Bernard and Eugene Gelson, the founders of Gelson’s Markets, grew up helping their parents operate a grocery store in Iowa. As the Depression wound down in the late 1930s, the family moved to Los Angeles and opened a new grocery. The entrepreneurial brothers were eager to launch their own business and soon began running their own small grocery store. But at a time when ever-larger, self-service supermarkets were popping up from coast to coast, the Gelson brothers dreamed of cutting the ribbon on a stylishly modern supermarket differentiated by superior quality and service. 

They hired a well-known architect to design the first Gelson’s supermarket, a 25,000-square-foot retail store with many innovations. Opened in 1951, that first store featured wide aisles for easy browsing, air conditioning throughout, and a meat-cutting department in full view of customers, visually reinforcing the emphasis on freshness and quality. In less than a decade, the company was successful enough to open a second supermarket. Today, through store openings, acquisitions, and mergers, Gelson’s Markets owns 28 stores in Southern California. Each store reflects the tastes and preferences of the neighborhood and offers full-service supermarket amenities.

Questions for Discussion

1. How is the mission statement of Gelson’s Markets reflected in its decisions about products and in-store features

2. Why would Gelson’s Markets create in-store departments for customers to create their own pizzas, cook their own omelets, and obtain fresh-squeezed juices

3. What are the marketing challenges and opportunities of a retailer like Gelson’s Markets partnering with a company like Instacart to offer home delivery of food products within about two hours

4. How is Gelson’s Markets keeping its supply chain efficient and effective as it seeks to serve customers and counter competition