Q&A: Sprouts CEO Jack Sinclair talks less fresh and leadership lessons

Sinclair, who becomes the 40th annual Executive of the Year chosen by the W. P. Carey Dean's Council, was honored at a luncheon and answered audience questions after his keynote presentation.

Since joining Sprouts Farmers Market in 2019, Jack Sinclair has focused on providing a curated, attribute-based product assortment that has helped the specialty foods retailer grow through dynamic changes in the food industry, resulting in the planned opening of 30 new stores in 2023. The W. P. Carey School of Business at Arizona State University honored Sinclair with its annual Executive of the Year Award for his leadership in making Sprouts a more efficient, profitable, and innovative retailer.

With more than 35 years of experience in the retail and grocery industries, Sinclair previously served as CEO of 99 Cents Only Stores; as executive vice president in charge of Walmart's U.S. grocery division, the largest grocer in the United States; and Safeway PLC in London. At Sprouts, Sinclair has advanced a "doing well by doing good" long-term strategy rooted in initiatives that grow business while caring for the health of communities and the environment.

"It is a pleasure to award Jack Sinclair this year's Executive of the Year honor," said Ohad Kadan, Charles J. Robel Dean, Professor of Finance, and W. P. Carey Distinguished Chair. "Jack has grown Sprouts Farmers Market through a tumultuous time in the grocery retail industry while advancing initiatives that benefit customers, communities, and the planet. That commitment to integrity in leadership is exactly what this award celebrates."

Sinclair becomes the 40th annual Executive of the Year chosen by the W. P. Carey Dean's Council, a national group of prominent executives who advise the W. P. Carey School of Business.

He was honored at a luncheon on Wednesday, April 5, at the JW Marriott Scottsdale Camelback Inn Resort & Spa, and answered audience questions after his keynote presentation. Some answers have been edited for length and clarity.

Question: You mentioned that consumers buy less fresh so that they might throw away less. Any other consumer behavior changes you've seen coming out of COVID-19?

Answer: The vitamins and supplements part of our business is essential, and this whole idea of immunity and preventative health. We don't have pharmacies in our stores, so we're not selling drugs to people to get better when they're sick. But many people are migrating to how can they get ahead of that trend and this immunity and protecting yourself so you're less likely to get sick. We see that. That's a long-term trend. It was prevalent during the pandemic, but it's trending forward.

Also, we sell attribute-based foods, whether it be plant-based, Keto, vegan, vegetarian, or paleo; we see that trend as people think a little bit more about what's in their food and what it does to their personal health. Those are both trends that are going to benefit us going forward.

The other trend during the pandemic was a dramatic increase in grocery e-commerce. We saw our business go from a 2% growth in e-commerce to over 14% [we use Instacart and DoorDash]. I thought it would settle down at a lower number, but it's at 11%. Because of its convenience, it's something that's here to stay.

Q: What characteristics, values, or traits allowed you to experience success in your career?

A: I've been lucky, but one of the pieces of advice I give people is to try and make sure you're doing the job as best as possible. If you're constantly thinking, "I want to do this job better than anyone else in the world can do it," if you've got that mindset and that attitude of mind. Don't always worry about what the next job is. You focus on what's in front of you rather than what's way ahead; my experience has been that if you do an excellent job at the one you've got, you've got a good chance of getting a more prominent position.

The other thing I would encourage anyone to do is you've got to enjoy it. It's important to enjoy what you're doing and focus on what's in front of you, and the world will come toward you if you focus on that.

Q: What leadership strategies and approaches do you find yourself leaning into more now in the post-COVID era?

A: Being transparent as a leader was very important during the pandemic, and being transparent with everyone about why we were doing what we were doing. That's true of leadership generally. People expect transparency, whether good or bad. I encourage myself and the leadership team to be transparent and create an environment where everyone feels listened to. Listen to what people have got to say.

Q: What is your advice for young leaders who want to start businesses in this post-COVID world? And which industries do you think are relatively safe to start with in this situation?

A: I don't know what industry would be relatively safe. What it tends to be is people that have a passion. Steve Jobs. How did he become so successful? Because he loved what he was doing. There's something about having a vision. Entrepreneurs are a unique breed of people with a single-minded focus on their work. And I've seen so many successful people, but it all starts with a simple idea.

Next, join us for the Economic Outlook Luncheon, where top experts will answer questions about the state and nation and share what's in store for 2024. Presented by the Economic Club of Phoenix, the event is on Tuesday, May 2, at the Camelback Golf Club.