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taking stock
From page 1
Construction will begin this year, and the store is expected to open in January or February 2016. The new supermarket will provide up to 400 jobs. The
location was vacated by Dave & Buster’s earlier this month.
This is the high volume merchant’s second attempt to enter the densely-populated, demographic-friendly central Long Island market. More than
12 years ago, Stew Leonard’s sought to build a 150,000 square foot grocery
store at the intersection of Route 110 and Conklin Street, across the street
from Republic Airport in Farmingdale. But the plans eventually fell through
after objections by local aviation officials, pilots and the state Department of
Transportation, which said the proposed location would put shoppers too close
to the airport’s main flight path.
The family-owned and operated business was founded by Stew Leonard Sr.
as a dairy store in 1969 in Norwalk, CT (the original unit was 17,000 square
feet and carried only eight items - it has been enlarged/remodeled more than
30 times since) and has grown to become one of the highest sales per square
foot food retailers in the country, with annual volume estimated to be more
than $350 million. Stew Leonard’s employs approximately 2,200 associates.
The retailer has also enjoyed strong same store sales despite a challenging economy and its leadership team headed by Stew Leonard Jr. and chief
operating officer Chris Williams (who joined the company 10 years ago after
successful stints at Pathmark and Stop & Shop’s New York Metro division) is
on very solid footing.
Additionally, Beth Leonard Hollis and Jill Leonard Tavello, Stew Leonard Jr.’s
sisters, both serve as executive VPs at the company. Brother Tom Leonard, who
worked for the company for many years before opening a successful farmer’s
market-type store in Richmond, VA, remains on the retailer’s board. In recent
years, a third generation has also entered the business, and founder Stew
Leonard Sr. and his wife Marianne are still around for support and guidance.
Stew Leonard’s is a true American success story whose final chapter seems
to be far in the future.
Wal-Mart Raises Its Minimum Wage To $9 An Hour;
Posts Solid Earnings, Improved Comp Store Sales
Now that CEO Doug McMillon has reshuffled his leadership deck, Wal-Mart
clearly is ready to make some strategic moves designed to improve its execution, consumer perception and a lengthy period of generally flat U.S. sales.
On February 19, McMillon said Wal-Mart has been developing and testing
new ideas to reward associates for serving customers. As part of those initiatives, the home grown chief executive who was named to the top post at the
world’s largest retailer a years ago, said that approximately 500,000 full-time
and part-time associates at Wal-Mart U.S. stores and Sam’s Clubs will receive
pay raises in the first half of the current fiscal year. Current and future associates will benefit from this initiative, which ensures that Wal-Mart hourly associates earn at least $1.75 above today’s federal minimum wage, or $9.00 per
hour, in April. The following year, by February 1, current associates will earn at
least $10.00 per hour.
“Today (February 19) we announced comprehensive changes to our
hiring, training, compensation and scheduling programs, as well as to our
store management structure. These changes will give our U.S. associates the
opportunity to earn higher pay and advance in their careers. We’re pursuing
a comprehensive approach that is sustainable over the long term,” explained
McMillon. “By realigning our store operational structure, associates can enjoy a
closer relationship with their supervisors. In addition, associates will have more
control over their schedules. The investment in these initiatives is more than $1
billion for this fiscal year.”
According to McMillon, the leadership teams are very focused on improving
customer experiences through various investments and program initiatives, and
TAKING stock continues on page 14
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I Food trade news February 2015