The European organic baby food market is anticipated to at a CAGR of 10.8% during the forecast period. Increasing focus on employments, change in retail structuration, development of private labels, increase in the number of shops and commercial sales areas have all contributed to the growth of the European organic baby food market. Consumers across Europe are largely aligned with a promotion-driven campaign for organic baby food, and with the case of organic baby foods, manufacturers are already innovating marketing strategies, to lure more parents to indulge in impulsive purchasing. Since more than half of the baby food products available across retails encompasses the wholesome of organic ingredients, buyers are left with no choice other than purchasing organics.
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The European organic baby food market is segmented based on product type and distribution channels. Based on the product type, the organic baby food market is segmented into dried baby food, milk formula, and ready to eat. Based on the distribution channel, the market is segmented into offline and online. The market share of major label products in the region has increased across the organic baby food category. The major reasons for this include a perception among customers considering these products reliable as the organic baby food category is still new to them.
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Country-wise, the market is segmented into the UK, Germany, France, Italy, Spain, and the Rest of Europe. Germany is leading the market in Europe with extensive resources and investment in the past decade. Germany has one of the longest traditions in terms of growing organic and marketing organic baby food products. Considering the baby food segment, it has witnessed a significant growth trend where brands, such as HiPP, are considered to be among the torchbearer in the market. Awareness among German consumers toward organic food is one of the main factors that has led the organic baby food segment to grow. In terms of growth rate, the UK is one of the fastest markets for the organic baby food category. Across the country, domestic brand, such as Ella’s Kitchen, has gained popularity, where according to Innovate UK, the company currently has a 20% market share as of 2016.
Furthermore, Europe is home to some of the retailing giants including Ahold Delhaize, Carrefour S.A., J Sainsbury, ICA Gruppen AB, Metro AG, Tesco PLC, and X5 Retail Group, which has made it easier for organic food brands to market their products. Some of the major organic baby food brands operating in Europe include ALDI, Inc. (Little Journey), Beech-Nut (Hero Group), Danone S.A., Diana Food S.A.S., Nestlé S.A., the Hain Celestial Group, Inc. (Earth’s Best), and the Kraft Heinz Company
Market Segmentation
European Organic Baby Food Industry Market by Product Type
Dried Baby Food
Milk Formula
Ready to Eat
European Organic Baby Food Market by Distribution Channel
Offline
Online
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