Showing posts with label CPG. Show all posts
Showing posts with label CPG. Show all posts

Sunday, June 21, 2026

Fresh is the New Front Door: Why Ready-2-Eat and Heat-N-Eat Foods Are Defining Grocery Success

 


Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions® for decades, has maintained that consumers do not wake up thinking about retail channels—they wake up thinking about meals. Today's consumer is asking a simple question: "What's for breakfast, lunch, dinner, or a snack?" The retailer that answers that question most effectively wins the transaction, the loyalty, and increasingly the long-term customer relationship.

The newly released Logile 2026 State of Fresh Grocery Shopping Report reinforces what the Grocerant Guru® has documented for over 30 years: fresh food is no longer simply a department—it is a strategic growth platform.

According to Logilehttps://www.logile.com, 91% of consumers say fresh departments strongly influence whether they trust a grocery store. That finding should not surprise anyone paying attention to evolving food consumption patterns. Fresh produce, deli, bakery, and prepared foods now serve as a visual representation of the entire brand experience.

Consumers increasingly judge a retailer within seconds of entering a store. A vibrant produce department, a well-stocked service deli, freshly prepared meals, and appetizing bakery displays communicate operational excellence, quality, and value. Conversely, empty shelves, bruised produce, or poorly maintained displays signal neglect and drive shoppers elsewhere.


Fresh Departments Drive Store Switching

Perhaps most notable is that 78% of consumers reported shopping at a different grocery store because another retailer's fresh departments looked better.

That statistic highlights a profound shift in consumer behavior. Loyalty today is increasingly earned transaction by transaction rather than inherited from habit.

Consumers have become highly mobile shoppers. Between grocery stores, convenience stores, warehouse clubs, restaurants, meal delivery platforms, and digital ordering options, food shoppers have more choices than at any time in history.

Fresh food has become one of the strongest competitive differentiators.

The report found that when convenience was equal, 46% of shoppers selected the retailer with better fresh offerings while only 40% selected the lower-priced option. This finding underscores the continuing evolution of the Grocerant Guru® Price-Value-Service Equilibrium.

Consumers still seek value, but value today extends beyond price. Quality, freshness, convenience, portability, meal solutions, and time savings increasingly influence purchase decisions.


The Real Battleground: Ready-2-Eat and Heat-N-Eat Foods

The most revealing statistic in the report may be that 68% of shoppers said hot prepared meals would encourage purchases from a store's deli or prepared foods section.

That finding aligns with broader industry trends.

Research from FMI and Circana has consistently shown that approximately 80% or more of evening meals are sourced and consumed at home. Yet consumers simultaneously report having less time to cook and less interest in extensive meal preparation or cleanup than previous generations.

The result is a powerful opportunity for retailers that provide meal solutions rather than ingredients alone.

Consumers increasingly seek:

·       Ready-2-Eat meals requiring no preparation

·       Heat-N-Eat meals requiring minimal preparation

·       Mix-and-match meal components

·       Grab-and-go snacks and mini-meals

·       Portable meal bundles

·       Family meal solutions

·       Restaurant-quality meals at retail prices

The modern consumer wants the experience of eating at home without the labor associated with cooking from scratch.

That means fewer pots and pans.

Fewer dishes.

Less meal planning.

Less food waste.

Less time in the kitchen.

More time with family.

The retailers that deliver those outcomes consistently are winning market share.


Why Consumers Still Want to Shop Fresh In-Store

The report found that 74% of consumers continue shopping in physical stores because of fresh food offerings.

This represents one of grocery retail's strongest defenses against digital disruption.

Fresh food engages all the senses. Consumers want to see the produce, smell fresh bakery items, evaluate prepared meals, and visually assess quality before purchasing.

While digital ordering continues to grow, fresh departments remain a key traffic generator that online platforms struggle to fully replicate.

Consumers continue to rely on visual cues when purchasing food. Logile found that 85% of respondents say produce appearance significantly impacts buying decisions.

Freshness communicates confidence.

Confidence drives purchases.

Purchases build loyalty.


Fresh Food Is the Ultimate Brand Signal

The report also found that 84% of consumers believe a poorly maintained produce or fresh section negatively affects their perception of the entire store.

That reinforces a critical reality.

Consumers often use fresh departments as a proxy for operational competence.

If produce appears neglected, shoppers frequently assume similar problems exist throughout the store.

Conversely, retailers that execute fresh effectively create a halo effect across all categories.

This is particularly important as grocers compete not only with traditional supermarkets but also convenience stores, warehouse clubs, dollar stores, quick-service restaurants, fast-casual chains, and delivery platforms.

The competition is no longer store versus store.

It is meal versus meal.


Channel Blurring Continues to Accelerate

The Grocerant Guru® has long argued that consumers think in terms of meals and meal occasions, not retail channels.

Today, prepared foods from supermarkets compete directly against restaurant takeout.

Convenience stores compete against quick-service restaurants.

Warehouse clubs compete against family meal bundles.

Meal kits compete against deli prepared foods.

Consumers simply choose the solution that best balances quality, convenience, value, and speed.

As a result, fresh prepared foods have become one of the most important tools for maintaining customer relevance and driving repeat visits.

Retailers that excel in fresh execution are no longer merely selling groceries.

They are selling time.

They are selling convenience.

They are selling meal solutions.

And increasingly, they are selling restaurant-quality food consumed at home.


Four Insights from the Grocerant Guru®

1. Fresh Prepared Foods Are Becoming the New Anchor Department
Prepared foods, Ready-2-Eat meals, and Heat-N-Eat solutions are increasingly driving store visits in the same way produce once did. The retailers that invest in prepared foods will capture more meal occasions and larger baskets.

2. Consumers Want Home Dining Without Home Cooking
Consumers continue to prefer eating at home, but they increasingly reject the time commitment associated with meal preparation and cleanup. Retailers that reduce both cooking time and dishwashing time create measurable value.

3. Mix-and-Match Meal Bundling Drives Incremental Sales
Customers increasingly assemble meals from multiple departments—deli entrees, fresh sides, bakery items, beverages, and desserts. Retailers that merchandise complete meal solutions rather than individual items will outperform competitors.

4. Freshness Is the New Trust Metric
Price remains important, but freshness has become a primary indicator of retailer credibility. Consumers increasingly judge the entire brand experience based on the appearance, availability, and quality of fresh food offerings.

The retailers that understand fresh food is no longer a department—but a complete meal solutions platform—will be the ones that remain relevant as consumer expectations continue to evolve.


Elevate Your Brand with Expert Insights

For corporate presentations, regional chain strategies, educational forums, or keynote speaking, Steven Johnson, the Grocerant Guru®, delivers actionable insights that fuel success.

With deep experience in restaurant operations, brand positioning, and strategic consulting, Steven provides valuable takeaways that inspire and drive results.

Visit GrocerantGuru.com or FoodserviceSolutions.US Call 1-253-759-7869



Monday, June 1, 2026

Mariano’s Built a Grocerant Before America Was Ready—Now the Market Has Changed Again

 


Mariano’s: Half Grocerant, Half Grocery, Half Right

For more than 20 years, Mariano’s has stood as one of the most ambitious examples of “channel blurring” in modern food retail. Long before retailers widely embraced food halls, chef-driven prepared foods, fresh meal solutions, and experiential merchandising, Mariano’s attempted to redefine what a supermarket could become.

The problem was never vision.

The problem was timing, allocation, and operational equilibrium.

Back in the early 2010’s when Bob Mariano described the concept as “half grocery store, half restaurant,” the idea sounded revolutionary. Consumers walked into stores with oyster bars, sushi counters, coffee stations, barbecue platforms, wine bars, gelato shops, chef-prepared meals, fresh sliced bread, rotisserie stations, hot bars, and expansive fresh perimeter merchandising that looked more like an upscale food hall than a traditional supermarket.

At the time, many analysts compared Mariano’s to Wegmans Food Markets because both chains recognized something most legacy grocers missed: consumers were beginning to migrate away from “ingredient shopping” toward “meal solution shopping.”

That insight proved correct.

What Mariano’s understood earlier than most retailers was that consumers increasingly wanted:

·       Ready-2-Eat fresh food

·       Heat-N-Eat meal replacement solutions

·       Restaurant-quality experiences

·       Immediate gratification

·       Flexible meal customization

·       Convenience without sacrificing quality

Yet despite all of that innovation, Mariano’s never fully solved the profitability equation that defines successful modern grocerants.


The Grocerant Problem Mariano’s Never Fully Solved

Foodservice Solutions® Grocerant Guru® has long maintained that many legacy retailers overcorrect in one direction or another:

·       Too much reliance on low-growth center-store CPG products

·       Or too much space devoted to labor-intensive fresh prepared foods

Mariano’s attempted to live directly in the middle.

That middle ground created excitement—but not always sustainable operational leverage.

Today’s retail food environment is no longer simply about selling groceries. It is about owning “Share of Stomach” across multiple dayparts:

·       Breakfast

·       Lunch

·       Snacking

·       Dinner

·       Late night

·       Immediate consumption

·       Planned family meals

·       Solo eating occasions

That requires relentless operational precision.

In 2025 and 2026, consumers continue shifting toward frictionless meal solutions. According to multiple industry studies:

·       More than 70% of U.S. consumers purchase prepared foods at least once per week

·       Convenience stores are rapidly expanding fresh foodservice programs

·       Restaurant carryout now competes directly with supermarket deli departments

·       Digital ordering and loyalty personalization increasingly determine meal selection

·       Solo dining continues reshaping portion sizing and merchandising strategies

The modern food battle is no longer grocery versus restaurant.

It is every food retailer versus every consumer eating occasion.

That is the battleground Mariano’s entered early—but never fully optimized.

Mariano’s Was Built for Discovery Before Discovery Became Mainstream

One reason Mariano’s initially generated so much enthusiasm was because the stores created “food exploration.”

Consumers did not simply shop there.
They wandered.

The store environment encouraged impulse purchases, grazing, discovery, and meal substitution. That strategy anticipated today’s experiential retail movement years before many competitors.

Yet discovery alone does not drive bottom-line profitability.

Fresh prepared foods bring:

·       Higher labor costs

·       Greater shrink exposure

·       Operational inconsistency

·       Training complexity

·       Food safety demands

·       Supply chain volatility

Meanwhile, center-store packaged goods still generate important inventory turns and margin stability.

This is where Mariano’s became “half right.”

The chain recognized where consumer behavior was heading but struggled to fully recalibrate store economics around modern meal-based retailing.


Why C-Stores and Quick-Service Restaurants Are Winning Share

Ironically, many convenience stores and quick-service restaurant chains adapted faster than traditional supermarkets.

Companies like Casey's General Stores, Wawa, Sheetz, and Buc-ee's now compete aggressively in fresh prepared foods, grab-and-go meals, and personalized ordering.

At the same time, retailers like Costco Wholesale and Trader Joe's simplified assortments while maximizing velocity and operational efficiency.

Meanwhile, restaurant chains embraced digital ordering, loyalty ecosystems, and delivery optimization faster than most supermarkets.

Mariano’s sits somewhere between all of these models:

·       Too experiential to operate like a discount grocer

·       Too grocery-centric to operate like a restaurant chain

·       Too broad operationally to achieve the simplicity consumers increasingly reward


The Consumer Has Changed Faster Than the Store Model

Twenty years ago, consumers still planned meals several days ahead.

Today many consumers decide what’s for dinner within hours—or even minutes—of eating.

Meal planning fragmentation has accelerated because:

·       More Americans eat alone

·       Households are smaller

·       Hybrid work changes eating schedules

·       Convenience expectations are higher

·       Mobile ordering reduces planning friction

·       Consumers increasingly mix restaurant, grocery, delivery, and convenience channels interchangeably

The result is that retailers must now compete in real time.

Consumers no longer think in channels.

They think in cravings, convenience, speed, value, and personalization.

That reality continues reshaping every food retailer in America.


Mariano’s Future Depends on Operational Clarity

Mariano’s deserves credit for helping move the industry toward experiential fresh food retailing. In many ways, the company anticipated where modern food retail was headed.

But the next phase of growth requires sharper focus.

Success today is not about being “half grocery and half restaurant.”

Success is about:

·       Precision assortment

·       High-velocity meal solutions

·       Labor optimization

·       Digital integration

·       Personalization

·       Cross-daypart relevance

·       Fresh food consistency

·       Data-driven merchandising

Consumers now expect all of it simultaneously.

That is why Mariano’s remains half grocerant, half grocery, and still only half right.

Four Insights From the Grocerant Guru®

1.       The future winner in food retail will not be defined by store size—it will be defined by how many meal occasions they capture per customer each week.

2.       Consumers no longer separate grocery stores, restaurants, convenience stores, and delivery apps into different mental categories. They simply ask: “Who feeds me easiest right now?”

3.       Prepared fresh foods are becoming the new traffic driver for food retail, replacing many traditional center-store categories that once anchored supermarket profitability.

4.       The retailers winning in 2026 are not those with the most products. They are the retailers reducing consumer decision fatigue while delivering immediate meal relevance.

Success Leaves Clues—Are You Ready to Find Yours?

One key insight that continues to drive success is this: "The consumer is dynamic, not static." This principle is the foundation of our work at Foodservice Solutions®, where Steven Johnson, the Grocerant Guru®, has been helping brands stay relevant in an ever-evolving market.

Want to strengthen your brand’s connection with today’s consumers? Let’s talk. Call 253-759-7869 for more information.

Stay Ahead of the Competition with Fresh Ideas

Is your food marketing keeping up with tomorrow’s trends—or stuck in yesterday’s playbook? If you're ready for fresh ideations that set your brand apart, we’re here to help.

At Foodservice Solutions®, we specialize in consumer-driven retail food strategies that enhance convenience, differentiation, and individualization—key factors in driving growth.

5.       Email us at Steve@FoodserviceSolutions.us Connect with us on social media: Facebook, LinkedIn, Twitter