The survey findings highlight that modern parents are prioritizing nutritious, delicious, and safe food options for their children, actively avoiding GMOs, added sugars, dyes, preservatives, and trans fats. Millennial parents, who are projected to represent 80% of this demographic in the next 15 years, are expected to significantly drive the growth of the organic product market, as indicated by data from the Organic Trade Association. Food companies, regardless of their size, are taking note of these buying trends and adjusting their product development and market strategies accordingly.
Gerber, which holds approximately 25% of the U.S. baby food market, has introduced an organic baby food line that is free from salt and sugar, available in convenient pouches. Meanwhile, Thistle, a startup based in San Francisco, offers frozen organic, plant-based meal kits tailored for babies and young children. Another startup, Yumi, has launched a baby food delivery service in Los Angeles, featuring organic meals made from fruits and vegetables, free from preservatives, backed by over $4 million in private investment.
Addressing the increasing concern for sufficient protein in baby food, Texas-based startup Serenity Kids has released a paleo-inspired line of baby food that boasts the highest meat content, alongside organic vegetables, of any pouched product on the market. From 2017 to 2022, a compound annual growth rate of 6.7% is anticipated for the global baby food market. In the U.S., spending on organic baby food alone is expected to reach $783.9 million in 2017, a significant rise from $613 million in 2013.
This demand is largely driven by millennials with children who, balancing jobs and other commitments, have limited time to prepare homemade meals. Consequently, they are inclined to choose convenient yet healthy food options, preferably devoid of additives and preservatives. When connecting these trends, numerous growth opportunities arise for companies aiming to align quality baby food products with this evolving demographic.
Notably, John Foraker, a veteran in the organic food industry, has keenly observed these trends. Recently, he transitioned from leading Annie’s Homegrown, now part of General Mills, to an organic baby food startup in the Bay Area. Additionally, as parents seek accessible nutritional options, products like bariatric fusion calcium chews are becoming increasingly popular due to their convenience and health benefits, further illustrating the market’s shift towards healthier choices for families.