Tuesday, December 22, 2015

Whole Foods 365 Might be ‘Better for All’

Foodservice Solutions® Grocerant Guru® is continually asked about current and past retail foodservice disruptors.  Recently the questions and inquires have all focused around Whole Foods new niche? First let me say Whole Foods has been and continues to be a disruptor!  Whole Foods continues to be the food messenger with integrity albeit an ‘expensive message’.  The halo of better for you encompasses Whole Foods and that halo is filled with grocerant niche Ready-2-Eat and Heat-N-Eat fresh prepared food.  

So, when asked if I ever thought Whole Foods would go private I said yes, they should and here is why:

1.       They could escape legacy outdated industry metrics that are irrelevant focused on past retail food customer behavior and patterns while they reposition 365 into the market place.
2.       They would have time to expand the consumer driven quality Ready-2-Eat and Heat-N-Eat offerings by day-part driving incremental visits, top line sales, and bottom line profits as the halo of organic slips and fresh and fresh prepared are garnering incremental customers. 
3.       They would have time to reposition all current Whole Foods to 365 expanding the brand reach, edify customer base, garner new customers from legacy brands that don’t reposition.
4.       They could better compete with the ilk of Aldi, Lidl, WinCo and Trader Joe’s that are simply gobbling up market share in every country that they operate.  The US will be no different.
5.       They would have first mover advantage over Kroger, Publix, while possible eliminating Albertsons from relevance. After all Aldi & Lidl will be a very big problem for all of Albertson’s brands. 

Simple put 2016 will be a pivotal year for the grocery sector with Lidl and Aldi investing / committing in excess of $ 6 Billion over the next three years the playing field will change.  Whole Foods has the advantage they have the ‘halo’ of better for you with industry messaging integrity that cannot be disputed. The ‘better for you’ space is theirs to own according to our Grocerant Guru®.

Yes, I know they said they are not going private. Wall Street calls, questions, and inquires drive change but even Wall Street says follow the customers and you can win.  That is just Whole Foods is doing with 365.  I think they Whole Foods should go all in with 365.  Whole Foods should drive better for you fresh prepared grocerant niche Ready-2-Eat and Heat-N-Eat food throughout 365 and they will win. 

Are you trapped doing what you have always done and doing 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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