Retail: The food moment - by Carol Todreas

• Millennials want to eat a more healthy diet than their parents and are interested in fresh food, local, often organic, and at least, “natural.”

• Millennials value convenience and a car-free experience; they want to walk, bike or take public transportation.

• Many millennials are single and prefer to eat out, take prepared food home, or to have a food service deliver directly to their home rather than cook at home.

• Millennials are price-conscious.

Mall Owners and Grocers are Responding. Mall owners are transforming empty spaces left by department stores into food halls. A food hall is an open market with vendors who sell a variety of prepared and fresh foods. Typically, there are bakers, butchers, fish mongers, green grocers, coffee, tea and juice vendors and artisanal food specialties. Food halls also serve as an incubator for nascent entrepreneurs and chefs. Moreover, the food hall is becoming a destination, a community gathering place where friends meet, eat or drink casually in a warm and dynamic environment.

Grocers are creating smaller stores for urban spaces and they are finding ways to provide healthful prepared foods and to incorporate more organic and natural fresh foods into their mix. For example, the b-fresh grocer, a Stop and Shop off-shoot, uses 10,000 s/f, emphasizes fresh and local foods, and has a kitchen with prepared foods changing often and seasonally.

Whole Foods is piloting a smaller and more value-oriented store, 365 by Whole Foods. It features the 365 Whole Foods brand , partners with local providers, and offers other dining options, such as a café, winery, juice bars, a dine-in and communal table space with local pop-ups to keep it all exciting.

Competing in the brick and mortar space for millennials is Amazon Go, Amazon’s latest concept which relies heavily on technology and boasts convenience to attract consumers. With three stores planned for downtown Seattle, Amazon Go uses an app. Customers tap in with their smart phones . The rest is simple. Users make their selections and walk out with goods electronically charged to their accounts. No check out lines, no currency, no credit cards. A fast and easy shopping experience.

Although mall owners and grocers are still experimenting, there is no doubt that food is a gateway to millennials and their community. Whatever your property or project, check it all out. There maybe something there for you.

Carol Todreas is a principal at Todreas Hanley Associates, Cambridge, Mass.