Assignment1

Trader Joe’svs.

Whole Foods

Meghan MaloyProfessor DeCarlo

MARK 56411 September 2013

Trader Joe’s

Began in 1958 as a chain of convenience stores; changed name and business practices in 1967

Focus on great food and great prices Target market: educated, health conscious,

socially responsible, middle class consumers Fun environment– employees wear Hawaiian

shirts 80% of products are Trader Joe’s own brand No coupons or sales

Whole Foods “America’s Healthiest Grocery

Store™” Primarily natural and organic

products Focus on sustainability Target market: health

conscious, socially responsible, upper class college graduates

Ads focus on value and quality

Points of Parity Both offer a large selection of organic foods Both are concerned about the sources of

their products and offer many Fair Trade products

Both seek to highlight the value of their products

Both offer lines that are unique to their stores (Whole Foods has 365 Everyday Value® products; Trader Joe’s has its eponymous brand)

Points of Difference

Lower prices because they buy direct from suppliers when possible, don’t charge a shelving fee, and frequently evaluate the success of products and discontinue unsuccessful products

Emphasis on the store’s duty to the customer

Does not offer coupons or sales

Fun environment Does not offer any online

ordering

Higher prices Emphasis on the

store’s duty to suppliers and the environment

Offers coupons and sales More serious environment Offers limited online

ordering

Positioning Statements

Among educated, health conscious, socially responsible, middle class consumers,Trader Joe’sIs the specialty grocery storeThat offers a fun environment in which to buy inexpensive, quality foodsBecause it hires friendly employees and uses unique purchasing strategies

Among educated, health conscious, socially responsible, middle class consumers,Whole FoodsIs the specialty grocery storeThat provides healthy, sustainable foodsBecause it abides by a list of unacceptable ingredients and partners with local, organic farmers

References http://www.traderjoes.com/ http://www.wholefoodsmarket.com/ http://www.grocery.com/trader-joes/ http://www.gianfagnamarketing.com/blog/2013/05/23/how-trader

-joes-creates-branding-magic-with-facial-tissues/

http://www.itsthewatsons.com/2010/10/whole-foods-market-value-campaign-2010-on-display/

http://www.seattlepi.com/business/article/Trader-Joe-s-targets-educated-buyer-1123007.php

http://money.cnn.com/2010/08/20/news/companies/inside_trader_joes_full_version.fortune/index.htm

http://mythandrafenner.wordpress.com/tag/billboard/ http://www.typophile.com/node/41846 http://rahelvegancuisine.com/store.html http://guestofaguest.com/new-york/things-we-love/battle-of-the-g

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