BJ's Wholesale Club announced the opening of a "new concept club" that at 43,000 square feet is about half the size of one of its traditional units. The store, in Warwick, Rhode Island, is described by the company as featuring "top-selling fresh foods, produce, sundries, and seasonal products for members of BJ’s Wholesale club, in a convenient, efficient shopping experience … At BJ’s market, members will find the same pack sizes and pricing as BJ’s clubs, as well as the same convenient shopping options including curbside pick-up … The new BJ’s market concept will include testing of exciting product assortments, displays, product demonstrations and convenience initiatives."
“BJ’s market will serve as an exciting new innovation lab for BJ’s Wholesale Club,” said Bill Werner, executive vice president, strategy and development, in a prepared statement. “We are bringing the same great savings and value our members know and love, but delivering a convenient location closer to home.”
- KC's View:
It is smart to find new formats to deliver a known value proposition, and that's exactly what BJ's appears to be doing. It positions the company to identify some interesting real estate opportunities that traditionally would've been out of reach, which could be good for BJ's and bad for some competitors.