1. Trends & External Forces

From Tariffs To Food Dyes To Saluting The Competition:  Stew’s Views

I know that I’ve gone to this well before, but Stew Leonard’s continues to teach a master class in how to create connections with shoppers.

In his latest shopper email, “Around The Store With Stew,” Stew Leonard Jr. addresses a number of issues that are on the minds of shoppers.  Here are the key points:

•  There are tariffed products – New Zealand lamb, wines/spirits, coffee and private label marinara sauce among them – where prices may go up, and Stew explains what the company is doing to mitigate the impact.

•  There are non-tariffed products which will see prices either stay the same or decrease – and Stew lays it all out.

•  And, Stew goes through a number of items for which there have been supply and demand issues, and offers updates so customers can make informed decisions.

•  The issue of artificial food dyes also has been in the news, and Stew explains that the store is doing a test:  “We sell a lot of character cupcakes that use artificial dyes in the frosting. To eliminate these dyes but still get colorful frosting, we are using fruits, vegetables, and other natural ingredients … The only issue is that it costs more. We have cupcakes (with artificially dyed icing) for $8.99 and cupcakes without the artificial dyes for $9.99. Which would you prefer?”  In essence, customers can vote by which ones they choose, though Stew also offers a link that allows they to vote online.

KC’s View:

Two other quick points about things that differentiate this newsletter.

You’ll notice that Stew takes advantage of the moment to wish his mother – Marianne Leonard, the family matriarch and widow of the founder (Stew Sr. passed away in 2023) – a happy 93rd birthday. And he notes that he’s just become a grandfather. Again. This all humanizes him, and personalizes the store.

And then he does something really unusual – notes that the original Stew Leonard’s in Norwalk, Connecticut, is about to get new competition from Wegmans:

The Wegman family has been friends of ours for 30 years. I just had lunch with Danny Wegman, and he toured me through his new store in NYC. I’m sure they will make a big splash when they open next month. I’m sure, just like a new restaurant, you’ll want to check it out. The key is…….making sure you come back to shop at Stew’s!

Here’s the thing.  I shop at that Stew Leonard’s (almost weekly for 41 years), and they’ve been preparing for the Wegmans opening for years.  Unlike a lot of retailers (like Stop & Shop, which has two stores pretty much equidistant from the Wegmans) that wait until the new competition actually has opened to try to frame the competition.

I’m sure that Stew Leonard’s will take a hit when Wegmans opens.  But I think over the long haul, Stew Leonard’s highly differentiated retail offering, combined with longtime customer relationships that have been nurtured by things like the “Around The Store With Stew,” will be just fine.  Especially because they understand a retail recipe that we talk about a lot here on MNB:  

Make people happy.  Make people hungry.  Be different.

The post From Tariffs To Food Dyes To Saluting The Competition:  Stew’s Views appeared first on MNB.

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