Stephen Dubner

It's never been easy to run a grocery chain, but Trader Joe's makes it look easy and weirdly fun.

It's never been easy to run a grocery chain, but Trader Joe's makes it look easy and weirdly fun.

It's never been easy to run a grocery chain, but Trader Joe's makes it look easy and weirdly fun.

So how do they do it? That's the question we'll try to answer today. A question made more difficult by the fact that Trader Joe's is a fairly secretive company. I think that some of the secrecy is probably due to who owns them. So we put on our Freakonomics goggles in an attempt to reverse engineer the secrets of Trader Joe's. which, it turns out, are incredibly Freakonomical.

So how do they do it? That's the question we'll try to answer today. A question made more difficult by the fact that Trader Joe's is a fairly secretive company. I think that some of the secrecy is probably due to who owns them. So we put on our Freakonomics goggles in an attempt to reverse engineer the secrets of Trader Joe's. which, it turns out, are incredibly Freakonomical.

So how do they do it? That's the question we'll try to answer today. A question made more difficult by the fact that Trader Joe's is a fairly secretive company. I think that some of the secrecy is probably due to who owns them. So we put on our Freakonomics goggles in an attempt to reverse engineer the secrets of Trader Joe's. which, it turns out, are incredibly Freakonomical.

Things like choice architecture and decision theory. Things like nudging and an embrace of experimentation. In fact, if Freakonomics were a grocery store, it might be a Trader Joe's, or at least try to be. It's like a real-life case study of behavioral economics at work. So, here's the big question. If Trader Joe's is really so good, should their philosophy be applied elsewhere?

Things like choice architecture and decision theory. Things like nudging and an embrace of experimentation. In fact, if Freakonomics were a grocery store, it might be a Trader Joe's, or at least try to be. It's like a real-life case study of behavioral economics at work. So, here's the big question. If Trader Joe's is really so good, should their philosophy be applied elsewhere?

Things like choice architecture and decision theory. Things like nudging and an embrace of experimentation. In fact, if Freakonomics were a grocery store, it might be a Trader Joe's, or at least try to be. It's like a real-life case study of behavioral economics at work. So, here's the big question. If Trader Joe's is really so good, should their philosophy be applied elsewhere?

Should Trader Joe's, I can't believe I'm going to say this, but should Trader Joe's be running America?

Should Trader Joe's, I can't believe I'm going to say this, but should Trader Joe's be running America?

Should Trader Joe's, I can't believe I'm going to say this, but should Trader Joe's be running America?

I first got interested in Trader Joe's around 15 years ago. I'd never been to one of their stores, but I had a general impression. Cheap and cheerful, relatively laid back and sort of groovy for a grocery store, apparently a reflection of its surfy California roots. Also, not aggressively health conscious, but leaning in that direction.

I first got interested in Trader Joe's around 15 years ago. I'd never been to one of their stores, but I had a general impression. Cheap and cheerful, relatively laid back and sort of groovy for a grocery store, apparently a reflection of its surfy California roots. Also, not aggressively health conscious, but leaning in that direction.

I first got interested in Trader Joe's around 15 years ago. I'd never been to one of their stores, but I had a general impression. Cheap and cheerful, relatively laid back and sort of groovy for a grocery store, apparently a reflection of its surfy California roots. Also, not aggressively health conscious, but leaning in that direction.

And then I read a Wall Street Journal article about a German grocery chain called Aldi that was ramping up its U.S. expansion. Aldi is a super cheap, super generic grocery store. 95% of its products were house brands. And it was beating even Walmart on price. The article said the Aldi chain had two branches back in Germany, separately owned by two wealthy brothers named Albrecht.

And then I read a Wall Street Journal article about a German grocery chain called Aldi that was ramping up its U.S. expansion. Aldi is a super cheap, super generic grocery store. 95% of its products were house brands. And it was beating even Walmart on price. The article said the Aldi chain had two branches back in Germany, separately owned by two wealthy brothers named Albrecht.

And then I read a Wall Street Journal article about a German grocery chain called Aldi that was ramping up its U.S. expansion. Aldi is a super cheap, super generic grocery store. 95% of its products were house brands. And it was beating even Walmart on price. The article said the Aldi chain had two branches back in Germany, separately owned by two wealthy brothers named Albrecht.

and that one of those branches also owned Trader Joe's. I found this fact surprising only because when I think of German business practices, I don't think of a groovy, earthy, crunchy, California surfy vibe, but there it was.

and that one of those branches also owned Trader Joe's. I found this fact surprising only because when I think of German business practices, I don't think of a groovy, earthy, crunchy, California surfy vibe, but there it was.