Quantcast
Get breaking news alerts via email

Click here to manage your alerts
(Al Hartmann | The Salt Lake Tribune) “I take an informal approach,” said Mark Tuffin, president of Smith's Food & Drug Stores. “I like going to stores, talking to people and looking to see what customers have in their baskets. Feedback is how we get to that next level of innovation.”
For Smith’s chief, key is making each customer count
Managing » He endeavors to extend one-on-one approach to grocer’s 15,000 employees.
First Published Jun 02 2012 01:01 am • Last Updated Sep 11 2012 11:32 pm

If feedback is a gift, then almost every day turns out to be Christmas for Mark Tuffin, he likes to joke.

Tuffin, president of the Kroger Co.’s Smith’s division, is responsible for 133 Smith’s Food & Drug Stores in Utah and six other Western states.

At a glance

Smith’s Food & Drug Stores

Smith’s division » 133 stores in Utah, Nevada, Arizona, New Mexico, Montana, Idaho and Wyoming, employing 15,000 people

Parent company » Cincinnati-based Kroger Co., the nation’s largest traditional grocery retailer, employing 338,000 associates

Retail stores » Kroger, Smith’s, City Market, Dillons, Jay C, Food 4 Less, Fred Meyer, Fry’s, King Soopers, QFC and Ralphs

Other businesses » 785 convenience stores, 359 jewelry stores, 1,035 supermarket fuel centers and 40 U.S. food processing plants

Join the Discussion
Post a Comment

He views his role overseeing 15,000 associates as a collaborative effort, an approach reflected at his headquarters office in Salt Lake City.

Tuffin, 52, has an open-door policy, but he is in the office only two days a week. He spends the other four days on the road, talking firsthand with employees and shoppers throughout the Intermountain West.

"I take an informal approach," he said. "I like going to stores, talking to people and looking to see what customers have in their baskets. Feedback is how we get to that next level of innovation."

He has not changed the configuration of his office since he was named division president last year. The most dominate feature is not his desk, the cream colored couches or artwork selected by associates. It’s a long, well worn conference table situated directly inside the entrance door.

Focus on customers » Tuffin’s vision is unwavering. Smith’s goal is to cater to each shopper, with targeted coupons mailed to households and promotions geared to keep customers coming back. Smith’s had launched Fresh Values cards before being purchased by Kroger Co. in 1998 but the parent company has taken the concept to a higher level by researching purchasing information and matching it to individual shoppers.

Cincinnati-based dunnhumbyUSA, which analyzes data, crunches the numbers for Kroger, which owns a 50 percent stake in the firm. Other clients include Coca-Cola,General Mills, Procter & Gamble, Kellogg’s, Kraft Foods and Macy’s.

"We have the ability to talk to each customer on a one-to-one basis," said Tuffin. "We want to extend offers that are relevant to you. We want to understand you better than anyone else."


story continues below
story continues below

Customers are not only matched with the right coupons, they also are personally notified when any of the products they have purchased are recalled. In addition, loyalty cards are linked to the chain’s rewards fuel program in which customers can save up to $1 per gallon when they gas up at any Smith’s fuel centers. Last year, the offer was extended to participating Shell stations, where customers insert loyalty cards and then follow prompts at the pump for the savings.

Smith’s operates 71 fuel centers in seven Western states, including 37 in Utah. Shell operates 27 stations in Utah, and has a network of 6,100 stations in the West.

Loyal customers accounted for an industry-leading 33 consecutive quarters of positive same-store sales, Kroger Chief Executive Dave Dillon said at a March company conference. The strong performance rewarded shareholders last year, he said, with adjusted earnings of $2 per diluted share, a 15 percent increase in earnings over 2010. The company also increased its quarterly dividend payment by almost 10 percent.

Cutting edge grocery marketing, pushed by Kroger and other chains, is what drew Tuffin to the United States.

Before joining Smith’s, Tuffin had worked for Tesco, based in the United Kingdom, the world’s third-largest retailer, behind Walmart and Carrefour, based in France. Tesco, in partnership with the United Kingdom-based dunhumby, helped pioneer the use of grocery customer loyalty cards in the U.K.

In the United States, Smith’s, California-based Ralphs and King Soopers, founded in Colorado, were among the first grocery chains to introduce loyalty cards in the mid-to-late ’90s, shortly before merging with Kroger. Today, 85 percent of households have Kroger customer loyalty cards in the 31 states where the company or its division stores operate, which equates to half of all U.S. households.

Starting out » Tuffin started his career in the grocery business while studying economics in Maidstone, England. He held various positions with other retailers before joining Smith’s in 1996. Three years later he was named vice president of merchandising. In 2009, he was promoted to vice president of transition at Kroger.

He describes the assignment at Kroger’s Cincinnati headquarters as a balancing act. Divisions in dozens of regions are to reflect state and regional characteristics, while implementing efficient corporate practices, focusing on areas "customers don’t see" that save money. Another unseen area is employee development, which he sees as a critical element of Smith’s success.

Smith’s pays for employees’ educations, including college courses, Spanish-speaking classes and relevant continuing education.

"We don’t want our associates to think of this as a summer or temporary job," Tuffin said. "We want them to consider working here as a career."

Next Page >


Copyright 2014 The Salt Lake Tribune. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Top Reader Comments Read All Comments Post a Comment
Click here to read all comments   Click here to post a comment


About Reader Comments


Reader comments on sltrib.com are the opinions of the writer, not The Salt Lake Tribune. We will delete comments containing obscenities, personal attacks and inappropriate or offensive remarks. Flagrant or repeat violators will be banned. If you see an objectionable comment, please alert us by clicking the arrow on the upper right side of the comment and selecting "Flag comment as inappropriate". If you've recently registered with Disqus or aren't seeing your comments immediately, you may need to verify your email address. To do so, visit disqus.com/account.
See more about comments here.
Staying Connected
Videos
Jobs
Contests and Promotions
  • Search Obituaries
  • Place an Obituary

  • Search Cars
  • Search Homes
  • Search Jobs
  • Search Marketplace
  • Search Legal Notices

  • Other Services
  • Advertise With Us
  • Subscribe to the Newspaper
  • Login to the Electronic Edition
  • Frequently Asked Questions
  • Contact a newsroom staff member
  • Access the Trib Archives
  • Privacy Policy
  • Missing your paper? Need to place your paper on vacation hold? For this and any other subscription related needs, click here or call 801.204.6100.