Fresh and Easy Brand Refocusing

For my report, I intend to propose that a grocery store chain begin carrying grass-fed beef products. The chain, Fresh and Easy, is formerly a subsidiary of British food retailer Tesco. The chain has operated for nearly six years in the United States, but in all that time has still been unable to turn a profit. In March of this year, the Los Angeles Times reported that the company has experienced approximately $1 billion in cumulative losses, a problem exacerbated by labor disputes and general customer and supplier dissatisfaction with the store’s layout and product offerings. (Li, 2013) While the stores have seen some changes since the chain’s September sale to Yucaipa Companies LLC, the addition of grass-fed beef products to their standard certified organic offerings would be a boon to the company (“Fresh & Easy”, 2013). With this addition, the chain would be able to offer a high-quality, high-demand product to a wide consumer base at reasonable prices, and would also be able to foster better relationships with suppliers, since the region the chain operates in – California, Arizona, and Nevada – has several small farms that would benefit from having their product supplied in the stores.

The chain’s own “About Us” page emphasizes their focus on healthy, natural foods that aren't genetically engineered or that don’t have adulterants like high-fructose corn syrup and artificial colors and flavors, so the addition of grass-fed beef, which nearly always comes from humanely raised cows, would line up well with the company’s brand direction (“Who We Are,” n.d.). Potential resources that would be needed to support this decision would include information on grass-fed beef sales versus other kinds of beef products, and information on Fresh & Easy customers. Research could be obtained directly from the company (documents regarding financial status and product information) or from customer surveys, which would also be useful in evaluating the potential impact of this decision. The information gathered from Fresh & Easy can be evaluated against information about customer satisfaction, sales figures, and wholesale/supplier pricing from other chains that already sell grass-fed beef.

References

Fresh & Easy acquired by the Yucaipa Companies LLC. (2013). Fresh and Easy. Retrieved from http://www.freshandeasy.com/news/post/2013/fresh-easy-acquired-by-the-yucaipa-companies-llc/.

Li, Shan. (2013). Five years in, Fresh & Easy markets are a flop. Los Angeles Times. Business: n. pag. Los Angeles Times. Retrieved from http://articles.latimes.com/2013/mar/21/business/la-fi-fresh-easy-woes-20130321

Who we are. (N.d.). Fresh and Easy. Retrieved from http://www.freshandeasy.com/about-us/who-we-are/.