UBCO economist weighs in

Skip the dishes? Food trends possibly to blame for Quality Greens closure

Oct 23, 2019 | 6:00 AM

On the heels of Quality Greens announcing the closure of its Vernon store, a UBC Okanagan economist says there are many factors that may have played a role in the store’s demise.

Julien Picault, senior economics instructor at UBC Okanagan, points to a shift in the way consumers purchase food that is vastly different than years past.

This shift is noticeably seen through online delivery apps like SkipTheDishes and produce delivery services like HelloFresh that deliver food right to your door.

Online ordering at big box grocery stores like Save-On-Foods, and Wal-Mart that allow consumers to purchase and deliver their groceries with a click of a button are also part of the growing shift.

Stalls at the Real Canadian Superstore in Vernon for consumers picking up online orders (Tiffany Goodwein/ VernonMatters Staff)

According to Picault, the trend for quick and easy online delivery is driven by increased time constraints for families and the desire for people to have more time.

“What the market is creating is you don’t have to go to the store anymore. There are other options for you to get your food, so I think that’s what’s happening in this race to find time, the time at supermarkets and other stores is reduced,” he said.

The reduced time spent in retail stores means consumers aren’t just looking for a great product but a great experience.

“Selling a product won’t be enough anymore,” said Picault who adds businesses need to think about what other services they can offer to drive customers back to their store.

When asked about other grocery store news making the headlines, namely Safeway converting into a FreshCo, Picault points to the increased desire for consumers to have quality products at a low price.

“We know that living in the area is expensive. We like to say that we have a sunshine tax and so that means the amount of money that we have to put towards our consumption is not that much.”

The increased focus on price could be a reason why smaller grocery store chains like Quality Greens are having a hard time keeping afloat.

“I think that’s a bit — especially the smaller supermarkets or stores — are suffering from right now. It’s that the middle-class consumer base is looking at price more than they did in the past,” Picault said.

Quality Greens, the Okanagan-based grocery store chain, announced it would be shuttering retail operations at its 22-year-old Vernon location on Oct. 18.

The store will officially close on Nov. 6, 2019.

An estimated 15 to 20 jobs will be lost.

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