Copy linkEmailFacebookWhatsAppXLinkedInBlueskyThreadsImpact Link
SaveSaved
Trader Joe's wins over customers with its affordable products.
2018-10-21
But despite how relatively low its prices are, the quality is still high.
Part of the reason is that 80% of Trader Joe's products are made for its own private label. That means the grocer is buying goods directly from the supplier, cutting out the middlemen in the supply chain that can drive up costs. Trader Joe's can pass along those savings to the shopper in turn.
Another way Trader Joe's cuts costs and passes the savings on to customers is by depending on word of mouth to spread the word about its products, rather than spending a lot on marketing.
See what else Trader Joe's does to keep its prices low:
Trader Joe's sells private-label products. That means the grocer is buying goods directly from the supplier, cutting out the middlemen in the supply chain that can drive up costs.
Trader Joe's doesn't focus on packaging. By spending less time and money worrying about small imperfections in packaging, Trader Joe's is able to cut costs and pass those savings on to the customer.
Find her on Twitter at @Kate_H_Taylor. Send your tips about business and individuals deserving of a deep-dive feature to ktaylor@jkmperu.com. You can also get in touch via the Signal encrypted messenger app at (646) 768-4740.
Jessica Tyler is a Visual Features Reporter at Business Insider. She joined BI from the music publication Mind Equals Blown, where she is a contributing photographer and writer covering music and pop culture. Before this, she interned in the Creative Services department at CBS2/WLNY-TV. She holds a BA in Photography/Digital Art from SUNY Oneonta.
