Aug 3, 2016
Organic Product Sales Hit Record Levels By Tim Hodson

Did you know that last year was a record year for sales of organic products in the United States?

According to the Organic Trade Association’s 2016 Organic Industry Survey, total organic product sales in 2015 hit $43.3 billion, an increase of 11 percent from the previous year’s record level sales — sales increased $4.2 billion!

The Organic Trade Association (OTA) reports that nearly 5 percent of all food sold in the United States is organic.

Organic produce continued to be the largest of all the organic categories with sales of $14.4 billion, up 10.6 percent. Produce continues to be a gateway to organic products for consumers. It’s easy for shoppers to make the connection between growing practices used in the field or greenhouse and the fresh fruit or vegetables they bite into. Almost 13 percent of the produce sold in this country is now organic.

The OTA says 2015 was a year of significant growth for the industry despite the continued struggle to meet the strong consumer demand for organic products. Supply issues continue to challenge the industry, as organic production in the United States lagged behind consumption. In response, the organic industry worked together to address the supply challenge, to improve and develop infrastructure, and to advocate for policy to advance the sector.

“The industry joined in collaborative ways to invest in infrastructure and education, and individual companies invested in their own supply chains to ensure a dependable stream of organic products for the consumer. Despite all the challenges, the organic industry saw its largest dollar growth ever,” said Laura Batcha, OTA’s CEO and executive director.

Are you interested in growing organic products? If you are, be sure to check out Jon-Paul Williams’ article, “Becoming Certified Organic — It’s Not as Hard as You Think” that appeared in the June issue of GPN.

— Tim

 

Whole Foods Expands Loyalty Program

Whole Foods could launch its nationwide loyalty program next year. The grocer has been testing the program in select markets for the last two years and recently expanded to 12 new stores in the Dallas area. The Whole Foods Market Rewards program is tied to the company’s smartphone app that offers customers digital coupons and other special discounts. Loyalty members receive additional awards based on how much they spend at the store.

Lowe’s Launches News Social Media Video Project

Lowe’s continues to invest in video to help educate consumers and attract new ones. Two years ago, the home improvement retailer introduced #Fixin6 — six-second looping Vine videos. Now the company is testing Facebook’s 360-degree photo clips to create innovative instructional videos for home improvement projects. The Made in a Minute videos will be tested throughout the month of August on the Lowe’s Facebook page.

The Beauty of Ugly Produce

In an effort to reduce food waste, last month Wal-Mart announced it would begin selling “ugly” produce at some of its stores in Florida. The retailer plans to start selling less-than-perfect apples under the “I’m Perfect” label. The apples will be sold in 2- and 5-pound bags at 300 Wal-Mart stores in Florida. Earlier this year the company began selling “Spuglies” (a brand of weather-damaged potatoes) in some of its Texas stores.


Tim Hodson




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