
current Board and Foundation Members are shown on Attachment C.
Page 4 of 8
7.
The Global Product & Produce Symbol for Australia
GLOBAL BRAND
DOMESTIC BRAND
? (e.g. services)
The certification trade mark is the stylised kangaroo in the triangle, and does not include the words
underneath the triangle.
The Australian Made, Australian Grown Logo Code of Practice, i.e. the rules governing use of the
certification trade mark, currently prescribes that, in the domestic market, the AMAG logo can only be used
with one of the following representations:




Australian Made,
Product of Australia,
Australian Grown, and
Australian Grown (qualified).
The criteria for each representation are shown in Attachment D.
The proposed global symbol for Australia is the triangle with the single word ‘Australian’ underneath it, as
shown above. This descriptor is to be available only for export and when the product or produce meets the
criteria for at least one of the four ‘domestic’ descriptors.
Discussions have commenced with the Government, as is required by the AMAG Logo Code of Practice, to
further amend the Code to provide for this export symbol (even recognising it is for use outside Australia and
therefore outside the jurisdiction of the Trade Practices Act).
Page 5 of 8
8.
The Australian Made, Australian Grown Campaign
The Australian Made, Australian Grown logo was created by the Australian Government in
1986 as a certification trade mark across all 34 classes of goods. It was formally assigned to Australian
Made Campaign Ltd (AMCL) by the Government in July 2002.
AMCL is a not-for-profit, public company established in 1999 for the sole purpose of administering and
promoting the Australian Made, Australian Grown (AMAG) logo.
It is not a membership based organisation; its function is to promote and authorise use of the AMAG logo.
Any business whose products or produce meet the criteria in the Australian Made, Australian Grown Code of
Practice can apply to be licensed to use the logo in respect of those products.
The Campaign is funded by the licence fees businesses pay to use the logo (based on 1/10th of 1% of sales
of the relevant goods, min $250, max $20K, plus GST). In recent years the Australian Government has made
available some funding (matched) to support an export promotion (through DIISR) and some funding to
establish the ‘Australian Grown’ label (through DAFF).
The AMAG Campaign is about branding. The logo is recognised and promoted as a brand rather than a
philosophy. For the past 4 years the marketing pitch has been that buying Australian Made, Australian
Grown is good for you, the consumer, as well as “for the kids, country and future”.
The rules governing the use of the logo, as set out in the AMAG Logo Code of Practice, were rewritten in mid
2007 with the introduction of ‘Australian Grown’ by the federal Government and its decision to use the iconic
stylised kangaroo in the triangle as the centrepiece for the new label. The name of both the logo and the
Campaign were changed from ‘Australian Made’ to ‘Australian Made, Australian Grown’.
The AMAG logo has 22 years of market capital and is by far the best known and most trusted country of
origin symbol for Australia. It is known by 95% of domestic consumers, recognised by 98% and trusted over
other country of origin symbols such as flags, maps and pictures of various animals by 86%.
The Campaign has experienced strong growth in licensee numbers (55%) over the last four years. 1300
companies, large and small, are currently licensed to use the logo on around 10,000 products.
It is used widely in export markets – a March 2008 survey has revealed that 50% of businesses using the
logo are exporters.
In 2007 it was registered as a certification trade mark in the US.
The Campaign has attracted significant support from major organisations such as Austrade, AUSVEG, Bev
Marks Beds Australia, Caterpillar Underground, Coles Supermarkets, Crocmedia, Forty Winks, Harvey
Norman (Furniture and Bedding), Roy Morgan Research, The Purely Group, Qantas and Woolworths, all of
which are ‘Campaign Partners’.
The Cities of Melbourne and Ballarat, and the Rural Shires of Mornington Peninsula and Horsham are all
Campaign Supporters.
The Campaign’s head office is in Melbourne - the relocation from Canberra in early 2005 was to position the
Campaign within a major commercial/industrial centre, consistent with its commercial focus.
Page 6 of 8
AMAG’s Global Focus
9.
In August 2004, the Federal Government provided a grant of up to $2 million over three
years to enhance the logo’s effectiveness as an export marketing tool. With matching funding from AMCL,
this created a significant 3-year program of research and promotion in the two selected markets of Los
Angeles and Bangkok.
This was the first such structured off-shore promotion of the Australian Made, Australian Grown logo and
enabled AMCL to focus on the promotion of the logo, and products carrying it, in a global, rather than its
more traditional domestic, context.
Considerable research was undertaken as part of the “2004” project - both desk research at the
commencement of the project and qualitative and quantitative research during the project.
This body of research indicated clearly that Australia and Australian products are regarded favourably in
world markets and thus supports the general premise that identifying products as Australian will generally
add to rather than detract from their attractiveness to consumers.
Attachment E is a summary of the desk research, extracted from the Research Plan prepared by AMCL for
the project.
The findings of the quantitative and qualitative market research undertaken were presented in the annual
reports submitted to Government (DITR). These findings are available on
www.australianmade.com.au/research.
Attachment F reproduces the Executive Summary of the Final Report submitted to DITR in September last
year. It established a strong case for using the logo where exporters are seeking to promote that their
product or produce is ‘Australian’.
In October last year, the Government announced it would provide a further $2.7M over 3 years to promote
Australian exports through the use of the AMAG logo. The project is specifically intended to:
•
•
•
•
stimulate new export activity by Australian manufacturers;
expand the number of small and medium enterprises involved in export and using the logo;
strengthen the awareness and profile of the logo among Australian industry, especially small and
medium sized enterprises; and
enhance the logo as an effective export brand and export marketing tool.
The project will have a greater focus on the promotion of export sales than the earlier, research project and
will include markets in North America, Asia and the Middle East.
AMCL’s export promotions and research over the past 4 years have highlighted the importance of readily
identifying a product or produce as ‘Australian’. There exists in many countries around the world a strong
sense of goodwill towards Australia that can and should be converted into increased sales for Australian
exports.
This will be facilitated by a widely promoted and well recognised (eventually) symbol that Australian
exporters can use to do just that.
Page 7 of 8
10.
Summary
The Australian Government needs to endorse an official country of origin symbol that is
available to be used, voluntarily and at reasonable cost, by businesses in the traded goods sector, and that
its departments and agencies can promote, consistently and continuously, as part of their everyday activities.
Australia has one of the strongest nation brands in the world and our exporters have a unique opportunity to
use the equity in our nation brand as a sustainable competitive advantage.
The way to do this is through an official country of origin symbol that those exporters can use to promote
their products and produce as Australian. Such a symbol, endorsed by Government, can be promoted
consistently and widely through a collective, public/private sector effort.
This is particularly important for SMEs where the Australian brand is probably the most powerful available to
them in export markets.
The Australian Made, Australian Grown Campaign is a broad based, collective effort by business to provide
such a symbol, but in world markets, where scale is such an issue, so much more would be possible via a
focussed, genuine partnership between business and Government.
The stylised kangaroo, with the single word ‘Australian’ underneath it, is appropriate because of its 22 years
market capital, its economy-wide coverage, the fact that it retains a very strong connection to Australia yet
can be trademarked and protected, it offers synergistic consistency from brand to brand and its broad
ownership.
The Australian Government should endorse the AMAG logo as the global product and produce (and
services) symbol of Australia.
11.
Recommendations
AMCL recommends that:
1.
the Australian Government endorse and promote an official country of origin trade mark that can be
used by businesses in the traded goods (and services) sector to more easily identify their Australian
products and produce as ‘Australian’ in global markets,
2.
the Australian Made, Australian Grown logo, with the single word ‘Australian’ under the triangle, be
endorsed by Government as Australia’s country of origin trade mark, and
3.
the licence fees, if any, payable by businesses to access this symbol be an allowable expense for the
purposes of the Export Market Development Grants scheme.
Page 8 of 8
Attachment A: Australian logos
Tourism Australia
Ausfilm
Tourism Australia is a statutory authority of the
Australian Government, which promotes Australia
as a tourism destination internationally and
domestically and delivers research and forecasts
for the sector.
Ausfilm is a Government-industry partnership
comprising all of Australia's State and Territory Screen
Agencies, some 40 private sector screen production
service companies and Australia's Federal
Government through the Department of Environment,
Water, Heritage and the Arts (DEWHA).
GDAY USA
AEI - Australian Education International
G’day USA is a joint initiative of DFAT, Austrade,
Tourism Australia and Qantas.
Australian Education International is the international
arm of the Department of Education, Employment and
Workplace Relations.
Wine Australia
Australia Fresh
Wine Australia is the marketing arm of the
Australian Wine & Brandy Corporation.
Australia Fresh is the certification trade mark
administered by Horticulture Australia Limited to promote
fresh Australian horticulture products here and overseas.
Attachment A: Page 1 of 2
Attachment A: Australian logos
Meat & Livestock Australia
Buy WA First Campaign
Meat & Livestock Australia is the statutory body
responsible for promoting Australian meat and
products overseas.
The Buy WA First campaign was developed in 2003 by
the State Government to assist Western Australian
producers, manufacturers and retailers promote their
products to Western Australian consumers.
Riversun Export Pty Ltd
Aussie Beef
Riversun is the exporter of Australian citrus
fruits to the USA.
MLA actively supports the marketing of Australian red
meat in Japan and uses this symbol.
Australian Made, Australian Grown Campaign
Attachment A: Page 2 of 2
Attachment B: Images from NRA show and G’Day USA retail promotions
Image 1: NRA Show pavilion
Image 2: Bristol Farms 2008
Image 3: Citarella 2008
Attachment B: Page 1 of 1
Attachment C: AMCL Board and Foundation Members
BOARD MEMBERS
Robert Gerard AO, Chairman
CAVAN, SA
David Gray, Deputy Chairman
O’CONNOR, WA
Neil Summerson FCA, Treasurer
BRISBANE, QLD
Julia Banks, Director
MALVERN, VIC
Charles Burke, Director
SOMERSET, QLD
Glen Cooper, Director
REGENCY PARK, SA
Robert Hutchinson, Director
BRENDALE QLD
Kevin MacDonald, Director
NORTH SYDNEY, NSW
FOUNDATION MEMBERS
ACT & Region Chamber of Commerce and Industry
DEAKIN, ACT
Australian Chamber of Commerce and Industry (ACCI)
BARTON, ACT
Business SA
UNLEY, SA
Chamber of Commerce and Industry Western Australia
EAST PERTH, WA
Commerce Queensland
BRISBANE, QLD
Employers First™
SYDNEY, NSW
National Farmers’ Federation
BARTON, ACT
Northern Territory Chamber of Commerce & Industry
DARWIN, NT
NSW Business Chamber Limited
NORTH SYDNEY, NSW
Tasmanian Chamber of Commerce & Industry
NORTH HOBART, TAS
Victorian Employers’ Chamber of Commerce and Industry (VECCI)
EAST MELBOURNE, VIC
Attachment C: Page 1 of 1
Attachment D: Criteria for use of Australian Made, Australian Grown logo
Extract from the Australian Made, Australian Grown Logo Code of
Practice (May 2007). Part VII. Rules and conditions
Compliance criteria relating to the use of the logo
18. Licensees may only use the logo in relation to a good in conjunction with one or more of
the representations set out in 18 (a), 18 (b), 18 (c) or 18 (d) and where that good meets
the compliance criteria set out in 18 (a), 18 (b), 18 (c) or 18 (d) and where the use of the
logo or the representation does not conflict with any statutory requirement.
For the logo to be used in conjunction with the representation “Product of
Australia” or “Australian Product”:
a)
(i)
Australia must be the country of origin of each significant ingredient or
significant component of the good (as defined in Section 65AC of the Trade
Practices Act 1974); and
(ii)
all, or virtually all, processes involved in the production or manufacture of
the good must have happened in Australia (as defined in Section 65AC of
the Trade Practices Act 1974).
For the logo to be used in conjunction with the representations “Australian Made”,
“Manufactured in Australia” or “Made in Australia”:
b)
(i)
The good must be substantially transformed in Australia (as defined in
Section 65AE of the Trade Practices Act 1974); and
(ii)
50 per cent or more of the cost of manufacturing and producing the good
must be attributable to production or manufacturing processes that
occurred in Australia (consistent with Sections 65AG to 65AM of the Trade
Practices Act 1974).
For the logo to be used in conjunction with the representation “Australian Grown”,
c)
(i)
each significant ingredient or significant component of the good must be
grown in Australia and not exported and re-imported; and
(ii)
all, or virtually all, processes involved in the production or manufacture of
the good must have happened in Australia (as defined in Section 65AC of
the Trade Practices Act 1974).
For the logo to be used in conjunction with the representation “Australian
Grown [insert name of ingredient/s eg peas and corn, or category of
ingredients, eg vegetables]”:
d)
(i)
50 per cent or more of the cost of manufacturing and producing the good
must be attributable to production or manufacturing processes that occurred
in Australia (consistent with Sections 65AG to 65AM of the Trade Practices
Act 1974); and
(ii)
90 per cent or more of the total ingoing weight of the good must consist of
ingredients or components which have been grown in Australia and/or water
harvested in Australia; and
(iii)
50 per cent or more of the total ingoing weight of the good must consist of the
ingredients, components or category of ingredients or components specified
as “Australian Grown”; and
Attachment D: Page 1 of 2
Attachment D: Criteria for use of Australian Made, Australian Grown logo
(iv)
100 per cent of each ingredient, component or category of ingredients or
components specified as “Australian grown” must have been grown in
Australia; and
(v)
the ingredients or components specified as “Australian grown” must not have
been exported from Australia and re-imported; and
(vi)
the representation “Australian Grown [insert name of ingredient/s or
components or category of ingredients or components]” must always be used
with the appropriate descriptor identifying the Australian grown component/s
of the good, eg “Australian Grown Apples and Pears”.
Attachment D: Page 2 of 2
Attachment E: Extract from Comprehensive Research Plan, 2004-2007
SECTION 2: DESK RESEARCH
There is a considerable body of research and/or market intelligence that supports the premise of
promoting the Australian Made logo in export markets.
In summary, the conclusion of our desk research is that there exists in many countries around the
world a strong sense of goodwill towards Australia that should be able to be converted into
increased sales for Australian exports, if Australian exporters take the appropriate action to
identify their products as Australian.
The Anholt-GMI Nation Brands Index, Second Quarter 2005
This survey was a joint initiative between
 Simon Anholt, one of the world’s leading authorities on the branding of countries, regions and
cities, the editor of the quarterly journal, Place Branding and Public Diplomacy, and author of
Brand America, Brand New Justice and other books; and
 Global Market Insite Inc (GMI), a US based global market research firm founded in 1999 and
with operations on 5 continents.
The survey is designed to measure the power and appeal of a nation’s brand image, and tells us
how consumers around the world see the character and personality of the brand.
The nation brand is the sum of people’s perceptions of a country across 6 areas of national
competence – tourism; exports; people; governance; culture and heritage; and investment and
immigration.
The survey tested the brands of 25 countries, both developed and developing, and was
conducted in 10 countries – Canada, China, Denmark, France, Germany, India, Japan, South
Korea, United Kingdom and United States.
The good news is that Australia ranked number one in the National Brands Index. This was
based on Australia being first choice in 3 of the categories – people, tourism and
investment/immigration – and was despite a relatively low ranking for exports.
Anholt-GMI said that “the strength of Australia’s brand derives from an almost universal
admiration of its people, landscapes and living and working environment. It is more the portrayals
of Australia than the productions of Australia which have built its brand.”
In respect to the lower ranking for exports, Anholt-GMI said that this was “presumably because
people in other countries are exposed to so few Australian exports”.
This points to an enormous opportunity for Australian exports – as Anholt-GMI say: “What the NBI
tells us is that much of the world has an appetite for things Australian. Now is the time for
Australia to be producing great Australian-branded products, culture, events, services, ideas, and
media as fast as it possibly can. Anything that reflects, promotes and sustains those essential
and admired Australian values will sell.”
This is a very important research finding for AMCL – it is not just that Australian products will sell,
but Australian branded products. This suggests that products that identify themselves as
Australian will capitalise on Australia’s positive brand image, and should increase their export
sales as a result – and that it is likely that carrying the Australian Made logo is a simple and
effective way of doing this.
Tourism Australia
Following an introduction from Austrade, AMCL consulted with Tourism Australia (Paul Davies,
Marketing Director) in respect to perceptions of Australia and brand image associations of
Australia from research that Tourism Australia has conducted.
Attachment E: Page 1 of 4
Attachment E: Extract from Comprehensive Research Plan, 2004-2007
Following a review of various qualitative consumer studies completed by Tourism Australia, Mr
Davies provided the following conclusions (in summary):
 There are strong associations with the kangaroo as an Australia icon
 The kangaroo is spontaneously mentioned by consumers throughout the world when asked
about Australia
Combining these conclusions with the Anholt-GMI Nation Brands Index, it seems logical to
conclude that
 Identifying a product as Australian should increase its export sales, and
 The Australian Made logo with its distinctively stylised kangaroo is an immediate and
effective way of identifying a product as Australian.
Australia Week (G’Day LA)
The Australia Week promotion in Los Angeles in January 2005 resulted in measurable increases
in consumer response, as follows:
 Qantas reported a 21% increase in new booking intakes compared to the previous year –
with a 38% increase in February compared to a 14% decline in December confirming that the
Australia Week promotion in January had had an impact
 The two weeks following Australia Week were record weeks for Tourism Australia in terms of
consumer enquiries – the joint TA/Qantas “different light” campaign saw an increase of 47%
over the same weeks the previous year
While these are tourism related responses rather than manufactured product, it does demonstrate
that promotion of “Australia and all things Australian” can stimulate consumer demand. As AnholtGMI say, this appetite for things Australian could translate to Australian branded products, it’s just
that consumers are not aware of Australian branded products – something the Logo could
correct.
This point was confirmed by Australia's Consul-General to Los Angeles, John Olsen, who said
after Australia Week 2005: "In the US, there is enormous goodwill towards Australia. This
fascination and respect for Australia opens up enormous export potential for us".
Pew Global Attitudes Project
The Pew Research Centre is an American research organisation headed by a former Democrat
Secretary of State and Republican Senator. Its Global Attitudes Project is a series of worldwide
public opinion surveys. In one such poll of 17,000 people in 16 countries, Australia was rated as
one of the best migration destinations for a young person, and topped the ratings in four countries
– Britain, Canada, the Netherlands and Germany.
This research provides independent confirmation of the veracity of the Anholt-GMI Nation Brands
Index, in which Australia ranked first in immigration/investment and tourism, the most comparable
categories to the Pew research which asked respondents an open-ended question about where
they would advise a young person to move to lead a good life.
Again, while this is not product related research, it does confirm the positive brand that Australia
has established in many countries around the world, and which could be leveraged to add value
to Australian product/export marketing.
Attachment E: Page 2 of 4
Attachment E: Extract from Comprehensive Research Plan, 2004-2007
Industry consultation – Logo users
AMCL conducted a survey of its licensees in May 2004, prior to this project, to investigate their
export performance. Of those licensees who export, 84% used the Logo on their products, and
the majority reported that the Logo “added value” to their export marketing efforts.
While this survey was relatively limited in scope, in that it did not probe any deeper into these
initial findings, it does provide an initial evidence base that the Logo is an effective export
marketing tool. More detailed research among licensees is one of the objectives of this research
project, to gain further insights into how the logo enhances the export marketing efforts of AMCL
licensees.
Initial consultation among AMCL’s Export Task Force, however, confirms that the logo is
important in identifying products as Australian because people like dealing with Australians and
trust Australian products. This applies to trade networks and distribution channels as much as it
does to consumers, according to the Export Task Force – this is, arguably, as important as
consumer perceptions because without trade distribution export success is difficult, if not
impossible.
Industry consultation – non licensee exporters
Qantas and Tourism Australia are two major Australian marketers who have confirmed the
relevance of the kangaroo as an iconic symbol that instantly connotes “Australia” in a positive
way.
While Qantas and TA are tourism marketers, in our initial consultation process as we sought to
define the parameters of this research project, we identified two sophisticated product marketers
who had also recognised the value of the kangaroo as an export marketing tool through their own
research and/or market intelligence.
John Soutter, Marketing & Sales Director of Casella Wines, makers of Yellow Tail, was quoted as
saying: “Wherever I go around the world, I find that consumers see Australian imagery as
aspirational. The kangaroo is the second most recognised tourist icon in the world, after the
Statue of Liberty, which means that whenever people see it they think about travelling to
Australia.”
Glenn Cooper, Executive Chairman of Coopers Brewery, advised AMCL that Coopers has
recently added their own kangaroo to their export labelling as a means of promoting the fact that
their beer is Australian.
These examples further confirm the likelihood that the Australian Made logo is, or could be, an
effective export marketing tool. It also follows that the effectiveness of the logo would be greatly
enhanced the more it is used - by Australia’s export agencies, Austrade in particular, and by
many exporters –a genuine collective effort to raise its market profile.
It also points to the likely value of the logo for smaller exporters, who do not have large marketing
budgets to establish their own brand profiles. While companies the size of Qantas are able to
effectively market themselves without assistance, smaller exporters can derive the benefit of the
collective marketing profile of the logo for very low cost.
Attachment E: Page 3 of 4
Attachment E: Extract from Comprehensive Research Plan, 2004-2007
Overall, a very persuasive case
The desk research summarised above confirms that:







Australia as a nation has the world’s leading nation brand
Australia’s brand is built on the imagery of its people, landscape, lifestyle and environment,
and perceptions that Australia is a great place to live
As yet, Australia does not have a strong product brand – largely the result of lack of exposure
Australia’s strong nation brand could be translated into a strong product brand, according to
expert international researchers
The kangaroo is Australia’s strongest and most aspirational image association with
consumers worldwide
There is hard evidence that promotion of Australia leads to increased response to things
Australian (ranging from intangible services like tourism to tangible products like wine and
beer)
This hard evidence also confirms the effectiveness of the kangaroo as the symbol of
Australian-ness
All of this presents a very persuasive case for the Australian Made logo as an effective export
marketing tool.
Importantly, these findings suggest that AMCL’s export marketing campaigns do not have to
create a successful brand for Australia, but rather have to capitalise on Australia’s already
successful brand – perhaps by simply identifying products as Australian.
The specific elements of this Research project, as outlined in the next section, are therefore
designed to firstly confirm the findings of the desk research, and secondly to identify the
marketing insights and nuances that will enable AMCL to develop the most effective campaigns in
the target countries.
Attachment E: Page 4 of 4
Attachment F: Executive Summary – Final report to DITR
Executive summary
(Extract from The Australian Made, Australian Grown logo - assisting Australian Exporters. Final
Report to the Department of Industry, Tourism & Resources in relation to the provision of funding
to enhance the effectiveness of the Australian Made, Australian Grown logo in supporting export
promotion, September 2007)
Australian Made Campaign Limited (AMCL) has been running a research and marketing
campaign in Los Angeles and Bangkok since 2004.
The program has been funded through a Government grant, through in-kind support from some
participating suppliers and through contributions AMCL.
The objectives of the research program were to:




provide a sound understanding of the current effectiveness of the Australian Made,
Australian Grown logo in enhancing the sales of Australian made products in foreign
markets;
provide a sound understanding of strategies that will enhance the effectiveness of the logo
in promoting sales of Australian made products in export markets;
strengthen the awareness and profile of the logo among Australian industry, especially
small and medium sized enterprises;
develop the logo as an effective export brand and export marketing tool.
The research has provided a sound understanding of the current effectiveness of the logo in
enhancing the sales of Australian made products in foreign markets. Both qualitative and
quantitative studies detailed in this report together with sales results prove that the logo has
provided a focal point for marketing efforts; a marketable mnemonic device for exporters, a
trustworthy and recognizable brand for consumers and a product group purchasing rationale for
buyers.
Detailed analysis of the longitudinal studies proves conclusively that product categories promoted
with the AMAG logo experienced significant growth in awareness, sales, perceptions of quality
and intended trial; while those categories not associated with the logo promotions did not.
The impact of Australian Made on perceptions of 'Australia is
the best Country to source this product'
20
15
Product categories promoted by
AM
10
Product categories NOT
promoted by AM
5
0
2005
2006
2007
Attachment F: Page 1 of 5
Attachment F: Executive Summary – Final report to DITR
The impact of Australian Made on product category top of mind
awareness
25
20
Product categories promoted by
AM
15
10
Product categories NOT
promoted by AM
5
0
2005
2006
2007
The impact of Australian Made on product category trial
50
40
Product categories promoted by
AM
30
20
Product categories NOT
promoted by AM
10
0
2005
2006
2007
Importers and distributors value the logo and the promotions. In Thailand their unprompted
awareness of the logo has risen from 22% in 2005 to 40% in 2006 and 70% in 2007.
Unprompted importer awareness of logo
2007
2006
2005
0%
10%
20%
30%
40%
50%
60%
70%
80%
Attachment F: Page 2 of 5
Attachment F: Executive Summary – Final report to DITR
They are seeing the logo on products more frequently, with their mentions of this rising from 43 in
2005 to 41 in 2006 and 100 in 2007.
Importer awareness of the Australian Made logo on products
120
100
80
60
40
20
0
2005
2006
2007
Research with importers and distributors shows they associate the logo with Australia and quality,
and believe Thai consumers do too.
Importers have always accepted that the logo impacts purchase decisions with ratings of 70% in
2005, 75% in 2006 and 70% in 2007, but increasingly they report that it influences shelf space
opportunities – rising from 68% in 2005 to 71% in 2006 and 78% in 2007.
Logo influence on shelf placement opportunities
2007
2006
2005
62
64
66
68
70
72
74
76
78
80
Throughout the project the AMAG logo helped build retail distribution, consumer consideration
and trial and profit. The consensus of many participating exporters is that this would not have
been possible without the involvement of AMCL and Austrade.
AMCL with the support of Austrade has developed a sound understanding of strategies that will
enhance the effectiveness of the logo in promoting sales of Australian made products in export
Attachment F: Page 3 of 5
Attachment F: Executive Summary – Final report to DITR
markets; most notably the provision of a credible brand that can assist with strategies including
sell-ins to stores and collective consumer promotions. The Australian Made brand clearly works.
An essential outcome of this project has been the adoption of a global focus within the Australian
Made campaign. This fundamental repositioning of the logo has manifestly strengthened the
awareness and profile of the logo among Australian industry, especially small and medium sized
enterprises. Over the period of the grant, and partially in consequence of it, Australian Made has
grown. Licensees have increased by 46%. It is reasonable to speculate that 50% of these did so
because of the export program.
Year
2003/04
2004/05
2005/06
2006/07
TOTAL
Total
841
922
992
1234
+393
% Change
0
10
8
24
47%
Finally the campaign developed the logo as an effective export brand and export marketing tool.
More licensees are using the brand for export marketing. The most compelling proof of this is the
number of Australian Made licensees intending to export. In annual surveys ‘intention to export’
virtually doubled over the period of the study.
% Exporting/ wanting to export
70%
60%
50%
40%
30%
20%
10%
0%
% Exporting/ wanting to
export
2005/06
2006/07
The value of the program is perhaps best expressed by the conclusions of independent research,
conducted in LA by the Horizon Group.
After three years of dedication in developing promotional campaigns driven through insight
gained from consumer research, Australian Made has identified that its most effective role is to
add brand value to export promotions developed in partnership with others, that are liked and
remembered by consumers:

The logo, which is the cornerstone of the program, is well-received by consumers
Attachment F: Page 4 of 5
Attachment F: Executive Summary – Final report to DITR

Reactions to store promotions are highly positive

Consumers remember them after they’ve left the store!

And, there is huge potential to expand these promotions into different markets and
different retail environments across the US.
The value of the promotions Australian Made does are also appreciated by exporters:

“I can’t emphasize enough how important these promotions have been to our
development in the US. It has put us 18 months ahead.”

‘Without help, it would have been difficult to get into Gelson’s stores at all’

And the promotions Australian Made does reaches the consumers they’re targeting –
affluent Americans
In consequence of these findings this report finds that the program has been beneficial for the
interests of Australia and Australian exporters and should be continued and expanded. It is vital
that the momentum of the current programs be maintained, or it will prove costly and detrimental
for exporters. It is therefore recommended that the campaign continue in LA and Bangkok, and
be extended to New York, Dubai and Toronto.
The recent expansion of the campaign to the fresh and packaged food sectors through the
Federal Government’s new Australian Grown labeling initiative strengthens the economic
argument for such an ongoing export focus.
Funding a forward program will require contributions from Government, from AMCL and from
exporters.
Realistic funding levels are discussed and a collective annual expenditure of $1.32M is
recommended; of this the contribution of Government is $900K per annum.
Attachment F: Page 5 of 5
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