By Rick Stein, Vice President of Fresh Foods, FMI
The food industry benefits when top leaders drive inspiration and alignment.
That is why each of the three education tracks at the recent FMI FreshForward conference in San Diego was introduced by a top food retail leader. The tracks focused on emerging consumer trends; tech and AI; and sustainability and packaging. The three leaders who made introductions oversee Giant Eagle, Wakefern Food Corp., and Northgate Gonzalez Market.
Let me outline how these leaders’ remarks provided guidance and inspiration for the industry.
Emerging Consumer Trends Hold Promise
Bill Artman, CEO, Giant Eagle, urged the fresh industry to stay on top of shifting consumer trends. He introduced the FreshForward panel that spotlighted trends including convenience; omnichannel; price and value; health and well-being; and multicultural.
“Commit to capitalizing on emerging trends,” Artman emphasized.
He said one example of capitalizing on trends is to “commit to value-added fresh offerings” that support shopper desires for freshness, foodservice and convenience. The fresh segment is well positioned to respond to changing shopper needs, he added.
“Trust in the importance that fresh food offerings have with consumers. It’s a primary differentiator against many competitors.”
Tech and AI Present Key Opportunities
Industry leaders need to embrace technology and AI to drive progress on the business and consumer-facing sides of fresh foods, said Mike Stigers, president, Wakefern Food Corp.
“The future of fresh will be enhanced by technology,” Stigers emphasized.
He outlined a few ways that emerging technology is helping Wakefern make progress, including the following:
- Software tools are helping to monitor perishables supplier performance.
- Other tools are enhancing the retailer’s forecasting and replenishment practices.
- A pilot project at the retailer’s headquarters taps into advanced technology to test creative checkout solutions.
- The retailer’s customer contact team uses AI to reduce time spent on administrative tasks to devote more time to customer engagement.
- AI solutions combat shrink and theft.
“We’re just beginning to understand AI’s impact on fresh and the overall store,” he said. “An exciting opportunity awaits us.”
Sustainability and Packaging Drive Strategies
Oscar Gonzalez, co-president of Northgate Gonzalez Market, relayed his company’s sustainability strategies while also sharing the unique back story of the retailer.
Oscar is the youngest of 13 children whose father came to the U.S. from Mexico and eventually was able to bring his family along. In 1980 his father opened a small grocery store in Anaheim, Calif. That business would eventually grow into today’s 44-store Northgate operation focused on authentic Mexican food experiences. The Gonzalez family still leads the business, and Gonzalez said he is “excited about the next generation of leaders in the company.”
Gonzalez introduced FreshForward’s sustainability panel, and I’m excited he did so in a presentation that included mention of the next generation.
“Our commitment to sustainability is reflected in our efforts to reduce our carbon footprint and to protect our planet through responsible product sourcing, minimizing packaging and supporting sustainable agriculture,” he said.
He said the company is pursuing sustainability strategies that involve aspects of the business ranging from transportation to refrigeration.
Taking Action to Advance the Fresh Industry
The key points from speakers were examined in breakout groups of attendees. These groups, a signature component of FreshForward, identify action steps to help the industry drive success. The most important steps identified will be presented in an upcoming ‘Action Guide’ made available to attendees — and later to the wider industry.
I’m so pleased that FreshForward — held in collaboration with Deloitte — continues to grow its reputation each year for energizing the industry around key opportunities. The guidance and inspiration from top leaders is essential to this success.