Grocery Outlet Bargain Market has signed on to take over the former Rite-Aid building on Cross Keys Rd., at the corner of Johnson Rd.
The extended shopping center also has Friendly’s, Tractor Supply, and a former Tilted Kilt which is becoming The Local G.O.A.T Public House.
Grocery Outlet will take over the entire Rite-Aid building, which at almost 15,000 square feet fits into the range of recommended sizes that the Grocery Outlet real estate team states they are looking for.
People have been asking me about the Rite-Aid property for the about a month since the real estate signage out front was changed to say “National Tenant Obtained”… but there was no indication as to who it was.
An industry contact told me almost a month ago that it was Grocery Outlet. I spoke to the real estate sales team for the deal at the time, who were very friendly but not able to confirm the new tenant.
So I’ve had my photos tucked away in a folder on mm PC, waiting for a confirmation… which is that the Gloucester Township Planning Board review meeting is set for June 13th.
The use of the property as a grocery store fits the existing zoning (especially if you consider a pharmacy is basically as much a grocery store as it is a drugstore). Really the only significant changes that they’re looking for approval on is to remove the existing drive through overhang, as well as some approvals around signage.
So no, the proposed grocery store will not use the existing drive-thru.
Keep scrolling and reading for more on Grocery Outlet!
Grocery Outlet – Opportunistic Buyers
If you’re unfamiliar with Grocery Outlet they have over 400 locations in the United states but they are newer to our area. They recently opened their location in delran NJ, have a few locations in Philadelphia, and are working towards opening in Gibbstown in a portion of the former ShopRite (42Freeway Article)
They described themselves as the largest opportunistic buyers of grocery items in the country, as they travel the world looking for the most exciting deals.
They state they carry the same brands you would find in a traditional supermarket but it heavily discounted prices… pennies on the dollar in many situations.
I personally have not been to a Grocery Outlet (it is on my radar to soon visit the Grocery Outlet in Delran), but the comments in my Gibbstown post had several very positive opinions from folks who had shopped there before, including:
- This is the best store ever. I hope we get one in the deptford/bellmawr area
- mom, you’re gonna love this place
- The one in Delran is great.
- I buy all my ‘expensive’ vegan items at the Delran location. Seriously 50-80% cheaper than I can find the stuff anywhere else!
- This will be handy for you all. I was just at my local one last night. They have interesting stuff. But also standard basic stuff too. Sure beats another dollar store!
It should be a good match for the area. Yes Cross Keys Road already has Acme, ShopRite, and a still newer Aldi… but those stores are about a mile and a half away down a very busy Cross Keys Rd.
A nearby Sam’s Club offers discounted pricing but in larger bulk sizes, which isn’t always a match for consumers… but even then how do those deals stack up to Grocery Outlet’s “Opportunistic Buying” deals? I’ll let you know once I get to visit Delran!
Surrounding the proposed Grocery Outlet on Cross Keys Road are several large neighborhoods, it is very close to the exit on Atlantic City Expressway, and the very busy Black Horse Pike and Washington Township are about a 1.25 miles away.
So the combination of its unique grocery model offering super discounted pricing, great access to major roads and suburban neighborhoods… they should be able to pull in plenty of customers
Grocery Outlet – The Model Appears to be Working
Grocery Outlet is looking to be a one-stop shopping experience for their customers by blending two buying methodologies; Offer amazingly discounted product deals, filled out with a well-rounded inventory which provides a complete shopping experience.
Grocery Outlet is very honest and up front about their “opportunistic” buying model which in part targets excess inventory from packaging changes, manufacturing overruns or other opportunity deals.
They are able to buy the excess products for pennies on the dollar for example, passing the savings on to consumers.
It would seem that the product selection changes based on the deals at the time, but Grocery Outlet aims to offer a full array of products in every category, so that you can make it your one-stop grocery shopping experience.
As an example they also fill out the store inventory with basic necessity items such as milk, eggs and meat… things that typically aren’t going to get drastically big discounts from suppliers. but they know you’re going to want them for your full shopping experience.
And to help you take advantage of all of their amazing deals (which could arrive at any time), they offer Wow Alerts. Grocery Outlet says they get deals that are just so amazing, in real-time they will send you an e-mail of the top selling, unadvertised deals from your local store directly to your inbox.
Remember many of these deals are opportunistic so the product may not be around for long! When you get your Wow Alert you may need to act fast on it!
Another interesting twist on their model is each grocery store is individually owned, somewhat in a franchise model.
While other Supermarkets do have a model where groups of stores are owned by independent businesses, Grocery Outlet says they look for owners who are local to the marketplace. Say, a family that is looking to branch into something new and exciting.
But it is interesting to me that the planning board notice for Gloucester Township lists Grocery Outlet as the applicant,
The discount opportunistic buying model seems to be working for Grocery Outlet as recent reports state that same store sales increased over 12% in the first quarter of 2023, driven by a 7.9% increase in transactions
And things are going so well they had to raise their financial guidance for the year!
Links and Location
Grocery Outlet (Proposed at former Rite-Aid)
677 Berlin-Cross Keys Rd Rd
Sicklerville, NJ 08081