One in five UK shoppers stay loyal to organic says IGD study
The organic market is complex and media reports of dramatically falling sales are too simplistic. Undoubtedly there is a significant downturn but this varies with product and region. Some companies are still reporting increases in sales, whilst others are maintaining they are holding there own. A survey conducted by leading industry analyst IGD in August has revealed that an impressive number of UK consumers are remaining loyal to organic.
The media delights in bad news stories and too often focus on only part of the story; complexity, it seems, is too hard to deal with. As far as the organic market is concerned, all the media reports are the TNS figures for supermarket sales. Undeniably these are showing that there is a significant downturn in organic sales. But this varies with product and region. Some companies are still reporting increases in sales, whilst others are maintaining that they are holding there own.
Sales of organic dairy products are still increasing; organic brands like Green and Blacks, Organix and Rocks Organic are reporting growth; and despite sensationalist media stories even vegetable sales have some bright areas. A notable piece of good news has just come from a survey conducted by leading industry analyst IGD in August. This found that nearly one in five (19%) of all UK shoppers are maintaining spend on organic food despite the recession. A further 9% said they will be buying more organic food in the future. This is significant because it provides evidence of the resilience and loyalty of long term organic shoppers and an indication that buying organic is now something that is a permanent part of the UK’s shopping pattern.
Several commentators have been critical of the organic sector’s perceived failure to “get its message across”. There is no doubt that producing marketing messages for organic food is more challenging than single issue branding. Organic farming delivers benefits in many areas - environment, animal welfare, health, taste, employment, rural regeneration - because the nature of the farming system links all of these together. This is the essence of organic farming and sets it apart. However, as this survey indicates, once consumers grasp this they stay remarkably loyal to organic food and the farmers that produce it.
There are fears that the trend towards home garden and allotment growing will depress organic sales. But it might turn out to be a boost because as people become more knowledgeable about the links between soil, growing methods, taste and health they may well not only want to grow more but also to buy more. With this in mind promotion campaigns should be about education as well as marketing.
Organic Buyers Resilient In Recession
Category: Retail & Direct SalesAdded: 24th September 2009
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