Net profit margins? Consumers have their own thoughts: Shoppers have their own thoughts when it comes to the profit margins in grocery, according to a new survey. And it’s not a small margin, either. Shoppers believe grocery retailers are earning a 35.2% net profit margin, a whopping 14 times higher than grocers’ actual average of 2.5%, according to the survey, from Chicago-based customer data science firm dunnhumby. Woof. So what’s a grocer to do? “Retailers need to show they are empathetic to customers through their prices, their rewards/loyalty offers, and with messaging to best support shoppers during these challenging financial times,” said a dunnhumby rep. —Chloe Riley
The meat of the matter: Many shoppers are seeking more adventurous meals, but old favorites remain in vogue. The National Cattlemen’s Beef Association (NCBA), for instance, reported that in 2022 meatloaf was the most popular page on its website. Meatloaf attracted almost 1.7 million page views and is likely to remain in favor as consumers react to higher food prices. The NCBA said renewed consumer interest in comfort foods and nostalgia recipes also are contributing to meatloaf’s appeal. As the saying goes, everything old is new again! —Richard Mitchell
$2 eggs? Surely you must be joking: We’ve all just gotten used to $6 cartons of eggs, right? Right?? Well, they haven't in at least one Walmart in Lexington, Kentucky. The store shared a photo on Facebook of a Walmart egg display showing 18-count cartons of eggs on sale for the low, low price of $2. One person wrote in the comments: “Does it include the eggs? Or is it just the cardboard?” (It does, in fact, include the eggs.) “We’re committed to providing the best prices so our customers can save money and live better,” a Walmart spokesperson told Newsweek. “What happened involving the shipment of eggs to the Harrodsburg store demonstrates our ability to take advantage of these unique opportunities and quickly pass on those savings.” Now, about that roadtrip to Lexington… —CR
A farmers market first: Workers at 28 farmers markets in the Washington, D.C., area have agreed to join the United Food and Commercial Workers union — a move that is breaking new ground for organized labor. The 25 workers, who help manage 28 farmers markets operated by FRESHFARM, appear to be the first farmers market employees in the country to unionize, a spokesman for UFCW Local 400 told DCist. Amid the surge in union membership around the country, the FRESHFARM unionization also stands out because of the support it is receiving from FRESHFARM itself, which said it is “enthusiastic about working with a collective bargaining unit committed to our mission and shared values.” —Mark Hamstra
Who doesn’t love a hot donut? Krispy Kreme sold 1.63 billion doughnuts in 2022. I mean, really take a minute and let the brain wrap around that one. The way they did it was largely via grocery stores. And the way they managed that while keeping the product fresh? Krispy Kreme relies on a “hub-and-spoke” system, where hub locations (the shops themselves) make the doughnuts and then deliver them fresh to locations like grocery stores. The company calls this process “Delivered Fresh Daily,” or DFD. It’s a good strategy, especially since, despite higher inflationary prices, baked goods sales are on the upswing. And with 64% of shoppers saying it’s important to budget for an occasional baked treat, the desire for a freshly baked donut isn’t going anywhere anytime soon. —CR
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Fresh baked goods sales are on the upswing. Are you seeing this in your store / stores? Let us know in the comments below, or email your thoughts to [email protected].
