The organic foods trend is more than just that. It is transforming into a way of life and altering current and future brands. So where did this whole organic obsession come from?
Believe it or not, organic products have been around for decades. This allows us to have some solid research in the industry about trends, successes, consumer insights, and financial information.
The organic industry keeps growing to keep up with consumer demands. More than $43 billion was spent on organic products in the US in 2015 and is expected to grow by 10% annually1.
Like all industries, food and beverage experiences shifts in consumer trends and responds accordingly. In 2015, Global Organic Textile Standard (GOTS) certified facilities increased by 18%. Also, 170,000 acres of farmland in the US are currently transitioning to organic production processes.
So why all the buzz more recently?
Millennials surpassed Baby Boomers as the largest generation earlier this year. This means Americans born between 1980 and 2000 continue to take over the workforce and spending. Millennials as a whole are focused on health and wellness. They are exercising more and eating smarter. They are willing to spend money on brands that support this lifestyle.
Millennial parents are also the biggest purchasers of organic products. They are not hippies, but more mainstream and modern with a balanced lifestyle2.
Is organic the same as natural?
Not to be confused, organic foods and products are cousins to “natural” items. While they have similar connotations, organic is very different from natural. Organic production has strict rules and guidelines, which result in organic products being more expensive to create, maintain, and market.
So how do you take your organic brand to market? There are lots of options. Consider Kraft Mac and Cheese who created their own organic version. They released their new product that replaced artificial dyes with natural ingredients and sold more than 50 million boxes without customers noticing3.
Some brands buy an already existing organic brand. Take Applegate Farms for instance. Hormel purchased them in order to diversify their offerings. Hormel knew Applegate Farms was a brand that already had loyal customers, and consumer trust making them a great company to merge with4.
Here at Catalyst we have a long history of helping food and beverage brands reach their targeted audiences through smart strategic planning, beautiful creative work, digital campaigns, in-store POS, and out-of-store marketing tactics. Let us help you with your brand!
1 Progressive Grocer, August 2016
2 Organic Trend Association, 2016
3 Kraft Heinz Second Quarter 2016 Report, August 2016
4 NYTimes, July 2015
