Ahead of its Sustainable Foods Summit and Sustainable Cosmetics Summit, Organic Monitor research has found the most successful green brands to be those who have extended distribution into the mainstream.
Despite considerable consumer interest, the majority of sustainable products have low market share, says the company, giving as an example the fact that natural products represent just 3% of personal care product sales in Europe.
“A major factor behind the low market share is most green brands are focusing on specialist outlets,” Organic Monitor explains. “Few natural personal care products are in mass-market retailers, whereas the channel generates over a third of cosmetic and toiletry sales in the US. Similarly, about 40% of organic food sales in Europe are still from organic food shops and health food retailers. Distribution is even more limited for ecological household cleaning products and organic clothing.”
Citing Green & Black’s and Aveda as two examples of green brands successfully reaching out to mainstream consumers, Organic Monitor says that more green brands need to ‘think outside’ specialist retail channels if they want to broaden their appeal.