Is the future of upscale grocery in Aurora, IL?
Today there is a slew of upscale grocery chains jostling to differentiate themselves with boutique on-trend product selection, experiential offerings and various high-tech bells and whistles. The recently opened Cosmopolitan Marketplace in Aurora, IL joins a growing list of grocers with a slate of features that go beyond a standard supermarket, and in fact some of what is on display make rivals seem run-of-the-mill by comparison.
The first and thus far only Cosmopolitan Marketplace had its grand opening in early July. In addition to a gourmet supermarket, the Marketplace sells kitchenware and houses a Brazilian Steakhouse, furniture store, and appliance showroom. The grocery space features such aesthetic add-ons as LED lighting and chandeliers, according to CBS Chicago. A Chicago Tribune article further describes quartz and chrome shelving, a bar and restaurant, a full bakery, a floor for meat processing and a coffee bar.
Perhaps one of the store’s most notable features is the implementation of a checkout technology that does away with the need for cashiers to ring up individual items. CBS Chicago reports that a camera system called RAPTOR (Retail Application Prototype Testing of Operational Robotics) allows customers to place their groceries on a conveyor belt and have them scanned by a camera that circles the items.
In an interview with the Chicago Tribune, Matt Bank, store director, said the store has increased its inventory since its soft launch in June, bringing in products based on requests from the community.
Reviews on Yelp were split in terms of their take on the décor, with some reviewers indicating that it was gaudy, lacking in signage and laid out inconveniently. Others called it a unique shopping experience.
Discussion Questions
Is Cosmopolitan Market’s list of features enough to put it on the map against competitors like Whole Foods and other upscale grocers? What will Cosmopolitan have to do in order to expand beyond one store?
If they get the details right, it certainly could rival some of the other upscale grocers. It sounds like they are taking on a lot at one time and some things could fall through the cracks. I’ll be interested to find out post-grand opening results.
Hard to comment on differentiation of the store without experiencing it first hand. The description sounds a lot like a Wegmans clone.
Wegmans is the gold standard in consumer shopping experience and consumer brand loyalty. While Wegmans doesn’t have robotic self-checkout, it does have some incredibly talented people in the aisle that make all the difference in terms of creating a differentiated experience.
While it will certainly attract attention, it’s hard to imagine it’s sustainable unless it has great prices, a better selection and becomes easier to shop. And Aurora is pretty far out in Chicagoland and does not have the highest of median incomes. Yes, there are higher-end communities near it, but how many people will drive how far for this?
Looks nice, and I’m sure the income per capita in that area must be very high or it will not make it. Fancy stores are awesome to shop in, and with the restaurants and every other bell and whistle it should do well. For the rest of us in rural America, it is a great place to visit and enjoy, so I wish them well. If they can execute well and actually engage the customers then it could expand to other high income areas.
Well, note the kids in the video — matching clothes? Too hip and too perfect. Cosmo will survive for awhile but they carry a lot of merchandise and that means lots of capital is spent to drive the store.
In that area of IL their are many “keep up with the Joneses” families so they picked the right place. Aurora is always trying to catch Naperville (the perfect city full of perfect people). Excellent site location for people who love to spend for image — so give them a year, at least see if they make it past next March.
Wow! This is Wegmans on steroids. Yes, this store will be put on the map and be a favorite of GPS devices for every retailer, supplier and consultant that comes to town.
The traditional supermarket is moving online. What has been the bread and butter of the core retailers can be more easily found and even delivered to your home. If people are going to go to a store, there has to be a draw. At a Wegmans it is often “I will meet you there for coffee (or lunch or a snack).” It becomes part of the neighborhood. This will do the same. It is a destination that also sells bread and butter.
This may be “if you build it, they will come.” With its multiple and diverse offerings, I can see the draw of people from quite far away so they can accomplish furniture, appliance, food, etc., shopping and then have dinner, or vice versa, and one things leads to another, you know how it goes.
The most tantalizing news for me was the checkout technology.
Well, it hits the right notes — facilitated checkout, explorative experience and good prices. I think that seamless integration with mobile has to be part of the equation but that could be on the roadmap assuming that this gets off to a promising start.
When I was little, a new store nearby tried (what was then considered) a luxury approach with things like carpeted floors. Well, guess what: carpet isn’t a very good floor covering for a market (for a variety of reasons). Translation: gimmicky glitz is fine, but it’s no substitute for intelligent design or inventory management. The comments on Yelp! about signage and layout I find concerning. Minor glitches to be worked out or fundamental problems? I guess we’ll find out.
I’m going to wait and hold my breath on this whole sector. Yes, there’s a growing segment more interested in “healthy,” but what I’m waiting for is someone to deliver it at a better price. We’ve seen how mainstream shoppers switch to credible discount grocers, reflecting price sensitivity and propensity to switch. Now, can someone deliver “premium” at mainstream prices?
Is there a sweet spot between low-price oriented stores and Whole Foods that a sharp supermarket company could profitably occupy? I’ve heard words to the effect of “organics-plus-center-store” uttered by folks familiar with Haggens (the WA-based chain that acquired 120 former Safeway, Vons and Albertsons earlier this year).
Cosmopolitan Market concept sounds a little like Lund’s in Minnesota—a high-service luxury experience for the price-tolerant. Maybe it’s even aiming for parity or higher with Whole Foods. I’m not sure that chandeliers and expensive shelving materials add a lot to the shopper’s well-being, but great food choices can certainly be a draw.