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Post #12: Promotion

Having 990k followers on Instagram, Trader Joe’s uses that platform to post pictures of their new products to promote those items and to remind their followers of their great deals and new recipes. Trader Joe’s uses Instagram as a form of advertising to their millennial customers. One of Trader Joe’s marketing strategies is doing lots of sampling and does not spend much money on advertising. As their biggest expense for marketing is sampling. Trader Joe’s uses product advertising as a way for people to get to know their products. As customers pile into Trader Joe’s on an empty stomach, a little sample goes a long way, and can most likely persuade customers to buy that product. In fact, Trader Joe’s goes the extra mile with letting customers sample whatever they want from the store. With different seasons of the year, Trader Joe’s uses this opportunity for sales promotions of the holidays to push their holiday products. They also utilize ­product placement as they place these holiday products in the front of their store, so the moment customers walk-in they are tempted to buy these amazing products.

Yohn, D. L. (2018, June 13). Six Surprising Facts That Explain Trader Joe's Secrets To Success. Retrieved from https://www.forbes.com/sites/deniselyohn/2018/06/13/six-surprising-facts-that-explain-trader-joes-secrets-to-success/#1266fd901601

 Trader Joe's (@traderjoes) • Instagram photos and videos. (n.d.). Retrieved from https://www.instagram.com/traderjoes/

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Post #11: Place (Distribution)

Trader Joe’s distribution focuses on business directly with the suppliers. This cuts out a huge cost for them, as most supermarkets rely on their distributors and often devote a lot of money to the middleman. Trader Joe’s owns their own distribution center to distribute to each store daily. This setup allows each individual store to have minimize their back stock space, have most of their products on the floor stock, as the distribution center acts as their main stockroom. Because their distribution model plays such a big part in their business, their distribution centers dictate where they open a new store. Trader Joe’s has exclusive distribution because most of their products are not seen anywhere else besides Trader Joe’s. As Trader Joe’s is vastly expanding, they only chose to open up stores in 42 states. Trader Joe’s is not a franchise, they act more as a independent retailer, as they are privately owned and only branches out when they want to expand.

Trader Joe's. (n.d.). Retrieved from https://rctom.hbs.org/submission/trader-joes/

FAQs. (n.d.). Retrieved from https://www.traderjoes.com/faqs/general-information

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Post #10: Trends/Pricing

A trend that has been gaining momentum is online grocery shopping. With Whole Foods partnering with Amazon, you can order groceries online and have them shipped directly to your home within two hours. This trend be seen as a threat to Trader Joe’s, as they are known to be more traditional when it comes to marketing to consumers. Trader Joe’s is known for their insanely reasonable prices. The pricing for Trader Joe’s is one of the main reasons so many people choose to shop there. Trader Joe’s only sells private-label products in order to keep their pricing affordable, but this seems to have a positive effect on people, because you can only buy these products at Trader Joe’s. With this, the supply and demand for each product keeps their pricing at a minimum and does not waste the resources of the company. Another reason why Trader Joe’s products are so affordable is because they do not waste much money on marketing or store designs. Their simplicity is what keeps them down to earth, and it is also their trademark, making them unique.

For every holiday, Trader Joe’s does promotions, to promote their new holiday products.

 Harrison, Olivia, and Alexandra Gavillet. "Oh, So THIS Is Why Trader Joe's Is So Affordable.” Accessed November 25, 2018. https://www.refinery29.com/en-us/2017/05/153862/traders-joes-low-price-explainer.

 Tyler, J. (2018, February 07). We went to Trader Joe's and the store that Whole Foods launched to compete with it - and it's clear who does it better. Retrieved from https://www.businessinsider.com/trader-joes-vs-whole-foods-365-price-photos-review-2018-2#overall-whole-foods-365-had-a-wider-selection-and-a-more-shopper-friendly-environment-including-shorter-lines-and-in-store-restaurants-and-seating-though-some-products-were-more-expensive-there-were-sales-and-other-savings-opportunities-that-trader-joes-lacked-30

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Post #9: Services

Although Trader Joe’s is just a grocery store, surveys have shown that Trader Joe’s placed second in customer service satisfaction. In Trader These surveys show that while customers are shopping at Trader Joe’s, the staff is very attentive, they are quick to help, and always super friendly. While other surveys have been held, Trader Joe’s always places within top 5 of every survey, whether regarding, customer service, experience quality, responsiveness of employees, or where consumers would recommend others to shop at. Trader Joe’s is even known for their “secret morse code” of communicating with each other to better help their customers. Every register has a bell, and that is their way of communicating since there is no PA system. Each bell ring has a different meaning and signals like this create a place where customers feel understood and helped immediately. One bell ring signals another employee to open another register, two bell rings signals if there is a question with a customer or employee at the register, three rings calls for a manager and the fourth ring means all hand on deck, this ring is usually used when the store is completely crowded. The empathy the staff shows when helping customers is what they are known for. The core service Trader Joe’s brings is the amazing products they provide but a bonus to that is the service the employees bring to the customers and the experience they have when shopping there.

Hopkins, Cassidy. "Those Ringing Bells at Trader Joe's Are Actually Part of a Secret Morse Code for Employees." Business Insider. June 02, 2017. Accessed November 24, 2018. https://www.businessinsider.com/what-the-ringing-bells-at-trader-joes-mean-2017-3?r=UK&IR=T.

"Vivek Jaiswal." CustomerThink. September 27, 2017. Accessed November 24, 2018. http://customerthink.com/how-trader-joes-provides-excellent-customer-experience-consistently-4-key-takeaways/.

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Post #8: Brand

Trader Joe’s brand is known for producing organic products and other unique products. What makes them unique is the products that they sell often cannot be found anywhere else. Their image in the public eye is affordable, organic produces, suitable for families, millennials. Trader Joe’s brand mark is a red Hawaiian flower. But Trader Joe’s is a private brand and often orders their products from third-party manufacturers. This is all pretty secretive as no one really publicly says they supply Trader Joe’s with their own products because most of these suppliers sell their own brand at a higher price. Brands like Naked and Stacey’s pita chips are some of the few known brands that supply Trader Joe’s. Because of this, Trader Joe’s rebrands those products and uses their own packaging for everything else. Also 80% of their products have the trademark Trader Joe’s name on it. Trader Joe’s product mix width expands largely because they are indeed a grocery store. From fresh produce, to poultry, to alcohol, to snacks, and dairy products, Trader Joe’s has it all. As for their product mix depth, they carry over 50,000 items in their grocery shop.

 The Branding Genius Of Trader Joe's. (n.d.). Retrieved from https://colemaninsights.com/coleman-insights-blog/the-branding-genius-of-trader-joes

 New Products Are Introduced Every Week from 10 Things You Didn't Know About Trader Joe's Products. (n.d.). Retrieved from https://www.thedailymeal.com/eat/10-things-you-didnt-know-about-trader-joes-products-0/slide-9

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Post 7: Packaging 

Trader Joe’s is known for private branding most of their products with the famous logo of Trader Joe’s. Trader Joe’s does a fantastic job with creating many delicious frozen foods that they package themselves, and they make sure that their name is shown on there. One of the biggest products that Trader Joe’s is known for is their amazingly delicious, cookie butter. Knowing how popular their cookie butter was selling, they made many other products to advertise cookie butter. For example, they soon came out with cookie butter cookies, cookie butter cheesecake bites, and even cookie buttercups. This shows that Trader Joe’s is paying attention to their consumer’s desires, as they pay close attention to their routine response behavior. Trade Joe’s does this by creating products that the consumers are already familiar with, that way there is no hesitation when it comes to buying new products with that same flavor. Trader Joe’s shows the involvement of research it puts into the consumer’s wants and needs. Because of the Trader Joe’s shows such a good previous experience for the consumers, customers are ready to come back to the familiarity Trader Joe’s brings in and how trustworthy their products are.

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Post 6: Competition

The biggest competitors of Trader Joe’s are Whole Foods and Sprouts. These are known as the biggest competitors because just like Trader Joe’s, Whole Foods and Sprouts are also in the organic foods industry, fighting to get consumers to come shop at their market. Another big competitor is just other supermarkets that are not specified for organic foods, but also sell produce and other food items. Cost competitive advantages are one of the advantages Trader Joe’s has over its competitors. For the quality that Trader Joe’s is offering, not many markets can even come close with competing with that. Trader Joe’s is always coming up with new transformational innovation, creating new products for their consumers. The uniqueness of Trader Joe’s makes it hard for them to have any competitors that can do the same thing that they are doing. Coming up with new product ideas, creating the best layout of their store, unbeatable prices, and great customer service. Trader Joe’s market shares comes out to around 25% of the whole super market industry.  

Farfan, B. (n.d.). Trader Joe's Has No Grocery Store Competition Because It Is Unique. Retrieved from https://www.thebalanceeveryday.com/why-trader-joes-has-no-competition-2892549  

Duncan, E. (n.d.). Topic: Food Retail Industry. Retrieved from https://www.statista.com/topics/1660/food-retail/

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Post 5: Target Market

The main target for Trader Joe’s is mid twenties to late thirty year olds, middle class who are working. The main geographic segmentation for Trader Joe’s is in America, but not every state has Trader Joe’s, in fact, Trader Joe’s only have locations in 42 states.  The age segmentation for Trader Joe’s is people who are in their twenties to thirties, but as the hype for organic foods is advancing, the range for the age target is widening. The income segmentation for Trader Joe’s is usually middle class, as Trader Joe’s is known for keeping their high quality products at an inexpensive price. Trader Joe’s is targeting families and individuals whose lifestyle is focused on being healthy. Trader Joe’s is known for offering multiple options for organic produces, vegetarian and vegan choices, along with new and innovated products to change up your everyday eating habits. Usually a Trade Joe’s consumer’s motive is to keep a healthy and clean eating lifestyle, while being able to afford it comfortably.

Watson, E. (2014, April 15). Quirky, cult-like, aspirational, but affordable: The rise and rise of Trader Joe's. Retrieved from https://www.foodnavigator-usa.com/Article/2014/04/15/Quirky-cult-like-aspirational-affordable-The-rise-of-Trader-Joe-s  Markets, R. A. (2017, December 04). 

The Future of Food Retailing - Focus on Whole Foods, Trader Joe's, and Natural Channel Grocery Shopping Trends. Retrieved from https://www.prnewswire.com/news-releases/the-future-of-food-retailing---focus-on-whole-foods-trader-joes-and-natural-channel-grocery-shopping-trends-300565785.html

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Post 4: SWOT Analysis

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Post 3:

So what makes Trader Joe’s unique and different from their competitors? Is it their price? The packaging? The way they target their market? One of the key differentiators for Trader Joe’s is having cost competitive advantage. For example, a bag of quinoa at Whole foods costs $9.99, while at Trader Joe’s it only costs $4.99. “According to dcist.com, consumers view Trader Joe’s as high quality but inexpensive.” 80% of Trader Joe’s products are only sold at Trader Joe’s shops, making them unique and able to sell them at a cheaper price. Having products that can only be found at a local Trader Joe’s gives them product competitive advantage, because they offer products only a Trader Joe’s can give. Trader Joe’s sustainable competitive advantage is originality and creativity, from how their store is set up to their constant new products. One of Trader Joe’s strength is in their promotion, for example, for every holiday, or every new product, there is always huge advertising and buzz about it,the moment you walk into the store. 

Lutz, A. (2014, October 07). How Trader Joe's Sells Twice As Much As Whole Foods. Retrieved from https://www.businessinsider.com/trader-joes-sales-strategy-2014-10 Llopis, G. (2011, October 03). 

Why Trader Joe's Stands Out From All the Rest in the Grocery Business. Retrieved from https://www.forbes.com/sites/glennllopis/2011/09/05/why-trader-joes-stands-out-from-all-the-rest-in-the-grocery-business/#6580db74dec7

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Post 2: Brand

Trader Joe’s is a service that sells products. It is a market selling products for customers. Trader Joe’s annual sale in 2017 was estimated to be around $13.3 billion dollars. It’s corporate headquarters are in Monrovia, CA, where they actually started out. They are a private company with over 38,000 employees nationwide. Their mission statement is this, "The mission of Trader Joe's is to give our customers the best food and beverage values that they can find anywhere and to provide them with the information required to make informed buying decisions. We provide these with a dedication to the highest quality of customer satisfaction delivered with a sense of warmth, friendliness, fun, individual pride, and company spirit.

" 2018, August. General Information. https://www.traderjoes.com/faqs/general-information 

2018. Trader Joe’s Co.  https://www.supermarketnews.com/data-table/trader-joes-co-0

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Post 1: Brand Name

I chose Trader Joe’s as the brand I want to represent because Trader Joe’s has been a huge part of my life since I was a child. I still remember my family taking me when I was younger and loving every second of it. As I wandered down each aisle discovering new products, and familiarizing myself with everything, Trader Joe’s felt like my go-to place for every produce need. I grew to connect Trader Joe’s as part of my family’s tradition for an organic, healthy, eating lifestyle. Trader Joe’s has great customer value because they sell organic products at an affordable price for everyone. Every time I go in, there is great customer satisfaction, because the staff is always so willing to help with any problems or questions I have. Trader Joe’s is always coming up with new ideas for new products for their customers, showing their strength in product development. This is Trader Joe’s mission statement, "The mission of Trader Joe's is to give our customers the best food and beverage values that they can find anywhere and to provide them with the information required to make informed buying decisions. We provide these with a dedication to the highest quality of customer satisfaction delivered with a sense of warmth, friendliness, fun, individual pride, and company spirit." I also think that Trader Joe’s has a huge range for their demographics. So I chose Trader Joe’s because I want to further understand this amazing company and how they are still able to beat competitors, and attract new customers on a daily basis.