Insight: Know Your Customers

THE NATURAL MARKETING INSTITUTE HAS IDENTIFIED FIVE CONSUMER HEALTH AND WELLNESS SEGMENTS BY THEIR HEALTH ATTITUDES AND APPROACHES.

These profiles are vital in helping determine how products are marketed and consequently promoted in-store to various market segments. For example, some customers are cutting back on vitamin and mineral intake and instead opting for naturally nutrient-rich foods, whereas others are focused on increasing their use of supplements in an effort to cut down on medication and doctor visits.

The healthiest segment is the Well Beings, who continue to set the bar for healthy behaviour. They are the customers you want to be selling to as they are the influences, trend setters and early adopters. The standards they set provide the benchmark for the more aspiring segments, particularly the Fence Sitters. Fence Sitters and Magic Bullets represent the lucrative market that can be tapped into by providing the solutions and service they seek, primarily convenience and advice. Food Actives and Drink, Eat and Be Merrys are the most challenging segments to convert into sales in the natural health sector being that they are the most price sensitive and least eco-friendly.

The psychographics of the five consumer health and wellness segments have been outlined in greater detail below.

Know Your Customers Infographic 1
Well Beings are the most health proactive, market leaders and influencers. They use some supplements and have been identified to have the highest organic usage amongst the five segments. Well Beings also use many health modalities and are recognised as the greenest consumers.

Know Your Customers Infographic 2
Fence Sitters are best described as wannabe healthy. This consumer segment are the most likely to have kids, be stressed out, want help and have a desire for control. They participate in more health kicks but their goals are unclear, although they are receptive, eco-friendly and are likely to be actively engaged in weight loss methods.

Know Your Customers Infographic 3
Magic Bullets are conveniently healthy and rely more on a heavy pill usage – both supplements and prescriptions. They are seen as health managers and preventers, weight managers and are least likely to cook at home or exercise.

Know Your Customers Infographic 4
Food Actives are mainstream healthy. They desire inherently healthy foods and are most influenced by doctors. Although they are seen as price-sensitive and the least eco-friendly of all segments.

Know Your Customers Infographic 5
Eat, Drink and Be Merrys are the least health active out of all five consumer segments. Taste is their focus. They are unconcerned about prevention or weight loss, are the most price driven and tend to be younger.

* Natural Marketing Institute, 2015.

Communicating in 2015: The Power of Social Media

SOCIAL MEDIA HAS THE POWER TO  PERSONALISE MARKETING MESSAGES AND ALLOWS YOU TO ENGAGE AND DEVELOP YOUR CUSTOMER RELATIONSHIPS.

A recent study has indicated that 77 percent of social media users expect retailers to connect with them online and 66 percent have visited a retailer’s store in person, as a result of that retail’s social media post.

Social Media News (2015) has indicated that from December 2014 to July 2015, Australian Facebook users have increased from 13,600,000 to more than 14 million. Instagram has increased from 4 million to 5 million. A Research To Guidance study (2015) also shows that Instagram has become a popular platform for Healthies. Over the last few years, there has been a rapid increase in the presence of natural, health and fitness pages.

Some strong influences on Instagram in the natural health market include:

Social Media Insight 1

So what exactly are customers looking for on retailer’s social media pages?

Social Media Insight 2

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The Changing Landscape of Healthy Convenience

A NEW WAVE OF “DO IT YOURSELF” PACKAGED FOODS JOIN THE RISE OF HEALTHY GRAB N’ GO SNACKS, AS BUSY CONSUMERS NOT ONLY SEEK HEALTH AND CONVENIENCE, BUT ALSO HAVE AN INCREASING DESIRE TO BE INVOLVED IN WHAT THEY CONSUME.

The millennial generation are driving this trend. Millennials have been labelled as the most food obsessed generation in history. With this said, Donald Lynch, a highly regarded Professor of Psychology, identifies that they are extremely time poor because of their underlining obsession to live busy lives.

According to Innova Market Insights*, millennials are generally aged between 15 and 35, tech savvy, socially engaged and now account for about one-third of the global population. So, the trend is set with a huge following, but what exactly falls under the healthy convenience umbrella? It’s a broad category, that’s continuously growing, but covers all healthy alternatives that are pre-prepared to a point. This includes pre-cut vegetables, through to healthy baking mixes. Anything that meets the consumers desire to have involvement in creating healthy food but also meets their need for convenience.

There have been a number of factors contributing
to the ‘healthy convenience trend’.

Firstly, more light has been shed on the importance of a healthy lifestyle through information and public health campaigns from governments, as well as famous personalities (like Sarah Wilson and Pete Evans) in mainstream and social media. This has led to an increase of food-related television (like MasterChef), media and motivation from social media such as Pinterest and Instagram, which are inspiring consumers to be involved in the process.

As the market shifts, brands that inspire consumers to participate in creating their own healthy lifestyles, seem to be set for long-term success. According to NPD Group**, consumers will increasingly favour healthier ‘convenience consumption’ options over unhealthy options.

Thankfully, the range of products available that compliment this trend are growing in abundance, with suppliers of ‘grab and go’ products and innovative, convenient DIY mixes on the rise.

Check out NEW Grab n’ Go products and Healthy DIY Convenience products.

* Innova Market Insights, July 2015.
** NPD Group, January 2015.