Whole Foods chooses 365 for mini-stores
Whole Foods has chosen the name of its new mini-store format aimed at Millennials: 365.
That’s the popular, recognised brand of its private label range, so should quickly resonate with consumers.
There had been widespread speculation on the new brand in the Us where Whole Foods is not so affectionately nicknamed ‘Whole Paycheck’. Mischievous suggestions among the online community included ‘Half Foods’.
Analysts says Whole Foods has been forced into launching the new concept partly to react to a changing market: Bulk buy chain Costco now sells more organic food than Whole Foods and Kroger is closing on that second spot fast.
Kevin Meany, CEO of BFG Communications, said the new chain is not only targeting Kroger and Walmart, but Trader Joe’s, the Aldi-owned upmarket mini-grocer format.
“Trader Joe’s is said to have two times the sales per square foot as Whole Foods, primarily on the strength of its house brands. By selling more of its lower-priced private label items, Whole Foods can go on the offensive,” Meany told Marketing Daily in an interview.
“The issue is that the grocery landscape has changed dramatically since Whole Foods developed its main concept. Organics are mainstream, and people are comfortable buying them in warehouse stores, and even at Walmart.”
Whole Foods has chosen Jeff Turnas to head the new operation. He promises smaller stores which are “fun, exciting, modern, streamlined, cool and convenient”.