Organic boom in Sweden –
what are the drivers?
Helena Wistrand, KRAV
ProLuomo Organic Food Day, 1 Oct 2015
Nordic overview
Organic market data
Country
Market size
(M€, 2014)
Expected
growth 2015
Organic share of
total food 2014
Denmark
832
+9 %
8%
Finland
227
+2 %
1.7 %
Norway
232
+28 %
1.5 %
Sweden
1 750
+40 %
6%
Total
3 041
Denmark
• One of the world’s most mature organic markets
• Consumers interested in health, sustainability and origin of food
• Cooperation between farmers, processors, retail and government very good
• Organic seen as a solution at the political policy level, since mid 1990’s
• Organic labels (EU and national) are very well known and trusted
• Origin of food quality is important and supports organic indirectly
• Products in need: fruit, vegetables, meat
Norway
• Historically, organic has been struggling
• Protected market, origin very important
• EU- and national organic labels not very well known or trusted
• Strong increase 2014, but latest data suggest slower 2015
• Products in need: fruit, vegetables, berries, ready made meals, cereals,
spices, nuts, coffee, ”spread/filling/cold cut/”.
What’s going on in Sweden?
Share of Swedish organic market
ICA
COOP
Axfood
Discount
Alcohol monopoly
Martin&Servera
Menigo
Other
Understanding the consumer - LOHAS
LOHAS is more than average…
• City dwellers
• People holding a university degree
• Households with incomes above average
• Women
• Parents with small children, self empolyed and retired
Roughly 1/3 of consumers
Organic market in Sweden, MSEK
14000
5%
12000
4%
10000
8000
6000
4000
2000
0
2006
2007
2008
2009
2010
2011
2012
2013
Organic market in Sweden, MSEK
18000
6%
5%
4%
16000
14000
12000
10000
8000
6000
4000
2000
0
2006
2007
2008
2009
2010
2011
2012
2013
2014
Organic market in Sweden, MSEK
Estimate!
25000
8%
7%
6%
5%
20000
15000
10000
5000
0
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
Summary: drivers
• Major operators in healthy competition
• Food scandals during 2013
• Relatively safe atmosphere among consumers
• Good selection already in the shelves
• Increased concerns with environmental issues
• Campaigns by NGOs
What’s in a label?
The recipe for better food