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RECon: Supermarkets must react to more ethnic offerings

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Traffic to supermarkets is increasing as consumers try to cut down on restaurant visits and retail grocers in the $900 billion industry introduce new concepts, GlobeSt.com reported.

And though landlords love supermarkets, due to their stability and draw for consumers, those assets are also becoming more diluted as a diverse group of ethnic, specialty and discount stores enter new markets.

Speaking during a panel discussion at the International Council of Shopping Centers’ RECon 2011 conference in Las Vegas, Scott Moses of New York City-based Sagent Advisors Inc. said it’s important to be aware of the developing trends in non-traditional food offerings.

“You have to pay attention to this; the Latino population is about one-sixth of the total population now, and is expected to grow to be about one-third of the population,” he said.

Grocers concerned with loss of market share must also remember to try new ideas as they consider demographics.

“On average, Caucasians visit a grocery store about three times a week,” said panelist Rick Domanski, director of client services with Pleasanton, Calif-based Pitney Bowes Business Insight. “Hispanics go about every 30 hours, they tend to eat with their families more, and it’s easier and cheaper to feed people using fresh food.”