Last month, SN published the results of its first Fresh Foods survey, which asked retailers and other members of the industry about performance and trends in the perimeter.
Overall, retailers report strong growth in the perishables categories. The following slides present a deep dive into some of the other findings from the survey.
Going for organic
As organic has grown in popularity, some retailers have found the price premium has gone down, particularly in produce.
“Organic and locally grown are important marketing tools. Oftentimes, the price of the organic matches the standard item. At that point, produce department manager has autonomy to carry only the organic,” said one retailer.
Retailers want to cater to customers seeking out local products, but they could use some help with marketing.
“We need a greater willingness from our local producers to show up in the stores and talk about their products. The customers love meeting the producers,” noted one retailer.
Rise of e-commerce
The total breaks down to 11.2% of all retailer respondents offering online ordering only, 7.9% providing delivery only and 19.1% doing both.
At your service
Butchers were by far the most prevalent service-focused employees. Other perishables department specialty employees included seafood experts/fishmongers (66.7%), scratch bakers (55.2%), trained chefs (42.5%) and cheesemongers (35.6%).
Many retailers recognize restaurants like Chipotle are the ones to watch when it comes to competing for customers looking for a quick meal. Another 18.5% said QSRs like McDonald’s are the biggest competitor.
If you can’t beat ‘em, join ‘em? Fast casual stations have also found a place in stores, with 34.1% of retailers offering them.
Perhaps not surprisingly, a whopping 97.7% have a deli counter.