Priced competitively with ever increasing food quality improvements, grocery and convenience stores have placed the restaurant sector into a battle for share of stomach. All of this has created and ideal situation for consumers. Particularly in number of new food outlets selling fresh prepared ready-to-eat and ready-to-heat food, while price points continue to fall in each sector.
I see no easing of competition during 2010. With unemployment lingering around 10% and gasoline prices continuing to rise this battle will last well into 2011. Even then, new points of food distribution will be well established in the minds eye of the consumer.
There will be winners and losers. Chain restaurant franchisees and regional grocery stores will lead among the losers. Winners will be proactive restaurant chains and national grocery stores chains the likes of Safeway, Kroger, and restaurant companies Buffalo Wild Wings and Subway. The surprise winner could just be a couple of regional convenience store that focuses on fresh prepared food and growth. That niche is directly competing with QSR’s, providing quality, choice and price bundling time savings with quality food. Where are you defining your niche or defending it?
Foodservice Solutions based in Tacoma, WA is the global leader in the grocerant niche. For product, or program assessments or winning strategies within the grocerant niche call 253-759-7869.