New Deal Supermarket

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New Deal Supermarket
Type Private
Industry Retail (Grocery)
Founded Modesto, California 1933 (1933)
Key people Johnson Grocery
Products Supermarket

New Deal Supermarket is a brand of grocery stores in the US, primarily operating in Jackson, Mississippi, the state of Mississippi and in California. All copyrights to the "New Deal" brand are property of San Bernardino, California based Johnson Grocery Company. In the past, New Deal had offered a franchised system, but now all stores are either owned by or are being purchased by Johnson Grocery or are rebranding. A former Jitney Jungle key person Kenneth Leakes owned one store operating under the New Deal banner located in Jackson, Mississippi, but it has closed in late 2009. Other New Deal Market stores operating in Mississippi are part of Johnson Grocery Co.

History of New Deal brand[edit]

New Deal was founded in 1933 at 406 14th Street in Modesto, California by Walter Heckendorf Sr. The name New Deal derived from President Franklin Roosevelt's New Deal plan to lift the nation out of the Great Depression. The supermarket version sharing this name still defines the meaning stimulating the economy by helping the consumer save emphasizing the thought of buying more for less. Basically the name says it all. By 1980, this chain business had expanded to 15 locations, with stores in Turlock, Modesto, Stockton, Manteca, Merced, Oakdale and Los Banos. The original store was deemed too small that year and was sold. The building still stood until February 2008 as home to the Fair Mart Market. The Fair Mart burned at this time and the remaining structure was demolished. In 1991, the Heckendorf family sold the chain to Provigo Corporation, following this sale, New Deal Markets private brand became President's Choice. By 1994, that company had closed stores in Modesto and Merced. In 1995, the chain was down to 10 stores. It was sold to Bay Area Food, which operated two other chains—a price imapact warehouse grocery chain known as Cost Less Foods and cost plus 10% chain known as Best Deal Grocery. By 1997, four more stores were closed, reducing the chain to six outlets—five in Modesto and one in Oakdale. Following this, New Deal Market switched to Fleming as its grocery supplier and therefore switched its store brand to the Fleming owned Best Yet brand. The other stores' names were changed as a result. Following the closure of the Oakdale Road store in 2005, the rights to the New Deal Market brand and remaining assets were sold to Taylor-Johnson Foods, which announced they intend to expand and keep the New Deal Supermarket brand a household name on the West Coast. Taylor-Johnson Foods, later Johnson Grocery Company, has announced plans to acquire the brand in Mississippi by opening select stores around its capital city, Jackson. Many of these stores are former Jitney Jungle locations. From 2005 to 2009, New Deal Markets was supplied by grocery wholesaler AWG and sold the Best Choice and Always Save brands. By 2009, the chain terminated its supplier agreement with AWG and switched its supplier affiliation to Topco and their Food Club and Valu Time brands.

Original New Deal of Mississippi[edit]

Meanwhile, also following the Great Depression, with the success of the New Deal Market chain in Modesto, California, another New Deal Supermarket brand, a discount grocery chain targeting low incomed areas owned by Rayvon Smith, a Mississippi native, based in Jackson, Mississippi was rapidly growing. The chain grew to 50 stores by the 1990s and in 1998, the stores were sold to former Jitney Jungle district supervisors Kenneth Leakes and Greg Price. Greg Price now owns the Jackson Cash & Carry which operates a wholesale grocery store on West Capitol Street in West Jackson. This is a former Kroger, Jitney Jungle, later Winn-Dixie store. For 50 years, the New Deal Supermarket chain of Jackson, Mississippi was a success with stores all over Mississippi and as far off as Camden, Arkansas. New Deal Supermarkets was one of the first grocery retail business to be owned by African Americans, which unfortunately was unlikely during the Civil Rights era. New Deal was also the first to invent the "more for less" discount meat packaged deal aimed for low to middle income families, respectively called the Pick 5, which allowed consumers to pick 5 types of packaged meat all for $19.99. This led to larger chains offering the same. Other local chains, such as McDade's Market, Food Depot, County Market, Vowell's Market Place, Grocery Depot, Ramey's Marketplace also have moved into the more for less discount meat deal. Food Depot offers family sized Pick 5 for $24.95, while Grocery Depot, a relatively new grocery chain which prices with the "shelf plus 10%" pricing format, offers the same for $17.99 plus 10%. Due to rise of larger chain stores such as Kroger and Wal-Mart, the original New Deal Supermarket chain owned by Mississippi native Kenneth Leakes is unable to have a strong presence in Mississippi, unlike its predecessor Jitney Jungle. Due to the rise of fierce competition nearby and consumer theft, given its more urban inner city location, This store recently undergone cuts and has since closed. All other Mississippi New Deal outlets were sold to California based Johnson Grocery Company, which hangs on fairly strong due to its buying power as a larger chain. Winn-Dixie's decision to leave the Central Mississippi area gave other New Deal and other smaller chains room for rapid expansion. Johnson Grocery Company, the largest franchised dealer for the New Deal brand, also reopened several former Jitney Jungle, later Winn-Dixie stores and has since rebranded those stores into the New Deal brand and remains successful today. Johnson's New Deal Supermarket version is probably the closest to being the successor to Jitney Jungle as New Deal Supermarket carries the former brand Food Club, which Jitney Jungle carried for many years before being sold to Winn-Dixie. New Deal Supermarket is also very similar to Jitney Jungle in format, primarily because majority of New Deal stores are former Jitney Jungle locations and have kept the original Jitney Jungle interior decor package and their logos are similar as both had red oval logos. One such Jitney Jungle decor package that is still in many of their former stores is the 1992 decor which has a checker board pattern that emphasizes the sales floor and features a blue wall decor border with respective departments written in italic cursive lettering format. This decor package is present in most medium sized former Jitney Jungle locations about 30,000-square-foot (2,800 m2) in size. Many of these stores' successors have kept this decor as the cost of remodeling these stores makes little sense given the volume. In 2010, Brookshire Grocery Company, announced their intentions to pull out of the Mississippi market leaving behind four stores which they acquired from Albertsons in 2002. Two Brookshire locations will close until a buyer is found while the other two locations were sold and rebranded to Kroger.

New Deal private label[edit]

Neither New Deal Supermarket chains have their own private label. New Deal Markets, owned by Johnson Grocery Inc, is a dealer for Supervalu and carries the Flavorite and Shoppers Value brand. Unlike many other franchised based grocer chains, such as Piggly Wiggly, IGA, or Supervalu, a New Deal franchised dealer is not obligated to buying product from any particular grocery wholesaler.

Early in New Deal Markets history, the chain sold the President's Choice brand under its affiliation with parent company Provigo. In 2000, no longer under its ownership by Provigo and now under the ownership of Modesto, California native Mike Strickler, the chain was supplied by Fleming and sold their Best Yet private label. By 2005, under Johnson Grocery, the chain then switched its supplier affiliation to AWG and their Best Choice and Always Save brand. Briefly, the chain distributed Food Club supplied by Topco, however, in 2010, due to limited Topco owned distribution centers and rising cost of freight transportation, supplier agreements were switched to SuperValu.

New Deal Supermarket departments[edit]

Customer Service Center - Specializing in Utility Bill payment, Western Union, Money Orders, making copies, Notary Public, making keys, accepting EBT cards for low income families, Quick Access for low incomed individuals receiving government benefits, with this technology, those individuals can receive government benefits up to five days early. In certain stores, Customer Service can even cash payroll checks, only in locations without a in store or on site bank.

Smoke Shop - Selling Tobacco Products in stores.

Wall of Values - department selling dollar or discounted items.

Beer - Stores selling alcoholic beverages.

Juices - Selling juices by the gallons, including fruit flavored daiquiri mixes.

Seafood - Specializing in raw or cooked seafood in certain areas.

Fresh Meat - Cut or whole meat. Also specializes in Pick 5 Meat Special for $19.99 in more price conscious areas.

Smoked Meat - smoked or cooked meats. Also apart of New Deal's Pick 5 Meat Special for $19.99.

Dairy - Milk, butter, eggs, and other Dairy products.

Bakery - Cakes, bread and other bakery items.

Deli - Hot deli lunches, catering, and Cooley's Catfish Shack franchise.

Produce - Fresh produce. Stores in more upscale areas, specialize in organic produce.

Floral - Flowers and other plants.

Pharmacy - Medicine, on site pharmacist filling prescription medications and various over the counter medicines.

New Deal Express - On site gas station. One such location is a former Pump and Save for a Jitney Jungle grocery store. The complimenting grocery store has since closed and converted to a Hudson's Salvage Center, but its fuel center is operating as a New Deal Express.

New Deal Market[edit]

New Deal Supermarket Locations
Store Address Region Hours
New Deal Office 2460 Terry Road Jackson, Mississippi 9AM-5PM
New Deal Marketplace 6240 Old Canton Rd Jackson, Mississippi 6AM-12AM
New Deal Supermarket 3363 Terry Rd Jackson, Mississippi 7AM-10PM
New Deal Supermarket 3750 Highway 80 W Jackson, Mississippi 6AM-10PM
New Deal Supermarket 503 South St Mound Bayou, Mississippi 7AM-10PM
New Deal Supermarket 102 Front Ave Indianola, Mississippi 7AM-10PM
New Deal Supermarket 407 W Main St West Point, Mississippi 7AM-10PM
New Deal Supermarket 862 River Rd Tunica, Mississippi 6AM-9PM
New Deal Supermarket 939 Alabama St Columbus, Mississippi 7AM-10PM
New Deal Supermarket 1206 Grand Ave Yazoo City, Mississippi 7AM-10PM
New Deal Cost Plus Super Saver 273 Highway 28 W Hazlehurst, Mississippi 7AM-9PM
New Deal Grocery Warehouse 364 Monticello St Brookhaven, Mississippi 7AM-9PM
New Deal Supermarket 300 W Bankhead St New Albany, Mississippi 7AM-9PM
New Deal Marketplace 940 W Poplar Ave Collierville, Tennessee 6AM-10PM
New Deal Marketplace 2801 Sterlington Rd Monroe, Louisiana 6AM-10PM

Cost Less Food Company[edit]

Cost Less Foods Locations
Store Address Region Hours
Johnson Grocery Co. 2905 Railroad Ae Ceres, California Office
Cost Less # 3 255 W Main St Turlock, California 7AM-10PM
Cost Less # 4 102 S 11th Ave Hanford, California 7AM-10PM
Cost Less # 5 2001 Whitley Ave Corcoran, California 7AM-10PM
Cost Less # 6 888 N Yosemite Ave Oakdale, California 7AM-10PM
Cost Less # 7 1610 E Hatch Rd Modesto, California 6AM-12AM
Cost Less # 8 555 S Hwy 49 Jackson, California 7AM-10PM
Cost Less # 9 901 N Carpenter Rd Modesto, California 7AM-10PM
Cost Less # 10 3801 Yosemite Blvd Modesto, California 7AM-10PM

New Deal Express[edit]

New Deal Express Fuels Locations
Store Address Region Hours
New Deal Express 3366 Terry Rd Jackson, Mississippi 6AM-9PM
New Deal Express 850 E Fortification St Jackson, Mississippi 6AM-10PM
New Deal Express 300 W Bankhead St New Albany, Mississippi 6AM-9PM
New Deal Express 364 Monticello St Brookhaven, Mississippi 6AM-9PM
New Deal Express 273 Highway 28 W Hazlehurst, Mississippi 6AM-9PM