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Farm Fresh Expands Alliance With Starbucks

VIRGINIA BEACH, Va. - In an effort to attract more customers to its already loyal base, Farm Fresh Supermarkets based here is brewing up plans to add additional Starbucks coffee shops to 12 of its stores in the Hampton Roads area of southeastern Virginia.

Farm Fresh, a Supervalu retail subsidiary, opened the first of 12 store-within-a store Starbucks locations on June 28 at its General Booth Blvd. store in Virginia Beach, and is poised to open a second location in Hampton, Va. in mid-August, spokeswoman Hayley Maloney told Progressive Grocer. A third Starbucks will open later this fall in a Williamsburg Farm Fresh store, which is currently undergoing a major remodeling, she said.

Customer reaction to the first Farm Fresh Starbucks store has been "fantastic," said Maloney. "Based on their customer service values and the look and feel of their business, Starbucks is a perfect fit in our stores."

Farm Fresh shoppers are particularly fond of the initial store-within-a-store design, she noted, "since it is transparent to our customers whether it's a Starbucks within a Farm Fresh or a freestanding corner Starbucks that you hit on the way to work. The feedback we've received finds that our customers really like that they can either come in, sit down and relax, or get their coffee and drink it while they're doing their shopping."

Maloney said Farm Fresh will evaluate the alliance's success after it opens the first dozen Starbucks, and will then consider subsequent expansion plans for additional coffee shop locations at new and remodeled supermarket locations.

Depending on the stores selected and the available space, according to Maloney, sizes for the first 12 coffee shops will vary between 400-square-foot kiosks to 1,100-square-foot freestanding stores.
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