How Collaboration Increases the Market Share of Organic Products

In Denmark, professional kitchens can benefit from the consumers’ increasing demand for organic food. As of 2018, more than 2300 kitchens and eateries are enrolled in the program. The Organic Cuisine Label is an example of the organic development in Denmark.

In 2009, the Danish government presented the Organic Cuisine Label to encourage the use of organic produce in professional kitchens. The label allows kitchens to brand themselves by the amount of organic products used in the kitchen.

The Danish government has established the state-certified labeling scheme, known as The Organic Cuisine Label. Both public and private eateries can join the labeling scheme for free and are then measured on the amount of organic products used in the kitchen. As of now, more than 2000 restaurants, cafeterias, catering firms, staff restaurants, nursing homes, schools and hospitals have joined the program. This has resulted in an increased consumption of organic food products used in the food-service sector, which strengthens food companies with an organic assortment.

Since the implementation in 2009, the organic market share has increased

The idea is simple: Each eatery receives a label that corresponds to the amount of organic food they use in their kitchen. The Bronze label indicates a use of 30-60% organic product, Silver 60-90% use and Gold 90-100%. The labelling program has been a huge success, as eateries have a motivation to increase their amount of organic products and the Danish consumer can more easily choose organic restaurants and cafés when eating out. The label is recognised by 58% of the Danish population.

Increasing Organic Market Share after the Implementation

Since the implementation in 2009, the organic market share has increased. One of the reasons is because several restaurants and institutions have increased their amount of organic products used in their kitchens. For instance, the Danish military barracks have adopted a policy that they have to use at least 40% organic products in their kitchens, and are therefore all awarded with the Bronze label. Danish day-care-centres also see that the amount of organic food offered to the children has developed into being a competitive parameter and the food delivered to the kids is now more organic than ever before. In addition, restaurants now have an easy possibility to advertise their engagement in working with organic products in their restaurants and they are encouraged to go from zero percent organic products to reaching the Gold label. This attracts consumers, who prefer organic products.

The Organic Cuisine Label indicates the changes seen in Denmark’s position as the world’s leading organic nation. Today, Danish retail is world-leading in organic sale, having the largest market share compared to any other country in the world. Denmark takes the lead when it comes to the consumption of organic food and has a huge range of organic food products on both supermarket shelves and in the restaurant business.