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Engaging Millennials Through Meals A Special Report Prepared by IDDBA in Partnership with The Hartman Group October 2015

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Engaging Millennials Through Meals

A Special Report Prepared by IDDBA in Partnership with The Hartman Group

October 2015

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Background, Objectives and Approach

Approach:• Pre-interview homework and 30–45-minute online interviews conducted in March, 2015 with 6 Millennial

Participants, ages 29 to 34• Data mining of the reports: IDDBA’s 2014 Engaging the Evolving Shopper and Hartman group syndicated studies,

including Transparency 2015, Diners Changing Behaviors 2014, Outlook on the Millennial Consumer 2014, Digital Food Life 2014, Food Shopping in America 2014, Modern Eating 2013.

Objectives:• Provide “Culinary Concierge” ideas for Dairy, Deli and Bakery to engage Millennials with inspiration and easy

preparation solutions• Gain deeper understanding around culinary assistance and inspiration• Test reactions to a range of concepts (created by IDDBA partner chefs) that could provide inspiration

Background:For the 2015 Dairy, Deli, Bake Seminar and Expo in Atlanta, IDDBA developed several case concepts with actionable ideas to feature in the Show & Sell Center. Under the broad theme of “Culinary Concierge”, each case concept was designed to target Millennials with inspiration and easy preparation ideas for Dairy, Deli and Bakery departments to leverage. To help deepen understanding around Millennial needs, and to test appeal and relevance of the concepts, IDDBA engaged Hartman Group in a consumer-based exploration.

© 2015 IDDBA in Partnership with The Hartman Group

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Executive SummaryMillennials are at a stage in their lives where they are proactively crafting their futures and making distinct choices about how they want to live. The concept of happiness is a complex one; comprised of a delicate balance of family and friends, good food, fun activities, and meaningful purpose.Millennials define wellness as more than just health; wellness, or well-being, is holistic, an evolution and includes indulgence. They are actively trying to find ways to avoid being bored, increase their energy levels, and reduce anxiety. They seek balance and prefer to focus on the delicious things they love to eat rather than on the unhealthy things they should avoid.Expanding on the notion of food, Millennials want the facts; however, they don’t always care enough to change their purchase behaviors. Millennials are knowledgeable and passionate about social and environmental issues (e.g., organic, non-GMO); however, their current economic reality limits their ability to act on these concerns.While all generations want information, Millennials take a big-picture view when deciding what to buy; they love a good story that allows them to personally connect with a brand or product. Having grown up with social media and easy access to anything they want to know, Millennials have a low tolerance for empty claims. Authenticity and transparency are paramount when trying to connect with them.While Millennials are wanting more face-to-face relationships, it is the digital literacy of this generation that is driving all things mobile, social, and digital. They aren’t recognizing grocers’ fresh prepared foods as even playing in this realm – which opens a tremendous opportunity for development in this white space.

Being able to live a long and healthy life 45%Having enough time for family and friends 42%Being able to maintain relationships with the people I care about

41%

Having enough time to myself 39%

Being able to provide for people who depend on me

28%

The Five Issues of Greatest Importance to

Millennials:

Source: Outlook on the Millennial Consumer, 2014

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Executive Summary (continued)As we shared seven possible fresh prepared deli case concepts with Millennial consumers from different regions around the U.S., we found a few common themes arise.• Seeing food prepared gives a positive, fresh food experience.

Millennials are seeking robust in-store experiences that allow them to see and interact with deli personnel as they have the time, need, and desire.

• Transparency and authenticity are of the utmost importance. If food is labelled as fresh, it should not only be fresh and taste fresh but it should have time and date indicators and/or culinary staff actively and visibly monitoring the fresh food areas. If a sign says “local,” the location of the source of the product needs to be included. If it’s labelled “homemade,” it must live up to each individual’s expectation of how homemade should taste, along with a friendly, down-home experience.

• Time is important, and meal planning can often cause stress. Convenient food options for busy Millennials is a priority, but it often comes at a price. They often weigh cost vs. convenience, in the moment, depending on how their day is going.

• Most importantly, Millennials want good food that tastes great that they can access quickly at a fair price. In this digital and global economy, there is a great desire for trying new foods and global flavors. They are dissatisfied with the options currently available to them.

There are many opportunities for expanding flavorful and healthy fresh prepared deli foods.

Personal experiencestrying different

foods/beverages

Cooking/Learning tocook

36%

Source: Outlook on the Millennial Consumer, 2014

The Greatest Influence for Millennials Over Current

Food Preferences

37%

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Executive Summary (continued)Pain Points, Convenience, and Inspiration – an associated puzzle

Pain Points• Time: Finding and making the time to plan and prepare meals is a challenge for many

Millennials

• Knowledge: The desire to try new recipes is evident, but the fear of creating something they may not like comes at a cost – both a financial and time cost – along with not often knowing where to find and purchase new, unfamiliar ingredients

• Having the right ingredients on hand: Nothing is worse than starting a recipe only to find you don’t have a particular ingredient

Convenience• Convenience at a fair price is important to Millennials. When asked which was more

important – convenience or price – even the most budget-minded claimed convenience

• What I want, when I want it, and how I want it is the overall definition of convenience. It’s quick and easy, requires little to no thought, and it’s made your way. Most importantly, it makes a busy, exhausting day a little bit easier

Inspiration• In-store chefs can be the go-to people for recipe ideas and culinary inspiration

• External inspiration comes from the Food Network, the Cooking Channel, Pinterest, Facebook, family, and friends

If I'm cooking from scratch, I always feel pressed for time. Things I make – stews and stuff – they take a couple of hours. Sometimes they don't turn out. The time…I guess I don't have good judgment with that. Maybe we'll want dinner around 5pm, but it's still cooking until 8pm, so by then I'll have already eaten something else. –Carmella, 30, IL

It kind of means everything, because the hours I work are so demanding. I try to cook and I'm just exhausted, so convenience for me means the world. It's hard to try and manage everything sometimes. Sometimes I just have to eat out because I'm starving and I do not have time to get home and cook.

–Tammy, 33, KY

Millennials may be inspired to try a new recipe but lack the knowledge to carry it out. Time, and sometimes money,are conveniences that many don’t have to spend on inspiration. Convenience foods can alleviate pain points but are often felt to lack inspiration. Deli and Prepared Foods offer a large opportunity for retailers to deliver on Millennials’ inspiration and convenience needs .

I love watching the Cooking Channel and the Food Network – I think it's riveting television. I also read and get recipes from family and friends. At restaurants I look at different kinds of stuff and in deli cases. –Alex, 34, CA Opportunity

• Offer discovery opportunities in fresh prepared foods, with new and global flavors and options for custom creation

© 2015 IDDBA in Partnership with The Hartman Group

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6Case Concepts & Millennial Perspectives

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An In-Store Chef – an invaluable, personal experienceCase 1—Culinary ConciergeThis case is a counter where shoppers can sit, order food for immediate consumption or for takeout. They can interact with the chef who staffs the counter. All prep and cooking is done in the open, meant to be observed. Cooking classes can also be conducted in this space.

Summary

Two themes arose from the discussions around this concept: Supermarkets as a destination vs. Supermarkets as a means to an end. When they have the time, Millennials enjoy engaging with food theater. When they don’t, they want a convenient option to grab and go as quickly as possible. For everyone, however, seeing fresh food prepared by a chef gives an air of love, care, and quality ingredients. For some, the potential personal interaction with a chef in-store would be an invaluable experience – from ‘How was your day?’ to ‘How do I prepare this salmon?’

Highlights• Seeing food prepared gives a positive, fresh food

experience• Cooking classes spurred interest, with participants

wishing for separate classes for parents & children, singles, and couples

• Freshly prepared, healthy food options are desired by Millennials

Considerations• Dining in a grocery store, for some, is not thought

to be a relaxing experience• Scheduling conflicts, time, and cost are barriers to

active participation in cooking classes• The wait time for a food order to be freshly

prepared may deter some consumers who may opt for grab and go instead

The store I drive 30 minutes to has the chef right out there in the open and it's very cool. I feel like it brings a whole new level of respect to the food and services that are provided by that store. You feel like more love, care, and quality ingredients are put into making the food because he's a chef, he wants everybody to like his food. I feel like it's taken more seriously and you're going to get better-quality foods and better selections. –Tammy, 33, KY

I like the concept of being able to pick it up and go, and the cooking classes sound really fun. However, I don't think I would ever eat inside of a supermarket. It's just not a relaxing environment; people are coming in and out of there, people coming in from work, people who just got done working out. It's just not a place I would want to sit and enjoy food. –Kristy, 33, MN

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Millennials want an in-store chef’s perspective for recipe ideasCase 1—Culinary Concierge

For more photos of Culinary Concierge, view the 2015 IDDBA Show & Sell Albums at flickr.com/photos/iddba/albums

24%

1%

3%

4%

5%

6%

6%

6%

8%

8%

10%

10%

28%

32%

26%

3%

4%

5%

3%

6%

7%

3%

10%

7%

6%

11%

22%

32%

Not interested in anything from store on this topic

Pharmacist

Dairy department staff

Store manager/owner

Cashier

Customer service

Produce department staff

Staff in aisles of store

Staff behind meat or fish counter

Staff behind deli counter

Other shoppers in store

Prepared foods in store staff

Nutritionist

Chef

Recipe Ideas for Special Occasions Recipe Ideas for family

RECIPE IDEAS – WHOSE PERSPECTIVES DO MILLENNIAL SHOPPERS WANT?

© 2015 IDDBA in Partnership with The Hartman Group

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Fresh, Local, and Healthy – a winning combinationCase 2—Farm to TableThis is a service case that will take deli-style salads with additions like protein to turn them into complete meals. Here the chef can get creative, pairing new salads/sides with alternative proteins.

Summary

Freshly prepared healthy food that comes from a local source is a priority for Millennials. Farm to Table means local and healthy, it supports local farms, and it comes with a story – all of which are important to the Millennial consumer. This was the favorite concept both pre- and post-discussion. It not only provides local, healthy foods but also includes a chef for personal interaction and engagement. When seeing the phrase ‘Farm to Table,’ transparency and authenticity is expected around the sourcing of local farm products to ensure freshness and truth in labeling.

Highlights• Fresh, local, healthy, convenient food is a priority

for Millennials• Farm to Table is a great locally sourced, fresh

option• The addition of proteins in healthy salads is an

empty space that needs to be filled• Participants imagined local farmers and chefs

presenting their goods

Considerations• When the phrase ‘Farm to Table’ is used, it is

expected that fresh produce and meats come directly from a local farm

• Kid-friendly options would create a one-stop-healthy-shop to help the Millennial consumer who has children

That is huge. That would be awesome to have because our farmers markets only run in the summer, so we're craving that fresh produce throughout the rest of the year. If we can have something that says local, or this came from this farm in Minnesota, or any surrounding state like Iowa or Wisconsin, I think that people would jump all over that.

–Claire, 29, MN

I guess I'm one of those where I have to try it to believe it. So, I'm a little bit skeptical. Everyone says fresh a lot. That's a highly used term these days…when it isn't as fresh as you'd like it. 100% fresh is like you're getting it straight from the farm from the farmers market. That's fresh. Anytime you put in a middleman and they're adding other things to it, it becomes a little less fresh. –Kristy, 33, MN

© 2015 IDDBA in Partnership with The Hartman Group

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Millennials expect authenticity and transparencyCase 2—Farm to Table

Millennials are making more conscious eating choices, are driven less by their whims, and are creating their own definitions of quality. This is a generation that is skeptical of claims and doesn’t accept things at face value; when used correctly, authenticity and transparency are powerful tools to attract Millennial consumers.

54%

46%

44%

41%

40%

36%

34%

33%

23%

21%

What INGREDIENTS are in a F&B product

How company treats EMPLOYEES

How company TREATS ANIMALS used in itsproducts

From WHERE company SOURCES ingredientsto make products

What actions company takes to reduceENVIRONMENTAL IMPACT

HOW products MANUFACTURED to assurequality/safety standards

Whether company GIVES BACK to community

WHERE company MANUFACTURES products

WHO OWNS company

Locations/types of suppliers company uses

Source: Hartman Group Transparency 2015, Millennial respondents (n = 480).

To Earn Their Trust, Millennials Want Companies to be Open and Honest About…

For more photos of Culinary Concierge, view the 2015 IDDBA Show & Sell Albums at flickr.com/photos/iddba/albums

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15%

17%

17%

18%

19%

20%

22%

23%

23%

24%

25%

25%

26%

27%

27%

33%

“Raw or undercooked item” labels

Labels/symbols for specific dietary restrictions

Salt content

Food allergen information

Food ratings based on overall nutritional content

“Certified organic or non-GMO” labels

Sugar content

“New item” labels

“Cooked to order” labels

“Heart healthy item” labels

Labels/symbols indicating level of spiciness/heat

Fat content

“Locally grown item” labels

Description of preparation (taste, ingred)

“Seasonal item” labels

Calories

‘Seasonal’ and ‘locally grown’ descriptors are now almost as salient as calorie information on food service menus for Millennials

Source: Diners’ Changing Tastes 2014. Millennial respondents (n=528).

They want to know the food

they order is truly fresh and will taste

great.

Most desired menu information for Millennials

Deli and Fresh Prepared departments can ensure relevance among Millennials by addressing the key needs expressed for food service menus

© 2015 IDDBA in Partnership with The Hartman Group

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Self-Service Mix-and-Match – a stress-free, time-saving optionCase 3—At Your ServiceThis self-service case will have a variety of options for quick meals, from ready-to-eat, ready-to-heat, and ready-to-assemble, with enough options for multi-day menus. Protein, starch, and vegetable options will be available for mix-and-match.

Summary

With the strong perception that a full-service deli takes too much time, the At Your Service self-service case was a preferred option. The ability to mix and match mains and sides was important – with Millennials mentioning they often don’t like the current choices of complete meal packaging. Ready-to-assemble, raw ingredients were favored by most, especially those who enjoy cooking but are looking for stress-free, time-saving options.

Highlights• Self-service is the quickest, most convenient

option – desired by all participants• Mix-and-match of single sides and mains was the

top choice due to ability to choose vegetables over starches and other preferred combinations

• Ready-to-assemble meals are intriguing to most participants, especially if there are a few recipe options included

Considerations• Freshness and food safety concerns are a barrier

to purchase. Ensure packages are labelled with the date and time prepared

• Within their current in-store deli, participants feel there isn’t enough variety. Offer a rotating menu with global flavor options

• The amount of packaging that mix-and-match would produce could be a barrier to purchase

I love a quick meal to prepare and especially if it is ready to assemble. It's all ready for you. It would be kind of nice if they gave you a recipe with it — not just 'here's some carrots, here's some celery. Put it all together.’ It would be cool if they could give you a couple options on what you could do with them. I like cooking, but the meal planning stresses me out.

–Claire, 29, MN

This new business of ‘Oh, here's a bunch of precut chicken, some pre-julienned vegetables, some pre whatever. Just take them home and cook them together.’ That to me sounds lazy. You’re paying for packaging and somebody else's labor. If you're paying for somebody else's labor, they might have well have cooked it already. I can cut the chicken, I can cut the veggies. Why am I going to pay a bunch of extra money for that? That seems kind of silly. –Alex, 34, CA © 2015 IDDBA in Partnership with The Hartman Group

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Meal planning is considered stressful, lack of planningresults in more trips to nearby storesCase 3—At Your Service

Millennials Gen X Boomers

9.0 7.1 6.3

Number of Retailers Shopped Past 90 Days

Most Millennials spread their shopping across many channels and retailers.

• Lack of planning results in more trips and shopping wherever is convenient (close by) at that time

• Millennials have higher use of all channels than older cohorts

Especially true for specialty:46% of Millennials vs. 32% of Boomers

Millennials

46%

Fewer Millennials make a list prior to shopping

Gen X

53%Boomers

68%Source: Food Shopping in America, 2014 & Outlook on the Millennial Consumer, 2014

For more photos of Culinary Concierge, view the 2015 IDDBA Show & Sell Albums at flickr.com/photos/iddba/albums

© 2015 IDDBA in Partnership with The Hartman Group

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Homemade – a warm, hearty meal made and served with loveCase 4—Buy a Little, Buy a LotThis is a service case that will offer entrée options with a homemade flair.

Summary

Homemade makes people think of the comfort foods they love and enjoy from their childhood. However, everybody’s tastes are different. Each individual’s version of homemade may cause them to criticize the flavors and seasonings of grocery store deli homemade options. Understanding regional and local preferences is important for success. Offering a rotating menu with favorites from around the U.S. and the world based on local demographics would cater to the expanding palate of Millennials and to our growing global society.

Highlights• Homemade = a warm and hearty meal made with

love• Participants thought of traditional comfort foods,

like Thanksgiving dinner, fried chicken, meat loaf, corn bread, spaghetti, casseroles, and — for those in the South — greens

• A great concept for those longing for home-cooked meals but lacking the time and experience

Considerations• Participants felt, to some extent, it’s what exists

already in their local supermarket• To be homemade, foods would have to be made

from scratch, wholly prepared on-site in a kitchen and served by a friendly face

• Rotate options and provide a variety of traditional favorites from around the U.S., with the potential for global flavors

Homemade anything sounds great! I think people could be really attracted to this concept because people long for that home-cooking style and will gladly pay for it, especially if they feel they couldn’t make or cook something similar. I just think of my mom instantly, so like a warm, hearty meal made with love.

–Claire, 29, MN

The word 'homemade' caught my attention but was, unfortunately, followed by remembering the negative experiences I’ve had when buying something that claimed was ‘homemade.’ I’m almost always disappointed. I can't really think of hardly any items in a grocery store that truly taste homemade. However, if they can nail the homemade taste, it will be a home run. –Tammy, 33, KY

© 2015 IDDBA in Partnership with The Hartman Group

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Millennials are more likely than older generations to purchase prepared foods, so it is important to get it rightCase 4—Buy a Little, Buy a Lot

Prepared Foods Index

Millennials 18-35 42% 127Gen X 36-49 21% 91Boomers 50-68 33% 84

Millennials are skeptical not only of ingredients and sourcing but also of claims relating to taste and flavor.

If an item is said to taste ‘homemade,’ it better live up to that expectation. If something is said to be fresh and local, it needs to taste fresh and indicate its local source.

With Millennials over-indexing on the purchasing of prepared foods, retailers must get it right. Millennials are the primary consumer engaging with your prepared foods departments.

For more photos of Culinary Concierge, view the 2015 IDDBA Show & Sell Albums at flickr.com/photos/iddba/albums

© 2015 IDDBA in Partnership with The Hartman Group

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Global Cuisine – an opportunity for alternative proteinsCase 5—Protein OptionsThis is a self-service case that will highlight alternative protein sources, particularly vegan protein sources like tofu/soy, beans, and complete grains.

Summary

Initially introduced as the “Meat-Free Zone”, participants immediately defended their meat-eating lifestyle. During discussions, however, participants mentioned enjoying alternative proteins in Indian and Chinese dishes and dining with vegetarian friends. There was a general curiosity about the potential options, which opens up an opportunity to educate through global flavors, highlighting delicious dishes from around the world that happen to contain alternative proteins. Case 5 has since been renamed “Protein Options.”

Highlights• Some participants enjoy alternative proteins

when ordering Indian or Chinese, or when dining with vegetarian friends

• This was perceived as a good choice for days when lighter protein options are desired

• A healthy option for vegetarians and vegans and for those who like a lot of vegetables

Considerations• The phrase “Meat-Free Zone” caused visceral,

negative reactions among most participants, even though they admitted to occasionally eating alternative proteins

• Options that highlight global flavors would be an entry point for Millennials to try alternative proteins

• Provide education about alternative proteins

I like it because people are getting more health conscious and want to eat the right kinds of foods. I'm not a vegan personally, but I like to eat vegetables. This is good for vegans and those who like a lot of veggies. I know a lot of people talk about tofu and stuff. I'm not a tofu fan, but I want to know a little bit more about that and soy and the type of beans and grains they are talking about.

–Keita, 33, GA

For me, it doesn't really meet my needs. I like meat. I like fish. I'm never going to be a vegan, that much is clear. And I'm never going to be a vegetarian, either. I'm not as moved by the meat-free zone. For me, it would just take up space in the deli case. I can see how for a lot of people they would like that. I live in Berkeley, and being vegan and vegetarian is very much in vogue, but there are a lot of misconceptions about it. For me, I don't care. –Alex, 34, CA © 2015 IDDBA in Partnership with The Hartman Group

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Protein Options – great potential for the experimenting MillennialCase 5—Protein Options

The adoption of alternative proteins will require education. The good news is… Millennials enjoy experimenting with their diet.

• They’re curious about how foods will make them feel, ultimately wanting their food to make them feel better

• They describe their taste preferences as: “trying anything new and different”

Millennials 42% vs. Gen X 37% Boomers 32%Appreciation for global and novel foods is easy to express though snacking. Smaller portions and lower price points lower the barriers to experimentation.

Gendered Differences:Protein is a top priority for Millennials, especially men:

36% of Millennial men report trying to eat plenty of protein on a daily basis as compared to

23% of women

Source: Modern Eating, 2013

For more photos of Culinary Concierge, view the 2015 IDDBA Show & Sell Albums at flickr.com/photos/iddba/albums

© 2015 IDDBA in Partnership with The Hartman Group

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Hot, Easy, Grab and Go – a familiar favorite for busy mealtimesCase 6—Hot and ReadyThis is a self-service hot case, which will feature more traditional, easy grab-and-go options, including full meals or components of full meals.

Summary

Hot and Ready is a familiar option for consumers. Participants mentioned visiting their grocer’s hot bar at least a few times per month. Quick, easy, convenient, and self-serve are high priorities on busy weeknights and during the lunch rush. Millennials, however, are looking for more variety and healthier options in a hot, self-serve option. Offering flavorful and healthier eye-catching options will appeal to the Millennial palate.

Highlights• A recognizable favorite in today’s grocery stores• Quick, easy, and convenient option for busy

weeknights• A good option for an individual or a family• Self-service is the preferred choice to avoid

waiting in line at a busy deli

Considerations• Labelling items with the date and time prepared

will ease fear around freshness and food safety• In current grocery store hot bars, participants feel

there isn’t enough variety, especially around healthy options

• Offer flavorful, eye-catching options that appeal to the Millennial palate

People have very busy lives and are always looking for ways to save time when it comes to preparing meals. I often see people purchasing these grab-and-go type options. They seem to be very popular, even though they aren't always cost effective. Sometimes you really want to prepare a good, home-cooked meal, but just physically don't have the time. This option helps you get a little of both.

–Tammy, 33, KY

Anything that's pre-packaged I feel like is less fresh unless they're packaging it that day and put those labels on there. Anything that's been sitting out, it's just not going to be as fresh. Say they had a healthy option like stir fry or frittatas or kebabs or something like that — they're not going to be as fresh if they've been sitting in a package all day under a warming lamp waiting for you to pick them up.

–Kristy, 33, MN © 2015 IDDBA in Partnership with The Hartman Group

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‘Fresh’ is the ultimate symbol of food quality for Millennials Case 6—Hot and Ready

Conventional Retailer, 89%

Fresh/Specialty Retailer,

11%

The vast majority of shoppers prefer to source prepared foods from conventional retailers, rather than from other fresh/specialty retailers (like natural supermarkets or smaller specialists).

28%29%30%30%31%31%31%31%32%

35%36%

38%51%

PureAntibiotic free

Less processedMSG free

Humane treatment of animalHormone free

Locally grown produceNo artificial flavors/colors/preservatives

GMO freeNatural

Pesticide freeReal

Fresh

Most important to Millennials when selecting what to eat at food service establishments

However, to meet Millennial shoppers’ needs in Prepared Foods, supermarkets must deliver on important quality attributes: ‘fresh,’ ‘real,’ ‘locally grown’ and the absence of harmful ingredients

Source: Diners Changing Behaviors, Millennials (n=528)

For more photos of Culinary Concierge, view the 2015 IDDBA Show & Sell Albums at flickr.com/photos/iddba/albums

© 2015 IDDBA in Partnership with The Hartman Group

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Convenient and Customized – an option for busy families Case 7—Pick-Up StationThis will be the place where online orders can be picked up. It will be a version of personal chef services, which can include complete weekly menus and premade sandwiches. Appetizer and dessert items can also be ordered. Menu items are customizable.

Summary

This concept is good for busy schedules. Jump online to create your order to the specifications of you and your family; on your way home from work, stop at the store and pick up your customized, complete meal; zip home and set it out for everyone to enjoy. It’s quick and convenient for some, but it lacks a personal connection for others. For those who value convenience over cost and personal interaction, this is perfect. For those who value personal interaction and savor the in-store experience, they may choose something along the lines of Culinary Concierge.

Highlights• A convenient option for those who like to run in

and grab takeout from restaurants• Customization is important for health and dietary

needs as well as personal flavor preferences• Offering complete meals, including appetizer and

dessert items, adds convenience to large meal planning

Considerations• Perceived as a high-cost option that would suit

families, large get-togethers, meetings, or parties• Online ordering wasn’t desired by most

participants due largely to feeling that personal interaction would elevate errors in ordering

• Personal interaction creates a sense of care in food preparation

• Online ordering is associated with delivery service

This would be huge for me because I am a mom and work full-time. If I could order dinner online and just swing by the grocery store on the way home, I would be all in! It would feel healthier and I would feel part of the process because I picked out what I wanted my family to eat.

–Claire, 29, MN

I don't use online ordering because I like to browse and see all the food. I just like the in-store experience. And I worry that they'll get the order wrong. I'm under the impression that it would cost more. I'd prefer that it wouldn't be. I'd want the convenience, but I feel that I could get the convenience from my grocery store anyway. If I have to go there to pick it up, I could just go to the grocery store myself.

–Carmella, 30, IL © 2015 IDDBA in Partnership with The Hartman Group

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Millennials are accustomed to using technology to help with food sourcing and rely heavily on food service for their weekly mealsCase 7—Pick-Up Station

Consumers are increasingly relying on mobile technologies to interact directly with food providers. 18% of smartphone users relied on digital services to order food-to-go.

This reflects consumers’ desires for: • New convenience (on-demand, simple user

interface)• Integration of their everyday life with their mobile

devices• Participation in more intimate ways with their food

producers and manufacturers

Source: Digital Food Life, 2014

Do these activities at least weekly: Millennials BoomersEat at a restaurant 54% 46%Take-out from a restaurant 37% 26%Use recipe website or app 35% 21%Order meal delivery from restaurant 26% 9%Place online grocery order 15% 3%

For more photos of Culinary Concierge, view the 2015 IDDBA Show & Sell Albums at flickr.com/photos/iddba/albums

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Key Opportunities for InspirationOrdering FoodOrdering dinner to eat at home is a familiar favorite for all Millennials. It’s quick and convenient, with a variety of options for mixed-taste households.

• Online ordering is often associated with delivery service with easy-to-navigate websites. Participants didn’t equate online ordering with grocery fresh prepared foods. It’s an impersonal option that requires extra effort on the part of the food service provider to ensure high-quality food will be served as the customer desires, on time, every time via well-produced website and mobile experiences. Online Ordering is an opportunistic white space for grocers.

• Phone-in ordering is an option for Millennials who are desiring a personal interaction with their food providers. Speaking to a live person creates the sense that their food will be made with higher-quality ingredients, correctly, the first time.

• In-person ordering is a more personal option for Millennials who are seeking an ongoing personal connection with their food provider. Having a conversation and seeing the food being prepared creates trust in the chef and deli employee.

I usually order food over the phone. I feel like online leaves too much… it'll never end up right. –Kristy, 33, MN

If you want to know the specials, know what's good, or how quick something will happen — instead of sifting through a website, not really knowing what's going on — you want to talk to a person.

I really like to call and talk to an actual person. That can really make or break the whole experience. When you get off the phone with someone who has great customer service, when it's been really quick and easy, you leave the interaction feeling really good about it. When it doesn't really work, it's really bad. –Alex, 34, CA

I like the idea that you can get that one-to-one conversation to know more about the chef and his background and how he goes about preparing your order.

–Keita, 33, GA

I love to see someone cooking it for you.

–Carmella, 30, IL

Berkeley Bowl, CA

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Key Opportunities for InspirationRobust In-store ExperiencesThere are two clear types of shoppers from this study: those who like to hang out and take their time vs. those who run in, get what they need, and leave. Depending on the Millennial’s schedule for the day, they could be one or the other. In all cases – no matter the time in-store – seeing a chef preparing food in an open kitchen creates a sense of connection and trust. Millennials value retailers that provide robust in-store experiences.

• When Millennials have the time, they are open to new and engaging store experiences. They are often looking for personal connection within the deli and other service areas of the store. They enjoy browsing the aisles and deli, getting inspiration for their nightly or weekly meal planning. They may enjoy dining in-store or learning new food preparation techniques. The supermarket becomes a destination location.

• On those hectic days, the supermarket is simply a means to an end. Having Ready-to-Eat, Ready-to-Heat, and Ready-to-Assemble items that can be mixed and matched is essential for time-crunched Millennials – singles, couples, and families – who desire a variety of food options and flavors that are quick and convenient, at a fair price.

I like going there and talking to the people there because I know them, not on a personal basis, but I talk to them on a normal basis. So, it's not only getting food, it's talking to them and find out how they did weekly and just catch up with them.

–Keita, 33, GA

I love being able to talk to the person who makes your food, seeing your food being made. It also implies you're going to spend a little bit of time rather than grabbing, dashing, and going. A trip to the market is a bit more of a time commitment.

–Alex, 34, CA

I don't know if at dinnertime I'd be willing to sit there and listen to someone go through what they made. You kind of just want to grab it and head out and get home and eat it.

–Claire, 29, MN

Mariano’s, IL

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Key Opportunities for InspirationFresh, Local, and Inherently HealthyFresh, local, and healthy food options are important for Millennial consumers; that’s why Farm to Table resonated so strongly. Millennials tend to be skeptical of claims, so authenticity and transparency are paramount when trying to connect with them.

• Farm to Table means produce, eggs, and meat directly from small, local farms. It’s the ultimate in freshness, with the possibility of the farmer or their representative in-store talking about their products and making delicious food.

• If food is from local farms and has a story, it was viewed as more important than organic certifications.

• When it comes to health, focus on inclusion rather than avoidance; Millennials seek balance and prefer to focus on the delicious things they love to eat rather than on the unhealthy things shouldn’t.

There's a difference between organic and local. A lot of the organic stuff that we can get is from far away. You think you're doing something good for the planet and good for the environment, but it's a little more complicated than that. There's conventional stuff that was grown locally, and maybe it's not a big enough operation to qualify or pay for the organic certification.

–Alex, 34, CA

To me, it sounds like the freshest way. –Carmella, 30, IL

I’d like to see chefs associated with the farm talk about what they have and create meals so they could promote people coming to their farms to learn about not only the farm but some of the stuff that they have and how they go about preparing them.

–Keita, 33, GAGood for a health-conscious person. –Kristy, 33, MN

When I think farm to table, I think fresh and organic even though it might not be. I would like to think that it's healthier. It makes me think of cutting out the middleman. It makes me think of the farmers market.

–Tammy, 33, KY

Freshly prepared salmon dinner. -Alex, CA

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Appendix:Research Methods & Respondent Profiles

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Objective and Approach

Approach:6 Millennial Participants – 29 to 34

Pre-interview Homework

Photos and description of:

• Typical dinner at home

• Places you store food

• Grocery store deli

Concept Review:

• Concepts randomized, a different order sent to each participant

• Initial thoughts

• Rank in order of preference

30–45-minute Online Interviews

• Discuss concepts

• Potential highlights & considerations

• General related food habits, behaviors, pain points, and sources of inspiration

Data Mining

• IDDBA Engaging the Evolving Shopper, 2014

• Outlook on the Millennial Consumer, 2014• Digital Food Life, 2014• Food Shopping in America, 2014• Modern Eating, 2013• Diners Changing Behaviors, 2014

• Female/Male

• With/Without Children

• Full-time Employment

• Geographic Spread

• Primary Shopper

• Shops Deli/Fresh Prepared

Objectives:• Gain deeper understanding around culinary assistance and inspiration• Test reactions to a range of concepts (created by IDDBA partner chefs) that could provide inspiration

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Participant ProfilesAlex

Carmella

Claire

Kristy

Keita

Tammy

34, Berkeley, CAMarried, Father of 3-Month-Old Baby

Primary Grocery Store: Berkeley Bowl

Favorite Concept: Farm to Table & Culinary Concierge

• Enjoys cooking from scratch for his family• Loves the personal connection and interaction

that would come with an in-store chef

30, Chicago, ILHas a boyfriend

Primary Grocery Store: Mariano’s

Favorite Concept: Hot and Ready & At Your Service

• Likes cooking but admits she’s not great at time management, so she doesn’t do it that often

• Grocery stores are for browsing and taking your time

29, Bloomington, MNMarried, Mother of 1 Child

Primary Grocery Store: Cub Foods

Favorite Concept: Farm to Table

• Tries to plan a week of quick and easy meals, loves cooking in her cast iron skillet

• Doesn’t like to bother the people in the deli; grocery stores are for grab and go

33, St. Paul, MNDivorced/Has a boyfriend, Mother of 2 Girls: 7, 12

Primary Grocery Store: Byerly’s

Favorite Concept: Farm to Table & At Your Service

• She cuts carbs but feeds her children “traditional American foods”

• Grocery stores aren’t relaxing environments• Convenience that’s economical is important

33, Alpharetta, GASingle

Primary Grocery Store: Publix

Favorite Concept: Farm to Table & Culinary Concierge

• Loves taking his time shopping and cooking for himself

• Really values personal interactions with in-store chefs and deli personnel

33, Louisville, KYSingle, Lives with/cares for her mother

Primary Grocery Store: Kroger

Favorite Concept: Buy a Little, Buy a Lot

• Cooking for 1 or 2 from scratch often costs more than grabbing fast food

• Budget shopper but will drive 30 minutes out of her way to buy Boar’s Head products

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