Progressive Grocer

FEB 2017

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29.6% 78 | Progressive Grocer | Ahead of What's Next | February 2017 2017 Retail Meat Review YEar a go Curr E nt 12 Months Ending Nov. 30, 2016 Source: Progressive Grocer Market Research, 2017 In C r E as E d dEC r E as E d s ta YE d th E s am E In C r E as E d dEC r E as E d s ta YE d th E s am E nE t C hang E : 1.3% nE t C hang E : 3.5% 46.3% 43.8% 10.0% mE at dE partm E nt sal E s pE rforman CE Y E ar a go Curr E nt In C r E as E dEC r E as E s ta Y th E s am E In C r E as E dEC r E as E s ta Y th E s am E nE t C hang E : 4.0% nE t C hang E : 2.7% 46.4% 53.6% p roj EC t E d for t otal 2017 26.5% 29.6% 43.9% 54.1% 40.8% 5.1% According to data from Schaumburg, Ill.-based Nielsen, while meat dollars showed decline, volume was up 2.2 percent in the year ending Nov. 26, 2016, versus the year-ago period, driven by lower prices in fresh meat. e average retail price of meat was down 5.6 percent in that same time period, largely driven by beef, whose prices were down 10.5 percent. A key reason for this: record levels of supply in 2016. "Supply was so high due to little disruption from [factors like] weather, disease [and] regulation, which we've experienced sporadically across proteins over the past few years," says Sarah Schmansky, director of Nielsen Fresh. In addition, Schmansky notes that "products like or- ganic, value-added, grass-fed and premium/branded deliver necessary differentiation at the shelf and keep some fresh meat prices elevated above conventional products." Nielsen Perishables Group data shows that most tradi- tional categories dropped in sales last year, with products like lamb and exotic meats showing the only growth in fresh meat dollar sales for survey respondents. "We will continue to see growth in products with Methodology Progressive Grocer' s Retail Meat Review survey was fielded by electronic and telephone interviews in December 2016 to supermarket retailers involved in the meat/seafood category. A total of 100 responses are included in these results. Fifty-three percent of respondents represent chains, while 47 percent are independent operators. By region, 32 percent are from the South, 30 percent from the Midwest, 21 percent from the Northeast and 17 percent from the West. By title, 46 percent are meat/seafood execu- tives, category managers and buyers; 42 percent are store-level department managers and store manag- ers; and 12 percent are from the c-suite. Among these respondents, the meat/seafood department averages 19.6 percent of their total store sales.

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