Publisher Column: Sprouts is Creating a Buzz

Sprouts Farmers Market is generating interest among middle class consumers that want natural/organic products without breaking the bank. What do Wegmans and In-and-Out Burger, the West Coast burger joint, have in common? Besides offering hamburgers of one sort or another, these two popular establishments share a similar bond in that consumers cannot wait until they open up in their neighborhoods. In my neck of the woods, for example, I hear rumors all the time about how Wegmans is about to open a store in or near my town, and everyone is clamoring for a new store to be conveniently placed near them. In-and-Out has the same thing going on. A West Coast institution known for a simple menu of burgers, fries and drinks, In-and-Out has started to move eastward, entering the Dallas market over the last couple of years. A senior official at the company told me they constantly field calls from consumers across the country asking when they are moving to their towns. Another operation appears to be on the cusp of joining this exclusive club. Sprouts Farmers Market has created quite a buzz since the chain was founded less than 15 years ago. With more than 200 stores in 13 western and southern states, Sprouts is gaining a lot of fans across the country, many of them far from its current turf, who want the stores near their homes. As you will read in this issue, where we honor Sprouts as our 2015 natural supermarket chain of the year, this is an operation that is taking a different route to success. Unlike another more prominent natural/organic retailer, Sprouts’ officials are certain their emphasis on affordable natural/organic products across a wide range of categories, without any reduction in quality, is generating enough interest among middle class and upper middle class consumers to fuel significant growth for years to come. They may be on to something. While company officials do not come out and say it, Sprouts is clearly marketing itself as the “not Whole Foods” alternative, offering a broad product mix that is designed to bring in anybody interested in healthy eating, while still looking to keep costs reasonable. The company also places a big emphasis on service throughout its stores and making sure the staff is invigorated and informed to help shoppers make the right decisions. Sales are booming and the company is making big plans to keep things moving in the right direction. It is opening its fourth distribution center, this one near Atlanta, and company officials make it clear that Sprouts intends to expand further into the southeast and into the northeast, as well as fill in with new stores on the west coast. There will be bumps in the road, mostly because there always are for those companies willing to take risks to make a difference in the marketplace. But Sprouts seems like a chain with a great business plan. It if stays true to its mission, there is little doubt that it will soon become an even larger player in the supermarket industry and will be a force to be reckoned with. Get ready.