Digital Food Messaging Is the Foundation for Food Marketing in 2023

 

Your customers first option when looking up “what’s for dinner” is on a hand-held device, either a phone or tablet.  Digital food marketing is simply the cost of admission in the world of fresh food marketing according to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®.

Outside eyes and open our eyes to a different view of and old story.  Who moved my customer?  Johnson asks does your brand messaging look more like 2001, 2011, or 2021 that digital brand marketing of today?

There is no doubt that the tug-of-war between staff shortages and consumer demand will continue into 2023, according to turnkey solution provider SWIPEBY. The company believes retailers, restaurants, grocery stores and others in consumer-facing food industries will need to deploy digital solutions if they want to survive and thrive in the current climate and the team at Foodservice Solutions® agrees 100%.

According to SWIPEBY, large chains with internal IT and marketing departments have already been implementing new technology to stay in front, allowing them to further pressure independent operators. As smaller stores look ahead through the new year, SWIPEBY offers several predictions to keep in mind in order to stay competitive.

Carl Turner, founder and CEO of SWIPEBY, stated, "We're seeing successful operators deploying digital solutions that drive new and repeat business," … "Food is hot when the customer pulls up to the virtual drive-thru lane of a local Mexican restaurant thanks to geofencing location technology. A customer places an order or enrolls in a subscription with a c-store so that their morning coffee (with two creams) is delivered to them at the gas pump. All is a result of technology's impact on independent retailers."

Recently, SWIPEBY advised operators to own to build brand loyalty online. This will include investing in their own apps — as opposed to operating through a third-party partner — and building reward points directly into the app. Further, they should launch their own online ordering for curbside pick-up or delivery, and work to ensure their information isn't usurped in Google searches by third-party delivery companies.

Online ordering for small stores and independents will also see a major uptick in the next few years, with major chains such as Pennsylvania-based Wawa Inc. and Irving, Texas-based 7-Eleven Inc. already upgrading their apps and  installing features such as drive-thru lanes to ease the process of curbside pickup. Smaller c-stores should follow their lead and ensure their digital technology can compete in the online service market.

Now, SWIPEBY predicts that customers will prioritize personalization and convenience and will be more willing to trade some personal data for it. Retailers should seize this opportunity and take a cue from companies like Amazon and Etsy to customize the online experience, such as using a customer's location information to deliver local on-brand messages. 

The team at Foodservice Solutions® believes that SWIPEBY’s applications for brick-and-mortar businesses to offer virtual drive-thru for their customers. Their platform allows businesses to connect with customers through online ordering, delivery, pick-up, re-marketing and geofenced arrival notifications. Founded in 2019 in Winston-Salem, SWIPEBY opened an additional office in Miami in July 2021.

Are you ready for some fresh ideations? Do your food marketing ideas look more like yesterday than tomorrow? Interested in learning how our Grocerant Guru® 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 one of the following links: Facebook,  LinkedIn, or Twitter

Outside Eyes Can Drive Restaurant, C-Store, and Takeout Food Sales

 

Grocerant niche Ready-2-Eat and Heat-N-Eat fresh prepared meals and meal components continue to drive customer adoption, retail service change, and food industry sector upheaval according to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®. 

Recently FoodMix Marketing Communications’ 2023 Predicted Food Trends that Johnson believes our regular readers would benefit from reading.  That said let’s take a look:

Sustainability Becomes More Specific.

Look for consumers to be more engaged in the how and why a company is offering a sustainable product. With the success of emerging practices like regenerative agriculture, people will want to know the extent of how their purchases will impact the earth and future generations.

The Point Is to Become More Purposeful.

A company’s vision, mission and values are now more meaningful than ever to audiences, and, the younger the generation, the more important they are. Appealing to consumers’ hearts and souls will continue to be a successful strategy as a connection to the WHY will always help build Brand Love.

This Isn’t Your Grandfather’s Early Bird Special.

Early bird specials and loyalty programs are primed to heat up this year as younger generations seem less interested in staying out as late as their older counterparts did at the same age. Plus, with a recession looming, the discounts associated with these earlier deals will lure in more crowds than ever before.

Happy Days Are Not Quite Here Again – But That’s Reason to Eat Out.

Despite inflation and recession – or perhaps because of them – we expect consumers to return to restaurant dining rooms in 2023 out of the primal need for connection and community. They may skip an appetizer or dessert to economize, but they will still gather around for a meal.

Mushrooms Come Out of the Dark.

Thanks to their meaty texture and umami-rich flavor, mushrooms will certainly solidify their place in the culinary space in 2023. While there are plenty of (processed) vegan offerings on the market, it’s impossible to compete with this naturally plant-based superfood that lends itself to various cooking styles and craveable preparations.

Social Media Will Further Drive Food Trends.

In an ironic twist, foot traffic is coming back at brick-and-mortar thanks to social media. Consumers will continue to rely on digital influences to lead them to the best in recipes, restaurants and other food-related trends. For example, a new study shows 53% of millennial TikTok users visited a restaurant after seeing it on the app.

Mocktails Will Get More Creative (and Healthier) with the Addition of Fresh Produce.

When it comes to the latest trend in beverages, the mocktail, creativity will reign supreme and fresh produce will play a bigger role as bright and vibrant flavors offer up the healthy zip that consumers crave in their non-alcoholic concoctions.

Metaverse, Not So Fast.

Pioneers of the metaverse are retrenching, and it looks as if branded NFTs have lost their luster, because as 2023 will prove, generating actual revenue from investments still matters.

 

Dan O’Connell, CEO and founder of FoodMix Marketing Communications, stated, “As a food-and-beverage–centric agency, we have our finger on the pulse of upcoming trends, and 2023 promises to be one of the most fascinating years yet for the entire industry,” .. “From drinking less and craving the back-to-basics comforts, to eating earlier and shopping purposefully, consumers will be determined to make this upcoming year one they will have fond memories of.” The team at Foodservice Solutions® agrees.

Invite Foodservice Solutions® to complete a 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. Contact: Steve@FoodserviceSolutions.us or 253-759-7869

In 2023 Food Consumers are Educated, Engaged, Empowered

 

Grocerant niche Ready-2-Eat and Heat-N-Eat fresh prepared food will be at the intersection of creating an educated, elevated, engaging family meal in 2023.  Food retailers including restaurants, convenience stores, grocery service delis and dollar stores will all be competing for a larger share of stomach in this sector driving down prices while saving consumers time in 2023.

According to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®, stated, “Price, Portability, Palate pleasing, will be the drivers of success in within the Ready-2-Eat and Heat-N-Eat fresh food space throughout 2023.”

 The price of food will also be top of mind in the new year, with shoppers looking for extreme flavors, nostalgic foods, global cuisines and more. Holistic health and wellness will also rate highly for consumers, especially as Mintel found that 78% believe healthful eating is important for their emotional well-being. Expect shoppers to seek out products that support cognition and focus, stress and sleep, and mood.

1. Supermarkets uphold “stomach share” gains from restaurants.

Grocery industry executives still remark at how the food-at-home trend has continued well beyond the pandemic, and many think it has now reached the point of behavior change among consumers. That is, consumers—many of whom continue to work remotely—like what grocery stores have to offer for their daily meals and find the value appealing. This sentiment is likely to strengthen as supermarkets boost their deli grab-and-go and foodservice offerings and food-at-home price inflation relaxes, providing consumers a strong option to the high pricing at restaurants.

Frictionless shopping, MFCs among hot technologies.

You can’t give new-year predictions without naming leading technologies. Here are two. Next year, more shoppers will expect to be able to skip the checkout line at chain grocery stores (and convenience stores) through frictionless payment systems such as scan-and-go, smart shopping carts and solutions like Amazon’s Just Walk Out. Also, expect more food retailers to roll out automated micro-fulfillment centers (MFCs) to support elevated online grocery demand and help build e-commerce profitability.

Value grocers add market share.

The trust that value-focused grocery chains built up with consumers amid high inflation will continue to pay dividends in 2023 in the form of more market share. Even with inflation easing up, food shoppers liked what they saw from these grocers—not just in terms of value, but also selection, quality and convenience—and will keep them in their grocery shopping mix.

One of 2022’s big labor stories was the sudden success unions found in organizing Starbucks and a number of small quick-service chains. Among the developments we’re likely to see in the new year is a shift in organized labor’s attention to full-service brands, with priority given to combating the tip credit.

Washington, D.C., has already lost the concession to full-service operators, and a Michigan court is deliberating right now on whether that state’s credit will be scuttled, too.

But that’s just the beginning. Republicans’ control of the U.S. House of Representatives makes the possibility of killing the credit on a national basis unlikely, but expect to see considerable activity on the state, county and municipal level.

Additionally, 41% of consumers are choosing low- to no-alcohol drinks to be healthier, according to Mintel sober bars study. There’s only a handful of completely alcohol-free bars now, but as sober socialization gains popularity, especially among Gen Z consumers, more of these will pop up. They serve inventive drinks made with alcohol-free spirits, and offer games, events and other fun activities to entice guests. There already are shops that sell only zero-proof spirits, beer and wine. The team at Foodservice Solutions® says don’t invest in one of these as the life span will be short. Why, existing outlet’s will be quick to invite a new set of consumers to avoid the ‘veto’ vote. 

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

In 2023 Are You Building a 

Larger

Share of Stomach?

Restaurants Lose Edge on Innovation

 

Restaurants that are just trying to survive, are finding that is not enough in a world that is evolving so fast your 12 percent pay raise will not keep up with the rising price of food.   According to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions® who stated, “Millennials and Gen Z consumers are in constant search for something different, fresh, and flavorful.  They seek food discovery and if you are not evolving your customers will move on.”

Now I want you think about this; American consumers frequent convenience stores at least once a week and use their visits as a way to discover new products and brands, according to a new survey commissioned by NCSolutions (NCS).

This online survey of 2,216 respondents, ages 18 and older, fielded from Oct. 7–10, found that more than seven in 10 (71 percent) adult consumers say they discover new products and brands at c-stores.

If that was not insightful enough, nearly four in 10 (38 percent) respondents shop at c-stores two or more times a week. Overall, nearly two-thirds (62 percent) visit c-stores at least once a week.

Alan Miles, CEO of NCSolutions, stated, "These new consumer insights accentuate the considerable role convenience stores play in America today. At the c-store, the shopping moment is low risk for the consumer and high opportunity for brands,"... "With mostly single-serve portions, consumers are looking for products on the go. It is a perfect place to engage and secure new brand buyers and identify the viability of new products."

Let’s see what lese the survey reveal:

C-stores provide a good shopping experience and value.

American consumers find shopping at c-stores offers numerous benefits. Seventy-nine percent of shoppers say c-stores offer a lot of product variety, while 77 percent say they provide a good shopping experience. Sixty-three percent see c-stores as delivering good value for their budgets.

It's all about the experience and delivery for Generation Z.

CPG brands looking to engage Gen Z can tap into this generation's favorable view of convenience stores. Ninety-one percent of Gen Zers say c-stores provide a good shopping experience.

They're also more likely to use a delivery service for c-store items, with almost half (49 percent) reporting they have used a service such as 7-Eleven Inc.'s 7-NOW, Instacart, DoorDash, Uber and other delivery services. This is 96 percent higher than all Americans who reported using a delivery service (25 percent) for c-store shopping.

Location, Location, Location

Americans visit convenience stores for various reasons, but location is the number one reason, cited by 65 percent of consumers. Fifty-nine percent say c-stores meet their immediate needs, while 54 percent like that they can conduct transactions quickly and be on their way.

Nearly one-third (30 percent) say price brings them into the store, while 28 percent enjoy the variety of products c-stores have to offer. Thirty-four percent also shop at c-stores because they are less crowded.

NCSolutions Chief Revenue Officer Dan Malmed, stated, "The c-store channel offers a compelling potential for CPG brands to motivate new buyers to try their products. It's an especially attractive channel to reach the Gen Z consumer, who is very loyal to c-stores," ... "Appealing to Gen Z c-store enthusiasts enables advertisers to build and drive loyalty as well as improve the return on ad spend of their campaigns."

Satisfying Their Sweet Tooth & Quenching Their Thirsts

More than two-thirds (67 percent) of Americans feed their sweet tooth with candy purchases from convenience stores, and many rely on c-stores as a place to quench their thirst. Fifty-seven percent of consumers said they purchase on-the-go drinks like coffee, tea or fountain beverages at c-stores, while 40 percent buy milk, juice and other staples. In addition, 32 percent pick up packaged beverages and 23 percent buy beer.

Beyond beverages, almost one third (30 percent) pick up prepared foods while in the store and 37 percent purchase lottery tickets.

Getting Social

Consumer purchase behaviors are also influenced by what they see on social media. Seventy percent of c-store shoppers say they’re more likely to purchase products they see promoted on c-store social media channels.

The grocerant niche is filled with Ready-2--Eat and Heat-N-Eat fresh prepared food.  Consumers continue migrating to the grocerant niche for simple time saving solutions that are full flavored and that save them time according to Johnson.

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. 

Technology Driven Food Consumers Are Not Loyal

 

Gen Z and Millennials are digital natives and they can turn on a dime, find fresh food fast when they want to according to Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions®. Regular readers of this blog know that Gen Z and Millennials are in constant search for food discover.  Well during times of inflation they can and will find new avenues of fresh food distribution for less when money gets tight according to Johnson.

Leslie Sarasin, president and CEO of FMI, is concerned and recently stated, “Consumers who grocery shop in-store and online may represent the most dramatic upheaval of the food shopping landscape we once knew,'.

So, in 2015, only 7% of shoppers reported ordering groceries online within the previous 30 days; by 2022, half of online food shoppers said they shop online every two weeks or more, FMI–The Food Industry Association reported in its latest U.S. Grocery Shopper Trends–Navigating a Hybrid World report.

Now let’s take a deeper dive into the hybrid shopper—consumers who grocery shop both in-store and online—FMI reported that the expanding food retail marketplace has prompted new habits for shoppers who have embraced hybrid options and integrated them into their routines.

Sarasin continued, “The recent wave of online shopping adoption and the growing variety of online methods may represent the most dramatic upheaval of the food shopping landscape we once knew,” …“Still, despite shoppers embrace of online grocery shopping, the in-person experience is here to stay. Food is deeply personal, and many shoppers still prefer shopping in person.”

This is important; FMI reported that 62% of online-reliant shoppers believe online shopping saves more time than in-person shopping, while 40% say online is better than in-person at helping them discover new products.

Now when it comes to product quality, nearly half of shoppers (43%) believe they get better quality products when they shop in-store vs. 17% who believe the same about online shopping. Even those who shop online at least some of the time said 70% of their grocery trips are done in-person.

“Online shopping has completely changed the food shopping landscape,” according to FMI.  Now the question is where will a Gen Z consumer or Millennial buy dinner?  Do you think they want to cook or cook from scratch?

Think about Gen Z and Millennials as you read this data. FMI also reported new data on social media’s growing influence on shopping. More than half (59%) participate in one or more food-related activities on social media, while 29% use social medial to gain ideas of what to cook and eat. And 45% of online shoppers say they enjoy grocery shopping as opposed to 27% who don’t shop online. FMI said the data suggests that hybrid shoppers want convenience, value, selection and engagement.

Sarasin, went on, “The expansion of hybrid shopping presents retailers with a variety of exciting opportunities to engage with consumers in new and different ways by improving and streamlining the online shopping experience,”.

Shoppers also indicated to FMI that their pandemic fears are easing but inflationary impacts persist. FMI found that more than half (59%) of shoppers reported spending more on groceries than a year ago and that 85% are concerned about access to food.

Are you ready for some fresh ideations? Do your food marketing ideas look more like yesterday than tomorrow? Interested in learning how our Grocerant Guru® 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 one of the following links: Facebook,  LinkedIn, or Twitter

Baseballs Home Run Fresh Fast Food

 

Baseball is back, food sales are rebounding, technology is making life easier, (most of the time) and food technology leaders are expanding their leadership to help baseball teams sell fresh food faster with less cost involved in doing that according to Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions® who stated, “time is money and both Instacart and Amazon launched their grab-and-go tech at baseball stadiums in an effort to drive brand awareness while introducing their products to more consumers.”

In case you have not been to a baseball game yet you may not know that Instacart and Amazon are bringing their tech to the major leagues. Instacart, in partnership with Aramark Sports + Entertainment, this week unveiled its Caper Counter AI-powered point-of-sale system at Boston’s Fenway Park, one week after Seattle-based Amazon launched its Just Walk Out cashierless technology at two food and beverage stores in Houston’s Minute Maid Park.

Talk about fresh food fast, both efforts are aimed at offering a more-streamlined and seamless shopping experience for baseball fans, allowing them to get their snacks and drinks more easily so they can return to the game faster.  

Get this, Boston Red Sox fans will be able to use three Caper Counters for contact-free checkout at select areas around the Boston stadium, including at the Truly Terrace and Walk Thru Bru. Powered by AI, including computer vision and Sensor Fusion technology, the Caper Counter visually detects and identifies items based on their shape, color, key features and sizes. Customers place items for purchase on the Caper Counter—at Fenway items include packaged food and beverages, such as peanuts, soda, beer and candy—where they will be automatically detected and added to the cart for checkout. Customers then select “pay” and choose from either a credit card, loaded ticket or team rewards as their method of payment before going on their way.

Lindon Gao, VP of engineering for Instacart, stated, "Nothing compares to the experience of attending a game in-person at the stadium, but we know fans increasingly want a more engaging, seamless and contact-free checkout experience. By helping to speed up the checkout experience, fans can spend less time buying their peanuts and beer and more time where they want—in the stands, cheering on their team,”… “On average, Caper Counter decreases transaction times by approximately 65%. We’re excited to continue bridging the gap between in-store and online experiences through our omnichannel solutions and look forward to expanding our partnership with Aramark Sports + Entertainment in the future.”

Now, listen to this, Caper Counters, which are designed for retailers that have a smaller physical footprint and SKU count, are one example of the in-store technologies offered as a part of Instacart Platform, a suite of enterprise-grade technologies to enhance and digitize retail experiences. Yes, that means small business with small footprints have new options.  This is important.

At the same time, Astros fans can skip the checkout using Amazon’s Just Walk Out tech at Minute Maid Park’s 19th Hole store, located on the concourse level behind Section 156, and the Market store, located on the Honda Club level behind Section 211. Both stores offer a selection of snacks, soda, candy and ready-to-drink alcohol beverages, while the concourse-level store also offers prepackaged salads, wine bottles and souvenirs. Technology can be overwhelming at times for many of us.  However, if can save you money on labor, seep up service, driving top-line sales and bottom-line profits.  It just might be worth looking into.

Dilip Kumar, VP of physical retail and technology for Amazon, stated, “Our technology is designed to deliver a fast and frictionless shopping experience, so we’re thrilled to help eliminate checkout lines for fans when they need to refuel during games and between innings,”.

I have used the Just Walk Out technology-enabled service at other stores and simply love it.  All you have to do is enter by inserting a credit card at the entry gates to shop. Once they’re inside, anything they take off the shelf is automatically added to their virtual cart. When they have completed their shopping experience, they can exit the store and the credit card they inserted will be charged for the items they took. Customers purchasing alcohol, however, will be required to show their ID to a store attendant for age verification.

Note that this differs slightly from the Just Walk Out tech available at Amazon Fresh stores and a Whole Foods in Washington, D.C., in that customers at these traditional grocery stores can also enter by scanning a QR code in an app or their palm for Amazon One use.  

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