Feb 3, 2017
Recent trends in positioning banners and formats by major U.S. chains demonstrate the flexibility of companies to attract specific demographics beyond their traditional scope.
Dollar General has establish a test store in Nashville TN to attract millennials. The store will be smaller than the typical Dollar General location and will have an appropriate décor and incorporate a coffee bar and pizza station. To distinguish the format, Dollar General has assigned the banner DGX.
In introducing the concept Todd Vasos CEO of Dollar General stated, “The DGX format is geared to meet the needs of the millennial shopper who is an emerging and important part of our customer base. DGX will help us broaden our appeal to attract a new segment of urban customers who put a high premium on value and convenience”.
Wal-Mart Stores is perhaps the most innovative in attempting to tailor formats to specific areas and clientele. A new store to be opened in Orlando will incorporate an organic restaurant and specialty items. Wal-Mart Stores is also promoting Click-n-Collect with convenient drive-thru additions to new and existing stores.
Whole Foods Market has introduced “365” smaller-concept stores in high density city areas in addition to suitably stocked units in urban “food deserts” traditionally underserved by supermarkets. Irrespective of profitability the company has recognized its civic responsibility to provide local residents with fresh fruits and healthful foods.