PLANO, TEXAS Wal-Mart tests in-store coffee shop

The retail giant is experimenting with in-store coffee shops.
DALLAS MORNING NEWS
SuperTarget has Starbucks, but what if the espresso urge hits at Wal-Mart?
A new company has talked Wal-Mart Stores Inc. into letting it try a coffee service inside some of its stores, beginning in Plano, Texas.
The owners of Kicks Coffee Cafe first had to get the price low enough to meet Wal-Mart's liking -- $1.25 for a cup of gourmet coffee vs. $1.40 at Starbucks.
Then they came up with the descriptive name and put together a shop design and menu, which includes ice cream, fruit and sandwiches. Finally, they developed a cup holder that fits on Wal-Mart's shopping baskets.
The test started last week with the grand opening of Kicks Coffee Cafe in a Wal-Mart in Plano. Four more Dallas-Fort Worth locations will be added early next year.
It's a lease arrangement, and it's something the retailer is just trying out, a Wal-Mart spokesperson said.
Los Angeles-based Kicks Coffee Cafe is co-owned by Plano native Benny Medina, co-creator of the sitcom "Fresh Prince of Bel-Air," which launched the career of superstar Will Smith. The fact that the first test store is in Plano "is just one of those really terrific coincidences," said Jeff Pollack, Medina's business partner.
Wal-Mart commonly conducts tests in Dallas-Fort Worth because it's a large market and close to its Bentonville, Ark., base.
Convincing argument
Pollack convinced the everyday-low-price people that there's more to retail in neighborhoods such as affluent West Plano.
"It's about competition and creating an enhanced shopping experience for their customers. We put this to Wal-Mart as a value proposition that it's not just about price. That convenience is one of the value propositions."
Pollack said his family of four has spent plenty of time in "gigantic retail locations, and they keep getting bigger."
"These places always have a snack bar up in front, but I get thirsty and hungry after I've been there an hour. I don't want to walk all the way back to the beginning of the store."
Hence, in-store delivery was built into the model.
What about spills? Surely Wal-Mart was worried about that?
"They said, 'No problem. They spill, we'll clean it up."'
He said Wal-Mart officials were more interested in the idea "that thirsty, hungry people leave stores."