Topco and Wild Oats: A Theory
Topco Associates’ pitch for the dormant Wild Oats brand name seems — at first blush — like an odd move. What would a company that already offers a pretty successful private-label natural/organic brand called Full Circle want with a retail name that hasn’t been seen on shelves for three years?
Or, more to the point: Why would Topco want it?
First, the background: The Wild Oats brand name has been for sale since Whole Foods Market acquired Wild Oats in 2007. A messy antitrust battle with federal regulators ensued, and ended only after Whole Foods agreed to sell off 32 Wild Oats units, along with the brand (to date, three stores have actually been sold).
Fast forward three years. According to papers filed with the Federal Trade Commission, Topco and Luberski Inc., a Fullerton, Calif.-based food-product supplier, are both bidding for the Wild Oats rights. A source familiar with Topco tells me that Topco has been interested in the name since the acquisition.
Why? The current thinking is that Topco will position the Wild Oats name as a “better-for-you” brand that complements the existing Full Circle natural/organic line, similar to what Safeway has done with its “O” Organics and Eating Right brands.
Adding a lesser-evil tier will allow retailers who pull from Topco to offer an additional line, with different price points and product attributes, to mainstream customers who might otherwise simply buy conventional products if given only a natural/organic option. more






