Supermarkets To Muscle In On Veg Boxes

Sainsbury’s and Tesco’s announced this month that they are considering launching an organic box scheme.

To be honest, when I first heard, I wasn’t sure whether I thought it was worrying or ridiculous.

The marketing teams must have decided there is an opportunity to take over more of the rapidly growing organic market. (Up 30% last year). Sainsbury’s is to trial their new scheme with 1/2 million customers in the Midlands this autumn.

But haven’t they missed the point?

Surely organic box schemes are about small-scale producers delivering fresh food to their local community?

Veg BoxOur research in June this year showed the reason most people choose an organic box scheme is because they want to buy local, seasonal food, straight from the grower. It’s almost a rebellion against the supermarkets. (Read Not On The Label by Felicity Lawrence, if you want to know more).

But I wonder whether the “big two” are trying to capitalise on the image of a veg box scheme?

After all, ask the man in the street about veg boxes and, if he’s ever heard of them, chances are he’ll tell you they’re organic, fresher than supermarkets and better for the environment.

So he’s unlikely to quesiton whether the butternut squash is from Ashford or Argentina. He’s not going to worry about how much the UK farmers are getting paid or whether they’re being tied into impossible delivery contracts. After all, none of that’s relevant with a veg box - is it?

Another reason most people choose vegetable and fruit deliveries is because they want to reduce food miles. Again, supermarkets aren’t likely to advertise the fact that their veg boxes are using up a glut of apples from New Zealand, when delicious varieties are in season in the UK.

What is the likely impact on existing veg box schemes?

Smaller providers are likely to find their core customers remain loyal. But they need to act now, to start increasing their customer base, in case they do lose any to the supermarkets.

The providers most likely to suffer are the large-scale schemes, who deliver nationwide. One of the factors that drives most people to veg boxes is the idea of buying locally from food growers. But with these larger schemes, that’s not the case, so they’ll be in direct competition with Sainsburys and Tescos.

This move risks splitting the organic food market. Those who want to buy locally or are rebelling against the supermarkets will continue to do what they’re already doing. But those who are less bothered about seasonal food and food miles will be more tempted to jump ship. After all, the supermarkets’ pockets are deeper than farmers’, when it comes to marketing incentives.

What can veg box scheme providers do?

  1. Stay firm to their commitment to provide high quality, seasonal, local organic food.
  2. Build relationships with their customers, through regular newsletters.
  3. Get feedback from their customers - fix anything that’s not working, before they lose them.


And above all, there’s a certain element of “wait and see”.

The supermarkets will, at least, be bringing two benefits in all this:

  1. The marketing publicity will encourage more people to eat fruit and veg
  2. More people will be aware of the benefits of buying and eating organic food. This will increase demand, encouraging farmers to convert to organic methods. And that’s got to be a good thing.

Let’s hope they bring in a new customer base, rather than poaching from genuine, hard-working, committed farmers.

We’ll make sure we keep you posted with developments ont his one.

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