NEW YORK - NPD’s Consumer Reports on Eating Share Trends, which tracks consumer use of restaurants, reported that consumer spending grew by 2 percent during the same period to $390 billion.

“Despite this past year’s extremely weak economic conditions, the restaurant industry as a whole managed to keep its head above water for most of the year,” said Harry Balzer, NPD’s chief food industry analyst.

“Strong promotional activity on the part of chains and growth in breakfast and lunch visits to quick-service restaurants contributed to the slight gains the industry experienced this past year,” he said.

NPD said promotion-related visits supported restaurant traffic gains, as deal visits increased 6 percent and non-deal visits slipped 1 percent.

For the annual period ended November 2008, 23 percent of all restaurant traffic involved some type of consumer-recognized deal. Over 90 percent of the increase in deal visits came from quick-service, or fast-food, restaurants.

Traffic growth for fast-food restaurants, which have 77 percent market share, slowed in 2008. Still, the segment fared better than full-service restaurants.

The 1 percent rise in traffic to fast-food restaurants like McDonald’s Corp offset a 2 percent decline in traffic to mid-scale eateries such as Denny’s and DineEquity Inc’s IHOP and Golden Corral.

Casual-dining traffic was flat, but trends weakened in the back half of the year with a 2 percent decline in traffic from September through November. Casual-dining chains include operators like the Cheesecake Factory Inc.

Lunch traffic was up from 2007, dinner visits continued to slow and breakfast and snack-related visits rose at a slower pace than in 2007.

“I don’t believe consumers, no matter the state of the economy, will abandon restaurants entirely, they will just use them differently — more cost-consciously,” said Balzer, who added that within the industry there will be winners and losers.

“The restaurants that deliver value and make it easy to get food cheaper, in new and compelling ways, will win,” he said.

Consumers are shifting their dining options from restaurants to their own dining rooms.  Sales at local grocery and gourmet stores are on the rise as a result.  A great source for buying gourmet and specialty foods is The Sell Gourmet Network, a gourmet food web portal that connects the gourmet food industry together and stands as a resource for all gourmet related businesses to find products and services for their business.

From maureenclancy.com, a blog about matters of taste

SAN FRANCISCO - BALSAMIC HONEY VINEGAR is, first off, not really balsamic vinegar, the best of which comes from Italy. Rather, this tasty product is made right here in the ‘US of A‘ by a  fifth-generation family of beekeepers. It’s made from pure honey in the style of balsamic vinegar which involves fermentation and aging in oak among other steps.
I tasted it plain and loved the hint of sweetness and the sassy tang. It’s very smooth, without the “catch” in the throat of other vinegars. It’s available on-line for about $12 (8.5 ounces) at HoneyRidgeFarms.com and at Amazon.com.

ATLANTA - October 23, 2008

In a quest to bolster holiday sales this season, Andy Freeman, the proprietor of Cherries Divine, LLC, maker of  elegantly packaged long stemmed chocolate covered cherries went to the Internet to look for venues to sell both online and offline.

“We need to establish our brand with upscale retailers because we think we have a great product that has superior quality and taste and very attractive and festive packaging for the holidays, Valentines and corporate gifting” said owner Andy Freeman.  “We’re working with several national venues to get our message out to wholesale buyers and Sell Gourmet matched up perfectly with our mission.”

In a world of too many sweets and brands to choose from Cherries Divine with long stems intact, each colossal cherry is hand-coated in rich buttercream, a family recipe perfected through the years by Linda Freeman, Mother (and Mother-in-law) of owners.  Just one look at these cherries and they grab your attention with the long stem and drizzled chocolate swirl design on each candy.  Just one bite of these delectable delicacies will enrich your mouth with pure buttercream that goes into each handmade candy from Cherries Divine.  Freeman states they only use colossal cherries where their goal is to provide the absolute plumpest, sweetest cherries that they source from the Columbia River Gorge of the Pacific Northwest.  Freeman has no doubt about how people will accept their products, “We feel we have a winner with our product line and we’re set to prove this claim one satisfied customer at a time”.

“Everyday we receive requests to join our website from many companies from around the world, but few make an impact like Cherries Divine” said Jerry Gabbert, president of The Sell Gourmet Network.  Like any gourmet business, Sell Gourmet thrives on brands that offer unique and upscale packaging along with exceptional quality in taste and presentation and a great story to tell.  “Our business exists to help gourmet food companies market and expose their brands to wholesale buyers and consumers.  The more upscale and attractive a product looks, the easier it is for us to market and promote those brands.  Cherries Divine has the ‘total package’ and we’re very happy to have them onboard with us” stated Gabbert.

Cherries Divine makes three varieties of chocolate covered cherries: Simply Chocolate, Dark Decadence and Ivory Elegance.  There is even a combination of all three flavors deemed appropriately The Devine Medley! Cherries Divine also makes several custom logo Corporate Gift options to personalize and brand your company image with a superior quality product that your clients will cherish.

Companies can even give a truly unique treat at your next sales meeting or golf outing.  Whether you choose the traditional chocolate dipped cherries or their Fabulous Golf Ball shaped chocolate covered cherries, clients and employees are sure to be impressed with such a unique and delectable gift idea.

Caterer’s, wedding planners and brides will love planning for weddings, anniversaries, award ceremonies and other special occasions with their Black Tie Events and Black Tie Affair Tuxedo and White Wedding special party favor and gifts. Guests will go home happy with a special treat.

Gourmet News Editorial Retailers Holiday Update 2008

By Joanne Friedrick

In the dog days of summer, retailers have already been plotting their holiday strategies.  This year, of course, the sagging economy adds a wild card to those plans.  So what is a store owner to do?

According to Anne Obarski, executive director of Merchandise Concepts, a retail speaking and coaching service based in St. Charles, Missouri, the economy shouldn’t dictate how a retailer plans for the upcoming holidays.

“I don’t think it makes a difference what economy we are in now,” said Obarski.  “What retailers have to come to grips with is that customers have little loyalty as their shopping experience is global.  (Shoppers) have more options than they have ever had before.  Link that with the economy, and they will save gas and let their fingers do the shopping if we don’t give them a reason to come touch, taste and feel our products.”

James Hallman, owner and operator of The Hallman Company, a retail consultancy near Atlanta, said he is counseling clients to stay positive.  “You can’t control the economy, but you can focus on what you can control,” he pointed out, such as inventory levels, your marketing message and whether that message is reflected in how your store actually operates.  For example, if you profess to have superior customer service, will a customer experience that the moment they enter your store?

The economy will take its toll on marginal retailers, Hallman noted, but that can present opportunities for those who remain.  The question becomes whether your store will be a mere survivor-just getting by in tough times-or become a success.

Hallman said a savvy retailer is able to control the positive, emotional levels of its customers by tapping into one of four emotional triggers-pride, profit, pleasure and peace of mind.  For a specialty coffee shop, peace of mind for customers may be knowing that their favorite brand or flavor is always there, while pleasure is the ability to enjoy that special cup of coffee.

Pride and pleasure can also be related to a customer’s ability to be the first to find a new item, which makes inventory control a key factor in holiday planning.

Hallman said when times are tight, product mix and appropriateness is more important than sheer volume in a store.  He said inventories should be staggered so some new items are released early to accommodate fashion shoppers-those who want to be the first on the block to have a new, hot item.

To make store appear fuller, Obarski said retailers should tighten up their displays and focus on those areas that are the first ones a customer sees when he or she enters a store.

“The cleaner your store and inventory look, the easier it is for customers to shop,” she said.  “don’t confuse lots of inventory with increased sales.  If you really know your customer and buy for their needs and wants, it will be easier to merchandise in depth and not be spread out.”

Additionally, said Obarski, customers are likely to shop in person if the store offers an “experience”.

“Kitchen and gourmet stores have the perfect venue to offer something that addresses all the senses,” she said.

Hallman also cautioned specialty retailers to position themselves away from a low price model and play up the store’s uniqueness, experience and quality.

“Consumers want the highest quality, lowest price and best service,” acknowledged Hallman.  “But no retailer can consistently deliver all three.  You need to decide which one or two you really want to focus on.”

In preparing the store for the holidays, Obarski offered these suggestions:

• Focus and plan merchandising techniques around the highest turning items
• Thin your inventory by offering sales on those items that are poor performers
• Have employees shop the competition, whether online or in person, and have them pinpoint areas of improvement.  Extra training with specific performance expectations that are linked to rewards can help shape how employees deliver customer service
• Meet with all employees and let them know as much as you can about all the areas of the business, from expenses to planned sales to operational issues, so they feel ownership of the store and will work harder because they understand the big picture
• A mystery shopping program can also be used to test how well employees service customers before the busy shopping days occur.  If there are issues, there will be time to address them before the holiday rush.

Hallman also suggests the pre-holiday time is when store’s should get the customer lists in order for marketing programs via mail and email.

Once customers are in the store, it’s important to provide a high level of customer service, even on the busiest of days.

“As (store) leaders, managers must convey the importance of communication skills on the part of each and every employee,” said Obarski.  “No matter how busy someone gets, they need to make sure they either make eye contact, physical contact or verbal contact with customers.  Holiday season is the time to court that new customer so they continue to shop throughout the year.”

Although retailers may be feeling some angst about the upcoming season, Hallman said a dose of reality will put things into perspective.  “The economy is tough,” he acknowledged, “but it’s not the Great Depression.  We know things cost more and we have to prioritize spending, but the customer will still buy what they love from the places they love.  What retailers need to do is look at what people like about them and do everything they can to maintain that position.”

Joanne Friedrick is a freelance writer and editor in Portland, Maine.

Anne Obarski is the director of Merchandise Concepts in St. Charles, Missouri

James Hallman owns The Hallman Company in the metro Atlanta area

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