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The Organic Food Market Is Becoming A Global Market

Decent Essays

According to the Organic Trade Association (OTA), Americans purchased $35.9 billion of organic food in 2014, which is 4% of total food sales in the states (Nierenberg & Nink, 2015). It is a good sign that more and more people realize the importance of having organic food in their life and this planet, and the organic food market is becoming an emerging trend in the states. According to the chart (Greene, 2014) below, the organic food sales had grown almost 200 percent in the past one decade, and fruit and vegetables are on the top of the selling categories.

(Picture retrieved from http://www.ers.usda.gov)

The OTA estimated that 93 percent of organic sales occurred through supermarkets and chains and the rest through farmers’ markets …show more content…

The key reason of why Whole Foods Market is leading the organic food market is that it sets the standards of excellence in food producing and provides a transparent food information, in order to gain loyal customers.

Marketing Strategy

Growth Strategy

Whole Foods Market is hoping to expand its brand through opening more stores and making acquisitions with small food chains, and the store area range is from 20,000 to 75,000 square feet (Whole Foods Market, 2015). According to the chart below, Whole Foods Market opened new stores each year, and the growth speed stays high in recent years. (Source from Whole Foods Market Annual Report 2015)

Pricing Strategy

Whole Foods Market launched its second growth vehicle, 365 by Whole Foods Market, for expanding the brand in 2015. While Whole Foods Market is selling its premium food at its main stores, 365 chain is keeping prices lower by providing cheaper food and locating in some small towns (Kowitt, 2015). This strategy helps Whole Foods Market compete in the organic market without watering down its high-end brand.

Meet Customers’ Needs

Whole Foods Market knows that only proving high-quality foods cannot meet all customers’ needs, so it invests in developing its online and digital platforms in order to improve its customer experience. Whole Foods Market will adopt a new unified point-of-sale system that

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