Thought Leadership In Deli Merchandising

The desire for value, convenience and novelty are driving suppliers of the grocery deli counter to continue their focus on bringing something unique to consumers, in a way that also appeals to existing taste preferences. American households are now privy to a greater range of fresh cuisine options that require minimal preparation at home, spurring many to stop at their grocer’s deli rather than make a fast food pit stop to feed busy families.

Rick Clark with Texas-based United Supermarkets said last year consumers have been very receptive of its Ready Meal program. “This is a program of grab and go meals, entrees or side dishes that are either ‘ready to cook,’ ‘ready to heat’ or ‘ready to eat,’” he explained. “These items are a great alternative to the drive-through fast foods with high quality, made fresh solutions that also meet their needs for a quick and easy meal for those families with busy lives that are always on the go, or even if you just want to take a break from all the meal preparation. We have more than 600 items to choose from and each of the stores are scaled based on size and volume as to how many items they carry daily, and item curation for each store is customized to their guests’ needs and wants.”

Advanced Fresh Concepts (AFC), a supplier of sushi and assorted Asian foods, relies on its partners’ feedback about customer requests to help tailor its product development, which this year features its new Latin Fusion line. “We value the feedback and input we receive from our retail partners,” said Deborah Bush, Brand Development Manager. “Understanding their needs and preferences helps us inform our R&D team. One of the key themes we hear consistently is the desire for greater variety and innovation. To address this, our innovation team has been working closely with our retail partners to develop new recipes and menu items that will resonate with their customers. For example, we have introduced Latin Fusion products in response to demographic shifts and a growing demand for fusion flavors. In addition, we are focusing on improving our marketing efforts to build product awareness to increase basket size and shopper frequency. As we move forward, we remain committed to listening to our partners and surpassing their needs for innovative, high-quality products executed by operations excellence.”

This commitment is driven by the company’s core values: “making safe and delicious sushi accessible to all Americans at an affordable price, never compromising on quality,” Bush said. “We also bring the legacy of Japanese culture and food customs to life in America, innovating exciting new sushi experiences that blend Japanese heritage with American food preferences. In addition to these core values, we prioritize our continuous improvement mindset, drawing on our commitment to drive innovation and excellence in everything we do. We take pride in sourcing the highest quality ingredients and have set the standard for the industry’s best practice, from product innovation to partner management. As a result, we have earned the trust and loyalty of our retail partners who know they can depend on us to deliver consistent quality and unparalleled service. Through these leadership qualities and actions, we honor our heritage and our company’s past, present and future, by committing to doing what is right for our partners and customers.”

Carl Cappelli, SVP of Sales and Business Development for Don’s Prepared Foods, makers of unique sides and meal solutions, said the company did well in the first quarter of the year, particularly with dips, spreads and grain salads. “Don’s innovates new items that are clean and globally inspired flavors,” he said. “[We’re] introducing items that others do not have. Don’s makes its mark through consistent, high quality, food safe (SQF), innovative new items and customer vision.”

Consistency has been a key factor in AFC’s success and longevity. “AFC has established itself as the most dependable supplier in the grocery industry by consistently delivering high-quality sushi and other Asian foods that meet the evolving demands of consumers,” said Bush. “We have made our mark in the deli category by offering a wide range of sushi products that appeal to a variety of tastes and preferences, including vegetarian and gluten-free options. Our promise to strict quality standards and sustainability commitment has earned us a reputation for providing safe and delicious products that customers can trust. In addition, we take great pride in being the pioneer in making sushi and other Asian foods accessible and approachable for all Americans in the supermarket deli category. Our innovative approach to product development, operations and partner management has set the standards for the industry, and we continuously strive for excellence in everything we do—the trusted partner for retailers looking to offer high-quality Asian foods to their customers.”

Along with product development, AFC ensured a successful first quarter this year focusing on strengthening its services and finding ways to bring more value to consumers. “In Q1 of fiscal year 2023, we had several successes that demonstrate our commitment to moving the deli category forward through innovation and incremental growth,” Bush said. “Despite the inflationary pressures affecting the industry, we finished the quarter strong; thanks in part to our expanded e-commerce and third-party delivery capabilities, developed in collaboration with our grocery partners. This investment in technology and logistics is helping us reach more customers, providing them with a seamless, convenient experience.”

AFC has also helped temper the impact of inflation on consumers’ pocketbooks by introducing value packs. “In Q1, we launched value packs that have been popular with our customers, particularly those who are most affected by inflation,” she said. “This product line has driven incremental growth and helped us to retain our existing customer base.”

People want a good meal without needing to put in the time and effort to make it, said Clark. “There are great options besides the old burger or chicken tenders. Now they can let someone else do the preparing and they can do the enjoying."

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