Sample eCommerce Business Plan

 eGrocery Business Plan  Page 20 © BPlanExperts.com Industry Facts  U.S. sales of organic food and beverages have grown from $1 billion in 1990 to an estimated $20 billion in 2007, and are projected to reach nearly $23 billion in 2008. Organic food sales are anticipated to increase an average of 18 percent each year from 2007 to 2010. o Source: 2007 OTA Manufacturer Survey  Representing approximately 2.8 percent of overall food and beverage sales in 2006, this continues to be a fast growing sector, growing 20.9 percent in 2006. o Source: 2007 OTA Manufacturer Survey  Organic non-food sales grew 26 percent in 2006. o Source: 2007 OTA Manufacturer Survey  Total U.S. organic sales, including food and non-food products, were $17.7 billion in 2006, up 21 percent from 2005. They are estimated to have reached $21.2 billion in 2007, and are projected to surpass $25 billion in 2008. o Source: 2007 OTA Manufacturer Survey  Mass market grocery stores represent the largest single distribution channel, accounting for 38 percent of organic food sales in 2006. This is up from a 35 percent share of total sales in 2005. The natural food channel is still strong. The sales of larger grocery natural food stores combined with smaller independent natural food stores and chains accounts for 44 percent of organic food and beverage sales. Mass merchandisers and club stores, food service, internet/mail order and farmers’ markets represent 8 percent, 4 percent, 2.2 percent, and 2 percent of organic food sales, respectively. o Source: 2007 OTA Manufacturer Survey  Nearly 30.4 million hectares were managed organically by more than 700,000 farms in 138 countries in 2006, according to The World of Organic Agriculture: Statistics & Emerging Trends 2008 report released in February 2008 by the International Federation of Organic Agriculture Movements (IFOAM), The Foundation Ecology & Agriculture (SÖL), and the Research Institute of Organic Agriculture (FiBL). That figure represents 0.65 percent of the total agricultural land of the countries covered by the survey. As in previous years, Australia led with the most organic land (12.3 million hectares), followed by China (2.3 million hectares) and Argentina (2.2 million hectares). The United States was fourth, with 1.6 million hectares in 2005 (latest available statistics). The ten countries with the most organic land represented a combined total of nearly 24 million hectares, more than three quarters of the world’s organic land. Other countries in the top ten were Italy, Uruguay, Spain, Brazil, Germany, and the United Kingdom. Based on distribution by continent, Oceania led with 42 percent of organic area, followed by Europe (24 percent), Latin America (16 percent), Asia (20 percent), North America (7 percent), and Africa (1 percent). However, according to the report summary, the proportion of organically managed land to conventionally manage is highest in countries in Europe. o Source: The World of Organic Agriculture: Statistics & Emerging Trends 2008