Organic Explosion
Sales in the organic spice/seasoning/extract category grew a whopping 84.5% to $26.7 million in the supermarket channel during the 52 weeks ending Dec. 29, according to the Nielsen Co. Sales of conventional spices/seasonings/extracts, meanwhile, rose 1.7% to a much higher base of $1.9 billion.
Sales of USDA Certified Organic spices are gaining momentum at Straub's, a four-store specialty grocer that merchandises flavors ranging from those used every day and sold for around $4.99 to high-end specialties such as $24 truffle salt.
"We introduced organic spices about four years ago, and last year their sales doubled from the previous year," said the St. Louis-based retailer's grocery buyer, Roger McElroy. "We initially sold them at a higher price point, but we brought it down."
Priced comparably with conventional spices sold at Straub's, the retailer's strategy is designed to influence organic trial in higher-margin categories throughout the store. "I wanted to remove the barriers to organic purchases," said McElroy. "This adds an extra value."
Local restaurants' signature spices, such as the blend used on steaks at nearby Citizen Kane's Steak House, Oriental flavors like ginger, and South African blends bearing the Cape Herb label and featuring built-in grinders, are also faring well at Straub's.
"People like the idea of a fresh grind, because they get the aroma and the sense of a spice's potency before using it on their food," said McElroy. Sea salts are also garnering a good bit of attention there.
"Whether its a red or black sea salt used for presentation purposes, consumers are catching on because they've seen these in restaurants and on the Food Network," he said.
Straub's health-conscious shoppers are also reaching for spices like turmeric and cayenne pepper for their functional benefits. Turmeric is thought by some to help aid those suffering from Alzheimer's disease, cancer and liver disorders. Cayenne pepper is said to aid digestion.
"Cayenne pepper speeds the metabolism, and it's thought to have a cancer-reducing effect," said McElroy. "Some customers put a teaspoon of it in a glass of water and drink it."
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