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Saturday, May 06, 2006

Online specialty foods

ONLINE SPECIALTY FOODS: Don't expect American consumers to settle for french fries and hamburgers anymore. Their taste buds--especially those of 25- to 34-year-olds--are becoming as specialized as their lifestyles are high-tech. As a result, they're increasingly turning to the internet for specialty foods ranging from gourmet cheeses and fine wines to gluten-free and diabetic-friendly products. "Younger generations are more likely to treat themselves every day, and that has fueled a lot of increase in specialty food," says Ron Tanner, vice president of communications and education at the National Association for the Specialty Food Trade Inc. in New York City.

According to Tanner, the retail specialty food business is a $24.7 billion industry that grew 17.9 percent between 2002 and 2004. Enjoying that growth are Sean Sullivan, 43, and Bill Fox, 46, who founded 1-800-Gourmet (www.1800gourmet.com), a Cleveland-based online wholesaler and retailer of specialty foods, in 1999. The demand for their more than 3,000 items, from black truffles and pure saffron to Fair Trade jams, is best illustrated by their six-digit 2005 sales figures. Surprisingly, the majority of their current clients are men.

Perhaps even more surprising than men doing the grocery shopping, though, were the Supreme Court rulings earlier this year allowing interstate wine shipments. Let's drink to this new development, which should keep consumers clicking.--S.W.

COPYRIGHT 2005 Entrepreneur Media, Inc.
COPYRIGHT 2005 Gale Group

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