Henning's Market turned improved visibility into better sales.
Henning's Market built its nonfoods department specifically with convenience and impulse purchasing in mind. The result: Nonfoods percentage growth actually surpassed that of the store's
food departments.
It's easy to find the HBC items you're looking for at Harleysville, Pa.-based Henning's. First of all, each category has its own dedicated aisle. But more to the point, as shoppers stand in any given aisle, the angled low-profile gondolas allow unobstructed views of almost every nonfood category in the store—except for those products that are strategically cross-merchandised within other departments.
The nonfoods section at Henning's is uniquely designed, with eight gondolas, each roughly 15 feet in length, set at angles between the grocery department on the left and rear walls of the deli service area to the right. It doesn't look like an especially efficient use of floor space, but the fact is, the department's efficiency is greatly increased where it most counts—the shopping experience, says Carey Henning, co-owner of the one-store independent with his father.
"I believe consumers are shopping somewhat like they did 100 years ago," says Henning. He should know: His family has owned the business since 1892. "They're not buying all of their groceries at once. There are many two-wage-earning families in our community, and they might buy all their groceries for the week, but they don't know every night when they're going to eat at home."
It was this realization that led Henning to design the store so that it emphasized convenience and encouraged impulse selling. The left third of the store is aimed at the ingredient shopper, who cooks her meals at home. The right third of the store targets the convenience shopper and includes prepared foods and nonfoods. An entrance is on each side of the store, so that each type of shopper can get in and out quickly and easily.
"I might not be able to have the lowest price that Wal-Mart has," concedes Henning, "but shoppers are willing to pay for convenience, because they will pay high prices at a convenience store. So if I make my store easier to shop, and it's a little more convenient, they'll pay more." Henning's strategy: "Instead of mixing all my nonfoods in the aisles, I grouped them more into a little store called The Variety Store, because actually the variety stores of years ago had basically what I have in mine. It has your books, your magazines, pantyhose, soaps, health and beauty aids, greeting cards."
Convenience was also the goal for The Variety Store's unique layout. "In the past, when I would go into a grocery store, including my own, typically there was one big long aisle of HBA. It was just a horrible place to try and find what you're looking for, and that included my store.
"So I took that aisle and broke it up into short 15-foot segments with low profiles, and I grouped it by category. So now you just look at a whole category. 'Do I want mouthwash? Do I want toothpaste?' It's easier to find these things."
The angles and width of the aisles also provide an additional benefit: Henning can easily merchandise a number of shippers without obstructing the traffic flow. He capitalizes on this by placing shippers at the ends of each aisle for new HBC products, essentially extending his end cap merchandising reach.
The design is such that from any point in The Variety Store, shoppers can see all of the other sections. And because the HBC gondolas are set at an angle to the greeting card and GM sections, shoppers making their way through the department are exposed to a tremendous amount of product.
Meanwhile other categories of general merchandise, such as housewares and seasonal items, are strategically cross-merchandised throughout the store.
For instance, Henning cross-merchandises his housewares right next to the meat department, taking advantage of the adjacency. Grilling tools are also found there, on spinner displays near the ground meats.
"It's a very simple strategy," he says. "Nonfoods are either in The Variety Store or are strategically placed throughout the store. The design is what makes it work."
How well does it work? "Percentage-wise, I had a larger increase in my nonfood sales than in my grocery sales," confides Henning. How many grocers can claim that?