Food retailers continue to face challenging economic times as the Great
Recession, albeit now officially over, has changed and accelerated changes in
consumer behavior and the retail marketplace. Shopping patterns have shifted
as consumers have re-evaluated the price-value equation, and the lines
dividing retail channels continue to blur. Growing competition, emerging and
merging retail formats, price wars, the burgeoning strength of private labels,
retailers as arbiters of wellness and nutrition management, SKU
rationalization (or not), and experiments with Internet marketing and digital
technologies are just a few of the trends that promise to reshape food
retailing in the near-term future. More than ever, retailers and marketers of
consumer packaged goods need to keep a close watch on macro and micro trends
alike, and adjust their merchandise assortments, pricing, and marketing
strategies accordingly.
The Future of Food Retailing in the U.S. offers a comprehensive examination of
the overriding trends in the market, highlighting opportunities and strategies
retailers and CPG marketers can use to optimize their businesses during the
coming years. The report provides detailed analysis of trends in the key
retail channels through which foods and beverages are sold, including Grocery
(major and independent supermarkets, natural food stores, ethnic supermarkets,
traditional small grocery stores, and gourmet/specialty stores), Value
(supercenters, mass merchandisers, warehouse clubs, dollar stores, and limited
assortment stores), Convenience (convenience stores), and Alternative
(drugstores, farmers' markets, online grocery services, vending machines, and
other alternative venues). In-store merchandising and food preparation trends,
category sales trends, marketing trends, and media trends including use of new
social media are also covered.
Table of Contents
Chapter 1: Executive Summary
Scope of Report
Report Methodology
A Broad Spectrum of Retail Channels
Total Retail Food and Beverage Sales Almost $560 Billion
Table 1-1: U.S. Retail Sales of Foods and Beverages, 2006-2015 (in
millions of dollars)
C-Stores Outnumber Supermarkets Four to One
Supermarkets Ring Up Over Half of 2010 Food and Beverage Sales
Figure 1-1: Share of Food and Beverage Dollar Sales by Retail Channel,
2010 (percent)
The Top 20 U.S. Food Retailers
Market Outlook
Table 1-2: Top 20 U.S. Retailers by Estimated Food and Beverage Sales,
2010 (in billions of dollars)
Some Stores Walloped; Others Thrive in the New Economy
Conservative Spending Expected to Continue
Consumers Dining Out Less, Cooking More
The Overriding Trend: Value
More Competition
Small Is Big
SKU Rationalization
Increased Private-Label Penetration
In-Store Foodservice
Fresh Formats
Health and Wellness
Sustainability Is Profitability
Marketing and Media Trends
Chapter 2: Introduction
Market Overview
Scope of Report
A Broad Spectrum of Retail Channels
Share-of-Stomach Competition Also Includes Foodservice
Total Retail Food and Beverage Sales Almost $560 Billion
Table 2-1: U.S. Retail Sales of Foods and Beverages, 2006-2015 (in
millions of dollars)
Other Estimates in the Same Ballpark
Figure 2-1: Sales of Food-at-Home and Food-Away-from-Home, 1959-2009 (in
billions of dollars)
Retail Food and Beverage Sales Will Near $700 Billion by 2015
Market Composition
C-Stores Outnumber Supermarkets Four to One
Supermarkets Ring Up Over Half of 2010 Food and Beverage Sales
Figure 2-2: Share of Food and Beverage Dollar Sales by Retail Channel,
2010 (percent)
Table 2-2: Competitive Analysis of Retail Food and Beverage Channels,
2010
The Competitive Landscape
The Top 20 U.S. Food Retailers
Table 2-3: Top 20 U.S. Retailers by Estimated Food and Beverage Sales,
2010 (in billions of dollars)
Recent Mergers and Acquisitions
Market Outlook
Economic Environment
Inflation + Deflation, But Food Prices Projected to Rise in 2011
Table 2-4: Changes in Consumer Price Indexes for Food, 2008-2011
Some Stores Walloped; Others Thrive in the New Economy
Conservative Spending Expected to Continue
Consumers Dining Out Less, Cooking More
Government Regulation
Food Safety Bill Passes Congress
USDA to Require Nutrition Labels on Meat
Chapter 3: Trend Overview
The Overriding Trend: Value
The Top Consumer Priority
More Competition
More Types of Stores Focusing on Foods
Channel Migration: Who' s on the Winning Side of the Equation
