Realities, Ramblings and Recovery My Take on the Current State of the Las Vegas Events Industry

Preface: As a DMC for over 20 years, it's no exaggeration to say that my usual creative juices have been bottled up. I've been itching to write lately, and today I decided to express the current reality of the Las Vegas hospitality industry from my perspective. After seven months of introspection, here are my thoughts on where we are now, what many people don't realize, where we're going, and how we can survive as a community to get there. Are you in a hurry? Please read the bold paragraphs for a condensed version. Thank you for listening.

In the world of live events, there are so many different categories, all driven and influenced by different factors. Just because one category is starting to bounce back from COVID collapse doesn't mean that others are.

After the Governor's expanded rules that went into effect on October 1st, outdoor events will start to come back first. Not full-scale festivals, but small concerts, heritage festivals, trunk-or-treats at schools on Halloween, etc. These events are opt-in, family-friendly events that can operate with the most basic social distancing protocols, such as wearing masks and encouraging six feet of distance.

Under the new guidelines, indoor events will be small; up to 250 people or 50% occupancy, whichever is less, depending on the location. Temperature checks, masks, and social distancing arrangements will be in place, and these will be local or “vehicle-based” groups, typically opt-ins for organization or union meetings, board meetings, etc. Food service will be provided if necessary, and the purpose will be primarily educational and informational during the day and primarily charitable and social in the evening.

As venues submit their plans, we will also see smaller shows and sporting events. Ticketed, opt-in events will allow venues to operate at 10% capacity or the maximum seating capacity allowed by local law, and guests and groups will be socially distanced inside the facility. For sports, seats will be at a premium and, even if open to the public, will likely be reserved for season ticket holders, boosters, etc. Ticketed shows will feature smaller productions and local acts in venues that can support limited capacity within their budget.

Multi-space trade shows are allowed up to 1, 000 attendees, but based on that, the projected ROI for major companies to bring in exhibits and crew to market to such a low number of potential buyers is not justifiable. For example, CES and SHOT, the two biggest trade shows in January, attract 180, 000 and 60, 000 attendees, respectively. These numbers are what exhibitors need to justify the overhead costs of attending. CES will go virtual, and SHOT will make an announcement by November 1st about whether it will operate as scheduled. These are the shows that are within driving distance of attendees and exhibitors, such as bridal shows and lifestyle shows like health, jewelry, and guns.

This is all great and a step in the right direction, but it won't have a bigger impact on the Las Vegas hospitality industry.

The sad truth is that if numbers continue to rise as they currently are, we may have to hold at this stage of reopening for quite some time; but the thinking on that is reasonable. It’s better to open up safely than to have to open and close again. Why? Because the bottom line is that until it’s fully safe to open, the shows that are the true revenue drivers and employ the majority of those out of work in our state will not come back.

Some of these shows are obvious. Major production shows are the first to come to mind for the general public. Think of the months of planning and rehearsal required to put on such a show. This can only be justified if you can safely expect to sell enough tickets in a reasonable amount of time to cover the associated expenses of pre-production.

When you factor in theater operating costs, box office expenses, performance fees, etc., it's easy to see that a 10% occupancy rate would not break even. A higher occupancy rate of 50% probably wouldn't break even. With a company of hundreds of people -- creative teams, talent, production teams, box office and sales teams, marketing teams, theater staff -- putting out a production is too much of a financial risk without the assurance of having the ticket sales necessary to support the production.

A national tour? That can be hundreds of thousands of dollars per show, on top of the operating costs of the theater and the support network.

Showroom productions and Concerts are a big factor, but even more impactful is the void left by an absence of Corporates. Not the big Industry Based Trade Shows, but Private Corporate Sponsored 4,500 person field team meetings, 3,500 person customer events, 200 person incentive programs, 750 person product launches, 40,000 person partner conferences, the 50 person sales meetings that happen every week except holidays at virtually every hotel in our city and unless you are in the industry; you may have no idea that they even happen.

There are thousands of these companies of all shapes and sizes every year that are responsible for sustaining thousands of jobs in an industry the general public isn't necessarily aware of. Destination management companies, hotel convention services and banquet teams, printing companies, production companies, transportation companies, entertainment companies, decoration companies, staffing companies, team building companies, restaurants, the list goes on.

Locally, layoff announcements continue. Hotels that were optimistic that business levels would return soon are now realizing that 50% of the customer base that maintained their occupancy rates isn't coming back anytime soon.

Small businesses based in the hospitality industry are being forced into skeleton crews or even closures. Programs like the Paycheck Protection Program covered an 8 week... 6 month window.

Unemployed hospitality staff are also being pushed out of opportunities, and the additional $300 per week stimulus money that was supposed to start in early August in Nevada has yet to be paid out.

Vendors we've worked with for nearly 20 years have had to liquidate inventory and close up shop.

On the other side of the coin, customers are also being affected. Many corporate planners are losing jobs from companies they've worked for for decades. Outside third-party planners, from small firms to large incentive houses, are finding themselves without clients to support.

As an industry, while we can be hopeful; the truth of it is that until corporations are willing to risk the millions of dollars of investment that go into the planning and implementation of these meetings AND assume the financial and health risk of hosting their staff, customers, and vendors in a safe and manageable way that will provide the necessary ROI to justify that investment and assume that risk, a bulk of the live business meetings industry will remain dormant.

Multiply this conundrum by the 50 states and countless international destinations where corporate meetings and events are held, and the picture becomes clear across the industry.

Once a safe and reliable vaccine becomes available and widely distributed internationally, some of these meetings will start to appear on the calendar again. It will start with opt-in associations, multi-level marketing, labor unions, fraternal organizations, and eventually corporate sponsorship.

While the corporate meeting landscape may never be exactly the same as it was before, this crisis will undoubtedly ignite creative solutions and innovations in the live meeting process that will force a stagnant industry to renew.

When live meetings come back, it will be with renewed passion. People will crave travel, human interaction, in-person collaboration, live entertainment, and creative delivery of information in an energized environment.

As an industry, those who survived the storm will back stronger than ever, and there will be a renaissance in our industry when the clouds clear. It will be an exciting time to be in this business and there will be opportunities for those who have strong work ethics and are multi-talented to keep up with the demands.

While we wait for that, here are some things that are more important than ever:

Be kind:Show support, celebrate good news, share opportunities, and stay in touch with colleagues, customers, and staff to remind them that they are thinking of you.

Be respectful:We know that many people are out of work right now, but now is not the time to prey on potential customers or employers without solid leads or referrals from mutual contacts.

Follow the rules:Take appointments, wear masks, practice social distance, submit your resume and application documents online, and submit your resume and application documents only when your position is posted. Now, it's not the time to stop by the past or a potential client, and there is no risk of violating someone's safe exchange protocol.

Actively share information:Anything that can help resources for assistance, opportunities for employment, help friends and colleagues, and brighten their day. Passive social media is wonderful, but don't rely on the fact that everyone who wants to see that information will see it. If you think it will help you, let them know by email, text, or phone.

I'm busy:Find a productive method that makes use of your talent until it's time to return to your original position. Participate in a local charity as a volunteer, clean up your home project list, or just look for a sense of accomplishment every day. Simple things, such as trying a new recipe, cleaning the cabinet, writing a letter to an old friend or a person who inspired you.

Mental care: Erase the news, put on History Channel, PBS, NPR, participate in the virtual museum tour, play in a game show, play with solitia (do not slur), read a book, write a memoir. ..... We all have the story to talk.

Get physical care: Everyone who knows me knows, but if you say to work out every day, you will be a hypocrite. Even if you did not exercise before, think about how long you will walk on a regular work day and keep that level. When you return to work, you need stamina to shine.

Mental care:This can be very fast and very overwhelming. When you need it, ask for support and offer support to those who think it is necessary.

Let's be optimistic without being stupid:Apply in a position that is suitable for you so that you can contribute to the company's success. Insecting your resume to all positions blindly is the same as cold calls. In order to appeal to new employers and clients, a thoughtful approach is much higher in the next step.

The same is true for business bidding. When we resume work again, many of the few clients who have not experienced much inexperienced will collect bidding from all the fields in that field to take advantage of the enthusiasm of us who want to return to work. Don't sell yourself and sacrifice quality to achieve your budget.

Let's smell the scent of roses because we stopped:We are all programmed to run at 100 miles per day. But now, when you stop, you need time to thank everything you have and the beauty of this world. How blessed the freedom we enjoy as a matter of course and the luxury that we can easily get used to.

Until that the Renaissance begins, remember that your value as an individual is not directly correlated to your position as an employee, a vendor, or a service provider. You are amazing, you are creative, you are strong, you are clever, and you are resilient.

Thank you if you are still reading at this point! Thank you for your time and consideration. The conclusion is that we are all together. And if there was one idea of ​​learning, acknowledging, stimulating opinions, or thinking about ideas in the above bad sentences, I have achieved today's goals. I will. Be careful, meet safely, positively, and on the other side.

SN Analysts Roundtable, Part 2: Grocery Competition Increases in a ‘Middling’ Recovery

From New York-The economic recovery is a good situation for the conventional supermarket industry, but the intensifying competition with low-priced substitutes is still a serious issue, and the industry analyst is sponsored by the industry. He spoke at a financial analyst round table.

Participants are also holding a unique position in the hearts of consumers, despite their prices, and may be in the small format of Walmart Stores. He said he could not do it.

Andrew Wolf, a manager of BB & amp; T-Capital Markets (Boston), said the economic recovery was "moderate" and "if people's income stabilized, they are more expensive but more convenient than alternatives. The trend will continue, "he said.

"But if the economy continues to slump, the Supermarket Rally may be shor t-lived.

North Coast Research, Managing Director, Chuck Celancosky

Chuck Serancosky, Managing Director of North Coast Research (Cleveland), also gave a similar view. "Many competitors are open, whether in the dollar shop or Wa l-Mart.

Regarding Hall Foods, Meredis Adler, the manager of Barclays Capital (New York), said that the company had to change his approach to appeal to a wider range.

"Just because Detroit has one neighborhoo d-oriented store, does not mean that you can use a natural food chain (whole s-fruits) discount, that is, a very wide range of customers," Adler Adler. Is explained. "I don't think Whole Foods has always proven what you can do."

According to Gary Giblen, Managing Director of GMG Capital (Darien, Connecticat), if there are more competitors who challenge Hall Foods in the natural and organic field, Hall Foods may aim to acquire more successful companies. You can do it. "Historically, Hall Foods has acquired serious competitors, and there is no reason to think it will not happen in the future."

Wolf Research (New York) Managing Director Scott Mashkin says Wa l-Mart's 12, 00 0-squar e-foot Express store has fresh foods, pric e-affordable package foods, and general products. He said that it is a fulfilling, and a pharmacy and a gas station, "the best new business I have seen so far."

However, he pointed out that Wa l-Mart is struggling to find the most efficient distribution method to supply small boxes because he is focusing on supplying a large footprint store.

Part 1 of the roundtable was published on September 16th. The full text of the roundtable is as follows:

THE ECONOMIC OUTLOOK

SN: Please talk about the economic outlook related to the supermarket industry.

Gary Giblen (Giblen): Supermarkets are still performing well under the current economic situation, and the economy will continue to be almost flat.

It is worth noting that the gross interest rate is so stable. There are many reasons why consumer pressure, moderate food inflation that must be passed, hig h-energy inflation that must be passed, and private brands are almost saturated. But excellent management, execution, and reasonable competitive environments will continue. And if various pressure on gross margin is alleviated, the gross margin may be even stronger.

Scott Mushkin: I think it's interesting that margins are holding up, but we're not seeing inflation and depending on which company we're talking about, sales remain tough. At the same time, unemployment is still high, though it's improved, and price surveys are still negative in some areas. We call this economy "Dr. Jekyll and Mr. Hyde." That said, the economy, although weak, appears to be in the middle of a cycle.

Supermarkets tend to respond positively to better employment conditions, but the weak employment conditions have us a little confused and it's hard to understand exactly what's going on. There is competition, but the backdrop is generally positive.

Andrew Wolf, Managing Director, BB

To quote what Scott and Gary said, I think stocks have outperformed this year because fundamentals have improved. Even Supervalu, with comps a t-3, is better tha n-5, and Safeway is showing flat to slightly positive volume for the first time in about eight years.

I wholeheartedly agree that it's a half-assed recovery. I think the next period for supermarket stocks will be linked to the job market. Once people's incomes stabilize, they will gravitate back to supermarkets. But if the economy continues to grow at 2% GDP and little employment, the supermarket rally may be short-lived.

Chuck Cerankosky I think it's all about jobs, especially the quality of jobs. While many people are spending their time trying to save money, chains continue to say that their good stores in upscale neighborhoods are doing much better than their lower-priced stores. Until that changes significantly, chains will have to worry less about the richness of their product mix and focus more on pricing.

Gary pointed out that the margin is holding up, but I think it is better to express that the margin is down. Many competitors are opening a store, whether in the dollar store or Wa l-Mart.

I think the Meredis Adler stable margin proves that deflation was actually a very driving force in competition. In other words, the supermarket companies were not conscious of the fact that the volume was really improved when everyone's comp was consistently negative. In the past year, the gentle inflation continued, so the environment was easy to be normal.

However, I think the interesting thing is the change of SNAP (supplemented nutritional aid program). A part of the SNAP derived from the economic stimulus measures will be abolished this fall, and the government will have to manage the entire program. The problem is that the Republican and the Democratic Party are continuing the controversy. According to the latest data on SNAP, the number of households received earlier this year has increased by 3. 4 % and is still flat. The 3. 4 % number is lower than the previous rise rate, much lower than the recession, but is still rising.

But in reality, 20 % of US households are receiving SNAP benefits, and if the benefits are significantly reduced, there will be problems that will affect supermarkets. Wa l-Mart is the largest reimbursement of SNAP benefits, but the supermarket is the second largest, and SNAP accounts for about 5 % of the dolla r-store revenue. I'm worried that some of the supermarkets provide services to a wide range of customers, so some people are already in trouble. < SPAN> Gary pointed out that the margin is holding up, but I think it is better to describe the margin falling. Many competitors are opening a store, whether in the dollar store or Wa l-Mart.

I think the Meredis Adler stable margin proves that deflation was actually a very driving force in competition. In other words, the supermarket companies were not conscious of the fact that the volume was really improved when everyone's comp was consistently negative. In the past year, the gentle inflation continued, so the environment was easy to be normal.

However, I think the interesting thing is the change of SNAP (supplemented nutritional aid program). A part of the SNAP derived from the economic stimulus measures will be abolished this fall, and the government will have to manage the entire program. The problem is that the Republican and the Democratic Party are continuing the controversy. According to the latest data on SNAP, the number of households received earlier this year has increased by 3. 4 % and is still flat. The 3. 4 % number is lower than the previous rise rate, much lower than the recession, but is still rising.

But in reality, 20 % of US households are receiving SNAP benefits, and if the benefits are further reduced, there will be problems that will affect supermarkets. Wa l-Mart is the largest reimbursement of SNAP benefits, but the supermarket is the second largest, and SNAP accounts for about 5 % of the dolla r-store revenue. I'm worried that some of the supermarkets provide services to a wide range of customers, so some people are already in trouble. Gary pointed out that the margin is holding up, but I think it is better to express that the margin is down. Many competitors are opening a store, whether in the dollar store or Wa l-Mart.

I think the Meredis Adler stable margin proves that deflation was actually a very driving force in competition. In other words, the supermarket companies were not conscious of the fact that the volume was really improved when everyone's comp was consistently negative. In the past year, the gentle inflation continued, so the environment was easy to be normal.

However, I think the interesting thing is the change of SNAP (supplemented nutritional aid program). A part of the SNAP derived from the economic stimulus measures will be abolished this fall, and the government will have to manage the entire program. The problem is that the Republican and the Democratic Party are continuing the controversy. According to the latest data on SNAP, the number of households received earlier this year has increased by 3. 4 % and is still flat. The 3. 4 % number is lower than the previous rise rate, much lower than the recession, but is still rising.

But in reality, 20 % of US households are receiving SNAP benefits, and if the benefits are significantly reduced, there will be problems that will affect supermarkets. Wa l-Mart is the largest reimbursement of SNAP benefits, but as a whole, supermarkets are the second largest, and SNAP accounts for about 5 % of the dollar store revenue. I'm worried that some of the supermarkets provide services to a wide range of customers, so some people are already in trouble.

As long as the Giblen Fed continues to relax and derives funds to stocks, the effects of wealth will continue and have good results. And if you are investing and it is rising, it would be very comfortable to shop at luxury stores such as Hall Foods, Harris Tita, and Fairway.

There is a long time lag before the effects of Adler wealth can be visible, but it is certain that the stock market will be strong for a while.

Mashkin: Meredith's point is interesting: Meredith's point is interesting. Because it is difficult to turn everything bullish because the stock price is strong. For example. So, looking at the stock market, some say that the economy must be very good, but we believe that it is not a strong mi d-cycle, but a weak mid cycle.

Wolf: But if everyone is getting better, the stock price is evaluated in that way.

Adler Supermarket was bought because the stock price was relatively low and it was long for a long time. Personally, I don't think the performance of the stock price can bring a conclusion about this industry. This may be the case with Krogers, but the company called Kroger has been doing well for a long time. But Safeway and Supervalu have not only operated businesses, but also created value in no n-traditional ways that are different from the past.

Look at Mashkin southwest. Although it is booming, it is one of the reasons in the real estate market. For example, the real estate market in San Francisco has risen about 25 % yea r-o n-year, and real estate has soared in the other two other markets in the southwest, Phoenix and Las Vegas. We have just been an IPO of a company with many exposures in these real estate soaring areas, the Sprout Farmers Market, but we believe that the comps are accelerating and this is not a coincidence. Looking at the saf e-way footprint, the company also has a large exposure in the soaring real estate market. < SPAN> As long as the Giblen Fed continues to ease monetary easing and induces funds to stocks, the wealth's effect will continue and will have a good result. And if you are investing and it is rising, it would be very comfortable to shop at luxury stores such as Hall Foods, Harris Tita, and Fairway.

There is a long time lag before the effects of Adler wealth can be visible, but it is certain that the stock market will be strong for a while.

WHOLE FOODS

Mashkin: Meredith's point is interesting: Meredith's point is interesting. Because it is difficult to turn everything bullish because the stock price is strong. For example. So, looking at the stock market, some say that the economy must be very good, but we believe that it is not a strong mi d-cycle, but a weak mid cycle.

Wolf: But if everyone is getting better, the stock price is evaluated in that way.

Adler Supermarket was bought because the stock price was relatively low and it was long for a long time. Personally, I don't think the performance of the stock price can bring a conclusion about this industry. This may be the case with Krogers, but the company called Kroger has been doing well for a long time. But Safeway and Supervalu have not only operated businesses, but also created value in no n-traditional ways that are different from the past.

Look at Mashkin southwest. Although it is booming, it is one of the reasons in the real estate market. For example, the real estate market in San Francisco has risen about 25 % yea r-o n-year, and real estate has soared in the other two other markets in the southwest, Phoenix and Las Vegas. We have just been an IPO of a company with many exposures in these real estate soaring areas, the Sprout Farmers Market, but we believe that the comps are accelerating and this is not a coincidence. Looking at the saf e-way footprint, the company also has a large exposure in the soaring real estate market. As long as the Giblen Fed continues to relax and derives funds to stocks, the effects of wealth will continue and have good results. And if you are investing and it is rising, it would be very comfortable to shop at luxury stores such as Hall Foods, Harris Tita, and Fairway.

There is a long time lag before the effects of Adler wealth can be visible, but it is certain that the stock market will be strong for a while.

Mashkin: Meredith's point is interesting: Meredith's point is interesting. Because it is difficult to turn everything bullish because the stock price is strong. For example. So, looking at the stock market, some say that the economy must be very good, but we believe that it is not a strong mi d-cycle, but a weak mid cycle.

Wolf: But if everyone is getting better, the stock price is evaluated in that way.

Adler Supermarket was bought because the stock price was relatively low and it was long for a long time. Personally, I don't think the performance of the stock price can bring a conclusion about this industry. This may be the case with Krogers, but the company called Kroger has been doing well for a long time. But Safeway and Supervalu have not only operated businesses, but also created value in no n-traditional ways that are different from the past.

Look at Mashkin southwest. Although it is booming, it is one of the reasons in the real estate market. For example, the real estate market in San Francisco has risen about 25 % yea r-o n-year, and real estate has soared in the other two other markets in the southwest, Phoenix and Las Vegas. We have just been an IPO of a company with many exposures in these real estate soaring areas, the Sprout Farmers Market, but we believe that the comps are accelerating and this is not a coincidence. Looking at the saf e-way footprint, the company also has a large exposure in the soaring real estate market.

Wolf: I want to point out the mix. The only way to stabilize gross margins is to find a better mix if you have price competition in a given market. The pricing survey that I do twice a month in Richmond, the peak in pricing was about a year ago, and since then, Walmart and Kroger have gotten a little bit more competitive. Food Lion in particular has improved their pricing. They're still not as good as Kroger, but the gap is closing a lot. So it's becoming more competitive in certain markets, and Walmart has become a little bit more competitive.

Adler: That's too simple. You source better, you improve shrink, you lower your transportation and distribution costs. That's also the mix.

Wolf: I'm talking about the whole industry, the macro environment, and it's not that simple. At the macro level, I think the biggest drivers are pricing and mix. What I'm saying is that mix is ​​not competitive. So when the economy is doing better, the mix is ​​usually better. But we're seeing egregious pricing (what I call competitive but reasonable pricing) and other players, especially European players, are saying, "Hey, we have to do a little bit of what Kroger did, or actually a little bit more than what Kroger did." Safeway is saying, too, we have to try a little harder. That's why I think it's time for Safeway to think about what they're going to do about pricing.

Serankosky: I don't deny that the mix is ​​not getting better. Maybe the word bifurcation is overused, but I think that having food deflation like we had about three years ago and volumes continuing to fall is indicative of how people were behaving.

Mushkin: Companies are in trouble because their margins are not sustainable in an environment where prices are falling and volumes are flat. Because margins are not sustainable.

Wolf: I think that's true for groceries. We don't measure it with Nielsen.

Adler: The reason Safeway's volume doesn't mean much is because it only reflects dry groceries.

SN: How big a competitor is Whole Foods to traditional supermarkets?

In order for Adler Chrones to succeed, wholeshabs must continue to do what they are doing, wheelfoods must accelerate the expansion of the area and advance to new and different types of markets. You need to change the whole food.

Wolf: Yes, Hall Foods is practicing it-Opening many stores and accelerating the expansion of the area. The irony of Whole Foods was that until two years ago, it was an acquisition growth story, but since then it has grown organic after acquiring all competitors.

Adler Adler: You know, but just because you have one nearby store in Detroit means that you can have a discount natural food chain, that is, to provide services to a very wide range of customers. there is no. I don't think Whole Foods has always proven what you can do.

I think Mashkin Hall Foods has to walk a very subtle line. Whole foods are unique in what they bring to consumers. Whole foods are special, from outstanding cooking foods to quality and animal welfare standards. However, part of its uniqueness naturally leads to a high price. It's not necessarily bad, but there may be a limit to the size of Whole Foods. I thought the whole foods, which recently opened in Demoin, are very similar to the natural food discount store. I don't want to be a Farmers Market style store. Because it's not the reason for customers shopping there, nor the customer has loyalty.

Barclays Capital, Managing Director, Meredis Adler

At small Hall Foods stores I visited in Manhattan, quality and service are not as good as other cities, and it is not a positive experience considering the price setting. So I don't know if Hall Foods maintains the standards.

What kind of message does Whole Foods give Detroit people? If so, how do you change it? Not just lowering the price. So how do you convey it?

Wolf: Yes, how to call it is no longer used as before. < SPAN> In order for Adler Chrones to succeed, wholeshafs must continue to expand the area and advance to new and different types of markets. 。 You need to change the whole food.

Wolf: Yes, Hall Foods is practicing it-Opening many stores and accelerating the expansion of the area. The irony of Whole Foods was that until two years ago, it was an acquisition growth story, but since then it has grown organic after acquiring all competitors.

Adler Adler: You know, but just because you have one nearby store in Detroit means that you can have a discount natural food chain, that is, to provide services to a very wide range of customers. there is no. I don't think Whole Foods has always proven what you can do.

I think Mashkin Hall Foods has to walk a very subtle line. Whole foods are unique in what they bring to consumers. Whole foods are special, from outstanding cooking foods to quality and animal welfare standards. However, part of its uniqueness naturally leads to a high price. It's not necessarily bad, but there may be a limit to the size of Whole Foods. I thought the whole foods, which recently opened in Demoin, are very similar to the natural food discount store. I don't want to be a Farmers Market style store. Because it's not the reason for customers shopping there, nor the customer has loyalty.

Barclays Capital, Managing Director, Meredis Adler

At small Hall Foods stores I visited in Manhattan, quality and service are not as good as other cities, and it is not a positive experience considering the price setting. So I don't know if Hall Foods maintains the standards.

What kind of message does Whole Foods give Detroit people? If so, how do you change it? Not just lowering the price. So how do you convey it?

'BUY THEM OUT'

Wolf: Yes, how to call it is no longer used as before. In order for Adler Chrones to succeed, wholeshabs must continue to do what they are doing, wheelfoods must accelerate the expansion of the area and advance to new and different types of markets. You need to change the whole food.

Wolf: Yes, Hall Foods is practicing it-Opening many stores and accelerating the expansion of the area. The irony of Whole Foods was that until two years ago, it was an acquisition growth story, but since then it has grown organic after acquiring all competitors.

Adler Adler: You know, but just because you have one nearby store in Detroit means that you can have a discount natural food chain, that is, to provide services to a very wide range of customers. there is no. I don't think Whole Foods has always proven what you can do.

I think Mashkin Hall Foods has to walk a very subtle line. Whole foods are unique in what they bring to consumers. Whole foods are special, from outstanding cooking foods to quality and animal welfare standards. However, part of its uniqueness naturally leads to a high price. It's not necessarily bad, but there may be a limit to the size of Whole Foods. I thought the whole foods, which recently opened in Demoin, are very similar to the natural food discount store. I don't want to be a Farmers Market style store. Because it's not the reason for customers shopping there, nor the customer has loyalty.

Barclays Capital, Managing Director, Meredis Adler

At small Hall Foods stores I visited in Manhattan, quality and service are not as good as other cities, and it is not a positive experience considering the price setting. So I don't know if Hall Foods is maintaining the standards.

What kind of message does Whole Foods give Detroit people? If so, how do you change it? Not just lowering the price. So how do you convey it?

Wolf: Yes, how to call it is no longer used as before.

No one will not use Adler. I often hear from upper middle class people who think the store is expensive.

Mushkin: We go to Hall Foods and Fresh Market with two families, two adults and five children. For example, dry aging meat is a quality that is hard to obtain at other stores.

Even Adler also has a premium.

Participate in SN's Link y-in Group to expand your industry professional and network.

Mashkin: Yes: But we pay for the animal welfare standards of the Whole Foods and pay for the fish we want by Whole Foods. All of them cost money. I don't think you can do anything with Whole Foods, and changing the approach will reduce the appeal of the hole food.

Wolf: I've talked to a conventional manager with a seafood department, such as the Whole Foods, but they said they bought tuna from the same waves and reduced $ 3 per pound. That's why the price is expensive with whole foods. However, I don't think Hall Foods invests in the price of the fresh product sales floor as much as the grocery store.

Adler, but the price is not all. The relationship between the price range and the quality of the product provided. Will it remain in the whole food even if the price range goes down? Whole food is changing. You need to change to grow, and the Kroger can repeat the same thing.

SN: How is the status of other natural foods and organic related companies?

Adler these companies have two attractions. One is that basic demand is growing and becoming mainstream, and the other is that most of these companies are still relatively small in terms of the number of stores, and there is room to grow from a relatively small foundation. That is.

For example, Celancosky, for example, the number of stores in Hall Foods is 350, but 3, 500.

Adler: And the degree is very different. < SPAN> No one will not use Adler. I often hear from upper middle class people who think the store is expensive.

WAL-MART

Mushkin: We go to Hall Foods and Fresh Market with two families, two adults and five children. For example, dry aging meat is a quality that is hard to obtain at other stores.

Even Adler also has a premium.

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Mashkin: Yes: But we pay for the animal welfare standards of the Whole Foods and pay for the fish we want by Whole Foods. All of them cost money. I don't think you can do anything with Whole Foods, and changing the approach will reduce the appeal of the hole food.

Wolf: I've talked to a conventional manager with a seafood department, such as the Whole Foods, but they said they bought tuna from the same waves and reduced $ 3 per pound. That's why the price is expensive with whole foods. However, I don't think Hall Foods invests in the price of the fresh product sales floor as much as the grocery store.

Adler, but the price is not all. The relationship between the price range and the quality of the product provided. Will it remain in the whole food even if the price range goes down? Whole food is changing. You need to change to grow, and the Kroger can repeat the same thing.

SN: How is the status of other natural foods and organic related companies?

Adler these companies have two attractions. One is that basic demand is growing and becoming mainstream, and the other is that most of these companies are still relatively small in terms of the number of stores, and there is room to grow from a relatively small foundation. That is.

For example, Celancosky, for example, the number of stores in Hall Foods is 350, but 3, 500.

Adler: And the degree is very different. No one will not use Adler. I often hear from upper middle class people who think the store is expensive.

Mushkin: We go to Hall Foods and Fresh Market with two families, two adults and five children. For example, dry aging meat is a quality that is hard to obtain at other stores.

Even Adler also has a premium.

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Mashkin: Yes: But we pay for the animal welfare standards of the Whole Foods and pay for the fish we want by Whole Foods. All of them cost money. I don't think you can do anything with Whole Foods, and changing the approach will reduce the appeal of the hole food.

Wolf: I've talked to a conventional manager with a seafood department, such as the Whole Foods, but they said they bought tuna from the same waves and reduced $ 3 per pound. That's why the price is expensive with whole foods. However, I don't think Hall Foods invests in the price of the fresh product sales floor as much as the grocery store.

Adler, but the price is not all. The relationship between the price range and the quality of the product provided. Will it remain in the whole food even if the price range goes down? Whole food is changing. You need to change to grow, and the Kroger can repeat the same thing.

SN: How is the status of other natural foods and organic related companies?

Adler these companies have two attractions. One is that basic demand is growing and becoming mainstream, and the other is that most of these companies are still relatively small in terms of the number of stores, and there is room to grow from a relatively small foundation. That is.

For example, Celancosky, for example, the number of stores in Hall Foods is 350, but 3, 500.

DOLLAR STORES

Adler: And the degree is very different.

Mushkin I agree that both are very different. Whole Foods is an overwhelmingly differentiated and unique business format, but I think the market share is limited.

A company like Adler Fairway only knows one market (New York).

The strategy of each Mushkin company is very different. Whole food is very different from the Fairway Foods and the fresh market. Hall Foods is a synonym for natural foods, organic foods, and an amazing quality, and Fairway handles hig h-quality products and good traditional food products, and special products with amazing products. 。 The problem is whether all of these companies can coexist as the industry grows.

Adler geographically, it doesn't always overlap.

Celancosky is a member who launched natural and organic food movements from the late 1970s to the early 1980s from John McKee and Walter Rob (c o-run), and since then. It grew greatly. However, Fresh Markets tend to do not feel threatened. The ability to attract customers per store is not great, and we are not trying to attract customers from 10 miles away, so we choose real estate very carefully.

Mashkin: Fresh market is basically a specialized chain that appeals to baby boomers. Unfortunately, if you look at the population statistics, the baby boom generation is much less by 2020. This group is still very large, but it is gradually shrinking. The fresh market is not an exciting layer that Farmers Market and Hall Foods aims.

Another problem that affects baby boomers is that their revenue has peaked. The baby boomers have long been the highest target, but will be more strict in the next 10 years. The baby boomers want what they have had, but now they don't make much money, so it will be more and more difficult to spend money on what they want. < SPAN> Mushkin I agree that both are very different. Whole Foods is an overwhelmingly differentiated and unique business format, but I think the market share is limited.

A company like Adler Fairway only knows one market (New York).

The strategy of each Mushkin company is very different. Whole food is very different from the Fairway Foods and the fresh market. Hall Foods is a synonym for natural foods, organic foods, and an amazing quality, and Fairway handles hig h-quality products and good traditional food products, and special products with amazing products. 。 The problem is whether all of these companies can coexist as the industry grows.

Adler geographically, it doesn't always overlap.

Celancosky is a member who launched natural and organic food movements from the late 1970s to the early 1980s from John McKee and Walter Rob (c o-run), and since then. It grew greatly. However, Fresh Markets tend to do not feel threatened. The ability to attract customers per store is not great, and we are not trying to attract customers from 10 miles away, so we choose real estate very carefully.

Mashkin: Fresh market is basically a specialized chain that appeals to baby boomers. Unfortunately, if you look at the population statistics, the baby boom generation is much less by 2020. This group is still very large, but it is gradually shrinking. The fresh market is not an exciting layer that Farmers Market and Hall Foods aims.

Another problem that affects baby boomers is that their revenue has peaked. The baby boomers have long been the highest target, but will be more strict in the next 10 years. The baby boomers want what they have had, but now they don't make much money, so it will be more and more difficult to spend money on what they want. Mushkin I agree that both are very different. Whole Foods is an overwhelmingly differentiated and unique business format, but I think the market share is limited.

A company like Adler Fairway only knows one market (New York).

The strategy of each Mushkin company is very different. Whole food is very different from the Fairway Foods and the fresh market. Hall Foods is a synonym for natural foods, organic foods, and an amazing quality, and Fairway handles hig h-quality products and good traditional food products, and special products with amazing products. 。 The problem is whether all of these companies can coexist as the industry grows.

Adler geographically, it doesn't always overlap.