Organic Grocery Chain Erewhon Eyes Expansion



Organic Grocery Chain Erewhon Eyes Expansion


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LOS ANGELES, CA - Organics is increasingly becoming the name of the food game, and with that growth is rising high a tide of grocery retailers making their own name off of the booming category. Los Angeles-based Erewhon, which boasts the perks of being both an organic grocer and café, is one such grocery retailer that has been quietly, but efficiently, growing into what very well could be the next big name in organics.

Tony Antoci, CEO, Erewhon Market“The goal has always been to grow slowly and make sure that we stick to what we do right,” said CEO Tony Antoci, according to Forbes. “We don’t believe in debt, and the business supports itself.”

Since its inception in 1966, Erewhon has garnered an almost cult-like following in the Los Angeles area, with A-listers and us regular folk alike flocking to its limited, yet impactful, locations. This shopper fanbase is one reason for its 35 percent year-on-year growth and 15 percent same-store sales growth, according to a report by Forbes—a report that also posited a possible expansion could be underway that would stretch the popular grocery chain beyond the West Coast.

Erewhon has been quietly, but efficiently, growing into what could be the next big name in organics (Photo Credit: Carlos R Hernandez)

Specifically, Forbes cites a new deal with New York-based growth equity firm Stripes, which now owns a substantial minority stake in the grocer. This deal is currently driving Erewhon to expand its brick-and-mortar footprint to Northern California and possibly even New York, as well as open more locations in its SoCal home turf.

Ken Fox, Founder, StripesErewhon can become a national brand and universally the most trusted in better-for-you food, period,” said Ken Fox, Founder of Stripes. “Every metric you would measure this business on is an outlier in a few different industries: specialty restaurants, traditional retail, and grocery. Any kind of four-wall experience you have, you would be hard-pressed to find store economics that look anything like Erewhon.”

Will Erewhon grow to become a leading organic and specialty food grocer similar to that of Whole Foods Market? And how will the market respond as more organic grocers continue to rise? AndNowUKnow will continue to report on the ripe retail scene.

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