A supermarket is a self-service retail establishment providing a diverse array of food, drinks, and household goods, systematically arranged in sections. Supermarkets offer a greater selection than traditional grocery stores but are smaller and less diversified than hypermarkets. Originating in the United States around 1930, supermarkets emerged from retail innovations over two decades and expanded internationally following promotion in 1956. The term 'grocery store' is often used interchangeably with 'supermarket' in American English.
In 1915, Vincent Astor founded the Astor Market in Manhattan, investing $750,000 into what was essentially an open-air mini-mall for food.
In 1916, Clarence Saunders opened the first Piggly Wiggly store, which was a self-service grocery store. Saunders developed and patented the ideas used in these stores.
In 1917, the Astor Market folded due to difficulty attracting customers, even from nearby.
By 1929, only one in three U.S. grocery stores was a combination store, which combined several departments under one roof.
On August 4, 1930, Michael J. Cullen opened the first true supermarket, King Kullen, in Jamaica, Queens, New York City. The store was known for discount pricing.
Around 1930, the supermarket retail format first appeared in the United States, marking a culmination of nearly two decades of retail innovations.
By 1930, both Alpha Beta and Ralphs were operating multiple self-service grocery stores; however, their prices remained high and their main selling point was free parking.
In 1930, 21 percent of disposable income was spent on food.
In 1933, Big Bear opened its first supermarket in New Jersey and collected more revenue in one year than over a hundred A&P stores.
In 1933, Joan Robinson proposed the idea of "monopsony", that a single buyer could outmaneuver a market of multiple sellers, becoming an anti-chain rhetorical device.
In 1934, Québec's first supermarket opened in Montréal under the banner Steinberg's.
By 1936, at the time of Michael J. Cullen's death, there were seventeen King Kullen stores in operation.
In 1936, the Robinson-Patman Act was implemented to prevent large chains from using their buying power to gain advantages over small stores.
In 1936, there were 1,200 supermarkets in 32 states.
By 1937, 44 percent of A&P stores were losing money, marking the impact of the rise of supermarkets.
In 1937, the number of American supermarkets almost tripled to over 3,000 in 47 states.
By 1938, A&P had opened over 1,100 supermarkets in response to the competition.
By February 1940, A&P had closed 5,950 grocery stores and reduced the percentage of money-losing stores.
In 1940, the percentage of disposable income spent on food decreased to 16 percent due to the success of the supermarket format.
In 1947, there were just ten self-service shops in the United Kingdom.
By 1950, there were well over 15,000 supermarkets in the United States.
In 1951, Patrick Galvani made a pitch to the board to open a chain of supermarkets across the UK.
In 1956, the U.S. Department of Agriculture presented an "American Way exhibit" at the International Food Congress in Rome, Italy, including the first fully stocked supermarket outside of the United States.
In 1956, the supermarket began to spread to other countries after extensive worldwide publicity.
In 1957, the U.S. Department of Commerce and the National Association of Food Chains presented Supermarket USA at the Zagreb International Trade Fair in Yugoslavia. It was the first fully operational American-style supermarket in a communist country.
In 1960, the UK supermarket sector underwent significant consolidation after Galvani lost out to Tesco's Jack Cohen, resulting in "the big four".
In 2009, 51% of Wal-Mart's $251 billion domestic sales were recorded from grocery goods.
The number of stores in brackets is as of March 2017.
As of 2018, there were approximately 38,000 supermarkets in the United States, with Americans spending $701 billion at these stores.