Recently, while walking through the frozen food section of my local grocery store, I found myself drawn to the pizza case. It's never a good idea to go grocery shopping when you're hungry (and boy was I starving), but since I was already there, I decided to pick up dinner.
This particular store carries several different pizza brands, including its very own. Yet while the store brand was cheaper, I chose a more expensive item. Why?
The national brand's advertising probably had something to do with it, but what really put me off the store brand was the way the product looked. The frost buildup on the package suggested the pizza had thawed and been refrozen. Not very appetizing.
So the store - a well known chain - lost the opportunity to sell a higher margin product due to poor refrigeration management.
Unfortunately, many retailers have this problem - they don't manage refrigeration effectively. The need to keep shelves stocked must be balanced with the need to control energy consumption.
Retailers naturally want to increase sales, so they try to keep freezers full. No one wants to lose a customer because an item is out of stock. But overstocking refrigerated cases can lead to mechanical issues, which often results in spoilage.
For example, a manager may want to increase sales of premium beef, so he increases the number of items on display. The excess merchandise blocks airflow within the unit, which affects the temperature of stocked items. Some are too cold while others are too warm. As a result, the coloration of the meat is inconsistent, making it less attractive to the consumer and reducing sales.
One solution to this problem would be to reduce the amount of product on display, but restock more frequently. Another would be to spread the items into two cases. Either alternative would result in a more attractive display while allowing the refrigeration unit to operate more efficiently.
Photo courtesy of iboy_daniel