- Southeastern Grocers opened seven Fresco Y Mas markets in former Winn-Dixie store locations last week in southern Florida, according to Supermarket News. The stores, which opened on the one-year anniversary of the first Fresco Y Mas conversion, brings the total number of locations under the banner to 18.
- Fresco Y Mas stores feature a Latin butcher shop with custom-cut meats, a produce department featuring many tropical fruits and a “Cocina” or kitchen that makes prepared foods daily.
- The banner also has a “Low Price every day” program that offers discounts on more than 800 popular products for six months.
Across the country, Hispanic grocers are finding success in markets where traditional retailers have failed. In super-competitive Southern California, names such as Northgate Gonzalez and Cardenas Market are taking over leases and succeeding in many low- and middle-income communities. In Texas, Albertsons-owned Amigos stores continue to grow, while a bilingual Whole Foods in El Paso represents a hybrid approach to a fast-growing consumer group.
These grocers are capitalizing on a growing Hispanic population, which currently comes in at around 60 million. Their population is expected to double during the next forty years, according to the Census Bureau.
By tapping into this market, they’re also capitalizing on a more valuable customer. According to Nielsen data, Hispanic consumers spend $175 more per year on fresh foods than the average shopper. In addition, more than two-thirds of Hispanics say they enjoy grocery shopping, while 79% — nearly twice the percentage of total U.S. shoppers — say they shop with at least one other person.
Hispanic grocers also see a lot of valuable millennial consumers. Indeed, 61% of Hispanic millennials say they’ve shopped at a Hispanic market at least once in the past year, according to Nielsen.
These stores offer a wide range of culturally significant products, from custom meats to tropical produce and authentic prepared foods. Their offerings overlap with traditional grocers in many areas, but are distinct enough to earn the loyalty of millions of customers. According to research from food and agricultural supplier Cargill, 76% of Hispanic consumers say they’ll regularly shop at a store that features variety meats. As the success of Fresco Y Mas and other Hispanic stores shows, these outlets are thriving at a time when the industry as a whole continues to struggle. It would not be surprising to see more Hispanic stores open in the near future.