HANGZHOY, CHINA - As Alibaba further grows its business bandwidth, with a recent deal made for Russian e-commerce, the retailer is making other moves within its executive makeup. Founder and Executive Chairman Jack Ma will be exiting the company, and in his stead, Chief Executive Officer Daniel Zhang will take his place as Executive Chairman of the Board for Alibaba Group on September 10th of next year. Ma will finish out this last year before leaving his position, but he will serve the rest of his current term on the Board of Directors until the annual general meeting of shareholders in 2020.
“I have put a lot of thought and preparation into this succession plan for ten years. I am delighted to announce the plan today thanks to the support of the Alibaba Partnership and our board of directors. I also want to offer special thanks to Alibaba colleages and your families, because your trust, support, and our joint enterprise over the past 19 years have prepared us for this day with confidence and strength,” Ma shared in a letter. “This transition demonstrates that Alibaba has stepped up to the next level of corporate governance from a company that relies on individuals, to one built on systems of organizational excellence and a culture of talent development.”
According to a press release, Ma is a lifetime partner in Alibaba Partnership—which currently consists of 36 partners, who are also members of senior management for the company and its affiliates—and he is a member of the company’s partnership committee.
“Daniel has been with Alibaba Group for 11 years. Since he took over as CEO, he demonstrated his superb talent, business acumen, and determined leadership. Under his stewardship, Alibaba has seen consistent and sustainable growth for 13 consecutive quarters. His analytical mind is unparalleled, he holds dear our mission and vision, he embraces responsibility with passion, and he has the guts to innovate and test creative business models,” Ma shared in the letter. “Deservedly, China's business news media has named him the No. 1 CEO in 2018. For these reasons, he and his team have won the trust and support of customers, employees, and shareholders. Starting the process of passing the Alibaba torch to Daniel and his team is the right decision at the right time, because I know from working with them that they are ready, and I have complete confidence in our next generation of leaders.”
Congratulations to both Jack Ma and Daniel Zhang on this exciting step in the Alibaba journey.
MONTEREY, CA - One of the largest retailers of organic food in the United States is joining the Organic Produce Network (OPN) and California Certified Organic Farmers (CCOF) at the second annual Organic Growers Summit (OGS) this winter. Costco will sponsor the two half-day events, held December 12-13, in Monterey, California, providing certified organic farmers and growers the opportunity to meet with Costco buyers.
“OGS is delighted Costco is coming back to show their support of the certified organic farming community,” noted OPN Co-Founder Tonya Antle, in a press release. “ This is a great opportunity to have organic farmers get in front of Costco to tell their story as part of the second annual OGS."
A joint production between California Certified Organic Farmers (CCOF) and Organic Produce Network (OPN), the Organic Growers Summit will bring together organic growers, producers, and processors for two days of education, information, and networking opportunities with organic production supply chain and service providers.
“Costco is excited to be back at the Organic Grower Summit this year. We are committed to meeting directly with organic farmers, who are truly on the front lines of bringing top quality organic products to market. We appreciate the work OPN has done in putting together this unique opportunity to meet face-to-face with those responsible for actually growing organic products," said Heather Shavey, Assistant Vice President - General Merchandise Manager for Costco. "Our buying team is looking forward to learning more about organic production, hearing about new product innovations and building new supplier opportunities to meet the growing demand for organics for our shoppers.”
In a press release issued by the OPN and CCOF, the organizations note that Costco's recommitment to meet with organic growers showcases the success of the Meet the Grower event in 2017, which in its first year, allowed for over 60 growers to meet with Costco buyers. The "Meet the Grower" session provides certified organic farmers and grower representatives the opportunity to meet face-to-face with Costco organic produce, wine, beer, dairy, meat, and grain buyers to discuss their operations and products.
Certified organic growers, producers, and processors interested in making an appointment to meet with Costco can register as an attendee at www.organicgrowersummit.com/registration. Interested parties can then select the category of Grower/Producer/Processor and click on the "Meet with Costco" button for further information.
For more on fresh produce news, keep reading AndNowUKnow.
Organic Growers SummitCostcoOrganic Produce NetworkCalifornia Certified Organic Growers
PHOENIX, AZ - In the competitive grocery space, Sprouts Farmers Market has created an organic, health, and wellness niche for itself—a niche that has helped the retailer find success in communities around the country. Because Whole Foods Market offers a similar array of items, many have pitted the two against each other, with Amazon’s Whole Foods acquisition only adding fuel to the flame and leaving many to wonder how it will affect Sprouts’ place in the market.
But, in an interview with TheStreet, Sprouts’ CEO Amin Maredia reveals that the grocer’s biggest competitor isn’t necessarily who many have assumed it is.
“I think the key to understand, and that most people miss, is that we’re in an $850 billion-dollar industry, which Amazon/Whole Foods has a little over 2 percent of market share. So, 98 percent of the space is really conventional supermarkets, club stores, and some specialty stores. Our battle every day is really with the conventional supermarkets. There are over 40,000 conventional supermarkets in America today and very few of them do health and value well and almost nobody does health, value, and experience really well. That’s where Sprouts has really become more and more mainstream for families looking to eat healthy, save, and have a good in-store experience,” Maredia said when asked how Sprouts does battle with Amazon.
Maredia points to Sprouts’ specialization in organic and health goods, and how having a wide assortment, deep flavor profile, and innovative selection that adheres to vegan, gluten-free, and paleo diets has set the grocer apart from conventional supermarkets. Madero also touches on the in-store experience Sprouts has created to help consumers explore the 30,000-square-foot stores, forgetting that grocery shopping can be a chore, and how that emphasis on consumer experience separates the retailer from the pack.
Not abandoning the possibility of an Amazon rivalry, interviewer Brian Sozzi asks if a possible acquisition or banner sale is in Sprouts’ future, to which Maredia replies, “If we’re doing what we’re doing really well, we could be too expensive to buy.” Mysterious!
For more insights into the grocery retail market, stay tuned to AndNowUKnow.
FRESNO, CA - When consumers make their way out on the town this season, they will be welcomed with dinner plates donning beautiful California grapes, featured on menus all over the U.S.
The organization has jumped on the opportunity to join in on the menus of Restaurant Associates, a large hospitality company in the U.S. Boosting California grapes' visibility, Restaurant Associates offers food to corporate dining, education facilities, and museums—including the Metropolitan Museum of Art in NYC, as well as the Smithsonian and the Kennedy Center for the Performing Arts in Washington, D.C.—according to a press release.
Available in snack boxes, grab-and-go options, and smoothies, California grapes will show up all over the country in exciting ways, thanks to this partnership. Grape-only snack cups and charcuterie boards with California grapes will be available to consumers, as well as new recipes that showcase various grape applications.
Specifically, Wow Café—a 54-unit fast-casual restaurant chain on university campuses, hospitals, hotels, and airports in the U.S.—will be using California grapes in a signature entrée salad for a limited time from October 1st through mid-November. Wow Café can be found in 25 states and in the nation’s capital.
Ain’t no mountain high enough to keep California grapes from gettin' to you.
WATSONVILLE, CA - To me, this time of year (back-to-school time) is one of wonder and possibility. Apparently I’m not the only one who thinks so, for Monterey Mushrooms has given out $235,000 in scholarship awards to 127 children of its employees for the 2018-2019 academic year. The company noted that dependent children of full-time employees are eligible to apply for a scholarship worth up to $3,000 and for up to four years.
In a company press release, Shah Kazemi, President and CEO, stated that he is committed to giving the next generation of decision makers the tools needed to be successful in society and the workplace.
“We don’t just grow mushrooms; we grow people,” Kazemi said. “Education is the key to opening opportunities.”
The company's scholarship program began in 1992 and honors Carl Victor Fields, the company’s past Vice President of Marketing. Since inception, 2,118 grants have been awarded for a total of more than $2.8 million.
Scholarships are awarded to those who pursue higher education degrees at accredited colleges, universities, and vocation/technical schools. To apply, the student shares their educational background, academic goals and aspirations, school activities, work experience, and personal achievements.
Congratulations to the students on their awards and to pursuing their scholastic dreams!
OXNARD, CA - Mission Produce is already taking September by storm as the company ramps up its efforts to bring a solution for every retailer and consumer’s avo-cassion. The new Size Minded program taps into the needs of the dynamic customer and shopper who want an avocado-based on their preferred usage.
Denise Junqueiro, Director of Marketing, took a beat from her busy day to share the latest and greatest with me as we kick off September.
“The true goal and vision of the Size Minded program is to support retailers in capitalizing on what the tree is producing, strategically develop their avocado category while attracting new shoppers, and increasing their sales velocity,” Denise shares, adding that these areas of focus will bring more value to the produce department and help drive traffic as well.
Many times consumers want a small avocado for that grab-and-go item, as a snack or to use as a topping, and without any leftovers, she adds. In other occasions, a large avocado works better for their avocado toast or Poke. How about the use for a jumbo avocado? Consumers like to use this size for a stuffed avocado or their guacamole.
“Size Minded gives retailers the merchandising support to give consumers more options for all their needs,” Denise reflects. “When it comes to retailers, some are used to only merchandising one particular size. When the tree is producing other sizes, this program gives them the support to merchandise differently. It helps them capitalize on the situation versus be challenged by it.”
Consider that variety in sizes is better than none—this can be seen in both strategically developing sales and increasing sales velocity.
“Two sizes are more profitable than one and our Avocado Intel program proves it. By carrying two bulk sizes with the Size Minded program you are able to grow the category and give those consumers what they want for all those avo-cassions,” Denise suggests.
Mission’s new program goes the extra mile, helping retailers strategically showcase that second size in a separate or secondary bulk display, and also provides whip-smart point-of-sale materials to help enlighten shoppers.
“Consumers want more avocados in a multitude of ways,” Denise says. “They want a bag for that party they are throwing or to use throughout the week. And we can’t forget about the organic avocado for that conscious consumer. It used to be shoppers or consumers just bought avocados for their guacamole or taco night. Purchase behaviors are very different now and avocados are in the top five produce items for most retailers and they want to capitalize on this hot commodity.”
Through Size Minded, the company’s organic program, as well as Minis and Emeralds in the Rough, Mission feels that its retail partners are not only given support, but innovative new ways to approach the category.
The program will be hitting retail this fall and Mission will be supporting the retailers further by sharing recipes and usage ideas via its social channels @missionavocados Instagram, Facebook, and Twitter.
SAN BERNADINO, CA - Stater Bros. Markets has announced plans to complete the sale of assets of its SuperRx Pharmacies to CVS Pharmacy this month. When complete, the transaction will see all pharmacy records and inventory from Stater Bros.’ 22 SuperRx pharmacy locations transferred to nearby CVS Pharmacy locations.
By September 28, all in-store SuperRx pharmacy locations are expected to be closed.
“I’d like to emphasize that Stater Bros. is a strong and competitive company within the Southern California supermarket landscape poised for continued growth,” said Stater Bros. CEO Pete Van Helden. “This business decision will allow the company to grow areas of our core food business that meet the evolving food needs and shifting grocery preferences of our customers. We remain committed to providing our valued customers with the very best grocery shopping experience.”
Stater Bros. and CVS Pharmacy are working together to ensure that the transition will be seamless for patients and that their access to pharmacy care is not interrupted, the former company noted in a press release.
“CVS Pharmacy is committed to providing high-quality and personalized care to patients and we look forward to bringing our innovative pharmacy care programs and services to SuperRx customers,” said Hank Casillas, Division Vice President, CVS Pharmacy. “We’re confident that SuperRx patients will be excited about our unique clinical pharmacy services, medication adherence programs, automatic refills, and the many innovative digital tools we offer to help patients manage their prescriptions.”
Over the course of the next several months vacated pharmacy spaces in Stater Bros. locations will be remerchandised to better serve the needs of customers.
Will Stater Bros.’ efforts to refocus on its grocery offerings continue to pay off? AndNowUKnow will continue to bring you grocery retail news as it happens.
DELANO, CA - Back-to-school season has officially begun, and with kids heading off to home period, they’ll be needing that perfect mid-day snack to keep their minds alert throughout the day. Jasmine Vineyards, creator of the GrapesToGo™ bag—a 125g single serve option—has a variety of grapes for these eager learners and snackers. I talked to Jon Zaninovich, President, to learn a bit more.
The grape grower is right in the middle of its grape season, and September is usually the height of production in terms of different varieties available.
“We just finished production of Flames, Princess, Sweet Sunshine, Summer Crunch, and Summer Royal,” Jon tells me. “Right now, we’re heavy into Sweet Celebration, Scarlett Royal, Autumn Royal, and Sweet Globe. In terms of volume, we anticipate roughly similar production with prior season, and quality is also consistent with past seasons.”
To get buyers excited about the grape season, Jasmine Vineyards has been posting videos to its Instagram page, as well as through its Fresh Alerts newsletter. This way, Jon explains, buyers can inspect size, color, and brix of the current crop, as well as get a brief tour of Jasmine Vineyards’ fields and facilities.
And those GrapesToGo™ I mentioned earlier? Jon tells me they’ve been a hit.
“They’ve been well-received here at our local football games, and they’re just now hitting retail spaces around the world, so we’re eager to hear back on consumer response,” he concludes.
For the latest in crop updates, stick with us at AndNowUKnow.
BENTONVILLE, AR - Walmart is feeling the effects of the recent trucking shortage, and, because of this, has decided to take matters into its own hands. The retail giant has announced plans to double its spending on attracting and retaining more drivers by the end of the year.
To do this, Walmart, which currently has one of the largest fleets in the nation with about 6,500 trucks, is looking into referral bonuses, so drivers could earn up to $1,500 for those they help bring on board. The company is also shortening the on-boarding process for new hires by over a month, and it is making it to the small screen in a big way—advertising with its first national TV ad focused on its 7,500 truckers.
“To be candid, right now, I could hire a few hundred drivers,” Senior Vice President of Transportation Tracy Rosser shared. “It is getting tougher and tougher to find qualified drivers. It’s a really serious situation right now.”
The company’s recent efforts are parallel to the National Truck Driver Appreciation Week, starting today, that seeks to fill vacancies and improve the long-haul driving image as a career during the currently tight labor market.
Transportation has been a focus for Walmart since its beginnings. Founder Sam Walton began his own truck fleet in the ‘70s, and two of Walmart’s past CEOs—Lee Scott and Mike Duke—worked their way up the corporate ladder through the transportation department, according to Bloomberg. Proving this notion even more, current CEO Doug McMillon spent his first day in his role doing a ride-along in a Walmart truck. Trucking has played an integral role in Walmart’s growth.
“Trucking is not just a job, it’s a lifestyle—but it does not work for everyone,” 15-year Walmart fleet veteran Gary Mars said. “Quite honestly, nobody wants to drive a truck anymore. But we have to have ‘em. Without trucks, America stops.”
Rosser noted, in a blog post on the new program and television ad, that the new program will further sweeten the deal for prospective trucking hires with a proposed expedited hiring process.
“New drivers earn on average $86,000 annually, have access to benefits on day one, receive as many as 21 days of paid time off in their first year, enjoy predictable home time, don’t load or unload freight, and can earn quarterly safety bonuses and incentives—we are adding new ways to find and recruit the best talent,” said Rosser. “We’re also streamlining the hiring process to get drivers onboarded much quicker. Under the pilot, the process will speed up by as much as a month. The new program is already in place in Bentonville, Arkansas, and will expand to Indianapolis this month.”
How will Walmart’s investment change the way other companies approach trucking? Will we see a surge in individual efforts to combat the current transportation issues? AndNowUKnow will keep you updated with the latest.
THE NETHERLANDS - Enza Zaden is investing in its successful Eazyleaf™ line, a tried-and-true lettuce option that stands out for its one-cut appeal. What started as a foodservice go-to for dazzling restaurant-goers with premium salad options has transitioned into a retail item, as grocers flock to offer discerning consumers a beautiful look, taste, crunch, and density that is uniquely its own. With more than 100 Eazyleaf varieties in development, they are rolling out to retailers annually.
“We’re highly committed to growth in this category, and we’re demonstrating that commitment through investment in diverse leaf types and colors. The most comprehensive resistance packages available, including full mildew resistance and aphid resistance,” Sales Manager Nick Barnes shares with me.
Right now, 16 varieties are available in conventional and organic form, though organic distribution goes through the company’s Vitalis Organic Seed division. Regardless of organic status, Nick tells me the company’s offerings are renowned for their excellent weight, premium shelf-life, and strong-yet-flexible leaves that offer incredible loft.
Stand-out characteristics are its bolting tolerance, mechanical harvesting efficiency, easy-to-cut structure, and high-percentage usability. These beauties, uniformly sized and colored, now come in rich shades of dark red with high gloss. Proof positive that the company offers premium lettuce are its long and lasting relationships with customers.
“To add value for our growers, we leverage our knowledgeable local sales team, our local production facility, and our international infrastructure,” Sales Representative Jaime Eltit says to me.
Now, lettuce dive into what to pair with these leafy varieties…