Retail sales of grocery products making ethical claim reach $33 billion
NEW YORK: “Conscientious Consumerism,” the trend towards products with an ethical bent, has taken root across America as consumers increasingly preach their social concerns through their pocketbooks. Sales of organic, hormone-free, eco-friendly, locally- grown, cruelty-free, and other ethical products have skyrocketed according to a new report from market research firm Packaged Facts.
Packaged Facts estimates that U.S. retail sales of grocery products making some form of ethical claim reached nearly $33 billion in 2006, an increase of more than 17% from 2005. The report projects that sales of products containing ethical elements will maintain double-digit growth over the next five years, surpassing $57 billion in 2011.
It is not surprising that food and beverages dominate retail sales of ethical products with an 82% market share. With organics becoming popular in all retail channels, the awareness of ethical edibles has skyrocketed, making hormone-free, pesticide-free, fair-trade and other ethically-labeled foods and beverages widely popular with consumers from all walks of life.
Major corporations have taken note of ethical products’ broad appeal. Manufacturers are creating entirely new “ethical” product lines and corporations are going “green” in an effort to build consumer confidence and get of piece of the ethical pie.
“The days of the granola head at a natural food store are gone. Mass- market channels are quickly catching up to the stage set by natural wonders such as Whole Foods and Trader Joes, a trend which should increase substantially with the entrance of Wal-Mart into the ethical marketplace,” notes Don Montuori, the publisher of Packaged Facts.
Ethical Consumers and Corporate Responsibility provides detailed analyses of the hottest and emerging ethical trends, with comprehensive market outlooks, profiles of key industry players, and the impact of Big Business on the market. For more information visit www.PackagedFacts.com.
