How Much Can I Make?

Average revenues continue to climb as shoppers grab great bargains

Many of our candidates have hit the pay-scale ceiling at their current retail management jobs. They know it’s going to be a long time before they get a raise or promotion — if they ever do — no matter how hard they work. Their stores may exceed expectations, but their income doesn’t rise to reflect that.

Grocery Outlet is looking for independent operators who are willing to bank their prospects for earning a higher income on their own performance. They are fair, honest, genuine, hard-working and entrepreneurially motivated. These independent operators are ready to turn their skills up a notch by accepting financial responsibility for the results of their stores: the more efficiently their store operates and the more inventory their store sells, the greater their income. It’s as simple as that. Independent operators control their financial destiny and reap what they sow. We provide a solid business framework that fosters the independent operator’s economic opportunity.

“Financial responsibility rests on the independent operator’s shoulders,” says VP and Controller Christian Janzen. “You don’t have a corporate entity that takes over. This is not a ‘benevolent father’ system. The model is an opportunistic buying system. You maximize margins because it benefits both you and us. Under our licensing model, you use your own ingenuity and discretion to operate your store.”

Independent operators who are successful

Grocery Outlet allows entrepreneurs to outearn their grocery manager salary.

It takes a special skill set to become a top-performing independent operator. Each one knows how to manage inventory, turning it at a high rate. Successful independent operators make good human resource officers in their very own store, knowing how to train and who to hire or fire. They work hard to keep costs at a minimum to maintain a good profit margin for themselves.

Independent operators who do well understand that they’re left to their own creative devices, with help from their network of peers, to market their products and increase sales. Some independent operators, in fact, form strong partnerships with other independent operators to reduce costs. A frequent example is when two stores share a delivery truck. Independent operators can enjoy daily deliveries this way (as order guides are updated daily) without having to order a full truckload. This not only cuts costs, but also helps the independent operator keep up with product demand.

Breaking down the numbers

Grocery Outlet provides independent operators with the building and inventory to help them maximize their profits.

“It’s not an investment-intensive proposition for the incoming independent operator,” says Co-CEO MacGregor Read. “It gives the independent operator an above-average income opportunity.”

a look at a Grocery Outlet supermarket for sale

A significant part of the learning process for interested candidates is connecting them with existing independent operators. Many of them are happy to set up appointments to talk about both the lifestyle of being a Grocery Outlet independent operator as well as typical costs that they experience and challenges they face in operating their store. This diligence allows for qualified candidates to learn firsthand about both the support and the possibilities that come with licensing the right to operate a Grocery Outlet store.

Sales revenue, of course, varies from store to store, but to a large extent the ability to grow your store and control your costs is within your hands.

Travis and Rose’s story

One outstanding success story that Grocery Outlet takes special pride in involves Travis and Rose Dawson*. It took Rose three months to convince her husband to investigate the Grocery Outlet independent operator business opportunity. Travis was a longtime manager for a conventional grocery store and a former Store Manager of a large beverage store. He and his wife found themselves in mountains of personal debt before opening their Grocery Outlet Bargain Market in San Francisco.

“We weren’t in a good spot,” Travis says. “She found out about the Grocery Outlet opportunity, and it took her three months to convince me that it was a good opportunity. It seemed too good to be true, but it became a life-changer. We were underwater with a house in South Carolina and owed a lot in credit cards. We got the opportunity to independently operate a Grocery Outlet, and we paid off our debt in six months.”

*We encourage you to speak with our independent operators to learn the stories of how they discovered the Grocery Outlet business opportunity and their experiences as independent operators. Each independent operator’s story is different, and financial results will vary.

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