Naturals Brands: You’re Missing Your Biggest Target Audience

November 24, 2020 | by Diana Fryc

In the hypercompetitive naturals category, brands define the natural consumer in a very narrow way: rich, suburban, white, educated, able-bodied, and already healthy.

But that overlooks a huge audience of consumers just waiting for these brands to find them.

Naturals brands are tripping over each other to reach the same defined audience. These consumers are fickle, quick to flip from one brand to the next. In other words, companies are fighting with each other and spending tons of money to reach the same volatile market.

Why?

If you’re a marketer in this category, we’d like to introduce you to a different group of consumers hungry for your better-than products: low- and middle-income families.

Consumers of Modest Means & Why They Matter to Brands

You may imagine that your prototypical fan is a suburban white mom active on Instagram and into health and fitness. So your better-for-you product might be just right for her. But she doesn’t really need your brand.

Who does? Consumers of more modest means who actually need products that can help them lead healthier lives.

These consumers look different from your model fan. These families are more likely to be of color, disabled, or LGBTQ+. They live in urban or rural—not wealthy suburban—areas, where access to healthy food choices is more limited. There are myriad reasons—financial, cultural, logistical—why these folks think differently about health and wellness than the consumer you’re currently reaching.

Before you dismiss the idea of connecting with them, realize this: While spending power remains concentrated with upper-class shoppers, the middle and lower class represent a far greater portion of the population. As of 2018, 52% of American adults qualified in the middle class and 29% in the lower class. There’s a vast market to be tapped.

And as Emily Brown of the Food Equality Initiative told me in our recent discussion for my Gooder podcast, these consumers are incredibly brand loyal—because their spending habits and budgets don’t allow for shopping around. Once they land on a product or brand their families prefer, they stick with it.

Why Are These Consumers Overlooked?

These folks are out there—why don’t marketers see them?

A big part of it is innate bias in our industry. In the natural food and beverage category, marketing is all about finding your “tribe”—consumers who buy into your brand’s values and see your products as a way to express their affiliation with those values. We assume those fellow tribe members are just like us. We don’t see consumers who don’t look like us, and most of us are white, educated, and reasonably well to do.

The early adopters of natural food and beverage products were a bunch of 1960s and ’70s countercultural hippies who were concerned about the commercialization of food and farming and who advocated for whole, unaltered, healthy food. Then and now, founder-owners of better-for-you companies tend to be entrepreneurs with enough capital to launch, manufacture, and scale a business—and executives and investors in the category are predominantly white and wealthy as well. Our category is a closed-loop.

So what has this navel-gazing approach to product development and marketing yielded?

  • High price points for products that aim to benefit people and planet
  • Flavor profiles and niche ingredients that aren’t widely appealing
  • Exclusive channel strategies that don’t bring products to the consumers who might want them
  • An implicit belief that only white suburban folks want to live healthy lifestyles

In short, the naturals industry has evolved beyond the reach of people who are new to the idea of eating whole, healthy foods.

How to Reach Low- and Middle-Income Buyers

Here’s the upside: Naturals brands, with their powerful missions to improve lives, should find it easy—indeed, critical—to reach these underserved audiences. If you’re a thriving naturals brand, you’ve already invested in the consumer education platform of your Brand Ecosystem—it’s the very foundation of your communication strategy. You know how important it is to teach people why your brand matters and what your products can do for them.

Mission and education: Check. So it should be an easy lift to reach out to a broader audience.

A couple of points to think about:

Understand who these consumers are. Shift your research mindset from transactional (who buys what) to empathetic (what do they need in their lives). The right syndicated consumer data exists; you just have to ask for it in different ways. Seek research that shows where, why, and how these kinds of consumers shop. Collaborate with retail partners that have access to that information; they’re also interested in reaching that consumer.

Reach them where they are. Our category shares so much education, but it’s pointed to people who already buy into our brands, not to people who are early in the journey. Don’t ostracize them; welcome them with information that’s helpful to their lives and interests. Same goes for product development. Consumers of modest means may be taking small steps toward eating healthier and may not care about ingredients like kale or chia or Himalayan salt. A baked corn chip may be the ideal option, for example, for the consumer who wants an alternative to fried snacks but isn’t keen on organic vegan lentil puffs.

Get samples into their hands. On a limited budget, a middle-class mom can’t afford to try three different healthy snacks to figure out which one her kids will like. So find ways to get a free trial to her. Once she’s formed a preference for your product, she’ll stick with it.

Get over your high-priced mindset. Leaders in this market attach too much clout to offering an expensive product. Drop the snobbery. The idea that people with restricted income won’t buy is false. When they’re shopping a category where they don’t have a brand affinity, they will buy on price—but if they have a brand preference, they will always spend on that product. They just have to feel a connection to the brand.

There’s nothing wrong with creating a niche product that’s more expensive—but if you’re mission-driven and trying to save people and planet, then your goal should be to go mainstream, expand your market, cost engineer production, and lower your retail price.

Embrace a vision that’s big enough that your goal is to get your product into everyone’s hands. And if you’re not quite sure how to make that happen – drop me a line.