THE VIRGINIAN-PILOT
Copyright (c) 1996, Landmark Communications, Inc.
DATE: Friday, March 29, 1996 TAG: 9603290499
SECTION: BUSINESS PAGE: D1 EDITION: FINAL
SOURCE: BY STEPHANIE STOUGHTON, STAFF WRITER
LENGTH: Medium: 59 lines
Super Fresh plans to convert several supermarkets in Hampton Roads and Richmond to its new Farmer Jack format, a more upscale operation that includes a big produce section and more consumer amenities.
With competitors like Harris Teeter and Hannaford Brothers Co. moving into the area, Farmer Jack is ``exactly what we need,'' said Harry Austin, a Super Fresh group vice president.
``Obviously, they can't stand there while (local market leader) Farm Fresh, Hannaford and Harris Teeter make their moves,'' said Michael Gary of the publication Progressive Grocer. ``Clearly, Super Fresh is going to get nudged out of the market if it doesn't do something.''
After a year of planning, Super Fresh made its move in 1994. The 250-store chain, a division of The Great Atlantic & Pacific Tea Company, debuted the Farmer Jack concept in Virginia Beach's Newtown Baker Crossing shopping center. The store was swamped with customers, and company officials called it a resounding success.
Since then, Super Fresh has opened Farmer Jack stores in Harrisonburg and Myrtle Beach, S.C.
Super Fresh has about a dozen stores in South Hampton Roads. The stores in Fairfield Shopping Center and College Park Square in Virginia Beach, as well another along the 1200 block of Frederick Boulevard in Portsmouth, will be converted to Farmer Jacks by the end of May.
Within a year, the company could have up to eight Farmer Jacks in this region and up to five stores in the Richmond area, Austin said. Some stores will be renovated, but others may be built.
In the past, A&P has been criticized for lagging behind its competitors and moving too slowly with new ideas. For years, its earnings lagged, and the company's Super Fresh division gradually lost market share in Hampton Roads.
But in fiscal 1996, the Montvale, N.J.-based company posted its best showing in years: a $57.2 million profit on $10.1 billion in revenues. And in Hampton Roads, Super Fresh made a slight gain in market share among grocers from 1994-1995, mainly because of the new Farmer Jack.
``One of the reasons we've been moving as slowly as we have is that we wanted to fine-tune the operation and hone in on our customers before opening up new stores,'' Austin said.
With the new Farmer Jacks, A&P wanted to make a more customer-friendly environment with a crunchy-bread bakery and a produce section with up to 400 varieties of fruits and vegetables.
A&P operates more than 1,000 supermarkets, including about 250 Super Fresh stores and others under the A&P, Waldbaum's and Food Emporium banners. ILLUSTRATION: [Color Photo]
The first Farmer Jack supermarket, in Virginia Beach, has been
swamped with customers. The store has a big produce section among
its features.
by CNB