As
in international cricket, South Africa is Australias current
main competitor in the apple and pear export market. However, Horticulture
Australias Australia Fresh program aims to ensure
Australian producers can get more runs on the board.
Australia Fresh brings together Australian producers under an umbrella
brand and offers the gamut of promotional activities: trade exhibitions,
point-of-sale, loyalty and incentive programs, competitions and demonstrations/samplings.
An enhancement of an existing program, Australia Fresh was funded by
industry and individual companies. Between April and September last year,
a record 65 promotions were conducted in nine export markets, driving
up sales in India, Sri Lanka, South East Asia, Indonesia and New Zealand,
among other markets.
Via a two-tiered system, exporters under the Australia Fresh brand are
able to better attract attention in the crowded supermarket market
without losing the brand identities and subsequent relationships theyve
established with wholesalers and importers.
Where we see Australia Fresh can add value is at the point of sale
with consumers, said Trudy Gosney, assistant marketing manager (export
promotions) with Horticulture Australia. Weve seen in the
past and this is not to discredit the success individual companies
have had market failure with smaller companies trying to develop
a brand. Australia Fresh is a way of creating some critical mass in the
market.
Youll get no arguments about the benefits of Australia Fresh from
the Australian Fresh Food Networks Ken McGillen.
Its an initiative thats been the most significant from
a body like Horticulture Australia in the last 10 to 15 years and it suits
us down to the ground because we deal with a lot of supermarkets.
He added that as market consolidation continued, Australia Fresh was the
way of the future for Australian growers. Its a real challenge
if you think you can promote your brand in markets. With Australia Fresh
weve been able to highlight some of the key differences between
our product and South Africas, who have such a strong presence via
supermarket groups.
Kevin Baddily from Tasfresh International (Tasmania) was equally buoyant
about Australia Fresh.
Having Horticulture Australia working closely with us and our buyers
has produced wonderful results, even in markets where we had tried to
promote for over 13 years without success, he said. Horticulture
Australia in its first year of trying was able to arrange a highly successful
promotion that thrilled our buyer.
Mr Baddily echoed Mr McGillens comments about the difficulty of
promoting individual fruit brands in international markets. His first-hand
experience of how a brand can be swamped made joining Australia Fresh
a no-brainer.
I visited a prominent Asian supermarket chain where our apples
were being sold and was horrified to see them being sold under a hand-written
banner saying USA Apples.
Apple producer Australian Farm Link is new to the export game. Heather
Churchill from the company said Australia Fresh offered immediate leverage
in export markets.
Promotions have definitely assisted us in getting good sales contracts
to supply the supermarkets, and allowed us to keep a market share where
it was diminishing due to global competition and change in variety preferences,
she said.
However, she added that her company would only remain attached to the
program if it remained cost effective and reflected Australian Farm Links
needs. She was of the opinion that, generally, generic marketing doesnt
work.
Its only as strong as its weakest link, she said.
Ms Churchill was also concerned about the programs timing
especially for this year in regard to when her company would need
to fund the project, and in terms of their crop situation.
Ms Gosney said these were issues that Horticulture Australia were taking
into account.
From past experiences we have been told by some markets and some
customers in those markets that we should be looking at doing promotions
earlier, she said.
Ms Gosney added that in order to be accepted onto international supermarkets
annual promotions calendars, Horticulture Australia needed to be in early
communication with the supermarkets.
From that point of view were not saying to producers you have
to commit your whole money and were going to go and spend it now,
Ms Gosney said. Were saying give us an indication of what
markets youd like to develop and well start talking with those
customers now.
She said Horticulture Australia was in communication with Australia Fresh
member exporters throughout the season to ensure promotions were supported
by product and particular product varieties.
Peter Thompson from Geoffery Thompson and Growers Co-operative said Australia
Fresh meant his companys pears had more oomph when placed
beside South African competitors. It allowed us to do promotions
and to be a little more exciting in a pretty 'commodisised' category.
Mr Thompson said the biggest advantage of Australia Fresh for his smaller
company was that all the promotions legwork was done for it.
I was pretty happy with it and I think our buyers appreciated it.
And I think well get better at it its not something
you just do once and leave it, he said, adding that, when all is
said and done, hed prefer to promote his own brand. However, he
admitted that while the Geoff Thompson label was well known
in wholesale markets, consumers did not have the same awareness.
Mr Baddily from Tasfresh International also said it was tough for his
company to relegate its brand to the end panel of an Australia Fresh carton.
However, he said the company is glad it took a leap of faith
to be involved with the initiative.
The aim of every business is to gain name or brand recognition
and Australia Fresh has the greatest chance of achieving this on export
markets . . . Why wouldnt you want to be part of it?
Ms Gosney said Australia Fresh wouldnt meet every exporters
needs. [But] its an approach that can be used to promote products
under one umbrella at the point of purchase. We dont discount members
brands from the wholesaler/importer level; theyre their company
brands and theyve worked very hard with their importers to create
relationships and develop that history.