CART Weekly Report 5/23/19
CART, Advancing Retail
Gary’s Take: Food is absolutely the new medicine as a growing number of consumers rebel against the ever-exploding costs of healthcare and prescription drugs, and lose faith in the traditional medical profession. Consumers are increasingly looking elsewhere - their local supermarket? - for ways to improve their wellbeing. Over two thousand years ago Hippocrates called out “Let food be thy medicine and medicine by thy food”. Today, we are seeing AI and big data converging to transform the information available to the shopper to help guide the individual to foods actually beneficial to their wellbeing. Cutting edge nutrition science applied to nutritionally sensitive chronic health conditions, combined with expanded product nutrition data and sophisticated personalization engines, is poised to transform health & wellness and, more so, the greater food industry.
Gary’s Take: The Great Recession (2007-2009) was a decade ago - a lifetime in terms of the changes in consumer behavior technology has wrought and in how retailers go to market. Rather than pining for 'pre-recession' shopper behavior, retailers would be far better served to focus on the reality of today and the demands of tomorrow. Consumers today are different and shop differently than ever before in history, in large part because of technology enabling new ways to discover and learn about products and services and new ways to procure them. With so many retailers unprepared to do battle with Amazon, and ill-prepared to compete with the innovation being pursued by Walmart and Kroger, there is no time to focus on the past. Far too many retailers lack the data and capabilities needed to provide contextual relevancy to their shoppers and are slow to pursue automation that is driving a growing productivity gap. Time thinking about the 'good old days' may feel nice but won't deliver tomorrow's success.
Sterling’s Take: Anything that stays the same too long becomes stagnant, and that’s exactly what happens with a lot of loyalty programs. They can become expected, boring and less impactful over time if they’re not continually kept alive and exciting.The right metrics (basket sizes, lifetime value, customer profitability) give us an opportunity to see what’s really going on, but also to see and create new value for our customers.
Sterling’s Take: I like how this gives Kroger more insight and participation in the brand world. They have the data and insight they need from the most important place: the point of purchase. As a startup brand, it’s a relationship that’d be hard to turn down, but might cause conflict selling into other retailers. The relationship between retailers and brands is already complex and this adds another piece to the puzzle.
Sterling’s Take: It’s always best to tell the truth in the long run. Although I don’t know how Rothy’s was so close to the launch before realizing quality was an issue, growing pains are natural. Consumers are ready, willing and understanding of things that don’t go as planned as long as we’re open and honest (and have a plan to make it better).
FEATURED BLOG OF THE WEEK:
IT'S ALL ABOUT RELATIONSHIPS by Gary Hawkins, CEO CART
UPCOMING ON-SITE INNOVATION DAYS - Specifically looking for the following solutions to apply to present:
- Wakefern - June 29, 2019: In-store Engagement - Digital Marketing - Data and Personalization Tools (Apply by May 25, 2019)
- Food City - July 15, 2019
TEDx CHULA VISTA - How Leaders Innovate - May 25, 2019 at Southwestern College
CART Co-Founder, Sterling Hawkins will be speaking on How Leaders Innovate
DISRUPTIVE LEADERSHIP & THE SELFCARE REVOLUTION, Boston Immersion Event - Hosted July 17 & 18th, 2019
OUTLOOK LEADERSHIP - August 11-14, 2019 in Asheville, NC
The convenience industry’s premier, invitation-only event, that you cannot afford to miss. In a world of accelerating change, where we are going and how do we build our organizations to thrive there? Sterling Hawkins will take attendees on a retail journey.
C-Store operators can register today at https://outlookleadership.com/ using Invite Code: power
REFLEXIONS 2019: INTELLIGENT RETAIL - August 12-15, 2019 at Caesars Place in Las Vegas
GROCERYSHOP - September 15-18, 2019 at the Venetian in Las Vegas
CART COMMUNITY. GET ON THE INSIDE. MEMBERSHIP HAS BENEFITS.
Become part of the epicenter of retail innovation exclusive network. The place where retail decision makers and solution providers come together to advance retail into the future.
FOR RETAILERS>> Proven programs to advance your business
FOR SOLUTIONS>>Your growth engine into retail
VIEW ALL SOLUTIONS HERE
TELL ME HOW TO GET MY SOLUTION ADDED TO CART
Get the CART Weekly Report delivered to your inbox. Sign up here.
About the Author
CART is Advancing Retail by connecting the industry to innovation. Retailers, wholesalers and brands utilize CART to find, research and connect with solutions appropriate for their businesses. Solution providers use CART as a go-to-market tool that connects them directly to their target retail audience, all the way into the brick and mortar store itself. CART has unparalleled insight into what’s next in retail and shares this information regularly through multiple channels.
CART Registered Due Diligence:
First level due diligence ensuring the solution is valid and viable.