WSJ: Target’s food reinvention to spell big changes for some suppliers
MINNEAPOLIS — Target’s leadership has been quite vocal about its desire to reinvent its food business to focus on healthier options and, according to a Wall Street Journal report, that shift is spelling some big changes for several food suppliers.
The WSJ reported that people familiar with the matter have indicated that representatives from several big name consumer packaged goods companies were told that some of their products would be moved to the back burner, as Target works to improve its distinctiveness and increasingly court shoppers who favor smaller, organic and natural brands.
Target has indicated that elevating its “signature” categories —style, baby, kids and wellness — is a core priority. According to Target, signature categories account for $20 billion in sales, representing more than one-quarter of its total sales in the United States. The WSJ reported that food products tied to those categories would get greater resources and attention.
The other categories are “outperform” or “perform.” While the middle category is still a work in progress, the company said that brands that fall into the bottom “perform” category would not get featured as often in circulars or in stores. Such brands may also face greater competition from Target’s private-label brands, the WSJ reported.
Target chairman and CEO Brian Cornell has previously expressed his desire to improve its food business and, in April, the company announced the hiring of grocery veteran Anne Dament as SVP, merchandising. In this role, she will be responsible for leading the strategic repositioning of Target’s food business.
Sanpellegrino brings the Sicilian countryside to store shelves with latest beverage
STAMFORD, Conn. — Sanpellegrino Sparkling Fruit Beverages on Friday announced a new flavor to its line of beverages. The citrus-based Ficodindia e Arancia is infused with prickly pear and orange flavors, delivering a sweet flavor profile with a bit of tartness, the company said.
“The delightful blend of prickly pear and orange in our new Ficodindia e Arancia, as aromatic as it is flavorful, transports you to the Sicilian countryside where sunshine and sea breeze fill the air,” said Grant McKenzie, VP and general manager, Sanpellegrino brands. “We are sure this new product will become a fan favorite alongside our existing product varieties.”