Sprouts Farmers Market, Inc., is a supermarket chain headquartered in Phoenix, Arizona. The grocer offers a wide selection of natural and organic foods, including fresh produce, bulk foods, vitamins and supplements, packaged groceries, meat, poultry, seafood, deli, baked goods, dairy products, frozen foods, natural body care, and household items.[3] Sprouts employs 35,000 workers and operates more than 400 stores in 23 states.[4]
In 1943, Henry Boney opened a fresh-fruit stand in San Diego, California, which grew into a handful of open-air farmers markets. In 1969, his sons developed Boney's Market, which grew into a beloved community grocery store. By 1997, the family's unique set of small-box farmers-market grocery stores were renamed Henry's Farmers Market after their father. Sprouts Farmers Market was founded in 2002 in Chandler, Arizona by members of the Boney family.[5][6]
Sprouts Farmers Market
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In 2011, Henry's, Sun Harvest, and Sprouts came together again under Apollo Global Management, and all were rebranded as Sprouts stores.[7] In 2012, Sunflower was acquired and was rebranded Sprouts.[8] Sprouts became a public company traded on NASDAQ in 2013.[9]
In 2021, Sprouts Farmers Market partnered with MyFitnessPal to provide food-related content support to the app, which included a library of healthy recipes, health and fitness challenges, and food- and health-related articles.[11][12]
In 2015, Sprouts founded the Healthy Communities Foundation, which supports local health and wellness-related causes.[13] Since then, the foundation has awarded more than $18 million to nonprofit partners across 23 states.[14] In 2021, the foundation gave away more than $3 million in grants to over 115 organizations.[15]
Sprouts operates with a focus on the environment, product quality, supply chain transparency, team members, and local communities.[16] As part of Sprouts's commitment to "zero waste", Sprouts participates in a food waste diversion program that provides food to those in need, feed for animals, and nutrients for agricultural soil. All edible food that is no longer fit for sale is donated to hunger-relief agencies, and food that is not fit for them is donated as cattle feed. Everything else is donated as compost.[17] In 2019, the U.S. Environmental Protection Agency recognized Sprouts with several recognitions through its GreenChill program, a partnership with food retailers to reduce refrigerant emissions and decrease their impact on the ozone layer and climate change.[18]
The store's use of the term farmers market has been criticized by local farmers and food sovereignty advocates for appropriating a term they believe should be reserved for direct-to-consumer sales venues.[19]
Sprouts offers a selection of products that are minimally processed and free of artificial flavors, food coloring, preservatives, and synthetic ingredients. The company says that 90% of its products meet this standard.[20]
Sprouts has its own private-label brand of products that includes more than 2,400 items.[21] Stores offer beef products that range from choice cuts to grass-fed. Each store's vitamins and supplements department typically includes about 7,500 products.[22] Produce makes up about a quarter of the business for Sprouts, and the stores carry around 200 varieties of organic produce.[23] One-third of the store stock is always on promotion.[24][23]
In April 2017, the network Direct Action Everywhere released the results of their investigation into cage-free egg supplier Morning Fresh Farms. The Phoenix Business Journal covered the investigation and included comments from Sprouts, noting that Morning Fresh Farms provided inspection reports and certification documents showing compliance that indicated the video shared in the results was not reflective of the farm's cage-free facility in Colorado.[25]
Sprouts has locations in Alabama, Arizona, California, Colorado, Delaware, Florida, Georgia, Kansas, Louisiana, Maryland, Missouri, Nevada, New Jersey, New Mexico, North Carolina, Oklahoma, Pennsylvania, South Carolina, Tennessee, Texas, Utah, Virginia, and Washington.[26]
In fact, e-commerce sales grew approximately 17%, representing 12.4% of total sales for the quarter. During this time period, the company launched its partnership with Uber Eats to help acquire new customers and expand access. Including Instacart and DoorDash, Sprouts now has three e-commerce partnerships to help highlight its differentiated assortment.
Sprouts also plans to leverage its innovation centers in store. The grocer started adding branded innovation centers within its newer, smaller store formats that opened in 2021 and 2022. The dedicated section is focused on a rotating selection of trending products and new-to-Sprouts brands.
In addition, Sprouts aims to strengthen its supply chain this year. The company helped improve capacity in the supply chain in 2023 with a new distribution center in Southern California, expanding its Texas distribution center and adding ripening rooms to improve product quality.
Sprouts plans to open an estimated 35 new stores in 2024, all in its smaller-format design. The design concept features an approximately 23,000-square-foot footprint, and a bright and airy farmers market experience with an open layout, community feel and produce at the heart of the market.
Sprouts Farmers Market is an independent natural foods grocery store chain that focuses on "healthy living for less." They sell farm-fresh produce and thousands of natural, organic and great-tasting mainstream foods at remarkably low prices, in a non-traditional farmers market-type setting.
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