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The San Diego Union-Tribune has a story about how the value-driven Grocery Outlet " is expanding its natural, organic, specialty and healthy food offerings after watching those categories fly off the shelves over the last four years ... It's not what most people would expect from a grocer that started out selling canned foods straight from the box and targets frugal customers. But it's what the chain's shoppers are clamoring for: healthy and specialty foods that they might find at Sprouts Farmers Market or Whole Foods Market, for less."

The company says that growing this segment is one of its major priorities for 2015.

The name for its initiative: NOSH, or Natural, Organic, Specialty and Healthy foods.
KC's View:
First of all, let's be clear - NOSH is one of the best acronyms I've ever heard for a food-oriented initiative. If Grocery Outlet is as clever about delivering on the NOSH initiative as naming it, they're going to be in good shape.

I have to believe that one of the reasons that Grocery Outlet is moving in this direction is that the folks at Sprouts - a chain that delivers organic and natural foods at discount prices - haver gotten their attention. We had a story recently about how comments by Whole Foods co-CEO Walter Robb suggested that they've also gotten that company's attention. And what I'm hearing from a number of people is that Sprouts is one of the retail companies to watch over the next few years ... they are a potential threat not to be underestimated.