What we buy is a waving statement of belief

Once upon a time food was food. Might be indulgent food or healthy food, but its reason for being resided somewhere between enjoyment, sustenance or weight management. The world around us has shifted once again as cultural influences work to redefine the paradigm of what food purchases are really about.

The implications here for food and beverage marketing cannot be understated: you might agree relevance to consumer interests is paramount to communication effectiveness. Thus, the impact of cultural upheaval manifesting in consumers’ lives is critically important to strategy and gaining a meaningful connection with people.

Food purchase is a cultural expression of _____________.

In 2019 Deloitte published the results of a consumer survey that revealed an emerging trend in brand preference: people believe brands have a greater responsibility to act on purposeful issues. Concerns such as how companies treat employees, impact on the environment and the communities where they operate surfaced as emerging drivers of brand preference.

This followed another Deloitte study conducted in collaboration with the Food Marketing Institute (recently re-branded as The Food Industry Association), that showed for the first time in modern history the standard food and beverage purchase motivations of taste, price and convenience were being eclipsed by interest in transparency, health and wellness, visibility to the supply chain and food safety.

What’s happening is the socialization of food and its purchase.

Increasingly, food brand selection and purchase is a telegraph of personal values and beliefs. You might be wondering, what’s driving these changes. In the U.S. there are now over 21,000 food centric blogs, an astounding bit of evidence of how food culture has risen to lifestyle prominence in the lives of most people.

• Perhaps this was inevitable as consumers across all generational cohorts connected the dots between the quality of the food they consume and the quality of their lives. What is happening now is nothing short of revolutionary as the purpose of food acquires an even higher and symbolic purpose.

Food has always been important but now gains influence beyond consumption. People are emotional creatures and food is an emotional category that plays directly to human senses. Now, that significance is acquiring a new set of values that extends way past the physical aspects of the products’ use and roles in daily diet.

Wildfires and Green New Deal

When I was 16 my priorities were centered on how to go about buying a car and in doing so seal the path to my independence. Recently my 14-year old daughter announced her intentions to take assets from her babysitting earnings and donate them to organizations addressing hunger and racial inequality. Cultural and value changes reveal a different and more enlightened point of view on what matters. In turn, it is vital for brands and businesses to gain understanding on ‘mattering’ at a time when attitudes and importantly priorities are being reframed.

Generation Z is coming of age as an activist population focused on changing the way we live to take better care of the world around us. If you pay attention you hear the voices of concern rising around climate change and its rapidly building momentum to permanently alter the social and political landscape. Wildfires and super storms provide evidence that the way natural resources have been exploited has a serious downside. More specifically, how the food production, agricultural and energy industries are operating in service of convenience and consumption, and simultaneously exacting a horrible toll on the health of the planet and her inhabitants.

The Sunrise Movement and Green New Deal are being championed by the youngest generation. Their future quality of life may well depend on how fast changes can be created in the current systems that generate greenhouse gases fomenting weather related catastrophes, drought leading to fires, rising coastal water levels and the ongoing impact of melting polar ice caps.

Chief among the contributing threats to climate is the global food system and animal production in particular that collectively create more greenhouse gas than all worldwide transportation systems combined.

Generation Z now views purchase decisions as a path to creating a better world. In their view, if you’re not an active, visible part of the solution – your inaction is part of the problem.

“Power of the Purchase Order is Primal”

Errol Schweizer, producer of “The Checkout”, an industry trend watcher podcast, did a recent interview with Kevin Coupe’s Morning Newsbeat e-newsletter. Kevin asked, considering these societal changes on the horizon, what’s the one thing food retailers can do to build their relevance and value?

“Increase the amount of organic and regeneratively produced products that you sell. The organic trade association recently released a whitepaper that provided scientific proof organic agriculture can help mitigate the impact of climate change,” said Schweizer. He states this type of food production helps sequester carbon, reduces use of fossil fuels while also producing more nutrient dense food.

His call to action: keep growing your organic business. As a retailer you can do this, and it’s relevant to what people want anyway. He exhorts the retail purchase order can be a powerful instrument in helping answer the need for change. The cultural manifestations of food socialization are significant and will impact how retail strategy and brand building are conducted.

Food as a tool of self-definition

(The New) Brand Democracy:

I believe brands can be a powerful force for change.

I expect them to represent me and solve societal problems.

My wallet is my vote.

Increasingly, meaning is unearthed in consumption. Said another way, the food people choose is an advertisement of who they want to be and what they believe in. When purchases become a billboard for values, the marketing, product creation and innovation decisions need to reflect this insight.

Is it possible we are nearing an era when determining the contribution to greenhouse gas in production will matter as much as ingredient quality and nutrient density? The answer here is ‘yes’ and it’s coming more rapidly than previous developments such as the demand for greater transparency.

At Emergent, we suggest that successfully navigating these waters of change in human behavior can be best accomplished by brands and retailers who come to work bearing a soul – one that governs their actions and informs decisions.

When consumers see purchases as a path to creating a better world, it should play out in the brand voice, content marketing strategy and all that sits underneath.

Guidance to improved relevance in a time of cultural shift:

• Listening is important and should be formalized as a consistent undertaking to understand the development of emerging attitudes and opinions that impact how consumers see the role of brands in their lives.

• Building a higher purpose platform for the brand and business is now table stakes to continued relevance and connection with your users.

• Identify specific actions your business can take to address climate change including how your supply chains operate and the standards and certifications of performance you require for compliance.

• How can your brand contribute to the cultural conversation? What needs are you uniquely positioned to address?

• Tell your users what you’re doing an engage them in a dialogue on their views and opinions.

• Recognize that food is a tool of self-definition and a symbol to others of what your users think is important. How does this influence your messaging and social media strategies?

If you find this development challenging and want to consider a fresh approach, please use this link and let’s start a conversation about your questions and interests.

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Similar brand strategies lead to undifferentiated communication

Nowhere do we find the unrelenting challenge of sameness operating in full relief more often than the pet food business. No matter what product or retail category you are in, the requirement for message uniqueness and differentiation has never been higher. Here’s how to disrupt the pattern of sameness that follows brands around like a virus.

The good news: The pet food industry is expanding, fueled in part by the dramatic growth of pet owning households, now forecasted to reach 71 million in the U.S. by the close of 2020. Despite economic climate challenges, runaway joblessness and the vagaries of changing shopping behaviors spawned by the pandemic, pet business trends continue on an upward trajectory. The pandemic has served as a catalyst for elevating the pet value proposition. We need our furry companions now more than ever.

The tougher news: Yet despite this picture of continued potential prosperity that floats all premium pet brand boats, the competitive players seem to be held captive in a repetitive messaging loop that confronts pet parents trying to navigate the store aisles. Everywhere their eyes scan, the sea of storytelling sameness stares back, defeating opportunities to connect on an emotional level.

• What marketing medicine is required to get pet brands to stop and reconsider the path to engagement? To step beyond, above and outside their tendency to reinforce similar tropes about formulation integrity, while intractably married to the protein percentage wars, and accented by assertions of nutritional superiority or human grade ingredient quality.

Everyone believes they make the best food. Indeed, many brands now have upgraded the quality of their ingredient sourcing and formulation techniques, to offer truly nutritionally- dense solutions. But does the pet parent make decisions on the cold analysis of facts and figures? The answer is no they don’t.

Here’s what we know:

• People run in the opposite direction, away from complicated brain taxing messaging that would require them to study and consider elaborate details of pet nutrition.

• Human beings are feeling creatures who think and not thinking creatures who feel. It is heart- over-head, always.

• Trust is an issue in pet food driven in part by the elaborate claims of human quality food ingredients magically encapsulated in a small brown nugget known as kibble. It looks industrial to start with.

The quite natural conclusion of most pet marketing plans is focusing inwardly on all the reasons why brand X pet food is better than brands Y or Z. The incredible efforts undertaken by companies to make a high-quality product IS the story, correct?

The challenging outcome of this thinking is a recipe for similar statements and claims that operate in conflict with the fundamental requirement for brand uniqueness and differentiation. Hence the sea of sameness.

How to break the cycle of sameness.

What does the pet parent care about? Their pet. The incredible emotional bond that sits between them is unshakeable and demonstrable and visceral and real. What is pet food? It is the instrument of expressing love and care for their pet’s wellbeing and healthy longevity. Why? Because they have connected the dots between the quality of what they themselves eat and their quality of life, a point of view that translates over in a nano-second to their beliefs about pet wellness.

We know it’s really tough to refocus marketing on the pet parent and their lifestyle aspirations ahead of what’s going on in the formulation, the manufacturing and the supply of high-quality food ingredients. Yet the enemy in here is the very sameness this encourages.

• When you can walk through the store aisles and literally transfer packaging statements from one brand to the next one over, and it remains essentially valid, you know the playing field is going to be murky for the consumer. Maybe even confusing.

Breaking the cycle requires putting pet parents at the center of planning and working backwards from there. It is the focus on them, their lives, interests and relationship with their pet where all the alchemy of marketing magic happens.

Great marketing isn’t logical and linear. It is better when the plan embraces the idea that humans are emotional and often irrational, driven by whims and the perceived wisdom of crowds.

Love in a bowl.

That’s right, love. You aren’t selling pet food or de-boned chicken or 38% protein. You are selling the means to express the great love people have for their pet. Emotional communication occurs when storytelling and images and focus are on the pet parent ahead of the product. Holding up a mirror on what they believe: “I’m spending more on pet food because I care deeply about the health and wellbeing of my four-legged family member.”

So celebrate the bond, the moments of happiness, the relationship, the companionship, the emotional connections and experiences of a life lived alongside furry children. In this way the pet parent immediately becomes the hero of brand storytelling, and in doing so the communication achieves its goal of being wanted and engaging.

Talk about the stories of your customer’s pet lifestyle experiences, triumph over health challenges, and the miraculous emotional connections people have received during one of the most uncertain periods in human history. When your marketing voice is a reflection of real world experiences and the value pet parents experience with their pets, your brand becomes a partner with them on their journey to a more fulfilling life with their pet companion.

• This is how brand relationships are formed and fed. All of a sudden it matters less to  communication effectiveness when protein percentages vary slightly brand to brand. You are no longer chained to specsmanship. You have successfully disrupted the sea of sameness.

Should this kind of thinking inspire you to consider fresh ideas and approaches, please use this link and let’s start a conversation.

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Here is how to tell them powerfully, persuasively

Brands and businesses are increasingly challenged by shifts and changes in consumer behavior that make it harder than ever to win in the marketplace based on perceived technical advantage, ingredient strengths or special formulation “sauce” as a reason to believe.

Moreover, brand content creation is being held captive by outmoded strategies built on feature and benefit selling that no longer holds sway with consumers who are in a position to ignore it. The path to authentic engagement is now found through hyper relevance to consumer interests, concerns and passions.

What remains most challenging about this authentic engagement insight is the conventional, outmoded marketing paradigm stands as a barrier to securing the needed relevance. The root trouble begins with how brand audiences are defined, in many instances painted with a broad brush that declares everyone is a prospect between a certain age range and household income level. This kind of thinking, which leads to “all things to all people” communications strategies, is a recipe for ignorable and wasted marketing spending.

We have seen this time and time again: when the consumer cohort the brand wishes to serve is narrowed considerably to the audience most likely to become enthusiastic fans and followers based on lifestyle considerations and priorities, the door is opened to almost magical opportunities for connection at an emotional level. Precisely where the brand needs to be by the way, for the very reason human beings are emotional and not rationally-driven creatures.

Success begins with a tighter, more focused and thus stronger go-to-market strategy

When we first were engaged by Sargento Foods, the brand behaved in the marketplace as a commodity cheese player in a commoditized category. Dairy aisle cheese share leader was the store brand and the primary national brand participants, Kraft and Sargento, were in constant motion to manage block cheese price costs to the gap between national brand and private label retail pricing. This was a recipe over time for static share conditions and fluctuating margin performance. For the consumer cheese was cheese was cheese unless provided with another relevant reason to prefer one brand over another.

The cycle could only be broken by first redefining the target audience. Rather than all things to all people, insight and segmentation research uncovered a cohort of the dairy aisle cheese-buying consumer who was all about cooking, using quality ingredients, inspired by chefs, consumers of food TV programming, bought cookbooks, loved being in the kitchen and cared about the food adventure they put on the dinner table.

What if Sargento worked to serve their interests and needs, focusing on the story that had to be created around culinary inspiration, love of food, taste, quality and cooking? This led to premiumization of the entire business, along with new products called Artisan Blends that combined their classic varieties with high quality cheese created by artisan producers, a new premium pricing strategy at retail and importantly, an entirely new story to tell.

It was a bold move. It was decisive. It was focused. It fed a platform of more compelling brand storytelling because it was first and foremost about this consumer segment’s love of food, passion in the kitchen and romance around taste and flavor. This is different than publishing a recipe for lasagna or the next round of ‘buy one get one.’

The outcome was compelling and transformational for the company. Today Sargento is a leader in their category and the move to snack products through the Balanced Breaks line has been a phenomenal success.

Proof that even a larger CPG brand can find a new reason to be and add deeper meaning by starting with a new picture of whom they wish to serve. Then, relentlessly driving on that insight to be hyper relevant to a consumer who is actually paying attention.

Do you know what the deeply engaged consumer values?

The road to engagement is paved with insight and understanding into the hearts, minds and lives of those you wish to serve.

Imagine the treasure trove of understanding the Clif Bar company amassed as they became an early mover in higher purpose brand building, aligning their business with outdoor adventure experiences and cycling. They understood this human because they lived and breathed the same air, participated in the same adventures, and remained steadfast in mirroring the ethos and beliefs of people who were driven to live this way, on a mountain trail on a mountain bike.

Whole Foods was an early player in the organic movement, and then successfully made a pivot to embrace culinary inspiration and the transition to higher quality, fresh food experiences. In doing so they invested heavily in content creation around creativity and inspiration in the kitchen, catering to the lifestyle aspirations of home cooks who found creativity at the stove to be a purposeful and fulfilling avocation.

• They were a mirror of what people who care about food and love to cook are concerned about. Quality of ingredients is a big deal, and so the videos they created took customers to the farm to meet the grower of fresh strawberries. It was powerful for the very reason it helped these shoppers feel good and wise and confident and connected to the earth and what they purchased earlier that day.

Ironically, when Whole Foods began to dilute this investment and commitment to relevant culinary storytelling, the company balance sheet slid at the very time other banners were closing the gap on store experience, and opened vulnerability to acquisition. We all know what happened there.

Where’s the magic?

Here is your goal, and it’s a big one: content and storytelling that wins hearts and minds is always a story that is worth talking about. This is the incredible creative challenge best answered by master storytellers who know the construction of tales that draw people in, and the role of emotion, conflict, drama and resolution so vital to bringing people close.

This approach is more uncommon than you think. Yes, there’s a ton of brand created content published each and every day, and the vast majority of it is forgettable. Why does it miss the mark so frequently? The disconnect begins with the story. The path to real engagement isn’t paved with rational, logical, fact-based downloads on your product formulation superiority. It just isn’t emotionally moving and violates the number one rule of successful storytelling.

• The consumer is always the hero of the story, not your product. The brand’s role is Yoda to the consumer’s Luke Skywalker – the wise and seasoned guide who helps the hero overcome their insecurities and lack of understanding, on their journey to mastery, bravery and success.

Rich material is found in what your users care about. This approach is unexpected and refreshing. It can become emotionally moving. It is, dare we say, how to be hyper relevant. You may be reading this and saying yeah but my business exists to sell our products or get people in the front door of our stores. To be sure, but how you get there has changed.

The greatest moment of transition to a new era of marketing success begins with embracing the counterintuitive understanding that your best move is to reflect user lifestyle needs and aspirations, feed their adventures, enable their passions and in doing so align your brand with who they want to become. This enlightened understanding of the authentic brand relationship leads to transformation in the consumer to brand relationship.

The remarkable story is built from WHY

People do not buy products, instead they buy the meaning that sits underneath. Today consumer purchases are largely symbolic gestures to signal to others what people value and what they think is important. This is the story they will tell others (their why). This matters to you because the holy grail of marketing is word of mouth and will remain so for the foreseeable future. It is now amplified by social media channels that enable the sharing of consumer experiences.

The recipe for more compelling story telling is understanding:

• Insight to how consumers see themselves
• Knowing what they value
• Their desire for deeper meaning and greater purpose in their lives
• How they can acquire a feeling of belonging
• Their goal to achieve a sense of distinction

We are doing business in the age of distinction

Category to category we continue to find in varying degrees a similar challenge: sameness.

Perhaps the best example of this is pet food, a business riding a wave of premiumization that has closely followed the rise of four-legged family members to furry “children” status. Of course, the one instrument to express the love and appreciation of the new-found value is in the quality of the food provided. Pet stores are chock full of emerging brands and some new larger players like Blue Buffalo who have successfully leveraged this ‘float all premium boats’ condition.

Having said that, the business is rife with similar, unremarkable messaging devoted to formulation superiority claims, the protein percentage wars, and assertions of improved nutrition. Walking the aisles in a pet food store is a living museum to sameness in presentation. So much so it is possible to lift language from one brand, apply it to the package of another and it still remains essentially true.

People are buying the story first and product second.

Imagine the pet brand that understands the importance of the relationship and bond between pet parent and pet, celebrating a pet-centric lifestyle – a phenomenon that is gaining momentum during the turmoil and emotional uncertainty of the pandemic. The ability of dogs and cats to favorably impact the health and wellness of their owners is a true thing. And a marketing opportunity waiting to happen!

Why is putting the wants and needs of consumers ahead of brand promotion so difficult to embrace?

Perhaps the biggest lesson of all is coming to a realization that the herculean effort to build a fantastic product is now table stakes. Awesome product performance is a requirement and not necessarily the marketing secret sauce it may have been before. The secret sauce is now found in the hyper relevant, emotionally-satisfying story that reflects the aspirations of the consumer hero and their search for a better, happier life.

Tangible benefits for paying a premium price may be there, but the truth is the price and margin multiple are enabled by the story more than the ingredient or technology.

Here it is:

Great marketing builds a perceptual advantage for the very reason it completely respects how the customer feels when buying the premium solution.

If you need help thinking through how your brand and business goes to market in the era of consumer control, use this link and let’s start a conversation.

Looking for more food for thought? Subscribe to the Emerging Trends Report.

Three ways to overcome marketing’s biggest challenge: risk avoidance

For many years marketing communication was not sufficiently informed by behavioral psychology and a deep understanding of how humans prefer one product or retailer over another. Brand campaigns were hit and miss, sometimes landing on the right note or idea and in other instances failing to create any real engagement. Do you know with 100 percent confidence if your brand communication is wired properly for human effectiveness? Read on.

What lies at the foundation of disconnects and misfires?

Rory Sutherland, Vice Chairman of my former employer Ogilvy & Mather said it best in his precedent-setting book on the subject, Alchemy: “It is thinking without thinking that we are thinking.” Every human is hardwired to dodge perceived risk. Our purchase behaviors are 100 percent driven by trying to avoid making a bad decision. As Sutherland describes so accurately, “a 1 percent chance of nightmare dwarfs a 99 percent chance of a 5 percent gain.”

And perhaps most important, it is the sub-conscious side of the human brain that informs these decisions and actions, not the rational and learning side that is frankly, lazy, and defaults to the far smarter area of the brain that is operating at greater capacity below our conscious awareness.

More than a few brand minders think marketing effectiveness is resolved by providing logical, fact-based evidence and arguments for why a product or service is the best choice. It is, afterall, a convenient way to answer the company desire to self-promote new innovations and technologies.  Yet again, humanity steps in to deny those assumptions for the very reason people are not analytical, fact-driven decision-making machines. Complicated messaging that taxes the consumer brain remains an unwitting invitation to tuning out entirely. This kind of outreach is directed to the learning area of our mind that reflexively seeks to avoid burning mental calories and, thus, simply ignores it.

• Imagine for a moment if you could fully dial in the psychological keys to engagement and position your marketing communication correctly to respect what we now know about how people behave and will continue to behave until the end of time.

So powerful is the motivation to avoid unpleasant surprises that people resort to a variety of risk-mitigating behaviors on the path to purchase.

The Power of Uncertainty

At this point you may observe in stark relief why it is so important to access the knowledge and skills of strategic and creative craftspeople to build your brand story. Ironically the logical, rational argument is often the least effective. Powerful communication does not always follow the linear path of a + b = c. While Emergent might describe itself as a marketing communications firm, in reality we are Behavioral Messaging Architects.

• Wine tastes better when poured from a heavier bottle.
• Pain relievers are more effective when people believe they are expensive.
• Anything in scarce supply immediately becomes more desirable.

We live in an uncertain world. At any given time there is limited trustworthy information available to people. Yet consumers crave the illusion of certainty and so are uniquely drawn to signals of honest intent. This works effectively because it lowers the chance of a purchase decision being disappointing.

Humans are famous for claiming to be rational thinkers when in reality their actions and decisions are influenced through perceptions, emotional cues, and visual signals of trust and integrity. In our daily vigil to avoid unpleasant surprises people resort to cues that help resolve their requirement for certainty.

• The real function of earned media strategy is risk mitigation. When products are vetted in credible examination by third-parties, people believe the claims are verified through an independent source. Not so much the words as the source, context and environment in which the words appear.

• Even more important is social proof and word of mouth for the very reason that people believe other people before they accept the assertions and claims made by a business. More on this later.

• Wisdom of crowds is simply that. If a product is perceived to be popular and used satisfactorily by many then likely it won’t be terrible.

Why has transparency surged as a viable path to better brand relationships? Because at its core, the act of being transparent is a demonstrable, visible move to embrace honesty and thus remove risk. Transparency has real leverage attached to it because it helps solve the uncertainty faced by consumers each and every day.

We did this to great effect for Champion Petfoods (makers of Orijen and ACANA brands), creating the pet food industry’s first Transparency Council as a platform to build independent assessments of truth and honesty about how Champion made their pet food and sourced their ingredients. Important here was the symbolism and trust signal created by the Council’s very existence and a regular calendar of content produced that leaned heavily into validating through observation what Champion promises. It was a bold move at the right time.

Overcoming DNA-embedded risk avoidance

If risk perception stands between your brand and its future growth prospects, it only makes sense to work hard at mitigating it. It’s important to note here that rational arguments aren’t going to succeed. Signals of honest intent and credible voices however can be enormously effective.

Let’s begin by unwrapping the two secrets to effective messaging:

First, people do not buy things, they purchase meaning and context. What are you giving them that imbues your brand with a higher purpose and thus a purchase takes on greater meaning as a visible symbol of their values and beliefs?

Second, the hero of your storytelling isn’t the brand. It is the consumer; their wants, needs, passions, concerns and desires, with the brand positioned as coach and expert advisor on their life journey. Don’t compete with the consumer for the hero role! Said another way, talk about them more than yourself.

Three ways to overcome risk

1. Perhaps most important is understanding the end goal is cultivating trustworthiness. How can your company and brand humanize itself and mirror the very best qualities people look for in those they implicitly trust?

Those qualities include:

Empathy

Care

Responsiveness

Unselfishness

Openness

Truthfulness

Being strong enough to admit mistakes

Actions speak much louder than words, so the question here is how does the company operationalize and behave in a manner that respects these principles and assures they are held in high regard by employees.

2. Enlisting the voices of outside, independent, objective observers and experts to validate your promises and claims. This may sound like an analytical approach, but the devil is in the details of how this is done. The symbolism of allowing others to report is a significant move. What is reported on matters – your responsiveness, humanity, caring, truth-telling and unselfish acts are far more persuasive than your technology, recipe, formulation and production prowess.

Embedding a higher purpose in how the company operates and its reason for being will go a long way to informing this approach fully and successfully. You can read about Harnessing the Power of Purpose in greater detail here.

3.  Social proof and user-generated content (UGC) are the twin social media strategies that work to take risk out and replace it with believable evidence of performance and satisfaction. Trust in brands and corporations have been in decline for years.

This is why social channel strategy and encouraging user-generated content is so vital on the path to risk abatement. The honest, unscripted accounts of experiences and outcomes from real people are testament to what you want others to believe about the benefits of using your product or shopping your store.

When Emergent goes to work on creating a messaging platform for a client brand, we focus on purpose, cause, context, deeper meaning, emotion and effect. We look for visual signals that flag honest intent for the very reason we know these characteristics and words are more powerful than fact-based stories.

It is difficult to accept that humans are not rational and logical players in your marketplace. However, once this is understood and embraced, a whole new world of repeatable effectiveness is ushered into the marketing plan for the very reason it is built on real respect for the human we wish to serve.

If you would like to discuss in greater detail how this applies to your brand or store, use this link and let’s start a conversation.

Looking for more food for thought? Subscribe to the Emerging Trends Report.

Food Retail Innovation Now in Truckee, CA

Raley’s, the family-owned Sacramento-based supermarket company, recently launched a new grocery store concept they envision as a model of how food retail should evolve to build consumer relevance. Located in picturesque Truckee, California, just outside Lake Tahoe, the trading area is populated with families devoted to an active, outdoor lifestyle.

Raley’s designed the store concept with Truckee’s active families in mind – visualizing a supermarket focused entirely on healthy living. The Raley’s O-N-E Market banner (Organics, Nutrition, Education) is a four-walled, 36,000 square foot better-for-you food discovery zone. Designed for people who understand there may be a direct link between what you eat and the quality of your life, the concept mirrors their desire to seek out better choices, explore a more mindful selection of products, and learn about improved nutrition. Remarkably, it is a food store that embodies owner Michael Teel’s higher purpose mantra to “change the way the world eats one plate at a time.”

“We have been on a journey for health and wellness, and Raley’s O-N-E Market is the next step in our company’s transformation,” said Chelsea Minor, Raley’s Corporate Director of Public Affairs. “Raley’s O-N-E Market offers a highly-curated assortment of products that are organic where possible, wholesome, minimally processed, sustainably sourced and offers a stage for nutrition education. We want consumers to understand why these products were selected for our shelves and why they are better options for them and the community,” she said.

Who is really in charge, merchant or customer?

For the most part grocery stores operate in reverse from consumer lifestyle insight.  The shopping design and experience is most often built from the merchant’s business model intended to move boxes, cans and bags off shelves at velocity. Thus, in many ways, grocery stores are entirely recognize-able banner to banner with merchandise schemes and traffic flow patterns that follow a commoditized approach to assortment and shopping experience.

Which begs the question: what if a store format is re-imagined as a reflection of the lifestyle interests of its core customers, instead of the other way around? “The biggest differentiator is our product mix. We emphasize foods ‘free from’ artificial ingredients, colors, high fructose corn syrup, hydrogenated fats and oils and more. We source organic where possible – in produce over 60% of the department is organic to meet consistently high standards for health, nutrition and sustainability,” reports Minor.

As evidence of that commitment Minor says shoppers will not find any conventional soft drink products inside the store. Indeed, sugar awareness is a priority at Raley’s O-N-E Market. Any cereal containing more than 25% of its total calories from added sugar per serving is identified with a ‘Higher in Added Sugar’ shelf tag. Other categories getting the sugar evaluation include Ready-to-Drink (RTD) beverages, pasta sauces, baby food, protein bars and condiments like BBQ sauce and ketchup.

To help consumers make better decisions while shopping, digital screens in the front of the store rotate messages by department providing information on healthier choices. Foodservice areas use window clings and the menu board to help convey this useful information. Better-for-you guidance is also provided in price rails at the shelf to help shoppers make informed purchase decisions.

Retailer as life partner on journey to healthier lifestyle

Raley’s believes the consumer should be equipped to shop with better information and guidance. In an effort to help them realize their healthy living ambitions, the product options they’ll encounter already lean heavily in that direction. In the high traffic meat department, attributes such as organic or anti-biotic free are flagged within an assortment that’s already curated with healthier and higher quality choices in mind.

To help fulfill the Education mission, the Truckee Raley’s O-N-E Market is their first store to have a registered dietitian on-site to interact and coach consumers. Scott Brown, Raley’s first in-store registered dietitian nutritionist (RDN), is there to conduct nutrition tours, provide one-on-one healthy living consults and answer customer questions. Raley’s customer loyalty platform also gets a twist in Truckee: the “Something Extra Health” program offers biometric screenings, classes and in the future will feature vendor presentations.

“Shoppers these days want to know more and are faced with an increasingly confusing environment around navigating claims like ’natural‘ and ’plant based,’” said Minor. “We feel we have a responsibility to help explain and clarify what best practices look like in making food choices. Our role as retailer is to help them on their healthy living journey by operating as guide and coach.”

The future of food retail?

Most satisfying in our conversations with Minor and others at Raley’s was their sense of commitment and passion about what ”changing the way the world eats one plate at a time” truly means and how that plays out when you’re inside the front door. The position Raley’s O-N-E Market takes is active not passive, expressing leadership rather than go figure it out for yourself.

No one is going to beat Amazon on friction-free e-commerce, or Walmart on lower price. We have ample evidence that the middle market in grocery retail is a tough place to do business when the value proposition is based on location (getting weaker to defend) or all-things-to-all-people assortment (not a real strength anymore).

We believe the platform of highly differentiated and focused concept – especially in the Health & Wellness space – gives consumers an experience and another reason to shop brick and mortar. This is critical to food retail success and means leaning in fully to a commitment that places the customer at the center of strategic planning.

This insight must be informed by a crystal-clear higher purpose that translates into on-the-ground strategic decisions which defines and manifests in every aspect of store operation.

Human beings are emotional creatures. People are not fact-based analytical decision-making machines. We know the human sub-conscious plays a far more important role in helping guide actions and decisions than the cognitive side, yet most retailers operate on the “rational” channel.

When it’s heart-over-head, the grocery store shopping experience is enhanced by strategies that acknowledge our deep love affair with food, interesting culinary experiences and the prevailing desire for a healthy lifestyle.

• Disney knows how to create the magic in their kingdom. Imagine a food store with the same heart and passion for food experience and how that could play out in a store setting.

Raley’s recognizes the growing importance of grocery foodservice experiences especially at a time when going to restaurants is less desirable. Yet the magic of environment and ambiance are no less important here than at the corner bistro. “Raley’s O-N-E Market includes McKinney Loft – a tribute to Steve McKinney, skier, mountaineer and local icon. The loft features plenty of seating, a beer and wine bar, bar bites, and an outdoor fireplace and large TV screens,” explains Minor.

At the crux of Raley’s likely success with Raley’s O-N-E Market is its higher purpose. This is harder to define correctly and to optimize fully. For that reason, Emergent has built a four-step plan to guide higher purpose development. You can download a copy here.

If would like to discuss this in the context of your business and its future, please use this link to start a conversation.

For more food trends, consumer insight and communications strategy follow us on Twitter @EmergentLiving.

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Beliefs, values, purpose now drive brand preference

Of all the content and business best practices articles we’ve published, our guide to creating a higher purpose brand may be the most important. We invite you to view or download   Emergent’s “Harness the Power of Purpose”– the four-step plan for optimizing your brand’s foundational meaning and value proposition.

If you’re asking why this is so vital to your brand’s future growth, here’s the story:

Five years ago, after mounting evidence of growing consumer interest in brands built on higher purpose, the marketplace started to evolve. Businesses grounded in human-relevant beliefs to help make the world a better place were gaining traction.

• Witness the parade of emerging brands like Beyond Meat’s effort to reduce the carbon footprint of meat production, or TOMS Shoes’ efforts to put footwear on vast populations of impoverished people, and Oatly’s out-sized commitment to sustainable agriculture.

The pandemic has operated as a catalyst to push this cultural shift further and faster as brand values and purpose now top price and convenience on the path to purchase.

Imbuing a brand with deeper meaning is a centerpiece in brand strategy best practices. Yet many businesses either have missed the mark of what true higher purpose is, or have attempted to masquerade as a purpose-oriented business through inauthentic promotion schemes and philanthropy (which isn’t higher purpose).

What is higher purpose and how do you build the right and most effective platform?

Click below for your copy of Emergent’s “Harness the Power of Purpose”- the four-step approach to building a higher purpose brand.

View or download your copy here

Looking for more food for thought? Subscribe to the Emerging Trends Report.