Tops Expects Big Things From Smaller Format
Tops Markets is the latest retailer looking to use smaller
stores to expand into areas it wouldn’t have considered building in before.
case in point is a new 27,000 square-foot store in Cheektowaga, NY. The new
store, the first completely new unit built in Buffalo metro region by the chain
since 2003, is half the size of the typical Tops.
“We think this is going to be a big part of our future,” Frank Curci,
president and chief executive officer of Tops, told The Buffalo News. “We
think there are more opportunities for stores of this size.”
opened its first smaller format store last summer, that one a 40,000 square-foot
unit, and quickly learned that locals wanted all the services offered in a
70,000 square-foot store.
“We have some of everything you’ll find in a big store. The trick is
how do you fit it all in,” Mr. Curci told the News. “We didn’t
build this to be a convenience store.”
The chain has discovered that shoppers
at smaller stores spend about the same per visit as its larger locations. The
difference between the two is the number of shoppers they attract.
think that fewer shoppers equates to any less satisfaction with the store.
Holtz, supervisor for the town of Cheektowaga, told The Buffalo News, “This
area really, really needed a store. It just changes the entire neighborhood.”
- Tops Markets, Local Community Celebrate Grand Opening of Cheektowaga Store
– Tops Friendly Markets
- Tops seeks to grow by going smaller – The Buffalo News
Discussion Questions: What potential do you see for the use of small format stores to fill-in gaps in areas where conventional stores won’t fit? What are the particular challenges of operating smaller stores for retailers used to opening larger ones?