The latest research from News Corp’s Growth D_Stillery series has identified how the popularity of premium food experiences has accelerated since the pandemic.
The Food D_Stilled Report, which was run by The Growth D_Stillery and research partner Verve Australia, found that despite the mounting cost-of-living pressures, Australians are still willing to spend money on food that they consider beneficial to their lifestyle.
It found that the combination of rising costs and more time spent at home has led to Australians preparing more meals at home, as well as using food as a means of social interaction.
Director of The Growth D_Stillery Dan Krigstein said: “The role of food as a way to connect, express creativity, explore, and find enjoyment has been amplified during these challenging times. This has accelerated the trend towards ‘premiumisation’ of food.
“Cost of living pressures have now dealt a blow to household budgets, forcing Australians to make trade-offs in their food behaviours. However, despite becoming more price sensitive overall, Australians are willing to spend on their own personal premiums.”
Image: Dan Krigstein
The study found that there are five elements that consumers consider when determining the importance of a food-related purchase. The Growth D_Stillery said that these components can be utilised by brands to meet the evolving needs and preferences of their target audiences.
• Health – Health is wealth and they won’t compromise on nutrition;
• Taste – Food should be a pleasure, if it isn’t why bother;
• Socialisation – An experience shared is way more valuable;
• Convenience – both ‘Ease and Speed’ and ‘Flexibility and Choice’ – If it makes life easier, it’s worth paying for;
• Exploration – Trying new things is an experience worth paying for.
News Corp Australia managing director national sales Lou Barrett said: “Understanding the dimensions of premium in food is crucial for brands to connect with consumers effectively. By creating food experiences that cater to the dimensions of premium that resonate with their target audiences, brands can unlock new opportunities and establish stronger connections.”