10 Grocerant Niche Success Clues for 2025

 

Digital hand-held technology, specifically smartphones, has driven a decline in traditional network TV viewing, reshaping how and where consumers eat, according to Steven Johnson, Grocerant Guru® at Tacoma, WA-based Foodservice Solutions®. As consumer behavior evolves, the perceived value of a product or brand can shift. The team at Foodservice Solutions® understands that consumers are dynamic, not static. Here are 10 success clues to keep your food-focused brand relevant and thriving in 2025:

1.       Symbolism: Why You Are There! The most successful food brands are inclusive and embody values beyond their products. Think of Panera Bread's commitment to clean eating or Ben & Jerry's stance on social justice. These brands connect emotionally with consumers, fostering loyalty beyond taste alone.

2.       A Story: Narratives That Resonate Consumers crave authenticity. Shake Shack started as a simple hot dog cart in Madison Square Park before evolving into a global phenomenon. Similarly, KFC’s Colonel Sanders' story of perseverance adds depth to the brand, making it more than just fried chicken.

3.       A Track Record: Proof of Performance Reputation matters. Brands like McDonald's and Dominos have built consumer trust through consistent quality and service. A new food business must prove itself through customer satisfaction, quality ingredients, and reliable service before truly becoming a trusted brand.

4.       Trust: The Foundation of Loyalty Trust in food safety, ingredient sourcing, and transparency is paramount. Chipotle recovered from food safety crises by doubling down on supply chain integrity and transparency, proving that regaining trust is possible with the right commitment.

5.       Expectation: Delivering on Brand Promises When customers choose a brand, they expect a specific experience. Starbucks customers anticipate a personalized drink made just for them, while Chick-fil-A is known for impeccable service. Setting and meeting expectations consistently is key to long-term success.

6.       Differentiation: Standing Out in the Crowd Unique selling points create memorable brands. Cava differentiates itself with fresh, customizable Mediterranean meals, while Jeni's Splendid Ice Creams gains a cult following through unique flavors and premium ingredients. Find what sets your food brand apart and amplify it.

7.       Imitators: Flattery and Competition When competitors try to replicate your model, you know you've created something valuable. Sweetgreen’s rise led to similar fast-casual salad concepts, just as Beyond Meat and Impossible Foods revolutionized plant-based protein, sparking an industry-wide shift.

8.       Market Leadership: Setting the Standard The best brands lead their categories. Domino's pioneered pizza delivery tracking, inspiring others to follow. Whole Foods Market set the benchmark for organic grocery retail. Leadership means continually innovating and setting the industry pace.

9.       Adaptability: Evolving with Consumers Brands that resist change become obsolete. Taco Bell thrives by adapting to trends, from value menus to plant-based offerings. Meanwhile, Dunkin' transitioned from donuts to a coffee-forward strategy, rebranding as simply "Dunkin'." Adaptability ensures relevance.

10.   A Strong Marketing Presence: Staying Top of Mind Visibility fuels success. While social media is powerful, brands like Subway, Wendy's, and Popeyes still invest in broad marketing efforts, from TV ads to influencer collaborations. Effective marketing blends digital innovation with traditional reach.

Think About This:

The grocerant niche thrives on dynamic consumer engagement, adaptability, and strong brand identity. By embracing symbolism, storytelling, trust, differentiation, and innovation, food brands can remain competitive and compelling. Success in 2025 requires not only a great product but also a commitment to transparency, leadership, and marketing excellence.

Steven Johnson is the Grocerant Guru® at Tacoma, WA-based Foodservice Solutions®. With extensive experience as a multi-unit restaurant operator, consultant, and brand positioning expert, he provides insight into the evolving food industry. Visit Foodservice Solutions® and or Grocerant Guru® or call 1-253-759-7869 for more information.

How Food Retailers Can Add New Electricity to Their Brand

 

In today’s dynamic food retail landscape, relevance drives trial and adoption according to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®. As consumer preferences evolve, food retailers must continually seek the “new electricity” to propel their brand forward. But what exactly is this new electricity?

According to industry expert Johnson, “Brand relevance is, in part, driven by innovation in new food products combined with emerging avenues of distribution. These factors form the foundation for the new electricity.”

The New Electricity: Where Innovation Meets Demand

The modern food industry is shaped by shifting consumer behaviors, technological advancements, and market trends. To remain competitive, food retailers must integrate the latest innovations, including:

·         Fresh, high-quality foods: Fresh food sales account for nearly 60% of grocery revenue, making it essential for retailers to invest in premium fresh offerings.

·         Experiential marketing: Free food sampling has been proven to increase sales by up to 200%, offering consumers a low-risk way to engage with new products.

·         Grocerant positioning: The grocerant sector—blurring the lines between grocery stores and restaurants—is growing at a rapid pace, appealing to time-starved consumers seeking convenient, restaurant-quality meals at home.

·         Autonomous delivery & cashier-less retail: The rise of AI-driven automation, from checkout-free stores to drone and robot delivery, enhances efficiency and consumer convenience.

·         Digital engagement & mobile-first marketing: With 90% of consumers using smartphones while shopping, integrating cashless payments and handheld digital marketing strategies is critical to enhancing the customer journey.

·         Private label & brand development: Store-brand sales now account for over 20% of grocery purchases, reinforcing the importance of developing exclusive, high-quality products that build brand loyalty.

Strategies for Enhancing Food Retail Success

To captivate consumers and drive sales, retailers must embrace these core strategies:

1.       Visceral Presentation – Freshness isn’t just about quality; it’s about perception. Attractive packaging, vibrant displays, and strategically placed merchandising encourage impulse purchases and reinforce the value proposition.

2.       Bundling & Meal Solutions – Consumers seek convenience. Offering bundled meal components tailored to individual family preferences simplifies decision-making and increases basket size.

3.       Personalized Portioning – With 60% of consumers prioritizing portion control, allowing customization in quantity and quality enhances the customer experience and reduces food waste.

4.       Strategic Convenience – Store locations, especially those positioned along commuter routes, are key to capturing impulse and routine purchases.

5.       Time-Saving Value Proposition – As meal preparation times shrink, retailers must highlight the cost-benefit analysis of fresh, ready-to-eat options versus cooking from scratch.

The Grocerant Evolution: Balancing Familiarity with Innovation

Differentiation does not mean being drastically different—it means being familiarly innovative. The grocerant niche continues to build top-line revenue and bottom-line profits the old-fashioned way: by giving consumers something new yet comfortingly familiar. By aligning with changing eating habits and embracing cutting-edge retail trends, food retailers can unlock the full potential of their brand’s new electricity and ensure long-term success.

Success does leave clues. One clue that time and time again continues to resurface is “the consumer is dynamic not static”.  Regular readers of this blog know that is the common refrain of Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions®.  Our Grocerant Guru® can help your company edify your brand with relevance.  Call 253-759-7869 for more information. 

The Grocerant Revolution: How Mix-and-Match Meal Components Are Winning Over Consumers

 

What do consumers think a Grocerant is? According to Steven Johnson, the Grocerant Guru® at Tacoma, WA-based Foodservice Solutions®, the man who coined the term "Grocerant," it is "any retail food item that is fresh prepared Ready-2-Eat or Heat-N-Eat." Traditionally, these items have been found in grocery store service delis, convenience store prepared food sections, and restaurant takeout, drive-thru, and delivery menus. However, the grocerant niche has expanded significantly and now includes supermarkets, service delis, convenience stores, dollar stores, virtual restaurants, food trucks, home meal delivery companies, and retailers like IKEA, Macy’s, and Costco.

The Expanding Grocerant Universe

Grocerant fresh food has transcended traditional retail boundaries. Increasingly, brands such as IKEA, Ralph Lauren, Barnes & Noble, Nordstrom, and even warehouse clubs like Costco are leveraging fresh food to enhance customer engagement and drive sales. Digital innovation has further accelerated this trend, enabling food trucks, food carts, pop-up restaurants, and virtual kitchens to compete for consumer dollars. The result? A food marketplace that prioritizes portability, convenience, and mix-and-match meal component bundling.

Fast-food drive-thru’s and delivery services have been pivotal in pushing the home meal replacement (HMR) trend forward. With 75% of all quick-service restaurant (QSR) orders in the U.S. now coming from drive-thru’s, according to QSR Magazine, the demand for convenient, Ready-2-Eat solutions has never been higher. Simultaneously, restaurant delivery sales have surged, growing by more than 85% since 2019, per the National Restaurant Association. This surge has conditioned consumers to expect meal solutions that are hot, fresh, and require minimal preparation. Grocerant offerings align perfectly with this shift, bridging the gap between restaurant-quality food and at-home dining.

Why Grocerants Are Winning the Battle for Share of Stomach

At noon, most consumers haven’t decided on dinner. In fact, 81.3% of American consumers are unsure of their dinner plans at noon, and 64.6% are still undecided at 4 PM, according to Foodservice Solutions® Grocerant ScoreCards. This last-minute decision-making fuels demand for high-quality, convenient meal solutions.

Changing household dynamics further reinforce the grocerant trend. According to the U.S. Census Bureau, 62% of U.S. households now consist of just one or two people. These smaller households are far less likely to cook from scratch and instead favor portioned, Ready-2-Eat and Heat-N-Eat meal solutions that eliminate food waste and reduce preparation time. Fast-food chains, which have long dominated the single-meal segment, are now facing increased competition from grocery stores and convenience stores that offer meal bundles tailored for one or two people.

Today’s time-starved consumers prefer meal components they can bundle into a personalized family meal without the hassle of cooking from scratch. Supermarkets and convenience stores have capitalized on this, expanding their fresh-prepared food offerings. As a result, they are not only capturing market share from traditional restaurants but also cannibalizing legacy CPG sales, creating a major industry shift.

Presentation Matters: The Retail Struggle with Fresh Food

Many legacy grocery stores suffer from a fresh food presentation problem. Ready-2-Eat and Heat-N-Eat offerings must look fresh and taste great, yet many grocery and C-store chains struggle with the visual appeal of their prepared foods.

Restaurants have a clear advantage when serving plated meals designed for immediate consumption (“food for now”). Retailers, on the other hand, primarily sell “food for later,” which is often pre-packaged and visually unappealing. This can reduce consumer expectations and limit sales potential.

A key example of overcoming this challenge is Wawa, which ensures that its ready-to-eat foods look fresh and enticing in to-go packaging. By exerting control over the presentation, branding, and bundling of meal components, Wawa enhances consumer confidence and drives incremental sales.

The Future of Grocerants: A Global Phenomenon

Across the world, department stores, shopping malls, and airport kiosks are integrating grocerant-style offerings. Consumers can now grab everything from fried chicken, mashed potatoes, and casseroles to sushi, steak, and single-portioned desserts. These items are available for pickup or delivery, making mealtime more convenient than ever.

With meal delivery projected to exceed $220 billion globally by 2027, grocerants are perfectly positioned to capitalize on evolving consumer behavior. Retailers that offer drive-thru pickup, app-based ordering, and meal kit bundling will continue to gain market share from traditional grocery stores and restaurants alike.

Think About This: The Grocerant Model Redefining Meal Solutions

The grocerant niche represents the blurring of lines between restaurants and grocery stores, catering to time-starved consumers with Ready-2-Eat and Heat-N-Eat fresh-prepared meals. By allowing customers to mix and match meal components into a perfect family meal, grocerants have reshaped the food industry, offering both in-store and takeout solutions that drive customer adoption and long-term brand success. As drive-thru’s and delivery services continue to dominate food sales, grocerants stand as the next frontier in the evolution of convenience-driven meal solutions.

Don’t over reach. Are you ready for some fresh ideations? Do your food marketing ideations look more like yesterday than tomorrow? Interested in learning how Foodservice Solutions® can edify your retail food brand while creating a platform for consumer convenient meal participation, differentiation and individualization?  Email us at: Steve@FoodserviceSolutions.us

Food Marketing Calendars in TRUMP 2.0

 

The restaurant industry has long relied on food marketing calendars to drive menu innovation, seasonal promotions, and consumer engagement according to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®. But in a politically charged environment where tariffs, supply chain disruptions, and fluctuating commodity prices loom large, menu planning in TRUMP 2.0 could become more complex than ever before. With shifting policies on trade, labor, and energy, restaurants and food retailers must brace for unpredictable economic headwinds that could disrupt both ingredient availability and pricing.

The Problem: Political Volatility Meets Menu Planning

Restaurants thrive on consistency, but political decisions—especially regarding tariffs and trade agreements—can send shockwaves through the supply chain. From farm to fork, operators will have to rethink their approach as they contend with rising costs and shortages.

Three Key Disruptions Likely to Impact Foodservice

1.       Fresh Produce: Tariffs & Import Restrictions
Many fresh produce items, such as avocados, tomatoes, and citrus, are heavily imported. Potential new tariffs on Mexican and South American produce could significantly increase costs, forcing restaurants to either absorb the cost or pass it on to consumers. Additionally, labor shortages due to immigration policy changes may affect domestic farming output, reducing availability of key ingredients.

2.       Meat & Bakery: Grain & Feed Cost Volatility
Meat and bakery products are especially vulnerable to supply chain disruptions. Increased tariffs on grain imports would raise livestock feed prices, impacting beef, pork, and poultry costs. Additionally, disruptions in wheat and corn pricing could drive up bakery and tortilla costs, making staple menu items like sandwiches, burgers, and breakfast offerings more expensive. Restaurants depending on flour-based goods could see profit margins squeezed.

3.       Packaging & Gasoline: Rising Transportation Costs
Supply chain logistics depend heavily on fuel and packaging. If gasoline prices rise due to changes in energy policy or geopolitical instability, the cost of transporting food and beverage products will skyrocket. Meanwhile, tariffs on imported paper and plastics could inflate the cost of takeout packaging, forcing brands to either find local alternatives or raise menu prices.

Four Safe Planning Strategies for Restaurants in TRUMP 2.0

1.       Diversify Supplier Relationships
Restaurants should establish relationships with multiple vendors—both domestic and international—to hedge against supply chain disruptions. Seeking out regional producers for key ingredients can mitigate the impact of tariffs and transportation cost increases.

2.       Adjust Menus with Seasonal & Local Ingredients
A flexible, rotating menu that emphasizes local and seasonal ingredients can help offset cost volatility. Instead of relying on year-round imported produce, leveraging local farmer partnerships can provide cost stability and promote sustainability.

3.       Rework Packaging & Delivery Models
With potential increases in packaging and fuel costs, restaurants should explore alternative packaging solutions, such as compostable materials sourced domestically. Additionally, partnering with delivery companies that optimize routes and fuel efficiency can help control delivery costs.

4.       Proactive Consumer Messaging & Transparency
Transparency with customers about price changes, ingredient swaps, and menu adjustments will be critical. Restaurants should use their marketing channels to communicate these shifts in a way that reinforces brand authenticity. Messaging that educates consumers on why certain changes are occurring—while highlighting sustainability or quality improvements—can build trust and brand loyalty.

Don't Be Silent

Think About This

The restaurant industry has always been resilient, but menu planning in TRUMP 2.0 will require even more agility. Political shifts, tariffs, and supply chain turbulence will create challenges, but smart operators who plan ahead can turn potential disruptions into opportunities. By staying ahead of economic changes, sourcing strategically, and crafting thoughtful messaging, restaurants can not only survive but thrive in the coming years.

Invite Foodservice Solutions® to complete a Grocerant ScoreCard, or for product positioning or placement assistance, or call our Grocerant Guru®.  Since 1991 Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche. Contact: Steve@FoodserviceSolutions.us or 253-759-7869

Restaurant Labor Costs at the Intersection of Service and Price

 

In today's hyper-competitive restaurant landscape, operational efficiency and customer satisfaction walk hand-in-hand. Yet, labor costs—a significant part of operating expenses—sit at the heart of every restaurant’s service and pricing strategy according to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®.

At the intersection of service quality and price sensitivity, restaurants either win or lose customers based on key touchpoints. Slow drive-thru times, delayed table service, incorrect orders, inconsistent food temperatures, and unclean environments are deal-breakers for many diners. Here's a deep dive into how these factors affect the bottom line and actionable ways to address them.

 

Key Drivers of Customer Dissatisfaction

1. Slow Drive-Thru Times
The average drive-thru time in the United States has steadily increased, reaching over 6 minutes per vehicle in 2023, according to food industry studies. Consumers expect speed, particularly during peak periods like breakfast and lunch. A National Restaurant Association (NRA) survey found that 62% of customers will reconsider revisiting a restaurant with repeated slow service, irrespective of their loyalty to the brand.

2. Delayed Table Service
Casual dining faces its own set of challenges, with labor shortages exacerbating slow table service. When diners wait too long to order, receive their food, or pay the bill, the experience diminishes significantly. Data shows that nearly 45% of consumers abandon plans for dining out if previous visits were marked by sluggish service.

3. Incorrect Orders
Order accuracy affects loyalty. Studies reveal 69% of customers stop patronizing a restaurant after repeated instances of wrong orders. This issue is often linked to staff training and efficiency, underscoring the importance of seamless operational flow.

4. Food Temperature Matters
Hot food should be hot, and cold items should stay cold. Yet, inconsistent food temperatures continue to plague restaurants, resulting in more than 50% of returned orders at quick-service and casual dining establishments. For takeout and delivery, insulated packaging plays an even bigger role in ensuring customer satisfaction.

5. Cleanliness Concerns
From spotless bathrooms to clean booths and tables, a sanitary environment signals a commitment to customer safety and comfort. In a 2022 food safety survey, 76% of respondents rated cleanliness as their top priority for dine-in restaurants. Dirty entryways, tables, or restrooms often prompt diners to leave without placing an order, making this issue a silent profit killer.

 

Actionable Steps for Winning and Retaining Customers

1. Streamline Labor Allocation
Proper workforce planning ensures peak efficiency during high-volume hours. Real-time scheduling software, for instance, allows managers to match labor needs with demand, reducing bottlenecks during peak times in the drive-thru or dining room.

2. Focus on Training for Accuracy
Investing in staff training improves order accuracy and reduces waste. Many quick-service restaurants utilize technology, such as dual confirmation systems, to ensure orders are correct at the point of sale and fulfillment.

3. Prioritize Technology Adoption
Digital tools can offset labor constraints without increasing costs significantly. Mobile apps, self-order kiosks, and automated kitchen systems enhance accuracy and streamline processes, allowing staff to focus on customer engagement.

4. Maintain Food Quality Standards
Develop operational protocols for maintaining proper food temperatures from preparation to service. Solutions such as infrared heat lamps and insulated delivery bags ensure items remain at the desired temperature.

5. Upgrade Cleaning Protocols
Frequent restroom checks, consistent surface sanitization, and well-organized entrances convey a strong impression of cleanliness. Employee accountability can be strengthened by implementing signed cleaning logs for public areas.

6. Use Customer Feedback for Continuous Improvement
Surveys, social media, and review platforms provide invaluable insights into what matters most to customers. Incorporating this feedback into operational strategies is crucial for retaining existing customers and winning over new ones.

Balancing Service and Price: A Winning Strategy to Build a Larger Share of Stomach

Customers are willing to pay more for quality service, but poor experiences often negate the perceived value of competitive pricing. Restaurants that invest in their staff, leverage technology, and commit to customer-focused strategies succeed in reducing labor inefficiencies and enhancing the guest experience. Conversely, neglecting these areas not only inflates costs but also erodes customer trust and loyalty.

 

Think About This

At the intersection of service and price, the equation is clear: labor cost investments translate directly into customer satisfaction and operational success. Restaurants that address common pain points—speed, accuracy, cleanliness, and food quality—position themselves for long-term growth while avoiding costly churn. Winning new customers or keeping current ones boils down to consistency. Every detail matters when competition is just a click—or a short drive—away.

Looking for success clues of your own? Foodservice Solutions® specializes in outsourced food marketing and business development ideations. We can help you identify, quantify and qualify additional food retail segment opportunities, technology, or a new menu product segment.  Foodservice Solutions® of Tacoma WA is the global leader in the Grocerant niche visit us on our social media sites by clicking one of the following links: Facebook,  LinkedIn, or Twitter