Heritage Grocers Group (HGG), a leading Hispanic and ethnic food retailer, today announced a strategic transformation in how it plans and produces fresh prepared foods. By shifting from experience-based methods to a cutting-edge, data-driven production planning system, HGG aims to enhance product availability, optimize labor, and better serve the rich diversity of the communities it calls home.

"Leveraging predictive analytics, this system will enhance market demand fulfillment and boost sales through optimized product availability and superior customer experience," said Prabash Coswatte, Chief Operating Officer for Heritage Grocers Group.

Headquartered in Ontario, California, HGG operates across six states—California, Texas, Nevada, Arizona, Kansas, and Illinois—under four beloved banners: Cardenas Markets, El Rancho Supermercado, Tony’s Fresh Market, and Los Altos Ranch Market. Across these regions, HGG is recognized not only for its extensive fresh offerings, but also for delivering authentic food experiences that resonate with multicultural shoppers.

The decision to revamp its production strategy is backed by a compelling insight: multicultural families are driving America's fresh prepared food revolution. According to the International Dairy Deli Bakery Association (IDDBA), 76% of Hispanic, 70% of Asian American, and 69% of African American shoppers purchase prepared foods at grocery stores—compared to just 59% of white/Caucasian shoppers. This trend is fueled by a desire for quick, high-quality meals that reflect cultural traditions and suit the needs of larger family units.

“Fresh prepared isn’t just about convenience anymore—it’s about cultural connection,” said Coswatte. “From carnitas and caldo to pan dulce and pozole, our customers are asking for ready-made meals that feel like home. This new system ensures we meet that demand, store by store, hour by hour.”

Mike Sanders, CEO of Upshop, the technology partner behind this transformation, added, “We believe the future of retail excellence lies in the power of AI and a single, unified operations platform. By streamlining forecasting, labor, and production into one intelligent system, we’re helping retailers like Heritage Grocers Group move from good to great—maximizing efficiency, minimizing waste, and most importantly, delivering a better experience for every shopper, every day.”

What the New System Delivers:

• Elevated Sales: By improving freshness and minimizing stockouts, HGG ensures customers can find what they need—when they need it.
• Smarter Demand & Team Planning: Forecasting tools align staffing with actual demand, particularly in service meat and deli departments.
• Efficiency Gains: Batch processing for cutting and wrapping reduces prep time and allows employees to focus on customer-facing roles.
• Better Service: Fewer wait times and more consistent product availability enhance the in-store experience.
• Workforce Optimization: Scheduling is tailored to each store’s unique production rhythm, improving labor utilization and employee satisfaction.

With multicultural consumers also driving mainstream adoption of global flavors, according to Nielsen, this initiative not only modernizes operations—it secures HGG’s leadership position at the heart of America’s evolving food landscape.

This is more than a systems upgrade. It’s a reaffirmation of HGG’s belief that culture and technology can—and must—coexist in the aisles where families shop, celebrate, and connect.

About Upshop

Upshop is the leading provider of AI-powered retail operations software, helping grocers and convenience stores sell more and waste less through a unified platform that synchronizes forecasting, ordering, production, and inventory across the store. From Fresh to Center Store, DSD to eCommerce, Upshop empowers better decisions, faster actions, and more connected teams—improving labor efficiency, reducing shrink, and driving profitability.

With over 450 retailers and 50,000+ stores globally relying on Upshop to manage mission-critical operations, the impact is evident: In fact, one national grocer utilizing eCommerce order management and fulfillment functionality reported over $14 million in annual savings, in addition to increased basket sizes when using conversational commerce.

To learn more about the Total Store Operations Experience, visit https://upshop.com/, and watch customer testimonials at Upshop Total Store Operations Experience - YouTube.

About Heritage Grocers Group

Heritage Grocers Group (HGG) is a leading specialty, ethnic food retailer that offers an extensive assortment of both traditional and specialty grocery items to the communities it serves. With a unique customer experience focused on freshness, authenticity and affordability, the HGG family of destination groceries incorporate freshly made ethnic foods, differentiated floor formats presenting distinct specialty categories and localized assortments that engage with each community. Headquartered in Ontario, California, Heritage Grocers Group operates in six states: California, Texas, Nevada, Arizona, Kansas, and Illinois, with a total of 58 stores under the Cardenas Markets banner, 29 stores under the El Rancho Supermercado banner, 21 stores under the Tony’s Fresh Market banner, and 7 stores under the Los Altos Ranch Market banner. For more information visit https://www.heritagegrocersgroup.com/.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250812230471/en/

"Leveraging predictive analytics, this system will enhance market demand fulfillment and boost sales through optimized product availability and superior customer experience," said Prabash Coswatte, Chief Operating Officer for Heritage Grocers Group.