Season Of Plenty

1/2/2011

Imaginative promotions, as well as a mix of the novel and the familiar, can help keep produce sales hot through the winter.

The weather outside may be frightful, but now is the time for produce managers to show off how delightful their winter selection is through engaging promotions and unique offerings. Vibrant produce departments can chase away the seasonal blahs by reminding shoppers of the importance of incorporating some color (five to nine servings' worth) into their daily diets. See the sidebar to find out what Progressive Grocer's readers are doing to ward off the winter chill by generating interest in fresh fruits and vegetables.

“We have the typical weekly promotions in our department,” says Rudy Dory, owner of the forward-looking Newport Ave. Market IGA Plus store in Bend, Ore., and a proud 35-year veteran of the grocery industry, in answer to what he does to push winter produce. “We strive to change up the department, because change, for some reason, equates to freshness in the consumer's eye. We try to make sure that we listen to the wants and needs of our customers, because it seems we get more kudos for quality of product, rather than its price.” And though buying local “is the rage,” affirms Dory, “it is more difficult for us, as we do not live in a great [fruit- and vegetable-] growing area. We do support local efforts where we can, like hothouse tomatoes, herbs and a few other items. We are located right in the middle of the state, so local to us encompasses the whole state, along with southern Washington state. We look continually for suppliers to grow this portion of the business.”

Since certain items have long been available during this time period, giving customers what they expect is always a wise policy. “Traditionally, at the peak of winter, shoppers are buying new-crop citrus, which includes grapefruit, navel oranges, satsumas and tangerines,” notes Dory. “Market pears are also popular, not only for cooking and snacking, but also to pair with cheese and wine. New-crop apples are a high-volume item, too. It also appears that more cooking at home inside vs. barbecuing, and the use of herbs, fingerling potatoes, etc., which are great for roasts, soups or stews” are major contributors to winter produce sales.

But some supermarkets are also offering new and unexpected selections to heat up the colder months, in the form of specialty produce. For instance, St. Louis-based Schnuck Markets Inc., which operates more than 100 stores in seven states, presents classes detailing the uses of such items under the year-round “Frieda's Produce University” program, which since 1989 has helped educate consumers through in-depth product information, preparation ideas, and samples of the latest specialty fruits and vegetables available in grocers' produce departments.

In a recent seasonal example of the ongoing Schnucks-Frieda's partnership, “Schnucks Cooks” demonstration counters in 40 of the company's stores last November served up “Potato Pearls,” a recipe showcasing Frieda's Organic Klamath Pearl Potatoes, a specialty Irish potato variety grown exclusively in the Klamath Basin region on the California-Oregon border, featuring moist white flesh and ultra-thin skin, and available from October through March. Shoppers could watch Schnucks Cooks chefs prepare the recipe, and then sample the finished creation, which also contained shallots and Frieda's Elephant Garlic.

The eight-hour Produce University session held that same month at all Schnucks and Logli locations in Missouri, Illinois, Indiana, Wisconsin, Iowa, Tennessee and Mississippi starred the Klamath Pearls as well as Frieda's Pearl and Boiler Onions, Shallots and Black Garlic. The open houses enable curious customers to see, touch, taste and ask questions about the featured produce items. Informational recipe brochures were avai able both at the Schnucks Cooks counters and in the stores' produce departments.

“As more people cook at home, shoppers are seeking exciting new ingredients to spice up meals,” says Karen Caplan, president and CEO of LosAlamitos, Calif.-based Frieda's.“Produce University provides the information shoppers need to boldly go into their produce aisles and taste something new.”

Additionally, Frieda's introduced a new 1.5-pound bag for the Klamath Pearls at the Produce Marketing Association (PMA) Fresh Summit 2010 in October. The specialty potatoes now come in a Fox Combo Shield Bag, which protects the product by blocking harmful light. Additional bag features include a mesh back for breathability, and a horizontal layout, which makes the product easier to stack for retail displays.The pack size was reduced from 2 pounds to 1.5 pounds for an attractive retail price point.

Winter Produce Buying Patterns

At the Newport Ave. Market, which opened in 1991, Dory has over the past few years observed a slight downward trend relating to the amount of produce purchased in winter. “It appears to us that customers are buying a little less each shopping trip,” he says. “We feel that they want to keep their produce as fresh as possible, and we think they do not want to waste anything, which is a result of this strange economy that we are experiencing. We feel that bag salads have slowed down and head lettuce sales have picked up. We are not sure if this is due to a perceived value of head lettuce or a freshness issue.”

Despite the fragile economy, with its corollary effect on consumers' pocketbooks, some winter produce items continue to be popular with less price-sensitive shoppers, according to Dory,who singles out organics. “We have noticed an increase in our fruit, but not as much as vegetables,” he observes. “This may be due to availability issues or seasonality reasons. [Shoppers] are willing to pay a little more [for organics,] but not a lot more. The spread has dropped on just how much of a difference they are willing to pay. Again, we think this is economic-driven. We are starting to have a lot more questions about country of origin regarding organic produce. We feel that some consumers may be voting with their wallets, so to speak, as to a country's politics.”

Supplying Demand

But what's new from produce suppliers this winter? Plenty, as it turns out, as evidenced by the bounty of new products and promotions being advanced by many vendors.

Salinas, Calif.-based Tanimura & Antle (T&A) has seen great success from its Artisan Lettuce “Season's Bringing” campaign, with some retailers reporting same-store sales nearly four times their normal levels. For the promotion, which ran through Dec. 31,T&A offered a seasonal package design with an on-pack consumer sweepstakes, promotional pricing, direct mail to produce buyers, and social media engagement. As a result of the sweepstakes, the Artisan Lettuce Facebook fan base jumped almost 25 percent in a four-week period, and fans used the medium to enthuse about the product.

“It's incredible and very gratifying to see the rapid increase in consumer response to a product we truly believe is a superior alternative to bagged salads and other processed varieties,” says Diana McClean, the grower's director of marketing. “Social media has been key to garnering valuable consumer feedback and giving them ongoing information, tips and recipes. It's also great data to share with retailers.”

Over in the citrus section, Cuties California Mandarins and Clementines is gearing up for the brand's first television advertising campaign, slated to debut in February and starring Cuties “spokes-squeeze” Li'l Zipper. Augmenting the brand's other ongoing successful programs, which include print advertising, sponsorships of youth soccer and NASTAR (the largest recreational ski and snowboard race program in the world), digital and social media outreach, and the input of celebrity chef Kathy Casey, the TV spots will focus on winning over moms with young children.

Aimed at boosting brand awareness and promoting product consumption, the television commercials will run through April in the Chicago, Atlanta and Phoenix markets. Cuties held focus groups with both mothers and kids to gain insights that shaped the creative development of the $2 million campaign. Ads will air during early-morning newscasts and in primetime as well as during talk shows featuring women's issues and on food-oriented cable channels.

“Cuties continues to expand into new markets and further develop current markets as both our supply and consumer demand increase,” notes Ashley Martorana, director of marketing for Los Angeles-based Paramount Citrus, which, in response to the dramatic growth of Clementine and Mandarin production in the Golden State, will open a new production plant in Delano, Calif., in 2012. “Focusing on three markets will allow a deeper penetration in each city as well as an excellent chance to test our messaging. We plan to expand to other markets with this campaign in the next year and nationally shortly thereafter.”

The brand also plans to roll out its first outdoor billboards, which will appear in high-traffic “family routes” throughout the three initial markets. Campaign creative will also be featured in print and online formats in major parenting magazines and on family websites.

Kids are also important to Grapple, the grape-flavor-infused apple whose 2010 crop is available from October through May, depending on the harvesting season. While supplies last, the brand is encouraging kids to get out and play more soccer through the offer of free first-edition regulation-size soccer balls to young enthusiasts across the United States, in exchange for two Grapple UPC labels.The details and official order form are available at www. grapplefruits.com/playhealthy.html.

“We love the idea of kids eating healthy and staying active,” says Todd Snyder, co-developer of Wenatchee, Wash.-based Grapple, which is sold in a 4-pack clamshell retailing for a suggested $3.49 to $5.99. “We hope through our soccer ball promotion that we can encourage kids to see how much fun and simple it is to put healthy choices into their lifestyle.”

“To generate consumer interest and excitement in avocados from Chile, grocery chains love to build elaborate, football-related displays in their stores.”

—Maggie Bezart, CAIA

In the realm of football marketing, the Chilean Avocado Importers Association (CAIA) once more teamed with college football's top Bowl Game destination, the Tostitos Fiesta Bowl, which took place Jan. 1, 2011, in Glendale, Ariz. The Washington-based association additionally sponsored the Insight Bowl in December and college football's biggest game, the 2011 Tostitos BCS National Championship game, on Jan. 10. These sponsorships brought Chilean Hass avocados, which are available throughout the fall and winter, when California avocados are out of season, to the attention of hundreds of thousands of college football fans, one of whom had the chance to score an all-expenses-paid trip for two to the BCS Championship game, courtesy of the Chilean Avocado Lovers Club.

Running through Feb. 15,2011, the campaign offers a social networking presence on a micro website, Facebook and Twitter, as well as 14 $500 supermarket gift card second prizes. The winners are chosen by random drawing.

In the produce departments of participating supermarket chains, CAIA is telling shoppers about the Chilean Avocado Lovers Club and the random drawing via in-store display units featuring ripening bags for home use and a colorful sweepstakes entry pad.

As well as stadium public address announcements and full-page game program ads, the association threw College Football's Biggest Party (CFBP) and Fiesta Bowl Stadium Club tailgate pre-game extravaganzas before each major bowl game.The sponsorship deal included a tented booth for each game at CFBP and the Stadium Club to enable direct interaction with fans, who could pose for a photo with CAIA's Avocado Man mascot; the chance for fans to enter a special Chilean Avocado Lovers Club drawing for $500 in free groceries, and the opportunity for visitors to take some of the promotional items on display. As the presenting sponsor of the Stadium Club Pre-game before both bowl games, Chilean Hass avocados featured in several of each tailgate party's menu items.

“[S]ports represents one of our major strategic initiatives in marketing Hass avocados from Chile to consumers,” says CAIA marketing director Maggie Bezart. “As part of our partner retailers' efforts to generate consumer interest and excitement in avocados from Chile, grocery chains love to build elaborate, football-related displays in their stores. Between reaching consumers in-store and sampling our avocados before the Tostitos BCS National Championship and Tostitos Fiesta Bowl games in our exclusively sponsored areas, we believe we are creating a lot of excitement and impact on sales — it's a win-win for everyone involved.”

“We believe our games can deliver a huge audience of college football fans hungry for a victory and Chilean Hass Avocados,” adds Jay Fields, SVP of marketing for the Tostitos Fiesta Bowl.

“To generate consumer interest and excitement in avocados from Chile, grocery chains love to build elaborate, football-related displays in their stores.”

Meanwhile the Hass Avocado Board (HAB) and the California Avocado Commission (CAC) are working together to urge health and nutrition professionals to convey the nutrition benefits of avocados to their clients. In support of this initiative, the two entities shared a booth featuring plenty of helpful information at the American Dietetic Association Food & Nutrition Conference & Expo (ADA FNCE) held last November.

“Registered dietitians (RDs) are important influencers who interact with consumers about nutrition,” says Jan DeLyser, VP of marketing for the Irvine, Calif.-based CAC. “While many RDs already include avocados in their diet recommendations, it is important to provide them with the research findings and information about avocado nutrition. ADA FNCE provides an outstanding vehicle to interact with this audience.”

During the event, CAC distributed a series of nutrition-focused collateral pieces for use by dietitians in their practices — “Heart Health,” “Meals and Snacks,” and “Weight Management” — providing nutrition information related to each theme, images of California avocados, avocado nutrition information and recipes. These collateral pieces are now available at www.avocado.org/healthcare-professionals/.

Capitalizing on consumers' common New Year's resolution to diet and eat more healthfully — particularly after an overindulgent holiday season for many — Mann Packing Co. is collaborating with Uncle Ben's Rice to promote more nutritious meal solutions. The national promotion, which hit stores at the beginning of January, consists of $1 off select Uncle Ben's rice products with the purchase of one package of Mann's Broccoli Wokly, Broccoli Cauliflower, Gourmet Snow Peas and Sugar Snap Peas bearing an on-pack coupon.

According to Lorri Koster, VP of marketing at Salinas, Calif.-based Mann, “Uncle Ben's has great brand recognition, and it makes sense to partner with products that complement our vegetables and are a part of a healthy meal.” A division of McLean, Va.-based Mars Inc., Uncle Ben's is the No. 1 rice brand in the United States.

Banishing the Winter Blues

Progressive Grocer asked retailers via online poll how they're brightening sales prospects in the produce department during the cold months.

Hot pricing was the top choice among respondents, garnering 35.14 percent of the vote, while 27.93 percent of grocers polled were boosting such point-of-sales efforts as crossmerchandising, recipes and display contests.

Next came the dissemination of promotions tied to health and wellness, chosen by 11.71 percent, and increasing specialty varieties, picked by 9.01 percent. Tied for last place were emphazing value-added convenience items and emphaszing value-oriented bulk produce, at 8.11 percent each.

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