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Motivating Healthier Eating
in a Mature Population:
Coastal Wellbeing Centre
Report prepared by
Ebony Moore
For Submission toDr Wendy Spinks
Course Coordinator and Tutor
Consumer Behaviour MKG 210
23rd
May, 2016
Student ID: 1072484
Word Count: 2,043
ii
Executive Summary
This report was commissioned to examine the role of consumer behaviour in the motivation to
consumerhealthfood.The scopeof thisreportwascentralisedto the Coastal WellbeingCentre,based
on the Sunshine Coast Queensland. The established target market for this organisation has been
identifiedashealthconsciousconsumersaged55-64. This population isat the most riskfor ill health
due to preventable diseasessuchas IschaemicHeartDisease for theirrespective geographic.Theory
presented in the report aims to understand how industry trends and individual purchase processes
can influence this target markets motivation to consumer foods that may lower the risk of such
diseases. The research draws particular attention to the fact that that Planned Behaviour is
represented in this population and is reflective of their high-involvement decision making process.
Further investigations revealed that promotion to this population required a stronger physical
presence thatrejects stereotypical andnegativeimageryof the target market.Moreover,itwasfound
that levels of healthy eating increased in social environments. In order to increase brand awareness
and popularity,adesiredconsumerbehaviourchange wasproposed;toincrease the consumptionof
the health foods offered by the Coastal Wellbeing Centre. It is recommended that the centre:
 Adopt a product development strategy that meets; quality of life, value for money and
flexibility needs.
 Drive communityendorsementandincreasedconsumption through local market presence.
 Create a loyaltysystemthatactivelyengagesthe consumerona personal level inthe growth
of the business as well as helping them to meet their individual goals.
1
Table of Contents
Executive Summary..................................................................................................................ii
1.0 Australian Health: A Need for Change............................................................................2
2.0 The Coastal Wellbeing Centre, Café Nurcha....................................................................2
2.1 Target Market.................................................................................................................. 3
2.2 Ansoff’s Matrix................................................................................................................ 4
3.0 Desired Consumer Behaviour.........................................................................................5
3.1 Motivating Desired Consumer Behaviour using Theory ...................................................... 5
3.2 Best Theoretical Model for Consumer Behaviour Change ................................................... 7
4.0 Planned Behaviour Theory in Action....................................................................................7
5.0 Conclusion..........................................................................................................................9
Recommendations...................................................................................................................9
References............................................................................................................................. 10
Appendices............................................................................................................................ 12
2
1.0 Australian Health: A Need for Change
Foodmatters.It isat the core level of basichumanneeds.Sowhatissofundamentallywrongthat,in
Australiathe leadingcause of premature deathispreventable throughproperdietandexercise? The
understanding of consumer behaviour.
Thisreportwill de-mistthe conceptof consumerbehaviourtowardshealthfoods andanswerthe key
question; “how do we motivate people to eat healthier?” by providing a one-stopmega shop for all
things‘healthy’, The CoastalWellbeingCentre(CWC) isinthe ideal positionforresolvingthisproblem
whilst proportionately profiting from it. In 2014, the leading cause of death was Ischaemic Heart
Disease (IHD),a preventable conditionestimatedtobe 32% attributedtopoor dietand exercise and
withthe abilitytocut an average of 4 years off a person’slife (ABS,2016). On the Sunshine Coastthe
41,539 people between the ages of 55 and 64 (ABS, 2011) are at the most risk of such preventable
diseases and as such form the roots of the CWC target market (ABS, 2016).
The purpose of thisinsightreportistoreflectonthe healthindustryclimateandthe affectthishas on
the desired consumer behaviour. Careful analysis of this information with appropriate academic
theory will be used to form a series of prioritised steps that outline key elements of the Businessto
Consumer (B2C) setting and ensuing recommendations for improvement.
2.0 The Coastal Wellbeing Centre, Café Nurcha
The Sunshine Coast’s Coastal Wellbeing Centre, operating out of Maroochydore is a family owned
businessandservesasanexemplarfor the developmentandabsorptionof nutritionintomodernday
consumer behaviour. The centre is comprehensive in its offering of health goods, including; fresh
salads and hot meals, sweet treats and barista coffees (CWC, 2016). In order to achieve the desired
outcome of increased health food consumption, the target market’s needs must be met. Figure 1
identifiesthe Three ProductLevelsandwillserve asabasisforunderstandinghow the businesscould
be more efficiently operated to meet consumer expectations and increase market share.
Figure 1: The Three Product Levels of the Coastal Wellbeing Centre
3
Currently, the CWC is in competitionwith other health food providers and specialist cafés on the
Sunshine Coast. Key competitors that are a part of the business’positioning map may include; Envy
Café andKunaraOrganicMarketplace.Basedontwokeyelementsof price andfoodquality(perceived
healthiness),specialist healthfoodprovidersandcafesare not easilysetapart. Asseenin Figure 2, a
gap exists in the market for a cheaper high quality health food provider.
Figure 2: Proposed Perceptual Map for the Coastal Wellbeing Centre
The organisations indicated on the perceptual map were selected and placed accordingly to reflect
theirrelationshipwiththe Coastal WellbeingCentre andthe healthfoodindustryasa whole.Price is
an appropriate indicator here as it provides a universal scale on which any organisation can be
compared upon. A new pricing strategy is suggested that takes a more economically efficient
approach, this may be achieved through renegotiation of suppliers and product lines.
2.1 Target Market
In Australiadeathdue to preventablediseasesisrisingandthe epidemicisbeingledbya prevalence
forobesity.Approximately25%of all Australiansaged20 andoverare at riskof premature deathasa
result of potentially poor health choices (HEG, 2016). Businesses like the Coastal Wellbeing Centre
bothrelyonanddrive consumerbehaviourtowardslifestylechange andhealthendorsement.Inorder
to remain relevant, the Coastal Wellbeing Centre, should adopt new and relevant product
developmentstrategies. Here,the targetmarketincludespersonsof anygenderaged55-64 livingon
the Sunshine Coast withaccess to the promotional efforts of the CWC. The consumers of the health
foodsofferedbythe CWC recognise aneedfor increasedquality of life andevaluate thatthiswill be
resolved through the consumption of such products.
Proposed Position
4
Promotion
Promotion refers to the methods used by an organisation to advertise and sell its products and
services.However,notonlymust the motivationtoconsume a good or service existbutso too must
the motivationtoengage inpromotions.Whilethe CWCexhibitsastronginternetpresence itislikely
that this is not correct of the target market at which they are aimed. Evidence does suggest that
internet based advertising is effective, but this study is exclusive of social media and technological
heavy weights (Zhang & Mao, 2016). The target market, aged 55-64, are recognised as digital
immigrants. Trends of this particular generation indicate lesser understanding and motivation to
become involved in technology use (Autry & Berge, 2011). With potentially limited access to
technology, this target market may be at risk of not entering the purchase process.
Appendix5demonstratesthreepotentialvariationsof the Hierarchyof EffectsModel.The augmented
products like;self-actualisationandqualityof life demonstrate aneedor a problemto be solvedfor
the target market. The appropriate purchase process that is generally used in thoughtful decision
making is the standard learning hierarchy. This purchase framework follows the series; recognise a
problem,evaluateinformationandthenconsume. Thisisthe highestinvolvementprocess (Solomon,
etal.,2013). A reviewof the advertisingeffortsmadebythe CWCtoinclude more physicalpromotion
such as; loyalty cards, mail-outs and interest group sponsorship is suggested.
2.2 Ansoff’s Matrix
Ansoff’s Matrix is often used to devise a specific business strategy for development. Based on the
informationpresentedinthe matrix thataproductdevelopmentstrategywouldbe mostsuitedtothe
CWC.Thisisappropriate because thetargetmarketisstrongandthecore productalreadyestablished.
In order to apply this to the Coastal Wellbeing Centre, the proposed consumer behaviour should be
understood and appropriately applied to one of the four matrix segments. Figure 3 represents each
of these four segments based on product or market focused growth directives.
Figure 3: Ansoff’s Matrix for Growth
Increased consumption of healthfoods by the target market at the Coastal Wellbeing Centre would
be most achievable through product development. This strategy enhances the business’ reputation
but narrows the focus of the market on the health food, streamlining the consumer buying decision
process (Solomon, et al., 2013). Health foods are encompassed within a broad industry of health
5
relatedproducts,mostof which maytargetthe same market.By differentiatingthe productfrom the
alreadypenetratedindustry,theWellbeingCentre maygainacompetitive advantage withinthetarget
market and forgo expensive business design manipulations to target a new market. Ideally, product
differentiationinsuchagrowingandprofitableindustrywouldleadtoamajoritytargetmarketshare.
3.0 Desired Consumer Behaviour
The desired consumer for the CWC target market is increased consumption of health foods. This
section overviews relevant theories for consumer behaviour and decision making and aims to
recognise a strategy that will encourage the desired behaviour change.
3.1 Motivating Desired Consumer Behaviour using Theory
In a study of the effect of high antioxidant and vitamin content (HAC) foods on measurable health
indicators (Pounis,etal.,2013), it wasfoundthat these foods loweredthe riskof hypertensionby6%
and decreased levels of C-reactive proteins (markers for the presence of cancer and cardiovascular
disease).The populationaddressedinthisstudyisreflectiveof the targetmarketandtheirsubsequent
needs. If a promotional effort and product re-development is launched, motivationto consume will
increase. Appendix 6 lists a variety of whole foods that are categorised as either high or low in
antioxidants.Thislistisapractical exampleof aneffective marketingtoolforencouragingamotivation
to purchase. Table 1 demonstrates relevant theory to support the decision making and potential
purchase processes of the target market.
6
Table 1: ConsumerBehaviourTheoryof HeathConsciousIndividualsAged55-64(Sunshine Coast,Qld)
Theory Authors & year
published
Area of research &
reference
Sample Specifics Behaviouralgoal being
researched
Results Similarities toC.W.C
desired behaviour
Differences to
C.W.C desired
behaviour
Suitability of the
theory & rating
Theory of
Reasoned Action
(TRA)
Martin Fishbein
(Fishbein, 1979)
See Appendix 2
Promoting Breakfast
Consumption
Bandar Abbas, Iran
(Hosseini,et al., 2015)
88 students offour
secondary schools
IncreaseBreakfast
Intake
Increasein all
nutritional
consumption levels
except sugar and
fat.
Nutritiongrowth was
achieved,fat and
sugar levels did not
increase
The Coastal
Wellbeing Centre’s
ideal target market
are aged 55-64,
this research was
based onschool
aged children.
Centre’s Café
Nurcha offers a
breakfast
appropriatemenu
and would benefit
from TRA.
Differencein results
is expected
betweentwo
different target
markets.
Theory of Planned
Behaviour (TPB)
Icek Ajzen
(Ajzen, 1985)
See Appendix 3
Predicting consumption
of low in saturated fats
among people
diagnosed withType 2
diabetes and
cardiovascular disease.
Queensland, Australia.
(White, et al., 2010)
184 adults (over18
years ofage)
diagnosed withType 2
diabetes and/orCVD
recruited fromseven
community health
centre sites. Themean
age ofparticipants was
60.71.
To assess thestrength
ofintentions to eat
food low in saturated
fat.
Intention and
behaviouralcontrol
over consumption
offoods low in
saturated fats was
mediatedby
planning.
Study targets
healthier options as
consumables,sample
is relevant to
proposedtarget
market and reflective
ofthe geographical
area.
Very specific study
proposedon low in
saturated fats
foods rather than
healthier optionsin
general.Sample
group living with
chronic illness.
Excellent suitability
for a comparative
analysis and
application to
achieving the
desiredconsumer
behaviour.
Hierarchy of
Needs
Abraham Maslow
(Maslow, 1943)
See Appendix 4
Exploring thegap
betweenattitudes and
behaviour:
Understanding why
consumers buy ordo
not buy organic food.
United Kingdom
(Padel, 2005)
181 regular and
occasionalconsumers
oforganic food
The relationship
betweenconcerns for
food safety and buying
more organic food
Organic labels have
strong emotional
resonancewith
consumer in terms
ofpersonal
wellbeing and
health.Concerns
about food safety
are importantto
the consumer.
Healthier options are
considers important
pre-requisites to
inner wellbeing.
Food safety, on a
whole is not a key
priority in
developed nations.
Not comprehensive.
In the absenceof
food related scares,
consumers will
deem food safety
less important.
7
3.2 Best Theoretical Model for Consumer Behaviour Change
The most appropriate model for consumer behaviour change is the Theory of Planned Behaviour
(Ajzen, 1985). This theoretical model addresses all the key aspects that align with the High
InvolvementHierarchyof Effectsframework.Thetargetmarketaddressedinthe respectivecase study
was evaluated for intentions to eat food that would lower the risk of factors such as heart disease
(White, et al., 2010).
The sample population used in the study was reflective of the target market geographic. A common
dispositionintermsof;demographical,economicalandpsychological characteristicsmaybe assumed.
This model can be readily implemented through a discourse of marketing campaigns that target the
riskfactors of ill healthandthe relationshipthese have withthe health-improvingHACfoodsoffered
by the CWC.
4.0 Planned Behaviour Theory in Action
Product
Marketingspecificallytoseniorsisbothintegral andchallengingbecausemanynegative stereotypical
images exist.These outdated images were foundto have caused one-thirdof consumers over 55 to
deliberate avoid the purchase of a so expressed product (Alder, 1996). The CWC may adopt a more
welcomingproductandmarketingcampaignaccordingly.The largestidentifiedcategoriesof mature
consumers are ‘Health Hermits’ and ‘Ailing Out-goers’. These two personality types, look for social
acceptance andproductflexibility.Table 2providesanexampleof potentialproductlinechangesthat
actively attract these two groups.
Table 2: Mature Population Consumer Groups
Consumer Group & %
Population
Characteristics Product Ramifications Application
Healthy Hermits (36%)  Require comfort and
stability
 Resent stereotypical
expectations of them
Want to knowtheyare
sociallyaccepted andwill
seekfurther information
about a product. More
comfortable with
established brands.
 Weeklyhome-
delivered newsletter
 Product-line extension
with a well-known and
sociallyaccepted
brand or event E.g.
Local market presence
 Cool product colour
tones. Blue evokesa
sense ofcalm(Eklan,
2009).
Ailing Out-goers (29%)  Maintainpositivity
despite poor health
 Still determinedto
‘make the most out of
life’
Generallyrequire a special
diet, are easilyattracted by
promotions advertising
specialisedandalternative
menus.
 Rotational offer of
‘Better-Bowls’, light
and digestible nutrient
packedmeals,
available as a special.
*Adapted from Table 13.7 Gerontographics: Selected Characteristics (Solomon, et al., 2013)
8
The optimal product development for the CWC would emphasise one particular product, energy
bowls. Figure 4 demonstratesan example of an energy bowl. By offering a rotating menu of weekly
special “Better-Bowls” at an affordable price, the business can take full advantage of this target
market.
Figure 4: “George of the Jungle” Energy Bowl, Coastal Wellbeing Centre 2016
By startingsmall,the businesscanshine the lightonthe augmentedfeaturesthe productcanoffer.It
is crucial that the product is marketed for its benefits to the population (increased health and
extendedqualityof life) ratherthanfor the negative consequencesof notconsumingthem.In order
to secure the targetmarketthe newlyrefurbishedproductmustbe placedandpricedappropriately.
Price
Anyphysical componentof a product is knownas a productsignal (Solomon,etal.,2013). The price-
quality relationship indicates that consumers will subconsciously make inferences about a products
qualitybasedon itsprice.The keyhere isthat,as the supplier,the CWCshouldnotoverpromise and
underdeliver.The priceaskedforthe productshouldbe justifiablewhilstalsocoveringbusinesscosts.
As a specialityproduct,the “Better-Bowls”mayonlybe offeredat $10.00 peritem, slightlylessthan
the current energy bowl price ($12.90). Whilst this does into allow for much profit, it is justifiable!
Complimentaryproductslike Baristacoffee are low costto the supplierandincrease the value of the
consumerexperience.A standardcoffee ($3.50) or combinationbreakfastspecial (meal anddrinkfor
$12.00) are perfect recipes for growing the brand’s community endorsement and loyalty.
9
Place
Recognisedasthe bestweekendmarketonthe Sunshine Coast,the Eumundi Marketplace offersthe
CWC an exciting opportunity to increase awareness whilst encouraging current and potential
consumerstogettheironce aweek“Better-Bowl”.Itisestimatedthatthismarketalone catersnearly
1.6 millionpeople peryear(Market,2016). Researchdemonstrates,thatperceivedhealthieroptions
are consumedmore than unhealthyoptionsinsocial setting,whilstthe general consumptionof food
is increasedwhendone ina social environment (King,etal.,2004). Notonly will a setupat a market
boost awareness, but it is cost effective and a great way to motivate a guarded population.
5.0 Conclusion
The purpose of thisreportwastoproposeachange intheCoastalWellbeingCentre businessstructure,
that would ideally encourage the increased consumption of their core product; health food. The
Theoryof PlannedBehaviourframeworkmayhelpthe marketersof thisbusinesstobetterunderstand
theirmature targetmarketthroughathreestepprocess;beliefs,attitudesandbehaviours.Motivating
the target market requires a positive approach that rejects subjective norms and aligns with the
individual’s goal; quality of life. By marketing healthier options in familiar social environments, the
Coastal WellbeingCentre isintheidealpositionforoptimisingtheirmarketshare andproportionately
increasing social acceptance of health food by recluse members of the targeted population. The
theoretical evidence presented in this report confirms that a new product development, placement
and pricingstrategyshouldbe implementedbythe Coastal WellbeingCentre. Ultimately,self-growth
motivatesconsumerstopurchase andif an organisationcanunderstandthat,itcan be useditto fuel
their own growth.
Recommendations
 Offera membershipprogram tocustomersthatencouragesthe use and accessto mail-
outs,weeklynew-letters,loyalty cardsandinvite only interestgroupevents.Thiswill
increase the life-cycleof the customerthroughloyaltysystemsandprovide the business
withcost-efficientmarketresearchsothattheyme stay up todate withthe ever
changingconsumerbehaviourclimate.
 Exhibitproudlythe benefitsandabundance of whole foods onofferatthe Café.
Categorise thembynutrientvalue orhealthbenefits.Thiswill simplifydecisionmaking
and speedupthe purchase process.
 Provide anewproductline similarto“Better-Bowls”.These are similartoimpulse lines,
theywill drawthe consumerandhisor her familyinandwhere furthercomplimentary
purchaseswill be made.Pairingacheapmeal withabarista made coffee isaperfect
example of ahighreturnand value formoneysale.
 Setup a stall at the Eumundi Marketplace,itoffersthe opportunitytoincrease product
awarenesswhilst developingaB2C relationship.
 Stay upto date withcurrentmarketresearch,endorse trendsandmake all prices
justifiable.Once astrong enoughrelationship isformedwiththe consumer,that
consumerwill begintofollow the businessesideas.Asdigital nativesbecome the face of
the mature population,yourbusinesscanmore readilyendorsedigitallybased
marketinginnovationssuchas;gamificationand virtual reality.Imagine beingable tosee
howhealthyyouwill lookafterone yearon“Better-Bowls!”
10
References
ABS,A. B. o.S., 2011. CensusQuickstatsSunshinecoast(R). [Online]
Available at:
http://censusdata.abs.gov.au/census_services/getproduct/census/2011/quickstat/LGA36710?opend
ocument&navpos=220
[Accessed14 May 2016].
ABS,A. B. o.S., 2016. Underlying Causesof Death (Queensland). [Online]
Available at:http://www.abs.gov.au/AUSSTATS/abs@.nsf/DetailsPage/3303.02014?OpenDocument
[Accessed10 May 2016].
Ajzen,I.,1985. From IntentionstoActions:A Theoryof PlannedBehavior. Action Control, pp.11-39.
Alder,R.,1996. Stereotypeswon'tworkwithseniorsanymore.. Advertising Age, 67(46),p.32.
Autry,A.& Berge,Z.,2011. Digital nativesanddigital immigrants:gettingtoknow eachother.
Industrialand CommercialTraining, 43(7), pp.460-466.
CWC, C. W. C.,2016. CafeNurcha. [Online]
Available at:https://coastalwellbeing.com.au/cafe-nurcha/
[Accessed20 April 2016].
Eklan,D., 2009. The psychologyof colour:Whywinnerswearred... New Scientist, 203(2723), pp.42-
45.
Fishbein,M.,1979. A theoryof reasonedaction:Some applicationsandimplications.. Nebraska
Symposiumon Motivation, 27(1),pp.65-116.
HEG, T. H. E. G., 2016. Healthy Eating Statistics. [Online]
Available at:http://www.thehealthyeatingguide.com/healthy-eating-statistics/
[Accessed14 May 2016].
Hosseini,Z.etal.,2015. Applicationof the theoryof reasonedactiontopromotingbreakfast
consumption. MedicalJournalof theIslamicRepublic of Iran, 11 November,29(1),p.289.
King,S.,Weber,A.,Meiselman,H.&Lv, N.,2004. The effectof meal situation,social interaction,
physical environmentandchoice onfoodacceptability. Fifth RoseMariePangborn Sensory Science
Symposium, 15(7-8),pp.645-653.
Market, T. O.E., 2016. Our MarketToday. [Online]
Available at:http://www.eumundimarkets.com.au/About/history
[Accessed19 May 2016].
Maslow,A.,1943. A Theoryof Human Motivation. PsychologicalReview, 50(4),pp. 370-396.
Padel,S.,2005. Exploringthe gapbetweenattitudesandbehaviour:Understandingwhyconsumers
buyor donot buyorganic food. Bitish Food Journal, 107(8),pp. 606-625.
11
Pounis,G.et al.,2013. Consumptionof healthyfoodsatdifferentcontentof antioxidantvitamins
and phytochemicalsandmetabolicriskfactorsforcardiovasculardisease inmenandwomenof the
Moli-sani study. European Journalof ClinicalNutrition, 67(2), pp.207-213.
Solomon,M.,Russell-Bennett,R.& Previte,J.,2013. Three Hierarchiesof Effect.In: J.Hoban, ed.
ConsumerBehaviour:Buying,Having,Being 3ed. FrenchesForest,NSW:PearsonAustralia,p.210.
White,K.M. etal.,2010. Predictingthe consumptionof foodslow insaturatedfatsamongpeople
diagnosedwithType 2diabetesandcardiovasculardisease.The role of planninginthe theoryof
plannedbehaviour. Appetite, October,55(2),pp.348-354.
Zhang,J. & Mao, E.,2016. From Online MotivationstoAdClicksandto Behavioral Intentions:An
Empirical Studyof ConsumerResponse toSocial MediaAdvertising. Psychology &Marketing, 13(1),
pp.155-164.
12
Appendices
Appendix 1:The Three ProductLevels
Appendix 2:Theoryof ReasonedActionStructure
Appendix 3:Example Application Theoryof PlannedBehaviour toExercising
13
Appendix 4:Maslow’sHierarchyof Needs andRobbin’sSix HumanNeedsCompared
Appendix 5:Three Hierarchyof EffectsModels
(Solomon, et al., 2013)
14
Appendix 6:HealthFoodConsumptionMotivationTool (Example)
(Pounis, et al., 2013)

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Consumer Insight Report March 2016

  • 1. Motivating Healthier Eating in a Mature Population: Coastal Wellbeing Centre Report prepared by Ebony Moore For Submission toDr Wendy Spinks Course Coordinator and Tutor Consumer Behaviour MKG 210 23rd May, 2016 Student ID: 1072484 Word Count: 2,043
  • 2. ii Executive Summary This report was commissioned to examine the role of consumer behaviour in the motivation to consumerhealthfood.The scopeof thisreportwascentralisedto the Coastal WellbeingCentre,based on the Sunshine Coast Queensland. The established target market for this organisation has been identifiedashealthconsciousconsumersaged55-64. This population isat the most riskfor ill health due to preventable diseasessuchas IschaemicHeartDisease for theirrespective geographic.Theory presented in the report aims to understand how industry trends and individual purchase processes can influence this target markets motivation to consumer foods that may lower the risk of such diseases. The research draws particular attention to the fact that that Planned Behaviour is represented in this population and is reflective of their high-involvement decision making process. Further investigations revealed that promotion to this population required a stronger physical presence thatrejects stereotypical andnegativeimageryof the target market.Moreover,itwasfound that levels of healthy eating increased in social environments. In order to increase brand awareness and popularity,adesiredconsumerbehaviourchange wasproposed;toincrease the consumptionof the health foods offered by the Coastal Wellbeing Centre. It is recommended that the centre:  Adopt a product development strategy that meets; quality of life, value for money and flexibility needs.  Drive communityendorsementandincreasedconsumption through local market presence.  Create a loyaltysystemthatactivelyengagesthe consumerona personal level inthe growth of the business as well as helping them to meet their individual goals.
  • 3. 1 Table of Contents Executive Summary..................................................................................................................ii 1.0 Australian Health: A Need for Change............................................................................2 2.0 The Coastal Wellbeing Centre, Café Nurcha....................................................................2 2.1 Target Market.................................................................................................................. 3 2.2 Ansoff’s Matrix................................................................................................................ 4 3.0 Desired Consumer Behaviour.........................................................................................5 3.1 Motivating Desired Consumer Behaviour using Theory ...................................................... 5 3.2 Best Theoretical Model for Consumer Behaviour Change ................................................... 7 4.0 Planned Behaviour Theory in Action....................................................................................7 5.0 Conclusion..........................................................................................................................9 Recommendations...................................................................................................................9 References............................................................................................................................. 10 Appendices............................................................................................................................ 12
  • 4. 2 1.0 Australian Health: A Need for Change Foodmatters.It isat the core level of basichumanneeds.Sowhatissofundamentallywrongthat,in Australiathe leadingcause of premature deathispreventable throughproperdietandexercise? The understanding of consumer behaviour. Thisreportwill de-mistthe conceptof consumerbehaviourtowardshealthfoods andanswerthe key question; “how do we motivate people to eat healthier?” by providing a one-stopmega shop for all things‘healthy’, The CoastalWellbeingCentre(CWC) isinthe ideal positionforresolvingthisproblem whilst proportionately profiting from it. In 2014, the leading cause of death was Ischaemic Heart Disease (IHD),a preventable conditionestimatedtobe 32% attributedtopoor dietand exercise and withthe abilitytocut an average of 4 years off a person’slife (ABS,2016). On the Sunshine Coastthe 41,539 people between the ages of 55 and 64 (ABS, 2011) are at the most risk of such preventable diseases and as such form the roots of the CWC target market (ABS, 2016). The purpose of thisinsightreportistoreflectonthe healthindustryclimateandthe affectthishas on the desired consumer behaviour. Careful analysis of this information with appropriate academic theory will be used to form a series of prioritised steps that outline key elements of the Businessto Consumer (B2C) setting and ensuing recommendations for improvement. 2.0 The Coastal Wellbeing Centre, Café Nurcha The Sunshine Coast’s Coastal Wellbeing Centre, operating out of Maroochydore is a family owned businessandservesasanexemplarfor the developmentandabsorptionof nutritionintomodernday consumer behaviour. The centre is comprehensive in its offering of health goods, including; fresh salads and hot meals, sweet treats and barista coffees (CWC, 2016). In order to achieve the desired outcome of increased health food consumption, the target market’s needs must be met. Figure 1 identifiesthe Three ProductLevelsandwillserve asabasisforunderstandinghow the businesscould be more efficiently operated to meet consumer expectations and increase market share. Figure 1: The Three Product Levels of the Coastal Wellbeing Centre
  • 5. 3 Currently, the CWC is in competitionwith other health food providers and specialist cafés on the Sunshine Coast. Key competitors that are a part of the business’positioning map may include; Envy Café andKunaraOrganicMarketplace.Basedontwokeyelementsof price andfoodquality(perceived healthiness),specialist healthfoodprovidersandcafesare not easilysetapart. Asseenin Figure 2, a gap exists in the market for a cheaper high quality health food provider. Figure 2: Proposed Perceptual Map for the Coastal Wellbeing Centre The organisations indicated on the perceptual map were selected and placed accordingly to reflect theirrelationshipwiththe Coastal WellbeingCentre andthe healthfoodindustryasa whole.Price is an appropriate indicator here as it provides a universal scale on which any organisation can be compared upon. A new pricing strategy is suggested that takes a more economically efficient approach, this may be achieved through renegotiation of suppliers and product lines. 2.1 Target Market In Australiadeathdue to preventablediseasesisrisingandthe epidemicisbeingledbya prevalence forobesity.Approximately25%of all Australiansaged20 andoverare at riskof premature deathasa result of potentially poor health choices (HEG, 2016). Businesses like the Coastal Wellbeing Centre bothrelyonanddrive consumerbehaviourtowardslifestylechange andhealthendorsement.Inorder to remain relevant, the Coastal Wellbeing Centre, should adopt new and relevant product developmentstrategies. Here,the targetmarketincludespersonsof anygenderaged55-64 livingon the Sunshine Coast withaccess to the promotional efforts of the CWC. The consumers of the health foodsofferedbythe CWC recognise aneedfor increasedquality of life andevaluate thatthiswill be resolved through the consumption of such products. Proposed Position
  • 6. 4 Promotion Promotion refers to the methods used by an organisation to advertise and sell its products and services.However,notonlymust the motivationtoconsume a good or service existbutso too must the motivationtoengage inpromotions.Whilethe CWCexhibitsastronginternetpresence itislikely that this is not correct of the target market at which they are aimed. Evidence does suggest that internet based advertising is effective, but this study is exclusive of social media and technological heavy weights (Zhang & Mao, 2016). The target market, aged 55-64, are recognised as digital immigrants. Trends of this particular generation indicate lesser understanding and motivation to become involved in technology use (Autry & Berge, 2011). With potentially limited access to technology, this target market may be at risk of not entering the purchase process. Appendix5demonstratesthreepotentialvariationsof the Hierarchyof EffectsModel.The augmented products like;self-actualisationandqualityof life demonstrate aneedor a problemto be solvedfor the target market. The appropriate purchase process that is generally used in thoughtful decision making is the standard learning hierarchy. This purchase framework follows the series; recognise a problem,evaluateinformationandthenconsume. Thisisthe highestinvolvementprocess (Solomon, etal.,2013). A reviewof the advertisingeffortsmadebythe CWCtoinclude more physicalpromotion such as; loyalty cards, mail-outs and interest group sponsorship is suggested. 2.2 Ansoff’s Matrix Ansoff’s Matrix is often used to devise a specific business strategy for development. Based on the informationpresentedinthe matrix thataproductdevelopmentstrategywouldbe mostsuitedtothe CWC.Thisisappropriate because thetargetmarketisstrongandthecore productalreadyestablished. In order to apply this to the Coastal Wellbeing Centre, the proposed consumer behaviour should be understood and appropriately applied to one of the four matrix segments. Figure 3 represents each of these four segments based on product or market focused growth directives. Figure 3: Ansoff’s Matrix for Growth Increased consumption of healthfoods by the target market at the Coastal Wellbeing Centre would be most achievable through product development. This strategy enhances the business’ reputation but narrows the focus of the market on the health food, streamlining the consumer buying decision process (Solomon, et al., 2013). Health foods are encompassed within a broad industry of health
  • 7. 5 relatedproducts,mostof which maytargetthe same market.By differentiatingthe productfrom the alreadypenetratedindustry,theWellbeingCentre maygainacompetitive advantage withinthetarget market and forgo expensive business design manipulations to target a new market. Ideally, product differentiationinsuchagrowingandprofitableindustrywouldleadtoamajoritytargetmarketshare. 3.0 Desired Consumer Behaviour The desired consumer for the CWC target market is increased consumption of health foods. This section overviews relevant theories for consumer behaviour and decision making and aims to recognise a strategy that will encourage the desired behaviour change. 3.1 Motivating Desired Consumer Behaviour using Theory In a study of the effect of high antioxidant and vitamin content (HAC) foods on measurable health indicators (Pounis,etal.,2013), it wasfoundthat these foods loweredthe riskof hypertensionby6% and decreased levels of C-reactive proteins (markers for the presence of cancer and cardiovascular disease).The populationaddressedinthisstudyisreflectiveof the targetmarketandtheirsubsequent needs. If a promotional effort and product re-development is launched, motivationto consume will increase. Appendix 6 lists a variety of whole foods that are categorised as either high or low in antioxidants.Thislistisapractical exampleof aneffective marketingtoolforencouragingamotivation to purchase. Table 1 demonstrates relevant theory to support the decision making and potential purchase processes of the target market.
  • 8. 6 Table 1: ConsumerBehaviourTheoryof HeathConsciousIndividualsAged55-64(Sunshine Coast,Qld) Theory Authors & year published Area of research & reference Sample Specifics Behaviouralgoal being researched Results Similarities toC.W.C desired behaviour Differences to C.W.C desired behaviour Suitability of the theory & rating Theory of Reasoned Action (TRA) Martin Fishbein (Fishbein, 1979) See Appendix 2 Promoting Breakfast Consumption Bandar Abbas, Iran (Hosseini,et al., 2015) 88 students offour secondary schools IncreaseBreakfast Intake Increasein all nutritional consumption levels except sugar and fat. Nutritiongrowth was achieved,fat and sugar levels did not increase The Coastal Wellbeing Centre’s ideal target market are aged 55-64, this research was based onschool aged children. Centre’s Café Nurcha offers a breakfast appropriatemenu and would benefit from TRA. Differencein results is expected betweentwo different target markets. Theory of Planned Behaviour (TPB) Icek Ajzen (Ajzen, 1985) See Appendix 3 Predicting consumption of low in saturated fats among people diagnosed withType 2 diabetes and cardiovascular disease. Queensland, Australia. (White, et al., 2010) 184 adults (over18 years ofage) diagnosed withType 2 diabetes and/orCVD recruited fromseven community health centre sites. Themean age ofparticipants was 60.71. To assess thestrength ofintentions to eat food low in saturated fat. Intention and behaviouralcontrol over consumption offoods low in saturated fats was mediatedby planning. Study targets healthier options as consumables,sample is relevant to proposedtarget market and reflective ofthe geographical area. Very specific study proposedon low in saturated fats foods rather than healthier optionsin general.Sample group living with chronic illness. Excellent suitability for a comparative analysis and application to achieving the desiredconsumer behaviour. Hierarchy of Needs Abraham Maslow (Maslow, 1943) See Appendix 4 Exploring thegap betweenattitudes and behaviour: Understanding why consumers buy ordo not buy organic food. United Kingdom (Padel, 2005) 181 regular and occasionalconsumers oforganic food The relationship betweenconcerns for food safety and buying more organic food Organic labels have strong emotional resonancewith consumer in terms ofpersonal wellbeing and health.Concerns about food safety are importantto the consumer. Healthier options are considers important pre-requisites to inner wellbeing. Food safety, on a whole is not a key priority in developed nations. Not comprehensive. In the absenceof food related scares, consumers will deem food safety less important.
  • 9. 7 3.2 Best Theoretical Model for Consumer Behaviour Change The most appropriate model for consumer behaviour change is the Theory of Planned Behaviour (Ajzen, 1985). This theoretical model addresses all the key aspects that align with the High InvolvementHierarchyof Effectsframework.Thetargetmarketaddressedinthe respectivecase study was evaluated for intentions to eat food that would lower the risk of factors such as heart disease (White, et al., 2010). The sample population used in the study was reflective of the target market geographic. A common dispositionintermsof;demographical,economicalandpsychological characteristicsmaybe assumed. This model can be readily implemented through a discourse of marketing campaigns that target the riskfactors of ill healthandthe relationshipthese have withthe health-improvingHACfoodsoffered by the CWC. 4.0 Planned Behaviour Theory in Action Product Marketingspecificallytoseniorsisbothintegral andchallengingbecausemanynegative stereotypical images exist.These outdated images were foundto have caused one-thirdof consumers over 55 to deliberate avoid the purchase of a so expressed product (Alder, 1996). The CWC may adopt a more welcomingproductandmarketingcampaignaccordingly.The largestidentifiedcategoriesof mature consumers are ‘Health Hermits’ and ‘Ailing Out-goers’. These two personality types, look for social acceptance andproductflexibility.Table 2providesanexampleof potentialproductlinechangesthat actively attract these two groups. Table 2: Mature Population Consumer Groups Consumer Group & % Population Characteristics Product Ramifications Application Healthy Hermits (36%)  Require comfort and stability  Resent stereotypical expectations of them Want to knowtheyare sociallyaccepted andwill seekfurther information about a product. More comfortable with established brands.  Weeklyhome- delivered newsletter  Product-line extension with a well-known and sociallyaccepted brand or event E.g. Local market presence  Cool product colour tones. Blue evokesa sense ofcalm(Eklan, 2009). Ailing Out-goers (29%)  Maintainpositivity despite poor health  Still determinedto ‘make the most out of life’ Generallyrequire a special diet, are easilyattracted by promotions advertising specialisedandalternative menus.  Rotational offer of ‘Better-Bowls’, light and digestible nutrient packedmeals, available as a special. *Adapted from Table 13.7 Gerontographics: Selected Characteristics (Solomon, et al., 2013)
  • 10. 8 The optimal product development for the CWC would emphasise one particular product, energy bowls. Figure 4 demonstratesan example of an energy bowl. By offering a rotating menu of weekly special “Better-Bowls” at an affordable price, the business can take full advantage of this target market. Figure 4: “George of the Jungle” Energy Bowl, Coastal Wellbeing Centre 2016 By startingsmall,the businesscanshine the lightonthe augmentedfeaturesthe productcanoffer.It is crucial that the product is marketed for its benefits to the population (increased health and extendedqualityof life) ratherthanfor the negative consequencesof notconsumingthem.In order to secure the targetmarketthe newlyrefurbishedproductmustbe placedandpricedappropriately. Price Anyphysical componentof a product is knownas a productsignal (Solomon,etal.,2013). The price- quality relationship indicates that consumers will subconsciously make inferences about a products qualitybasedon itsprice.The keyhere isthat,as the supplier,the CWCshouldnotoverpromise and underdeliver.The priceaskedforthe productshouldbe justifiablewhilstalsocoveringbusinesscosts. As a specialityproduct,the “Better-Bowls”mayonlybe offeredat $10.00 peritem, slightlylessthan the current energy bowl price ($12.90). Whilst this does into allow for much profit, it is justifiable! Complimentaryproductslike Baristacoffee are low costto the supplierandincrease the value of the consumerexperience.A standardcoffee ($3.50) or combinationbreakfastspecial (meal anddrinkfor $12.00) are perfect recipes for growing the brand’s community endorsement and loyalty.
  • 11. 9 Place Recognisedasthe bestweekendmarketonthe Sunshine Coast,the Eumundi Marketplace offersthe CWC an exciting opportunity to increase awareness whilst encouraging current and potential consumerstogettheironce aweek“Better-Bowl”.Itisestimatedthatthismarketalone catersnearly 1.6 millionpeople peryear(Market,2016). Researchdemonstrates,thatperceivedhealthieroptions are consumedmore than unhealthyoptionsinsocial setting,whilstthe general consumptionof food is increasedwhendone ina social environment (King,etal.,2004). Notonly will a setupat a market boost awareness, but it is cost effective and a great way to motivate a guarded population. 5.0 Conclusion The purpose of thisreportwastoproposeachange intheCoastalWellbeingCentre businessstructure, that would ideally encourage the increased consumption of their core product; health food. The Theoryof PlannedBehaviourframeworkmayhelpthe marketersof thisbusinesstobetterunderstand theirmature targetmarketthroughathreestepprocess;beliefs,attitudesandbehaviours.Motivating the target market requires a positive approach that rejects subjective norms and aligns with the individual’s goal; quality of life. By marketing healthier options in familiar social environments, the Coastal WellbeingCentre isintheidealpositionforoptimisingtheirmarketshare andproportionately increasing social acceptance of health food by recluse members of the targeted population. The theoretical evidence presented in this report confirms that a new product development, placement and pricingstrategyshouldbe implementedbythe Coastal WellbeingCentre. Ultimately,self-growth motivatesconsumerstopurchase andif an organisationcanunderstandthat,itcan be useditto fuel their own growth. Recommendations  Offera membershipprogram tocustomersthatencouragesthe use and accessto mail- outs,weeklynew-letters,loyalty cardsandinvite only interestgroupevents.Thiswill increase the life-cycleof the customerthroughloyaltysystemsandprovide the business withcost-efficientmarketresearchsothattheyme stay up todate withthe ever changingconsumerbehaviourclimate.  Exhibitproudlythe benefitsandabundance of whole foods onofferatthe Café. Categorise thembynutrientvalue orhealthbenefits.Thiswill simplifydecisionmaking and speedupthe purchase process.  Provide anewproductline similarto“Better-Bowls”.These are similartoimpulse lines, theywill drawthe consumerandhisor her familyinandwhere furthercomplimentary purchaseswill be made.Pairingacheapmeal withabarista made coffee isaperfect example of ahighreturnand value formoneysale.  Setup a stall at the Eumundi Marketplace,itoffersthe opportunitytoincrease product awarenesswhilst developingaB2C relationship.  Stay upto date withcurrentmarketresearch,endorse trendsandmake all prices justifiable.Once astrong enoughrelationship isformedwiththe consumer,that consumerwill begintofollow the businessesideas.Asdigital nativesbecome the face of the mature population,yourbusinesscanmore readilyendorsedigitallybased marketinginnovationssuchas;gamificationand virtual reality.Imagine beingable tosee howhealthyyouwill lookafterone yearon“Better-Bowls!”
  • 12. 10 References ABS,A. B. o.S., 2011. CensusQuickstatsSunshinecoast(R). [Online] Available at: http://censusdata.abs.gov.au/census_services/getproduct/census/2011/quickstat/LGA36710?opend ocument&navpos=220 [Accessed14 May 2016]. ABS,A. B. o.S., 2016. Underlying Causesof Death (Queensland). [Online] Available at:http://www.abs.gov.au/AUSSTATS/abs@.nsf/DetailsPage/3303.02014?OpenDocument [Accessed10 May 2016]. Ajzen,I.,1985. From IntentionstoActions:A Theoryof PlannedBehavior. Action Control, pp.11-39. Alder,R.,1996. Stereotypeswon'tworkwithseniorsanymore.. Advertising Age, 67(46),p.32. Autry,A.& Berge,Z.,2011. Digital nativesanddigital immigrants:gettingtoknow eachother. Industrialand CommercialTraining, 43(7), pp.460-466. CWC, C. W. C.,2016. CafeNurcha. [Online] Available at:https://coastalwellbeing.com.au/cafe-nurcha/ [Accessed20 April 2016]. Eklan,D., 2009. The psychologyof colour:Whywinnerswearred... New Scientist, 203(2723), pp.42- 45. Fishbein,M.,1979. A theoryof reasonedaction:Some applicationsandimplications.. Nebraska Symposiumon Motivation, 27(1),pp.65-116. HEG, T. H. E. G., 2016. Healthy Eating Statistics. [Online] Available at:http://www.thehealthyeatingguide.com/healthy-eating-statistics/ [Accessed14 May 2016]. Hosseini,Z.etal.,2015. Applicationof the theoryof reasonedactiontopromotingbreakfast consumption. MedicalJournalof theIslamicRepublic of Iran, 11 November,29(1),p.289. King,S.,Weber,A.,Meiselman,H.&Lv, N.,2004. The effectof meal situation,social interaction, physical environmentandchoice onfoodacceptability. Fifth RoseMariePangborn Sensory Science Symposium, 15(7-8),pp.645-653. Market, T. O.E., 2016. Our MarketToday. [Online] Available at:http://www.eumundimarkets.com.au/About/history [Accessed19 May 2016]. Maslow,A.,1943. A Theoryof Human Motivation. PsychologicalReview, 50(4),pp. 370-396. Padel,S.,2005. Exploringthe gapbetweenattitudesandbehaviour:Understandingwhyconsumers buyor donot buyorganic food. Bitish Food Journal, 107(8),pp. 606-625.
  • 13. 11 Pounis,G.et al.,2013. Consumptionof healthyfoodsatdifferentcontentof antioxidantvitamins and phytochemicalsandmetabolicriskfactorsforcardiovasculardisease inmenandwomenof the Moli-sani study. European Journalof ClinicalNutrition, 67(2), pp.207-213. Solomon,M.,Russell-Bennett,R.& Previte,J.,2013. Three Hierarchiesof Effect.In: J.Hoban, ed. ConsumerBehaviour:Buying,Having,Being 3ed. FrenchesForest,NSW:PearsonAustralia,p.210. White,K.M. etal.,2010. Predictingthe consumptionof foodslow insaturatedfatsamongpeople diagnosedwithType 2diabetesandcardiovasculardisease.The role of planninginthe theoryof plannedbehaviour. Appetite, October,55(2),pp.348-354. Zhang,J. & Mao, E.,2016. From Online MotivationstoAdClicksandto Behavioral Intentions:An Empirical Studyof ConsumerResponse toSocial MediaAdvertising. Psychology &Marketing, 13(1), pp.155-164.
  • 14. 12 Appendices Appendix 1:The Three ProductLevels Appendix 2:Theoryof ReasonedActionStructure Appendix 3:Example Application Theoryof PlannedBehaviour toExercising
  • 15. 13 Appendix 4:Maslow’sHierarchyof Needs andRobbin’sSix HumanNeedsCompared Appendix 5:Three Hierarchyof EffectsModels (Solomon, et al., 2013)