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Survey: Mainstream retailers don't stock enough local products

Survey: Mainstream retailers don't stock enough local products

Consumers say chain retailers leave much to be desired when it comes to local products, according to a survey by Precima, the data analytics division of LoyaltyOne.

Sixty percent of respondents said large retailers don’t stock enough local products, while 42% said chains don’t do a good job of highlighting local selections. Only 15% rated large retail chains as excellent at stocking and promoting local products.

In comparison, local farmers’ markets earned an excellent rating from 71% of consumers, while 23% rated natural food stores as excellent when it comes to local.

"Local products represent a significant opportunity for chain retailers to attract new customers and capture additional share of wallet from existing customers. Retailers need to draw upon the shopper insight data they collect to understand what is driving this behavior and then structure their pricing, merchandising and promotions to align with the value consumers place on local products," Graeme McVie, general manager and VP of business development for Precima, said in a press release.


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Many respondents said they would pay a premium for locally produced products. Nearly half would pay at least a 15% premium for local meat and seafood. Sizeable minorities would pay more for bread and bakery (40%), dairy (40%), produce (37%) and beer and wine (32%).

At the same time, local produce was the biggest priority for consumers, with 59% ranking local fruits and vegetables as “very important.” Only 29% said the same of local meat and seafood.

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