Research Institute of Organic Agriculture

Forschungsinstitut für biologischen Landbau

Communication and positioning of organic products

Thomas Bernet, FIBL

Institut de recherche de l’agriculture biologique

Promoting Organic Agriculture in Ukraine

to make consumers understand and trust

www.fibl.org

1. Almost all consumers are aware

about organic products.

2. Despite of higher prices, an

increasing number of consumers are

willing to purchase organic products.

3. Big processors and retailers do

important investments to promote

organic – to boost image and sales.

4. Most countries had/have organic

awareness creation campaigns.

Why is communication so important ?

~ Healthy

~ Natural

~ Safe

Source: Leapfrog Research UK 2012

Consumer-driven promotion of sustainable food production !

2

Situation in Europe:

www.fibl.org

1. All consumers care about quality of food –

where natural is a key attribute – but many

still don’t know what “organic” relates to.

2. Many of those who know what “organic”

means have difficulties to clearly identify

organic products.

3. Big retailers and processors are just starting

to understand the potential of organic

products in Ukraine.

4. Limited public awareness creation.

Why is communication so important ?

Source: Survey work of the Retail Academy and the Swiss-Ukrainian Organic Market Development Project

3

Awareness to promote sustainable food production and consumption !

Situation in Ukraine:

www.fibl.org

Clear Concept ~ Theory

= a set of attributes/values that make something

(1) unique and (2) valuable for a specific group

of persons (i.e. target group).

Successful “Organic Communication” ?

Organic? Clear Consumer Perception!

“Branding” ~ Practice

= creating identity through optimal visualization of attributes/values.

Unique + Valuable

Good examples: Ferrari, RedBull, Rolex -> unique positions!

Perceive Identify Trust

4

www.fibl.org 5

How to Position Organic in Ukraine ?

Natural, healthy, safe, tasty

[natural ingredients, pesticide free,

taste, no GMO]

Natural, safe, modern

[safe packaging, natural,

transparent, clean]

Quality for value!

[higher price = better quality,

justified, reasonable!]

Natural, healthy, safe, modern

[clear believable messages relating to

key values, efficient use of media]

Modern, natural, safe

[quality retail point, clean,

good accessible!)

5P Concept !

Target Consumers

Urban middle &

upper class

Key

Attributes / Values (1) Natural & Healthy & Safe

(2) Tasty & Modern

P roduct P

P P ackage

P romotion P

oint P

of sale

P

P rice P

www.fibl.org 6

How to Position Organic in Ukraine ?

P roduct P

P P ackage

P rice P P romotion P

Branding = Making a clear difference !

Effort of producers

or traders

oint P

of sale

P

Effort of retailers

Effort of sector

stakeholders

Target Consumers

Urban middle &

upper class

Key

Attributes / Values (1) Natural & Healthy & Safe

(2) Tasty & Modern

Optimal “Brand

Experience” to

stimulate demand

through mouth to

mouth propaganda !

www.fibl.org

Branding – Level of product packaging Use of different organic labels

~ Safe

B. Private product labels

~ Healthy

~ Natural

~ Modern

7

A. Certification labels

www.fibl.org

Branding – Level of product packaging Optimal package design

~ Healthy

~ Natural

~ Transparent

~ Modern

~ Safe

Example of Sonnentor, Austrian organic tea producer 8

www.fibl.org

Branding – Level of product packaging Optimal package design of organic categories

Examples of COOP and Migros, the two biggest food retailers in Switzerland

~ Identification conventional products!

~ Safe, natural, healthy, modern

Migros

9

www.fibl.org

Branding – Level of retailing Optimal visualization of organic sections

Example of Migros Supermarket

~ Identification conventional products!

~ Safe, natural, healthy, modern

Example of Megamarket, Kiev

10

www.fibl.org

Branding – Level of retailing Optimal visualization of organic products

Example of Good Wine supermarket, Kiev

~ Identification conventional products!

~ Safe, natural, healthy, modern

Example from German supermarket

11

www.fibl.org

Branding – Level of promotion Optimal communication of the “organic key messages” – organic sector

Example of UK Organic Promotion Campaign

~ Differentiation conventional food!

~ Natural, healthy, modern, safe

12

Neutral !

www.fibl.org

Branding – Level of promotion Optimal communication of the “organic key messages” – companies

Example of UK Organic Promotion Campaign

~ Differentiation conventional food!

~ Natural, healthy, modern, safe

TV Commercials

13

www.fibl.org

Awareness Creation Working towards emotional organic brands

Example of UK Organic Promotion Campaign 14

Perceive Identify Trust Sharing of information

websites

billboards

TV commercials

media articles

personal communications

flyers

product labels

Buy Be excited with experience

watch out for organic products

access special retailers

pay higher prices

share positive experience

study product labels

Optimal Organic Concept & Branding Strategy

Natural – Healthy – Safe

+++

[Multiplication at 0 costs mouth to mouth, social media]

Urban middle & upper class

messages action

www.fibl.org

Challenges – Effective “organic communication”

1. Consumers must always confront the same “organic

messages” !

Importance of agreed General Concept / Guidelines

2. “Organic communication” can only be effective if organic

products and their packages are, in fact, of good quality !

Importance to involve good package and label designers

3. Consumers must be confronted continuously with different

“organic information” that creates tangible benefits !

Importance of excellent collaboration at sector level

15

Organic Clear Brand Identity & Excellent Brand Experience !

www.fibl.org

Thank you !

16