John Boccuzzi, Jr.

PL Buyer: Joe's Trading Its Way to the Top

August 23, 2010

FROM RETAILWIRE:
While it's doubtful most retailers would want to copy Trader Joe's outright, they can learn some important lessons on how to make their private label lines as appealing to consumers. What lessons does Trader Joe's success offer those looking to develop their own private label programs?      [more...]

Trader Joe's has several lessons that we can all learn from.

1)Treasure Hunt - Similar to Costco's center of the store, Trader Joe's is a treasure hunt with constant new products in both national and private Label being brought in every month.

2)Unique and high quality private label items - Trader Joe's works hard to find items that don't always imitate successful national brands, but are unique. Their variety of nut and dried fruit mixes is just one example

3)Customer care - Trader Joe's focus on customer service is tough to compete with. They have found a way to motivate employees by creating a fun and interesting work environment that pays above average wages. I have been saying hello to the same Trader Joe's employees for almost 10 years. That says a great deal about their pay structure and work environment.

4)Fast checkout - Trader Joe's is constantly opening and closing registers to keep traffic moving quickly through the store. Nobody likes to wait in line or do self checkout with 20 or more items.

Trader Joe's is a wonderful place to learn from, but each retailer needs to create their own mission statement and corporate culture. What works at one location is not always transferable to another unless management is 100% on-board. Don't try to imitate Trader Joe's, learn from them and then create your own unique, exciting and successful culture. Sales, success and profitability will follow.