Trader Joe’s steals a page from Starbucks’ playbook

Walk down the street in almost any city, and you’ll see the ubiquitous green mermaid logo staring back at you.

In some cities, you'll find her on sidewalks, strip malls, office plazas, and even highway exit ramps, as predictably as street signs.

There are now multiple Starbucks locations within a mile of each other in many U.S. cities. In places like New York, California, and the Pacific Northwest, it seems like there’s one on every corner, probably because there are.

This saturation strategy once fueled explosive growth: by 2017, around 62% of U.S. stores had at least one Starbucks (SBUX) rival right next door, often competing not with Dunkin’ or local cafés, but with themselves.

Some critics have argued for years that this internal competition cannibalized sales, but the omnipresence has been a convenience to countless caffeine seekers. Need a morning latte or an afternoon pick-me-up? Just walk 100 yards.

Starbucks’ growth strategy has always been about presence and dominance. It ensures it’s the most convenient choice, beating local cafés and other chains through sheer availability. It’s kind of a game of real estate chess. Each new store captures more foot traffic and prevents competitors from setting up shop.

Now, Trader Joe’s looks to be experimenting with the same model.

A new Trader Joe's opened across the street from one that's been there for 50 years; the company plans to leave the original store open.

Image source: Chun/Los Angeles Times via Getty Images.

New Trader Joe’s store is across the street from an old one

In a surprising twist on the saturation playbook, Trader Joe’s recently opened a second store in Sherman Oaks, right across the street from the neighborhood’s first location, which opened in 1973.

Dubbed “Sherman Oaks too,” the new branch brings modern upgrades that will make any Trader Joe’s shopper jump for joy: convenient and ample underground parking.

The store also has high ceilings and wider aisles than most other locations, giving it a more modern look.

Rather than retire the older store, Trader Joe’s elected to keep both open, emphasizing customer convenience and store differentiation. The veteran location offers a cozy, nostalgic shopping experience that appeals to long-time fans, while the new site caters to those needing more space and wanting easier parking.

The goal is to bring delicious products at great value to more people, a Trader Joe’s spokesperson told the Los Angeles times.

The new Trader Joe’s location is about 40% bigger than its neighbor, also according the report.

Some customers said that the better parking situation means they will never return to the other location with its “cramped” parking.

Others wished Trader Joe’s would stake a claim in another neighborhood; Trader Joe’s does have plans to open five new stores in California before the end of this year.

Another 16 stores will open in other states before the end of 2025.

Trader Joe's is the most popular grocer in the U.S.

Trader Joe’s may be known for the best snacks and the worst parking, but it also has an enviable reputation among consumers.

With a reputational quotient (RQ) score of 82.1, the beloved grocery chain recently claimed the top spot in the 2025 Axios Harris Corporate Reputation Poll of 100 companies.

Outdoor brand Patagonia came in a close second with an 82.0, followed by big names like Microsoft, Toyota, Costco, and Samsung.

The poll gathered insights from over 16,000 Americans, who rated companies across key categories like trust, ethics, culture, and overall customer experience.

Putting consumers first paid off: Trader Joe’s saw the sixth-largest reputation boost (+3.5) this year, moving it to the number-one spot. Consumers clearly appreciate a brand that’s got their back when prices are rising.

Here is the list of all the top 10 brands named in the Axios poll:

Trader Joe’s
Patagonia
Microsoft
Toyota Motor Corp.
Costco
Samsung
Arizona Beverage Company
Nvidia
UPS
Apple

Odds are good that whether you choose an old-school location like the original Sherman Oaks Trader Joe's or head to one of the grocer's newer locations, you'll be greeted by the same cheery crew members the store is known for.

Here's hoping that won't change as the grocer expands.