Winter Produce Merchandising Heats Up

Retailers can boost cold-season sales by spotlighting apples, citrus, potatoes, carrots and more.

Winter is coming, and retailers have the opportunity to capitalize on the season and its sales opportunities by creating strong presentations, leveraging promotional programs, and embracing holidays and events.

Frank Kolovich, director of operations at Mannix Family Markets, Staten Island, NY, which recently opened its fourth ShopRite supermarket in its native Big Apple borough, says winter merchandising begins even as summer departs, as the store brings commodities, such as apples and pears, up front.

“We move the soft fruit to the back of the department because of limited availability,” he says.

By mid-September, the company was offering prominent displays of apples and citrus, with both large aisles and specialized endcap presentations of apples and oranges in its newest Staten Island, NY, store. Summer items, including berries, remained prominent, but seasonal change was evident.

“Fall transition is one of the most exciting times for our produce associates,” says Dave Holloway, director of produce and floral, Busch’s Fresh Food Market, Ann Arbor, MI.

THE BIG PICTURE

Produce suppliers who are focused on commodities that get their best play in winter have a range of approaches to presentation and the results.

Winter is vegetable prime time, says David Bright, vice president of marketing at Grimmway Farms, Bakersfield, CA. Grimmway also owns Cal-Organic Farms. “The weeks leading up to Thanksgiving and Christmas rank highest in sales for vegetables during the year.”

The holidays are critical for vegetable sales, and retailers who lean into them have a better chance of building sales.

“Holiday events are key to attracting shoppers into the store by providing excellent value on both high-volume items, like carrots and potatoes, while highlighting how products like greens and fresh herbs can transform staple items into something special for a holiday event,” says Bright.

“Each holiday is an opportunity to highlight different items to enable the shopper to prepare something special for their household and all who visit their homes.”
— David Bright, Grimmway Farms, Bakersfield, CA

Retailers should be ready to execute against post-holiday opportunities as well, as consumers move into resolution season.

Bright says it’s “very important to emphasize the value, health benefits, and sense of care that the purchase and preparation of fresh vegetables brings shoppers responsible for nourishing their households.”

Price promotions are particularly effective on key items, like carrots and potatoes, to draw shoppers into the store, he adds. “Now is the time for retailers to work with their growers and distributors to plan promotions to draw shoppers into the store with great values.”

Susan Noritake, vice president of sales and marketing, Bako Sweet, Bakersfield, CA, says the company is reviewing macroeconomic trends and working closely with retailers to get ready for how circumstances will play out in an uncertain economy.

“That said, we remain confident in the category,” she says. “Sweet potatoes continue to grow, attracting new shoppers who are finding ways to make them part of everyday meals. They also shine as a comfort food, which resonates strongly during the winter months.”

STAND OUT TO SELL

Noritake says successful merchandising has a foundation in “physical availability.” That means dedicating more space, using prominent locations, and above all, keeping display bins full.

“If product isn’t stocked, sales are missed,” she emphasizes. “With labor challenges, this can be difficult, but we partner with retailers to provide merchandising support whenever possible to help ensure strong, uninterrupted displays throughout the entire year.”

The role of guacamole in holiday gatherings, which is becoming more prominent and is particularly associated with football, has prompted Avocados from Mexico, Irving, TX, to introduce a variety of retailer-supporting promotions. For the third consecutive year, it has struck a deal to become the Official Avocado Brand of the College Football Playoffs.

Besides taking advantage of the college promotion, Stephanie Bazan, senior vice president, commercial strategy and execution, Avocados from Mexico, says retailers should take into consideration that displays are stronger when bulk and bagged products both get prominent display.

She notes that 70% of U.S. households purchase avocados 11 times per year. Offering both bags and bulk is the base foundation of avocado merchandising in the winter, as about 35% of sales are in bagged, and that proportion is growing.

A merchandising study from Avocados from Mexico demonstrates that bigger produce department displays do generate additional unit sales, even unbranded, with satellite presentations pushing purchasing.

Sales got an even greater lift when displays included Avocados from Mexico identification, Bazan says, which suggests that branding can have an impact on how consumers respond to certain commodities.

THE FRUITS OF DISCUSSION

Strong citrus displays are key to winter merchandising success, says Cassie Howard, senior director of category management and marketing at Sunkist Growers, Valencia, CA. “Citrus is a natural fit for impactful, eye-catching displays, especially in high-traffic areas, such as perimeter entrances, island displays or secondary refrigerated sections. From holiday-themed builds to vibrant specialty citrus destinations, we’ve seen success with retailers who cross-merchandise citrus alongside health-forward items, such as water, tea and immune-supporting snacks.”

“Citrus bins can be used to create ‘wellness reset’ displays for New Year promotions, capitalizing on both functionality and flavor. Seasonal storytelling is key: Shoppers are looking for both relevance and inspiration.”
— Cassie Howard, Sunkist Growers, Valencia, CA

Presentation of produce and complementary fruit items is evolving, and the changing environment warrants new thinking about specialty produce, says Alex Jackson of Frieda’s Branded Produce, Los Alamitos, CA. “Price alone won’t move the needle,” she observes. “Today’s shoppers expect inspiration and value.”

Retailers might consider successful tactics, including building endcap displays featuring bagged Meyer lemons or kumquats complemented by simple recipe cards, with circular support tied to citrus and other winter season items to drive volume.

When it comes to support, a boost can come from out-of-the-box thinking, such as “digital activations on Instagram, TikTok, and loyalty apps that link citrus to trending cocktails, snacking or immunity boosts, QR codes at shelf that tie to quick videos or recipes take it further,” says Jackson.

This season, Frieda’s is supporting retailers with turnkey citrus promotions, multi-purpose shippers and cross-merch ideas like kumquats with ginger or turmeric, Jackson says. “For foodservice, we encourage chefs and distributors to work one season ahead, sampling now to develop recipes and plan for next year.”

Wonderful, Los Angeles, CA, supports its citrus products using myriad approaches, including in-store point-of-sale, often supported by the company’s staff of merchandisers.

“Traditional tools, like eye-catching displays and circular ads, continue to be effective in generating awareness and encouraging immediate purchase decisions,” says Zak Laffite, president, Wonderful Citrus. “However, retailers now have opportunities to leverage targeted promotions, including using retailer loyalty card data, as well as physical and digital couponing.”

Jennifer Hirano, vice president of marketing, POM Wonderful, notes the California fresh pomegranate season takes place from October through February. “We see an uptick in sales for our whole pomegranates and POM Pomegranate Arils in December, January and February, as consumers are eager to get them while they can during the winter season.”

She says they have found consumers typically purchase pomegranates on impulse, so they leverage point-of-sale displays to generate buzz around the season. “Additionally, fresh pomegranates have become a household staple for holiday entertaining, adding a festive ruby-red pop of color to dishes.”

APPLES SELL BEYOND FALL

Apples are a key component of winter produce merchandising, and Cynthia Haskins, president and chief executive of the New York Apple Association, Fishers, NY, says the fruit attracts consumers year-round, so retailers can count on demand when merchandising is abundant.

“This is a repeat-buy item, and we encourage retailers to build large displays, as consumers will come back for more,” says Haskins.

Winter merchandising has continuity, but hitting high points can keep produce department presentations fresh. Diane Smith, executive director, Michigan Apple Committee, Lansing, MI, says consumer favorites, such as Gala and Fuji apples, can satisfy consumers year-round, and retailers have an opportunity to highlight apple varieties that peak at different times across the calendar.

“We encourage consumers to try EverCrisp after the first of the year,” she says. “It’s a great apple variety that stays fresh for a long time.”