Surveys of food shoppers were carried out in August 2015 (before Aldi opening in Armidale) and October 2016 (after Aldi opening). Interviews of shoppers took place in shopping malls, city streets and suburban streets in Armidale, and concerned retail shopping habits.
The graphs below present some information about the loyalty shoppers exhibit toward shops on one hand, and brands on the other. The survey posed a question to shoppers: “what do you do when your favoured brand is not available in a shop?”
In the survey conducted in August 2015, some 60% of shoppers reported buying a different brand, and this had increased to some 78% by the time of the October 2016 survey. Around 25% of shoppers reported in August 2015 returning later to the same shop, but just 5% reported this response in October 2016. These responses are amongst the “shop loyal” responses.
Just 6% of shoppers reported “brand loyal” behaviour in August 2015: by going to a different shop to find the favoured brand. The October 2016 survey found that this reported behaviour was much more widespread: some 25% of surveyed shoppers.
Subdividing these results by shoppers’ characteristics is informative. Those that live with their own families show a substantial increase in brand loyal behaviour. Conversely, those that live in non-family groups show a decline in brand loyal behaviour.
The effect of shoppers’ age on brand and store loyalty, and whether it is changing in the period since Aldi opened in Armidale, are difficult to assess. The youngest shoppers were brand loyal in August 2015, while the oldest shoppers reported this behaviour in October 2016.
The effect of shoppers’ age on brand and store loyalty, and whether it is changing in the period since Aldi opened in Armidale, are difficult to assess. The youngest shoppers were brand loyal in August 2015, while the oldest shoppers reported this behaviour in October 2016.
| Aug 2015 study | Oct 2016 study | |
| Stay in the shop, buy a different brand | 41 | 37 |
| Stay in the shop, buy a different product | 44 | 29 |
| Return to the shop later, but don’t buy now | 48 | 44 |
| Go to a different shop to find the brand | 33 | 47 |
Shoppers who grew up in large cities showed the largest decline in brand loyal behaviour, while shoppers from all other origins increased their brand loyal behaviour.
Work on this survey, and further work on retail food, is continuing. To hear further information on the overview of this project, visit November’s update.
For more information, please contact Derek Baker at the UNE Business School Centre for Agribusiness (derek.baker@une.edu.au, tel. 02 6773 2627).
