Within the extra virgin olive oil (EVOO) market, a key axis of segmentation is organic vs conventional. Each category has its advantages, challenges, consumer base, and strategic implications. In this blog, we explore how these two segments coexist and influence the broader market trajectory.
What Distinguishes Organic from Conventional EVOO
Cultivation & Inputs
Organic EVOO is produced under certified organic farming methods—no synthetic pesticides or fertilizers, stricter soil health standards, botanical balance. Conventional EVOO may use standard agricultural aids.Certification & Cost Premium
Organic certification (e.g. USDA Organic, EU Organic) comes with audit, compliance, and production costs. These costs translate into a price premium for consumers who value purity, environmental stewardship, and reduced chemical exposure.Consumer Perception
Many buyers associate organic EVOO with higher quality, better health benefits, and eco-friendliness. This perception supports higher willingness to pay among affluent or health-conscious segments.
Market Trends & Behavior
According to MRFR, the organic segment currently holds the majority share in the EVOO market.
Conventional EVOO is also growing, especially in markets where price sensitivity is stronger. Conventional oils may serve mass-market cooking, industrial food use, or be promoted on cost-to-benefit metrics.
Some consumers mix: use conventional EVOO for cooking and reserve organic EVOO for finishing or salads.
Pros & Cons from a Producer Perspective
Organic EVOO
Pros
Premium pricing and margins
Brand differentiation through purity / sustainability
Appeal to eco-conscious, high-end consumers
Cons
Higher input and certification costs
Lower yields in some cases
Certification burden, stricter regulation
Risk of contamination from adjacent conventional farms
Conventional EVOO
Pros
Lower cost of production
Greater scale flexibility
Broader accessibility in price-sensitive markets
Cons
Harder to differentiate in premium space
Susceptible to price competition
Perception disadvantage among health-conscious consumers
Strategic Recommendations
Dual portfolio strategy: Offer both organic and conventional lines under the same brand, with clear differentiation
Educate consumers on what organic means (residue-free, soil health, sustainability)
Focus on value-for-money organic options to bridge gap
Improve traceability and disclosure to build trust (farm data, certifications, batch codes)
Segment marketing: target health, premium and environment-conscious consumers for organic; target kitchens, food service or cooking-heavy users with conventional
Broader Market Impact
The dominance of organic may push conventional players to adopt corner innovations (e.g. low-pesticide conventional, green farming practices).
As organic becomes more mainstream, certification costs may decrease and entry barriers may lower.
Market education and transparent labeling are critical for consumers to understand the difference and avoid greenwashing.
Conclusion
The organic vs conventional segmentation in EVOO is more than academic—it is central to pricing, branding, positioning, and growth. As demand for premium, clean-label, and sustainable food grows, organic EVOO has a strong tailwind. But conventional EVOO remains essential to volume, scale, accessibility, and bridging broader consumer segments.
