Executive Briefings

Sales of Organic Foods Reportedly Top $1Bn a Year at Kroger

Organic foods have long carried a price premium along with a certain snob appeal or caricature, depending on your view: Fancy eats for affluent folks, not the hungry and thrifty masses. So much for that stereotype. Organic products sold under Kroger’s store brand are about to top $1bn in annual sales.

The grocery giant expanded its Simple Truth natural and organic foods line nationwide two years ago and has seen consistent sales growth. The company touts the brand as being “Free From 101” artificial ingredients and preservatives. Kroger says it has more than 35,000 products that are organic or natural, with about one-sixth of those added in the past year. (Natural foods are prepared with minimal processing and are not considered organic.)

“The is one area where the customer has clearly said that we’re interested in,” Kroger president Michael Ellis said. “We’re really just answering the customer’s call for more and better.”

The steady flow of new organic products and companies has led to lower prices across a range of organic categories, such as cereals, breads and dairy product.

Read Full Article

The grocery giant expanded its Simple Truth natural and organic foods line nationwide two years ago and has seen consistent sales growth. The company touts the brand as being “Free From 101” artificial ingredients and preservatives. Kroger says it has more than 35,000 products that are organic or natural, with about one-sixth of those added in the past year. (Natural foods are prepared with minimal processing and are not considered organic.)

“The is one area where the customer has clearly said that we’re interested in,” Kroger president Michael Ellis said. “We’re really just answering the customer’s call for more and better.”

The steady flow of new organic products and companies has led to lower prices across a range of organic categories, such as cereals, breads and dairy product.

Read Full Article