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IGD’s latest shopper research,
Shopper Trends 2010, reveals
that nearly a third (30%) of shoppers claim to be specifically
purchasing locally produced food.
This group has doubled in size since 2006, with the upward trend
withstanding the pressures of recession over the last 18-months.
Compared to other types of ‘ethical’ shopping, locally produced food
alongside Fairtrade appears to have the greatest momentum for further
growth during what may become a year of protracted economic recovery.
Commenting on these findings, IGD's Chief Executive, Joanne
Denney-Finch, said: “These figures prove what we have been saying
throughout the recession – shoppers are looking for both value and
values. They are not simply looking for cheaper food in tough times,
they also expect the grocery industry to support their moral and ethical
values.”
The shopper
While those specifically buying locally produced foods are more
prevalent among older (particularly those aged 45-54) and more upmarket
shoppers, they represent a core group of shoppers for all retailers and
manufactures.
- It is not surprising, therefore, that many retailers have increased
and/or highlighted their range of locally produced food recently
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- Some large manufacturers are also emphasising their British and local
sourcing credentials in their brand communications (e.g. Bernard
Matthews, Müller and Walkers)
Motivations
There are three key reasons shoppers cite for buying locally produced
food:
- Freshness: Over half (57%) of shoppers perceive local food to be
fresher because it hasn't travelled as far
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- Economic factors: Over half (54%) want to support local producers,
while many others see it as a way of supporting local retailers (34%) or
keeping jobs in the area (29%)
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- Environmental factors: Three in ten (30%) shoppers are motivated to
buy local food because they think it is good for the environment as it
hasn’t travelled as far
A wide array of other factors also feature within the top ten reasons
for buying local food, including traceability, naturalness, taste and
value for money, as illustrated below.
| Reasons for buying locally
produced food |
| 1. |
Fresher |
|
| 2. |
Support local producers |
 |
| 3. |
Support local retailers |
 |
| 4. |
Good for environment |
|
| 5. |
Keeps jobs in this area |
|
| 6. |
More natural product |
|
| 7. |
Knowing where it comes from |
|
| 8. |
Tastes better |
|
| 9. |
Good value for money |
|
| 10. |
Knowing how it's produced |
|
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Supporting the local economy
The resilience of local foods during the recession is driven
particularly by the growing commitment of shoppers to support their
local economy. Each of the economic factors has increased significantly
over the last two years as a reason for buying locally produced foods.
It is encouraging for the UK food industry that shoppers are also
more likely to regard local food as being ‘good value for money’ than in
2008.
Shopping improvements
Despite the recent developments from retailers and manufacturers in
increasing the range of local foods available, shopper appetite for more
remains unabated.
Our Shopper Trends 2010 survey also asked shoppers what improvements
they would like to see in their food and grocery shopping experience in
the year ahead. Despite the increased range of local foods available in
many supermarkets, the desire for ‘more locally produced foods’ and ‘a
farmers’ market or farm shop in the area’ remain in the top four
requests from shoppers.
Seizing the opportunity
The appetite for more locally produced foods remains strong,
presenting opportunities for small scale enterprises as well as larger
food companies.
- If you are a national or multinational manufacturer, how can you
meet shopper demand for local products? Do you have a provenance story
to communicate?
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- For retailers, are you doing enough to open your doors for local
producers to meet buyers and enter your supply chain?
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- It is important for local foods to clearly demonstrate and communicate
the benefits that can be attributed to them, particularly in terms of
the impact they have on the local economy and the freshness of their
products.
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- There appears to be renewed growth opportunity for the direct channel,
and a challenge to the produce operations of multiple retailers.
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More information:
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Shopper Trends 2010 |
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Keep up-to-date with your shoppers’ needs with IGD's Shopper Trends 2010
report. It examines the factors driving key shopping decisions, highlights
changing attitudes to health and looks at how shoppers are assessing both
value and values when buying food
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