According to a report from the Acosta Group, natural product sales continue to rise while interest and usage has increased across all age groups, particularly Gen Z and Millennial shoppers buying natural/organic products.
The study found these shoppers also tend to be more affluent, placing a higher emphasis on leading a healthy life, being eco-friendly and concerned for animal welfare, and trying new products.
“When we ask natural and organic shoppers of all ages the most important influence in their product choices, the top response is their focus on being healthier, including the avoidance of chemicals, pesticides and processed foods,” said Kathy Risch, SVP, Consumer Insights and Trends at Acosta Group.
“They place nearly equal importance on ingredients as they do on price, while conventional shoppers place more importance on price alone,” he added.
However, the study also found consumers of natural and organic products had difficulty explaining the difference between natural and organic, often responding that the two are “similar” or that they are “unsure.”
“This knowledge creates an exciting opportunity for brands and retailers to further educate both natural and organic and conventional shoppers,” said Risch.
For non-natural and organic shoppers, 73% list price as the primary reason they did not purchase natural and organic products, with 47% saying that conventional products are "more practical" and 44% expressing skepticism about the "hype" around the products.
Acosta Group’s Natural and Organic online survey was conducted with 816 primary household shoppers, ages 18-76, from Acosta’s proprietary shopper community. The survey was conducted from Oct. 26 through Nov. 4, 2022.