Clarity and coherence are critical to brand positioning [Interview]

The food sector is a complex, fast-changing, and highly competitive place to operate. At the same time, Peter Wennström, founder of the Healthy Marketing Team (HMT), believes that the fundamentals of successful brand positioning remain relatively constant. “Consumers want normality,” he says.  “When a trend moves from hype to mass market, it is because products are simple, accessible, and connected to common values.”

There is a moment, Wennström believes, when hype meets reality. He points out that over a decade ago, many people believed that functional food would move seamlessly into the mass market. Instead, the concept established itself as a clear segment, though it did help to push health as a key consumer concern across numerous categories.

“The functional food segment is now clearly defined,” he says. “Manufacturers like Danone have very clearly targeted brands; functional foods are part of their segmented dairy portfolio of products. We are now seeing the same thing happen with plant-based. Consumers are incorporating these products into their diets largely for health reasons, and brands need to be aware of this.”

Connected to common values

Climate awareness is another example of a trend that brands find hard to mainstream. This again comes back to Wennström’s point that most consumers need to be confronted with tangible benefits; however much we all might wish to lead more ethical lives, issues like cost and taste will remain the key purchasing factors for most consumers.

“Governments and public stakeholders are the ones who need to drive the green transition,” says Wennström. “Take recycling – this can be a success if it is made convenient, and if people are incentivised.”

These values of convenience and incentivisation have been incorporated into an innovative app that HMT has helped to position. The key here, says Wennström, was to make the concept accessible, understandable, and connected to people’s common values.

The consultancy worked with the Too Good to Go app, which links surplus food from shops, cafes, and restaurants to consumers looking for a tasty bargain. Participating outlets create packages of food at the end of the working day, which users can find on their apps and pick up.

“At first, the company was defining itself as waste warriors,” he says. “The challenge was that they were positioning themselves – and their customers – as activists. We encouraged them to adopt a more common, positive value, like saving food is good. Good is even in their name. This simple mind shift enabled them to transition from their niche activist role to the mainstream.”

Look beyond your brand: Help consumers understand categories

Another key point is that brands have an opportunity to become educators. Consumers are looking to build relationships with brands that they value and trust. Simple, clear messaging around core health benefits can cut through a great deal of confusion.

“Look at the biotics sector,” says Wennström. “While this has proliferated and segmented, many consumers cannot differentiate between pre-, pro-, and postbiotics.” Indeed, most consumers simply want to know if a particular product will improve their gut health. This is where brands that are more trusted can prosper.

“Customers are asking brands to help them understand categories,” says Wennström. “The brand that can look beyond their own products and brands in order to educate consumers about the category can be a winner.”

One way of looking at this, says Wennström, is to consider the category as a river. Each brand is one boat on the water. If you can help consumer to understand the river, then you can help them to pick the right boat.

Don’t drown in ‘the sea of sameness’!

Moving forward, HMT is closely charting the evolution of B2B and B2C approaches. “We are seeing a lot of ingredients companies increasingly looking at the consumer side of the market,” notes Wennström’s colleague Diana Piemari Cereda, a senior strategist at HMT.  “We are bringing more insights to industry about what consumers think, to help brands avoid products that are not supported by the needs of consumers,” she says.

Wennström agrees that more and more companies are realising the importance of having a B2C focus. “After all, the consumer is at the start of every value chain, and they are often confused,” he says. “Brands needs to make sure that their proposition, from distributor through to customer, is consumer focused. This is what will drive the future of the ingredient business.”

In doing so, brands can avoid drowning in what Wennström calls the sea of sameness. “Biotics is again a good example to use,” he says. “Successful brands will be the ones that can clear communicate their benefits to consumers – this is something we’ll definitely be talking about at Fi Europe.”