Winn-Dixie Tries to Burnish Image
"We had a tarnished image," Roberto Gonzalez, an area manager for Winn-Dixie, told The Tampa Tribune. "We’re working to change it."
The change Mr. Gonzalez was referring to involves a $100 million investment by Winn-Dixie to remodel stores, including one in Sarasota covered by the Tribune. Among the amenities in the decidedly upscale location were sushi and pizza bars, chef stations, a cafe with free Wi-Fi and more.
Winn-Dixie’s approach has been to localize assortments to build a deeper connection with consumers.
When the chain announced it was going to convert all its SaveRite stores to the Winn-Dixie banner in August, chairman, CEO and president Peter Lynch said, "For several years, Winn-Dixie’s business strategy has placed an emphasis on merchandising to the needs, tastes and preferences of local yet diverse neighborhoods, which means we strive to customize our product assortment to fit the lifestyles of the communities we serve. By aligning all 484 stores under one Winn-Dixie banner, we will be able to ensure a more consistent shopping experience for all of our guests — regardless of the type of neighborhood in which we operate."
Other steps taken by Winn-Dixie include an expansion of its fuelperks! Rewards Program.
According to a recent press release from the company, shoppers who purchase $50 worth of goods using their Winn-Dixie Customer Reward Card earn a discount of five cents per gallon on a fill-up at participating Shell stations. The amount consumers earn increases with larger purchases in stores: 10 cents off per gallon with $100 in purchases; 15 cents off with $150, etc.
So the question becomes, have the steps taken by Winn-Dixie worked?
According to company execs, the answer is "Yes." Sales at remodeled stores are up 10 percent.
Back in June 2010 when RetailWire ran a story on Winn-Dixie’s plan to remodel its way back to success, 69 percent of respondents to an accompanying poll said they were "somewhat" or "much more optimistic" about the chain’s prospects.
- Winn-Dixie Tries to Reformat Image – RetailWire
- Winn-Dixie boldly trying to change perception – The Tampa Tribune
- Winn-Dixie Expands fuelperks! Rewards Program Throughout Central Florida – Winn-Dixie Stores, Inc./Business Wire
- Winn-Dixie to Convert SaveRite Stores – Winn-Dixie Stores, Inc./Business Wire
Discussion Questions: Is Winn-Dixie on the right track to improve its image with consumers? What steps do you think it has to take to change negative perceptions about the company?