Specialty produce hits a sweet (and savory) spot for consumers

Everyone has a different idea of what constitutes specialty produce. Star fruit, dragon fruit and papaya fall into that category, but what of baby potatoes, lesser-known squash and microgreens?

Really, says Charlie Eagle, vice president of business development at Southern Specialties, Pompano Beach, Fla., specialty produce are items that are only available in limited quantities and only available from very few sources.

Southern Specialties makes good on its name with offerings such as purple, white and green asparagus; mango, papaya and star fruit; Persian limes; radicchio, endive, watercress and arugula.

Covilli Brand Organics in Nogales, Ariz., knows a thing or two about exotics. Its dragon fruit, hot chilies — including cherry bombs — and different varieties of hard squash attract attention, especially the latter in the winter months, said Alex Madrigal, president and second-generation grower.

The company largely supplies to retailers on the coasts, where demand is greatest, he said.

“You have the most concentrations of people on the coasts and more immigration there. It’s changing in the center of the country, but it’s slower [to embrace these items],” he said.

Melissa’s Produce, Los Angeles, specializes in world variety produce. The specialty company supplies dragon fruit in white, red and yellow; cherimoya; passion fruit; jackfruit; kiwano melons; tree-ripened mangoes; and red papaya.

Its most talked about item online is its Pinkglow pineapples, even though they’re $29 apiece, said spokesperson Robert Schueller.

“All three varieties of dragon fruit have jumped in popularity in recent years, and Melissa’s sells it year-round,” Schueller said. “It’s been embraced by consumers as one of the most exciting and unique tropical fruits due to its flavors, color and sweetness level.”

The yellow-skinned dragon fruit is the sweetest of the three, “and its sales have skyrocketed the most,” he said.

Sales of specialty produce boomed during COVID-19, Schueller said, as consumers ate more at home and started to learn more about cooking. Sales have stayed high and especially peak at different holidays throughout the year when consumers are looking for something different.

J&C Tropicals, Doral, Fla., is another source of tropical and exotic delights such as dragon fruit, mango, avocado, ginger, guava, rambutan, boniato, calabaza, yuca, and aloe vera, which are especially popular during the summer, said Denise Gomez, marketing lead.

“From June through October these items sell very fast,” Gomez said.

Weavers Way, a chain of three co-op stores in Pennsylvania, sells yellow and pink dragon fruit when it’s available through its supplier. Also on tap are kiwi berries, Buddha’s hand, kumquats, plantains and aloe vera leaves.

“[Sales] are steady, but we don’t sell them in huge numbers,” said Kathleen Casey, development director.

What Weavers Way stores do sell in large numbers are the company’s own pawpaws, which are available for a few weeks in late August to early September every year. “There’s a certain cult-like following out there,” Casey said.

“We grow them at our Roxborough farm,” Casey continued. “For a couple of weeks, you’ll find them on the shelves of all three stores and at our farm market. They taste a bit like a cross between a banana and a mango with more protein than many fruits.”

Smaller sizes

Because specialty products are not something the average consumer buys regularly, they’re typically sold in smaller quantities.

To make the products suitable for all households, Southern Specialties offers smaller microwaveable pack sizes suitable for two or three people, up to bulk packs for restaurants. But Eagle thinks there will be more people looking for these types of things.

“Today’s shopper is seeking different flavors, different textures,” Eagle said. “We continue to see the cycle from discovery at restaurants to education through media to availability on store shelves to experiencing at home. Today’s consumer seeks new culinary experiences.”

Covilli supplies its specialty products in much smaller sizes.

“Demand is never robust because it’s a specialty item,” Madrigal said.

Covilli offers its dragon fruit in 5-pound and 10-pound boxes, which are much smaller than it typically offers.

“They work for a lot of retailers because they sell less of them,” he said.

Its hot chili peppers are also usually in 10-pound boxes.

Education channels

At Weavers Market stores, since many customers don’t know about specialty produce — especially the pawpaws — the stores provide information on where the fruits come from, some background on them, how they taste and how they can be eaten, along with recipes.

Not much merchandising fanfare is needed because customers seek out the pawpaws and few others stores carry them.

Though many consumers recognize specialized products, “there’s still room for more customers to experience them and become more comfortable preparing them,” Eagle said.

In fact, he said, “where we fall down is the information strain.” He said it’s important to educate supermarket staff “so they’re fluent discussing those products with customers and are considered a resource.”

To get information to this valuable resource, Southern Specialties at one point included information sheets within shipping boxes for retail staff, but they weren’t used, Eagle said.

J&C Tropicals suggests that retailers group its tropical fruits by demographics so exotics are displayed together, and vegetables like boniato, yuca, malanga and calabaza should be grouped together.

“Merchandising a diverse group of tropicals is always key, as that’s what consumers are looking for most these days,” Gomez said.

The company has been doing one-on-one training sessions with store managers and produce departments “to educate them about our product, and doing on-site cooking presentations,” she added. “In addition, we do in-store demos, giving out samples.”

Melissa’s provides POP materials to provide information such as how to tell when produce is ripe, nutrition facts and recipes. The company has pulled back from doing QR codes, Schueller said, adding that “retailers just want the plain-Jane information.”

“We teach retailers how to properly merchandise and sell, and the peak times to sell,” he said.

Packaging tells a story

Covilli provides QR codes that lead to more details, recipes, its website and information on how to prepare items. It offers posters and educational sessions — online or in-person — to retail staff.

“We’re really open and flexible to the needs of our retailers, especially the smaller ones,” Madrigal said. “They are the ones it’s critical to convert; if the person doing the ordering is educated, they’ll likely order more. What we’re bumping up against is that people don’t know what to do with [some of our products].”

When it comes to specific products, like dragon fruit, the company provides recipes and farmer photos and explains how to use the items, how they taste and other attributes.

Covilli is developing packaging that can help tell its story at the shelf level, and it hopes to launch it this summer. The packaging will be similar to that of a four-pack of beer, but for a two-pack or a four-pack of fruit. The packages will include information such as how to prepare the fruit, what it tastes like, where it comes from and more.

Covilli is active on social media, using it for fun and to show the people behind the produce, Madrigal said.

“It’s not a marketing or sales tool,” he said. “It’s about having fun and telling our story.”