Posts

Grocery Stores That Are Emerging as Market Research and Technology Labs Means Opportunity

Image
In 1916, the first modern, self-service grocery store, Piggly Wiggly, was opened in Memphis by a Tennessee entrepreneur, Clarence Saunders. In the little over a century since, humanity has experienced a wave of technological innovation exponentially greater, many times over, than at any other time in human history. Of course, the grocery industry hasn’t remained untouched by that technology. We’ve seen innovations in food storage, shipping, online merchandising, self-checkout kiosks, and more. Despite that, the actual brick-and-mortar grocery experience has remained virtually unchanged. Grocery stores continue to order and stock popular products that customers select and pay for. That dynamic, however, may be changing, and that could mean big things for the industry, CPG marketing and brokerage agencies, and the customer. Emerging Technology Much of the recent innovation in retail grocery isn’t exactly predictable as much as it seems like an inevitable step once...

What Does the Grocery Store Dining Experience Mean for the Future of Grocery Retail?

Image
The rise of the internet marketplace has forced every industry to make some adjustments. Grocery retail has certainly not been an exception. Any sales and marketing agency worth its salt would tell the average brick-and-mortar retail business that the key is shifting their business strategy to an outgoing one, and to focus on making products available online. The retail grocery industry, however, isn’t positioned to live largely just online. Rows of fridges and freezers, deli, bakery, and butcher setups require real estate. The only recourse for grocery stores is to bring business to them.    As a result, the industry has seen an upswing in more niche and artisanal grocery stores, increased point of sale convenience, an emphasis on health and transparency, and, significantly, a reimagining of what grocery stores are and provide. There are two key components of that paradigm shift. One is a generally expanding push to control and market more of the food prep...

How Grocery Outlets Can Prepare for the Millennial Holiday Experience: Friendsgiving

Image
The “Millennials are killing [insert industry, product, service, or convention here]!” trope is cliché to the point that it’s now become a self-referential joke about the commonness, and often absurdity, of the accusation. That it’s become a canard taken increasingly less seriously makes sense. The seemingly accusatory implication that a generation, collectively, showing less interest in something, financially or otherwise, is a failure or betrayal on the part of that generation is part of the issue. The reality is every generation, ever, has seen the rise and fall of countless products, conventions, and trends. More importantly, if millennials are “killing” something by not spending their money on it, it’s a virtual certainty that they’re spending that money on something else. For the retail industry, which certainly includes grocery retail and the CPG marketing agencies supplying them, this should present an opportunity. For instance, the fact that millennials a...

How Your Niche Food Product Can Compete Against a Brand Giant

Image
Entrepreneurs, startups, and small businesses in food retail face an enormous obstacle: established brand giants. Of course, that’s an obstacle faced by small businesses in any market, but it tends to be a larger obstacle for niche food brands. That’s due in part because people tend to be very particular about what they choose to ingest, which can make for extreme brand loyalty. That very personal, very particular concern about what one eats and drinks serves as an extremely powerful motivator to choose the best products on the market. This can mean that over time as different trends and health information come to light that people can be looking for products to potentially replace the brand giant they grew up with or are most familiar with. That provides an “in” from which a shrewd food retailer can carve out a sizable chunk of market share, particularly when partnered with a competent CPG marketing agency. Establish Your Ideal Customer and Take Them Away F...

Is That Hot, New Health Product Worth Investing Your Store’s Money in?

Image
Trends are the name of the game for much of retail merchandising. It’s certainly the case for grocery purchasing (just ask a CPG marketing agency). Trends that are picking up steam can draw mini-rushes of interest and purchases. But in some cases (seemingly overnight) all that stock that had just been flying off the shelves is now relegated to the discount rack. Then there are the products that prove to be steady trends, rather than fleeting fads. They’re the ones that peak, dip, and then plateau—but seldom disappear (like quinoa, smoothie-specific fixings, granola, goat cheese, etc.). This is one of the features that distinguishes a fad from a trend. So how can you know if a trending health product is a long-term draw worthy or early adoption, or a flash-in-the-pan fad destined to fizzle out? Consider the Sources and the Claims The general nutritional information provided by mainstream scientific authorities and organizations usually turns out to be accur...

How to Sell Your Online CPG Brand to Retail Chains

Image
So, your niche food or drink product or brand has been doing well online. You have a website with the appropriate dedicated point-of-sales landing pages and may also be offering your product through third-party vendor sites as well. This is the point at which online sellers of consumable goods face an all-important decision for their brand: Continue to sell solely online by focusing exclusively on digital marketing, optimization, ads, and expansion to seek additional internet-linked niche markets and the sites catering to them? Or, is it worth going after brick-and-mortar grocery stores and retail chains? The latter can certainly be a risk, but success would change everything. However you choose to court the grocery retail market, it’s going to require an investment of time, money, and effort. The question is: Which of those investments is going to yield the greatest ROI? Which direction offers the greatest possibilities for growth? Being Your Own Brand Amba...

Meal Kits: Fleeting Fad or Here to Stay?

Image
First off, what are meal kits? As the name promises, meal kits are a collection of all of the ingredients you’ll need to create a specific meal—proportioned ingredients, spices and sauces, and step-by-step instructions—combined in a single kit. Meal kits are usually ordered online from companies such as HelloFresh and Blue Apron. They typically arrive once a week as a subscription service, have two or more servings per meal, and usually are designed to be completed within an hour or less. Who is Buying Meal Kits? Although the age, income level, and general situation of consumers buying meal kits vary considerably, they tend to be more popular with a younger demographic. Perhaps predictably, the specific younger demographic most likely to order and eat meal kits are urban, middle- to upper-middle-class millennials, with men being slightly more likely to use a meal kit service than women, according to a survey conducted for MONEY. Why Are They Buying Meal Kit...

Can “Retailtainment” Be Harnessed for the Grocery Space?

Image
According to George Ritzer, in his book Enchanting a Disenchanted World: Revolutionizing the Means of Consumption , “retailtainment” is defined as: “the use of sound, ambiance, emotion and activity to get customers interested in the merchandise and in the mood to buy.” Less clinically, it’s making the act of shopping an experience-driven undertaking, rather than a necessary chore. So far, retailtainment has largely been deployed in retail outfits such as Target, Barnes & Noble, Armani, Lululemon, and mega-malls like the Mall of America in Minnesota and the Mall of the Emirates in Dubai, to name a few. While some of these stores may sell grocery items, they don’t exclusively. It’s no surprise that retailtainment has become so popular that more than 75% of millennials report that they’d prefer to spend their money on a memorable experience or event than on a desirable item. Needless to say, the retailer who can leverage retailtainment to capture the attention ...

Is Cultured Meat the Next Big Thing in Grocery Retail?

Image
A new industry trade association recently formed this September after the Good Food Institute’s Good Food Conference on UC Berkeley’s campus. The members of this fledgling organization were all representatives of the “cultured meat” industry—meat that is grown from animal cells in a lab (and therefore doesn’t require an animal from which to harvest said meat). Their first order of business was to replace the term “clean meat”—which, it was argued, might imply that traditional, live animal-based meat was less clean by comparison. The association settled on the phrase “cell-based meat” to resolve the issue, though it’s certain there will be more hurdles on the road ahead for this association and eventual product. Despite science fiction authors, futurists, scientists, and even world leaders having predicted the arrival and even takeover of cultured meat for years (Winston Churchill declared that it would make the current practice of animal-based meat production a...

Growing Your Brand’s Center of Store Presence

Image
The eating and grocery shopping patterns of Americans are changing, directing many away from the center aisles in the store. Instead, people are shopping the perimeters for fresh and healthy foods. These behavioral changes have resulted in a stagnation of growth for center-aisle brands Luckily, there are workarounds to limit stagnation and fuel growth in the center aisle. Working with a CPG sales and marketing agency that offers deep expertise on center of store best practices can increase brand awareness and lead to success. The strategies that these agencies utilize to increase center aisle success include: Trackable in-store executions The key to driving sales is producing consistent insight into how your products are performing. This can be completed by using a variety of technological resources such as in-store surveys, handheld devices, and online portals that monitor brand performance.   Delivering consistency This requires a regu...

Resonating with The Next Generation of Shoppers

Image
Millennials get blamed for a great many things. They’re responsible for “killing” everything from chain restaurants to straws. They have high expectations, yet these expectations don’t align with previous norms. Coming of age during a staggering recession, their commitments and preferences are much different than the boomers before them.       Millennials are very much a generation who vote with their dollar. Research has shown they prefer companies that give to charity. And, while they are money-conscious, they are certainly willing to spend money on a brand that gives back, be it via charitable donations or a buy-one-give-one model. This generation expects brands to be actively engaged in giving back and has no problem earnestly avoiding brands that misstep. Brands don’t have to adjust to millennial preferences alone. They can work with grocery brokers to quickly adapt and change to inspire the next wave of shoppers to commit. While the proces...

Why People Are Going Crazy for Kombucha

Image
It may feel like kombucha (pronounced kom-BOO-cha) is the latest health craze to hit supermarket shelves, but it’s experienced a great deal more than 15 minutes of fame. In fact, kombucha has been popular in China as a health elixir for more than 2,000 years. Its prominence on store shelves continues to grow as CPG brokers meet the high demand for highly portable kombucha. So, what is kombucha and why does demand continue to grow? To put it simply, kombucha is a fermented sweet tea (derived from green, black, or white tea leaves). For a more scientific definition, Wiley Online Library puts it best by stating, “[kombucha] is obtained from the infusion of tea leaves by the fermentation of a symbiotic association of bacteria and yeasts forming ‘tea fungus.’ A floating cellulosic pellicle layer and the sour liquid broth are the 2 portions of kombucha tea” The floating cellulosic pellicle layer they refer to is also known as a “scoby,” which stands for “symbiotic culture o...

How a Natural Food Broker Can Advance Your Brand

Image
The consumer-packaged goods (CPG) industry is enormous and saturated with brands vying for consumer attention. Standing out and remaining relevant among the crowd can be a difficult achievement. Working with a natural food broker that has a deep understanding of the nuances of the food and grocery business can help you navigate the masses while getting and keeping your products on the shelves. Competition in the fresh and natural category is even more fierce, and for those represented correctly, there is a great deal of money to be made. Fresh and natural foods accounted for a massive portion of grocery sales last year. According to Supermarket News, “Overall, fresh categories tallied in-store sales of nearly $178 billion [last year].” A food broker will represent your brand and work on its behalf to help you grow in a sustainable manner. The best food brokers and CPG marketing firms can help clients with everything from marketing and retail sales strategies to...

How Data Analysis Can Move Your Brand Forward

Image
The competition for consumer attention and loyalty has never been fiercer. In fact, according to research released in 2017 by Hartman Group Inc. for the Food Marketing Institute, just 47% of the 2,145 grocery shoppers surveyed stated that they did most of their grocery shopping at a primary supermarket—down from 61% a decade earlier. These statistics mean that supermarkets, and the brands they stock, have to innovate and adapt to remain at the forefront of a consumer’s thoughts and needs. CPG marketing and data-driven insights are effective ways to harness a competitive advantage for your brand. By investing in data, brands can gain the upper hand with retailers and consumers. Extensive analysis of your data can drive your presence before consumers and allow you to make compelling decisions that move your business forward.  Data can give your brand insight into: How you are performing compared to your competitors Your consumers and their shopping behavi...

The 4 Superfoods Dominating 2018

Image
Nutritionally dense foods that promote a healthy body and mind, superfoods are buzz-worthy ways to add variety to your diet while nourishing your body. While their popularity may wax and wane, their benefits are more than a fad. From the health nut that will try anything to the accomplished grocery broker helping grocery stores carry them, these superfoods are in high demand.    Moringa Referred to as the next quinoa, moringa is a small tree native to India, where it has been used in the practice medicine for over 5,000 years. Rich in vitamins and nutrients, this superfood possesses all nine essential amino acids, as well as vitamin C, iron, magnesium, vitamin A, and B vitamins. It also contains antioxidants which aid in battling inflammation and has been shown in human trials to reduce cholesterol levels. This powerful nutritional profile is causing it to gain popularity rather quickly. The easiest way to work moringa into your diet is via a powder that ...