SPARC: a reminder of industry trends - Supplier Performance Awards by Retail Category - Brief Article - Editorial

DSN Retailing Today, August 12, 2002 by Tony Lisanti

There are dozens of award programs conducted annually that honor industry luminaries--from those sponsored by trade associations to those sponsored by retail companies recognizing their largest vendors.

But few of these programs are as comprehensive and objective, nor are they as longstanding and influential as SPARC, Supplier Performance Awards by Retail Category.

The SPARC program, which was created by DSN Retailing Today 25 years ago, recognizes dozens of executives and companies across 57 merchandising categories. It brings retailers and suppliers together and promotes the spirit of partnership in mass retailing.

As the 25th annual SPARC program--which includes separate events for Hard Lines and Soft Lines--take place this week, it coincides with the 40th anniversary of the mass retailing industry. It's appropriate to focus on SPARC, not only for its relevance, but because it reflects the evolution of mass retailing. This year's SPARC program epitomizes the key trends that will drive the industry over the next decade and beyond and honors a few of the companies that are leading the pack.

* Leadership. From the time Dick Schuize, founder and chairman of Best Buy, opened his first store, Sound of Music, in 1966, he has been the quintessential entrepreneur. His induction into the Hall of Fame is a reminder that a strong entrepreneurial spirit has always characterized mass retailing, and the industry must hold onto this style to drive innovation and growth.

* Unification. The recognition of Bob Verdisco for devoting almost 20 years of his career to the International Mass Retail Association exemplifies the importance of industry solidarity and communication. It's a reminder that no company can effectively function on its own, but can flourish as a unified group.

* Value. The selection of Howard Levine, president and ceo of Family Dollar, as Hard Lines Retailer of the Year reflects the astounding growth of the dollar store format and its impact on the industry It's a reminder that the fundamental strategy of retailing is still very much as applicable today as it was in the 1960s.

* Food merchandising. With this year s SPARC, a new award, Food Retailer of the Year, was added to reflect the continued expansion and importance of the category to the mass market. Recognizing Jim Sinegal, chairman and ceo of Costco, is a reminder of how creative and impactful food merchandising can be even in a no-frills environment.

* Specialization and globalization. As Specialty Retailer of the Year, Brad Anderson, president of Best Buy, identifies the importance in today's marketplace for a retailer to make the transition from a national chain to a global company. It's a reminder of the viability of the category specialist and its original tenet of being a fun place to shop.

* Supercenter phenomenon. The 1990s have been identified as the decade of the supercenter and the selection of Target as the recipient of the Merchandising Innovation Award reflects the continued growth and potential of the format to the company, and to the industry as well.

* Supply chain management. While merchandising is the primary focus of the SPARC program, this year's Vendor of the Year Award reflects the redefined role of the supplier in such areas as product innovation, consumer expertise, global sourcing and inventory management. Procter & Gamble and VP Jeanswear are a reminder of the importance of partnerships in today's retail market.

Congratulations to all the SPARC winners. Thanks for reminding everyone that mass retailing is as vibrant an industry as it was 40 years ago.