A little more than two years after Albertsons acquired the meal kit subscription service Plated the brand has been converted from standalone business to “comprehensive culinary” private brand.
As a result, Plated’s subscription service will be phased out at the end of November, giving way to a sharper focus on how the brand can help deliver a differentiated in-store experience. The company plans to expand the Plated brand with new product offerings in additional stores in 2020.
“Our vision for Plated includes an expanded set of products that goes far beyond a dinner-based solution and into a comprehensive in-house culinary brand,” said Geoff White, EVP & Chief Merchandising Officer. “With a broader scope of offerings, we see Plated solving customer demands around convenience, lifestyle, and cooking experience, while adding yet another layer of interest to our in-store journey.”
The marketing and product development team behind the company’s private brands will manage the expansion of Plated into a holistic home meal solution. That same team has grown billion-dollar brands like O Organics, Lucerne, Signature Select, and Signature Café.
Private brand remains an important source of growth and innovation at Albertsons Cos. Private brand penetration grew from 23.0% in FY2017 to 25.3% in Albertsons Cos. most recent reported quarter.
The decision to formally bring Plated into the retailer’s portfolio comes after extensive testing of the meal kits’ in-store performance in its Safeway stores in Northern California. The grocer found that shoppers who purchase Plated products are more likely to have families and have a larger basket than the average shopper.
“Plated’s brand appeals to our most loyal and highest value customers, especially those that skew towards convenient, fresh, and organic products,” White added.
As the Plated product range grows in the store, its products will be available for purchase online through stores’ existing eCommerce platforms, which offer delivery in as little as two hours or pickup through its Drive Up & Go service.