Redesign breaks market away from the pack

NIANTIC, Conn.-Louis Levinson, general manager of Colonial Markets' two supermarkets-in Niantic and Essex, Conn., looked around him one day last January, and everywhere he looked he saw food stores that looked very much like Colonial Markets.

That's when he arid his team, which includes Colonial Markets owner John McTurk Jr., started thinking about a makeover-a change from what Levinson calls "a typical independent IGA grocer" to a vibrant, dynamic shop with an olive bar, cheese station, panini grill, coffee bar, in-store bakery and specialty items including Stonewall Kitchen, Clearbrook Farms and Smith-Wollensky.

Colonial Markets completed the makeover at its Niantic store this month. Now, Levinson is ready to launch the same project at the Essex store. The revamp at the Niantic store was no "presto-chango," but rather an evolution that occurred day by day over six months. Throughout the transformation, the store remained open.

"There are 12 other stores around us, from Stop & Shop, Shop Rite, A&P and Wal-Mart that look exactly like us," Levinson said. "We could all continue to sell our Coca-Cola and Frito Lay potato chips. We were all fighting to see who could sell it cheaper and at the same time giving up market share."

Levinson figured he had to do better.

Colonial Markets hired Retail Food Design, an international consulting firm in Rochester, N.Y., that provides store planning and interior design services for supermarkets, gourmet shops and restaurants. Other clients include Victory Super Markets in Massachusetts, Dean & Dcluca, New York, and Roth's Food Markets in Portland, Ore.

Levinson and some of his team planned a field trip to New York City, where they visited stores such as Dean & Deluca, Grace's Marketplace and the like. The idea was not to copy, said Levinson. "We just wanted to get the flavor."

"In our situation, we needed to be the best of both worlds," he said. Levinson wanted to retain some of the grocery store aspect at the center and pump up what shoppers saw on the perimeter.

In the past, groceries, frozen foods and dairy products took up 60 percent of the store's 20,000-square-foot space, and the perimeter-where most stores make more money-took up about 40 percent.

Levinson decided to downsize the groeery section and expand the perimeter, turning those percentages on their heads.

"Truly, how many different kinds of canned peas do I need?" he asked.

"Now we have better products, and we're not competing in the same arena as other stores." The change has been well received by customers, Levinson said.

"Today's shopper has changed from years ago, when they cut out their coupons and did their shopping for the whole week," he said. "Time has become a luxury."

So, the Niantic store now offers more prepared foods, such as fresh salads, breads such as sundried tomato, Asiago and pesto.

Five days a week, Colonial Market is offering food demonstrations. The store includes a "What's for Dinner?" station, where all the ingredients for a quick meal are gathered in one place for customer convenience. Levinson has even changed the lighting to create a warmer atmosphere and to put products in the spotlight.

Levinson is exploring private labels for granola, biscotti and relishesand launching the remake of the Essex store.

Copyright United Publications, Inc. Aug 2004
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