Specialty Food Magazine

Family-owned and -operated Stew Leonard's, a seven-store retailer with locations in New York, New Jersey, and Connecticut, begins planning for the end of year holidays months in advance. As early as February, its meat buyers order turkeys and in June it plans out its catering menus and meets with Christmas tree growers, says Jake Tavello, Stew Leonard's vice president of stores, and grandson of store founder Stew Leonard Sr. "It appears that our shoppers are getting together more frequently and doing it in bigger groups," he says. "Many customers also enjoyed learning how to cook at home during the pandemic, and we are seeing more customers buying private label to save money." Stew's Sweet Potato Tortilla Style Chips, Everything Bagel Kettle Potato Chips, and French Onion Dip Mix and Ranch Seasoning Blend are among the retailer's new store brand offerings. Tavello says that frozen appetizers, including Stew's private-label pigs in a blanket and bacon-wrapped scallops are great sellers around the holidays. Frozen Appetizers Frozen appetizers and snacks sales have been on the rise for the past few years, show the findings of SFA's The State of the Specialty Food Industry report, 2022-2023 Edition, with dollar sales up a whopping 47.3 percent from 2019 to 2021. Frozen appetizers and snacks are also among the top 10 specialty food and beverage categories when considering unit and dollar growth gaps. Last year, unit sales rose 5.3 percent and dollar sales were up 12 percent. While the gap is indicative of higher retail prices in frozen appetizers and snacks, more holiday shoppers may opt for frozen and canned options since they're less expensive than their fresh counterparts, says UNFI's Taylor. "We expect to see consumers making budget-savvy decisions to save money at the supermarket. For example, consumers may choose frozen or canned produce over fresh for some holiday dishes," she says. Faced with higher prices, shoppers may also pinch pennies in certain areas in order to afford indulgences in specialty food and beverage categories, says IRI's Driggs. Mirroring behavior from the recession of 2008-2009, shoppers are trading down on certain items in order to trade up on small luxuries. One category that she says is benefitting is premium and super-premium imported beer. Red Table Management's Chingonas Salsa Macha Supply Chain Surprises As retailers plan for what most expect to be their busiest shopping period in years, supply chain issues are of concern, buyers told Specialty Food. Carrie Walters, culinary director at Dorothy Lane Market, says that a lot of packaging supplies and some food items have been hard to get. "Some substitution has been working for us, otherwise we switch gears and work with what we have," she says. "More people will be opening up their homes and having larger get- togethers this year. We're planning for it and hope to find the packaging to provide it." Leadership at The Fresh Market is likewise keeping an eye on market conditions, but product quality remains paramount, notes Diane Cleven, the retailer's vice president of deli, CMS, sushi and bakery. "We will not sacrifice the quality of our products by trading down," she says. Since it doesn't use a third-party distributor, Stew Leonard's, based in Norwalk, Connecticut, is somewhat insulated from supply chain pressures to which others are subject, says Jake Tavello, vice president of stores. "Since we go direct, we don't run into as many supply chain hurdles," he says. "We brought in shelf-stable items early. Our buyers have longstanding relationships with our farmers, fishermen, and ranchers. Despite where the market might be, our vendor relationships have kept Stew Leonard's shelves full and our prices low."—J.G. 26 SPECIALTY FOOD SPECIALTYFOOD.COM CATEGORY SPOTLIGHT

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