By Kelsey Willardson, former staff member
In rural communities, shoppers significantly influence what is sold in independent grocery stores. Their interests have the potential to drive demand for locally sourced food in Iowa.
In 2022, three Midwest universities partnered to study how independent grocers can increase access to local foods. The study, “Midwest Independent Grocery Stores: Identifying and Sourcing from Local Producers,” found that Iowa independent grocers have an impressive ability to maintain strong customer relationships. This leads to customer consistency, essential for preserving shopper base and upholding store stability.
One significant challenge identified in the “Midwest Independent Grocery Stores” study was a store’s ability to access and purchase locally produced foods. Due to small profit margins, most grocers purchase their products from wholesalers, who offer items in bulk to keep costs down.
Big “G” Foods, a rural, independent grocer located in Marengo, Iowa, exemplifies the study’s conclusions. Although they face challenges when requests are made for local foods, they are willing to meet the demands of their customers because of their commitment to the community. Currently, they offer locally produced items such as milk, ice cream, beer, bourbon, and beef sticks.
Shopper interest has a direct impact on the selection and quantity of items a store sells, no matter the product. For locally produced goods, customer requests can be a great reason for grocers to expand beyond the typical wholesale items.
To learn more about Big “G” Foods, visit cfra.org/blog.