Whole Foods Market is pursuing a well-rounded and thought out strategy in order to gain success within the market. Whole Foods has a simple strategy of becoming the market leader in the natural and organic foods movement across the United States . To see if their strategies was well matched to the industry let see that industry in this period.
The sales of organics and natural food reached 62 billions dollars in 2007 , that what represent 7.3 percent of global retails and grocery sales . In 2006 , the organic and naturel food reached 17 billions dollars , compared with 2005 the sales increased by 22 percent Organic farmland in the USA was 4. 1 million acres in 2005 while it was just 2. 1 millions cares in 2001. In 2005 a survey found that 65 percent of American consumers had already tried organic food once , and 27 percent showed that they consumed organic food more than the last years.
That figures shows that Whole food were in the beginning of the Organic and natural food expansion , that what can prove the right strategy choice by betting on organic and natural food. Whole Foods is not a low-cost provider like most of their competitors, but offers differentiating features with a high value proposition. They are attracting buyers who seek out the value in organic and natural foods and from there they are carving out their own target market.
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In the other Hand ,the Appearance of the new USDA standards for labeling organic food products helped the sales growth of Whole food industry. Because the labels has always been a selling point for the consumers whom want to avoid pesticides and chemicals. And to continue riding in the wave of the growth opportunity , Whole Foods merchandising strategy, its appealing stores, and its wide product selection put it in excellent position to effectively promote organic products and to sell consumers on the advantages of buying organic products.
Whole Food also took benefit from the organic and naturel growing demand of supermarket and consumers, that was growing 20 percent annually, and increased their production, that what makes Whole foods product more present in houses , in this way In 2000 for the ? rst time, more organic food was sold in conventional supermarkets than in the approximately 14,500 stores that specialized in natural and health foods.
Whole food’s strategy was considered one of the successful strategy and called “winning strategy” in that period , because all factors and strategy was well matched with the industry and the growth of organic and natural food. So Yes Whole food adopted the right strategy at the right moment , putting it in a very good position to attract new customers, and fighting competitors like Fresh Market and Fresh & Easy, draw shoppers away from leading supermarket chains, and grow its sales and market share at the expense of rivals.
