Philly's iconic Di Bruno Bros. peddles old-world food
over the internet
Owner Emilio Mignucci
offers a cheese sample at the 1730 Chestnut St. site, one of five Di Bruno
Bros. stores in the region.
by Suzette Parmley, Staff Writer @SuzParmley
This
might be the perfect marriage between old-school Italy and the new digital
age.
A
Moody’s report this month predicted that all e-commerce sales will keep growing
as companies use physical stores to continue building a greater online
presence.
That has
been the experience of Di Bruno Bros., the venerable food
emporium that operates four stores in Philadelphia and one in Ardmore.
Online
sales are just 5 percent of total revenue, but they rose about 30 percent in
2015 from 2014. The Center City-based company, which opened in 1939,
specializes in gourmet food, gift baskets, gourmet and specialty cheeses, and
Italian meats.
With the
goal of marketing its wares better online, Di Bruno is now producing how-to
videos.
Shippers
such as UPS, USPS, and FedEx are crucial to the business, said the
company's third-generation owner and vice president, Emilio Mignucci. Now 49,
he took over the family business in 1990, along with his brother, president
Bill Mignucci Jr., 50, and cousin Billy Mignucci, 49, vice president of
finance.
Emilio
said Di Bruno Bros. started online sales in 1998, and has been really ramping
it up in the last five or six years. “When we started, we had no idea how
to really do it,” he said. “Along the way, you learn a lot.”
While
embracing online, he said there was one thing they had to do: Maintain the
in-store experience on the digital platform.
"At
Di Bruno, we treat our customers like guests in our own house," he
said as he tended to the store at 1730 Chestnut St. And that's the essence of
what he wants to preserve online.
Longtime
customers "loved my grandparents,” Emilio recalled. “We had to continue
that legacy.
“In the
end, it’s really about knowing the consumers — what their needs and wants
are," he said. “It’s not the responsibility of the consumers that UPS
or FedEx screwed up. ... If we need to reship something, we do it. We
have to deliver in the e-commerce world.”
Nearly a
third of online sales go out of the area. Among the items sent packing
are aged balsamic vinegar, special cheese spreads, and jams.
Emilio
travels to Europe once a year to buy products, seal deals, and design labels
with suppliers. For instance, Di
Bruno carries truffle honey from Umbria, Italy, on its private label.
“We have
great products, so it’s about how to deliver a great experience through
e-commerce,” Emilio said.
In the
United States, online sales growth is outpacing overall retail sales growth,
but online sales still make up just 8 percent to 9 percent of total sales, said
the Moody’s report.
That
said, “online sales for food delivery remain a niche," typically for
well-heeled consumers. Buying online and picking up in the store "is a
compelling model for brick-and-mortar food retailers, and can be scaled,”
said Moody’s lead retail analyst Charles O’Shea.
At Di
Bruno, 95 percent of sales come from its five retail stores, catering events,
and distribution of products to other mom-and-pop retail stores,
supermarkets, and restaurants.
Di Bruno
doesn't aspire to Amazon scale. "We have our customers who want special,
unique products," Emilio said. "We have a niche. You can’t be
something you’re not."
But
"the website should have some bells and whistles" to get attention,
he said.
Nick
Manzo, an executive at 1WorldSync, a sales development firm, agrees: In food
service, "a competent online presence isn't often the first priority, but
we're seeing that change as more consumers look to purchase anything and
everything online," he wrote.
To drive
sales, he added, firms such as Di Bruno need to make it easy for customers to
buy because "food poses a larger set of risks than many other goods sold
online.”
For the
last three years, Di Bruno has been posting how-to videos on its website, Dibruno.com,
and on its YouTube channel, demystifying aspects of olive oil, charcuterie, and
cheese.
Emilio
hires a crew to produce the videos, which are like tutorials that embolden
consumers to try new products for entertaining, say, on a big game day.
“You
have to figure out ways to engage young people today,” Emilio said. “We
are very interactive.”
The five
Di Bruno stores have close to 400 employees, up from 300 in 2014.
“It’s
been a gradual growth since 1990, when we started with seven or eight people,”
Emilio said. “We are hands-on operators. We put in six or seven days a week;
that’s the norm for us."
A sign
of its growing online business is its holiday gift baskets. The company is
expecting to sell 16,000 baskets this year, up from 13,500 last year. They
range from $50 to $300 and special ones go for as much as $400.
The
business does a lot of food buys for corporations. “That’s where the growth is,
especially in Center City with all the financial firms and real estate
companies shipping all over to their clients and family,” Emilio said.
So Di
Bruno Bros. must stand on tradition even as it pivots to a digital
future.
“My
grandparents gave us a foundation for giving our customers a great experience
with food,” Emilio said. Firing up e-commerce "allows us to be more
of a national brand and presence. The goal is to teach people how to eat really
well and to celebrate their lives.
“Life is
good.”
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