Canadian Retailer - Summer 2014 - 26

HEALTH FOOD & ORGANICS

EDUCATION LEADING TO

ORGANIC
GROWTH
As more consumers seek healthier food and supplement choices
for their families, the natural health product market is booming.
And, despite the market nearing saturation, engagement and
superior service is what differentiates the best from the rest
BY ANDREW HIND
A GENERATION ago, natural health food stores "The natural food market in North America has
were the realm of the long-haired hippy, people
been growing rapidly over the last 25 years and
with what might be labeled alternative lifestyles and unorthodox views on social values. shows no sign of slowing. But it's also changed a
Back then, stores that were selling organic great deal as well. The consumer expects to see
health products were few and far between, were
a greater range of product than ever before, and
essentially mom-and-pop operations, and represented a miniscule fraction of the Canadian re- empowered by the media-shows like Dr. Oz, for
tail landscape.
example-they now ask questions. They've done
Fast forward to today. Much has changed.
their research and may need more answers."
Natural health products-food, as well as beauty
- MISCHA KAPLAN
supplies, vitamins and supplements, minerals,
Rainbow Foods
herbal remedies, homeopathic medicines, and
traditional Chinese medicines-have gone mainstream. Now, A healthy and growing market
people of all walks of life see value in natural, healthy prodMischa Kaplan has watched the industry
ucts, stores selling these lines have grown in both size and go mainstream from a front-row seat. His
frequency, and the industry has grown many hundred-fold parents opened Rainbow Foods in Ottawa in
in terms of revenue generated. Indeed, organics can even be 1978 as an 800 square-foot store. Today, the
found in major supermarkets.
store has expanded to 8,000 square-feet and a
Some numbers bear out the growing significance of the second location, focusing mostly on vitamins
natural health product (NHP) industry. Every year, Canadian and supplements, just opened.
consumers purchase $3 billion worth of organic food, with
"We've experienced a 10 per cent sales
a per capita demand highest in British Columbia. There are growth per year every year over the last decan estimated 10,650 establishments directly involved with ade. There's been a similar growth in the marthe sale of natural and organic health products, employing ket overall," says Kaplan, who now runs the
34,000 workers and supporting 3,900 providers working family business. "The natural food market in
some 695,000 hectares of land. It's estimated that 45 per cent North America has been growing rapidly over
of Canadians purchase some organic products every year, in- the last 25 years and shows no sign of slowing.
cluding almost 18,000 nutritional supplements that have ex- But it's also changed a great deal as well. The
ploded onto store shelves the nation over.
consumer expects to see a greater range of

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Canadian Retailer - Summer 2014

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