Progressive Grocer - September 2017 - 104

Fresh Food

Consumers
... may have
a long list
of product
attributes that
appeal to them
- or don't -
but at the end
of the day, they
want a quick
and simple way
to distinguish
who the good
guys and bad
guys are."
-Mindy Hermann,
registered dietitian
nutritionist

Marketing/Merchandising

they can say the meat loaf is
store-bought but comes from
award-winning, grass-fed
cows that have been pastureraised since birth at McDonald's Farm in Paducah," she
offers as an example.
Convenience, Hermann
adds, doesn't negate consumers' interest in knowing as much as they can about
where their food comes from. "If you want consumers to pay a premium for your fresh program, you
need to do more than simply provide product - you
need to stress authenticity," she points out.
But more importantly, for food retailers to benefit
from the free-of movement, industry observers such
as Nelson stress that they must make sure to communicate the products' value proposition. She reminds
us that the more consumers understand about what
they're buying, the more connected they feel - something that's particularly true in fresh departments.
Also, given the number of options consumers have
today, Nelson says that it would behoove grocers to
tout the specialness of the products they carry.
"Highlighting or showcasing what is and isn't in

the food, how
it's made and
produced, would
go a long way in
helping retailers distinguish
themselves in
the overcrowded,
highly competitive prepared food market," she observes. "At the
end of the day, consumers still want convenience,
but they want to understand what is unique about
the prepared food their grocer is selling. The more
distinctive it is, the more likely they are to buy it
from their grocer versus another merchant."
Looking forward, Nelson predicts that as online
retailers push to take a bigger bite out of supermarkets' share of business, grocers may look to cut back
on center store square footage even further, to make
room for more fresh offerings. "This is really where
grocers shine, but to compete near-term will require
them to dedicate more space to educate and demonstrate the value statements within the fresh space,"
she says. "This is a critical next step if they hope to
keep shoppers in the store longer." PG

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800-837-2881
104

| Progressive Grocer | Ahead of What's Next | September 2017


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Table of Contents for the Digital Edition of Progressive Grocer - September 2017

Contents
Progressive Grocer - September 2017 - Cover1
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Progressive Grocer - September 2017 - Contents
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