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August 2006
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Would you recommend this store...?
How likely is it that you would recommend this article to a friend or
colleague?
Hopefully, you'll actually read this article before deciding, but
your answer to that question may actually be the single best way to
determine if you find this article and this newsletter a good use of
your time. In fact, that question might be the key to understanding
customer relationships with you, your store or your product. read more
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The drive to go local
Retailers today have a challenging job to find and consistently
deliver a unique, sustainable and ultimately profitable value
proposition for the right mix of shoppers. No easy task considering
the diverse spectrum of differentiation that has emerged across the
industry. With banner (format, channel), neighborhood (ethic, local
flavors), lifestyle/lifestage (retired, family, on-the-go), and
behavioral (healthy, organic, quick prep, etc.) components to
consider, successfully marketing to consumers today requires
localized knowledge. read more
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Consumer response to rising gas prices - a threat or an opportunity?
As 2006 gas prices have reached new levels versus last year's highs
and are at or above the $3.00 per gallon level, we decided to repeat
a Homescan survey that we fielded twice last year to understand how
consumers are coping with higher gas prices . In June/July of 2005,
when regular gas prices jumped to $2.12 and $2.24 a gallon, retailers
and manufacturers were very concerned with how consumers would change
their shopping and spending habits to offset those increases. read more
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Variety becomes the spice of spices
Few categories are as universal in their use as spices, which add
dash to any dish in a shake. Hot meals, chilled desserts, room
temperature salads all gain zest from a spice. More than ever, people
feel emboldened by the Food Network to enliven their meal
preparation. And the surging Hispanic and Asian populations are
helping to broaden the American palate.
Given these positive trends, one might be unimpressed by the
spice category's low single-digit growth the past four years-from
$1.84 billion to $1.93 billion in food, drug and mass stores
(excluding Wal-Mart) in the 52 weeks ended June 17, 2006, according
to ACNielsen Strategic Planner data. read more
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Online grocery coupons becoming more available, accessible
The average American spends more than $5,000 a year on food, and at a
time of economic uncertainty with fuel prices going through the roof
and concerns mounting about escalating tensions around the world,
this means that it is likely that more and more consumers will be
looking for ways to save a buck - or several - when grocery shopping.
There seems to be some evidence that the use of online grocery
coupons is one way that shoppers can and will use to save money,
especially as there seems to be a resurgence in the online food
shopping venue. read more
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Whole-grain varieties surge in pastas
Pasta is fast becoming a nutrition-worthy center-plate item adding a
powerful appeal to its popular repertoire of traits as a tasty,
filling, fun-to-eat, economical choice. As Americans begin to lap up
enriched pastas-with whole grains, vitamins, minerals and proteins
they're heating up growth trends juiced by eye-level displays in
center-store aisles, attractive packaging and sometimes deep
promotions. read more
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Cell phone technologies may well change the food world
Jennifer Aniston uses the Zone. Kirstie Alley prefers Jenny Craig.
Chuck Norris likes the Total Gym. And Bill and Hillary Clinton? The
South Beach Diet. From special foods to complicated workout regimens,
celebrities and civilians alike are constantly on the hunt for the
best food solutions to their healthy eating needs. Now, thanks to a
program that fuses technology with nutrition, the search is over. read more
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Health & innovation drive sales of household products
A new study by ACNielsen suggests that in the household products,
among the fastest growing SKUs are items perceived as being connected
to broader concerns of health and wellness - the first time such a
connection has been drawn by a major study. In the past, health and
wellness concerns have largely been believed to be the province of
food products, but the ACNielsen report - entitled
What's Hot around the Globe - Insights on Growth in Household Products
- suggests more pervasive consumer concerns that can be catered to by
effective marketers. read more
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Fresh seafood is a really cool spot for supermarkets
Consumers so crave the convenience of fresh seafood that supermarkets
use it as a key competitive differentiator for people in search of
quick meals. Grocers flap their fins in the face of Wal-Mart
SuperCenters - to splash ice on the giant's traffic encroachment.
"We found the arrival of Wal-Mart SuperCenters results in an
almost immediate 17 percent sales loss for nearby grocery stores. read more
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Global retailers find endless twists and opportunities in Asia-Pacific
Walt Disney had it right after all when he said the world is small.
The brilliant character creator understood that people exhibit many
common behaviors regardless of where they live - such as
convenience-seeking in their shopping - though they differ greatly at
their core and especially on familiar home turf.
There lies the challenge for retailers working to establish a
greater international presence by successfully courting shoppers. read more
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CHANNEL WATCH: Grocery UP, Dollar Stores and C-Stores DOWN
The following slides use indices to compare retail channel dollar
sales, number of shoppers, and shopping frequency.
Among the key findings:
Dollar stores and C-Store spending per household is trending down as Grocery store gain some ground.
Club stores are showing modest growth.
Across the retail landscape, consumers are making fewer trips at retail than they were one year ago.
An index of 100 means there has been no change. read more
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Just when you thought it was safe to eat ...
No, this column isn't about terrorism or food safety; it's about the
end of summer.
For most that means the dreaded fall holiday - the "putting on
the pounds" time of year - is right around the corner. We've spent
the past few months watching what we eat, exercising a little bit
more and now all that attention is about to stop.
It is easier if you live in Brazil. read more
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Facts, Figures, & the Future Newsletter
Click here for your
FREE subscription to Facts, Figures, & the Future.
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Shopping for Health
This national survey examines shoppers' interest and attitudes, as
well as in-store activities, regarding health and nutrition,
consumers' efforts to manage their health, and the ways in which
health and nutritional concerns play out in purchase decisions at the
grocery store. This report brings a practical understanding of the
relationship between food shopping and health. read more
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Speaks
FMI's Speaks is the annual state of the industry report for food
retailers. The report reviews the important changes and trends and
puts them into an industry perspective. It presents detailed
information on supermarket operations, store-level benchmarks and
outlines strategic and competitive issues. read more
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U.S. Grocery Store Shopper Trends 2006
The FMI U.S. Grocery Store Shopper Trends 2006 is available. Click on
the image above for more info.
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2005 Supermarket Pharmacy Trends
This annual report presents five-year financial data on key pharmacy
topics such as sales, margins, generic drugs and third-party plans.
Click on the image above for more info.
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Category Management
ACNielsen's new book on category management, published by John Wiley
& Sons, is now available. To order, click on the image above. Or,
for discounted orders of 10 or more, contact Jeff Gould at Wiley at
jgould@wiley.com.
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Xtreme Retail 23 Newsletter
XR23 will provide you with the latest information and analysis of
technologies designed specifically for the retail environment.
CLICK HERE for
your FREE subscription.
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