A few years ago, everyone was talking about organic.
This year, sales are down once again. Stephanie Castanha, Specialist FMCG Sales
Consultant at Hays, shares her thoughts on what caused this shift in the
market. An expert in all aspects of FMCG sales, she would be happy to hear from
anyone interested in this post by email (Stephanie.Castanha@hays.com) or on
LinkedIn: uk.linkedin.com/pub/stephanie-castanha/56/663/b74.
It’s vitally important that a wholesale
professional has an in-depth knowledge of industry trends, so that they can
give the best advice to their clients. One trend that is particularly clear at the
moment is the decrease in demand for organic food. Sales were down 5.9% in 2010
and then a further 3.7% in 2011 and this looks likely to continue. So what happened to the organic label?
Cost was
clearly one factor. Organic sales fell significantly in late 2008, when the
recession first hit. However, this does not fully answer the question, as we
have seen ups as well as downs in the economy in the last few years, while
organic sales have consistently fallen.
Scientific
research has not helped organic sales. Over half of consumers who bought
organic produce said they did so because they believed it was healthier for
them and their families. But multiple reports have since shown that there are
no noticeable health benefits to eating organic food, which is likely to have
led to the decline of organic produce.
But while
customers have fallen out of love with organic food, there is still a desire to
buy ethically. The new trend is for sustainable, ethical food. This can be seen
across a number of farmers’ markets, farm shops, restaurants and cafes.
Companies that are still trying to sell on an organic platform should think
about re-aligning to this new mentality.
Do you know
what your customers want?
Hays Sales
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