Archie McGregor: Grocer at heart

COEUR d'ALENE - Archie McGregor knows groceries. He's spent the last five decades working in grocery stores, owning grocery stores and being involved in operating grocery stores.

No surprise, he loves it. He'll tell you it's been a wonderful career.

"The most rewarding part has been the customers, the loyalty, the support they bring you," the 74-year-old said.

Today, Archie McGregor, with sons Archie and Brian, owns and operates Archie's IGA in St. Maries, and Dissmore's IGA in Pullman, Wash.

"We take pride in being hometown proud," he said.

It was his father, Archie McGregor senior, who gave his son his start in the grocery industry, and the two worked side-by-side for some 35 years.

"My dad is Archie McGregor senior. I'm junior. We have Archie the third, my son, and he has Archie the fourth," the Coeur d'Alene man said with a proud smile.

While Archie still serves on a national IGA advisory board and studies the industry, he leaves the day-to-day operations of the grocery stores to his sons. Still, he's the type of man who always pays attention. He knows the challenge smaller independent grocers face in larger retailers and chains. He speaks of pricing, products, shelf management, being competitive in the market place, always putting the customer first and being involved in the communities where you do business.

"Those are the types of things I think you really need to be aware of today," he said. "If you don't, you won't be in this business."

How long have you been in the grocery business?

All my life. Out of the service, I went into business with my father in the Spokane Valley. We had Kortte's IGA in the Spokane Valley. He sold that in 1960 and we came back to Coeur d'Alene. My father purchased the Lakeview Court, and when we bought the motel it had a convenience store. We added a toy store. Over the years, it was very rewarding to us, the business was good. The opportunity for my father to sell came along and I had to look for something to do, and I went to work for Albertson's. I ended up managing the Coeur d'Alene Albertson's here for about five years until the opportunity came for me to go to St. Maries.

What was in St. Maries?

There was a grocery store down there that had gone bankrupt and I felt it was an opportunity for me. Two of my children were in college, the rest had already finished so we took it on. That was in 1986.

Did you have any worries about the move?

I think as an independent, you just figure you can make it go and you go and do it. I went on a shoestring. I felt there were opportunities there for a well-run grocery store and we established the store and turned it around.

How did it get the name "Archie's IGA?"

The store had been an IGA store when it closed. What we did is, we put out a questionnaire to vote on a name, and the name came back resoundingly 'Archie's' and we chose that name. I don't know if that's good or bad, but that's how we started it out.

Did your sons get involved?

My one son Archie, who had just graduated from college, the store had just put in front end registers that were computerized. I really hadn't worked with those, we were still using the old registers at Albertson's, so I asked him if he would stay and help, he did, and of course, he's never left. So we started developing the business. Since then, we doubled the size of the store, added a full-line bakery, deli. We have a full meat department, produce department and floral department.

And then when my youngest son Brian graduated from college, he said he'd like to come in the business. The opening was there, so he joined us. It's been really nice. Archie enjoys the IT part of the business and Brian enjoys the marketing part of the business, so they really complement each other.

What was it like in those first years? What did you do to turn it around?

I think we listened to the people, what they wanted. We listened to what the people wanted and brought them that service and friendliness, freshness and we continued to grow on that. Today, we still feel that's what our business is built on, is listening to the people and providing them with fresh, quality product in an atmosphere that's enjoyable to shop. We've been very fortunate. The community's been very good to us.

Were there expansion opportunities there?

Over the years we purchased a building supply business that was in town down there, that was struggling a little bit, and turned it around. I told my two sons, one of them had the opportunity to go into the hardware business and one in the grocery business. The next morning they came to me and said, 'No Dad, we're going to stay together and stay in the grocery business.' So we sold the hardware store off that had turned around and did very well for us.

Did you buy other grocery stores?

We purchased a smaller grocery store in Orofino, and had it for about five years and just recently sold it off. In that five-year period, we had an opportunity to buy Dissmore's IGA in Pullman and it was sliding the wrong way. It was owned by Tidyman's at that time. We brought it back and have turned it around and just finished a remodel there. We were just this year selected by Washington state for a community service award. That's basically what our businesses have all been built on.

What's the key to your success?

I think what we've built our stores on is hometown feel. We believe you support your community, what they need, you support it in every way you can. In Pullman this last year, we launched the Junior Cougar program that takes young kids and makes them part of the football team. We support the food bank and other events as well. The 4-H program, we buy animals each year.

I remember the '96-97 flood, when we were having real water problems. The school didn't have water. We donated pallets of water to the school. Those are just the kind of things you do.

I think being involved in your community is important. We started the Greater St. Joe Development Foundation, Timber Plus. I was the founding president. It's still going well today.

What are some changes you've seen in your business over the years?

I think the biggest challenge that the independents have is keeping up with technology today. I feel if we don't keep up with the technology, we're not going to be in business.

Manufacturers today really don't care how much you buy. They want to know how much went out the front door, and you have to be able to provide that information to them. We've tried in our businesses to stay ahead of that. IGA has 1,200 stores across the United States and we're in 58 countries around the world.

You had a Walmart open last year in Pullman, where you have Dissmore's IGA. What were your thoughts?

We weren't worried. We were concerned, and we certainly took steps that we felt were necessary to make sure everything was polished the way we wanted the apple polished. We banked on our customers. We banked on the service we give them. I think that's where communities grow is from the independent trading with the guy down the street. That makes a big difference.

Has Walmart impacted your sales?

We're down single digits, but we feel we are part of the community and the community supports that. We're looking for that to turn around. We'll be back again, ahead of where we were.

Do you check out the competition?

Absolutely. You are in your competitors' stores on a regular basis. I travel with IGA, I served on a Coca-Cola retail research council, we traveled all over the United States looking at stores and what they were doing. People everywhere expect the same thing. We have uniqueness in our area and in each of our stores. But when you look at the big picture, they still want the latest recipe, they want the latest information. When you start talking about organic and natural foods, we have to stay abreast of that and see we're providing them with that. If we're not doing it, we won't be in business. Seeing your competitors is very important.

Do you offer your sons advice on running the grocery stores?

They're very good about calling me and saying 'Dad, we're going to do this, what do you think?' I will offer what I think but I always tell them, 'It's your choice.'

All five of my children, I have told them, 'When you get ready to do something in life and it's going to affect long term, I'd like to have you come talk to these old gray hairs and tell you what I've experienced. I will support whatever you're doing as long as it's legal and morally right. I'll just tell you what I've seen and haven't seen.' I've been fortunate because all my kids have come to me for that.

I think that's important in anything you do in business, you listen. I think listening to people is ultra important in any walk of life.

What's ahead for you?

I think the independents right now have a lot of opportunity out there. Right now, the chains and mass merchants are answering to Wall Street, and in difficult economic times, it's tough to answer to them and also be a friend to the consumer. I think the independents have great opportunity right now.

Archie and Brian feel there's going to be some opportunities for them to grow, and I see that happening and I'm there to support them. Hopefully, it will be solid growth tied into the community.

What's your opinion of the economy these days?

I think we're going through a change in how we manage our lifestyle. I think we're going to come through it fine. I think there's going to be lasting changes in the way we live our lives, from what we choose to do for entertainment and what we choose to purchase.

I think you're going to see family and friends become a bigger part of American life again because of this. I think it's great times. I think it's challenging. I'm appreciative of those who have had job problems, finding work, but I think the opportunities are going to be there. I believe if you apply yourself, that there is work out there. You can be as successful as your dad or grandfather was.

What influence did your father have on you?

He showed the importance of family, hard work and friendships. The dollar is just part of that equation. If you have friends, you have family, and you work hard, the dollars will be there. I truly believe that.

Date of birth: Jan. 6, 1937

Family: Wife Lorraine, five children.

Education: Gonzaga Prep graduate

Hobbies: Fishing, traveling

Favorite movie: I enjoy the old westerns.

Favorite book: "Just as I am" by Billy Graham.

Favorite type of music: '50s and '60s, golden oldies.

Favorite spectator sport: Basketball

Best advice you ever received: Be honest and listen

Person who most influenced your life: My father

One thing your consider your greatest accomplishment: My family

Quality you admire most in a person: Honesty