Trader Joe’s will test durability of Boulder natural-foods grocers

Time will tell whether what some have described as the most-competitive natural-grocery market in the nation – Boulder – can handle one more competitor. Monrovia, California-based Trader Joe’s has filed paperwork with the Colorado Secretary of State to begin doing business in the state, and many believe that one of its first stores will be in Boulder.

Trader Joe’s will join a natural-foods market that already includes multiple Whole Foods stores, as well as Natural Grocer by Vitamin Cottage, Lucky’s Market, Sprouts and Sunflower. Additionally, last year saw the revival of longtime Boulder brand Alfalfa’s at Broadway and Arapahoe Avenue.

Those stores compete not only with one another but also with traditional grocers such as King Soopers and Safeway, which continue to increase their inventory of natural and organic products to serve the health-conscious Boulder lifestyle.

Trader Joe’s has built a cult following as it has extended its reach throughout most of the states. For years, Colorado and its well-served natural and organic market were bypassed by the company as it focused on other ground.

But Trader Joe’s appears to be ready for the challenge. The question is, can Boulder handle yet another natural-foods entrant, or is attrition likely?

One possible location – identified by the Boulder Daily Camera as Twenty Ninth Street – is just a block or two away from Whole Foods and Natural Grocer by Vitamin Cottage at 28th and Pearl streets.

Despite Boulder’s appetite for all things natural and organic, one has to wonder whether a competitor as formidable as Trader Joe’s will be too much for some of the other retailers. We predict that some of these stores will begin to slash prices in the wake of the new competitive atmosphere. (And even natural grocers struggle with the low profit margins of the grocery industry.)

We also expect that existing stores will continue to seek ways to distinguish themselves from the competition, either through product offerings or other methods.

No matter what happens, Trader Joe’s entrance will be good for consumers and local organic farmers alike, with more product selection for the former and more demand for the latter.

So, we say, “Welcome, Trader Joe’s.” But we hope your arrival does not mean “farewell” for any of Boulder’s existing grocers.

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