ShopRite (United States) - History

History

ShopRite originated in 1946, when a Del Monte Foods sales representative talked to independent grocers in Newark, New Jersey. The grocers were having problems getting reasonable prices for wholesale goods. The Del Monte representative suggested the grocers try cooperative buying. Seven of the grocers agreed; paying $1,000 each to launch Wakefern Foods, which was incorporated on December 5, 1946. The seven who began Wakefern unanimously agreed the new venture was a success. Members of Wakefern advertised under their own names. However in 1951, they decided they could be more competitive, and spread the word about their great prices by advertising under the name ShopRite.

In 1958, ShopRite cut prices by 10% as an alternative to giving away trading stamps, which other supermarkets in New Jersey were doing. The move was successful, drawing customers and helping create more Shoprite stores. By 1961, Wakefern had 70 members, totaling $100 million in annual sales; it not only had become a major player in New Jersey, it was attracting members from neighboring areas.

One large member, Supermarkets General, pulled out in the late 1960s, halving the number of Wakefern stores. The Supermarkets General stores became Pathmark in 1968. The remaining members redoubled their efforts, adopted "one member, one vote" as a management principle, and expanded aggressively. By the late 1970s, the volume lost from Supermarkets General's departure was restored.

In 1971, ShopRite introduced their Can-Can Sale, where canned goods (as well as other products) were placed on steep discounts, and is usually held in January. Animated commercials for this promotion feature a chorus line of cancan dancers and a French artiste. In 2002, ShopRite expanded that sale to twice a year when they introduced the Summer Can-Can Sale, usually held in July. The company, once known for it's boisterous, humorous in-store sales announcement, has mostly settled into a more modest shopping environment.

More recently, ShopRite has renovated, expanded, or rebuilt many of its older stores, and added new ones. Most stores are larger than before with improved facilities. Some older ShopRite stores date to the 1950s and 1960s. Examples of a newly built giant ShopRites are in Wharton, New Jersey, opened in 2001, as well as Parsippany, New Jersey. There is also a rebuilt one in nearby Succasunna. ShopRite's slogan "This is Your Neighborhood...This is Your ShopRite" is used when promoting and supporting community events, which is used on their current manufactured trucks.

In the early 1990s, ShopRite introduced the Price Plus Club Card, which replaced the Courtesy Card; it is free of charge to acquire. Having a Price Plus Card enables shoppers to receive special weekly discounts, listed in circulars mailed with local newspapers. Most sales are company-wide, valid for all area ShopRites, however some stores choose to put special items on sale based on stock. The Price Plus Card program tracks purchases for special promotions, such as OnePass Miles, a program with Continental Airlines, and Baby Bucks, a program which gives customers $10 off a future $50 purchase for every $100 spent on baby items. The Price Plus Card also tracks purchases, which aids in ShopRite's "No Hassle Return" policy.

In 1996, ShopRite launched its own line of deli meats, cheeses and complements with its premium private label, Black Bear of the Black Forest, to compete against the expansion of Boars Head in competitor's supermarkets. Black Bear's Healthier Lifestyle Program is recognized in the industry as being the only private brand to exceed government standards for a healthier lifestyle (low fat, saturated fat, cholesterol and sodium). As well, all Black Bear meats and cheeses are gluten free, MSG free, and are part of the NSRI(National Salt Reduction Initiative). Black Bear has become the single most successful premium private label in the deli industry. In 2011, over 15 million pounds of Black Bear slicing meats and cheeses were sold at ShopRite.

Since 1999, ShopRite has offered an online grocery shopping service on its website, under the service name ShopRite from Home, through MyWebGrocer.com, at some stores. For an extra charge, a ShopRite employee fulfills a customer's shopping order at a local ShopRite; the customer then schedules either a home delivery or an at-store pick-up.

In 2007, ShopRite aligned with the Klein's Supermarkets, a local chain of family-owned supermarkets in Harford County, Maryland, expanding their market into the Baltimore metropolitan area. The family-owned Klein's Supermarkets that are now ShopRite supermarkets are located in Phoenix, Maryland, two locations in Bel Air, Maryland, Aberdeen, Maryland, Cardiff, Maryland, Forest Hill, Maryland and Riverside, Maryland.

As of 2012, ShopRite is the largest retailer-owned cooperative in the U.S. As a result of the cooperative system, there has been no set format for building architecture, store layout, or color scheme of the storefronts. Most stores are the product of the era in which they were opened, and the owner's style. For example, the ShopRite of West Caldwell, New Jersey has a Japanese motif inside and outside of the store (including rickshaws and an exit sign reading "Sayonara".) The Ronetco family of stores (Netcong, Byram, Newton, Franklin, Flanders, Mansfield, and Succasunna, New Jersey) have different looks on the outside (including the shopping carts and cart corrals), although the stores themselves have a similar layout. ShopRite stores that were previously other stores usually contain elements of the previous occupant. As large corporations buy up stores, recent years have brought a homogenization in building design and store layout.

Currently, ShopRite's base stretches from the Baltimore metropolitan area in Maryland to the Hartford area in Connecticut. While New Jersey is home to the most ShopRite stores, the chain also has a strong presence in the New York City suburbs, and in Pennsylvania (mostly in the Philadelphia area). In 2010, ShopRite expanded its presence in Connecticut through the purchase of 11 former Shaw's stores.

In New York's Capital District, ShopRite initially had stores through 1988. However, in 2011-2012, ShopRite returned to New York's Capital District with stores currently in Niskayuna and Albany. The third store in the Capital Region opened September 30, 2012 in Slingerlands. A fourth store in Colonie is planned for completion sometime in 2013. At this time, other future store locations have not been made official.