Research IS KING

FIVE great minds – including Open Wide Agriculture CEO Jay Albany, Brownes Dairy CEO Natalie Sarich-Dayton and Fremantle Octopus MD Glenn Wheeler – took to the EvokeAG stage in a Panel Discussion on Bleeding edge: Securing a Premium. They all agreed that consumer insights and market research were critical when developing a premium product. Observing trends in supermarkets also helped to find inspiration, and it was this approach that led to innovation.

Panellists emphasised that regular visits to grocery stores would keep us up to date with industry trends, as would looking at other categories for inspiration and adopting successful practices from different industries.

Below is more great take-out from the discussion for those wanting to develop a premium product.

There are hits and misses in the process of premiumisation and innovation. The key lies in identifying the most successful strategy for a premium product, whether it's innovation, sustainability, provenance or a differentiator. It is all about the importance of research, staying aware of trends and personally engaging with prospective customers to gather feedback.

Face-to-face interactions with a diverse sample group provide valuable insights and aid in tailoring a marketing strategy. Additionally, there needs to be a strong belief in the product, coupled with thorough research before bringing to market.

Constructing a narrative to mitigate the risk in introducing something new is also necessary. In fact, it is crucial for encouraging adoption and repeat purchases. Addressing a resistance to novelty and navigating through barriers is part of a launch process. Additionally, remember that the concept of premium is subjective, varying from person to person, and evolving. There is a need to continuously innovate and present new offerings to consumers.

When thinking of entering this end of the market, it is important to recognise your own resources and consider forming partnerships with like-minded individuals. Government support and programs can also play a beneficial role, alongside collaboration with entities such as universities, research organisations and supply chain partners. Partnerships are necessary when taking substantial risks.

There is a risk associated with innovation and premium pricing, so these factors need to be balanced. In instances where a product didn't align with the market's preferences, and consumers were unwilling to pay a premium, it becomes crucial to avoid buyer regret and ensure a unique offering for stable growth. It's advisable not to target a market share beyond the capacity to meet demand. This strategy involves targeting a niche market with the potential for higher volume. Remember: you've got to have the right product in the right place with the right partners to be able to achieve ‘premium’.