After successful results building both top line revenue and bottom line profits in 2010 at 350 remodeled units by adding groceries to their general merchandise. Target is increasing the number of units it plans to remodel while adding groceries in 2011 too 400.
Walking around the grocery department at any of Targets newly remodeled stores it is clear to see that Target understands; ready-to-eat, ready-to-heat fresh and prepared food is driving top line growth and bottom line profits within the grocerant niche.
The confluence of food retailing and the consumers drive for continued convenience make food a natural fit for Target. Understanding that restaurateurs that leverage their brand at retail are winning as well is an important step too success for Target. In my article “The frozen “Food Court” is the new restaurant real estate play (foodservice.com/blogs/show.cfm?contentid=14231) I explain how everyone including the consumer wins.
The grocerant niche is about mix and match of portion controlled, fresh and prepared food components that are better for you. Meal time is convenient meal participation, with differentiation and individualization for the entire family. Target is positioning itself to be a major player in this niche.
Since 1991 Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche. For product or brand positioning assistance contact Steven A. Johnson and Foodservice Solutions® or visit http://www.linkedin.com/in/grocerant or on Facebook at Steven Johnson, BING / GOOGLE: Steven Johnson Grocerants or twitter.com/grocerant