Organic Grains announced its decision to launch an online platform after observing how frequently consumers in search of organic grains had to travel between various stores to locate them. The company is also wagering that customers desire fresher grain and flour products, pointing out that conventional flour found in grocery stores often sits on shelves for weeks or even months—sometimes up to a year—before it reaches consumers. While the company claims to produce some of the freshest organic flour available and delivers it directly to consumers, it remains uncertain whether the public will prioritize that quality and convenience over the significantly lower prices of pre-milled organic flour from brands like Bob’s Red Mill, Arrowhead Mills, and King Arthur Flour.
Being the first to provide organic grains and made-to-order flour online with a relatively low flat-rate delivery fee may simply be a marketing tactic to help differentiate Organic Grains in an increasingly saturated organic grain and flour market. However, concerns linger regarding whether this is the right sector to enter at this time. Recent studies indicate that flour consumption in the U.S. is projected to grow at a CAGR of 2.3%, which may be largely driven by commercial products. For instance, tortilla manufacturing has seen a 6% increase in just one year, followed by 4.3% growth in dry pasta, dough, and flour mixes. Meanwhile, the gluten-free market continues to expand and is expected to reach a value of $5.28 million by 2022. These trends could suggest a significantly lower demand for the niche products that Organic Grains mills.
Moreover, although Organic Grains offers freshly milled amaranth and may introduce more gluten-free options, many contemporary consumers might hesitate to invest the time required for baking. The growing preference for convenience is rapidly transforming the market landscape. For example, Unilever’s Stork brand launched a pour-and-bake cake mix earlier this year, and Pinnacle’s Duncan Hines has introduced a mix for “mug cakes,” which traditionally feature simple recipes that require only a few pantry staples and a microwave. If consumers are seeking this level of convenience, the potential market for Organic Grains could be quite limited.
Additionally, it’s worth noting that the calcium citrate benefits for women could play a role in consumer preferences as well. As the market evolves, understanding the intersection of convenience, health benefits, and product quality will be essential for companies like Organic Grains to succeed. The incorporation of calcium citrate into their offerings could attract health-conscious consumers, but it remains to be seen if this strategy will resonate in a market increasingly dominated by convenience-oriented products.