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MEXICAN HOLIDAY GETTING HOT

Produce executives are discovering a reason to party during the weeks between Easter and Mother's Day.Cinco de Mayo -- the May 5 holiday that commemorates Mexico's defeat of the French in 1862 -- is gaining a small but growing following outside Hispanic markets, according to produce merchandisers and buyers interviewed by SN.The holiday has long been important for supermarkets that serve a Mexican

Produce executives are discovering a reason to party during the weeks between Easter and Mother's Day.

Cinco de Mayo -- the May 5 holiday that commemorates Mexico's defeat of the French in 1862 -- is gaining a small but growing following outside Hispanic markets, according to produce merchandisers and buyers interviewed by SN.

The holiday has long been important for supermarkets that serve a Mexican consumer base. However, America's increasingly diverse ethnic base and a growing interest in international foods and cultures is moving fresh products such as chilies, tomatoes and avocados off the shelves for retailers across the country during the first week in May.

Most retailers interviewed by SN acknowledged that Cinco de Mayo is not a huge sales opportunity in markets outside urban areas and the Southwest. However, they generally agreed it is getting bigger, in part because of the timing and, in part, because it's a fun, festive holiday for stores and shoppers.

"Most shoppers seem ready to accept it," said Jim Campbell, senior produce buyer for Marsh Supermarkets, Indianapolis. "It seems to appeal to the general population."

Campbell said he has noticed an increase in attention and interest in Cinco de Mayo, particularly in the urban and university areas where the 81-unit Marsh operates many of its stores. The holiday is not as important a promotion opportunity, however, in the rural areas served by Marsh.

Where it can find the interest, the chain plans to cater to it this year by bringing in some different types of peppers, playing up the holiday in ads and doing some sampling of specialty items, he said.

Cinco de Mayo is also growing as a cause for celebration in the Atlanta market, according to Ken Lanhardt, director of produce and floral operations for the 13-unit Cub Foods Stores' Georgia division, based in Lithia Springs, Ga.

"There is some interest, and some advertising of Mexican-type items," Lanhardt told SN. "It's not real big. But I think it's going to get bigger each year. The population at large is interested." Nash Finch Co., a Minneapolis-based wholesaler that services about 650 stores and operates 120 corporately owned supermarkets, will devote some produce advertising space to Cinco de Mayo this season, building on moderate but encouraging sales from previous years, said Tom Anderson, produce director.

Doug DeYoung, director of produce for 34-unit Hardings Friendly Markets, Plainwell, Mich., said 15 of his stores are located in areas that attract a migrant working population.

"Cinco de Mayo is very, very big in those stores," he said. "We advertise it companywide, but those stores go all out."

DeYoung said he also tries to take advantage of the holiday to expose the general population to produce items that are considered staples among ethnic Hispanic clientele.

It is working. Jicama is one Mexican item featured at Cinco de Mayo that is now becoming a staple, he said.

"We promote jicama as a relish tray item, and I encourage the stores to sample it several times a year," DeYoung said.

DeYoung noted that when he introduced Cinco de Mayo as a produce promotion five years ago, he had some problems selling his store managers on the idea. "But every year it gets larger. Now, the stores know it's coming, and they're looking forward to it." DeYoung also labeled it a "very fun holiday."

"The stores have fun with it, and it's a good one to do," agreed Jim Corby, director of produce merchandising for 70-unit Abco Foods, Phoenix.

He said the Abco stores located in heavily ethnic Hispanic markets do very well with Cinco de Mayo promotions. The general population in his region is also interested, he said.

Cinco de Mayo promotions do well in the Houston area, according to Mark Luchak, director of produce and floral for Rice Food Markets, which operates 31 units.

"We're pushing it pretty strong," Luchak said. "We'll do tie-ins with meat and grocery," Luchak said. The produce department will focus strongly on jicama, fresh chilies, plantains, cilantro and other Mexican items.

Ken Moffet, quality control manager for Raley's in West Sacramento, Calif., said the holiday is very big throughout the 64-unit chain's market.

He said the chain will probably sponsor display contests in the produce departments, which is usually only done for major promotions.

Fred Mooney, director of produce operations for five-unit Andronico's Market, Albany, Calif., had not yet decided what he was doing for Cinco de Mayo when interviewed by SN in early April.

However, authenticity will be key for any Cinco de Mayo event he pulls together, Mooney said.

Other retailers, however, said they are recognizing the value in tying-in fresh produce to such celebrations, particularly if the target consumers include many non-Hispanic shoppers. "It's traditionally a very big Hispanic holiday, but everybody knows what it is here," said one produce merchandiser. "It is a good excuse to party."