MATTHEWS, NC - Harris Teeter’s latest store opening was larger than—well, maybe not life, but definitely larger than any of the store locations in the retailer’s portfolio. The New Bern Marketplace location officially opened its doors today, December 5, and touted a total of 100,000 square feet, marking it as the biggest Harris Teeter store yet.
“Harris Teeter is thrilled to introduce the New Bern community to their brand-new Harris Teeter and Fuel Center,” said the company’s Communication Manager Danna Robinson. “We are looking forward to sharing never-before-seen amenities and features.”
Said never-before-seen amenities and features include a juice bar, ExpressLane Online Shopping, a burger bar, a sushi train, a beer and wine bar, a Starbucks, a drive-thru Pharmacy, and a Harris Teeter Fuel Center, according to a press release.
Is this larger store format a sign of a new look and some expanded features that will take hold of more Harris Teeter locations? AndNowUKnow will continue to report on the growing retail scene.
COACHELLA VALLEY, CA - Although romaine is slow to make its way back on shelves this holiday season, there are more fresh vegetables in varying chartreuse hues that are sure to satisfy retailers and consumers as we near the last round of this year’s holidays. For example, Grimmway Farms is currently excited about a whole slew of organic options, including its year-round leafy greens, bunching greens, brassicas, green onions, yellow onions, and carrots as well as its seasonal crops like spinach, celery, and red carrots coming out of the Coachella and Imperial Valleys.
I spoke with Bob Borda, Vice President of Organic Sales, to find out more about the time of the year when Grimmway Farms offers the widest variety of its product portfolio to the masses.
“Mild weather has contributed to outstanding quality and availability through the holiday season, and retailers and consumers have responded well to this coverage,” Bob told me. “We expect mostly normal conditions in our desert growing regions this season. However, with rains anticipated in early December and the potential for colder than normal temperatures increasing, availability for organic vegetables may be adversely affected in the coming weeks.”
Because the holidays are always a hopping time, Bob noted that overall demand for organic vegetables is robust. But it’s not just the holidays that are piquing consumer interest in fresh greens bearing Grimmway Farms’ labels.
“Adverse weather affecting local programs throughout the Midwest, Southeast, East Coast, and Canada has brought customers back to West Coast organic vegetable programs sooner than in years past,” Bob revealed. “This early return has strengthened demand through November. Overall, the markets continue to experience solid demand as the desert regions begin, and the transition to the desert will cause a temporary reduction in supply, which strengthens demand as well.”
For crop, market, and retail updates, stay tuned to AndNowUKnow.
GOODLETTSVILLE, TN - Dollar General is betting the farm, so to speak, on fresh produce for 2019. In discussions regarding its Q3 2018 fiscal report, the retailer revealed that bringing fruits and vegetables to underserved communities will be a major part of its expansion strategy moving forward. About 200 existing stores will receive fresh produce-focused remodels and even more of its planned 975 new locations will likely be built to hold fruits and veg as well.
“We intentionally develop these additional formats to be able to move into certain demographics across the U.S. where a one-size-fits-all mentality is really not the way to be productive and to make the most of your real estate portfolio,” Dollar General Chief Executive Todd Vasos said during a conference call with analysts Tuesday, according to a report by the Wall Street Journal. Vasos noted that the company plans to experiment with various setups, including those focused on our humble industry's goods, as part of a new expansion and will focus on a wide variety of customers’ needs.
According to WSJ, the retailer’s full expansion will include 975 new stores, 1,000 stores remodels, and plans to relocate 100 stores. Dollar General noted about 200 of these remodeled stores will house fresh produce, bringing its total fruit and veg-focused stores to upward of 600.
Vasos said the company can “drive a tremendous amount of traffic” through new stores that offer produce and other fresh products in food deserts where access to healthy and affordable food options is more scarce.
In addition to the aforementioned news, the company also revealed results of its Q3 2018 fiscal report. Dollar General noted the following highlights:
- Net sales Increased 8.7%; Same-store sales Increased 2.8%
- Diluted earnings per share (“EPS”) increased 35.5% to $1.26, including an estimated $0.05 net-negative impact from hurricane-related expenses and greater-than-anticipated other disaster-related expenses
- Cash flows from operations increased 32.5% to $1.5 billion
- $374 million returned to shareholders through share repurchases and cash dividends
- Board of Directors declares fourth quarter 2018 cash dividend of $0.29 per share
As Dollar General continues to expand its focus on fresh produce, AndNowUKnow will be on the front lines to bring you the latest.
WATSONVILLE, CA - Monterey Mushrooms recently announced it has promoted Bruce Knobeloch to Vice President of Product Development and Marketing. In this role, Knobeloch will be responsible for the company’s gourmet division operations, including its Bonne Terre, MO, processing facility; its Royal Oaks, CA, mushroom powder facility; as well as new product development. He will continue to provide oversight for the corporate food safety program, in addition to collaborating with Mike O’ Brien, Vice President of Sales and Marketing, as the company works to promote its brands and launch products—such as the new meat alternatives.
Knobeloch joined Monterey Mushrooms two years ago after a 42-year career in the produce industry. According to a press release, he spent 26 years with Schnucks Markets in St. Louis, after which he served in executive roles with BuyProduce.com, Apio, River Ranch Fresh Foods, Azzule Systems, and Aggrigator. He has served as past Chairman of the PMA Retail Board and past member of the PMA Board of Directors. He also served on the United Fresh Produce Board, in addition to other industry association boards and committees throughout his career.
Bruce lives with his wife, Elaine, in Hollister, California, and has two adult daughters and a granddaughter in the area.
Congratulations from all of us here at AndNowuKnow to Bruce on this promotion!
MILPITAS, CA - AC Foods has been making waves in the produce industry over the course of the last year—swooping up big brands like Suntreat and Columbine Vineyards in key produce categories.
I recently spoke with Daniel Kass, Vice President of Sales for AC Foods, Suntreat Packing, and Columbine Vineyards, to learn more about the company’s growing operations and mission-based approach to ag.
“We've had tremendous response to our Sumo Citrus® and Holiday® Seedless Grapes—two of our flagship varieties—which we grow in California as well as in Australia,” Daniel told me, noting that, while AC Foods has been growing prodigiously, acquiring legacy brands throughout the western U.S., the company’s core mission is a commitment to regenerative agriculture. “AC Foods represents a number of sustainable, regenerative food products including blueberries, hazelnuts, citrus, and table grapes.”
The company is currently in an exciting place in terms of both its growth and seasonality, and Daniel tells me that the AC Foods family is looking forward to a solid early winter season.
“We're in the midst of our California grape season right now. We'll be—let's say—in the last two months of our Holiday® Seedless program,” Daniel said, as of PMA Fresh Summit this October. “California citrus is just launching in California.”
To learn more, watch our brief video interview above.
WENATCHEE, WA - Consumers might be swapping in their mistletoe for Smitten™ apples, with how much growth the fruit has seen since this time last year. Boasting more volume and better flavor as the trees of this proprietary apple age, Honey Bear Tree Fruit’s Don Zornes tells me “’tis the season to be Smitten.”
Smitten’s license holder, Pegasus LLC, is owned by the families of Randy Steensma and Barclay Crane, with Honey Bear Tree Fruit serving as the lead marketing partner.
“We are finishing up on the first season of our organic deal and it did better than we could have ever anticipated,” Don shares with me, adding that conventional Smitten apples also ran strong. “We saw remarkable movement. This first year of organic Smitten was incredible and conventional saw significant growth versus last year.”
Barclay shared with me some of the details on that growth and what it has meant for some of the team’s retail partners.
“Smitten has lit up apple categories at every chain that featured it this fall, including setting a record at one major chain for monthly apple sales across hundreds of high-volume stores,” he tells me. “Additionally, Smitten increased whole-store sales across an entire 160-store division in a national chain seeing declines across all divisions not carrying Smitten during the same period—an extraordinary result unmatched in Steensma or Crane’s careers. These results are not empty claims, but based on metrics supplied by the chains themselves. Smitten could very well be the most important SKU in an entire high-end supermarket for drawing in new customers and getting repeat business. Consumer response is over-the-top.”
Set to ship through the end of January, Don also adds that this will be a great holiday apple for its ideal baking quality—Smitten stays firm when baked and is known for being incredibly crunchy, offering sweet flavor with tones of tartness, and having a beautiful rosy blush to match that holiday decor.
“A lot of people do have wholesale brands, but as far as we can tell this is the first consumer-branded apple in the industry’s history. It’s a bit more unique and I think very memorable. Branding also helps as we start to export into Asia and beyond. It is critical for markets that don’t speak English—we make sure to have a very large PLU sticker emphasizing the two pink kisses so people see it and know that’s the apple they are looking for,” Don explains.
As for 2019, Don and his team says we are going to see exponential growth for both organic and conventional Smitten apples, so keep an eye out for this tasty fruit.
OXNARD, CA - Pete’s Living Greens is expanding its product line with two new additions, Organic Red Butter Lettuce and Organic Spring Mix. Not only are these new living greens offering a new meaning to "bringing the life to the party" this holiday season (living greens, get it?), the new products also showcase Pete’s efforts to double down on its commitment to answering consumer demand for more organic living greens.
“Demand for organic produce, and lettuce in particular, is at it at an all-time high and is showing no signs of slowing down anytime soon,” said Senior Director of Marketing Corrie Hutchens. “We are excited to be able to offer consumers sustainable, organic living lettuce varieties that are consistently high in quality all year round.”
Like all of Pete’s products, which are hydroponically grown and non-GMO verified, the new Organic Red Butter Lettuce and Organic Spring Mix have roots attached for extended shelf-life and superior quality and flavor, according to a press release. The company first revealed the new products at PMA Fresh Summit 2018 in Orlando, Florida.
“As we continue to grow, our focus is still on providing our retail partners across the nation with innovative, top-quality organic produce,” said company President Brian Cook.
Pete’s existing line of living lettuces and cress varieties are available at select foodservice outlets, grocers, specialty health markets, and club stores on the East Coast through 2019.
To stay ahead of the newest items in fresh produce, stay tuned to AndNowUKnow.
DENVER, CO - Two of SuperValu’s Colorado distribution facilities—operated by Advantage Logistics USA West, a distribution arm of SuperValu—may be closing, according to two notices filed with the Colorado Department of Labor and Employment. These filings state that the company plans to close warehouses in Aurora and Fountain, Colorado, in February 2019.
According to a report from The Denver Post, Advantage Logistics noted that another firm, Windigo, may take over and run the two warehouses.
“Windigo will be taking over the operations of the facility and the work that was done there; it is our understanding that they will offer employment to many of our associates. The work will still continue out of these facilities,” said Jeff Swanson, Vice President of Communications and Enterprise Learning, SuperValu.
The news source reported that Swanson did not provide an estimate of how many people would keep their jobs should Windigo take over the facilities. As of now, an estimated 750 workers are employed at the two warehouses.
AndNowUKnow will keep you up-to-date on the latest in what’s happening distribution-side.
LANDOVER, MD - Giant Food, one of the greater Washington D.C.-area’s preeminent retailers, has announced a $175 million capital investment into expansion and the improvement of its stores over the next two years. The investment will include a new store location opening in Fairfax Circle, VA, as well as 24 store remodels.
“As the region's leading grocer, this announcement is part of our long-term commitment to deliver a consistently exceptional experience for our shoppers,” noted President Gordon Reid, in a press release. “We look forward to updating and enhancing our existing stores and constructing both new and replacement locations to give our shoppers a fresh and imaginative selection, unique in-store experiences, and superior customer service.”
New and remodeled stores will reportedly feature new amenities such as enhanced perishable, produce, beer, wine, and spirits offerings; full-service florists; expanded natural and organic departments; hot Asian food bars; fresh squeezed juice bars; enhanced check-out zones; full-service pharmacies; and more.
Giant Food's latest investment investment comes in addition to a $21 million investment in a new Olney, MD, location—slated to open in spring of 2019—and new locations in Herndon and Alexandria, VA, that opened last month.
To learn more about the project, read Giant Food’s press release in its entirety here. And stay tuned to AndNowUKnow for the latest in fresh produce news.
MEXICO - I think it’s safe to say North America’s obsession with avocados is evergreen. With the green fruit only picking up speed in converting more into avo-believers, Catania Worldwide recently expanded its Mexico operations to include avocados to keep up with trends and its own business model.
I had the chance to speak with Andrew Amodeo, Sales, to find out more about Catania Mexico’s avocado certification and what retailers need to know about the company’s deep dive into the new category.
“The demand from our customers and growers for the past couple of years spiked our initial interest in the fruit, and it started to feel natural as we began to look into it more,” Andrew said to me when I asked why the sudden move into avocados. “Avocados also fit into our business model. We are heavily invested in Mexico and have access to preferred growers, facilities, and management that was ready to handle this. If we want to sell, it’s always to our advantage if we can grow, pick, pack, and ship as it gives us control over the process. Not to mention, the retailer gets to deal directly with the grower and packer.”
Catania’s avocados hail from Jalisco and Morelos and are available to buyers and retailers in Canada from October to June. Andrew noted that Catania is especially proud of the quality assurance it gives its customers to ensure the best eating quality avocado around. From the moment the avocado is picked and packed, Catania makes sure only the best product is selected for its Emerald Empire label avocados.
In addition to expanding into avocados, Catania has also taken notice of the recent resurrection of imperfect produce with retailers, distributors, and produce companies alike.
“For too long we have bought with our eyes and kept our focus on appearance, not quality. Avocados, in particular, lend themselves to the imperfect produce category because skin blemishes and other minor imperfections have no bearing on the actual fruit. And the consumer seems to be well aware of this,” Andrew told me, alluding to Catania’s possible imperfect produce offering to come.
Where will Catania head next on its produce empire journey? AndNowUKnow will continue to report on fresh fruit and veg expansions and more.