Superior_Source_Spring_2020

TAPPING UNLIMITED POTENTIAL

ity is that these self-imposed restrictions limit our untapped capacity. Jim Collins’ first sentence in his book Good to Great wisely stated, “Good is the enemy of great.” We can do great things and expand our “frying pan” if we stretch beyond our comfort zone and try something new.

We expand our frying pan as we fail often, fail fast, and most importantly, fail forward. We can expand our frying pan if we learn from the failure because it causes us to stretch and grow. We can expand our frying pan by exposing ourselves to new thoughts, reading an inspirational book or meeting unique people. It is surprising how, with just a little effort, a little discomfort and a little stretching, our pan gets bigger. The employee-owners of Superior Farms are continually exploring new technologies, new markets, new products and new ways to deliver a better product, often failing and learning along the way. We then share that learning with our customers and producer partners. Thanks for your support of Ameri- can lamb and Superior Farms. If there is anything we can do to improve your lamb experience – or help expand your frying pan – please let us know. 

Rick Stott President & CEO Rick.Stott@superiorfarms.com

We put limitations on ourselves all too often, without realizing how it restricts our potential. Nick Saban, one of the most successful coaches in college football history, told this story: “I was a kid fishing in West Virginia and couldn’t catch a fish. An older boy next to me was catching everything – big, small, but throwing the big ones back. Finally, frustrated, I asked, ‘Why are you throwing the big ones back but keeping the little ones?’ He replied, ‘Because I only have a 9-inch frying pan.’” How big is your frying pan? The real-

Nick Saban, Univ. Alabama Football Coach Courtesy of Yahoo Sports

THE BATTLE FOR THE FUTURE OF RETAIL GROCERY

growth numbers in online sales and home delivery sales are head-turning. Walmart saw online sales increase by 41 percent in the third quarter of 2019 and anticipated 35 percent growth for the full year compared with the prior year, according to CNBC. Both Kroger and Walmart expect to see 10 percent of their total sales come from home grocery delivery sales by 2025. For its part, Amazon continues to increase the number of markets for its home grocery delivery service while mak- ing the service more accessible by reduc- ing order minimums ($25, down from $49 when the service began). Recently, the company announced that the service will be free of monthly service charges for its Prime members. We were happy to see our own lamb sales grow at a healthy 28 percent in 2019 compared with 2018 with Amazon Fresh.

We anticipate more online and home deliv- ery sales to include lamb in the future with Kroger and Walmart. Part of the challenge of the home gro- cery delivery business has been the reluc- tance on the part of consumers to trust someone else to pick out their fresh items, such as meat and produce. While shoppers are comfortable enough having someone grab paper towels or a box of Cheerios™, the fresh items have posed more of a hurdle. Convenience and strong customer service models seem to be winning the day, though, as consumers become more comfortable with someone selecting their bananas and chicken breasts. At Superior Farms, we strive to serve our customers as best we can, whether they are traditional retailers or online stores, and will work to delight our customers and the consumers they serve. 

It’s no secret that Amazon has invested heavily in its home grocery delivery ser- vice, Amazon Fresh. Since its $13.7 billion acquisition of Whole Foods, the online giant has continued to push hard into the grocery space. But if you thought other retailers were going to sit idly by and watch this development, you’d be wrong. Walmart and Kroger have both made aggressive moves into online sales. Does this mean brick-and-mortar stores will soon go the way of the dodo bird? Probably not anytime soon. However, the Anders Hemphill V.P. of Marketing and Brand Strategy Anders.Hemphill@superiorfarms.com

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