Here's How Trader Joe's Decides On New Grocery Store Locations

With its fun private-label products and friendly shopping experience, Trader Joe's has a lot going for it as a store, and it's understandable that the chain has so many die-hard fans. Still, some stores are so popular that the crowds become overwhelming, and we sometimes wish there were more locations to help break up the chaos (especially when we miss out on snagging some of Trader Joe's most in-demand items). To bring more stores to their area, some eager customers have made social media posts or launched letter-writing campaigns. Clearly, a lot of us are dying to know: What does it take to get a Trader Joe's location in our town?

To lend some insight, two members of the grocery chain's team, Tara Miller and Matt Sloan, shared how Trader Joe's decides on new store locations on the Inside Trader Joe's podcast. Despite persistent pleas from customers, Miller and Sloan revealed that Trader Joe's selects new locations based solely on business prospects, not customer enthusiasm. The chain has a long list of criteria that determines where a new location will be built, and it combs through thousands of potential sites at a time across 48 states to ensure it chooses the best spot (sorry, Alaska and Hawaii). As shared on the podcast, Trader Joe's is looking at 1,000 different sites and trying to whittle down its choices for new locations.

Trader Joe's controlled growth strategy

Currently, Trader Joe's has 593 locations. Per the Inside Trader Joe's podcast, when trying to add a new store to that list, the chain looks for locations that have high population density, are easy to access, have sufficient parking available, and are near higher-traffic areas, to name just a few of the company's criteria.

Unlike other stores that acquire buildings and attempt to expand as quickly as possible, Trader Joe's takes a more sustainable approach to its growth, often building one new location at a time. This is seemingly to maintain the levels of quality that customers have come to expect from the brand. Simply put, the decision makers don't want to rush the process, although the company's growth has been accelerating over the last few years. The chain calls the process "controlled growth," and with this method in mind, the brand can pay special attention to each new location, making each one fun and specific to the area. Plus, it can take notice of customer demand in each region and can curate shelves to reflect what will sell best in each store.

While this approach might make some eager customers feel antsy, Trader Joe's is still adding new stores all the time. So, while its growth levels are controlled, that doesn't mean they're slowing down. To tide you over, here are some more Trader Joe's secrets.

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