CHICAGO, IL - The saying “good news comes in threes” has been proven true today as Amazon has recently revealed plans to open three new Amazon Fresh grocery stores in the Chicago area.
“Our Amazon Fresh store team is strong and growing,” said Stephenie Landry, Vice President of Amazon Grocery, in a statement to Chicago Business Journal. “I've enjoyed getting to know employees and seeing first-hand how they support each other and our customers while visiting our stores. Because of this amazing team, we're able to bring customers a new, innovative shopping experience that they love right in their own communities.”
These new stores will be found in Morton Grove, Westmont, and Naperville, according to the news source. The three new stores will bring the number of Amazon Fresh stores in the Chicago area to seven, joining the other locations in Oak Lawn, Schaumburg, Bloomingdale, and Naperville. Each of the locations will be about 35,000 square feet and will employ more than 1,500 people by the end of the year.
Amazon’s new stores will also feature Amazon’s “Just Walk Out” cashierless technology, and will be the first in the state to implement the innovative system. Through this technology, shoppers will be able to enter the store, scan their credit card or an Amazon app, finish their shopping, and leave, all without having to stand in a checkout line. For those who don’t use the new technology, self-service checkout lines will also be available.
We here at ANUK are always waiting to see where Amazon will pop up next as it continues to build out its expansion strategies, and we’ll be here to report when it does.
WASHINGTON, DC - In its pursuit to uphold the Perishable Agricultural Commodities Act (PACA), the U.S. Department of Agriculture (USDA) has imposed sanctions on Florida Cool Cargo, in Miami, Florida. Florida Cool Cargo has allegedly failed to pay $115,806 to five sellers of produce. Under the rules of the PACA, Florida Cool Cargo will be sanctioned, barring the company and the principal operators from conducting PACA-licensed business or other activities without approval from the USDA.
Direct from the USDA Agricultural Marketing Service:
Florida Cool failed to pay $115,806 to five sellers for produce that was purchased, received, and accepted in interstate and foreign commerce from May 2019 to July 2019. This is in violation of the PACA. Florida Cool cannot operate in the produce industry until July 23, 2023, and then only after they apply for and are issued a new PACA license by USDA.
The company’s principals, Yosuan Fernandez and Jesse Fernandez, may not be employed by or affiliated with any PACA licensee until July 23, 2022, and then only with the posting of a USDA approved surety bond.
USDA is required to publish the finding that a business has committed willful, repeated, and flagrant violations of PACA as well as impose restrictions against those principals determined to be responsibly connected to the business during the violation period. Those individuals, including sole proprietors, partners, members, managers, officers, directors, or major stockholders may not be employed by or affiliated with any PACA licensee without USDA approval.
By issuing these penalties, USDA continues to enforce the prompt and full payment for produce while protecting the rights of sellers and buyers in the marketplace.
For more information, and to read the press release in its entirety, click here.
NEW ZEALAND - The produce department will soon become a full-on spookfest, as Halloween month is officially HERE! (Can you tell I’m excited?) T&G Global is stirring up some excitement of its own, as the marketer is strategizing to give JAZZ™ apples a boost during this highly anticipated promotional period.
“We’re sharing some fun, spooky recipes on our social media channels that are healthier than your typical Halloween candy. These are simple recipes that families can make and enjoy together, with JAZZ apples of course,” said Head of Marketing Rebecca Chapman. “As well as sharing recipes, we’re also celebrating with new point of sale displays, a dedicated Halloween website, and a fun Instagram filter.”
In a press release, Chapman noted that Halloween is a popular time of the year in key international markets, making it the perfect occasion to encourage consumers to make healthier choices. For the campaign, JAZZ apples’ signature motto, “Is it JAZZ™ time yet?” has been morphed into a seasonal motto: “Is it BOO time yet?”
New point-of-sale artwork embraces JAZZ’s refreshed look and integrates Halloween elements with carved apples that would give anyone the chills.
This fully integrated seasonal campaign will be rolled out across key markets in Asia, Europe, and the United States.
Are you ready for spooky season? Your retail shelves will say it all.
TAMPA, FL - The ANUK team recently found a new furry friend to obsess over, although they may be lacking actual fur. Aiming to highlight its Reusable Plastic Containers (RPCs), IFCO Systems has launched a new campaign playing on the legendary nine lives of a cat. Longevity, though, is not all this offering boasts of.
“IFCO takes a stand on sustainability and transparency in the food supply chain. We are the right partner to empower those operators who value sustainable solutions,” said Michael Pooley, Chief Executive Officer of IFCO, in a company announcement.
The announcement noted that RPCs are used several times before being granulated to become new crates. This circular life cycle is reportedly the key to IFCO’s journey toward a more sustainable supply chain.
Sustainability features were top of mind when creating this offering, providing an efficient, reusable, and shareable solution. These crates feature a sturdy design that reduces product damage and, therefore, food waste, making it environmentally friendly in more ways than one.
Plus, you can’t help but smile at a crate that looks like a cat.
For more impactful industry campaigns like this one, keep coming back to ANUK.
PLEASANT PRAIRIE, WI - Football season is upon us, and retailers, you know what that means—ample opportunity for snacking displays in the fresh produce aisles! Luckily, Good Foods is making that task a little bit easier with the launch of its new plant-based Spicy Queso Blanco, which is currently rolling out at Target and Sprouts locations across the country, and your stores could be next.
“Through sales analysis, consumer inquires and market research, we found the addition of a Spicy Queso Blanco flavor to our plant-based dip line would resonate with both shoppers and their tastebuds,” said Mandy Bottomlee, Director of Content Marketing. “After a year in our rigorous research and development process, we’re excited to finally have this new dip hitting store shelves to meet consumer demand.”
With the addition of Spicy Queso Blanco, Good Foods now offers six plant-based dip flavors including Queso, Buffalo, Tzatziki, Avocado Pesto, and Cilantro, giving consumer tastebuds all the flavors they could desire. According to a press release, the Spicy Queso Blanco dip is made with a blend of cauliflower and almonds to create a cheesy flavor profile, and a spicy kick is added into the mix through green chilies and jalapeño peppers.
Good Foods’ Spicy Queso Blanco will be available in the regular 8 oz size and a larger 12 oz size for entertaining, tailgating, or holiday parties.
Will your stores be the next to offer this tantalizing new offering? If so, I will be the first in line to load up my basket.
NORTH AMERICA - We are bidding goodbye to another month, which means another chance at some extra cash for fans of our sister publication The Snack Magazine! Whether you are taking out an actual magnifying glass, or hitting the magnification on your screen to seek it digitally, it’s time to find the ANUK apple on the cover of Issue 61, Pattern of Progress.
If you do not have the physical magazine, click here to view a digital copy of our latest issue.
Once you’ve discovered that extra apple shape (which is among the beautiful fruit decorating the cover but not one of them, so don't be fooled!) send your selfie over to us at [email protected] with the subject line “FOUND the Apple Logo” to join the running for the $100 cash prize.
As a reminder, the criteria for winning is as follows:
- Your FOUND the Apple Logo photo must include your face
- And your finger must be pointing to the AndNowUKnow apple logo
If your photo lands in our inbox ahead of everyone else’s, you could join the winners’ circle, along with some other quick produce pros, including:
- Joseph Parziale of Bozzuto's (reigning buy-side champion)
- Rachelle Schulken of Renaissance Food Group (reigning supply-side champion)
- Betty Tomao of The Save Mart Companies
- Dustin Meloche of Nature Fresh Farms
- Danny Ortiz of Sysco
- Doug Groendyke of Harvest Hope Food Banks
Once that is checked off for your Thursday, take some time to flip through the colorful fall pages, including our deep dives into the minds behind companies like Pacific International Marketing, Bobalu, Giorgio Fresh, as well as a plethora of recipe and merchandising inspiration for your autumn offerings, bite-sized fun with industry innovators, and more.
Be sure to get ready for the competition next round, coming with the fast-approaching October issue. Click here to subscribe to The Snack, valued at $129 per year.
CALIFORNIA - Life happens while we are busy making plans, leaving us with few areas we can control. Fresh Avenue highlighted one of these areas in a recent dive on consolidation facilities, specifically the impact location can have.
While I can say convenient locations have always been a factor in new facility announcements, it seems that the weight this carries has gotten heavier in light of the challenges the supply chain has increasingly faced.
The company highlights in its recent post, Location, Location, Location, the ways in which business operations hold a valuable place in the supply chain.
Key factors listed are:
- The right place
- Access to everything
- Smooth transition
- Taking advantage of the location
“In the world of real estate, the address of a property can add tens of thousands to the value or take it away. The different sections of town define the culture, architecture, amenities, goods, and services that are available,” the company observes, likening it to families shopping for homes and how comparable factors make for a prime facility.
Immediately discussing consolidation facilities, Fresh Avenue points out significant time savings having product directly taken to one when a typical pickup can consist of a four-hour wait at one stop, five at another, and so-on.
Additional factors the company points to are access to more product for buyers, access to competitive prices, and remaining open in both growing regions during industry transitions.
“Many times, product picked up at growers during this time will experience some disruption during the shutdown of grower facilities and people and equipment traveling hundreds of miles to the next location. One way to lessen that impact is by using consolidation, a facility that does not undertake a complete move. Usually these facilities are open year-round in each growing region,” Fresh Avenue states.
To read the post in its entirety, click here, and for the latest in our industry, continue to keep an eye on AndNowUKnow.
ISSAQUAH, WA - At this point in time, the fresh produce and retail industries know all too well about the ongoing supply chain challenges being faced on a global scale. As buyers and suppliers watch as container ships have become congested in ports, slowing the distribution of products, Costco Wholesale has announced a unique new strategy to overcome these persisting hurdles. Recently, the retailer revealed that it will be chartering three ships and renting thousands of containers to help mitigate rising shipping costs.
“Containers, trucks and drivers all are impacting the timing of deliveries and higher freight costs. Despite all these issues, we continue to work to mitigate cost increases in a variety of different ways and hold down and/or mitigate our price increases passed on to the member,” said Richard Galanti, Chief Financial Officer in a call with analysts. “We've also chartered three ocean vessels for the next year to transport containers between Asia and the U.S. and Canada.”
Costco will be joining the ranks of Home Depot in making this play, as both companies attempt to prevent delays and keep costs at a minimum. According to an article from Business Insider, in renting these ships, the retailer will be able to avoid spending six times the amount that would be charged using a third party.
“…We've leased several thousand containers for use on these ships,” continued Galanti. “Every ship can carry 800 to 1,000 containers at a time, and we'll make approximately 10 deliveries during the course of the next year. Moving to inflation. Again, there have been many—there have been a variety of inflationary pressures that we and others are seeing, and more of it.”
As Galanti went on to describe in the call, Costco’s standard rollout time for new products in store has doubled in some cases, which was one of the major factors in this new strategy.
Costco is but one of many retailers and suppliers dealing with the ongoing supply chain crisis that is causing delays, shortages, and skyrocketing costs. Due to port traffic jams, blockages, and a lack of dock workers, the situation has only worsened, leading to key moves from authorities to solve these persisting problems.
To read a transcript of Galanti's call, click here.
How will the retailers recent shipping strategy position Costco to hurdle these supply chain challenges? Stick with AndNowUKnow for updates.
ZAANDAM, THE NETHERLANDS - One thing I never tire of is hearing the words “new Chief.” It’s always great to see people in our industry advancing, especially in the buy-side community. For Ahold Delhaize, this new Chief comes in the form of Natalia Wallenberg, who was recently named Chief Human Resources Officer.
“I am thrilled to join Ahold Delhaize, with its focus on health and sustainability, inclusivity, and value for customers. It is energizing to be part of a company with a growth-oriented culture and local brands that positively impact more than 50 million shoppers every week,” noted Wallenberg. “Additionally, the values of the organization, especially care, courage, and teamwork, are ones that I share and am proud to promote. I look forward to helping Frans and the company continue its transformation while cultivating its great diverse talent and purpose-driven culture."
According to a press release, Wallenberg brings with her a host of experience, most recently working as Sygenta’s Global Head of Human Resources for the Crop Protection division. During her time with the company, which garnered nearly nine years of experience, Wallenberg served for three years as Global Head of HR for the Syngenta Seed Division.
Prior to Syngenta, she served in HR leadership roles at Renaissance Capital and IKEA Real Estate.
“I am excited to have Natalia join my Executive Committee as Global CHRO. She brings a broad international perspective, having lived and worked in both Europe and the United States, and a wealth of experience shaping and implementing effective business and HR strategies, leadership and culture development, organization transformation, and talent management,” added Frans Muller, the retailer’s Chief Executive Officer.
Wallenberg holds a Ph.D. in Organizational Psychology from the International Academy of Information Technologies in Belarus, and an MA in Counseling jointly granted from the Moscow School of Social and Economic Sciences in Russia and the University of Manchester in the United Kingdom.
Congratulations to Natalia on this new role!
ISSAQUAH, WA - Further showcasing its retail prowess, Costco revealed its fourth quarter and fiscal year 2021 financial results, detailing a net sales increase of 17.5 percent for the quarter and 17.7 percent increase for the fiscal year. This comes following a year of growth from the company, including new warehouses as well as the expansion of its self-service stations nationwide.
The results announced by Costco were for the 16-week fourth quarter and 52-week fiscal year, both ending August 29, 2021, according to the release. In addition to net sales for the quarter increasing from $52.38 billion at the same time last year to $61.44 billion, net sales for the fiscal year also showed a $28.83 billion boost from $163.22 billion to $192.05 billion.
Other highlights from the report include:
- Net income for the fourth quarter was $1.670 billion, or $3.76 per diluted share, compared to $1.389 billion, or $3.13 last year.
- Net income for the fiscal year was $5.01 billion, or $11.27 per diluted share, compared to $4.00 billion, or $9.02 per diluted share in the prior year
- Comparable e-commerce sales were 11.2 percent for the 16-week fourth quarter and 44.4 percent for the fiscal year
Costco currently operates 817 warehouses, including 565 in the United States and Puerto Rico, 105 in Canada, 39 in Mexico, 30 in Japan, 29 in the United Kingdom, 16 in Korea, 14 in Taiwan, 13 in Australia, three in Spain, and one each in Iceland, France, and China. The retailer also operates e-commerce sites in the U.S., Canada, the United Kingdom, Mexico, Korea, Taiwan, Japan, and Australia.
To read the report in its entirety, click here.
As Costco continues to evolve its retail market strategy, how will it further increase profitability? Keep reading AndNowUKnow for the latest updates.