Business Idea #43023

[Japher]

Let me know what you think:

Bulk Cereal at Grocery Stores

I've seen at places like Whole Foods or Wild Oats, but never at Kroger, Safeway, Albertsons, etc... The problem with Whole Foods how ever is that it's all healthy crap, and besides it's not any cheaper than it would be if I bought it by the box at a regular, cheaper store.

I've heard of the cereal bars in AZ doing good and thought this could be along the same thing but marketed to a slightly different consumer in a different setting. Namely, the marketing would target moms at the grocery store instead of college kids at school, or working people on the go.

Advantages of Bulk Cereal; no more left over stale cereal, of which I have plenty. I don't regularly eat cereal, so I don't always want it. However, when company come we generally get the "fun size" ones so that the kids can pick and chose. And, just now I gave my daughter a snack that consisted of 1 part cheerios, 1 part rice checks, 1 part Pops, and 1 part raisins... it's what she wants! Also, when I have plenty of recpies that call 1 cup of corn flakes, or chex, and I have to buy a huge box! Anyway, I think the idea would be well received.

I think the hardest part would be to get the shelf space for dispensable bulk storage at the stores, I know the grocery stores as well as competitors are very protective of shelf space, and where product is placed, etc...

I would definitly get a private label, generic, manufacturer for I'm going for convenience not quality. I would also make sure to price all cereal the same per pound so that mix-and-match is easy to calculate. You can have fun bags, storage containers, selection and mixology tables for customers to use/buy...

Anyway, I know it's really stealing from them AZ guys (Cereality, I think), but the marketing and distribution is entirely different. I just came up with this about half an hour ago, and instead of going out to my car to get my notebook I normally write this crap in I thought I get your opinions.

[Fake Boris]

Not a bad idea.

The unfortunate truth is that bulk products make so much sense in plenty of aspects, but we live in a tyranny of brands and retailers.

[SlowwHand]

You could have like those styrofoam peanuts that are in dispensers hanging from the ceiling, that are used in Shipping.

[Zkribbler]

Originally posted by SlowwHand
You could have like those styrofoam peanuts that are in dispensers hanging from the ceiling, that are used in Shipping.

Once upon a time, my sister was in Alaska and saw those things being sold for 25 cents a piece to tourists as "Alaskan snow worms."

Business Idea #43024.

[Japher]

Now you're cooking Zkribb

[Japher]

The unfortunate truth is that bulk products make so much sense in plenty of aspects, but we live in a tyranny of brands and retailers.

That's why you target the kids and moms, and make the dispensing system a "brand" like the cereal connection or something and the temporary holding system (plastic bag) that you use to fill will have sponge bob or dora the explorer on it... that way you get the savings, something the kids want, the versitility of convenience, the branding of P&G, and the in store innovation.

I do agree that bulk, in general, is really just an open invitation to steal crap.

[Tiamat]

Come to Texas my boy! Or is it Go West Young Man!! Either way here in Austin and greater central texas we have HEB Grocery Stores. They have a whole ilse devoted to bulk cereal, sesame crackers, granola, dried fruit, oats, carob covered this and that, gummie worms and bears etc.... It's a good idea cause I always get a bunch of stuff every time I go. I just can't resist.

[Tiamat]

Originally posted by Japher


That's why you target the kids and moms, and make the dispensing system a "brand" like the cereal connection or something and the temporary holding system (plastic bag) that you use to fill will have sponge bob or dora the explorer on it... that way you get the savings, something the kids want, the versitility of convenience, the branding of P&G, and the in store innovation.

I do agree that bulk, in general, is really just an open invitation to steal crap.

They use the plastic bag here as well as a scale that you code in a number and print out the ticket yourself, that's half the fun.

[Japher]

my god! HEB Offers Pet Insurance! That store rocks!

We have Meijer here in Ohio, which is really nice and has a good bulk food section, but no cereal or granola.

[Japher]

Still, Tia, this is good to know since now I have a proven business model and case study that I can use to win over clients and investors!

[mrmitchell]

how bulky you talking about? all my local stores have the mega huge boxes of cereal. but not like youre talking. that sounds like a good idea but expiration date stuff would be a concern possibly?

[DaShi]

Originally posted by Japher
Now you're cooking Zkribb

Mmm. Sounds yummy.

[Tiamat]

The real shiii shii poo poo HEB here knocks it out of the park! Every kind of processed unprocessed flour, wheat, barley, oats, honey, all kinds of candies, cereal, nuts, sesame sticks, rice crackers, soy nuts, pine nuts every possible thing you could think to cook with grind up or bake with they've got it in bulk. And customers flock to it.

[Tiamat]

You'd have to make money on it cause you sell it by weight and the cost per pound on some of this stuff it's outrageous but people pay for it. They market it as a healthy way to eat these products ie: in their natural form.