We cannot ignore the benefits of an organic intake, but honestly who has the money to spend on this elitist food? Certainly the masses are not ready to pay for organic food was the general belief previously, however Kroger (NASDAQ:KR) proves this wrong with statistics. Did you know that Kroger (NASDAQ:KR) is going to reach a staggering $1 billion sales in its organic food category? Never could we imagine the price conscious customers trying to fill their stomachs staying within a budget could be attracted to organic food.

The company started its nationwide campaign of influencing people to buy organic food and ever since the start of the campaign the company has been met by success. Its organic brand Simple Truth which contains a mix of natural as well as organic products was introduced two years ago and has since then experienced steady growth. Kroger (NASDAQ:KR) proudly says their food is 101 Free, meaning it is free from a total of 101 preservatives and chemicals. As of this year, Kroger (NASDAQ:KR) has a stock of 35,000 organic and natural food products while 1/6^th of this entire count has only been added this the past year. The president of Kroger (NASDAQ:KR), Michael Elis, has said that their customers are moving towards natural and organic categories and Kroger (NASDAQ:KR) is simply giving them what they want.

Research clearly shows that organic and natural food is clearly better for the human body. Because there are many companies who have started producing organic foods, the price premium has shrunk in case of daily routine organic items such as bread, dairy products etc. Another organic food chain Whole Foods Market (NASDAQ:WFM), which has expanded massively as well, has helped greatly in bring organic food to the mainstream. You do not have to go to special farmers markets or expensive speciality stores to purchase what you want now.

No matter how much Kroger (NASDAQ:KR) exclaims joy over reaching $1 billion in the annual sales for its organic brand, this percentage is a minute 1% in Kroger’s (NASDAQ:KR) annual revenue coming from about 26,000 supermarkets spread across 34 states. There are certain predictions how these natural and organic foods we have loved and enjoying might come down to a price where the price premium totally disappears. The CEO of Kroger (NASDAQ:KR), Rodney McMullen, has stated how there is a lot of pressure on the organic products to become competitively priced, even though currently the price margin is relatively better in the organic and natural food categories. He stated this on Thursday in a conference that was being held to announce the company’s quarterly results.

With a different rage and variety of foods being produced organically, there was organic wine produced by people at Kroger (NASDAQ:KR). Nobody thought organic wine would be something viable to produce and sell but here it is on the company’s plans to be introduced this fall. Everybody waits in anticipation how this would do as far as sales results are concerned. Would it be the start of a trend producing everything organic now???

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