Sunday, March 2, 2014

With The Rise of the Grocerant Consumers Are Eating Out by Eating In

Millennials Are Driving Change in Retail Foods Sales
Many legacy restaurant chain Boomer CEO’s are in a quagmire of stewardship. Unwilling to dramatically redesign; concept footprint, menu items, or points of distribution they are saddled with “canned” concepts once suited for the golden age of the restaurant industry.
Foodservice Solutions® Grocerant Guru™ stated “Brand protectionism is fast fading away and giving ground to brand evolution. That evolution is required for long term brand survival. Consumers are dynamic not static and brands must be as well.”
Consumers are not thinking like many boomer CEO’s who continue to hold on to psychological mindset of yesterday’s brand position in a world of contemporized consumers.  When thinking “What’s for Dinner” recent research by Foodservice Solutions® found 86 percent of consumers at 1PM have no idea at all and 65 percent of consumers at 5PM still do not know “What’s for Dinner”.  Thus the rise of the Grocerant Niche companies selling fresh prepared food for Eating In or Eating Out in direct competition for legacy restaurants while challenging legacy grocery stores models.
Want to know what a Grocerant is?
Want to know what a Grocerant is or where to find Grocerant Niche Ready-2-Eat fresh prepared food? In reality a grocerant is where a consumer can find fresh prepared food aimed at the time-starved consumer with Ready-2-Eat or Heat-N-Eat fresh prepared meals or meal components that can be bundled into a meal and or packaged for Take-Out, Take-Away, or To-Go.
Today, grocerant meals and meal components are found in liquor stores, drug-stores (Walgreens), fast food restaurants, fast casual restaurants, full-service restaurants, and restaurants inside grocery stores, in legacy “deli” departments, furniture stores (Ikea), club stores (Costco) and clothing stores from Tommy Bahama, Macy’s, and Nordstrom’s.  
Eating Out by Eating In?
Take-Out and Take-Away Options Threaten legacy business models…  menu items have been around so long that consumer simply take them for granted. Millennials are on a quest for personal discovery… looking past the once obvious choice. The result is an opportunity for a new business, that is new business models selling fresh prepared Ready-2-Eat and Heat-N-Eat fresh prepared food. 

With the increased presents of the 65 inch HDTV in home today Foodservice Solutions®  research find “The 65 Inch HDTV Syndrome” was edified recently in the 9th edition of “The Why Behind the Buy” published by Acosta Sales and Marketing found: 

“Contrary to some reports, eating at home is not passé. Rather it has evolved to meet the needs of busier lifestyles, more sophisticated palates and consumers who have become accustomed to immediate gratification. Indications of how the boundaries of eating in and eating out have blurred can be seen in the rise of the grocerant - grocery store as restaurant - where ready-to-eat meals have been a major area of growth; the popularity of quick-serve restaurants, food delivery and take-away; and the growing array of meal solution product offerings from CPG companies. In other words, shoppers are increasing eating out by eating in.”
Millennials  Drive Change
The influence of Millennials can no longer be denied.  Millennials which represent 22% of the U.S. population today are fast approaching their “prime” spending years. Millennials grew up with fast internet access everywhere, mobile technology, and are now engaging and demanding a food focused seamlessly integrated life style.  In a recent study titled The Why? Behind The Buy found “65% of Millennials say losing this phone or computer would have a greater negative impact on their daily routine than losing their car.”  Are you willing to give up your car? Soon Millennials will out spend Generation X and the Boomer Generation.

That same study found that young shoppers are adapting to new food trends including buying Ready-2-Eat and Heat-N-Eat fresh prepared food.  That is something all food retailers need to pay particular attention too. In fact that study found that in the past 30 days:

·         Bought Home Prepared Foods  -  GenY / Mellennials 78%  Gen X only 68%, and Boomers 60%
·         Ordered Food From A Restaurant for Pick-Up / Carry-Out in the past 30 days - Gen Y / Millennials 78%, Gen X 72, and Boomers 58%
·         Ordered Food From A Restaurant for Delivery in the past 30 days - Gen Y / Millennials 67%, Gen X 57, and Boomers 36%
As you can see for each of the above, Millenial Shoppers outpace Boomers anywhere from 30% to a whopping 100%!  Now if you are looking for successful strategy’s and tactic’s to reclaim your market position, elevate your brand it might be time for proven successful outside eyes. 

Visit:  if you are interested in learning how Foodservice Solutions 5P’s of Food Marketing can edify your retail food brand while creating a platform for consumer convenient meal participationdifferentiation and individualization or you can learn more at Johnson, or

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