Understanding the buyer behavior of organic food consumers and behavioral segmentation of potential buyers.
NAME: .
Institute: Jamnalal Bajaj Institute of Management Studies (JBIMS).
Mumbai.
Specialization: Marketing.
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Understanding the buyer behavior of organic food consumers and behavioral segmentation of potential buyers.
Executive summary.
1.0 Definition of organic foods .
Organic foods are minimally processed to maintain the integrity of the foods without artificial ingredients, preservatives or irradiation .
2.0 Analysis of buyer behavior .
Analysis of buyer behavior consist of .
- Understanding the consumer .
- Classifying the buyer.
- Analyzing the buyer behavior .
2.1 Understanding the consumer .
Awareness about the presence of organic products is quite low. The major reason for use of organic products was attributed to health consciousness. The organic products cost about double the price of conventional products. Lack of awareness is the main reason for non-consumption of organic products.
2.1.1 Major motives of food demand are.
- Nutritional needs.
- Health motives .
- Desire to enjoy food.
- Convenience motive .
- Compliance with the norms of reference groups .
- Environmental motives.
2.2 Classifying the buyer .
The buyers of the organic food look for the following .
- Nutrition .
- Food safety.
- Healthy food.
- Flavour.
- No chemical residues, preservatives, additives and artificial colour .
The buyers are ready to pay the premium price for the above attributes and they can be classified as following .
2.2.1 Loyal to nature.
They hold the strongest views on environment. They regularly purchase organic food and earth-friendly products and are willing to pay premium prices.
2.2.2 Green mainstream .
The New Green Mainstream consumers are concerned about the environment, in particular the impact of chemical fertilizers and pesticides.
