Target is in the process of turning around business.
Once the leader in the “cheap chic” movement, the brand has been challenged by competitors.
New Target CEO Brian Cornell plans to overhaul the retailer’s grocery selection to appeal to urban-dwelling millennials, The Wall Street Journal reports.
Cornell has reportedly been touring grocers like Wegmans and Trader Joe’s for inspiration.
Here are the seven trendy grocery categories Target is stocking up on.
Yogurt and granola
The dairy product has become popular with consumers, thanks in part to Greek yogurt company Chobani. Young consumers are also increasingly eschewing carbs in favour of high-protein foods.
Cereal consumption is plummeting because many consumers think it’s too sugary and overprocessed. Granola, which is made from baked oats, has a healthier image.
Coffee and tea
As consumers increasingly shy away from soda, coffee and tea are back on the map.
These beverages are perceived as being healthier than the sugary soft drinks of the past.
They’re also known for containing antioxidants.
Companies like Sugarfina are leading a movement toward elevated candy. The company’s offerings include peach bellini gummies and cocoa-dusted almonds.
It’s likely that Target will expand its offerings to include more creative options than traditional Hershey chocolate.
Snack-size portions are gaining traction in grocery stores across the country as Americans watch calorie counts and increasingly prefer smaller meals.
The retailer will likely offer healthier snack options, like quinoa crisps and chia seed popcorn, alongside the traditional Doritos.
Beer and wine
Target is going to stock up on craft beers. Millennials are notorious for avoiding traditional brews like Budweiser in favour of craft options.
Buyers at the company will also take a note from Trader Joe’s playbook and will offer a bigger selection of inexpensive wine.
Americans have been going crazy for meats including steak, brisket, and bacon. At the same time, more people than ever want to know where their food comes from.
It’s likely that Target plans to capitalise on this trend by expanding its selection of meat to include grass-fed and organic options.
Fruits and vegetables
Millennials are more likely than their parents to want whole, unprocessed foods.
Even Wal-Mart has been getting in on the trend and has expanded its produce section.
Doing this will mean Target is in a better position to compete.
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