Progressive Grocer - June/July 2009 - (Page 110)

Grocery Frozen Vegetable Sales are Steaming The frozen vegetable category has mushroomed over the past three years with steam technology and a variety of new offerings. By D. Gail Fleenor I 110 nnovations in packaging and preparation have kept the frozen vegetable category fresh in recent years. New steam technology and innovative vegetable combinations have captured customer attention and dollars, as many believe frozen is fresher than canned. The latest cook-at-home trend has also benefited the category as consumers search for fast, healthy meals to prepare. Frozen vegetable sales have been healthy over the past few years. The category has grown steadily since the introduction of steamable vegetables; sales increased 5 percent in 2008. Category sales totaled $3.6 billion (The Nielsen Company, week ending March 21, 2009, excluding Wal-Mart). Mixed frozen • Progressive Grocer • June/July 2009 vegetables, including steamable varieties, have steadily picked up speed with sales up 13.5 percent in 2006, 11.7 percent in 2007 and 6.1 percent in 2008 (Nielsen). “The trend I’m seeing in frozen vegetables is continued growth,” says Diane Roberts, senior director, frozen food, Giant Eagle. Roberts does not believe category growth is necessarily related to the economy. “What we’re seeing is continued growth following the introduction of steamable vegetables. The category has been healthy ever since — and growth [is coming] not just from steamables.” Pittsburgh-based Giant Eagle operates over 150 corporate stores and over 60 independently owned supermarkets in western Pennsylvania, Ohio, north-central West Virginia and Maryland. Keeping it Private Private label plays a huge part in frozen vegetables, accounting for 40 percent of the category, according to Mintel, a Chicago-based research firm. Diane Roberts of Giant Eagle notes that her company carries an extensive line of “own brand” vegetables. She attributes growth in private label sales of frozen vegetables to convenience, value and fresh taste. “Along with the fact that the national guys turned TV back on, as well as the product innovation Recent entries in the steamable frozen vegetable segment include the Birds Eye Steamfresh and Green Giant Valley Fresh Steamers lines (above). 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 - June/July 2009

Progressive Grocer - June/July 2009
Table of Contents
Nielsen’s Shelf Stoppers/ Spotlight: Cheese/Shredded Cheese
Market Snapshot: Sacramento-Stockton-Modesto, Calif.
Independents Report: The Advantages of Older Associates
Lempert Report: Food Experts Tackle the Economy
Industry Achievement: The Top 100 Women in Grocery
Multicultural Marketing: 2050 is Today
Retailer of the Year: Celebrating Kroger
2009 Deli/Bakery Operations Review: Shrink-Wrapped
Fresh Developments: Consumer Shifts Create New Complexities for Fresh Food Trading Partners
Produce: Brimming With Possibilities
Meat: Fired Up!
Store of the Month: Giant Eagle’s Express-Ohhh!
Cheese: Cooked Cheese and Other Spiritual Revelations
Beverage Alcohol: A Cup of Cheer
Frozen Foods: Frozen Vegetable Sales are Steaming
Real Estate: Bigger is not Always Better
Technology: At Your Service
Equipment Innovations
What’s Next: Editors’ Picks for Innovative Products

Progressive Grocer - June/July 2009