Select organic apple varieties are in outstanding position for retail promotions in the next few months, said Brianna Shales, marketing director for Wenatchee, Wash.-based Stemilt Growers.
Shales said the shorter apple crop in Washington state reduced organic volume by nearly 10% compared with a year ago, but there are still opportunities within the organic crop that retailers can take advantage of despite the shorter supplies.
“Organics have had double-digit sales growth for many years, and I would expect similar results this year,” Shales said. For apples, organics now account for 16% of apple category sales on average. “Not long ago, that number was 10%, so we’ve seen great growth.”
Shales said Stemilt will continue to align promotions on organic apples, primarily on core apples such as organic Honeycrisp and granny smith.
In the organic apple category, Shales said Honeycrisp and gala make up over 50% of sales and volume for organic.
“They lead the pack, but with a unique organic crop year, it’s essential that retailers look to varieties where there is better volume to promote,” she said. “Organic Honeycrisp and granny smith are both poised for promotion at this time.”
Stemilt’s 5-pound Artisan Organics pouch bag is a good vehicle for retailers to move volume on granny smith and other select varieties, she said. The pouch ensures that organic apples have the right price registered at checkout, she said, which is a key for any retailer seeking to build organic sales.
Shales said that packaged apple demand has increased since the start of the COVID-19 pandemic. “Packaging has remained elevated since March 2020 and this is certainly true for organics,” she said.
Retail results
Retailers are most effective at promoting organic apples when they give them prominent display space and promote regularly, she said.
“For consumers that occasionally buy organic, it’s important to merchandise organics in a way that helps them make that purchase decision,” Shales said. “Packaging is a nice vehicle for organics, and we have pouch bag options that can offer organic shoppers convenience and great quality fruit.”
Great merchandising and product quality will also help to ensure a great consumer experience, she said.
“I think branded organics, with these things in mind, can help elevate organic sales by converting the shopper to organics that might not normally purchase them,” she said.
Looking ahead, Shales said Stemilt will also be planning for the upcoming all-organic peach and nectarine program, which kicks off in July.
Organic legacy
Stemilt has grown organics since 1989, and Shales said the marketer’s Artisan Organics brand includes apples and pears, as well as cherries, peaches and nectarines.
“We believe in growing sought-after varieties organically and delivering a great flavor experience that will delight consumers,” she said, noting that Stemilt’s ability to supply organics year-round makes for great retail promotion opportunities.
Stemilt Growers has a long history of supporting sustainability, Shales said.
“Our Responsible Choice program has been part of our culture since 1989,” she said. “Today, it includes solar power projects, feeding trees with compost, and implementing ‘small changes’ or continuous improvements to our operations through our Equitable Food Initiative leadership teams.”
Shales said Stemilt became fully certified with EFI in 2021 and is now seeing its cross-functional teams bring valuable solutions to the marketer’s operations.
