Thursday, October 13, 2011

Foodservice Solutions® crafting success in the ready-2-eat and heat-N-eat grocerant fresh prepared food niche.


The grocerant niche is a result of the blurring of the line between restaurants, grocery stores, convenience stores and chain drug stores all selling fresh prepared, portable convenient meal solutions.  Targeted at the time-starved consumer with ready-2-eat or heat-N-eat fresh prepared food components that are “better for you”, portable and portioned for one or two.

These meal components can be bundled into a meal of the consumer’s choice. Grocerant food refers to any retail food item that is fresh prepared ready-2-eat or prepared heat-N-eat, sold in a Grocery store, Convenience store, Restaurant or Drug Store that can be in a To-go or Take Away format.  Most retail companies goal is to create a collection of branded private label entrĂ©e and side dishes that have niche leading identity.

Traditionally these items can be found in restaurants under the To-go, takeout or take away (drive-thru) or delivery section, grocery stores in the deli / lifestyle section of a grocery store, C-stores in the prepared food area and prepackaged, ready-2-eat items.  If success leaves clues we have garnered that most retailers are having success developing a reputation for their unique flavor profiles, right size packaging, while creating a halo of better for you around their offerings.

Around the world we are now seeing Grocerant sections in department’s stores and kiosk in malls in Europe / Asia and airports around the world.   The items can range from entrees to side items and deserts.  Some examples of items range from crab puff pastries 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.

Outside eyes can deliver top line sales and bottom line profits.  Invite Foodservice Solutions® to complete a grocerant program assessment, brand, product placement or positioning assistance.  Since 1991 Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche visit Facebook.com/Steven Johnson, Linkedin.com/grocerant or twitter.com/grocerant

Wednesday, October 12, 2011

WHOLE FOODS or Whole FOODSERVICE aka a GROCERANT

The foodservice consumer in on the move and Whole Foods is moving with the consumer. Whole Foods posted better than expected earning in large part because they are selling what the customers want.  That is better for you fresh and prepared ready-2-eat and heat-N-eat food.  They understand that the retail advantaged is now in fresh prepared ready-2-eat and heat-N-eat food. Incorporating ready2-eat and heat-N-eat food stations around the stores has propelled frequency while increasing profitability.
Foodservice consumer discontinuity is the focus on much attention from consultants to chain executives.  As an industry our concern is and should be share of stomach, first by company, second by niche-market share and third the restaurant industry overall.
The economy is not our largest problem it is competition for share of stomach; specifically by the ready-2-eat and  heat-N-eat fresh prepared meal section of the grocery stores, chain drug stores C-stores vs. the restaurant sector.
While other legacy grocery store companies worry or labor cost, and struggle with market positioning and center of the cost of goods.  Whole Foods focuses on the wants and needs of today’s consumer and it is winning the battle for the consumer garnering market share.
Outside eyes can deliver top line sales and bottom line profits.  Invite Foodservice Solutions® to complete a grocerant program assessment, brand, product placement or positioning assistance.  Since 1991 Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche visit Facebook.com/Steven Johnson, Linkedin.com/grocerant or twitter.com/grocerant

Tuesday, October 11, 2011

Convenience stores with `Drive-Thru’s building momentum.

There is a long list of  convenience stores operators who are using or testing drive-thru’s including Quickie Mart Hackensack, N.J. Dairy Barn, New York. Bennie’s, drive-through convenience store Arizona, The Kwik Trip convenience store chain, Wisconsin. Loveland Farms Drive-Thru Albuquerque, New Mexico and Pak-A-Sak.
Prepared ready-2-eat and heat-N-eat food has been the staple of the QSR industry for years.  Most offer bundled grocerant meal solutions with three choices small, medium or large. Recently the Convenience Store sector has been working hard to expand fresh food offerings via drive-thru as well.
It looks as if Texas based Pak-A-Sak Inc. might just have found the right formula.  The first drive-thru opened now accounts for 33 percent of all grocery sales at that store. Given the positive customer response, all new Pak-A-Sak convenience stores will have a drive-thru a third is already under development.
Drug stores have utilized Drive Thru’s for years it will be interesting to see if with fresh prepared food sales picking up dramatically they might begin to sell or dispense more than drugs via the drive thru?  The conversion of the store window would be relatively inexpensive.
Foodservice Solutions® specializes in outsourced business development. We can help you identify, quantify and qualify additional food retail segment opportunities or a brand leveraging integration strategy.  Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more visit http://www.linkedin.com/in/grocerant or on Facebook at Steven Johnson.

Monday, October 10, 2011

Jack in the Box finds day-part success with bundled favorites.

Sit down food, stand up food or car food.  Jack in the Box® leverages mix and match bundled meal options driving top line sales and bottom line profits. Breakfast, lunch and dinner Jack in the Box continues attracting new consumer with menu items that were at one time exclusively found at full service sit down restaurants expanding avenues of distribution for traditional menu items in non-traditional venues. 

The Jumbo Breakfast Platter is a hearty meal that is not hand held.  This platter loaded with mini pancakes, scrambled eggs, hash browns and choice of either bacon or sausage rivals any that can be found at a full service restaurant. Consumer can mix and match traditional full service appetizers the ilk of stuffed Jalapenos, Egg Rolls and Mozzarella Sticks with dinner or a beverage on the way home or bundle them for a party when the get home. 

The grocerant niche filled with ready-2-eat and heat-N-eat food continues to expand equally with new points of fresh food distribution the ilk of Walgreens, CVS, 7 Eleven, dollar stores and expanding traditional menu items into non-traditional points of distribution.   

If success leave clues Foodservice Solutions® 5 P’s of food marketing: Product, Packaging, Placement, Portability and Price are clues that continue to be drivers of success.  The primary driver of the grocerant niche is quality food bundled as components allowing and promoting consumer choice.  Meal time is now becoming a time of convenient meal participation, with differentiation and individualization for the entire family.

Outside eyes can deliver top line sales and bottom line profits.  Invite Foodservice Solutions® to complete a grocerant program assessment, brand, product placement or positioning assistance.  Since 1991 Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche visit Facebook.com/Steven Johnson, Linkedin.com/grocerant or twitter.com/grocerant

Friday, October 7, 2011

NPD Group US takeout business set for 20% growth much in new channels of distribution.

Proactive and entrepreneurial both Grocery stores operators and Convenience stores operators are entering the ready-2-eat heat-N-eat fresh prepared food niche.  Full speed ahead from coast to coast, each sector is increasing the number of new high quality offerings to entice restaurants consumer to make the switch.
Here are just a few new menu offerings:
  1.  Publix Bacon Peppercorn Flavored Rotisserie Chicken
  2. Trader Joe’s Wine Country Chicken Salad: with white-meat chicken, pecans, celery, poppy seeds and dried cranberries
  3.  Rutters Breakfast subs with double egg, double cheese and double meat
  4. Central Market with Chimichurri Rostisserie Chicken
  5. Whole food roman style pizza
  6. Sheetz Grilled Chicken Cesar Wrap and Garlic Fryz
NPD Group restaurant industry analyst Bonnie Riggs stated "This is something that had been happening prior to the recession, and it has only gotten exacerbated by the recession,…Riggs expects supermarkets to continue to see decent takeout business as the recession fades, largely because NPD projects takeout meals eaten in-home will grow by 20 percent during the next decade.
Grocerant ready-2-eat and heat-N-eat food is growing in number of locations.  The quality of offerings is improving while in many cases a pricing advantage over traditional restaurants can be found.  Consumer retail foodservice shopping patterns are repositioning and new sector leaders are beginning to surface.
Outside eyes can deliver top line sales and bottom line profits.  Invite Foodservice Solutions® to complete a grocerant program assessment, brand, product placement or positioning assistance.  Since 1991 Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche visit Facebook.com/Steven Johnson, Linkedin.com/grocerant or twitter.com/grocerant

Wednesday, October 5, 2011

Subway’s focus is food quality + price + bundled value + service equilibrium continues driving success.

Subway is in the middle of the grocerant niche with ready-2-eat fresh and prepared food and is building new units while building per-unit sales. Consumers are looking for new products, new packaging and time saving options in ready-2-eat  and heat-N-eat fresh prepared food.  They are attracted by the fresh focus; new portion size, price points, and interactive. 
The price, value, service equilibrium is resetting in Restaurants, Convenience stores and fresh prepared food in grocery stores.  The wildly successful Subway $5.00 foot-long stated it.  The QSR value focused $1.00 menu propelled. Now Walgreens, 7 Eleven, Target, Amazon and Sears are all selling fresh food and prepared meal components. Dollar stores are entering the crowed space and the consumer is going to win.
All retail food sectors have noticed a discontinuity in consumer food shopping behavior and all are fighting for share of stomach.   Contributing to this displacement is a focus on short term market metrics particularly price and away from the consumer.   Which in turn has caused a loss is consumer traffic for those with their eye off the consumer.  There are other attributes that are much more important to the consumer, yet many don’t take time to look. 
Outside eyes can deliver top line sales and bottom line profits.  Invite Foodservice Solutions® to complete a grocerant program assessment, brand, product placement or positioning assistance.  Since 1991 Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche visit Facebook.com/Steven Johnson, Linkedin.com/grocerant or twitter.com/grocerant

Tuesday, October 4, 2011

It's sundown for Sun Capiital restaurants.



The retail food consumer is dynamic not static. Grocery stores are providing additional fresh prepared ready-2-eat and heat-N-eat grocerant meal component options weekly. Chain Drug stores are now selling ready-2-eat fresh prepared food and Convenience stores continue up grading fresh and prepared meal offerings.
Successful branded restaurant operators must rapidly readjust menus, locations and points of distribution to reflect the increased in fresh prepared ready-2-eat and heat-N-eat meal competition.  Regular readers of this blog are familiar with our documentation of results of companies that practice brand protectionism over brand evolution.
This fall alone companies the ilk of Sooper Salad, Grandys, Real Mex Restaurants and Friendly’s seem to be caught in the 70’s, 80’s and early 90’s MBA C-level management mind-set trap of “Do no Harm”, “protect the brand” at all cost. 2011 may not be a good year in economic terms, but you can’t blame the economy for outdated positioning. Utilizing recycled or internal C-Level officers of the same ilk has proven once again to be a costly mistake. The consumer is dynamic not static, the interactive participatory aspects of the grocerant niche is one additional reason the consumer are driving its success.
If success leaves clues one of them is follow the customer as fast as you can.  If you do not, your brand may very well erode its consumer relevance.  Every branded food retailer today must have a vertically integrated multi-channel retail strategy including addressing all points of non-traditional distribution. During the past three years the grocerant niche has expanded and excelled.  Companies and brands that are or have been practicing brand protectionism are losing market share to those practicing brand evolution.
Outside eyes can deliver top line sales and bottom line profits.  Invite Foodservice Solutions® to complete a grocerant program assessment, brand, product placement or positioning assistance.  Since 1991 Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche visit Facebook.com/Steven Johnson, Linkedin.com/grocerant or twitter.com/grocerant