Thursday, August 27, 2015

7-Eleven Aims to Compete with Quick Service Restaurants




The retail fresh food landscape is evolving once again with a focus on fresh food fast at 7-Eleven.  Joe Galea, chairman of the coalition National Coalition of Associations of 7-Eleven Franchisees’ when speaking about new ‘hot’ foodservice products stated. “It’s going to give us the opportunity to compete with quick-service restaurants.”

Building top line sales and bottom line profits is a key driver of the National Coalition of Associations of 7-Eleven Franchisees’. Galea stated that “Hot food is their emphasis right now,”… “It’s good for us. There’s more profit there.”  Sometimes business is that simple.  Focus on what sells and what makes money. Today that is grocerant niche Ready-2-Eat and Heat-N-Eat fresh prepared food according to Foodservice Solutions® Grocerant Guru™ Steven Johnson. 

This fall 7-Eleven will be introducing several new products, “including a complete line of beef jerky, packaged pasta salads and exotic sliced fruits”.  Galas, is a single-store franchisee in Northern California, he has tried “hot foods in many shapes and forms over the years, from hot dogs in boiling water and a roller-grill program to packaged sandwiches and taquitos. However he realizes the products introduced this summer and fall may be many franchisees’ first venture into hot foods.”

Additional fresh and reformulated products including “new and improved” cookies, a steak-and-cheese melt, Go Yum premium packaged bakery products, 7 Select ready-to-drink juices in four flavors and an “improved” crust for the company’s fresh-made pizza program.” Today 7-Eleven can cook a pizza in 3 minutes which is something Papa John’s, Pizza Hut, and Dominos can’t do. 

Visit: www.FoodserviceSolutions.us  if you are interested in learning how Foodservice Solutions® 5P’s of Food Marketing can edify your retail food brand while creating a platform for consumer convenient meal participationdifferentiation and individualization or you can learn more at Facebook.com/Steven Johnson, Linkedin.com/in/grocerant or twitter.com/grocerant Email: Steve@FoodserviceSolutions.us for more information

Wednesday, August 26, 2015

The Shrinking Need for Grocery Stores it's Amazon Vs Kroger, Safeway, Publix and Whole Foods




It just might be time to ask if the cost of the building, upkeep, employees, and constantly remodeling of grocery stores is worth it the investment of time, talent, and treasury.  Can legacy grocery stores keep up with a retail merchant the ilk of Amazon? (Today’s Photo’s courtesy of Geekwire.com)

Industry insiders know that the average consumers buy 100 different items from their favorite grocery store a year.  They simply buy them over, and over, and over again.  So why do grocery stores stock 40,000 sku’s?  Some stock 50,000 sku’s, others 60,000 sku’s.  

Convenience store have long understood that stocking the ‘favorites’/ frequently used sku’s along with grocerant niche Ready-2-Eat and Heat-N-Eat fresh prepared food was the formula to garner market share from legacy grocery retailers the ilk of Kroger, Wal-Mart, Safeway, Publix.  It has worked well for companies the ilk of Wawa, Sheetz, Rutter’s Farm Stores, and 7-Eleven according to Foodservice Solutions® Grocerant Guru™.

Now Geekwire co-founder Todd Bishop reports that his office tested Amazon’s one and two hour delivery service of beer, wine, and liquor and the “vodka showed up in 34 minutes, along with beer, tequila, orange juice and chips.”  So I ask do you think that there is a shrinking need for grocery stores in the US? 

OK here is the back story from GeekWire.com “Amazon debuted one-and two-hour delivery of beer, wine and liquor in the U.S. this morning along with the launch of the Amazon Prime Now service in its hometown of Seattle. We’ve tested just about every type of delivery service at the GeekWire offices, so we thought to ourselves, why should this be an exception?

Thirty-four minutes later, we were pouring screwdrivers in the break room.

The Prime Now delivery service worked flawlessly, in our experience. It’s easy to see how it could save the day for someone hosting a brunch or a party, or just not wanting to get off the couch at night. Amazon Prime Now delivers from 8 a.m. to midnight, so everyone except the most extreme early birds or night owls would be covered….

We double-checked, and Amazon Prime Now’s price for a 750ml bottle of Absolute Vodka, including state taxes, was almost exactly the same as the price of the same bottle at the neighborhood liquor store. Delivery through Prime Now, available only to Amazon Prime members, runs $7.99 for one hour and is free for two hours.”  Thanks again to Todd Bishop and his team for testing the service, sampling the products and for Amazon for proving us a new standard of delivery for others to emulate

Simply put Amazon tackles what is hard to do and does it well.  While many legacy grocery retailers say it’s too hard, can’t be done and simply don’t try. Delivering liquor or selling qualityReady-2-Eat and Heat-N-Eat fresh prepared food.  It’s time for legacy retailers to lead again not simply follow or fade away. 

Just remember what the book industry used to say.  Let Amazon have One, or Two percent of the business?  We all know how that turned out.  Is your brand content with less?

Success does leave clues outside eyes can deliver inside sales. Grocerant SWOT analysis are available from Foodservice Solutions®.  What are you bundling with you core products? Where and how can you sell your customers more? Do you need a Grocerant Scorecard? For more Visit www.FoodserviceSolutions.us  or http://www.linkedin.com/in/grocerant or twitter.com/grocerant  


Tuesday, August 25, 2015

What’s For Dinner? Grocerant Mix & Match Meal Components




At 4 PM: your customers are just beginning to think about what's for dinner. Fully 83% of all American consumers are unsure about what's for dinner at 11:30 AM and 64% don’t know what’s for dinner at 4PM in the United States according to Foodservice Solutions® Grocerant Guru™.

Time Starved Consumers are looking for high quality Ready-2-Eat and Heat-N-Eat fresh prepared meal components. Today's time starved consumer want to purchase meal components that they can bundle into a customized family meal that will please everyone without spending time cooking.

 Consumers traditionally think these items can be or are found in grocery stores in the deli / lifestyle section, or in C-stores in the prepared food area and prepackaged, and as Ready-2-Eat items and in restaurants under the To-go, Takeout or Take-Away or delivery section of the menu or on the website.
The retail industry has expanded and is evolving to keep up with the demands of consumers desire to save time, improve quality, increase family flavor profile, while enabling personalization and family meal customization.

Grocerants Food can be found In:

Restaurant examples are McDonalds, Pret A Manger Burger King, Pizza Hut, Papa Murphy's and Starbucks, each having a fresh Ready-2-Eat or Heat-N-Eat fresh prepared food. In the Casual Dining sector Maggiano's Little Italy offers a buy one take a 2nd home for free in their Classic Pastas menu section, Olive Garden, Chili’s, Boston Market and Denny’s.  That is to name but a few.

 Drug Store examples Walgreens as a food destination yet Walgreens sells fresh soft-serve yogurt, coffee, sandwiches, salads and sushi at selected stores, so they are technically grocerants.

 Convenience Store examples are 7 Eleven, Wawa, Sheetz, Sheetz, and QuickChek, all of which sell fresh and prepared sandwiches, salads, beverages.

 Clothing Stores Tommy Bahama, Nordstrom, Macy’s, Brooks Brothers all have or are planning restaurants selling fresh prepared food in-store. Fresh prepared Ready-2-Eat and Heat-N-Eat food is garnering consumer favor in this sector.  Expect to find more and more clothing retailers entering the grocerant niche.

 Furniture Stores & Liquor Store example Ikea sells over $ 2 Billion a year in Ready-2-Eat and Heat-N-Eat fresh prepared food in its stores (mostly meatballs-mash potatoes), Pinkies in San Angelo, Texas this past holiday season even offered complete fresh prepared full Turkey Dinners will all of the traditional side orders.  All of the fresh prepared food is prepared on site and sold To-Go. 

Supermarket examples are Whole Foods, Trader-Joes, Central Market, and Wegmans sell fresh prepared chicken, salads, sandwiches and most offer sushi and beverages. Many are now opening in-store restaurants including fast food, full service sit down and bars all offer fresh prepared To-Go as well.

Grocerant Food is Family Food for Now

The retail supermarket and convenience store sector have unique grocerant challenges. Presentation of the Ready-2-Eat or Heat-N-Eat fresh prepared food is important. When you get a meal at a restaurant, the plate and the food look great… let's call this "food for now". Many legacy retailers are primarily selling "food for later" or take-out and unless an item is a sandwich, the looks of Ready-2-Eat meals and snacks begin to change.

Why is it so hard to package food to go? In the Hot food section of the grocery store the food in most cases does not look appealing so our expectations drop when we get it for Take-Away. That may be one reason that many grocery stores are continue to open restaurants or “food courts” selling made to order fresh sandwiches or Chinese take-out. 

In convenience stores like Wawa, the Ready-2-Eat food looks great in the To-Go containers. Why? Because Wawa puts the entire consumer food package together. They exert more control on the look and feel of "food for later".

Around the world we are now seeing sections in department's stores and kiosk in malls in Europe and Asia and airports around the world. The items can range from entrees to side items and deserts. Some examples of items range from fried chicken, mash potatoes, cream spinach, to liver and onions, pizza, hot dogs, steak, prime rib, various casseroles (hot-dish) to salads, side salads pie, cake and any single proportioned deserts. They can be picked up at the specific unit, or delivered.

Visit: www.FoodserviceSolutions.us  if you are interested in learning how Foodservice Solutions 5P’s of Food Marketing can edify your retail food brand while creating a platform for consumer convenient meal participationdifferentiation and individualization or you can learn more at Facebook.com/Steven Johnson, Linkedin.com/in/grocerant or twitter.com/grocerant

Monday, August 24, 2015

WinCo Foods Expanding Competitiveness




Employee owned, customer focused with lower prices than Wal-Mart; WinCo Foods continues to open new locations while expanding Ready-2-Eat and Heat-N-Eat fresh prepared food options. In a hurry, looking for a fresh prepared Margherita Artisan Flatbread Pizza or a Pesto Spinach Artichoke Artisan Flatbread for dinner?  If so it’s time to think WinCo Foods and order on-line for faster service.

Success does leave clues and standing still is not something that WinCo Foods has done since it opened its first store in 1967.  Today with 101 stores and building new stores at an increased rate WinCo Foods has out positioned Wal-Mart as the ‘low-cost’ retail grocer in markets where they both compete.

Consumers are stopping and shopping at WinCo foods in large part because they have a very successful grocerant niche fresh prepared food department.   WinCo is now taking on-line pizza orders along with customized on-line orders for home and office for Deli and Bakery items driving differentiation. 

When it comes to pricing regular WinCo shoppers know that WinCo is the low price leader.  What readers of this blog may not know is that the food quality of WinCo’s grocerant niche Ready-2-Eat and Heat-N-Eat fresh prepared food takes a back seat to no one. 

In addition offices / business can now order on-line Deli Chicken, Meat & Cheese Trays, Sub Sandwiches, and Veggie Trays  along with Bagels & Donuts, Cakes, Cheesecakes,  and of course Pizza.  Combined when you add food quality, on-line ordering with price advantage WinCo Foods is sure to garner a larger share of stomach.  

Visit: www.FoodserviceSolutions.us  if you are interested in learning how Foodservice Solutions® 5P’s of Food Marketing can edify your retail food brand while creating a platform for consumer convenient meal participationdifferentiation and individualization or you can learn more at Facebook.com/Steven Johnson, Linkedin.com/in/grocerant or twitter.com/grocerant Email: Steve@FoodserviceSolutions.us for more information