New Retail Food Formats Driven by the Evolving Consumer

Trader Joe's was recently chosen as consumer’s favorite grocer. Whole Foods and Trader Joe’s both have created ready-2-eat and heat-N-eat fresh prepared food items with qualitative differentiation as an entity with identity that has help propel them into ready-2-eat fresh prepared food leadership.

Recent research shows that both Trader Joe's and Whole Foods are each known for high quality (restaurant quality) ready-2-eat and heat-N-eat foods with distinctive offerings. Most important each is leading with innovative products and package size that create value and have positioned each as a food shopping destination for meal componentscustomized and personalized for immediate consumption or mix and matched for a meal time at home. In short they are stealing restaurant customers.

Walgreens fresh prepared food is restaurant quality and priced less than Panera Bread or Corner Bakery CAFE. Both Panera Bread andCorner Bakery CAFE thrive in urban locations. Walgreens is now growing price, quality and speed of service advantages over legacy retailers. Legacy restaurant chains must reconsider the speed at which they evolve and adapt or non-traditional outlets will capture profits margins as well.

Traditional views of meals and mealtime can pretty much be discarded. Legacy retailers waiting for the "next big thing" to copy simply might be out of luck this time. Legacy food retailers may not like to be first movers very much but it may prove that waiting too long will not work this time.

Product, Packaging, Placement, Portability and Price are Foodservice Solutions® 5 P’s of food marketing driving top line sales and bottom line profits. Have you integrated the five P’s? Foodservice Solutions® can help.

The retail food world is evolving at an ever increasing pace filled with innovation in food, portion size, points of distribution, and quality fresh prepared meal solutions. The price, value, service equilibrium is resetting in retail foodservice. In order to edify the brand and reinforce consumer relevance restaurateurs must leverage Foodservice Solutions® 5P's of food marketing. 

Many legacy food retailers continue to practice brand protectionism, stifle the brand while diminishing consumer relevance. The consumer is dynamic not static. Brands must be dynamic, evolving with the consumer. Four more years of watching other retail sectors thrive should be long enough. Success in the restaurant world is no longer simply about what happens within your 4 walls.

Source: Grocerants (http://goo.gl/lghwwM)