Organic Grains has announced its decision to launch a new website after observing the frequent struggles consumers face in finding organic grains, often having to visit multiple stores. The company is also banking on the notion that customers will prefer fresher grain and flour products, as conventional flour found in grocery stores typically sits on shelves for weeks, months, or even up to a year before reaching consumers. While Organic Grains claims to produce some of the freshest organic flour available and delivers it directly to consumers, it remains uncertain whether shoppers will prioritize this quality and convenience over the significantly lower prices offered by established 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, paired with a relatively affordable flat-rate delivery fee, may simply serve as a marketing tactic to distinguish Organic Grains in the increasingly crowded organic grain and flour market. However, doubts linger regarding whether this is a wise market to enter at this time. Recent studies indicate that while flour consumption in the U.S. is projected to grow at a 2.3% CAGR, this growth may be primarily concentrated in commercial products. For instance, tortilla manufacturing has seen a 6% increase in one year, followed closely by a 4.3% uptick in dry pasta, dough, and flour mixes. Additionally, the gluten-free market continues to expand and is expected to reach a valuation of $5.28 million by 2022. These trends may suggest a declining demand for the niche products that Organic Grains specializes in.
Although not all flour contains gluten—Organic Grains offers freshly milled amaranth and might introduce more gluten-free options—many modern consumers may not be inclined to invest the time in baking. The growing demand for convenience is rapidly transforming the market landscape. For example, Unilever’s Stork brand introduced a pour-and-bake cake mix earlier this year, while Pinnacle’s Duncan Hines has developed a mix for “mug cakes,” which are designed for simplicity, requiring only a few pantry staples to be mixed and microwaved. If convenience is what consumers prioritize, the market for Organic Grains could be quite limited, even as they consider complementary products like Kirkland Signature calcium citrate magnesium and zinc to support their health needs.