Making way for a healthier diet
Consumers are now starting to demonstrate a preference for more natural foods – a change in behaviour which has been facilitated by supermarkets themselves. Many stores are choosing to dedicate more space to healthier options, including wholesome prepared meals, private labels and in-store dining, all of which are putting a squeeze on the middle aisle. Few events may accelerate this change as dramatically as Amazon’s recent acquisition of Whole Foods. Through Amazon and its Prime two-day delivery programme, Whole Foods could sell more of its shelf-stable goods, including its 365 Everyday Value brand, online. This could free up more in-store space for restaurants, fresh prepared meals and natural foods. Other supermarkets are paying attention, and many are likely to follow its lead.Wall Street agrees. Shares of stocks in packaged food companies fell more than 11% in the last year, while the rest of the index rose by nearly 14%, according to a report by CNBC.
Dining is in; processed is out
For major food manufacturers, renovation may mean adding a new kitchen – in the supermarket. A growing number of grocery chains, including Whole Foods, are upping their investments in takeaway and dine-in experiences:
H-E-B opened its first restaurant drive-through (a BBQ spot) in August 2017.
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