As the summer season hits, marketers of specialty produce in the Los Angeles area say sales remain strong; at least one distributor is going beyond product sales to focus on additional support services; and business on the Los Angeles Wholesale produce market isn't setting any records, but it's said to be “moving along.”
Frieda's Branded Produce has continued to evolve after its acquisition by Legacy Farms LLC about 18 months ago and its move from Los Alamitos to Anaheim, Calif., said Alex Jackson, vice president of sales and procurement.
The acquisition offered some “strategic opportunities” for the 62-year-old company founded by the late Frieda Rapoport Caplan, Jackson said.
For example, Frieda's now has nationwide distribution from warehouses in Los Angeles, Texas and Florida along with improved trucking, inventory management and “increased flexibility.”
Frieda's Branded Produce is the specialty tropical category leader, according to sales and unit growth data from Circana, a Chicago-based market research and technology company, outpacing category growth in leading specialty category items, Jackson said.
Dragon fruit and other tropical items from Anaheim, Calif.-based Frieda's Branded Produce made significant sales gains, says Alex Jackson, vice president of sales and procurement. (Photo courtesy of Frieda's Branded Produce)
The brand outpaced year-over-year category growth by more than 75% in unit sales and by more than 58% in dollar sales. Frieda's Rambas branded rambutan, dragon fruit, young coconuts and passion fruit three-packs all logged major growth during that time.
Summer will be a key time at Frieda's for tropicals like star fruit, guava, mangosteen, rambutan and several kinds of dragon fruit, Jackson said.
At Los Angeles-based Melissa's World Variety Produce, another specialties shipper, summer offerings include variety melons, such as Charentais and orange and yellow watermelon; tropical fruit imports like dragon fruit, mangoes and lychees; grapes, including Green Muscato, Black Muscato and Jelly Drop; and tree fruit items like Organic Plum Bites and Masumato peaches and nectarines, said Robert Schueller, director of public relations.
Quality on all products should be good this summer, but some California-grown items could come on three to five weeks later than usual because of cool weather during the growing period, he said.
Sales are expected to rise at Los Angeles-based Giumarra Cos. as California's summer fruit season gets underway, says Gary Caloroso, regional business development director. Yellow peaches, berries and grapes are some of the company's summer offerings, he says. (Photo courtesy of Giumarra Cos.)
Los Angeles-based Giumarra Cos. offers its customers comprehensive consolidation services along with its extensive selection of fresh fruits and vegetables from around the world, said Gary Caloroso, regional business development director.
“We take pride in delivering tailored logistics solutions to meet [customers'] specific needs,” he said.
Sales are expected to rise as California's summer fruit season gets underway, he said.
Giumarra will offer Northwest cherries, imported apples and pears, avocados, berries, grapes, stone fruits, and watermelons.
“We expect good quality and ample promotional availability throughout the summer,” Caloroso said.
The company will support retailers' in-store merchandising and online promotions to help boost their fruit sales, he added.
On the Los Angeles Wholesale Produce Market, business seems to be “moving along,” said Alan Pollack, general manager at Coosemans L.A. Inc. But he said movement has been better in years past.
Vegetables are the biggest sellers at Coosemans during most of the year, but fruit sales jump during the summer, he said. So do sales of several kinds of tomatoes.
“They're local tomatoes, and that's when we get the best quality,” Pollack said.
Business at the terminal market has remained “consistently strong throughout the year” for Giumarra Bros. Fruit Co., said Chuck Anunciation, general manager.
“We anticipate it will continue to thrive,” he said.
Inflation may be rampant throughout Southern California, but it hasn't slowed sales at Frieda's, Jackson said.
“In fact, the opposite is happening,” she said. “In an era where every dollar counts, 61% of shoppers affirm that Frieda's items are worth the premium price.
“Our brand's strength is evident as our products consistently achieve 30% higher dollar sales per store over the leading branded specialty produce competitor,” Jackson added.
The company's colorful packaging and approachable brands, including convenient, grab-and-go three-packs of passion fruit, help build trial with shoppers, Jackson said.
But at Coosemans, Pollack cited rising costs of products and labor as particular challenges.
“That's put a little bit of a damper on the movement of product,” he said.
Consumers are spending money, even for the company's high-end specialty items, he said, “but the economic trends are a bit lower for everybody.”
Schueller said he's noticed increased demand for high-end variety fruits, such as Rubyglow pineapples, Pinkglow pineapples, Pink Elephant mangoes, dragon fruit and finger limes among retail and foodservice customers.