Slotting fees do not build brand value in retail foodservice.

The transformation of food retail is underway. Brand managers have been hired by retail food store chains adding value too the private label products that they manufactured and sell. Private label products in many cases today are valued more for quality than price by consumers thanks to the brand managers. Much of the credit can be given to PLMA and its 30 year record of educating and elevating the industry.

PLMA recently stated that “ Store brands have enjoyed an exceptional period of growth recently, as sales gains across all three of the major retail channels – supermarkets, drug chains and mass merchandisers – have outstripped national brands in consecutive sales quarters stretching back to the start of 2008. In the most recent quarter for which statistics are currently available, store brands posted overall sales growth of +2%, while national brand sales declined by -1.6%. Store brands today account for virtually one of every four products sold in supermarkets.”

Safeway, Kroger, Walgreens, 7 Eleven, Wawa and Sears are now all selling fresh prepared ready-to-eat and ready-to-heat grocerant food most of which is private label. Grocerant fresh prepared food is driving top line sales while building brand loyalty and customer frequency. PLMA will continue to flourish, while brand managers have found a new home within the grocerant niche of fresh prepared ready-to-eat and ready-to-heat food.

http://www.foodservice.com/articles/show.cfm?contentid=4112&title=Restaurant Consumer Discontinuity

Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in consulting within the Grocerant niche for more on Steven A. Johnson and Foodservice Solutions on AOL search Grocerant, at ASK.COM search grocerant or visit http://www.linkedin.com/in/grocerant or on Facebook at Steven Johnson or BING / GOOGLE: Steven Johnson Grocerants