Good Food News: Gen Z Showing Leadership

 

The food industry is undergoing a major transformation, driven in large part by the changing preferences and digital habits of Generation Z. From restaurants and convenience stores to grocery retailers, businesses are recognizing the need to adapt their strategies to meet the demands of this socially connected, health-conscious, and convenience-driven generation. Recent data from FMI’s "The Power of Produce 2025" report underscores how Gen Z is influencing the produce industry, leveraging social media, e-commerce, and innovative engagement strategies to shape the future of food marketing and distribution.

As the Grocerant Guru® has long pointed out, the convergence of foodservice and retail has been accelerated by younger consumers who prioritize convenience, quality, and digital discovery. Here are five ways Gen Z is showing restaurants, convenience stores, and grocery stores how to connect with consumers and stay relevant, ultimately driving top-line sales and bottom-line profits.

1. Social Media as a Discovery Engine for Food Trends

Gen Z is redefining food marketing through social media platforms like Instagram, TikTok, and YouTube. According to FMI’s report, 94% of produce shoppers actively use social media, with 36% discovering new fruits and vegetables through these channels. Retailers and foodservice operators that harness the power of visually engaging content, influencer partnerships, and interactive campaigns can drive product awareness and increase trial rates.

2. E-Commerce and Digital Integration in Food Retail

The growth of online food purchasing is accelerating, with 31% of consumers planning to order more fresh produce online next year. Gen Z expects seamless digital experiences, from mobile ordering to in-app promotions and loyalty rewards. Grocery stores, restaurants, and c-stores that optimize their digital presence with user-friendly apps, subscription-based meal services, and direct-to-consumer options will capture more of this tech-savvy audience’s spending power.

3. Convenience and Value-Added Offerings Drive Sales

Gen Z places a high value on convenience, contributing to the $14.6 billion in sales for value-added produce in 2024. Ready-to-eat meals, meal kits, and pre-cut produce are particularly appealing to this demographic. Food retailers that expand their selection of grab-and-go and heat-and-eat items while ensuring a fresh, high-quality experience will see continued growth in this sector.

4. Health and Wellness-Driven Purchasing Behavior

Health-conscious consumers are prioritizing nutrition, with 34% actively searching for healthier food options and 46% seeking more information about produce health benefits. Restaurants and food retailers that emphasize transparency in ingredient sourcing, promote plant-based and functional foods, and educate consumers through digital and in-store experiences will align with Gen Z’s lifestyle choices and increase customer loyalty.

5. Engaging Experiences that Build Community and Loyalty

Beyond just purchasing food, Gen Z values experiences and authenticity. Whether through interactive cooking classes, in-store tastings, or community-driven social media campaigns, brands that create engaging, memorable moments will build deeper connections with younger consumers. Encouraging user-generated content, rewarding brand loyalty through personalized incentives, and leveraging AI-driven personalization will further enhance engagement.

Think About This

Gen Z is leading the charge in reshaping the food industry, utilizing digital platforms, prioritizing convenience, and embracing healthier lifestyles. Restaurants, grocery stores, and convenience stores that adapt to these shifts by leveraging social media, enhancing digital experiences, and offering value-added, health-focused options will not only stay competitive but thrive. As the Grocerant Guru® has often emphasized, the future of food is all about meeting consumers where they are, and for Gen Z, that means blending the physical and digital worlds to create seamless, engaging, and satisfying food experiences.

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Dollar General Consumers Fresh Food Alternative Advantage over Legacy Grocers

 

In an era where legacy grocery stores struggle to maintain consumer relevance, Dollar General has rapidly emerged as a competitive force in the fresh food market according to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®. The discount retailer, known for its convenience and affordability, now operates over 19,000 branded stores across the United States, more than any traditional grocery chain. With its continued expansion and commitment to fresh food accessibility, Dollar General is positioning itself as a formidable alternative to conventional grocers.

The Rise of Dollar General’s Fresh Food Expansion

Dollar General’s investment in fresh food is exemplified by the recent opening of a state-of-the-art distribution center in North Little Rock, Arkansas. The $160 million facility spans approximately 1 million square feet and is designed to support the company’s DG Fresh network, which specializes in distributing perishable products. This strategic move allows Dollar General to streamline its fresh food supply chain, ensuring that consumers in rural and underserved areas have access to affordable, quality groceries.

Beyond supply chain enhancements, Dollar General has also deepened its community engagement. The company’s donation of $20,000 to the Arkansas Food Bank underscores its commitment to addressing food insecurity. Over time, Dollar General’s contributions in the area have equated to over 300,000 meals, reinforcing its mission of "Serving Others."

Five Key Advantages of Dollar General over Legacy Grocers

1.       Unmatched Store Presence – With over 19,000 locations, Dollar General surpasses all grocery chains in terms of physical stores. This expansive footprint allows for greater convenience, particularly in rural and suburban communities where traditional grocery stores are scarce.

2.       Affordability – Dollar General offers budget-conscious consumers an opportunity to purchase essential grocery items at lower prices compared to traditional supermarkets. The company's emphasis on private-label brands also provides cost-effective alternatives.

3.       Convenience and Speed – Shoppers can quickly access essentials without navigating massive supermarket aisles. This streamlined shopping experience is increasingly attractive to consumers seeking efficiency in their grocery trips.

4.       Expansion into Fresh and Perishables – With the implementation of the DG Fresh network, Dollar General is rapidly increasing its offerings of fresh produce, dairy, and meat, making healthy food options more accessible.

5.       Community Investment and Philanthropy – By supporting food banks and creating jobs through new distribution centers, Dollar General strengthens its community ties, enhancing customer loyalty.

Legacy Grocery Stores: Struggling to Keep Up

While Dollar General gains traction, legacy grocery chains face growing challenges that hinder their ability to compete effectively:

1.       Declining Consumer Relevance – Many traditional supermarkets have failed to adapt to changing consumer preferences, leading to reduced foot traffic and declining sales.

2.       Higher Prices – Due to operational costs, supply chain inefficiencies, and reliance on name-brand products, legacy grocers often struggle to match Dollar General’s competitive pricing.

3.       Limited Store Expansion – Unlike Dollar General’s aggressive growth strategy, most legacy grocers focus on urban and suburban areas, leaving rural communities underserved.

4.       Cumbersome Shopping Experiences – Large-format grocery stores require more time for shopping, making them less appealing for quick trips compared to Dollar General’s compact and efficient layout.

5.       Supply Chain Challenges – Traditional grocery chains often rely on third-party distributors, leading to higher costs and logistical inefficiencies. In contrast, Dollar General’s DG Fresh initiative provides greater control over perishable inventory.

Think About This

Dollar General’s aggressive expansion, affordability, and commitment to fresh food accessibility position it as a dominant player in the grocery market. As legacy grocery stores struggle with declining consumer relevance, Dollar General continues to capitalize on its strengths, offering an increasingly viable fresh food alternative. With its expanding footprint and innovative supply chain solutions, Dollar General is not just competing with traditional grocers—it is redefining the grocery shopping experience for millions of Americans.

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Topgolf: Interactive, Participatory, and Fresh Fun

 

Interactive, participatory fresh food experiences—particularly those featuring hand-held food for immediate consumption—continue to captivate consumers across all demographics, especially Millennials seeking discovery. According to Steven Johnson, Grocerant Guru® at Tacoma, WA-based Foodservice Solutions®, brands that fuse dining with immersive entertainment are driving innovation and securing long-term consumer engagement.

Topgolf is a prime example of this trend. The company recently announced a strategic partnership with esports company Super League Gaming, reinforcing its leadership in interactive entertainment while expanding its foodservice offerings in a highly engaging format. This move aligns with a broader industry shift where experiential venues integrate foodservice to enhance consumer dwell time and spending.

Interactivity Drives Brand Relevance

for a Larger Share of Stomach

Esports and Foodservice Convergence

Esports is a rapidly growing industry, with the average number of concurrent viewers on Twitch more than doubling to 1.3 million over the past two years. Competitive video gaming has birthed leagues around games such as "Overwatch," "Fortnite," and "League of Legends," where top players earn millions. Recognizing the business potential, traditional sports organizations, including the NBA, have launched their own esports leagues.

Restaurant chains, often grappling with a declining dine-in culture, are increasingly incorporating esports elements to attract digital-native customers. Buffalo Wild Wings, for instance, has integrated video gaming into its store design, and now Topgolf is positioning itself as an esports-friendly entertainment hub.

To kick off this initiative, Topgolf will launch its Super League Gaming event series in Las Vegas, featuring "Super League Clash Nights," centered around the mobile game "Clash Royale." This follows a previous partnership between Topgolf and electronics giant TCL to establish esports lounges within select venues, outfitted with real-time gameplay broadcasts on TCL televisions, including live streams from Twitch, YouTube, and other digital platforms.

"Topgolf has established one of the most impressive experiential brands in the world and recognizes that esports can be a significant additional growth engine for their business," said Matt Edelman, Chief Commercial Officer of Super League Gaming.

The Role of Strategic Partnerships in Foodservice Growth

The convergence of entertainment and foodservice is not new, but strategic partnerships amplify the impact. The synergy between Topgolf and Super League Gaming highlights how collaborations can enhance brand relevance, increase consumer engagement, and drive incremental sales.

Topgolf’s multilayered entertainment complexes already boast high-tech golf experiences, climate-controlled hitting bays, live music, and events. The food and beverage offerings include a menu rich in shareable, portable items—appetizers, flatbreads, sandwiches, burgers, and handcrafted cocktails—designed to complement the entertainment experience seamlessly.

Johnson emphasizes that strategic partnerships serve as a proven platform for driving both top-line revenue and bottom-line profits. “This relationship is an outstanding example of how a brand can drive incremental adoption, injecting fresh electricity into brand relevance.”

The New Electricity in Foodservice Innovation

What is the “new electricity” that will propel brands forward? According to Johnson, brand relevance stems from innovation in food offerings, new distribution channels, and enhanced customer experiences.

“The new electricity must be highly efficient for the supply chain and encompass fresh foods, free sampling, beer programs, urban brand collaborations, grocerant positioning, fresh food messaging, autonomous delivery, cashier-less retail, digital hand-held marketing, and esports,” he explains.

To remain competitive, food retailers must embrace the artificial intelligence revolution while simultaneously offering fresh, portable, and familiar food options with a differentiated edge. Whether through esports, gamification, or unique partnerships, the brands that successfully integrate interactive experiences with quality food will thrive in the next generation of retail and entertainment.

Is your brand ready to harness the new electricity of experiential dining?

Don’t over reach. Are you ready for some fresh ideations? Do your food marketing ideations look more like yesterday than tomorrow? Interested in learning how Foodservice Solutions® can edify your retail food brand while creating a platform for consumer convenient meal participation, differentiation and individualization?  Email us at: Steve@FoodserviceSolutions.us or visit us on our social media sites by clicking the following links: Facebook,  LinkedIn, or Twitter

The 7 Undercurrents Driving Grocerant Niche Adoption in 2025

 

The evolution of Ready-2-Eat and Heat-N-Eat fresh food has surged over the years, with 2025 proving to be a landmark moment for the grocerant niche. These retail food solutions cater to time-starved consumers seeking convenience, quality, and value. Steven Johnson, Foodservice Solutions® Grocerant Guru®, based in Tacoma, WA identifies seven powerful undercurrents driving this growth and adoption based on over 11,370 Grocerant ScoreCards conducted to date.

1. Heightened Competition for Share of Stomach

The grocerant sector continues to expand as innovative companies challenge traditional foodservice outlets. Emerging players like Foxtrot Market, The Goods Mart, and Kitchen United Mix exemplify this trend, blending convenience and culinary excellence to capture modern consumers’ attention. Traditional grocers like Kroger have upped their game with more robust meal solution offerings, intensifying the battle for food dollars.

2. Enhanced Mix-and-Match Meal Bundling

Flexibility in meal choices remains a hallmark of the grocerant niche. Retailers and restaurants offering mix-and-match options empower customers to assemble their ideal meals. Leaders like H-E-B, Sheetz, and QuickChek are reimagining meal bundling with diverse, globally inspired components, aligning with evolving dietary preferences and expanding consumer appeal.

3. Customization and Personalization

Millennials and Gen Z demand tailored dining experiences. The ability to customize meals with dietary preferences, portion sizes, or specific ingredients drives loyalty and sales. Brands like Sweetgreen, Chipotle, and Tesco Finest Meal Deal enable this individualization, fostering deeper connections with their audiences by promoting choice and transparency.

4. Small Plates, Big Flavors, and Portability

Portability remains a key attribute in the grocerant segment, with on-the-go options growing exponentially. Popular formats include small plates with bold, authentic flavors. Leading chains and stores, from Trader Joe’s single-serve entrées to 7-Eleven’s bento box offerings, cater to a wide range of tastes while prioritizing convenience and quality.

5. Technology-Driven Solutions

In 2025, tech-enabled grocerants are offering streamlined pickup and delivery experiences. Smart refrigerators, app-based ordering systems, and AI-driven inventory management bolster operational efficiency while enhancing customer satisfaction. Companies like Amazon Fresh and Just Walk Out by Amazon demonstrate the integration of technology in reshaping the retail food landscape.

6. Health-Conscious and Ethical Choices

Today’s consumers are more informed and selective about what they eat. The growth of plant-based meals, sustainable packaging, and ethically sourced ingredients underpins many grocerant offerings. PLNT Burger and Imperfect Foods have built success on this premise, proving that sustainable can also be profitable.

7. Dynamic Pricing Strategies

Aldi’s ethos—"Poor people must save, rich people like to"—remains a guiding principle in pricing strategies. Promotions, tiered meal bundles, and subscription discounts attract a diverse customer base. Lidl and Dollar General successfully integrate these strategies to ensure relevance across socioeconomic segments.

3 Food Marketing Trends That Ensure Grocerant Growth Will Continue

1.       Hyper-Personalized Marketing: Grocerants leverage consumer data to curate hyper-targeted promotions and loyalty programs, tailoring offers to individual preferences. Retailers like Albertsons utilize advanced analytics to ensure relevancy and boost engagement.

2.       Content-Driven Brand Engagement: Cooking tutorials, recipes featuring bundled items, and influencer partnerships are driving consumer interaction and educating audiences about the versatility of grocerant offerings. Whole Foods Market leads the charge with innovative digital content.

3.       Local Sourcing Partnerships: By emphasizing local and regional partnerships, grocerants strengthen brand trust and resonate with community values. Retailers such as Hy-Vee and Ralphs increasingly highlight farm-to-table partnerships to align with consumer priorities.

Understanding these undercurrents and trends is essential for brands aiming to stay competitive in 2025 and beyond. Grocerants that integrate customer relevance and continuous innovation will solidify their position as dominant players in the foodservice sector.

The 7 Undercurrents Driving Grocerant Niche Adoption in 2025

The evolution of Ready-2-Eat and Heat-N-Eat fresh food has surged over the years, with 2025 proving to be a landmark moment for the grocerant niche. These retail food solutions cater to time-starved consumers seeking convenience, quality, and value. Steven Johnson, Foodservice Solutions® Grocerant Guru®, identifies seven powerful undercurrents driving this growth and adoption based on over 10,000 Grocerant ScoreCards conducted to date.

1. Heightened Competition for Share of Stomach

The grocerant sector continues to expand as innovative companies challenge traditional foodservice outlets. Emerging players like Foxtrot Market, The Goods Mart, and Kitchen United Mix exemplify this trend, blending convenience and culinary excellence to capture modern consumers’ attention. Traditional grocers like Kroger and Publix Aprons Meals have upped their game with more robust meal solution offerings. Convenience stores such as Circle K, RaceTrac, and Casey’s General Stores are also investing heavily in high-quality, freshly prepared meal options, intensifying the battle for food dollars.

2. Enhanced Mix-and-Match Meal Bundling

Flexibility in meal choices remains a hallmark of the grocerant niche. Retailers and restaurants offering mix-and-match options empower customers to assemble their ideal meals. Leaders like H-E-B, Sheetz, and QuickChek are reimagining meal bundling with diverse, globally inspired components. Restaurants such as Panera Bread, Cava, and Essen Slow Food Fast are enhancing bundling concepts by integrating sides, entrées, and beverages tailored to evolving dietary preferences.

3. Customization and Personalization

Millennials and Gen Z demand tailored dining experiences. The ability to customize meals with dietary preferences, portion sizes, or specific ingredients drives loyalty and sales. Brands like Sweetgreen, Chipotle, and Tesco Finest Meal Deal enable this individualization, fostering deeper connections with their audiences by promoting choice and transparency. Convenience stores like Wawa, GetGo, and Rutter’s have added customizable sandwiches, salads, and coffee options to meet this demand.

4. Small Plates, Big Flavors, and Portability

Portability remains a key attribute in the grocerant segment, with on-the-go options growing exponentially. Popular formats include small plates with bold, authentic flavors. Leading chains and stores, from Trader Joe’s single-serve entrées to 7-Eleven’s bento box offerings, cater to a wide range of tastes while prioritizing convenience and quality. Restaurants like Panda Express, Zoës Kitchen, and Taco Bell Cantina have capitalized on bold, portable options for busy diners.

5. Technology-Driven Solutions

In 2025, tech-enabled grocerants are offering streamlined pickup and delivery experiences. Smart refrigerators, app-based ordering systems, and AI-driven inventory management bolster operational efficiency while enhancing customer satisfaction. Companies like Amazon Fresh and Just Walk Out by Amazon demonstrate the integration of technology in reshaping the retail food landscape. Restaurants such as Domino’s and Wingstop are leveraging advanced order tracking and AI-powered loyalty programs to keep customers engaged.

6. Health-Conscious and Ethical Choices

Today’s consumers are more informed and selective about what they eat. The growth of plant-based meals, sustainable packaging, and ethically sourced ingredients underpins many grocerant offerings. PLNT Burger, Imperfect Foods, and Beyond Sushi have built success on this premise, proving that sustainable can also be profitable. Convenience stores like Kwik Trip and Love’s Travel Stops now feature healthier snack options and vegan-friendly meals to capture this growing segment.

7. Dynamic Pricing Strategies

Aldi’s ethos—"Poor people must save, rich people like to"—remains a guiding principle in pricing strategies. Promotions, tiered meal bundles, and subscription discounts attract a diverse customer base. Lidl, Dollar General, and Save A Lot successfully integrate these strategies to ensure relevance across socioeconomic segments. Restaurants such as McAlister’s Deli and Cosi also leverage pricing promotions to encourage weekday traffic while boosting brand appeal.

3 Food Marketing Trends That Ensure Grocerant Growth Will Continue

1.       Hyper-Personalized Marketing: Grocerants leverage consumer data to curate hyper-targeted promotions and loyalty programs, tailoring offers to individual preferences. Retailers like Albertsons and restaurants like Noodles & Company utilize advanced analytics to ensure relevancy and boost engagement.

2.       Content-Driven Brand Engagement: Cooking tutorials, recipes featuring bundled items, and influencer partnerships are driving consumer interaction and educating audiences about the versatility of grocerant offerings. Whole Foods Market and restaurants such as Seasons 52 lead the charge with innovative digital content.

3.       Local Sourcing Partnerships: By emphasizing local and regional partnerships, grocerants strengthen brand trust and resonate with community values. Retailers such as Hy-Vee and restaurants like The Little Beet increasingly highlight farm-to-table partnerships to align with consumer priorities.

Understanding these undercurrents and trends is essential for brands aiming to stay competitive in 2025 and beyond. Grocerants that integrate customer relevance and continuous innovation will solidify their position as dominant players in the foodservice sector.

Don’t over reach. Are you ready for some fresh ideations? Do your food marketing ideations look more like yesterday than tomorrow? Interested in learning how Foodservice Solutions® can edify your retail food brand while creating a platform for consumer convenient meal participation, differentiation and individualization?  Email us at: Steve@FoodserviceSolutions.us or visit us on our social media sites by clicking the following links: Facebook,  LinkedIn, or Twitter