The consumer is reevaluating and how they eat, when they eat and where they eat. The consumer is demanding fresh food quality not that reflective of a bygone era of fried food or heat lamp food warm with few qualitative attributes. Industry wide we are witnessing a price, value, service equilibrium reset in Grocery stores, Restaurants and Convenience stores foodservice business.The grocery sector lead by companies like Wegmans, Metropolitan Market, A&P, Harris Teeter and Safeway all are reconfiguring their ready to eat ready to heat grocerants niche food product lineup and repositioning it in their stores. With new products, packaging and consumer price points that are driving traffic. All of these companies are reporting consumer frequency and acceptance way up. The margins for the grocery stores are higher in this niche than the rest of the store; thats a win-win.
Restaurants Winning in Take-out
Restaurants have seen the largest gains in To-go or Take-Away food over the past three years and the trend continues for companies like Ruby Tuesdays, Olive Garden and Chilies while frequency at Quick Service Restaurants is up albeit on a reduced overall check average carryout food is on the move.