An approach to branding in Health Food category

1. EFFECTIVE STRATEGIES FOR MARKETING
HEALTH FOODS IN INDIA..
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2. GROWING DEMAND FOR HEALTHY LIVING…
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3. India‟s Top 5 Health Concerns…
Top 5 health problems Incidence Concerned about
2008 2008
Stress 32% 37%
Frequent colds/ flu 30% 41%
Eye health problems 28% 31%
Tiredness/ lack of energy 24% 33%
Gastro/ digestive problems 20% 37%
Source: Health Focus India 2008 Report
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4. Increasing focus on staying healthy TODAY...
(motivations for healthy eating)
- Extra day-to-day energy and stamina 24%
- Treat or control an existing health problem 19%
- Enhance my daily health 17%
- Meet needs of my family 17%
- Ensure my future good health 16%
Source: Health Focus India 2008 Report

5. “Healthy eating leads to good health!”
Source: Technopak Food report 2009
URL: http://www.indiamindscape.com/downloads/food_vol1_2009.pdf
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6. A BIG future potential for Health Foods..
Affluence: Demand
Education:
Purchase for Health
Awareness Foods
Power
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7. TAPPING THIS DEMAND…
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8. An explosion of brands tapping this opportunity…
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9. Two approaches to offering Functional Foods..
Removal of
the
“Baddies”
Addition of
the
“Goodies”
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10. There is still a big need gap to tap..
89% of shoppers select foods for healthful reasons
… but only 35% are „very satisfied‟ with their eating habits
Source: Health Focus India 2008 Report

11. Formidable communication task for marketers...
• 51% of consumers report they don‟t believe the claims and symbols shown on
packaging.
• 44% of consumers say they don‟t understand most of the symbols and claims on food
packaging.
• Just 10% think the symbols and claims on pack provide valuable information.
Source: Health Focus India 2008 Report

12. WINNING THE MARKETING GAME:
ATTITUDINAL SEGMENTATION
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13. Let’s get to know the
SIX HealthFocus® segments
health involved unmotivated by health
Healers Disciples Investors Managers Strugglers Unmotivateds
19% 25% 6% 45% 4%
*

14. Healers 19%
Facing a problem or risk. Problem : Solution
• Eat healthier because they have to.
• Tend to be older.
• Will compromise taste and
convenience for health benefits.
Food as medicine

15. Disciples 25%
Organic, Natural Natural & Wellness
• Believe diet is important
• Compulsive about their choices
• Motivated by ethical / religion
• High awareness of leading edge
nutrition issues
Global Responsibility

16. Investors 6%
Future Health Prevention & Wellness
• Make healthy choices to ensure
future good health
• Value quality over price
• Influenced by environmental and
social concerns
• Won’t give up taste/convenience
Healthy but Tasty

17. Managers 45%
Give me health TODAY! Performance & Wellness
• Believe diet is important
• Proactive: Know healthy eating
makes them feel better now
• Focus on feeling/looking good
• Won’t give up taste and convenience
for health benefits
Functional Food

18. Strugglers 4%
Credit / Debit Pleasure & Nurturing
• Yo-yo between healthy and
unhealthy eating - dieting
• Believe staying healthy is a matter
of luck
• Respond to “quick fixes”
Miracles and quick fixes

19. Unmotivated
Don’t choose food for health Pleasure not health
• Don’t believe diet impacts health
• Tend to be younger and male
• Taste driven
• Make weight loss choices, but for
vanity, not health
Taste, price, then convenience

20. HOW TO SELL A POTATO?
How to position potato for each of the six segments?
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21. Healers : Eat healthy because they have to
Benefit bundle:
• Prevention
• Natural

22. Disciples : Believe in health from nature
Benefit bundle:
• Natural
• Wellness

23. Investors : Long term view on health & wellness
Benefit bundle:
• Prevention
• Wellness

24. Managers : Gimme health NOW!
Benefit bundle:
• Performance
• Wellness

25. Strugglers : Yo-yo
Benefit bundle:
• Pleasure
• Nurturing

26. Unmotivateds: Price, then taste, then convenience
Benefit bundle:
• Pleasure
• Performance

27. UNDERSTANDING HEALTH MINDSCAPES
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28. Where are we playing on the Product Lifecycle Curve?

29. Health Food Marketing is a “Technology” business…
Successful Marketing recognises that we are in a technology business and
that the we need to educate to create acceptance and motivation to buy.
But - there are different rules for acceptance of new technology at different
stages in the product life-cycle.
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30. PLC – The playing fields have different “rules of the game”
Technology Lifestyle Mass Market
• Motivated by • Motivated by being • Motivated only
technology. first with new when new benefit
• Puts Functional benefits. becomes a
before Food. • Motivated by standard
• Evaluate functional Functional foods. • Only motivated by
foods in a medical • See functional Food
context. foods in the • See functional
• Brand will carve a context of identity foods in a food
strong niche in the and lifestyle. context
market • Brand represents • Brands bring
products and ideas wellness benefit to
on the threshold to the mass market
the mass market consumer
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31. The MFD playground
Sales
Time

32. The Juice Category Playing Field
Sales
Time
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33. Summing Up…
• The future is “Healthy”!
• Need: Astute strategy to exploit this future opportunity.
• Positioning based on segmentation could increase effectiveness
• Identifying the right playing field would lead to sharper and more effective marketing
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34. THANK YOU
pranesh.misra@brandscapesworldwide.com
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