Authentic brands present a huge opportunity for retailers, research shows.

A recent Nielsen research reveals that 30% of Australian consumers would consider choosing an authentic brand in key grocery categories.

The research, ‘Nielsen Homescan Insights’ has highlighted that in particular, authentic Italian grocery brands are rapidly growing in popularity presenting a big dollar opportunity for marketers and retailers to target these consumers.

In the past 12 months, over two thirds (5.7 million) of Australian households purchased authentic Italian brands, up by 149,000 households from the previous year.

Sarah McKee, director at Nielsen says that the increase is due to Australian consumers developing a ‘more sophisticated palate and are more discerning about where products are sourced’.

“Authentic Italian brands can capitalise on this trend, with a particular focus on the categories where their penetration is low, including cheese, vinegar, biscuits, water, olive oil and coffee. In fact, if the number of households purchasing authentic Italian brands across the top 10 categories increased by just 1% in the next year, this would equate to an almost $2 million opportunity, ” McKee adds.

Engaging with non-English speaking consumers is also critical to driving continued growth for brands. There are now close to two million Chinese tourists visiting Australia and New Zealand every year and Asian vegetables can be found in one-in-three (34.5%) of Australian homes.

“Australians as a whole are buying more international foods and are looking to source these products from authentic brands. To capitalise on this opportunity, brands need to understand the diversity of Australian consumers and products should be activated in a way that amplifies the product’s unique proposition,” McKee says.

“Expanding distribution within the major supermarket chains as well as exploring opportunities across other retail channels is also fundamental in ensuring brands are continually reaching a wider audience.”

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