Sprouts Farmers Market 2013 Annual Report Download - page 10

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Table of Contents
The below diagram shows our current store footprint, by state, as of December 29, 2013.
Increase comparable store sales.
For 27 consecutive quarters, including throughout the recent economic downturn from 2008
to 2010, stores under our management have achieved positive comparable store sales growth. As the natural and organic food
sector continues to grow and take market share from conventional supermarkets and other specialty concepts, we believe we can
continue to grow comparable store sales by increasing the number of customer transactions and our average ticket at our existing
stores. We believe we can grow the number of customer transactions at our stores by continuing to focus on our core value
proposition and distinctive customer-oriented shopping experience as well as by further enhancing and expanding our marketing
efforts. We aim to grow our average ticket by continuing to expand and refine our fresh, natural and organic product offering, our
targeted and personalized marketing efforts and our in-store education designed to make customers more aware of our full product
offering. We believe these factors, combined with the continued strong growth in natural and organic food consumption, will allow
Sprouts to gain new customers, increase customer loyalty and, over time, convert single-department trial customers into core,
lifestyle customers who shop Sprouts with greater frequency and across an increasing number of departments.
Continue to enhance our operating margins. We believe we can continue to enhance our operating margins though
efficiencies of scale, improved systems, continued cost discipline and enhancements to our merchandise offerings. We have made
significant investments in management, information technology systems, training, marketing, compliance and other infrastructure to
enable us to pursue our growth plans, which we believe will also enhance our margins over time. Furthermore, as we open new
stores, we expect to achieve economies of scale in sourcing and distribution and we intend to maintain appropriate store labor
levels and effectively manage product selection and pricing to achieve additional margin expansion.
Grow the Sprouts Farmers Market brand. We plan to continue to increase awareness of Sprouts as the value-oriented
neighborhood grocery store destination for high-quality, natural and organic products in each community in which we operate. We
are committed to supporting our stores, product offerings and brand through a variety of marketing programs, private label
offerings, corporate partnerships and community outreach and charity programs. These efforts and activities include company-wide
initiatives and other specific store events to more broadly connect with our communities with the aim of promoting our brand and
educating consumers on healthy choices. We will also
5