Organic Beverages in Canada

PROSPECTS

Organic fruit/herbal tea the most dynamic category

Within organic beverages, organic fruit/herbal tea is the most dynamic category, driving sales of organic tea over the review period. Organic products are important in fruit/herbal tea for a number of reasons.

Organic 100% juice dominates organic fruit/vegetable juice

While a range of health and wellness attributes, such as functionality, are popular across juice categories, organic juice is dominated by 100% varieties. The main factor contributing to the popularity of organic 100% juice is the major presence of fruits and vegetables, which are ingredients consumers are likely to want in organic formats.

Organic offerings are becoming more accessible to consumers

Distributors and retailers are expanding their organic product portfolios, thus greatly improving the accessibility and affordability for the growing consumer base. The availability of organic products, including organic beverages, expanded over the review period, with these products increasingly available in hypermarkets and discounters.

COMPETITIVE LANDSCAPE

Kicking Horse Coffee Co Ltd maintains a strong position in organic coffee

Kicking Horse Coffee continues to lead organic beverages. Following its acquisition by Luigi Lavazza in 2017, the company has been running marketing campaigns to help it remain ahead of the competition.

Competition is intensifying in organic tea

While organic tea offerings have been the main reason for loose leaf tea performing well in specialist, direct selling and e-commerce retailing channels in Canada in recent years, conventional channels such as supermarkets and discounters are also starting to experience a more substantial impact from the trend. Major brands available in these kinds of modern grocery retailers, such as Celestial Seasonings Teahouse from Hain Celestial Canada, have been focused on organic offerings.

Organic claims are growing in number

The growing popularity of organic products and organic certification has gradually spread to categories that were previously unaffected. This is due to the need to cater to consumers who are very health conscious and are looking for assurance.

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