Nicholas Konat on private label growth
From Q&A: Nick Konat, President & COO, Sprouts Farmers Market · · ECRM & RangeMe
“We've grown the Sprouts brand to 20% of sales and growing. Our strategy is to design products specifically for our core customer with health-forward attributes, cleaner ingredients, and unique flavors you can't find anywhere else. We work with smaller, niche manufacturers to create unique products that resonate with our customers.”
On , Nicholas Konat, President & Chief Operating Officer at SPROUTS FARMERS MARKET, spoke about private label growth during Q&A: Nick Konat, President & COO, Sprouts Farmers Market on ECRM & RangeMe.
About Nicholas Konat
In a September 2024 interview, Nicholas Konat discussed Sprouts Farmers Market's recent performance and strategy. He attributed the company's Q3 results, which included a 4% increase in comparable sales and nearly 8% net sales growth, to its 31,000 employees and its focus on two customer types: the health enthusiast and the innovation seeker. Konat stated that the company was opening 30 new stores in 2024, bringing its total to over 400 locations, and emphasized a strategy of differentiating through unique, curated products rather than competing directly with conventional grocers. Konat also outlined several operational initiatives. He described the company's "foraging program" that identifies emerging brands and provides them with guidance on scaling, as well as an omni-channel strategy that includes partnerships with Instacart and DoorDash. He noted that Sprouts' private-label brand had grown to 20% of sales, and that the company was developing a loyalty and personalization program. Konat added that the company was continuing to use smaller store formats and was focused on sustainability and environmental impact in its partnerships.