Food Shippers of America - Fall/Winter 2016 - 76


Moving Away
from Conventional Behaviors
1. Assortment and Distribution
Old Thinking: Sell/stock every SKU,
including different sizes, flavors
and forms of the same product to
be distributed in every store and all
channels.
New Approach: Use advanced
analytics to better understand
shopper profiles and purchase
behaviors, then localize assortment
accordingly. Consider shopper
attributes such as ethnicity, age,
life-stage and socioeconomic
status. This will improve the shopper
experience and increase customer
satisfaction, while reducing outof-stocks and improving sales and
margins.
2. Store Design and Configurations
Old Thinking: In the past, a cookiecutter approach to store design
worked well. Using a "one-size-fitsall" philosophy, retailers could open
stores quickly and efficiently.
New Approach: Success at retail
requires a more "localized"
approach, meaning retailers
must put the right banner and/or
format at the right location. Many
retailers are already adjusting their
banners in response to competitive
pressures and their need to better
serve targeted households. For
example: Walmart is opening
Neighborhood Markets in place of
Supercenters. This gives Walmart
greater presence in suburban
and inner-city markets. Ahold is
adding bfresh stores, which are

small format, neighborhood stores
focused on fresh products and
convenience.
3. Pricing and Promotion Optimization
Old Thinking (Pricing:) Apply
zone pricing to align prices with
competing banners within the
market.
New Approach: Develop integrated
pricing strategies that factor
in competitive pricing as well
as pricing based on shoppers'
sensitivities. Understand the price
points at which shoppers will opt
for an alternative, lower-priced
item, or trade down to a smaller
pack size. Conversely, understand
the elasticities that encour age
shoppers to trade up. This will
reduce the number of discounts
given to price insensitive shoppers,
which needlessly erodes margin.
Creating pricing strategies based
on shopper sensitivity and product
elasticity will help merchants
determine which base prices are
unintentionally too low and which
prices are disruptively high, which
may be diluting their position
within the market. Additionally,
comprehensive benchmarks
based on shopper sensitivities
and competitive prices should
occur across all levels, including
total store, depart ment, category,
item group, as well as at the item
level. Old Thinking (Promotion):
Distribute millions of free-standing
inserts (FSIs) with hopes of
achieving a redemption rate in
the neighborhood of one percent.

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Table of Contents for the Digital Edition of Food Shippers of America - Fall/Winter 2016

President’s Letter
Meet Your Board
Mentors Make a Difference
Are You Partnered with a 3PL Yet?
Caution: Merging Traffic
Retailers Sharpen Supply Chain Visibility With Improved Technology
Parking Woes Continue
Electronic Logging Devices: Myths and Facts
Tax and Accounting Changes Will Impact Transportation Industry
Retail Trends
Positive Attitudes and Strong Relationships: Key Tools for Success
From Farm to Fork
Narrow Focus to Separate from the Pack and Increase Sales Momentum
Industry Forecast
The Internet of Things
Member Profile: C&S Wholesale Grocers
Preparing for the New Overtime Pay Rules
10 Ways to Become an Effective Manager
Culture at Work is Everything, and Everything is Culture
FSA Members
In the News…
Index of Advertisers
Food Shippers of America - Fall/Winter 2016 - cover1
Food Shippers of America - Fall/Winter 2016 - cover2
Food Shippers of America - Fall/Winter 2016 - 3
Food Shippers of America - Fall/Winter 2016 - 4
Food Shippers of America - Fall/Winter 2016 - 5
Food Shippers of America - Fall/Winter 2016 - 6
Food Shippers of America - Fall/Winter 2016 - 7
Food Shippers of America - Fall/Winter 2016 - 8
Food Shippers of America - Fall/Winter 2016 - 9
Food Shippers of America - Fall/Winter 2016 - 10
Food Shippers of America - Fall/Winter 2016 - President’s Letter
Food Shippers of America - Fall/Winter 2016 - Meet Your Board
Food Shippers of America - Fall/Winter 2016 - 13
Food Shippers of America - Fall/Winter 2016 - 14
Food Shippers of America - Fall/Winter 2016 - 15
Food Shippers of America - Fall/Winter 2016 - Mentors Make a Difference
Food Shippers of America - Fall/Winter 2016 - 17
Food Shippers of America - Fall/Winter 2016 - 18
Food Shippers of America - Fall/Winter 2016 - 19
Food Shippers of America - Fall/Winter 2016 - 20
Food Shippers of America - Fall/Winter 2016 - 21
Food Shippers of America - Fall/Winter 2016 - 22
Food Shippers of America - Fall/Winter 2016 - 23
Food Shippers of America - Fall/Winter 2016 - 24
Food Shippers of America - Fall/Winter 2016 - 25
Food Shippers of America - Fall/Winter 2016 - 26
Food Shippers of America - Fall/Winter 2016 - 27
Food Shippers of America - Fall/Winter 2016 - 28
Food Shippers of America - Fall/Winter 2016 - Are You Partnered with a 3PL Yet?
Food Shippers of America - Fall/Winter 2016 - 30
Food Shippers of America - Fall/Winter 2016 - 31
Food Shippers of America - Fall/Winter 2016 - Caution: Merging Traffic
Food Shippers of America - Fall/Winter 2016 - 33
Food Shippers of America - Fall/Winter 2016 - 34
Food Shippers of America - Fall/Winter 2016 - 35
Food Shippers of America - Fall/Winter 2016 - 36
Food Shippers of America - Fall/Winter 2016 - 37
Food Shippers of America - Fall/Winter 2016 - Retailers Sharpen Supply Chain Visibility With Improved Technology
Food Shippers of America - Fall/Winter 2016 - 39
Food Shippers of America - Fall/Winter 2016 - 40
Food Shippers of America - Fall/Winter 2016 - 41
Food Shippers of America - Fall/Winter 2016 - 42
Food Shippers of America - Fall/Winter 2016 - 43
Food Shippers of America - Fall/Winter 2016 - 44
Food Shippers of America - Fall/Winter 2016 - Parking Woes Continue
Food Shippers of America - Fall/Winter 2016 - 46
Food Shippers of America - Fall/Winter 2016 - 47
Food Shippers of America - Fall/Winter 2016 - 48
Food Shippers of America - Fall/Winter 2016 - Electronic Logging Devices: Myths and Facts
Food Shippers of America - Fall/Winter 2016 - Tax and Accounting Changes Will Impact Transportation Industry
Food Shippers of America - Fall/Winter 2016 - 51
Food Shippers of America - Fall/Winter 2016 - 52
Food Shippers of America - Fall/Winter 2016 - 53
Food Shippers of America - Fall/Winter 2016 - Retail Trends
Food Shippers of America - Fall/Winter 2016 - 55
Food Shippers of America - Fall/Winter 2016 - 56
Food Shippers of America - Fall/Winter 2016 - 57
Food Shippers of America - Fall/Winter 2016 - Positive Attitudes and Strong Relationships: Key Tools for Success
Food Shippers of America - Fall/Winter 2016 - 59
Food Shippers of America - Fall/Winter 2016 - 60
Food Shippers of America - Fall/Winter 2016 - 61
Food Shippers of America - Fall/Winter 2016 - 62
Food Shippers of America - Fall/Winter 2016 - 63
Food Shippers of America - Fall/Winter 2016 - 64
Food Shippers of America - Fall/Winter 2016 - 65
Food Shippers of America - Fall/Winter 2016 - 66
Food Shippers of America - Fall/Winter 2016 - 67
Food Shippers of America - Fall/Winter 2016 - From Farm to Fork
Food Shippers of America - Fall/Winter 2016 - 69
Food Shippers of America - Fall/Winter 2016 - 70
Food Shippers of America - Fall/Winter 2016 - 71
Food Shippers of America - Fall/Winter 2016 - 72
Food Shippers of America - Fall/Winter 2016 - 73
Food Shippers of America - Fall/Winter 2016 - Narrow Focus to Separate from the Pack and Increase Sales Momentum
Food Shippers of America - Fall/Winter 2016 - 75
Food Shippers of America - Fall/Winter 2016 - 76
Food Shippers of America - Fall/Winter 2016 - 77
Food Shippers of America - Fall/Winter 2016 - 78
Food Shippers of America - Fall/Winter 2016 - 79
Food Shippers of America - Fall/Winter 2016 - 80
Food Shippers of America - Fall/Winter 2016 - Industry Forecast
Food Shippers of America - Fall/Winter 2016 - The Internet of Things
Food Shippers of America - Fall/Winter 2016 - 83
Food Shippers of America - Fall/Winter 2016 - 84
Food Shippers of America - Fall/Winter 2016 - 85
Food Shippers of America - Fall/Winter 2016 - 86
Food Shippers of America - Fall/Winter 2016 - Member Profile: C&S Wholesale Grocers
Food Shippers of America - Fall/Winter 2016 - 88
Food Shippers of America - Fall/Winter 2016 - Preparing for the New Overtime Pay Rules
Food Shippers of America - Fall/Winter 2016 - 90
Food Shippers of America - Fall/Winter 2016 - 91
Food Shippers of America - Fall/Winter 2016 - 92
Food Shippers of America - Fall/Winter 2016 - 93
Food Shippers of America - Fall/Winter 2016 - 94
Food Shippers of America - Fall/Winter 2016 - 10 Ways to Become an Effective Manager
Food Shippers of America - Fall/Winter 2016 - 96
Food Shippers of America - Fall/Winter 2016 - 97
Food Shippers of America - Fall/Winter 2016 - Culture at Work is Everything, and Everything is Culture
Food Shippers of America - Fall/Winter 2016 - 99
Food Shippers of America - Fall/Winter 2016 - 100
Food Shippers of America - Fall/Winter 2016 - 101
Food Shippers of America - Fall/Winter 2016 - FSA Members
Food Shippers of America - Fall/Winter 2016 - In the News…
Food Shippers of America - Fall/Winter 2016 - 104
Food Shippers of America - Fall/Winter 2016 - 105
Food Shippers of America - Fall/Winter 2016 - 106
Food Shippers of America - Fall/Winter 2016 - Index of Advertisers
Food Shippers of America - Fall/Winter 2016 - 108
Food Shippers of America - Fall/Winter 2016 - 109
Food Shippers of America - Fall/Winter 2016 - 110
Food Shippers of America - Fall/Winter 2016 - cover3
Food Shippers of America - Fall/Winter 2016 - cover4
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