PG-0719_Albertsons

INSIDE 80 Years of Innovation Message from the CEO Transforming the Shopping Experience Making Every Day a Better Day Connected to Customers and Values The Next Generation

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Flagship banner marks eight decades as an industry leader

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Albertsons at 80

80 Years of Innovation FROM ONE STORE AND A DRE AM GRE W A LE ADER IN GROCERY RE TAILING.

Albertsons storefront, circa 1958

hen Joe Albertson opened his very first grocery store at 16th and State streets in Boise, Idaho, on July 21, 1939, his aim was to give customers what they wanted.

Those early customers could buy 3 pounds of tomatoes, a pound of coffee and a 1-pound roast for just over 75 cents.

They could also enjoy handmade “Big Joe’s” ice cream cones for a nickel from the in-store scoop shop.

“When Joe Albertson opened his first

store in 1939, he knew the key to running good stores was working hard for the customer: Give them the products they want, at a fair price, with great customer service. Those principles still hold true today,” says Jim Donald, co-chairman of Albertsons and the retailer’s outgoing president and CEO. “We work every day to be the favorite local supermarket, providing the freshest, highest-quality products at a fair price. That’s it, that’s all. As Joe said, ‘Anyone can sell a can of beans; we sell good service.’”

Thirty people were employed at the 10,000-square-foot store, with de-

partment managers on a salary of $40 per week. The first year’s sales totaled over $170,000, with a net profit of almost $10,000.

Eighty years later, through growth, innovation and solid leadership, Albertsons Co. encompasses more than 2,300 stores, about 275,000 employees and millions of customers. The company is one of the largest food and drug retailers in the United States, with both a strong local presence and national scale — born from that single namesake banner now celebrating eight decades of innovation.

ALBERTSONS MILESTONES The War Years 1939-1946 1939 Joe Albertson opened his first 10,000-squarefoot store at the corner of 16th and State in Boise, Idaho. The first store

employed about 30 people, with department managers on a salary of $40 per week.

First year’s sales surpassed $170,000, with a net profit of almost $10,000.

1941 Sales topped $1 million, with three stores in operation.

1945 Albertsons Corp. was formed.

1946 A complete poultry operation, known as Stone Poultry Co., opened. Six Albertsons Food Centers were in operation, with sales approaching $3 million.

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1958 A frozen food storage facility was constructed in Boise.

The Postwar Boom 1947-1959 1949 The Dutch Girl Ice Cream plant opened in Boise, Idaho.

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1954 Albertsons acquired two stores in Salt Lake City.

1959 Albertsons went public with its stock. The Janet Lee private label name was created by Joe Albertson and company executive Wally Jordan, named after Wally’s daughter, Janet Lee.

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Albertsons at 80 Albertsons on Broadway, Boise, Idaho

Photo by V ito Palmis a no

Growth

From those early beginnings as a local grocery store, Albertsons has bloomed into a company that owns 21 wellknown banners in 35 states and the District of Columbia.

Taking inspiration from Texas-based subsidiary United Supermarkets, Albertsons introduced a new concept, its next-generation store, in 2018.

Referred to as a “food paradise” by John Colgrove, president of Albertsons’ Intermountain Division, Boise’s Broadway Avenue store offers ready-to-cook dinner solutions, exotic meats, a fresh prepared department, a food court and a full bar. The store’s vast offerings embody the store’s tagline: Eat Life Up. “We leveraged that great brand name into something that’s distinctly Idaho.

Featuring all things local and fresh, it is a destination getaway,” Colgrove told PG when it profiled the store in January 2019.

Albertsons on Broadway opened 79 years to the day of the opening of Joe Albertson’s first store at 16th and State streets in Boise.

“Joe was always an innovator,” says Susan Morris, EVP and COO. “His stores were the first ever to have magazine racks, the first to serve hand-scooped ice cream cones, and he was also the first merchant to bring grocery and household needs under one roof. He always sought to make his stores a special destination for customers. Joe’s legacy lives on through our employee promise today: Make Every Day a Better Day for everyone who walks through our doors.”

Morris knows all about the employee promise, as she started working at Albertsons as a teenager: “At 16 years old, I never expected the wide variety of career choices that exist at Albertsons.

I am so happy and proud my part-time job became my lifelong dream.”

The Man in Gold program, introduced in 1973, featured all store directors wearing bright-gold blazers that identified them as being in charge. Local Boise radio man Jack Link wore the trademark uniform in TV ads in the 1970s.

The popular TV spots declaring, “It’s Joe Albertson’s Supermarket, but the bakery department is mine!” aired in 1977 and are still counted as a favorite among employees and customers alike.

Albertsons’ Think Fast, Friendly Service campaign was introduced in 1984

ALBERTSONS MILESTONES The Baby Boomers Come of Age 1960-1969

1965 Albertsons purchased six Northern California stores.

1963 Wyoming was added to Albertsons’ operating states, with the acquisition of three food stores in Casper.

1964 Albertsons celebrated its 25th anniversary and being the 25thlargest food retailer in the U.S.

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A partnership formed between Skaggs Cos. Inc. and Albertsons to operate large combination foodand-drug units.

1975 Total sales reached $1 billion.

The Age of Consumerism 1970-1978 1972 Albertsons purchased a wholesale company in Boise (Sundries Center) as a first step toward establishing a distribution system.

1969 Albertsons was listed on the New York Stock Exchange with the assigned ticker symbol ABS.

1973 The Man in Gold program was introduced, with all store directors wearing bright-gold blazers identifying them as the persons in charge.

1976 A new corporate identification program included a new logo, private label design and store signage package.

1977 “It’s Joe Albertson’s Supermarket” television ads aired for the first time. Albertsons’ corporate philosophy became part of Americana.

CHEERS TO 80 YEARS!

CONGRATULATIONS ALBERTSONS

CELEBRATE RESPONSIBLY® ©2019 MILLERCOORS, LLC

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Albertsons at 80 to re-emphasize the company’s ongoing commitment to service.

That slogan has aptly described the company since its early days and continues to do so today as Albertsons adapts to meet customers’ changing needs.

Digital

Today, technology affects everything customers routinely do in their daily lives. They turn to their phones for almost everything, from finding the fastest route to work to looking for weekend entertainment.

How can grocers help make the shopping trip a value-added experience?

Albertsons focuses on how technology can help better serve customers with a digital transformation that enables the company to meet its customers whenever and however they want to shop.

Albertsons empowers consumers with fast and convenient in-store checkout experiences by implementing Toshiba Global Commerce Solutions’ self-checkout systems. By leveraging Toshiba’s focus on front end store optimization, expected checkout times will speed up — from wait time in line to payment — to improve operational throughput and reduce shopper interventions, with the ultimate goal of improving the customer’s grocery store experience.

Albertsons’ home delivery services are available in 11 of the top 15 U.S. markets.

The company has enhanced its ecom-

merce platform with Glympse, a location-sharing technology that will give shoppers real-time status of their grocery deliveries or Drive Up & Go orders.

In April, Albertsons joined the blockchain-based IBM Food Trust network and began piloting the technology to improve how food is traced from farm to store shelf. The Food Trust enables greater transparency, collaboration and a safer food supply.

Albertsons’ home delivery services are available in 11 of the top 15 U.S. markets.

Branding, Branching Out

With more than 11,000 products in the Albertsons portfolio, its Own Brands offer quality and value for every shopper in every corner of the store. The 80th year brings the launch of a plant-based protein platform, expansion of the Season brand’s limited-time offerings and rollout of Signature Reserve, a newly launched top-shelf specialty brand, into numerous categories, including ice cream, pasta and pasta sauce.

Last year, Own Brands introduced 1,100 new products. The company operates 23 distribution centers and 20 food and beverage plants.

Albertsons operates more than 400 fuel centers, including nearly three dozen convenience stores, offering customers savings at the pumps and some of the grocer’s best products from its stores in a quick, convenient place.

The 1,000th Albertsons store, opened in 1999 at 3614 W. State St. in Boise, is a one-stop shop where customers can bank, pick up dry cleaning, grab dinner or file a police report.

The Future

Fifty-four years after he opened his first grocery store, founder Joe Albertson died in Boise at the age of 86 in 1993.

He worked tirelessly to open his first store and make it successful for his customers, and was focused on providing the right products at the right price with great attention to service.

After 80 years of serving the hometown Boise market and expanding into markets throughout the country, Albertsons continues to give shoppers what they want.

ALBERTSONS MILESTONES 1978 New corporate headquarters were constructed in Boise.

Retail operations were divided into four regions: California, Northwest, Intermountain and Southco.

Growing the Company 1979-1998

1984 Albertsons re-entered the Dallas area with the first of many combination food-and-drug units.

The “Think Fast, Friendly Service” tagline was introduced to reemphasize Albertsons’ ongoing commitment to service.

1981 Albertsons entered a new operating area in Omaha, Neb., with a 60,000-square-foot combination food-and-drug store.

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1989 Albertsons operated 497 stores in 17 western and southern states, including 127 combination food-anddrug units, 175 superstores, 167 conventional supermarkets, and 28 warehouse stores, making it the sixthlargest food and drug chain in the U.S.

1991 Warren McCain retired as CEO and appointed Gary G. Michael as his successor.

1993 Joe Albertson passed away on Jan. 20, leaving behind an indelible legacy of philanthropy.

1998 Albertsons and American Stores Co. began talks about acquisition.

Mergers, Acquisitions & Change 1999-2006 1999 American Stores Co. joined forces with Albertsons in June, making Albertsons one of the largest supermarket chains in the country.

2001 Lawrence R. Johnston was named to succeed Gary G. Michael as CEO of Albertsons.

2004 Albertsons acquired Shaw’s Supermarkets in New England.

This calls for a celebration!

Congratulations to Albertsons on providing 80 years of service to countless families! We look forward to continuing our partnership for years to come!

®, ™, © 2019 Kellogg NA Co.

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Albertsons at 80

Vivek Sankaran, president and CEO

MESSAGE FROM THE CEO

Nimble ‘Startup’ Answers Shifting Customer Demands ’WE THINK LIKE OWNERS, AND WE AREN’T AFR AID TO MAKE TOUGH CALLS IN THE MARKE TPL ACE TO WIN.’ ivek Sankaran, who joined Albertsons Cos. as its president and CEO in late April 2019, has said the company is much like “a $60 billion startup,” a unique point of view, considering the Albertsons banner is celebrating its 80th anniversary.

Here, Sankaran discusses what makes Albertsons a startup in his eyes, and what he’s already learned, during his brief time at the helm, about Albertsons’ heritage that’s still part of the culture today: “The Albertsons and Safeway merger in 2015 created the second-largest food and drug retailer in the United States, bringing together some of the most iconic brands in American retail.

It also created a new company, one that

“We’re entrepreneurial and scrappy. We think like owners, and we aren’t afraid to make tough calls in the marketplace to win.”

has made immense strides in a rapidly evolving industry in a very short space of time, and it has a startup feel to it.

“We’re entrepreneurial and scrappy.

We think like owners, and we aren’t afraid to make tough calls in the marketplace to win.

“Those attributes are like the steps Joe Albertson took 80 years ago. Joe worked tirelessly to open his first store and make it successful for his customers, and he was focused on providing the right products at the right price, with great attention to service. That customer-centric approach is the lens we use today, from our Own Brands innovation to developing new ways to delight our shoppers in our stores and through our digital options.

“Culturally, we know that consumers have access to more information than ever before, as do companies. The majority of people don’t go to a movie, pick out a restaurant or buy a new car without interacting with technology in some way, so we take our responsibility toward innovating our customer experiences seriously.

“The digital transformation at Albertsons Cos. will empower all of our stores to be nimble and adaptable to shifting customer demands. Moreover, technology and data science allow us to understand the customer and serve them in ways that weren’t possible before, from developing and launching 300 new Signature Select Own Brands products, to optimizing our print ads for how shoppers prepare their grocery lists, to predicting when shoppers will be at our stores. We understand that making the shopping experience both seamless and rewarding is key to creating and maintaining loyal customers.

“And yet, the most important intangible asset will always be our people. During my first few months, I have been consistently impressed by our passion for serving customers, our commitment to excellence and our team spirit. We have 275,000 employees with the common purpose of making every day a better day for everyone who walks through our doors. I am humbled to lead this team, and excited about what the future holds at Albertsons Cos.”

ALBERTSONS MILESTONES 2006 Albertson’s Inc. accepted an offer from Supervalu for 1,110 stores, and from CVS for 700-plus standalone drug stores; Bob Miller formed Albertson’s LLC for the remaining 661 stores, backed by Cerberus Capital Management.

The Revival of a Company 2007-2014 2007 Albertsons LLC sold the Northern California division to Save Mart and began the pattern of making strategic sales and acquisitions with the purchase of 10 Raley’s stores in New Mexico.

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2016 Albertsons Cos. was the first and largest retail grocer to commit to selling only cage-free eggs for its store operations by 2025, based on available supply.

2012 Albertsons began making money and continued to seek deals that would strengthen the company.

2013 Albertsons announced the Supervalu acquisition, which put all of the original Albertsons stores back under one company, and also bought United Supermarkets, a 51-store chain based in Lubbock, Texas.

2014 Albertsons and Safeway announced a definitive merger agreement.

The merger created a diversified network that included 2,400-plus stores, 27 distribution facilities, and 20 manufacturing plants, with more than 250,000 dedicated and loyal employees.

2015 The merger between Albertsons and Safeway was completed in January.

Albertsons Cos. acquired 76 A&P stores in Connecticut, Delaware, Maryland, New Jersey, New York and Pennsylvania under the A&P, Superfresh and Pathmark banners.

For increasing awareness of products that are safer for people and the environment, Albertsons Cos. received the U.S. Environmental Protection Agency’s Safer Choice Partner of the Year Award.

Digital Transformation 2017-2019 2017 Albertsons Cos. acquired the Plated meal-kit startup, making it the first national grocer to acquire a meal-kit company.

Here’s to Congratulations on this momentous achievement. We’re incredibly grateful for our enduring partnership.

As we celebrate 80 years of service and collaboration, we look forward to continued success in the future.

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Albertsons at 80

Transforming the Shopping Experience

Jim Donald, co-chairman

ALBERTSONS IMPROVES CUSTOMER E XPERIENCES WITH ECOMMERCE, TECHNOLOGY.

lbertsons’ core principles of giving customers the products they want with great customer service are top of mind in the technology age.

The company’s digital transformation enables it to meet customers when, where and how they want to shop. Albertsons aspires to be both the favorite local supermarket and the favorite digital supermarket.

Jim Donald, Albertsons’ co-chairman and its outgoing president and CEO, shares his thoughts on the impact of technology on the Albertsons banner:

Progressive Grocer: What has made Albertsons a leader among grocery retailers?

PG: What has been the impact of technology on the Albertsons banner?

JD: Today, technology affects everything

Jim Donald: When Joe Albertson opened

his first store in 1939 at the corner of 16th and State in Boise, he knew the key to running good stores was working hard for the customer: Give them the products they want, at a fair price, with great customer service. Those principles still hold true today. We work every day to be the favorite local supermarket, providing the freshest, highest-quality products at a fair price.

That’s it, that’s all. As Joe said, “Anyone can sell a can of beans; we sell good service.”

we do. We turn to our phones for almost everything, from finding the fastest route to work to looking for weekend entertainment. At Albertsons, we are always looking at how technology can help us better serve our customers. Our digital transformation enables us to meet our customers whenever and however they want to shop.

Albertsons is moving the dial in ecommerce and improving customer experiences with technology. For example, our One Touch Fuel app eliminates the

Congratulations Albertsons Companies!

Here’s to 80 more incredible years, — from your friends at RecorGroup!

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hassle of fuel-pump prompts and saves an average of at least 90 seconds during a fill-up. Our Albertsons Digital Marketplace launched last fall with thousands of specialty products and was recently honored with Adobe’s Most Innovative Commerce Experience Award for 2019.

We will begin piloting micro-fulfillment centers later this year. We also have a partnership with Microsoft to transform the shopping experience. The future is now at Albertsons.

PG: How has Albertsons been able to so effectively serve consumers, and what role is technology playing in this?

PG: Which best practices at Albertsons are examples of industry-wide good business?

JD: In April 2019, Albertsons joined the

blockchain-based IBM Food Trust network and began piloting the technology to improve how food is traced from farm to store shelf. The Food Trust enables greater transparency and collaboration, and, ultimately, a safer food supply.

Joe Albertson cared deeply about the communities he served, which is something that will always be part of our DNA. In 2018 alone, along with the Albertsons Cos. Foundation, the company

gave nearly $262 million in food and financial support to help millions of people through hunger relief, education, cancer research and treatment, programs for people with disabilities, and veterans outreach. Albertsons is also committed to integrating sustainability into our everyday business decisions to enable our employees, customers and stakeholders to create better lives, vibrant neighborhoods and a healthier planet.

PG: What factors will be most important to Albertsons in the years ahead?

JD: We are still a fresh, perishable-driven

JD: That answer is simple: Albertsons

serves customers by putting them first.

Technology helps us meet our customers when, where and how they want to shop.

Our goal remains to be the favorite local supermarket. At the same time, we aspire to become the favorite digital supermarket, anchored by our in-store experience.

Albertsons serves customers by putting them first. Technology helps us meet our customers when, where and how they want to shop.

company. To succeed in today’s omnichannel retail environment, we think an outstanding brick-and-mortar operation provides the foundation for a leading ecommerce business. Our ability to deliver what the customer needs in both the four-wall and no-wall environment is what will define our future success.

TIME TO C E L E B R AT E T H E FRUITS OF YOUR L ABOR

©/TM/® The J.M. Smucker Company

Congratulations to Albertsons on an exceptional 80 years.

PROGRESSIVE GROCER July 2019

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Albertsons at 80

Making Every Day a Better Day

Susan Morris, EVP of operations

ALBERTSONS LE ADS THE WAY IN INNOVATIVE SHOPPING E XPERIENCES.

lbertsons led the way with a lot of firsts in the grocery store space. Managers were given the autonomy to run their stores to best serve their individual communities. Joe Albertson himself always sought to make his stores a special destination for customers.

Susan Morris, EVP of operations, outlines the Albertsons experience — and what she thinks the man himself would think of his stores today:

es they are willing to pay, and lots of tender loving care.

Joe was always an innovator. His stores were the first ever to have magazine racks, the first to serve hand-scooped Big Joe ice cream cones, and he was also the first merchant to bring grocery and household needs under one roof. He always sought to make his stores a special destination for customers. Joe’s legacy lives on through our employee promise today: Make Every Day a Better Day for everyone who walks through our doors.

Progressive Grocer: How has the Albertsons banner changed since Joe Albertson launched it?

PG: How have changes in the industry affected operations at Albertsons?

SM: We have an overall four-wall and

Susan Morris: From its humble begin-

nings in 1939 to its rebirth in 2006 to its digital transformation in recent years, Albertsons has seen many changes — however, what made us strong in the past is that we still stand by the commitment Joe made to his customers all those years ago: Give customers the fresh products they want to buy at pric-

no-wall strategy of delivering differentiated in-store experiences to consumers when, where and how they want to shop. We are removing friction throughout the in-store journey while creating a more seamless checkout experience.

We are also using forecasting and replenishment technology to ensure our customers have the best possible quality

of goods on our shelves. We are working with our technology partners to improve daily in-stock position, so that the products our customers want are readily available.

PG: What are the most significant innovations that Albertsons has introduced to the industry?

SM: We’ve undergone a rapid digital

transformation in the past couple of years.

We will be the first national grocer to pilot Takeoff’s automated micro-fulfillment centers. We launched Albertsons Digital Marketplace, a unique online destination for specialty and hard-to-find products.

Our new One Touch Fuel app removes the hassles at the pump. And we’re excited about the innovations to come from our partnership with Microsoft to create a frictionless shopping experience.

When it comes to innovations in brick and mortar, the conversation has to start with our next-generation stores. They are culinary destinations where customers can explore, consume and learn about

ALBERTSONS MILESTONES Albertsons Cos. invested in El Ranchero Supermercado, a Texas-based retailer that focuses on stores for Latino customers.

Albertsons Cos. inked a deal with Instacart to provide on-demand grocery delivery offering same-day delivery in as little as one hour.

Albertsons Cos. launched Albertsons Performance Media, powered by Quotient, providing brands the opportunity to use proprietary shopper data to drive sales across Albertsons Cos.’ network of more than 2,300 stores in 35 states.

Albertsons Cos. appointed Jim Donald president and CEO; Bob Miller continued as chairman of the board.

2018 Albertsons Cos.’ O Organics hit the $1 billion brand milestone.

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Albertsons Cos. announced Albertsons Digital Marketplace with thousands of specialty products, including hard-to-find spices and condiments, unique beauty products, and other healthand-wellness items.

Albertsons Cos. partnered with Microsoft to transform shopping experiences.

Albertsons opened its new flagship store, Albertsons on Broadway, in Boise.

Venture capital firm Greycroft and Albertsons Cos. created a fund, up to $50 million over time, that will invest in and aim to help grow emerging companies and technologies in the grocery sector.

Albertsons Cos. was the first national grocer to implement AI-driven microfulfillment ecommerce solution.

2019 Albertsons opened its nextgeneration store, Albertsons Market Street, in Meridian, Idaho.

Albertsons Cos. appointed Vivek Sankaran CEO, Jim Donald continued as chairman of the board, and Bob Miller was named chairman emeritus.

The Open Nature brand expanded its sustainable portfolio with new compostable and bamboo products.

Albertsons Cos. joined the blockchainbased IBM Food Trust Network to improve food supply safety.

Happy 80

th

Anniversary Albertsons!

Thank you for partnering with Kimberly-Clark to help people live better lives.

®/TM Trademarks of Kimberly-Clark Worldwide, Inc. or its affiliates. © KCWW © Disney

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Albertsons at 80 food in a relaxed and fun environment.

In every store, we take pride in our fresh and local products. We never lose focus on offering a tremendous assortment that surprises and delights the shopper each time they walk through our doors.

PG: What factors will be most important to Albertsons in the years ahead?

SM: It’s simple: We need to take care of

our customers by listening to their needs, focusing on freshness and offering great selections. We want to meet the shopper with the right product and the right price wherever and whenever they want to shop. That all starts with people. Recruiting, developing and retaining talent is crucially important to our business. We work hard to help our employees reach their goals and keep this a fun place to learn and grow. When employees are happy, they do amazing things to Make Every Day a Better Day for our customers.

When it comes to innovations in brick and mortar, the conversation has to start with our next-generation stores.

They are culinary destinations where customers can explore, consume and learn about food in a relaxed and fun environment.

PG: What would Joe Albertson think of the company today?

SM: I hope he would be very proud. In

each neighborhood we serve, customers turn to Albertsons for the best in fresh, whether that’s top-quality meats or local and abundant produce. We do that so well because we’ve stuck to Joe’s principle of giving managers and employees the autonomy to run their stores to best serve the uniqueness of their community. I like to think he would grab the family and take them to our new Broadway or Market Street store and show them the amazing things we’re doing today.

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From in-store bakeries to service deli departments to the pharmacy, Albertsons associates offer shoppers a high level of service.

HERE’S TO

The Clorox Company congratulates Albertsons on their 80th anniversary, and is proud to honor the legacy of American grocery legend and company founder, Joe Albertson. Here’s to the next 80 years.

Š2019 The Clorox Company

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Albertsons at 80

Connected to Customers and Values

Shane Sampson, chief marketing and merchandising officer

WINNING STR ATEGY REINVENTS SHOPPING E XPERIENCE AT ALBERTSONS. lbertsons’ company values stem from founder Joe Albertson’s values of looking for new ways to improve customers’ shopping experience.

Shane Sampson, chief marketing and merchandising officer, describes the way the company changed how shoppers discover, purchase, receive and experience food: Progressive Grocer: How has Albertsons Cos. been able to so effectively serve consumers?

Shane Sampson: As Joe Albertson put

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it, “We must always look to the future and take advantage of every minute to produce the kind of professional team that will always top the league.”

Joe’s values are fundamental to our culture. We are never satisfied with the status quo. We are always looking for new products and new ways to improve the customer experience.

SS: More than anything else, it’s our con-

an important part of family traditions. It’s where you go for a birthday cake for your child, for prime rib for Christmas dinner or to pick up your favorite snacks for a family road trip. No matter the event, you turn to your local Albertsons. We don’t take for granted that we are an integral part of our customers’ lives.

Albertsons provides for neighborhoods in much the same way Joe envisioned. The heart of Joe’s philosophy was to provide great customer service to all guests and keep it simple. We work hard to stay connected to those values every day.

nection with our customers. At a recent grand reopening of one of our stores, a local mayor spoke about how Albertsons is

PG: What makes Albertsons stand out as a leader in its key markets?

PG: Which factors have been most important to the banner’s success?

We’re creating next-generation stores today by combining a superior level of fresh mix, the highest-quality products and a really fun atAlbertsons’ mosphere. The result next-gen store is an electricity in the store that can’t be beat. Our Albertsons Market Street store in Meridian, Idaho, has been open for months, and there isn’t a day that I go in there that I don’t hear someone say how remarkable it is.

We’re still surprising people with great food and new finds every day.

More broadly, we are always looking for unique items that are on-trend and in demand. We not only listen to our customers and offer products and features that are relevant, we also look at small merchants offering niche items in our markets who are making noise locally.

We’re structured to serve customers on that level and to carry items that are fresh, unique, specialized and hyperlocal.

We’re creating nextgeneration stores today by combining a superior level of fresh mix, the highestquality products and a really fun atmosphere.

SS: Staying true to Joe’s philosophy and

SS:

SS: Winning in the retail grocery in-

dustry takes bold moves, quick actions and a clear focus on our customers. Our strategy is to reinvent the way consumers discover, purchase, receive and experience food. We are committed to meeting our customers how, when and where they choose to shop for groceries: They can shop our stores themselves, drive up and go with prompt curbside service, or enjoy delivery right to their doorstep.

PG: Which merchandising practices have been most effective?

PG: Which factors will be most important to the banner’s success in the years ahead?

values has inspired us to where we are today. His principles are as relevant now as they were when he founded his first store.

Regardless of whether we’re in the store or online, if we continue to provide customers with the items they want at a value and make it a great experience, we will win.

CONGRATULATIONS ON YOUR

80TH ANNIVERSARY AND WELCOME TO NEW PRESIDENT & CEO VIVEK SANKARAN! THANK YOU FOR YOUR PARTNERSHIP!

©2019 Unilever XTM19005

PROGRESSIVE GROCER July 2019

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Albertsons at 80

The Next Generation ALBERTSONS ENTERS ITS NINTH DECADE WITH A BOLD NE W STORE CONCEPT. EDITOR’S NOTE: Albertsons on Broadway was Progressive Grocer’s January 2019 Store of the Month

hen it came time to replace its decades-old store on Broadway Avenue near its headquarters in Boise, Idaho, Albertsons decided to launch a whole new experiential concept. Following that up a year later, Albertsons pulled out all of the stops with a market nearly twice Broadway’s size, located in the Boise suburb of Meridian.

Albertsons Intermountain Division President John Colgrove and Gineal Davidson, VP of merchandising and marketing for the Intermountain Division, share their thoughts on the journey toward these landmark stores: Progressive Grocer: What were the motivations behind Albertsons on Broadway?

John Colgrove: When we built the Alb-

ertsons on Broadway, we knew it was a totally new concept for a grocery store in the Treasure Valley. We felt it was the right time to bring Boise the culinary experiences many are hungry for.

The store features all things local and

John Colgrove, Intermountain Division president

fresh. It is a destination food getaway and a gathering place where guests can enjoy the exploration, education, preparation and consumption of food in a relaxed and trendy environment, surrounded by employees whose sole purpose is to help them enjoy time with food, family and friends.

PG: How did Broadway beget Albertsons Market Street in Meridian?

JC: We wanted to bring something fresh

and new to Boise and felt the Market Street brand would resonate. Both the Broadway and Meridian stores are next-generation stores, each with great ideas and innovation. In the Broadway store, due to the size, we could not offer the full assortment and experiences that are a part of the Market Street concept, a concept which was developed by one of our company’s subsidiaries, United Supermarkets, several years ago. The new Meridian store has a much larger layout, and therefore allowed us to merchandise to meet the goals and objectives of the Market Street concept.

PG: What have been the most successful teachings from these stores?

Gineal Davidson, VP of merchandising and marketing, Intermountain Division

JC: Reaching a new customer and the

broader needs of our current customer base. With the uniqueness of these stores, and the wide variety of items in our fresh departments and center store, we are observing larger market baskets at checkout.

But our shoppers are not coming to our stores just to buy their groceries. They are looking to experience the enjoyment of food among expert chefs, wizards of wine, fabulous foodies and lifelong friends. We love seeing and hearing from our customers who share their experience of shopping in our two new stores.

PG: Which concepts are being scaled to roll out throughout the banner?

Gineal Davidson: It is still early to make

decisions on which concepts will be rolled out in other markets. We are encouraged by the many different unique categories and varieties these two stores offer. We are still in the process of reviewing to see what product items or offerings are the right fit for other stores within our division. We want to ensure the items and categories we offer in our stores are meeting our customers’ needs.

PG: In what other ways is Albertsons as a brand — both concept and product — being used as competitive leverage in an increasingly competitive marketplace?

GD: We have many great stores and have

Albertsons on Broadway is a destination getaway and gathering place where guests can enjoy food in a relaxed and trendy environment.

A18

progressivegrocer.com

been successful with the concept in these two new premium stores; however, we make sure we stay relevant and fresh. ...

Our success is not just with one item or one category; it is the total store. That total package is what drives our customers to shop with us again and again. It starts with the store layout and includes the feeling shoppers get when they’re inside the store, all wrapped up with the customer experience we offer them. We aim to maintain that excitement every day.

Campbell congratulates Albertsons on its 80th Anniversary and celebrates our continued partnership

Š2019 Campbell Soup Company