Giant Eagle started when several families joined forces to create a discount supermarket that provided consumers with everyday affordable, household items and products. Since its inception, Giant Eagle has become a retail powerhouse that strives to listen to and implement consumers’ feedback.
History: Giant Eagle was founded in 1918 as a small grocery store called Eagle Grocery. The company was able to expand as Eagle Grocery to 125 stores, but in 1928, the three families that started it—Goldstein, Porter and Chait —made the decision to sell the company to Kroger. As part of the deal, the three families agreed to leave the grocery industry for three years. During these years, two other families, Moravitz and Weizenbaum, opened OK Grocery.
The five families banded together in 1931 to create Giant Eagle, with the first location opening in 1936. Throughout the next couple of decades, both OK Grocery and Giant Eagle continued to grow and expand within Pittsburgh while enhancing several stores to 15,000-square-feet.
Alongside these expanding store counts and revamps, Giant Eagle continued to be an innovative, trend-setting grocer. Throughout the 60s and 70s, the company was able to improve its distribution system by purchasing a former Kroger warehouse and pioneering computerized buying systems to help with filling orders. During this time, the company opened a 481,000-square-foot warehouse.
In 1981 Giant Eagle celebrated 50 years of business and opened its first independently owned store in Monaca, PA. The retailer also began to standardize in-store pharmacy, floral, automotive, housewares, books, greeting cards, photo development and video rental services.
Today, the company has nearly 500 retail locations in total, which includes the company’s banner stores, and 32,000 employees. Giant Eagle has approximately 196 locations, and operates GetGo Café + Market and Market District locations. There are 270 GetGo locations and 13 Market District loca-
tions, which were founded in 2006 and rapidly grew throughout Pennsylvania and Ohio. The Market District banner focuses on an exploration of food that is gourmet, specialty and organic.
Leadership: As Giant Eagle has had several leaders at the helm of the company, the current leadership team has remained true to the company values by putting consumers first, especially during difficult times.
Bill Artman, Interim Chief Executive Officer, has been with Giant Eagle for 40 years. He started as a customer service clerk and has continued to move up in the company. Artman recently served as President of Giant Eagle Supermarkets where he supervised supply chain operations, retail innovation, real estate and construction, retail operations, merchandising, independent retailing/ non-banner and culinary operations. Artman became the interim CEO in March this year when Laura Shapira Karet stepped down as CEO after 11 years of serving.
Greg Baker, evp and General Counsel, has been overseeing Giant Eagle’s Legal and Risk/Safety Departments. Baker previously held the position of SVP, General Counsel and Corporate Secretary for Chico’s FAS.
Kirk Ball, evp and Chief Information Officer, has experience in technology senior leadership roles, and with that experience, Ball has been able to successfully lead Giant Eagle in his position.
Recent News: Giant Eagle has continued to pride itself on its innovation while maintaining its dedication to providing consumers with convenience. In 2018, the company became the first major Pittsburgh supermarket to launch a mobile shopping app, which adhered to consumers' busy schedules. “The notion of the ‘traditional’ customer shopping experience no longer exists,” said Giant Eagle spokesperson Dan Donovan. “The challenge for retailers is to provide solutions for all of the ways customers want to interact with your brand and your products, and we believe that the Giant Eagle Mobile Shopper will become a popular option for those interested in
using technology to take an added level of ownership in their shopping experience.”
As prices throughout the nation continue to increase, Giant Eagle strives to bring consumers premium products at affordable prices. Recently, Artman decided to lower prices in an effort to compete with larger discount grocery chains. “We’ve heard loud and clear from customers—they have a lot of options and new doors are opening every day,” Artman told Columbus Business First
According to several media reports, Artman had been paying attention to consumers’ needs for lower price points, which inevitably made them shop elsewhere. The company decided to offer more discounts to consumers, hoping to bring them back in store. “We have to get better. It’s that simple,” he said. “Our customers are telling us that they want to shop with us. Our customers are telling us that they're looking for a better value. And a couple of the steps that we've taken throughout the last couple of weeks are an indication that we hear them.”
To bring convenience to consumers, Giant Eagle added online pet pharmacy services through a partnership with Allivet.com. The website offers thousands of prescription pet medications and OTC pet products. "As one of the largest food, fuel and pharmacy retailers in the country, Giant Eagle serves millions of customers every year, and we are thrilled that our innovative platform will enable them to provide their pet parents access to affordable and convenient medications and supplies for their pets," said Ujjwal Dhoot, CEO of Allivet. com.
As Giant Eagle has grown throughout the years, the company remains loyal first to its consumers and employees, which has been demonstrated through several recent initiatives and business ventures. These include Artman’s recent decision to bring back discounts to ensure consumers shop at Giant Eagle and are able to purchase household items and necessities while remaining within their budgets.
Industry leaders in the frozen fruit category are anticipating changes and introducing new initiatives. Suppliers have an eye toward transportation and supply chain improvements. Category leaders also plan to provide more valued products closer to consumers.
Bill Smittcamp, President of Wawona Frozen Foods said rising prices of fresh fruit will give shoppers more incentive to shop for their produce in the frozen aisle. “We’re seeing some of that transition most recently, and so I believe there’s more awareness of the frozen side of our business that the consumer is understanding,” Smittcamp said. “The consumer is understanding that there’s less waste and more convenience to frozen. It always takes a long time for us to get the feedback of what’s really happening out there. As we enter the summer months, our retail sales generally dip a little bit because of the fresh side. Why not buy a fresh peach rather than a frozen? But I do believe that when you go in and see $2.50 per pound for peaches or whatever the blueberries are, it’s just crazy. Wow—that’s expensive. Everybody is talking about eating healthier, so hopefully that is getting into the consumer’s mind and then when they see those outrageous fresh prices, they’ll go down that freezer aisle and pick up something that is frozen.”
On the heels of an investment which will allow for the company to expand its strawberry output, Wawona Frozen Foods is eagerly waiting for the strawberry season to start. “Last year we put in a very large investment into another IQF tunnel which gives us more flexibility, more capability and a tremendous amount of pounds per day through our facilities,” Smittcamp explained. “By having this large tunnel, it will give us more flexibility to bring in specialty fruits, whether it’s white sliced peaches or especially fun strawberry varieties out there such as a white and a rose strawberry. In a normal situation, to run 5,000 to 6,000 pounds per hour, you just can’t do specialty options when you’re focused on the total production. But because of the new IQF tunnel, it gives us a little downtime for our smaller tunnels. We’re trying some of these white and
rose strawberries specialty fruits that we can highlight in a blend or highlight by a single fruit by itself. I’m not sure that a white strawberry standalone in the retail side will do anything but being able to enhance one of our blends with it will give it a little 'ah-hah!' The white strawberry is actually sweeter than a normal strawberry, so it’s going to be fun to do. We are optimistic. We are always throwing things against the wall to see what sticks. The berry market is a little in flux so there will be a lot of opportunities for us to run more blueberries and strawberries through our facility which will give us a bigger array for our retail customers.”
“It’s an exciting time in the frozen food category,” Seal The Seasons CEO Patrick Mateer said. “We had a huge growth to the category through to the pandemic just as people changed their eating habits, and consumers have stuck with the category through the pandemic. People are still prioritizing frozen fruit and looking for new and innovative items in frozen fruit. The category is really on trend and now that we have the eyeballs on the category, there’s really an opportunity to bring more specific products. As an example, bring more intentionally grown and more transparency to the category, bring more flavor and bring the better-for-you products that consumers are really craving.”
“We partner with Safeway/Albertsons, we use a locally grown, locally frozen, locally sold supply chain so everything is done in the Pacific Northwest. The fruit is grown there, it’s frozen there it’s packaged and it’s sold all in Washington and Oregon,” Mateer added. “Our business hasn’t felt the supply chain bottle necks as much. We’re not bringing in fruits and vegetables from outside the country. We don’t have to face the ports and the delays there. We’ve been really fortunate that relying on the local growers, they’ve been able to make it happen and produce the products and keep their local communities fed.”
The frozen fruit category is divided in half with a distinctive conventional market and a distinctive organic market.
“The organic market has continued to grow for frozen fruit berry mango all the fruits and all the berries have increased on the organic side,” Townsend Farms President Mike Townsend said late last year while predicting how the category will perform in 2023. “So now you have to get into specific items that are being impacted by price and labor and where these products are coming from and how the labor and the freight is associating with the outcome of the pricing of those items. From a glance, I would say the berry industry is positive in the US. It’s trying to move forward."
Last fall, Naturipe entered the frozen fruit category with its line of frozen fruit products launched in select retailers across the Midwest and Northeast. The frozen fruit line included bags of frozen blueberries, strawberries, raspberries, blackberries, grapes and cherries and organic blueberries and strawberries. The frozen berries are ready-to-eat and void of preservatives.
“We’re thrilled to introduce our new line of top-quality frozen products," Jason Bellan, VP and General Manager said at the time of the launch. “Our new eye-catching packaging leverages the 105-year heritage of the Naturipe brand and was consumer tested to stand out on the shelf with its vibrant and colorful berry imagery.”
Relationship sales is key to Smittcamp, demonstrated by the strong ties Wawona has developed with retail giant and partner Costco.
“We have dialogue quite often with the frozen buyers, and they’re always asking what’s up, what’s new and how can we do it?” he said. “The Costco buyer at one of the divisions said, 'We’re opening a new store; we know you’re short on peaches, but we’d love to do an organic peach front load to celebrate your 60th anniversary.' So, [my son] Blake and I figured out how to put a couple of truckloads together for Costco to have this banner in time for their new store opening. That’s what it's about—they asked us, not us asking them. That’s what relationships are all about. They’re very strong, and I truly believe it is what has made Wawona Foods successful for the last 60 years.”
The sausage category is focused on innovation in the better-for-you space as consumers continue to seek out humanely raised and organic options. Category leaders are working on bringing new recipes and product innovations to market, making it easier for consumers to choose healthier options. Many have gained key certifications, such as the Global Animal Partnership (GAP) to provide consumers with confidence in sourcing and quality.
More recently, sausage suppliers are part of history with the unprecedented US Supreme Court decision to uphold California's Prop 12, the law which prohibits the sale of pork in the state from US farms that keep pigs in gestation crates. These crates are barely larger than the animals and restrict sows from laying down or turning around in the crates. How much this ruling will impact sausage production and prices for suppliers and consumers will become apparent in coming months. In the meantime, suppliers are busying themselves with delivering on bold and savory flavors.
“The sausage category is in need of innovation, primarily in the better-foryou food space,” said Alicia Baker, Director of Marketing for North Country Smokehouse. “It’s challenging for consumers to find humanely raised and organic offerings, even in the more traditional recipes that lead the category. Sausage is a delicious and affordable protein, which is especially appealing to consumers who are feeling the impact of food inflation. It’s a great way to stretch the grocery dollar and feed large families without sacrificing flavor. Other categories are more advanced in terms of sustainability and the sausage category tails a bit. It would be great to see the category advance with more humane and environmentally savvy product innovation.”
“That whole category is expanding through the roof,” said Jim Lyons, Sales Manager for F.B. Purnell Sausage, especially when sausage manufacturers like F.B. Purnell wade over into complementary categories, namely the breakfast sausage space. “Everybody is looking for proteins, and on the fresh side, rolls
are expanding and gravy sales in particular are very robust as well.”
North Country Smokehouse has a handful of projects in the works. “We can’t say too much just yet, but we have a few really big things on the horizon,” Baker said. “In short, our customers can expect to see some significant organic product and packaging innovation. More than ever, consumers value their time and are looking for convenient eats that they can prepare easily at home. We’re thinking along those lines—it’s going to be a very exciting year for us. We’re innovating in all the right ways and focused on providing practical ideas for product use in-application. People want to know how to use the products in new and different ways. They won’t have to look far. We’re doubling down on recipes for home chefs who want restaurant quality meals they can make in their own kitchen. We have more than a century of foodservice experience to pull from and our culinary innovator is a Le Cordon Bleu trained chef. We’re always eager to inspire.”
F.B. Purnell recently started shipping two new sausage and biscuit items. “Our best-selling sausage and biscuit item is a 20-count sausage and biscuit,” Lyons said. “What we did is we took that item and added a smokehouse sausage-flavored patty on it. We don’t have any sales on it yet, but we’re presenting it and all the reception has been good.”
The idea was spurred when company officials examined which products are F.B. Purnell’s best sellers and how could they put a spin on a tried and true product that doesn’t exist in the grocery aisles. “It was a mix of what is our best seller and then something that is not offered in the category as far as the flavor,” Lyons said.
North Country Smokehouse is keeping projects and product launches under wraps. “North Country Smokehouse has some new recipes coming to market in the near future that will make it easy for consumers to choose better-for-you links that don’t break the bank,” Baker said. “We also added the GAP logo to our sausage packaging to make it easier for retailers and consumers to identity proteins that prioritize animal welfare.
When you see the GAP logo on our pack, it means every single one of our farms is audited to ensure our livestock is treated with total respect and able to engage in natural behaviors. Label whitewashing is real. Some brands operate by their own set of standards and claims are being made that aren’t necessarily verifiable. Certifications like GAP give consumers peace of mind and make it easy for them to shop brands that align with their values.”
“Innovation has always been a pillar for the company across all of our categories,” Baker said to explain why inflationary pressures have not impacted North Country Smokehouse. “Also, during times like this, when inflation is high and consumers find themselves having to make concessions—the true value of our brand shines through.”
An example of this is the company’s decision to source its pork from its own farms, never off network. “So our pricing is very consistent which means we don’t have to pass on hefty increases to our customers, allowing them to maintain more stable and attractive pricing for their customers,” Baker explained. “It’s not common in our industry, where many brands rely heavily on suppliers to source the proteins they need. It leaves them open to unstable pricing and fulfillment issues. We don’t have those types of challenges because we’re vertically integrated and family-owned, and we don’t operate off market. It truly has a net positive trickle-down impact from farm to fork, and it’s most evident in times like these when big changes are disrupting the industry as whole.”
Suppliers like Swaggerty's Farm Brand suspect consumers will look for cheaper alternatives to keep eggs in their diet as households are tightening their purse strings. “With the recent run-up in egg pricing—due to Avian Flu —we feel intuitively many consumers may have backed off their normal purchasing cycle and are looking for egg alternatives,” National Sales Manager, Doug Skeoch said earlier this year. “This indirectly could be slowing the overall breakfast meat sector as consumers traditionally pair sausage with eggs."
Companies within the tomato products category have been able to keep traditional Italian flavors and ingredients at the heart of production while providing consumers with high quality convenience. These leading producers realize the importance of not sacrificing taste for convenience and have been able to develop a loyal consumer base while maintaining innovation in order to bring new things to the table.
“Actually the tomato product category at this precise moment in the US is quite a challenging period because of inflation,” Ilaria Bonucchi, Marketing Manager with Pomi USA said. “And at the same time, it has always been characterized by the market that is fragmented; there are so many brands and so many manufacturers in this category. Luckily, they offer a variety of products, but at the same time, it can be a bit confusing for consumers when it is in front of them on the shelves because you see a lot of different brands and origins of the products. So, a lot of variety and great choices, but at the same time it can be confusing. It’s a challenging period because of inflation and also because of the fact that it’s so fragmented. In any case, it is increasing and since it is a category that is absolutely in line with those consumer trends related to the vegan, vegetarian and so on, it’s a growing category.”
“The commitment of Pomi is to offer innovation in the category—that could be packaging innovation, product innovation and content innovation,” Bonucchi said. “We are really committed to offering this kind of innovation to retailers and consumers. We have always been committed to sustainability and the respect of the environment. Our strategy for a couple of years has been to offer retailers and consumers sustainable products, not only for the content, the tomato as is, but also the packaging. And actually, this year we are trying to keep the category relevant and innovative through the launch of the new product that is a tomato puree. It’s the first plant-based package in the category. It means that the protective layer and the cap of the package came from sugar cane, and this is the first in
the category and it reflects our commitment to sustainability and the environment.”
Alongside Pomi’s continued commitment to keeping high-quality Italian ingredients at the core of its products, category leader La Doria Group started in 1954 in Angri, a province in Salerno. The company was founded by Diodato Ferraioli under the name La Doria. The company focused on selling peeled tomatoes and tomato paste in the Italian market and then expanded to the US market. La Doria began adding several items into its product lines such as tomato pulps and purees. In 1975, the company expanded into Germany, France and Australia and three years later started selling products under a private label. As a family-owned and operated business, the company has since then grown to become an international powerhouse within the tomato products category.
Recently, La Doria shared its sustainability report, which addressed the company’s accomplishments.
“The year 2022 was marked by some major difficulties, from rising raw material costs to high energy prices with all its natural consequences. However, our company has shown incredible resilience, reaching ambitious goals without at the same time leaving behind our sustainability principles and objectives,” said La Doria Group CEO Antonio Ferraioli. “This extraordinary achievement makes us proud but also aware of how sustainable our growth must be and of our responsibility towards the earth, the supply chain, the communities and territories of reference and the people who choose every day to dedicate their work to our company. We are happy with the results achieved in 2022, but we are convinced that there is always room for improvement, which is why we have already planned numerous initiatives and activities for 2023 that will help further consolidate our culture of sustainability.”
Founded in 1905 and family-owned and operated, The Fremont Company has been a leading producer of tomato-based sauces for more than a century. The Fremont Company is widely known
for its private brand ketchup, which has been a best-seller for the company for more than 90 years. The ketchup is made with California tomatoes, is sold at a lower price point and packaged in clear PET bottles.
Also family owned, Red Gold has four generations of experience in the tomato products category. The company has grown, produced and packaged all its products in the US for more than 40 years. There are more than 50 family farms that grow more than 14,000 acres of tomatoes for Red Gold. According to the company, its products are so fresh that even after the canning process, consumers may be able to see the interior of the seed structure after the seed has compressed. The company cans its products without preservatives and grows the tomatoes without GMOs and consider its products free of the top eight allergies. Recently, Red Gold launched two new private label plantbased sauces. The products are made with no added sugar, tomato puree, diced tomatoes, plant-based protein and extra virgin olive oil.
“Our new plant-based Italian sausage pasta sauce and plant-based Bolognese pasta sauce represent a new opportunity to offer tomato sauces with plantbased meat alternatives in the center aisle of stores,” say Colt Reichart, Red Gold’s Senior Director of Marketing. “The sauces have a meaty flavor offering three grams of protein in the plantbased Italian sausage pasta sauce and five grams of protein in the plant-based Bolognese pasta sauce per half-cup serving.”
Alongside this launch, Red Gold also opened a new high-tech 250,000-square-feet warehouse in Alexandria, IN.
“We broke ground on the warehouse in November of 2021 and we are excited to bring this project to completion,” said Brian Reichart, President and CEO. “The new building has 14 dock doors to support Red Gold’s manufacturing growth and adds 82 additional truck-trailer parking spaces for our customers picking up loads or parking for Red Gold’s RG Transport fleet.”
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The greeting card category continues to maintain consistent sales, although rising production costs pose challenges. Industry leaders are focused on creating cards that reflect multicultural themes, timely content and values important to younger generations, while humor and pop culture references remain popular across different age groups. Looking at the future of the category alongside the current state, company leaders are dedicated to aligning their products with the demands and needs of their consumers.
“Overall the greeting cards category continues to stay steady, evolving to meet the needs and shopping behavior of today’s modern consumer,” said Amy McAnarney, Hallmark's Vice President and General Manager, Strategic Accounts and Business Development.
“According to the Greeting Card Association, there are approximately 6.5 billion cards exchanged every year in the United States. Despite more ways than ever to reach out and stay in touch, many people feel less connected than ever, and at Hallmark, we believe that cards have the power to change that— and our consumer research is confirming this insight. About 90 percent of consumers believe a card can brighten someone’s day. Almost 90 percent of consumers feel that a card is a good way to let someone know they are special. About 80 percent of consumers tell us that with everyone going digital, they feel paper greeting cards are a more personal and intimate way to communicate. Eight in 10 consumers say they enjoy receiving cards, and eight in 10 consumers save the cards they get.”
Hallmark has continued to keep the category vibrant and relevant throughout the years, even as technology has infiltrated the way people communicate in their daily lives. “Hallmark knows it’s imperative that we evolve to meet the diverse needs of today's consumers. We aim to create cards that get to the heart of what shoppers want to say, while authentically reflecting their lives and relationships,” said McAnarney. “We have been proactively developing new creative strategies to meet the needs of multicultural and multi-generational
consumers.”
Designer Greetings’ CFO Dawn Garvey emphasized the current state of the category has a lot of potential and promise. “The current climate for the greeting cards category is very promising, as the traditional greeting card segment held the largest market share in 2022,” said Garvey. “It is engrained in people’s behavior to send cards to share a sentiment and foster connectivity. These elements will help maintain the traditional card category’s strength.”
“We have a very appealing new card line called Designer Pop, which contains 3D cards that open to reveal intricate pop-up designs and are vibrant in the literal sense,” she Garvey. “In true Designer Greetings form, this line is priced at a cost that is favorable to our consumers, showing again that Designer Greetings provides top quality at great pricing.”
“As we all know, the current economic climate remains uncertain. However, greeting cards still maintain a consistent purchasing presence in our society. Thus, from a customer’s perspective, sales remain strong. On the flip side, the cost of production has been strained due to rising costs,” Garvey continued.
Designer Greetings has several plans for the rest of 2023, including an expansion of its stationery line. “We are in the process of expanding our full stationery line, adding more journals, planners, list pads and calendars," Garvey said. "With fresh, trendy cover designs and improved interiors, as well as exciting new products altogether, our product offerings span the full umbrella of stationery. Designer Greetings prides itself on its long-term relationships with retailers and distributors. The retailers and distributors look to Designer Greetings as a partner that is flexible in meeting their customers’ demands, while offering superior in-store service through our network of merchandisers.”
Since its inception, Greeting Card Association (GCA) has set itself apart within the category while remaining a trusted supplier. “For more 80 years, GCA has represented the greeting card industry,” Executive Director Nora Weiser told Grocery Insight in a previous interview.
“Recognizing grocery as an important retail outlet for greeting cards, GCA has actively included grocery buyers as partners in our community. For example, each year GCA’s Pitch Program gets brands in front of buyers for a 'Shark Tank' style opportunity to pitch their cards, and in 2022, Meijer participated. In addition to Meijer, we’ve also invited grocers like Wegmans and H-E-B to participate in our events and share tailored educational content on the grocery channel with our members.”
“People tend to overlook the importance of greeting cards, and their power to build true connections,” Weiser continued. “In a survey conducted by GCA, eight out of 10 respondents said that social media simply cannot replace greeting cards. It is also critical to ensure that retailers understand the vibrancy and relevance of greeting cards, as evidenced by the fact that Millennials now buy more greeting cards than any other demographic. Millennials are also willing to pay a premium for unique cards with a hand-made feel, embellishments and messaging that reflects their sentiments and style. Knowing this, retailers can focus on ensuring they have the right product mix for this key demographic.”
There are several opportunities that are unique to the greeting cards category, and GCA has noted the many benefits to receiving a card in the mail. “We often talk about the ‘mail moment’ and how receiving a greeting card delivers a unique moment of connection,” Nicky Burton, GCA Board Member and owner of Calypso Cards previously said. “Nearly three-fourths of consumers who send holiday cards do so because they know how good it feels when they receive a holiday greeting. As technology evolves at a rapid pace, many of our members are keeping up with innovations like video messages and augmented reality. At the same time, greeting cards remain rooted in a simple authenticity that is only gaining impact for card senders and receivers in a busy world. This 'retro' aspect of greeting cards is particularly resonating with young people, which is an exciting opportunity for the category.”
The Private Label Manufacturers Association (PLMA) in February released its 2023 Private Label Report which led with the astounding data point that private brand sales totaled $228.6 billion in the US in 2022, jumping 11.3 percent throughout the previous year. Store brands grew at nearly twice the rate of national brands, which were up 6.1 percent in dollar sales, according to PLMA’s exclusive IRI Unify sales data.
“Last year’s record sales and double-digit growth reflect the strong consumer demand for store brands,” said PLMA President Peggy Davies. “Shoppers are filling their baskets with great-tasting, innovative and high-quality store brand foods, beverages, nonfoods, household goods and many other categories.”
The PLMA report also cited a major reason for the double-digit surge was recent inflation motivated more shoppers to come around to store brands because of the quality and value they provide. Private label manufacturers know that while concerns regarding spending might introduce new consumers to the value of store-owned brands, what will keep them coming back is continuing to reflect trends and actively developing and bringing novel innovations to market, based on the specific needs of their customers.
Mondiv, a division of Lassonde Specialties, is a leading manufacturer of long-shelf-life specialty foods catering to US, Canada, export, grocery and club industries. “Mondiv’s strength through the years has been the development of innovative private label products, some of which were introduced well ahead of the national brands,” said Rob Wagner, Vice President, US Sales for Lassonde Specialties. “This focus continues as we search to increase capacity and position ourselves for future growth.”
Retailers are increasingly looking to private label manufacturers for solutions to out-of-stock products, and Mondiv is ready to respond. “Our partnerships remain as strong as ever coming out of the pandemic due to creative methods to increase capacity; retailers looked to Mondiv to solve in stock is-
sues as national brands experienced widespread and lengthy service problems,” Wagner said.
Catania Oils has similarly found itself in this role and embraced the opportunity to demonstrate its dexterity in the face of challenge. “As simple as it sounds, just keeping retailers and wholesalers in stock on all orders is some of the best support any manufacturer can provide,” said Mark Coleman, Catania Oils SVP of Global Sales. “Retailers have grown in the area of merchandising private brands throughout the store. Throughout the pandemic as national brands could not handle the volume increases as needed, the wholesaler and retailer utilized private brands to not only secure additional end cap display space, but also filling empty space on the shelf itself.”
Catania Oils has met the moment, sustaining its retail partnerships with honesty, integrity and character, along with reliable stock, he said. “Another driving force behind a true partnership is education. Catania Oils has become a dominant force not only in the retail sector, but also in the foodservice and bulk/ingredient classes of trade. If you had to ask what Catania Oils is best at, the answer is, without a doubt, educating the customer,” he said.
Retailers are embracing the full potential of private label given that most recent data shows the category doing better than national brands in weathering the current inflation. “The latest IRI data for total store products is showing private brands are rebounding much faster than national brands in terms of unit sales,” Coleman said. “The first quarter of the year, all sales were down roughly 3-5 percent but YTD ending May 14 shows private brands are trending higher versus national brands.”
Cross merchandising of private brands in different store departments is also a driving force to increase share, he said. “I see olive oil displays in produce departments, infused oils in bread sections and vegetable oils merchandised within baking displays. Mostly private brands.”
While traditional ideas of innovation are harder to come by in the world of
commodities, said Coleman, Catania Oils is up to the task of fulfilling retailer calls for innovation in packaging. “There is a calling from the retailer for sustainable packaging especially in the area of plastic bottling,” he said. “Utilization of a percentage of recycled plastics will be a driving trend over the next couple of years for the entire food industry. Catania Oils will be a leader in this effort going forward.”
Even in the non-food categories, innovation underscored by sustainability is driving private label. “Global Tissue has become a leader in private label products by focusing our strengths: quality, service and innovation, while differentiating ourselves from others in the industry by developing customer-centric private label programs and offering diverse at home tissue paper products in each quality category,” said Daniel David, evp Global Tissue Group.
Global Tissue Group is focusing on sustainability, both in implementing more environmentally friendly operations and utilizing eco-friendly ingredients. “We are adding eco-friendly, tree-free paper products made from sustainably grown bamboo as a new product category to our assortment of diverse green products,” David said. “We offer a unique and innovative coreless bath tissue capability to further our continued goal to reduce emissions by adding for more sheets per roll, maximizing truckload quantities and eliminating core waste. We believe that this unique item can be added to any retailers’ private brand program focused on sustainability attributes, value and differentiation in the paper category.”
The differentiation of private label offerings holds high appeal to consumers looking for value. Davies PLMA told Grocery Insight last summer, "Two things I will predict: the gains private brands have recently made are a great base for continued consumer engagement, and with overall grocery sales rising, consumers have maintained their ability to spend. That means they’re adapting and shopping smarter for themselves and their families, looking for high-quality, innovation and value, a trend that always accrues to store brands’ favor.”
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Taste may be the reigning attribute that determines which breakfast meats make it into the consumer’s basket but value, convenience and quality follow close behind when it comes to what is driving purchasing decisions. Suppliers are noting this and bringing innovations to what some have described as a dormant category. Similarly, given consumers’ growing tendency to exercise their values regarding sustainability and animal welfare with their spending, companies are ensuring better transparency and education for why their products stand out from the crowd.
“With respect to recent trends, we are seeing consumers' demand for convenience and on-the-run offerings leading the charge, as is evident in our breakfast sandwich growth,” Dough Skeoch, National Sales Manager for Swaggerty’s Sausage Co., said this spring. “We have supplied snack-size breakfast sandwich offerings for several years. However, the launch of our ‘large size’ sausage, egg and cheese biscuits, croissants and muffins has done phenomenally well since our launch in the summer of 2022. We also created a waffle and sausage variety that is unique to the category and has been well received.”
With its new offerings, Swaggerty’s has not deviated from its adherence to quality. “From the point of harvest to finished goods and into the freezer, the total time is less than 90 minutes,” Skeoch said. “We coarse-grind our products to produce a breakfast sausage that is not mushy nor rubbery. Our product texture literally crumbles in your mouth. Combine that with our generations-old recipe which provides a flavor that is, ‘quite possibly the best tasting sausage in America!’ The biggest compliment we often get is, ‘This tastes like the sausage I grew up on.’ We have maintained our exacting standards and purposely avoid any changes to the quality of our products. We only use primal cuts of pork, never adding any trim or fillers to our products.”
In speaking with Grocery Insight last fall, Ben Warren, Retail Marketing Manager with Pederson’s Natural Farms, shared his insights on where the com-
pany could be focusing in 2023. “We’ve noticed some kind of complacence in the various categories: dinner sausages, breakfast sausages, the breakfast meats and bacon where there’s opportunity, where maybe some of the competitors have not necessarily seen possibilities and acted on them yet,” he said.
For this year, “we’re looking to start some new fun things we haven’t done before and work in some new markets as it pertains to sausage,” Warren added.
On the nutritional value front, Alicia Baker, Director of Marketing for North Country Smokehouse, said suppliers have been resting on their laurels. “The sausage category is in need of innovation, primarily in the better-for-you food space,” she said. “It’s challenging for consumers to find humanely raised and organic offerings, even in the more traditional recipes that lead the category. Other categories are more advanced in terms of sustainability and the sausage category tails a bit. It would be great to see the category advance with more humane and environmentally savvy product innovation.”
Baker’s comments precede the US Supreme Court’s ruling last month that upheld California’s Prop 12, a 2008 ballot measure approved by more than 62 percent of voters that bans the sale of pork in the state from anywhere in the country that uses extremely confined gestation crates to hold pregnant pigs— an arguably inhumane practice used in modern pork production.
The decision puts commodity pork in a tight spot, but suppliers like Niman Ranch are leading the way. “Everything we do is centered around our four pillars, which are great taste, supporting small US family farmers, agricultural sustainability and animal care,” said Kay Cornelius, VP of Retail Sales. “We know those are important to consumers and so we will create products whether they be in the right portion size or in the right format, convenience items, we will make sure all our packaged products are convenient and so forth and that, combined with our steadfast pillars, that creates value in an inflationary time. That supports the retailer offering
Earlier in 2023, Niman Ranch unveiled its premium Iberian Duroc pork program but there is more. “In our regular Niman Ranch pork line, we have a robust prepared bacon ham sausage, all the things that come off that pig that you then make into something else, like bacon, ham and sausage. So, we are also currently launching some new pork items. We have some of the best sellers according to SPINS data in the sausage category with our sweet Italian or hot Italian and apple gouda sausage but consumers always want variety. So we have launched a new smoked bratwurst and a Bavarian style bratwurst, both in the bratwurst category, but our shoppers can now choose between the two and really find something delightful in the category, something different than their main space smoked sausage.”
Between pickled sausages and beer bratwursts, Pederson’s Natural Farms has kept options fresh for its partners and consumers. The dexterity to be able to try new things goes back to the company’s vertical integration. “We’ve invested heavily into that vertical integration,” Warren said. “We’ve grown some more farms with that. Additional challenges are carcass utilization—being able to utilize the whole animal appropriately and be able to move those things. The opportunities that have come from those challenges is like we get to work in some new markets and disrupt some established markets and come in with some new things. It gives us the opportunity to think outside the box. Get a little out of our wheelhouse. As people change their tastes and want to eat more naturally and healthier, we need to make one of these in the natural version.”
Baker with North Country Smokehouse looks ahead. “At the end of the day there’s big changes happening in the food system for the better, and navigating those changes in a way that helps everyone succeed is at the center of our relationships. Our customers can see and feel that, and it makes it easier for them to put their trust and confidence in us and lean on us to help build their better-for-you sausage offering.”
Electrolyte beverages are the obvious solution when water isn’t enough to stay hydrated and restore lost electrolytes through sweating or illness. Suppliers who are leading this category are coaxing shoppers to demand more from the sporty drinks they have always settled for. Today, consumers can expect a product that offers more nutritional value than other beverages that are filled with unnecessary carbohydrates that come in bizarre and unpalatable colors and leave behind an overly sweet aftertaste. There are pleasant and tasty options that quench your thirst after a sweaty gym workout, amidst soaring temperatures or while you are battling nausea and dehydration.
“We continue to see disruption on both the powder and RTD side of electrolyte beverages, with PRIME being the most recent example of podcasters using their star power and existing audience to drive massive short term demand and sales, proving you don't need drastic improvements to a product or category to drive sales,” said Aaron Hinde, President and Co-Founder of LIFEAID Beverage Co. “We will see if that demand is sustainable. Functional categories continue to blur with FITAID Energy being case in point which has both an electrolyte and energy component. More consumers are interested in non-sodium based electrolytes, primarily potassium and magnesium.”
“If you take a step back and look at most of the functional hydration category today, it’s primarily filled with a sea of brightly colored drinks made from questionable ingredients, served in plastic bottles,” said Mike Keech, CEO of Liquid I.V. “We believe that hydration —and wellness in general—has become too complicated, expensive and inaccessible to the everyday person.”
“As the team continues to develop and expand Liquid I.V.’s products and positioning, we uncovered valuable insights into how brands in the category have been communicating the meaning of hydration to consumers,” Keech said. “Up until now, both powder and ready-to-drink hydration drinks were marketed to a niche audience, typically professional athletes in high stakes mo-
ments. Our research showed us that everyday consumers found this traditional approach outdated and less relevant to their needs. Liquid I.V.’s philosophy is that hydration is a universal need— and that because so many people are dehydrated, hydration products can and should be for everyone, in everyday moments. We identified this gap in the marketplace and had an opportunity to provide consumers with a more convenient, cleaner, greener, better-tasting hydration solution. A product that wasn’t just functional but also tasted great and was ultimately good for both people and the planet.”
“The category has grown rapidly since we created it with the launch of the Gatorade Thirst Quencher formula in 1965,” said Christina Menendez, Vice President of Growth Acceleration, Gatorade Portfolio. “We’re energized by the continued growth and new users entering the space. The future for us is continuing to evolve what we created, expanding our footprint to meet the needs of all athletes and exercisers.”
In June, Liquid I.V. will announce its largest, most innovative product launch and activation to date. “I am committed to building Liquid I.V. to be the next 100-year household name, and I believe that will be the result of our continuity to excellence in brand building, our product quality and innovation program,” Keech said. “At the highest level, our ambition is to be a global pioneer and iconic brand in functional hydration. Every day we redefine the functional hydration market, elevating the standard of the functional benefits our products deliver and delighting consumers with delicious flavors that keep them coming back for more. Liquid I.V. continues to champion a future where our team creates products that are better for both people and the planet.”
Most notably, the Gatorade Zero and Propel Tablets just hit shelves, making them the first multi-brand innovation to come out of the Gatorade Portfolio. “Entering a new space within the beverage enhancers aisle is an exciting moment for the brand, as we continue to stretch into new forms to meet the needs of consumers craving portable, sustain-
able options,” Menendez said.
“Liquid I.V. was founded with the goal of reimagining the functional hydration market, meaning innovation is at the core of our brand DNA,” Keech said. “Our ability to innovate—and to do so quickly—contributes greatly to our success, and we strive to continually evolve our products to meet consumers where they are. On a product level, our key value proposition and what makes Liquid I.V. unique, different and better than the rest is all rooted in our science-backed efficacy. Consumers recognize that our products make them feel better, faster and can feel firsthand that they really work. All our products go through clinical trials, and our science-backed Hydration Multiplier formula contains a specific ratio of potassium, sodium and glucose that delivers hydration to the body faster and more efficiently than water alone. Additionally, any single serving of Liquid I.V. contains three times the electrolytes of traditional sports drinks and eight vitamins and nutrients to help replenish the body.”
“We’re delivering innovation in a few ways, both inside and outside of the bottle,” Menendez said. "In recent years we’ve launched several new ready-todrink products. Equally exciting are our newer beverage enhancers and equipment offerings that provide consumers even more convenient and sustainable options. We are also innovating on the equipment side, with our reusable Gatorade bottles, Gx App and the Gx Sweat Patch. We’re building a fully connected ecosystem of product and equipment solutions to help meet the needs of all athletes and exercisers.”
LIFEAID Beverage Co. is launching two new flavor LTOs launching this year for its flagship sports recovery drink FITAID. “We continue to market the premium non sodium electrolytes in our products,” Hinde said. “We survey our massive DTC and direct to gym consumer base frequently to see what type of functional product lines and flavor iterations they would like to see from LIFEAID. We have a robust innovation pipeline to continue to serve our consumers needs including the two LTOs for 2023.”
The turkey category is focused on continuing and increasing existing category growth with exciting new products, particularly with an eye toward better-for-you items. Similarly, suppliers are amplifying the drive toward sustainable agriculture and environmental stewardship with meaningful investment in regenerative ag and climate friendly farming.
Butterball
Butterball has been paying apt attention to the latest IRI data, which illustrates the turkey category remains strong. Within the last 52 weeks—ending on May 14—total fresh turkey increased 6.1 percent in dollars sales in the fresh meat category. “It continues to be a great value relative to many other protein options,” said Kyle Lock, Vice President of Retail Marketing for Butterball. “Turkey is a lean, versatile protein that can take on many different flavor profiles and be used as an alternative to other proteins in many recipes. Data continues to tell us that the demand for protein isn’t wavering, and Butterball is positioned to feed the demand with nutritious and delicious turkey options.”
Butterball is attuned to what consumers demand and expect from the turkey category and despite the positive and comforting memories turkey evokes, Butterball is ensuring turkey remains a relevant meal option throughout the year—not limited to Thanksgiving and leftovers. “Our insights team is a powerhouse of knowledge that works tirelessly to determine what consumers expect from the protein category, Butterball and the retailers that sell our products,” Lock said. “As a result, we’ve developed a product portfolio that meets the needs of consumers and expectations of retailers, not just at Thanksgiving, but every day. We keep a pulse on the trends and consumer needs and deliver with solutions."
Last year, Butterball launched a new marketing platform surrounding the theme: Today, we turkey. “The catalyst for the new campaign was directly aligned with our company’s purpose —why Butterball exists in the world,” Lock explained. “We determined that
yes, we are in the business of turkey, but more than that we are in the business of togetherness. Our products inspire people to come together around a warm, wholesome meal. Everything we develop and go to market with going forward will be tied back to our purpose—to help people pass love on. We are building on the brand equity we have established with older generations and turning Millennials and Gen Z consumers into lifelong Butterball fans who know it’s more than about making profits, but also community, authenticity and purpose.”
“Providing new consumer solutions has been a huge focus, and we recently launched our Hearty Turkey Sausage links,” Lock continued. “We developed a bun-length, butcher-style link that has all the robust flavor, coarse texture and juicy snap of a traditional beef and pork sausage link but with 70 percent less fat. It’s a pre-cooked smoked sausage available in two flavors, Old World Style and Polish Style. It’s an innovative solution for consumers looking for a convenient, nutritious and delicious quick meal or a new favorite on the grill.”
In late May, Cargill, producers of the produce Shady Brook Farms and Honeysuckle White lines, announced plans to leverage its one-of-a-kind place in the supply chain to further its regenerative agriculture program in Europe. This program means farmers throughout Germany, Poland, Romania and France will be compensated financially once they utilize climate-friendly farming practices. Cargill RegenConnect, which has experienced a couple of fruitful years in North America, will grow from 15 to 24 states. The nine new states include North Carolina, South Carolina, Georgia, Colorado, Mississippi, Alabama, Oklahoma, Louisiana and Texas. Further, Cargill RegenConnect will offer US farmers increased payments and improve expediency and accessibility to enrollment through mobile devices.
Its expansion demonstrates Cargill’s commitment to helping farmers adopt sustainable agricultural practices across its global supply chain, rooted in the firm belief that change starts where
the food system begins—at the farm, said company officials. “Companies like Cargill are helping to make it economically feasible for farmers to implement sustainable practices around the world,” said Chantelle Donahue, North America Agriculture Supply Chain Vice President. “It is how agriculture and farmers can be part of the climate solution, helping to reduce emissions, improve water quality and use, increase yields and build up the resilience of our soils for the next generation. Our vision is to make regenerative agriculture commonplace across our global supply chain, enabling farmers to produce food more sustainably while increasing their profitability and resiliency.”
This year, Cooper Farms is celebrating a milestone anniversary—85 years as a family-owned and operated farm and food company. Starting out as a small turkey hatchery in 1938, Cooper Farms has evolved into a vertically integrated turkey, hog and egg company, proving it can withstand the test of time in a constantly moving industry.
Cooper Farms takes pride in its ability to form and sustain long term relationships with customers while producing top tier quality meat and egg products for partners in the private label retail and foodservice sectors. “Our company was founded on a handshake mentality, with a focus on doing the right thing all the time,” said Jim Cooper, CEO. “It’s humbling to see the growth of Cooper Farms and all that we’ve accomplished, with the help of great partners, leaders and team members. I am pleased to see these next generations, both Cooper family and team members, stepping up to leadership roles and seeing us through these next phases of growth.”
Cooper Farms has lived by its “never sit idle” philosophy, pushing to consistently look for ways to improve processes, quality, safety and animal care. “Being innovative in the way we do things, always looking to improve our processes is part of the reason our company has been successful,” said Gary Cooper. “We were founded on a can-do attitude and will continue to have that mindset in the way we do business moving forward.”
Even in an economically uncertain climate, consumers continue to seek out snacks and candies they now consider accessible luxuries, according to a recent survey from Acosta Group. Naturally, the novelty candy sector falling under the larger candy category, has grown with this demand. Since leaders in the segment know consumers are always looking for new and unique, they continue their innovations with that in mind and ensure they are present where consumers are hanging out and shopping: online, at the store and everywhere in between.
“The novelty candy sector has continued to grow throughout the past few years as consumers seek out unique candy,” said Hayley Peyron, Marketing Manager for Candy Dynamics. “The novelty category experienced the largest growth of all non-chocolate candy categories last year with a growth rate of 33 percent, according to the most recent IRI data report.”
Findings from the Acosta Group study, which were released ahead of this year’s Sweets and Snacks Expo, showed among candy buyers, four in 10 are eating candy at least once a day, with Millennials and higher income households eating more.
"We wanted to learn more about the shopper path to purchase by understanding when and why shoppers are snacking, as well as where and what they're buying on different occasions or shopping trips," said Kathy Risch, SVP Consumer Insights and Trends, Acosta Group. "We discovered consumer shopping preferences and generational differences that inform how brands and retailers can best meet the needs of today's consumers."
Consumers who respond to Candy Dynamics’ candies trend younger, and the company is ensuring its products is fulfilling their demands. “Consumers, especially younger children, are looking for more than just candy; they are looking for an experience,” Peyron said last year. “We are continuing the trend of prioritizing the play-factor in our product range.”
Moving forward, the goal is to stand out. “Being that products are praised
for their uniqueness, the novelty candy category is where you find innovation,” she said. “We pushed innovation forward when releasing our TikTok-famous Slime Lickers in 2015. Due to the increased attention on the product from social media, we ended up creating a new sector within the novelty candy category: sour rolling liquid candy. Many brands have attempted to capitalize on this success by releasing sour rolling liquid candy products of their own but Slime Lickers reign supreme.”
On the chocolate side, Ferrero North America debuted a number of products at Sweets and Snacks Expo that fall in line with the idea of play and treat together.
“Throughout the past five years, Ferrero has launched several disruptive, top tier innovations in the market, such as Kinder Joy, Kinder Bueno, Ferrero Rocher Tablets, as well as seasonal products that have delivered incremental sales, units and profitability to the confections category,” said Jim Klein, Chief Customer Officer, Ferrero USA. “With this year’s lineup, our customers and consumers should expect the same level of disruptive innovation that will continue to deliver incremental sales and units by attracting new consumers, enabling Ferrero to continue growing the confections category.”
Kinder Chocolate, arriving in US stores this August, is a milk chocolate bar with creamy, milky filling crafted for kids. In 2017, Ferrero introduced the unique treat-and-toy Kinder Joy to parents in the US and it is now a top selling mainstream chocolate innovation. The more upscale “everyday premium” bar Kinder Bueno made its US debut in 2019 and has since grown into a $209 million brand in North America, reaching more than 13 million households. In 2020, Kinder launched chocolate seasonal items which has been steadily growing.
“Kinder, Tic Tac and our other iconic brands continue to excite current fans and attract new ones with smart, quality innovations,” said Catherine Bertrac, Senior Vice President Marketing Kinder and Mainstream Chocolate at Ferrero USA. “We are thrilled to bring new
treats like Kinder Chocolate to America and continue building on our tremendous momentum.”
Cross-brand collaborations have also presented opportunities for Candy Dynamics.
“We have gotten more into the world of licensing,” Peyron said last year. “We love to promote our new partnerships with brands that might not even be in the candy sector. Licensing has been and will continue to be a huge asset to the confectionery industry.”
While novel products are attention-grabbing, the Acosta Group study found that 30 percent of shoppers say they’re buying less candy than last year, citing high prices and health concerns. However, Candy Dynamics is offering solutions.
“Inflation has impacted all industries, including the confectionery industry,” Peyron said. “While consumers are paying closer attention to where and how they spend their money, they still want to treat themselves and candy provides an easy way to do so. To combat inflation, we have worked on creating a variety of packaging sizes for our products so consumers at every price level can enjoy candy from the Toxic Waste range.”
Meanwhile, Candy Dynamics is devoting resources, post-Sweets and Snacks Expo, to promoting its product extension of its Slime Lickers with two new flavors: Sour Apple and Black Cherry.
“We will promote this new product throughout the year and plan for more product releases from our company as well as from our licensing partners coming later on,” she said. “Rather than innovating into a completely new item, we listened to our customers and innovated on our most-popular item: the Slime Licker by introducing two new flavors. TikTok’s favorite candy just got even better!”
As the novelty candy category continues to grow, retailers have started to prioritize novelty candy in their store sets.
“We have noticed retailers building out sections specifically for novelty candy due to the increased interest from consumers,” she said.
1. Summer Fancy Food Show
June 25-27, 2023
Javits Center New York, NY www.specialtyfood.com
2. SuperZoo
Aug. 16-18, 2023
Mandalay Bay Convention Center Las Vegas, NV www.superzoo.org
3. Natural Products Expo East Sept. 20-23, 2023
Pennsylvania Convention Center Philadelphia, PA www.expoeast.com
4. NACS SHOW 2023
Oct. 4-6, 2023
Georgia World Congress Center Atlanta, GA www.nacsshow.com
5. NFRA Convention
Oct. 7-10, 2023
Marriott Marquis & Marina San Diego, CA www.nfraconvention.org
6. The Global Produce & Floral Show
Oct. 19-21, 2023
Anaheim Convention Center Anaheim, CA www.freshproduce.com
7. PLMA Private Label Trade Show
Nov. 12-14, 2023
Donald E. Stephens Convention Center Chicago, IL www.plma.com
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