Selling for at least a 25 percent discount compared to the retailer's other organic offerings, the brand will provide shoppers with organic food options at the same price as its nationally branded non-organic items.
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"We know our customers are interested in purchasing organic products and, traditionally, those customers have had to pay more," said Jack Sinclair, executive vice president of grocery at Wal-Mart U.S. "We are changing that."
According to the Organic Trade Association, sales of organic food and beverages in the U.S. reached $31.5 billion in 2012—the latest data available. That includes a 10 percent on-year jump.
Although the category only makes up about 4.2 percent of food sales, a report by industry research firm IBISWorld said it is projected to make up over 5 percent of the domestic food market at the end of 2019. That's despite the fact that organic food prices are typically 10 to 40 percent higher than non-organic food.
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"Consumers are increasingly interested in making healthy choices, they're more aware of food labels, [and] more interested in fresh/organic foods," said Sherry Frey, vice president of the Nielsen Perishables Group.
The Wild Oats launch, which will begin its rollout at 2,000 of Wal-Mart stores this month, will initially include only pantry items such as pasta sauce and chicken broth. It will add about 100 items to the retailer's 1,600-item organic food offering, and will expand into the other 2,000 Wal-Mart stores that sell groceries in the coming year. It will also be offered on Walmart.com this summer.