DEERFIELD, IL - The ravenous retail market knows no bounds, feasting on retailers across the spectrum of industries and forcing many to pivot their strategies to stay competitive. The latest to make amends to its operations is Kroger-partner Walgreens. This week, CNN Business announced the pharmaceutical chain will close 200 stores across the U.S.
According to the news source, the closures only amount to less than 3 percent of Walgreens’ 9,500-store-strong network. In a statement, Walgreens confirmed that the closures will cause “minimal disruption to customers and patients.”
Crain’s Chicago Business reported that the store closures are part of a cost-reduction plan that will ultimately cost the company $1.9 billion to $2.4 billion, as noted in a securities filing. The chain cited specific challenges like lower prices for generic drugs and a decline in reimbursement rates as reasons for the need to cut costs.
Crain’s Chicago Business also noted that the latest round of closures comes on the heels of an earlier announcement asserting as many as 750 stores will close. CNN Business added that Walgreens is planning on shuttering 200 of its Boots stores located in the United Kingdom, as well.
While Walgreens did not list which stores will be closing, it did state that it will help its affected employees find jobs at nearby locations.
For more grocery retail news from around the industry, keep following AndNowUKnow.
VALENCIA, CA - To bolster its already excellent team, Sunkist Growers has recently announced the promotion of Cassie Howard to the role of Director of Category Management.
“I got my start in category management when it was just getting formally introduced to fresh produce,” said Cassie Howard. “The numbers [in the data] are like puzzle pieces. You can have all of these ideas around what you think is going on with a certain category, but with the numbers behind it, you can see real solutions to the ever-changing consumer behavior.”
Howard’s new role will require her to stay on top of consumer trends as they relate to Sunkist citrus categories, packaging solutions, and benchmarking opportunities for partners of the cooperative.
“Packaging options can change the category. It’s rewarding to see our partners have success with something I recommended, and it’s fun to be able to see them grow alongside Sunkist,” Howard added.
Howard will have the job of enriching Sunkist’s entire category growth using industry data, while the company’s marketing department absorbs the category management team.
“Cassie has been a key player in developing fact-based business solutions for our retail and foodservice partners,” said Christian Harris, Chief Operations Officer, in a press release. “While category management is a familiar concept at retail, Sunkist is putting an increased emphasis on this expertise and value-added service to support our partners in delivering the best offering for their consumers. In Cassie’s role, she has the important job of analyzing industry data from multiple sources to help our partners make better business decisions that grow our citrus categories. The number of Sunkist customers requesting category management support has more than doubled, and we’re answering the call with the build-out of this capability. It makes sense to put additional resources behind the program.”
As the company evolves the way it approaches category management, it is crucial that the right individual is in place to man, or woman, the helm, and Howard seems to be the perfect fit.
“The plans and insights that category management provides go hand-in-hand with the marketing solutions we offer,” Mark Madden, VP Marketing and Global Licensing, commented. “We are excited to celebrate Cassie’s accomplishments and to officially welcome her to the marketing arm of Sunkist. She brings a wealth of knowledge and key insights, keeping Sunkist innovative and adaptable to current trends.”
Howard is a California native, and holds a Bachelor’s degree in Business and a Master’s degree in Business Administration from California State University, Fresno. Some of Howard’s greatest passions (besides produce) include cross-stitching, traveling with her husband, and exploring the outdoors. Howard also participates in charitable work, making blankets for the Valley Children’s Hospital in Fresno.
We at ANUK wish Cassie success in her new role.
SAN ANTONIO, TX - Just a few weeks after H-E-B revealed more details about its new tech hub in Austin, TX, the retailer has announced the addition of an even larger tech center to be located at its downtown San Antonio headquarters. The new addition continues the grocer’s efforts to power the growth of its digital footprint.
“Our success starts with our people, who provide exceptional hospitality to deliver world-class shopping and digital experiences,” said Craig Boyan, President. “We’re committed to hiring more people, adding the necessary skills to become both a better tech company and even stronger brick-and-mortar retailer.”
The new tech center is set to generate 500 new jobs, though the center itself will house approximately 1,000 Partners in total, according to a press release. Spanning 150,000 square feet and stretching up five stories high, the new facility will be located in the center of the retailer’s Arsenal campus in San Antonio.
“The San Antonio tech center will become part of the new front door to our Arsenal campus, just as H-E-B Digital is creating a new front door for our customers online and via mobile shopping experiences,” said Jag Bath, Chief Digital Officer.
H-E-B plans to relocate its digital Partners from other locations to centralize its digital teams as a way to grow its H-E-B Digital platform, which includes its product, design, technology, and e-commerce teams.
The new state-of-the-art facility will be similar to the one planned in Austin, as it will offer dynamic work areas, including open collaboration areas, individual work spaces, and meeting rooms equipped with advanced technology and video conferencing capabilities, the press release reports.
Construction is expected to start by summer of 2020, and the facility’s completion is expected to wrap up by summer of 2022.
Will these new facilities further cement H-E-B’s status as the big dog in the Texas retail scene? AndNowUKnow will report.
MIAMI, FL - With each passing year, more and more produce is making itself available to the masses due to more companies expanding to year-round availability and importing the freshest items available to the U.S. Asparagus just happens to be one of these items, and also a category that has been steadily on the rise. That being said, what is the best way to market these crunchy stalks of deliciousness to consumers? The Peruvian Asparagus Importer’s Association (PAIA) has developed its 2018/2019 Category Trends, Demographics & Marketing Tips for retailers to cash in on this hot item.
“We create and distribute the report annually to motivate retailers to sell more asparagus. The report includes statistical information and insight that enables retailers to promote asparagus on a year-round basis,” stated Priscilla Lleras-Bush, PAIA Coordinator.
According to a press release, asparagus is a continued growing trade within the United States, and fresh Peruvian asparagus imports have increased year over year by 13 percent. The U.S. Department of Commerce revealed that more than 567 million pounds of fresh-market asparagus was imported into the United States in the 2018 U.S. Census Bureau and Foreign Trade Statistics report.
“Imported volumes of fresh asparagus continue to climb and thereby providing the U.S. consumer households with a complete vegetable that delivers nutrition, convenience, taste, and quality as the perfect meal solution,” continued Lleras-Bush. “It is our purpose to promote the Category Trends, Demographics & Marketing Tips for Fresh Asparagus—we are most optimistic the report will furnish retailers and industry at large with information that communicates key demographics and proposed strategies to increase promotion and consumption of fresh asparagus.”
The association will focus even greater efforts in 2019/20 on spreading the positive word to industry trade press, supermarkets, and consumers concerning the benefits of fresh asparagus through articles, advertisements, direct-communication, and trade show participation in anticipation of increased consumption and demand for fresh asparagus. To get ahead of others in the asparagus race, the plan is available for any member of the Peruvian Asparagus Importer’s Association or by contacting Priscilla Lleras-Bush directly.
For more insights and updates in the produce world, keep reading ANUK.
INDIANAPOLIS, IN & BARTLETT, IL - Two great food entities create one new company in an effort to bring produce, freshcut, and specialty food to retailers. I’m talking about IF&P Foods and Get Fresh Produce creating FreshEdge™. The consolidated entity will be run by two industry leaders with vast pools of knowledge and experience holding them up: Get Fresh Produce's CEO Steve Grinstead will serve as Chief Executive Officer and IF&P Foods' CEO Greg Corsaro will serve as President and Chief Operating Officer.
“This is an amazing opportunity to join one of the leading fresh food distribution platforms in the country,” said Steve Grinstead, CEO of FreshEdge. “Through our broad Midwest and Southern distribution platform, unique meat and seafood vendor relationships, and extensive specialty food offerings, the FreshEdge companies provide full-service fresh food options to all its customers. FreshEdge has also devoted significant resources to growing its selection of value-added products and services and can provide a wide array of pre-cut produce, prepared foods, and ready-to-eat products.”
According to a press release, FreshEdge aims to house a collection of industry leading produce and specialty food distributors, freshcut operations, and a USDA kitchen, including Piazza Produce, Get Fresh Produce, Indianapolis Fruit, Papania’s, Garden Cut, Just Cut, and Cibus Fresh. Serving over 2,000 customer locations across 18 states and distributing over 30 million cases of fresh produce, proteins, specialty processed produce, USDA certified grab-and-go offerings, and specialty foods annually, FreshEdge operates over 400,000 square feet of distribution and processing facilities with 1,200 employees and a fleet of over 500 trucks.
Grinstead has 40 years of experience in the food distribution industry. He was COO of Standard Fruit and Vegetable and President of Fresh America, spending eight years in the produce distribution management company, before taking on the mantle as CEO of The Grinstead Group. Grinstead is active in industry-wide organizations, serving as Chairman of United Fresh Fruit and Vegetable Association and the United Fresh Foundation. He is a longtime member of the Produce Marketing Association, National Restaurant Association, and the Food Marketing Institute.
Corsaro worked as a Certified Public Accountant for one of the Big Four public accounting firms, later switching to the private practice of law. He then served as an active attorney and a CPA while being heavily involved in the produce industry for the last 27 years. Most recently, Corsaro was the CEO of IF&P Foods, the parent company of Piazza Produce, Indianapolis Fruit, Papania’s, Garden Cut, and Cibus Fresh.
“Over the last several years, IF&P Foods has invested heavily in our management team, digital platform, warehouse facilities, and logistics platform,” said Corsaro, President and COO of FreshEdge. “With the acquisition of Get Fresh Produce, the combined platform can integrate our facilities and combine our offerings to provide the freshest and most complete suite of products to all of our customers.”
Backed by private equity firm Rotunda Capital, FreshEdge expects to continue to build on its platform and leverage its infrastructure investments with selective acquisitions of distributors in desirable geographic locations and product categories.
Keep reading ANUK for the latest in all mergers in the produce world.
MONTEREY, CA - The Produce for Better Health Foundation (PBH) made a splash at this year’s PMA Foodservice show, hosting its second annual Fresh Concepts event in conjunction with the expo. The event brought together influencers from volume foodservice together with leaders from the produce industry to share insights and information on this booming sector.
“Strategic partnerships like these allow our expanding network of key influencers to join the plant-forward dialogue and take back learnings they can immediately implement,” Wendy Reinhardt Kapsak, MS, RDN, and President and CEO of PBH, commented. “It also helps the produce industry expand their strategic thinking beyond retail applications. It’s important that these conversations happen if we want to uncover innovative ways to connect with the consumer at various eating occasions, including inspiring positive interactions with fruits and veggies in an away-from-home setting.”
The Fresh Concepts event is a demonstration of PBH’s commitment to increasing fruit and vegetable consumption among consumers. The event puts a spotlight on the work that menu research and development professionals do to bring new flavors, formats, and foods to U.S. diners across a variety of channels.
“Consumers are now spending 54 percent of their food dollars on foods prepared away from home. Restaurants and other foodservice outlets are having an increasing impact on our attitudes toward food, our flavor preferences, and our expectations for what we want from retail,” said Amy Myrdal Miller, MS, RDN, and PBH’s Culinary and Foodservice Specialist. “It’s important for produce industry leaders to work with foodservice leaders to keep up with the trends, the demands, and the power of the people in foodservice.”
PBH’s hand-selected industry leaders this year come from chain restaurants, leading contract dining organizations, and influential campus dining programs. These industry leaders participated in focus group discussions with potato breeders from HZPC; a chef tasting and sensory experience with Duda Farm Fresh Foods; field and processing facility tours with Taylor Farms Foodservice; and a new product showcase on the expo floor with Mann Packing and Del Monte Fresh.
“Increasingly, we need to collaborate and cooperate across various channels of food service, manufacturers, distributors, and growers. Traditional standards of size, shape, color, and shelf life are no longer acceptable to our customers—nor should they have ever been. Today’s customers are looking for items with distinguished aroma, flavor, and taste that are specific to the fruit or vegetable,” said Rafi Taherian, Associate Vice President of Yale Hospitality, which serves more than 15,000 meals per day to demanding Gen Z customers—Taherian also serves on the multi-sector PBH Industry Leadership Advisory Council.
Chef Patrick Mulvaney of Mulvaney’s B&L in Sacramento, California, added in a press release: “This was an incredible program. Chefs of independent restaurants like mine have many direct relationships with small growers. It was impressive to see the efficiency of production in the Salinas Valley, inspiring to meet growers who brought new products to the U.S., and important to make connections with distributors who have such an impact on the larger market. I appreciate PBH making this possible for me, and I’m excited to share what I’ve learned with colleagues in this area.”
Chef Mulvaney was not alone in his praise of the event, as many attendees commented on the opportunities for growth and exploration it offered.
“If you have something new for the market, share it with us. We’re always looking for new products, new colors, new flavors, new opportunities to delight our guests and clients,” added John Coker, Senior Vice President for FoodWorks, a division of Compass Group North America.
All of the influencers in attendance agreed that the event was informative and critical to the work they do, particularly when it comes to working towards the goal of increasing fruit and vegetable consumption. Many stressed the importance of having suppliers and produce companies work in tandem to achieve that common goal.
“It’s important for produce companies and other suppliers to engage with us earlier in the process,” commented Ken Toong, Executive Director of Auxiliary Enterprises at the University of Massachusetts, Amherst, which feeds more than eight million meals per year. “Don’t tell us what you have to sell us. Talk with us about what we need, and we can partner with you to bring new produce items to market.”
What exciting opportunities will next year’s event provide? AndNowUKnow will keep you informed.
WENATCHEE, WA - I love a beautiful piece of fruit, especially when the colors remind me of a summer sunset. Ah, an ode to peaches and nectarines! At Stemilt Growers, the team loves its beautiful fruit too, and retailers even more. The company’s Artisan Organics™ program featuring peaches and nectarines is now entering its third week of harvest with peak shipping weeks ahead and excellent quality across its fruit offerings.
“It’s important for retailers to work on September ads for organic peaches and nectarines,” Communications Manager Brianna Shales said. “Artisan Organics is a great program for retailers to differentiate around. The everyday organic shopper loves and remembers the flavors of these fruits, while the qualities and appearance of our Artisan Organics peaches and nectarines also entice new shoppers to the organic category.”
When it comes to retail support, Stemilt has it all and is offering merchandising and digital resources to help retailers with their promotions including a new pop-up display bin. As you would expect with a harvest like this one, the display bin features vibrant peaches and nectarines alongside other fruit Stemilt grows organically and with a new bright green look for the Artisan Organics logo, according to a press release.
“Display bins are an effective merchandising tool, but especially helpful with organic fruit. Retailers can build larger displays of organic peaches and nectarines with these bins in order to drive impulse sales,” Shales shared.
It’s been a strong start to Stemilt's all-organic peach and nectarine season thanks to ideal temperatures in Southeastern Washington State, where the majority of Stemilt's organic stonefruit is grown, Shales added.
“Sunny days and cool nights are combining to help us achieve that tree-ripened flavor experience that make for strong stonefruit programs at retail, as well as delighted consumers,” she said.
Peak loading weeks for Stemilt’s Artisan Organics peaches and nectarines run now through mid-September. As Shales said, the weather has been playing nice and Stemilt is seeing an uptick in brix averages across its stonefruit. With temperatures in the low- to mid-90s, the fruit is allowed to reach maximum maturity while it still hangs on the tree, resulting in extra sweet peaches and nectarines.
For all of its organic peach and nectarine program, Stemilt partners with fourth-generation growers, the Douglas family.
“The move to organics was a move to produce fruits with complex flavors. We’re striving for tree-ripened fruit, that ideal sugar-to-acid ratio, and fruit with loads of juice,” said Shales. “Flavor is what consumers crave, and we’re confident that we’ll keep delivering on that promise with our Artisan Organics peaches until season’s end.”
Retailers, time to get your programs up to Stemilt-speed, and I will be sure to add a few peaches and nectarines to my own shopping list!
JACKSONVILLE, FL - The retail market in the Sunshine State is proving to be too hot, with competition at an all-time high between both conventional and specialty grocers. For this very reason, Native Sun Natural Foods Markets is permanently shuttering its three-store chain.
“Due to the dramatic increase in the number of grocery stores in the Jacksonville area (nine new specialty grocers alone since 2015), Native Sun Natural Foods Markets will be closing our doors,” Aaron Gottlieb, Owner and Founder, wrote in a Facebook post.
While Florida is notoriously Publix territory, Lucky’s Market, Sprouts Farmers Market, Earth Fare, GreenWise Market, BJ’s Wholesale Club, and Kroger have all made moves in the last year or so with new stores, distribution centers, and facilities that very much encroach on Native Sun Natural Foods Markets’ home market. In addition, local news source Jacksonville Daily Record noted that national specialty grocers like Whole Foods, Trader Joe’s, and The Fresh Market have all opened stores in Jacksonville recently, too.
“Jacksonville has grocery stores ‘sprouting’ up like weeds; crowding each other as well as the local flora,” Gottlieb continued in the post. “We are sad to say that we didn’t have a deep enough well to keep us going. We’re proud to have been your local grocer for 23 years. I deeply believe the local independent business is the heart of the community. I am hopeful that our community will be blessed with another local organic grocer in our future. As all things great come back again.”
The closure date for the chain’s three stores has not yet been disclosed.
For more grocery retail news as it hits the newswire, keep checking back with AndNowUKnow.
CORAL GABLES, FL - Del Monte Fresh Produce N.A. is on the rise once again as it elevates its company and team with the appointment of Scott Owens as the fresh-cut produce pioneer’s Vice President of Sales and Product Management, N.A. The industry vet will head the banana, pineapple, and melon programs, while also overseeing an internal team with a strong focus on the core products of the company.
“We are thrilled to have appointed Scott to this new role,” Danny Dumas, Senior Vice President of Sales and Product Management, stated. “As the previous VP of Sales and Product Management (banana and pineapple program), I personally know that this position is in good hands and that Scott will have a positive impact on our banana, pineapple, and melon programs. As the new Vice President of Sales and Product Management, Scott will bring a fresh perspective through his expertise in customer engagement and brand development, honed from over 30 years in the industry, to the Del Monte Fresh Produce North America team.”
Owens brings a wealth of experience in fresh produce and consumer-packaged goods to his role from his time with companies including Wonderful Citrus, Chiquita Brands International, General Mills, and others.
This pool of knowledge will strengthen Del Monte Fresh’s ongoing commitment to the pineapple, banana, and melon categories, a press release noted.
Congratulations, Scott Owens, on your new role with an industry-leading fresh produce company. And to Del Monte Fresh, we are excited to see what’s next on your forward charge!
SANTA MARIA, CA - When I picture the summer months, all I see is bright colors and brighter days—and that’s mostly because of how many vegetable varieties are in-season and on store shelves all summer long. I checked in with Crystal Chavez, Marketing Coordinator, to find out how a few of Gold Coast Packing’s summer items are faring in this California heat.
“Currently, we are packing cauliflower, broccoli, cilantro, spinach, kale, and Brussels sprouts—all of which are being grown out of the beautiful Santa Maria Valley,” Crystal shared with me. “We are seeing very good quality for all of our products at this time. We had a spike in temperatures a few weeks back, but now we are at our normal weather for this time of year, so our quality is great!”
On top of great quality, Crystal told me that Gold Coast Packing has seen tremendous growth with its customer base over the last 12 months. And paired with ample supply and strong demand, Crystal also noted that the market is steady for most of the company’s summer items.
“Gold Coast is anchored in quality and customer service. We are nestled perfectly in Santa Maria, just a few hours north of Los Angeles and south of Salinas, with a climate that makes for perfect growing conditions, resulting in high-quality produce,” Crystal explained. “Our facility is located less than two miles off the 101 freeway, which makes picking up an order and filling your truck quick and easy.”
With a pitch like that, I’m expecting retailers near and far to have Gold Coast Packing items well-stocked for the rest of the summer!
For more market updates like this, stay right here with AndNowUKnow.