Merchandising mavens - Beef Retail

❍FRESH MEAT CASE STRATEGIES

Merchandising mavens

The Kroger Co., Foodmaster Super Markets Inc. and Harris Teeter Inc.
are the first winners of the Beef Backer Awards. By Richard Mitchell, Editor

As key shopper have demonstrated a
destinations, most commitment to outstand-
supermarket meat ing beef marketing and
departments receive ample merchandising. They are
marketing support. Such based on a retailer’s tie-in
elements as point-of-sale with Beef Checkoff-fund-
signage, product sampling ed programs and retailer-
and radio and television originated promotions
advertising are that occurred between
commonplace as Oct. 1, 2006 and Sept. 30,
conventional retailers battle 2007.
with a growing band of
competitors, including While the winners vary
warehouse clubs, natural and organic markets in size, scope and focus,
and even foodservice locations. each company was aggressive in using a vari-
ety of marketing vehicles to spotlight their beef
Yet, even among the plethora of active mer- offerings.
chandisers, a number of operators stand out in Cincinnati-based Kroger, with close to 2,500
the effort to propel beef revenues. The stores in 31 states, was the winner in the
National Cattlemen’s Beef Association Innovator Category. Chelsea, Mass.-based
(NCBA), on behalf of the Beef Checkoff, recent- Foodmaster, which has 10 stores in
ly spotlighted three of those organizations— Massachusetts, won in the Independent
The Kroger Co., Foodmaster Super Markets Category. Mathews, N.C.-based Harris Teeter,
Inc. and Harris Teeter Inc.—by naming them which has 166 stores stretching from Florida to
winners of the first annual national retail Beef Virginia, was tops in the Chain Category.
Backer Awards. The following profiles of the winners reveal
that effective beef marketing can span a variety
The awards are designed to recognize of channels.
supermarket retailers of any size or format that

The Kroger Co.: Focusing Value Cuts that were identified Kroger supported the launch
on the Flat Iron in the muscle-profiling initiative with thousands of demonstra-
that was launched by the tions in its stores, aisle signs
The U.S.’ largest supermarket nation’s beef producers in 1999. and rail strips at the point of
operator, The Kroger Co. in sale, radio and television adver-
2007 became the first national The NCBA reports that the tising, and promotions in the
retailer to introduce the vacuum- Flat Iron is the most tender, juicy weekly circular.
packaged Flat Iron Steak to its and flavorful of the cuts and
customers as part of the fresh lends itself equally well to casu- “We felt the Flat Iron was an
meat case. al entertaining and quick family underdeveloped cut that served
meals. It can be grilled, skillet an unmet opportunity,” says
Also known as the Beef cooked, broiled, cut into strips, Mark Van Buskirk, Kroger vice
Shoulder Top Blade Steak, the stir-fried or cut into pieces for president of meat and seafood
Flat Iron was among the 10 Beef kabobs, the NCBA notes. procurement and merchandis-

16 MEAT & DELI RETAILER / January/February 2008 www.meatanddeliretailer.com

❍FRESH MEAT CASE STRATEGIES

ing. “It brings new customers ates were briefed on the and ensures there always is an
to the meat case and also pro- Flat Iron by representa- adequate supply in meat cases.
vides another meal occasion for tives from state beef
shoppers.” councils so they could Kroger initially targeted the
provide accurate informa- value shopper with the Flat
Kroger initially launched the tion to customers and Iron but found that it appeals
item at its Fred Meyer and answer questions. to all segments, he notes. Kro-
Dillons stores before rolling it Division meat managers ger’s average retail price of the
out across all outlets. Among also were educated about cut is $5.99 a pound, but stores
its two-dozen local banners are the cut. often put it on special, he adds.
Kroger, Ralphs, Food 4 Less,
Fry’s, King Soopers, Smith’s, Kroger also added While he won’t divulge fig-
QFC and City Market. cooking information to ures, Van Buskirk says Flat Iron
the Flat Iron’s on-pack sales have exceeded the com-
Van Buskirk says in-store labels. pany’s expectations and contin-
sampling was the key driver in
boosting sales of the Flat Iron. “There are a lot of inexperi- ue to grow. The popularity is ➡
Because the product is mer- enced cooks and many cus-
chandised in vacuum pack- tomers may not think the Flat
ages—which is rare among Iron would be an enjoyable eat-
beef items—demos are an ing experience because the cut
important means of acquaint- doesn’t always look good in the
ing consumers with the cut and package,” says Charlie Milacki,
addressing any misconceptions Kroger corporate meat buyer.
they may have about its taste “But when they try it it’s a no
and tenderness, he notes. brainer.”

Prior to the samplings— Van Buskirk says that using
which were held about four case-ready packaging extends
times at each location—associ- the shelf life of the Flat Iron

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❍FRESH MEAT CASE STRATEGIES

enhanced by the Flat Iron’s operations. In-store signs were used to
inclusion on menus at such The proteins were key ele- promote the pop-up timers,
major restaurant chains as while on-pack labels also spot-
Applebee’s and T.G.I. Friday’s, ments in various meat depart- lighted the timers while pro-
he states. ment promotions. viding cooking instructions
and recipes.
He adds that Kroger also In a “Beef Bowl” initiative
will promote the Flat Iron in that coincided with the begin- Cremens says the initiative,
2008 with such vehicles as ning of the football season, which ran about six weeks, led
advertising circulars and radio. stores co-merchandised beef to a 5-percent sales increase on
with Sorrento-branded cheese higher-end roasts and an 11-
Foodmaster: Keeping the and staged beef demonstra- percent overall gain in roast
heat on beef tions that featured recipes from sales.
party planner handouts.
The meat department has A Summer Grilling program,
been a key destination at Large easels in aisles also meanwhile, was centered
Foodmaster Super Markets Inc. spotlighted the party planner around three holidays—Cinco
since the company’s inception and featured tear-off sweep- de Mayo, Father’s Day and
in 1947. stakes coupons that gave Labor Day. In-store signage,
entrants the opportunity to win advertising, on-pack labels,
With 10 urban stores, the two tickets to a New England sampling and bags stuffers
retailer serves a broad spec- Patriots football game. were among the vehicles used
trum of shoppers ranging from to promote specific grilling cuts
high-end to value-oriented cus- A Holiday Roast promotion, during those periods.
tomers. About 95 percent of the meanwhile, featured the distri-
beef in each outlet carry the bution of recipe brochures to The company also held a
Certified Angus Beef brand, shoppers at the meat case and contest entitled, Love Your
but there also are small selec- the inclusion of pop-up timers Steak, Love Your Dad, which
tions of Select items, says John with such items as Standing gave children the opportunity
Cremens, director of meat Rib Roast, Sirloin Strip Roast to compose essays about why
and a Sirloin Tip Roast to assist their dad deserved a steak for
customers in preparing the Father’s Day. The winner
beef.

www.meatanddeliretailer.com ➡

January/February 2008 / MEAT & DELI RETAILER 19

❍FRESH MEAT CASE STRATEGIES

received a family pack of to meat managers who had the Harris Teeter also launched
steaks, grill tool set, apron and best display or the highest per- a tailgating initiative that coin-
a framed print of the winning centage of steak sales among cided with the start of the 2007
letter. stores. National Football League sea-
son. The retailer took $5 off the
Though the contest was The company also enhanced price of its private-label HT
advertised on the easel signs its beef line by rolling out such Rancher or HT Reserve Angus
that contained entry blanks, as cuts as Beef Shoulder Top Beef after a customer pur-
well as in advertising circulars, Blade (Flat Iron), Beef Shoulder chased a specific amount of
Cremens says entries were (Petite Tender) Roast, Beef select grocery items.
lower than expected. The com- Shoulder Center Steak (Ranch
pany will attempt to create Steak), Beef Round (Sirloin) Tip Among other activities was
greater awareness for the 2008 Center and Beef Round a nutritional labeling program
contest by working with the (Sirloin) Tip Side. highlighting such beef
local elementary schools. micronutrients as Zinc, B-
Harris Teeter: Versatile Vitamins, Iron, Niacin, Thiamin
“This was the first time we marketer and Riboflavin. The nutrients
targeted young children and also were noted on point-of-
we learned that you need to Harris Teeter Inc. demon- sale signage.
approach that market different- strated its merchandising
ly,” he states. “The contest is versatility by leveraging a vari- In addition, associates par-
beneficial because it gives kids ety of beef promotions that ticipated in a Meat Expert
gratification if they win and is were aimed at a cross-section Training Program to increase
also a way to get new cus- of shoppers. their knowledge of beef and
tomers into stores.” meat merchandising and help
The retailer, for instance, drive sales at the full-service
To help spur even greater used direct mail to introduce counter.
in-store marketing of beef, an Angus Steakhouse Striploin
Foodmaster also gave gift cards Roast during the 2006 holiday Harris Teeter also attached
season. The roast—which is cooking labels to beef packages
sold in both full-service and and rolled out such cuts as Beef
self-service cases—contained Shoulder (Petite Tender) Roast,
on-pack labels that were Beef Round (Sirloin) Tip Center
designed to catch the cus- Steak and Beef Bottom Round
tomer’s attention and offer (Western Griller) Steak.
preparation ideas. An insert for
the roast also was included in “We are impressed with the
the Harris Teeter advertising phenomenal job Harris Teeter
circular. does in both merchandising
beef and educating their cus-
In a promotion the follow- tomers about beef throughout
ing summer, Harris Teeter the entire chain,” notes Jim
heavily emphasized its grilling Henger, executive director of
cuts—including Top Sirloin, retail marketing for the
Tenderloin, Kabobs, Marinated National Cattlemen’s Beef
London Broil, T-Bones, Porter- Association, which contracts to
house, Ground Beef Patties and manager retail programs for
Beef Back Ribs—by featuring the Beef Checkoff. MDR
beef in every circular and par-
ticipating in Checkoff-funded
radio commercials.

20 MEAT & DELI RETAILER / January/February 2008 www.meatanddeliretailer.com