JACKSONVILLE, FL – Southeastern Grocers is making more moves to secure its status amongst consumers with strategic conversions and expansions of its banners of stores. The company simultaneously unveiled five new Fresco y Más stores this morning, to further hone in on the growing Hispanic demographic.
“Each Fresco y Más store features a wider array of Hispanic items our customers told us is important to them–an expanded product assortment, great low prices and new features, including a full-service Latin Butcher shop and new Cocina,” continued Ian McLeod.
The five new stores are peppered throughout the Miami-Dade and Palm Beach County areas, and join the banner’s pilot location in South Florida. Southeastern Grocers stated in a press release that the five stores were converted to further the Fresco y Más brand after its initial store marked great success. The first Fresco y Más opened in June earlier this year.
Customers of Fresco y Más now have access to an expanded fresh produce section, boasting a farmer’s market layout with a wider selection of tropical fruits. The following expansions and features are also a part of the banner:
- More than 500 new Hispanic items available across several departments.
- A new “Cocina” (kitchen) offering daily specials of freshly prepared family favorites made from scratch
- New Dollar Zone within the store, with over 600 everyday essentials
- Renovated bakery department offering an expanded selection of Hispanic pastries and local baked goods
- An all-new café with expanded seating area serving authentic Hispanic prepared foods
- Wall of Value section featuring weekly specials on popular items customers purchase most
- New custom façade, and vibrant yellow colors with bi-lingual signage throughout the store.
- An all-new, full-service Latin butcher shop (Carniceria)
The Fresco y Más stores will also focus on delivering lower, everyday pricing for its customers, with specialized promotions on items with high demand. The banner also emphasizes Hispanic selections, and offers an expanded offering of these items to allow the demographic greater access to authentic, quality food for less.
“We have been listening to our Fresco y Más customers in Hialeah and have tailored additional stores to reflect our customer’s personality, while providing great value, great prices, and great service,” continued McLeod.
The company stated that across the six stores now part of the chain, 300 jobs have been created for the South Florida community. The stores were all opened with a simultaneous ribbon-cutting at 10 a.m. local time.
As we previously reported, other notable buy-side banners within the industry are also placing more emphasis on the Hispanic demographic and its subsequent opportunities. Retailers such as Walmart, H-E-B, Kroger, Albertsons, Fiesta Mart, and El Rancho Supermercado are also showcasing the possibilities focusing on the demographic presents to the buy-side sector.
This opening of five new stores is just the latest in a string of strategic decisions handed down by Southeastern Grocers. The company recently converted 73 of its stores to the Harvey banner after releasing a remodeled concept for the chain, and also cultivated a new store format for its Winn-Dixie stores. Southeastern Grocers has stated that consumer demand and feedback has been at the forefront of all of its decisions.
As retailers refine consumer-oriented strategies, and place more emphasis on certain demographics, AndNowUKnow will keep you updated.
VANCOUVER, CANADA - The Oppenheimer Group has teamed up with the Camarillo, CA-based Hasegawa family on what it has called a historic partnership.
“Together, we’re vertically integrated from the field to the market, resulting in a distinct advantage for our customers,” said John Anderson, Oppy’s Chairman, President, and CEO. “This unique connectivity across the growing and marketing processes enables us to deliver berries—and provide service—that consistently exceeds expectations.”
The new venture not only provides the trade with a fresh year-round strawberry option, but marks a new era for the fresh produce marketer and distributor, as well as the third-generation grower, according to a press release.
“The joint venture creates a whole new level of integration both for Oppy and the Hasegawa family,” said Chad Ianneo, General Manager of Rincon Fresh, the Hasegawa family’s berry label. He explained that it is a new business model for both entities. “We’re evolving together in a very positive way, each gaining from the strengths of the other, to the ultimate benefit of our customers—and consumers everywhere who enjoy great tasting strawberries.”
Ianneo added, “We’re excited by the strategic synergies we have with Oppy,” said Ianneo. “Oppy’s technology and logistics expertise, along with a strong presence in the trade, integrate our berries with an established supply chain and proven marketing disciplines.”
Oppy began shipping strawberries grown by the Hasegawas earlier this month, and will serve as the sales and marketing arm. The family’s former marketers of the Rincon Fresh, four expert berry sales members, will operate from new Oppy sales offices in Oxnard and Santa Maria to help ensure a smooth transition.
Anderson commented that this latest move complements the company’s Salinas and Mexico strawberry offerings, a portfolio that includes imported and exported:
- Blueberries
- Blackberries
- Strawberries
- Raspberries
- Ocean Spray fresh cranberries
“We are impressed by the Hasegawas’ commitment to growing the best possible berries,” Anderson concluded. “Together, we’ll bring the market a beautiful strawberry that consistently delivers on flavor and quality, with an eye to future innovations in variety, pack styles and more.”
Both sides of the partnership are currently fine-tuning plans for some high-impact berry marketing and branding initiatives, due for early 2017.
LONDON, UK and ZAANDAM, THE NETHERLANDS – Ahold Delhaize unveiled its Better Together strategy this morning, giving an update on integration and the state of the company’s financial framework. The announcement follows the completion of the merger between Ahold and Delhaize Group in July 2016.
"We are excited to share our Better Together strategy, which builds naturally on our combined strong performance as well as the strong foundations of the local brands in our group,” Dick Boer, CEO of Ahold Delhaize, said in a company release. “Guided by this common compass, we will continue to improve our family of brands to be a better place to shop, a better place to work, and a better neighbor, every day. We are meeting the needs of customers today and anticipating those of tomorrow, by providing more value, quality, and convenience.”
The company announced three key pillars of the Better Together strategy at its Capital Markets Day in London:
- Save for its customers: Buy better, Operate smarter, Waste less
- Invest in its customer propositions: Affordable for all, Best own brands, fresher & Healthier, Most local & personal service
- Funding growth in key channels: supermarkets, e-commerce, and smaller formats
According to a company release, Ahold Delhaize’s Better Together strategy will drive profitable growth and deliver the benefits of international scale, combine strong local brands and experienced local associates while driving savings and investments to benefit customers and create value for shareholders.
Growing supermarkets is a priority for the company, stating the strategy offered a number of specifics goals, including:
- Delivering €80 million (approximately $85.98 million) in savings in 2018 for Delhaize Belgium through a Transformation Plan and New Store Organization at its 128 company-operated stores.
- Adding 160 additional Food Lion stores in 2017, bringing the total number of stores to 540 as part of the company’s Easy, Fresh, and Affordable strategy.
- Continuing Ahold USA’s “Heading Northeast” strategy with investments in pricing, service, and quality that the company thinks will pay off in gains in customer perception and sales volume increases.
Additionally, the company is looking to double its e-commerce sales of €2.3 billion (approx. $2.47 billion) by 2020, looking to build e-commerce platforms in the Netherlands and Belgium.
The company also weighed in on the progress of integrating operations after a merger earlier this year.
"Our integration is on track and we have a clear plan to deliver €500 million (approx. $537.46 million) in net synergies in 2019,” said Boer. “We are convinced more than ever that our merger is the right combination at the right time. Driven by our purpose 'Together, we build great local brands, bringing fresh inspiration every day,' we will continue to shape a stronger future for Ahold Delhaize, providing fuel for the brands to grow to the benefit of customers, associates, communities and shareholders."
The company remains committed to delivering net synergies of €500 million (approx. $537.46 million) in 2019 and incremental to operating income, the press release states. Ahold Delhaize also confirmed integration costs will total €350 million (approx. $376.22 million) for 2015-2019.
For more on the company’s strategy going forward, and continuing developments as the recently-merged company continues to streamline and thrive, check in with AndNowUKnow.
CAMARILLO, CA - Houweling’s has announced that it has settled its patent infringement lawsuit against Little Leaf Farms, LLC, of Devens, Massachusetts. The lawsuit alleged that Little Leaf infringed Houweling’s U.S. Patent No. 8,707,617, titled “Greenhouse and Forced Greenhouse Climate Control System and Method.”
“The development of these proprietary technologies, comes with high risk and capital investment,” said company Chairman Casey Houweling. “Upon securing the patents and believing these technological advancements are significant to our industry, we made them available through a reasonable royalty structure. This provides an avenue for others to gain access to the technology, while providing an opportunity to recover a portion of the development costs.”
According to a press release, Little Leaf Farms admitted that the Houweling’s patent is valid and has agreed to pay Houweling’s a royalty for Little Leaf’s use of Houweling’s patented greenhouse technology.
Houweling’s has developed many advancements in greenhouse technologies, investing both time and resources into ensuring that Houweling’s stays at the forefront of greenhouse development and crop production. To achieve this distinction, Houweling’s has obtained patent protection for its novel greenhouses and air/gas distribution systems. Houweling’s has a history of continually enforcing its patent rights against infringers attempting to misappropriate or otherwise “piggyback” on Houweling’s protected technology.
The company says it intend to continue enforcing its patent rights against any and all infringers, in both the United States of America, as well as in foreign jurisdictions such as Europe, Australia, New Zealand, Israel, Canada, and Mexico. Additionally, Houweling’s will “vigorously defend” any challenges to its patents worldwide, exhausting all avenues of appeal.
Houweling’s likens its commitment to defending its intellectual property rights to its commitment to the development of new and innovative technology, confirming that it will continue in this commitment to be a world leader in innovation and to protect its investments.
YAKIMA, WA - Looking to ensure the continued success of its popular Opal® apple, FirstFruits Marketing is pursuing a comprehensive consumer campaign and offering promotional opportunities and digital marketing to help retailers boost sales.
“Fans continued to ask for Opals after the season had ended and counted down the days until they arrived in stores this Fall,” said Chuck Zeutenhorst, General Manager of FirstFruits Marketing of Washington, in a press release. “We’re very excited to give Opal fans new and old the chance to enjoy this uniquely delicious apple throughout the holiday season and well into the New Year.”
Opals are available in both conventional and organic varieties, and known for their distinctive crunch, sweet-yet-tangy flavor, and natural resistance to oxidation. The company calls Opals the perfect apple for both snacking and including in holiday entertaining and recipes.
“The Opal apple has a reputation among consumers of being one of the best they’ve ever tasted,” said Zeutenhorst. “We’re tapping into that reputation and reaching consumers directly where they search for recipes, talk with friends and family about food and prepare their grocery lists.”
The company’s comprehensive campaign offers retail support with high-graphic packaging, point-of-sales materials, merchandisers, and plenty of other opportunities for in store support.
Additionally, Opal apples are supported through a digital consumer marketing campaign that includes:
- Coupons
- Geo-targeted advertising
- Engaging social media content
- Family-focused public relations campaign
Using purchasing behavior data obtained through Nielsen, the company’s marketing targets consumers based on demographics and location, and delivers advertising through several different platforms—including internet searches, webpage content, social media, and internet radio.
The company will also continue to fund youth-based initiatives through the Youth Make a Difference Initiative, growing its relationship with local communities. FirstFruit Marketing supported fourteen initiatives in 2015 dedicated to serving communities across the country and encouraging youth ages 6-25 to take leadership roles in the project. Each initiative addresses food security and politics, nutrition, agriculture, or education.
For more on marketing campaigns that retailers can tap into, check in with AndNowUKnow.
LOS ALAMITOS, CA – Retailers looking to offset the winter sales slump should take advantage of Chinese New Year promotions and build relationships with Asian-American shoppers, the fastest-growing population segment in the U.S., according to Frieda’s Specialty Produce. The specialty produce provider has inspired retailers with its Chinese New Year display programs for over 43 years.
“Asian-Americans are the fastest growing population with significant buying power and Asians of Chinese ancestry represent about 20 percent of the group,” said Karen Caplan, President and CEO of Frieda’s Specialty Produce. “A Chinese New Year promotion is the opportunity for retailers to serve the Asian-American community, so retailers must have these traditional ingredients in store to attract Asian-American shoppers. Working with seafood, meat, and floral departments on Chinese New Year promotions will further boost sales.”
Chinese New Year—also called “Lunar New Year” or “Spring Festival”—is one of the biggest food holidays worldwide. Beginning of January 28, the holiday is celebrated for 15 days, during which time fresh produce, meat, and seafood are feasted on.
A recent study by Nielsen reports that the population of Asian-Americans is expected to grow by some 5.5 million people in the next five years, ballooning from 20.5 million in 2016 to 25.7 million in 2019. The study also noted that Asian-Americans purchased significantly more fresh produce than the population at large—72 percent more fresh veggies and 29 percent more fresh fruit.
“When we first introduced the concept of promoting Chinese New Year in product departments back in the 1970s,” said Caplan, “we saw it as an opportunity to introduce Asian fruits and vegetables to non-Asian shoppers. Now, promoting Chinese New Year will draw in Asian shoppers.”
Top selling items during Chinese New Year include fresh vegetables like ginger, daikon radishes, bok choy, gailan, napa cabbages, snow peas, and sugar snap peas. Many fruits are also enjoyed by revelers during the season, among them: kumquat, mandarins, pummelos, oroblanco, Buddha’s Hand citron, and persimmons. Retailers looking to capitalize on the opportunities afforded by the holiday should have a good supply of these in stock.
For more on unique opportunities to market produce, stay tuned to AndNowUKnow.
PHOENIX, AZ - With Amazon recently announcing its new futuristic brick and mortar concept, retailers may have been left wondering what the future of their partnerships with Amazon delivery will be. For growing specialty grocer Sprouts Farmers Market, it looks like the future is looking brighter than ever—announcing an expansion into two new locations and an overall strengthened relationship.
“We're in discussions with Amazon on how we can expand this partnership that's mutually beneficial to both of us,” Brad Lukow, Sprouts’ Chief Financial Officer shared in a call to investors. “We're seeing good incremental volumes in the stores that we've launched. And we're continuing to talk to Amazon about how we deepen our partnership.”
Sprouts now offers Amazon delivery in nine stores in four markets in two states, including Dallas, San Diego, and Los Angeles. Not only does this expansion get Sprouts to a new customer base it might not have otherwise appealed to, grocery delivery has typically been a way to tap into the millennial buying sector—one that Sprouts has been eyeing through its use of new technologies.
Those investments have seemed to be paying off, as well, with its number of digital customers online reaching more than 3 million. Lukow shared that the company’s plans reside in increased engagement through e-mails, social media, and the Sprouts app.
“On the infrastructure front, our technology and infrastructure priorities for scale are progressing very well. I'm pleased with the foundation our newly formed business intelligence team is building,” CEO Amin Maredia shared in a press release. “We have put some of our best resources at the company in this area and our priorities are fully aligned with our overall business plan. We look forward to leveraging this platform in the future to better understand our customer preferences and enhancing overall customer experience, engagement, and loyalty.”
With Sprouts doubling down on its commitments to both its Amazon partnership and tech-focused infrastructure, it’s not hard to imagine that we’ll be seeing big things from the company come 2017. As always, AndNowUKnow will be breaking the latest to you.
SOUTH CHILE – A volcano that produced one of the largest eruptions in the later 20th century is at risk of erupting again. The area surrounding Mount Hudson, or Cerro Hudson, has been placed under alert due to a series of recent earthquakes in the area.
The ONEMI (Oficina Nacional de Emergencias) and SERNAGEOMIN (Chilean Geological Survey) raised a Yellow alert in the southern Andes after a series small earthquakes have shaken the region since increasing in number in early November. Wired reported that although none of the earthquakes are stronger than a 3.2 magnitude, the location of the earthquakes have caused officials on begin cautious preparations.
The geological institutions set up a 3.5 kilometer exclusion zone around the volcano, as authorities err on the side of caution. The number of earthquakes hasn’t necessarily increased the volcano’s baseline activity, but the energy released by the largest of the quakes has been increasing over the past months.
In its alert, ONEMI named Aysén, Río Ibáñez, and Chile Chico as under a warning in case the volcano does erupt, according to Volcano Discovery. If so, these locations are most at risk for ash falls and mud flows.
The Hudson last erupted in 2011, after a similar grouping of earthquakes struck the region. That latest eruption was a VEI 2 eruption which opened three new vents on the volcano and covered the surrounding area with ash. In 1991, a VEI 5 occurrence from Mount Hudson rated on the same scale as the Mount St. Helens eruption in 1980.
Will these earthquakes continue, and possibly set off the sleeping Mount Hudson? AndNowUKnow will keep an eye on geological happenings round the world.
SALINAS, CA and DALLAS, TX – Expanding its commitment to renewable energy, premier producer of value-added produce and fresh foods, Taylor Farms, announced the completion of a massive solar installation at their new prepared fresh foods facility in Dallas.
The roof mount array spans almost four acres, contains 3520 panels, and generates more than one megawatt of power daily—enough energy to power more than 150 homes, according to a company press release. The system is one of the largest commercial solar installations in Texas and will offset approximately 17 percent of the facility’s power needs.
“We are excited to unveil our first, large scale, energy project outside of California. This is an important step for Taylor Farms in taking our sustainability initiatives nationwide.” said Nicole Flewell, Director of Sustainability, Taylor Farms. “We are very pleased by the success we’ve had working alongside our Texas partners in making this project possible.”
Taylor Farms will host an event inaugurating the project featuring a welcome speech by Flewell, and including guest speakers Jeff Reed, Senior Program Manager at ONCOR Energy and Ralph Ynostrosa, VP of Operations for Taylor Farms Texas.
In conjunction with Dallas-based energy distributor ONCOR’s Solar Program Taylor and support from energy provider MP2, Taylor Farms began construction on the project in mid-September and completed the project this month.
“ONCOR is pleased to partner with Taylor Farms, and all of our participants, to successfully install and implement solar systems,” said Jeff Reed, Senior Program Manager at ONCOR Energy Efficiency. “Energy efficiency is important to our business customers and to make sure we can help meet their needs, we offer several energy efficiency programs. These programs provide incentives that assist them in installing a solar system to reduce their energy consumption and contribute to positively impact the environment.”
Taylor Farms’ Dallas facility began construction in February of last year. The site features 200,000 square feet of production space, employs 1,100 people, and will provide the company’s growing customer base with an array of new products including sandwiches, wraps, meat and cheese trays, fruit cups, and other value-added snack options.
The new solar array is the eighth major sustainability project Taylor Farms has undertaken in the U.S.; other projects include solar, wind, cogeneration, and water recycling projects.
For more on technology in the produce industry, stay tuned to AndNowUKnow.
WASHINGTON, DC - The nation’s House and Senate has now officially reached bipartisan support of the massive FY17 Water Resources Development Act (WRDA), which addresses, among several important national water issues, California’s drought. The bill includes provisions that would see an overhaul of the state’s water infrastructure, including more than half billion dollars for projects like desalination, water recycling, and groundwater recharge.
Upon the announcement of the newly found bipartisan support, Western Growers’ President and CEO Tom Nassif shared his support for the bill’s language in discussing the state’s drought, applauding those who pushed it forward.
“A wise proverb reads: ‘A journey of a thousand miles begins with a single step.’ For the last several years, rural communities and urban residents alike have been waiting for Congress to take the first step to restore more balanced operation of our water projects in the Delta,” Nassif shared in a release to the press. “We are pleased that leaders in the House and Senate appear ready to finally move us all forward with the introduction of negotiated drought language in the WRDA legislation.”
Among those Nassif named in his support of the bill were California Senator Feinstein, House Majority Leader McCarthy, and Congressmen Costa, Valadao, Nunes, Denham, and Calvert.
“The product of three years of work, this legislation can lay the foundation for additional good work to be done in the next Congress,” he continued. “The timing of this agreement is critical. With several early storms already behind us, California is entering its rainy season and we cannot once again allow flawed policies to prevent reasonable diversion of runoff to storage.”
With WRDA currently expected to pass in both the House and Senate, AndNowUKnow will keep providing you with the latest updates as the bill moves through the floor, as well as how the produce industry may be affected.