From the Publisher: Relying on Raley’s

What is the Raley’s way? 

Well, it is a combination of offering the simple stuff—albeit in a more effective way—as well as focusing on the new merchandising and marketing needed to engage future shoppers, collectively known by all of us in the know as Millennials. 

The bottom line is that Raley’s is a great example of what supermarkets need to do to be relevant in the 21st century—a healthy combination of traditional items and natural/organic products designed to meet the needs of many consumers in its marketing territory. Add to that a big emphasis on its fresh section, wine/liquor and the pharmacy, and it is clear that Raley’s is not your typical supermarket. 

That is why Grocery Headquarters has selected Raley’s as our 2017 Independent Retailer of the Year. The company will be honored at a dinner in the Sacramento, Calif. area in early March and is the subject of our cover story in this issue.

There is a lot going on at a typical Raley’s store. Depending on the location and its base clientele, which can vary widely in the Northern California and Western Nevada area, the company has developed four different merchandising approaches to connect with as many shoppers as possible. Looking for a fishing pole? In some stores that makes sense, and they are there. Searching for computer equipment? Some stores have a four-foot display of gadgets to help laptops and desktops operate more efficiently. How about a decent selection of toys and games? Well that exists in some units, too. 

Then there is the company’s robust private label operation, a three-tier program that accounts for about a quarter of sales in the categories available. 

The bottom line is that Raley’s officials have embraced a one-stop shopping approach that is designed to get as many customers into the store as possible and to give them the opportunity to purchase a broad array of products under one roof. 

So we honor Raley’s for being on the forefront of merchandising today and into the future. But, we also honor the chain for making a dramatic comeback in its marketing territory. Less than a decade ago, the buzz on the street was that this was a chain that was in a bit of trouble, lost in a sea of heady competition and better merchandisers. 

It took the return of Mike Teel, grandson of the chain’s founder, and a reinvigorated executive team of veterans, newcomers and returnees, to get the chain back on track. They realized what was necessary to get consumers talking about Raley’s again, in essence to make the chain relevant again. They also realized the importance of their employees and how they are in the front lines of this battle. 

Realization led to action, which, in turn, led to what Raley’s is today—a supermarket retailer that stands apart from its competition by giving its shoppers what they want in a convenient setting and at reasonable price points. Teel and his team can be proud of what they are doing; other retailers can use this as a blueprint for their own success.