Dive Brief:
- BJ’s Wholesale Club plans to debut its second small-format location in Delray Beach, Florida, on Friday, the membership retailer announced Tuesday.
- The new grocery-focused store — known as BJ’s Market — spans 55,000 square feet, about half the size of a standard BJ’s location.
- Grocers have been experimenting with smaller stores as they look to attract and retain shoppers looking for convenience.
Dive Insight:
BJ’s newest store reflects an effort by the club retailer to lean into its strengths selling groceries while also offering customers a quicker shopping experience than the company’s much larger traditional locations.
BJ’s already operates several full-size locations in the same region as the BJ’s Market it is preparing to open at 14595 South Military Trail. The new South Florida store will be stocked with fresh foods, produce, sundries and seasonal products. It will also carry multiple pack sizes, salad kits, sliced-to-order deli options and multipacks of pantry goods in addition to bulk paper goods, cleaning supplies and half-gallons of milk.
BJ’s, which runs about 260 locations in 21 states, opened its first BJ’s Market in Warwick, Rhode Island, in May 2022. That location spans 43,000-square-feet, making it more than 20% smaller than the store set to open in Florida this week.
BJ’s reported last November that its grocery, perishables and sundries division notched same-store sales growth of 1.8% in the third quarter of fiscal 2025.
Other retailers have also recently focused on developing locations that are more compact than their typical locations. Gelson’s Market, for example, will open an approximately 9,700-square-foot store in Toluca Lake, California, on Thursday.
Whole Foods Market, meanwhile, has opened five stores under its small-format Daily Shop concept since 2024 and intends to add five more locations this year.