From Rotisserie Riches to Rags: Learning from Boston Market's Decline

 

If success does leave clues, then failure leaves many as well.  Regular readers of this blog know that Boston Market, once a pioneer of rotisserie chicken and home-style meals, finds itself facing a slow fade. This isn't the first time a seemingly established brand has fallen from grace. The story of Boston Market's decline shares eerie similarities with the fall of the grocery giant A&P, offering valuable lessons for any business owner according to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®.

A Recipe for Decline

Both Boston Market and A&P were victims of failing to adapt. A&P, once a dominant supermarket chain, struggled to compete with the rise of discount grocers and more convenient options. Likewise, Boston Market's menu stagnation left it vulnerable to fresher, more health-conscious fast-casual chains.

Financial woes compounded the problem. A&P's expansion relied heavily on debt, while Boston Market cycled through ownership changes, leading to inconsistent strategies and cost-cutting measures that alienated customers. Lawsuits from unpaid vendors further tarnished Boston Market's reputation.

Avoiding a Similar Fate

So, how can businesses avoid this fate? Here are some key takeaways:

·         Evolve or Get Left Behind: Consumer preferences change rapidly. Regularly assess your offerings and adjust your menus or service models to stay relevant.

·         Prioritize Customer Satisfaction: A loyal customer base is your best defense. Invest in quality ingredients, friendly service, and a clean environment.

·         Manage Finances Wisely: Debt can be a burden, especially during downturns. Maintain a healthy financial buffer and avoid overextending yourself.

·         Invest in Your People: Happy employees translate to happy customers. Foster a positive work environment and prioritize fair wages and benefits.

Learning from the Past, Securing the Future

By understanding the missteps of brands like Boston Market and A&P, businesses can course-correct and ensure long-term success. Remember, the key is adaptability, customer focus, financial responsibility, and a commitment to your workforce. By staying ahead of the curve and keeping your customers at the heart of your strategy, you can carve out a sustainable path for your brand.

Success does leave clues. One clue that time and time again continues to resurface is “the consumer is dynamic not static”.  Regular readers of this blog know that is the common refrain of Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions®.  Our Grocerant Guru® can help your company edify your brand with relevance.  Call 253-759-7869 for more information. 

Boston Market Once Successful Now Stuck in Failure Mode according to the Grocerant Guru®

 

Boston Market, formerly known as Boston Chicken, began serving its homestyle meals of spit-roasted rotisserie chickens, made-from-scratch cornbread, and creamy mac and cheese in 1985. As it grew in popularity, it had about 1,200 locations at one time, according to Restaurant Business.  Today there are just over 300 locations in the United States and Puerto Rico. All the result of loss of customer focus.

However, in recent years, Boston Market has faced increasing competition from other foodservice providers, especially grocery stores that offer ready-to-eat and heat-and-eat meals for time-starved consumers. According to Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions® Boston Market has failed to adapt to the changing consumer preferences and has driven customers away with its outdated menu, lack of innovation, and poor customer service.

Johnson, who coined the term grocerant to describe any grocery store, convenience store, retailer, or restaurant that offers freshly prepared or ready-to-heat food to eat on the premises or to-go, says that Boston Market has not kept up with the grocerant trend that is reshaping the food industry. Instead, they focused on what they ‘wanted’ a brand of nostalgia filled with yesterday’s customers.

He says that consumers today are looking for convenience, variety, quality, and value when it comes to their food choices, and that grocery stores have been able to meet these demands by offering a wide range of products, from salads and sandwiches to sushi and pizza, that can be consumed on-site or taken home. Johnson says that grocery stores have also invested in improving their ambiance, service, and technology to create a more appealing dining experience for their customers.

Boston Market, on the other hand, has not changed much since its inception, according to Johnson. He says that the chain still relies on its signature rotisserie chicken and a limited selection of sides, such as mashed potatoes, corn, and macaroni and cheese, that are often bland, or perceived to unhealthy options. He says that Boston Market was late to introduced any new or exciting products, such as plant-based or ethnic options, that could attract new or younger customers. He also says that Boston Market has not leveraged its existing assets, such as its ovens, to create more diverse and customizable offerings, such as baked pasta, roasted vegetables, or flatbread pizzas.

Johnson also criticizes Boston Market for its lack of customer service and engagement. He says that the chain has not invested in training its staff, upgrading its facilities, or enhancing its online presence enough to garner incremental customer buy-in. He says that Boston Market’s website was slowly to update, slow to offer online ordering, delivery, or loyalty programs that were interactive and participatory. He says that the chain’s social media accounts are not interactive enough and do not invite customers to try its products. He says that the chain’s physical locations have often dirty windows, are uninviting, and that the staff are unfriendly, unprofessional, or unresponsive.

Johnson concludes that Boston Market has lost its competitive edge and relevance in the foodservice market, and that it needs to reinvent itself or risk becoming obsolete. He says that the chain needs to rethink its menu, service, and marketing strategies, and to embrace the grocerant concept that is driving the industry forward.

Want to Grow A

Larger Share of Stomach

Focus on the Customer 

He says that Boston Market has the potential to regain its customers and grow its business, but only if it is willing to change and innovate. He says that the chain should learn from its competitors, such as Whole Foods, Wegmans, and Costco, that have successfully implemented the grocerant model and have created loyal and satisfied customers.

He says that Boston Market should also listen to its customers and understand their needs, preferences, and feedback, and use them to improve its products and services. He says that Boston Market should not be afraid to experiment and try new things, and to create a more engaging and enjoyable dining experience for its customers. He says that Boston Market should not settle for being a mediocre and outdated restaurant chain, but strive to be a leading and innovative grocerant provider. What’s the cost of your company’s new customer acquisition? 

Success does leave clues as does failure. One clue that time and time again continues to resurface is “the consumer is dynamic not static”.  Regular readers of this blog know that is the common refrain of Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions®.  Our Grocerant Guru® can help your company edify your brand with relevance.  Call 253-759-7869 for more information. 

Boston Market if you Can’t Sell it Give it Away

 

Once the leader in grocerant niche Ready-2-Eat and Heat-N-Eat fresh prepared food is such a disappointment to Steven Johnson Grocerant Guru® and the team at Tacoma, WA based Foodservice Solutions® we have written about it time and time again:

https://grocerants.blogspot.com/2016/11/eating-in-or-eating-out-boston-market.html

https://grocerants.blogspot.com/2018/09/is-boston-market-still-struggling.html

https://www.linkedin.com/pulse/grocerant-grocerants-consumers-migrating-too-steven-johnson/

https://www.pinterest.com/pin/847943436060679938/

https://grocerants.blogspot.com/2022/11/boston-market-20-years-late-but-welcome.html

 

The fact is Boston Market lost its way when it lost Scott Beck.  While many placed the blame for over development and financing problems on Scott, he was focused on the customers wants and needs.  Ever since Scott’s departure the top focus at Boston Market was on investors not the customers in the minds-eye of Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®. 

Now it seems one could say they have more lawsuits than successful franchisees.  So, if you can’t sell new franchisee units to fuel growth, in still the hottest sector of retail foodservice the grocerant niche focused on Ready-2-Eat and Heat-N-Eat fresh prepared food you should just close the doors.  That just might be the next thing to happen.  If it does, its time that someone pick-up the scraps and bring in the team from Foodservice Solutions® to edify the brand message with consumers desires for fresh food fast.

Now in case you have not heard about the announcement of the buy-in-free “owner-operator profit center program” is the struggling brand’s first company announcement in 18 months. Dubbed “Boston Market Connect,” Here is what NRN wrote about it:

“The company differentiates this program from a typical franchising structure by allowing entrepreneurs to own and operate a Boston Market without any franchise fees. The company encourages interested parties to fill out a form that asks them their basic contact information, restaurant experience, interest in owning a Boston Market, and when they’d want to get started.

"The Boston Market name stands for itself and it is well known throughout the country," Boston Market parent company Rohan Group’s leader Jay Pandya said in a statement, adding that the company is specifically looking to expand in non-traditional real estate, like inside gas stations and delis. "Now, with everyone's support we will be able to provide our famous rotisserie chicken and delicious, homemade sides and family meals to everyone. We encourage anyone with a location and a desire to add Boston Market virtually to reach out and partner with us."

This announcement could be Pandya’s attempt to bring the company back from the brink of bankruptcy, and the buy-in-free structure is likely an incentive to encourage franchisees with little experience to give the struggling business a chance, starting in smaller locations, like inside delis and gas stations. Pandya himself declared personal bankruptcy last month, citing $10-$50 million in liabilities, and the same amount in assets. According to NRN sister publication, Restaurant Business, his bankruptcy request was recently dismissed because he had not provided insurance information on two properties he owned and was not responding to repeated requests for more information over the course of two weeks.

Do you want a Larger

Share of Stomach?

Call the Grocerant Guru®

According to a couple of former Boston Market corporate employees, this new program is ploy to try to get more money out of people, and that currently, the corporate offices remain empty:

"At this point it's just a way for him to scam someone," Gina Busby, former area director of operations for Boston Market said. "He owes millions to employees in unpaid wages, me included. He didn't report wages earned so people can't get unemployment. He fraudulently report supervisors as 1099 employees. He hasn't paid expenses owed. More lawsuits and class actions are coming his way."

The owner-operator profit center program is not the only news Boston Market announced this week. In the same press release, the company stated that it would start rolling out a new menu item from a different country around the world every six weeks, starting with chicken tikka and biryani: both comfort food staples from Pandya’s native India. But this new menu initiative faces multiple roadblocks; several of Boston Market’s food suppliers are engaged in lawsuits against the company, with US Foods’ $11.3 million lawsuit likely being the most high-profile case. Over the summer, NRN spoke with current and former store employees, who stated that they had to source basic menu ingredients from local grocery stores because their supplier contracts had run out.”

Any brand that places the customer second, third, or fourth when focusing on growth is going to struggle.  

Looking for success clues of your own? Foodservice Solutions® specializes in outsourced food marketing and business development ideations. We can help you identify, quantify and qualify additional food retail segment opportunities, technology, or a new menu product segment.  Foodservice Solutions® of Tacoma WA is the global leader in the Grocerant niche visit us on our social media sites by clicking one of the following links: Facebook,  LinkedIn, or Twitter

Will Albertsons Focus on Grocerant Meals

Optimism returns to the foodservice industry as COVID-19 vaccinations pick-up steam all around the U.S. according to Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions®. Hotel and restaurant workers can’t wait for the full reopening of locations.  There are 29 restaurants for every grocery store in the U.S. and grocery store,. Grocery employees are eager for their workload to return to post pandemic levels so they can catch a break.

Back in the day my friend Ron Paul founder and President of Technomic coined the term, home meal replacement (HMR) to describe why the outstanding success of Boston Chicken / Boston Market and why they had driving sales and customer migration success.  At that time Technomic had industry leading insights, did the work, that laid the laid the foundation for what is now termed the Grocerant niche.

Back in the day (1993- 1999) food Industry research focused on HMR.  While industry leading conferences and seminars all touted the newest, hottest, HMR research insights to garner participants. Ron Paul’s team insights would receive high marks from Titians of the Grocery store sector, leaders in the convenience store sector, and accolades from chain restaurant C-suites.

There was one common undercurrent of discontent from every sector at the time.  That was it was too expensive to adapt too the recommendations. Given the CEO’s moto, do no harm, they did little, but talk loudly, and talk it up. However, few back in the day moved forward with any seriousness while slowly testing the 'HMR' sector. 

Today, grocery store rotisserie chicken has taken center stage in most grocery stores service deli’s as a grocerant niche Ready-2-Eat and Heat-N-Eat staple.  Our own Grocerant Guru® continues to be disappointed with the quality of the product, and price at most grocery stores but believes it is the foundation for continued growth within that sector for the grocery store sector. 

Johnson credits both Ron Paul (Technomic) and Scott Beck (CEO 1991 of Boston Chicken / Market) for encouraging him to focus on Grocerant niche meal solutions.  Johnson did, and now Foodservice Solutions® and Johnson are both recognized as the global leaders.  Beck understood the consumer touchpoints driving customer migration better than anyone back in the day or today according to Johnson.

Battle for Share of Stomach

Albertson’s like all grocery stores at the time entered home meal replacement niche halfheartedly and failed, the slipped back doing what they always did, accepting slotting fees, and placed items on the shelf. 

Then came the next wave of HMR as grocery stores learned some were succeeding, then they all rushed to reentered once again. This time the research industry evolved as well creating a new name for the niche convenient meal solutions  (CMS)  It was simply updated HRM data repacked to garner increased food industry excitement and incremental attendance at industry conferences and seminars according to Johnson.

2021 will be challenging for all grocery stores including Albertsons Cos. Now after 28 years Albertsons President and CEO Vivek Sankaran agrees that meals are an increasingly important driver of growth in grocery.   Sankaran stated, “We are going to get into the meals business. [And] I think you’ll see more of the restaurant business and the supermarket business converging,” Yes, once again they realize customer touchpoints matter. 

Outnumbered by 29 restaurants for every grocery store, full of with consumer tired of being forced to cook at home during the pandemic Albertsons own consumer insights must point to the grocerant niche.  That said, when the HMR info was replaced with CMS, convenient meal solutions, that was because rather than offering fresh prepared food, grocers wanted to sell CPG food.  They wanted to do what they always did.  So they made fresh prepared food into a packaged product. 

That did not work.  Researchers tailored studies to give grocers the what they wanted.  That’s how some research companies stay in business at the time.  They tailored the info too focus on CMS, simultaneously down playing the fresh prepared food focus. Guess what that did not help anyone consumer continued to migrate to fresh food fast driving growth in the restaurant sector. 

The team at Tacoma, WA based Foodservice Solutions® did not do that.  The question everyone has to ask today is will Albertson’s talk fresh but deliver a CPG product?  If you look at companies the ilk of Kroger or Hy-Vee the odds are the messaging will be there but the grocerant niche fresh prepared food in large part won’t be according to Johnson.

Regular readers of this blog know that Sally the Robot is a compact salad-making machine. About the size of a vending machine, Sally dispenses a full menu of salads, along with customizable options. Spurred by a need for safer self-serve experiences in vertical markets like grocery, Hayward, Calif.-based Chowbotics has also developed a mobile app for fast, contactless ordering through Sally edifying relevant consumer touchpoints. 

The team at Foodservice Solutions® wonders out loud if Sally the Robot will do a better job with delivering grocerant niche Ready-2-Eat and Heat-N-Eat fresh food than Albertson’s.  Will slotting fee’s once again derail the grocery sectors success selling meals? 

Invite Foodservice Solutions® to complete a Grocerant Program Assessment, Grocerant ScoreCard, or for product positioning or placement assistance, or call our Grocerant Guru®.  Since 1991 Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant Niche. 

Boston Market Stumbles, Bumbles, and Fumbles

Every time we write about Boston Market, we inevitably receive an Email asking: how is it that Boston Market does not understand today’s consumers?  Or they ask: is it that they don’t like the growth and store sales that Scott Beck was able to develop?

First, I want to say as regular readers of this blog know, I like and respect Scott Beck.  I did not meet him when the company was still called Boston Chicken.  I met him after they expanded the name to Boston Market, while I was working with cybermeals.

Beck’s ability to articulate, understand, time starved consumers, and the price, value, service equilibrium was simply unparalleled within the food industry at time.  I will say here right now that in my minds-eye no one that has come after him to lead Boston Market has come close to being able to execute a mission statement that has any relevance for today’s consumers.   

Back in the day when Sun Capital Partners bought Boston Market it had 630 stores open. Last year with only 454 stores open; they closed 10% leaving them with around 400 units for ‘underperformance’.  Food industry insiders know that Sun Capital Partners has not has much success growing brands it bought within the restaurant sector.  However, Boston Market has to be one of its biggest disappoints since the grocerant niche continue to BOOM.  

The simple fact is Boston Markets has had plans, strategic pathways, and CEO after CEO and none of them have had a plan to edify the need-set of the consumer.  The attributes of grocerant niche Ready-2-Eat and Heat-N-Eat fresh prepared are absent if you look at the stores.  No one knows why, but while the slow dribbling of store closures continues.  Boston Market has another plan.

In another sign that CPA's must be running Boston Market rather than the food marketing team, Boston Market Baby Back Ribs, the new limited edition BAE-by Back Ribs Bouquet will be available for purchase on Friday, February 14 in all Boston Market restaurants nationwide while supplies last for $29.99 each. So, how can they be so out of touch with today's consumers? If you know drop us a line.  

Yes, all of that is according Foodservice Solutions® own Tacoma, WA based Grocerant Guru®, Steven Johnson.

Are you ready for some fresh ideations? Do your food marketing tactics look more like yesterday that tomorrow?  Visit www.FoodserviceSolutions.us for more information or contact: Steve@FoodserviceSolutions.us Remember success does leave clues and we just may have the clue you need to propel your continued success.

Quit Closing Stores and Enter the

Battle for Share of Stomach

Boston Market Evolving Thanksgiving Meals

2019 Marks the tenth year Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions® has written about Boston Market the chain he loves to like.  However, as regular readers of this blog know Boston Market according to Johnson has lost its way.  Over the past ten years Boston Market has closed more stores than it has opened and in the minds of many consumer continues to have less relevance today then it did back then.

However, once again Boston Market wants to save you time cooking Thanksgiving.  They have looked at who their customers are, tried to figure out what they wanted for a holiday meal.  They now have a plethora too many holiday meal options to suit Johnson. So, let’s take a look:

1.       Holiday Heat & Serve: Chilled complete meals that include entrees, appetizers, sides and pies to feed four to 12 for as little as $10 per person are fully cooked and can be picked up at any Boston Market restaurant the week of Thanksgiving. Guests can even order a Complete Whole Roasted Turkey Meal for 12, which consists of a whole roasted turkey, mashed potatoes and gravy, vegetable stuffing, spinach artichoke dip and crackers, cranberry walnut relish, dinner rolls, one apple pie and one pumpkin pie.

2.       Holiday Catering: Hot, ready-to-serve, buffet-style dinner for crowds of ten or more start at $10.99 per person and can be delivered straight to any home or office or picked up at any Boston Market restaurant.

3.      Holiday Home Delivery: Twelve complete Thanksgiving spreads, a la carte sides and desserts can be shipped directly to your door with the push of a button. Now through Sunday, November 24, anyone in the contiguous United States can visit BostonMarket.com and order from a wide range of signature Boston Market Thanksgiving meal options, choosing their ideal match. Each pre-cooked order will ship frozen and, once fully thawed, be ready to heat and serve within two to three hours.

4.       A La Carte: Perfect for those Boston Market guests who may need an extra entree, side, appetizer or dessert to get their holiday dinner table-ready, guests can order chilled, fully cooked options for pick up in restaurant the week of Thanksgiving.

5.       Thanksgiving Day Meal: Nearly all Boston Market locations will be open on Thanksgiving Day to offer guests who wish to dine-in or carry-out a traditional plated holiday meal featuring sliced roasted turkey breast or half signature rotisserie chicken, two sides, a dinner roll and a slice of apple or pumpkin pie for $13.99. A Family Feast for 3, whole pies and home style side dishes can also be picked up on Thanksgiving Day, while supplies last.

6.       Boston Market fans can also get an extra bonus when placing an order or dining with Boston Market this holiday season thanks to the new “Rotisserie Rewards” program. The loyalty program, available via the new Boston Market mobile app for iOS and Android, online at BostonMarket.com or in-restaurant, will allow customers to earn one point for every dollar they spend in-restaurant or online, which can be redeemed for free food and other exciting prizes – including a free holiday meal for 12 or even a one-ton helping of any of its world-famous sides.

While grocerant niche fresh food sales have exceed 9.7% a year for the past 10 years Boston Market’s sales have not.  Grocerant niche consumers are migrating to avenues of distribution with a clear message, fresh food, fast service, that is priced right.  If your price, value, service are in-line with consumer expectations your year over year customer counts will be down.  Looking a customer ahead requires to know who, your customers are, what they are eating, and where they are eating it.

Don’t try to be all things for everyone eating Thanksgiving Dinner.  Do what you do best.  Need Help doing that.  Watch your Holiday sales if your year over year customer counts are off.  Call us.  If they are not up as high as grocerant niche sales, call us.  Success does leave clues.  Don’t close stores, grow stores top line sales and bottom line profits.

Foodservice Solutions® team is here to help you drive top line sales and bottom-line profits. Are you looking a customer ahead? Visit www.FoodserviceSolutions.us for more information or contact: Steve@FoodserviceSolutions.us Remember success does leave clues and we just may the clue you need to propel your continued success.