Marketing Strategies For Raw Organic Honey – Target Market And Consumer Behavior

Industry and Product Analysis

Organic food is always produced by the ways which comply within the standards of organic farming. The standards of the production of organic food vary from place to place. Yet in general terms, organic farming features practices which pushes the cycle resources and promotes the balance in ecology and save the biodiversity (Muhammad, et al., 2016). Raw organic Honey is one of the organic foods which are manufactured in Raw Food Factory which is located in Australia. This honey is not processed or heated (Factory, 2018). Rather it is crystallized which is natural. The report helps in knowing about this organic food as well as is able to demonstrate the marketing strategies like branding and positioning of this product. Industry and Product Analysis

According to the Research, the Australian consumers especially based in Australia consumes the market in organic food products approximately AU$1.4 billion in the year 2015. Till the year 2018, the approximate value of the same is predicted to reach at AU$2.1 billion as seen in the growth of the consumption.

Australia as a whole has 52% of the total worlds organically managed farmland which is approximately 27 million hectares. The numbers of operators of organic food who are certified in Australia have grown from 5% in the year 2015 to 2016. More than 2 out of three households in Australia have bought organic food products at least once in 2016.

The export markets grew by 17% in all the continents in the year 2016. Everything from grains to meat, all are outstripping supply in Australia and globally (Monk, 2017).

Honey Consumption is Australia

Source: (Google, 2018).

Raw Organic Honey is manufactured in the company named Raw Food Factory and is gathered from the ancient forests and bush lands of the Southwest. The products that are offered in market are sold in bulk.  It is high quality product and is pure honey. This honey is nutritious and it can be consumed by every aged group person. It has no artificial sweeteners as it is highly pure and that is what makes it a healthy product. The glycemic index of this product is also very healthy and it helps in better digestion (Factory, 2018). It is an emerging food in market not just in Australia but across the world. This is due to the organic food boom which has taken over the market recently. Also, raw food factory sells its products on very reasonable prices as compared to the other brands and its competitors. This is the reason raw organic honey is an emerging food as compared to other brands.

Every research has shown that the consumers in Australia have assertive attitudes when it comes to organic products and also believe in the benefits that the environment and all of them get from the consumption of organic foods (Guardian, 2018). There is always an advantage in the attitudes of consumers when it comes to this kind of food like raw honey is and it always reflects in their purchasing of organic foods. The consumers in Australia always have a will to pay premium for the sake of their safety and the environment too. According to the research of Australian biological farmers, 40% of the users have bought organic food occasionally. When it comes to Raw Honey, Australia is the 4^thlargest exporter of honey in the world after China, Argentina and Mexico as it is recognized to have the unique flavors affected by bee’s feasting on the wide range of wild nectars (Phuong, 2013).

Consumer Behavior

Target market is the group of people who are actually the targets for any particular business with marketing or ads. These targeted people are the consumers who are likely to buy the products and services.

Geographic Segmentation: This segmentation is the discernable preference of the customer, their behavior of purchasing and the power that depends on the location. For example: Urban Area is the place where there is more population. Raw Honey can be easily made available in the malls, markets etc. Also, Rural areas where there are mostly villages and towns. Small retail stores can be the options for making Raw Honey available in the rural areas (Aghdaie, 2015).

Demographical: Raw Honey is the product which is suitable for every age. However, the major targeted age is from 16 to 40 as these are the people who takes care of their health the most. The cost is also very reasonable and it can be bought by any person easily.

Psychographic: This segmenting is done on the basis of the personality traits, social values and lifestyle of people who are targeted. Organic food products keep people fit as they are natural source of energy and no added sugars or preservatives. Raw Honey is one of such organic products which are going to appeal to the audience who want fit lifestyles as well as want to eat healthy (Almgren, 2014).

Consumer Decision Making Process

Source: (Google, 2018).

1. Problem Recognition: The first step from the consumer perspective is that the consumer will always find out what exactly he needs. If there are people who want to be fit and keep themselves away from the artificial sweeteners, they will opt for honey. In all types of Honey, they will opt for Organic honey as it does not include preservatives as well. Hence, from the consumer’s perspective, it is identified as to what he needs.
2. Information Search: Since it has been identified as to what exactly the consumer is looking for. They will then search for the information related to the product. As a brand, Raw Food Factory needs to give the apt information the customer is looking for and hoping for the best that they buy Raw Organic Honey(Rana, 2017).
3. Alternative Evaluation: At this stage, the buyers have made up their mind as to what exactly they are going to buy. Now they search for alternative products and compare them from each other. As a brand, Raw food factory should be available everywhere to buy and the internet and other informative places should have the complete information about the product. This is going to help the user decide to go for the product which is apt for them(Zahaf, 2008).  
4. Purchase Decision: This is the phase where the consumer will buy the product after making a firm decision. At this time, the firm must give the customer the complete information about the product so that organic honey appeals to them.
5. Post Purchase evaluation: This stage comes after the consumer’s usage of the product. The brand will have to make sure that the customer likes raw organic honey so that they will buy the product yet again and the marketing of the product will be done positively(Vietoris, 2016).  

The positioning of the product is done keeping in mind as to what exactly the customer is looking for. With the help of the consumer decision making process and market segmentation, the firm gets to know the needs of the consumers. The positioning involves few steps:

1. The target audience is known with the help of the market segmentation. The audience is majorly targeted have the age between 16to40. Once the needs of the consumers are identified, the positioning would be easy.
2. The features of the product should be identified so that it appeals to the consumers.
3. The selling prepositions should be appropriate. Raw organic honey is one of the products which would appeal to its audience because of the organic qualities. Hence, it can be uniquely positioned at the places where organic products are being sold.
4. Before the positioning of the product, the competitors should be known. There are many products similar to Raw Organic Honey, which are being sold in the market and at every mall in Australia. Hence, the competitors should be studies before placing the product in the market (Karadeniz, 2009).
5. To position Raw Organic Honey, there are several things that raw food factory can do. They can place the product in malls as well as the retail stores too. Usually it is seen that the places where organic products are being sold, they are on the pricy side. People want to buy healthy food products but they end up not buying them because of the prices. Raw honey is one of the products which if bought from the retail store; it would cost less to the consumers as well as appeal to them. It can be sold online too for the customer who cannot find time to go to the malls and grocery stores (Chowdhury, 2013).  

The product is Raw Organic Honey which is manufactured by the brand named Raw Food Factory. It will appeal to the people of all ages and particularly to the people who are between 16 to 40 years. It is very healthy and organic and pure and will appeal to people who live healthy lifestyles (Goi, 2009). It serves the energy of 1400kj per 100 g. The total fat and saturated fat content is absolutely zero in this brand which is proven to be healthy for humans. It is gathered from the ancient forests in Western and southern Australia. It is also not heated but crystallized which is very good in terms of the health benefits.

The pricing of the product is done keeping in mind the affordability of all the consumers irrespective of their lifestyles. It is affordable even to the middle-class people and not just premium buyers. The price on which raw food factory sells its honey is $9 for 500grams of raw organic honey. At the same time, Pure Origins which is the competitor of raw food factory sells its honey at a very costly rate. The cost of organic honey from Pure Origins ranges from $32 to $60 for 100grams to 400 grams of products. The quantity Pure Origins sells is very less and the cost is very high while raw food factory’s process is too good for Australian rural people too.

Target Marketing

The promotion of the product is done with the message on the bottle that it is certified organic. Its advertisement will also be done through marketing and sales promotion, print media, online medium and digital media (KS, 2016). As it is observed that the prices of raw food factory are too low as compared to other brands like Pure Origins, the marketing campaign can include the prices too.

The packaging of the product is done in high quality jars made of glass maintaining the hygiene of the product. The packaging will appeal to the customers as it is labeled as certified organic and the labeling has all the information regarding its health benefits. The packaging is kept simple as possible as the product tries to reach the village people too. Rural area people sometimes just check the prices as well as the packaging of the product. Low in cost and easy to eat (Simple opening bottles) is what that appeals to them.

Bottled Packing of Honey

Source: (Rawfoodfactory, 2018).

The student events are some of the events where the promotion of the brand can be done in an efficient way as the age of the targeted consumer is also 16 to 40 years. Usually at these events, there are students and the teachers which justifies the age of the targeted people. Raw Organic honey as a product will be provide on 10% discounts at such events to promote the brand and healthy lifestyle both(Lynn, 2011). The promotion of the product can also be done by boosting the presence in social media. By doing that the product can appeal to the younger generation people who are looking for less sugar intake products while at the same time want to satisfy their sweet cravings too.

Conclusion

This report focuses on the marketing strategy of the product named as Raw Organic Honey which is manufactured by the brand “Raw Food Factory”. It originates from Australia itself and it has the qualities like purity and health benefits which no other than the organic honey can provide. The report at first discusses about the industry of organic foods which is becoming a new lifestyle in itself across the world. The report also throws some light on the product which is ready to be marketed. The target segmentation with the consumer decision process of the product is explained in detail. After the market segmentation, comes the positioning and the marketing mix of the product. Lastly, it discusses about the marketing activities that can take place for helping the brand to promote itself and appeal to the people of Australia.

References

Aghdaie, M. H., 2015. Target market selection based on market segment evaluation: A multiple attribute decision making approach. International Journal of Operational Research, 24(3), pp. 262-278.

Almgren, K., 2014. The Four Factors for Targeting an Attractive Market. International Journal of Humanities and Social Science , 4(9).

Chowdhury, P. P., 2013. Key strategies and issues of positioning: A review of past studies. American Academic & Scholarly Research Journal , 5(1).

Factory, R. F., 2018. Benefits of Organic Raw Honey!. [Online]
Available at: https://rawfoodfactory.com.au/2015/05/benefits-of-organic-raw-honey/
[Accessed 26 September 2018].

Factory, R. F., 2018. Raw Organic Honey. [Online]
Available at: https://rawfoodfactory.com.au/product/organic-raw-honey/
[Accessed 26 September 2018].

Goi, C. L., 2009. A Review of Marketing Mix: 4Ps or More?. Journal of Marketing Strategies, 1(1).

Guardian, T., 2018. Australian honey does us proud. [Online]
Available at: https://www.theguardian.com/lifeandstyle/australia-food-blog/2014/jun/17/australian-honey-is-something-to-be-proud-of
[Accessed 26 September 2018].

Karadeniz, M., 2009. Product positioning strategy in marketing management. Journal of Naval Science and Engineering , 5(2), pp. 98-110.

KS, A., 2016. Brand and Marketing Mix-A Review. Journal of Global Economics, 4(3).

Lynn, M., 2011. Segmenting and Targeting Your Market: Strategies and Limitations. [Online]
Available at: https://scholarship.sha.cornell.edu/cgi/viewcontent.cgi?article=1238&context=articles
[Accessed 27 September 2018].

Monk, A., 2017. Australian Organic Market Report 2017, Australia: s.n.

Muhammad, S., Fathelrahman, E. & Ullah, R. U. T., 2016. The Significance of Consumer’s Awareness about Organic Food Products in the United Arab Emirates. Sustainability, Volume 8.

Phuong, N. T., 2013. Consumers’ perceptions of organic food in Australia and other countries: A review. Journal of Agricultural Economics and Development, 2(2), pp. 44-54.

Rana, J., 2017. Consumer behavior and purchase intention for organic food: A review and research agenda. Journal of Retailing and Consumer Services, Volume 38, pp. 157-165.

Vietoris, V., 2016. Analysis of Consumer Preferences at Organic Food Purchase in Romania. Polish Journal of Food and Nutrition Sciences, 66(2), pp. 139-146.

Zahaf, M., 2008. Decision making process of community organic food consumers: An exploratory study. Journal of Consumer Marketing, 25(2), pp. 95-104