Going Multinational
Stuffed Cajun Style pork chops are a break-out item from Kroger under the Private Selections brand.
When it comes to ethnic foods, it pays to play the field - and even to give each part of the field a private brand name. Mexican foods are still tops, but Asian foods top growth.
Travels of Asia. Travels of India. Asian Classics. Asian Wokery. Discover the Orient. Those are all sub-brands used by Wegmans, Rochester, NY, for ethnic fare from the Pacific Rim and other parts of Asia. But they are part of a growing multi-ethnic presence in private label generally.
Wegmans itself is an example of this, for while recent introductions like polybag Spicy Orange Beef with Brown Rice under the Travels of Asia brand may be getting the most attention, the chain also has a stake in Mexican foods like Chicken Empanadas and even pierogies – an Eastern European stuffed pasta specialty that is making inroads in other store brand programs, as at Price Chopper, Schenectady, NY.
Still, it is in the Asian realm that Wegmans may be the leading innovator. Bagged frozen entrees under the Travels of Asia brand also include Spicy Brown Chicken with Brown Rice, Sesame Chicken with Brown Rice, Stir-fry Beef with Udon Noodles and Shanghai Stir-fry with Brown Rice. But there are also boxed appetizers and entrees like Egg Rolls, Shrimp & Vegetables and, under the Travels of India sub-brand, Chicken Curry.
Under the Asian Classics brand are staples like Chicken & Vegetable potstickers, lo mein noodles, Pork & Shrimp wontons, and seasoned rice vinegar. Discover the Orient is used for more than two dozen varieties of sushi, while Asian Wokery covers Chinese eat-in/take-out fare from in-store restaurants. There are even Asian salad and slaw under the Food You Feel Good About sub-brand, and kettle potato chips flavored with the chain’s Asian BBQ sauce.
A recent Mintel study predicts that “ethnic food sales will reach a record $2.2 billion this year, and advance by another 20% between 2010 and 2014.” According to that study, Mexican foods account for 62% of the total, but have become so popular that many people don’t consider them ethnic any more. So the real growth drivers in the category are said to be Indian and Asian foods, “which showed 11% and 35% growth, respectively, between 2006 and 2008.” A Nielsen panel, meanwhile, found that 62.9% of U.S. households had purchased Mexican sauces at least once during the year ended June 27, and that 41.5% had purchased frozen Mexican entrees at least once. For Asian sauces and entrees, the figures were 32.2% and 41.8%
Frozen and refrigerated Asian appetizers and entrees don’t figure in statistics compiled by Information Resources, Inc. (IRI), Chicago, IL, although shelf-stable miscellaneous Asian food items in private label are credited with a 168.2% increase for the 52 weeks ended 10/4/2009 – that amounts to only $803,000 in all. Store brand chow mein noodle sales have taken a beating, but sales of Asian sauces and marinades other than soy scored a 23.5% increase to $10.1 million, and soy sauce itself was up 9.3% to $9.6 million, Bamboo shoots and water chestnuts posted an eight percent increase, to $4.5 million.
Kroger, Cincinnati, OH, largest supermarket chain in North America, seems to be the leader in shelf-stable store brand Asian foods. Sesame Teriyaki and Kung Pao noodle bowls retail at $2.89 each, as does a Pad Thai quick noodle entree. In Mexican foods, Kroger sticks mostly to tried-and-true items like taco dinners. But under the Private Selection brand, it has recently put an ethnic spin on a standard product: stuffed Cajun-style pork chops with Andouille sausage, seasoned rice, red peppers and Cajun spices, “fully cooked by our master chef using the Sous-Vide method to create rich, complete flavors.”
Target, Minneapolis, MN, far outpaces any other mass merchandiser in packaged ethnic foods under its Archer Farms brand. Examples include an Asian-inspired Sesame Teriyaki entrée with noodles, vegetables and a savory sauce mix, Indian-inspired Tikka Masala & Spiced Green Peas and Rice, and Mexican-inspired Choptle Adobe chicken, not to a healthy Simply Balanced Cajun Beans & Rice. Aldi, Batavia, IL, which as a limited assortment chain doesn’t go beyond the ordinary in most categories, still finds room for an Asia Specialties line with King Pao and Sesame Teriyaki noodle bowls and soy sauce.
When it comes to Mexican foods, the only segment showing double-digit growth in private label is refried beans – perhaps because they are relatively economical. In any case, sales for the 52 weeks ended 10/4/2009 were up 15.9% to $26.4 million. Hard and soft taco and tortilla kit sales in store brands were up 9.1% to $108.9 million, and all other Mexican foods slipped 1.7% to $1.2 million. But Mexican sauces all showed double digit growth, with salsa up 12.6% to $115.9 million.
A lot of Mexican food is being Americanized – store brand tortillas at Hannaford, Scarborough, ME, for example, come in whole wheat as well as traditional in burrito, fajita and taco sizes. Harris Teeter, Matthews, NC, also offers whole wheat tortillas. Steak Taquitos are private labeled by Giant Eagle, Pittsburgh, PA. At Walmart, Bentonville, AR, Great Value sliced jalapeños are available in a “no heat” option. Topco Associates, Skokie, IL, markets Quesadilla Pizza with a tortilla crust under its Valu Time economy brand and Mexican-style Spanish rice under its Food Club brand. At Lowes Foods, Winston-Salem, NC, it’s Mexican-style diced tomatoes.
On the other hand, H•E•B, San Antonio, TX, which operates in Mexico as well as United States, offers more authentic fare like a tortilla soup base in bilingual packaging. And C&S Wholesale, Keene, NH, appeals to Mexican shoppers with a Comida Sabrosa line that includes ethnic specialties like corn husks, frijoles, Guajillo and Arbol chili peppers, pork cracklins and whole jalapenos in escabeche.
Trader Joe’s, Monrovia, CA, combines Mexican and Chinese elements in Chicken Cilantro Mini Wontons, while its Thai Shrimp Gyozas are a Japanese specialty but with a non-Japanese source. With Polenta Provençale with spinach and peas in a spicy cream sauce, it has even gotten into French fare. Other ethnic items at the specialty retailer include Habanero Lime flour tortillas, Shredded Beef Burritos and 99% fat-free Bean & Rice burritos, Chicken Taquitos, Thai-style Massaman chicken, Indian-style Paneer Tikka Masala with spinach and basmati rice, and more.
