SALINAS, CA - Looking for a way to cut carbs without sacrificing flavor? How about the perfect rice or pasta swap? Mann Packing has you covered with its complete line of chef-inspired cuts of the on-trend superfoods that consumers crave.
Here’s What’s in Store.
Mann’s is introducing new value-added veggie lines that are more than mere noodles and rice.
With classic Italian-inspired varieties like Butternut Squash “Rotini,” Sweet Potato “Fettuccine,” and Kohlrabi “Linguine”—the first kohlrabi noodles on the market—the new Fresh Veggie Noodles will have consumers coming back for more. Convenient, fresh, and full of flavor—they’re bringing innovation and tradition together for a perfectly healthy, low-calorie alternative to pasta! So think outside the pasta box!
The always versatile Cauliflower “Rice” now has company with the all-new Cauliflower “Fried Rice” Blend featuring Cauliflower, Kohlrabi, Carrot and Sugar Snap Peas—a first to the veggie rice category—and Broccoli & Sweet Potato “Rice” Blend. These colorful riced veggies give shoppers another quick and convenient way to introduce healthy veggies to staple dishes. Take a risk, go riceless!
Thank you for watching What’s in Store.
NEW YORK, NY - In an attempt to rally its customer support and expand its footprint, Blue Apron announced this week it is launching a pilot program with Costco—the first retailer named after revealing last March it was eyeing brick and mortar as an avenue to sell its meal kits. The meal kit provider also reported its first-quarter earnings with results on the up-and-up, providing a possible better outlook for 2018.
“We are pleased with the progress we achieved this quarter, including significant improvement in operational efficiencies as reflected by our margin performance, which was the strongest we have seen since the second quarter of 2016,” said Blue Apron’s Chief Operating Officer Brad Dickerson. “We also improved our customer metrics as we began to methodically reaccelerate marketing late last year, with a specific focus on attracting new customers with high affinity as well as deepening our engagement with current customers.”
According to a company press release, Blue Apron’s first quarter 2018 financial results are as follows:
- While net revenue decreased 20 percent year-over-year to $196.7 million in the first quarter of 2018 compared to the first quarter of 2017 due to the decrease in Customers and Orders following the deliberate pull back in marketing spend in the second half of 2017, net revenue increased 5 percent quarter-over-quarter, reflecting Blue Apron’s methodical reacceleration of its marketing efforts and advanced product merchandizing capabilities
- Thanks to the benefits of enhanced planning and process-driven strategies in fulfillment center operations, cost of goods sold as a percentage of net revenue improved 310 basis points year-over-year from 68.8 percent to 65.8 percent and improved 430 basis points from the fourth quarter of 2017
- In this past quarter, Blue Apron methodically reaccelerated marketing efforts with a focus on building efficient and sustainable growth. In the first quarter of 2018, marketing expense was $39.3 million, or 20 percent of net revenue, compared to $60.6 million, or 24.8 percent of net revenue, in the first quarter of 2017
- Net loss was $(31.7) million and diluted loss per share was $(0.17) in the first quarter of 2018 based on 191.5 million weighted average common shares outstanding, compared to net loss of $(52.2) million and diluted loss per share of $(0.78) in the first quarter of 2017 based on 67.1 million weighted average common shares outstanding. Sequentially, net loss improved $7.5 million quarter-over-quarter from a net loss of $(39.1) million in the fourth quarter of 2017
“We look forward to building on this momentum as we continue to optimize our direct-to-consumer business, create new products that complement our core offering, and leverage new distribution channels—including our newly launched pilot program with Costco—to expand the reach of our strong brand to more households across the country,” Dickerson continued.
For the full results of Blue Apron’s first quarter of 2018, click here.
Will more retailers follow Costco’s lead and pick up Blue Apron’s meal kits as part of its store offerings? AndNowUKnow will continue to report as the story unfolds.
SALINAS, CA - Though asparagus is a staple, it’s not common in the slightest. Asparagus is wildly variable—an entirely different entity in a salad than roasted, stir-fried, or grilled. I spoke with Henry Dill, Vice President of Sales, to find out how Ippolito’s crop of the little green stalks are faring out of Gonzales, California, and Obregon, Mexico.
“Gonzales will continue until June 15th at least, and Obregon will continue through June, weather permitting,” Henry explains.
Dill tells me that quality out of the two locations is very good and that the weather has been favorable. Sizing, he clarifies, depends on the age and varieties of the plants; Ippolito’s crop are primarily large and standard, with a smaller percentage of jumbo, extra-large, and small.
“This season we have experienced much heavier production compared to past years,” Henry says of the market. “Some warmer temperatures this winter spurred some good volume in Mexico, as well as some early production out of California."
The market has been a challenge for growers this season, he says, because prices have been lower than past years and available volume was harder to move in late March and April.
While volumes have been promotable on the retail side, Mexico production is winding down and Dill explains that retailers would benefit from highlighting that versatility we love in asparagus to attract shoppers.
“As a consumer, the fuller the display, the more impressive and attractive it is to me. I love grilled asparagus on the barbecue with a little seasoning salt and olive oil,” Henry says. Mirroring my own thoughts, he states, “The great thing about asparagus is that there are so many ways to prepare it. With the good volume of asparagus that is currently available, there is no reason the consumer shouldn’t walk out of the store with multiple bunches of asparagus.”
Here’s looking forward to a summer filled with grilled asparagus and sunshine. To stay in the know on crop conditions, keep reading AndNowUKnow.
WENATCHEE, WA - Summer is approaching fast, and retailers looking to prep for the season should plan their promotions around Stemilt’s apple brands. Stemilt’s products use intent marketing to appeal to targeted audiences, and the company notes that this is key to seeing an increase in sales.
“Although there a lot of other items in season, apples still offer consumers convenience and variety, making them a top snacking choice," Roger Pepperl, Marketing Director, said. “With our branded packages, retailers can use intent marketing to push the category. This drives sales and leads to a nice transition into the busy fall season for apples.”
Lil Snappers® kid-size fruit targets parents looking to feed their kids a healthy snack. Stemilt’s Fresh Blenders™ aim to catch the eye of health-conscious millennials who want to start juicing at home. With a variety of branded products, there’s a healthy option for every type of consumer.
Apples have made up nearly five percent of U.S. produce sales in the past two years, according to a press release, and these figures will only rise with additional summertime promotions. Pepperl shares that the Apple Lover 5 lb bag and the 4 lb organic juicing pack, Fresh Blenders™, are great options for bag needs in the summer, and Granny Smith and Fuji apples are ideal for bag and bulk promotions, due to their flavor profiles and organic availability.
“Apples are a staple item for shoppers and the growing flavors in this category during the summer months can make for fun promotions at retail,” said Pepperl. “We encourage retailers to tie apples in with in-season items on promotions, feature apples in recipes, or call out the fruit’s impressive health benefits to shoppers. These activities will continue to grow this important category for produce.”
Retailers can expect Stemilt’s organic apples to have high starch reserves during the summer months. These will convert to sugars, resulting in apples that are fresh, crisp, and memorable for consumers. It shouldn't be hard to promote apples this tasty!
VANCOUVER, BC - Ah, CPMA—I’ve developed such fond memories of the premier Canadian food expo since I first stepped foot on the floor in Montreal for my first-ever produce convention. Now on my third trip to Canada in search of fresh produce innovations, I can certainly attest to CPMA’s ability to draw out the best and brightest the industry has to offer. Here’s just a small taste of what I relished in during my stay in Vancouver...
Naturipe Snacks - Fruit Cups
Gimme a cup of berries, a spork, and let me take on the world. At least, I feel like I can take on anything when I’m holding Naturipe Snacks’ fruit cups in my hand. The company’s perfectly portioned fresh fruit cups are packed with 5 ounces of fresh fruit and the favorite handy eating utensil of millennials, making a perfect grab-and-go snack for the consumer with a non-stop and fast-healthy lifestyle. Watch out world, here I come, berries in-hand.
Love Beets - Beet Salsa
Apologies to my friends at Love Beets for lingering at your booth so long, but did you get a load of this salsa?! Sweet with a light, spicy kick, the company’s SweetChili beets are combined with the perfect balance of fresh green pepper, onion, jalapeño, and cilantro to create the ultimate beet salsa experience. Praise to this innovative team for putting some extra earthy, healthy goodness in one of my favorite things to dip into.
EarthFresh Farms - Nutrispud Vitality Blend
If you’ve met me, you probably know I’m not the most passionate about performing athletics. However, I am a sucker for branding that takes my mind one step closer toward my fitness fantasies. A company that is achieving that goal expertly is EarthFresh Farms, with its new Nutrispud Vitality Blend. With fit-focused branding that highlights that one medium Vitality potato provides over four-fold the anthocyanins of a standard potato, I gotta say, I am on team Nutrispud.
Mann Packing - Basil Pesto Veggie Pasta Nourish Bowl™
I try to eat healthy, but sometimes I don’t want to have to try so hard! Here to come to my rescue is the card-cutting, meat product-reducing Mann Packing with its Basil Pesto Veggie Pasta Nourish Bowl. With fresh kohlrabi noodles that look and twirl like the real thing, as well as vegan Chick’n in the pesto sauce, your insides will practically be rejoicing with all the healthful spins. Now add shredded kale and grated Parmesan and you have a totally satisfying, plant-based, protein-packed meal in minutes.
Windset Farms® - Duet Snack Pack
Honestly, I walked up to these on the show because they were cute, but I walked away with a whole new respect for the genius behind the Duet Snack Pack. This irresistible pack from Windset Farms pairs super sweet mini grape tomatoes with bite-sized cucumbers, creating an on-the-go snack that makes it both easy and stylish to get your veggie fix on the run. I can see consumers like myself grabbing these without a second thought in the produce department or checkout aisle, completely bypassing the candy bar or chip bag that we often so begrudgingly cling to for lack of a better option.
Thank you CPMA, for continuing to bring me fond memories and fun innovations to bring home. Looking forward to returning to Montreal, where my produce show experience all started!
BOISE, ID - New product innovation is happening at Albertsons Companies, as the retailer introduces close to 1,400 new Own Brand products over the course of 2018. A two-fold increase over last year, Albertsons stated that the move shows how confident it is in developing new products across all categories.
“We’ve got a lot in the pipeline—and we’re just getting started,” said Geoff White, President of Own Brands, in a press release. “With our team’s unique insights across the industry, we can react faster than ever to changing consumer trends. The result is a rapid expansion of high-quality products in every department that are exclusive to Albertsons Companies. We’ve never been more excited about our ability to meet every shopper’s needs and sprinkle in new and exciting surprises across the store.”
While the company did say each of the respected lines will be added to, it did not list specific products individually in the most recent statement.
Exciting new items introduced earlier in 2018 include O Organics spinach and butter lettuce, Open Nature Scandal-less ice cream, Open Nature bison top sirloin steak, Open Nature granola bars, O Organics sparkling tea, Signature Select cold brew coffee, and Signature Select sparkling french lemonade.
Own Brands is Albertsons Companies’ portfolio of trusted private label brands, including O Organics®, Lucerne®, Open Nature™, and the extensive Signature™ line. Each Own Brands product comes with a promise that guarantees quality, and it is one shoppers have come to trust. Be on the lookout for these products, and those still to come.
BEVERLY HILLS, CA - Rumors and confirmations of industry partnerships have been popping up left and right, it seems. One such report that was circulating posited that Kroger and Target were in the thick of merger talks—a story that was then denied.
Scarlet Fu with Bloomberg sat down with Kroger’s Chairman and CEO Rodney McMullen, who spoke to these rumors and more industry shifts during a time of constant evolution.
“Change is just part of who we are. The only thing that stays consistent is that people keep eating, but the way they eat will constantly change. So, people today are much more interested in being inspired by food and food that’s healthy for them but based on their terms," McMullen explained.
Fu asked him, then, about what makes Kroger different than its competition, Walmart, in the wake of the Walmart-Asda-Sainsbury’s hand-off that took place earlier this week. And what sets the retailer apart from others aligning themselves in the current industry landscape?
“For us, over nine million people a day come into our stores, so we are really focused on those nine million customers. And clearly they want more natural organics, so that’s a product that’s been growing for us for several years. If you look at our own brand of Simple Truth, five years ago we introduced it, and it’s over a two-billion-dollar category today," McMullen shared.
The executive side-stepped the question about a possible merger with Target by providing insight into what it would be looking for if it were to merge with any company at all.
“For us, on any type of merger that we look at doing, we’re completely focused on how . . . the two companies together create capabilities that neither one of us would have independent of each other. To me, we’re big enough at 120 plus billion that scale really isn’t what we need for merging with somebody," McMullen said.
The question, though, is whether or not companies are in need of building out in order to combat heavy-hitters Amazon and Walmart, as Fu inquired. Is it worth it to create your own delivery services or should companies continue to hire outside and enlist services catering to consumers’ needs?
“Everything that we find, the customer wants to do it on their terms, not our terms,” he shared, before responding to the question of whether it is better to own those terms or outsource to other companies. “For us, we decided when we do it ourselves and when do we have a third party do it. We keep the relationship with the customer, and that’s really the key . . . maintaining that relationship with the customer.”
To check out the whole interview, watch the video above.
With its eye on customer experience, the retail chain continues to engage in the conversations being had on how to get the best results. Will Kroger find a potential match worth vying for or will it carve its own path in this ever-changing industry climate? AndNowUKnow will keep you updated with the latest.
THE NETHERLANDS - Misson Produce is all set to grow business in Europe with recent hire Vincenzo Salento. Salento has been hired on as Sales Operations Manager in The Netherlands. He will be responsible for sales plans and managing sales support staff in the company’s Breda, The Netherlands, facility.
“Vincenzo is an experienced sales professional and understands that strong planning programs ensure success in growing markets like Europe. We are excited to have him on our team in Breda,” stated Ben Barnard, Senior Director of Operations.
With over 20 years of experience under his belt. Mission expressed adding Salento to the team will help expand the company’s presence in this region. In this new role, he will report to Pedro Hevia, Sales Manager in Europe.
“Vincenzo will play an important role in our European operations as we grow the business there. I’ll work closely with him on analyzing customers and market opportunities," Hevia said in a press release. "His expertise will help us drive exceptional performance in all of our sales support functions.”
Salento's sales operation management experience will prove vital to Mission’s global sales.
“With Vincenzo, we’ve added depth and experience to our sales management and planning processes. Given his prior experience in produce in Europe, as well as his work outside of produce, we feel his skillset is a perfect fit for Mission in Europe,” said Brent L. Scattini, Vice President of Sales & Marketing.
This recent hire is a strategic marketing move for Mission, and one that is sure to grow business in Europe. Congratulations to Vincenzo Salento on joining the Mission team!
BRAMPTON, ONTARIO – Loblaw Companies Limited has released its first quarter results, which ended March 24, 2018. The company is expanding pick-up and e-commerce efforts in various regions throughout the country, with intent to have a presence in almost 90 percent of urban areas by the end of the year.
"In the face of external headwinds, we delivered solid results, increased dividends, continued share buybacks, and invested in our digital future," said Galen G Weston, Chairman and Chief Executive Officer for the retailer. "As the retail landscape changes, we are now rapidly scaling our e-commerce pick-up and home delivery services to blanket Canada this year.
2018 is a big year for the company, with plans for a national roll-out of its online grocery business, which includes the fast expansion of PC Express pick-up sites and home delivery options, according to a press release. PC Express, specifically, will see 500 new pick-up sites, which now includes 700 locations and more grocery stores, GO Train commuter stations, and the first Shoppers Drug Mart stores. Home delivery is offered through Instacart in Toronto, Vancouver, and Calgary, among others, but the company plans to venture into five more markets this year, including Montreal, Halifax, and Regina.
By now, about half of Canadians have access to home delivery or PC Express; however, by the end of the year, 70 percent of Canadians will have their choice from both options—with plans to boost coverage in urban markets to 90 percent coverage.
The company’s press release outlines some of 2018’s first quarter highlights, including the following:
- Revenue was $10,367 million, a decrease of $37 million, or 0.4%, compared to the first quarter of 2017.
- Retail segment sales were $10,105 million, a decrease of $61 million, or 0.6%, compared to the first quarter of 2017.
- Retail sales growth, excluding the disposition of gas bar operations, was 2.9%.
- Food retail (Loblaw) same-store sales growth was 1.9%, excluding gas bar operations.
- Drug retail (Shoppers Drug Mart) same-store sales growth was 3.7%, with pharmacy same-store sales growth of 3.5% and front store same-store sales growth of 3.8%.
- Operating income was $480 million, a decrease of $15 million, or 3.0%, compared to the first quarter of 2017.
- Net earnings available to common shareholders of the company were $377 million, an increase of $145 million, or 62.5%, compared to the first quarter of 2017. Diluted net earnings per common share were $0.98, an increase of $0.40, or 69.0%, compared to the first quarter of 2017.
- Adjusted EBITDA was $876 million, an increase of $8 million, or 0.9%, compared to the first quarter of 2017.
- Adjusted net earnings available to common shareholders of the company were $361 million, a decrease of $5 million compared to the first quarter of 2017. Adjusted diluted net earnings per common share were $0.94, an increase of $0.03, or 3.3%, compared to the first quarter of 2017.
- The company repurchased 8.1 million common shares at a cost of $544 million.
- Quarterly common share dividend to be increased by 9.3% from $0.27 per common share to $0.295 per common share.
For more insights into the company’s net earnings, operating income, adjusted gross profit, and more, check out the press release in its entirety here.
For more industry happenings, stick with us at AndNowUKnow!
INDIA - Last month, after almost a year of speculation, Walmart reportedly reached an agreement to purchase a controlling interest in Indian e-commerce platform Flipkart in a deal valued at somewhere between $10 and $12 billion. But this week, according to a report by CNBC affiliate CNBC-TV18, Amazon has tendered a competing offer—complete with a $2 billion “breakup fee” to cover the cost of a potentially scuttled deal.
“We all knew that Amazon had been in the fray,” reported CNBC-TV18’s Kritika Saxena, “but what we are looking at now is that a formal offer has finally been made. So far, Flipkart investors are holding out to see what Amazon has to offer.”
Sources report that, though Flipkart’s team favors the Walmart deal—in which Walmart would acquire a controlling stake of the company, but allow Flipkart to retain its current structure and management team—Amazon’s formal offer to purchase 60 percent of the company and “merge the companies entirely” may be a tempting alternative.
“Financially, the deals are pretty much on par,” continued Saxena, “but Amazon has offered a breakup fee…of about $2 billion, which essentially…if the deal doesn’t go through between the two players, if for some reason the deal is terminated, there is a breakup fee requirement.”
Amazon is also reportedly seeking a non-compete agreement with Flipkart’s founders of somewhere between one and two years.
Will Amazon’s offer oust Walmart as both companies compete for international marketshare? AndNowUKnow will continue to report.