bake - March 2012 - 24

as a product being produced within a certain mile radius from where they live. For some retailers, local is determined by travel time, whereas for others the county or the mileage rate is the determining factor. Retailers like Gary Gottenbusch of Servatii Pastry Shop and Deli in Cincinnati, OH, contend that today’s consumers are hungry to shop for local brands, making this an attractive time to branch out and get closer to the action. With its ﬁrst Cincinnati store opened in 1963, Servatii features 13 neighborhood locations in the tri-state area of its home base. And Gottenbusch reports their overall sales are up double-digits, and same-store sales are increasing as the economy continues to improve. His marketing and branding strategy is simple: Open smaller footprint stores (1,500 sq ft) that are closer to where the action is. Servatii’s newest locations include a popular shopping center in Fairﬁeld, OH, and a kiosk in the Scripps Building in downtown Cincinnati. “By being closer to communities, people are going to stop in once or twice a week instead of once or twice a month,” Gottenbusch says. “That increases my sales without hurting existing store sales. That’s been very good for me.” He advises against opening locations within ﬁve miles of each other, to avoid eroding your own customer base and brand appeal. One advantage for opening now is attractive rent and lease-hold agreements. “Landlords are making incredible deals on rent,” he says. “Some are even giving build-out money to move in. I’m able to go into spaces that wouldn’t have been available to me ﬁve years ago. With increased sales, reduced rent and an available labor pool, it only makes sense to expand and do more.” IDDBA’s Innovation Trends, Attitudes, and Opportunities report reveals that Consumers are ready to be more connected and involved with their community and food retailers. With a little innovative thinking, retailers have an opportunity to greatly expand their relationship with shoppers. Creative marketing campaigns like these examples serve to connect your brand to your target audience in a unique and lasting manner. In another trend that bodes well for local bakeries, food trucks are gaining popularity, as 76% of those surveyed in the IDDBA study said they would be at least somewhat interested in purchasing food from a gourmet food truck. Today’s consumers are looking for shopping experiences that make them feel connected to their communities on multiple levels. The “local” and “sustainable” movements are popular and appeal to consumers across demographics. They want to know the where, when, and how of the foods they buy. Consumers indicated repeatedly that they would welcome the chance to create ties with farmers and artisans via their local retail stores. They were also interested in retailer-sponsored educational events ranging from cooking classes to tastings to health and ﬁtness events. Supporting local charities is also an excellent way to generate goodwill and increase wordof-mouth endorsements. consumers are interested in more than a simple sellerto-buyer relationship. For this new research, IDDBA commissioned Datassential to explore consumer attitudes and interest in various forms of innovation. A key ﬁnding shows that retailers have an opportunity to expand their roles in shoppers’ lives by presenting themselves as stewards of their communities and conduits between food sources and end consumers.

Mothers dictate 60% of the brands their children will use regularly for the rest of their lives.
Martin Lindstrom, branding expert and author of Buyology

24 < MAR 2012 | bakemag.com

http://www.bakemag.com

bake - March 2012

Table of Contents for the Digital Edition of bake - March 2012