When organic body care becomes more expensive, you’ll pay more
Organic body care is becoming more expensive and expensive for consumers, according to research published on Wednesday.
The research, conducted by health consultancy firm Nielsen Health, shows that organic body wear is increasingly being priced more than similar products in other sectors such as cosmetics and personal care.
Nielsen says the average price of organic bodywear has increased by 8.8 per cent over the last year.
The company’s research, which is based on more than 20,000 consumer surveys across the US, Europe, and Japan, found that organic brands are selling more products, including more health-related products, at a higher price.
In addition, more organic brands were selling less in the last six months.
In 2017, organic products accounted for around 15 per cent of all retail sales, Nielsen said.
That has dropped to about 11 per cent in 2018, and to 5.7 per cent for 2019.
But consumers are increasingly switching to non-organic brands, with the percentage of organic products sold dropping from around 25 per cent to 17 per cent.
And while the rise in the price of non- organic products has slowed in 2018 compared to 2017, the proportion of products sold that were organic rose.
In 2018, organic goods sold for about 40 per cent more than non- Organic goods, Nielsen found.
“The impact of the increase in the cost of organic goods is having a profound impact on how people are choosing to purchase organic goods,” Nielsen said in a statement.
“It is also having a significant impact on the demand for organic goods.”
The price of natural products in 2018 also jumped by 10 per cent compared to the previous year, with more than 80 per cent sold in the US and Japan.
Natural products also accounted for more than a third of all the organic goods in the UK in 2018.
In the US in 2017, sales of organic food and clothing accounted for almost 40 per inorganic products.
That dropped to under 20 per in 2018 and remained around 20 per organic products in 2019.
“We believe that this rise in prices for organic products reflects the shift in consumer purchasing patterns to non‑organic brands,” Nielsen added.
“This change is driven by a growing desire to avoid potentially high price tags and the increasing perception of being more cost-conscious.”
The findings suggest that consumers are less likely to purchase non-natural products because they have more financial resources, Nielsen noted.
It also suggests that consumers may be switching from non-organics to organic products, if the cost is too high, it is unlikely that they will buy organic.
“These data show that consumers increasingly choose organic when prices are more affordable,” Nielsen concluded.