LUBBOCK, Texas -- United Supermarkets LLC officially entered the convenience store channel on Wednesday with the ribbon cutting of its first United Express location in Lubbock, Texas. The location includes a six-pump fuel station and will feature fresh offerings along with the traditional items that customers would expect to find at a c-store. It is a new concept for the company, the fourth phase of its growth in the fuel/convenience business since it opened its first fuel station in 1997.
"In the grocery business, we're always looking for new revenue streams, and we [image-nocss] believe that fuel and convenience have great potential for us," Eddie Owens, spokesperson for United Supermarkets, told CSP Daily News.
United Supermarkets represents the company's core concept, with 38 stores in 24 markets. Market Street, with 10 locations, is a food concept store that combines groceries with specialty items, whole health, gourmet products and take-home cuisine. It also operates Amigos, a Hispanic grocery concept, in three locations.
Including United Express, the company now has a total of 20 fuel centers.
The company does have three A Taste of Market Street fuel/convenience locations, all on the same property as existing Market Street stores. "They provide quick and easy convenience solutions akin to the fresh-food offering at the big store in a grab-and-go format," said Owens. "With [United Express], we're attempting to do the same thing, but at a distance, because it is a standalone operation. We will be supporting it with fresh food from our other stores."
At 3,100 square feet, United Express is more than twice the size of A Taste of Market Street.
"Our goal with United Express is to take the offerings and products such as prepared foods which have been most successful in our A Taste of Market Street stores, as well as those on-the-go convenience items, and blend them where guests will see traditional offerings with a unique United flair," said Chris Bridgford, the company's director of fuel and convenience operations, in a statement.
"If a guest wants to come in and get a bag of chips and a soft drink, they will be able to do that. But if they are looking for a nice tossed salad or some other quality meal solution, those are available as well--and those are the items you don't typically find in a convenience store," Bridgford added.
The gasoline is United Express Fuel, a proprietary brand. Until a couple of years ago, the chain's fuel centers were ConocoPhillips branded, but United Supermarkets decided they could offer the same quality product at a more competitive price by going to its own brand.
"We've built a strong and well-respected name in the retail fuel business and are especially proud of our proprietary [United Express] brand," said Tony Crumpton, executive vice presidents of facility, fuel and supply for United Supermarkets, in a statement. "We've also enjoyed excellent results with our A Taste of Market Street concept."
Four existing fuel stations have been expanded with the new concept in mind. (Click here for previous CSP Daily News coverage.)
The store is located in an underserved part of Lubbock--a growing area in the northwest part of town. The closest grocery store is one of its own locations several miles away, and not much in the way of fuel choices, either. "It is clearly a great opportunity from both of those perspectives because of the lack of availability in that part of town right now," he said, adding that definitely played into the decision to locate the store there.
United Express is the first phase of development for the 12.1-acre tract, which United purchased in 2008 as a site for potential future development. In addition to approximately 36,000 square feet of space available for retail development, plans call for the company to open a full-size United Supermarkets store on the site within the next three years.
Owens said there are no definitive plans for additional United Express locations yet, but the company's strategic plan is to "grow the brand," he added. "I don't believe this will be our only standalone United Express. We will treat this as our fourth banner."
Now in its 95th year of operation, United Supermarkets is a Lubbock, Texas-based, family-owned grocery chain with stores in 30 markets across north and west Texas. A self-distributing company with its headquarters in Lubbock and distribution centers in Lubbock and Roanoke, United currently operates 51 stores under four distinct formats: United Supermarkets, Market Street, Amigos United and now United Express.
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