US Grocery Stores Research Articles

Stocking up and stocking out: Food retail stock‐outs, consumer demand, and prices during the COVID‐19 pandemic in 2020

AbstractMonitoring food retail stock‐outs or the unplanned unavailability of certain food items for purchase assists policymakers in responding to food supply chain disruptions. This study focuses on identifying food stock‐outs using store‐level scanner data on US grocery store sales during the COVID‐19 pandemic in 2020. The total median stock‐out rates of fixed‐weight items increased by approximately 130% after March 15, 2020. Categories such as meat and poultry products, some convenience and frozen foods, baby formula, and carbonated beverages had the highest stock‐out rates. The analysis also explores the relationship between stock‐out rates, sales increases, and food prices during the pandemic.

Secular Rise and Pro-Cyclical Variation in Markups: Evidence from US Grocery Stores

Secular Rise and Pro-Cyclical Variation in Markups: Evidence from US Grocery Stores

Bacon causes cancer: Do consumers care?

AbstractIn October 2015, the International Agency for Research on Cancer (IARC) released a report classifying processed meat as a type 1 carcinogen. The report prompted headlines and attracted immediate public attention, but the economic impacts remain unknown. In this paper, we investigate the impacts of the IARC report on selected processed meat prices and purchases using retail scanner data from US grocery stores. We compare changes in prices and sales of selected processed meat products to a constructed synthetic control group (using a convex combination of nonmeat food products). We find a significant decrease in bacon prices in the wake of the IARC report release, but we find no evidence of a sales reduction. We find no significant changes in price and sales for ham and sausage. The pattern of price and quantity changes are consistent with downward shifts in demand and outward shifts in supply for bacon and sausage following the release of the IARC report.

Child-Oriented Marketing on Cereal Packaging: Associations With Sugar Content and Manufacturer Pledge

To assess sugar content and child-oriented promotional features on packaging among cereals manufactured by companies with varying Children's Food and Beverage Advertising Initiative (CFBAI) participation. Ready-to-eat dry cereals (n = 159) were purchased from southeastern US grocery stores in September 2018. Content analysis of 159 ready-to-eat dry cereal boxes, coded for sugar content and presence of 8 child-oriented features. Frequencies of each promotional feature and number of features per box, level of participation in CFBAI, and sugar content by serving and ounce. Chi-square tests of independence analyzed correspondence between measures of sugar content. Extent of features per box based on sugar content and CFBAI participation were assessed with analyses of variance (ANOVAs). Most cereals (81%) contained <13 g of sugar per serving, meeting the sugar content requirement for child-directed advertising. Cereals' sugar content classifications varied between sugar per serving and sugar per ounce metrics (P < .001). Among low-sugar per serving cereals, 28% were classified as moderate-sugar per ounce, whereas 55% of moderate-sugar per serving cereals had high-sugar per ounce. Games/activities and trade characters were especially common (62% and 49%, respectively), particularly on high-sugar per ounce cereals (P < .001, respectively). Child-oriented features were rare on low-sugar cereals and highest on cereals with higher sugar content per ounce produced by CFBAI-participating companies (F8,158 = 12.33, P < .001). Variable cereal-suggested serving sizes may contribute to consumers' misunderstanding of sugar content. CFBAI manufacturers continue to market cereals with high sugar to children. Food and beverage regulatory policy could be strengthened if CFBAI companies apply marketing pledges to brand mascots, adopt standardized metrics for sugar content, and limit added sugar content to the recommended <6 g/serving target used by the Special Supplemental Nutrition Program for Women, Infants, and Children program.

Price display technologies and price ceiling policies: governing prices in the WWII and postwar US economy (1940–1953)

AbstractThis article explores the politics and technologies of price fixing and price display in US grocery stores in the mid-20th century. Drawing on the literature on market devices and policy instruments, it complements previous studies focused on price setting processes by stressing the importance of price display. Through a systematic reading of the trade journal The Progressive Grocer, the article shows how displaying prices during World War II and the postwar inflation period combined the mastery of Government authorities at the federal level, and the expertise of retail professionals at the shelf level. It demonstrates that the regulation of prices is linked to mundane policies, technologies and practices, in particular the technique of ‘stereoscopic prices’ aimed at linking a reference price (the ceiling price set by the government) and the selling price (the actual price set by the retailer). Such technologies proved able to reinvent prices and price competition through their ‘bifurcated agency’, i.e. their propensity to both enact the scripts delegated to them (conveying price ceilings) and produce major side effects, like generalizing the practice of price display and linking prices to new values and qualitative dimensions of grocery products.

U.S. mango performance benchmark

Retail data are important for mango performance benchmarking because it allows one to compare years and observe trends. Mango sales data from US grocery store chains with more than $ 2 million in annual sales was collected and analyzed in 2014 and 2015. Data came from approximately 18,000 stores nationwide and represented fruit items sold in the produce department. A descriptive analysis of mango performance (volume, price, and sales) store‑1 week‑1 was conducted per region, quarter and year. Volume was measured by unit (one whole mango=one unit), price in dollars ($) per mango unit, and sales in $. Overall, retail fruit sales increased 3% in 2015. Mango sales store‑1 week‑1 increased 6% and mango contribution to the produce department increased slightly, maintaining the same position (#20) in fruit sales ranking, as in 2014. Mango volume store‑1 week‑1 increased 16% to 213 units after a decline of 13% in 2014, and the mango retail price decreased 8% to $ 0.98 each. In 2015, most sub-regions experienced mango increases in dollars and volume. The East North Central sub-region had the largest dollar increase, (13% to $ 173 mango dollars store‑1 week‑1), and the West South Central sub-region had the largest mango dollar contribution to department sales at 0.52%, up from 0.47% in 2014. The highest sub-regions, based on volume store‑1 week‑1, were West South Central, Pacific, New England and Mountain. East North Central was the sub-region with the greatest growth in volume with a 43% increase. All sub-regions except Pacific had a decline in average mango price. The West South Central sub-region had the lowest average retail price at $ 0.76 each and the Mid Atlantic sub-region had the highest average retail price at $ 1.22 per mango.

Internet cigarette vendors make tax-free claims and sell cigarettes cheaper than retail outlets

ObjectiveThis paper aims to (1) assess whether promotion of tax-free sales among Internet cigarette vendors (ICVs) changed between 2009 and 2011, (2) determine which types of ICVs are most likely...

Sodium content in major brands of US packaged foods, 2009

Most Americans consume more sodium than is recommended, the vast majority of which comes from commercially packaged and restaurant foods. In 2010 the Institute of Medicine recommended that manufacturers reduce the amount of sodium in their products. The aim was to assess the sodium content in commercially packaged food products sold in US grocery stores in 2009. With the use of sales and nutrition data from commercial sources, we created a database with nearly 8000 packaged food products sold in major US grocery stores in 2009. We estimated the sales-weighted mean and distribution of sodium content (mg/serving, mg/100 g, and mg/kcal) of foods within food groups that contribute the most dietary sodium to the US diet. We estimated the proportion of products within each category that exceed 1) the Food and Drug Administration's (FDA's) limits for sodium in foods that use a "healthy" label claim and 2) 1150 mg/serving or 50% of the maximum daily intake recommended in the 2010 Dietary Guidelines for Americans. Products in the meat mixed dishes category had the highest mean and median sodium contents per serving (966 and 970 mg, respectively). Products in the salad dressing and vegetable oils category had the highest mean and median concentrations per 100 g (1072 and 1067 mg, respectively). Sodium density was highest in the soup category (18.4 mg/kcal). More than half of the products sold in 11 of the 20 food categories analyzed exceeded the FDA limits for products with a "healthy" label claim. In 4 categories, >10% of the products sold exceeded 1150 mg/serving. The sodium content in packaged foods sold in major US grocery stores varied widely, and a large proportion of top-selling products exceeded limits, indicating the potential for reduction. Ongoing monitoring is necessary to evaluate the progress in sodium reduction.

An empirical investigation of in‐store sampling promotions

Purpose – This paper aims to investigate the impact of in‐store sample promotions of food products on consumer trial and purchasing behavior. The authors investigate differences in the trial rate for free samples across different products and consumer types, as well as the impact of sampling on product and category purchase incidence. The results of this study are relevant for retailers and manufacturers who invest in in‐store free sample promotions.Design/methodology/approach – The authors use data from a field study, which leveraged an actual free‐sample program implemented by a US grocery store chain. Data was collected on six different products promoted by in‐store free samples over six different weekends. The data collected included consumers' trial and purchasing behavior with respect to the free sample, as well as their attitudes towards the free sample that day and free sample promotions in general.Findings – Free sampling is very effective in inducing trial, especially among lower educated consum...

The skinny on tuna fat: health implications

Dietary n-3 (omega-3) and n-6 (omega-6) PUFA have significant implications in health and disease prevention. Marine life is rich in long-chain n-3 PUFA. Children and adults in North America are reluctant fish eaters; canned tuna is a common fish in children's diets. Although a multitude of tuna products are available, their respective PUFA contents have not been well described. The aim of the present study was to compare the fatty acid (FA) profiles of different commercially available US tuna products. Fat and FA composition of eight products randomly selected from two US suppliers were analysed with capillary GC after lipid extraction. Large north-eastern US grocery store chain. Canned tuna. Energy from fat varied from 3 to 33 % and the essential FA (EFA) linoleic acid (18 : 2n-6) and α-linolenic acid (18 : 3n-3) varied tenfold. DHA varied between 90 and 770 mg/serving. The n-6:n-3 ratio was 3:1-4:1 in oil-packaged products, 2:1-7:1 in packaged tuna salads and 1:3-1:7 in water-packaged products. A similar magnitude of differences was seen in the ratio between arachidonic acid (20 : 4n-6) and DHA. Light tuna canned in water may be a better choice of providing n-3 PUFA to individuals in a healthy population, whereas oil-packaged products may be preferable for those individuals with a need for increased EFA, such as for patients with cystic fibrosis. Awareness regarding PUFA content may aid in consumer product choices and health-care provider advice.

Estimation of Residual Equity in Hierarchical Branding Structures: A Nonparametric Approach on Aggregate Beer Category Data

Product offerings in many consumer packaged goods (CPG) categories come in a variety of complex branding structures built around some discernable branding hierarchy. We develop a nonparametric statistical method in the context of a market response model to estimate the residual equity of each hierarchical level in a typical CPG branding structure, consistent with certain economic restrictions on the equity values. Our proposed model uses readily accessible aggregate sales and product data and exploits structure inherent in the set of brand and product relations to estimate its effects on market response. We propose that established brands in mature categories must be value-enhancing and that this translates into bounds on the domain of possible brand equity values. Our model, based on a set of independent Dirichlet process priors, avoids the drawbacks inherent in alternative approaches such as fixed effects, parametric random effects and finite mixtures of continuous densities. We examine the value contribution at different levels of the branding structure and derive insights therein. We demonstrate a brand valuation procedure using a dollar metric transformation of the residual equity estimates obtained. Finally, we validate our brand valuation results with those from independent, external sources. We test our model using AC Nielsen data on aggregate beer sales in US grocery stores. We find substantial heterogeneity in residual equity at different hierarchical levels in the branding structure, substantial differences between residual equity and more aggregate notions of brand equity and external validation of our residual equity estimates in terms of agreement with intuition, theory and previous financial data based brand equity valuations.

Employee attitudes, customer satisfaction, and sales performance: assessing the linkages in US grocery stores

AbstractUsing store‐level panel data for a major supermarket company, we investigate the linkages between employee attitudes, customer satisfaction, and sales performance, while controlling for observed and unobserved differences across stores. We find that employee attitudes positively affect customer satisfaction with service but do not affect customer satisfaction with quality or value. Additionally, we find that customer satisfaction with service positively affects sales performance. Our results suggest that employee attitudes affect sales performance through their impact on customer service. Copyright © 2008 John Wiley &amp; Sons, Ltd.

Use of the service meat counter: an exploration

From the perspective of an image‐generating department to the perspective of profitability, the meat department possesses unsurpassed importance within the US grocery store. Surprisingly, the meat department is the subject of relatively little published research. Examines one aspect of the meat department ‐ customer use of the service meat counter vis‐à‐vis the self‐service meat counter. Results indicate that customers’ use of the service meat counter appears not to be a simplistic phenomenon. When used, the service meat counter appears to be viewed as a complement to the self‐service meat counter, not a replacement. The demographic factors examined did not appear to have the potential to serve as successful segmentation factors as far as use of the service meat counter is concerned.