Retailer Survey Results Chex Finer Foods October, 2014 1
Grocery Mix Pretty much everything we sell is natural/specialty Hard to see the difference with a lot of our selections. Many could fall into either camp We don t have room for everything in some stores because we sell so much conventional in our small foot print We need to become more unique and diverse in our product sets I m currently 12-15%. Would like to be over 20% in 5 years Our customers are mostly older/ many retired looking for healthier alternatives. Also many have food and chemical sensitivities. 2
Category Insights We are a chocolate destination for many New items & Unique items are very important to me Prepared food has become very important to us Paper products Fresh produce, supplements, dairy GMO and chemical/preservative free Artisanal Chocolate New Items and healthy eating Ethnic Ingredients Fresh and local cheese and meat that are shelf stable Private Label 3
Trends Coconut products, maple products, raw products Gluten Free is growing. Heath conscious. Customers paying more attention to labels. I see more perimeter shopping Chia, Coconut, Fair Trade and Non-GMO products Raw, Sprouted, Paleo, Non-GMO, Clean specialty Drink enhancers, Caramel sea salt, Korean foods Snacks and salsa, Gluten Free, Teas, Beverages We seem to be having a lot of growth in organic 4
Retail Opportunity Gluten and GMO Free Nut butters and Salad Dressings Frozen and Dairy Creating differentiation. We need to be different than the big box stores, including whole foods. Strong quality private label natural and organic product like Trader Joes. More local main stream items The biggest opportunity in our business is the snack and seasonal areas. We find people more willing to spend on specialty and natural foods for these areas. Differentiation between our channels and conventional Making sure that we have the items in locations that allow for impulse buying to get the customer to try new items. Having our sales rep doing the ordering weekly so that we have the too selling items based on his experience Unique snack foods, especially during the summer when tourism is high in Maine and people are on the go Local foods, raw products, and promotional opportunities Snacks and Gluten free, Snacks turn fast, Gluten free find good tasting, reasonably priced Provide items that chain stores can t necessarily get, Being able to provide unique items our customers are looking for Lots of opportunities. People are increasingly educated about food and excited to try new things. I see an expansion of ethnic items and organic alternatives Local and integrity, superb ingredients, non-gmo & organic. Raw ingredients 5
Space Allocation & Promotional Strategy Pasta, juices, salty snacks, salad dressings/marinades, soups, beans Cereals and kid friendly items Salad Dressings, BBQ Sauce, Pasta sauce All Categories Snacks, candy and the areas surrounding the meat case Pasta and Pasta sauce, Candy Gluten Free Items Cookies, Crackers, Chips, Popcorn Candy, Beans, Marinades/BBQ sauce, Olive/capers, Olive Oil, Vinegars Our promos are usually month long and are in the 300 sku range I have 100+ items on TPR and in-store deals vs. the circular Our TPR program is monthly What is a TPR program? 6
Ad Programs Our monthly flyer (advertisement) features only natural and specialty products Weekly local paper only Never When we have a good item at an attractive retail Changing to weekly soon We have one ad in our weekly paper where we feature a lot of items 7
End Caps and I see an increase of perimeter shopping so I utilize my end caps to maximize specialty foods sales & profits While we don t have large end caps, they are positioned in the most high traffic area of the store We don t have typical end caps A month if the product is big like Laurel Hill Organic Oil Don t know about power buys Depends on the product and what the sale is Depending on the item, I will order extra at the back end of the deal 8
Education & Social Media Talking directly with customers We use all of the above but I m not sure which is more effective. Everybody learns differently Service from my staff #1 Talking items up with customers We don t use social media From you it s Pinterest and youtube. We don t use any social media at the store Blogging and sending out weekly e- blasts Weekly Newsletter 9
House Brands More Gluten and GMO free products Crackers Peanut butter filled pretzels. Big Tubs More condiments Clean specialty mustards Condiments? Mayo/mustard/ketchup Gluten Free snacks and cookies Jarred peppers. ie whole cherry peppers, sliced peppers, pepperoncini, etc. Build more variety in current categories Organic, BPA free packaging Breakfast cereals More Gluten/GMO free and citric/ascorbic acid free Pasta Sauce Pancake mix/syrup Herbs and spices, flour various sizes, 14-16oz canned tomatoes More simmer sauces, canned beans Salad Dressings Organic Pasta Mac and Cheese Red and White wine sauces like More Than Gourmet used to make Rice, Candy, Oatmeal, salad dressings, Pasta sauce, upscale pasta Baking Mixes 10