Today, the development of markets of non-CIS countries is a promising direction of development for Ukrainian manufacturers. However, when entering the European market, it is necessary to remember that consumers from Europe are a little different from the inhabitants of Ukraine. They have different requirements both to the design of labels and to the composition of products. Our marketing expert Daria Taran shares her expert opinion on the key differences between consumers from Europe and Ukraine.
“We are constantly working with brands that export their products to the European market or plan to do so in the coming years. Here it is important to remember that there are significant differences in the portrait of consumers in Europe and Ukraine. Unfortunately, not all entrepreneurs immediately realize this and incur losses at the stage of product promotion by choosing the wrong strategy. Some simply do not understand how to manage brand reputation in a new market.
European consumers are much less focused on the price of a product. We have already verified this many times when conducting research for our customers. This is due to economic prerequisites (such as income) and the level of development of individual European countries. European consumers look at the quality of the product and what benefits it brings them. For example, gluten-free products, which have become so popular, show the brand as one that cares about the health of customers, and certified production indicates a high level of product quality.
It is difficult for domestic producers to keep up with European companies. For example, the European confectionery market is developing rapidly, and our brands can only follow in its footsteps. Only some Ukrainian companies can offer competitive goods to the European market. This is due to the peculiarities of production, packaging, and the chosen method of positioning. We help them in this with all our strength – we follow the trends in packaging and design in general“.
Let’s take a closer look at the key points that companies should keep in mind in order to successfully enter the European market and please demanding buyers.
Company policy
A company’s attitude towards its customers plays a crucial role in the success of a brand. Will it listen and respond in a timely (or proactive) manner?
Many manufacturing companies think that their consumers are not very fastidious, so there is no need to invent something new. Brands with this attitude are doomed to watch their young, open-minded competitors capture the market and the love of consumers. There are three types of companies.
1. Companies that try to take consumers where they no longer want to go. This includes companies with an outdated view of the world that sell what is already selling well and keep looking back. They don’t keep up with current consumer interests and often rely on outdated market analysis.
2. Companies that respond to customer needs in a timely manner. They have the largest market share, but there are always companies with lower prices or better service.
3. Companies that create the future. These are the brands that take consumers where they want to go, even though they don’t know it yet. A world-famous example is Steve Jobs’ speech “Our job is to guess what consumers will need before they do“. It is precisely this policy of brands that allows them to win not only the love but also the complete loyalty of consumers, surprising them.
Trends in packaging
Packaging is the main way of communicating with consumers, because it is the first thing they see. Sales packaging should be modern and in line with design trends. Today there are several trends in packaging design for FMCG products and goods.
Minimalism and white color
Minimalism never goes out of style, and for Japan, it is one of the ethnic characteristics in design. For the past few years, minimalist design has been at the peak of popularity in packaging design. Simple shapes, natural hues and limited details distinguish modern packaging. The predominant color is white. It is associated with purity and quality. Usually white is emphasized by bright illustrations, geometric patterns or large inscriptions.
Food packages depict juicy fruits or berries, floral patterns, beautiful food presentation, all on a pure white background. The illustrations are stylized as watercolor drawings or, on the contrary, realistic photos.
The white and gold combination is supplanting the classic white and black combination for premium products.
FMCG packaging has recently been characterized by an additional white label with a brief inscription overlaid on a mottled background. However, many packages are devoid of even a mottled background. Designers are playing with fonts, combining them in different ways, adding simple monochrome patterns, taking their skills to a new level.
The trend came to the fore thanks to minimalism in clothing, spreading to interior design. Then it was picked up by industrial designers, and now it is very relevant in packaging. European manufacturers have long been using minimalist design to satisfy the interests of their consumers. Stylish packaging is the first thing Ukrainian consumers should pay attention to when entering the Euro market.
Echo
The second trend, which is not inferior to minimalism, is environmentalism. The average consumer in the European Union has a high level of environmental culture, is interested in global warming, solid waste utilization and knows exactly about the Great Pacific Garbage Patch. At the same time, residents of Ukraine rarely have any idea why to separate waste, when the Japanese have long been dividing it into 6 categories.
Europeans represent an environmentally oriented society, where residents care about what packaging is made of and its recycling path. Entering the European market will require manufacturers to reconsider their materials: they must be environmentally friendly and easily recyclable. Europeans have a negative attitude towards overconsumption of packaging materials, which are often larger than the product itself.
The use of paper instead of plastic wrappers (it is easily biodegradable), green color, additional information about the subsequent recycling of the product can emphasize eco-friendliness. Europeans choose milk, juices or sauces in glass bottles instead of plastic bottles because glass is reusable.
Packaging personalization
Fun characters add liveliness to the packaging and better reflect the chosen positioning strategy. If the character on the packaging is associated with the customer’s lifestyle, he will definitely choose this brand. This technique is used by many European companies. So they manage to get the attention of the new target audience with attractive packaging. The characters can be either people or funny animals.
Quite often the technique of packaging personalization is used for food products that are designed for children (candies, cookies, juices, jams). A viewing window is left in the package as part of the character.
Retro style and pin-up
Retro drawings and old fonts, vintage patterns and pin-up illustrations refer consumers to a specific era. Brands play on the fact that consumers want to taste old times or reminisce and be nostalgic. That’s why the launch of Pepsi drinks with old designs in 2013 was such a success.
Ingredients
The composition of a product affects its quality and consumers’ attitude to the brand. Recently, European companies are paying more and more attention to the composition of the product. It is important to surprise consumers with new flavors, to produce high-quality and useful products, and not to forget to take care of the health of consumers.
Naturalness
Unlike the Ukrainian market, products on the European market can boast of their naturalness. Manufacturers use natural ingredients (vegetable dyes and flavorings) and do not forget to emphasize this to consumers. The composition of the product is deciphered, avoiding E-indexes (for example, E-330 is citric acid). This helps manufacturers to maintain a positive reputation.
Benefit
Products enriched with vitamins and minerals, with a higher protein content and without trans-fats have gained popularity . European consumers care about their health, which is helped by the development of family medicine in the EU countries. Supermarket shelves are filled with products in separate sections, where customers with different allergies and diets can find suitable products. At the moment, the Ukrainian market cannot boast such a high degree of satisfaction of the needs of people with specific diets or diseases.
Gluten-free, vegan products and lactose-free milk can be found in every store in Europe, not to mention the abundance of products for diabetics. Low-calorie food is important for those struggling with excess weight. This is why Europeans have a negative attitude towards the statement “2000 calories is the daily norm”, because it is not true.
Extraordinary additives
The usual flavors of yogurt or chocolate with raspberries, strawberries or wild berries cannot surprise European consumers. In Europe, there is a wide range of products with unusual flavors and seemingly incompatible additives. For example, Ben&Jerry’s line of flavors includes ice cream flavored with cotton candy and cinnamon buns.
Production certification
In addition to environmental awareness, Europeans are attentive to the conditions under which products and goods are made. Certified production is much more trusted, as consumers can be assured of the quality of the product. Certification can be a costly process that requires producers to change technology, raw materials or management at the plant. However, most European markets require a company to have some form of certification in order to be able to sell in that market. This offers such advantages to manufacturers:
- expansion of the sales market, including the European market;
- to increase brand credibility;
- increasing competitiveness;
- membership in partner organizations;
- investment growth.
In addition to the obvious economic benefits, the process of product quality control is simplified and it is easier to audit within the company itself.
The standards that are most often required include such series and individual standards:
- ISO 9000 (Quality Management Systems of Organizations and Enterprises);
- ISO 14000 (Environmental Management Systems);
- OHSAS 18000 (Requirements and guidelines for the development and implementation of occupational health and safety management systems);
- ISO 19011:2011 (Guidelines for auditing management systems);
- ISO 22000 (Food Safety Management Systems);
- ISO 28000 (Supply Chain Security Management Systems).
Matching the product to the lifestyle
When choosing general merchandise or food products, consumers subconsciously pay attention to how the chosen brand fits their lifestyle. Therefore, it is necessary to find out what place the product occupies in the consumers’ life. This affects the choice of packaging, the way of positioning and the overall policy of the company. For example, small packs with small portions are ideal for those who often snack on the go and want a lot of energy quickly. Large packs of cookies are suitable for those who are used to sharing with family and eating at home. In order to have a clear picture of the lifestyle of consumers, it is necessary to conduct desk research on the market and take an interest in the target audience.
If you have realized that you still have a long way to go to enter the European market, do not complicate it! Feel free to contact KOLORO branding agency! We will analyze the market of any product for a European country and develop a package design!
Give us a call for a free consultation about our services!
