When
a key food sector funded research project study shows a continued decline in
key demographic customer loyalty one thing is obvious. That is, usually things are much worse that
then report found according to Steven Johnson,
Grocerant Guru® at Tacoma, WA based Foodservice
Solutions®.
So,
currently supermarkets remain the go-to retail venue for fresh produce, but
their pull is weaker among younger shoppers, according to the Food Marketing Institute’s 2019 “The Power of
Produce” study. What other avenues of distribution are consumers migrating?
Well, according to Johnson grocerant niche restaurants, dollar stores, and grocerant
niche convenience stores.
Shockingly
the report found that only 50% of all shoppers cited a full-service supermarket
as their primary store for purchasing fresh produce. Wow, have things changed
since I was a kid. All that said FMI’s
report gives traditional grocery stores a leg up on other retail formats, given
that 55% of grocery trips include fresh produce. Ok, you know what I’ am going
to say now. We told you so! Yes,
Grocerant niche fresh food sales continue to drive customer migration.
Here
is where the FMI study edified what we have been saying for 1 years. They found that the younger generation
exhibits a greater affinity for buying fresh fruit and/or vegetables at
supercenters and alternative retail channels,
including online, dollar stores, convenience stores and farmers’ markets. Of
consumers polled, just 34% of older Millennials named a supermarket as their
primary store for produce.
Rick Stein, vice president of fresh foods at
FMI, said in a statement. “Specifically, the study suggests a need for a
renewed focus on strategies for continued growth, including organic, locally
grown produce; value-added produce for time-starved customers; produce-based
beverages and private branded produce.” What he meant to say is you DONING WHAT
YOU HAVE ALWAYS DONE AND DOING THE SAME WAY WILL NO LONGER WORK.
Here
is some information from the study all food retailers will find useful.
1.
“Fresh fruit and vegetables also show potential
to fit into more eating occasions. Although 36% of consumers polled said they
eat fresh produce about three times a week or less, they would like to include
it more frequently in meals or snacks, FMI found.
2.
56%
of shoppers buy veggie shakes or fruit smoothies, and 53% buy cold-press
juices. Those figures don’t include similar beverages people make at home or
purchase from other areas of the store, such as kombucha.
Are
you offering more fresh fruit and produce to your consumers as a Hand-Held Food
for immediate consumption options? If
not Why? 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.
