Hi, have you ever been to a Trader Joe's? it's a big success story. Let's look at
this store from a shopper marketing perspective and see what marketers can
learn from the guys in the Hawaiian shirts. I'll be showing you seven success
factors you can use in your marketing strategy. Number one: Trader Joe's creates
a unique shopping experience. When you visit most grocery stores the word that
usually comes to mind is "boring". Most supermarkets are basically alike. They
look and feel the same. Trader Joe's is different, it has a unique look to it.
All Trader Joe's stores are decorated in what could best be described as a
tropical Tiki style. Let's face it, for many consumers grocery shopping isn't
the most exciting of activities but at Trader Joe's it becomes an experience,
a mini shopping adventure. Trader Joe's somewhat wacky and a little corny store
design helps differentiate it from other supermarkets, And in marketing
differentiation is a good thing! Number two: Trader Joe's makes shopping
very easy. Trader Joe's stores are much smaller than most American supermarkets.
Many have a size of around fifteen thousand square feet. The relatively
small size and simple layout makes shopping more convenient than in a large
Super Center like Walmart or even a Whole Foods Market. Trader Joe's also has
quite a limited product range. A typical supermarket carries about 50,000
products. Trader Joe's carries only four thousand. Again, this is actually an
advantage. As consumer research has shown, shoppers like to have choices but they
are often overwhelmed by too many. Not so at Trader Joe's. Because of the limited
selection, shopping is simplified. Shopping is also facilitated by helpful
product shelf signs. These signs help shoppers with their choices by pointing
out what is special about the product or how to use it.
The company also has a helpful website with product tips and creative recipes.
They also have a newsletter, their trademark fearless flyer, which anyone
can subscribe to. Of course, in-store shelf signs point to the products
described in the flyer. Convenient for the shoppers and a highly effective
sales promotion tool for the company. Number three: Trader Joe's stores have a
personal touch. All Trader Joe's stores have a common theme but nevertheless
they emphasize individuality and regionalism. You can see this here in the
decorations used in my local store in Orlando Florida. This is further
emphasized by the signs, which are handcrafted in each individual store.
You know what to expect when you enter a Trader Joe's but no two stores look
identical, which is appealing to shoppers. Number four: Trader Joe's products are
unique. Trader Joe's has a limited selection of products but the products
they carry feel special and unique. The vast majority of their products are
store brands, which helps the company keep their prices low.
However these private brands don't feel in any way second-rate. In fact, many of
them appear quite exotic and upscale and more in line with what you would get at
an upscale specialty grocer like Whole Foods Market or Zabars rather than a
traditional supermarket let alone a discount food store like Trader Joe's.
They really offer gourmet foods at discount prices. Trader Joe's
also frequently introduces new products which help to keep the product range
fresh and exciting. Each Trader Joe's has a tasting station, which is an excellent
way of introducing shoppers to new products and to enhance the emotional
connection with the store. Number five: Trader Joe's is fun. It is quirky by
design. This fun factor can be seen with the signs throughout the store. Instead of a
boring intercom system they use bells as their communication system of choice.
Humor is also apparent in the product names, which kind of wink at the shopper.
How about this herbal tea? If life gives you lemons... Or this product here...
Italian products become trader Giotto. Spanish products Trader José and Asian
products Trader Ming. There is also fun for the kids. In each store there is a
hidden plush animal like a peacock in this store or a crane in this store here.
if a child or as I was told even a dolt points out the location to a
cashier, they receive a little gift. Hey, never turned down a free lollipop!
Number six: Trader Joe's makes discount shopping
feel okay. Discount stores frequently feel depressing. They make shoppers feel
poor, uncared-for, looked down upon. Trader Joe's is different, It is a discount
store and its prices are on par with other grocery discounters but it makes
the shoppers feel every bit rich and sophisticated. It doesn't have the social
stigma of a shop for the poor. Shoppers from different walks of life
can feel okay here. It's store design is really quite clever because it manages
to convey a certain worldliness and light-hearted sophistication without
interfering with the low-priced image of the store. TJ's even makes fun of its
discount prices. For years it has been selling its inexpensive store brand of
Charles Shaw wines. Alluding to its low price, the company tongue-in-cheek refers
to it as Two Bucks Chuck. Number 7: Trader Joe's staff were genuinely friendly.
It may sound cliche but any company is just as good as its employees at Trader Joe's
you get the impression that staff members actually like their jobs and the
customers. They're easy to talk to, knowledgeable and genuinely enthusiastic
about their products. Ultimately, they are are the ones who make discount shopping
at this quirky store a fun and memorable experience.So there you have it: seven
things marketers can learn from Trader Joe's. If you enjoyed this video, please
leave a comment, Also, don't forget to subscribe. Have a great day,
or as they say at Trader Joe's: Aloha!