General Merchandise/HBC

Opinion: Jewel Shows Its Cards With New Store Design

Grocer doubles down on fresh fruit, adds salad bars, quick purchase for liquor, cigarettes

LA GRANGE PARK, Ill. -- My routine grocery store is no longer the store it used to be. Ever since Safeway Inc. announced in October 2013 that it would exit the Chicago market and close its Dominick's chain, the grocery channel has been in a bit of turmoil in the area as other chains have been jockeying for position and advantage.

Jewel-Osco remodel

There are smaller retailers, such as Pete's Fresh Market and Whole Foods, looking to grow, but the major players in this showdown are Albertson's long-standing Jewel-Osco and newcomer Mariano's, which purchased a lion's share of the former Dominick's locations.

As the dust settles, Jewel showed its hand this week, celebrating the grand opening of five former Dominick's sites and 14 older Jewel stores that it remodeled into what it's calling the "next generation of the new Jewel-Osco."

"The five new stores ... were designed to offer customers a new experience in fresh products, including an expanded variety of the freshest produce and top-quality meat and seafood," the company stated. "The new formats also provide a comfortable shopping experience with a focus on delivering premium customer service."

"Select locations" offer an oil and honey bar, gourmet bulk nuts, candy, teas and spices, freshly made caramel corn and caramel apples, and other savory indulgences, Jewel promised. One site features a fudge shop, a popcorn bar and smoothies, another includes a community room open for the public to use as a meeting space for neighborhood events. Cashiers stand in front of their aisles when they're not busy to guide customers in, ala Target. This all seems appropriate as Mariano's opens stores with full coffee bars and live piano players in some locations.

It all sounds very exciting, except, my local Jewel store isn't a "select location." Not that I'm surprised, it being a smaller and older location in the western suburb of La Grange Park, Ill., but I would like to be excited about my new grocery store. I would like to be enticed, lured; instead, I'm just curious.

I attended the re-grand opening of my local Jewel this morning. Local and national Jewel executives made brief statements, Village Board members attended and received fruit baskets, and two $1,000 checks were awarded to local charities as a collection of store employees listened and applauded. Outside, temporary signage noted, "Jewel-Osco: It's time for a fresh start," which I can't argue against.

In my brief look through the store (See slideshow below.) I was struck by the large and immediate (as soon as you walk in the door) displays of fresh fruit and an expansive salad bar (including a chicken-wings station!). But I admit, I thought to myself, "Where's my honey bar?" (Not that I'd  likely frequent such a thing.) And frankly, why would you remove the self-checkout from a "next-generation" store? Isn't that going to wrong direction?

For convenience stores, there are a couple of things worth noting from a competitive standpoint.

Diced fresh fruit on ice and the salad bar make for a quick lunch on the go.

The 20-plus feet of warm domestic, craft and import beer are supplemented by nine cooler doors of cold 6- and 12-packs.

The former Osco checkout, previously tucked off to one side of the store, is relocated close to an exit and now labeled as two express aisles for quick purchase of liquor and cigarettes.

This redesigned Jewel will take some getting used to, as many products are now in new aisles or sections. Essentially what they've done is break up a long-standing division between products that are typically grocery (Jewel) and those that are standard for drug stores (Osco).

Still, the location of the store itself is significant to me as a customer, so this location will remain my go-to grocery store for some time. Plus, it'll be at least another eight months before that new Mariano's store opens one town over. That makes me curious.

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