The pandemic had a profound impact on our food spending, and we have seen a dramatic increase in dining at home. An influx of new shoppers in the grocery stores are making their food, especially lunches, at home, and they seek flavorful deli meat choices that are convenient, healthy and, above all, safe. While many continue to shop with a careful eye on the handling of their food behind the deli counter, many more look for unique packaging that offers visually appealing and tasty choices that are either individually portioned or in recloseable packaging and presumably packaged under USDA supervision. Consumers are also keen to change up the menu with new flavors and formats, where available.
This has created an important paradigm shift in many aspects of the deli industry. During the pandemic, a large number of major meat processors shut down their lines because of rapid spread of the virus within their operations. The result was shortages in supply of both raw material and further processed meats. Many others had to slow their lines to accommodate greater distancing between employees until other mitigation efforts could be applied or implemented. As a result, many processors have learned lessons that will carry them into the future. First and foremost, the ability to be flexible in the face of changing demands — namely shrinking foodservice and the surge in retail demand. Over the next few years we may see more dramatic demand shifts, potentially back to foodservice, and then a new balance between foodservice and retail. Is the deli plant of the future ready for these shifts?