NEWS IN BRIEF

Sprouts Farmers Market builds retail brand awareness targeting new markets

By Mary Ellen Shoup contact

- Last updated on GMT

Photo: Sprouts Farmers Market
Photo: Sprouts Farmers Market

Related tags: Sprouts Farmers Market

Half of the new stores Sprouts is opening in 2019 will be in new markets, helping to build its brand awareness across the US, said interim Co-CEO Bradley Lukow at the BMO Capital Market Farm to Market Conference.

"Traditionally, we've been about 70% in our regional eight regional states (West of Texas),"​ Luklow said, according to a presentation transcript​. "Now that we're in 19 states across the US coast to coast, the brand awareness is significantly greater than it was even three years ago."

According to Lukow, the retailer has made improvements to the product selection, analytics, and go-to-market strategy of its e-commerce business, which has also helped build the brand. 

"The consumer awareness of the brand is significantly greater. The results, our new store productivity is great, our average weekly sales continue to be stronger and stronger every year. And so it's the right time for us to continue to increase our penetration in these new markets, and we see tremendous white space opportunity, particularly in Florida and the Mid-Atlantic states."

Apart from opening new stores, Sprouts has been experimenting with its retail format, introducing five new prototype stores in 2018 focused on improving the shopper experience in the deli, bakery, meat, and seafood areas.

"What we've done is we've taken the production activity that was in view of the consumer behind the service case and put that -- move that to the back of the house," ​Lukow said. 

"The consumer verbatim comments are they can't believe how much more product that you have in the store. The reality is it's the same product. Yes, we've continued to enhance and develop new items, particularly in the ready-to-eat category, but it's all about the merchandising and the experience in the store,"​ Lukow said. 

"And the younger generation, millennials, are much more attracted as compared to our previous format. And so we're seeing that resonating very well at particularly 12 o'clock, 5 o'clock time frame."

Eight of the 28 new store openings will follow the new prototype format, according to Lukow. 

Related news

Show more

Related products

show more

Analysis: Localizing Your Supply Chain

Analysis: Localizing Your Supply Chain

Oracle NetSuite | 14-Jan-2021 | Technical / White Paper

The COVID-19 crisis has exposed the lack of visibility many organizations had into their offshore suppliers and manufacturers, leading to a call for greater...

Maximize supply chain visibility with Muddy Boots

Maximize supply chain visibility with Muddy Boots

TELUS Agriculture | 15-Dec-2020 | Product Brochure

Muddy Boots’ Greenlight Supplier Management helps food manufacturers, processors and retailers boost product quality, reduce waste and delight customers.

Fortifying Dairy with Probiotic Benefits

Fortifying Dairy with Probiotic Benefits

GanedenBC30 | 03-Dec-2020 | Technical / White Paper

Consumers’ search for added health benefits in everyday products opens up opportunities for manufacturers to add probiotic benefits to the dairy and alternative...

Big surprises in Ipsos survey of 6000 flexitarians

Big surprises in Ipsos survey of 6000 flexitarians

DuPont Nutrition & Biosciences | 30-Nov-2020 | Technical / White Paper

Flexitarians in 9 countries give a meal-by-meal account of their preferences. Discover what it takes to make plant-based part of every meal in our groundbreaking...

Related suppliers

Follow us

Products

View more

Webinars