November 27, 2023 at 5:29 am

‘Having more choices is often paralyzing.’ Woman Shows How Trader Joe’s Make So Much Money With So Few Product Options

by Matthew Gilligan

Source: TikTok/@urbannic

Ahhhh, Trader Joe’s.

I’m personally a huge fan of the grocery chain…except for the parking lots.

If you know, you know.

But this story is NOT about Trader Joe’s parking lots.

It comes to us from a woman named Nicole who told viewers how the grocery store chain tricks its customers into buying more items at its store.

Nicole said, “Trader Joe’s rejects a lot of core business practices of average grocery stores” and that even though they go against the grain, the company’s revenue was $13.3 billion in 2022.

Source: TikTok/@urbannic

Nicole pointed out that Trader Joe’s does a lot of things differently than other grocery store chains but that it is so successful because its business model is “based around heavily investing in customer experience.”

Nicole also said the layout of the store makes customers feel like they’re shopping in a local market as opposed to a huge megastore and she added that Trader Joe’s eliminates the “Paradox of Choice,” referring to a box by a psychologist named Barry Schwartz.

Nicole said, “To summarize: having too many options is not always a good thing. To customers, having more choices is often paralyzing rather than liberating.”

Source: TikTok/@urbannic

Nicole continued, “When confronted with too many product options, [customers] may get overwhelmed and experience choice overload.”

She also said that Trader Joe’s doesn’t have freezer doors and other barriers in its stores and this makes browsing through different items easier for customers.

Source: TikTok/@urbannic

Let’s take a look at her video.


Replying to @eleni the psychology behind trader joes

♬ original sound – nicole urban

And here’s how people reacted.

This viewer said what we’re all thinking about Trader Joe’s locations!

Source: TikTok/@urbannic

Another individual is a big fan of TJ’s!

Source: TikTok/@urbannic

And this TikTokker loves the ’70s vibes going on at Trader Joe’s.

Source: TikTok/@urbannic

Trader Joe’s does it again!

Now…about those store parking lots…