CATEGORY MANAGEMENT | PRODUCE
convenience and craving are drivers during that occasion.” Health-conscious shoppers, families with kids and consumers who are already com- fortable building fruits and vegetables into meals are more likely to consider additional opportunities for produce, he said. Most resistant are budget-driven shoppers for whom price, speed and habit often drive eating decisions, Avakian said. “That is where produce has to work the hardest to compete,” he said. Spotlighting produce’s role in dinner or snacking is a more effective sales trigger than touting the self-evident wellness ben- efits, Avakian said. Measures can include the use of short videos to demonstrate how to select items and incorporate produce in additional situations, he said. Such spots are forceful “as long as the messages are quick, clear and come from someone people trust,” Avakian said. KEEPING PRODUCE IN GROWTH MODE Produce activity is rising but the need for merchandising mettle remains. Fruit and vegetable unit sales were up about 3.4% and 0.3%, respectively, over the last year, reports Circana, a Chicago-based market research firm. Yet to sustain and increase shopper purchasing, retailers must meet the needs of sharper and more intentional custom- ers who are balancing value, freshness and versatility, said Mike Veneziano, vice president of produce and floral at The Save Mart Companies, a Modesto, Calif.-based operator of approximately 200 Save Mart, Lucky and FoodMaxx stores throughout California and Western Nevada. That is important as consumers also are making fewer trips to stores and have more calculated buying decisions, he said. “Waste, price sensitivity and confidence in quality all factor heavily into what makes it into the basket,” Veneziano said. “Not all consumers trend the same, so telling a story to broad shoppers to help them make their choices is an everyday balancing act for merchandising teams.” Properly executing sales strategies is another critical challenge, said Andy Vargas, Save Mart senior category man- ager, fruits. “Produce is unforgiving and even great merchandising doesn’t enable products to
A versatile plan for greater produce use Retailers can increase interest by touting fruit and vegetables’ role in more eating occasions
BY RICHARD MITCHELL
Produce activity is rising but the need for merchandising mettle remains.
PRODUCE can use an image makeover. While category volume and dollar sales grew about 2% over the last year, accord- ing to Circana, a Chicago-based market research firm, many merchandisers still are limiting activity by not encouraging the use of fruits and vegetables in unconven- tional eating situations, analysts said. “Retailers are treating produce like a side and not the main event,” said Dan Avakian, a retail merchandising and communications consultant at FreshXperts, a Parkville, Mo.- based consortium of consultants for the North American fresh produce industry. “Shoppers fall back on habits and many of them do not feel confident using produce for more occasions as they worry about generating waste or the expense of eating more fruits and vegetables.” It is important that operators educate shoppers on the different produce roles, Avakian said, such as by suggesting new
meal solutions and cross-merchandising fruits and vegetables with fresh proteins and center store selections. “Produce gets left behind if its use is not made easy, rele- vant and tied to how people actually eat,” he said. Breakfast, snacks and quick lunches that often consist of grab-and-go and processed foods are major opportunities for greater produce consumption, Avakian said. “Smoothies, cut fruit, avocado toast, salad kits and snack packs can easily step into those occasions,” he said. More difficult is persuading shoppers to consume additional produce at dinner, a meal in which many customers “are set in their ways,” and during late-night eating, “because that is where junk food is the winner,” Avakian said. “It is hard to get someone to reach for celery, snap peas, or grapes when salty and cheap snacks are available. While nutrition matters,
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