With 4 New Stores, E-Commerce Fulfillment Center, TGC Completes Its Busiest Period In 98-Year History

44 Min Read

Thirty-eight days. In that relatively short period, The Giant Company (TGC) did something that many retailers might take two or three years to accomplish. The Carlisle, PA-based Ahold Delhaize USA brand opened four new stores and a fulfillment center (all in the Philadelphia area) that will serve as a hub for the retailer’s e-commerce business in the Delaware Valley including, for the first time ever, delivery to parts of South Jersey.

Never in the history of the company, which was founded by David Javitch in 1923 as a small meat market in Carlisle, has the retailer achieved such short-term explosive growth.

To dig a bit deeper, all five entities represent something more meaningful to the company than just conventional ribbon cuttings. Beginning in early 2019 with the opening of the first Heirloom Market on Bainbridge Street and continuing through December 16th of this year when TGC opened its largest Heirloom Market to date (32,000 square feet) on Market Street in the Fashion District, the non-union retailer has clearly changed the landscape of Center City Philadelphia.

At first, observers believed that TGC’s expansion in Philly would only be in the form of its upscale, neighborhood-oriented Heirloom Market format. In fact, two other Heirloom Markets would open in 2019 – on Chestnut Street (9,950 square feet) and on North Second Street (13,000 square feet) in the Northern Liberties area of the city. A fourth unit on South Street was also part of that original plan but has been delayed ( it is still on the books as active). Those stores seemed like a solid initial foothold for the regional chain which has grown exponentially for the past 30 years in the suburbs around Philadelphia, but almost purposely seemed to avoid the city itself.

However in August of 2019, Giant said it would accelerate its Center City expansion with the announcement that it would build a conventionally bannered Giant store in the Logan Square section of the city. The two-level 65,000 square foot supermarket, known as the Riverwalk project, opened in March 2021. It also served as a catalyst of sorts, setting the stage for another round of aggressive development in urban Philadelphia.

And what a whirlwind of activity it’s been.

On November 8, Giant opened an automated e-commerce fulfillment center (EFC) on Island Avenue in Southwest Philadelphia – the largest e-commerce distribution center in the history of Ahold Delhaize USA. The 124,000 square foot automated facility will stock 22,000 products and is capable of fulfilling 15,000 home delivery orders per week. The new depot is perhaps the most shining example to date of one of the key priorities of the international retailer – expanding and reinforcing its omnichannel initiatives.

Then came the stores openings: first on November 12 with a 67,000 square foot Giant store on Cottman Avenue, which technically is not in Center City, but is located in a densely populated and demographically attractive area of Philadelphia. Three weeks later, on December 3, it was back to a more urban landscape with the premiere of a 46,000 square foot Giant on Columbus Boulevard. The following Friday, the retailer debuted its 72,500 square foot replacement store in affluent Doylestown, PA (Bucks County) – on the site of a former Kmart – a huge upgrade from its original D-town supermarket which was also located on Swamp Road. The 2021 store opening carousel concluded with the opening of the Market Street Heirloom Market.

Next year, the Philadelphia-area boom will continue when new Giant stores open on: Broad Street & Washington Avenue (40,000 square feet); N. Broad & Spring Garden Street (50,000 square feet); and another net new 50,000 square foot supermarket in Richboro, PA (at the longstanding site of Murray Battleman’s former Shop ‘n Bag location). Also slated to open at a yet unspecified date is the aforementioned Heirloom Market on South Street.

What a year it has been for one of the fastest growing retailers in the Northeast. Let me amend that statement – what a month it’s been!

To dispel a quote that was often used by a former Giant president (and was somewhat true at the time): “We’re just simple country grocers.” Not.

And For All of Ahold Delhaize, Let Omnichannel Expansion Flourish

Omnichannel growth. That was the overriding theme of the Ahold Delhaize (AD) Investor Day meeting held virtually on November 15. The meeting had originally been scheduled as a live event to be held in New York City.

Headlined by AD chief executive Frans Muller, a group of speakers – including Ahold Delhaize USA executives Kevin Holt, CEO of the U.S.; JJ Fleeman, president and chief e-commerce officer of  Peapod Digital Labs; Chris Lewis, president of ADUSA supply chain; Meg Ham, president of Food Lion; Nicholas Bertram, president of The Giant Company; and Gordon Reid, president of Stop & Shop – told investors and the media that it has robust growth plans over the next four years.

“We have four big priorities we are doubling down on for the next four years: Serve our customers through deeper digital relationships, accelerate our omnichannel transformation and continue to be the best local operator, lead the transformation into a healthy and sustainable food system, and create the one-stop shop for smarter customer journeys. These priorities tie straight into our vision to create the leading local food shopping experience. Leading, at the very least, means being the number one grocery brand in all the markets we serve,” Muller said from his home base of Zaandam, The Netherlands.

During the nearly four-hour meeting, Muller noted that he expects the international retailer to add another $11 billion in sales by 2025. Moreover, the 61-year-old chief executive who has been at the helm of Ahold Delhaize since 2018 predicted that online sales will double by 2025 and that the retailer’s e-commerce business will be profitable by then, too.

Part of the reason Muller expects e-commerce revenue to increase significantly is AD’s targeting of urban markets where it already maintains a strong brick and mortar share that will be enhanced by major e-commerce investment. He cited Philadelphia and metro New York as examples of those potential opportunities.

“As we look throughout our portfolio, the new urban centers are critical points of influence for customers. They drive cultural influence for the surrounding area to drive commerce, and they are the focal points for busy customers’ lives. With our proven model from Europe, we have the unique opportunity to win in these urban markets. The plan we have just executed to win in Philadelphia is a first export of this to the U.S. Those learnings will now be taken to drive a clear win in New York’s strategy, creating an ecosystem encompassing Stop & Shop, FreshDirect and their partners to offer a unique proposition,” Muller stated.

In the Philadelphia area, TGC has added more stores and gained market share in recent years. However, in the past two years it has really ramped up its efforts in Center City by adding four hyperlocal Heirloom Markets and earlier this year debuting its first supermarket on 23rd & North Broad. Upcoming in the near future are another Heirloom Market (South Street) and three other conventional Giant supermarkets (Broad & Washington; Columbus Boulevard; and N. Broad & Spring Garden). Earlier this month, TGC opened another store on Cottman Avenue in Northeast Philadelphia.

To complement its brick and mortar growth, TGC this month debuted its automated 124,000 square foot e-commerce fulfillment center on Island Avenue in Southwest Philly to serve its giant Direct online customers. The new facility allows the retailer to be 57 percent more productive than at its other manual “pick” warehouses. And along with same-day delivery and rapid delivery options, the new fulfillment depot will allow TGC to deliver groceries to eight South Jersey towns, a first in the company’s 98-year history. In his presentation, Nick Bertram, who was accompanied by Glennis Harris, the company’s senior VP of customer experience, termed Philadelphia, “our first true omnichannel market.”

During his talk, Gordon Reid, who was named Stop & Shop president in 2019 after a six-year stint with sister retailer Giant Food, noted the importance of creating a stronger omnichannel presence in metro New York with his own stores and the recent acquisition (January 2021) of large online pure play FreshDirect. He also briefed the virtual audience on the progress made by Stop &Shop since 2018. Of Stoppie’s 406 supermarkets in New England and metro New York, 120 units have been remodeled. Those refurbished stores have yielded an annual sales increase of 6 percent. Other keys to Ahold Delhaize USA’s largest brand are its focus on fresh, its improvement in assortment optimization and its ability to upgrade its target marketing.

In his presentation, Kevin Holt spoke of the importance of the “connected customer.”

“Let me describe to you what we mean by a connected customer,” Holt noted. “Our customers’ lives are constantly in motion. They’re looking for convenient and personalized solutions to save time in their day so that they can enjoy the moments that matter. Our strategy is built on providing relevant omnichannel solutions so our customers can enjoy the moments that matter in their lives. Our strategy is resonating. Over the last two years, we’ve seen significant digital growth across all segments of our customer base. In fact, we’ve seen our digitally engaged customers grow by 56 percent in the last two years.”

The other U.S.-based division president to appear was Meg Ham, who has been president of Food Lion since 2014. According to her boss, Muller, Food Lion has been the most productive of all of ADUSA’s brands for  several years and Ham detailed several reasons why. The Salisbury, NC-based merchant, which has now produced 36 consecutive quarters of same store sales increases, began its transformational journey a decade ago when it established its “Easy, Fresh & Affordable’ remodeling program, an effort that involved upgrading more than 1,100 Food Lion stores from Georgia to Pennsylvania. Ham credited her company’s investment in people and its evolving improvement in ecommerce as critical reasons for its turnaround and ultimate long-term success.

JJ Fleeman and Selma Postma, chief digital officer for Ahold Delhaize Europe & Indonesia, gave a joint presentation about Ahold Delhaize’s ability to unleash the power of data to serve its customers through deeper digital relationships. Fleeman predicted that Ahold Delhaize would be able to generate an additional 1 billion euros ($1.13 billion) by 2025. Fleeman said by leveraging its digital assets, AD would be able to grow its digital media advertising, create a growing revenue stream by selling its data insights and creating new digital revenue streams to produce financial growth.

Addressing ADUSA’s decision to shift to a fully integrated  self-distribution network by the end of 2023, the veteran supply chain executive provided a progress update. It has already reached its 2021 target of transforming 65 percent of  its center volume to self-managed supply and is on target to reach the 85 percent level by the end of next year. The massive $450 million project was first announced in December 2019. Included in the network are 25 warehouses and food processing facilities, 28 e-commerce fulfillment centers, and more than 1,500 click-and-collect locations.

“As we expand, we’re deploying key technology capabilities to optimize the supply chain. At scale, we’ll have a fully deployed transportation management system, which is driving efficiency across the network, reducing overall miles on the road and getting product to stores and e-commerce centers faster,” Lewis explained.

Other highlights of the meeting included the announcement that AD will explore the possibility of  a sub-IPO for bol.com, the company’s e-commerce general marketplace. If that were to happen, Ahold Delhaize said it would remain as a large shareholder.

A few days before its Investor Day event, Ahold Delhaize released its third quarter earnings.

At its U.S. properties (supermarkets and online), overall sales grew 6.8 percent compared to Q3 in 2020, and comp store revenue (ex-fuel) increased 2.9 percent. On a two-year comparable sales stack basis, growth was 15.3 percent, similar to the 15.8 percent growth for the full year 2020.

Online sales in the segment were up 52.9 percent, driven by the continued expansion of click-and-collect facilities and the FreshDirect acquisition. Excluding the FreshDirect acquisition, U.S. online sales grew 26.2 percent in constant currency, building on top of the significant 114.7 percent growth in the same quarter last year. Underlying operating margin in the U.S. was 4.8 percent, down 0.2 percentage points at constant exchange rates from the prior year period, which had benefited from unusually low shrink levels and favorable sales mix owing to a surge in demand related to COVID-19.

“Our Q3 results once again showed the resilience of our business model, with our brands building further on 2020’s COVID-19-related sales gains, as various societies across our markets reopened in the quarter. During these ever-changing times, we remain proud of the significant efforts of associates in all our brands and businesses, who continue to tirelessly serve our communities. In Europe and the United States, our businesses faced additional disruptions in Q3 related to the Belgian floods, tornadoes in the Czech Republic, fires in Greece and Hurricane Ida in the U.S. We would like to send a special thank you to the affected associates for their continued dedication to their communities during these difficult times, and for truly living our core values,” said Muller. “We continue to focus on making additional investments to meet associate, customer and community needs and remain on track to deliver on our pledge to contribute 20 million euros ($22.6 million) million in charitable donations, spread evenly between the U.S. and Europe, during 2021. We also continued to support COVID-19-related health and safety measures, which remain a top priority; we invested 66 million euros ($74.8 million) in these measures in Q3. The pandemic has shown us the importance of maintaining food and product supplies to local communities – a vital role that we remain focused on fulfilling, together with our brands and suppliers. Q3 Group net sales of 18.5 billion euros  ($21 billion) remained elevated; this was exemplified by the U.S. segment, where comparable sales excluding gasoline grew 2 percent on top of last year’s double-digit growth. Many consumer habits formed during the COVID-19 pandemic favoring food-at-home consumption and a focus on healthier eating are proving resilient, and we continue to make significant investments to address these trends. We continue to solidify our position as an industry-leading local omnichannel retailer by executing our strategy to improve supply chain, advance omnichannel offerings, and enhance omnichannel productivity.”

Additionally, Ahold Delhaize raised its annual cap-ex level, increasing it from 3 percent to 3.5 percent of sales.

While Muller and Holt spoke in broad terms about their vision of  omnichannel retailing (which you can read in more detail in the next part of this column), no mention was made about the specific plans and programs of the Baltimore-Washington region’s largest retailer, Giant Food.

So, let’s review what’s happened in the recent past and take a peek into the future of Giant’s e-commerce initiatives.

While the Landover, MD-based merchant has been involved with home delivery since 2001 with its Peapod affiliate, the regional chain really didn’t elevate its game until 2019 when the merchant rebranded its home delivery service as “Giant Delivers.” At that point, Giant expanded its variety and its same-day delivery services within the B-W region. The service hub was a 155,000 square foot distribution/fulfillment center in Hanover, MD.

As with almost all retailers, Giant experienced a sales boom during COVID, which not only boosted e-commerce revenue but also allowed the company to expand its pickup services to 159 of its 164 stores.

With e-commerce business remaining robust and Ahold Delhaize prioritizing a balanced and diverse approach to selling product, Giant was outgrowing its Hanover depot at the same time that it needed to continue to accelerate delivery times in a company-wide effort to become more efficient and productive.

And even though the company hasn’t officially announced it yet, multiple sources have disclosed that Giant will open another fulfillment center in Manassas, VA sometime next year. That new DC will be about 80,000 square feet and allow the merchant to better serve its Northern Virginia stores which stretch as far south as Fredericksburg. While its nearly 60 Northern VA units have been supplied from Hanover (with a cross-dock facility in Springfield, VA), the new Manassas facility will allow Giant to potentially accelerate its delivery times. Giant also recently opened a second cross-dock facility in Milford, DE to serve customers on the Eastern Shore where the company operates four supermarkets.

Giant is also the only ADUSA brand that utilizes Instacart at all of its stores.

Earlier this month, Giant rolled out its “Ship2Me” virtual marketplace. The online “endless aisles” store will allow Giant to expand its variety by adding local and national brands that often aren’t found in Giant’s stores particularly in such departments as health and beauty, home décor, seasonal items, kitchen and dining, outdoor, pet, and premium pantry items – about 40,000 SKUs all told.

“Online grocery demand continues to grow, and we are constantly working to increase our capabilities and offerings to best serve the communities we operate in,” said Ira Kress, president of Giant. “We are thrilled to be the first brand under the Ahold Delhaize USA family to be launching Ship2Me and bringing this innovative and expansive marketplace to our customers.”

“Giant’s online offerings have exploded in popularity the past 12 months, with over three million online orders fulfilled, giving the grocer an opportunity to bring even more options to busy consumers.”

“At Giant, we are always looking for ways to give time back to our customers and make our services more convenient and accessible,” said Gregg Dorazio, director of e-commerce for the big retailer. “The introduction of Ship2Me allows Giant to expand its assortment within traditional and nontraditional grocery categories, making it the most seamless one-stop-shop for our customers.”

While Giant Food’s sister brand, The Giant Company, often is given more of the spotlight from corporate, it’s clear that the boys and girls in Landover are moving the e-commerce needle forward in a very positive way, too.

‘Round the Trade

Walmart CEO Doug McMillon believes that the current inflation cycle will help the Behemoth because it will further reinforce the company’s low price image. The highly successful chief executive also noted that Walmart has not passed some of the higher costs that they are seeing on to their customers, knowing that it will adversely impact short-term earnings. “We’re proud to try to hold prices down,” he stated. “Our conversations with suppliers today and tomorrow will be: ‘how can you help us roll back prices and swim upstream and be different than everybody else?’” More Walmart news: Brett Biggs, who has served as the Bentonville, AR merchant’s EVP-CFO since 2015, will be leaving the retailer in January 2023 after 23 years of service. “ His contributions have been a key to the important steps we’ve taken to transform the company on our omni journey,” his boss, Señor McMillon, affirmed…in the “time wasted” category comes this news note: The Federal Trade Commission (FTC) has asked Walmart, Amazon, Kroger, C&S Wholesale Grocers, P&G, Tyson Foods, Kraft Heinz and several other food companies to provide detailed information within the next 45 days to help the agency study the disruptions “causing serious and ongoing hardships for consumers and harming the competition in the U.S. economy.” By the time the FTC gathers the data, scrutinizes it intensely, reviews its findings and issues a report, most of the supply-chain dysfunction will likely have ended. Cue the laugh track…Amazon workers at “Godzilla’s” Bessemer, AL distribution center will get a second bite

at the apple after the National Labor Relations Board (NLRB) ordered a new union election based on what they deemed to be questionable practices by Amazon leading up to the first union vote in April which overwhelmingly rejected unionization. No date has been set for the second go around and the NLRB hasn’t determined if this vote will be held in-person or via mail. Can’t get enough Amazon news? Here’s more: according to multiple sources, the Seattle-based juggernaut is poised to overtake both UPS and FedEx early next year to become the largest package delivery service in the country. And even more: according to tech publication The Information, “Godzilla” is preparing to expand its online grocery delivery service in a move to challenge grocery delivery service leader Instacart. According to the San Francisco-based online news organization, the app-driven effort is known internally as Amazon Fresh Marketplace and could launch sometime next year. There’s something both comical and schadenfreude-like when two competitors begin eating their young. Just sayin.’

Back at Instacart, Carolyn “We Hardly Knew Ye” Everson, who was named president of the fast-growing company in September, announced she will be leaving the San Francisco-based firm at the end of the year. Everson, who joined Instacart from Facebook (now Meta Platforms) was recruited by current CEO Fidji Simo, who worked with her at Facebook for 10 years (Simo herself only became CEO in July). When Everson joined Instacart three months ago, Simo stated that her former cohort was “an industry legend, best known for cultivating strong, trusted relationships that drive strategic value for partners,” adding that Everson’s “unmatched experience and authenticity will be a key driving force for our business as our teams prepare for our next chapter of growth.” Do you think Simo would like a do-over about her comments?

Kroger will build its 16th Ocado-powered automated customer fulfillment center (CFC) in Concord, NC, the retailer said earlier this month. The 200,000 square foot depot, which likely won’t open until 2023, follows the Cincinnati-based merchant’s dual strategy to open online-driven distribution centers in markets where the company already operates stores or doesn’t have any brick and mortar exposure. Kroger pulled out of the NC in 2017, but its Harris Teeter unit has a huge presence in the Tar Heel State. The largest pure-play supermarket operator in the country also recently announced plans to open additional Ocado “sheds” in Florida (two units) and California (two) as well as another CFC at a yet undisclosed location in the Northeast (I’m guessing New Jersey). In other Kroger news, I’m giving the big merchant “two thumbs up” for its new vaccination policy that applies to store managers and other non-union employees. Kroger said it will no longer offer two weeks of paid emergency leave for unvaccinated associates who contract COVID-19 and will add a $50 a week surcharge to company health plans for those that don’t get vaccinated. This follows President Biden’s policy that requires employers with 100 or more workers to get vaccinated or provide weekly negative COVID tests. However, that mandate is presently being tested in federal court and its long-term viability may ultimately be in doubt. But this shouldn’t be about politics or even individual choice (unless you have a legitimate medical or religious issue) in a critical matter such as this. Unfortunately, politics has often overridden common sense in this area. I’ve been pretty disciplined about remaining fairly apolitical in this column for 43 years, but politicians whose agendas are primarily to disrupt – not provide leadership or policy (yeah, I’m talking about you AOC, and you Marjorie Taylor Greene) – need to be called out. That’s why I had to smile when one of my favorite journalists/authors David Simon (who created two of the greatest TV series of all time – “Homicide: Life on the Street” and “The Wire”) made it a point to target Senator Marsha Blackburn of Tennessee when she accused President Biden of wanting to make COVID “the forever pandemic.” Using the power of Twitter, Simon fired back: “Wear a f—— mask, get your f—— vaccination and convince more of your s—bag, dead brained, selfish followers to do the same. That’ll thwart Biden’s evil plan, you useless, gibbering demagogue” Yup, that’s pretty much how I feel, too.

It was only a matter of time. And that time is now upon us. I’m talking about Dollar Tree which will know be unofficially known as “Buck & A Quarter Shrub” after the Chesapeake, VA-based dollar store merchant announced it would permanently raise prices of its products to $1.25 in Q1 of next year. The successful discount merchant said that supply chain pressures and rising inflation contributed to the decision. The move will also help the company increase its margins and allow it to increase its variety. Its main rival, Dollar General, the leading dollar store merchant in the country, has moved away from its “dollar” philosophy in recent years. And for you trivia fans: what was the company’s name before it was changed to Dollar Tree in 1993?

While food retailers as a whole reported fairly robust Thanksgiving sales, the same couldn’t be said for most other retailers not named Amazon. Adobe Analytics reported that Cyber Monday (November 29) online sales fell 1.4 percent from last year (which was a record). That followed the slightly negative sales trend of Black Friday (November 26), although (not surprisingly) Black Friday in-store traffic increased nearly 48 percent over last year but was down 28 percent compared to 2019.

And now for this month’s scary inflation news: the Bureau of Labor Statistics (BLS) reported that the U.S. inflation rate spiraled to 6.8 in November, the highest rise since June 1982. While energy costs (+33.3 percent), new and used vehicles (+11.1 percent and + 31.4 percent respectively) represented the largest categories of inflation increases, within the food sector meat continued to be the price hike pacesetter. Beef prices in November were up 20.9 percent from a year earlier, while fresh pork rose 16.8 percent, and bacon 21 percent. Other more economical cuts of protein, including chicken (up 9.2 percent) and hamburger (a 13.9 percent), also surged compared to a year ago. However, it’s important to note that consumption has stayed fairly strong despite the high ticket prices. At some point, there will be pushback to these high prices.

Local Notes

Trader Joe’s opened two NYC stores earlier this month including the former Food Emporium (A&P) at E. 59th Street & 1st Avenue in Manhattan under the Queensborough Bridge. What a beautiful edifice! A week later (December 10), TJ’s cut the ribbon on another 20,000 square foot specialty store on Kent Avenue in the evolving Williamsburg area of the borough. The two new stores expand Trader Joe’s Big Apple presence to 15 units, including nine in Manhattan and three in Brooklyn. Early reports are that business at both locales is very strong. However, our sources tell us than neither store is matching the business of the TJ’s in Union Square, which remains the highest per sales food market in the country…DoorDash has joined a growing list of companies – including Gorillas, Buyk and Gopuff – that is offering 15-minute delivery in New York City. One of the new darlings of Wall Street, DoorDash is targeting the Chelsea area of Manhattan to begin its 15-minute delivery system. As for me, I’m waiting for the day when I can just imagine my grocery order in my ahead, meditate for about 60 seconds, and voila, have it appear inside my refrigerator.

MaxDelivery, another grocery delivery service based in NYC, is being acquired by boxed.com, the e-commerce grocery platform which sells bulk consumables and licenses its e-commerce software to enterprise retailer. According to Chieh Huang, co-founder and CEO of Boxed, “This acquisition of MaxDelivery will mark our entry point into the rapidly growing fast-grocery delivery space, in addition to broadening our capabilities in micro dark-store fulfillment and fresh supply chain. Boxed customers have expressed how they value fresh groceries and we are excited to be able to deliver a more comprehensive product offering while benefiting from a complimentary business model with similarly high average order values as Boxed. In the months after closing, we plan to implement MaxDelivery’s model into several additional regions as we generate value for the entire Boxed ecosystem. We believe that MaxDelivery will also benefit from the use of Boxed software technology as it becomes a client of our Software business.” Boxed.com is also set to go public in a SPAC (Special Purpose Acquisition Company) -driven deal with PE firm Seven Oaks Acquisition Corp…excellent story in the December 13 issue of Forbes detailing C&S executive chairman Rick Cohen’s “other” career as CEO of robotics firm Symbotic. Cohen, who first invested in the Wilmington, MA based company in 2007, really hit it big earlier this year when Walmart said it would install Symbotic’s robotic systems in 25 of its 42 regional distribution centers. Earlier this month Symbotic announced it plans to go public in a $5.5 billion deal via the SPAC route with venture capital firm SoftBank. Even after Symbotic becomes a publicly traded firm, Cohen said that he will retain more than a 75 percent stake in the company. Rick Cohen has traditionally been one of the industry’s most low-key leaders; this is truly a revealing portrait of a man with a 30 pound brain whose success in part can also be attributed to his passion and risk taking. And a tip of the hat to Amy Feldman, who wrote a phenomenal and revealing piece.

Hilarious (to me) story of the month is all the recent hype about the shortage of cream cheese, particularly in NYC, where grocery stores and bagel shops feel like they’re getting schmeared. Of particular note is the how this victimized supply-chain item has impacted Junior’s, the Brooklyn-based iconic cheesecake restaurant and purveyor, which had to temporarily shut production at its Burlington, NJ bakery because of a shortage of the white stuff. “We’ve been scraping by, getting cream cheese in sporadic supply and praying” that the shortage ends soon, said owner Alan Rosen, whose grandfather, Harry, founded the company in 1950. And in what some might consider a brilliant marketing move, KraftHeinz, which owns the most popular cream cheese brand – Philadelphia – is offering to reimburse a limited number of customers $20 each for desserts they bake or buy that don’t contain any cream cheese. “You may not be able to find Philly to make a cheesecake. So get any other dessert on us,” a posting on the company’s website reads. The promotion runs from December 17 to January 4. KraftHeinz said it opened up 18,000 online reservation slots on 12/17 and 12/18 for interested shoppers to try to claim a spot. If successful, they will be able to click on a link to submit their receipts from a store or restaurant for reimbursement by January 4.

From the obituary column we have several deaths to report. Lee Elder, who became the first African-American golfer to compete in the Masters tournament, has left us at the age of 87. Elder, who dropped out of high school in his native Los Angeles in the 10th grade, supported himself for many years as a caddie and hustler. In 1961, he joined the “Peanut Tour,” an organization composed of Black golfers that handed out small purses, but also provided an opportunity to gain exposure. By 1967, Elder qualified for the PGA tour and won his first tournament in 1974, which qualified him for the Masters tournament the following year. All told, he played Augusta National five times and recorded four PGA tournament victories. Later on the Champions tour (for golfers 50 and older), Elder won an additional eight times. He was also present to witness the final round of the 1997 Masters where a 21 year old named Tiger Woods won by a record 12 strokes. After his victory, Woods said: “I wasn’t the pioneer. Charlie Sifford, Lee Elder and Ted Rhodes played that role. I thank them.” Before that last round, Elder said: “If Tiger Woods wins here, it might have more potential than Jackie Robinson’s break into baseball. No one will turn their head when a black man walks to the first tee.”

Michael Nesmith, 78, is dead, too. One of the four original Monkees recruited to be part of a TV series developed about a fledgling rock band, Nesmith proved his musical skills (playing and songwriting) and was the first member of the band to demonstrate his independence from the staged, rigid image that the show’s producers wanted the band to portray (off-camera, too). After leaving the Monkees in 1968, Nesmith continued his career primarily as a songwriter and producer, while also occasionally joining his other three bandmates for reunion engagements. And here’s a trivia item you may not know. Unlike most young musicians who are usually viewed as struggling artists, Nesmith’s path to fame was quite a bit different. His mother, Bette, provided all the financial comfort his family would need when she invented Liquid Paper in 1951. And here’s a Nesmith-related trivia question for you to think about: Before he joined the Monkees, Nesmith penned a song that would become an AM radio staple in 1967. The song was sung by an LA-based band whose female lead singer would receive worldwide acclaim in the 1970s. Can you name the band and the singer?

Perhaps the greatest Broadway songwriter of the past 60 years has also passed on. Stephen Sondheim, who wrote the lyrics to such classic musicals such as “West Side Story” (1957) and “Gypsy” (1959), was 91. In 1962, he wrote both the music and lyrics to another hit show “A Funny thing Happened on the Way to the Forum” and soon after his career zoomed. Among his great works are “Company” (1970); “A Little Night Music” (1973); “Sweeney Todd” (1979); and “Into the Woods” (1987). In a career that began in the early 1950s when he wrote the music for the TV show “Topper” (I loved Neil the martini-drinking St. Bernard dog), the dapper New Yorker won seven Tony awards, seven Grammy awards, a Pulitzer Prize and an Academy Award. Stephen Sondheim was a generational talent who will be missed.

And finally, as we enter the holiday season, I want to wish all of our readers hope and happiness. The last two years have been very challenging – let’s stay vigilant just a little longer. Better days are ahead. So, if you’re celebrating Christmas, Hanukkah, Kwanzaa or even Festivus – may you stay safe and healthy.

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Jeff Metzger is a veteran grocery industry journalist, analyst, and publisher with more than five decades of experience covering retail food. Co-founder of Best-Met Publishing and longtime publisher of Food Trade News & Food World, he has shaped industry discourse through his widely read column and deep market analysis.
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