SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel: ‘Consumer attitudes to Local Food and Drink’ Sandy Park 16th June, 2008

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel: Introduction  Aims and Objectives  Methodology  The Consumer Element  The Trade Element  Conclusions and Recommendations  Possible Future Work

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel: Aims and Objectives Aim:  Contribute to knowledge and understanding of factors influencing consumers attitudes and behaviours in the market for local and regional foods in England (PSPI not addressed). Objectives:  To characterise and evaluate the local and regional food industry  To understand factors influencing purchasing decisions  To identify and synthesise sources of data relating to consumption and marketing  To inform future commercial and public policies in the sector

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel: Methodology  Secondary Research  Primary qualitative:  20 consumer focus groups  130 in-depth trade interviews  Primary quantitative:  1,223 online consumer surveys  347 self-completion trade surveys

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel: Consumer Element

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel:  Defining the concepts of ‘local’ and ‘regional’ food and drink  Actual and intended buying behaviour (for use at home and eating out)  Reasons for buying and barriers to purchasing local and regional food and drink  Factors influencing buying behaviour  Classification of local and regional food and drink buyers Main Topics

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel:  Qualitative:  20 focus groups across the 9 English regions, urban and rural  Homogenous by lifestyle, gender and social group  Quantitative:  1,223 online respondents  Interlocking quota sample Research Process

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel: Local  Local produce generally relates to the immediate vicinity – almost universally associated with rural or close to rural areas Regional  Regional produce defined as coming from specific geographical area – quality and premium associations based on tradition and reputation  E.g. Welsh Lamb, Kentish strawberries, Devon Cream  Urban and rural differences Definition of Local & Regional Food & Drink

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel: Local Food and Drink  Actual and intended purchasing frequency is variable  Overall quite high when buying for home use  Not when eating out Regional Food and Drink  Similar pattern, but smaller proportion actually buying Types of produce, occasions and outlets Actual and Intended Buying Behaviour

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel:  Reasons for buying:  Support for local economy  Food and drink characteristics: taste, freshness and provenance  Sustainability, reduced pollution and food miles  Barriers include:  Cost  Availability, accessibility, and inconvenience  Limited information and promotion  Attitudes generally positive when buying for home  Not always translated into actual buying behaviour  Negative eating out effects were associated with lack of information and expense Reasons for Buying and Barriers to Purchasing

Devotees (23%)  More women  More 45+  More rural  Fewer London and NW  More SW, EA and Y&H  More married  More degrees and A levels Persisters (25%)  More men  More 55+  More rural  Fewer  Fewer London  More SW and EA  More £15-25,000  Fewer C1  Fewer degrees Abstainers (36%)  More women  More  More urban  More London, SE and NW  Fewer SW and EA  More single  More inner city and town centre  More £30-50,000 income  More C1 Cynics (16%)  More men  More 55+ and  More urban/inner city  Fewer SW  More GCSEs Classification of Local & Regional Food & Drink Buyers

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel: Trade Element

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel:  Current patterns of local and regional food and drink purchasing  Motivations and barriers to local and regional food and drink purchasing  Local and regional food and drink buying criteria  Decision making processes and units  Planned future for local and regional food and drink In the context of:  General issues with respect to local and regional food and drink  Specific issues with respect to the respondent’s organisation Main Topics

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel:  Face to face interviews included all major retailers, wholesalers, major food service operators, trade associations and individual businesses  Qualitative respondents  30 face-to-face  100 tele-depth  Quantitative respondents  65% independent retail/foodservice  35% larger groups  Roughly split 50% retail, 50% foodservice Research Process

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel:  Varies:  Between mile radius/within County for local  Within Counties or Region for regional e.g. EAFG, ToW, DY/YHRFG  Function of scale of operation  Larger = larger radius  Smaller=smaller radius Definition of Local & Regional Food & Drink

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel:  Growing in importance  Mainly in larger retail/foodservice  Independents less so  Growth will continue both for local and regional food and drink Relative Importance of Local & Regional Food & Drink

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel:  Qualitative - trust, freshness/quality, environment, provenance, local economy, consumer demand  Quantitative – local economy, freshness, quality, consumer demand  Significant changes in purchasing structures for larger retail/foodservice operators  Concerns over availability, logistics and QA, mainly with the larger operators Purchasing Behaviour: Including Commercial & Non Commercial Drivers

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel:  Higher consumer demand  Lower price of products  Better quality and range of products  Support for the local economy Future Purchasing Behaviour

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel:  Majority actively promote local food and drink  Most common methods were in-store/establishment point of sale  Local offer alongside other brands  Low awareness from the trade of the RFGs  Local and regional food and drink tends to be fresh product, veg, dairy and meat and local beers/wines  Market value estimated to be £4bn with £2.5bn retail/foodservice and £1.5bn farm shops, markets and mail order Marketing and Promotion of Local & Regional Food & Drink

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel: Conclusions, Recommendations and Possible Future Work

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel:  Definitions of local and regional similar across consumer and trade  Growing demand for local and regional food and drink - consumer led, based on positive attitudes towards produce  But positive attitudes may not always translate into buying behaviour  Differences between buyers exist Conclusions

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel:  Local and regional food purchasers can be classified into four main consumer segments  Barriers to consumer buying exacerbated by logistical and distribution implications  Significance of larger trade players for future growth  Mechanisms needed to support/increase availability Conclusions

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel:  Targeted marketing strategy  Educating consumers  Marketing support for specialist outlets in urban areas  Overcoming restrictions in the supply chain and raising awareness of accessibility by large scale food trade (both retail and food service) Recommendations

SERIO, 16 Portland Villas, University of Plymouth, Drake Circus, Plymouth, PL4 8AA Tel:  Potential for further growth evidenced through this research but other areas of research may facilitate further understanding around:  How consumers make trade off decisions  Viability of using retailer and food service loyalty scheme databases  Models for regionally based distribution networks Possible Future Work