JACKSONVILLE, FL – There are some big changes coming to the Southeastern Grocers banners, as the company looks to hone in on just how to serve its customers best in the tight buy-side environment. The company announced that 73 stores have been unveiled under the Harveys Supermarkets  banner, with some converted from the Bi-Lo and Winn-Dixie chains.

“We know that a number of our customers are cash strapped. They’re shopping on a budget. We want to try to make sure that we give them the best value we possibly can,” CEO and President Ian McLeod stated, according to FirstCoast News, of the strategic decision.

The 73 stores will open their newly christened doors as Harveys Supermarkets today, according to the TheState.com, throughout Georgia, South Carolina, North Carolina, and Florida. The company stated that this multi-state conversion came after months of listening to customers, who named pricing as the ultimate deciding factor as to where they shop. 

At the forefront of this shift towards accumulating further consumers, comes a focus on fresh and reduced pricing. McLeod stated that the new Harveys stores will feature an expanded produce section, featuring the fresh fruits and vegetables of over 90 local farmers. The chain will also boast more than 3,000 items in the store with ultimately lower prices. 

McLeod stated that in tandem with the conversions, the physical stores have received upgrades and remodeling. The chain also focused on tailoring store specifics to its surrounding demographics, in order to appeal to the consumers living and shopping in each locations areas. The new Harveys will now boast a fresher, brighter, and cleaner environment to further appeal to the price-conscious consumer.

As Harveys supermarkets offer a different market proposal than the Winn-Dixie or Bi-Lo brands, the company expects consumer traffic to increase in this banner. This new Harveys concept was initially tested in Jacksonville, FL, and Charlotte, NC. Southeastern Grocers stated that each test store was a success and boasted an increased number of customers.

McLeod stated that the while the company is ramping up its Harveys banner to fully engage a less-affluent segment of consumers, Southeastern Grocers is not abandoning its Winn-Dixie brand. 

As Southeastern Grocers and other companies within the buy-side sector continue to zero in on new strategies to increase consumer traffic, AndNowUKnow will have the latest.   

Southeastern Grocers Harveys Supermarkets

WENATCHEE, WA – Most retailers have noticed that holiday consumers tend to snatch up the biggest fruit on supermarket shelves. But, CMI noted recently, many retailers may not know that the sales opportunity on jumbo apples is significantly larger than they may think, extending beyond the holiday season into Valentine’s Day.

“The data shows that supermarkets featuring jumbo apples over-perform in both dollars and volume for the segment and the entire category,” said Steve Lutz, Vice President Marketing for CMI Orchards, in a press release.

Lutz’s analysis of national supermarket scan data shows big apples drive big dollars for supermarkets that seize this opportunity, offering a unique incremental sales boost. The evidence, CMI said, seems to suggest that shoppers purchase with a specific number of pieces of fruit in mind, usually based on the number of members in a family.

“Supermarkets selling jumbo apples drive success two ways,” said Lutz. “Jumbo fruit just looks impressive on display. It captures the attention of shoppers bringing new consumers into the category and it drives dollars because only two or three pieces of large fruit will generate a significant transaction at check out. It stands to reason that the bigger the fruit, the higher that ring will be at the register.”

Despite the potential for sales, most supermarkets appear not to be fully leveraging the opportunity. Lutz said Nielsen data revealed that less than 20 percent of retail supermarkets carried jumbo apples last year during December and January.

“The conventional wisdom is big fruit only fits a narrow window during the holidays,” said Lutz. “It’s true that December is a great month for selling jumbo apples, but what many retailers miss is that January is even stronger than December and is actually the strongest month of the entire year for jumbo apple sales. A lot of retailers are leaving dollars on the table by failing to sell jumbo apples, or if they do, failing to continue to push the items into late January. Featuring jumbo fruit is a great way to differentiate an apple display—yet many supermarkets never put the items on the shelf.”

Steve Castleman, Senior Vice President of Sales for CMI Orchards, said that fruit size in Washington State is significantly larger than normal this year, and retailers can capitalize on the abundance of jumbo apples.

“There are a lot of years when Washington State simply doesn’t have an abundance of large-sized fruit to support retail partners,” said Castleman. “Regardless of variety, this is the year for retailers to grab this special opportunity.”

Lutz added, “On December 1, we’ll start the eight-week peak season for jumbo apples. Don’t miss it.”

For more on amply-sized apples, fulsome fruit, and plentiful produce, check back with us at AndNowUKnow.

CMI Orchards

DELANO, CA - As the fall grape harvest ramps up in Delano and Arvin, California, Columbine Vineyards is bringing growth, flavor, and innovation to the company’s retail partners as we move into the holiday push.

With Thanksgiving just around the corner, Sales Manager Anthony Stetson and Lauren Olcott, Marketing Representative, join me to discuss this busy time of year and what Columbine is doing to bring more value to the produce department.

“This fall, we have an excellent supply of both red and black seedless grapes,” Anthony tells me. “Demand is very good, especially for our proprietary Holiday® Grape.  In addition to this seasonal favorite, we are also harvesting the ever-popular Autumn Royal, Red Globe, Scarlet Royal, Crimson, and Black Globe® varieties.”

Anthony also shares that prices are very attractive right now to promote both red and black seedless. All of Columbine’s fall varieties are in their peak of production, sweetness, maturity, and freshness.

If you know anything about Columbine, you know that the company never sits still for long, as Lauren Olcott shares.

“Columbine Vineyards is continuously improving and moving forward in technology and growing practices through product innovation,” she says. “Currently we have several new proprietary grapes in development but they still need a little more TLC before being released.”

Last year, Columbine introduced its Petite Bag, which holds 1.25-1.5 lbs. in high graphic bags, with 15 bags per 19 lb. box.

“These petite bags have taken off at the retail level for stores that have used the bag as a ‘grab-n-go’ item. This bag also appeals to stores’ end-consumer who is looking for less than the conventional 2 lb. bag,” Lauren adds.

In addition, Columbine has several different point-of-sale signage options that talk highlight the company’s 90th year anniversary, 4th generation family farmer, proprietary grapes, flavor profile and how to incorporate Columbine grapes in any of our favorite family recipes. Along with the POS signage this year, the company has also been testing recipe cards at the store level as well, to help drive purchases.

So, what is Lauren’s go-to?

“My favorite is the dual recipe card with the Holiday® Popper and Holiday® Grape Popper salad. These three-ingredient recipes are simple, easy and delicious with our Holiday® Grape!” she says.

Situated in the fertile soils of the San Joaquin Valley, the Caratan family has been shipping grapes since 1926 with a dedicated team to carry Columbine into 2017. Columbine grows more than 18 varieties of table grapes, available from July through December, including its own proprietary varieties as well as traditional consumer favorites.

Columbine Vineyards

SAN FRANCISCO, CA - With the inventive hub and thriving streets of San Francisco set as its backdrop, BrandStorm has closed its second annual gathering and secured its place as a must-attend event for industry marketers. Challenging, productive, and exhilarating, here are some moments that inspired me as I went through the whirlwind two days exploring fresh produce brand success.

As Mary Coppola, Senior Director of Marketing Communications at United Fresh, told the gathered group of anticipatory marketers during the opening remarks, this year's BrandStorm 2016 was an extensive opportunity to focus on the "intangibles" of the field. By exploring word of mouth marketing concepts, lasting identities, and brand ambassadors, United Fresh cultivated the event to uplift over 100 fresh produce companies and their brands, as well as the industry as a whole. 

“This second annual BrandStorm Conference once again proved the power and creativity when marketers gather together! The program was content rich and cutting edge, and I think we are all going home more motivated, inspired, and intelligent,” Mark Munger, Vice President of Sales and Marketing at 4Earth Farms, told me after two days filled with speakers, workshops, and interactive projects. 

Kicking off Day 1, the industry was treated to an opening session with Brian Wong, CEO and Co-founder of mobile advertising network Kiip. With a flash of humor and eye fixed on advertising trends, Brian talked us through focusing on the four steps to establish an effective brand identity; innovation, the people, the industry, and yourself. A story infused with produce is a lasting concept that we all took home, as consumers soon will also. 

The day’s second session was led by the enigmatic Ted Wright, CEO of global word of mouth marketing company Fizz. Ted illuminated attendees as to the strength consumers find in word of mouth marketing, and with stats like 19% of consumer brand choice coming from recommendation, he held the crowd in fascinated attention with his advice on staying authentic in your brand story, and starting the conversation with consumers.

"It's exciting to attend a conference where I'm able to collaborate with individuals from other industries and gain different insights as to non-traditional forms of marketing," Gabriela D’Arrigo, Director of Marketing and Buyer for Organic Produce at D’Arrigo Brothers of New York, told me of the lasting and fresh impression left on her by BrandStorm.

Tuesday led off with a marketing-packed bang with a panel of retailers who shared tips and insights as to what grabs the attention of their consumers. Consisting of Nugget Markets’ Director of Produce Adam Bazarnik, Northgate Gonzalez’s Director of Produce Alfonso Cano, and Andronico’s CEO Suzy Monford. With each retailer placing fresh at the top of their lists, attendees were treated with an inside at the produce department from the buy-side point of view. 

From there, marketers were led into a series of three workshops focusing on the issues and options which are congruent with developing a brand identity. Wittily given the option between “green” and “seasoned” sessions, attendees could choose each workshop based on whether they were new or old to the marketing game, or whichever workshop piqued their interest. The list, and noted guest speakers, were as follows: 

• Consumer Workshop, Green: Influencing the Influencers, led by Kale & Caramel Founder Lily Diamond
• Consumer Workshop, Seasoned: Foodservice Trends Straight off the Menu, led by Duda Farm Fresh Foods Brand Ambassador and Corporate Chef Todd Fisher
• Communication Strategies, Green: Social Media Strategy led by Tatu Digital Media CEO Janet Fouts
• Communication Strategies, Seasoned: Managing Your Brand Reputation, led by The Caliber Group CEO Linda Welter
• Branding and Packaging, Green: Fresh Ideas, led by Hatch San Francisco Director of Client Services Kat Karpati, and Co-Founder/Creative Director Joel Templin
• Branding and Packaging, Seasoned: Building a Brand Strategy for Success, led by Freytag Group Founder and Principle, Leslie Freytag

"BrandStorm 2016 was a success by all measures. We gathered more than 100 companies and over 180 attendees for two days of energized speakers, inspired case studies, and networking events. We're very pleased with the overall feedback we're receiving, and looking forward to continuing the tradition of BrandStorm in 2017," Mary Coppola divulged to me, pinpointing the event’s reach into the marketing heart of our industry.

A well-earned lunch was rounded out by the insights of Marc Pomerleau, Global Strategy Vice President at brand agency FreemanXP. Giving marketers the inside scoop on how to be adaptable in their brands, and truly engaging the consumer in a lasting way, Marc touched on the key elements of science, technology, environment, and people as a pattern for success.

Throughout each General Session and Workshop, United Fresh had something new and refreshing to offer BrandStormers; an interactive case study. As we all split into groups, marketers from each company delved into prospective marketing challenges for new brands and social media angles, collaborating as peers and accomplished professionals to achieve the perfect marketing plan. And, as the event went on, it was interesting to see how each plan shifted and streamlined after new information was gained from the workshops and general sessions provided by BrandStorm. 

The two days of marketing, creativity, and new concept consideration was brought to end with Alexandra Watkins, Founder and Chief Innovation Officer of brand naming and consulting agency Eat My Words. Among many insightful tidbits and examples, Alexandra drove home that a good brand name makes consumers want to S.M.I.L.E., with a moniker that is suggestive, meaningful, has imagery, legs (to expand), and emotion. 

From exploring the most effective marketing concepts, to analyzing the best way to tap in on influencers to secure a lasting brand, BrandStorm 2016 was an indisputable success. As new and old friends and partners in the marketing field celebrated an inspiring congregation of some of the best in our industry, I was left feeling awed by the talent and keen minds of our fresh produce marketers, and titillated at the brand innovations sure to come. See you next year, BrandStorm! 

Keep close with AndNowUKnow as we provide you more BrandStorm coverage in the coming days.

United Fresh's BrandStorm

IRVINGTON, NY - New York-based grocer Mrs. Green’s Natural Markets, subsidiary of Natural Markets Food Group, has announced a shakeup that includes the closure of five stores and the stepping down of current CEO, Pat Brown.

The retailer said it is turning its focus to core Westchester stores in Yorktown Heights, Briarcliff, Mount Kisco, Eastchester, and Larchmont, according to news source Westfair Communications.

“Mrs. Green’s Neighborhood Market has been a part of the fabric of the Westchester community for three decades and this announcement demonstrates our long-term commitment to providing our customers with the locally-sourced produce and healthy-living products they love,” a release stated yesterday, Nov. 15th, according to the report. “While the closure of any location is difficult–especially because our customers and communities have supported us–they are also necessary as we focus on our core, profitable stores.”

With those core store listed, this leave up for closure:

• Rye
• Tarrytown
• Manhattan’s West Village
• Fairfield
• Stamford
• Connecticut

The West Village and Stamford stores will close immediately, a spokesperson told the publication, while the Rye, Tarrytown, and Fairfield locations will be closed by week’s end.

In regards to the outgoing CEO Pat Brown, who took up his position in October of 2014, existing management will step in to take over his duties. While the company did not comment on a replacement, or when an announcement on a replacement will be made, it thanked Brown for his service over the last two years.

As a result of the restructuring, plans to expand in Dobbs Ferry, New York have been terminated. A spokesperson added that, despite being a part of Natural Markets Food Group, owned by Toronto-based equity firm Catalyst Capital Group Inc., only Mrs. Green’s is planned to be affected by this latest move.

Other grocery chains owned by Catalyst and operated under Natural Markets Food Group include Canadian grocery chains Planet Organic and Richtree Natural Market.

The company plans to provide severance packages and transition services to all associates and managers affected by the closures.

Natural Markets Food Group Mrs. Green's

WENATCHEE, WA – Stemilt’s innovative new management program Fruit Tracker™ has launched Fast Facts—a new video series that shares analysis of retail scan data with retailers.

“Our Fruit Tracker program has provided retailers with category analysis for 12 years, and this new video series is a modern way for us to break down hard-to-understand data into key takeaways. The Fast Facts video series will be quick to watch and timely so that retailers can react to the news of the data and make positive changes to a particular category in the months ahead,” said Brianna Shales, Stemilt Communications Manager.

The first episode of Fast Facts looks at apple category performance from September 2016—a time in which year over year dollar sales increased 3.2 percent from 2015.

The East Coast led all other regions with a 9.1 percent increase in dollars, according to a press release, in large part because bags were unavailable due to a late apple harvest on the East Coast. As a result, retailers purchased more apples in bulk from national providers.

Bulk apples saw a 4.2 percent increase in volume sold in September, while bagged apples decreased by 5.2 percent. Bulk apples made up 66.2 percent of apples sales, while bags took the leftover 33.8 percent. Average bulk sale was $0.30 more per pound than bags at $1.72.

“Bulk apples are the backbone of every high-performing apple category, and September was a great start to the season for apples at retail across the country. As retailers look ahead in their apple planning, it’s important to keep the emphasis on bulk with multi-variety promotions at least once a month,” said Shales.

Gala apples were the most popular variety of apple this September, Stemilt noted, making up 32.9 percent of the category by volume. Honeycrisp took a distant second with 13.7 percent, but they had the highest average retail price at $2.69 per pound. Fuji and Red Delicious tied in fourth with 11.2 percent of the category each.

Shales added, “The data in September reaffirmed that apples are a vital part of the produce department throughout the year, and that will continue to be true in the coming winter and spring months. We just wrapped harvest in Washington State and have great supplies of high-quality bulk apples to continue to bolster apple sales in the months to come.”

Apples made up 6.4 percent of produce department sales nationally, with the Central region leading other areas at 8 percent.

The data for the September 2016 video was provided by Nielsen. For more on apples and data-driven solutions to produce needs, stay tuned to AndNowUKnow.

Stemilt Growers

DELAWARE - Aldi is making good on its plan for more U.S. states, cracking into the Delaware market with two premier stores. Tomorrow, Nov. 17th, the German based retailer will cut ribbons on both stores, simultaneously, at 8:45 a.m. local time.

"We are pleased to bring our first stores to Delaware to help customers get high-quality products at everyday low prices," said Bob Grammer, Aldi Vice President, in a statement, according to news source Delaware Online. This latest move makes for the retailer’s 35th state in the nation.

This is the latest in a string moves for growth Aldi has made over the last year, who just announced several new stores in New Jersey.

Previously, the chain debuted in California, and expanded its store count in Texas as it looks to layout its strategy for 500 new stores total by 2018.

The normally discount-style retailer also launched a new format in Virginia that revealed a bigger focus on fresh.

According to the report, the retailer is bringing a taste of its German roots with cart use for 25 cents and the encouragement of bringing your own bags. The formats will remain smaller, both less than 18,000-square-feet in size.

It all starts tomorrow at 8:45 a.m., as Aldi offers with golden tickets containing a gift card to the store with various amounts up to $100 for each of its first 100 shoppers in the state.

What is the next move as the retailers continues to seek a stronger fold both here and across the pond? AndNowUKnow will be sure to keep you in the loop.

Aldi

ROANOKE COUNTY, VA - A tractor-trailer turnover recently sent cucumbers sprawling across I-81, wreaking havoc on early-morning commuters as cleanup crews struggled to clear jostled gourds and truck wreckage for several hours. 

Virginia State Police say the accident occurred at 11:41 pm, in the late hours of October 17th. A tractor-trailer carrying the cukes jumped a guardrail and, according to local NBC News affiliate, WSLS10, the truck then slid, straddling the median for two-tenths of a mile. Finally, the vehicle toppled over into oncoming traffic, spilling its cargo across the interstate.

There was no evidence to suggest the driver was under the influence of alcohol, he reported to police that he had simply fallen asleep at the wheel. He was taken to a local hospital, treated for superficial injuries, and released early the following Tuesday morning. 

No other injuries were reported, though cucumber enthusiasts in the county may suffer in the short term. 

Check with AndNowUKnow for up-to-date info on all things produce.

NEW YORK, NY - With a focus on growth in its organics sector, to a continued strengthening of its logistics and inventory management operations, we’re heading into another exciting year of change for D’Arrigo Bros. Co. of New York. For the Bronx-based full-service wholesaler, it's about building a company that can serve as a kind of one-stop-shop for its customers at Hunts Point Market.

“Terminal market companies need to specialize in being the ‘jack of all trades,’ as backwards as that sounds,” Gabriela D’Arrigo, Director of Marketing and Buyer for Organic Produce for the company, explains to me. “Offering organic products is no exception, and the organic segment plays a significant role in our growth plans.”

D’Arrigo Bros. NY has spent the past year or so focused on widening of its offerings, particularly the types of products millennials crave—organics, specialty, and value-added products.

“Buyers should increase their organic offerings because they need to,” Gabriela stresses. “More and more consumers of the coming generations are looking for it, and if you don't have it, they will go somewhere else. That, along with specialty and value-added products, are things that are really appealing to millennials right now.”

Beyond the company’s push into new sectors, D’Arrigo NY is also doubling down on its already strong inventory management and logistics operations. Providing its customers with great inventory management is something Gabriela says is a high priority for the company, telling me the extra help in a daily operation runs smoothly thanks to all of those little things being done correctly without you ever having to think about it. And in conjunction with D’Arrigo’s logistics program, Gabriela tells me it's easier than ever for the company to meet its customers' needs as a full-service wholesaler.

“On average, we receive roughly 65 loads of fresh produce a week coming from all over the country,” she continues. “We are delivering majority of that product on our 31 delivery vehicles across the Northeast. Our system allows us to have mapped out routes and GPS with each driver so we know where a truck is at any given time.”

After a year of growth and new ventures for the company, it seems even more big plans are on the horizon for D’Arrigo NY. Stay tuned as we head into another exciting year for the full-service wholesaler.

D'Arrigo Bros. of NY

REIDSVILLE, GA - As demand for sweet onions continues to rise across produce departments during the holiday push, Shuman Produce is delighting shoppers with high-quality Peruvian sweets to fill the consumer basket.

President John Shuman joined me recently to talk about the popular produce category, and what we can expect as we get into the thick of fall.

“Our supply of high quality, premium Peruvian sweet onions remains steady with containers being imported through the Port of Savannah every week,” John shared as we spoke about the market. “Demand remains high as sweet onions continue to help drive the overall onion category. We maintain a full-time staff in Peru that allows us to maintain a safe and efficient supply chain to better serve our retail partners with a premium sweet onion during the fall and winter months.”

With tremendous versatility and a mild, sweet flavor profile, Shuman anticipates increased demand of the company’s premium sweet onions this holiday season. John adds that supplies should remain steady throughout the rest of 2016 and into 2017.

“Sweet onions are a staple in consumers’ kitchens and continue to drive the category,” John told me as we addressed differentiation in the produce department. “Retailers can capitalize on sweet onions by keeping a premium product on shelves all year long. By placing RealSweet® Peruvian sweet onions in the center of the produce department, retailers can capitalize on sales. Research shows that baskets containing sweet onions are roughly 40% larger than those that do not, raising the ring at the register.”

To help further create that destination at retail, Shuman provides bags, bins, and boxes that work to compliment each other. John recommends that retail partners stock both bagged and bulk product to customize offerings to consumer demand. Shuman Produce provides all RealSweet® brand sweet onions in a variety of packs and sizes to meet the needs of all demographics. Bagged products are an effective merchandising tool with high quality graphic product imagery and great seasonal recipes.

As for Mother Nature’s impact on the region so far, John shared the latest with me, fingers-crossed.

“The weather conditions in Peru this growing and harvesting season have yielded an extremely high quality crop and I believe our Peruvian sweet onions are top-notch,” John shared, adding, “we continue to have a good mix of product ranging in size from medium to jumbo to colossal.”

As I look to build my holiday spread, I’ll definitely be keeping an eye on the sweet onion category to see what delicious offerings reach my neck of the woods.

Shuman Produce