Seeking a great economic headline? I don’t have just one; I have a few from Natural Foods Merchandiser magazine:
Natural stays on a perennial path to growth (with natural channel business posting 9 percent growth last year).
Organic growth rebounds (as the organic retail market hits the $30 billion mark).
Supplement sales get boost from Dr. Oz and diet trends (with sales in the natural channel up 7 percent).
- Health and beauty aisles see gains (growing 8 percent).
The annual Natural Foods Merchandiser Market Overview survey has found that the natural and organic marketplace has weathered the economic storms of recent years well. An increasing conscious consumers market, eating at home (even organically) to save money, addressing food allergies, improving products and many other reasons add up to a growing industry.
Some interesting facts:
Average net store sales increased 7.4 percent last year, to $1.6 million per store.
Almost 70 percent of retailers reported an increase in natural and organic product sales from 2010.
Gross profit margins for natural channel retailers were down slightly: 30.5 percent compared with 31 percent in 2010.
- Sales growth for food products in the natural retail channel (nearly 10 percent) was below the 13 percent growth experienced in the mass channel. However, supplement sales growth was stronger in the natural channel—7 percent vs. 6 percent.
Readers look forward to the annual Market Overview edition each year. Subscribers should have the magazine by now. If you read online, you can download a special Market Overview PDF edition that contains the reports and charts.
These highlights look broadly at the industry, but within the numbers you will find detailed findings by channel and category.
Dive into the numbers to see how your store compares, and let us know what you found interesting in the comments.