Page 64 - Index

merchandising review potatoes
large bag of potatoes in favor of a 5-pound or smaller option,” says Cady.
Optimal pack sizes can vary from region to region, and store to store, especially if there are di erences in household demographics.
“ e proper mix will vary greatly on the demographics, region and salary base of the store location,” says Kevin Stanger, president of Wada Farms Marketing Group, Idaho Falls, ID.
Before deciding on the mix of pack sizes, it is worth the time to take a deep demo-
graphic dive that goes beyond household size and income.
“ e sizes and packaging of potatoes are de ned by the age, income, home ownership, employment status and location,” says Pope. “ ese types of classi cations are used to help target the certain type of customer for that particular size and package potato. Seven- ty-seven percent of the fresh potato package units are now ve pound bags and smaller.”
One result of demographic analysis should be an informed decision on whether a partic-
ular store should o er organic potatoes. “Organic still matters,” says Leach. “Millennials spending on organic products grew 14% last year, according to Nielsen’s ‘Organic FMCG Product Purchase Behavior.’ Organic potato sales have doubled in the last ve years to $123 million and now represent 4% of total U.S. category dollars. Russet, at 35%, red, at 28%, and yellow, at 27% drive
organic category dollar share.”
Even stores with only a small demand for
organics might do well to give them at least some space.
“Organics have become a larger footprint in the retailers produce section, and for most retailers and stores they need to have a place in the mix,” says Stanger. “Again, di erent locations may have a larger need than others.”
e market for organic potatoes, unlike the robust demand for salad products, remains relatively small.
“Organic potatoes matter for two % of the shoppers in a very niche segment,” says Mountain King’s Pope. “Supplies exceed demand.”
is is, again, a small number of consumers but they really care whether you have organic.
“Organic is not a huge category, but a lot of higher-end stores have organics,” says Jill Cox, vice president for sales at Sun-Glo of Idaho, Sugar City, ID.
4. KNOW YOUR REGION
ere are general rules when it comes to the mix of varieties and colors that make up an e ective potato display, but there are also
64 / SEP TEMBER 2019 / PRODUCE BUSINESS