2022 Tops 60th Anniversary

Page 10

The Griffin Report of the Northeast Celebrates

Grocer

has strong roots in past, well positioned for future

Acquisitions, a divestiture, a management buyout – Tops Friendly Markets has seen its share of changes in the last two decades. But the company’s commitment to maintaining a strong identity for the Tops brand has never wavered from its beginnings as the go-to neighborhood store.

Fresh off a November 2021 merger with Price Chopper/Market 32 and operating under a new Northeast Grocery parent company, Tops (combined with Price Chopper) is the 28th largest U.S. supermarket with annual sales of $3 billion.

Celebrating its 60th anniversary this year, the brand is positioned to enter the next decade with a defendable network of stores, widespread consumer acceptance, new store format and dedicated group of associates.

Frank Curci, CEO of Northeast Grocery Inc. (NGI), the parent company of Tops and Price Chopper, explained the merger created a company of two regional brands with strong identities that could be stronger under one umbrella.

“In today’s world, scale is important. We knew we needed scale to compete with bigger players. Combining the businesses gives us synergies that allow us to be more competitive and leverage that position to create better value for our customers,” he said.

Curci added that it was in the interest of both brands to maintain their distinct identities and customer franchises.

Despite an ever-changing marketplace, management is committed to maintaining the Tops brand positioning.

“Above all, Tops is a brand that stands for neighborhood stores. We may have 150 stores, but each store is our most important one,” said John Persons, president of Tops Markets.

The chain is dedicated to individualizing each store to its particu lar market and providing exceptional customer service throughout its network of locations.

National brands are the bedrock of the chain’s offerings.

“Choice is important to our customers, so we have a wider variety of branded products in our stores of any of our competitors,” Persons said. “When national brands introduce new items, we’ll be the company to feature these new items and promote them. Those

relationships with national brands are very key.”

Staying laser-focused on strategies that work has allowed the brand to successfully compete with some of the best retailers in the country.

“There’s a culture of not only doing the right thing for our customers, but the right thing for the company,” Curci said. “We don’t want to be Wegmans, we don’t want to be Walmart, we want to be the best possible Tops.”

To ensure the brand is the best it can be, Tops spent $120 million over the last three years on remodels. “We’ve completed 28 remodels in 36 months,” Persons Management listened to what consumers wanted and reformatted stores to offer more fresh and prepared foods.

“We’ve reallocated space to increase the capacity of prepared foods and deli departments by 35 to 40 percent,” Persons said. Fresh now contributes to 30

A new décor gives stores a more open, updated look. A lighter neutral-tone palette and pale wood fixtures are enhanced by blade LED lighting fixtures. Digital screens throughout the store contribute to the refreshed and more contemporary look. Fixtures designed specifically for the chain create a farmers market vibe for the produce department. The chain features on-trend produce and Tops educates its customers on the benefits of hot produce items.

“We moved to uprights along the wall in produce that allow us to provide more variety, more items under refrigeration and more freshness for the customer,” said Mike Patti, RVP.

The chain has also placed a greater emphasis on organic items. “Stores now have about 4,600 organic items,” Persons said. “We’ve seen penetration and sales that are outpacing the industry Frank Curci Please see page 16

From page 15

Emphasis on fresh

Fresh, prepared foods also get top billing in the new stores.

“We have a sushi chef and Starbucks in some stores, but the programs we employ are very specific. We know who we are,” Persons said. “We have a big emphasis on pizza, sandwiches, salads and fried and rotisserie chicken, along with many sides.”

The deli has an updated new look with stainless steel serving bins. An adjacent expanded cheese section gives the cheese department a 40-50 percent lift in sales in locations where that section is enhanced. Bakeries offer freshly baked bread, doughnuts, pastries and desserts every day.

All new stores have robust health and beauty care and general merchandise departments.

“So many retailers have closed their doors, so GM is one category we don’t want to walk away from,” said Kristen Hanson, VP, center store sales, merchandising and pharmacy.

Holidays like Halloween, Christmas and back-to-school all offer opportunities for strong GM programs, and Hanson is making sure Tops grabs the advantage.

Technology is also a consideration in remodels. Shop + Scan has been rolled out to more than 20 locations and the chain offers Instacart home delivery at almost all locations. The chain was also the first retailer in Western New York to roll out Flashfood.

Tops continues to find ways to stay at the forefront of environmental responsibility through energy-efficient upgrades and responsible practices. Many of its stores are now powered by solar energy. Last year, the chain recycled 139.8 tons of cooking oil, 164.4 tons of inedible food and unsaleable meat and produce and more than 14,926 tons of cardboard boxes, paper and magazines.

Growth from smaller footprint

Looking forward, Tops is focused on expanding operations and continuing to have a stronghold in its operating areas. While Tops stores come in a variety of sizes – some greater than 110,000 square feet, others less than 10,000 square feet – as the company moves forward, the chain sees plenty of growth opportunities in smaller footprint locations in key neighborhoods.

“We have stores in communities and neighborhoods that other retailers simply don’t have,” Persons said. “We want to be right there where our customers are.”

Curci added that when Tops acquired 50 Penn Traffic stores about a decade ago, it learned a lot about how to assimilate different stores.

“We have some really big stores and when those work, they’re very efficient. But we do equally well with a store that is two thirds to half the size. We learned how to leverage the format and that has allowed us to grow across the state,” he said.

DECEMBER 2022 • THE GRIFFIN REPORT OF THE NORTHEAST 16
John Persons

From stores to corporate, ‘greatest advantage is our people’

Maintaining a people-first culture is a priority for Tops Markets. The company is known for its people-centered approach and cooperative management style.

“Our greatest advantage is our people, from the stores to the corporate office. A culture built over years of service makes a difference,” said Frank Curci, CEO of Northeast Grocery, the parent company of Tops and Price Chopper.

Tenures of 25-plus years are common at this company. Many headquarters executives began their careers at Tops as cashiers or baggers, meaning they have the perspective and insight to understand operations from the ground up.

Management understands that store-level associates are the bedrock of the chain’s operations.

“It all starts in the stores. We have admiration and respect for what every associate does. Our job is to make their jobs easier,” said Jeff Culhane SVP of merchandising.

Added Kathy Allen, senior manager, community relations, “Store associates are our contact to our customers, so it’s very important that we make sure that they know how valued they are.”

To ensure that these key stakeholders have a voice in operations, Culhane said ideas often are funneled through store-level personnel before they are executed. “The likelihood of success is much better when we have their input,” he said.

As RVP Mike Patti put it, the company is “not siloed.”

“Because we have unified objectives, there aren’t a lot of surprises,” he said. “We all know that we need to work together to achieve our goals.”

The chain stresses its consumer-centric values from day one and requires a community connection from store management.

“Store managers are the stores’ CEOs. They need to be a part of the community, from fundraising activities for local organizations or community events,” said Ron Ferri, EVP. “They are making that strong connection with the communities they serve.

“Many of our associates know customers by name. In

fact, customers often refer to a store as ‘my Tops’ because they feel that connection with their store.”

Tops ensures that its associates have the right tools in place to grow and succeed through scholarships, health improvement programs and career advancement opportunities.

“Our management puts a lot of effort into helping associates with career advancement and a big emphasis on mentorship,” said John Persons, president. “Our leadership is also very accessible.”

Management uses incentives to make development fun.

“We run an annual promotion event to help educate our employees. Every time they answer a question correctly, they’re entered into a pool to win gift cards,” said Cheryl Colbert, director of customer experience.

When customers make a point to give an employee a shoutout, that employee gets a scratch-off thank-you card that allows them to win a $10 Tops gift card, free pizza or similar gift. “Those have gone over really well,” Colbert said.

Open communication also is a crucial ingredient in Tops’ recipe for success.

“The leadership team is very open with sharing information. They are always keeping us informed every step of the way,” Allen said.

DECEMBER 2022 • THE GRIFFIN REPORT OF THE NORTHEAST 18
Ron Ferri

When tragedy strikes

Tops devotion to its employees and community was front and center when the unthinkable became a reality. On May 14, 2022, a shooter took the lives of 10 people and injured three others in a racially-motivated attack in an East Buffalo Tops store.

To help navigate the aftermath of this tragedy, the Tops team leaned into the maxim that serves as the company’s North Star – put people first.

“During the COVID pandemic, we learned to lead with the heart,” said Kris Wydro, VP of HR. “We learned the importance of constant communication. So when that tragedy occured, we had a lot of those processes already in place.”

Persons explained that a shift to improved communications strategies and more flexible decentralized decision-making during the pandemic was an asset to the chain when dealing with the unexpected. But there’s no playbook for the challenges the company faced after the tragic attack.

“First, we wanted to make sure that we were doing the right thing for our associates, that they felt safe and supported, and we also needed to help the community,”

Persons said.

The company organized individual and group counseling services for staff at the library across the street from the store and continues to offer counseling services to Tops associates.

Tops also reached out to the community, partnering with several organizations, including the Resource Council of Western New York. Tops also created the Buffalo 5/14 Survivors philanthropic fund, initially seeding it with $500,000 as well as covering all administrative fees.

It was clear that this store was important to the community and its loss was keenly felt. “We were more than a grocery store. We were the community store that provided additional services such as pharmacy prescriptions, ATM banking and utility payments, which were all taken away once the store closed,” said Kristen Hanson, VP, center store sales, merchandising and pharmacy.

To give the neighborhood alternative access to groceries while their store was closed, Tops offered a free shuttle to nearby Tops sites and delivery service of groceries and prescriptions. The company also partnered with FeedMore WNY, the central food bank of Erie County, to distribute food donated by Tops and its vendors. The company set up ATM and utility payments in a nearby location.

The people in the East Buffalo neighborhood needed their Tops store to reopen as quickly as possible.

“People in the community wanted the store to reopen,” said David Christopher, manager of the Jefferson store. “There’s a need for us to be here.”

Building back better

Building the store from the ground up was a given. Tops also engaged in listening sessions with store associates and local community groups to determine how a new store could best serve the community.

“We wanted to make sure people would feel comfortable in the store again,” Persons said. “Environmental safety and security were very important issues. We paid extra attention to sightlines and the environment around the building, we adopted an intruder alarm system and added an additional rear exit.”

Please see page 20

THE GRIFFIN REPORT OF THE NORTHEAST • DECEMBER 2022 19
Kris Wydro Photo by Dan Cappellazzo Photo by Blanc Photographie

From page 19

Customers wanted healthier options, an expanded selection of organic products, more fresh foods, enhanced education around healthy eating and wellness programs in the pharmacy and a focus on minority-owned brands.

The new 30,000-square-foot store, completely remodeled from top to bottom in 52 days, delivers on all of those attributes. A new layout features mobile fixtures and better lighting and incorporates digital screens that highlight healthy eating and community events.

Local brands are spotlighted and the store partnered with a local florist on an enhanced floral department. Minority-owned brands – Mercedes Wilson, maker of Sadie’s Relish, Boss Sauce and Skincare Essentials by Jill – are supported with in-store demos. About 75 percent of the store’s staff have chosen to return to work there or have transferred to another location.

“We take a lot of pride in this store,” said Christopher, who has been a Tops employee for 20 years.

A memorial water wall displays a poem by Buffalo Poet Laureate Jillian Hanesworth that begins, “Let the hopeful healing waters flow.” It’s a testament to the lives lost and the resilience of those who survived.

As Tops moves forward, the organization is more committed than ever to live its values as a people-centered company.

“We’re always affected by something in the macro world or in the micro world of the store,” Persons said. “We try to prepare and make sure our people understand we’re operating in a dynamic environment with complexities you have to deal with, things you have to figure out.

“But you build camaraderie in that foxhole. It solidifies a bond and a family culture. We’ve learned this together. We’ve been through this together. We’ve weathered that storm together.”

DECEMBER 2022 • THE GRIFFIN REPORT OF THE NORTHEAST 20
Photo by Dan Cappellazzo Photo by Dan Cappellazzo

Grocer committed to ‘neighbors helping neighbors’

It’s all about local at Tops Markets. From partnering with local suppliers and working with neighborhood community groups to customizing displays and products to a particular store, Tops continues to localize the shopping experience for its customers.

“Our mission statement is to be the neighborhood store, and we take that to heart,” said Jeff Cady, VP of produce and floral.

Every store in the 150-unit chain is adapted to its own specific location, from displays to special services.

“We find a way to make sure each store is relevant to its particular market,” said John Persons, president.

That includes offering products from more than 500 local produce and dairy farmers.

“Working with local suppliers is just the right thing to do,” Cady said. “Why wouldn’t I want to do business with the farmer down the street who’s growing corn as long as he meets all of the standards? It checks every box for sustainability and freshness.”

Tops has many local partners within 20 miles from the company’s Buffalo headquarters.

“At times, we may pay a little more for the product, but it’s the right thing to do from a neighbor perspective,” said Mike Nugent, VP of merchandising. “It’s a relationship that

helps both companies continue to thrive.”

That commitment to local partnerships starts at the top with Frank Curci, CEO of the Tops Markets and Price Chopper/Market 32 parent company.

“We have had the opportunity to buy product at a less expensive price from an out-ofstate supplier versus buying it right down the street, but Frank will always encourage us to support local businesses whenever possible,” Nugent said.

“We owe it to the community because the people who work in that facility are our neighbors and customers that shop at our stores.”

Tops makes it a point to include local products in the center of the store as well.

“We started with a program of adding local Hometown Favorite items and the program has evolved over the years,” Nugent said.

The chain now helps launch and nurture local lines. Country music artist Claudia Hoyser launched her Hoyser Country Blend coffee, a premium blend made by Buffalo-based McCullagh Coffee Roasters, at a Tops location. The chain launched Sadie’s Relish at its Jefferson store and helped the Black-owned

DECEMBER 2022 • THE GRIFFIN REPORT OF THE NORTHEAST 22
Jeff Cady Mike Nugent

brand expand its reach.

Tops in-store Brew Market beer caves contain an array of local craft beer brands.

“During the pandemic, when on-premise was at a standstill, we brought in a lot of local brands and merchandised them heavily with local signage. We helped a lot of small brewers stay in business,” Nugent said.

The chain even adds entire departments to specific stores that can benefit from a specialty. In its Amherst store, the chain partners with Nissan’s Kosher Deli on a leased department that draws the area’s Jewish population to the store. During Jewish holiday seasons, sales in that store’s Kosher section can spike up to 45 percent.

“The specific need of an area dictates the services that we provide there,” Persons said.

Please see page 26

DECEMBER 2022 • THE GRIFFIN REPORT OF THE NORTHEAST 24

From page 23

Community engagement

Tops’ commitment to local extends to the communities it serves. Each store names a Community Champion, who functions as the voice of the local community to identify specific needs and pinpoint opportunities for Tops to assist.

“We often partner with groups that have a similar mission” – food banks, children’s hospitals, United Way, veterans’ groups, Roswell Park Comprehensive Cancer Center, just to name a few,” said Kathy Allen, senior manager, community relations.

That involvement might be outreach to help raise funds for food banks or funds for

the local children’s hospital. It also means helping to create awareness for a cause.

“Monetary giving is great, but local nonprofit organizations often don’t have the funding to generate awareness,” Allen said.

Tops helps organizations boost their profile with in-store signage, participation in store events and promotion through Tops social media, weekly ad and in-store radio platforms.

“There are many different avenues that we use to help highlight them,” Allen said.

The Tops in Education program allows customers to use their BonusPlus loyalty card to donate to local schools whenever they buy Tops own brands. Customers can select up to three schools to benefit from funds that go to school improvements and programs.

“As they shop, they’re earning money for those schools. Also, twice a year, we run double giveback days to help provide an extra incentive. And it’s really a great way for us to give back to those communities,” Allen said.

During the holiday season, Tops Food for Families program, encourages customers to purchase “little brown bags of hope” filled with nonperishable food items most needed by local food banks. The bags can be purchased in-store and online and are available in three dollar value levels: breakfast, lunch and dinner. Customers can also participate with a monetary donation or donation of nonperishable canned food items in bins in Tops stores.

“It’s a great way to make the awareness about the great services that the food banks in their area provide,” Allen said.

Tops partners annually with a charity during the Taste of Buffalo and Taste of Syracuse events.

Please see page 28

DECEMBER 2022 • THE GRIFFIN REPORT OF THE NORTHEAST 26
Kathy Allen

From page 26

“We choose a charity each year to be the recipient of proceeds from the sale of prepared food at events and funds raised from the prize wheel,” Allen said. “We also invest in a lot of marketing for the organizations as they are included in all marketing and advertising for the event, including space on-site at the event in the Tops tent.”

The company has forged a special relationship with Roswell Park Comprehensive Cancer Center and partners with the facility for its annual Ride for Roswell event.

“We provide volunteers from the Tops associate community and are part of the kickoff the night before. When you see 100 associates in Tops T-shirts, cooking and serving food for about 3,000 people the night before the race it’s pretty powerful,” Allen said.

When Tops raises funds for an organization, the company makes sure those proceeds stay local.

“We take a lot of pride in that because we really believe in local. Customers want to support their local communities and see those funds serve their community,” Allen said.

“We want our customers to see the difference those donations and partnerships are making within the community and we want our associates to know they work for a company that is actively involved and engaged in the communities in which they operate.”

Allen added that Tops associates are encouraged to work with local charities, and many employees serve on the boards of local organizations.

“Our tagline is ‘neighbors helping neighbors,’ and we just don’t say it. Tops lives it. This is a people business and Tops truly cares about people,” Allen said.

DECEMBER 2022 • THE GRIFFIN REPORT OF THE NORTHEAST 28

Fulfilling customer promises through choice, value

For 60 years, Tops Markets has maintained a loyal customer base by combining unparalleled selection with exceptional customer service.

“No matter what iteration we’ve been through as a company, our core focus has been the same,” said Mike Nugent, VP of merchandising. “Our consumers have never wavered in their understanding of who we are. That has allowed us to continue to grow.”

Go-to source for national brands

Tops is known for having the widest selection of national and local brands.

“Whether it’s a 13,000-square-foot store or a 100,000-square-foot store, our SKU

assortment is stronger than anybody’s,” said Jeffrey Culhane, SVP of merchandising. “It’s in our DNA to have that variety to give consumers the most choice.”

Shoppers who want more organic and fresh foods and those who want snacks and soda will find what they are looking for at their local Tops store.

“Our go-to market strategy is about consumer choice. It is about a wide breadth of offerings,” Kristen Hanson, VP of center store sales, merchandising and pharmacy.

The chain is committed to providing customers with plenty of choice across every department in the store.

“Meat is very important to consumers in the Upstate New York market,” said John Persons, president. “We cut and process pork and beef in-store every single day to make sure it’s fresh. It’s what our customers want.”

Tops customers also want deli products sliced on site, so Tops gives them a choice to purchase cold cuts pre-cut or fresh cut.

Please see page 32

DECEMBER 2022 • THE GRIFFIN REPORT OF THE NORTHEAST 30
Kristen Hanson

From page 30

Tops knows its customer

This is a chain that knows it customers and gives them what they want.

“We believe our customers are still looking for value day in and day out, and we are still a promotional retailer,” Persons said.

Stores always offer a Value Zone section of seasonally-tuned private label products with GM and branded value products layered in.

Values are highlighted throughout the store, such as the chain’s Fresh Pick Five program that offers customers five packaged fresh produce items for $10 or five meat or seafood items for $19.99.

During the pandemic, when many retailers pulled back on ads, sales and promotions, Tops held to its value proposition strategy.

“In some cases, we doubled down. We wanted to be that beacon of normalcy in a storm of chaos,” Persons said.

The company’s fuel loyalty program, that offers gas discounts for every dollar spent at Tops, reinforces the chain’s value positioning. About 70 percent of Tops primary shoppers participate in the chain’s fuel rewards program and have made the program so successful, suppliers often offer bundle deals to give customers additional gas points when they purchase a specific number of branded items.

Couponing is also critical in this market – Western New York has one of the highest penetrations of manufacturer coupons in the country – so Tops runs coupons in circulars and targets deals to customers using its data intelligence.

Please see page 34

DECEMBER 2022 • THE GRIFFIN REPORT OF THE NORTHEAST 32

“October is pet wellness month, so we’ll make extra efforts to target pet families during that time,” said Diane Colgan, SVP of marketing and business analytics.

Tops also targets its over-60 customers with specific discounts during Young at Heart promotion days, with a 6.0 percent discount for shoppers 60 and older who use their loyalty cards.

Keeping it fun and fresh

Tops also is committed to keeping its merchandise mix fresh. A robust GM department has become a key differentiator in its markets, and the chain’s changing displays keep customers engaged.

“We are committed to all things seasonal – home décor, seasonal candy, soft goods,” Hanson said. “It creates one-stop shopping.”

The chain recently partnered with Ohio Pyle on a high school and college spirit wear program that has been a huge success. Another offering on football-themed bedding has seen phenomenal sell through.

“This category is highly impulsive. It’s about finding something that wasn’t on your list. It’s the thrill of the hunt,” Colgan said.

Good experience every time

Customers have also come to expect great service at Tops.

“We have amazing store teams that embrace the importance of engaging with our customers,” said Cheryl Colbert, director of customer experience. “When we hire, we make sure to hire the person who’s willing to be polite because politeness goes a long way.”

Communication and engagement are the backbone of great customer service, according to Colbert.

“A lot of our employee training is focused on building trust and loyalty with customers. You do it one customer

at a time,” she said.

And Colbert believes all customers should always leave Tops feeling satisfied.

“Even though we strive for excellence in every instance, there are times when a customer isn’t happy,” she said. “If we slow down and listen to the customer, you can turn almost any situation around. We want to make that customer happy quickly. I remind my team that it’s going to cost you more to have someone leave angry.”

Always looking forward

Tops understands customers are always changing, and the chain strives to stay ahead of their needs, from more nutritional choices to more convenient ways to shop.

“We want to be forward-thinkers so we’re not reacting. Being proactive not only benefits us, it benefits our customer,” Colbert said.

The chain has expanded its Certified Organic assortment of products by 50 percent since 2016 to over 4,600 SKUs in stores today. It also has enhanced nutritional information throughout the store. Shelf tags call out certified organic, gluten free and plantbased items.

“Education is important to providing service around wellness,” Colgan said. “We provide a lot of nutritional information through our various communications.”

And with other technologies, Tops was one of the first to market with Shop+Scan and the first retailer in the area to offer the Starbucks’ mobile app to its customers. The chain also upgraded self-checkouts at 53 stores over the past 18 months.

“Our self-checkouts are faster and more efficient and help the stores offer much better service,” Colbert said.

On the sustainability front, Tops added Flash Foods to a number of its stores to reduce food waste and has started to incorporate electric charging stations in several of its parking lots.

As Tops moves into the future and adapts to new market realities, one thing will remain constant. The supermarket retailer’s commitment to its customers will drive every decision the company makes.

DECEMBER 2022 • THE GRIFFIN REPORT OF THE NORTHEAST 34 From page 32
Diane Colgan Cheryl Colbert
THE GRIFFIN REPORT OF THE NORTHEAST • DECEMBER 2022 35

Convenience is key competitive advantage

Convenience is a competitive advantage for Tops. From its extensive network of stores, prepared foods and meal solutions to fuel stations and banking services, the chain is devoted to creating stores that offer customers a one-stop shopping experience.

“We try to be consumer-centric and create solutions throughout the store. That’s why our market share is so strong and consumers continue to point their carts in our direction,” said Jeff Culhane, SVP of merchandising.

Culhane noted that in many rural or city locations, Tops stores serve as a hub for services. “Western Union, lottery, utility payments, check cashing – there are many services we offer that other stores have abandoned. When we aggregate those services, we become a destination for shoppers,” he said.

The chain’s 58 fuel stations cover 75 percent of its marketing area and are a huge draw for shoppers who can earn gas discount points when they shop at Tops using their BonusPlus loyalty card.

“There’s a great value synergy between our stores and our gas points fuel discounts,” said Diane Colgan, SVP of marketing and business analytics. “It’s particularly important in the current environment of high gas prices.”

Starbucks outlets can also be found in some locations and the chain was the first retailer in the country to integrate the Starbucks app into its operations.

Providing meal solutions

Convenience also means helping consumers find quick and easy meal solutions.

“The No. 1 question for consumers today is ‘what’s for dinner,’” said Kristen Hanson, VP of center store sales.

The company works hard to provide answers to that question. Cross merchandising offers consumers ideas by gathering all elements of a meal together in one location.

For example, the team will display peppers and onions near chicken and include a QR code for a chicken fajitas recipe.

“We work hard as a collective team to make sure that those different ideas are readily available for customers,” Hanson said.

When it comes to prepared foods, Tops sticks to items with wide market appeal –fried and rotisserie chicken and sides, pizza, sandwiches and salads.

“We keep it manageable and consistent,” said John Persons, president.

That consistency has made those items huge hits at the chain. Management is passionate about ensuring those products are always in stock for customers.

“We merchandise hot chicken with mashed potatoes, mac and cheese, other sides to make it easy and make sure customers always find what they’re looking for,” said Karri Zwirlein, director of bakery, deli and prepared foods.

“Customers need to be able to count on us. They know that when they walk in, prepared chicken is always going to be there. We understand that they can’t put a raincheck on the table.”

Zwirlein also expanded prepared snacking destinations.

“The trend in snacking is toward mid-afternoon and Please see page 38

DECEMBER 2022 • THE GRIFFIN REPORT OF THE NORTHEAST 36
Jeff Culhane Karri Zwirlein

From page 36

later evening mini-meals,” she said. “It’s all about packs of salami with Laughing Cow or Baby Bel cheese or larger charcuterie boards.”

Three-compartment meals are also taking off at the chain, particularly as households in some market areas become smaller.

A refreshed flower department and robust bakery department make the chain a destination for entertaining.

“We are very proud of our bakery,” Zwirlein said. “Over the past few years, we’ve increased the quality levels and updated our cake decorating with brighter colors and different designs to attract younger customers.”

More than just prescriptions

To help solidify its one-stop-shop positioning, Tops delivers top-notch customer service and a full menu of wellness services in the 55 stores that include pharmacy departments.

“Pharmacy is an important piece of our business,” Hanson said. “Pharmacy patients are our most loyal consumers. When that pharmacy patient is coming in for a prescription, they are most likely to shop in the store and their baskets are larger.”

Tops pharmacy has a strong vaccine program. During the pandemic, it administered thousands of vaccinations. The chain also has a clinical outreach program for diabetes care, conducts smoking cessation programs and features nutrition programs in partnership with local colleges and universities. Tops pharmacists are also authorized to administer Department of Motor Vehicles’ vision tests.

The chain continues to pilot new programs. At its Jefferson Avenue store, Tops partnered with the Black Nurses Association on health programs and with D’Youville University on cooking classes.

The chain also partnered with the University of Buffalo School of Dental Medicine for dental screenings at one store location.

“It’s a peek into what’s possible going forward,” Hanson said. Tops is also exploring carrying hearing aids.

Pharmacy and health and beauty care have long had a synergistic relationship. Hanson said stores with pharmacies have higher HBC sales.

“Customers consistently ask their pharmacist for recommendations and as we

remodel stores, we’re adding counseling rooms for vaccinations and consultations,” she said.

The pharmacy also offers delivery service. And as delivery across the store becomes more important, Tops is prepared to respond to those evolving customer shopping patterns.

“We partner with Instacart at almost all stores,” Hanson said. “We were already partnering with Instacart before COVID, so we were prepared for the pandemic. We believe consumers want options for delivery and pickup services and while continuing to shop in stores.”

DECEMBER 2022 • THE GRIFFIN REPORT OF THE NORTHEAST 38

Masters of merchandising – taking pride in displays

When it comes to point-of-sale merchandising, Tops is best in class. From sportsthemed pallet displays on the store perimeter to impulse cross merchandising in center store aisles, the team continues to find creative new ways to grab shoppers’ attention.

“Merchandising is one of the things we think we do better than anybody,” said Mike Patti, RVP. While 80 percent of core merchandising is standard from location to location, store managers are given the autonomy to customize and enhance that baseline program to their community.

“Our store managers have the ability to put their own thumbprint on a display, whether it’s driven by their store audience or just their creativity,” Patti said.

Mike Nugent, VP of merchandising, said the chain works with its vendors to build direct store delivery displays, then allows store associates to “put their own touch on merchandising, so they can be excited about it.”

“They want to make their displays come alive a little bit more,” said Jeff Culhane, SVP, merchandising. “They’re always thinking about top line and bottom line, how to maximize the impact to get a few more dollars from a sale, to get customers to add those extra impulse items to the cart.”

Culhane credited store-level teams with many of the chain’s most creative and effective merchandising ideas.

“Store associates are our eyes and ears, and they know what is working. Great ideas frequently come from the stores,” he said.

That store-level tweaking is serious business at Tops.

“Our team is super competitive. If they see somebody doing something great, they want to do something even better. Those competitive juices start to flow,” Patti said. Tops management encourages that friendly competition with staff contests and routinely recognizes and rewards employees for their ideas.

Cross merchandising basket builders

Cross merchandising is also first rate at the chain.

“So many manufacturers tell us we are best in class in cross merchandising,” Culhane said. “We continue to be a great partner with King’s Hawaiian as we build displays in multiple areas of the store – not only in deli, but also in the meat department near the sliders.”

For high-impact perimeter displays, the team showcases seasonal products with a theme and distinct color palette. They might start with a Frito Lay DSD display for

Please see page 42

DECEMBER 2022 • THE GRIFFIN REPORT OF THE NORTHEAST 40
Mike Patti

From page 40

a Buffalo Bills promotion, then layer in red and blue in-store bakery cakes and cupcakes, deli cheese shop items and Bills spirit wear.

“When you walk into a store and you see a football display with a TV playing Buffalo Bills highlights and tons of themed merchandise, and listen to the ‘Shout’ song over the music system, it gets people pumped,” Nugent said.

Smaller in-aisle cross merchandising is just as important – shelf-stable milk on a rack or display in the cereal aisle or black pepper on a clip strip near fresh eggs are key basket boosters.

“We add our brand sliced cheese, sandwich topper burger packs with onions, lettuce, sliced tomatoes and ready-to-go corn on the cob merchandised in the meat case next to the hamburgers,” said Jeff Cady, VP of produce and floral

“One benefit is visual because it’s a color break. But it’s also an incremental sale. It’s those little things that create excitement.”

Cross merchandising abounds in the produce department as well. One recent knockout display combined fresh herb plants, tomatoes, avocados and cheese.

“We frequently cross merchandise produce with bakery, such as our store-made buttermilk biscuits or angel food cake with strawberries. We’ve even done pineapple with chocolate,” said Karri Zwirlein, director of bakery, deli and prepared foods.

She added that the chain is always looking for new ways to bring products together across the store.

“We have to think creatively all the time, because the world around us is constantly changing,” she said.

DECEMBER 2022 • THE GRIFFIN REPORT OF THE NORTHEAST 42

Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.