Tuesday, January 20, 2015

What Grocery Sector Disruptor is Selling 1 Million Meals a Month?

What’s for dinner?  Customers are not thinking of going to the grocery store creating a menu, buying an entree, vegetables, bread, desert ingredients as the first choice as they one did.  In fact Foodservice Solutions® Grocerant Guru™ stated “ both the grocery sector and restaurant sector must quickly adapt or risk losing sizable market share” when speaking about new Meal-Kit Delivery services.  

One company targeting the dinner sector expects to double it current size this year.   That company is Blue Apron. Blue Apron is one of a group of start-up Meal-Kit Delivery subscription service companies targeting dinner with the goal of revolutionizing how consumers are planning, preparing and the pleasure of dinner. 

Matt Salzberg Blue Apron CEO reveled that since the company launched in August of 2012, sales have been strong. In fact sales growth is showing such vibrancy that the sector is garnering new competiors, yet little attention from legacy operators. Which surprises no one that follows either legacy sector. 

Salzberg reported that “Today, Blue Apron is delivering more than 1 million meals per month to customers across the country--up from zero when the company launched in August 2012. That is 1 million meals not sold in grocery stores or at restaurants a month from but one company.  Equipped with an integrated marketing plan Blue Apron recently launched a marketplace enabling consumes to buy the same cooking supplies that the staff in our test kitchens are using.

Understanding that the consumer is dynamic not static and driven by customer demand Blue Apron is now offering a ‘family plan”.  It’s a program specifically designed for families, so recipes portioned for a family of four people. Salzberg thinks it will double the current target market size.  

Success does leave clues.  1 Million meals a month from Blue Apron combined with the 1 Million a month from Hello Fresh and legacy retailers are losing right now just from these two companies 2 Million meals a month.  It may seem a drop in the bucket today.  What is does show is the demand of non-traditional fresh food options?  Ready-2-Eat and Heat-N-Eat fresh prepared grocerant niche food is changing the face of retail food in the US and around the world.  Are you prepared? Do you need Outside Eyes?

 Invite Foodservice Solutions® to complete a grocerant program assessment, grocerant scorecard, brand, or product placement assistance.  Since 1991 www.FoodserviceSolutions.us  of Tacoma, WA has been the global leader in the Grocerant niche. Contact: Steve@FoodserviceSolutions.us or 253-759-7869 

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