Be Happy Snacks’ Post

While they may be putting on a great face, major grocery stores across the country are taking a beating in this current economy. Take Albertsons, for example. Even though the store reported $18.3 billion in sales during Q2, the largest contributor of these were pharmacy sales, digital sales, and inflation. Same-store sales for the grocer have fallen from 7.9% just three quarters ago to less than 3% as of Q2. The company’s EBITDA, a measure of its profitability, has fallen below $1 billion and continues to decline due to slower food inflation, less government assistance, higher interest rates and lower sales volume. No matter how you spin it, the headwinds in this economy are battering the food industry. The fact that food and grocery sales alone can’t sustain Albertsons is in itself concerning and should act as a warning to all food service operators and grocers the importance of creating a strategy now to overcome these challenges. https://bit.ly/46RlnJN #grocerystorenews #grocerystoreclosures #restaurantsclosures #restuaranttrends #kitchenquipment #restaurantequipment #commercialkitchenequipment #restaurantauctions #restaurantnews #cfo #coo #foodindustry #foodindustryequipment #liquidaterestaurant #openrestaurant #expandrestaurant #foodoperations #restaurantclosure #restaurantremodel #restaurantliquidation

As consumers cut back on expenditures, premium brands face an existential question: Should they shift their differentiated position to a low-price message or focus on their unique value and distinctive benefits? For example, should BMW shed its hundred-year-old image of being known for producing high-quality, meticulously crafted cars—"The Ultimate Driving Machine"—to become low price? Would that approach even work? When premium brands try to increase market share by going downmarket while retaining their reputation for quality, they often confuse customers, dilute brand meaning, and allow competitors to claim the title. Steve Jobs knew this challenge when he returned to Apple for his second stint at the helm. Apple was in bad financial shape, and Jobs faced intense pressure to lower prices to compete with cheaper mass-market products. His response to investors: “There are some customers which we chose not to serve." Many years later, Apple tried to go downmarket with a cheaper iPhone, it failed because it was antithetical to what the brand stood for. When Harley-Davidson made cheaper products, it nearly bankrupted the company and destroyed one of America's greatest brands. I empathize with Whole Foods's challenge to address the "Whole Paycheck" perception, but instead of trying to erase this clever, sticky, and indelible cultural meme, I suggest leaning into this perception and owning it in a way that turns it into a brand advantage. Target did this for a while with "Tarjay," the faux French accent meme that reminded customers their products were decidedly chic but affordably worth it, distinguishing them from other mass-merchants.  Some will say food is different, but if Wegmans decided overnight to become a low-priced brand, it would erode the incredible market value they've established over many decades. Secondly, it would fail because there's too much perceptual equity in being a deliciously differentiated brand. Instead, Wegmans continually reminds its loyal customers why the brand is worth the slight premium, particularly in tough times when other sacrifices have to be made. Our society is obsessed with living longer, eating healthier and knowing where its food comes from and how it is made. Instead of trying to become just another ordinary grocery store, I wish Whole Foods reminded customers why good, healthy, sustainable food should cost slightly more than low-price options. #grocerystores #supermarkets #foodretail #food #health #organic #natural #branding #strategy #business #retail #business #sustainability #stores

Whole Foods and Trader Joe’s are about to shake up Grocery. The “last mile” is hot on every retailers radar. Consumers want Faster, Closer, Now. The surest way to close that last mile? More stores, closer to the customer. Target, Costco, Aldi…. all racing to get more stores on the map. But it’s no small thing to roll out a 40k sq ft store. Enter Whole Foods Daily Shop at as small as 7k sq ft. Oh, and Trader Joe’s Pronto at 2,800 sq ft. And Foxtrot is doing this from jump. All of a sudden, this is a thing. Is it grocery or convenience? Yes. Are Whole Foods and Trader Joe’s part of your long game? ——— 🔹Driving shelf turn in Kroger, Whole Foods, Albertsons, Costco, Walmart, Sprouts, and More 🔹DM me or book an appointment for help. #ecommerce #retailmedia #retailgrowth #retailvelocity #cpg #cpgbrands #instacart

In my latest video, I share what’s new on store shelves for the spring:

Know About Future of "Food & Grocery Retail Market" and What Makes it a Booming Industry? #FreshFood #FrozenFood #FoodCupboard #Beverages #CleaningHousehold Consumers are driving the development and acceptance of new grocery delivery models to match their retail and service consumption patterns. New delivery methods like Buy Online Pickup In-Store (BOPIS), curbside pickup, and direct-to-door are becoming more popular, indicating a shift in customer behavior. One- to two-day delivery is becoming more widespread, and it has the propensity to elevate delivery expectations. Get Latest Update @ https://lnkd.in/dxq2qG7f There is an emerging trend wherein individuals are resorting to cooking international cuisines at home, to recreate the experience of traveling and vacationing. This has driven the demand for the food cupboard segment. Food cupboard staples like curry pastes and spice mixes offer amateur home cooks a shortcut to flavor-filled meals. -->In September 2023, Kroger Co. and Albertsons Companies Inc. have officially entered into a binding agreement with C&S Wholesale Grocers, LLC for the sale of specific stores, banners, distribution centers, offices, and private label brands. This transaction is part of their planned merger, which was initially disclosed on October 14, 2022.

⭐⭐THE FRIDAY 5⭐⭐This week's top news and trends in food retail: 1️⃣ Outgoing Costco CFO Gets Candid With PG 2️⃣ Dollar Tree’s Tough Road Ahead 3️⃣ Deep Dives Into Grocery Trends and Consumer Sentiment 4️⃣ Finally, a Court Date for Kroger and Albertsons 5️⃣ Trader Joe’s Growth Trajectory For quick recap: https://ow.ly/SKZf50QUlIU #foodretail #grocery #Friday5

If Kroger, Harris Teeter, Dillon’s, Smith’s, King Soopers, Fry’s, City Market, Owen’s, JayC, Pay Less, Baker’s Gerbes, Pick‘n Save, Metro Market, Mariano’s Fresh Market, QFC, Ralphs and Fred Meyer are allowed to merge with Albertsons, Safeway, Vons, Jewel-Osco, Shaw’s, Acme, Tom Thumb, Randalls, United Supermarkets, Pavilions, Star Market, Haggen, Carrs, Kings Food Market and Balducci’s, these two already huge supermarket chains would likely raise prices (although they say it will lead to innovation) Analysis: https://buff.ly/3V2OeYN #business #economics

In today's The Wall Street Journal. Antitrust enforcers don't seem to recognize the amount of competition coming at traditional grocers from virtually all sides. Albertsons and Kroger hopefully are bringing the regulators' attention to the statistic showing that the grocery store channel has seen its share of food expenditures drop from ~70% in the 1960s to 24% in 2022 (the latest year available) - for all supermarket retailers, not just Kroger + Albertson's. This loss of share has come not only from other retail formats but also from the restaurant channel. Click on the image in my comment below to see a table illustrating this. The food market has become MUCH broader than the supermarket channel! #grocerybusiness #foodbusiness

When other business owners ask me what my vision is, I tell them this... 1 yr. from today (December 2024) I see us being in The GIANT Company, Giant Eagle, Inc., Whole Foods Market, Wegmans Food Markets, Target, Walmart, Kroger, Stop & Shop, Publix Super Markets, Trader Joe's, Costco Wholesale, ALDI USA, Albertsons, WinCo Foods, Ahold Delhaize, etc. 40,000 locations in 100 countries is our dream. Starbucks grew 35,711 stores in 52 years. My goal? We're going to beat that by a landslide! Then they proceed to ask me... "What is your strategy?" It's actually quite simple. Who's looking to partner with what's going to be the worlds largest dessert experience??? Comment below where you would like to see Taylor Chip... #viral #cookies #worldwide

Fascinating! If I had today's Digital Toolkit back in my Procter & Gamble days, I could have ruled the world!! But, there are certainly lessons marketers can take away and use right now to build their business when faced with a consumer headwind at retail. This Mondelēz International / VML Oreo promotion is a great case study lesson in the use of digital shopper marketing to convert consumer behavior insights into a brand (re)engagement and loyalty play! And, the results and user data are trackable and quantifiable! I can also see this working for emerging brands - like my favorite crush brand, Belgian Boys lining up with syrups, whipped creams, eggs, etc... to drive store aisle location awareness and new household penetration! The applications could be many for the creative marketing strategist. Well done!!