2. Presentation Overview
• Why conduct quality surveys
• What quality parameters to survey
– Consumer sensory testing
– Online survey
• Results to date
• Where to from here
3. Consumer sensory panels and
online surveys
• Ripeness
– level of ripeness (firmness) preferred by
consumers
• Internal flesh quality
– maximum acceptable level of internal defects at
different price points above which future
consumer purchasing decisions are negatively
influenced
• Maturity
– minimum maturity (measured by DM%) that
produces Hass avocados of acceptable eating
quality
4. Ripeness
C: Purchase intent for different ripeness levels
• 85% of consumers have a preference to purchase
avocados that are ready to eat/use immediately
• Consumers prefer soft ripe and medium ripe avocados
• Consumers select for ripeness on colour then
squeezing
5. Internal Quality
• Severity of defect was of primary
importance followed by price
• At all prices an incidence of more than
10% internal damage significantly
impacts on probability of repurchase
X X X
6. Maturity : DM v
Likelihood of Purchase
• 22% - 28% Competitive advantage
7. What we know consumers want
and will alter purchasing for
• They want fruit they can eat tonight
• They want unblemished fruit – no more
than 10% damage
• They want mature fruit – above 22%
What do we give them?
8. Retail Quality Surveys
• Began in October 2007
– 16 stores in each Sydney, Brisbane, Melbourne & Perth
– Monthly
• Information collected
– Price
– Display details
– Size
– Weight
– Sticker Information
– Internal quality
9. Key findings for 07/08
• More than half fruit colour level 3 or
below
– NSW 51% of stores
– Qld 40% of stores
– WA 30% of stores
– Vic 5% of stores
1 2 3 4 5 6
10. Key findings for 07/08
Incidences of internal defects had a significant
association with sampling month, state and store
type of purchase
Total Damage by month
80 damage > 10% some damage
70
60
50
40
30
20
10
0
Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08
11. Total Damage by State
Total Damage by state
80 >10% some damage
70
60
50
40
30
20
10
0
N Q V W
Around 29% in all states
12. Total damage by store of purchase
Total Damage above 10%
Store type 1 Store type 2 Store type 3 Store type 4
45
40
35
30
25
%
20
15
10
5
0
NSW Qld Vic WA
Damage above 10% by store (Sydney)
Proportion above 10% damage
60
50
40
30
20
10
0
01
02
03
04
05
06
07
08
09
10
11
12
13
14
15
16
ns
ns
ns
ns
ns
ns
ns
ns
ns
ns
ns
ns
ns
ns
ns
ns
stores
13. Key findings for 07/08
Proportion of fruit with specific damage bove 10% damage
14
12
% above 10% damage
10
8 1
6
4
2
0
Body Rot Bruising Diffuse Flesh Other Stem end rot Vascular
Bruising most common defect
Proportion of damage above 10% - by State
25 Body Rot Bruising Diffuse Flesh Other Stem end rot Vascular
20
15
10
5
0
N Q V W
14. Key findings for 07/08
NSW probability of repurchase
Probability of Purchase (%) Prob for Perfect fruit (%) Average Price($)
90 3
80
probability of purchase (%)
2.5
70 12% 9%
Cheaper fruit have higher
Price ($/pce fruit)
60
1.5%
6% 2
predicted probability of
50
40
1.5 purchase
30 1
20
0.5
10
0 0
Coles Independents Ind S'markets Woolworths
Qld probability of repurchase
Cheaper fruit also had
Probability of Purchase (%) Prob for Perfect fruit (%) Average Price($)
larger estimated 90 3
reduction in purchase 80
probability of purchase (%)
10% 6% 2.5
70
prob due to defects 10%
Price ($/pce fruit)
60 2
7%
50
1.5
40
30 1
20
0.5
10
0 0
Coles Independents Ind S'markets Woolworths
15. Vic probability of repurchase
Probability of Purchase (%) Prob for Perfect fruit (%) Average Price($)
90 3
80
probability of purchase (%)
2.5
70
8% 7% 7%
Price ($/pce fruit)
60 5% 2
50
1.5
40
30 1
20
0.5
10
0 0
Coles Independents Ind S'markets Woolworths
WA probability of repurchase
Probability of Purchase (%) Prob for Perfect fruit (%) Average Price($)
90 3
80
probability of purchase (%)
2.5
70 10%
Price ($/pce fruit)
60
9% 2
50 2.5% 5%
1.5
40
30 1
20
0.5
10
0 0
Coles Independents Ind S'markets Woolworths
20. Where to from here?
• Working with supply chain partners to
make improvements
• Working back from retailers who have
consistently over time sold high quality
fruit to assist in producing education
materials
• Producing a series of education
materials
• Continued quality surveys for monitoring
and to measure improvements
21. Proportion of Hass with internal damage above 10%
Sydney
Coles Independents Independent supermarkets Woolworths
80%
70%
60%
50%
40%
30%
20%
10%
0%
09
9
09
09
8
8
09
09
09
08
09
9
l-0
-0
-0
r -0
p-
-
n-
n-
b-
-
g-
ct-
ov
ec
ay
ar
Ju
Ja
Ju
Fe
Ap
Se
Au
O
M
N
D
M
Proportion of Hass with internal damage above 10%
Brisbane
Coles Independents Independent supermarkets Woolworths
80%
70%
60%
50%
40%
30%
20%
10%
0%
09
09
09
9
8
8
09
09
09
8
09
09
l- 0
-0
-0
-0
p-
n-
-
n-
b-
-
g-
r-
ov
ec
ay
ct
ar
Ju
Ja
Ju
Fe
Ap
Se
Au
O
M
M
N
D
22. Proportion of Hass with internal damage above 10%
Melbourne
Coles Independents Independent supermarkets Woolworths
80%
70%
60%
50%
40%
30%
20%
10%
0%
9
09
09
09
8
08
9
9
9
8
9
9
l-0
-0
0
-0
-0
-0
-0
-0
c-
-
n-
n-
b-
ov
p
ay
ar
ct
Ju
g
r
De
Ja
Ju
Fe
Ap
Se
Au
O
M
N
M Proportion of Hass with internal damage above 10%
Perth
Coles Indpendents Independent supermarkets Woolworths
80%
70%
60%
50%
40%
30%
20%
10%
0%
Oct- Nov- Dec- Jan- Feb- Mar- Apr- May- Jun- Jul- Aug- Sep-
08 08 08 09 09 09 09 09 09 09 09 09
