Specialty Food Magazine

FALL 2016

Specialty Food Magazine is the leading publication for retailers, manufacturers and foodservice professionals in the specialty food trade. It provides news, trends and business-building insights that help readers keep their businesses competitive.

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Coffee, coffee substitutes, and cocoa Tea (packaged) Chocolate Oils and vinegars Pasta and pizza sauces Cookies, brownies, cakes, and pies Nuts, seeds, and dried fruit and vegetables Pasta Seasonings, spices, and spice rubs Snack bars and energy bars WHERE DO SPECIALTY FOOD CONSUMERS SHOP? Apps and delivery services for groceries or meal ingredi- ents are going to be more important in the coming years. The core specialty food consumers are already using or seeking these solutions, and they will be the norm among even younger consumers as they reach adulthood. Apps: Usage is up overall to: • purchase groceries • find or use store coupons or manufacturer coupons • check for recipes • scan products in store to compare prices or learn about allergens or nutritional levels Delivery services: More than one-third of respondents are actively looking for an online grocery delivery service. Millennials are the most likely to be seeking these services, followed by Gen Xers. Overall, 15 percent of respondents already use apps from food delivery services like Blue Apron. Online payments: Millennials are frequently using apps like Google Wallet to pay for food or meals at markets or restaurants. Supermarkets, natural food stores, and mass merchants were the top three channels where consumers purchased specialty foods in 2016. But sales dipped slightly or stayed stable in all of those while rising in assorted untraditional channels. Club stores, online shopping, convenience stores, department stores, home stores, and gifts stores all saw an increasing number of shoppers buying specialty foods. DIGITAL AND DELIVERY: KEY OPPORTUNITIES Supermarket Natural food store (e.g., Whole Foods, Trader Joe's) Mass merchandiser (e.g., Walmart, Target) Farmers market Club store (e.g., Costco, Sam's Club, BJ's Wholesale) Specialty food store Online Stand-alone bakery (not in a grocery store) Convenience store Department store Home store (e.g., Bed, Bath & Beyond, Cost Plus) Wine or liquor store Gift store Other None of the above CHANNELS WHERE SPECIALTY FOOD CONSUMERS SHOP 67% 44% 35% 33% 27% 26% 12% 17% 11% 9% 8% 11% 4% 1% 0% 58% 40% 36% 31% 29% 25% 16% 16% 15% 12% 12% 12% 9% 2% 3% 2015 2016 2015 2016 53% 10% 9% 10% 6% 8% 8% 5% 8% 7% 59% 11% 11% 10% 9% 9% 8% 8% 8% 8% SPECIALTY FOOD AND DRINK CATEGORIES PURCHASED ONLINE TODAY'S SPECIALTY FOOD CONSUMER 2016 C7

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