Dive Brief:

• Meijer has received local planning commission approval to build a new store in Orion Township, Michigan, that would be less than half the size of the retailer's typical location.
• The proposed new store, which a Meijer spokesperson said in an email is "still very early in the process," would occupy approximately 90,000 square feet and primarily carry food, according to the minutes of a public hearing on April 21 conducted by the township's planning commission. 
• The new Meijer location would be significantly different from the superstores that characterize the chain, which is known for its one-stop shopping approach to retailing.

Dive Insight:

The plans Meijer laid out for officials in Orion Township suggest the retailer is developing a store that would more closely resemble a traditional supermarket than the large-scale, multifaceted specialty stores it usually builds.

The new store would focus on foods like produce, deli items and baked goods in addition to beer, wine and liquor, Ashley Mack, real estate manager for Meijer, told the planning commission during the hearing. The store would have a limited supply of general merchandise and would not carry products like electronics or clothing that Meijer's stores ordinarily stock, Mack said. It would employ between 100 to 150 people, according to the hearing minutes.

Plans also call for the Meijer location, which would occupy the site of a Kmart at 1025 S. Lapeer Road that closed in 2018, to have a dedicated pickup space for e-commerce orders, offer grocery delivery and have a full-service pharmacy. The Oakland County Times previously reported Meijer's plans to build a store in Orion Township, which is north of Detroit.

Meijer has focused over the past year on adding to its portfolio of supercenters. In May, the retailer opened three 155,000-square-foot locations in Ohio and Indiana, underscoring what Meijer President and CEO Rick Keyes said in a statement is Meijer's "ongoing commitment to serving the needs of communities at a time when everyone is looking for a one-stop shopping experience."

In July, Meijer opened five locations in Wisconsin, Illinois, Michigan and Ohio that are each 159,000 square feet. The privately held retailer currently operates 257 stores across six Midwestern states.

Meijer has also been experimenting with urban grocery stores that are much smaller than even the store the company is considering for Orion Township. In October, the retailer opened a 37,000-square-foot store, known as Capital City Market, in Lansing, Michigan, that carries an array of foods including bakery items, fresh meat and deli products as well as items from local artisans.

The small-format store joins a 41,000-square-foot location Meijer opened in Detroit in January 2020 under the Woodward Corner Market brand. In August 2018, the retailer debuted Bridge Street Market, a store in its hometown of Grand Rapids, Michigan, that spans 37,000 square feet.

The company plans to open its fourth "neighborhood" grocery store, Rivertown Market, in Detroit's East Jefferson Corridor later this year.