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Grocery Store Retailing in the United States 2011
Mintel, Jan 2011, Pages: 114
The grocery industry generates billions of dollars in revenue for manufacturers and retailers every year. With so much at stake, it is easy to see why there is such a competitive market for everyone involved. While some people consider the grocery market to be recession-proof, that concept is somewhat misleading. It is true that people will always have to eat, but that does not mean they have to buy food from the same retailers that they always have in the past. Although supermarkets still account for the overwhelming majority of grocery sales, they have been losing out to other store formats, particularly mass merchandisers. This pattern started prior to the recession and has only been magnified by consumers’ focus on stretching the family budget as far as possible. In fact, the tough economy has made it possible for “dollar stores” to become more of a factor in the grocery industry.
This report takes an in-depth look at what has been driving grocery store retailing in 2010, and provides insights on the following topics that give an indication of what the grocery marketplace of the near future may look like:
- In light of the continuing recession, how have consumers further changed their shopping habits with regard to what products they buy and where they buy them?
- How are manufacturers and retailers adapting to Americans’ interest in eating better, and what opportunities is it creating for future growth?
- What type of impact has the recession had on the various store formats, and which ones are more likely to emerge stronger once the economy recovers?
- As food recalls and processing methods have been receiving extensive media coverage, what can the grocery industry do to maintain consumers’ confidence in its operating methods?
- What role does household income, gender, race/ethnicity and other demographic factors play in buying behavior in grocery outlets?
- Which retailers have been the most aggressive in terms of private label/store brand innovations, and are they in sync with what consumers are looking for?
- In terms of the supermarket channel, what keeps some shoppers coming back, and more importantly, what is driving them away?
- What types of advertising/marketing strategies are the grocery industry embracing to maximize revenues and appeal to consumer trends, while also effectively managing competitive threats?
- What are retailers doing to address “food deserts” that leave city dwellers underserved in terms of the availability of fresh food and produce?
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