Canadian Retailer - Spring 2015 - 33

What are the primary challenges to the grocery sector in the coming years?
Allison: I think grocery will continue to face challenges from other competing retailers. Food has become
a traffic driver for other stores, like drugstores. Warehouse clubs will probably continue to steal more of
the grocery spend as well, as consumers are looking
to buy in bulk to save.
What about some broader long-term
external challenges?
Hillier: Source of supply. It will take a while, but
global demographics, with
the rise of the middle class
in emerging markets, will
put incredible pressure on
processed foods and agricultural crops. So retailers will be forced to move
from price as a measure
of supply to more of an assurance of supply. Where
can I get assured supply
that meets food safety,
sustainability, and product
traceability standards?
What are you expecting to
see as a result of consolidation in the industry?
Brain: The shakeup has
happened. It's up to the big
guns to execute on their
business plans.
click and collect
today's consumer is time-starved and craves
convenience. to that end, loblaw's allows it's shoppers to order their groceries
online. the service includes a website, shop.
loblaws.ca, where customers can order groceries, then pick them up at a drive-through location. Shoppers do not need to get out of their cars
to retrieve their items. instead, they press a button
at the drive-through to buzz staff inside the store,
who then bring the groceries out to the vehicle.

www.retailcouncil.org/cdnretailer

"It [innovation] means continued
experimentation with food offerings and assortment offerings,
and challenging the status quo
with the goal to be interesting
to the consumer. Grocery can
continue to push the innovation
button and push it hard."
- DEAN HILLIER, AT Kearney Ltd.

What other storylines are
you following?
Allison: Which retailers
will capitalize on the deserted Target locations?
Hillier: That people get
to see a true personalized
shopping experience. Also,
there are lots of legs left in
the innovation agenda.
What can that innovation
look like?
Allison: Think global for local needs-source products
from other markets, especially for ethnic regions.
This can also fuel private
label development as a
point of differentiation.
Brain: Grocers can and
should be working collaboratively with vendors-sharing information gained, i.e. in-store,
to innovate downstream. There are also lots of
opportunities to evolve the in-store experience.
Hillier: That's not just about CPG companies
pushing out a new flavour or pack size. It means
continued experimentation with food offerings
and assortment offerings, and challenging the
status quo with the goal to be interesting to the
consumer. Grocery can continue to push the
innovation button and push it hard.

SprinG 2015 | canadian retailer

| 33


http://www.loblaws.ca http://www.retailcouncil.org/cdnretailer

Table of Contents for the Digital Edition of Canadian Retailer - Spring 2015

Publisher's Desk
Retail Currents
Retail: At Issue
Leading Partnership
Tips to Market on a Budget, Part 2 of 2: Human-to-Human Relationship
Bilder & De Clercq: An Innovation in Eating
Taking Inventory
An Analyst’s Perspective
Managing Consent
Kronos: Serving up Fresh Workforce Management
Advertiser's Index
Retail Quick Tips
Canadian Retailer - Spring 2015 - bellyband1
Canadian Retailer - Spring 2015 - bellyband2
Canadian Retailer - Spring 2015 - cover1
Canadian Retailer - Spring 2015 - cover2
Canadian Retailer - Spring 2015 - 3
Canadian Retailer - Spring 2015 - 4
Canadian Retailer - Spring 2015 - 5
Canadian Retailer - Spring 2015 - Publisher's Desk
Canadian Retailer - Spring 2015 - 7
Canadian Retailer - Spring 2015 - Retail Currents
Canadian Retailer - Spring 2015 - 9
Canadian Retailer - Spring 2015 - 10
Canadian Retailer - Spring 2015 - 11
Canadian Retailer - Spring 2015 - Retail: At Issue
Canadian Retailer - Spring 2015 - 13
Canadian Retailer - Spring 2015 - 14
Canadian Retailer - Spring 2015 - 15
Canadian Retailer - Spring 2015 - Leading Partnership
Canadian Retailer - Spring 2015 - 17
Canadian Retailer - Spring 2015 - 18
Canadian Retailer - Spring 2015 - 19
Canadian Retailer - Spring 2015 - 20
Canadian Retailer - Spring 2015 - Tips to Market on a Budget, Part 2 of 2: Human-to-Human Relationship
Canadian Retailer - Spring 2015 - 22
Canadian Retailer - Spring 2015 - 23
Canadian Retailer - Spring 2015 - 24
Canadian Retailer - Spring 2015 - Bilder & De Clercq: An Innovation in Eating
Canadian Retailer - Spring 2015 - 26
Canadian Retailer - Spring 2015 - 27
Canadian Retailer - Spring 2015 - An Analyst’s Perspective
Canadian Retailer - Spring 2015 - 29
Canadian Retailer - Spring 2015 - 30
Canadian Retailer - Spring 2015 - 31
Canadian Retailer - Spring 2015 - 32
Canadian Retailer - Spring 2015 - 33
Canadian Retailer - Spring 2015 - Managing Consent
Canadian Retailer - Spring 2015 - 35
Canadian Retailer - Spring 2015 - 36
Canadian Retailer - Spring 2015 - 37
Canadian Retailer - Spring 2015 - Kronos: Serving up Fresh Workforce Management
Canadian Retailer - Spring 2015 - 39
Canadian Retailer - Spring 2015 - 40
Canadian Retailer - Spring 2015 - Advertiser's Index
Canadian Retailer - Spring 2015 - Retail Quick Tips
Canadian Retailer - Spring 2015 - cover3
Canadian Retailer - Spring 2015 - cover4
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