Food Channel Blurring Garners Attention as Food Retailers Evolve

 

In 2025, where, how, and why consumers buy food continues to be transformed at breakneck speed. From app-based ordering to c-store meal kits and AI-powered restaurant recommendations, the boundaries between traditional foodservice channels are virtually nonexistent—at least in the eyes of the consumer.

Yet, some legacy brand managers still cling to outdated silos. "Channel blurring only exists in the blind eye of Neanderthal chain restaurant and grocery store brand managers," declared Steven Johnson, Grocerant Guru® at Tacoma, WA-based Foodservice Solutions®, back in 2010. Fifteen years later, that statement is more relevant than ever.

Today’s consumers expect to find food anywhere, anytime—and they do. Whether it’s ordering sushi from a gas station via DoorDash, picking up ready-to-eat bowls from a grocery store fridge, or grabbing a latte and artisan sandwich at the pharmacy, the consumer's path to purchase is fluid, mobile, and personalized.

Retail Evolution is Consumer-Driven

Recent data backs this up. An industry report found that c-store giant Wawa outperforms even upscale restaurant chains in service satisfaction, ranking ahead of brands like Fleming’s Prime Steakhouse and Seasons 52. This is no anomaly: Wawa also scored high in customers’ likelihood to return—surpassing 600+ restaurant brands, trailing only behind Qdoba and Carvel.

“Wawa meeting or exceeding service expectations compared to fine-dining brands underscores how consumer expectations have shifted,” said Victor Fernandez, Executive Director of Insights at Black Box. “People expect something different from Wawa, and Wawa consistently delivers.”

While the restaurant industry as a whole saw a 6.4% drop in consumer intent to return in the past year, Wawa and similar forward-thinking retailers gained ground. Customization, convenience, and perceived value are fueling these shifts. Service expectations are no longer based solely on a white-tablecloth experience but on speed, accuracy, and emotional relevance.

From Protectionism to Personalization

As the Grocerant Guru® puts it: “Retail foodservice today is about share of stomach. You’re either capitulating customer count or capturing it—one meal, one occasion at a time.”

The era of channel protectionism is over. Consumers no longer differentiate between "grocery store food," "restaurant food," or "convenience store food." They differentiate based on price, authenticity, convenience, and service—factors that map directly to what Johnson calls the Five P’s of Food Marketing: Product, Packaging, Placement, Portability, and Price.

That framework has become even more vital as personalization and customization have become the hallmarks of the fast-growing grocerant niche—a blend of grocery and restaurant formats offering chef-prepared, grab-and-go, and heat-and-eat options. This sector continues to outpace traditional grocery and QSR growth, particularly among Gen Z and younger millennials who prioritize flexibility, flavor exploration, and frictionless experiences.

The Numbers Don’t Lie

In 2025, more than 62% of food shoppers report purchasing prepared meals at least once a week from non-traditional outlets like drugstores, c-stores, or dollar stores—up from 41% in 2020. At the same time, restaurant traffic remains flat or negative, with cost, convenience, and meal relevance driving consumer defections.

Incremental data also revealed a 1.2% decline in food quality perceptions across restaurant chains, even while service perceptions rose by 10.2%. This suggests that consumers are increasingly measuring brands not just on execution but on relevance—whether the food fits into their life.

And here’s the rub: consumers have moved on. The only people still talking about channel silos are those protecting legacy systems, not those pursuing growth. The modern consumer is driven by immediacy, personalization, and omnichannel access—not loyalty to outdated formats.

Evolve or Be Eclipsed

"Are you still doing what you've always done the way you’ve always done it?" Johnson asks. “If so, you’re not just standing still—you’re moving backward.”

Today’s winners are those who blur lines, collapse channels, and innovate with intent. Retailers and restaurants alike must pivot to meet consumers wherever they are—on mobile, in-store, at the pump, or on the go.

For those ready to embrace the future of food, Foodservice Solutions® offers strategies rooted in data, driven by consumer behavior, and designed for growth. Learn how to integrate the Five P’s of Food Marketing to capture more share of stomach and future-proof your brand.

Ready to evolve?
Visit: www.FoodserviceSolutions.us
Email: Steve@FoodserviceSolutions.us