Waitrose

Waitrose & Partners (formerly Waitrose) is a brand of British supermarkets, founded in 1904 as Waite, Rose & Taylor, later shortened to Waitrose. It was acquired in 1937 by employee-owned retailer John Lewis Partnership, which still sells groceries under the brand. Its head offices are located in Bracknell and Victoria, England.[6] Waitrose & Partners has 335 shops across the United Kingdom,[7] including 65 "little Waitrose" convenience shops, and a 5.1% share of the market, making it the eighth-largest retailer of groceries in the UK.[8] They also export products to 52 countries and have locations in the Middle East.[9]

Waitrose & Partners
TypeSubsidiary
IndustrySupermarket
Founded
  • 1904 (1904) (as Waite, Rose & Taylor)[1]
  • 1908 (1908) (as Waitrose Ltd.)
FounderWallace Waite
Arthur Rose
David Taylor[2]
Headquarters
Bracknell, Berkshire, and Victoria, London
,
United Kingdom
Number of locations
338[3]
Area served
United Kingdom
ProductsFood
ServicesSupermarkets Online shopping
Revenue £5,400.4 million[4]
£173.5 million[4]
£123.3 million
OwnerJohn Lewis Partnership
Number of employees
52,590[5]
ParentJohn Lewis Partnership
Websitewww.waitrose.com
The Waitrose branch in Cheadle Hulme, built in 2007, was Waitrose's first purpose-built retail outlet in Northern England

The chain has been described by The Telegraph and The Guardian as having an "upmarket" reputation, although former managing director Mark Price suggested prices are competitive to Tesco, a mid-market chain.[10][11][12]

The company has a royal warrant to supply groceries, wine, and spirits to Queen Elizabeth II[13] and, as of 1 January 2011, to Prince Charles.[14]

History

Founded in 1904 by Wallace Waite, Arthur Rose and David Taylor, Waitrose & Partners began as a small grocery, Waite, Rose & Taylor, in Acton, West London.[1] In 1908, two years after David Taylor had left the business, the name "Waitrose", from the remaining founders' names, was adopted. In 1937, the company, consisting of ten shops and 160 employees, was taken over by the John Lewis Partnership.[1] In 1944, the partnership purchased the South Essex grocery business Schofield and Martin, which had 12 shops in its chain.[15] Schofield and Martin's Southend High Street shop was converted into a self-service shop in 1951 becoming the first run by Waitrose. The Schofield and Martin name was used until the 1960s when the shops were rebranded Waitrose.

In 1955, the chain opened its first Waitrose supermarket in Streatham, London, and continued to expand throughout London and the South East of England during the 1960s. In the 1970s, Waitrose opened branches in Hampshire, Bedfordshire, Essex, and Cambridgeshire. On 16 June 2016 the shop's most southerly branch opened in Truro, Cornwall.[16]

In 1981, counter service was introduced for fresh meat, fish, and cheese, and in 1983, Waitrose became the first major supermarket chain to sell organic food.

Since 2000, Waitrose has continued its expansion, including purchasing shops from Somerfield,[17] Morrisons,[18] Woolworths,[19] The Co-operative Group and Sandpiper CI, a move which saw the chain move into northern England and Scotland for the first time.

In 2009 the firm signed a deal with Alliance Boots which allowed Boots to operate branded pharmacies in Waitrose shops and Boots shops to sell Waitrose food products.[20] The partnership between the companies ended in 2012 having been deemed unsuccessful, which led to Boots replacing Waitrose products with items from Irish retailer Musgrave's SuperValu chain.[21]

In October 2011, Waitrose opened a Fulfilment Centre in West London as part of its Waitrose.com Online Delivery Service. This allowed Waitrose to offer an online service to customers in London, something which had previously been restricted due to Waitrose's commercial agreement with Ocado.[3]

By August 2016, Waitrose had 350 shops across the UK and it opened the UK's first cashless shop at the headquarters of Sky, under the Little Waitrose brand.[22]

Profitability issues at the end of the decade resulted in John Lewis announcing the closure of five Waitrose shops in 2018 and the sale of a further five Waitrose shops to other retailers in 2019.[23]

Brand and marketing
The logo of Waitrose prior to the re-brand in 2003
Waitrose logo from 2004–2018
The new Waitrose & Partners logo from the 2018 rebrand

The former Waitrose logo was designed by Monotype Imaging and Interbrand.[24][25]

Advertising for Waitrose emphasises the chain's unique selling points. For example, its differences in production processes, emphasising the quality of products or the expertise of their partners (staff). Recent marketing has also attempted to portray the chain as more ethical than other supermarkets, especially concerning Fairtrade produce.

Waitrose sponsored Reading F.C. from 2008 to 2015,[26] and the England cricket team for three years from 2013 to 2016.[27]

In March 2010, Waitrose released a series of adverts, in print, online, and on national television, featuring celebrity chefs Delia Smith and Heston Blumenthal.

A Waitrose 'Community Matters' charity token
A Waitrose promotional stall at Headingley during a 2014 Test between England and Sri Lanka.

Waitrose Duchy Organic
Main article: Waitrose Duchy Organic

In 1983 Waitrose became the first major supermarket chain to sell organic food, and by 2008 it had an 18% share of the organic food market. In September 2009, Duchy Originals, the struggling organic food business started by Prince Charles was rescued by Waitrose, which agreed to an exclusive deal to stock the range, and to pay a small fee to his charity. In return, Prince Charles visited Waitrose shops and dined with senior Waitrose executives and their spouses.[28] In August 2010, the Duchy range was relaunched with many new lines under the Duchy Originals from Waitrose (later Waitrose Duchy Organic) brand.[29]

Essential Waitrose

Aware that Waitrose risked being seen as a food retailer for special occasions rather than everyday shopping, the chain launched its value range of products as "essential Waitrose" in March 2009. The marketing used the tagline: "Quality you'd expect at prices you wouldn't". 1,400 products were branded with this name using simple white-based packaging.[30] Some people poked fun at the range for selling products that aren't an essential, such as ratatouille Provençal and limoncello desserts. Nevertheless, the range was highly successful. By 2016 it had over 2,000 items and £1.1 billion annual sales, making it one of only five food and drink brands in Britain worth over £1 billion.[31]

Waitrose & Partners No.1

In 2016 Waitrose introduced Waitrose 1, a premium market food brand. It offered "The very best of Waitrose" and at launch it included 520 food items.[31] In 2019 this was rebranded to become Waitrose & Partners No.1 with several new lines added to the range.

Waitrose Lovelife

This is the healthy range of Waitrose products, where the ready meals are calorie counted and other foods such as fruits and vegetables are discounted to promote healthy living.

Heston from Waitrose

Heston from Waitrose is another premium range of Waitrose products. It includes products inspired or created by the celebrity chef Heston Blumenthal.

myWaitrose loyalty card

In late 2011 the supermarket introduced its first loyalty card scheme, myWaitrose. It differed from supermarket loyalty schemes like Tesco Clubcard and Nectar, giving cardholders access to exclusive competitions and offers instead of allowing them to collect points.[32]

It later began to give cardholders 10% off selected products, as well as free tea or coffee in store and money off their shopping for purchasing selected newspapers.[33] Former Managing director Mark Price has said that this offer has made Waitrose the second largest provider of coffee in the UK, calling it a "phenomenal" response that showed schemes offering loyalty points to be meaningless. He told The Daily Telegraph: "Giving free coffee or free newspapers is disruptive to the market, but I think that is what customers want, I don't think they want a point. I mean, what is a point? I think it's meaningless. It doesn't have the richness, it doesn't have the affinity you can gauge if you engage with your customers in a different way. It is about what do consumers value today, not what did they value historically. So green shield stamps, or points, were a response to what happened post-war . . . I just don't think that is where the world is now."[34]

The Daily Telegraph also later reported that Waitrose has faced "complaints from disgruntled middle-class shoppers who claim its free coffee offer is attracting the wrong kind of customer".[35] In May 2018 myWaitrose members ceased to be able to claim free hot drinks in the chain's 180 in-store cafes.[36][37]

Price matching

In 2010, Waitrose began a price guarantee, matching prices of 1000 items with Tesco. In 2012, it extended this campaign to 7000 items.[38]

Waitrose Food magazine

Waitrose publishes a monthly magazine called Waitrose Food, formerly Waitrose Kitchen. This is free to card account holders and myWaitrose card members.

In February 2015, Waitrose Kitchen magazine included an advertising pamphlet, "Taste of Israel", submitted by the Israeli government, in which traditional Arabic foods were referred to as Israeli. The advert prompted a social media backlash against Waitrose.[39]

Corporate practices

Waitrose donates a portion of its profits to a group of charities on a proportional basis, whilst individual Waitrose branches manage their own charitable donations and local decisions are made on which charities are to be supported. This is a system called "Community Matters", where customers are invited to choose to whom they want money to be donated.[40]

The supermarket launched the Waitrose Foundation in 2005, providing funds for education, worker facilities, and health services among other things for fruit growers in South Africa. This was expanded to Ghana and Kenya in 2009.[41]

Employment practices and benefits
Main article: John Lewis Partnership

Waitrose and its related brands are owned by the John Lewis Partnership (JLP), which is itself owned by its employees, referred to within the organization as "partners."[42] Employee shares are held in trust by the Partnership—their shares cannot be sold by the individual partners. The partners' economic rewards are achieved through the payment of bonuses, based on the JLP's annual profits.[43]

As such, they receive certain benefits, most notably the Partnership bonus, usually around 10–20% of a Partner's yearly salary in a lump sum paid in March (the highest bonus percentage in recent years has been 20%[44]). The annual partnership bonus for 2011 was 18%, for 2012 was 14%, for 2013 was 17%, for 2014 was 15%, for 2016 was 10% and the most recent bonus was 6% in 2017, the lowest since 1954. After three months of service, Partners receive a green discount card (Partner Discount Card) which entitles them to 20% discount in Waitrose and 25% in John Lewis Department Stores on most goods and 12% on electrical goods.

Partners are also given access to membership for the partnership's country houses and parks, such as Brownsea Island and the Odney Club.

In 2005, the business introduced a 'Mystery Shopper' programme to score its branches on the service they provide. The mystery shopper grades the branch on its presentation and on the service the branch provides at its service counters, checkouts, wine department, and shop floor. In more recent times, however, the unpopular mystery shopper programme is being phased out in favour of a customer feedback system called 'Measuring the Magic'. Customers are given a card which directs them to the Waitrose Experience website.[45] In return for grading various areas of their shopping experience, customers are entered into a monthly £500 prize draw. The new system hopes to give feedback tailored to each instance of customer-partner contact, instead of being based on strict criteria.

The employee levels in core branches are: Non-Management Partner inclusive of other non-management roles such as Product Advisor, Wine/Meat & Fish/Cheese & Deli Specialist, Fresh Produce Advisor, Customer Service Assistant (Checkout Supervisors) and Team Leaders (TL). Management levels (ascending) are Assistant Team Manager (ATM), Team Manager (TM), Deputy Branch Manager (DPM), and Branch Manager (BM). In convenience branches, the levels are in ascending order: Partner, Team Manager, Assistant Store Manager, Store Manager. Above BMs are 19 regional managers who report to seven Heads of Shop Trading (HoSTs). They work with a field team including Registrars who are impartial of management and seek to safeguard the constitution which underpins the Partnership. The HoSTs report to their relevant directors and finally at the top, the managing director, Rob Collins. Collins reports to the chairperson of the Partnership, Dame Sharon White. Waitrose offers many different management courses, including the Retail Management Training Scheme (RMT) where people leaving school train to become section managers within two years, continuing to become department managers three years later and a Graduate Scheme[46] which aspires to find the future "heads of" in branches and head office.

Waitrose also offers industrial placement schemes for students studying a 4-year degree. This allows them to work in branches, leading up to a section manager role within the year. They also offer limited placements at their head office in Bracknell; this gives students experience in departments such as Buying, Marketing and Personnel.

Uniform
A Waitrose customer services partner serving a customer during the Christmas period at Putney

Partners wear different uniforms depending on their departments. Managers are expected to wear a blazer with a white shirt with thin grey lines and either charcoal suit trousers or a charcoal skirt. Counter partners can wear either a plain white or a grey and white striped shirt under a black apron with 'Waitrose' in blue stitched on the front, with the option to wear a green tie, as well as either charcoal trousers or skirts and a grey skull cap with hair net (if long) and a snood (if facial hair is present) for hygiene reasons. Shopfloor partners also wear a white shirt but with thicker grey lines than the managers, and also wear a shorter apron than counter partners. They also wear either a charcoal skirt or trousers and have the option of a black fleece or gilet with 'Waitrose' branded on the front as well as a green tie, though they are not required to be worn. All partners are expected to wear a name tag if they have one.

Throughout 2019 there were multiple trials of new uniforms tested out with the final designs being rolled out in 2020.

Shops

Traditionally, Waitrose branches were largely concentrated in the south-east of England and Greater London; even as recently as 2003, its northernmost English branch was in Newark, Nottinghamshire.[47] However, the company's expansion northwards and into Scotland since the mid-2000s has changed this significantly: the most northerly Waitrose shop is now located in Stirling, which opened in January 2013. Waitrose opened its 300th shop in Helensburgh on the River Clyde on 23 October 2013.[48] There are eight shops in Wales: seven in the southeast and one in the northwest at Menai Bridge. Outside major cities, shops are often located in smaller settlements between larger population centres, such as at Newport (between Telford and Stafford) and Kenilworth (between Leamington Spa and Coventry). These smaller towns often have a more middle-class demographic in line with Waitrose's core market.

Waitrose shops vary considerably in size. For example, the smallest branch, little Waitrose at King's Cross station, London,[49] occupies 2,500 sq ft (230 m2) of retail space[50] and the largest, Southend-on-Sea, over 56,000 sq ft (5,200 m2).[51] The average Waitrose occupies a retail space of around 18,000 sq ft (1,700 m2).

Some Waitrose shops incorporate an in-house restaurant selling hot and cold food sourced in the main from the shop. The myWaitrose card, which customers can obtain online, offers free hot drinks from the store's self-service machines with a purchase of goods.[37] Other Waitrose outlets have a Costa facility operated as a franchise from the parent company Coca-Cola.

Waitrose offers a self-service system known as 'Quick Check'. Customers must register as a member of myWaitrose, and then insert their myWaitrose card. They are then automatically issued with a hand-held PDA with a built-in barcode scanner, allowing them to scan and pack items as they are taken from the shelf. Loose items from the fresh produce and bakery departments can be weighed at self-service scales, producing a barcode label which can then be scanned. The customer then pays for their shopping at a dedicated self-service checkout by scanning a terminating barcode and recalling the transaction by swiping their registered card. A Partner is summoned when necessary to authorise the customer's age for age-restricted items and to help scan any problematic items. The customer can then pay as they would normally.

Waitrose Quick Check

Internationally, Waitrose holds a licensing agreement with Spinneys of Dubai, United Arab Emirates, which operate two purpose-built branches, of which the first opened in the Dubai Mall in October 2008.[52]

Waitrose products are also supplied to Manx retailer Shoprite, as well as to the Falkland Islands Company (FIC) in the Falkland Islands. Waitrose products are sold in every continent but Antarctica. Hong Kong-based retailer ParknShop also sells Waitrose-branded products. The firm supplies its products to shops in Antigua & Barbuda, Australia, Barbados, Bermuda, Chile, China, Cyprus, Dubai, Falkland Islands, Gibraltar, Grenada, Hong Kong, India, Kuwait, Malaysia, New Zealand, Philippines, Qatar, Saudi Arabia, Saint Lucia, Tortola and Trinidad.

Convenience shops and little Waitrose
A Waitrose convenience shop on Lands Lane in Leeds city centre
A "little Waitrose" shop in Cheam, London Borough of Sutton

Announcing its foray into the convenience sector in July 2008,[53] Waitrose opened its first convenience shop in Nottingham in December of that year.[54] In September 2009, it was announced that a large scale rollout of the concept was planned, opening up to 300 shops in 5 to 10 years. The new arm will operate in a two-tier environment, with the majority of sites expected to trade from 2,500–3,000 sq ft and some trading from a larger 5,000–7,000 sq ft floor plate.[55] A trial of a 'little Waitrose' fascia on smaller floor plate shops may yet lead to brand differentiation of some or all of the convenience estate.[56]

As of 1 February 2012, there were 29 little Waitrose convenience shops.[57]

John Lewis & Partners Foodhall

Waitrose operates food halls in key shops of sister chain John Lewis & Partners. The shops are officially branded 'John Lewis & Partners Foodhall from Waitrose & Partners', and are run by Waitrose & Partners carrying many of their own-brand product lines. The first John Lewis Food Hall opened at the flagship London Oxford Street department store in October 2007; a second opened at the Bluewater branch in August 2009.

Waitrose Food & Home / Waitrose Food, Fashion & Home

There are six Waitrose Food & Home shops located in Bath, Cheltenham, Leeds Meanwood, Rushden, Salisbury & Southend with one Waitrose Food, Fashion & Home in Canary Wharf. Both types of shops are large enough to offer a range of John Lewis products and have departments such as The Waitrose Studio, Sushi, Oyster, Salad & Juice Bars, Travel Agent, Dry Cleaning, Photo Processing or a post office.

Welcome Break

In May 2009, Waitrose started a franchise deal with the motorway service station operator Welcome Break.[58]

Online presence

Ocado

In April 2000, the online food retailer Ocado was launched. John Lewis Partnership came on board as a principal supplier and part owner in October 2000. The Ocado service is only available in certain areas of Britain. Ocado uses a central warehouse to service their deliveries. In November 2008, the John Lewis Partnership transferred its shareholding, then 29%, into its staff pension fund. It also agreed a five-year supply deal with the business, replacing its previous one-year rolling deal. This deal was amended in 2010 to a ten-year agreement to supply products to Ocado.[59] In February 2011, John Lewis Pension trust divested itself of its Ocado shares.[60]

Waitrose.com

Waitrose operates its own delivery service, Waitrose.com (previously WaitroseDeliver), which is only available in certain shops, delivering goods ordered through the internet and serviced from the local branch. This service should not be confused with Ocado, which is an unrelated business, which formerly had a licence to distribute Waitrose items. Waitrose.com also hosts the online ordering system for Waitrose's special order food and cakes service "Waitrose Entertaining" as well as ordinary online groceries shopping. Waitrose became the first supermarket to abolish all delivery charges as of May 2009.[61]

Some shops also deliver after customers shop in-shop, branded as "Shop in branch, we deliver".

In October 2011, Waitrose opened a "Dotcom Fulfilment Centre" in Acton, West London, less than two miles from its original shop. The shop employs over 200 Partners and provides Waitrose internet food deliveries for most of west and central London from a dedicated site. The shop, whilst not open to the public, is laid out in a similar manner to a regular shop and even offers service counter lines, much like a normal Waitrose supermarket.[62]

Waitrose opened a second DFC purposely built in early 2015 in Coulsdon, South London to service London and the South East.

In March 2020, Waitrose announced that it is adding its Waitrose.com online delivery service to 24 more of its stores across the UK in preparation for its split with Ocado in September.[63]

Market share
Graph showing Waitrose's UK market share

Waitrose currently has 5.3% share of the food market as of 2016. Additionally, it had an 18% and 10% share of the organic food and fish markets respectively, during 2008.[64]

Store closures

Waitrose closed four convenience shops and one supermarket in the UK in 2018.[65] This was followed by the announcement of twelve further store closures in 2019.[66][67]In September 2020, a further four stores were announced as closing.

2018

Spring 2019

440 jobs are affected

Autumn 2019

677 jobs are affected

Autumn 2020

Awards and acclaims

Waitrose has received a number of awards. Its wines have been given awards by Decanter magazine and the International Wine and Spirit Competition.[68][69] The supermarket chain has also received awards for its retail service, including awards from Which? magazine.[70][71][72][73][74][75][76] Compassion in World Farming and the RSPCA have given Waitrose awards for animal welfare.[77][78]

See also

References
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