Wednesday, May 16, 2012

Retail foodservice competition intensities.

The future has already arrived; it’s just not evenly distributed.” A quote made famous by William Gibson sure comes to mind don’t you think.  Fresh prepared “better for you” food and food options are driving success within the grocerant niche which continues growing rapidly.

Regional food retailers risk being marginalized by new concepts with smaller footprints, lower cost of goods and faster service.  Food retailers must understand the new dynamics in the industry and react properly in order too accelerate growth.  The focus is on the Grocerant ready-2-eat and heat-N-eat fresh and prepared food.

Here is what we understand; consumer discontinuity in food retailing began in 2005 and continues. New points of distribution are growing, while becoming smaller in size.  Fresh made to order food inside Walgreens, Ikea, Costco, food trucks, and Amazon Fresh are but just a few examples.

Successful convenience store operators the likes of Sheetz and Wawa once two notable regional players are now seeing 7 Eleven entering the fresh food meal niche.  In fact 7 Eleven will open more than two stores a day this year most will not offer gas. Casey’s General Stores continues to drive sales and frequency while increasing fresh food offerings and expanding with new units.  What do we think? 

Many restaurant companies the ilk of Darden and Brinker will need to undergo continue and additional scrutiny in order to find a repositioned niche that will sustain them over time.  Legacy grocery stores that are seemingly stuck in the middle will simply fade away.  Wal-Mart’s supply chain advantage and industry research advantages will simply prove too much.  The added points of fresh prepared food distribution in the retail channel offered by Walgreens and Rite Aid will renew the local neighborhoods and rekindle community to that sector.

William Gibson quote: The future has already arrived; it’s just not evenly distributed.” How many of you are prepared for 2013.  If you have been waiting to see what’s next?  If so you might have just missed the bus. Contact Foodservice Solutions® for successful competitive positioning within the grocerant niche.
Foodservice Solutions® specializes in outsourced business development. We can help you identify, quantify and qualify additional food retail segment opportunities or a brand leveraging integration strategy.  

Foodservice Solutions of Tacoma WA is the global leader in the Grocerant niche visit Johnson, or

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