The organizing aspect involves the design of ultimate goal and allocating the duties and responsibilities of the different jobs as well as the method in which they should be carried out. Trader Joe’s is able to maintain their quality while distributing these duties by picking the right employees to work for their locations. They believe that a happy work force creates happy customers and having happy customers is at the center of their concerns.
Trader Joe’s is a major food retailer who has developed quite the name for themselves. It has well over 350 stores in over 32 states and is expected to continually grow over the next few years (Bond, 2012). For over 50 years, Trader Joe’s has been providing quality customer services, products and a unique shopping experience for its customers. They have come a very long way from when they first officially opened their doors. Trader Joe’s started when its founder Joe Coulombe wanted to find a way to differentiate his 7-Eleven stores (Schermerhorn, Osborn, Uhl-Bien & Hunt, 2012). In the food retailer industry, Trader Joe’s has developed a process that works well and
Trader Joe’s is an organic grocery food store that is one of the best known organic food chains. By listening to the consumer and adjusting to the changing consumer market, Trader Joe’s had built a brand equity that is continuously growing. Trader Joe’s faces stiff competition from other large organic food chains therefore must stand out and adapt to the consumers’ needs. Marketing strategies are important to communicate to the consumer more effectively and help target the consumer to their product. Trader Joe’s segments its products by psychographic, behavioral and demographic characteristics
One of Trader Joe’s biggest advantages is in their target market. They have found the niche that appreciates higher quality foods but is on a tight budget and Trader Joe’s has managed to provide high quality food that is at a great price. So you end up with the individuals who are health conscious and in college or recently graduated who value a great deal. Trader Joe’s has realized that and has capitalized on this fact by opening in locations that are easily accessible to both students
Trader Joe’s chief executives have been careful in their expanding of the brand to more geographic locations, and they must continue to seek out their target market of “intelligent, educated, inquisitive individuals” and settle around them.
Thirdly, Trader Joe’s stores are small and located in non-prime locations, which holds fixed operating costs at bay. Furthermore, the company is able to generate the industry’s highest sales per square feet in its small sized stores. In an effort to diversify from its competitors, Trader Joe’s also relies on a non-traditional marketing strategy. Completely neglecting conventional marketing techniques like commercials or promotional offers, the company focuses on unique and store specific in-store marketing with its newsletter and the occasional radio ad being its major means of communication with its customers. The Trader Joe’s brand with its vast fan base is naturally another part of the company’s competitive advantage.
Every retail location carries a variety of products that distinguishes it from other stores in the same chain. Not surprisingly, it is difficult to achieve economies of scale. Supply Chain Mackey describes his consumers as being “part of a cult”. Whole Foods believes that the company’s emphasis on perishables and locally-sourced produce differentiates their stores from run-of-the-mill supermarkets and attracts loyal and devoted customers. However, “fresh produce” is one of the most challenging product categories to operate due to limited product shelf life and high cost of spoilage. Whole Foods has tried to circumvent most of the problems inherent in supplying fresh produce to its stores by sourcing locally and having short and flexible supply chains. In the case of fruits and vegetables, Whole Foods has buying relationships with local farmers who supply the store with seasonal produce. Thus, if one farmer is unable to produce a sufficient amount of yellow corn or heirloom tomatoes, the shortfall can be made up by another farmer. Although challenging to perfect, these short supply chains are agile and difficult for other big retailers to duplicate.
“At Trader Joe's, our mission is to bring our customers the best food and beverage values and the information to make informed buying decisions. There are more than 2000 unique grocery items in our label, all at honest everyday low prices. We work hard at buying things right: Our buyers travel the world searching for new items and we work with a variety of suppliers who make
Market Force has ranked Trader Joe’s as #3 for America’s favorite grocery stores (Vasel, 2016). Trader Joe’s is all about customer service, happy employees and offering high quality products at low prices. Their strategy is to compete differently than their rivals, and by offering products that the others can’t. This is reflected in their mission statement below:
Current news report describes Trader Joe’s as a “trendy grocery store with cult like following,” Similar new report that Trader Joe’s are opening up a store in Florida. I do believe Trader Joe’s is a management benchment
Trader Joe’s is a neighborhood grocery store chain which was founded by Joe Coulombe in 1967. It started as one store in California in 1967 and has grown to be 414 stores in 38 states as of July, 2013. As of 1979, It is privately held by German grocer Theo Albrecht, owner of Aldi North. Consumer Reports ranked Trader Joes the second best supermarket in the US in 2012.
Trader Joe’s operates over 340 stores in 9 states were they “buy direct from suppliers whenever possible, bargain hard to get the best prices and then pass the savings on to the customer” (Trader Joe’s, 2013, para. 4). Whole Food’s Market is the “world’s leader in natural and organic foods, with more than 360 stores in North America and the United Kingdom” (Whole Food, 2013, para 2). Trader Joe’s and Whole Food’s Market have managed to take original ideas and spread them throughout the nation to many different customers. Although they differ not only in the technique in which they decide to bring products to their customers but also in term of inventory management and supply chain organization. These two companies have become so successful in my opinion, not by what they differ in but what they have most in common, which is their commitment to their loyal customers, employees and undeniable quality in their products they sell. Through their loyalty to their customers and employees in addition to their irreplaceable value
One of Whole Foods main strategic issues is how it should sustain positive growth in sales. Sales growth in 2008 was 0.8%, compared to sales growth increase of 8.2% in 2007. However, much of these low sales growth figures were at the former Wild Oats stores rather than the stores that Whole Foods Opened. This is definitely a strategic issue because Whole Foods’ current strategic model is not showing positive sales growth. From $203 million in 2006, it fell to
Wholefoods makes it a priority to communicate the company’s deeper purpose and to celebrate food and the people who produce it (Wholefoods, 2014). Via their multichannel advertising they will demonstrate the values of what is being called “America’s Healthiest Grocery Store”. They will do this by using the promotional theme “Values Matter” primarily in television, print and digital advertisements (Wholefoods, 2014). Wholefoods believes that by creating and adding value to their company, they will receive a good reputation and create a positive brand name. In their ads they will clarify the origin of their products and the standards behind them. Also, in order to develop the creative approach, the company partnered with New York-based Partners & Spade. This partnership has created headlines such as “The Highest Standards Weren’t Available, So We Created Them,” which advertised Whole Foods Market’s signature standards (Wholefoods, 2014).
The concept for Whole Foods Market began in 1978 where it has now grown to be the leading natural and organic foods supermarket. Whole Foods Market originally began in Austin, Texas; it has since grown in operation to the United States, Canada, and the United Kingdom. The original founders of the company are John Mackey, Craig Weller, Mark Skiles, the current owner of Clarksville Natural Grocery and Renee Lawson Hardy, who was then the owner of Safer Way Natural. The original four local business owners came together in a consensus that concluded, the natural food industry was ready for a large-scale supermarket format. The founders of Whole Foods Market wanted to be more than a health food store selling pills, but rather as a market that featured organic wholesome foods that catered to the health conscious consumer. From that idea, Whole Foods became the nation’s first large-scale