In the News

Supermarkets Give Meal Kits Staying Power

Source: Hillphoenix, part of Dover Food Retail 

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With $2B in annual sales, meal kits have made a splash in the food retail industry.  Subscription services are already challenged with retention because customers are selective. They want convenience without sacrificing nutrition, cost, flavor, or variety, and those are tall orders for the subscription business model. Supermarkets, on the other hand, can give meal kits true staying power simply because of easy access to resources.  Furthermore, you can leverage meal kits  to open the gateway to more cooking by your shoppers. 

One of your supermarket’s biggest advantages in the meal kit world is access to a variety of easily-pooled resources. Chefs who are already creating menus for other ventures in your store can easily design tasty offerings with proper sides and correct portions. Fresh meat and produce are delivered to your stores regularly. It makes sense to capitalize on what’s already coming through your stockrooms and onto displays. If you presently offer cut produce, the next step of adding to a kit is a simple one. 

A supermarket’s role is to make it easy for your shoppers to get the food they need to cook a meal for themselves and their families. Meal kits address both of those needs.  Fresh flavors, easy pairings, and new ideas may inspire them to get more comfortable  in the kitchen, whether they are cooking with your kits or venturing into other areas of your store.  Make it easy for them to buy from you.  Cross-merchandise around your meal kits and utilize your perishables, showcase your sauces, and/or feature your desserts.  Open the gateway for your customers to cook more, and, in turn, they will open their wallets to spend more.

While it may be tempting to offer exciting new dishes with exotic flares, it’s important to start with the basics to win shopper trust and loyalty.  Launch your meal kit program with approachable entrees and slowly add variety to keep interest high.  Become the reliable source for new options your shoppers can get excited about cooking at home.