In
fact, Trader Joe’s is nearly overtaking Whole Foods Market.
Trader
Joe’s is consumers’ favorite grocery store in North America for the second
year.
Whole
Foods is outside the Top10 this year despite being in third place last year.
The two companies have a lot in common and are often compared in
size ( 350 to 400 stores in U.S) and revenue ( about $12 billion A YEAR), but
the figures show which is more popular.
I knew
Whole Foods, why had I never heard of Trader Joe’s if it’s so popular in
America?
I’m
not sure if it’s related, but one of Trader Joe’s unique strategies is that it doesn’t
do mass advertising. .
It doesn’t
advertise on TV or in newspapers and doesn't even have flyers, coupons or
membership cards.
Moreover,
it doesn't do any special sales or discount, so we can’t practice our favorite
habit: checking today’s special discount items on flyers.
But is
this the only reason TJ saves on costs and provides good, low-priced products?
There
might be some more direct reasons, I guess.
Checking on the web, I found some other reasons Trader Joe’s is so attractive for shoppers.
1. Secret of low prices
The
main reason for the low prices is that 80% of Trader Joe’s products are private
label.
Items
are carefully selected, and only popular products are put on the shelves to
increase turnover.
It’s surprising that the usual
supermarket puts out an average of 50,000 items,
but Trader Joe’s only 4,000.
In
fact, when I choose yogurt in Trader Joe’s, I feel the choices are limited, compared
to
other supermarket, but it’s not bad, it’s pretty good to me.
I’ve been
having so many bad experiences buying unknown products I didn’t like.
The
more choices, the more confusion.
If I
can avoid buying nasty foods by buying something good and popular, I’m glad!
Trader
Joe’s has three stores in Manhattan, and they are all very small compared to
other supermarkets.
They're too small to shop between the
long lines for the cashier.
It may be because of Manhattan’s very
expensive real estate, but even in other areas
outside New York, Trader Joe’s store
space is relatively small.
It is said that Trader Joe’s sales per square
foot are twice those of Whole Foods,
and three times the industry average.
2. Secret of good taste
Trader
Joe’s knows it can provide high quality goods because its strong product development.
I
think Trader Joe’s unique strategy of product development is the source of its strength.
People
say, large companies that make Trader Joe’s products agree to strict secrecy.
So we
can get our favorite items only at Trader Joe’s.
“ I want THAT long cheese, with a cow
on the package, you know? ”
My 3-year-old daughter is very particular and she
doesn’t accept other cheeses.
Trader Joe’s “Milk Mozzarella Cheese Stick” is such
a great product.
I
think one reason people repeatedly go to Trader Joe’s is that each family has
its favorite items and every member has his or her own favorites as well, and
we can only buy them at Trader Joe’s.
Although
Trader Joe’s is so popular, it never stop trying to improve.It introduces
a certain percentage of new products consistently, so that the customer can always enjoy shopping and never
get tired of it.
Not
many companies would make such a great effort if their existing items sold well.
“ That truffle salt was really cheap
and good! But we can’t get it anymore.
I wish they would sell it again.”
I
heard there are many such one-time items, it feels like treasure hunting!
3. Secret of fun
In
addition to colorful, pop package or stores’ interior design,
we can see many
employees in Aloha T-shirts.
They’re
called crew, and crew members give kids stickers,
sometimes read picture books
or even do some face paintings.
All
the crew members I’ve met at Trader Joe’s are very friendly and always nice.
When I’m waiting in line, I hear the
ring tone, and a lady guides me to a cashier.
She looks as if she enjoys her work,
and it’s very hard to see such
a scene at other supermarkets.
Crew
members are paid well, better than the industry average,
and receive good
benefits.
Many
of them take pride in their company and the workplace.
They work hard, and
their attitude may be related why people like Trader Joe’s.
Other
than that, there is this kind of secret, too.
On the following site, you can find out
about it and enjoy a sense of shops and their products.
On the
website, you can also see the company’s history,
how it was born in the 1960s
in California:
I’m so
impressed with this page’s good design,
presentation and great communication
with readers.
It’s just amazing!
To look at Trader Joe’s anew, it is
really an interesting company.
Management strategy, organization and human
capital, supply chain management, marketing, product development -- from
various points of view,
Trader Joe’s is unique and very interesting to me.
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