Whilecustomization and personalization are driving success with in retailfoodservice today many legacy grocery retailers are avoiding business modelupdates in order to maintain strong relationships with Wall Street. Yet thedollar store sector continues rapid growth cherry picking item after item anderoding the core of legacy grocery store operator business models. Wawa isopening 100 new units in Florida over the next 3 years. Each store will offer select CPG’s productscombined with consumer interactive participatory fresh prepared food. 7 Elevenleads the C-store sector growth with 100% of the new units having freshprepared food and 50% with no gas offered. Walgreens success with ready-2-eatand heat-N-eat fresh food provides another peek of the evolving retail foodsector grocerant niche success too come.
While many legacy grocery retailers continue to be stuck inthe middle of the market; trapped in a quagmire of outdated category managementtechniques and sector evolution denial, can their future be bright? Most havebeen positing anemic sales at best. In 2010, for the first time, SNAP benefitsappeared to have surpassed 10% of all grocery spending. If you look at USDA’s two data series onaggregate food spending, SNAP now represents 10% to 17% of the food retaileconomy. Unemployment is in decline, ayear after a decline SNAP program falls as well. What is going to happen to these industrylegacy titans if they do not evolve with the consumer? Clearly the dollar store sector with continueto rise, C-stores sector (currently the fastest growing US food sector) willcontinue its push into fresh prepared food and continue to garner consumer. Many consumers will return to restaurants andthat sector void 99.5% of SNAP billions a month in SNAP funding will reboundvery well. Where is the void going toshow the most? Clearly legacy groceryretailers.
Differentiationindividualization customization via bundled meal components are driving theongoing success in retail food sales today. Trader Joe’s, Whole Foods, Walgreens, and Wawa all have incorporatedinteractive participatory fresh prepared food options. Foodservice Solutions® 5 P’s of food marketing: Product, Packaging, Placement, Portability and Price;continue playing a key role on how food is being sold, packaged anddelivered. When ready-2-eat andheat-N-eat fresh and prepared food is thrown into the mix, consumer frequencyand customer loyalty both increase. Newretail food industry leaders are emerging are you one of them?
Since 1991 retail food consultancy Foodservice Solutions® of Tacoma, WAhas been the global leader in the Grocerant niche for more on Steven A. Johnsonand Foodservice Solutions® Bing or Google Grocerants or visit http://www.linkedin.com/in/grocerant,twitter.com/grocerant or Facebook/Steven Johnson
Hiç yorum yok:
Yorum Gönder