Restaurants Need To Refresh and Refocus

Chain restaurant brand protectionism used to be the foundation on which regional, national, and global chains were built according to Tacoma, WA based Foodservice Solutions® Grocerant Guru®, Steven Johnson.

Doing the same thing, the same way in a world evolving faster and faster is not working for many chain restaurants since 2008 have been capitulating year over year customer counts to non-traditional channels of fresh food distribution according to Johnson. 

Industry icon Bonnie Riggs of the NPD group reported that “restaurant visits declined slightly in 2016, following a 1-percent yearly growth before”. Recently NPD reported that year over year same store customer traffic figures collected from some 22,000 restaurants showed a 3.6 percent decline in the first quarter of 2017, following a decline that began last year.”

So our grocerant guru® asks if it is the supply of restaurants exceed demands as there are now 29 restaurants for every grocery store in the US or do have many legacy chains help on to brand protectionism to long and simply gone ‘stale’ in the mind’s eye of the consumer?

We ask because many legacy branded chain restaurants have announced that they are reducing the number units they have.  Brands the ilk of Subway, “which has some 27,000 locations, closed hundreds of stores in 2016. McDonald's closed about 200 stores in two years, reporting 14,155 locations in 2016.”

One thing is clear consumers are not eating less.  Consumers are simply buying grocerant niche Ready-2-Eat and Heat-N-Eat fresh prepared food somewhere else?  Why?  When the customer moves restaurants must move with them.  Our Grocerant Guru® stated “Consumers are dynamic not static brand protectionism is dead if your brand is not evolving your brand will be greatly diminished.”

Foodservice Solutions® specializes in outsourced business development. We can help you identify, quantify and qualify additional food retail segment opportunities or a new menu product segment and brand and menu integration strategy.  Foodservice Solutions® of Tacoma WA is the global leader in the Grocerant niche visit Facebook.com/Steven Johnson, Linkedin.com/in/grocerant/ or twitter.com/grocerant

Aldi Pop-Up Restaurant Threatens Incremental US Disruption

When IKEA announced that they were going to open restaurants to drive incremental growth retailers from around the world took notice.  IKEA now has Grocerant niche Ready-2-Eat and Heat-N-Eat fresh prepared food sales exceeding $ 2 Billion US annually. 

Tacoma, WA based Foodservice Solutions® Grocerant Guru®, Steven Johnson quite frankly wonders “how did so many of these legacy retailers not notice IKEA’s success with Ready-2-Eat and Heat-N-Eat fresh prepared food?  Just what were they paying attention to yesterday’s business model?”

Recently Aldi Süd announced the opening of its first pop-up, Aldi Bistro, at the Mediapark, in Cologne, Germany. The opening ceremony will took place on 26 April, 2017.  Entering the grocerant niche with a pop-up restaurant will extend Aldi’s US success as many legacy grocery retailers miss understand the niche.  In fact many legacy US grocers insist on treating fresh food as a CPG product according to Johnson.

The Aldi pop-up bistro's premises were co-designed by marketing agencies Ogilvy & Mather and Pop- Up My Brand. Eight shipping containers were 'upcycled' to create a 90-square-metre venue, with seating for around 50 people.  Aldi is leveraging some of the best marketing and foodservice minds to elevate and retain grocerant niche Ready-2-Eat and Heat-N-Eat knowledge.

To garner the success clues Aldi’s pop-up restaurant is to operate for three months, serving food, wine and coffee from the Aldi product range just like Ikea does. It will offer daily menus created by TV and street-food chef Robert Marx, consisting of a starter, a main course and a dessert, although each course can also be ordered on its own.

The Aldi bistro venture was developed as part of the retailer's Einfach ist Mehr ('Simple is More') marketing campaign, launched in September 2016. Sandra Sibylle Schoofs, director of marketing at Aldi Süd stated "The bistro is intended to strengthen brand loyalty among Aldi customers. We have chosen a central location in a large city because we wanted to create a meeting place for young and old,"

Success does leave clues and Aldi is the fastest growing US grocer today and continues to garner top line sales and bottom line profits simultaneously garnering a larger share of US grocery Dollars, and larger share of stomach.  This fresh food move will only expand that success.

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 www.FoodserviceSolutions.us  of Tacoma, WA has been the global leader in the Grocerant niche. Contact: Steve@FoodserviceSolutions.us or 253-759-7869

Authenticity Drives Foodservice Adoption

Restaurant, Grocery store, and Convenience store shoppers are on the move looking for grocerant niche fresh prepared Ready-2-Eat and Heat-N-Eat better-for-you food.  Customer migration from brand to brand in what Foodservice Solutions® Grocerant Guru®, Steven Johnson calls the “trying trials fresh food fast have created a platform of success for most chain convenience stores”

Gone are the days when consumers went to convenience stores as a last resort destination to purchase tasty but unhealthy snacks and drinks. Today consumers are increasingly, finding healthy and better-for-you products at convenience stores are exploring to stay competitive offering grocerant niche ‘better-for-you’ fresh prepared food.

Recently The Hartman Group pointed out that most Americans want to improve the quality of their live through diet.  This culture shift is nothing new except this time millennials seemingly are taking it very seriously.  The fact that restaurants are not evolving very fast and the grocery sector thinks that fried chicken is fresh fast food that is ’better-for-you’ has created a platform of opportunity for the convenience store sector. 

Kwik Trip’s dietitian Erica Flint stated "Healthy and better-for-you are very broad terms and mean something different to each of our guests,….As is the case with anything, different health trends pop up with guests looking for items that align with those ideals."

Since most consumers visit convenience stores for a ‘small bite, quick meal, or fill-in meal’ according to our own Grocerant Guru®.  It becomes incumbent upon convenience store retailers to offer snacks that are healthier as well.  So just what does ‘better-for-you’ mean today?

Greg O'Neal, vice president of marketing for Thanasi Foods makers of “simple, healthy snacks that taste anything but simple” — consumers in search of better-for-you items are most interested in the following set of attributes:

Real Food: "There is definitely a movement toward real, rather than artificial; foods with transparent ingredient labels," O'Neal said.

Protein: Demand for high-protein food is on the rise, with 50 percent of Americans actively looking for it in the foods they buy and consume.

Craft: The term doesn't just apply to products found in a beer cave. When it comes to snacks and other food, consumers are also looking for more craft and less mass-produced products. "What happened in craft beer is happening in snack food for sure," he said.

Snacking as Meal Replacement: The trend of snacks as a meal replacement instead of a meal supplement is on the rise . Large, full meals are being replaced by smaller portions to help consumers eat less and eat on the go. This ties in with the increased demand for protein, as meat-based proteins make a good meal replacement.

Low/No Sugar: More people are discovering how much sugar can hide in otherwise healthy snacks and cutting back on their sugar consumption.

Success does leave clues and today integrating authentic ‘better-for-you’ food into menu’s, product mix, and marketing are keys to success that for all food retailers.  Simultaneously retailers must be cognizant that consumer’s desire for fresh food fast and portable is increasing in importance. Today C-stores are doing a better job of that than restaurants and grocery stores.

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 participation, differentiation and individualization? Email us at: Steve@FoodserviceSolutions.us or visit:  www.FoodserviceSolutions.us for more information.

McAlister’s Deli Marketing Mobile Mania

Restaurants continue to reach into their marketing tool kit to drive top line sales and bottom line profits and McAlister’s Deli has pulled out the most powerful tool of all Free Food.  Simply put free food drives trial, and customer adoption like no other tool in the marketing tool kit according to Tacoma, WA based Foodservice Solutions® Grocerant Guru®, Steven Johnson.

This Friday marks a significant milestone for McAlister’s Deli, as the fast casual restaurant chain will open the doors to its 400th location.  To celebrate the occasion and thank fans everywhere, McAlister’s is giving away free club sandwiches with the purchase of a glass of McAlister’s Famous Tea to all guests who download and place their order through the McAlister’s mobile app, May 1—4.

Now that is one of the best ways to edify your brand with consumers according to our Grocerant Guru® as it edifies the consumer interactive participatory aspects of customer relevant technology with a very strong positive Free Food. At the same time it introduces the consumers to an upgraded mobile app and expanded menu items. 

Paul Macaluso, president of McAlister’s Deli  stated “Four hundred locations is a tremendous milestone for McAlister’s, and we know it wouldn’t be possible without our dedicated team members and franchisees who have put their heart and soul into each dish served as well as our beloved ‘Tea Freaks’ whose passion for the brand makes us all excited to come to work every day…This celebration is our thank you to them and we look forward to celebrating the next 400 locations in the years to come.”

Here is how it works just follow these simple steps:

1.       Download the McAlister’s Mobile App and enable push notifications so you can receive your free club promo code. Already have the app? Double check that push notifications are enabled—this is how you’ll receive the necessary promo code.

2.       Start an order through the app, add a McAlister’s Club and 32. oz beverage to cart

3.       Enter the promo code at checkout.

Success does leave clues and brands that edify technology with pro-active brand invitations are going to continue to drive top line sales and bottom line profits.  The team at Foodservice Solutions® congratulates Paul Macaluso and his team at McAlister’s Deli on opening their 400^th store.

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 www.FoodserviceSolutions.us  of Tacoma, WA has been the global leader in the Grocerant niche. Contact: Steve@FoodserviceSolutions.us or 253-759-7869

Jimmy John’s Pricing in Thank You

Regular readers of this blog know Foodservice Solutions® FIVE P’s of Food Marketing continue to garner retail acceptance when integrated into your brand strategy and yearly marketing tool kit set of tactics. Our own Grocerant Guru® identified, quantified, and qualified the Five P’s of food marketing.

Today Jimmy John’s Gourmet Sandwiches is leveraging one of the FIVE P’s from their marketing tool kit price.  Jimmy’s John’s wants to thank its loyal customers by offering $1 Subs on their nationwide Customer Appreciation Day, Today, from 4—8 p.m. at a store near you.

John Liautaud founder of Jimmy’s John’s stated “$1 Sub Day is a fun event for Jimmy John’s owners across the country to say thanks to our loyal customers and fans! If you haven’t tried JJ’s yet, come in and check out what Jimmy Fresh™ is all about,”

Here is how it works: “Jimmy John’s will be offering their #1 to #6 Subs plus the JJBLT for $1 plus applicable sales tax. Limit one $1 Sub per person. Good for in-store purchases only, offer not valid for online ordering. Sorry, no delivery for $1 Subs.”

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 participation, differentiation and individualization? Email us at: Steve@FoodserviceSolutions.us or visit:  www.FoodserviceSolutions.us for more information.

Papa Murphy’s Evolve or Else

 Grocerant niche Ready-2-Eat and Heat-N-Eat fresh prepared food has been driving top line growth and bottom line profits in every sector of foodservice retail for 11 years according to Tacoma, WA based Foodservice Solutions® Grocerant Guru®, Steven Johnson.  Papa Murphy’s has excelled within the niche and is setting the stage to drive incremental sales and profits according to Johnson. 

Papa Murphy’s has elected to evolve with the world’s largest retail marketing company Amazon.  Dan Harmon, Papa Murphy’s senior vice president of operations stated that they are “testing delivery at seven restaurants in the Portland, Ore., and Seattle areas with Amazon Restaurants.  

Regular readers of this blog know that Papa Murphy’s is a perennial winner of the customer choice Brand Metric Survey and adding a delivery options will Harmon went on to explain  “One of our top priorities for 2017 is to become even more convenient for our customers, and adding delivery is a way to help accomplish that objective,” …. “We anticipate delivery being a win for our customers and a win for our franchise owners as we refine the implementation with this test.” 

The test with the marketing giant Amazon is not exclusive as Papa Murphy’s is also in talks with other third-party providers to expand the service to other restaurants. This test is designed to learn how to integrate delivery into Papa Murphy’s daily operations, how the cost structure works with franchisees and customers. 

Jean Birch, Papa Murphy’s interim CEO, “Partnering with Amazon Restaurants makes us even more convenient for our customers….Our product is uniquely suited for delivery because, unlike a cooked pizza, it arrives fresh for customers to bake easily at home when it fits their schedule.”

Amazon Prime customers are the first to be able to use Papa Murphy’s delivery service either through one of the company’s mobile apps or on its website. Users can place orders with participating restaurants and track the status of their delivery.

Gus Lopez, general manager of Amazon Restaurants stated ..“We are excited to add a beloved brand to our growing selection of restaurant options for Prime members in Portland and Seattle. The service offers Papa Murphy’s the chance to leverage Amazon’s technological expertise in last-mile delivery to get food delivered to customers’ doorsteps in one hour or less.” 

If success does leave clues and it does delivery of pizza is a clue that will work for Papa Murphy’s and Amazon Prime is a excellent marketing tool for any foodservice retailer to have in their marketing tool kit. 

Are you trapped doing what you have always done and doing it the same way?  Interested in learning how www.FoodserviceSolutions.us 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:  www.FoodserviceSolutions.us for more information.