We all experience those moments of being too busy or too tired from a long day of work to cook. But that doesn’t mean we (especially Millennials) want to sacrifice fresh, healthy options for meal solutions. Fresh food, chef-driven menus and in-store experiences are some of the ways retailers such as Whole Foods are tapping into this need providing better prepared food offerings and fueling the “grocerant” trend.
The term grocerant was captured in a 2016 NPD Group report titled “A Generational Study: The Evolution of Eating”. The study finds that supermarkets are raising the bar on their foodservice offerings and by doing so are attracting the attention of the coveted Millennials.
365 Whole Foods is engaging consumers with offerings that include cold and hot bars with a range of soups and a variety of pizzas as well as chicken wings and samosas. A separate case provides a wide range of sushi, sandwiches, salads, and an area where customers can order, via iPad, select items such as rice/veggie bowls.
Other retailers such as Lucky’s Market, owned by Kroger, includes a culinary department that showcases restaurant-quality prepared foods with gluten-free, vegan and vegetarian offerings.
Publix has developed a new format for their upscale scores with a wider selection of prepared meals including a salad bar, seafood counter, gourmet cheese counter and more. The new format aims to compete with upscale competitors such as Whole Foods Market and The Fresh Market, which are known for fresh, organic offerings and specialty all-natural brands.
Freshness is an important factor driving this trend. The NPD study found that consumers rate visits to Grocerants higher than traditional quick service restaurants (QSRs) on variety and healthy options. Grocery prepared foods are also rated higher on freshness and quality, which are attributes particularly important to Millennials.
There is an opportunity for brands to position themselves as a key part of these meal solutions and provide recipe ideas for retailers to use in-store. Convenience, fresh and healthy will be the priority for consumer choices.
