Study reveals that produce needs a fresh look

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Study reveals that produce needs a fresh look

03/08/2019
Produce is a big, profitable focus for food retailers, but cautions that the produce purchase is losing momentum to other channels, and younger shoppers are catalysts for this shift.

A new study shows that produce in retail needs a fresh look in order to catch the eyes of younger shoppers, who are increasingly looking to other channels for their fresh fruit and veggie purchases.

According to the Food Marketing Institute’s (FMI) just released “The Power of Produce 2019” report, produce is a big, profitable focus for food retailers, but cautions that the produce purchase is losing momentum to other channels, and younger shoppers are catalysts for this shift.

FMI Vice President of Fresh Foods Rick Stein said: “The new study aims to reinvigorate the produce category and serve as a reminder to grocery retailers that they can’t get too comfortable as the leader in sales. Specifically, the study suggests a need for a renewed focus on strategies for continued growth, including organic, locally grown produce, value-added produce for time-starved customers, produce-based beverages and private-branded produce.”

Fifty-five percent of grocery trips contain fresh produce, and half of all shoppers identified a full-service supermarket as their primary outlet when buying fresh produce. While traditional grocery maintains a dominant lead in sales, a younger generation shows a greater propensity for supercenters and alternative channels, including online, dollar stores, convenience stores and farmers’ markets. In fact, only 34 percent of older millennials identified a supermarket as their primary grocery store for produce.

To read the study, click here.

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