Archive for December, 2008

Organic and Health Stores Experiencing Losses in Downturn

It really is a shame that one of the first types of grocery stores to feel the pain in an economic downturn period are the very ones that offer the healthiest and most organic choices, although I will say that common grocery stores have stepped up to the plate here in offering better options for health foods, organic foods and low fat and healthier low salt and low calorie options. 

Take for example the whole line of Whole Foods stores such as Wild Oats and the Whole Foods franchise.  Their earnings have suffered greatly despite a huge boon in the market just a few years ago when natural foods, organic eats and wholesome health foods came into fashion.  Now they are down in sales by 30% or worse.  They know that they will make a comeback, however, this is a pretty scary thing for a business that once used to be booming just a few short years ago, on the brink of exploding into a relatively new market. 

And what of their future prospects?  Well, until the economy clears up and perhaps Obama’s plan to create 2.5 million new jobs by planning new roads and infrastructures in the US, people will again start to purchase “luxury” goods and foods that they once scrimped on during hard times, and eat better choices of organic foods and produce. 

We have one natural and organic foods store that is by us that is independently owned and operated, and I hate to say it, but we ourselves have had to forego getting their groceries because of our unique financial situation as of late.  Instead we have been going solely to Giant Eagle, which has daily specials on their Advantage card and who also gives you ten cents in free gas per gallon purchased for every $50 worth of groceries you buy, so it’s a no brainer for someone worried about their finances and looking to save some money.

It’s not that the bigger grocery chains don’t have the organic sections and the natural and healthy foods also, but it’s nice to be able to support a local independently owned business when you can if you have the means.  I think that makes everyone feel a little better, plus it stimulates the local economy, making it appeal more to local business owners and creating jobs for those that live there.