The start of a new year is a popular time in which people and businesses will reflect on what did and did not work in the previous year. For those involved in the consumer packaged goods (CPG) industry, much attention is directed at the holiday shopping season.
Comprising 46 percent of the retail share, traditional supermarkets remain the largest channel in the retail food industry; however, Jon Hauptman, senior director of retail at Long Grove, Ill.-based Willard Bishop Co., an Inmar analytics company, notes that dollar sales in the channel have been flat as more consumers shop at supercenters, fresh-format stores, dollar stores and online.
Last December, Adobe Digital Index indicated that online consumers spent more than $3 billion on Cyber Monday, 16 percent more than in 2014. That was on top of the more than $8 billion spent online during the four-day Thanksgiving weekend. Although the vast majority of purchases were for non-consumable consumer packaged goods (CPG), consumable products are finding their place in the eCommerce channel as well.
Euromonitor International, Chicago, released new retailing industry data alongside its report: “What’s New in Retail: Emerging Global Concepts.” The new research showcases how the rise of omnichannel and demand for convenience are boosting innovation within the retail landscape, the market research firm says.
British philosopher Alan Watts once said, “The only way to make sense out of change is to plunge into it, move with it and join the dance.” As the American retail landscape continues to change, it seems as though mass merchandiser chains are joining this “dance.”
Just as SKU proliferation has allowed consumers more choices for their food and beverage purchases, the retail channel market has seen its own proliferation of new stores for these products. Natural and organic retailers, also referred by some analysts as fresh format stores, are one channel that has presented competition to traditional supermarket share.
Beverages, especially carbonated soft drinks (CSDs), are an essential part of the vending channel’s success. Although the vending industry faces challenges, like complying with new government regulations and trying to meet consumer health-and-wellness demands, industry experts say that the vending channel is poised for growth.
Last month, an article by Brigid Sweeney for Crain’s Chicago Business titled “For Meijer, bigger is better,” caught my attention. Not far from my family’s new home, they are closing in on the final stages of completing a Meijer store; so needless to say, my curiosity was more than piqued.
The digital age is here to stay, and mobile-obsessed shoppers have the world literally at their fingertips. Whether it's tablets or smartphones, apps can be used to count calories, refill prescriptions, research vacation destinations and much more.
As a baby boomer, I’ve never been a big online shopper. However, I did purchase a few items online this holiday season and was surprised at how easy it was. I capitalized on sales offers, didn’t have to look for parking or contend with crowded malls, and the items were shipped right to my home, saving me time, gas and aggravation.