Earlier this month, The Advocate reported that Woolworths will soon be clearly labelling its range of Tasmanian food produce in an effort to satisfy consumer demand for locally sourced food. The news has been welcomed by local farmers amid concerns about the increasing level of food imports to Australia.
The strategy is an astute one, given the growing appeal of locally produced food. Datamonitor’s April/May 2009 Consumer Survey found that over 26% of Australians are buying food and drinks produced locally to where they live either ‘all the time’ or ‘most of the time’. Meanwhile, 56% of respondents stated that knowing where their groceries come from has become ‘more’ or ‘significantly more’ important to them compared to two years ago.
The independent grocery network IGA has also recently announced a new campaign emphasising the individuality of each of its 1,000 stores, which are tailored to the local community. The campaign is designed to leverage local store credibility and make consumers aware that their suggestions are valued.
The six-month integrated campaign includes a television advertisement featuring local staff and customers and a new website with the catchphrase ‘How the locals like it’, which brings home the community message. In addition, the organisation has implemented point of sale advertising that’s tailored to each store, highlighting individual features and benefits.
Strategies such as offering locally sourced products or promoting regionalised stores can go a long way towards creating goodwill among discerning consumers. Australian supermarkets have a distinct advantage in this respect, compared to imports such as Aldi and Walmart.
Expect to see other retailers follow suit, with more prominent product labels and in-store displays promoting local sourcing, strategic partnerships with local growers, and perhaps the revival of the ‘Australian Made and Owned’ symbol.
Source: Datamonitor
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