Redner's buys quality produce in no-gimmicks retail plan
Redner's buys quality produce in no-gimmicks retail plan
READING, PA -- Quietly tucked away in the scenic rolling farm country of southeastern Pennsylvania, independent retailer Redner's Warehouse Markets is doing just fine in this era of retail consolidation. Produce buyer Jim Hickey said that the firm was started in 1970 by Earl and Mary Redner. Today one of their sons, Dick, is company president. Another son, Gary, is executive vice president and heads distribution and buying. He buys meat and is the direct buyer of California produce. "I buy everything north, south, east and west of California," mused Mr. Hickey. The Redner family now owns 37 supermarkets and 10 Redner's Quick Shoppes. One supermarket is based in Mr. Redner's hometown of Middletown, NY. The remainder of the supermarkets are in southeastern Pennsylvania.
No gimmicks or games The stores have "a no-frills, no-card concept, Mr. Hickey said. "We don't employ a lot of bistro-type areas. We have everyday low prices. Our customers get regular product at the best possible prices. In produce we never shop value. A native of Norristown, PA, Mr. Hickey started his career with Norristown Wholesale, the one-time produce supplier of Genuardi's, then an independent, locally-owned retail chain which was acquired by Safeway several years ago. Mr. Hickey, who has worked for Redner's for 17 years, credits his early experience for learning the value of quality in the produce business. "If you buy the best, you can cut your labor cost, he noted. "You don't have to waste labor reworking packages or play 'Lazarus' to the goods. Redner's buyers visit the Philadelphia Regional Produce Center on Wednesdays, and the chain's warehouse receives tomatoes from Thomas Colace Co. LLC three days a week. T.M. Kovacevich Inc. ships to the Redner's warehouse almost every day, and Ryeco Inc. delivers product on Saturdays. "We buy from all the firms on the market, Mr. Hickey said. But these listed companies are the major suppliers. Four Seasons in Ephrata, PA, recently became Redner's banana supplier. "Dole is the chain's exclusive banana brand. "The real benefit for us is the proximity of the market, which is about 80 miles from Redner's modern Reading warehouse. Mr. Hickey can place morning orders on the market and receive delivery by 3 p.m. Mr. Hickey credits the market operators for handling "world-caliber goods and for having changed their philosophy. "They used to have a lot more rejected product. That has changed as quality buying has become the emphasis for those merchants. "We have a nice reputation there, Mr. Hickey said of the produce market. "We work well with the market and we pay on a timely basis. We are fair and appreciate all they can do. Redner's does "a great deal of direct produce buying. Quality labels handled by the retailer include Nunes, Grimmway, Giant strawberries, T&A and Sunkist. This summer the only California stone fruit Redner's buys will come through the Ripe 'N Ready program. Pacific Collier Fresh Co. in Immokalee, FL, is a key direct shipper. Frank Donio Inc. in Hammonton, NJ, is a major supplier of New Jersey produce. Mr. Hickey also works with local suppliers such as cabbage grower Kevin Hass. Sterman Masser Inc. in Sacramento, PA, received high praise from Mr. Hickey for work in growing and packing Pennsylvania potatoes and repacking potatoes from all shipping points. Sterman Masser packs a private-label potato for Redner's. He said that local growers are allowed to give store-door delivery to individual Redner's stores as long as they have been pre-approved by headquarters. Mr. Hickey buys "Giumarra brand Chilean grapes through T.M. Kovacevich International. Mr. Hickey is pleased to see the development of summertime clementine imports. Originally, he said, "we all tended to believe that the clementine deal was for a Christmas holiday theme. This year we all learned that clementines sold well into the late deal. They moved surprisingly well. He suggested that California clementine shippers "have some learning to do. He hopes to see small clementine packages available this summer, but the projected bags are not the answer. Maybe they could pack them in a small box or in a tube, like tomatoes, or in a single-layer box. He opined that an eight-count clementine package would give "a decent retail. He said that Redner's "has a lot of flexibility to react to opportunities to promote produce. "If the market drops to $8 for nine-count cantaloupes, we can change the price in an hour's time and have them to the store the next day. Redner's has three tiers of promotions. The company ad runs for one week, Sunday to Saturday, and includes one main produce feature and four sub-features. The second type of promotion is "the hot sheet which is a special price that runs from Monday to Sunday, two weeks later. Hot sheet items come for suppliers who "feed me something good. They can realize a substantial increase in movement. Store produce managers are required to feature hot sheet ad items. The third promotion, Super Low Price, can run for any length of time from a day to a month. Produce managers have the option to feature these items. Through the various promotions, Mr. Hickey said that Redner's "can react right away to market shifts in the produce industry. Generally speaking, the produce managers have no ordering autonomy, and so they must move whatever volume of product is shipped to them. "It is nice to mandate what they can do, Mr. Hickey said. "Working at a distribution center, you have to hope the retailers work with you. We are the supplier and retailer, so we can delegate what needs to be done. Regarding the proposed new Philadelphia terminal market, Mr. Hickey said, "It seems real good for everybody, with a controlled environment. The cold chain will be managed a little better than what they're able to do now. The elements now can affect how goods come out. Even to run from one side of the market to the other when it's seven degrees on a February day has to have some effect. They're on the right track. Mr. Hickey would like to see terminal market operators have more promotional schedules "so we can schedule ads in print. While he praised his shippers, were Mr. Hickey to change one practice, generally it would be to improve communications on supplies and deliveries. The 120,000-square-foot Redner's warehouse includes 40,000 square feet for vegetables and 30,000 square feet for fruit. The rooms are triple-racked. The firm employs 147 people in its warehouse and, overall, 4,000 people full or part time.
No gimmicks or games The stores have "a no-frills, no-card concept, Mr. Hickey said. "We don't employ a lot of bistro-type areas. We have everyday low prices. Our customers get regular product at the best possible prices. In produce we never shop value. A native of Norristown, PA, Mr. Hickey started his career with Norristown Wholesale, the one-time produce supplier of Genuardi's, then an independent, locally-owned retail chain which was acquired by Safeway several years ago. Mr. Hickey, who has worked for Redner's for 17 years, credits his early experience for learning the value of quality in the produce business. "If you buy the best, you can cut your labor cost, he noted. "You don't have to waste labor reworking packages or play 'Lazarus' to the goods. Redner's buyers visit the Philadelphia Regional Produce Center on Wednesdays, and the chain's warehouse receives tomatoes from Thomas Colace Co. LLC three days a week. T.M. Kovacevich Inc. ships to the Redner's warehouse almost every day, and Ryeco Inc. delivers product on Saturdays. "We buy from all the firms on the market, Mr. Hickey said. But these listed companies are the major suppliers. Four Seasons in Ephrata, PA, recently became Redner's banana supplier. "Dole is the chain's exclusive banana brand. "The real benefit for us is the proximity of the market, which is about 80 miles from Redner's modern Reading warehouse. Mr. Hickey can place morning orders on the market and receive delivery by 3 p.m. Mr. Hickey credits the market operators for handling "world-caliber goods and for having changed their philosophy. "They used to have a lot more rejected product. That has changed as quality buying has become the emphasis for those merchants. "We have a nice reputation there, Mr. Hickey said of the produce market. "We work well with the market and we pay on a timely basis. We are fair and appreciate all they can do. Redner's does "a great deal of direct produce buying. Quality labels handled by the retailer include Nunes, Grimmway, Giant strawberries, T&A and Sunkist. This summer the only California stone fruit Redner's buys will come through the Ripe 'N Ready program. Pacific Collier Fresh Co. in Immokalee, FL, is a key direct shipper. Frank Donio Inc. in Hammonton, NJ, is a major supplier of New Jersey produce. Mr. Hickey also works with local suppliers such as cabbage grower Kevin Hass. Sterman Masser Inc. in Sacramento, PA, received high praise from Mr. Hickey for work in growing and packing Pennsylvania potatoes and repacking potatoes from all shipping points. Sterman Masser packs a private-label potato for Redner's. He said that local growers are allowed to give store-door delivery to individual Redner's stores as long as they have been pre-approved by headquarters. Mr. Hickey buys "Giumarra brand Chilean grapes through T.M. Kovacevich International. Mr. Hickey is pleased to see the development of summertime clementine imports. Originally, he said, "we all tended to believe that the clementine deal was for a Christmas holiday theme. This year we all learned that clementines sold well into the late deal. They moved surprisingly well. He suggested that California clementine shippers "have some learning to do. He hopes to see small clementine packages available this summer, but the projected bags are not the answer. Maybe they could pack them in a small box or in a tube, like tomatoes, or in a single-layer box. He opined that an eight-count clementine package would give "a decent retail. He said that Redner's "has a lot of flexibility to react to opportunities to promote produce. "If the market drops to $8 for nine-count cantaloupes, we can change the price in an hour's time and have them to the store the next day. Redner's has three tiers of promotions. The company ad runs for one week, Sunday to Saturday, and includes one main produce feature and four sub-features. The second type of promotion is "the hot sheet which is a special price that runs from Monday to Sunday, two weeks later. Hot sheet items come for suppliers who "feed me something good. They can realize a substantial increase in movement. Store produce managers are required to feature hot sheet ad items. The third promotion, Super Low Price, can run for any length of time from a day to a month. Produce managers have the option to feature these items. Through the various promotions, Mr. Hickey said that Redner's "can react right away to market shifts in the produce industry. Generally speaking, the produce managers have no ordering autonomy, and so they must move whatever volume of product is shipped to them. "It is nice to mandate what they can do, Mr. Hickey said. "Working at a distribution center, you have to hope the retailers work with you. We are the supplier and retailer, so we can delegate what needs to be done. Regarding the proposed new Philadelphia terminal market, Mr. Hickey said, "It seems real good for everybody, with a controlled environment. The cold chain will be managed a little better than what they're able to do now. The elements now can affect how goods come out. Even to run from one side of the market to the other when it's seven degrees on a February day has to have some effect. They're on the right track. Mr. Hickey would like to see terminal market operators have more promotional schedules "so we can schedule ads in print. While he praised his shippers, were Mr. Hickey to change one practice, generally it would be to improve communications on supplies and deliveries. The 120,000-square-foot Redner's warehouse includes 40,000 square feet for vegetables and 30,000 square feet for fruit. The rooms are triple-racked. The firm employs 147 people in its warehouse and, overall, 4,000 people full or part time.
