Farmer Jack

Farmer Jack

Company type	Subsidiary
Industry	Retail (Supermarket)
Founded	1924
Founder	Tom Borman and Sam Burlak
Defunct	2007-07-07
Fate	Brand shuttered by A&P Corporation
Headquarters	Detroit, Michigan , United States
Area served	Detroit metropolitan area, Midwest United States (briefly)
Key people	Dennis Edison (former CEO)
Products	Groceries, produce, floral, delicatessen, bakery, pharmacy, meat, seafood, banking facilities (some locations)
Parent	A&P Corporation

Farmer Jack was a supermarket chain headquartered in Detroit, Michigan. At its height, it operated over 100 locations, mainly serving the Detroit metropolitan area. Notably, there was a location in Evart, MI during the late 1970s and early 1980s. In its later years, Farmer Jack functioned as the Midwest division of the New Jersey-based A&P Corporation. A&P ultimately shuttered the Farmer Jack brand on July 7, 2007.

Typically situated in suburban areas, Farmer Jack stores often anchored strip shopping centers. Beyond standard grocery offerings, each store featured full-service departments including produce, floral, delicatessen, bakery, pharmacy, meat, and seafood. Some outlets also housed banking facilities.

History

The origins of Farmer Jack date back to 1924 when Tom Borman and Sam Burlak, Jewish-Russian immigrants, launched a neighborhood grocery called Tom's Quality Meats at 12th and Forest in Detroit. In 1927, Tom's brother Abraham "Al" Borman opened another store on Kercheval Avenue on Detroit’s east side. The brothers eventually partnered but parted ways in 1945; Tom focused on developing Lucky Stores while Al expanded Food Fair markets. By 1955, both enterprises merged under the corporate name Borman Food Stores Inc., operating as Food Fair. Four years later, renamed Borman's Inc., the company issued over 400,000 shares of stock but maintained family control. The capital raised enabled an aggressive acquisition strategy: Borman's purchased State Super Markets in Ferndale and acquired nine Lipson-Gourwitz Co. stores in Detroit from American Stores Inc., aiming to grow to 46 locations.

In 1966, Borman announced plans for three suburban shopping centers featuring gas stations, car washes, garden supply outlets, Yankee discount stores, and grocery stores branded as Farmer Jack. By 1972, Detroit's grocery market became fiercely competitive with six chains including Chatham and Great Scott! Paul Borman publicly criticized A&P’s shift toward discount formats as nearly devastating the supermarket sector.

Borman expanded into pharmaceuticals by acquiring Arnold Drug’s 13-store chain in 1965 but discontinued this division in 1981 to reduce financial losses.

In 1987, Borman's capitalized on Safeway's difficulties by purchasing its 60-store division based in Salt Lake City, which spanned Utah, southern Idaho, and nearby Nevada, eastern Oregon, and Wyoming communities. These stores were rebranded as Farmer Jack with plans for modernization since Safeway had underinvested in the region. However, this expansion was brief; by late 1988 the division was sold off to various retailers including Albertsons of Boise, Idaho acquiring 29 stores. That same year saw a prolonged strike by Detroit-area clerks and cashiers unsupported by meat cutters or Teamsters, which drained Borman's finances and led to a $12.9 million buyout of 800 employees. This labor dispute initiated a period of losses culminating in the eventual sale to A&P.

In 1989, amid a wave of supermarket consolidations nationwide, A&P purchased 79 Farmer Jack locations from Borman's for $76 million. This acquisition positioned A&P as the leading grocer in southeastern Michigan with a market share of 36%. By 1994 all A&P outlets in the Detroit metro area had been converted to Farmer Jack stores.

During the mid-1990s, A&P briefly applied the Farmer Jack brand to select East Coast stores primarily in Virginia and South Carolina. Despite sharing the name, these stores were not managed by the Midwest division. These East Coast Farmer Jack locations were either sold or closed by 1999.

In September 2003, a newly constructed Farmer Jack store opened in Milford, Michigan, followed by another new store in Waterford, Michigan in 2005. Although there were plans for a Dearborn Heights location in 2004 under Farmer Jack branding, it initially opened as a Food Basics store instead. After A&P discontinued Food Basics locally, that store was subsequently converted into a Farmer Jack outlet.

Decline and Demise

Following initial integration challenges, Farmer Jack thrived and emerged as A&P's most lucrative division throughout the 1990s. However, starting in 2002, the chain began experiencing financial losses. Former leadership attributed this downturn to several factors:

• The expansion beyond the Detroit metropolitan area into markets such as Toledo, Flint, Saginaw, and Lansing failed to gain traction and became a significant financial burden.
• Insufficient investment in upgrading existing stores. While Kroger launched a $345 million, five-year plan in 2001 to renovate or replace its metro Detroit locations, Farmer Jack allocated only $50 million between 2002 and 2003. Analysts linked this gap to A&P’s fiscal difficulties and its efforts to conserve funds.
• A sluggish reaction to the aggressive pricing competition initiated by rivals including Meijer, Kroger, Costco, and Super K-Mart.
• The termination of awarding Northwest Airlines frequent flyer miles for purchases in late 2001, which alienated many affluent customers.
• A&P’s decision to eliminate most local executive roles in management, merchandising, accounting, advertising, and marketing, centralizing these functions at its Montvale headquarters. A former executive told the Detroit Free Press that local market expertise was lost due to these layoffs. Although A&P cited accounting irregularities as justification for reducing local management, former insiders believed cost-cutting was the primary motive.

According to Market Scope, Farmer Jack held a commanding 27.5% market share in metro Detroit by the end of 2001. This dominance rapidly eroded in 2002; by year's end Kroger had taken the lead while Meijer’s share surged from 10.1% to 16.1%.

In 2003, Farmer Jack initiated its first store closures and offered voluntary buyouts to senior staff. To regain customer loyalty—though media viewed it as a promotional stunt—the company closed all locations for 37 hours for deep cleaning. Upon reopening, employees appeared in new uniforms; the loyalty card program and weekly sales were discontinued in favor of everyday low prices. Moreover, a new campaign titled "We’re Thinking Fresh," guaranteeing freshness or refund, was launched. An evaluation by the Detroit Free Press revealed that Farmer Jack’s prices shifted from highest to lowest among competitors; however, reporters observed some store areas still needed maintenance with outdated coolers and disorganized frozen food sections. The publication predicted competitors would match prices and that pre-existing issues might persist despite the makeover.

Early in 2004, ten Farmer Jack outlets were converted into A&P’s Food Basics format aiming to challenge discount retailers like Save-A-Lot. Within a year, nine of these were shuttered while one newly built store in Dearborn Heights reverted back to Farmer Jack branding. Simultaneously, announcements were made regarding the closure of 15 additional Farmer Jack stores; four more closures followed later that year.

In early 2005, A&P put Farmer Jack up for sale, seeking approximately $250 million (~$Template:Format price adjusted for inflation) for its core portfolio of 71 stores; other locations were marketed individually. Later that year, employees approved wage reductions contingent on a sale to Spartan Stores, led by former Farmer Jack executives including CEO Dennis Edison who had been dismissed in 2002; however, the transaction collapsed. Subsequently, workers agreed to similar pay cuts in exchange for A&P’s commitment to keep stores operational through May 2007. Unable to secure a buyer, A&P reported that Farmer Jack would break even that year and thus was not rushing a sale. The company also acknowledged that due to expecting a swift sale, management had been lacking for over a year; as a result, loyalty programs and "It's Savings Time" marketing were reinstated.

By April 2006, Farmer Jack returned to profitability.

In August 2006, plans were announced to transform three stores into experimental mixed-format markets blending discount and upscale elements—featuring warehouse-style shelving, reduced product variety, higher produce stacking, and lower prices. However, these initiatives were abandoned by October after then-CEO Eric Claus expressed dissatisfaction with sales momentum in Michigan.

In March 2007, A&P declared intentions to sell or close Farmer Jack by July. Distribution warehouses ceased operations in May. All remaining stores closed on July 7. Supermarket analyst David Livingston commented that these locations had effectively been inactive due to low sales volume. Retail consultant Ken Dalto noted that Farmer Jack lagged behind competitors regarding quality, merchandising, and pricing because A&P neglected Michigan stores’ needs for modernization; customers perceived them as outdated by two decades. While Kroger aggressively invested in remodeling with designer interiors and upscale features like full-service meat counters and prepared food bars, most Farmer Jacks retained their late-1980s/early-1990s design aesthetic.

File:101Farmerjack.jpg

A Farmer Jack location displaying liquidation signage

Out of the remaining 66 stores, A&P announced sales of 20 units to Kroger, 10 to smaller regional chains, and 15 to independent grocers. Some deals with independents later fell through. An October 2007 SEC filing revealed that approximately $110 million was received from selling 41 former Farmer Jack properties; two warehouses and 25 stores remained available.

In June 2010, A&P stopped paying rent on vacant Farmer Jack sites; landlords responded by filing 24 lawsuits against the company. By December of the same year, A&P filed for bankruptcy citing obligations from unused leases related to discontinued operations like Farmer Jack as contributing factors.

Marketing

In the Detroit metropolitan area, Farmer Jack became well-known for its It's Always Savings Time jingle, which aired during the 1990s and resurfaced in the mid-2000s. The brand's signature advertising approach involved brief 10-second radio spots titled "Farmer Jack savings time," where a radio host would quickly announce a special deal while a teletype-like sound effect played in the background, bookended by a distinctive low-pitched "boinnng" tone.

Another widely recognized tagline was Made in Michigan, Sold at Farmer Jack, highlighting the store's support for local Michigan products and agricultural goods.

In 2018, this jingle was humorously referenced in the Detroiters episode called "Farmer Zack".

External links

• Archived official website
• 1969 CKLW radio aircheck featuring a Farmer Jack commercial