Madison, WI –Millennials are likely the most frequent customers in the deli, as it appeals to several values the generation tends to share, such as convenience, variety, the ability to experiment with food without needing culinary experience, and quality and freshness of products. This and dozens of other food industry and retail trends within the dairy, deli, cheese, and bakery sectors are examined in What’s in Store 2015, the 29th edition of the annual trends publication of the International Dairy-Deli-Bakery Association™ (IDDBA).
Among the highlights of the Deli chapter:
- People are increasingly cooking at home and looking to improve kitchen skills. The deli can bridge the gap by providing consumers with tools or kits to make cooking at home a bit easier, while still allowing for some skill development.
- Deli operators have the opportunity to connect with shoppers by sharing more information regarding the health attributes and origins of the foods they offer. High quality and unique flavors are in demand for Millennials being exposed to an evolving food culture.
- On-trend are deli products promising innovative flavors reflecting regional, ethnic, and restaurant-inspired cuisine. Department menus need to highlight small plate ideas, add-ons, time-saving options, sides and other tie-ins to home meal solutions, and customizable options.
- Millennials are more likely to use deli departments than their Boomer+ counterparts, as stated in IDDBA’s original research, Engaging the Evolving Shopper: Serving the New American Appetite. Gen Y seeks these values in the deli products they buy—convenience, variety for them and their children, the ability to experiment without needing culinary expertise, and high quality, fresh products.
Additionally, gourmet and premium options are becoming more commonplace in delis as retailers cater to consumers who value taste over price. “Select retailers are making it worth the time and money to splurge in the deli, as consumers are willing to wait and pay to indulge on a variety of meal options from the deli,” Chris Zagorski, analyst, Nielsen Perishables Group, told IDDBA. “It is not unusual to see gourmet options such as prime rib, pork tenderloin, and stuffed salmon taking up space behind the glass.”
Regarding Millennials, IDDBA’s Engaging the Evolving Shopper research suggested that by changing offerings frequently, deli departments can leverage new flavor and ingredient trends, curate new foods with quality distinctions, and become shoppers’ ‘sous chefs’ in order to build trust and long-term relationships.
“Retailers can capitalize on Millennials’ propensity to shop deli departments by keeping current with food trends and delivering an ever-changing assortment of offerings,” said Mary Kay O’Connor, VP Education, IDDBA. “Gen Y shoppers are more likely to use fresh perimeter departments for everyday needs, rather than just for special occasions.
“In part, this is due to the fact that this generation is comfortable with outsourcing their cooking,” she said.
According to O’Connor, Millennials engage with fresh perimeter foods differently than older generations in two ways. Their engagement with fresh perimeter categories is shaped by their orientation to health and wellness and an approach to shopping that is more proximate to eating. They also see higher-quality food experiences as part of an implicit wellness practice that includes food discovery, enjoyment, sociability, and indulgences.
What’s in Store 2015, our 29th edition, is a 224-page trends report that details consumer and industry trends affecting the in-store dairy case, cheese case, bakery, deli, and foodservice departments. Its 200+ tables, developed in cooperation with leading industry firms and associations, include department sales, per capita consumption, consumer preferences, system 2, UPC, and private label sales data. The purchase of What’s in Store 2015 includes access to What’s in Store Online, a collection of downloadable tables from the book, plus white papers and trends articles (many with accompanying downloadable tables) that offer supplementary in-depth trends information. Be sure to save time using our Reference Links—these are web homepage links to all of the businesses referenced in What's in Store 2015. The cost is $99 for IDDBA members and $399 for non-members, plus shipping and handling. For more information and to order, visit iddba.org/wis.
Engaging the Evolving Shopper: Serving the New American Appetite is IDDBA’s latest original research that explores the evolving U.S. shopper of fresh perimeter categories – dairy, deli, bakery, prepared foods, specialty cheese and specialty meats – through the lens of Millennials, modern eating, health and wellness, and digital engagement. This study provides insights and implications around: how Millennials are shaping food trends, particularly in fresh perimeter categories; how new demands of modern life are changing eating culture, enabling meals and snacks to happen anytime and anywhere, shaping how shoppers think about the fresh perimeter; how health and wellness trends have redefined how shoppers see the role of food in their lives; and how technology has become integrated in shoppers' lives as they seek information and inspiration both in-store and digitally for deeper engagement with their foods. The research is free to members and $795 for nonmembers, plus shipping and handling. For more information and to order, visit iddba.org/engagingevolvingshopper.
About IDDBA: IDDBA is a nonprofit membership organization serving the dairy, deli, bakery, cheese, and supermarket foodservice industries. Member companies enjoy many benefits and services including the annual Dairy-Deli Bake Seminar and Expo, leading-edge research, free training programs, management tools, and an annual trends report, What’s in Store 2015. For more information, contact IDDBA at 608.310.5000 or visit our Web site, www.iddba.org.
Source: International Dairy-Deli-Bakery Association™
