But is Trader Joe's taking over the country? Not yet at least. Thousands of cities don't have this fine grocery store. Whole Foods is everywhere, but a small business can kill Whole Foods with better pricing if they want to. There is opportunity here.
The new business idea is actually an old business idea with a fresh look. This idea is a bit complex, and is no easy task, but I have a few things that I think are critical to stealing grocery market share.
- Take notes from Natural Grocer stores. They package their own spices and save customers big with this technique. What else can be purchased in bulk and packaged in the store to save customers money?
- Take notes from Trader Joe's, they developed their own alcohol brands and deliver high quality wine, beer and liquor at insanely low prices.
- Take notes from Savory Spice. They carry things that are difficult to find at big grocery stores, like dutch chocolate, but are desirable by people who love to cook. They also give out 3x5 recipe cards if you need help using a new spice.
- Hire people who like to cook. Grocery stores are typically filled with people who are uneducated, and rarely appear to be a cooking connoisseur.
- Teach employees and customers to cook better, and healthier. Steal the marketing space of customers who need some help with their cooking.
Can a smaller grocer store steal customers away from Super Targets, Wal-Marts, and Kroger stores? I believe it can.