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About this Author
Gwen Smith Ishmael, Sr. Vice President of Insights and Innovation at Decision Analyst in Arlington, TX, has led marketing and new product development activities in the CPG and technology industries since 1986. She also conceived and developed ground-breaking Web-based promotional vehicles, two of which are patent pending. Gwen holds an MBA in Marketing and is a featured speaker on insights and innovation around the world. Her writings have been featured in international text books, most recently in Managing 4 Ps of Marketing FMCG Sector, and Product Innovation: A Strategic Tool for Growth, by ICFAI Publications, 2006 and 2007, respectively.

Founding Author

Renee Hopkins Callahan Renee Hopkins Callahan started IdeaFlow and serves as chief blog-wrangler. She is Director of Innovation Services at Decision Analyst in Arlington, Texas, is a former journalist who worked as an editor and reporter for The Dallas Morning News and the Nashville Tennessean, and was managing editor of D, the Dallas city magazine. She has a master's degree in rhetoric and has also taught college-level English and informal logic.
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November 21, 2005

Attention shoppers! Innovation in the grocery store

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Posted by Renee Hopkins Callahan

Disclosure up front: I once worked in marketing at Whole Foods Market, and before that spent part of my journalism career in food journalism. So I usually pay attention to stories about food marketing and food retail. Today's Wall Street Journal (sub reqd) has a fascinating story about the emerging trends that are changing the look of grocery stores.

The particular item that caught my eye was this: "Packaged-food makers, which traditionally stocked the center of the store, are moving to the periphery [of the store] as well to make sure they don't miss the sales shift. H.J. Heinz Co. of Pittsburgh, for one, is creating new refrigerated potato and macaroni dishes. 'This peripheral area of the store is growing'" says William Johnson, chief executive of Heinz. 'Consumers have spoken about the need for fresh food.' "

This is a fascinating story about an unusual innovation driver. In the broad sense, consumer/customer need is the driver -- "consumers have spoken about the need for fresh food." But in a much more specific sense, these new refrigerated potato and macaroni dishes have been created in response to changes in the way people move around in the grocery store.

Food shoppers no longer spend as much time traversing up and down the central aisles of supermarkets. Instead they shop the more interesting peripheral areas -- dairy, bakery, deli, etc. -- which are also, perhaps not so coincidentally, where much grocery-store innovation has taken place. This is where the funnest stuff in the store is, where the Starbucks kiosk is, where the free demo food usually is. One grocery executive in the WSJ article was quoted as saying, "The center aisles haven't changed for 30 years."

So, some new food products are being created solely because companies want to get their products in front of shoppers where they actually are.

Source: "New Food, New Look," by Janet Adamy, Wall Street Journal, 11/21/05

Comments (3) | Category: Innovation Drivers


COMMENTS

1. Dram Man on November 24, 2005 1:33 AM writes...

Do not worry I will try not to hold the fact you worked at Whole Foods against you.

By the way the article can be found sans subscription at http://www.contracostatimes.com/mld/cctimes/business/13200673.htm

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2. Dram Man on November 24, 2005 1:49 AM writes...

Sorry wrong article, I am burning red. Anyway the Contra Costa usualy reprints, keep an eye out for it.

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3. Sally on January 4, 2006 5:39 PM writes...

Good advertising trick, I suppose. It's a business of marketing.

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