Heritage Grocers Adds Predictive Analytics to Fresh Prepared Food Strategy
Hispanic and ethnic food retailer Heritage Grocers Group (HGG) has revealed a strategic transformation in how it plans and produces fresh prepared foods. By transitioning from experience-based methods to a data-driven production-planning system, the grocer aims to improve product availability, optimize labor and better serve its customers.
“Leveraging predictive analytics, this system will enhance market demand fulfillment and boost sales through optimized product availability and superior customer experience,” said Prabash Coswatte, COO of HGG.
The decision to change up its production strategy is backed by the insight that multicultural families are behind America’s fresh prepared food revolution. According to the International Dairy Deli Bakery Association (IDDBA), 76% of Hispanic, 70% of Asian American and 69% of African American shoppers buy prepared foods at grocery stores, versus just 59% of white/Caucasian shoppers. This trend is driven by a desire for quick, high-quality meals that reflect cultural traditions and suit the needs of larger families. Multicultural consumers are also fueling the mainstream adoption of global flavors, according to Nielsen.
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“Fresh prepared isn’t just about convenience anymore — it’s about cultural connection,” added Coswatte. “From carnitas and caldo to pan dulce and pozole, our customers are asking for ready-made meals that feel like home. This new system ensures we meet that demand, store by store, hour by hour.”
“We believe the future of retail excellence lies in the power of AI and a single, unified operations platform,” noted Mike Sanders, CEO of Austin, Texas-based Upshop, a provider of AI-powered retail operations software and the technology partner behind HGG’s transformation. “By streamlining forecasting, labor, and production into one intelligent system, we’re helping retailers like Heritage Grocers Group move from good to great — maximizing efficiency, minimizing waste and, most importantly, delivering a better experience for every shopper, every day.”
According to Upshop, the new system delivers the following:
- Higher Sales: By improving freshness and minimizing stockouts, HGG ensures that customers can find what they need — when they need it.
- Smarter Demand and Team Planning: Forecasting tools align staffing with actual demand, particularly in the service meat and deli departments.
- Efficiency Gains: Batch processing for cutting and wrapping reduces prep time and enables employees to focus on customer-facing roles.
- Improved Service: Shorter wait times and more consistent product availability enhance the in-store experience.
- Workforce Optimization: Scheduling is customized to each store’s unique production rhythm, improving labor management and employee satisfaction.
Ontario, Calif-based HGG operates in six states – California, Texas, Nevada, Arizona, Kansas and Illinois – with a total of 58 stores under the Cardenas Markets banner, 29 stores under the El Rancho Supermercado banner, 21 stores under the Tony’s Fresh Market banner, and seven stores under the Los Altos Ranch Market banner. The company is No. 70 on The PG 100, Progressive Grocer’s 2025 list of the top food and consumables retailers in North America.
