Real Reasons Michigan Farmer Jack Stores Don’t Make Enough Money
April 25th, 2007 by The Capitalist
Today is a day of joy!
Years ago, before the commercialized internet was anything to bother with, I worked in a Farmer Jack. While I was there, I noticed many inefficiencies, stupidities, and overall bad practices. I tried to convince the management of my points, but, probably due to my low rank, they were deaf to my attempts to shine the beacon of logic on ‘em.
So I was left to wait, wait for them to get schooled by the University of Hard Knocks! And, today I found the news that they have finally gotten that schooling. Michigan’s Farmer Jack stores will be sold/closed. I am vindicated!
A&P Confirms Talks To Sell All 66 MI Farmer Jack Stores
Here’s a quick rundown on the causes of death, which A&P will almost certainly never admit to, but that I saw with my own eyes and immediately spotted as bad practices!
1) Pandering to MONEY-LOSING “customers.” They were absolutely brainwashed that they “needed every customer.” They would not hear the truth–that people who routinely COST the store money ARE NOT REALLY CUSTOMERS!!! They are leeches! Yet FJ would cater to these people, who’d come in and, in various ways, end up costing the store money. Darned if I could convince the mgmt. that what they were doing was folly, even when I showed them the math that proved it beyond reasonable dispute!
Kroger (the competition), on the other hand, was well aware of the principle and never catered to the jerks. Rather, they (the people at the Kroger that was kitty-corner) told jerks that if they didn’t like shopping at Kroger, they ought to go to Farmer Jack. There is still a Kroger chain in MI. But very, very soon, there will not be a Farmer Jack. There’s the ultimate proof of which business theory is right!
2) Idiotic stocking decisions. Someone very high up made sure that certain items were never stocked. But Kroger DID stock those things. And when people wanted those things, they’d go to Kroger. AND do the rest of their shopping there, while they were at it. So even Farmer Jack employees often ended up going to KROGER!
3) Inefficiencies. The management had it set up so that WAY too much stuff needed their approval. For instance, fixing pricing errors over $5, exchanges over $3 [used to be ALL exchanges, but at least I convinced ‘em how ridiculous THAT was…by ignoring the idiot order and just exchanging all the cheap stuff. Then they saw how much nicer it was for them not to be bugged all day okaying exchanges of leaky milk containers and box-cutter-sliced cake mixes!]
4) Too many layers of above-store-level management!!! There were “store auditors” on at least 4 levels: Local-regional, state, national-regional, and national. And I think I forgot some! Of course, they all had contradictory, yet random, orders they’d give out, because they all wanted to think they were Some Thing Spe-Cial. *rolls eyes* And, said orders were almost invariably idiotic, too. One in particular cost the store what I’d estimate as $1000/week! And that was just one store.
5) Pennywisdom and Pound-Foolishness. The store mgr. would often refuse to okay the ordering of industrial-grade supplies. Did he think we wouldn’t need them if they weren’t there?! I think he really thought it would stretch longer. Typical broke-man’s way of thinking (even though he made 6 figures…weird, huh!) Well, customers don’t like a dirty store, and neither does the Health Department. So we cleaned the store with the retail stuff, right from the shelves. Remember that a big store, due to its size and foot traffic level, uses in A DAY what would last a household a whole month! So saving $5 on some cheap by-the-5-gallon soaps, ended up costing the profit from the normally highly-lucrative cleaning supply department. The Capitalist in me still shrieks at the memory.
There were numerous other issues, too, which would have contributed. Not that I expect A&P to ever admit to any of it. In fact, for legal reasons, this is opinion, may not have applied to every single Farmer Jack store, etc. etc. etc.
But I am satisfactorily vindicated by the impending sale. Told ‘em so… :p
Note to Kroger: Better get your bunkers ready, because all those bad “customers” and crazies you sent FJ’s way will be coming back to you…
Technorati Tags: Farmer Jack Detroit Michigan MI mismanagement grocery stores
Posted in General | 1 Comment »