Post on 03-Feb-2022
11/23/2009
1
Retail Meat Marketing
• Is there a system to the madness?
• How is the grocery store set up?
• In the past
– Stores were set up to attract a certain clientele
– No attention to flow or customer traffic
Retail Meat Marketing
• Now– More focus on consumer traffic patterns
– More focus on perishable departments• Food Court set ups
– Are you price driven or quality driven
– Specialty Stores• Whole Foods
• Mexican Grocery Stores
Check-out Stands
Produce
Deli / B
akery
Meat Department / Lunchmeat / Frozen MeatMilk
Dairy Products
Bread / Soda
Frozen Foods
Entrance
Chips / Snacks
Controlling Customer Traffic
Food Court Set upEntrance
Produce
Deli
Dairy / C
heese
Bakery
Meat DepartmentMilk / Frozen Foods / Dairy Products
Soda
Chips / Snack
Why the Focus on Perishable Departments?
Wal-Mart Kroger
What’s the Difference
11/23/2009
2
The Super Store
• Individual stores
– Bakery, Produce Stand, & Butcher
• Supermarket
• The Super Store
– One Stop Shopping
– Wal-Mart Supercenter, Meijer, Super Target, Big K (K-Mart)
Focus on the Meat Department
• Should have specific set up
• Ground Beef and Chicken toward end of the traffic flow
• Will re-arrange meat case to focus on seasonality – Focus on middle meats in the summer
– Focus on roasts in the winter
Evolution of the Meat Department
• Butcher Shop
• Supermarket
• Personal, one on one service
• Combination meats and deli
• Self service case
• Fresh meat
• Carcasses to boxed meat
• Now totally changed
The New Meat Department
• What’s for dinner
• 4:30 meal problem– >70% of Americans do not know what they are having for dinner at 4:30 pm
• Products needed to solve this problem
• Homemakers have 15 minutes to prepare dinner
11/23/2009
3
Solving the 4:30 Meal Problem
• Convenience
– User friendly
– Heat ‘n Eat
– Ready to Eat
– Pre-flavored
– Pre-marinated
Other Trends/ Niche Markets
• Organic
• Natural
• Grass/ Forage Fed
• Free Range
• Free Roaming
• Animal Compassionate
• Locally Owned/ Raised
• No added nitrites
Organic Meats
• 17 to 20% growth annually
• Projected to $8 Billion in 2010
• Requirements• Fed 100% Organic feed and Pasture
• No synthetic pesticides or fertilizers
• No GMO’s• No sewage sludge as fertilizer
• No irradiation of final product
Natural Meats• USDA states Natural is “do not contain any artificial ingredients or are minimally processed, such as those that are smoked, roasted, frozen, or ground”
• No antibiotics, or growth promotants are in the new volunteer definition
Grass/ Forage Fed
• More Popular
• Lower levels of Saturated fat
• Higher Omega-3 Fatty Acids
• 90% of the animals energy must come from forage
+/- of Organic, Natural, & Grass Fed
Positives
• Fills a niche market
• There is a market
• Demands higher retail price
• Positive image of animal agriculture
• Matters to some people!!!
Negatives
• Higher over head
• Slow animal growth
• Nutritional values?
• Flavor
• Food Safety
• Market difficult to find and identify
11/23/2009
4
No Added Nitrites
• Covered this in processed meats section
• Carcinogen (MIT Study)
• 40#/ d for 40 years to develop cancer
• Add sea salt, vegetable purees which contain natural nitrites
Another Trend in Grocery Stores
• Whole Foods
• Farmers Markets
Top Retailers in 2008
1.) Wal-Mart = $378,799,000,0002.) Home Depot = $77,348,000,0003.) CVS Caremark = $76,329,500,0004.) Kroger = $70,235,000,0005.) Costco = 64,400,155,0006.) Target = $63,367,000,0007.) Walgreen = $53,762,000,0008.) Sears = $50,703,000,0009.) Lowe’s = 48,283,000,00010.) Supervalu = $44,048,000,000
Top Grocery Stores
1.) Wal-mart2.) Kroger3.) Costco4.) Target5.) Supervalu6.) Safeway7.) Publix8.) Meijer9.) Winn-Dixie10.) Whole Foods
Lab this afternoon; Get out!