Grocery Stores Diminishing Customer Value

Success does leave clue as doe’s failure.  When the American Customer Satisfaction Index (A.C.S.I.) issued on Feb. 23 showed a supermarket satisfaction rating of 73, off 4% from its 76 in 2014.  Foodservice Solutions® Grocerant Guru® was not surprised stating “legacy grocery stores doing the same thing the same way when the customer is on the move in not a recipe for success.” 

The grocery stores that are not Looking A Customer Ahead  are slipping while companies the ilk of  Wegmans, Trader Joe’s, H-E-B and Publix continuing to do well or coming on strong, while Walmart, Giant Eagle and Albertsons did not measure up to customer expectations or  customer satisfaction, the numbers for those stores have hit the skids.

Wegmans innovating grocerant niche Ready-2-Eat and Heat-N-Eat fresh food, product mix, and merchandising, is an example of the importance of a food merchant first, then category management mentality can drive top line growth and bottom line profits.  So it’s no surprise Wegmans actually improved its score from 85 to 86 (a 1% bump). Trader Joe’s score was 83; H-E-B, 82; Publix, 82; and discounter Aldi, 81.

The let’s keep doing what we have always done and doing it the same way stores who’s dropping scores, including Walmart (down 6% from 71 to 67). Other “bottom dwellers” on the list were Giant Eagle (67) and Albertsons (68). The chain falling the furthest was Target, dropping 12% from 81 to 71. 

David VanAmburg, managing director of the A.C.S.I. stated “when consumers put a premium on service and quality, smaller companies often achieve higher customer satisfaction scores, and it’s the smaller independent chains that continue to set the bar for supermarkets.”

That just may be why grocerant niche Ready-2-Eat and Heat-N-Eat food start-ups the ilk of Green Zebra Grocery, Pinkies Liquor, and expanding revived, repositioned Eatzi’s are thriving, evolving and garnering new customers driving top line sales and bottom line profits. 

Do you understand how to drive top line growth and bottom line profits within the Grocerant Niche?  Looking for Outside Eye’s for help?  Call Foodservice Solutions® at 253-759-7869 or visit our website at: www.FoodserviceSolutions.us or Email our Global Grocerant Expert at Steve@FoodserviceSolutions.us