Did you know that the restaurant market is in decline? Everyone from Wendy’s to more upscale establishments have been hit, with fast food places suffering most of all. While this news comes as a major disappointment to restaurant owners, grocery store owners could not be happier. What they may tell you, though, is that this…
Any seasoned grocery store manager will tell you that produce shrink is one of the most vexing problems they deal with on a regular basis. But what is produce shrink, and what can we do to fight it? Simply put, produce shrink is the product that goes to waste when it is not sold. What…
What is shrink?
The proper definition in an easy concise explanation is this: The loss of product inventory. Shrink falls into two categories—operation management issues and theft. When shrink occurs in a supermarket, it differs from the retailers based on grocery items expiring.
The growing problem at both the store and corporate level towards product expiration in Supermarkets today are caused by three main problems: task management, lack of priority, and inefficiencies brought on by product trends. The issue of product expiration has been the Achilles heel for Supermarkets looking to distinguish themselves from the competition through a…
The highest level of food integrity is a requirement in today’s environment. In order to keep customer loyalty and trust, grocers, retailers and their supply chain partners will have to provide their customers with clearer insight into how their products are manufactured, sourced, and brought to market moving forward.
The Center for Food Integrity’s 2015 Consumer Trust Research report indicates food manufacturers are expected to lead this charge. In a marketplace where consumers are demanding transparency not only from grocery stores and restaurants, but also the food companies manufacturing their products, the best way to retain customer loyalty and trust is to build a transparent supply chain. To gain this type of visibility into the supply base, there are a few best practices to keep in mind.
Every year, the US alone wastes 160 billion pounds of food. Even more shocking, that comes out to 40% of the food produced ending up in the garbage. While this waste happens throughout the supply chain, from production to the household, the largest share of waste is directly related to confusing date code labeling.
With Halloween quickly approaching, we thought it might be appropriate to highlight the “horror stories” that can come from having expired products in your stores. We will not focus on anyone that is still in business, but there are examples out there of news crews going into grocery stores and publicizing the expired products that they find. No one wants to be identified as a store that sells expired products, but what can that look like if it happens?
When we talk with grocers, we often have a discussion about how much they are losing to shrink every year due to expired food. Some can give you a general volume of how much ends up in the back room in a given month, and others can give you an exact dollar amount they lost last year. While its great when grocers are tracking their finances down to that level, there is a category of expired products that get accounted for elsewhere in the finances: sales. In reality, if you are finding expired products on your shelf, customers are too, and some of them are purchasing it.