When
fast casual restaurants, quick service restaurants, and full service
restaurants don’t provide fast service, distinctive differentiated fresh food,
bundled Mix and Match meal components customer counts will decline.
The
competitive fresh food landscape is evolving faster than legacy chain
restaurants operators have been willing to accept. With continue flat or down year over year
customer counts the restaurant sector is feeling the undercurrents of consumer
migration according to Foodservice Solutions® Grocerant Guru™ Steven
Johnson.
There
is a “direct correlation between customer frequency of visits, speed of
service, price and portability” according to Johnson each directly relating
back to Foodservice Solutions® 5 P’s of Food Marketing.
Technomic
reported new research that directly supports Foodservice Solutions® findings
specifically:
·
Sixty-four
percent of consumers report visiting fast-food restaurants at least weekly, and
40 percent patronize fast casuals as often.
·
Patronage
is significantly more frequent at fast-food than at fast-casual concepts; twice
as many consumers visit fast-food (39 percent) as fast-casual (19 percent)
restaurants more often than once a week.
·
Delivery
occasions have increased slightly at LSRs. Further, more than a quarter expect
fast-food (30 percent) and fast-casual (28 percent) delivery, while similar
proportions say this service could encourage patronage.
Many legacy restaurants have discounted this global
trend. Legacy operators don’t’
understand the undercurrents of fresh prepared food customer’s migration and
the scale of success it is finding.
Let’s take a quick look at what is happening.
Elliot Fread, CEO of Long Island City-based Bimmy’s (a gourmet wholesale catering company) sales “11,000 sandwiches,
salads, and other prepared meals to just 44 Walgreens (Duane Reade NYC). That is 250 meal occasions a day per location
that at one time went to restaurants or could be going to a restaurant today.
How many meals to you sell a day?
In the Philippines Chef
Claude helped launch three packaged Filipino comfort dishes through the
country’s 7-Eleven franchise “that aim to be healthier and better tasting than
typical ready-to-eat meals.” That is immediately
consumable fresh foods which id & Elevens focus. Emmanuel
Lee Esguerra, marketing communications manager of Philippine Seven Corporation,
stated: “Although Chef Creations is more expensive than our usual meals, it is
market dictated.” He added that it took almost a year to finalize the three
meals because Chef Claude wanted to guarantee tasty meals without compromising
on ingredients. “Everything was made from scratch; no instant powder was used,”
7 Eleven is clearly focused
on customer frequency of visits, speed of service,
price and portability and seeking to garner additional restaurant customer
migration with Ready-2-Eat and Heat-N-Eat Grocerant niche fresh prepared food.
Is you company selling meals to the customer of yesterday or the customer of
today? Are your customer counts
increasing? By the way don’t forget
Pinkies Liquor stores are selling fresh in store prepared Ready-2-Eat and
Heat-N-Eat food.
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