Tuesday, January 3, 2012

Where is the beef: are there too many burger joints?

When it comes to ready-2-eat fresh prepared food, there is nothing that sells better in the U.S. than the hamburger.  In fact two of 2011’s fastest growing restaurant chains sell hamburgers as their mainstay product Smashburger and Five Guys Burger and Fries.
However the USDA reports that over the past 10 years, per capita beef consumption at 57.4 lbs., down 13 percent and down about 25 percent from 1980. In 2012, USDA predicts, Americans will eat 54.1 lbs. of beef on average.
There is a confluence of events particularly the rise of the grocerant niche pulling consumers away from traditional home cooked meals and cooked from scratch meals with beef as the main dish.  Today a plethora of outlets offer ready-2-eat and heat-N-eat fresh prepared meal components that are utilizing leaner meats as well as vegetarian offerings and many meals / components that simply focus on the “better for you” health-conscious.
Chris Calkins professor at University of Nebraska said that “Beef suppliers, like Tyson Foods, JBS, Cargill, and National Beef, are carving up beef carcasses in interesting new ways. Carcass portions that were once meant for ground meat or roasts, such as rounds and chucks, are now sliced into cheaper cuts of steaks for the American palate. These less expensive cuts became popular during the recession.”
However the recession will end.  Grocerant retailers are not going away they are expanding offerings, locations and even more competitive pricing. What will become of the over supply of burger joints?
Invite Foodservice Solutions® to complete a grocerant program assessment, brand, product placement or positioning assistance.  Since 1991 Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche visit Facebook.com/Steven Johnson, Linkedin.com/in/grocerant or twitter.com/grocerant.

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