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Keeping it real: what's in store for local, organic menu items

Knowing what's in store for the trend and how to make it work for your brand is key to keeping up with consumer demand for local and organic menu items.

July 20, 2015 by Nicole Troxell — Associate Editor, Networld Media Group

Local and organic foods continue to expand their presence in QSR and fast casual restaurants. Millennials, currently the largest generation, and their successors — Generation Z, pride themselves on being aware of the origins of their food, said Justin McCoy, VP of Marketing for Cousins Subs.

"I don’t see the trend toward local and organic foods going away anytime soon. Consumers, especially Millennials and Generation Z, are very conscious and aware of where their food is sourced and how it is raised or grown."

Not only is this trend appealing to these younger generations, but guests of all generations love the idea of the local farmer making a living as a craftsman; knowing that their fruits and veggies were grown just a few miles away bolsters that image of freshness, said Pat Peterson, executive chef of Moe' Southwest Grill. Peterson also believes the local and organic movement will continue to penetrate the industry.

"Organic will likely pave the way for a larger share of the market," he said, "Whether through elimination of artificial ingredients or via a more natural process of raising and farming."

Knowing what's in store for the trend and how to make it work for your brand is key to keeping up with consumer demand for local and organic menu items.

The challenge for scalable brands

The definition of what constitutes “local,” “organic” and “clean” foods is interpreted differently across the industry and by consumers, McCoy said. "Truly organic produce and proteins can be a difficult goal for scalable brands to achieve."

The challenge arises, for both consumers and restaurants, in quality vs. affordability, according to Peterson.

How do brands make it work for them?

As a Wisconsin-based brand, Cousins Subs chose to focus on key items that relate to its brand and signify “local” and “quality” both in its core region and as nationally. For example, the company converted cheese offerings to all Wisconsin-based cheeses and incorporated locally known products such as Wisconsin Cheese Curds.

"Organic offerings allow customers to feel good about what they’re eating, even though they know it comes at a premium," Peterson said in the interview.

Moe’s implements the local/organic trend in its Honestly Awesome Food promotion, where the company highlights many of its natural ingredients so that customers can feel good about what they’re eating and so the products can stay at a price point that’s attainable on a regular basis. Moe's offers organic but only where it makes sense, such as Tofu, Peterson said.

"The size of the brand and its growth plans will impact how the brand sources products. Distribution, cost and scalability will impact these decisions for brands across all categories," McCoy said in the interview. "I really see most brands focusing on identifying or working with their suppliers to provide 'clean' products. This will include sourcing products that are free of items such as pesticides, antibiotics and hormones. "

What the future has in-store

The fast casual segment has been a pioneer in bringing locally sourced, organic, natural and clean label ingredients out of fine dining and to lunch and dinner day parts of affordable segments, essentially redefining food quality for the guest. Some of that has already infiltrated QSRs, Peterson said.

The most popular local and organic menu items being sought out are those derived from fresh fruits and vegetables.

"It’s important, though, to research and understand where your specific guest sees value. You must balance the food cost investment with a return in the quality and value perception of your food," Peterson said

Both clean and organic, however,  will have a niche of their own in this trend, McCoy said

"I believe brands will work with suppliers to offer both clean or organic produce and proteins. I don’t see the trend being limited to either category. The movement has really been a staple of fast casual concepts. Due to the explosive growth in the category, many QSRs are working diligently to narrow the gap between the quality and positioning of their products vs. the fast casual segment. I expect to see both segments working to meet this consumer demand," McCoy said.

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