Market Street beckons Texas food shoppers: a mix of gourmet and everyday items, plus competitive prices pave the way

DSN Retailing Today, Oct 13, 2003 by Debbie Howell

COLLEYVILLE, TEXAS -- Supermarkets, faced with declining sales and increased competition from value-oriented formats such as supercenters and clubs, are evolving into new specialized formats that increasingly merge food retailing with nontraditional extras used as a hook or distinguishing feature.

The recent opening of a combination everyday/gourmet supermarket called Market Street in a suburb of Dallas revealed the extent to which food retailers are willing to go to satisfy the increasingly discriminating grocery shopper.

Positioned as a place "where everyday meets gourmet," the format is the newest of four Market Street stores operated by Texas-based United Supermarkets and the first to open in the highly competitive Dallas-Fort Worth market. The first opened in 1998 in Wichita Falls, Texas, followed by two others in Amarillo and Lubbock, all in the northern panhandle section of the state.

About one-third of the 72,000-square-foot store in Colleyville is dedicated to gourmet takeout and semi-prepared meals, while the rest resembles a regular supermarket with familiar brands, specialty items and natural brands.

"It's a unique place where people can select from a huge variety of freshly prepared foods, along with a wide variety of grocery and household items," said ceo Kent Moore in a press release announcing the store's Sept. 3 opening.

While Market Street is different, it somewhat resembles Central Market, a gourmet supermarket in the Dallas area operated by H.E. Butt Company, another Texas grocer. But whereas Central Market primarily carries specialty products, Market Street blends its upscale offerings with grocery staples.

The selections in produce, fresh meat and seafood aren't as extensive as those found at Central Market, yet the offering is a considerable step-up from conventional grocers. Large indoor and outdoor dining areas, a coffee shop, cooking classes and culinary shop give the store a definite stay-and-relax personality.

A visit to the store by DSN Retailing Today on a Saturday a few weeks after its opening proved that the store is drawing significant interest in this upper-income suburb, as evidenced by the packed parking lot and crowded aisles.

The main attraction upon entering the store is the mock street scene entryway, with false market storefronts on several of the specialty restaurant sections. Five different restaurant concepts were lined, including a coffee shop, sandwich shoppe, gourmet grille, Italian specialties eatery and comfort foods kitchen. In the center aisle were sushi and salad bars and gourmet-to-go refrigerated meals. Directly across from the restaurant concepts were gourmet cheeses, dell and bakery departments, with a produce department at the rear.

A sampling of some of the items offered during the Saturday survey were a Texas barbecue plate for $5.49, lemon chicken pizza for $6.99, make-your-own pasta featuring five types of pasta and eight sauces, and an herb-crusted prime rib plate for $9.99.

The bakery featured artisan bread and gourmet desserts. Upscale cakes were displayed on pedestals under a glass case, such as the $19.99 Belgium chocolate cherry cordial bombe. Truffles, scones and fruit tarts were other unique offerings, while a case nearby featured regular decorated cakes.

And while the produce section was certainly not large compared to conventional supermarkets, it did include some unique items such as champagne grapes, red bananas and bundles of fresh herbs. Presentation was given special attention in produce, with several items carefully stacked inside large terra cotta-like bowls lined up in multiple tiers.

The fresh seafood department, while not large in size, featured a variety of hard-to-find items for the Dallas market, such as whole cooked octopus and Dungeness crab, Chilean sea bass and Hawaiian snapper fillets. The adjacent meat counter emphasized semi-prepared meat items, such as Mediterranean stuffed lamb sirloin at $8.99 a pound, Cajun tiger marinated pork tenderloin for $5.98 a pound and citron sage stuffed game hens at $2.49 a pound.

Other specialty departments include a full-service floral shop, pharmacy, whole health center, wine shop and express photo. The store employs a wine steward and features dozens of brands of imported and microbrew beer.

A first for the Market Street concept is the Dish culinary shop that is located upstairs overlooking the supermarket. An extensive array of gourmet cookware and utensils were offered, as well as dishes, gifts and products for entertaining. The Dish is adjacent to a room where cooking classes are held.

Within the grocery section, banners called out sections as "Specialty" or "Whole Health" in most aisles adjacent to comparable everyday items.

Other features included an extensive cookware and kitchen electrics aisle on steel-look shelving, a Jelly, Belly candy center and a whole health hulk foods section of more than 70 items, from low-fat strawberry granola to wasabi peas.

The whole health center opposite the pharmacy brought together vitamins, supplements, cosmetics, books and other natural health products with a staffed kiosk. A conventional health and beauty department was adjacent.