Progressive Grocer - December 2008 - (Page 32)

Consumer trends See how they shop relevance The tough economy has shoppers channel-hopping—and you’ll be skipped over unless you offer a strong point of differentiation, says market insight firm TNS. By Mandy Putnam Reason for I 32 n the original Karate Kid, Mr. Miyagi’s words of wisdom to Daniel about focus and commitment are equally applicable to middle-of-the-road grocers in today’s economy: The Shopper Walk on road. Walk right side, safe. Walk left side, safe. Walk middle, sooner or later, you get squished just like grape. Tough financial times are changing the retail landscape as shopper patronage shifts toward cheaper alternatives. Grocery shoppers are becoming more cost-conscious, and this is driving a change in the demographics of “who shops where.” And those grocers who remain in the middle of the road, without a compelling reason for consumers to visit their stores, may soon Fig. 1. Store formats/retailers shopped more often, about the same, or less often compared with a year ago, for grocery shopping* Shopping Shopping Shopping more often about the same less often Do not compared with compared with compared with shop this a year ago a year ago a year ago type of store Dollar store (e.g., Dollar General, Family Dollar, Dollar Tree, 99¢ Only, Big Lots, etc.) Extreme-value supermarket (e.g., Save-A-Lot, Aldi, Cub Food, Food 4 Less, SaveRite) Walmart Supercenter (contains a full supermarket) Membership warehouse club (e.g., Costco, Sam’s Club, BJ’s) Conventional supermarket (e.g., Albertsons, Kroger, Safeway) SuperTarget (contains a full supermarket) Specialty food store/neighborhood specialty market (e.g., Trader Joe’s, The Fresh Market, etc.) Health/natural food supermarket (e.g., Whole Foods, Wild Oats) Convenience store for in-store merchandise purchase *Among shoppers who have changed the stores they shop, due to economic conditions SOURCE: TNS RETAIL FORWARD SHOPPERSCAPE™, MAY 2008 31% 24 23 12 11 5 4 4 2 30% 16 27 21 36 18 11 10 17 19% 13 23 22 34 21 26 26 34 20% 47 27 45 19 56 5 60 48 • Progressive Grocer • December 2008 A H E A D O F W H AT ’ S N E X T www.progressivegrocer.com http://www.progressivegrocer.com

Table of Contents for the Digital Edition of Progressive Grocer - December 2008

Progressive Grocer - December 2008
Contents
Front End: Onstead Becomes Interim Bi-Lo C.E.O.
Nielsen’s Shelf Stoppers/Spotlight: Shelfstable Juices/Vegetable Juices and Drinks
Market Snapshot: .Seattle-Tacoma,Wash
Retailer of the Year: Taking the lead
Lempert Report: Obama Prepares to Tackle Food Industry Issues
Independents Report: What Grocers Need to Know About Market Day
Consumer Research: Reason for Relevance
Shopper Culture: Reimagining Convenience Foods
Wake-up Call: The Ballad of The Egg Man
Eggs: A Kinder, Gentler Egg
Shelf-Stable Juice: Making a Splash
Post-PMA Show Analysis: High Yield
Niche Pork: Go Whole Hog for Local
Pharmacy: Chronic Customer Service
Technology: A Small-Town Grocer Discovers Digital DIY
Equipment Innovations
What’s Next: Editors’ Picks for Innovative Products

Progressive Grocer - December 2008