News & Articles

Stores we've seen July 09: Coles St Agnes, Foodland Adelaide's Finest Fairview Park

Our regular review of what’s happening in the retail channel continues with Norrelle Goldring’s visits to new format Coles and Foodland stores in Adelaide.

#1 Coles St Agnes – Centro Mall St Agnes

Good lord, a supermarket with SERVICE. Who’d a thunk it, as the man said.

Those who’ve been to our retail training sessions on Point of Purchase drivers (RSVP3) would be aware that we generally refer to Staff Persuasion as a driver reserved for channels outside of grocery … well, not any more.

The first thing that hits you about Coles St Agnes store – aside from the stonking great fresh area that’s 1/3 of the store footprint and the means through which you enter the open plan store – is the number of staff stocking shelves (on average 2 staff per aisle) and actively assisting shoppers with choices and enquiries.

Like other new format Coles stores, the St Agnes stores has all its (low profile) chillers grouped behind the fresh area and in front of Deli, Butcher, Seafood and Bakery (which ring the perimeter of the store).

I was peering at the chilled seafood case, looking for white anchovies among the pickled herrings, when approached by a friendly staff member asking what I was looking for and could they help.  They weren’t able to answer my question around ranging of white anchovies specifically so they escorted me to the deli supervisor, who enquired as to the application of the anchovies – ‘Do they need to be white? Because other types of anchovy fillets we range are equally good in salads and as garnishes’.  Alas I wasn’t making a salad, I just wanted marinated white anchovies as an antipasto, and they didn’t range them. However, the deli supervisor made a note of this.

So although they weren’t able to help me on this occasion, the effort was certainly noted.  Only when I reached the checkout with some other items in the basket did I see the large overhead sign ‘Looking for something? We’ll take you to it, no excuses’. Nice to see a store walking the talk.  Oh, and the checkout staff were chatty and friendly too. (Maybe being from Sydney I’m just not used to that).

What’s new vs other Coles trial stores:
* Certainly the service element. Be interested to see if they can keep it up
* The Food to Go area. Yay! the beginnings of where Whole Foods, Bristol Farms and Pavilions are at in the USA, and Tesco in the UK, with their takeaway lunch trade – prepacked meat and salad trays, pre-cut sandwiches and deli rolls, single serve drinks

* The Produce of SA section – two islands – promoted outside the store and the signage carried through to instore. Mostly condiments eg Maggie Beer
* The Asian and Indian foods aisle was clearly signed and not relegated to promotional aisle or in a separate part of the store
* Good clear aisle signage both at aisle ends and along the aisles. You don’t have to wander up and down aisles looking for something, it’s all visible from the aisle ends.

Things to work on:
* OK, so the low profile chillers keep the store looking clean and open. But I think they’re missing an occasion based, co-location  impulse opportunity here … why not range the relevant condiments and dressings on top of the chillers … eg the BBQ sauces etc on top of the meat chillers? This is not new news, Woolworths have ranged the crackers next to the cheese chillers for years.
* Bakery way over in the far left corner – near the frozens (which, common with Peter’s Coles Balgowlah review, are located on the opposite side of the store from the rest of the chilled foods). OK it might be a function of store footprint size –  and they’ve stuck to the mantra of major fresh departments around the perimeter – but here the effect is one of being a bit of an afterthought. And the bakery range was reasonably small.
* Overhead signs that sit above a specific category that say ‘Sugar … I’m here’ or ‘Batteries … I’m here’ with an arrow.  I think they’re meant to be directional for destination categories, but because they’re often at aisle ends you miss them … those type of signs are more visible in the middle of the aisle. I don’t think they add anything.
* Lacking in theatre … the salad bars are an improvement but not there yet. But like the WW 2010 format stores, definitely easier to shop.

Verdict:
A pleasure to shop in for destination items. The service element sets it apart from the other Coles trial stores. Not surprising to hear it’s the first SA Coles store to crack $1m per week in sales.

#2 Foodland Adelaide’s Finest Fairview Park

Now THIS is an interesting retail experiment and one we like to see. It looks like a cross between Costco, with its warehouse footprint and exposed ceiling quasi industrial feel; and Ikea from a clean, cool, modern design point of view.

Everything is black, silver and chocolate … very ‘now’ colours. The entry looks like something from an upmarket furniture store.

What’s new news:
* An instore café serving baguettes, soups, pastries you eat at either high benches or low communal tables … this part of the store was full on a Saturday morning
* A coffee service station that included biscuits, with gourmet nuts and dukkahs located right alongside
* A ‘chef’s corner’ with the in-store chef making ‘today’s recipes’ … displays of the produce used in the recipe
* Self service delicatessen digital kiosks where you plug in your order from a product menu, it produces your order and number on paper and staff then prepare and provide your order to you
* LOADS of condiments, dips and gourmet yummy things from lesser known producers and brands both SA and eastern seaboard … if you’re entertaining, come here.

Things that need work:
* The overhead produce imagery, digital signs and section wording around what are meant to be the deli, butcher and seafood areas is too emotive and from reading the signage you’re not clear what the product offer is and need to look in the produce cases themselves to figure it out. More straightforward signage wording, but maintaining the imagery, would be good.
* Ditto the Chefs Corner, the front of store coffee station and the eat-in Café … wasn’t clear what they were until you stumbled across them … need to shout out that they are there, as they are the store’s points of difference!
* The deli digital order kiosks are slightly confusing – looks like an instore product locator – a simple sign above the kiosks saying ‘Place Your Deli Order Here’ would help. Lots of people milling around the deli section waiting for their numbers to be called indicated either the order process was slow or the deli was understaffed
* The bakery in the far left corner (again!) away from everything else … would be better placed right between the coffee station and the fresh section … natural lead from coffee into baked goods
* Some basics – all the shelving and freezers are too high (7ft), reducing visibility, increasing darkness despite high exposed warehouse ceilings and bright fluoro lights, and producing the effect of too much choice and stock. A number of punters looked confused
* Aisle signage only at aisle ends … needs more aisle signage along aisles.

Verdict:
Where Coles’ new formats are evolution, there are some revolutionary elements here. Couldn’t be further from Peter’s Franklin’s St Ives “welcome to the ‘80s” experience, but the whole is currently less than the sum of the parts … some fantastic ideas just requiring some simple signage and visibility  to bring cohesion. Well worth a visit to see how they’re thinking outside the proverbial nine dots and what grocery shopping could become, if done well.

And then there’s …

BP On the Run.

For those Sydneysiders and Melburnians not familiar with it, it’s the closest thing there currently is to one-stop convenience shopping. And they’ve been in Adelaide for around 3 years now.

On The Run sites offer a combination of fuel, Subway, Brumbys Bakery, C Coffee cafe, SmokeMart, HappyWash car wash and a true mini supermarket. They’re open 24/7 and all their ‘We NEVER close’ external signage clearly underscores this.

The mini mart is not just your typical convenience softdrinks, salty snacks and confectionery offering. There are generally around 6-8 aisles, with promotional gondola ends, covering most grocery categories with a reasonable number of products per category, at reasonable prices. Not the ‘emergency occasion’ price gouging tokenism of 1-2 products per category you see in Coles Express, Caltex Starmart and the like.

Blackboard signs out front of store advertise the weekly/fortnightly specials (replicated on the gondola ends, like in supermarkets).

Whilst there’s no fresh offer here (aside from flowers) it’s certainly an alternative if you have a top up shop or destination shop for half a dozen items you’re about to run out of and can’t be bothered braving the supermarket parking and queuing. Or if you want some fresh bakery goods and a coffee to go with your Saturday morning milk and newspaper.

When can we get more of them in Sydney and Melbourne?!!

Looking for something in particular?