Retail produce departments posted their second consecutive quarter of decreased sales, according to the latest FreshFacts on Retail Report from the United Fresh Produce Association.
“Consumers are seeking healthy options, and produce departments are seeing competition for dollar share as healthy snack options are featured in all corners of the retail store,” said Jeff Oberman, vice president of trade relations and Retail-Foodservice Board liaison for the Washington, D.C.-based organization, in a news release. “However, there is great potential for produce companies to find success in cross-merchandising and partnerships with other food companies to maintain a presence with the consumer across the store, which will help retailers to continue to fresh produce sales success.”
The report, produced in partnership with Nielsen Fresh, measures sales trends for the top 10 fruit and vegetables, as well as value-added categories. It is sponsored by Del Monte Fresh Produce, and is available free of charge to United Fresh members.
Higher prices on several popular fruit items resulted in decreased average sales, with mandarin oranges and packaged salad showing the only substantial volume and dollar growth.
Organic sales did increase, however, with packaged salad and berries leading the way. Total contribution to the produce department eclipsed 10% during the quarter.
The report also explored snacking and on-the-go produce items, which are up 5% over the previous year, and posted $1 billion in sales in the 52 weeks ending in May.