It truly is all about the consumer.  At least that was the theme three speakers articulated during an educational session at the PMA Foodservice Conference held in Monterey, CA, this past weekend (July 24-26).

“It’s All About the Base: Meet Today’s Consumers” was the direction three experts took the crowd as they tried to explain various segments of the consumer population.  

Brent Walker, executive vice president and chief marketing officer of c2b solutions, introduced the audience to “psychographic marketing profiles.”  This concept categorizes consumers into five groups and notes that these psychological profile categories reveal that consumers have different motivations and respond to different stimuli. Knowing who your audience is and targeting them specifically with promotions they will respond to is key to marketing success. 

He said consumers in these various categories might engage in the same activity, but it is for different reasons and you must know that if you are to increase their participation.  For example, he said, both “balance seekers” and “willful endurers” over index in eating organic food, but they do it for different reasons.  “Willful endurers”, he said “distrust the man” so they seek unconventional alternatives.  “Balance seekers” are eating organic produce because they are open to new ideas and respond to marketing that seeks the “why” behind suggestions.  

Walker said both groups are engaging in the same activity but they need different messaging.  He indicated why messaging is so important earlier in his talk when he noted that target marketing is the key to success.  You need to know who is using your product and how to reach that group because market segmentation is at a very high level.  For example, he said that one-half of 1 percent of the population is responsible for 25 percent of all car rentals in the United States.  Reaching that tiny group would obviously be the goal of any car rental company.  

During this session, Brian Numainville of Retail Feedback Group reported on Generation Z, the kids who heavily influence their parents’ buying decisions, especially in the food category.  In the United States, this group is 68 million people strong and will represent 40 percent of consumer buying power within five years.  This group’s demographic is different than any before it.  About 17 percent of the G.I. generation (often called the Greatest Generation) was multiculturally diverse.  More than 50 percent of Generation Z are multicultural.  This is the first time that threshold has been reached.

This group already has $200 billion in spending power.  You might think you would know how to reach them, but Numainville said only 6 percent communicate via email while 63 percent use texting.  They clearly are responding to the digital revolution in different ways than their parents or even older brothers and sisters.  Another interesting fact:  88 percent of them like their parents.  They are very collaborative, get information from Google and peers before making a purchase, and 73 percent of them influence the dinner choices in their households.  And good for the produce industry, they want to eat more fresh, natural and organic food.  

To reach this group, Numainville said use digital media and be concise, unique and transparent.  They like to get their information in eight-second soundbites.

Stephanie Bazan, Avocados from Mexico’s Hispanic marketing director, analyzed the growing group she is focused on in her job.  She pays particular attention to the “Nueva Latina” (new Latin woman) who she said controls the buying decisions in the exploding Hispanic market.  

If Bazan is correct, you ignore the Hispanic population at your own peril as it is the fastest-growing demographic in the United States.  And Latina moms are growing at a much faster clip than any other group of woman having children.  She also noted that pockets of Hispanics are popping up in urban areas all over the country, not just on the coasts.  

The good thing for fresh produce marketers is Hispanics over index in fruit and vegetable consumption and even as they acculturate the last thing they give up is their food traditions.  Bazan said it is their connection to their traditions and they want to stay connected and keep their kids connected to their heritage.  She called the nueva Latina the “CEO of her household” and the “gatekeeper” to the family’s food consumption.  She said the Latina mom wants to strike a balance between healthy and convenience.  In fact, Hispanics are fueling most of the growth in the foodservice category, and more than 50 percent of the growth in the entire food category.  “If you are not targeting the Hispanic segment you are missing the boat,” she said.

Look around your restaurants, she added, if it is full this weekend, it is probably full with Hispanic families.  She said some of the keys to marketing to them are being family friendly and offering fresh products.  She said the Hispanic restaurant goer is willing to pay more for fresh food.  “Play up the freshness to appeal to this group,” she advised.