1. Micro-business Labelling in Australia
Presented by: Michael Trigwell & Justin Lewis, Taverner Research
Date: 17 February 2016
Project reference: 4951
Presented by: Michael Trigwell, Taverner Research
Date: 08 February 2011

2. agenda Methodology Key objectives Who was surveyed
Marketing, promotion & distribution
Packaging used
Product labelling
Design expertise
DIY and DIFM feedback
Summary & conclusions

3. methodology
Phase 1: N=18 depth interviews conducted in July 2015 to inform the development of the questionnaire for Phase 2
Phase 2: N=135 online surveys completed
N=122 free find from online sources
N=13 through promotion on Avery’s Facebook page
Data collection between 12 November and 15 December
Screening criteria
Must own a product based micro-business (Current: N=44)
Planning to start a product based micro-business within the next 24 months (Planners: N=91)
The results of Phase 1 were mostly confirmed in Phase 2, therefore the findings from Phase 1 can also be read as being indicative of the attitudes and behaviours of Current micro- business owners
Group 1 – MUST meet ALL criteria below – will continue through survey
S1=1
S2=2
S3=1
S4=1-3
S5=4-5
S6=2-3
S7=1
Group 2 – MUST Meet 4 or 5 of the following criteria – will continue through survey

4. key objectives
Identify the key marketing, sales and promotional channels being used by micro-businesses
Understand the current packaging and labelling solutions being used by retail style micro-businesses
Identify the current challenges/barriers faced by micro-businesses in terms of packaging and labelling
Explore the interest and appeal of DIY and DIFM options
Determine the characteristics most likely to qualify a micro-business to need/want to utilise the Avery suite of products

5. Who Was Surveyed?

6. DEMOGRAPHICS & BUSINESS PROFILE
Age range
Current %
Planners
18-24 years 16 15
25-34 years 43 46
35-44 years 20
45-54 years 14
55-64 years 5 3
65+ years 1
Main Reason for Starting/Wanting to Start a Micro-business
Gender
Current %
Planners
Male 25 47
Female 75 53
Location Business is Based or Planned to be Based
Supplementary or Main Income
Q8S;Q7S;Q4S
For Q8S – used value in average column in Q (rounded to nearest integer)

7. SAMPLE SPECIFICATIONS – CURRENT BUSINESS OWNERS
Number of employees %
Only the respondent 84
2-5 14
6-10 2
More than 10
Number of items typically sold per month % 2
1-10 39
11-20 16
25-50 20
51+ 23
How long has the business been established %
Less than 1 year 11
1-2 years 21
3-5 years 10
6-10 years 2
More than 10 years
Mean number of items sold per month 49
Q8S;Q7S;Q4S
For Q8S – used value in average column in Q (rounded to nearest integer)

8. Marketing, Promotion & Distribution
Q8S

9. micro-businesses are engaged with online channels
Q13S Q45 – The question is asking different things (plans vs current practice – should not put the 2 on the same chart?)
micro-businesses are engaged with online channels

10. SALES CHANNEL USED OR PLANNING TO USE
89% online – current owners – 3.2 channels used per business
81% online – planning to own – 2.4 channels expected to be used
Q13S Q45 – The question is asking different things (plans vs current practice – should not put the 2 on the same chart?)

11. PROMOTIONAL CHANNELS USED OR PLANNING TO USE
93% online – current owners – 2.6 channels used per business
75% online – planning to own – 3.6 channels expected to be used
Q14S Q46

12. Q8S
Packaging
Used

13. 95% of current micro-business owners package their own product
Q13S Q45 – The question is asking different things (plans vs current practice – should not put the 2 on the same chart?)
of current micro-business owners package their own product

14. PACKAGING AND LABELLING: CURRENT MICRO BUSINESSES
Number of items typically sold monthly %
One to Four 55
Five or More 45
Q3;Q4;Q5;Q6

15. Product Labelling

16. 73% current
89% planning
Look and feel of the packaging and labelling is very important to…

17. WHY LOOK/FEEL OF LABELLING & PACKAGING CONSIDERED VERY IMPORTANT
“Because the final product represents your professionalism and quality”
“It makes a more professional impression on the buyer”
“Professional looks make or break a product”
“Brings more sales if the product stands out”
“Beautiful packaging helps sell the product”
Q31
“People buy with their eyes”
“People judge products based on looks”
“It’s the impression it creates that matters”

18. WHY LOOK/FEEL OF LABELLING & PACKAGING NOT CONSIDERED IMPORTANT
“Product efficacy is of primary importance”
“My product sells itself before it is packaged… that doesn’t add anything to my customers”
“The quality of the products will determine success”
“Labels are often passed by, it’s the product that matters”
“The item sells regardless of the labelling”
Q31

19. LABELLING APPROACHES CONSIDERED
Planners more geared towards outsourcing
Q8;Q7

20. 68%
of current micro-business owners use labels or tags

21. METHODS OF LABELLING USED
Current micro-business owners started out using a full DIY solution, however a small proportion have graduated away from this approach.
Those who have changed how they label their products (n=7) do so because they now had the financial means or they wanted a more professional or polished look. -7
Q9; Q40
Q10,Q10B,Q11 have the same base n=30 (put onto same chart)
Unprompted – Current Use
n=5 I make them myself
n=4 Vistaprint
n=2 Officeworks
n=1 Avery from Officeworks

22. 25%
of current micro-business owners said they had ever used an Avery solution to label their products

23. Product name or description Business contact details
Brand/logo
Product name or description
Business contact details
My labels must have…
Q14 N=30/Q41 n=91
Intervals from Q leaves certain numbers out – perhaps change to adjacent intervals (e.g., 1-10,11-50)?

24. Number of labels printed/ pay to have printed per month
150+
Mean number of labels printed per month amongst those who use labels
Number of labels printed/ pay to have printed per month %
1-10 30
11-50 23
51-100 17
101+ 27
Q14a N=44
Intervals from Q leaves certain numbers out – perhaps change to adjacent intervals (e.g., 1-10,11-50)?

25. Design Expertise

26. CHALLENGES TO PACKAGING AND LABELLING THE PRODUCT
Affordability and professional look and feel are the main challenges faced by micro-business owners and those planning a micro-business.
Q15;Q42

27. ASSISTANCE WITH LABEL DESIGN
Planners are more likely to expect they’ll get assistance with their labelling, while the reality according to those who run micro-businesses is that half of them did it themselves
Q16;Q43

28. REASONS FOR SEEKING ASSISTANCE WITH LABEL DESIGN
Affordability and professional look and feel are the main challenges faced by micro-business owners and those planning a micro-business.
Q17;Q44

29. DIY & DIFM
Appeal

30. INTEREST, APPEAL, ADVANTAGES AND DRAWBACKS IN DIY LABEL SOLUTIONS
Drawbacks to Using DIY Labelling
Interest in DIY Printing
Advantages to DIY Labelling
Appeal of DIY Printing
Q18;Q19;Q21;Q22

31. INTEREST, APPEAL, ADVANTAGES AND DRAWBACKS IN DIFM OPTION
Drawbacks to Using DIY Design but Paying for Printing
Interest in DIY Design but Paying for Printing
Advantages to DIY Design but Paying for Printing
Appeal of DIY Design but Paying for Printing
Q23;Q24;Q26;Q27

32. Other
Information

33. PERCEIVED BARRIERS TO BUSINESS SUCCESS
Time, competition and marketing are the biggest barriers current micro-business owners face
Q28

34. PERCEIVED SUCCESS OF BUSINESS: CURRENT MICRO-BUSINESSES
Despite these challenges, many micro-businesses are reported being successful.
Q29
N = 44

35. FUTURE GOALS OF CURRENT MICRO-BUSINESS OWNERS
9 out of 10 current micro-business have plans and goals to grow their business
Q5S
Base n=44

36. NETWORKS OF INFLUENCE
Current owners are more likely to have relied on their own experience, while those planning a micro-business expect more help from family/friends and others already operating businesses
Q32

37. EQUIPMENT OWNED
While the majority of current micro-business owners and those planning to start a business have the equipment to DIY label their products, there’s still 1 out of 10 who do not
Q32

38. Summary & Conclusions

39. Planners have Different Expectations
The majority of those planning on starting a micro-business had quite different expectations than those who are already running a business. These unrealistic views could either lead to them not starting their business or provide an opportunity for Avery to work with this group to ready them for the future.
Having a Product to Graduate to Is Important
As expected current micro-business owners have indicated either graduating away from a DIY labelling approach, or have indicated that time is something they do not have a lot of. To avoid losing those who adopt a DIY solution, Avery should consider how they can provide a more integrated solution where labels and packaging are integrated. This could be done either by extending into providing pre-labelled packaging for micro-business owners or partnering with those who already provide packaging.
A Professional Look Is Important
While the DIY approach provides benefits, to appeal to this target market it has to come across as being professional as well. DIY is fine, so long as it doesn’t look DIY. The labelling of products assists in the selling of the product according to most.

40. Presented by Michael Trigwell & Justin Lewis
Taverner Research 17 February 2016
* All image rights owned by Shutterstock
Presented by: Michael Trigwell, Taverner Research
Date: 08 February 2011