Millennial trust in organic seal helps drive up the segment’s sales

21-Sep-2016 - Last updated on 22-Sep-2016 at 13:22 GMT

Source: iStock

Sales of organic food continues to rise at a breakneck pace compared to the overall market, thanks in part to more Millennials regularly stocking their shopping carts with it, according to new survey data from the Organic Trade Association.

OTA’s US Families’ Organic Attributes and Beliefs 2016 tracking study of more than 1,800 US households with children found 52% of Millennials buy organic food, which is far more than the 35% of Generation X parents and 14% of Baby Boomers who also do so.

The survey suggests that a major reason that more Millennials buy organic than other generations is that they are more familiar with organic products and the label – a logical conclusion given that they are the first generation to grow up eating organic and knowing about the certification.

Indeed, the survey, which was conducted online in late February and early March with help from KIWI Magazine, found 77% of Millennials said they are either “well informed” or “know quite a bit” about organic.

Likewise, 54% of Millennials said they are confident in the integrity of the organic label and 60% said they have a “strong connection” to it, which is higher than any other generation, according to the survey.

Beyond their advanced understanding of organic, 40% of Millennials said they buy it as a “key eco-conscious habit,” which is more than the 32% of Generation X and 28% of Baby Boomers who said the same, according to OTA.

Shoppers’ trust in, familiarity with and increasing desire for organic helped push sales of it to a new high of $43.3 billion in 2015, according to OTA. This is up a “robust” 11% from last year’s also record level – allowing the segment to capture 5% of the overall US market food share.

During the same time period, the overall food market grew only 3% -- a difference that underscores shifting consumer preferences.