Notable Quotable - Christine Heffernan, Topco Associates

“Our category management team is seeking to expand our premium assortment in categories like snacks, sauces, condiments, sweets, frozen entrees, globally inspired cuisine, in-store bakery, refrigerated entrees and frozen seafood.”

- Christine Heffernan, SVP, Center Store Sourcing and Supply Chain, Topco Associates, said during a recent PLMA Lunch and Learn presentation.  Click here to watch the presentation.

Trend Alert: Free Turkey

Weis, Giant Eagle and ShopRite are among the retailers offering free private label turkeys to shoppers who spend a certain amount in their stores in the weeks leading up to Thanksgiving.

Report: 27% of Shoppers Won’t Buy Locked-Up Products

More than a quarter of shoppers say a retailer loses their purchase when items are locked up, according to “Unlocking Shopper Reactions to Secured Products,” a new report from Numerator, based on a survey of over 5,000 consumers.

Among the results:

Sixty-two percent of shoppers say they typically wait for assistance when they encounter locked up merchandise, and 9% say they order the item online from that same retailer.

However, 17% say they will switch retailers (10% online, 7% in-store), and 10% say they will abandon the purchase altogether.

Shoppers are less willing to wait when everyday goods are locked up. Only 53% of shoppers say they'll wait for assistance if bath & body products are locked up; 56% for makeup and cosmetics; and 57% for personal hygiene products.

Shoppers most often see locked-up items at drug stores and mass retailers. The stores where consumers see the most product lock-ups are mass retailers (68% of consumers), drug stores (62%), grocery stores (31%), department stores (25%), and home improvement stores (23%). Dollar stores (18%) see the lowest levels of lock-ups, according to the survey.

Drug stores provide better assistance accessing locked-up merchandise. At a retailer level, CVS (+16%), Walgreens (+12%) and Target (+12%) had the highest net ratings for easy assistance retrieving locked items, while Walmart (-13%) had the lowest. Net ratings showcase the difference between the percent of consumers who say getting assistance is easy and the percent who say it is difficult.

Phones and tablets are often under lock and key. The most commonly observed locked-up items are personal electronics (58% of consumers report seeing), OTC medications (38%), physical media (36%), personal hygiene products (34%), makeup & cosmetics (33%), large electronics (32%), and accessories (29%).

Survey: Social Commerce Has Shopper Trust Issues

Trust and security are large factors when it comes to consumers deciding to shop on social commerce platforms or not, according to a new survey from e-commerce SaaS company AfterShip and polling partner Ipsos.

Three-quarters (76%) of respondents browse social commerce platforms for products, but buy through a retailer's website, primarily due to trust and security concerns (41%), according to the survey of 1,000 Americans, ages 18 and up.

Over half (52%) don't trust social media platforms, such as TikTok Shop and Instagram Shopping, but say they would use social commerce if the platforms felt more trustworthy (44%) and secure (28%), according to the survey.

The survey found that 79% of Americans use social media weekly, with 63% finding social commerce platforms “excellent” for inspiration and ideas. More than half (52%) of those surveyed have made a purchase on social media in the past.

Despite some trust issues overall, younger shoppers are embracing social commerce, with one-third (34%) of 18-to 34-year-olds shopping on social media weekly. Nearly two-thirds (65%) of the age cohort are likely to continue shopping on social media platforms in the future, while only 15% said they are not at all likely to.

When it comes to online shopping overall, the survey found that consumers’ purchase decisions are primarily motivated by sales and promotions (87%), followed by reviews from other customers (78%). Nearly four-in-10 (38%) respondents say that a brand’s social content motivates them, while 34% cite live shopping videos as a factor and 31% of consumers say they are impacted by influencers.

"Shoppers browse online for trends, so authentic reviews, detailed descriptions, and personalized product recommendations help them visualize how products fit their lifestyle," Arinze Okonkwo, head of customer success at AfterShip, said in a statement. "Our research suggests retailers should leverage their social presence to build trust and showcase products. Social commerce is an evolving part of e-commerce, and we're all learning as we go."

Upcoming New EU Novel Food Rules

Starting in February 2025, updates will apply to all novel food applications submitted to the European Commission. The European Commission tasked the European Food Safety Authority (EFSA) with updating the guidance on how to prepare and submit applications to market novel foods in the EU. This update consists of two key documents:  

The first is scientific guidance, detailing the necessary scientific data that applicants must submit. The second, administrative guidance, outlines the step-by-step process for submitting applications, managed by EFSA’s front-desk support team.

These changes are crucial for businesses, including those in the emerging sector of cell culture-derived foods. Since the initial rollout of novel food regulations in 2018, substantial data has been gathered, enabling EFSA to refine its approach and specify clearer definitions and data requirements. This evolution aims to enhance the quality of applications and improve efficiency in the review process.

EFSA maintains a nine-month timeframe for completing risk assessments. By providing more comprehensive guidance at the outset, the hope is to reduce the need for further back-and-forth between applicants and EFSA, thereby expediting approvals.

Once EFSA grants approval, companies will need to consult with the European Commission and relevant national or local authorities to ensure compliance with marketing and labelling requirements.

Retail Buying Alliances on the Rise: Eurocash and EMD Expand

Wholesaler Eurocash Group in Poland has set up a purchasing alliance among its local retail chains associates. The alliance is called Równi w Biznesie (Equal in Business) and includes 15,5000 franchise and partner stores.

This move comes in response to the intensifying price competition within the country and the growing dominance of discount chains. By analysing disparities in product offerings between supermarkets, discounters, and local stores, Eurocash aims to empower its partners with stronger negotiating leverage for better trading terms.

On the international front, the European Marketing Distribution (EMD) group has expanded its reach by welcoming South Korean Lotte group as a new associate member. Lotte is one of the largest retailers in South Korea, with branches in China, Indonesia, Japan and Vietnam. It has a turnover of around €50 billion. The retailer is also involved in convenience chain 7-Eleven.

Lotte wants to further develop its own brand with the help of EMD. For European members of the association, the collaboration offers potential opportunities for the introduction of Asian concepts.

The EMD alliance consists of 14 members and partners, covering 250 grocery retail chains in 18 countries, representing 56,000 points of sales, cumulating a potential consumer turnover of €175 billion in Europe.

Packaging 2025: Navigating the Future of Innovating Solutions

The use of plastic has faced increasing scrutiny across industries as consumer awareness of environmental impacts grows. Nowhere is this more evident than in food and drink packaging, a sector under immense pressure to align with evolving consumer expectations and comply with new governmental standards. To stay competitive, innovation will be crucial in finding practical, sustainable alternatives to traditional plastic.

Eco-Conscious Consumers Shift Buying Behaviours
A report by Mintel highlights that 30% of consumers would be influenced by a rating scale indicating a product's environmental impact. This shift towards sustainability has tangible effects on purchasing habits; in Germany, 36% of shoppers prioritised minimally packaged products in 2024.

Key Packaging Trends Leading Up to 2025:

1. Reducing Plastic Usage
The most straightforward trend centres on cutting down plastic usage in packaging. While a complete ban on plastic is not feasible due to its essential protective and preservative properties, companies are actively redesigning packaging to minimise material use. This approach helps balance sustainability with practical needs, tapping into a growing consumer demand for eco-friendly solutions.

2. Challenges with Circularity and Refill Systems
Circular packaging and refill schemes are gaining traction, yet they come with their own set of challenges. These initiatives demand a significant change in consumer habits, but they present a way for businesses to meet eco-conscious expectations. Recyclable packaging can address plastic waste concerns and bolster brand image. Supermarkets are experimenting with such measures; for instance, Asda’s introduction of refill stations has proven popular, reinforced by a "refill price promise" that makes these products more economical than their pre-packaged counterparts.

3. Tackling Food Waste with Smarter Packaging
While plastic pollution garners significant attention, food waste is another environmental issue that cannot be ignored. Packaging must strike a balance between sustainability and functionality by ensuring products stay fresh for as long as possible. This aspect presents an opportunity for companies to highlight how their packaging contributes to reducing food waste and extending product shelf life. Brands with shelf-stable goods can benefit by better communicating these advantages to consumers.

Looking ahead, industry experts, including Benjamin Punchard, Global Packaging Insights Director at Mintel, will explore these developments in detail at PLMA’s upcoming Packaging Conference on 30 January 2025 in The Hague, offering valuable insights for retailers and manufacturers aiming to stay ahead in the evolving packaging landscape. For more information about the conference click here.

Supermarkets Harness the Power of TikTok for Growth

The rapid rise of TikTok as a marketing tool has transformed how retailers, particularly supermarkets, engage with customers. The platform provides an avenue to highlight unique products, showcase innovative recipes in an engaging format, and even attract tourists to stores abroad that have gained popularity through viral trends.

One prime example is a simple cucumber salad recipe that amassed over 15 million views, leading to a surge in demand and cucumber shortages in supermarkets. Marks & Spencer (M&S) has also seen significant traction on TikTok, notably with its Big Daddy chocolate bar. Individual M&S stores across the UK have delighted audiences by participating in popular TikTok challenges, including lip-syncing and dancing during working hours, offering a glimpse into store culture and boosting brand visibility.

Rossmann has created a special channel for its popular own brand Isana: @isana_rossmann. The new face of the TikTok presence, which will significantly shape the channel as a content creator, is now being sought. The search for the new Isana Face is closely accompanied via the social media platform. This form of recruiting as well as the created vacancy are unique in the industry to date.

Tesco has taken a strategic approach, incorporating TikTok trends into its in-store features, such as salad creation stations and “High in Protein” displays, mirroring the platform's healthy eating fads. “This trend is driven by younger consumers, particularly on social platforms like TikTok and Instagram, where influencers share protein-rich recipes and highlight their nutritional benefits,” a Tesco spokesperson noted.

TikTok has revolutionised product discovery for Gen Z shoppers, reinforcing its role as a powerful driver of marketing success. Retailers have an opportunity to engage this audience not just with food but with experiences, novelties, and recognising that young consumers want to feel seen. In addition, many have let their store staff to post authentic relatable content.

Notable Quotable: Erin Wisecup, Fareway

“This brand was created with busy parents in mind. The hope is that you find joy in mixing and matching items to create something uniquely yours.”

•   Erin Wisecup, category director at Midwest grocer Fareway, said about the launch of Truly Yours, which includes truffles, mini pies and sandwich cookies. Future products include snack mixes, wheat berry bread, organic pasture raised eggs, trail mixes, pasta meal kits, pasta and salad kits.
 

TREND ALERT: Crunch Time

Whole Foods Market’s organic spicy sesame garlic crunch is among the growing number of crispy products on store shelves. Grains, granola, sprouted and fermented nuts, roasted chickpeas and mushroom chips add texture to breakfast, lunch and dinner, according to Whole Foods Market’s Top 10 Food and Beverage Trends for 2025.