Bill Hanifin
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Josh Stevens is the Groupawn, striving to live off Groupons for one year. If he’s successful, Groupon gains additional publicity in extreme fashion, all for the cost of $100,000 – the carrot in front of Josh until May 2011.
I’m neither a “WegPawn” or eligible for any incentive from Wegman’s, but I am considering moving in for the summer. 
The Western New York grocery chain is ranked 28th largest in the US and # 3 on Fortune magazine’s list of “100 Best Companies to Work For” in 2010. In real terms they combine the best that Starbucks, Barnes & Noble, Panera Bread, and a host of QSR restaurants have to offer and provide a learning platform for any retailer hoping to drive brand loyalty and customer engagement.
And, Wegman’s seems to be creating its momentum absent of the typical array of grocery rewards programs used by competitors.
The interesting thing from a In the 2010 United States of America, there is an expanding group of people working independently and in collaborative teams to deliver high value at reasonable cost to Corporate America across a spectrum of service offers. I co-founded the Customer Strategy Network with this in mind and believe these consciously organized networks can be the tip of spear to drive innovation and efficiency in our economy over the next ten years. Chris Brogan shares an interesting post today on the meaning of independence in today’s business world which you might want to read to stimulate more thought on this subject.
With or without permanent office space, there is always the occasional need to get work done on the fly – whether on the road or in between business meetings. I don’t think Coworking was part of Wegman’s original business plan, but they offer an ideal platform for people on the move and in the process create customer loyalty for their core business.
Having just toured the East Coast of the US, I’ve had the opportunity to experience the merchandising approach of several grocery chains including Publix, Trader Joe’s, Whole Foods, Harris Teeter, and a few other smaller players. In my opinion, Wegman’s sits above them all in creating grocery loyalty, with beautifully organized stores, reasonable prices, a fantastic array of prepared foods, and a comfortable coffee shop and dining loft where customers can relax over a meal or pound away on their laptops using the free wireless Internet.
Wegman’s is not treating customer loyalty as a fad and as a result has been on the “Best Companies to Work For” list every year since it began in 1998. The company’s mission statement outlines three beliefs that define their viewpoint on what it takes to build customer loyalty and increase intrinsic business value over time. Some excerpts:
- “We believe that good people, working toward a common goal, can accomplish anything they set out to do”
- “We set our goal to be the very best at serving the needs of our customers. Every action we take should be made with this in mind”
- “We also believe that we can achieve our goal only if we fulfill the needs of our own people. To our customers and our people we pledge continuous improvement, and we make the commitment: “Every Day You Get Our Best””
And the absence of rewards programs?
Wegman’s discontinued a punch-card style Coffee Club in 2007 (but still offers refills for $.50) and has de-emphasized its Shoppers Club, at least in practice. Jo Natale, Director of Media Relations, shared that Shoppers Club “is still very much active”, but “since we moved to consistent, low prices several years ago (in place of short-term sales), there are fewer discounts overall, because our prices don’t fluctuate as they once did”.
Am I a Wegman’s family member? No.
Is Wegman’s perfect? No.
Could Wegman’s be more creative in collecting and using customer data & reinvigorate a fading two-tier customer club? Yes.
Despite areas of potential improvement, is Wegman’s the best example I have seen of a grocery chain delivering on its brand promise & creating grocery loyalty through merchandising and store design? Yes!
Am I really moving in this summer? No, I really like my family and will save Wegman’s visits for those on-the-fly email check ups and when I want some really great food!
