Deli Consumer (The) - US - December 2011
In recent years, delicatessen operators have diversified product selection, expanding far beyond lunch meat and cheeses, to include prepared meal solutions, in-store sandwich shops, beverage centers and other specialties. Consequently, a well-managed in-store delicatessen (ISD) can play an integral role in separating a retailer from the competition and making it a destination choice for all shopping needs. ISD operators can benefit in much the same way, with the deli’s influence expanding throughout the store, yielding increased foot traffic and complementary purchases in other aisles (e.g., bread, snacks, beverages, condiments).
From a financial perspective, deli operations provide attractive margins, but face many challenges, including a continued sluggish economy, lack of consistent and continual deli foot traffic and purchases, and channel competition from supermarkets and non-supermarket retailers. With this in mind, Mintel has developed its first-ever report focused on the deli consumer, providing insights on the following topics:
- The deli industry’s response to channel competition, in terms of product development and marketing, to let consumers know that it is meeting their growing interest in eating better
- The impact of key market drivers and what steps deli operators are taking to maximize sales opportunities and discover new potential avenues for growth
- An analysis of how consumer perception of fresh versus pre-packaged deli products influences the industry overall and in particular the competitive environment
- The role of household income, gender, race/Hispanic origin, and other demographic factors in driving deli sales and shaping the overall market
- How the supermarket channel has an opportunity to win back lost market share (to mass merchandisers and other channels) with ISDs
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