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Who Makes Trader Joe's Food?
Hint: It's not Trader Joe's!
A taste test to try to figure out who is behind Trader Joe's food.
Eighty percent of Trader Joe's products are sold under the company's private label, but TJ's doesn't make them.
When you see that Trader Joe's packaging, the item is actually produced by a third-party supplier whose identity is kept secret from the consumer, and who also makes other, name-brand products. Sometimes the manufacturer tweaks the product a little for Trader Joe's audience, but usually the food is kept remarkably similar to the original product, even down to copy and photography on the box. In some cases, TJ's sells both its own version and the rumored producer's. But the grocery-store giant's versions are always astronomically cheaper. Although it's impossible to confirm who's producing the goods, you can make a pretty good guess. Doing so has become sport on the Internet (see comments at the bottom of the page). CHOW tasted some of Trader Joe's private-label products against the real-world versions rumored to be the source. Here's our take on who's behind the TJ's label.
TJ's Pita Chips Parmesan, Garlic & Herbvs. Stacy's Parmesan Garlic & Herb Pita Chips
vs.
In Collusion?
Yes.
Appearance / taste
Similar taste, though Stacy's chips tended to be more toasted and TJ's had a more even coating of seasonings.
Ingredients
Nearly identical ingredient list, including sunflower oil, sugar, yeast, and malted barley flour.
Cost
TJ's: $1.99Stacy's: $2.99 at Whole Foods
TJ's Goddess Dressingvs. Annie's Naturals Goddess Dressing
vs.
In Collusion?
Definitely.
Appearance / taste
The exact same flavor and consistency.
Ingredients
Exactly the same, and in the same proportions, from the expeller-pressed canola oil down to the xanthan gum.
Cost
TJ's: $1.99Annie's: $3.99 at Whole Foods
TJ's Vienna Style Lagervs. Gordon Biersch Märzen
vs.
In Collusion?
Yes,for the identical logo alone.
Appearance / taste
Same wheat-frond logo, and the beers had the same amber color, although TJ's had a foamier head. The beers tasted similar, but TJ's was a little maltier and sweeter.
Ingredients
Neither lists the ingredients.
Cost
TJ's: $5.99Gordon Biersch: $9.99 at the local liquor store
TJ's Indian Fare Punjab Eggplantvs. Tasty Bite Punjab Eggplant
vs.
In Collusion?
Definitely.
Appearance / taste
Same product shot on the box; same exact description: "Braised eggplant cooked in a distinctively flavored sauce"; same silver space-age pouch; similar goopiness. But TJ's brand was sweeter and less sharply spicy.
Ingredients
Same proportions of eggplant, tomatoes, onions, and spices. But TJ's adds pumpkin and a smidge more cumin than ginger.
Cost
TJ's: $1.99Tasty Bite: $2.49 at Whole Foods
TJ's Very Berry Clustersvs. Peace Cereal Wild Berry Crisp
vs.
In Collusion?
Maybe,or TJ's is a really good knockoff.
Appearance / taste
TJ's had unsweetened corn and multigrain flakes, generous oat clusters, and better-tasting berries; Peace Cereal's berries were too tart, but its corn flakes were too sweet.
Ingredients
Varying proportions of milled corn and oats, dried berries, and sweetener. Peace Cereal also lists cardamom seed, fennel seed, fenugreek seed, and nutmeg.
Cost
TJ's: $2.69Peace Cereal: $3.99 at Whole Foods
TJ's Peppermint Toothpastevs. Tom's of Maine Peppermint Toothpaste
vs.
In Collusion?
Not definitive.
Appearance / taste
Tom's had a mintier, more pleasant flavor; TJ's was too salty.
Ingredients
Tom's contains xylitol (for plaque prevention) and zinc citrate (tartar control); TJ's has more baking soda (sodium bicarbonate).
Cost
TJ's: $1.99Tom's: $3.99 at Trader Joe's
Retail Grocers have done this for years. They make a deal for specified quantities of a range of products, then they get to specify the packaging and other details. One company that springs to mind is Topco, Inc. Their base line brand is "Food Club" You'll probably find it in a number of smaller chain supermarkets all over the U. S. Most of the items are commodities, like brown sugar, Macaroni and Cheese dinners, Flour, etc.
The store operator just wants to get his shelves filled and be up and running as soon as possible. After the basic products are set, he can entertain the offers from the direct brand name brokers, to complete the offering to the public.
EVeryone who wants to can have their own line of products. Think of Newman's Own. He didn't build a factory; he shopped the food processors for the right deal. I can think of his label coffees and salad dressings. His aim is not to move product but to raise money for his charities, I believe.
Judging from your examples, Trader Joe's deserves kudos for working the system to provide these products to a broader market. Sure, its for their profits too. AFter all they have a business to run. If they can attract new customers who like Toms of Maine toothpaste but would rather save the $2, they get to make the sale.
I recently began shopping at a new Trader Joe's here in Charlotte, NC. I can't say I'm buying 100% of my groceries there; but, I do like their dairy/beverage prices, the quality/variety of their meat prodcuts, and that I can always find something out of the ordinary in their stores. Where else can you get a rack of lamb, trimmed and ready to cook?
I love this. More please!
Is Chow[hound] SURPRISED that Trader Joe's doesn't make their own private label goods? What supermarket chain/retail does? Trader Joe's isn't a HABA (Health And Beauty Aids) manufacturer, brewery, winery, formagerie, cereal producer, chocolatier or anything else OTHER than a retail grocer.
Ray is absolutely right! Trader Joe's deserves kudos for the quality of their private label goods -- and has for 40+ years . . . .
every store contracts out for their private label
we all know that
I always feel like Trader Joe's stuff is the seconds of the food industry- i.e. they only have pretzel "bits", not whole pretzels, or their processed food is missing some key ingredient that makes it not taste "finished". I shopped there for years for my daily sandwich lunch makings and started noticing this strange unfinished aspect to a lot of their food. Maybe that's how they get it so cheap!
Having been a VP of purchasing for one of the regions of Whole Foods, there is, as stated above, nothing surprising that TJ's doesn't make their own food. They have done a great branding job so that many people think of them as a little mom & pop, champion of the underdog operation rather than the large scale food company they are.
How does TJ's get their low prices? There are several aspects:
TJ stores are pretty plain and smaller in size. They work on a lower mark up than, say, Whole Foods or Safeway.
They carry far fewer SKU's (a SKU is a particular item in a particular size package, flavor etc). Therefore, they get more turns on the product they do carry. Choice of flavors etc is expensive and TJ's get fewer choices of variety of a product in return for lower prices.
These two factors allow them to buy large quantities of perishable items like cheese and turn them before the expiration date. In return for buying truckload quantities only, they get a better price. They might also agree to take perishable product closer to the expiration date knowing that their efficient distribution and lower pricing structure system assure that they can sell it within the shelf life parameters easily. This benefits the manufacturer greatly so they give TJ's a good price on the item, which is passed along to the consumer who gets the same exact product cheaper.
They use plainer packaging.
They sometime use a lower spec on their product - they may have less of the flavoring or a cheaper flavoring in something, or a different filler etc. Sometimes they sell the identical brand just under their label.
They accept a larger out of stock rate than some other business which happens when you only buy in bulk. They have in and out products- that is products that are bought on a one time only basis based on market opportunities (This is a smaller part of their business than once was.).
But note, that many brands job out their manufacturing. Cereals made under several brands may all come from the same manufacturer. Soaps and cleaning supplies are often manufactured to brand spec by a few large companies.
Yes I truely believe this as I am a shop at TRADER JOE's first then go to other stores, then FOOD FOR LESS, then Ralphs then Whole Foods for the meats and seafood. I am lucky that most (not Whole Foods) are in small radius of me so I know I save a lot of money. THANK YOU TRADER JOE's, love ya! and don't change.
This is common practice amongst all mass retailers. Nobody could afford to have a 1,000 different factories producing everything from soap to sushi. I am very surprised that this became a genuine topic of discussion.
the point of the story is not the fact that they're doing it, it's the speculation on who's doing what.
@Davina: Agreed and it's really interesting to learn about the taste test results. It may even be common knowlege that TJ's doesn't manufacture all or most of their products. I doubt everyone knows, though.
Great article. I would have refrained here, however, from using the term "collusion," as it is a term that implies unlawful fraudulent intent or dishonesty. In my estimation, TJ's is not operating unlawfully or dishonestly by selling name-brand products under their label.
To be more clear, it is apparently lawful for TJ's to sell items that came from the same production line as name-brand items.
I agree with deangold. TJ's ability to offer the same (or similar) for less has less to do with the rebranding (although this is necessary from the producers' perspectives, since they don't want to cannibalize their own brand). It's more about their relationship with their customers. TJ's customers understand that there's a good chance their favorite items will be out of stock, and one day may simply disappear forever. As a regular customer, I find it frustrating but accept it as part of the deal when I shop there.
Yes -- I'm still mourning the loss of that balsamic vinegar reduction, and things like microgreens and maitake mushrooms seem to attract a teeny following (i.e. just me).
Does anyone else think the pita chips taste completely different from Stacy's? They're saltier, with a somewhat heartier texture.
That balsamic vinegar reduction was one of the best things I ever purchased at TJs! Wonder why it is no longer available..??
this same practice (private label or in house brands) is common beyond the grocery circuit .. it's common in the garment industry and housewares too.
I use the toothpaste, and compared side to side, I don't think they are the same product. There's a texture difference, a taste difference. I think I actually like the TJ version better. But they don't make Gingermint for TJ brand, only Tom's of Maine. And that's a super toothpaste!
Wow... you'd have thought you'd uncovered another Watergate, what with all the breathless hyperbole!
You say it like it's a bad thing.
Wait, TJs offers the EXACT same products you can over pay for at Whole Paycheck Foods, for less!?
Whoo Hoo! That's FABULOUS not SCANDALOUS.
I agree with Jennalynn. Keep it coming! All this does for me is validate all of the reasons that I shop (and love) Trader Joes and why I rarely shop at Whole Foods.
the only thing is you still have to go to whole foods for the fresh stuff.... produce/dairy/meat etc..
tj in those areas leaves us IMHO a little dry
and selection in comparsion is second rate
Unfortunately In the last few years Trader Joes has been sourcing much more of their stock from outside North America. Pickles from India, what?? Can you say negative-balance-of-trade?
For more links to TJ's related sites, see http://www.trackingtraderjoes.com/
I love TJ's products. Their frozen pizza is great! I'd say it's best frozen pizza around.
I agree about the toothpaste. I use TJ's toothpaste and Tom's, they definitely have different textures. TJ's has a lot of really good health and beauty products. Their shaving cream is fantastic!!!! No parabens and non-aerosol!
I think its the American way...why are you shocked people?
TJ's is wonderful! I love it for great dairy prices (and the only place I can find cream that's NOT ultra-pastuerized). Some of their other products are a little, um, unusual, but I find them fun to try (like the Mochi ice cream balls - how cool are they?)
$2 Chuck has always amazed me; NO it's not great wine, but it's flaws certainly don't make it undrinkable. I've had far worse wines that cost many times more. I worked in the CA wine industry for a number of years and still find it hard to understand how they can buy grapes, bottle, cork, capsule, label, carton, shipping and overhead and still have a profit for both CS and TJ at $2.99.
Many years ago I taught a wine course (pre-Charles Shaw, I think) where a $1.99 private label TJ Zinfandel won a tasting hands down. Of course, you can find some horrid little wines there too. Hard to beat the D'aquino dry vermouth as an everyday cooking white wine.
That being said, just slowly back away from the Kroger packaged cheese at Ralphs.
There are certain products that I always buy at TJs: goat cheese, mascarpone, soy milk, tortillas, crackers, etc. And there are certain things I always buy at Whole Foods: olives, Italian and French cheeses, most fruits and vegetables, etc. As a grad student on a budget, I love TJs low prices.
But I do think that Whole Foods is a better company to support, so when I can find similar products for similar prices at the two stores, I buy them at Whole Foods. This usually includes yogurt, milk, oils, bulk foods, sparkling water, etc. Yes, Whole Foods can be very expensive, but I don't think that's a reason to dislike it or hold a grudge against it (as one of my good friends does). Whole Foods treats its workers well, sources sustainably-produced products, and makes a concerted effort to recycle food and packaging from its stores. It may not be perfect, but at least it tries. As far as I know, Trader Joe's also provides pretty good benefits for its workers, but makes no effort to support sustainable production methods and recycles very little, creating huge amounts of trash.
(This may not be the case in every store, but here in Cambridge, MA I know people who have worked at both places.)
Anybody that's been paying attention to their groceries already knows that there isn't a TJ factory somewhere in California churning out all this stuff, and TJs doesn't hide the fact that they source from different popular brands for their store brands. They write about it their flyers for pete's sake. The accusatory tone of "collusion" is ridiculous.
Bernice Yeung and Chow need to go back to Jschool. You suck.
Here in Minnesota I know that they are contracting with Sno Pac for packaging frozen foods- not all, but I think the Soycatsh is the same.
:) pitu, you made me laugh!
The only thing that bothers me about TJ is that on many of their products they do not list where the product is made...as in country of origin....if it's made in China I don't want to buy it....period!
Some of the TJ frozen desserts have turned up at Dominicks, a big chain in Chicago: Apple Blossoms (very good Canadian apple pastries) and individual Chocolate Lava Cakes (wonderful). Both are so distinctive, and the products so similar, that I can't imagine they're not made by the same manufacturer.
Pollo, you can rest easy on the China issue. TJ's actually released a statement earlier in the year that they would no longer carry any items or ingredients that are made in or sourced from China due to all the recent health & safety concerns. I actually posted a thread about it, and I think I may have provided an article link...you can just do a search to read it.
While I'm here, I might as well add a couple of products to the ones listed in the feature: the fruit & nut snack blends are clearly repackaged or re-branded Sahale Snacks...and I'm 99.9% sure the Gluten-Free Granola is from Bakery on Main.
The peeled garlic (at least what's sold at the Forest Hills/Glendale TJ's) clearly says China as the country of origin. It also claims to have been thoroughly inspected...............
mmmmm....goodhealthgournet, you sure?
Did TJs issue a 2nd more restrictive policy on China?
They recently said they'd not carry products (like the garlic) but that did not include the sourcing for ingredients used in their prepared foods.
http://www.chowhound.com/topics/488680
earlier thread about TJs and Chinese imports
@lavagirl: sorry, but I've got to disagree on Whole Foods. I've had conversations with the staff at the WF in my town, because I'm concerned about the overstocking of their prepared food cases, and how long the stuff sits around. In the bakery department, the cakes and pastries can remain in the case for up to five days, although the bread gets tossed within a day or so. (The bread can't be donated to our local food bank, btw, because the food bank wants it to be sliced and WF won't take the time to do that.) Meanwhile, there is no effort made to date the items in the deli cases: they might be a week old, they might be fresh that day, but the staff can't tell you.
One of the reasons I prefer TJ's is the labeling. In most cases, you know when it will expire, and you have the option of pulling fresher salads and prepared dishes from the back of the racks if you want a salad that won't expire by the next day. Same with the dairy products. TJ's is so much cheaper in these parts than WF that I can't justify shopping there any more, especially when the selection is so similar. I like to patronize my local green grocer and fishmonger and butcher, anyway, so I'm at TJs mostly for cereal and gourmet frozen items.
Yes, the "guesswork" comparisons are kind of interesting, sort of, but this is news?
My spouse is another who thinks that TJ's sells food seconds--maybe a batch of something that's too spicy, or too salty.
The agony of discontinuation is the thing that drives me crazy about TJ's. I've commented to some of the employees when frantically trying to track down some freshly discontinued item that it's like doing business with a drug dealer, where they get you hooked, and then leave you hanging. Most frustrating is that when something is gone, it is impossible to get any information from TJ's on where to find another retail source. There were some toasted, lightly battered chickpeas that were a standing part of my diet for a year or two. Then they disappeared from the shelves. TJ's wouldn't tell me the manufacturer. I've never seen anything similar at any other store, never been able to find a recipe. Ditto for some moist, dense, sweet muffins made only from sprouted wheat and water that (how DID a bakery do that?) that TJ 's carried maybe 20 years ago. Why the secrecy, if I can't find the item anywhere else?
Anyone who thinks Trader Joes has a big factory or plant manufacturing all the products they sell is pretty naive. I shop at TJs for the items I can't find in the supermarkets. Their prepared frozen food is very good and their nut & coffee depts are extensive. I also don't believe that TJs is selling "seconds". (It's sort of like Whirlpool manufacturing washers and dryers for Sears Kenmore). However I don't equate TJs with WF. Besides WF is hideously overpriced.
I think some of the name brand things they carry are seconds. I've noticed the Morningstar Farms "Bacon" that I get for such a great price varies significantly in the thickness of the pieces. It's like they made packages of all the too thin and too thick pieces and sold them to TJs. Oh well, I'm happy to save a couple bucks for some inconsistently sized fake meat...
If only there was a TJ's in Maine
Your headline and story seem to sensationalize this as something wrong with how Trader Joes works...not sure I understand the point...
It is not econimocal to make your own products...for example...there is a cpmpany named Nations Pizza in Chicago,,,they make a wide variety of name brand products and follow the specs selected for that company...most vendprs don;t sell enough of anything to support a factory 7 days a week all year..they only need partial runs ...it's called economics.
This is exactly what the discounters ALDI do in Germany. Same product, from the same company... but a different label. Makes sense, considering TJ's is owned by the german Aldi brothers.
They have a brilliant business model, great innovative labeling, great food, supplies and BEER, the consumer saves heaps of money, it's FUN to shop at any TJ's AND the real biggie that I didn't see anyone comment on is that they package foods for the single person. Who else does that?? At the end of the day it's still big biz but certainly not like little ol' sallie mae sitting in her rocking chair collecting my student loan.. hehawww
I honestly wonder how many of those criticizing bothered to read (or were capable of understanding) the article. This clearly isn't intended to be an earth-shaking expose about the fact that rebranding exists. Mention is even made of the popularity of internet discussion on this topic (which, one would hope, would imply knowledge of the practice's existence). Rather, it is interesting speculation about some of TJ's rebrandings, with an intro for those who are unfamiliar with the practice.
I liked the read and look forward to more comparisons. Here's to weaning folks off of brands that charge you more for their marketing than for their ingredients!
You mean my Food Emporium toilet paper is NOT made by Food Emporium? My Pathmark canned tomatoes are NOT grown and canned by Pathmark?
I'm absolutely shocked, SHOCKED I tell you! Someone talk me off the ledge!
Some things one just has to buy at Whole Foods,.. others at TJ's.
I've got it down to a monetary science for basics. The 365 brands compare to grocery chain pricing, so the "whole paycheck" idea held by many is really ignorance.
I agree with the frustration in TJ's constantly changing items you make part of your weekly repetoire, The tub of organic feta from Denmark, a discontinued item, is hard to beat anywhere...Whole foods has nothing to compare in feta inspite of all their cheeses par excellence. Very few places do not do some private labeling.
I worked in the gourmet wholesale world for many years. So much high quality food, shelf stable esp. comes from Europe. I can sometimes spot items in TJ's and WF (a few) by the size and type of the jar, knowing who the manufacturer is.
Isn't this nothing new? I thought the story on the side or back of their bags explains how they get overstocks and stuff from others. I don't think anyone should be surprised....
It is a complete mystery to me as to how anyone could be amazed that TJ's outsources their house brand foods.
In their sale brochure Trader Joes' states on the description of many foods that they went to the supplier of some popular food and got them to make a TJ's version.
They also state that they take excess product inventory and make it their own. This is the way that Trader Joes got started.
They bought end lots, short run product and unclaimed product. WIneries would have small lot bottlings, too small to satisfy conventional retailers and TJ's would come along and sell it in their 12 markets until it was gone.
As they grew this approach did not work any longer. They had to shift to more house branded product to have product to sell.
This also causes you to rely on them for those house products.
Trader Joe made no bones that their pizza was made by Wolfgang Puck or before that it was made by California Pizza Kitchen.
Just enjoy the items they offer and realize that you are saving money by doing so.
Good Eating
@Pillsburydoughboi - there are Aldi stores in the US as well, depends on where you live, but I had no idea that TJs was an Albrecht store!
TJ's pickles are made by Strub's of Brantford, Ontario, Canada.
Why is it that the makers of Mochi, which TJ's sells under its original name and in its original packaging, won't supply TJ's with its mocha flavor, whereas other flavors are supplied?
For some reason, many grocery companies choose to keep their corporate ownershiop quiet. I worked for two different retail chains. Great American Foodstores had an official story they told about being the result of many mom-and-pop stores joing together to increase their profits. They gave the impression that they were unique to the Central New York Area. Its strange then that a co-worker who went to Long Island for a wedding discovered the name "Great American" was well known there as well.
Similarly when I worked for Price Chopper, based in Albany, NY, the breakroom had a poster stating the store was a regional chain only and had no association with any other area of the nation. The rumors about there being identical "Price Chopper" stores in the Chicago area were apparently strong enough that the company felt they had to try and dispell them.
katrinka wote:
@Pillsburydoughboi - there are Aldi stores in the US as well, depends on where you live, but I had no idea that TJs was an Albrecht store!
I have always found it great fun to try to figure out whether TJ's was using the exact same manufacturer as the product they were trying to knock off, or whether they were using a different manufacturer. I pick up packages, compare them, it's a lot of fun.
As has been mentioned in the above thread, many people don't realize that many many food companies don't even have their own production facility; they hire another factory to make their product for them. The very same food processing/manufacturing facility can package the same exact product many different ways (TJ's brand, Ralphs brand, a name brand, etc.) or make slight modifications for each customer. I think it's cool, I love knockoff products and how they taste different. Have you guys ever had the knockoff Snickers bars they sell at the 99c store? Weird.
Sometimes, I get stymied. Right now, I have jars of Curry Simmer Sauce on my counter. One is TJ brand, the other is Taj brand. The same manufacturer or different? Hmmmm...
Peter G
What is the standard mark-up in a typical store? What is the mark-up at TJ?
I visited a large raw milk dairy farm outside Fresno, CA last year (Organic Pastures) and suggested to them that they pitch their product to TJ's. They told me that they had already had negotiations with TJ's, but that TJ's wanted to rebrand the milk and they refused to allow them to do that. In her words... "We do all the hard work, and then we don't get the recognition for it."
Too bad.... their milk costs $10 per half gallon at Whole Foods, $7 per half gallon at their farmers market vendor stand, and $5 per half gallon when purchased direct from the farm. I'd have liked to have seen what kind of a discount TJ's could have negotiated on the product.
Mr Taster
Does anyone know if the now TJ labeled "Judy's breadsticks / lovesticks" are still from Judy's or if TJ copied the recipe? (this is a SF bay area question)
Does anyone know who is the grower and/or processor/manufacturer of the TJs canned butternut squash puree. It's definitely tastier than other bns purees and I am worried that, if/once it goes away, I'm out of luck.
Here's who roasts their coffee:
http://www.coffeehabitat.com/2009/02/...
Great article. Thanks
Does anyone know who makes their trail mix?
If I may, the Trader Joes and the Whole Foods of the world with their in-house private labels are putting many small to large brands completely out of business. Buy local foods from local manufacturers in locally run grocery stores. Pay a bit more, but sustain the viability of your city and small business. Require more of yourselves!!!
Keep this coming! Very informative and much needed...appreciate that you do the work, while I buy what I think I need.
Did you know that many companies "private label" and don't even tell you? All kinds of products, from clothing to electronics do this. That's just how distribution works. Duh.