By now most of you know that Yum! Brands, Inc, as has agreed to terms to buy Habit Burger Grill for approximately $375 million. That’s all fine and good if you want to keep doing what you have always done and doing it in the same way according to Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions®.
The simple fact is restaurants are losing customers. Year over year restaurant customer counts for 2019 declined 3.1%. Grocerant niche Ready-2-Eat and Heat-N-Eat fresh food continues to drive growth in non-traditional fresh food outlets with sales up 9% during 2019 according to the team at Foodservice Solutions®.
Consumers are dynamic not static yet many restaurant chains like the formula, format, and footprint of their existing brands and would rather squeak and squawk raise prices to drive sales than evolve their business model.
Rhetoric be dammed; rationalization is not justification for continue to do what you have always done. It’s time that the restaurant sector admit that consumers are migrating from restaurants to other avenues of fresh food distribution for meals and meal components that are Ready-2-Eat or Heat-N-Eat.
Size and scale are legacy terms to rationalize and justify to those on Wall Street and their ilk that growth will come even if we have to buy it. That may work for a while. It won’t work for ever. Is you brand looking ready to look for new non-traditional ways to drive top line sales and bottom line profits while garnering incremental customers?
Looking for success clues of your own? Foodservice Solutions® specializes in outsourced food marketing and business development ideations. We can help you identify, quantify and qualify additional food retail segment opportunities, technology, or a new menu product segment. Foodservice Solutions® of Tacoma WA is the global leader in the Grocerant niche visit Facebook.com/Steven Johnson, www.Linkedin.com/in/grocerant/ or www.twitter.com/grocerant
Battle for Share of Stomach