Bi-Mart launches prototype; invigorates adjacencies, mix

Discount Store News, Dec 14, 1987 by Pamela Krein

Bi-Mart Launches Prototype Invigorates Adjacencies, Mix

Membership discounter Bi-Mart has launched a new prototype, designed to update the 37-store chain's interiors, fixtures, mix and layout.

"The stores needed to be strengthened in adjacencies," explained Dale Ward, senior vice president and general merchandise manager for the subsidiary of Seattle-based Pay 'n Save. "We tried to take a step up in cheeriness and openness . . . and develop a smarter store."

All three of the 31,000-square-foot stores opened late this year incorporated the design of the new prototype. The chain's existing stores in Oregon and Washington are now being retrofitted. The company expects to have the remodeling completed in 1988.

Changes have been significant. Store signage, lighting and fixtures have been modernized, and the entire layout has been altered and the product mix updated.

Although the stores still carry a nearly equal distribution of typical hard lines categories, Bi-Mart has realigned the departments for better traffic flow and sales.

Health & beauty aids and over-the-counter products are now adjacent, instead of being separated by greeting cards, which has been updated with new fixtures. Electronics now includes the sale of prerecorded videotapes, and housewares has been extended toward the rear of the store to move more female customers to the predominately maleoriented back half of the store.

Other layout changes include a break in the back row of gondolas, which Ward said gives Bi-Mart additional endcaps to work with, while making it easier to shop.

Hardware has been given a more do-it-yourself focus, and several other categories have been enlarged, including candy, snacks and cosmetics.

In cosmetics, Bi-Mart actually created an entire new area, and by tilling the section, the chain stepped away from its normal concrete flooring.

Prior to the new prototype, Bi-Mart's cosmetics were limited to a row of gondolas, which primarily featured just a minimum, basic selection. Now the new cosmetics area feature not only products by the leading manufacturers, but also implements, fragrances and a service counter.

Cosmetics have also been relocated to the front of the store, in a three-sided area between the checkouts and over-the-counter products. Directly across the front, in a lengthwise aisle from the cosmetics area, are the remaining H&BA products.

Although Bi-Mart increased its cosmetics selection, it is difficult to determine the exact gain because additional merchandise was being stocked for the holiday season, said Dave Zientara, vice president of administration.

While H&BA and OTC are strong sales leaders at Bi-Mart, Ward said sales distribution is fairly equal among each department.

The new prototype features service counters in cosmetics, photo, hardware and a combined automotives and sporting goods station. Previously, automotives and sporting goods had separate service counters and there was no cosmetics counter.

Exterior pharmacy windows have been eliminated in the new stores; however, Bi-Mart said it will probably leave this additional counter in its existing stores.

While the Bi-Marts have been updated, Zientara said the chain was careful to retain its discount store customer base and impage. The membership policy--$2 for a lifetime family plan--remains intact.

It is the membership policy, along with a broad merchandise mix and low prices, which Ward and Zientara credit for the discounter's strength.

Customer loyalty and strong position in the market --where the chain faces Fred Meyer, K mart and Pay Less NW drug stores--has provided a steady and consistent base in the last year for the Pay 'n Save subsidiary.

Bi-Mart's importance to Pay 'n Save was evident in the parent company's third quarter report, which showed that the Eugene, Ore.-based subsidiary accounted for over one-third of total sales volume. Of Pay 'n Save's $177 million in quarterly sales, Bi-Mart contributed $62.3 million, even though, at the close of the quarter, Bi-Mart operated only 34 stores to Pay 'n Save's 100 drug stores.

Bi-Mart opened three units in the fourth quarter and plans to add three stores next year.

Photo: Bi-Mart's new prototype provides the Pacific Northwest discounter with a new layout, better adjacencies, modern fixtures and lighting, and additional service counters.