Gemco

Gemco

Company type	Subsidiary
Industry	Retail (membership department stores)
Founded	1959 in Anaheim, California, U.S.
Defunct	1986
Fate	Dissolved; many stores acquired by Target Corporation
Headquarters	Anaheim, California , United States
Products	Groceries, apparel, footwear, home goods, sporting equipment, hardware, toys, electronics
Owner	Lucky Stores (from 1960)

Gemco was a U.S.-based membership department store chain owned by Lucky Stores, a supermarket operator headquartered in San Leandro, California, which eventually became part of Albertsons. Active from 1959 until 1986, Gemco retailed a wide range of products including groceries, apparel, footwear, home goods, sporting equipment, hardware, toys, and electronics. Following Gemco's shutdown, numerous store leases on the West Coast were acquired by Target Corporation, aiding Target’s entry into the California market. Lucky Stores also managed a comparable chain named Memco in the Chicago and Washington, D.C. regions.

History

Established in Anaheim, California in October 1959, Gemco was purchased by Lucky Stores just one year later. Lucky incorporated supermarket sections into the stores and expanded the chain progressively. The business enjoyed solid financial results for more than twenty years until several leveraged buyout attempts targeted its parent company. To avoid hostile takeovers, Lucky Stores opted to dissolve Gemco between September and November 1986. Most of the former Gemco sites were then obtained by Target, which revamped them with its distinctive red-and-white design by the fall of 1987.

Name, colors and logo

Despite common misconceptions, "GEMCO" was not an acronym but a straightforward and catchy brand name. The stores originally showcased brown facades with tan highlights and red signage. In the late 1960s through the 1970s, the emblem featured translucent serif capital letters set against a dark blue oval backdrop. During the early 1980s, Gemco refreshed its exterior to blue with lighter blue trim and altered its logo to white lettering topped by a yellow diamond above the "M."

Offerings and innovations

Gemco was a pioneer in the hypermarket format, offering customers a comprehensive shopping experience that combined garden supplies, groceries, and general merchandise under one roof. The stores included concession-operated gasoline pumps located outside as well as jewelry counters. A key innovation was their grocery delivery service: shoppers were given numbered plastic cards attached to their carts which they surrendered to security upon exit; then an employee would load their groceries into their vehicles. This service enhanced customer convenience and encouraged repeat patronage.

Distinguishing itself from many discount retailers, Gemco employed unionized staff represented by the United Food and Commercial Workers (UFCW), establishing itself as a favored employer in its markets.

The credit division at Gemco significantly increased sales volumes during peak seasons such as Christmas. Additionally, the company experimented with complimentary in-store childcare services that allowed parents to shop while children were supervised; however, this initiative was discontinued after one year due to regulatory licensing requirements in California.

In 1959, Gemco created the Gemco Charitable and Scholarship Foundation which annually awarded scholarships up to $1,500 to high school seniors selected through competitive panel evaluations. Although impactful during its operation, this foundation’s corporate status has since been revoked in California.

Members received a monthly publication called the Gemco Courier featuring artwork reminiscent of Saturday Evening Post covers.

Memco

To avoid confusion with the local GEM chain in Washington, D.C., Memco operated East Coast stores under a different brand name while sharing membership cards with Gemco for cross-usage. Memco launched in 1969 with locations in Annandale, Virginia and Camp Springs, Maryland. By December 1982, it operated 13 stores throughout Virginia and Maryland—including recent openings in Columbia and Greenbelt—with a 14th store underway in Burke, Virginia. The closures impacted approximately 1,200 employees; all sites were converted to Bradlees stores following Gemco’s closure. Some former locations later became Home Depot or Kmart outlets.

In Chicago’s suburbs, Memco opened stores in Niles and Arlington Heights in 1972 and another in Lombard in 1973. These outlets underperformed financially and were rebranded as Eagle Family Centers in October 1977 as part of Lucky Stores’ strategic pivot toward grocery-centric retailing. Subsequently, Roundy’s Pick 'n Save discount warehouse stores occupied these former Memco buildings starting in 1982.

This regional branding approach and eventual withdrawal from these markets underscore Memco’s difficulties maintaining market share beyond its primary West Coast base—factors that affected its overall growth trajectory and financial health.

Fictitious town

The invented locality known as Gemco, California, is situated within Van Nuys, California, close to the intersection of Woodman Avenue and Saticoy Street. This name surfaced on cartographic materials during the 1980s, most likely serving as a copyright trap, and continues to be included in numerous mapping databases. The term originated as an abbreviation employed by the Southern Pacific Railroad to refer to the General Motors Van Nuys Assembly facility.