WILMINGTON, OH - Wouldn’t it be nice if fresh and sustainable baby greens were available locally year-round? Now, thanks to the folks at BrightFarms, consumers in Cincinnati, Dayton, and Columbus, Ohio, will enjoy just that privilege. The pesticide- and herbicide-free grower, who has already brought locally-grown greens into the Chicago, Washington, D.C., and Philadelphia markets, will commence the first harvest of baby greens out of its Wilmington, Ohio, greenhouse this coming July.
“Data from existing programs paints a very good picture about the demographics the BrightFarms brand attracts,” says Paul Lightfoot, CEO. “We over-index with young health-conscious shoppers that heavily shop the fresh perimeter.”
The new greenhouse spans 140,000-square-feet and will harvest six days a week, deliver to customers within 24 hours, and contain a variety of fresh greens, including the following:
- Baby Spinach
- Spring Mix
- Baby Arugula
- 50/50 Spring Mix/Spinach Blend
- Baby Kale
- Baby Romaine
- “Sunny Crunch” (a unique variety of iceberg lettuce)
“We also offer the opportunity to customize blends for specific needs,” said Nick Chaney, Head Grower for the Ohio facility. “We have a pipeline of exciting new products to delight consumers with varieties they’ve never seen or tasted before.”
Retailers interested in the greenhouse greens can contact the Ohio-based BrightFarms facility at [email protected].
And for those retailers who still feel wary of the new facility, the company promises to provide customers with year-round, high-quality local supply, according to a recent press release.
“Locally-grown fresh produce has been the number one demand trend with the ultimate consumer for many years,” said Reggie Griffin, former Corporate VP of Produce for The Kroger Co. “Having commercial-scale locally-grown baby leaf greens and herbs are great for everyone including the great state of Ohio. BrightFarms has a proven track record and is a company that is reshaping the supply of locally-grown fresh leafy salad greens and herbs for retailers who are dedicated to supplying their consumers these products."
To follow the new facility opening, keep reading AndNowUKnow.
DONNA, TX - There is a lot in the works for Grow Farms Texas, not the least of which was aligning much of its kickoff for 2018 with the recent success of this year’s Viva Fresh Expo.
“On the heels of the fourth Viva Fresh, Grow Farms Texas looks to spring into action,” Tommy Wilkins, Director of Sales and Business Development, tells me. “Late in the week of April 16th, we look to start our second year of our Texas-grown Italian Sweet onion. We are very proud of the place this has found in the famed Texas menu.”
Popular for both the beautiful color it adds to the plate and the versatility its flavor offers, this item, unsurprisingly, has made its way into the spotlight of foodservice for the Lone Star State, already well-known for a love of onions. But, Tommy tells me, there is much more in the works.
Grow Farms has added and expanded production in a number of categories, particularly in working with Mexico, and is looking toward the fruits of that labor (pun intended).
“We have significantly increased our mango volume and look to have strong production late in the summer,” he shares, looking to the months ahead. “Summer will bring plans for fall plantings as we continue to find our place in the Texas-Mexico corridor.”
There, Tommy details, Grow Farms Texas has new production starting in Central Mexico on shadehouse cucumbers, green bell pepper, hard squash, and honeydews.
“This will take us well into the fall with steady production,” he comments, as we talk of how busy the company is looking over the next couple of seasons.
With so much growth turning into promotable products, keep an eye out as we keep you in the loop on this and other rising companies in the produce industries.
YAKIMA, WA - With Cinco de Mayo festivities fast approaching, Superfresh Growers® is offering its retail partners tools to target promoting one of America’s favorite apple varieties—Granny Smith. Whether bag, bulk, organic, or conventional, Superfresh Growers has multiple Granny Smith options ideal for seasonal promotions.
The continually on-trend variety is, according to a Superfresh Growers press release, the most talked about apple on social media—with a bright green color and piquant tartness that eats well out of hand and works well in salsas, salads, juices, and baked goods. And sprinkling Tajín on sliced Granny Smith apples can add a pleasant kick to snack time.
According to Superfresh Growers, Granny Smith apples are most popular within Millennial and Hispanic communities—who trend toward the tarter-spectrum of apples.
According to recent IRI data, Granny Smith apples represent eleven percent of the apple category in both dollar share and volume. The variety continues to remain #4 in both organic and conventional dollar share. Granny Smith rose in average price per lb for the month of January to $1.53 conventional and $1.77 organic, providing strong sales for retailers.
Superfresh Growers also noted that sixty percent of Granny Smith sales are bulk, and 40 percent of sales are in bags. Granny Smith resonates well across all demographics and households and is a produce staple.
Superfresh Growers recommends creating large bulk displays to draw attention to the bright green, festive color of Granny Smith apples. Retailers can attract shoppers to Cinco de Mayo promotions by placing them near the cash registers and front of store, as well as by cross merchandising with Tajín. And, cross promotional ads can create kitchen inspiration by suggesting an eating occasion.
The Superfresh Growers marketing team additionally offers content and recipe kits to inspire during Cinco de Mayo—including Pear Margaritas with Tajin Rim and Honeycrisp Salsa Fish Tacos. The latter recipe features a Honeycrisp Watermelon salsa that stands up well on its own, and was created by Shannon Feltus, a chef featured on Food Network.
For more fresh produce news, keep reading AndNowUKnow.
LEAMINGTON, ONTARIO - Some tomatoes are already pretty small to begin with—a fact that makes them the perfect add-on ingredient for any dish or snack needing a fresh and healthy twist. But now, thanks to the innovation team at NatureFresh™ Farms, tomatoes just got a heckuva lot smaller. NatureFresh Farms is debuting a new teeny tiny tomato, the Tomberry®, that is sure to kick start a produce-centric snacking craze.
I caught up with the team at NatureFresh Farms to learn more about the grower’s newest tomato line and the innovation behind it.
“Convenient, versatile, and defined as the ‘World’s Smallest Tomato’, you can pop the Tomberry in your mouth as an on-the-go snack, toss a handful in a salad or on a pizza, or even get creative and throw some in a soup for a burst of flavor with every spoonful,” Matt Quiring, Executive Retail Sales Accounts Manager, tells me. “We have discovered through our in-house sensory taste panels that the flavor of this tomato is quite unique. Kids love them because they are not overly acidic and really do look and taste like candy, and even people who generally dislike tomatoes eat these by the handful! It will definitely be exciting for us to watch as this brand-new variety hits the market!”
A complement to its TOMZ line, the Tomberry is unique and fun and bolsters the gigantic flavor associated with the TOMZ name despite its mega-miniature size. And with such a unique product gracing grocery shelves, I ask where the idea came from.
“Innovation is an integral part of the NatureFresh Farms identity, and one of the most cutting-edge programs at NatureFresh involves R&D with exciting new varieties taking place at our Discovery Center,” Kara Badder, Marketing Project Manager, says. “It’s an innovative space where flavor and science meet; it’s the future of fresh.”
While over 300 varieties have passed through the Discovery Center every growing season, Kara explains that after so many trials and tests take place, only a very small number of products make the cut and end up on grocery stores shelves, with the Tomberry being one of the latest to make it through.
“There is always potential to identify groundbreaking new products when conducting research and testing different ideas. One of the key functions of the Discovery Center is to find the next best product that is going to make a positive impact in the marketplace. But the Discovery Center is so much bigger than just finding a new tomato to sell—it’s about mixing state-of-the-art innovations, interactive experiences, and flavor exploration to change the way people look at produce,” Kara shares with me.
NatureFresh greenhouses in Leamington, Ontario, are growing the majority of the Tomberry acreage, but there is also a small test batch being grown at the NatureFresh greenhouse in Delta, Ohio, to see how the fruit performs under lights.
Slated to hit stores this April, the Tomberry is the next big—well, small, technically—fruit that retailers won’t want to skip having in their grocery aisles. For more on the latest innovations shaking things up in produce, stay up-to-date with AndNowUKnow.
GRAND RAPIDS, MI - Just in time for the spring and summer holidays and the crowds that they bring, Meijer unveils a streamlined shopping and checkout program, called “Shop & Scan,” which enables shoppers to scan bar codes and bag groceries throughout their shopping experience—an initiative that will greatly decrease check out times.
"Shop & Scan will make the Meijer experience dramatically faster and more convenient for our customers," said Terry Ledbetter, Chief Information Officer, according to Market Insider. "This technology joins our curbside pickup and home delivery programs to provide yet another option for Meijer customers to personalize their shopping experience."
The “Shop & Scan” technology, which works alongside Meijer’s mPerks program, initially launched in November at Grand Rapids, Michigan-area stores. The program bears remarkable similarities to Kroger’s “Scan, Bag, Go” technology on which we have reported here and here—taken together, these two customer-oriented technological innovations indicate an industry-wide shift towards even greater convenience and customer service as spurred by Amazon.
The new technology will roll out in other Meijer stores in coming weeks and will be available at all 235 Meijer stores by the end of the summer. To follow this roll out and other technological advancements as they occur, keep reading AndNowUKnow.
DAVIS, CA - It may be platitudinous to point out: price competition in fresh produce can be—and frequently is—intense. But after a year of tumult in grocery retail that saw Lidl enter the United States, Amazon acquire Whole Foods, Aldi and Target invest in comprehensive expansion and remodel programs, and Walmart rush headlong into e-commerce, it bears repeating. Perhaps now more than ever, insights into pricing strategy are key to successfully competing in a crowded market.
I recently had the opportunity to converse with Edris Bemanian, Chief Operating Officer for Engage3. As COO of a company dedicated to helping retailers and brands improve pricing performance and compete more profitably through data science and analytics, Edris had a number of shrewd observations to share with me on pricing pressures, strategy, and the state of the market.
Q: We’ve seen some reports of Wegman’s lowering prices for the first time in well over a year. What can you tell me about Wegman’s recent bout of cuts? Can you speculate on what prompted those cuts?
Edris Bemanian: Historically, most retailers changed prices when they received a cost increase to manage against a margin target. These margin targets would be managed down to an item-level. Now that retailers are under attack from all directions and by all formats (club, specialty, ethnic, e-commerce pure players, deep discounters, etc.), retailers are increasingly paying attention to their local competition in each of their markets. They are beginning to take a total category, total department, and total store perspective on profitability and sales versus managing down to an item-level. Wegmans is a widely-respected and highly-regarded operator so their pricing actions will always draw attention. Wegmans is slowly expanding into new markets like Washington D.C. to capture additional market share. At the same time, as with all other grocers, it needs to focus on protecting their market share from both conventional and existential threats while continuing to gain share from their loyal customers’ wallets.
Q: What do retailers like Wegmans stand to gain/lose from cutting prices?
EB: There’s a delicate balance retailers need to strike. These are some steps any retailer can take to gain when setting prices:
- Make sure that you’re priced “right" on an item. This means that you’re pricing consistently with your strategy while taking local competition into consideration.
- Manage the activity cost associated with changing too many prices.
- Make sure that you aren’t missing out on any margin opportunities.
- Ensure that your customers don’t feel taken advantage of, which can happen if the cadence of the price changes and their price changes are not aligned to how they communicate their value proposition to their customers.
Q: Are there ways in which a retailer who is unable to compete with the likes of Amazon or Lidl in terms of pricing can work to alleviate pricing pressure?
EB: Rather than engaging in a direct pricing war, retailers should take a step back and thoughtfully align on their strategy based on 4 things: 1) who their most loyal customers are, 2) who their local competitors are, 3) what tools they have at their disposal (e.g., loyalty programs or pricing systems), and 4) what their differentiators are. Once they’ve done this, they can develop a pricing strategy to help them find the right balance of competitiveness and profitability.
Q: What kinds of general trends in pricing are you seeing right now? What do you think are some of the biggest factors affecting pricing trends?
EB: The biggest trend is that pricing and assortments are becoming more dynamic and localized. E-commerce is now becoming a fundamental part of retailers’ strategies versus a “me too” approach (for example, Target’s acquisition of Shipt, discussions with Boxed, and Instacart’s explosive growth since). Consumers are paying much more attention to product attributes and have varying perceptions of value associated with these product attributes. In produce, these are factors like a product’s country of origin, if it’s conventional or organic, non-GMO, gluten-free, etc.
Q: Are major developments from last year like Lidl’s entry into the U.S. market and Amazon’s acquisition of Whole Foods—complete with subsequent price cuts—continuing to affect pricing?
EB: Absolutely. At a macro-level, Lidl’s entry into the U.S. market resulted in massive investments by Aldi into their own store experience. Amazon’s acquisition of Whole Foods will continue to keep retailers wary. Walmart’s doubling down on their EDLP commitment to their customers and their e-commerce ambitions will also continue to affect pricing through 2018 and beyond.
Ultimately, Edris explained well-informed retailers with a grasp of competitors pricing strategy and insights into local competition will be most apt to survive and thrive as retail continues to evolve.
“Retailers who have clean, precise, and comprehensive visibility into their competitors’ pricing and assortment strategies will be able to use an informed strategy that focuses on their local competition,” Edris noted. “Programs that identify opportunities to go on the offensive will be crucial. They can then re-invest their winnings back into their programs so that they can be well-positioned not only to weather the storm, but to gain ground as well.”
Retailers can hear more insights into pricing from Engage3’s COO at the C&S Wholesale Grocers' 10th Annual Tech Expo on April 18th at the Thunder Valley Resort in Lincoln, California. At noon in an educational session held in Pano hall, Edris will discuss how retailers may enhance pricing performance through data science and analytics.
For more insights into retail strategy and breaking news on the produce industry, keep reading AndNowUKnow.
NEW YORK, NY - Jet.com is furthering its footprint with its latest lease. The Walmart subsidiary is moving to the Bronx and will be renting Prologis’s new 200,000-square-foot warehouse at 1055 Bronx River Avenue, nestled in at the Soundview section of the NYC borough, for $22 per square foot.
While a spokesperson wouldn’t confirm if Jet.com was the new tenant to take on the space, Crain’s New York Business shared that the company has been scouting out ways to boost its Big Apple business.
"We tend to skew toward urban consumers," a Jet.com spokesperson said, according to the news source. "We're always looking for opportunities to serve that demographic and to compete and offer consumers better and more innovative last-mile delivery options."
This makes for an interesting turn of events for the online company, which was purchased by Walmart for a cool $3 billion in 2016. The new warehouse will bolster the retailer’s grip on the northeastern market, where it's looking to give Amazon's curated experience a run for its money, the news source conveys. One way to do this is by growing Jet.com's New York Shop, which provides consumers with city food options like Van Leeuwen Artisan Ice Cream, Big Gay Ice Cream, Roberta’s Frozen Pizzas, and Satur Farms Salad Greens, Crain’s explains. As of now, there is no confirmation on whether the newly-rented facility will house those perishable items, relaying into faster deliveries for consumers.
How will this next step establish Jet.com in a new market, and, if successful, could this lead to more rented space throughout the nation? AndNowUKnow will continue to report with the latest industry happenings.
WENATCHEE, WA - Stemilt’s proprietary Piñata® apple made headlines this month on popular online food media outlets, So Yummy and Serious Eats. Gracing two recipe videos, including one with an everyday apple hack, the flavorful tropical apple with culinary qualities found its way in front of more than a million food-minded consumers via these popular channels: the perfect lead up to the promotional gauntlet before the Cinco de Mayo holiday.
“We’re excited to partner with these leading food channels to amplify the retail activity on Piñata apples now and into the Cinco de Mayo holiday,” said Brianna Shales, Communications Manager. “Piñata is an heirloom cross with a balanced sweet, tart, and slightly tropical flavor profile and flesh that can handle cooking temperatures, making it a culinary standout.”
According to a press release, Stemilt’s Serious Eats partnership began in March, kicking off with an Instant Pot pulled pork taco and apple slaw recipe. Being a proud owner of an Instant Pot, I can attest to the fact that the culinary marvel is one of the most sought-after small kitchen appliances today. In fact, NPR reported that on Amazon’s 2015 Prime Day, more than 24,000 units were sold, and it jumped to 215,000 the following year, before selling out. In 2017, it was among the top five sellers on Amazon’s Black Friday list.
So Yummy is currently sharing a video of their Piñata Apple Upside Down Breakfast Cookies with its 17 million plus Facebook followers.
“So Yummy and Serious Eats each come with their own style and both provide a fun and shareable end result that will help drive shoppers to seek Piñata apples out at grocery stores,” stated Shales. “Each of these outlets reach an audience that we know will love Piñata. They both have high fan engagement, making them influential in the culinary world. This allows us to reinforce Piñata as an apple to enjoy and also tap into an audience that might not have had the chance to know what Piñata is.”
Stemilt is a frequent partner to influencers and food bloggers, tapping into their skills at highlighting brands and proprietary varietals like Lil Snappers® kid-sized fruit, Rave™ apples, and Skylar Rae® cherries.
“Intent marketing and tapping into the power of influencers has proven to be an effective way to build brand awareness,” continued Shales, “whether it’s during a seasonal push like Cinco de Mayo for Piñata apples or throughout the year for a brand like Lil Snappers.”
The Piñata brand apple was introduced to U.S. markets in 2008, when Stemilt’s founding family, the Mathison’s, purchased the North American rights to grow and market the fruit in 2004. “The flavor profile and build of Piñata will do well in any sort of heated application, making it a great apple to use for the upcoming Cinco de Mayo holiday,” states Shales. “The tropical twist is a great lead in for any retailer to promote the festive holiday on May 5.”
Piñata is now available year-round from your Stemilt representative. And as we inch closer to Cinco de Mayo, stay tuned for more hot and festive promotions.
JACKSONVILLE, FL - Despite having filed for bankruptcy reorganization only weeks ago, Southeastern Grocers LLC has not slowed remodel plans.
“Actually, it’s accelerated it,” CEO Anthony Hucker said Thursday after cutting the ribbon on the grand reopening of a renovated Winn-Dixie store in northern St. Johns County.
The Daily Record reported that the company’s repackaged reorganization plan, which has already received approval from unsecured creditors, will place Southeastern in a stronger financial position with its debt reduced by more than $500 million.
The company intends to continue operations for 580 stores in seven states after closing 94 through the reorganization efforts. Despite Winn-Dixie having invested $5.5 million in 2011 to upgrade the St. Johns' store alone, Southeastern will now further upgrade because of customer feedback, according to the news source.
“We listened to you. You said you wanted more organic,” Hucker said, alluding the renovated store featuring 1,400 new natural and organic items. “Freshness for us is a big, big deal.”
Though the repeated bankruptcy filings have rightfully raised questions concerning the company’s sustainability, Hucker wants customers to feel that they can rely on the grocer; he hopes that the company’s actions will indicate as much.
To follow retailer remodels and continued industry efforts to meet consumer demand, keep reading AndNowUKnow.
SAN ANTONIO, TX - The question of how we woo the next generation is frequently asked when it comes to the future of fresh produce industry. Though the perception is that technology is winning over the career fairs for college students, the success of the now three-year-old Aggies for Fresh program speaks to the contrary, as DMA Solutions President and CEO Dan’l Mackey Almy recently shared with me.
“We published an e-book based on the fact we had over 20 interns and apprentices at DMA Solutions, and we’ve learned a lot,” Dan’l conveyed, as we discussed that one of the biggest obstacles these would-be produce professionals encounter is the preparation of their dream produce companies to embrace them. “What we’re finding now is that being prepared both digitally and in person, I think, are the critical aspects for what make a successful hiring process—whether for an internship or a full-time position.”
DMA Solutions started the campaign for Aggies for Fresh on Texas A&M campus, partnering with the Texas International Produce Association (TIPA), to bring students to the Viva Fresh Expo to help ignite a passion for produce and create a networking situation for current companies and potential future employees.
So, now that the program has successfully risen to a coveted opportunity for A&M students, what is the next step?
“My vision is that other alumni of other schools will do the same,” Dan’l emphasizes. “I’ll give you the playbook for what we did and you can go create your own for that because I do believe that that’s the next level of recruiting we need to do.”
DMA Solutions Internship Guide for Fresh Produce Companies
That playbook, as you might have guessed, is the e-book DMA put together to help bridge the gap. Because, as Dan’l says, other industries are on college campuses and recruiting the talent of tomorrow.
To see the full interview, watch our short video above.