From Our Print Edition

For more than 70 years, The Save Mart Companies has served communities in Northern California, western Nevada, Oregon and Washington. As one of the largest full-service regional grocers in the West, the Modesto, Calif.-based chain operates more than 200 stores under the Save Mart, Lucky, FoodMaxx, Roth’s and Chuck’s Fresh Market banners, with annual revenue estimated at approximately $4 billion.

The company has always been known for strong ties to the communities it serves, but since its 2024 acquisition by the Jim Pattison Group, Save Mart is sinking its roots even deeper in an effort to deliver something that bigger national competitors can’t: the local touch.

To find out how that effort inside a broader company transformation is impacting the frozen and refrigerated departments, we reached out to Mac McCoy, group vp, center store, and Vincent Dickinson, senior category manager, frozen and dairy. Here’s what they had to say:

FRB: What differentiates Save Mart’s frozen and refrigerated departments from competitors?

McCoy: Save Mart’s differentiation in frozen and refrigerated comes down to speed, relevance and proximity to the customer. As a regional grocer, the organization operates with a level of agility that larger, national chains often cannot match, allowing teams to identify emerging trends and move new items to shelf in a matter of days rather than months. That speed-to-market advantage is not just operational, it is strategic. It creates a first-touch moment with the customer that builds repeat behavior and long-term loyalty.

Equally important is how that speed is applied. The focus is not simply on being first, but on being first with the right products.

Dickinson: Differentiation also shows up in how the experience is executed inside the store. Merchandising and promotional strategy are built around real customer behavior, with a focus on solutions rather than standalone items. Displays and endcaps are not just vehicles for product, they are designed to mirror how customers shop, what they are planning to prepare, and even where they are in their weekly cycle.

That approach shifts the role of frozen and refrigerated from static categories to dynamic, needs-based destinations. By aligning promotions, placement, and assortment with the customer trends, the store becomes easier to shop and more relevant in the moment, which ultimately drives both engagement and basket.

FRB: Beyond speed-to-market, can you elaborate your strategy?

McCoy: It also opens the door to a more intentional approach to assortment. Regional scale allows us to reflect the preferences of the communities we serve, whether that is through localized flavor profiles, emerging cultural trends, or partnerships with nearby producers. While there is still opportunity to expand in this space, the ability to curate for a specific customer base rather than a national average is a meaningful differentiator.

There is also a strong willingness from customers to support that approach. When a product has a clear local connection and a story behind it, shoppers are often willing to pay a premium, reinforcing the value of investing in regional sourcing and community-driven assortment.

FRB: Any examples?

McCoy: A clear example is in our regional dairy programs. We work with multiple California-based suppliers, and those partnerships vary by market. That level of localization allows us to reflect the preferences of the communities we serve in a very real way.

That is something a national model struggles to replicate. When you are managing thousands of stores across the country, you simply cannot engage at that level of specificity. As a regional grocer, we can, and that ability to be both nimble and locally relevant is a significant competitive advantage.

FRB: Since we’re talking about dairy, what changes are shaping that department?

Endcaps are often used to provide a solution to a consumer need, such as a quick dinner or simple indulgence, not just to display products.

Dickinson: Dairy remains one of the most stable areas in the store, anchored by strong brand loyalty and habitual purchasing behaviors in core items like milk. At the same time, pockets of innovation are driving incremental growth, particularly in ultra-filtered and enhanced milk segments, where products like Fairlife continue to outperform and set the pace for both national brands and private label expansion.

While the base business remains steady, the category is evolving at the edges. Organic offerings continue to gain traction, and innovation is most pronounced in adjacent segments like coffee creamers, where flavor, functionality and lifestyle positioning are accelerating change. The result is a category that balances consistency with targeted innovation, delivering both dependable volume and selective growth opportunities.

FRB: Where are you seeing the most growth in the frozen department?

McCoy: Frozen is seeing growth in the categories where health, convenience and evolving taste intersect, with frozen fruit emerging as one of the strongest performers across the store. Over the past two years, demand [for such products] has accelerated as shoppers lean into smoothies, better-for-you snacking and simple at-home meal solutions. The appeal spans across occasions and household sizes, with both single-serve and family formats delivering strong, consistent movement.

“The ability to be both nimble and locally relevant is a significant competitive advantage.”

That momentum speaks to a broader shift in how consumers are using frozen. What was once viewed as a backup option is now a primary destination for fresh-adjacent, nutrient-forward choices that fit seamlessly into daily routines. Frozen fruit, in particular, sits at the center of that change, offering both convenience and perceived freshness without compromise.

At the same time, growth is being fueled by categories that deliver speed and ease. Frozen snacks continue to expand, driven by younger consumers and busy households looking for quick, accessible options. From pizza rolls to handheld items and air fryer-ready products, the category is evolving alongside new cooking habits and time-constrained lifestyles.

Dickinson: Global and culturally diverse offerings are playing an increasingly important role in shaping the frozen category. Growth in Asian and Indian cuisine reflects a broader shift in consumer preference toward more variety, bold flavors, and authentic meal experiences at home. These segments are expanding not as niche offerings, but as core components of the assortment, signaling a meaningful evolution in how shoppers define convenience.

As the category continues to evolve, frozen is becoming less about simple meal replacement and more about delivering accessible exploration. It is a space where convenience meets discovery, giving customers the ability to try new cuisines and flavors without sacrificing ease or time.

FRB: What changes are on the horizon for the frozen category?

To better align with the needs of today’s consumers, the “underdeveloped” plant-based category is undergoing a transformation.

Dickinson: Frozen is at a point where certain categories need to be rethought, and pizza is a clear example. It has been dominated by mainstream brands for a long time, and when you start to see consistent declines, it is usually a sign that the assortment is no longer aligned with the customer. The opportunity now is to elevate the set with more premium options, better-for-you choices, and products that feel more intentional and relevant to how people are eating today. It is less about adding more of the same and more about introducing items that bring new energy to the category.

“By introducing differentiated options that deliver on both quality and convenience, pizza has the potential to reestablish itself as a growth driver within frozen.”

Following Expo West, we identified several pizza items that are either entirely new to our market or represent true innovation within the set. Most of those will be incremental, not replacements, because the opportunity is to bring new energy into the category rather than repeat what is already there… By introducing differentiated options that deliver on both quality and convenience, pizza has the potential to reestablish itself as a growth driver within frozen.

FRB: Other than frozen pizza, which categories offer the most opportunity for growth?

McCoy: Meatless and plant-based remains an evolving opportunity. The category has shifted from serving strictly vegetarians to appealing to flexitarian shoppers who are motivated by health. The key to growth is continuous innovation and keeping the assortment fresh and relevant, while positioning those items as part of the mainstream set rather than a separate destination. That is what drives trial and long-term adoption.

FRB: For better or worse, what recent trends or innovations in the frozen department have surprised you?

Both chef-driven and ethnic frozen meals, particularly Asian and Indian, are gaining momentum.

McCoy: One of the more compelling wins in recent years has been the rise of chef-driven frozen meals. What was once considered a niche, premium offering has evolved into a meaningful growth engine for the category. Today’s customer is far more willing to trade up for restaurant-quality experiences they can recreate at home, and that shift has given these products real staying power on shelf.

However, not every convenience-driven concept has translated the same way. Fully assembled, mix-and-match meal kits designed to simplify family dinners seemed poised to succeed, offering both value and ease. Yet despite the logic, they struggled to connect. It is a reminder that convenience alone is not enough. The product still has to align with how customers think about preparing and serving meals.

Dickinson: In frozen desserts, one of the most unexpected success stories has been alcoholic ice cream. What began as a niche innovation quickly proved it had broader appeal, outperforming expectations and scaling rapidly across stores. The velocity at a premium price point underscores a larger shift in the category. Customers are increasingly open to discovery and indulgence, especially when a product offers something differentiated. In this case, novelty paired with quality created a standout item that moved from curiosity to consistent performer in a very short time.

FRB: How does private label fit into Save Mart’s strategy?

The frozen pizza set is ready to welcome some new innovation — particularly on the premium side — that’s expected to jumpstart growth.

McCoy: Private label plays a critical role in a value-driven market where customers are increasingly focused on getting the most for their spend without compromising on quality. When executed well, it is not just a lower-priced alternative, it is a trusted option that can stand alongside national brands. The opportunity is to continue elevating both the quality and perception of private label, ensuring it delivers on taste, consistency, and overall experience.

As that trust builds, private label becomes a strategic lever for growth. It allows us to compete on value while also expanding into new and emerging segments, giving customers more reasons to stay within our ecosystem for both everyday needs and discovery.

“In private label, the greatest opportunity today is in the value tier.”

Across the industry, retailers who are serious about private label are typically operating in the 25% to 35% penetration range, and we are very much aligned with that benchmark. Our focus is on continuing to grow within that space in a disciplined way. The greatest opportunity today is in the value tier. In the current environment, customers are looking for ways to stretch their dollars, but they are not willing to compromise on quality. The goal is to deliver products that are as good as or better than the national brand, while still providing a meaningful price advantage.

Dickinson: Private label is a key tool for entering and competing in high-growth segments where national brands have already established strong demand. In dairy, for example, the expansion into ultra-pasteurized and enhanced milk products creates an opportunity to offer customers a comparable experience at a more accessible price point.

Driven by younger consumers and busy households, frozen snacks rank among the fastest-growing categories at Save Mart.

However, it is not simply about price. It is about identifying where customers are already buying, understanding what they value in those products, and delivering a version that meets those expectations. When done right, private label becomes a way to participate in innovation while maintaining a strong value proposition.

FRB: How do you determine whether to offer a private label product under distributor Topco’s brand or one of Save Mart’s own brands?

Dickinson: The decision often starts with whether a product already exists within the Topco portfolio and whether it is cost-competitive versus developing something independently. Speed and feasibility are key considerations, because private label inherently requires more time and coordination.

FRB: How do you use merchandising, endcaps, and cross-promotion to drive sales?

Ultra-filtered and enhanced milks, organic products and coffee creamers are driving growth in the dairy aisle.

McCoy: Everything starts with understanding how the customer shops. We are not just building displays; we are building around the shopping list. When promotions, endcaps, and in-store execution mirror how customers plan their meals, the entire experience becomes more intuitive and more effective. The goal is to create a store environment where customers can quickly see what they need, feel confident in their choices, and move seamlessly from idea to basket.

Dickinson: Endcaps and secondary displays are most effective when they move beyond product and into solution. Every display should answer a need, whether that is a quick dinner, a family meal, or a simple indulgence. It is about connecting items in a way that reflects real-life occasions.

Cross-merchandising plays a critical role in that. Thoughtful pairings, even simple ones, can drive incremental sales while making the experience easier for the customer. When you place the right items together, you are not just selling products, you are helping complete the trip.

FRB: How do you approach specialty products such as organic, gluten-free or plant-based?

Alcohol-infused ice cream has outperformed expectations, moving from niche to mainstream.

Dickinson: Our approach is to meet the customer where they are already shopping. Rather than isolating specialty items, we integrate organic, plant-based and enhanced products directly into the broader category while still maintaining clear navigation within the set. In dairy, that means grouping plant-based, ultra-pasteurized, and other enhanced offerings in a way that is intuitive and easy to shop.

The goal is to remove friction. Customers should not have to search for these products. They should encounter them naturally as part of their everyday shopping experience, right alongside the items they already trust.

McCoy: There is a significant opportunity to evolve how frozen is merchandised to better reflect today’s shopper. The traditional model of separating plant-based into its own section no longer aligns with how customers think or shop.

As more shoppers adopt a flexitarian mindset, the winning strategy is to place plant-based items directly next to their conventional counterparts. A meatless burger should live alongside frozen burgers, not in a separate destination. That adjacency creates visibility, drives trial, and ultimately positions these products as a seamless alternative rather than a niche choice.