Data analytics firm Placer.ai has released its annual ranking of 10 hot brands to watch this year, and grocer Trader Joe’s and upscale convenience store Foxtrot Market were both on the list.
Trader Joe’s, which is known for its loyal fanbase, ranked No. 7 on the list this year, due in part to its 12.4% year-over-year jump in foot traffic in 2023.
“Trader Joe’s has managed to do what few stores can. The company does not invest in marketing, has no online shopping options, and loyalty programs,” the report noted.
The grocer’s focus on sustainability and social responsibility, and its low prices, have attracted young shoppers, the report said.
“Trader Joe’s attracts more ‘Emerging Leaders’ and ‘Young Coastal Technocrats’ (segments that describe highly educated young professionals) than the average grocery chain,” the report stated. “With Gen Z particularly concerned about putting their money where their mouth is, Trader Joe’s is likely to sustain its momentum in 2024 and beyond.”
Foxtrot Market, which is “redefining what a convenience store can be,” trailed Trader Joe’s in the No. 8 spot.
“The chain, which announced a merger with Dom’s Kitchen & Market in November 2023, offers an upscale convenience store experience and is particularly known for including local brands in its product assortment as well as its excellent wine curation and dining options,” the report stated.
Placer.ai noted that Foxtrot shoppers are more likely to fall into the “Wine Drinker” or “Nutritionally Aware” segments of the AGS: Behavior & Attitudes dataset.
“The company plans to ramp up store openings, particularly in the suburbs, where convenience and a good bottle of wine might just find the perfect home as a welcome distraction from the daily grind,” the report said.
