Sunday, June 14, 2015

Whole Foods When the Customer Moves Move with Them




There is a reason that retail foodservice sector leaders are leaders they lead.  Foodservice Solutions® Grocerant Guru™ said “Whole food repositioning is the right thing to do at the right time. When the customer is on the move industry leaders must move with them.”

Whole Foods Co-CEO John Mackey plans to start a new store format to appeal to the “millennial generation.”  The new store will be called 365 by Whole Foods Market.  The facts speak for themselves. According to data from the U.S. Census Bureau,, monthly sales at restaurants exceeded grocery stores sales last year for the first time on record.  

The consumer is on the move and with prevailing changes in consumer tastes and behaviors in flux retailers must adjust according to our Grocerant Guru™. 

Here is some of what else has been reported “Twenty-five to 34 year-olds are more interested than their older counterparts in buying “food away from home,” according to research from Morgan Stanley MS -0.65%.  Barkley, a Kansas City-based advertising agency, and BCG reported that in-store delis are more important to Millennials than to older customers.  A study by King Retail Solutions found more consumers, particularly younger ones, are buying their groceries at big box stores.

Technology is changing the face of Food retail, C-store Casey’s General Stores announced just last week they are rolling out delivery.  Whole Foods needs to integrate meals and meal kit delivery into the 365 concept as well according to Foodservice Solutions® team. 

In fact delivery should be a key component of all Whole Foods store offerings.  The focus should be on instant delivery yes Right Here Right Now just the way that  Amazon Fresh and Instacart  are doing, and it must include daily meal kits and prepared meals options according to our Grocerant Guru™.  

Food industry Start-Ups are turning into disruptors you know the companies if you are a regular reader of this blog companies the ilk of  Blue Apron (meal kits) and Munchery (chef-cooked meals) are growing in popularity with customers and investors alike. If Whole Foods wants to become a relevant player meeting the needs of evolving customers’ integrating meal kits and meals are a must.

Since prepared foods has already become a significant part of the company’s sales and stores’ square footage; it only makes sense to increase it in order to appeal to customers who want freshly prepared foods but don’t want to do the fresh preparation.  New concept new pricing formulas moving away from price per pound and closer to restaurant style complete meal price points would elevate consumer mind-set to fresh, fast, flavorful food.

We have but one questions can Jeff Turnas, a 20-year Whole Foods Market veteran,  look at the new concept with Outside Eye’s or will he simply do what grocer’s always seem to do.  That is very small incremental change that will garner attention for a couple of years, not customers for a lifetime.

Are you trapped doing what you have always done and doing it the same way?  Interested in learning how Foodservice Solutions 5P’s of Food Marketing can edify your retail food brand while creating a platform for consumer convenient meal participationdifferentiation and individualization?  Email us at: Steve@FoodserviceSolutions.us or visit:  www.FoodserviceSolutions.us for more information.

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