Increasing category awareness of organic food

Abstract

The organic market in India is growing at a rate of 17% per annum but the penetration of the category is very low. In such a scenario, the study has been done from the perspective of the brand 24 Mantra. Being the category leader, this research will help the brand 24 Mantra increase the awareness of organic food in India and enhance knowledge on the adoption of packaged organic food in the lifestyle of the consumer. The exploratory research has been used which consist of secondary data analysis, depth interviews and online survey. From secondary analysis, it was found that extensive wild harvest area, large number of organic farmers and well-established export trade makes India well suited for organic farming implying that supply is not an issue. However, the high cost of production owing to low yields of organic farming, lack of awareness and limited availability of organic products in retail have acted as barriers for the consumers. The competitive landscape showed that the brands have distinct positioning in the category but none of them is using aggressive advertising and promotions. From depth interviews, it was found that organic is associated with healthy and pesticide free and the consumers are not very brand conscious. The perceived price is high and the benefits are not very visible. There are lifecycle triggers like becoming a mother and a health issue that motivates people to adopt organic food. The consumer profiles were made using the benefit laddering for the respondents. The online survey has helped in examining the consumer’s acceptance level of organic food for various degree of processing. It was found that fresh fruits and vegetables are highly preferred compared to highly processed foods with exception of organic juices and ready to make food. The price difference between organic and non-organic has clearly affected the purchasing pattern of the consumers. This analysis has helped us in coming up with recommendations for level of packaged foods accepted by consumers, subscription and bundling model, brand communication and use of influencer marketing to motivate consumers to buy organic through recommendation by influencers and experts.