National Post

waning appetite

Will practices aimed at allaying COVID-19 fears force the humble salad bar into extinction?

- Matthew Boyle

Grocery stores are doing whatever it takes — including deploying robots — to save their lucrative salad bars from becoming a relic of pre-pandemic shopping.

In a frantic push to ease skittish consumers and shore up sales, some chains are tossing prepackage­d salads into the bar’s now- empty bins, a stopgap measure that’s easy to do, but eliminates the customizat­ion — extra onions, less croutons, etc. — that shoppers crave. Publix Super Markets Inc. placed an employee next to the bar to take orders during peak hours, but that full- service option slows things down and adds labour. Others are renting space to food service chains, which eats into profit and cedes control.

“It’s a huge question, and no one really knows,” says Gabrielle Rosi, an expert in store design who spent more than 20 years at Whole Foods Market before leaving in April. “You have these massive metal pieces just sitting there. It’s a big challenge.”

Salad bars drive store visits, especially during midday lulls, and their profit margins can be attractive because they don’t require much labour and shoppers pay by the pound. More than 90 per cent of supermarke­ts have them, but sales by volume have been declining for several years, according to data- tracker IRI, as salad- centric restaurant chains have expanded and lured away some of that kale- loving crowd. Even before the pandemic, some grocery- store shoppers considered salad bars unhygienic. ( Sneeze guards can only guard against so much.)

Now they face an existentia­l threat. More than 80 per cent of consumers said grocery-store salad bars are too risky, according to a survey from researcher Datassenti­al. Retailers have turned maximizing selling space into a science, and they aren’t about to let an underperfo­rming part of the store wallow for long. But what to replace them with?

“We haven’t decided yet,” Kroger Co. chief executive Rodney Mcmullen said. “Right now, we have different stores doing different things.”

Rival Albertsons Cos. is also experiment­ing with various options like prepackage­d salads. “It’s a difficult situation,” Albertsons CEO Vivek Sankaran said, adding that “it will be a long time” before self- service makes a comeback.

Before the virus hit, the salad bar at a Heinen’s supermarke­t could handle as many as 150 salads an hour during the lunch rush. Those sales accounted for 2.5 per cent of the Ohio- based chain’s total business, which is geared heavily toward prepared foods.

Then the self- service bars went dark on March 14 due to concerns that they transmitte­d the virus. Heinen’s asked its in- house chefs to bulk up its small offering of prepackage­d salads, and it now offers 18 varieties, all nestled inside the now- vacated salad bar space, along with individual­ly- packaged items such as salmon, chicken and fruits, so shoppers can mix and match. Heinen’s Chief Innovation Officer Chris Foltz also took the opportunit­y to try something totally new — a sixfoot- tall, 750- pound robot named Sally.

Costing US$ 35,000, Sally comes from a Bay Area startup called Chowbotics and will make its debut in Heinen’s Pepper Pike, Ohio location later this week. Sally looks like a vending machine, holds 22 separate ingredient­s ( including dressings) and tracks the nutritiona­l profile of a salad as the shopper builds it on a touchscree­n ( a mobile ordering app is in the works for those who don’t want to touch anything).

Heinen’s version of Sally will dish out five standard salads at first for US$ 6.99 each, like Cobb and Chicken Caesar, but shoppers can customize and the menu will get more adventurou­s. Ultimately, Sally could dish out soups, grain bowls, parfaits and even full meals.

While Sally can’t serve as many customers as before —

Foltz expects it to deliver 30 to 35 salads an hour — the machine will pay for itself in nine months. Another benefit is that Heinen’s now can include pricier options like salmon, which it couldn’t do in self- service stations because shoppers would gorge on it. Sally, in contrast, controls how much of the most expensive salad ingredient­s get used.

“Now, the robot can manage that,” he says. “So from a cost perspectiv­e, it’s better.”

Other workaround­s are more simple. Amtekco Industries Inc., an Ohio- based manufactur­er of supermarke­t salad bars that can cost upwards of US$ 75,000 a pop, has a solution. Its engineers fashioned an insert that can hold prepackage­d salads and other foods, turning a salad bar into a chilled display case. The so- called “cold well conversion kit” costs just US$ 200 and “we have sold a lot of them,” says Bruce Wasserstro­m, Amtekco’s president. Over the past month or so, a six- person team inside the company has also been hard at work on what Wasserstro­m dubs “the future of food bars,” but he won’t divulge details.

Salad bars made supermarke­ts a “destinatio­n.”

Generally, supermarke­t executives aren’t great at predicting the future. Food retail is a risk- averse industry by nature, with thin profit margins, high labour costs and the constant threat of a salmonella outbreak hanging over operators’ heads. The pandemic has been great for supermarke­t sales, but nobody knows if the nation’s recent rediscover­y of home cooking will be permanent. So for grocers, having a wide selection of high- quality prepared foods is important.

Supermarke­ts first adopted salad bars in the early 1980s after seeing restaurant­s successful­ly introduce them a decade earlier. While they add complexity to a grocery store’s operations — wilted lettuce has to get thrown away, and food temperatur­es need to be constantly monitored — salad bars have boosted customer traffic and are visually appealing, especially compared with the boring cans of soup in the aisles.

Food bars also made supermarke­ts a place where customers could linger and eat, meeting friends and co- workers, rather than just dash in and out. At upscale chains, the self- service stations became big attraction­s.

“We became a destinatio­n,” said Bobby Ukrop, former CEO of Ukrop’s Super Markets, a Virginia- based chain that opened its first salad bar in 1984 and was later acquired by Europe’s Ahold Delhaize. “Then in 1989, we opened another store with a grill and a café with 50 seats. But the salad bar is where it started.”

Today, some supermarke­ts outsource their upscale prepared foods, such as sushi and barbecue, to food service specialist­s. Saladworks, a Pennsylvan­ia- based chain with 106 locations in the Northeast, now wants to replace salad bars with madeto-order stations.

Saladworks CEO Kelly Roddy says the company initially projected it would install 50 stations in grocery stores this year, and now they’re expecting several hundred.

“Retailers are incredibly focused on sales per square foot,” Roddy said. “They are sitting on these salad bars, and they will not wait long to replace them.”

You have these massive metal pieces just sitting

there.

 ??  ??
 ?? Daniel Acker/ Bloomberg ?? Salad bars. which have been a profit driver for many grocery stores, are now a source of hygiene concerns for shoppers.
Daniel Acker/ Bloomberg Salad bars. which have been a profit driver for many grocery stores, are now a source of hygiene concerns for shoppers.

Newspapers in English

Newspapers from Canada