TORONTO — As part of its education initiative, the 2013 CPMA convention offered a business panel titled: “Produce: What Do Canadians Want?” The answer, according to the panel presenters, is a variety of retailers who understand and meet local needs.Sunghwan Yi of the University of Guelph discusses why Canadians don’t eat enough vegetables during a business session at the CPMA convention in Toronto. (Photo by Gerry Weaver)

From the health demands of aging baby boomers to the increased importance of ethnicity in buying trends, the produce industry needs to respond to a diverse consumer landscape.

The session began with Carman Allison, director of consumer insights for Neilson Canada, and he noted consumer confidence is slowly rebounding from the recent recession. He also said that Canadians continued to buy produce during the recession because home cooking increased.

Mr. Allison identified four key future growth areas driving produce sales: value, health, diversity and an aging population.

Consumers are currently focused on spending restraint, which means many only buy on sale, use coupons (particularly online coupons), stock up on promotional items and seek out stores with lower prices, said Mr. Allison.

The impact among retailers is that discount and non-traditional stores have gained a significant share of the Canadian consumer’s wallet. By 2017, discount stores are projected to have 50.9 percent of the market.

“In an increasingly polarized market, no one can afford to be middle of the road,” said Mr. Allison.

Stores need to differentiate themselves, he said, and while price is one method, value, great sales and promotions and a lot of stock are also rated highly by consumers.

He also pointed out Canadians are increasingly concerned with health issues, particularly obesity. Aging consumers are another area of growth. By 2021, they will control 70 percent of Canada’s wealth. The fresh produce industry would do well to tap into seniors’ concerns about illnesses like diabetes and high cholesterol.

Lastly, Mr. Allison noted the growth of diversity in Canada. By 2017, visible minorities will be the majority in Vancouver and Toronto. Diverse communities shop differently. Retailers need to understand their customers.

Sunghwan Yi of the marketing and consumer studies department at the University of Guelph, focused on how to change perception barriers about eating vegetables. He conducted a study on how different groups reacted to factors like taste, time to prepare and cook, skill, healthiness and cost. After analysing his results, Dr. Yi had some specific advice for the produce industry.

Noting different groups rate perception barriers differently, Dr. Yi said, “Have separate strategies to market to different segments of consumers.”

For example, some consumers believe vegetables are tasty but difficult to prepare, so offering free recipes, especially via smartphone apps, would encourage them to buy more. Other consumers believe fresh vegetables are healthy but not tasty, so offering free in-store trials would help lower their resistance.

Using sensory experience in general is a good way to help customers embrace a variety of produce, he said.