6 minute read
MASS SHOPPER CONFUSION PROMPTS MAJOR AUSSIE FOOD BUSINESSES TO JOIN FORCES TO CHAMPION ‘AUSSIE OWNED’
With increasing concern for the future of Australian brands, Norco, SPC, Sanitarium Health Food Company Mayvers and Sunshine Sugar unite to discuss calls for ‘country of ownership’ labelling as hard-earned Aussie dollars are unknowingly going offshore.
Despite the cost-of-living crisis, Aussie shoppers remain as passionate as ever about supporting Australian brands and hard-working Aussie farmers. However, new research has identifed mass confusion in the marketplace with an overwhelming number of Aussie shoppers unknowingly buying foreign-owned products in their attempt to buy ‘Aussie owned’ –prompting a coalition of Aussie food businesses to join forces to educate on what constitutes Australian owned.
New research1 from Norco, Australia’s oldest and largest 100% farmer-owned dairy co-operative, has found that due to infation, Aussie households are forking out up to an extra $1.64bn in their monthly grocery shops, with many needing to change the way they shop to save money.
But despite this, close to a third (30%) of shoppers have increased their support for (what they believe to be) Australian brands and products over the past two years, with many prepared to pay more if they think the money remains in Australia or goes back to supporting hardworking Aussie farmers and their communities.
Moreover, with the avalanche of iconic Aussie brands leaving Australian shores in recent years, many Australians hold concerns over the future of Australian brands, with the pace of foreign investment cited as the reason more than two thirds (67%) of shoppers actively try to buy Australian.
Australian Made vs Australian Owned
Despite the best of intentions to support ‘Aussie owned’, the data has revealed that an overwhelming majority of Aussie shoppers (81%) are actively buying foreign owned products - some (66%) even buying multiple foreign owned brands - believing they’re supporting Australian owned, with many simply relying on what they believe to be iconic Aussie brands, or household products they grew up with.
Adding to the confusion, more than half of Aussie shoppers (56%) simply look for the Australian made logo to inform their selection, with only one in 10 consumers doing their own research to make fully informed decisions.
Michael Hampson, Norco Chief Executive Offcer comments that the while he was pleased by how much Aussie shoppers wanted to support Australian owned, it was disappointing to see the scale of confusion among shoppers.
“What’s clear from the research, is that if we want to protect what’s left of our iconic and authentically Australian brands, there needs to be a greater conversation and further education around the difference between Australian made and Australian owned,” he says.
Under Australian Consumer Law, most foods that are produced, grown or made in Australia are required to display a label with the kangaroo triangle symbol, or some statement indicating the food was grown, produced or made in Australia - but that doesn’t mean Australian owned.
Hampson adds: “While anything that drives jobs creation and economic activity in Australia is a good thing, it’s still important to know that many foreign owned companies can still use this labelling. “The big difference with ‘authentically Australian’ brands and products - those that are both Australian made and 100% Australian owned
- is that the money remains here in Australia and is not siphoned offshore.
“This means it can then be reinvested back into Australia and regional communities which in turn creates more jobs, can better support our hardworking farmers, while helping to sustain the industries in which they operate,” he says.
Iconic Aussie Brands Unite to Discuss Country of Ownership Labelling
Reinforcing shopper confusion, two thirds (66%) of Australians claim they would buy more Australian made and owned products if the information was readily available but claim it’s hard to tell, with nearly three quarters (73%) believing ‘country of ownership’ information should be included on all food labels.
The notion has prompted the bosses of major Australian food brands – including Norco, SPC, Sanitarium, Mayvers Foods and Sunshine Sugar, to join forces to explore the concept.
Michael Hampson (Norco) believes it’s an interesting and worthwhile conversation to have.
“There is a clear desire among Aussie shoppers to support authentically Australian (Australian made and owned) brands, and as a 100% Australian farmer-owned co-operative, this is extremely heartening to see.
“But the fact remains that many household brands we all grew up with are sadly no longer Australian owned, so clearer labelling could be benefcial in helping to combat this widespread shopper confusion,” he says.
Following this, the coalition of ‘Aussie food bosses’ are urging consumers to arms themselves with knowledge and do their own research into which companies and products remain Australian owned. As an easy frst step, they’re encouraging consumers to download the Bring Back Australia App, which is uniquely designed to support and identify Australian owned brands with a simple scan of a barcode.
Sanitarium: Todd Saunders, Executive General Manager of Sanitarium Health Food Company, which has been Australian owned since 1898, and is a trusted producer of some of Australia’s most iconic breakfast brands including Weet-bix comments:
“Like our coalition partners, we don’t want there to be any confusion for consumers about the authenticity of Sanitarium’s Aussie ownership or the quality that ensures within our product range.
“We know how intrinsically proud Australians are of the great things that come from our country.
Including ‘country of ownership’ labelling information and introducing better tools to support consumers in making an informed choice can help us continue to drive economic growth and provide job security for our employees, and the regional farmers and suppliers who help us to feed the nation.”
“By choosing the product of an Australian owned business such as Sanitarium or our coalition partners, customers are not just making a purchase, they’re making an investment in supporting local jobs and economies,” he says.
SPC: Peta Allsopp, SPC Chief Marketing Offcer – one of Australia’s most iconic food brands that’s been part of the Australian grocery basket for 112 years - comments that like their coalition counterparts, they are proud to remain 100% Australian made and owned, but have certainly felt the impact of foreign competition in recent times.
“The current cost of living crisis is very real and consequently, consumers are making very considered valuesbased choices. At times, they are either knowingly or unknowingly choosing imported options from lower cost producing countries such as China and South Africa.
“We are immensely proud of the quality of our SPC products and more committed than ever to delivering superior value to consumers, while working closely with our grower partners to innovative and become more competitive.
“So if a small labelling update to include ‘country of ownership’ information can help better inform consumer choice, while protecting our iconic brands, industries and farmers alike, then that is something we fully support,” she says.
ADDITIONAL QUOTES FROM THE ‘AUSTRALIAN OWNED’
COALITION: Bethaney George, Chief Executive Offcer Mayver’s Foods
“With a mission to deliver high quality, 100% natural, Australian-made products, Mayver’s Foods is proud familyowned and Australian made business, operating in categories saturated by foreign owned brands and imported products.
“Cost of living pressures are being felt far and wide, impacting all parts of the supply chain, which is why we have such a steadfast commitment to local sourcing and sustainability - by turning Australian ‘wonky fruit’ (otherwise destined to become food waste) into delicious jams, supporting Australian growers for our peanuts, almonds and local suppliers across our entire value chain.
“Our ‘local frst’ pledge is more than just a strategy; it’s our promise to support our local, Australian communities, and if enhanced labelling can help support this mission and better aid consumer choice, then that is something we fully stand behind,” she concludes Chris Connors, Sunshine Sugar Chief Executive Offcer: Sunshine Sugar is a 100% Australian sugar manufacturer, owned and operated in partnership with local sugarcane farmers.
“Sunshine Sugar is an incredibly proud brand in the Australian marketplace,” remarks Mr Connors.
“We are the only Australian owned refned sugar manufacturer, and our business model is uniquely Australian.
“As somewhat the underdog in Australian sugar manufacturing, Sunshine Sugar is grown, made and owned in New South Wales.
We aren’t as big as some of our overseas owned competitors, but have a strong customer base that highly regards our Australian roots and the consistent, reliable product quality and service we provide.
“Having our operations based in the regional communities of the NSW Northern Rivers, we see the struggle consumers face when trying to support Australian farmers and the research confrms that this struggle is occurring nation-wide.
The concept of making clear the country of ownership, along with tools to help inform consumers seems like a step in the right direction – for Australian owned businesses and our patriotic and supportive Australian consumer base.”