It’s OK – It’s Organic! Hedonic Analysis Of Snack Bars
Xiaojin Wang, Kathryn Boys, and Neal H. Hooker
Snacking has increased steadily over time, and currently accounts for roughly
a quarter of daily calories for children and adults. Within this, more and more consumers are
choosing organic snacks; 27 percent of consumers eat more organic and organiclabeled
snacks than a year ago.
This growing demand has led to increased sales and new product
introductions in this category. In 2015 alone, snack bar sales in the U.S.
topped $6.8 billion. This sector is among the fastest-growing within the
organic food market and currently has an annual growth rate of 14 percent which
is second only to the meat/fish/poultry category. Moreover, the
category of organic snack foods has been a leader in new product
introductions among all food and beverage products. In 2015, 509 new
snacks containing organic ingredients were launched in the U.S. market,
representing about 21 percent of snack food introductions and 3 percent of all new food
and beverage product introductions.
Given its economic importance, level of consumption, and extent of
innovation, the snack food category offers a particularly useful setting in which
to examine the relative value consumers place on a product’s organic content
relative to other product attributes. The objective of this study is to identify
and examine the price premiums applied to snacks with different levels of
organic content to understand the value consumers place on these and other
Export Opportunities And Import Competition: Improving The Understanding Of International Markets For U.S. Organic Farm And Processed Products
Kathryn A. Boys and Neal H. Hooker
The market for organic products is both large and expanding. In 2012 U.S. organic product sales exceeded $31.4 billion reflecting a 10.2% annual increase (OTA, 2013). In examining trends over the past five years, growth in organic food sales has significantly outpaced those of comparable conventional food products (OTA, 2013). As domestic organic policy and international trading relationships continue to evolve, markets are becoming more accessible to U.S. organic farmers and processors. At the same time, due to ongoing efforts to establish organic equivalency agreements with trading partners, foreign firms are increasingly able to access the U.S. market. As a result, both the variety and quantity of organic food and ingredients available to U.S. processors and consumers is expanding. The types and volumes of internationally traded organic products, therefore, have clear and important quantity, price and other market implications for U.S. organic farmers, ingredient manufacturers, and food processors.
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