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December 2006
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The next big thing?

The next big thing? Wouldn't it be great if we knew the next great service or breakthrough idea before everyone had it? Sadly, that's not something we can study with surveys, data and reports. It rarely happens and only when we keep our eyes open.

That was brought home to me vividly last month as I stood in an apron and bandana preparing meals with a group of strangers in what has to be one of the most unusual retail operations I have ever seen. read more
Consumers on the edge

Consumers on the edge On the retailer front, channel blurring has led to an expanded number of non-grocery retailers looking to leverage the power of food and beverage categories to drive store traffic, build larger baskets and drive shopper loyalty. An expanded number of grocery retailers are also looking to leverage non-food categories in a similar manner. Additionally, value retailing is a winning theme as consumers have responded through their wallets to the increased store count and merchandising focus on value. read more
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Red wine sales up with health benefits reportage

Red wine sales up with health benefits reportage Not only is red wine good for the health of those who drink it, but new figures from ACNielsen suggest that all the recent stories about the health benefits of resveratrol in red wine have also improved the health of the Table Wine category.

The mainstream media has been rife with stories about the health benefits of red wine lately, going beyond the accepted wisdom that it is good for the heart to new studies suggesting that it may slow the aging process (if taken in sufficiently high doses) as well as help to reprogram muscles so that they improve exercise endurance. read more
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Chocolate gets better ... and better for you

Chocolate gets better ... and better for you You are not alone if you feel as though you have heard a lot of good news recently about the health benefits of chocolate. The notion that chocolate (much like red wine) is actually good for your health is not altogether new. However, much new research supporting those claims has been released in recent months.

One factor spurring these studies and the press is the growth in confectionery products openly touting health claims showing up on the supermarket shelves. read more
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Ethnic foods are a mixed bag, mostly hits

Ethnic foods are a mixed bag, mostly hits A choice destination for immigrants, the United States has also become a diverse center of ethnic foods. Not only do people who transplant here crave tastes from their homelands - often in convenient packaged products - they also expose neighbors to their native cuisines and create further demand for the distinct flavors.

The biggest drivers of ethnic food retail sales seem to be the two fastest-growth populations in the country: 14.0 million Asians and 41.3 million Hispanics, as measured by the U.S. read more
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Coffee pods sales seem to be a little over burnt

Coffee pods sales seem to be a little over burnt America's torrid love affair with coffee is a continual source of inventive ways to enjoy the beverage throughout the day. Personal enjoyment relates as much to buying, selecting, preparing and anticipating a coveted cup of brew as it does with the act of drinking. Sometimes it's a trend (think Starbucks), and sometimes it's nothing more than a fad.

Coffee culture may seem immeasurable to some, but the pleasure of this special drink hinges on precise measures of ingredients, time and temperature. read more
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Will the new wave of credit cards be a boom or bust for grocers?

Will the new wave of credit cards be a boom or bust for grocers? When American Express introduced their transparent "Blue" card in 2001, it started a mini-revolution in shoppers' wallets. American Express' strategy instead of appealing to customers with an offer of low-interest rates or frequent flier miles, was to appeal to customers with sleeker and more attractive cards that gained increase usage simply because of their unique appearance.

And now the wallet revolution is escalating. read more
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Yes, we have Fair Trade bananas!

Yes, we have Fair Trade bananas! Fair Trade, a concept that has generally been thought to be focused mainly on coffee and chocolate businesses, is about to receive another major supporter from the fruit industry with fairly traded and ecologically grown bananas to be sold in supermarkets throughout the Northeast.

Adding this new category may well be one of the most significant yet to fuel the Fair Trade program; and help move some of the $1.45 billion random weight banana sales (according to ACNielsen Homescan Fresh Foods Consumer Facts 2005 Report) into the more profitable, yet more unstable, prepackaged and branded subcategory. read more
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Ultra is the big shot in vodka

Ultra is the big shot in vodka When James Bond orders his martini "shaken, not stirred," a top-shelf vodka will almost certainly be in the mature secret agent's drink. Let's cut to a younger party crowd drinking together in an apartment before visiting clubs, and their vodka varieties span the value: mid-priced, premium and ultra-premium price tiers. There's significant segmentation in vodka: unflavored and flavored, imported and domestic, price levels and bottle size. read more
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Happy 2007!

Happy 2007! Each New Year we make new resolutions, maybe sing "Auld Lang Syne" and generally wish everyone a happy New Year. But do you know why there are parties early into the minutes of the New Year? Traditionally, people believed that their coming year would be affected by what they do or eat on the first of that year. So, people held parties to be in the company of friends and families.

Some parts of the U.S. read more
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CHANNEL WATCH

The following slides use indices to compare retail channel performance vs. year ago on three metrics:

  • Dollar sales
  • Number of shoppers
  • Shopping frequency

    An index of 100 means there has been no change.

    Among the key findings... read more
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    Phil Lempert - Editor
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    Is food at home healthier?

    According to the new national survey released on December 6th by the Food Marketing Institute (FMI) and Rodale Inc.'s Prevention magazine there is a strong correlation between consumers who try the hardest to eat healthfully and those who eat dinner at home nearly every day. The topline is that supermarkets have a real opportunity to build a strong relationship by helping shoppers be healthier by offering what we continue to call "meal solutions."

    Our global health report card underscores the need: The World Health Organization predicts over 350 million cases of diabetes by 2030 and reports that last year 11 million people were diagnosed with cancer which resulted in seven million deaths. read more
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    Facts, Figures, & the Future Newsletter

    Facts, Figures, & the Future Newsletter
    Click here for your FREE subscription to Facts, Figures, & the Future.


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    FMI Annual Financial Review

    FMI Annual Financial Review
    This annual report provides you with a complete financial picture of the supermarket industry as well as the external business environment, including key ratios, balance sheet, income statement and statement of cash flow. The results are provided for the entire industry as well as by annual sales for more accurate benchmarking. read more
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    Shopping for Health

    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

    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

    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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    Category Management

    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

    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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