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Grocery Industry: Eat or Be Eaten EAST COAST GLOBAL CONSULTING 1

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Page 1: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

Grocery Industry:Eat or Be EatenEAST COAST GLOBAL CONSULTING

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Page 2: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

Agenda Challenge Delia

Key Issues & Objectives

What’s happening? Allison

The Hunger Games Delia

What are they doing about it? Jennifer

So what else? Chelsey

Eat or be eaten

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Page 3: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

Challenge

How can a traditional grocery store

compete in a disruptive landscape?

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Page 4: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

Key Issues

Customer preference disparity

Increasing use of technology

Highly disruptive industry

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Page 5: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

Key Objectives

Maintain/recapture growth

Serve customers evolving needs

Avoid alienating traditional customer base

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Page 6: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

What’s happening?ALLISON PENTON

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Page 7: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

Root Cause Analysis

EAST COAST GLOBAL CONSULTING 7

What’s Changed?

Customer Preferences

Page 8: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

What does the customer want?

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Save timeSave

moneyUnique

experienceHealthy options

Page 9: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

Customer Profiles

ELAINE, 35

Mother of 3

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TONY, 54

Sr. Accountant

JAY, 23

Software Developer

HELEN, 71

Retiree

HelloFresh Skip the Dishes Trader Joe’s Loblaws

Page 10: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

The Hunger GamesDELIA WARREN

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Page 11: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

Industry Disruptors

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Meal Delivery

Food Delivery

Specialty Food

Lowest Prices

Sustainable Food

HelloFresh

Skip the Dishes

Trader’s Joe

Walmart, Costco

Farmer’s Markets

Page 12: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

What are they doing about it?JENNIFER BUTTON

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Page 13: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

Critique of Grocery Store Response

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Offering self check-outs

Ready-to-eat meals

Delivery service

Specialty offerings; local produce

Community marketplace

Page 14: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

Customer Profiles

ELAINE, 35

Mother of 3

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TONY, 54

Sr. Accountant

JAY, 23

Software Developer

HELEN, 71

Retiree

Ready-meals DeliverySustainable/

TrendyStatus Quo

Page 15: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

So what else?CHELSEY KING

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Page 16: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

Alternatives: Disrupt the Disruptors

• Live music

• In-store café

• Workshops and events

• Tasting stations

Experience Shopping

• Pre-select grocery items for pick-up

• Track points and apply coupons

• Predictive analytics and recommended add-ons

• Recipe suggestions based on past preferences

Mobile App

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Page 17: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

Eat or Be EatenDELIA WARREN

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Page 18: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

What Success Looks Like

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Maintain/recapture growth

Serve customers evolving needs

Avoid alienating traditional customer base

Competing head on against disruptors

Implementing new features and services; building hype

Maintaining brick and mortar locations

Page 19: Grocery Industry€¦ · Root Cause Analysis EAST COAST GLOBAL CONSULTING 7 What’s Changed? Customer Preferences. What does the customer want? EAST COAST GLOBAL CONSULTING 8 Save

Questions?THANK YOU!

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