FOOD INDUSTRY 2024 REVIEW we as independents have to negotiate harder ANTHONY PEÑA with our suppliers to get better prices because Vice President of the National now governments are paying more attention Supermarket Association (NSA) to these types of large company mergers. We've already been through a period with CRITICAL MOMENT: the Walmart of the world, but now we must The contamination at the Boar's Head focus on controlling our costs and operating Brand plant and the port strike. Boar's Head expenses to generate more pro昀椀ts in our stores. Brand is a well-known brand, a leader in the Operating costs have gone up a lot and we don't independent market. know if this is going to a昀昀ect customers. 吀栀e key is to 昀椀nd a way to keep our costs low so that OPPORTUNITIES AND ACTIONS: our stores remain pro昀椀table." With the merger of Kroger and Albertsons, ANTHONY ALOIA strike at the shipping ports. So, supplier diversi昀椀cation Corporate Vice President of the is very important for the retail customer as well. Private Label Manufacturers OPPORTUNITIES AND ACTIONS: Association (PLMA) If you will, diversity of wine and spirit products that CRITICAL MOMENT: we've ever had. I think that's also another reason 吀栀e Hispanic population has grown why you're going to see a growth area there and signi昀椀cantly over just the last 10-20 so certainly PLA wants to capitalize on that. But more the retailers have to adapt in kind and importantly, it's allowing the retailer to capitalize and introduce store brand programs geared grow that area. towards that particular consumer. Also, we're looking at plant-based meat alternatives You never know when there's going to be speci昀椀cally, so there's certainly an opportunity there. another disruption of the supply chain, there's been a CRITICAL MOMENT: OPPORTUNITIES AND ACTIONS: Many shoppers are continuing to work with A standout trend in the market this year is the reduced budgets – due to inflation, fewer rising consumer demand for products from available SNAP dollars, and other factors. Save smaller, local businesses. Independents A Lot shoppers in particular prioritized everyday capitalized on this trend to meet consumer staples for meals and used coupons more often. desires for authenticity and community We saw a shift in shopper behavior with a lower support. By tapping into this demand, shopping frequency and an uptick in cross- independents continued to strengthen their shopping to 昀椀nd the best deals. In tandem, we connection to local communities and enhance saw more shoppers gravitate toward our private their competitive edge. label products BILL MAYO LAURA STRANGE, Chief Operating Officer National Grocers Association (NGA) Senior Vice President, Communications & at Save A Lot Engagement Officer CRITICAL MOMENT: OPPORTUNITIES AND ACTIONS: Independent grocers have long explored A standout trend in the market this year is customization and personalization, the rising consumer demand for products particularly through loyalty programs, from smaller, local businesses. Independents using customer data to tailor o昀昀erings capitalized on this trend to meet consumer and introduce shoppers to new products. desires for authenticity and community However, 2024 marked a pivotal shift with support. By tapping into this demand, the integration of AI, transforming not independents continued to strengthen only how personalization is approached their connection to local communities and but also enhancing operational enhance their competitive edge. e昀케ciencies across the board. 4444 NNOOVVEEMMBBEERR/ D/ DECECEEMMBBEER 2R 200224 4 AABBAASSTOTO..CCOOMM