In the US, commercial square footage of retail food space per capita last year set a record, with 4.15 square feet of food retail per person – nearly 30 times the amount of space allocated to groceries at major chains in 1950.
The impact is too many grocery shelves and fierce competition. Shoppers are also shopping less with their “big weekly shopping tasks” creating the daily need to draw in customers – especially the millennials that are snacking more with meals-to-go.
With the complexity of more stores (non-food stores) selling food, the competition is anxious – mergers are being contemplated – as well as price wars. Food retail is also undergoing fundamental changes with the wide-spread adoption of on-line shopping, leaving the shopper with many many choices.
To compete you must be relevant – compelling – different to stand out among the rest.