Dan Kopelow

Eric Johnson

Sabrina Fruehauf

*What is the customer of today looking for at the grocery store?

*Agenda

* Lessons from Class: Accepted industry practices

* Trends:

- from Organic to Local

- Recycling

- Customer Service

* Examples

* Implications for CatMan

* Accepted Industry Practices

* Assortment

* Ambience

* Price

* Trends (I)

* Organic

Produced without pesticides, hormones & antibiotics

U.S. "organic" sales have grown from $1 billion in 1990 to $26.7 billion in 2010

Mass market retailers sold 54% of all organic food in 2010

Organic food is the fastest growing sector of the American food marketplace (study in 2010)

* Trends (II)

* From Organic to Local

52% of consumers prefer locally produced over organic options

Organic fruit products declined 58% between 2008 and 2011

Organic vegetable products decreased by 77% between 2008 and 2011

* Trends (II)

* Local Customers want to know where

their food comes from

"Slow Food"

Customers value "one-to-one" relationship (<--> Jewels)

* Trends (III)

* The value of recycling

Consumer is becoming more environmentally conscious

The number of shoppers who would choose environmentally friendly packaging increased by 8% from 2010 to 2011

Many customers are willing to pay extra for sustainable factor

* Trends (IV)

* Customer Service - what still matters

Knowledgable, available and friendly staff

Good value and convenience

A fast finish

Consumer tolerance for "slip-ups"

* Examples – today’s consumer

* Stonyfield's consumers:

"Have you considered putting your products in glass?"

* Today's consumer checks if a product can be recycled prior to buying it

* Rethinking of utilizing rather than throwing out leftovers

* Examples – today’s

organization

* Patagonia's 1% program

* Tom's shoes One for One movement

* P&G Future Friendly

* Hasbro's sustainable packaging initiative

* Implications for CatMan

* Assortment

* Ambience

* Price

Thank you!