The Organic Trade Board (OTB) has unveiled a plan to grow the organics industry by £1 billion by 2015, while dispelling the uncertainty surrounding the organic brand and educating consumers on what organic really means.
OTB consultant Finn Cottle delivered the draft OTB business plan to around 100 members and guests at the OTB Go for Growth meeting in London on Tuesday, after four months of research into how the industry can move forward out of the recession.
The five-year plan identifies the challenges, issues and obstacles to growth that the organic sector faces and what it needs to do to succeed.
Cottle said: “It is a three-point plan and has three simple parts. It is an industry plan to be adopted by the industry and includes retail engagement, consumer marketing and building on brand capacity.”
Cottle went on to say that the OTB had already started on the first point of the plan, holding two meetings with the “senior levels” of top retailers, and with another two set up. “If there is a new person coming into Tesco, for example, we will prep them with an induction pack and make sure they have no misconceptions,” she added. “We need common sense commercials and the price shouldn’t be any greater than the premium brand of that product.”
Cottle made it clear that consumer knowledge was low and the meeting generally agreed that an “organic bubble” existed, mainly in London, where people believe that everyone else understands the concept. The OTB is supporting an EU bid to raise money for a consumer-facing PR campaign and asked members to contribute to the £250,000 funding needed. If the EU bid succeeds, that funding will be doubled by EU money.
Cottle said: “Collectively, across the whole industry and from looking at Soil Association reports, I am valuing the organic industry at £2 billion. Obviously it is down slightly this year and we do not know by how much yet. But from 2000 to 2009, the market was buoyant and to get to 2014 and get £1bn more is only a 10 per cent growth from where we started. The head room that exists has to be met with confidence and we have to all work together.”
