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Sprouts Brews Up a New Strategy | Fast Five Shorts · Omni Talk Retail

• 0:00
  Sprouts
• 0:00
  says
• 0:01
  it's
• 0:01
  going
• 0:01
  to
• 0:01
  open
• 0:02
  20
• 0:02
  in
• 0:02
  store
• 0:03
  cafes
• 0:03
  across
• 0:04
  Southern
• 0:04
  California,
• 0:05
  according
• 0:05
  to
• 0:06
  Grocery
• 0:06
  Dive.
• 0:06
  Sprouts
• 0:07
  Farmers
• 0:07
  Market
• 0:07
  announced
• 0:08
  Wednesday
• 0:08
  it
• 0:08
  is
• 0:09
  expanding
• 0:09
  its
• 0:09
  partnership
• 0:10
  with
• 0:10
  Klatch
• 0:10
  Coffee.
• 0:11
  Klatch
• 0:12
  Coffee,
• 0:12
  good
• 0:13
  alliteration
• 0:13
  there.
• 0:14
  Although
• 0:14
  it's
• 0:14
  not
• 0:14
  really
• 0:15
  alliteration
• 0:15
  because
• 0:15
  it's
• 0:16
  a
• 0:16
  K
• 0:16
  and
• 0:16
  a
• 0:16
  c.
• 0:16
  To
• 0:17
  open
• 0:17
  20
• 0:18
  new
• 0:18
  in
• 0:18
  store
• 0:19
  cafes.
• 0:20
  The
• 0:20
  specialty
• 0:20
  grocer
• 0:21
  plans
• 0:21
  to
• 0:21
  open
• 0:21
  cafes
• 0:22
  inside
• 0:22
  stores
• 0:22
  in
• 0:23
  Southern
• 0:23
  California
• 0:24
  in
• 0:24
  two
• 0:24
  phases,
• 0:24
  beginning
• 0:25
  late
• 0:25
  this
• 0:25
  year
• 0:26
  and
• 0:26
  lasting
• 0:27
  into
• 0:27
  2026.
• 0:28
  And
• 0:28
  the
• 0:29
  story
• 0:29
  about
• 0:29
  sprouts
• 0:30
  adding
• 0:30
  20
• 0:31
  coffee
• 0:31
  shops
• 0:32
  to
• 0:32
  new
• 0:32
  stores
• 0:33
  this
• 0:33
  week
• 0:33
  definitely
• 0:34
  intrigued
• 0:34
  you
• 0:34
  because
• 0:34
  I
• 0:34
  know
• 0:34
  you
• 0:35
  want
• 0:35
  to
• 0:35
  include
• 0:35
  it
• 0:35
  in
• 0:35
  this
• 0:35
  week's
• 0:36
  Fast5
• 0:36
  roundup.
• 0:37
  Why
• 0:37
  was
• 0:38
  that?
• 0:39
  Well,
• 0:39
  I
• 0:39
  think
• 0:39
  we
• 0:40
  ran
• 0:40
  into
• 0:40
  Nick
• 0:40
  Conant
• 0:41
  from
• 0:42
  Sprouts.
• 0:42
  Yeah,
• 0:43
  the
• 0:43
  CEO
• 0:44
  here
• 0:44
  at
• 0:44
  Grocery
• 0:45
  Shop,
• 0:45
  and
• 0:45
  we
• 0:46
  were
• 0:46
  talking
• 0:46
  to
• 0:46
  him
• 0:46
  about
• 0:46
  this.
• 0:47
  I
• 0:47
  was
• 0:47
  like,
• 0:47
  I'm
• 0:47
  really
• 0:47
  curious
• 0:48
  about
• 0:48
  what,
• 0:48
  you
• 0:48
  know,
• 0:48
  what
• 0:49
  this
• 0:49
  is
• 0:49
  all
• 0:49
  about.
• 0:49
  What
• 0:49
  do
• 0:49
  you
• 0:50
  think
• 0:50
  about
• 0:50
  it?
• 0:50
  And
• 0:51
  I
• 0:51
  think
• 0:51
  what
• 0:52
  became
• 0:52
  abundantly
• 0:53
  clear
• 0:53
  during
• 0:53
  that
• 0:53
  conversation
• 0:54
  is
• 0:54
  that
• 0:55
  this
• 0:55
  is
• 0:55
  just
• 0:56
  adding
• 0:56
  an
• 0:56
  enhancement
• 0:57
  to
• 0:57
  the
• 0:58
  Sprouts
• 0:58
  experience
• 0:59
  in
• 0:59
  a
• 0:59
  way
• 0:59
  that
• 1:00
  Sprouts
• 1:01
  can
• 1:01
  uniquely
• 1:02
  provide
• 1:02
  their
• 1:03
  customers.
• 1:03
  The
• 1:04
  Sprouts
• 1:04
  trip
• 1:04
  is
• 1:04
  a
• 1:05
  destination.
• 1:06
  The
• 1:06
  consumer
• 1:06
  is
• 1:06
  already
• 1:07
  going
• 1:07
  there
• 1:07
  in
• 1:08
  a
• 1:08
  different
• 1:08
  mindset.
• 1:09
  They're
• 1:09
  not
• 1:09
  going
• 1:09
  there
• 1:09
  with
• 1:10
  like
• 1:10
  a
• 1:10
  bang,
• 1:10
  bang,
• 1:10
  bang.
• 1:11
  I
• 1:11
  got
• 1:11
  to
• 1:11
  get
• 1:11
  as
• 1:11
  many
• 1:11
  things
• 1:12
  as
• 1:12
  possible.
• 1:12
  Like,
• 1:13
  that's
• 1:13
  an
• 1:13
  additional
• 1:14
  trip.
• 1:14
  Sprouts
• 1:15
  knows
• 1:15
  that.
• 1:16
  And
• 1:16
  so
• 1:16
  they're
• 1:17
  making
• 1:17
  this
• 1:18
  just
• 1:18
  a
• 1:18
  little
• 1:18
  added
• 1:19
  convenience
• 1:20
  while
• 1:20
  you're
• 1:20
  there
• 1:21
  to
• 1:21
  get
• 1:21
  you
• 1:21
  to
• 1:22
  feel
• 1:22
  like
• 1:22
  you.
• 1:22
  Yes.
• 1:23
  Go
• 1:23
  talk
• 1:23
  to
• 1:23
  the
• 1:24
  chief
• 1:25
  foraging
• 1:26
  officer's
• 1:26
  team
• 1:27
  that's
• 1:27
  in
• 1:27
  the
• 1:28
  store
• 1:28
  showing
• 1:29
  you
• 1:29
  their
• 1:29
  new
• 1:29
  products.
• 1:30
  Go
• 1:30
  into
• 1:30
  the
• 1:31
  beauty
• 1:31
  and
• 1:31
  vitamin
• 1:32
  area
• 1:32
  and
• 1:32
  spend
• 1:32
  some
• 1:33
  time
• 1:33
  talking
• 1:33
  to
• 1:34
  the
• 1:34
  Sprouts
• 1:35
  associate
• 1:35
  there
• 1:35
  to
• 1:35
  learn
• 1:36
  about
• 1:36
  the
• 1:36
  new
• 1:36
  products
• 1:37
  that
• 1:37
  they
• 1:37
  have
• 1:37
  there.
• 1:37
  Like,
• 1:37
  it's
• 1:38
  a
• 1:38
  completely
• 1:38
  different
• 1:39
  mindset.
• 1:39
  So
• 1:39
  this
• 1:40
  to
• 1:40
  me
• 1:40
  is
• 1:40
  like,
• 1:40
  you
• 1:41
  know,
• 1:41
  getting
• 1:41
  a
• 1:41
  glass
• 1:42
  of
• 1:42
  champagne
• 1:42
  while
• 1:43
  you're
• 1:43
  shopping
• 1:43
  at
• 1:43
  a
• 1:44
  fancy
• 1:44
  department
• 1:44
  store.
• 1:45
  Like,
• 1:45
  getting
• 1:45
  a
• 1:46
  locally,
• 1:47
  like,
• 1:48
  unique,
• 1:48
  independent
• 1:49
  brand's
• 1:49
  cup
• 1:50
  of
• 1:50
  coffee
• 1:50
  while
• 1:50
  you're
• 1:51
  shopping
• 1:51
  just
• 1:51
  is
• 1:51
  stunning.
• 1:52
  So
• 1:52
  on
• 1:52
  point
• 1:52
  for
• 1:53
  them.
• 1:53
  And
• 1:53
  I
• 1:53
  think
• 1:53
  it's
• 1:53
  just
• 1:54
  going
• 1:54
  to
• 1:54
  make
• 1:54
  the
• 1:54
  Sprouts
• 1:54
  experience
• 1:55
  even
• 1:55
  better.
• 1:56
  Yeah,
• 1:57
  I
• 1:57
  mean,
• 1:57
  I,
• 1:57
  I,
• 1:57
  I,
• 1:58
  I
• 1:58
  agree.
• 1:58
  I
• 1:58
  think,
• 1:59
  you
• 1:59
  know,
• 1:59
  I,
• 1:59
  I
• 1:59
  don't,
• 1:59
  I
• 1:59
  don't
• 2:00
  think
• 2:00
  the
• 2:00
  move
• 2:00
  itself
• 2:01
  is
• 2:01
  like
• 2:01
  that
• 2:02
  big
• 2:02
  and
• 2:02
  noteworthy
• 2:03
  because
• 2:03
  it's
• 2:03
  been
• 2:03
  done
• 2:03
  before.
• 2:04
  But
• 2:04
  I
• 2:04
  think
• 2:04
  when
• 2:04
  you
• 2:05
  put
• 2:05
  it
• 2:05
  in
• 2:05
  the
• 2:05
  context
• 2:05
  of
• 2:06
  what
• 2:06
  Sprouts
• 2:06
  is,
• 2:06
  it's,
• 2:07
  it's,
• 2:07
  you
• 2:07
  know,
• 2:07
  it's
• 2:08
  important.
• 2:08
  So,
• 2:08
  like,
• 2:09
  you
• 2:09
  know,
• 2:09
  the,
• 2:09
  the
• 2:10
  phrase
• 2:10
  I
• 2:10
  keep
• 2:10
  using
• 2:11
  after
• 2:11
  talking
• 2:11
  to
• 2:11
  Jack
• 2:12
  on
• 2:12
  stage
• 2:12
  And
• 2:13
  I've
• 2:13
  talked
• 2:13
  about
• 2:13
  this.
• 2:14
  We've
• 2:14
  talked
• 2:14
  about
• 2:14
  this
• 2:14
  before
• 2:14
  because
• 2:15
  we
• 2:15
  talked
• 2:15
  about
• 2:15
  sprouts
• 2:15
  being
• 2:16
  the
• 2:16
  2024
• 2:16
  retailer
• 2:17
  of
• 2:17
  the
• 2:17
  year,
• 2:17
  if
• 2:17
  I
• 2:17
  remember
• 2:18
  right.
• 2:18
  But
• 2:19
  is
• 2:19
  dry
• 2:20
  powder.
• 2:20
  They
• 2:20
  have
• 2:20
  so
• 2:20
  much
• 2:20
  dry
• 2:21
  powder
• 2:21
  in
• 2:21
  their
• 2:21
  keg
• 2:21
  at
• 2:22
  Sprouts
• 2:22
  in
• 2:22
  terms
• 2:22
  of
• 2:23
  things
• 2:23
  that
• 2:23
  are
• 2:23
  going
• 2:23
  to
• 2:24
  help
• 2:24
  growth.
• 2:24
  So
• 2:24
  like
• 2:24
  you
• 2:25
  said,
• 2:25
  and
• 2:25
  they've
• 2:25
  got
• 2:25
  a
• 2:26
  value
• 2:26
  proposition
• 2:27
  with
• 2:27
  a
• 2:27
  defined
• 2:27
  target
• 2:28
  market.
• 2:29
  They've
• 2:29
  got
• 2:29
  an
• 2:29
  optimized
• 2:30
  store
• 2:30
  prototype
• 2:31
  that
• 2:31
  is
• 2:31
  smaller.
• 2:32
  They
• 2:32
  actually
• 2:32
  went
• 2:33
  smaller.
• 2:33
  And
• 2:33
  it's
• 2:34
  working.
• 2:34
  It's
• 2:34
  showing
• 2:34
  the
• 2:35
  payback.
• 2:35
  Yeah,
• 2:36
  they're
• 2:36
  only
• 2:36
  in
• 2:36
  24
• 2:37
  states
• 2:37
  right
• 2:37
  now,
• 2:38
  so
• 2:38
  they've
• 2:38
  got
• 2:38
  a
• 2:38
  ton
• 2:39
  of
• 2:39
  growth
• 2:39
  opportunity.
• 2:39
  Just
• 2:40
  geographically.
• 2:41
  They
• 2:41
  don't
• 2:42
  even
• 2:42
  have
• 2:42
  a
• 2:42
  loyalty
• 2:43
  program.
• 2:43
  Man,
• 2:44
  that's
• 2:44
  the
• 2:44
  craziest
• 2:45
  thing.
• 2:45
  They
• 2:45
  don't
• 2:45
  even
• 2:46
  have
• 2:46
  a
• 2:46
  loyalty
• 2:46
  program
• 2:47
  stood
• 2:47
  up
• 2:47
  yet.
• 2:48
  And
• 2:48
  now
• 2:48
  they're
• 2:48
  started
• 2:49
  it,
• 2:49
  right?
• 2:49
  Yeah,
• 2:50
  they're
• 2:50
  just
• 2:50
  starting
• 2:51
  to
• 2:51
  roll
• 2:51
  it
• 2:51
  out.
• 2:51
  Yeah,
• 2:52
  yeah,
• 2:52
  they're
• 2:52
  just
• 2:52
  starting
• 2:52
  to
• 2:53
  roll
• 2:53
  it
• 2:53
  out
• 2:53
  nationally,
• 2:54
  so.
• 2:54
  And
• 2:55
  now
• 2:55
  they're
• 2:55
  putting
• 2:55
  coffee
• 2:56
  shops
• 2:56
  in
• 2:56
  to,
• 2:56
  you
• 2:57
  know,
• 2:57
  gives
• 2:58
  another
• 2:58
  reason
• 2:58
  that
• 2:58
  gives
• 2:59
  another
• 2:59
  traffic
• 2:59
  hook
• 3:00
  to
• 3:00
  go
• 3:00
  to
• 3:00
  Sprouts
• 3:00
  versus
• 3:01
  somewhere
• 3:01
  else.
• 3:01
  It
• 3:02
  also
• 3:02
  gives
• 3:02
  you
• 3:02
  a
• 3:02
  better
• 3:03
  basket
• 3:03
  size
• 3:03
  because,
• 3:04
  you
• 3:04
  know,
• 3:04
  you
• 3:04
  get
• 3:04
  the
• 3:04
  coffee.
• 3:05
  And
• 3:05
  to
• 3:05
  your
• 3:05
  point,
• 3:05
  and
• 3:06
  here's
• 3:06
  the
• 3:06
  other
• 3:06
  thing,
• 3:07
  you
• 3:07
  shop
• 3:07
  with
• 3:08
  a
• 3:08
  coffee,
• 3:08
  you're
• 3:08
  not
• 3:09
  shopping
• 3:09
  as
• 3:09
  quickly.
• 3:10
  And
• 3:10
  when
• 3:10
  you're
• 3:10
  not
• 3:10
  shopping
• 3:10
  as
• 3:11
  quickly
• 3:11
  in
• 3:11
  grocery,
• 3:11
  you
• 3:12
  tend
• 3:12
  to
• 3:12
  buy
• 3:12
  more
• 3:12
  stuff.
• 3:13
  And
• 3:13
  that's
• 3:13
  the
• 3:13
  key
• 3:14
  here.
• 3:14
  So.
• 3:15
  So
• 3:15
  they've
• 3:15
  got
• 3:15
  so
• 3:16
  many,
• 3:16
  so
• 3:16
  many
• 3:17
  bullets
• 3:17
  in
• 3:17
  the
• 3:17
  gun,
• 3:18
  so
• 3:18
  to
• 3:18
  speak,
• 3:18
  to,
• 3:19
  to
• 3:19
  go
• 3:19
  out
• 3:19
  and
• 3:19
  continue
• 3:20
  to
• 3:20
  grow.
• 3:20
  So
• 3:21
  I
• 3:21
  wish,
• 3:21
  I
• 3:21
  wish,
• 3:22
  I
• 3:22
  wish
• 3:22
  there's
• 3:23
  probably
• 3:23
  many
• 3:23
  CEOs
• 3:24
  that
• 3:24
  wish
• 3:24
  they
• 3:24
  had
• 3:24
  as
• 3:24
  many
• 3:24
  growth
• 3:25
  opportunities
• 3:26
  lying
• 3:27
  on
• 3:27
  the
• 3:27
  ground
• 3:27
  for
• 3:27
  them
• 3:28
  to
• 3:28
  pick
• 3:28
  up
• 3:28
  as
• 3:28
  Sprouts
• 3:29
  and
• 3:29
  Jackson
• 3:29
  Claire
• 3:30
  have,
• 3:30
  in
• 3:30
  my
• 3:30
  opinion.
• 3:31
  Yeah,
• 3:31
  100%.
• 3:32
  I
• 3:32
  think
• 3:33
  that
• 3:33
  was
• 3:33
  one
• 3:33
  of
• 3:33
  my
• 3:33
  favorite
• 3:34
  takeaways
• 3:34
  from
• 3:35
  what
• 3:35
  he
• 3:35
  said
• 3:35
  when
• 3:36
  you
• 3:36
  were
• 3:36
  talking
• 3:36
  to
• 3:36
  him
• 3:36
  on
• 3:37
  stage.
• 3:37
  He's
• 3:37
  like,
• 3:37
  we're
• 3:38
  only
• 3:38
  going
• 3:38
  to
• 3:38
  the
• 3:39
  areas
• 3:39
  where
• 3:40
  we
• 3:40
  have
• 3:40
  the
• 3:40
  audience
• 3:41
  that
• 3:41
  we
• 3:41
  want,
• 3:41
  we
• 3:41
  have
• 3:42
  the
• 3:42
  distribution
• 3:42
  close
• 3:43
  by.
• 3:43
  To
• 3:44
  like,
• 3:44
  to
• 3:45
  ensure
• 3:45
  that
• 3:45
  this
• 3:46
  product
• 3:46
  of
• 3:46
  Sprouts
• 3:47
  is
• 3:47
  going
• 3:47
  to
• 3:47
  be
• 3:48
  a
• 3:48
  knockout
• 3:49
  in
• 3:49
  every
• 3:49
  market
• 3:50
  that
• 3:50
  we
• 3:50
  go
• 3:50
  into
• 3:50
  was
• 3:51
  so,
• 3:52
  so
• 3:52
  impressive.