MOSS VALE, Australia -- Situated in the Southern Highlands southwest of Sydney is the IGA Tuckerbag store. While the banner has a distinct down-under name, its IGA prefix was added just three years ago.
Graham Legge, 66, who owns and operates the 27,000-square-foot store in this quaint tourist village, faced serious competition from large supermarket chains, Bi-Lo and Coles, which opened stores in Tuckerbag's backyard.
"We felt we needed the IGA name," Legge told SN. "I knew IGA was going to go Australia-wide, and I wanted to join IGA to be recognized as a household name to compete against the major chains." He said so far the strategy is working.
IGA entered Australia with Davids Holdings in 1988 with 10 member stores. Today, there are over 1,000 IGA retailers in Australia. Davids Holdings became Metcash Trading Limited, which is Legge's distributor. Legge is the only IGA operator in his area.
IGA's Australian Web site applauds Legge's accomplishments, noting that through Tuckerbag, he has "created a new benchmark for IGA retailers, setting the standards across all aspects of independent retailing and becoming the flagship store for our brand. It is the store others should aspire to emulate."
Last week, Legge received IGA's International Retailer of the Year award.
In 2001, Legge spent $1.8 million on a two-year renovation that resulted in a 25% increase in store space. He reracked the store and added new refrigeration, flooring, endcaps and lighting, as well as upgraded the fresh produce, deli and bakery. The addition of a coffee shop has been very well-received, Legge added.
The result of these efforts reversed a sales decline of 13.6% in 2001 to a 22.7% increase in 2002 to $18 million. This year Legge expects to reach $20 million in sales.
As part of the refurbishment, Legge created distinct departments in the store, highlighting areas with special lighting. He said he didn't want the store to look the same throughout.
IGA Tuckerbag is known for its fresh produce, meats and fish. "We source out directly from the local markets for fruits and vegetables, meats and fresh fish daily from the local fish co-op. We emphasize fresh," said Legge.
Legge said he began working in his family's grocery store in Sydney at age 15. Today, his son, Bradley, operates the Sydney store. Legge purchased the Moss Vale location in 1992.
His philosophy is to maintain a well-presented store with good service levels.
The biggest challenge going forward, said Legge, is to maintain high standards and, if possible, raise those standards. "We can't just rest on our laurels. We must push forward to improve our store and go up a couple of rungs on the ladder and continue to give the service and quality we have been giving in order to receive this IGA award."
