Packaged produce's cardinal rule 50 years ago is the same as today: Only good quality fresh fruits and vegetables should be sold in packaged form.
Here's an excerpt from a packaging special report from 1970, from The Packer's Ideas in Merchandising.
The Packaging Question
A United Report
The consumer point of view
Across the United States and Canada today, over 50 per cent of all fresh fruits and vegetables are sold to customers in consumer unit packages. The present industry-wide trends indicate that produce sales in consumer unit packages will continue to rise. More and more fresh sales will be in packaged form.
At the present time, in some marketing areas, virtually all produce is sold in packaged, while in other marketing areas bulk sales continue to predominate. In still other sections of North America, the sale of fresh fruits and vegetables is achieved by displaying both bulk and packaged merchandise together in the produce departments. In those areas where both bulk and packaged produce are sold together, the percentages of sales in one form or the other vary greatly. For example, some stores may sell produce on a ratio of about 50 per cent bulk and 50 per cent packaged. Other stores may sell 75 per cent and 25 percent in bulk, which still other stores may sell 30 per cent packages and 70 per cent in bulk.
No matter what percentage of sales of fresh fruits and vegetables are now in packaged form, look for an upswing in packaged sales in the future. It may only be a small increase, or it may increase dramatically.
Shipping point packaging
Many products are now packaged almost entirely at shipping point, for example, radishes, carrots and cauliflower. You may also be receiving frehs fruits and vegetables that have been put into packaged form at the warehouse level of the industry. Many do a great deal of packaging in the retail stores. Certain considerations apply wherever the packaging operation takes place.
Whether you handle only a little or a great deal of packaged fresh fruits and vegetables, there is one paramount, inviolable rule to follow if you are to achieve sales and profits from your packaged sales: Only good quality fresh fruits and vegetables should be sold in packaged form. If there is any question concerning the appearance and quality of a single piece of fruit or a single vegetable in a package, that package is in trouble. An off-quality orange in a bag containing one dozen will kill the sale of the other 11 oranges. Worse yet, if the customer does buy a consumer-unit package and finds one rotten or spoiled piece of merchandise in the package when she gets it home, she is not likely to purchase another package of anything from that produce department again, at least not for a long time! In fact, she may buy all her groceries from a competitor.
Packaging benefits
What value does packaging have anyway? It causes a lot of extra work and preparation somewhere along the line. Look at it from the standpoint of the customer. After all, your customers pay your salaries. (The company or the boss merely signs the paycheck!). Here are some possible advantages consumer unit packaging can provide:
- Speeds up shopping. Packages also help the customer to check out faster because the checker does not have to weigh or count up the produce.
- Merchandise gets less handling when in a package, so it should be fresher, cleaner, more sanitary and in better condition because it reduces breakage and bruising.
- Customers can immediately determine the price of a consumer unit package.
- Packaging, particularly bags, usually provides the customer with a see-through container in which to store the unused portion of the purchase. It also makes it easier for the customer to keep an inventory of her own needs in balancing the budget and planning her shopping.
- Packages may protect customers’ hands from becoming soiled or wet in picking up merchandise from the display.
- Packaging prevents paper bags from becoming damp and breaking. It is most aggravating to customers when a wet produce item causes the bag to split open and their purchases spill out onto the ground.
The Retail Point of View
Across the United States and Canada today, over 50 per cent of all fresh fruits and vegetables are sold to customers in consumer unit packages. The present industry-wide trends indicate that produce sales in consumer unit packages will continue to rise. From your own standpoint, is it worthwhile to you, the retailer to package?
Consider some of the advantages that consumer-unit packaging can bring you:
- Proper packaging procedures can help to reduce spoilage and shrinkage. That means more sales and profits by reducing product loss.
- Housekeeping is made easier. Racks, cases and display tables are easier to keep clean because leaves and debris are not as likely to fall into the fixtures.
- Rotating merchandise is surer. Code dates on packages help to avoid the problems created by older, off-quality merchandise.
- Inventory taking is easier and more accurate.
- You may be able to move more product because of the larger unit sales which packages can provide. A customer who might otherwise pick up 4 or 5 individual grapefruit may be more likely to buy a bag of 6 or 8.
- Customers can get through your department and checkout stands quicker.
- Proper packaging helps to retain the life-sustaining moisture so vital to more fresh fruits and vegetables. In turn this lengthens the shelf-life of your merchandise, reduces shrinkage and increases sales and profits.
- Packaged merchandise helps you to build displays more rapidly.
- Customers will do less “grazing” from the displays. For example, it is pretty difficult to eat a cluster of grapes from a bunch when they are packaged, unless the package is actually broken.
- Damage by customer handling should be reduced. Additionally, product falling off the rack and bouncing off the floor is less likely.
In addition to the cardinal rule of selling – Only good quality fresh fruits should be sold – keep in mind the following supplementary rules:
Variety of package sizes
What package sizes should you maintain? To determine that, reflect upon your customers. If your customers are comprised of mainly growing families, you will need larger packages than if your store serves mainly retired people. A good rule of thumb to follow: Have something for everyone! If you wish, invite people to break open any package to suit your needs.
Avoid “slack packs”
Be sure to have the package – whether it is a bag, tray or whatever – fit the quantity of merchandise inside. Avoid “slack packs,” even though the amount of merchandise inside is every bit as much as the label calls for. Remember, your packages may look half-full (or half empty, depending on whether your customer is a pessimist or an optimist). Too small a package makes the product look jammed; too large, lost. In either case, you will probably find improper sizes slow your sales.
Obey the law
The Fair Package and Labeling Act of 1967 is in force. You may also have some state and-or local ordinances to follow. Federal law requires that packaged items you sell – whether you package them or they are packaged elsewhere – must bear certain information if sold by weight, including the price per pound, the new weight of the package in ounces and, if one pound or more, in terms of total ounces and equivalent full pounds and fractional pounds, and the total price of the package. If packed produce is sold by count, the label must clearly indicate this.