Supermarket
Encyclopedia
A supermarket, a form of grocery store
Grocery store
A grocery store is a store that retails food. A grocer, the owner of a grocery store, stocks different kinds of foods from assorted places and cultures, and sells these "groceries" to customers. Large grocery stores that stock products other than food, such as clothing or household items, are...

, is a self-service
Self-service
Self service is the practice of serving oneself, usually when purchasing items. Common examples include many gas stations, where the customer pumps their own gas rather than have an attendant do it...

 store offering a wide variety of food
Food
Food is any substance consumed to provide nutritional support for the body. It is usually of plant or animal origin, and contains essential nutrients, such as carbohydrates, fats, proteins, vitamins, or minerals...

 and household merchandise, organized into departments
Departmentalization
Departmentalization refers to the process of grouping activities into departments.Division of labour creates specialists who need coordination. This coordination is facilitated by grouping specialists together in departments....

. It is larger in size and has a wider selection than a traditional grocery store, also selling items typically found in a convenience store
Convenience store
A convenience store, corner store, corner shop, commonly called a bodega in Spanish-speaking areas of the United States, is a small store or shop in a built up area that stocks a range of everyday items such as groceries, toiletries, alcoholic and soft drinks, and may also offer money order and...

, but is smaller and more limited in the range of merchandise than a hypermarket or big-box store
Big-box store
A big-box store is a physically large retail establishment, usually part of a chain. The term sometimes also refers, by extension, to the company that operates the store...

.

The supermarket typically comprises meat
Meat
Meat is animal flesh that is used as food. Most often, this means the skeletal muscle and associated fat and other tissues, but it may also describe other edible tissues such as organs and offal...

, fresh produce
Produce
Produce is a generalized term for a group of farm-produced goods and, not limited to fruits and vegetables . More specifically, the term "produce" often implies that the products are fresh and generally in the same state as where they were harvested. In supermarkets the term is also used to refer...

, dairy
Dairy
A dairy is a business enterprise established for the harvesting of animal milk—mostly from cows or goats, but also from buffalo, sheep, horses or camels —for human consumption. A dairy is typically located on a dedicated dairy farm or section of a multi-purpose farm that is concerned...

, and baked goods departments, along with shelf space reserved for canned and packaged goods as well as for various non-food items such as household cleaners, pharmacy products and pet
Pet
A pet is a household animal kept for companionship and a person's enjoyment, as opposed to wild animals or to livestock, laboratory animals, working animals or sport animals, which are kept for economic or productive reasons. The most popular pets are noted for their loyal or playful...

 supplies. Most supermarkets also sell a variety of other household products that are consumed regularly, such as alcohol (where permitted), medicine
Medicine
Medicine is the science and art of healing. It encompasses a variety of health care practices evolved to maintain and restore health by the prevention and treatment of illness....

, and clothes
Clothing
Clothing refers to any covering for the human body that is worn. The wearing of clothing is exclusively a human characteristic and is a feature of nearly all human societies...

, and some stores sell a much wider range of non-food products.

The traditional suburban supermarket occupies a large amount of floor space, usually on a single level. It is usually situated near a residential area in order to be convenient to consumers. Its basic appeal is the availability of a broad selection of goods under a single roof, at relatively low prices. Other advantages include ease of parking and frequently the convenience of shopping hours that extend far into the evening or even 24 hours a day. Supermarkets usually allocate large budgets to advertising, typically through newspapers. They also present elaborate in-store displays of products. The stores are usually part of corporate chain
Chain store
Chain stores are retail outlets that share a brand and central management, and usually have standardized business methods and practices. These characteristics also apply to chain restaurants and some service-oriented chain businesses. In retail, dining and many service categories, chain businesses...

s that own or control (sometimes by franchise
Franchising
Franchising is the practice of using another firm's successful business model. The word 'franchise' is of anglo-French derivation - from franc- meaning free, and is used both as a noun and as a verb....

) other supermarkets located nearby—even transnationally—thus increasing opportunities for economies of scale
Economies of scale
Economies of scale, in microeconomics, refers to the cost advantages that an enterprise obtains due to expansion. There are factors that cause a producer’s average cost per unit to fall as the scale of output is increased. "Economies of scale" is a long run concept and refers to reductions in unit...

.

Supermarkets typically are supplied by the distribution centres of their parent companies
Parent company
A parent company is a company that owns enough voting stock in another firm to control management and operations by influencing or electing its board of directors; the second company being deemed as a subsidiary of the parent company...

, usually in the largest city in the province.

Supermarkets usually offer products at low prices by reducing their economic margins. Certain products (typically staple foods such as bread
Bread
Bread is a staple food prepared by cooking a dough of flour and water and often additional ingredients. Doughs are usually baked, but in some cuisines breads are steamed , fried , or baked on an unoiled frying pan . It may be leavened or unleavened...

, milk
Milk
Milk is a white liquid produced by the mammary glands of mammals. It is the primary source of nutrition for young mammals before they are able to digest other types of food. Early-lactation milk contains colostrum, which carries the mother's antibodies to the baby and can reduce the risk of many...

 and sugar
Sugar
Sugar is a class of edible crystalline carbohydrates, mainly sucrose, lactose, and fructose, characterized by a sweet flavor.Sucrose in its refined form primarily comes from sugar cane and sugar beet...

) are occasionally sold as loss leaders, that is, with negative profit margin
Profit margin
Profit margin, net margin, net profit margin or net profit ratio all refer to a measure of profitability. It is calculated by finding the net profit as a percentage of the revenue.Net profit Margin = x100...

s. To maintain a profit
Profit (accounting)
In accounting, profit can be considered to be the difference between the purchase price and the costs of bringing to market whatever it is that is accounted as an enterprise in terms of the component costs of delivered goods and/or services and any operating or other expenses.-Definition:There are...

, supermarkets attempt to make up for the lower margins by a higher overall volume of sales, and with the sale of higher-margin items. Customers usually shop by placing their selected merchandise into shopping cart
Shopping cart
A shopping cart is a cart supplied by a shop, especially supermarkets, for use by customers inside the shop for transport of merchandise to the check-out counter during shopping...

s (trolleys) or baskets (self-service) and pay for the merchandise at the check-out
Point of sale
Point of sale or checkout is the location where a transaction occurs...

. At present, many supermarket chains are attempting to further reduce labor costs
Labor theory of value
The labor theories of value are heterodox economic theories of value which argue that the value of a commodity is related to the labor needed to produce or obtain that commodity. The concept is most often associated with Marxian economics...

 by shifting to self-service check-out
Self checkout
Self checkout machines provide a mechanism for customers to pay for purchases from a retailer without direct input to the process by the retailer's staff. They are an alternative to the traditional cashier-staffed checkout...

 machines, where a single employee can oversee a group of four or five machines at once, assisting multiple customers at a time.

A larger full-service supermarket combined with a department store
Department store
A department store is a retail establishment which satisfies a wide range of the consumer's personal and residential durable goods product needs; and at the same time offering the consumer a choice of multiple merchandise lines, at variable price points, in all product categories...

 is sometimes known as a hypermarket
Hypermarket
In commerce, a hypermarket is a superstore combining a supermarket and a department store. The result is an expansive retail facility carrying a wide range of products under one roof, including full groceries lines and general merchandise...

. Other services offered at some supermarkets may include those of bank
Bank
A bank is a financial institution that serves as a financial intermediary. The term "bank" may refer to one of several related types of entities:...

s, cafés, childcare centres/creches
Day care
Child care or day care is care of a child during the day by a person other than the child's legal guardians, typically performed by someone outside the child's immediate family...

, photo processing
Photographic processing
Photographic processing is the chemical means by which photographic film and paper is treated after photographic exposure to produce a negative or positive image...

, video rentals, pharmacies
Pharmacy
Pharmacy is the health profession that links the health sciences with the chemical sciences and it is charged with ensuring the safe and effective use of pharmaceutical drugs...

 and/or petrol stations.

History

In the early days of retailing, all products generally were fetched by an assistant from shelves behind the merchant's counter while customers waited in front of the counter and indicated the items they wanted. Also, most foods and merchandise did not come in individually wrapped consumer-sized packages, so an assistant had to measure out and wrap the precise amount desired by the consumer. This also offered opportunities for social interaction: many regarded this style of shopping as "a social occasion" and would often "pause for conversations with the staff or other customers." These practices were by nature very labor-intensive
Labor intensity
Labor intensity is the relative proportion of labor used in a process. Its inverse is capital intensity....

 and therefore also quite expensive. The shopping process was slow, as the number of customers who could be attended to at one time was limited by the number of staff employed in the store.

The concept of a self-service grocery store was developed by American entrepreneur
Entrepreneur
An entrepreneur is an owner or manager of a business enterprise who makes money through risk and initiative.The term was originally a loanword from French and was first defined by the Irish-French economist Richard Cantillon. Entrepreneur in English is a term applied to a person who is willing to...

 Clarence Saunders and his Piggly Wiggly
Piggly Wiggly
Piggly Wiggly is a supermarket chain operating in the Midwestern and Southern regions of the United States, run by Piggly Wiggly, LLC, an affiliate of C&S Wholesale Grocers. The current company headquarters is in Keene, New Hampshire....

 stores. His first store opened in Memphis
Memphis, Tennessee
Memphis is a city in the southwestern corner of the U.S. state of Tennessee, and the county seat of Shelby County. The city is located on the 4th Chickasaw Bluff, south of the confluence of the Wolf and Mississippi rivers....

, Tennessee
Tennessee
Tennessee is a U.S. state located in the Southeastern United States. It has a population of 6,346,105, making it the nation's 17th-largest state by population, and covers , making it the 36th-largest by total land area...

, in 1916. Saunders was awarded a number of patent
Patent
A patent is a form of intellectual property. It consists of a set of exclusive rights granted by a sovereign state to an inventor or their assignee for a limited period of time in exchange for the public disclosure of an invention....

s for the ideas he incorporated into his stores. The stores were a financial success and Saunders began to offer franchises. The Great Atlantic and Pacific Tea Company (A&P)
The Great Atlantic and Pacific Tea Company
The Great Atlantic & Pacific Tea Company, better known as A&P, is a supermarket and liquor store chain in the United States. Its supermarkets, which are under six different banners, are found in Connecticut, Delaware, Maryland, New Jersey, New York, and Pennsylvania. A&P's liquor stores, known as...

 was another successful early grocery store chain in Canada
Canada
Canada is a North American country consisting of ten provinces and three territories. Located in the northern part of the continent, it extends from the Atlantic Ocean in the east to the Pacific Ocean in the west, and northward into the Arctic Ocean...

 and the United States, and became common in North American cities in the 1920s. The general trend in retail since then has been to stock shelves at night so that customers, the following day, can obtain their own goods and bring them to the front of the store to pay for them. Although there is a higher risk of shoplifting
Shoplifting
Shoplifting is theft of goods from a retail establishment. It is one of the most common property crimes dealt with by police and courts....

, the costs of appropriate security measures ideally will be outweighed by reduced labor costs.

Early self-service grocery stores did not sell fresh meats or produce. Combination stores that sold perishable items were developed in the 1920s.

Historically, there was debate about the origin of the supermarket, with King Kullen and Ralph's of California
California
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...

 having strong claims. Other contenders included Weingarten's Big Food Markets and Henke & Pillot. To end the debate, the Food Marketing Institute
Food Marketing Institute
The Food Marketing Institute is an organization that conducts food safety, public affairs, education, research, and industry relations programs for food retailers and wholesalers.  FMI's membership consists of approximately 1,500 companies in 50 countries, ranging from large multi-chain stores to...

 in conjunction with the Smithsonian Institution
Smithsonian Institution
The Smithsonian Institution is an educational and research institute and associated museum complex, administered and funded by the government of the United States and by funds from its endowment, contributions, and profits from its retail operations, concessions, licensing activities, and magazines...

 and with funding from H.J. Heinz, researched the issue. It defined the attributes of a supermarket as "self-service, separate product departments, discount pricing, marketing and volume selling."

It has been determined that the first true supermarket in the United States was opened by a former Kroger employee, Michael J. Cullen
Michael J. Cullen
Michael J. Cullen was an Irish American entrepreneur and salesman, perhaps best known as the founder of the King Kullen grocery store chain, widely considered to be the first supermarket founded in America. He is recognized by the Smithsonian Institution as the inventor of the modern...

, on August 4, 1930, inside a 6000 square feet (557.4 m²) former garage in Jamaica, Queens
Jamaica, Queens
Jamaica is a neighborhood in the borough of Queens in New York City, New York, United States. It was settled under Dutch rule in 1656 in New Netherland as Rustdorp. Under British rule, the Village of Jamaica became the center of the "Town of Jamaica"...

 in New York City
New York City
New York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...

. The store, King Kullen
King Kullen
King Kullen Grocery Co. is an American supermarket chain with 45 stores, on Long Island and Staten Island. The company is headquartered in Bethpage, New York and was founded by Michael J. Cullen in 1930. It is notable for its title of "America's First Supermarket" as recognized by the Smithsonian...

, (inspired by the fictional character King Kong
King Kong
King Kong is a fictional character, a giant movie monster resembling a gorilla, that has appeared in several movies since 1933. These include the groundbreaking 1933 movie, the film remakes of 1976 and 2005, as well as various sequels of the first two films...

), operated under the slogan "Pile it high. Sell it low." At the time of Cullen's death in 1936, there were seventeen King Kullen stores in operation. Although Saunders had brought the world self-service, uniform stores and nationwide marketing, Cullen built on this idea by adding separate food departments, selling large volumes of food at discount prices and adding a parking lot.

Other established American grocery chains in the 1930s, such as Kroger
Kroger
The Kroger Co. is an American supermarket chain founded by Bernard Kroger in 1883 in Cincinnati, Ohio. It reported US$ 76.7 billion in sales during fiscal year 2009. It is the country's largest grocery store chain and its second-largest grocery retailer by volume and second-place general retailer...

 and Safeway
Safeway Inc.
Safeway Inc. , a Fortune 500 company, is North America's second largest supermarket chain after The Kroger Co., with, as of December 2010, 1,694 stores located throughout the western and central United States and western Canada. It also operates some stores in the Mid-Atlantic region of the Eastern...

 at first resisted Cullen's idea, but eventually were forced to build their own supermarkets as the economy sank into the Great Depression
Great Depression
The Great Depression was a severe worldwide economic depression in the decade preceding World War II. The timing of the Great Depression varied across nations, but in most countries it started in about 1929 and lasted until the late 1930s or early 1940s...

, while consumers were becoming price-sensitive at a level never experienced before. Kroger took the idea one step further and pioneered the first supermarket surrounded on all four sides by a parking lot
Parking lot
A parking lot , also known as car lot, is a cleared area that is intended for parking vehicles. Usually, the term refers to a dedicated area that has been provided with a durable or semi-durable surface....

.

Supermarkets proliferated across Canada and the United States with the growth of automobile ownership and suburban development
Suburb
The word suburb mostly refers to a residential area, either existing as part of a city or as a separate residential community within commuting distance of a city . Some suburbs have a degree of administrative autonomy, and most have lower population density than inner city neighborhoods...

 after World War II
World War II
World War II, or the Second World War , was a global conflict lasting from 1939 to 1945, involving most of the world's nations—including all of the great powers—eventually forming two opposing military alliances: the Allies and the Axis...

. Most North American supermarkets are located in suburban strip mall
Strip mall
A strip mall is an open-area shopping center where the stores are arranged in a row, with a sidewalk in front. Strip malls are typically developed as a unit and have large parking lots in front...

s as an anchor store along with other smaller retailers. They are generally regional rather than national in their company brand
Brand
The American Marketing Association defines a brand as a "Name, term, design, symbol, or any other feature that identifies one seller's good or service as distinct from those of other sellers."...

ing. Kroger is perhaps the most nationally oriented supermarket chain in the United States but it has preserved most of its regional brands, including Ralphs
Ralphs
Ralphs is a major supermarket chain in the Southern California area and the largest subsidiary of Cincinnati-based Kroger. It is the oldest such chain west of the Mississippi River. Ralphs also operates stores under the Food 4 Less and Foods Co. names in California.-History:Ralphs Grocery Company...

, City Market
King Soopers & City Market
King Soopers and City Market are two supermarket brands of Kroger in the Rocky Mountains of the United States. Though they were originally separate, Kroger now manages them together.-King Soopers:...

 and King Soopers.

In Canada, the largest such chain is Loblaw
Loblaw Companies
Loblaw Companies Limited is the largest food retailer in Canada, with over 1,400 supermarkets operating under a variety of regional banners, including the namesake Loblaws. LCL is headquartered in Brampton, Ontario...

, which operates stores under a variety of regional names, including Fortinos
Fortinos
Fortinos is a Canadian supermarket chain operating 20 stores in Ontario . It is part of Loblaw Companies Limited.- History :In 1961, immigrant steelworker John Fortino opened his first Fortinos store in Hamilton, Ontario. In 1972, John took on seven partners and opened a second store on Hamilton...

, Zehrs and the largest, Loblaws
Loblaws
Loblaws is a supermarket chain with over 70 stores in Canada, headquartered in Brampton, with stores across Ontario and Quebec. Loblaws is a division of Loblaw Companies Limited, Canada's largest food distributor...

, (named after the company itself). Sobeys
Sobeys
Sobeys is the second largest food retailer in Canada, with over 1,300 supermarkets operating under a variety of banners. Headquartered in Stellarton, Nova Scotia, it operates stores in all ten provinces and accumulated sales of more than $14 billion CAD in 2009...

 is Canada's second largest supermarket with locations across the country, operating under many banners (Sobeys IGA in Quebec
Quebec
Quebec or is a province in east-central Canada. It is the only Canadian province with a predominantly French-speaking population and the only one whose sole official language is French at the provincial level....

).

In the United Kingdom, self-service shopping took longer to become established. Even in 1947, there were just ten self-service shops in the country. In 1951, ex-US Navy sailor Patrick Galvani, son-in-law of Express Dairies
Express Dairies
Express Dairies is a subsidiary of Dairy Crest, specialising almost entirely in home deliveries of milk and other dairy products.-History:The company was founded by George Barham in 1864 as the Express County Milk Supply Company, named after the fact that they only used express trains to get their...

 chairman, made a pitch to the board to open a chain of supermarkets across the country. The UK's first supermarket under the new Premier Supermarkets brand opened in Streatham
Streatham
Streatham is a district in Surrey, England, located in the London Borough of Lambeth. It is situated south of Charing Cross. The area is identified in the London Plan as one of 35 major centres in Greater London.-History:...

, South London
South London
South London is the southern part of London, England, United Kingdom.According to the 2011 official Boundary Commission for England definition, South London includes the London boroughs of Bexley, Bromley, Croydon, Greenwich, Kingston, Lambeth, Lewisham, Merton, Southwark, Sutton and...

, taking ten times as much per week as the average British general store of the time. Other chains caught on, and after Galvani lost out to Tesco's Jack Cohen
Jack Cohen (Tesco)
Sir John Edward Cohen , born Jacob Edward Kohen and commonly known as Jack Cohen, was a British businessman who founded the Tesco supermarket chain.-Career:...

 in 1960 to buy the 212 Irwin's chain, the sector underwent a large amount of consolidation, resulting in 'the big four' dominant UK retailers of today: Tesco, Asda (owned by Wal-Mart), Sainsbury's and Morrisons
Morrisons
Wm Morrison Supermarkets plc is the fourth largest chain of supermarkets in the United Kingdom, headquartered in Bradford, West Yorkshire, England. The company is usually referred to and is branded as Morrisons formerly Morrison's, and it is part of the FTSE 100 Index of companies...

.

In the 1950s, supermarkets frequently issued trading stamp
Trading stamp
Trading stamps are small paper coupons given to customers by merchants in loyalty marketing programs that predate the modern loyalty card. These stamps had no value individually, but when a customer accumulated a number of them, they could be exchanged with the trading stamp company for premiums,...

s as incentives to customers. Today, most chains issue store-specific "membership cards," "club cards," or "loyalty cards". These typically enable the card holder to receive special members-only discounts on certain items when the credit card-like device is scanned at check-out.

Traditional supermarkets in many countries face intense competition from discount retailers such as Wal-Mart, Tesco
Tesco
Tesco plc is a global grocery and general merchandise retailer headquartered in Cheshunt, United Kingdom. It is the third-largest retailer in the world measured by revenues and the second-largest measured by profits...

 in the UK, and Zellers
Zellers
Zellers Inc. is Canada's second-largest chain of mass merchandise discount stores, with locations in communities across Canada. A subsidiary of the Hudson's Bay Company , it has 273 locations across the country....

 in Canada, which typically are non-union
Trade union
A trade union, trades union or labor union is an organization of workers that have banded together to achieve common goals such as better working conditions. The trade union, through its leadership, bargains with the employer on behalf of union members and negotiates labour contracts with...

 and operate with better buying power. Other competition exists from warehouse clubs such as Costco
Costco
Costco Wholesale Corporation is the largest membership warehouse club chain in the United States. it is the third largest retailer in the United States, where it originated, and the ninth largest in the world...

 that offer savings to customers buying in bulk quantities. Superstores, such as those operated by Wal-Mart
Wal-Mart
Wal-Mart Stores, Inc. , branded as Walmart since 2008 and Wal-Mart before then, is an American public multinational corporation that runs chains of large discount department stores and warehouse stores. The company is the world's 18th largest public corporation, according to the Forbes Global 2000...

 and Asda, often offer a wide range of goods and services in addition to foods. The proliferation of such warehouse and superstores has contributed to the continuing disappearance of smaller, local grocery stores; increased dependence on the automobile
Automobile
An automobile, autocar, motor car or car is a wheeled motor vehicle used for transporting passengers, which also carries its own engine or motor...

; suburban sprawl because of the necessity for large floorspace and increased vehicular traffic. Some critics consider the chains' common practice of selling loss leaders to be anti-competitive. They are also wary of the negotiating power that large, often multinational
Multinational corporation
A multi national corporation or enterprise , is a corporation or an enterprise that manages production or delivers services in more than one country. It can also be referred to as an international corporation...

 retailers have with suppliers around the world.

Growth in developing countries

There has been a rapid transformation of the food retail sector in developing countries, beginning in the 1990s. This applies particularly to Latin America, South-East Asia, China and South Africa. However, growth is being witnessed in nearly all countries. With growth, has come considerable competition and some amount of consolidation. The growth has been driven by increasing affluence and the rise of a middle class; the entry of women into the workforce; with a consequent incentive to seek out easy-to-prepare foods; the growth in the use of refrigerators, making it possible to shop weekly instead of daily; and the growth in car ownership, facilitating journeys to distant stores and purchases of large quantities of goods. The opportunities presented by this potential have encouraged several European companies to invest in these markets (mainly in Asia) and American companies to invest in Latin America and China. Local companies also entered the market. Initial development of supermarkets has now been followed by hypermarket growth. In addition there were investments by companies such as Makro
Makro
Makro is a Dutch chain of Warehouse clubs, also called cash and carries. The first one opened in 1968 in Amsterdam. In the following years more stores opened in the Netherlands and in several other countries within Europe. In the 1970s and 1980s Makro extended its business to the Americas and...

 and Metro
Metro Cash and Carry
-Romania:METRO Cash and Carry was one of the first international food and non-food retail chains to enter the Romanian market, opening its first store in 1996 in Bucharest, near Henri Coandă International Airport....

 in large-scale Cash-and-Carry operations.

While the growth in sales of processed foods in these countries has been much more rapid than the growth in fresh food sales, the imperative nature of supermarkets to achieve economies of scale in purchasing, means that the expansion of supermarkets in these countries has important repercussions for small farmers, particularly those growing perishable crops. New supply chains have developed involving cluster
Business cluster
A business cluster is a geographic concentration of interconnected businesses, suppliers, and associated institutions in a particular field. Clusters are considered to increase the productivity with which companies can compete, nationally and globally. In urban studies, the term agglomeration is used...

 formation; development of specialized wholesalers; leading farmers organizing supply; and farmer associations or cooperatives. In some cases supermarkets have organized their own procurement from small farmers; in others wholesale markets have adapted to meet supermarket needs.

Typical supermarket merchandise


Larger supermarkets in North America
North America
North America is a continent wholly within the Northern Hemisphere and almost wholly within the Western Hemisphere. It is also considered a northern subcontinent of the Americas...

 and in Europe
Europe
Europe is, by convention, one of the world's seven continents. Comprising the westernmost peninsula of Eurasia, Europe is generally 'divided' from Asia to its east by the watershed divides of the Ural and Caucasus Mountains, the Ural River, the Caspian and Black Seas, and the waterways connecting...

 typically sell a great number of items among many brands, sizes and varieties, including:
  • Alcoholic beverage
    Alcoholic beverage
    An alcoholic beverage is a drink containing ethanol, commonly known as alcohol. Alcoholic beverages are divided into three general classes: beers, wines, and spirits. They are legally consumed in most countries, and over 100 countries have laws regulating their production, sale, and consumption...

    s (as state/provincial
    Province
    A province is a territorial unit, almost always an administrative division, within a country or state.-Etymology:The English word "province" is attested since about 1330 and derives from the 13th-century Old French "province," which itself comes from the Latin word "provincia," which referred to...

     and/or local laws allow)
  • Baby food
    Baby food
    Baby food is any food, other than breastmilk or infant formula, that is made specifically for infants, roughly between the ages of four to six months to 2 years. The food comes in multiple varieties and tastes, can be produced by many manufacturers, or may be table food that the rest of the family...

    s and baby-care products such as disposable diapers
  • Breads and bakery
    Bakery
    A bakery is an establishment which produces and sells flour-based food baked in an oven such as bread, cakes, pastries and pies. Some retail bakeries are also cafés, serving coffee and tea to customers who wish to consume the baked goods on the premises.-See also:*Baker*Cake...

     products (many stores may have a bakery on site that offers specialty and dessert items)
  • Book
    Book
    A book is a set or collection of written, printed, illustrated, or blank sheets, made of hot lava, paper, parchment, or other materials, usually fastened together to hinge at one side. A single sheet within a book is called a leaf or leaflet, and each side of a leaf is called a page...

    s, newspaper
    Newspaper
    A newspaper is a scheduled publication containing news of current events, informative articles, diverse features and advertising. It usually is printed on relatively inexpensive, low-grade paper such as newsprint. By 2007, there were 6580 daily newspapers in the world selling 395 million copies a...

    s, and magazine
    Magazine
    Magazines, periodicals, glossies or serials are publications, generally published on a regular schedule, containing a variety of articles. They are generally financed by advertising, by a purchase price, by pre-paid magazine subscriptions, or all three...

    s, including supermarket tabloids
  • Bulk dried foods such as legumes, flour
    Flour
    Flour is a powder which is made by grinding cereal grains, other seeds or roots . It is the main ingredient of bread, which is a staple food for many cultures, making the availability of adequate supplies of flour a major economic and political issue at various times throughout history...

    , rice
    Rice
    Rice is the seed of the monocot plants Oryza sativa or Oryza glaberrima . As a cereal grain, it is the most important staple food for a large part of the world's human population, especially in East Asia, Southeast Asia, South Asia, the Middle East, and the West Indies...

    , etc. (typically available for self-service)
  • Canned goods
    Canning
    Canning is a method of preserving food in which the food contents are processed and sealed in an airtight container. Canning provides a typical shelf life ranging from one to five years, although under specific circumstances a freeze-dried canned product, such as canned, dried lentils, can last as...

     and dried cereal
    Cereal
    Cereals are grasses cultivated for the edible components of their grain , composed of the endosperm, germ, and bran...

    s
  • CDs
    CDS
    -Computing and electronics:* Cadence Design Systems, American Electronic Design Automation software company* Chromatography data system, software to control chromatography instruments* Cockpit display system* Compact Discs...

    , Audio cassettes, DVDs, and videos
    Videotape
    A videotape is a recording of images and sounds on to magnetic tape as opposed to film stock or random access digital media. Videotapes are also used for storing scientific or medical data, such as the data produced by an electrocardiogram...

     (including video rentals
    Renting
    Renting is an agreement where a payment is made for the temporary use of a good, service or property owned by another. A gross lease is when the tenant pays a flat rental amount and the landlord pays for all property charges regularly incurred by the ownership from landowners...

    )
  • Cigarette
    Cigarette
    A cigarette is a small roll of finely cut tobacco leaves wrapped in a cylinder of thin paper for smoking. The cigarette is ignited at one end and allowed to smoulder; its smoke is inhaled from the other end, which is held in or to the mouth and in some cases a cigarette holder may be used as well...

    s and other tobacco
    Tobacco
    Tobacco is an agricultural product processed from the leaves of plants in the genus Nicotiana. It can be consumed, used as a pesticide and, in the form of nicotine tartrate, used in some medicines...

     products
  • Confections
    Confectionery
    Confectionery is the set of food items that are rich in sugar, any one or type of which is called a confection. Modern usage may include substances rich in artificial sweeteners as well...

     and candies
    Candy
    Candy, specifically sugar candy, is a confection made from a concentrated solution of sugar in water, to which flavorings and colorants are added...

  • Cosmetics
    Cosmetics
    Cosmetics are substances used to enhance the appearance or odor of the human body. Cosmetics include skin-care creams, lotions, powders, perfumes, lipsticks, fingernail and toe nail polish, eye and facial makeup, towelettes, permanent waves, colored contact lenses, hair colors, hair sprays and...

  • Dairy product
    Dairy product
    Dairy products are generally defined as foods produced from cow's or domestic buffalo's milk. They are usually high-energy-yielding food products. A production plant for such processing is called a dairy or a dairy factory. Raw milk for processing comes mainly from cows, and, to a lesser extent,...

    s and eggs
    Egg (food)
    Eggs are laid by females of many different species, including birds, reptiles, amphibians, and fish, and have probably been eaten by mankind for millennia. Bird and reptile eggs consist of a protective eggshell, albumen , and vitellus , contained within various thin membranes...

  • Delicatessen
    Delicatessen
    Delicatessen is a term meaning "delicacies" or "fine foods". The word entered English via German,with the old German spelling , plural of Delikatesse "delicacy", ultimately from Latin delicatus....

     foods (ready-to-eat)
  • Diet food
    Diet food
    Diet food refers to any food or drink whose recipe has been altered in some way to make it part of a body modification diet...

    s
  • Electrical products such as light bulbs
    Incandescent light bulb
    The incandescent light bulb, incandescent lamp or incandescent light globe makes light by heating a metal filament wire to a high temperature until it glows. The hot filament is protected from air by a glass bulb that is filled with inert gas or evacuated. In a halogen lamp, a chemical process...

    , extension cord
    Extension cord
    An extension cord, power extender, or extension lead is a length of flexible electrical power cable with a plug on one end and one or more sockets on the other end . The term usually refers to mains extensions but is also used to refer to extensions for other types of cabling...

    s, etc.
  • Feminine hygiene
    Feminine hygiene
    Feminine hygiene is a general euphemism used to describe personal care products used by women during menstruation, vaginal discharge, and other bodily functions related to the vulva...

     products
  • Financial services and products such as mortgages, credit cards, savings account
    Savings account
    Savings accounts are accounts maintained by retail financial institutions that pay interest but cannot be used directly as money . These accounts let customers set aside a portion of their liquid assets while earning a monetary return...

    s, wire transfer
    Wire transfer
    Wire transfer or credit transfer is a method of electronic funds transfer from one person or institution to another. A wire transfer can be made from one bank account to another bank account or through a transfer of cash at a cash office...

    s, etc. (typically offered in-store by a partnering bank or other financial institution
    Financial institution
    In financial economics, a financial institution is an institution that provides financial services for its clients or members. Probably the most important financial service provided by financial institutions is acting as financial intermediaries...

    )
  • Flower
    Flower
    A flower, sometimes known as a bloom or blossom, is the reproductive structure found in flowering plants . The biological function of a flower is to effect reproduction, usually by providing a mechanism for the union of sperm with eggs...

    s
  • Frozen food
    Frozen food
    Freezing food preserves it from the time it is prepared to the time it is eaten. Since early times, farmers, fishermen, and trappers have preserved their game and produce in unheated buildings during the winter season. Freezing food slows down decomposition by turning water to ice, making it...

    s and crushed ice
  • Fresh produce, fruits and vegetable
    Vegetable
    The noun vegetable usually means an edible plant or part of a plant other than a sweet fruit or seed. This typically means the leaf, stem, or root of a plant....

    s
  • Greeting card
    Greeting card
    A greeting card is an illustrated, folded card featuring an expression of friendship or other sentiment. Although greeting cards are usually given on special occasions such as birthdays, Christmas or other holidays, they are also sent to convey thanks or express other feeling. Greeting cards,...

    s
  • House-cleaning products
  • Housewares, Dishware and cooking utensils, etc. (typically limited)
  • Laundry
    Laundry
    Laundry is a noun that refers to the act of washing clothing and linens, the place where that washing is done, and/or that which needs to be, is being, or has been laundered...

     products such as detergent
    Detergent
    A detergent is a surfactant or a mixture of surfactants with "cleaning properties in dilute solutions." In common usage, "detergent" refers to alkylbenzenesulfonates, a family of compounds that are similar to soap but are less affected by hard water...

    s, fabric softeners, etc.
  • Lottery
    Lottery
    A lottery is a form of gambling which involves the drawing of lots for a prize.Lottery is outlawed by some governments, while others endorse it to the extent of organizing a national or state lottery. It is common to find some degree of regulation of lottery by governments...

     tickets (where operational and legal)
  • Luggage
    Luggage
    Baggage is any number of bags, cases and containers which hold a traveller's articles during transit.Luggage is more or less the same concept as "baggage", but is normally used in relation to the personal luggage of a specific person or persons Baggage is any number of bags, cases and containers...

     items (typically limited)
  • Meats, fish
    Fish
    Fish are a paraphyletic group of organisms that consist of all gill-bearing aquatic vertebrate animals that lack limbs with digits. Included in this definition are the living hagfish, lampreys, and cartilaginous and bony fish, as well as various extinct related groups...

     and seafood
    Seafood
    Seafood is any form of marine life regarded as food by humans. Seafoods include fish, molluscs , crustaceans , echinoderms . Edible sea plants, such as some seaweeds and microalgae, are also seafood, and are widely eaten around the world, especially in Asia...

    s (some stores may offer live fish and seafood items from aquarium
    Aquarium
    An aquarium is a vivarium consisting of at least one transparent side in which water-dwelling plants or animals are kept. Fishkeepers use aquaria to keep fish, invertebrates, amphibians, marine mammals, turtles, and aquatic plants...

     tanks)
  • Medicines and first aid
    First aid kit
    A first aid kit is a collection of supplies and equipment for use in giving first aid, and can put together for the purpose , or purchased complete...

     items (primarily over-the-counter drug
    Over-the-counter drug
    Over-the-counter drugs are medicines that may be sold directly to a consumer without a prescription from a healthcare professional, as compared to prescription drugs, which may be sold only to consumers possessing a valid prescription...

    s, although many supermarkets also have an on-site pharmacy)
  • Nonalcoholic beverages such as soft drink
    Soft drink
    A soft drink is a non-alcoholic beverage that typically contains water , a sweetener, and a flavoring agent...

    s, juice
    Juice
    Juice is the liquid that is naturally contained in fruit or vegetable tissue.Juice is prepared by mechanically squeezing or macerating fruit or vegetable flesh without the application of heat or solvents. For example, orange juice is the liquid extract of the fruit of the orange tree...

    s, bottled water
    Bottled water
    Bottled water is drinking water packaged in plastic or glass water bottles. Bottled water may be carbonated or not...

    , etc. (some stores may have a juice bar
    Juicer
    A juicer is a tool for extracting juice from fruits, vegetables, or wheatgrass. This is known as juicing.-Citrus juicer:A citrus juicer is used for squeezing juice from soft-centered, citrus fruits . It has a conical ridged center...

     that prepares ready-to-drink freshly squeezed juices, smoothie
    Smoothie
    A smoothie is a blended and sometimes sweetened beverage made from fresh fruit and in special cases can contain chocolate or peanut butter. In addition to fruit, many smoothies include crushed ice, frozen fruit, honey or contain syrup and ice ingredients...

    s, etc.)
  • Personal hygiene and grooming products
  • Pet foods and products
  • Seasonal items and decorations
  • Snack food
    Snack food
    A snack is a portion of food oftentimes smaller than that of a regular meal, that is generally eaten between meals. Snacks come in a variety of forms including packaged and processed foods and items made from fresh ingredients at home....

    s
  • Tea
    Tea
    Tea is an aromatic beverage prepared by adding cured leaves of the Camellia sinensis plant to hot water. The term also refers to the plant itself. After water, tea is the most widely consumed beverage in the world...

     and Coffee
    Coffee
    Coffee is a brewed beverage with a dark,init brooo acidic flavor prepared from the roasted seeds of the coffee plant, colloquially called coffee beans. The beans are found in coffee cherries, which grow on trees cultivated in over 70 countries, primarily in equatorial Latin America, Southeast Asia,...

     (some stores may have a commercial-style grinder
    Coffee preparation
    Coffee preparation is the process of turning coffee beans into a beverage. While the particular steps needed vary with the type of coffee desired and with the raw material being utilized, the process is composed of four basic steps; raw coffee beans must be roasted, the roasted coffee beans must...

    , typically available for self-service, and/or a staffed coffee bar
    Coffeehouse
    A coffeehouse or coffee shop is an establishment which primarily serves prepared coffee or other hot beverages. It shares some of the characteristics of a bar, and some of the characteristics of a restaurant, but it is different from a cafeteria. As the name suggests, coffeehouses focus on...

     that prepares ready-to-drink coffee and tea beverages)
  • Toy
    Toy
    A toy is any object that can be used for play. Toys are associated commonly with children and pets. Playing with toys is often thought to be an enjoyable means of training the young for life in human society. Different materials are used to make toys enjoyable and cuddly to both young and old...

    s and novelties
    Novelties
    A novelty item is a small manufactured adornment, especially a personal adornment.- Novelty item :This term covers a range of small manufactured goods, such as*antiques*collectables*chocolates*esoterica*executive toys*gadgets*tools and implements...



In some countries, the range of supermarket merchandise is more strictly focused on food products, although the range of goods for sale is expanding in many locations as typical store sizes continue to increase globally.

Typical store architecture

While branding and store advertising will differ from company to company, the layout of a supermarket remains virtually unchanged. Although big companies spend time giving consumers a pleasant shopping experience, the design of a supermarket is directly connected to the in-store marketing that supermarkets must conduct in order to get shoppers to spend more money while there.

Every facet of the store is mapped out and attention is paid to colour, wording and even surface texture. The overall layout of a supermarket is a visual merchandising project that plays a major role in retailing. Stores can creatively use a layout to alter customers’ perceptions of the atmosphere. Alternatively, they can enhance the store’s atmospherics through visual communications (signs and graphics), lighting, colours, and even scents. For example, to give a sense of the supermarket being healthy, fresh produce is deliberately located at the front of the store.

As explained by Dr Paul Harrison, cited in Browne (2010), supermarkets are designed to ‘give each product section a sense of individual difference and this is evident in the design of what are called the anchor departments; fresh produce, dairy, delicatessen, meat and the bakery’. Each of these sections has different floor coverings, style, lighting and sometimes even individual services counters to allow shoppers to feel like there are a number of markets within this one supermarket.

Criticisms

  • Supermarket, in general, tend to narrow the choices of fruits and vegetables by stocking only varieties with long storage lives.
  • Supermarkets can generally retail at lower prices than traditional corner shops and markets due to higher volume throughput. This has led to small businesses losing customers and closing in many areas, which can be seen as an adverse effect on the local infrastructure
    Infrastructure
    Infrastructure is basic physical and organizational structures needed for the operation of a society or enterprise, or the services and facilities necessary for an economy to function...

    .
  • In the United States
    United States
    The United States of America is a federal constitutional republic comprising fifty states and a federal district...

    , major-brand supermarkets often demand slotting fee
    Slotting fee
    A slotting fee, slotting allowance, pay-to-stay, or fixed trade spending is a fee charged to produce companies or manufacturers by supermarket distributors in order to have their product placed on their shelves. The fee varies greatly depending on the product, manufacturer, and market conditions...

    s from suppliers in exchange for premium shelf space and/or better positioning (such as at eye-level, on the checkout aisle or at a shelf's "end cap"). This extra supplier cost (up to $30,000 per brand for a chain for each individual SKU) may be reflected in the cost of the products offered. Some critics have questioned the ethical and legal propriety of slotting fee payments and their effect on smaller suppliers http://findarticles.com/p/articles/mi_m3374/is_n4_v14/ai_11890602 http://sbc.senate.gov/record.cfm?id=191114 http://www.oligopolywatch.com/2003/05/08.html.
  • In Britain supermarkets have been accused of squeezing prices to farmers, forcing small shops out of business, and often favouring imports over British produce. http://www.foe.co.uk/resource/press_releases/20030113134910.html
  • In New Zealand
    New Zealand
    New Zealand is an island country in the south-western Pacific Ocean comprising two main landmasses and numerous smaller islands. The country is situated some east of Australia across the Tasman Sea, and roughly south of the Pacific island nations of New Caledonia, Fiji, and Tonga...

    , supermarkets have been accused of buying fresh produce from growers at low prices and selling with ridiculously high mark-ups, sometimes as high as 500%http://tvnz.co.nz/business-news/growers-demand-inquiry-ombudsman-sought-3627699?page=1&pagesize=5.

See also

  • Fast moving consumer goods
    Fast Moving Consumer Goods
    Fast moving consumer goods or Consumer Packaged Goods are products that are sold quickly and at relatively low cost. Examples include non-durable goods such as soft drinks, toiletries, and grocery items...

  • Grocery trading
    Grocery trading
    Grocery trading is an industry, historically not well known by the general public, in which grocery "traders" or grocery trading companies buy and sell blue chip grocery store items such as Cheerios and Alpo amongst the nation's largest supermarket chains based on price discrepancies from chain to...

  • List of supermarket chains
  • Retail concentration
    Retail concentration
    Retail concentration refers to the market-share generally belonging to the top 4 or 5 mass distribution firms present in a regional market, as a percentage on the total....


Further reading

  • Henry Petroski, Shopping By Design: Supermarkets, like other inventions, didn't just happen; they were designed, developed—and patented., American Scientist Volume: 93 Number: 6 Page: 491 http://www.americanscientist.org/template/AssetDetail/assetid/47364.
  • William Greer, America the Bountiful: How the supermarket came to main street, Food Marketing Institute, 1986.
  • Sowell, Thomas. Basic Economics (Third Edition, 2007 Basic Books). Pages 92-94 describe the competition between the dominant grocery chains in the United States through the 20th century and beyond.

External links

  • Food Stories – Explore a century of revolutionary change in UK food culture on the British Library's Food Stories website
  • groceteria.com – supermarket history and architecture from the 1920s to the 1970s
  • Scrambling for customers, 4 August 2005, San Francisco Chronicle
    San Francisco Chronicle
    thumb|right|upright|The Chronicle Building following the [[1906 San Francisco earthquake|1906 earthquake]] and fireThe San Francisco Chronicle is a newspaper serving primarily the San Francisco Bay Area of the U.S. state of California, but distributed throughout Northern and Central California,...

  • Supermarket News – Nationally circulated weekly trade magazine for the food distribution industry.
The source of this article is wikipedia, the free encyclopedia.  The text of this article is licensed under the GFDL.
 
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