Automatic Merchandiser serves the business management, marketing, technology and product information needs of its readers including vending operators, coffee service operators, product brokers, and product and equipment distributors in print.
Issue link: http://automaticmerchandiser.epubxp.com/i/129271
ThinkStock Consumers have more confidence in food sold from micro markets. Rediscover fresh food By Emily Refermat, Editor How to make the most out of this best-selling product segment in micro markets. F resh food accounts for 20 to 30 percent of today's micro market sales. However, in this new vertical, the same old sandwiches and inexpensive salads from vending food carousels fall fat. Instead customers want gourmet and fresh, whether that's sandwiches with lettuce or yogurt parfaits with diced fruit. Micro market operators are sourcing food from many local locations and rediscovering the positive revenues from this once dying vending segment. Embrace the food business "[Micro markets] are not something you toy with," said Scott Halloran, coowner of Trolley House Refreshments in Richmond, Va. "You don't open up one or two. You either jump in with two feet and create effciencies around it or just stay away from it." Three years ago, Halloran decided to jump in and one of the most challenging effciencies he had to create was centered 22 Automatic Merchandiser on food procurement and transport. His vending operation never had a commissary, so his food experience was limited to branded food shipped frozen and thawed for the customers. That type of typical vending fare did well, but Trolley House Refreshments also started looking for a higher end, gourmet offering for its micro markets. "Our customers are demanding a fresh product," Halloran said, "with lettuce and tomato and mayonnaise… and things that have a shelf life." He spent more than nine months looking at local caterers and restaurants that could make a product that was the quality level he wanted. Once Halloran found it, at MG Foods out of Charlotte, N.C., he then had to make adjustments to his distribution philosophy, since his new gourmet fresh food had a 5 to 7 day shelf life as opposed to traditional vending food with a life of 14 to 21 days. "For our markets we do a one week buy on food products and… VendingMarketWatch.com May 2013 we do a heavy fll on Monday before lunch time — everyone gets a fresh load of sandwiches in their markets," said Halloran. During that Monday visit, drivers remove "out of date" products as well. As the market is serviced during the week, the food is back flled. Halloran also invested in a 10 by 20 walk-in cooler to house the fresh products in the warehouse as well as coolers for the vehicles. "When you're dealing with salads and sandwiches with lettuce and tomato and all these different products, you fall into a temperature window of 36 to 42 degrees where you have to keep that product at all times," said Halloran. He's noticed if it gets too cold, the lettuce will freeze and ultimately wilt, and warm temperatures substantially shorten shelf life. Sourcing food locally Many micro market operators are sourcing food from local establishments instead of making it in commissaries. Joel Skidmore, owner of J&J; Vending of Union City, Calif., has also had success purchasing fresh food for his micro markets from a professional foodservice provider.