Brand Australia Global Food

Strategy Research

Desk review and primary insights

December 2013

Australia Unlimited

Background to this project

• Launched in 2013 by the Department of Agriculture

• Austrade appointed to deliver the national food brand

– 2 year project

– Track record: Australia Unlimited, Future Unlimited

Australia Unlimited

Austrade’s experience in brand building

The BAGFS - Our starting point for this phase

of the research

4

Brand Australia Global Food Strategy

Building on Australia’s existing strong credentials in food safety, quality and innovation, in the development of an evidence-based, globally recognised food brand

Goal: to increase the value of Australia’s food-related

exports by 45% by 2025

A globally recognised food brand will provide

competitive advantages

To target existing, growing and emerging premium markets To achieve higher returns for Australian food producers and

businesses To position our food, services and technology favourably against

strong and increasing global competition To build on our reputation as a leader in the production of

premium food

Through a unified brand position and a globally recognised food brand that has buy-in and is understood and shared across industry and government

Research plan for developing a national food

brand

5

Phase 1 Desk review

Phase 4 In-market consumer

online surveys

Phase 3 In-market trade

consultations

N=24 in-depth interviews with key industry stakeholders across 6 key international markets

N=400 consumers surveyed in each of 6 key international markets

Phase 2 Australian stakeholder

consultations

These phases of the research have been completed and form

the basis of this presentation

An extensive review of all available and relevant information from Austrade, key Australian stakeholders and publically available information from around the globe

N=24 in-depth interviews with key industry stakeholders across 6 key international markets

N=400 consumers surveyed in each of 6 key international markets

N=12 in-depth interviews with key Australian industry stakeholders from Government, industry bodies and the private sector

Conducted by global research company TNS on behalf of Austrade

Insight 1 – A national food brand needs to find the common ground

between truth and perception, both in Australia and in market

6

Perceptions

Known / truths

Australian food,

beverages and

related

technology

stakeholders

We need to

understand the

perceptions towards

Australian products of

in-market trade Australian

consumers the advocacy of

over 23 million

Australians, both in

Australia and

overseas

B

A

G

F

S

We also need to

understand the

perceptions towards

Australian products

among

consumers in target

markets

BAGFS – Brand Australia Global Food Strategy

Australia on the world stage 2013

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Source: Reputation Institute: Country RepTrak 2013

Our strongest attributes in G8 countries :

Physical beauty

Lifestyle

Enjoyable

In both G8 and non-G8 countries, we lag behind on:

Technology

Brand and innovation

Friendly and welcoming

In non-G8 countries:

Physical beauty

Lifestyle

Enjoyable

Education

Need to shift perceptions of

Australia in this area before it could be a

defining attribute of a National Food Brand.

Insight 2 – Australia’s food landscape is fragmented –

both by region and industry

8

Insight 3 – A national food brand must be built on key

attributes and associations

9

Our tourism offer

How we present

Australia to the

world

Our hero brands and

industries:

Mining

Cochlear

Penfolds

Ugg

Vegemite

Fosters

Hugh Jackman

Elle Macpherson

Our

people

The Australian tourism industry has successfully implemented this approach with a unified Australian brand position.

Australia leads on safe, sustainable and healthy food

10

Attribute Australia Malaysia US China France Brazil Canada

Good value 32% 21% 30% 31% 20% 24% 24%

High quality 37% 14% 41% 12% 42% 18% 34%

Expensive 21% 10% 39% 8% 41% 18% 24%

Safe 39% 17% 34% 13% 31% 19% 36%

Sustainable 31% 15% 19% 13% 20% 21% 25%

Good taste 27% 18% 28% 20% 30% 27% 24%

Healthy 30% 13% 21% 12% 22% 18% 26%

None of these 2% 15% 4% 25% 3% 9% 4%

Don’t know 13% 25% 8% 12% 12% 18% 15

Reputation Institute Report, N=7,409

Q5004. Which of the following attributes do you associate with food products from each of the following seven countries?

Insight 4 – A national food brand works both ways

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Regions Brands

e.g. Pork

Agriculture

Brand

Australia

A national food brand needs to:

• leverage the inherent

strengths of categories and

brand

• provide a unified approach

• be flexible enough to support

regional and commercial

brands and the innovation

that industries are

championing.

Insight 5 – A national food brand positioning comes out

of the collective strengths of Australia’s producers

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Wine

Fruit Grains

Beef Beer Dairy

Brand and marketing trends in food in 2013

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Provenance Artisanal foods

Sustainability

In-house and homemade Food made from

scratch

Food and experience

Health and wellness

Premium alcoholic

drinks

Key consumer issues in

the food sector

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• Gourmet travel or

culinary travel

• Celebrity chefs

• The digital age of food

• Quality at a reasonable

price

• Country of origin labelling

• Farm to table dining

Key consumer issues (continued)

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• Chemical backlash

• Growing demand for transparency

• More is spent eating in than eating out

• ‘Internationalisation’ of eating habits

– Middle classes in emerging markets more exposed to Western

products through travel, the internet, influence of celebrity chefs

and TV

– Mature market consumers developing a greater taste for more

exotic ingredients and meal types

Australia Unlimited

Stakeholder interviews - topline findings

• Broad support for the concept of a National Food Brand

• Australia’s people and natural assets are seen as a

strong platform

• Diversity is the missing element

• Overlap between ‘Safe’, ‘Clean’ and ‘Green’

– ‘Sustainable’ and ‘Green’ mean different things to different people

• Core attributes are important but not very differentiating

– Apart from innovation?

• Innovation is a stretch from our current perceptions

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What’s next?

17

International market

trade interviews

(face to face)

International market

consumer surveys

(online)

\

China Indonesia India Japan UAE USA

Hypotheses to be tested

• ‘Clean, green and safe’ is a credible positioning for

Australian food and beverages internationally

• Australia is well placed to compete at the premium end of

the food and beverage market

• Diversity of produce helps differentiate Australia from other

countries e.g. NZ

• Innovation is another potential differentiator

Australia Unlimited

What then?

• A national food brand positioning and identity

• Develop, test and launch in 2014

Australia Unlimited

What will success look like?

• A strong brand positioning that resonates within Australia

and in international markets

– Perception matches truth

• Coordinated messages across states and industry

– Individual brands working strongly under the Australian brand

• Ownership and advocacy from all stakeholders

– Giving the brand its own momentum

• A unified Australian approach in marketing ourselves to

the rest of the world

– Delivering a competitive advantage

Australia leads on safe, sustainable and healthy food

21

Attribute Australia Malaysia US China France Brazil Canada

Good value 32% 21% 30% 31% 20% 24% 24%

High quality 37% 14% 41% 12% 42% 18% 34%

Expensive 21% 10% 39% 8% 41% 18% 24%

Safe 39% 17% 34% 13% 31% 19% 36%

Sustainable 31% 15% 19% 13% 20% 21% 25%

Good taste 27% 18% 28% 20% 30% 27% 24%

Healthy 30% 13% 21% 12% 22% 18% 26%

None of these 2% 15% 4% 25% 3% 9% 4%

Don’t know 13% 25% 8% 12% 12% 18% 15

Reputation Institute Report, N=7,409

Q5004. Which of the following attributes do you associate with food products from each of the following seven countries?

Thank you