Purpose The purpose of this paper is to investigate the relationship between consumers’ cultural values and their functional food perception. Design/methodology/approach The research is qualitative in nature and uses the grounded theory method. The data were collected through in-depth interviews with three ethnic groups, Anglo-Australian, Chinese and Indian ethnic groups in Australia. The constant comparative data analysis approach was used to analyse the interview text. Findings The results indicate that there is a relationship between consumers’ cultural values and their functional food perception. Functional food perception depends upon the consumers’ predisposition towards their culture, their motives for functional food consumption and the level of perseverance towards functional foods. Research limitations/implications The study includes only three ethnic groups and is qualitative in nature, which may limit its generalisability to the universe. The inclusion of more ethnic groups and additional sources of data could form directions for future research. Practical implications Functional food marketers can assess the kind of cultural values the ethnic groups in Australia uphold and capture those values in their marketing strategies. The cultural values in the framework could be used for the segmentation of functional food consumers. In a multicultural setting like Australia, segmentation of consumers based on the standard values would be more feasible and effective to target consumers spread across different ethnic groups but who uphold similar values. Originality/value The research has attempted to fill the gap in the existing literature about the relationship between culture and functional food perception. The latent variables in the theoretical framework proposed by the qualitative enquiry can be a good starting point for understanding the influence of cultural values on functional food perception and the development of a more comprehensive theoretical framework for functional food behaviour.

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PurposeThe purpose of the article is to develop an instrument for measuring the influence of consumers' cultural values on functional food perception.Design/methodology/approachThe study is quantitative in nature and builds on an earlier qualitative study that employed in-depth interviews, thematic analysis and constant comparative analysis to construct a survey instrument which initially had 53 items. The quantitative study involved an online survey that was conducted using this instrument, which resulted in 365 complete cases that included 173 Anglo-Australian, 102 Chinese and 90 Indian respondents living in Australia. The survey data were subjected to exploratory factor analysis using Principal axis factoring, with Promax rotation.FindingsThe research has validated that functional food perception is dependent upon consumers' cultural values. The results of the exploratory factor analysis provided a six-factor instrument with 32 items.Research limitations/implicationsOnly three ethnic groups were involved in this study and that is not entirely representative of Australia or other countries. The instrument, however, will allow researchers in the field of functional food to extend the research to other diverse communities.Practical implicationsThe instrument will further enable functional food producers and marketers to develop effective marketing strategies based on their knowledge of the influence of cultural values on functional food perception.Originality/valueThe instrument developed from this study, for measuring consumers' functional food perception based on cultural values, is the first of its kind.