Retail Report: Instant Ordering Buttons, Food Waste, Back-to-School

Competition for Amazon Dash
Manufacturers know how to appeal to time-crunched consumers by promising that their appliance works at “the touch of a button.”
Now it’s possible to shop for everyday household products with a touch of a button thanks to Amazon Dash. Dash is a small button that consumers can affix to walls, cabinets, pantries or appliances. Each button is tied to a branded product, such as cat litter or laundry detergent. When someone in the household sees that the supply is getting low, he or she can push the button for Amazon to automatically start the ordering process.
While it is taking consumers some time to warm up to ordering-by-button (media reports from earlier in 2016 indicated that many people were buying the buttons but not using them), Amazon continues to enthusiastically promote the program and expand the number of products that can be purchased via Dash.
Perhaps even more encouraging is that the product actually now has competition, suggesting that some investors perceive the viability of the shopping method. According to TechCrunch, a Tel Aviv startup called Kwik is entering the button-ordering market.
For starters, the company recently received $3 million in seed funding.
“Consumers like the convenience and simplicity of smart buttons,” Norwest Venture Partners partner Sergio Monsalve said, according to TechCrunch. “This market is too big for only one player.”
Monsalve also believes that Kwik’s approach, which lets brands choose their delivery and payment partners, will encourage more companies to sign up for Kwik.
According to the article, Monsalve said, “Their open ecosystem will enable the growth of many businesses, all along the supply chain.”
If these buttons take off, omnichannel shopping will become even more varied as consumers find themselves able to shop when they aren’t anywhere near a computer or mobile device. One consideration is whether they can be developed to enhance the offline shopping experience. Will retailers and suppliers work with providers, such as Kwik or Amazon, to add additional features to the buttons that might provide additional customer engagement?

Combatting Food Waste
A Complex Problem
Food waste has been in the news a lot lately. Why? It turns out that food waste has a negative impact on communities, the environment and businesses. Increased awareness of this problem is forcing governments, suppliers, retailers and consumers to make changes to avoid the problem of otherwise edible food being consigned to the dumpster.
How much food is being wasted? According to Feeding America, 70 billion pounds of food is wasted in the United States. A 2014 report titled “Food Waste in Canada” noted that the value of wasted food in Canada was equivalent to 2 percent of the country’s gross domestic product.
It’s a complex problem, which is why it is being addressed by a variety of approaches. Here’s a look at some of them:
Donating food to charity: Many retailers donate surplus food to local charities, such as food banks, shelters and soup kitchens. In the United States, such donations are voluntary. However, France recently enacted a law requiring large grocery stores to donate food rather than throw it away.
Selling it at a discount: In 2015, Doug Rauch, former president of Trader Joe’s, opened the Daily Table in Massachusetts. The store sells donated food that is near its expiration date at low prices. The Daily Table also sells a variety of prepared foods and meals at a cost that is far lower than comparable offerings at other supermarkets.
Change labeling policies: Wal-Mart Stores Inc. made headlines this year when it announced that suppliers for its Great Value private label line of produce would be required to use standardized labeling language. Many consumers are confused by the so-called “expiration dates” on food packaging and may end up throwing away a product because they mistakenly think it is spoiled. Walmart’s policy is to require a “best by” date for its nonperishable products so that consumers are less likely to waste food.
Addressing regulations: In a recent blog post, Laura Phillips, senior vice president of sustainability at Walmart, noted that food safety regulations prohibited consolidating unbroken eggs from different cartons. Walmart worked to change these regulations, thus reducing waste.
Awareness of these options, combined with the willingness to develop new technologies and standards, will go a long way in minimizing waste, getting food to people who need it and lessening the environmental impact of food production.

Parents Go Online for
Back-to-School Shopping
Back-to-school shopping has changed. Not so long ago, it was an all-day event in which parents and kids went out to a local store to pore over supply lists and buy pens, pencils, notebooks and school clothes. But times are different and so is the shopping process, as well as the items on those school lists.
Only a few decades ago, back-to-school technology might be a calculator or, for college kids, maybe an electric typewriter. Now, it’s a laptop or even more likely a tablet. Homework and notes are no longer being stored in Trapper Keepers but in the cloud.
Here’s a breakdown from Chain Store Age:
“This year, parents plan to spend the bulk of their increased back-to-school budget on tech-related items. While school supplies and apparel remain top priorities, the biggest budget item for both K-12 ($343) and college freshmen parents was technology ($470). For K-12 parents, apparel ($233) was the second-largest spend, while dorm supplies ($324) were second-biggest expenditure for parents of college freshmen.”