Organic food sales are soaring throughout the world. In the US alone, organic food sales rose by 11 percent in the year 2014. The awareness among the consumers is on the rise about the pesticides and harmful chemical substances used in the food industry which has given an exponential growth to the organic food industry. Some of the categories in which organic foods are doing particularly well are the vegetables and fruits, dairy and the baby foods. Organic fruits and vegetables take the lead with $13 billion in sales, an increase of 12 percent in sales in 2014 than the previous year. Organic dairy category had sales of $ 5.46 billion in 2014 showing an increase of 11 percent than the previous year. Such figures speak volumes about the concern consumers have about using safe food products.
Another food item which is of great concern especially for parents is the meat. Millennial parents are particularly concerned about what they are feeding their children and have a different mindset as compared to their traditional family. Millennial parents want to protect their children from anti-biotic and other chemicals and provide them food which is safe. This has led to companies like Foster Farms' introducing poultry lines which are organic and also at the same time anti-biotic free. In addition to that, affluent new parents are leading the way for organic baby food. The sales of organic baby food are on the rise as parents are sticking to natural and better tasting options for their babies.
Price and availability of organic food products acts as barriers for customers at times as the supply of organic ingredients is tight but customers are willing to make the sacrifice for organic food and pay a premium.
For brands, keeping a close eye on customers’ demands and needs is important in order to innovate in the organic food industry and to stay ahead of the competition.
Author: Farah Jawad