Foodservice

With a Third of Shoppers Seeking New Items to Try, Retailers Should Consider Emerging Brands

‘Convenience stores are a great opportunity to bring more innovation into those key points of the community in an effective way,’ McLane e-commerce executive says
Michelle Patterson (from left), Kendra Bennett, Kyle Gustafson at Convenience Retailing University
Photograph by CSP Staff

Emerging brands offer a lot of creativity and cool ideas, which is what shoppers are looking for, said Kendra Bennett (pictured center), chief marketing officer at Bon Bee Honey, at the session Growing Sales Loyalty With Emerging Brands at Convenience Retailing University last week in Nashville, Tennessee.

Bennett’s family runs the Longmont, Colorado-based company Honey Bunchie LLC, which makes the gluten-free peanut pecan Gourmet Honey Bar.

“One cool thing about working with emerging brands is that you’ll get a lot of creativity, new ideas, fresh perspectives,” Bennett said at the session, which was hosted by McLane Co.’s Michelle Patterson (pictured left), vice president of marketing and communications. “Because we’re small, we can turn on a dime and make decisions quickly.”

Also on the panel was McLane Co.’s Kyle Gustafson (pictured right), vice president of e-commerce. McLane’s new Emerging Brands online marketplace is where smaller brands can meet retailers instantly nationwide to discover products with purpose and products in trending categories.

“It’s hard for smaller up-and-comers to distinguish themselves and build reach and connect with customers,” Gustafson said. “And it’s tough for retailers to decide which ones to take a bet on.”

Connect Customers

The Emerging Brands marketplace is a low-risk choice for retailers, he said. It accelerates the process and eases making connections with customers.

“Everyone is looking for a localized, personalized experience,” Gustafson said. “This is a way we can do this through the McLane infrastructure.”

When asked why convenience stores should care about emerging brands, Gustafson said, “Every community has a convenience store, which create connections. Convenience stores are a great opportunity to bring more innovation into those key points of the community in an effective way. We want to connect with our customers, and we can do that with great stuff.”

“Because we’re small, we can turn on a dime and make decisions quickly.”

Bennett added, “One in three shoppers are looking for something new to try—and that’s just those who are actively looking; that’s not even counting those who stumble upon something and have an ‘aha’ moment, like a treasure hunt.”

Patterson added, “Those types of experiences really drive loyalty. How fun is it to have your favorite store constantly surprise you with what’s there?”

Use Social Media

Building social media is a big and free way to get outreach and support for an up-and-coming company, said Bennett, whose own business recently launched a second product, the dairy- and gluten-free coconut almond Gourmet Honey Bar. “People can follow our story,” she said.

The stories of emerging brands make these companies “extra cool,” Bennett said. “We all have a story that consumers can latch to, rally behind. It builds loyalty, they feel attached, and they want to support the brand.”

Honey Bunchie started 14 years ago with Bennett’s dad trying to recreate a recipe his wife had made for him when he was a fighter pilot in the Vietnam War.

“He didn’t have the recipe, guessed for three months, and eventually created what is now our Bon Bee Gourmet Honey Bar peanut pecan,” she said. “He named the company after my mom, who he calls ‘honey bunchie’—she calls him ‘honey bunchie’ too.”

“There are lots of challenges, but that’s part of the fun.”

He launched the company, which has been featured on the TV show “Shark Tank,” on their wedding anniversary as a tribute to her, Bennett said.

Gustafson said McLane built the Emerging Brands program to bring in products quickly. “There are lots of challenges, but that’s part of the fun,” he said.

“I’m passionate about making that connection,” he added. “The challenges are what are those needs? One is how does a retailer get a quick sample to try out the product. We put tech solutions in place. It’s not always easy to order; there are bumps along the way to be solved.”

Patterson noted the program’s product diversity, adding, “As some categories are going down, some are going up. It’s nice to be able to say yes more to brands.”

Founded in 1894, McLane is one of the largest distributors in America, serving convenience stores, mass merchants and chain restaurants. With headquarters in Temple, Texas, McLane has more than 80 distribution centers. The company is a wholly owned subsidiary of Berkshire Hathaway Inc., Omaha, Nebraska.

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