The Edible Man
One of my favorite stores in the entire world is a grocery store. You heard me correctly - a grocery store.
When I lived in Canada (more than a decade ago), Loblaw was the epitome of innovative marketing. In those days, Loblaw was the most expensive grocery chain to shop at.
When I lived in Canada (more than a decade ago), Loblaw was the epitome of innovative marketing. In those days, Loblaw was the most expensive grocery chain to shop at.
And the most profitable.
And this success was the direct result of product innovation and great marketing, led by a guy you've probably never heard of, named Dave Nichol. He was the "face" of Loblaw - their spokeman. He brought the grocery chain from "one of the pack" to a premier position in his industry.
He turned grocery shopping from a weekly mundane task, into an adventure, led by Loblaw's innovative brand, President's Choice.
So how did Dave Nichol turn around Loblaw? Here's the recipe.
1. Passion. Dave Nichol had a passion for great food. And it showed. His private branded products were samples of great foods and recipes he had experienced from around the world.
1. Passion. Dave Nichol had a passion for great food. And it showed. His private branded products were samples of great foods and recipes he had experienced from around the world.
His enthusiasm showed - from the copy in print ads to his television commercials (and even 30 minute informercials) to the comic book formatted President's Choice "Insider's Reports" that featured new products, great recipies, and seasonal specials.
2. Exclusivity via Private Branding. He sought out small companies with whom to work and developed fantastic taste treats one couldn't buy anywhere else. He created President's Choice Decadent Chocolate Chunk Cookies, which eventually became the store's best selling cookie (leading all major national brands). He created PC Cola which outsold Coke. All these products commanded a a premium price and were only available at his stores.
3. Speed of Innovation. Not a month went by without some new PC product introduction or some instruction on how to create a culinary delight using new or different PC sauces, marinades or spices. During weekly grocery shopping excursions, I found myself searching out new products or innovations.
2. Exclusivity via Private Branding. He sought out small companies with whom to work and developed fantastic taste treats one couldn't buy anywhere else. He created President's Choice Decadent Chocolate Chunk Cookies, which eventually became the store's best selling cookie (leading all major national brands). He created PC Cola which outsold Coke. All these products commanded a a premium price and were only available at his stores.
3. Speed of Innovation. Not a month went by without some new PC product introduction or some instruction on how to create a culinary delight using new or different PC sauces, marinades or spices. During weekly grocery shopping excursions, I found myself searching out new products or innovations.
I recall one week where I stumbled upon an end of aisle display which featured different varieties of PC Pizza crusts (pre-cooked), PC specialty oils (with which to coat the crusts before applying your toppings), PC Pizza toppings, along with a videotape featuring 10 of Toronto's most famous restaurant chefs making their personal favorite PC Pizza's (using Loblaw's products, of course).
4. Best to Market. Loblaw had an internal saying that they didn't need to be first to market (although they were many times) but they needed to be Best to Market. When they introduced a new product, it had to have a clear differentiation from anything else available - something their customers could immediately recognize as value adding.
5. No Name products. More than just Priemium Brands, Dave Nichol introduced Canada to No Name (generic) branded products at significant savings over national brands. So Loblaw's was a destination for not only discriminating tastes, but also price sensitive customers who went in search of savings. A very famous ad introducing No Name to Canada, featured two shopping carts filled with groceries. In one cart were name brands and in the other cart were their generic No Name equivalents. The caption read "I saved $50 with No Name products". That was impressive. (And that's back when $50 was real money!)
6. Trust. The Loblaw's reputation rode on the consistent quality of the President's Choice brand. It made trying a new product almost risk free. If it had the President's Choice name on it, chances were you'd like it. And the mouthwatering packaging (great graphics) didn't hurt either.
I'm only part way through Nichols' 1994 autobiography, "The Edible Man".
When I finish it, I'll provide the rest of Loblaw's secret success sauce.
