Ready-2-Eat and Heat-N-Eat fresh
prepared food aka Grocerant Niche retail
is booming in every sector of retail today. Companies the ilk of Nordstrom’s,
Macy’s, Lord and Taylor are joined by the likes of Walgreens, Pinkies Liquor
stores, Wawa, Sheetz and even some Home Depot’s selling Ready-2-Eat and Heat-N-Eat
fresh prepared food with customized mix and match options.
One of the fastest growing sectors of
retail today just may be the coffee sector.
The ability of a craft coffee house to sell both fresh Ready-2-Drink and
Heat-N-Drink product simultaneously places the craft roaster unique sustainable
position to compete equally with the likes of Seattle’s, Starbuck’s, San
Francisco’s Pete’s Coffee, Minneapolis Caribou Coffee and Orlando’s Barnie’s
Coffee Kitchen. Most important it places
them in the center of the Grocerant Niche battling for share of stomach and
winning.
Craft coffee houses here in the
Northwest are thriving while seemingly on every other block. Which makes them seemingly just a block away
from the nearest Starbucks, yet they are thriving. The personal touch customer can receive from
small-batch roaster ranges from the consistent smile and hello at the door, the
full aroma emitting from the roaster as the beans reach that perfect
temperature, to personalized customized roasting for home or office (a private
label blend).
The ability of start-ups like Jose
Estorino's Orlando, FL Javatino, selling coffee beans and ground coffee
simultaneously provides incremental point of purchase profit. Here is the crux of how the grocerant niche
provides retailers an advantage; they either sell the cup of coffee and a bag
of beans, or a bag of beans and a cup of coffee, the craft coffee house wins
either way with an incremental sale. Driving
top line sales and bottom line profits.
Starbucks started out selling a cup of
coffee. Then Starbucks sold a coffee
cup, a cup for coffee, coffee machines, and bags of coffee To-Go. While most legacy coffee shops / chain
restaurants of the day capitulated market share, some went out of business,
others are now considered restaurants.
Starbucks on the other hand became an
Omni-channel retailer. They grew, and grew, all while driving top line sales
and bottom line profits. Today,
Starbucks continues driving growth adding products not subtracting them and
this time its fresh food including fresh food delivery.
Craft coffee is not limited to just
local, sustainable business. San Francisco-based Blue Bottle, continues to
drive growth and is now expanding its online sales with a new $25.75 million
round of funding. In every retail
sector, mix and match meal component bundling can drive continued top line
sales growth and bottom line profits. Is
your company ready for a Grocerant Score Card? Fresh food fuels sales success.
Are
you trapped doing what you have always done and doing it the same way? Interested
in learning how Foodservice Solutions 5P’s of Food Marketing can edify your
retail food brand while creating a platform for consumer convenient
meal participation, differentiation and individualization? Email
us at: Steve@FoodserviceSolutions.us or visit: www.FoodserviceSolutions.us
for more information.
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