Minneapolis-based Piper Jaffray & Co. recently released its 26th semi-annual “Taking Stock With Teens” consumer research project . The study found that 39% of teens reported they ate organic food compared with 33% two years ago.
“This trend is likely to support ongoing demand for natural and organic grocery, as teens age into young adults and establish independent households,” according to the report.
According to Piper Jaffray research, 35% of teens said they were eating more organic food than a year ago. The survey did not break down purchases by type of food.
The survey may support conclusions of earlier research that point to greater interest in natural and organic food by younger consumers compared to the Baby Boomer generation.
In 2012, a study by global investment bank Jefferies and AlixPartners, a business advisory firm, said 58% of Millennials surveyed said they were willing to pay more for natural/organic products. That compares with only 43% of Baby Boomers who said they were willing to pay more for natural organic products, according to the study.
The shifting demographics of the U.S. population demand retailers’ attention, researchers say.
The study by Jefferies/AlixPartners, called “Trouble in Aisle 5,” said that Millennials over the age of 25 will make up roughly 19% of the U.S. population by 2020, up from just over 5% in 2010. Food-at-home spending by Millennials will jump by $50 billion annually through 2020, according to the study.
In contrast, at-home food spending by Baby Boomers could fall by as much as $15 billion per year through 2020, as more boomers enter retirement and will be more reliant on fixed incomes.