IDDBA Seminars to Examine Changes at Retail

ROSEANNE HARPER

How have supermarkets' deli and bakery customers changed their shopping patterns in the last five years? And how can retailers react to that change, and others?

Those topics kick off a three-day roster of educational seminars at the International Dairy-Deli-Bakery Association's Dairy-Deli-Bake 2010 Expo at the George R. Brown Convention Center in Houston on June 6-8.

The first seminar at 8 a.m. Sunday will feature Dr. Rosita Thomas summarizing research she has just finished on current consumer behavior in the supermarkets' deli and bakery departments, and how it affects sales.

For 15 years, at five-year intervals, IDDBA has commissioned consumer research to give retailer-attendees the information they need to most effectively face the future.

Last week, Thomas, president of Thomas Opinion Research, Manassas, Va., told SN her recent study shows that the economic outlook is lightening up, slightly. At least consumers told researchers they have a little more money to spend this year.

Indeed, 31% of respondents said they have more money to spend today compared with two years ago. Not a majority, but compared with only 17% who said that in 2009, it's a positive. Still, most consumers feel they're still financially challenged, Thomas said.

In her IDDBA seminar, she'll delve into how they are spending their money in the supermarket deli and bakery.

She'll also highlight historical changes and provide some insight for driving customer satisfaction in the future.

The seminar directly following Thomas's is titled, “Catching the Wave of Change,” and will be presented by consultant Harold Lloyd, founder of Harold Lloyd Presents, Virginia Beach. Lloyd, a former supermarket retailer and restaurateur, will explore the different ways leaders react, or could react, to change.

“There are four ways a person can react to change: resist it, ignore it, fight it or ride it,” Lloyd told SN.

“When I was in Japan, I saw a classic resistance to change. I leaned over a counter and saw a Japanese woman tallying up her receipts of the day — on an abacus. Right alongside a calculator.”

But most resistance isn't so obvious as that. Lloyd said he could think right off the top of his head some changes that supermarket retailers have missed. Resistance would be too strong a word. They just missed it, he said.

“One is the fact that people are so time-starved. There are still long lines at checkout. Still.”

Improved technology and/or an adequate workforce in the store at the right times seem to provide a simple solution, but are not often seen.

“That's really a stunning failure to change,” Lloyd said.

While he points out a couple of failures to react, the bulk of his seminar, he said, will be outlining 17 specific, tangible ways that supermarkets have caught the wave of change or could prepare themselves for the next wave.

“They know I'll give them practical stuff. For instance, I'll point out they should be reading the trade journals of the market segments they consider their competition.

“I've read the restaurant trades all my life. It's known that what's coming next starts in restaurants, and geographically what's happening on the West Coast is typically six years ahead of what's going on the East Coast. So leaders know what's going on the West Coast, so they can be prepared.”

One of the most important challenges Lloyd said he'd throw out to is audience is that they should visit 26 “non-you places” or non-supermarkets a year.

He'll advise supermarket operators to notice what Victoria does with lighting and what the home improvement store does with signage, for instance.

“They shouldn't be so inbred. That's not a good thing. They should look around. I'm wondering why more delis aren't following Subway's lead with a $5 foot-long sub. I don't see anyone doing it. There could be a bunker right up front [in the supermarket] full of foot-long subs for $5. It's the $5 that's the magic number, that's been a success for Subway.”

Lloyd always starts off his seminars by doing something zany. Last year, he appeared on stage in the middle of a spotlight in full Batman costume. The theme was Batman can do just about anything, but even he would probably fail at getting deli-bakery associates to interact enough with their customers.

In that seminar, Lloyd presented some very practical advice as to how managers in the deli and bakery can get their associates to engage a customer in conversation.

One idea was to ask associates to add a conversation starter of their choice onto their name tags. For instance, “Ask me about spear fishing,” or, “Ask me about my dog.”

The bottom line is, Lloyd told his audience last year, even a short exchange — on any subject — can help build sales.

Dairy-Deli-Bake 2010 attendees can only speculate about what quirky way Lloyd will start off his presentation this year. He's not telling.

Other speakers at this year's show will include former President George W. Bush, the Food Network's Rachael Ray, the NPD Group's Harry Balzer, economists Ben Stein and Stephen Dubner and former NFL coach Mike Ditka.