Friday, January 17, 2025

Wings and Rings Branded Partnerships Drive Sales

 


From a historical grocerant perspective, branded partnerships have long been a cornerstone for driving consumer interest and boosting sales in the foodservice industry. By combining iconic flavors, recognizable brands, and promotional synergies, successful partnerships have created memorable dining experiences that resonate with customers and spur repeat visits according to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®. Wings and Rings’ latest collaboration with Sam Adams during football playoff season demonstrates they’re following a winning playbook, seamlessly blending innovation with nostalgia to engage their audience.

The Power of Food Marketing Partnerships

Historically, the grocerant sector has leveraged branded promotions to remarkable effect. Consider McDonald’s collaboration with Coca-Cola and collectible glassware in the 1970s and 1980s. These promotions drove both sales and customer loyalty, turning casual patrons into frequent visitors who eagerly sought exclusive items. Similarly, partnerships featuring items like Taco Bell’s Doritos Locos Tacos underscore the staying power of innovative, co-branded products that align with consumer tastes and cultural moments.


Wings and Rings’ partnership with Sam Adams exemplifies the enduring appeal of this strategy. By introducing house-made Sam Adams Beer Cheese as a centerpiece of their limited-time offerings (LTOs), they’ve tapped into the rich heritage of an iconic beer brand while delivering bold, comforting flavors ideal for the winter season.

Why Wings and Rings is Doing it Right This Season

As football fans gather for playoff season, Wings and Rings has executed a game-winning strategy to align its promotions with fan-favorite rituals. According to the Grocerant Guru, their approach hits all the right notes:

1.       Timing and Relevance: Launching their weekday half-price appetizer promotion on January 13 ensures they’re engaging customers during the early playoff rounds, a time when sports enthusiasm is high and consumers are seeking value-packed dining options.

2.       Menu Innovation with Comfort Appeal: The Sam’s Loaded Fry, Beer Cheese Chicken Sandwich, and Beer Cheese Jumbo Tenders deliver rich, indulgent flavors perfectly suited for cold-weather cravings. These dishes demonstrate culinary creativity while remaining accessible, a hallmark of successful grocerant partnerships.

3.       Dine-In Exclusivity: By offering the half-price appetizer deal exclusively for dine-in customers, Wings and Rings strengthens their positioning as a social hub, where friends and families can gather to share great food and exciting moments during the playoffs.


Lessons from the Past

Looking back, similar strategies have proven effective for other brands during key cultural moments. Buffalo Wild Wings leveraged football season by offering wing deals tied to game outcomes, creating a shared experience among fans. Meanwhile, brands like Olive Garden’s Never-Ending Pasta Bowl and Red Lobster’s Endless Shrimp capitalized on the “more for less” appeal, becoming seasonal staples that reinforced their brand identity.

Wings and Rings’ focus on beer cheese aligns with this legacy of tapping into beloved comfort foods while showcasing exclusivity. The in-house preparation of Sam Adams Beer Cheese highlights quality and attention to detail, enhancing the overall guest experience.

Incremental Success Through Brand Partnerships

To build on their momentum, the Grocerant Guru recommends three strategies for Wings and Rings:

1.       Extend Brand Partnerships: Consider seasonal cross-promotions with Sam Adams for take-home meal kits, featuring the beer cheese and other branded ingredients, extending the brand beyond the restaurant walls.

2.       Digital Integration: Utilize social media campaigns where customers share their “Game Day” setups featuring Wings and Rings’ beer cheese items for a chance to win exclusive prizes.

3.       Community Engagement: Host watch parties with special discounts and giveaways, cementing the restaurant’s place as a football playoff destination.


Think About This

Wings and Rings’ latest promotions during football playoff season encapsulate the best practices of the grocerant industry. By strategically timing their LTOs, showcasing branded partnerships, and embracing the warmth of comfort food, they’ve positioned themselves as the go-to destination for both sports fans and casual diners. As history shows, the marriage of innovative food marketing and strong brand alignment is a proven recipe for success — and Wings and Rings’ 2025 lineup is a prime example.

Invite Foodservice Solutions® to complete a Grocerant ScoreCard, or for product positioning or placement assistance, or call our Grocerant Guru®.  Since 1991 Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche. Contact: Steve@FoodserviceSolutions.us or 253-759-7869

Want to Build a Larger

Share of Stomach

Think 




PARTNERSHIPS 

Thursday, January 16, 2025

The Rise of Digital Coupons: A Pathway to Brand Value in the Food Industry


 

As the food and beverage industry navigates the intersection of evolving consumer behaviors and digital innovation, one tool has surged in importance: digital coupons according to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®. These virtual savings mechanisms not only attract new customers but also drive loyalty, purchase frequency, and basket size. Yet, the path to success lies in seamless vertical integration. Here’s a look at how digital coupons work, why vertical integration is essential, and four compelling examples of success and failure in the industry.

How Digital Coupons Work in the Food Industry

Digital coupons leverage digital platforms—websites, apps, and emails—to provide discounts on specific products or services. Embedded with unique codes, they are activated at checkout, whether in-store or online. Their benefits extend beyond immediate cost savings:

1.       Data Collection: Digital coupons collect granular customer data, such as purchase history, preferences, and location.

2.       Dynamic Personalization: Retailers can tailor offers to individual customer profiles, driving higher redemption rates.

3.       Enhanced Targeting: Geofencing and app-based notifications ensure timely delivery of offers when customers are near a store or in the decision-making moment.

Food Industry Fact: According to Inmar Intelligence, over 80% of consumers prefer digital over paper coupons, citing convenience and sustainability. Additionally, digital coupons yield 40-50% higher redemption rates compared to their paper counterparts.

 


Why Vertical Integration Matters for Digital Coupons

To unlock full potential, digital coupons need to be vertically integrated into a retailer’s ecosystem, encompassing supply chain, marketing, POS (point-of-sale) systems, and loyalty programs. Vertical integration ensures:

1.       Real-Time Inventory Alignment: Avoid customer frustration by syncing offers with current stock levels.

2.       Operational Efficiency: Unified platforms reduce errors in applying discounts and prevent double redemptions.

3.       Customer Retention: Coupons tied to loyalty programs create a seamless experience that builds long-term brand equity.

Food Industry Fact: Retailers that integrate coupons into loyalty apps see customer retention rates soar by 15-20%, with average ticket size increasing by 30%.

 


Four Examples: Successes and Failures in Digital Couponing

1. Restaurants: Panera Bread’s Subscription Success

What’s Working: Panera introduced its Unlimited Sip Club subscription, which offers digital coupons for free coffee or tea daily. Integrated within their app, it drives return visits and larger orders.

Key Data: Panera reported a 70% increase in beverage category sales, with many Sip Club members purchasing additional items during their visits.

What Needs Improvement: While Panera excels at driving incremental visits, limited app adoption by older demographics highlights a need for broader usability and alternative access points.

2. Grocery Stores: Kroger’s Data-Powered Coupons

What’s Working: Kroger utilizes its loyalty card data to power digital coupons. Personalized offers are delivered via their app and website, with significant success in encouraging customers to try new products.

Key Data: Kroger’s customers who engage with their personalized digital coupons spend 35% more per visit and exhibit greater loyalty over time.

What’s Not Working: Despite its strong program, customers often complain of “clipped” coupons disappearing or not syncing properly at checkout, pointing to a need for better app integration and user experience refinement.


3. Convenience Stores: 7-Eleven’s Missed Integration

What’s Working: 7-Eleven offers digital coupons via its 7Rewards app for popular products like snacks and beverages, driving impulse purchases.

Key Data: Approximately 62% of app users redeem a digital offer within a week of receiving it.

What’s Not Working: Lack of real-time inventory management causes frequent out-of-stock situations, frustrating loyal customers. Additionally, limited coupons for fresh food items hamper their push into the Ready-2-Eat and Heat-N-Eat category.

4. QSR Chains: Burger King’s Mobile Offers Misstep

What’s Working: Burger King aggressively uses app-exclusive digital coupons to steal market share from rivals like McDonald’s and Wendy’s. These include steep discounts on combo meals.

Key Data: In select campaigns, Burger King saw app downloads spike by 63% after promoting app-only deals on social media.

What’s Not Working: Overreliance on steep discounts has eroded long-term profitability. Digital coupons intended to build app engagement end up training customers to wait for deals, diminishing brand value over time.

 


Key Takeaways for Digital Coupon Strategy

1.       Leverage Personalization: Harness customer data to provide tailored offers that resonate with individual purchasing habits.

2.       Integrate Loyalty Programs: Ensure digital coupons contribute to long-term retention rather than one-off purchases.

3.       Focus on Freshness: Retailers and restaurants need to tie discounts to high-margin fresh food categories to bolster brand differentiation and profitability.

4.       Mitigate Frustration: Properly align coupons with inventory and operational capabilities to avoid disappointing loyal customers.

Food Industry Fact: The NPD Group reports that retailers employing vertically integrated digital coupon strategies saw an average annual revenue lift of 8%, compared to 3% for those without vertical integration.

Digital coupons are no longer a “nice-to-have” but a crucial element for driving foot traffic, enhancing basket size, and building customer loyalty. By aligning operations, technology, and customer experience, brands can transform digital couponing into a powerful tool for growth. As the Grocerant Guru always says: "A digital deal well done brings customers back for more—and that’s the recipe for brand success."

Foodservice Solutions® specializes in outsourced business development. We can help you identify, quantify and qualify additional food retail segment opportunities or a new menu product segment and brand and menu integration strategy.  Foodservice Solutions® of Tacoma WA is the global leader in the Grocerant niche visit us on our social media sites by clicking one of the following links: Facebook,  LinkedIn, or Twitter



Wednesday, January 15, 2025

Popeyes Grocerant Game Day Bundle Instant Classic

 


Popeyes Louisiana Kitchen has once again proven its knack for capturing consumer excitement and taste preferences with the launch of its new Game Day Bundle, an instant classic aimed at playoff season gatherings according to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®. Drawing from its rich heritage of flavorful, Cajun-inspired meals and strategic bundling, the quick-service restaurant has set the stage for this latest offering to resonate with a wide range of consumers.

Historical Success Drives Consumer Connection

Founded in 1972 in Arabi, Louisiana, Popeyes has built its reputation on bold, flavorful offerings that celebrate the culinary traditions of Louisiana. From its iconic fried chicken to its beloved biscuits, Popeyes has historically leaned into its deep Southern roots to stand apart in the competitive quick-service landscape. Over the past five decades, the brand has continually innovated, introducing signature dishes and promotions that align with consumer trends. This latest Game Day Bundle is no exception, seamlessly blending affordability, convenience, and flavor.


Four Reasons the Game Day Bundle Will Resonate:

1.       Value for Group Dining:

o    At $24.99, the bundle delivers 24 wings, three regular sides, and four dipping sauces—a cost-effective solution for feeding a crowd. In a time when consumers are seeking more bang for their buck amid economic pressures, this bundle hits the sweet spot for value-conscious families and groups.

2.       Convenience Meets Customization:

o    The mix-and-match nature of the bundle—allowing consumers to select their preferred sides and dipping sauces—caters to diverse preferences within households or watch-party groups. In today’s grocerant age, where blending the convenience of restaurant-quality meals with home-based dining is key, Popeyes positions itself perfectly as the go-to choice.

3.       Innovative New Flavor Appeal:

o    The launch of Louisiana Garlic wings as part of this promotion showcases Popeyes’ ability to innovate while staying true to its roots. The garlic-infused buttery sauce reflects the authentic Cajun culinary traditions that make New Orleans a food mecca. This seasonal and regional nod heightens the flavor appeal during the pivotal Super Bowl season, when wings dominate game day spreads.


4.       Cultural and Social Relevance:

o    With New Orleans hosting its 11th Super Bowl next month, Popeyes’ Louisiana-inspired promotion feels especially relevant. Aligning the brand with major cultural and sports events—a practice it has honed over the years—helps amplify its visibility and relevance in the market. Consumers are drawn to brands that connect them to larger experiences, and Popeyes leverages this trend expertly.

Driving Growth and Future Opportunities

Beyond the Game Day Bundle, Popeyes continues to expand its global footprint. As a division of Restaurant Brands International Inc. (RBI), Popeyes boasts 3,465 restaurants worldwide as of September 2024. The brand’s commitment to international growth is exemplified by its recent partnership to open 500 locations in Brazil, a testament to the enduring popularity of its flavorful menu offerings.

The introduction of the Game Day Bundle underscores Popeyes’ strategic approach to growth through innovation. As consumer preferences shift toward ready-to-eat and heat-and-eat meals with authentic global flavors, Popeyes stays ahead by embracing a grocerant-style model that blends affordability, convenience, and culinary authenticity.

This season, Popeyes has served a touchdown with its Game Day Bundle, demonstrating why it remains a leader in the quick-service sector. Whether gathering for the playoffs or simply indulging in bold, satisfying flavors, consumers know they can count on Popeyes to deliver.

Foodservice Solutions® specializes in outsourced business development. We can help you identify, quantify and qualify additional food retail segment opportunities or a new menu product segment and brand and menu integration strategy.  Foodservice Solutions® of Tacoma WA is the global leader in the Grocerant niche visit us on our social media sites by clicking one of the following links: Facebook,  LinkedIn, or Twitter



Tuesday, January 14, 2025

DoorDash Pioneers Non-Traditional Food Distribution: A Grocerant Guru® Perspective

 




The evolution of food distribution continues to challenge legacy grocery stores. DoorDash, the delivery platform originally known for restaurant meal delivery, has rapidly expanded into diverse product categories successfully according to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®. Johnson asks, do your new food marketing ideations look more like yesterday than tomorrow?

Now, with products like cannabis-infused gummies, drinks, and candy joining its marketplace, the platform is positioning itself as a disruptor in non-traditional food retail. The Grocerant Guru® believes DoorDash’s willingness to explore unconventional products will erode the margins of legacy grocery stores.

Here’s how DoorDash is succeeding and why legacy grocers should take note.


Expanding Product Categories: The Cannabis Market Opportunity

DoorDash’s recent move into selling cannabis-infused products is emblematic of its bold strategy to embrace what legacy grocery chains typically avoid due to regulatory hurdles, image concerns, or operational complexities. The cannabis market is estimated to reach $57 billion globally by 2027, with edibles and beverages accounting for nearly 50% of sales. DoorDash is tapping into this lucrative category to meet shifting consumer preferences for wellness-oriented indulgence.

Legacy grocery stores often shy away from cannabis products due to challenges in licensing and potential brand image issues. In contrast, DoorDash’s nimble marketplace model allows it to partner with specialty retailers, bypassing the logistical hurdles faced by brick-and-mortar grocers. This agility gives DoorDash access to new customer demographics seeking cutting-edge product offerings.

 


Meeting the Demand for Convenience

According to food industry studies, 67% of consumers decide what to eat less than four hours before mealtime. Consumers prioritize convenience and time-saving solutions, making platforms like DoorDash indispensable in their decision-making processes. Beyond convenience, the addition of niche products like cannabis-infused gummies provides DoorDash with a unique selling proposition—consumers can now bundle restaurant meals with grocery items, snacks, and unconventional products in one transaction.

This innovation resonates deeply with younger consumers, particularly Millennials and Gen Z, who demand seamless access to curated goods that reflect their lifestyle choices. These generations value experiences over traditional shopping habits, gravitating towards platforms that combine entertainment, novelty, and convenience.

 


Eroding Grocery Store Margins

Legacy grocery chains operate on razor-thin margins—averaging 1-3% in profitability. Their reluctance to innovate and adopt high-demand, high-margin niche products leaves significant opportunities for non-traditional distributors.

DoorDash is leveraging its digital-first platform to exploit these weaknesses. It offers products unavailable in traditional grocery stores, driving incremental revenue while enhancing customer adoption rates. Consumers may initially turn to DoorDash for cannabis edibles but are likely to explore its other offerings, from fresh produce to restaurant meals. This creates a cascading effect where DoorDash becomes a go-to resource, further weakening the relevance of brick-and-mortar grocers.

Do You Want A Larger

Share of Stomach 


The Grocerant Guru's Take

From the perspective of the Grocerant Guru®, DoorDash’s strategy underscores three core principles of incremental success in non-traditional food distribution:

1.       Target Unmet Consumer Needs: DoorDash identifies and prioritizes underrepresented product categories—like cannabis-infused products—that resonate with emerging consumer demands.

2.       Leverage Partnerships Over Infrastructure: Unlike legacy grocery stores, which must integrate new products into their physical shelves, DoorDash relies on flexible partnerships with retailers to quickly test and deploy offerings.

3.       Emphasize Mix-and-Match Convenience: Bundling cannabis edibles, beverages, restaurant meals, and snacks simplifies decision-making for consumers, enhancing its value proposition.

DoorDash will continue to "eat away" at legacy grocery store margins as its innovation outpaces traditional retailers’ ability to adapt. With the cannabis category alone poised to redefine profitability benchmarks in food retail, DoorDash exemplifies how agility in product offerings leads to long-term dominance.

 


Implications for Legacy Grocery Stores

To remain competitive, traditional grocers must reconsider their aversion to high-margin, non-traditional product categories. Expanding into cannabis-infused goods, leveraging e-commerce for unique product bundling, and fostering digital partnerships can help grocers recapture lost market share.

However, without immediate action, the Grocerant Guru® predicts a seismic shift where DoorDash and other digital-first platforms not only exploit emerging trends but reshape the food distribution landscape, leaving legacy retailers struggling to maintain relevance.

The Takeaway: DoorDash’s ability to embrace unconventional opportunities underscores the evolving needs of today’s consumers. As it continues to innovate, legacy grocers must look beyond their comfort zones—or risk obsolescence

Don’t over reach. Are you ready for some fresh ideations? Do your food marketing ideations look more like yesterday than tomorrow? Interested in learning how Foodservice Solutions® can edify your retail food brand while creating a platform for consumer convenient meal participationdifferentiation and individualization?  Email us at: Steve@FoodserviceSolutions.us or visit us on our social media sites by clicking the following links: Facebook,  LinkedIn, or Twitter