The Dish On Deli Salads And Sides

4/1/2011

Supermarkets drive sales with healthier, fresher fare.

Do customers tweet about your potato salad? Is your coleslaw shredding the competition? Is your macaroni and cheese the “Mac Daddy” of deli sides?

One of the year's most important weeks for deli salad sales is just around the corner, according to The Perishables Group, a consulting firm based in West Dundee, Ill., whose research indicates that both the weeks of Memorial Day and the Fourth of July produce the biggest register rings for deli salads.

With spring in full bloom and a string of outdoor holidays ahead, there's no better time for supermarket delis to take a fresh look at their deli salads and side dishes. From healthier slaws to local favorites to restaurant-inspired dishes, we're bringing you the top trends in deli salads and sides that are sure to make a splash with customers this summer and beyond.

Healthy Habits

While fan favorites like potato salad and salad bars still account for more than 40 percent of deli salad sales, notes The Perishables Group, there's no question that the health-and-wellness trend has hit the American deli.

"We're seeing more health-conscious offerings in the deli salad category,” says Alan Hiebert, education information specialist for the International Dairy-Deli-Bakery Association (IDDBA) in Madison, Wis.

"Because of the rising profile of the Mediterranean diet, consumers are more aware of traditional Mediterranean and Middle Eastern ingredients. That has translated into the deli salad case, where we're seeing chickpea, tabbouleh, lentil and orzo salads."

For some, purchasing healthier meals from the deli is more than a preference; it's a matter of life and death. According to the IDDBA's most recent “Consumers in the Deli: Attitudes, Buying Behavior & Purchase Drivers” study, in the past six years, the percentage of consumers living with someone who is overweight or has high cholesterol, high blood pressure or diabetes has increased dramatically. In 2010, 64 percent of consumers reported an overweight person lived in their household, and more than half said they were living with someone with high cholesterol or high blood pressure.

Retailers and manufacturers alike are responding to the demand for healthier deli fare with tasty alternatives to fattier cuts of meat and mayo-laden salads. For example, Weis Markets, based in Sunbury, Pa., offers a Healthy Deli Platter, featuring fat-free ham, several kinds of turkey breast, two reduced-fat cheeses, high-fiber wheat bread and a choice of healthy side salads.

At Kowalski's Market, a family-owned chain of nine upscale supermarkets in the Twin Cities, good health and great taste make for a winning combination in the deli.

"Our trend has gone to more healthy protein salads, wheat berry salads, grilled vegetables, roasted Brussels sprouts, a lemony couscous salad and a Spanish chickpea salad,” explains deli manager Kim Winterle. “We're doing much more of those salads and less of the pasta salads."

Manufacturers are also getting into the healthy deli game. Reser's, based in Beaverton Ore., has started shipping upgraded versions of its four best-selling protein-based deli salads: chicken, ham, seafood and tuna. Improvements include increasing the protein content by 30 percent to 50 percent, simplifying the number of ingredients and improving the overall ingredient quality.

"Fresh salads, lightly dressed” defines the newest line from Medina, Ohio-based Sandridge Food Corp. All of the salads are made with “recognized and trusted ingredients such as crisp fresh vegetables, sea salt, fiber-rich beans, real sugar, olive oil and canola oil,” says senior marketing manager Mary Vaccaro.

"Consumers want to eat more nutritiously, and they are looking to their delis to help them by providing better-for-you options,” continues Vaccaro.

To Know is to Love

"Less is more” is also the idea behind the new line of portion-controlled, chilled Weight Watchers Fresh Meals and Deli Salads. The line includes six new 7-ounce and 9.8-ounce salads with offerings like seafood salad in a lemon-dill dressing, chicken salad with dried cranberries, and coleslaw with fresh carrots and onions.

"People who buy the Weight Watchers brand are looking for portion control, less sodium and lower calories,” says Chris Solly, VP of licensed brands at Newburyport, Mass.-based Greencore USA, which manufactures the Weight Watchers Fresh line. But they're also looking for healthier alternatives to the foods they already know and love. “Our new dishes are Italian comfort food and American favorites. We've taken the most popular deli items and given them a little twist to make them more interesting."

Perhaps most notable thing about the Weight Watchers Fresh line is the research that shows healthier offerings — rather than cannibalizing existing sales — may actually attract a new customer to the deli. Solly points to an IRI CCR loyalty card analysis conducted over eight weeks at a major retailer, which showed that of the 86,915 households that purchased a Weight Watchers Fresh Meal, 63 percent hadn't shopped the grab-and-go category prior to the launch of the line.

Jazzed-up Comfort

At The Good Life Market in Raymond, Maine, the deli occupies approximately one-third of the store, and sales in this department, according to retail manager Jay Pelletier, are going strong in spite of the sluggish economy.

What are customers buying? “While a lot of people say they are concerned about their health, we see them going with the tastier, fattier salads,” says Pelletier. “People are shopping a little healthier, but we find that the core of our customers choose the comfort of traditional favorites."

The store has a repertoire of some 30 to 40 salads, all made in-house. Pelletier describes them as “familiar, but jazzed-up.” Best sellers include the pesto pasta salad with peas and pine nuts, and a broccoli salad with bacon and mayonnaise dressing.

Customers may be clamoring for the comfort of traditional favorites, but with an emphasis on homegrown ingredients.

Local is always on the menu at Kowalskis, for instance. “Local is big,” says Winterle. “We use a lot of local produce in the deli.” And when they do, they're sure to let customers know. “We use local shelf talkers that say 'We support local growers and companies' in our deli case,” she notes.

Local Trends, Regional Differences

From ceviche to kalbi glazed salmon, flavorful ethnic cuisine is calling out to supermarket deli shoppers around the country. “The immigration of Hispanics and Asians is a powerful influence today on deli departments' prepared foods and merchandising practices,” reports the IDDBA in its 2011 “What's in Store” report. But it also notes that while “ethnic food is growing in popularity, it's important to keep in mind that many deli shoppers are seeking out food they're already familiar with."

At Kowalski's, knowing the demographics, trends and tastes for each of its nine stores helps determine what and how the deli fare is merchandised. The retailer offers some 30 deli salads at its largest locations, and 20 selections at its other stores. “All of our stores are unique in terms of customer base, and each deli has its own identity,” explains Winterle.

Convenience and Service

Sizing up the shoppers in your store and making their deli visits as convenient as possible are critical to spurring sales in this department. One example of this, notes Hiebert of the IDDBA: “To make their prepared foods more attractive, some store chains are offering single-serve meals priced by the meal rather than by the pound.

"Convenience is always a top concern for consumers,” Hiebert continues. “Each chain needs to decide for itself how to divide its real estate between service and self-service.” He points to the IDDBA's “Consumers in the Deli” study, which found that preference for full service vs. self-service is nearly neck and neck among deli shoppers. Ninety-four percent of consumers purchase items at supermarket service deli departments, while 89 percent purchase items at supermarket self-service departments.

"From that, it seems that most stores would do well to offer both service and self-service items,” says Hiebert. “It makes sense for deli departments to repackage their service items in grab-and-go packaging. But they need to be careful to make sure that customers perceive grab-and-go items as fresh and not 'left over.'"

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