"Schnucks Fresh" stores

Illinois, Indiana, Iowa, Kansas, Kentucky, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, and Wisconsin. No non-grocery posts.
Post Reply
pseudo3d
Posts: 3851
Joined: November 12th, 2015, 7:01 pm
Has thanked: 5 times
Been thanked: 77 times
Status: Offline

"Schnucks Fresh" stores

Post by pseudo3d »

This article from Grocery Dive describes a new "Schnucks Fresh" in Jasper, Indiana that opened in August, at only 18,000 square feet. It's a little bit interesting in the case that a modern grocery store is still building (or opening, the space is an old Cash Saver) stores in smaller towns. It might raise some eyebrows, one wonders why Kroger is closing these small-town stores in the Midwest (with almost no real competition) instead of just doing facelifts that focus on fresh foods, like Schnucks is doing.

https://www.grocerydive.com/news/why-sc ... et/605824/
SamSpade
Store Manager
Store Manager
Posts: 1568
Joined: September 13th, 2015, 4:39 pm
Has thanked: 374 times
Been thanked: 57 times
Status: Offline

Re: "Schnucks Fresh" stores

Post by SamSpade »

This sounds similar to the Hy-Vee Dollar Fresh stores that opened in some former Shopko Hometown locations in Iowa.
Dollar Fresh locations are designed to offer customers in smaller communities a fresh, new product selection at low prices. Customers will find a full selection of grocery items, a bakery section with a full range of fresh-baked items, a dollar section, a Wall of Value, ready-to-eat meal offerings and other services.
Bakeragr
Produce Clerk
Produce Clerk
Posts: 62
Joined: April 25th, 2018, 7:02 am
Has thanked: 7 times
Been thanked: 5 times
Status: Offline

Re: "Schnucks Fresh" stores

Post by Bakeragr »

Personally, I think at least in the Midwest there is a demand for some sort of store like this. Here in Missouri, most small towns have a supermarket that is local or in a small chain, supplied by AWG. That isn't the case everywhere, and even so, many of these stores don't have a very good fresh food selection.
I think stores with a smaller footprint that can piggyback off of larger, nearby stores (like the regular Schnucks locations in Evansville) are a smart move. We live in a small town and buy many things at the local store, but drive a half hour or more to get many things our local store doesn't have. Additionally, I think these stores could be ideally set up for some sort of online-pickup option if you order in advance and want things the local store doesn't carry.
I think Kroger has missed the boat by closing many of their rural locations gradually in AR, MO and IL. My guess is they're looking big-picture at what they need to spend on their online ordering platform and not thinking about how these small footprint stores are cheap to operate and would be a great spoke to their over-arching plan.
Lastly, I still think that at some point someone is going to buy Dollar General and use them as drop-off depots for online orders all over the country. I hate their stores, but they seem to serve a purpose.
Romr123
Assistant Store Manager
Assistant Store Manager
Posts: 693
Joined: February 1st, 2021, 4:26 pm
Has thanked: 37 times
Been thanked: 56 times
Status: Offline

Re: "Schnucks Fresh" stores

Post by Romr123 »

I think Hy-Vee still operates some of this-sized units in county seats in Iowa...Lamoni, IA (just off I-35 north of the MO-IA state line) hasn't changed in 20 years. Homeland also has some of these type units in OK.
User avatar
retailfanmitchell019
Assistant Store Manager
Assistant Store Manager
Posts: 891
Joined: November 10th, 2019, 11:17 am
Location: 760 area code
Has thanked: 39 times
Been thanked: 57 times
Contact:
Status: Offline

Re: "Schnucks Fresh" stores

Post by retailfanmitchell019 »

SamSpade wrote: September 1st, 2021, 10:43 am This sounds similar to the Hy-Vee Dollar Fresh stores that opened in some former Shopko Hometown locations in Iowa.
Hy-Vee just opened one of these in Lexington, Nebraska. This is Hy-Vee's westernmost store so far. Competes with Walmart and an AWG supplied independent.
https://lexch.com/news/hy-vee-s-dollar- ... 23b57.html
The Dollar Fresh store reminds me of the Loblaw No Frills format.
There is an abandoned Sunmart (Nash Finch) building in Ogallala, NE that Hy-Vee could take. It would hypothetically compete with a Safeway.
storewanderer
Posts: 14379
Joined: February 23rd, 2009, 3:54 pm
Has thanked: 2 times
Been thanked: 298 times
Contact:
Status: Online

Re: "Schnucks Fresh" stores

Post by storewanderer »

Schnucks Fresh looks like a place that may have too much fresh product. They will definitely have to learn/get a feel for the market to figure out what fresh items the market is interested in. Something tells me all that stone fruit isn't it. But I suppose you have to try, to learn.

I don't think Schnuck has any "dollar section" or "Wall of Values." It looks like a mid-upper mid scale store, in a much smaller footprint than usual. Good fresh departments are just what Dollar General and Wal Mart don't have. Common sense says this should be a hit- they will just need to figure out what sells in order to make the space the most effective and not get nailed too badly on shrink.
Romr123
Assistant Store Manager
Assistant Store Manager
Posts: 693
Joined: February 1st, 2021, 4:26 pm
Has thanked: 37 times
Been thanked: 56 times
Status: Offline

Re: "Schnucks Fresh" stores

Post by Romr123 »

Agreed that they may have too much fresh fruit, but this is the season for local product in that region. People in those areas see what's available advertised on farmstands etc and, more importantly, don't see stuff like that featured at Dollar General/WM or on periodic trips to Costco/Sams. Key will have to be their flexibility in flexing in and out of a more fresh offering as the seasons change.
storewanderer
Posts: 14379
Joined: February 23rd, 2009, 3:54 pm
Has thanked: 2 times
Been thanked: 298 times
Contact:
Status: Online

Re: "Schnucks Fresh" stores

Post by storewanderer »

Schnucks seems to do a pretty good job on perimeter freshness so I think they have some pretty good ideas and controls over shrink. Their newer builds (not just this small one) are sure a cheaper looking building on the inside than their 90's and 00's builds were.

Also their conversion of that Lucky's in Columbia, MO to "Eatwell" seems to have been fairly well received.

I notice some Schnucks are supplied by Supervalu and don't even have Schnucks/Topco private label items instead they are full of Supervalu brands. Maybe that is something to do with when Supervalu sold them Shop N Save Stores but that is sort of weird.
Post Reply