Biz: Trader Joe’s: Three things you don’t know about the grocer
- As major grocery chains go, Trader Joe’s is Apple. They’ve built a fervent fan base on high quality control, building anticipation and being very secretive. Fortune Magazine spent a solid couple months trying to figure out some stuff about the buzzed-about chain. The whole story is essentially an awesome read, but here are a few details that raised our eyebrows.
- oneMost grocery stores have 50,000 SKUs, or stock-keeping units. An average Trader Joe’s has just 4,000. They limit inventory to build appeal.
- twoWhile nearly 80 percent of products sold have Trader Joe’s branding, they’re secretly produced by big-name companies hidden from view.
- threeOne of the grocer’s biggest R&D expenses is on travel for finding the next big product. They like to set food trends, not follow them. source
