Saturday, June 1, 2019

Food Retailers Occupy 16 of the top 20 Spots On Most Popular Stores List



Success does leave clues and foot traffic and sales are key to drivers of success according to Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions®.
According to a report by Mike Monteiro of 24/7 Wall St., grocerant niche Ready-2-Eat and Heat-N-Eat fresh food retailers occupy 16 of the top 20 most popular stores in the United States. In compiling the list, the news outlet reviewed foot traffic patterns provided by data service company Placed Insights, which calculated the percentage of Americans 13 and older who visited various stores in April 2019, as well as U.S. sales and store count data from company financial documents.
Here is the list of the top 16 companies selling Ready-2-Eat and Heat-N-Eat fresh food:
 1. Walmart
> Pct. of total US retail foot traffic: 2.00%
> Pct. of department store visitors in April: 47.23%
> No. of U.S. stores: 5,368
> Annual revenue: $514.4 billion
Capturing nearly half of all department store visitors in the United States, Walmart reported $514.4 billion in net sales in fiscal 2019. Though many retailers are struggling to compete with Amazon, Walmart reported the best first quarter overall sales in nearly a decade, demonstrating its brick-and-mortar operations are running strong. Walmart’s ad spending topped $3 billion in 2018. There are more than 5,300 Walmart locations in the United States, including Supercenters, Neighborhood Markets, and Sam’s Club stores.
2. McDonald’s
> Pct. of total US retail foot traffic: 1.57%
> Pct. of restaurant visitors in April: 8.51%
> No. of U.S. stores: 13,914
> Annual revenue: $21.0 billion
It is no surprise to American consumers that McDonald’s is the most visited restaurant — it has been consistently for years. Consistency is synonymous with McDonald’s, from years of growing guest counts to 15 consecutive quarters of positive global comparable sales growth. The company was able to return $8.5 billion to shareholders through share repurchases and dividends in 2018. Looking to the future, McDonald’s aims to continue its growth trend among American consumers by focusing on additional coffee shop products, like donut sticks and new McCafé coffee offerings.
 3. Starbucks
> Pct. of total US retail foot traffic: 1.13%
> Pct. of cafe, coffee house, & tea house visitors in April: 77.94%
> No. of U.S. stores: 14,606
> Annual revenue: $24.7 billion
Nearly 78% of Americans who purchased their lattes on-the-go in March did it at Starbucks. The number of Starbucks stores — both company owned and franchises — increased significantly between fiscal year 2017 and 2018. The major coffee chain has reported revenue growth of over $1 billion year-over-year since at least 2014. Starbucks reported a 10% increase in net revenue in 2018. Starbucks has more stores than any other coffee shop in the nation.

4. Walgreens
> Pct. of total US retail foot traffic: 0.92%
> Pct. of pharmacies visitors in April: 34.63%
> No. of U.S. stores: 9,451
> Annual revenue: $30.8 billion
The most popular pharmacy in America so far this year is Walgreens. The company reported a 11.27% revenue growth in 2018 from 2017. In addition to Walgreens popular stores — which include both Walgreens and Duane Reade stores — the company also owns a handful of product lines that sell globally, including No7, Soap & Glory, Liz Earle, Sleek MakeUP, and Botanics. Walgreens not only claimed more than a third of American pharmacy visitors in March, but it also filled over 1 billion prescriptions during fiscal year 2018.
5. Subway
> Pct. of total US retail foot traffic: 0.82%
> Pct. of restaurant visitors in April: 4.44%
> No. of U.S. stores: 24,304
> Annual revenue: N/A
With 24,304 stores in the United States, and counting, Subway has more locations than any other restaurant chain. It is one of the largest privately owned food companies in the nation and the most popular quick-service restaurant for submarine sandwiches (subs) and salads. Subway’s rank as the second most popular restaurant franchise in America has not been challenged from last year, but its market share has declined significantly due to an increase in competition from smaller players. After peaking at more than 27,000 locations in 2015, the chain has since closed more stores than it opened.
 6. 7-Eleven
> Pct. of total US retail foot traffic: 0.70%
> Pct. of gas stations & convenience stores visitors in April: 13.78%
> No. of U.S. stores: 9,573
> Annual revenue: $109.9 billion
7-Eleven captured the most convenience store shoppers this April at 13.78% of all shoppers who visited convenience stores. 7-Eleven’s primary convenience store business is thriving, with revenues growing by 29.8% in the first quarter of this year. In addition, the company recently opened 903 U.S. stores for a total of 9,573 U.S. locations.


7. CVS
> Pct. of total US retail foot traffic: 0.70%

> Pct. of pharmacies visitors in April: 26.42%
> No. of U.S. stores: 9,900 (Locations in U.S. and Brazil)
> Annual revenue: $194.6 billion
CVS stores were the second most visited pharmacy and health care stores in the U.S. market in April of 2019. The Woonsocket, Rhode Island-based retailer and pharmacy chain reported $194.58 billion in revenue in 2019. Recent political changes have reshaped the health care market, and pharmacies like CVS must adapt. The company was on the hook for a $157 million Health Insurer Fee, as mandated by the Affordable Care Act.
 8. Target
> Pct. of total US retail foot traffic: 0.62%
> Pct. of department stores visitors in April: 14.74%
> No. of U.S. stores: 1,844
> Annual revenue: $75.4 billion
Target, America’s eighth most popular store in April, reported a 36% increase in revenue and at 0.8% increase in profits in 2019 from the year before. With China tariffs beginning to take their toll on department stores that heavily source from that region, it remains to be seen if this growth will continue. Margins in the space have been under pressure for some time due to the negative variables of both tariffs and digital platforms.
9. Dunkin’ Donuts
> Pct. of total US retail foot traffic: 0.56%
> Pct. of bagel & doughnut store visitors in April: 80.62%
> No. of U.S. stores: 9,419
> Annual revenue: $1.3 billion
Dunkin’ Donuts dominates the bagel and doughnut store category by capturing over 80% of Americans who entered those types of shops in April. Dunkin’ Brands, the parent company of Dunkin Donuts, also owns Baskin-Robbins, an ice cream parlor chain. Baskin Robbins is far less popular than Dunkin Donuts, though it captures an estimated 18.64% of all ice cream shop foot traffic.
Battle for Share of Stomach

10. Dollar Tree
> Pct. of total US retail foot traffic: 0.55%
> Pct. of discount stores, warehouses & wholesale stores visitors in April:22.33%
> No. of U.S. stores: 6,776
> Annual revenue: $22.8 billion
Dollar Tree is the most popular discount store in the United States by foot traffic. Dollar Tree-branded discount store locations accounted for 22.33% of all discount store visitors in the United States in April.
In July 2015, Dollar Tree acquired rival discount brand Family Dollar and its more than 8,200 store locations. Family Dollar brand stores are slightly less popular than Dollar Tree, with 0.29% of total foot traffic. For now, the parent company announced it is committed to continuing to expand both brands, rather than rebrand as a single entity.
 11. Dollar General
> Pct. of total US retail foot traffic: 0.51%
> Pct. of discount stores, warehouses & wholesale stores visitors in April:19.98%
> No. of U.S. stores: 15,472
> Annual revenue: $25.6 billion
Not including restaurants or the post office, Dollar General has among the most stores of retail stores on this list. Consumables like paper products, cleaning supplies, perishable foods, and health and beauty products are Dollar General’s largest driver of business, accounting for over three quarters of total sales.
Dollar General brought in nearly 20% of discount store foot traffic in April. The company also reported a 9.2% increase in revenue in fiscal 2019.
 12. Taco Bell
> Pct. of total US retail foot traffic: 0.50%
> Pct. of restaurants visitors in April: 2.73%
> No. of U.S. stores: 6,446
> Annual revenue: $10.8 billion
Taco Bell is a division of Yum! Brands and has 6,446 stores in the United States. It is the third most popular restaurant in the country, though it also ranks behind Dunkin Donuts and Starbucks, which serve food as well. Taco Bell reported $10.79 billion in revenue in 2018. Taco Bell ranks behind fellow Yum! Brands restaurants Pizza Hut and Kentucky Fried Chicken in terms of revenue, but has captured a much higher share of retail foot traffic in the United States.

 13. Shell
> Pct. of total US retail foot traffic: 0.48%
> Pct. of gas stations & convenience stores visitors in April: 9.45%
> No. of U.S. stores: 14,000
> Annual revenue: $388.4 billion
Of the different convenience store gas stations, Shell’s were the second most popular in the United States. Shell’s stores were visited by 0.5% of all American shoppers in April, and by 9.45% of gas station and convenience store shoppers. Shell’s revenues ($388.38 billion in 2018), were predominantly from businesses in its downstream operations, including oil products and chemicals.
 14. Kroger
> Pct. of total US retail foot traffic: 0.46%
> Pct. of supermarkets & groceries visitors in April: 9.19%
> No. of U.S. stores: 2,764
> Annual revenue: $121.2 billion
Kroger, the most popular grocery store in April of 2019, welcomed more than twice the share of visitors as the next most popular grocery chain. This may come as a surprise to coastal readers, as Kroger only captures less than 0.15% of supermarket shoppers on the West Coast and Northeast. In the South and Midwest, however, 60% and 40% of shoppers, respectively choose Kroger for their grocery shopping.

 17. Burger King
> Pct. of total US retail foot traffic: 0.43%
> Pct. of restaurants visitors in April: 2.32%
> No. of U.S. stores: 17,796 (Worldwide locations)
> Annual revenue: $1.7 billion
Burger King is an American-founded, Canadian-owned restaurant chain. Parent Restaurant Brands International (RBI) also owns Popeyes, yet Burger King is king within RBI, bringing in more in sales than Popeyes in the United States. Popeyes only captured 0.63% of American restaurant visitors compared to 2.32% for Burger King. RBI said it plans to have 40,000 locations by 2030, more than McDonald’s, with the additional stores likely spread across its three brands.
 18. Wendy’s
> Pct. of total US retail foot traffic: 0.41%
> Pct. of restaurants visitors in April: 2.24%
> No. of U.S. stores: 5,810
> Annual revenue: $1.6 billion
The Wendy’s Company has 5,810 Wendy’s locations in the United States alone. Only 353 of these restaurants are corporate owned, and 5,457 are franchised. Together, they accounted for 2.24% of American restaurant visits in April 2019. This share is similar to other fast food peers like Taco Bell and Burger King. Wendy’s has about half the amount of foot traffic as Subway and a quarter of that of McDonald’s.
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, www.Linkedin.com/in/grocerant/ or www.twitter.com/grocerant/

Friday, May 31, 2019

Is Technology the platform for Global Growth at Starbucks



Success does leave clues and when you are a global brand your need to look at your strengths and leverages them around the world and let’s face it Starbucks in the leading chain for mobile or and pay according to Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions®.
Starbucks began to roll out the company’s Mobile Order & Pay (Starbucks Now) at 300 select stores in Beijing and Shanghai and plans to introduce this feature across China over the next year. The status quo for coffee growth is no more in China according to Johnson.
Starbucks Now, is a big push to help Starbucks fight-off fast growing Luckin Coffee according to Johnson and almost anyone that follows food start-ups around the world. allows customers to place order in advance of their visit and pick up their beverage and food at a Starbucks store.
Luckin Coffee small format technology driven concept should drive trepidation in the heart and minds of every chain restaurant CEO according to Johnson.  This Luckin Coffee’s business model template will surely be duplicated and not just for coffee products according to Johnson.
Virtual restaurants have become a stealth growth niche according to Johnson.  However this new templated business model fits well into the grocerant niche and consumer food buying customer adoption formats that are increasing becoming popular according to Johnson.
Innovating at the accelerated pace of modern urban life in China, Starbucks Now allows customers to choose a store location based on the GPS functionality of their mobile device to browse, customize a beverage, select a food offering, view order time, and pay— wherever they may be. Following confirmation of the order, baristas handcraft each beverage and have the order ready to hand to the customer when they arrive at the store. The simple convenience of mobile ordering means customers by pass the line.
Here is our question of the day.  Does your company look more like yesterday than tomorrow?  Are you innovating at the same pace as consumers or are you lagging behind?  Success does leave clues 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

Thursday, May 30, 2019

Dairy Queen’s Summer of Fun


Like the heartbeat of America Dairy Queen (DQ) is nestled into the heartland of the US and the minds-eye of consumers when summer hits.  Well, this year, DQ is once again edifying its relationship with consumers with the launch of Box of Happy—a first of its kind, experience-centric subscription box filled with hands-on fun. Customers can sign up at DQBoxofHappy.com to receive three months of summer-themed kits, each bringing to life a quintessential seasonal activity with a delicious twist.
Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions® believes that success does leave clues and DQ has picked up the ‘best’ from subscription services and is edifying it’s top of mind position with families for generations with this Limited Time Offer. 
Maria Hokanson, executive vice president of Marketing at American Dairy Queen Corporation (ADQ) stated “Although subscription boxes are hugely popular, today’s families are seeking unique experiences instead of more stuff,”  “DQ is taking a fresh approach with Box of Happy, inspiring parents and kids alike to make the most out of every moment of summer.”
DQ fans can get all three boxes—from June through August—for $45, while supplies last. A three-month subscription includes a total of $30 in DQ gift cards, so families can explore the NEW Blizzard Treat flavors with their monthly deliveries.
Hokanson continued “Families create and savor sweet memories whenever they visit a DQ store,”. “Box of Happy extends this delightful experience outside of our restaurants, bringing families together over campfires, road trips and more—experiences that shape the season just as much as enjoying soft-serve in the sunshine.”
Created in partnership with The Coca-Cola Company, each month’s Box of Happy will provide families with an experience focused on a classic summer activity. How are you leveraging your partnerships for customer relevance?
June: Camp-In Box
The Camp-In Box is designed for families to explore the great outdoors in the comfort of their own living room with a box full of the happiest indoor camping gear on earth, including:
·         A built-in, faux, non-flammable campfire designed to work with a smartphone to create a warm glow and crackling sounds of a real summer bonfire.
·         A DQ Camp-In Shadow Puppet Storybook and two flashlights, to create handmade critters and imagine stories with kids, parents and friends alike.
·         A $10 DQ gift card to try the June Blizzard of the Month 
July: Water Park Box
July’s box will allow fans to turn their front yards in to a water park with a collection of fun, joy-filled water games and challenges for the entire family, including:
·         A waterproof box that opens to reveal a built-in, twisting sprinkler
·         A Splashdown activity booklet full of water-fueled outdoor games
·         A $10 DQ gift card to try the July Blizzard of the Month 
August: Road Trip Box
Near or far, the Road Trip Box aims to make fans’ journeys as happy as the destination with supplies for their next family adventure, including:
·         A built-in smartphone camcorder case to capture smiles on the go
·         An original “Memory Maker” card set with prompts of what to capture along your journey
·          A $10 DQ gift card to try the August Blizzard of the Month 
Although Box of Happy shipments are limited to the first lucky fans who can snag one of the three-month subscriptions, special elements from each kit will be available to the public during the first week of each month. For example, once the June Camp-In boxes are mailed to subscribers, the DQ Camp-In Shadow Puppet Storybook will be available for digital download at DQBoxofHappy.com.
According to Johnson, “Brand relevance is in part driven with innovation in new menu related products in combination with new avenues of distribution all of which are the platform for the new electricity.”
Johnson stated “that in my minds-eye the new electricity must be very efficient for the supply and includes such things as fresh foods, plant based  foods,  sampling, toy’s, beer, developing brands, unique urban clothing, grocerant positioning, Fresh food messaging, autonomous delivery, cashier-less retail, plates, glasses, cash-less payments, digital hand-held marketing.
All food retailers to survive the next generation of retail must embrace the artificial intelligence revolution while simultaneously embracing fresh food that is portable, fresh, with differentiation that is familiar not different. 
For international corporate presentations, educational forums, or keynotes contact: Steven Johnson Grocerant Guru at Tacoma, WA based Foodservice Solutions.  His extensive experience as a multi-unit restaurant operator, consultant, brand / product positioning expert and public speaking will leave success clues for all. For more information visit www.GrocerantGuru.com , www.FoodserviceSolutions.us or call 1-253-759-7869

Wednesday, May 29, 2019

Casey's General Stores Food Focused Convenience Store


Regular readers of this blog know the consumers love Casey's General Stores pizza.  If fact Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions® was the very first to tout the product positioning of pizza at Casey’s and first to write about the outstanding success Casey’s has found with mix and match grocerant niche food and beverage.
As consumer evolve so does Casey’s the newest platform to help drive sales at Casey’s is technology as they debuted a new and improved website that features a refreshed design and enhancements to its online ordering system. Casey’s is more than a C-store it is a restaurant / grocerant with Gas according to Johnson.
Get this, the changes are centered on making it easier than ever to order a Casey's pizza.  Success does leave clues. Art Sebastian, Casey's vice president of digital experiences stated "Our customers love Casey's pizza, and we wanted to make it even easier for them to order online,…The new Caseys.com makes our food the hero of the digital experience, helping to solve the daily meal dilemma."
To learn how to streamline the online ordering experience, Casey's spent time with its customers across all 16 states in its operating footprint.  Sebastian continued "We know customers are always looking for ways to save time. Ordering breakfast, lunch or dinner at Caseys.com gives our pizza lovers a few minutes back each day so they can do the things they really love,"  "Our goal is for customers to shop Caseys.com anytime and anywhere, when it's most convenient for them."
Ensuring the look and feel of a restaurant Casey’s, website improvements include:
·         Easier ordering — Customers can save their "favorites" after setting up an account. This includes favorite order, store location, preferred method of payment and delivery address.
·         Increased customization — Customers can now order their pizza exactly how they like it, such as selecting specific toppings for each half of the pizza; making substitutions for sauces and toppings; and adjusting how much or how little to use of each ingredient.
·         Faster carryout — Customers can now pay online for carryout orders, letting them skip the in-store cashier line.
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 Facebook.com/Steven Johnson, www.Linkedin.com/in/grocerant/  or www.twitter.com/grocerant