SOURCE: Grocery Outlet

Grocery Outlet

September 23, 2015 11:45 ET

Grocery Outlet Bargain Market Launches Independent Owner Recruitment Site

Rapidly Growing Chain Offers Unique and Potentially Lucrative Opportunity for Grocery and Retail Managers

EMERYVILLE, CA--(Marketwired - Sep 23, 2015) - Grocery Outlet announced the launch of its new independent owner recruitment website,, featuring Q&As with several owner-operators, video interviews with the Grocery Outlet leadership team, startup cost information, and details about the industry and what separates the Grocery Outlet store from its competitors.

Grocery Outlet is on a mission to spread its nearly 70-year-old brand across several western states and Pennsylvania. Founder Jim Read began the business in 1946 initially selling excess, canned surplus items in San Francisco. Since then, Grocery Outlet has expanded its products to become a full-service grocery outlet store supported by a team of opportunistic buyers seeking bargains from manufacturers and suppliers.

Grocery Outlet recruits independent owners to operate its stores and share in profits. Candidates often come from other grocery or retail chains and have had some management experience. Grocery Outlet independent owners often make substantially more in income than they would in a store manager position.

"We are the largest extreme-value grocery retailer in the nation with up to 60 percent off conventional, name-brand retail products," said Co-CEO MacGregor Read, the grandson of founder Jim Read. "Our buyers travel thousands of miles to find the best bargains from manufacturers and producers. Our independent owner-operators sell products that are outside the retail channel, including packaging changes, product overruns, and surplus inventories. These operators sell, and not buy, our products so that they can focus on retail while we search far and wide for the best deals."

Grocery Outlet holds a unique partnership with its owner-operators. Owner-operators don't pay for the merchandise consigned to them until the products are sold. Grocery Outlet constructs the store and buys the land, leaving the owner-operators with only opening costs -- such as equipment and hiring and training staff. Owner-operators order products from Grocery Outlet's merchandise guide based on what they know will sell in the communities they serve.

Grocery Outlet, backed by the private equity firm Hellman & Friedman, has more than 210 stores throughout five western states and Pennsylvania. Grocery Outlet acquired Amelia's Grocery Outlet in Pennsylvania, which expanded the company quickly on the East Coast.

Independent grocery sales are at $131 billion annually, and last year Grocery Outlet captured a $1.4 billion share of that market. Grocery Outlet competes with larger corporate grocers because its owner-operators are free to make the most of their sales at their independently operated stores.

"We're holding each other accountable," said Steve Smith, a franchisee in San Diego. "Albertson's and Safeway may offer more product, but they can't offer the same customer service. Managers at those stores get their paycheck and that's it. Owner-operators with a Grocery Outlet store, on the other hand, hire people who are enthusiastic and want to be there."

For in-depth details about the Grocery Outlet independent ownership opportunity, go to

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