Organic Food
Data to May 2014
Place Picture
Here
© Kantar Worldpanel
The Organic Market is in growth of just under 2% recovering from
previous periods of decline
106,326
103,260
101,853
99,111
97,501
-2.9%
-1.4%
-4.3%
+1.7%
52 w/e 02 May 52 w/e 01 May 52 w/e 29 Apr 52 w/e 28 Apr 52 w/e 27 Apr
10
11
12
13
14
Value sales €000’s and YOY Growth
KWP data to 27th April 2014
2
Growth is driven through an increase in the number of packs bought per trip
More
baskets
More
shoppers
€
More
volume
Higher
price
Value up 1.7% worth €1,609k
-6,000
-4,000
-2,000
0
2,000
4,000
6,000
8,000
KWP data to 27th April 2014
Savoury Cooking +36.6%
Milk +27%
Eggs +19.4%
Fruit +12.7%
Gaining share
Biscuits +3.6%
Fresh Meat +2.3%
Losing share
Yoghurt +0.3%
Cereal -0.2%
Savoury Carbs -0.1%
Vegetable -10.9%
KWP data to 27th April 2014
Organic Veg and Yoghurt are the two largest sectors and
vital for Organic performance
Others
Value
Vegetable
13.3
14.2
14.5
Fruit
26.1
25.2
22.1
Fresh Meat
Yoghurt
9.4
7.9
7
6.9
8.7
6.9
Total Milk
Hens Eggs
22.4
24.4
24.1
Savoury Home
Cooking
3.6
3.1
3.9
2.2
3.5
4.4
4.4
3.7
2.3
3.6
4.3
4.8
3.3
2.7
4.9
4.2
4.7
3.3
2012
2013
2014
Savoury
Carbohydrts&Snacks
Breakfast Cereals
Biscuits
KWP data to 27th April 2014
More Organic food goes through smaller outlets than average
grocery however sales in the Main Mults make up 75% or €74m
of the €99 million Organic food Market
Total Grocery
Organic
2
Main Mults
5 5
Discounters
15
8
14
Total
Symbols
75
Other
Outlets
75
% Value share
KWP data to 27th April 2014
Lidl and Tesco and key for Organic food
Organic Index
Lidl
148
Tesco
125
Total SuperValu
104
Dunnes
71
Aldi
43
Total Symbols
41
Opportunities exist
in other retailers
%€ share of Organic vs. share of Total Food
KWP data to 27th April 2014
Opportunities with retailers to expand their share of
Organic Food
+€991k
+€998k
+€998k
+1ppt =
€998k
32.1
25.7
26
27
22.9
16.2
10.8
7.6
7.3
3.3
Tesco
SuperValu
Total Food
Dunnes
Aldi
Organic Food
Lidl
% Value share
KWP data to 27th April 2014
Organic food is growing ahead of the general market and posts a positive
performance for Tesco
Lidl
24.2
Aldi
5.9
Tesco
2.5
Total Organic Food
1.7
Total Food
0.6
Total SuperValu
Dunnes
-1.5
-6.5
Total Symbols -8.1
% Value YOY Growth
KWP data to 27th April 2014
Private label products drive sales in Tesco and Lidl, the two strongest retailers in
Organic
Branded
No Brand Name
Private Label
1,592
1,065
960
661
609
130
-26
166
-943
-1,179
Growing Sales
879
462
30
127
26
149
Aldi
Lidl
Losing Sales
-1,296
-287
Total
Tesco
SV
Dunnes
52w/e Organic Food branded vs PL value sales change YoY €000s
KWP data to 27th April 2014
10
Organic Food PL is still behind the average Grocery PL share
of 38% leaving room for growth through PL
45
40
=€16.9m
35
30
25
20
15
Organic Food Pl
12w Organic Food– PL value%
KWP data to 27th April 2014
11
Who Buys Organic? ( spend)
Pre-Family
Young Family
Middle Family
45+ Family
Older
Dependants
Empty Nesters
Retired
€20.7m
€5.1m
€11.3m
€7.7m
€18.1m
€17.3m
€18.7m
-3.3%
+2.3%
+1.7%
+3.9%
+9.9%
-24.8%
+6.9%
% Year on Year growth
12
KWP data to 27th April 2014
© Kantar Worldpanel
However almost 30% of spend from shoppers new to organic
this year are also from a younger family group, a positive for
growth of Organic food
18.2
19.2
4.6
5.9
5.8
8.5
15.1
17.6
19.5
14.9
18.3
7.5
12.5
29
11.3
11.1
5.2
9.1
20.9
14.4
Average Food Shopper
31.2
Average Organic Food shopper New shoppers to Organic Food
Pre-Family
Young Family
Middle Family
45+ Family
Older Dependents
Empty Nesters
% Spend
KWP data to 27th April 2014
Tapping into opportunities in families
€1m
Growing ‘Family’
Organic Food by
1ppt
14
KWP data to 27th April 2014
© Kantar Worldpanel
Spend from new shoppers this year is mainly from Vegetable and
Yoghurt so these are core products to have on shelf to attract
shoppers to Organic
1,331
1,211
728
462
219
197
183
176
176
169
165
Spend 000’s from new shoppers to Organic
136
122
120
Think about Organic
touch points on shelf
& Highlight the benefits
Organic occasions can drive up the overall value of the grocery trips
for retailers
€22.50
€42.50
Average Spend when Organic
products are included in the
shopping trip
Average Spend per
Grocery Occasion
18
© Kantar Worldpanel
Shoppers reacting to round prices, helping them to budget
Branded % value
Total
Organic
sold at round price
2014
24%
16%
2013
22%
14%
19
KWP data to 27th April 2014
© Kantar Worldpanel
Multi buy Promotions have helped encourage
consumption in berries
6.7
24.5
2010
16.4
18
19.6
16.4
11.4
10.6
9.8
9.6
2011
2012
2013
2014
Extra Free
Money off
Multi buy
Other offer
% Volume sold on deal - Berries
KWP data to 27th April 2014
© Kantar Worldpanel
Berries - Strong yearly growth for a consistent number of years
96,544
Value sales 000’s
109,762
109,161
2013
20142
98,976
85,743
76,803
71,845
59,046
2007
2008
2009
2010
2011
2012
KWP data to Jan 2014
© Kantar Worldpanel
SUMMARY
Families are
growing
Are there ways we
can expand our rage
to provide Organic
Varieties catering to
more shoppers
needs?
Brands are
strong but
Private label
provides
another
opportunity
Organics is
growing but still
small
PL under trades in
Organic, is it
possible for us to
link with Retailers
in providing PL?
Need to encourage
more shoppers to
buy Organic through
more in store activity
© Kantar Worldpanel
SUMMARY
The Main
Multiples
are Key
While we don’t
always associate
Organic with the
larger retailers, 75%
of Organic spend goes
through these
channels
Organic
shoppers are
valuable
shoppers
Don’t forget to remind
retailers of how valuable
these shoppers are, happy
to pay a higher price
leading to a higher overall
grocery spend for retailers
© Kantar Worldpanel