Category Archives: Groceries

For Brands And Retailers, The Past Is Not The Future

From Forbes.com on March 20, 2017…

The retail grocery industry appears to be in a state of change. Consumer data trend insights show that for grocery retailing, the past is not the future.

  • On February 8th, Aldi announced that during 2017, it will invest $3 billion for 600 additional new stores, and spend $1.8 billion to remodel and remerchandise the existing store base.
  • Whole Foods announced on March 10th that sales for the 6th straight quarter declined in comparable stores while lowering its guidance for fiscal 2017…close 9 stores and curtail new store development.
  • On March 2nd, Kroger announced that its 14-year streak of ¼ identical store sales growth had ended and that management foresees minimal sales and earnings growth for the remainder of 2017.

I asked long time industry veteran and consultant Ron Lunde to analyze and comment on Prosper Insights and Analytics data in light of the changing retail environment.

Click here to read the interview.

Amazon Prime Risk: Prosper Releases Guide to Understanding Amazon Prime Members

Worthington, OH – 3/1/2017

Prosper Insights & Analytics™, a leading provider of business intelligence solutions, has released a new report available for purchase titled, “Prime Risk: A Retailer’s Guide to Understanding Amazon Prime Members.”

Over the past several years, as Amazon.com has grown its market share, loyal customer base, and product lineup, it seems that many competing retailers and brands underestimated – or were in complete denial of – Amazon’s impact on the retail industry and shifting shopping habits as consumers increasingly became comfortable purchasing online. Amazon is no longer an abstract digital pest for retailers – it’s a full-blown disruption to the industry as a whole. Shoppers, who are increasingly becoming Prime converts, LOVE the change, which in turn threatens the livelihood of every other retailer in the industry. As they gravitate toward Amazon in search of products, information, and other digital services, traditional retailers are left to compete for shrinking share of consumers’ wallets.

For retailers no longer in denial about the effect Amazon has had on both shoppers and the retail industry, this report is to serve as a guide to understanding Amazon Prime from the point of view of consumers, identifying which retailer shopper groups and formats are most at risk for losing customers to the Amazon vortex.  Continue reading

How Digital and New Competitors are Impacting Grocery

Guest post by Ron Lunde, Senior Marketing, Advertising Executive & Market Strategy Consultant

Choices = Disruption
What must companies do today to generate billions of dollars in revenue, create thousands of jobs, reward investors and sustain the environment —Survive? They have to think about it. They have to make new choices. They have to think outside the box, they have to think in new boxes. They must reframe both their personal and corporate mental & business models. They have to be able to Innovate and Re-Innovate.

  • Cell phones weren’t introduced by AT& T
  • Online mapping was not introduced by Rand McNally
  • Overnight package delivery wasn’t introduced by the U.S. Postal Service
  • Diet and caffeine-free soft drinks weren’t introduced by Coke

There is a significant lost opportunity and cost inflicted on companies if their management teams are mired in the status quo, teams that don’t or can’t tackle the hard work of Innovation and Re-Innovation.  Continue reading