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Consumer motives and values behind organic consumption

Burkhard Schaer, Nina Berner (ECOZEPT)

Training 4 - Organic food products and markets

Split, February 1, 2010

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Objectives

Transmit knowledge about the consumers of organic products and why they buy organic products

Comprehend the barriers to purchase organic products

Get an impression of the further development of organic products and markets

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Agenda

Different models to explain consumers behaviour

Influences on consumption

Buying motives for organic products

Consumers typologies

Trends and perspectives

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The „S-O-R“ model

ProductPackagingPriceQuality

OBSERVABLE

Stimulus Organism Response

EmotionsMotivationsAttitudesSocio-demography

NOT OBSERVABLE

Purchase

OBSERVABLE

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The „S-O-R“ model

purchase or not

Reaction

ProductPackagingPriceQuality

Outbound messages

EmotionsMotivationsAttitudesSocio-demography

Received and transformed messages

Product Person Choice

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The „TRA“ model

BehaviourBehaviouralIntention

Attitude

Subjective Norm

Belief about outcomes

Evaluation of outcomes

Normative beliefs

Motivation to comply Theorie of Reasoned Action

Source: adapted from Ajzen and Fishbein, (1980)

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The „TPB“ model

BehaviourBehaviouralIntention

Attitude

Subjective Norm

Perceived behaviouralControl (PBC)

Theorie of Planned Behaviour

Source: adapted from Ajzen and Fishbein, (1980).

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Explaining human behaviourDefinitions

Valuesassumptions, convictions or beliefs about the manner in which people should behave and the principles that should govern behaviour.

Attitudespositive, neutral or negative feelings a person has about the aspects of daily life (society, economy, politics, goods, services, institutions ….)

Motivationsmotivation is the stimulus behind the acts or courses of action adopted by an individual or a group of individuals.

Needsinnate feelings of deprivation in a person. Result from a discrepancy between an actual and a desired state of being.

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Influence on the consumption

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Buying motives for organic products

Source: Schaer / Sirieix 1999

%

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Regional or organic?

Source: Ecozept, 2007: French Consumers and Organic Consumption. Own research

organic from afar or conventional from my region –the choice I would make:

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Prefered point of purchase in Germany

Source: Ökobarometer 2008 n=706

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Trust in point of purchase

Source: Ökobarometer 2008 n=1002

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Trend in consumption

23 % of french consumers purchase organic products at least once a week

8 % of french consumers purchase organic products every day

0

10

20

30

40

50

2003 2006 2007 2008

Percentage of french consumers who purchased an organic product during the month preceding the survey

Source: Baromètre 2008, Agence Bio; Basis 2008 n=1050

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CSA 2008: Main reasons for buying organic milk products

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CSA 2008: Main reasons for buying organic meat

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CSA 2008: Main reasons for buying organic bread

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Reasons for buying organic products (2008)

62%

74%

86%

89%

92%

94%

for ethical reasons

for animal well-being

to protect the environment

for my own security, to be sure that theproducts are sane

for quality and taste

to preserve my health

Source: Baromètre 2008, Agence Bio

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Who is buying how much?

Source: Nielsen Homescan 2009

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Study (Lucie Sirieix)

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Qualitative Comsumer Study

Buying motives

Barriers

Trust

Image of points of sale

Specific situations

100 laddering interviews in each country with regular and occasional consumers of organic products about the topics of:

22less

additives/chemicals nr:28 sub:41

less pesticides/fertilisers nr:6 sub:9

natural/healthy fodder nr:6

sub:9

real/genuine taste nr:19

sub:29

less drugs/hormones

nr:11 sub:16

good texture nr:6 sub:10

naturally produced nr:23

sub:37

good quality nr:27 sub:41

children/family eat/stay healthy

nr:8 sub:12

eating/staying healthy nr:33

sub:49tastes good

nr:31 sub:46sustain/protect

the environment nr:7 sub:10

avoid health problems nr:9

sub:13feel good nr:10

sub:15

evokes good memories nr:12

sub:18

feel certain nr:7 sub:10

food as enjoyment nr:26

sub:38

Respect for nature nr:8

sub:12

own health nr:35 sub:51 respect for

traditions nr:5 sub:7family health

nr:7 sub:10

Taking care of family nr:6

sub:9

F 1a/Total MapCut-Off = 4

38,6 % of linksSample Size = 67

enjoyment nr:10 sub:15

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General motives for buying organic

Main motivesOwn Health A CH D DK F FI GB I

Environment A CH D DK F FI GB I

Animal Welfare A CH D DK (F) (FI) GB I

Food as Enjoyment A (CH) D DK F (FI) GB I

Additional motivesFamily Health A CH D DK F FI GB I

Quality of Life A CH D DK F FI GB I

Respect for Tradition A CH D DK F FI GB I

Self-actualisation/ Happiness

A CH D DK F FI GB I

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General barriers for buying organic

Motivational barriers

Lack of Enjoyment A CH D DK F FI GB I

Own Health A CH D DK F FI GB I

Self-actualisation A CH D DK F FI GB I

Lack of Trust A CH D DK F FI GB I

Disinterest A CH D DK F FI GB I

Well.being A CH D DK F FI GB I

Rational barriers

Not willing to pay more A CH D DK F FI GB I

Not practical/ convenient A CH D DK F FI GB I

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Consumer typologies

“I have a habit: I divide people up - winners and losers” (F. Scott Fitzgerald, “The Great Gatsby”)

Criteria used for “dividing up”:socio-demographic data: sex, age, income, formal education…behavioural data: purchase behaviour, habits, outlet frequentationdata about attitudes, motivations, valuesdata about peoples’ lifestyle

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Consumer types identification of strategic target groups

attitudes and behaviour within the organic market focus on the daily life: holistic approachmedia planning

basic orientation, valuesways of life / lifestyle

Sinus - Milieus

Target groups for the strategic marketing

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Consumer types-Sinus milieus-Input variables

Social Status

BasicValues

ATraditionalist

CLeading edge

3

2

1

BMainstream

Soci

al s

tatu

sin

com

e, e

duca

tion,

job

Basic orientationAwareness of daily life, life style, aim in life

- the „active“ dimension -

-the

„pa

ssiv

e“ d

imen

sion

-

social status

valuesjob & career

daily life aesthetics

environment & technology

health & nutrition

politics & society

money & consumption

desire & mission

media

lifestyle

hobbies / free time activities

family & partnership

higher

middle

lower

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Consumer types - Sinus milieus

3

2

1

© Sinus Sociovision 2002

Sinus B3Materialists

Sinus B1Established

Sinus C2Experimentalists

Sinus B12Post-Materialists

Sinus BC3Hedonists

Sinus B2New Middle Class

Sinus C12Modern Performers

Sinus A23Traditionals

Sinus A12Conservatives

hedonisticmilieus

traditionalmilieus

mainstreammilieus

higher

middle

lower

Social Status

BasicValues

ATraditionals

BMainstream

CLeading edge

leading social milieus

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Styles of consumption regarding food

de - ritualisationtraditional food

fresh & natural

fast - food

anti - Eco

technical health

gourmet - pleasure

Eco - morale

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Styles of consumption regarding food

fresh & naturalnaturalness & responsibilityas maxim

consistent, vital and health-conscious nutrition

(environmentally-)conscious and responsible choice of food

freshness and naturalness as top priority

trust in technically optimised and healthy food

healthy nutrition is technically controllable

acceptance of industrial products regarded as adequate alternative for natural /unprocessed food products, because they’re produced according to scientific results

technical health

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Styles of consumption regarding food

Eco moraleambition for a fundamental change in production and consumption of food

sensibility for ethical and ecological aspects in the food supply chain

demand for natural and unprocessed food

willingness and acceptance to pay higher prices

provocative and negative attitude towards organic production in the food supply chain

the discussion concerning ethical and morale aspects in production and consumption of food, is regarded as overstated

demonstrative rejection of organic food – often caused by limited financial possibilities: „Organic food isn’t healthier“

anti - Eco

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Styles of consumption regarding food

Source: 3SC Trend- and Milieuresearch 2001, n = 2047

BMainstream

Sinus B3Materialists

3

2

1Sinus B1

Established

Sinus C2Experimentalists

Sinus B12Post-Materialists

Sinus BC3Hedonists

Sinus B2New Middle Class

Sinus C12Modern Performers

Sinus A23Traditionals

Sinus A12Conservatives

higher

middle

lower

Social Status

BasicValues

ATraditionals

CLeading edge

Sinus C2Experimentalisten

7%

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Trends and perspectives

Polarisation

Low – Involvement

Multi-Optional Consumer

LOHAS

« consomactors »

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Polarisation

12 13,7 14,1 14,915,2 15,2 15,1 15,3

41 38,2 36,4 34,7

31,8 32,9 34,4 35,1

0%10%20%30%40%50%60%70%80%90%

100%

2004 2005 2006 2007

Premium brands Leading brands"intermediate" brands Privat labels (also discount)

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Two paradigms in consumption

committed

Consumption

Consumption in

« bliss ignorance »

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Dimension of organic consumption

metabolism

close environment

skin

sustainabledevelopment

ecology

social

tastehealth luxury

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Trends in organic consumption

”Organic goes mainstream” – “Mainstream goes organic”: Products

Arguments

Distribution.

Impact of the banking crisisAcceleration of restructurings

Reorientation of the consumers

New discussion of values

Complex communication Differentiation of products and arguments

Communication across the supply chain

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Thank you!!!!