Stew Leonard's is a chain of seven supermarkets in Connecticut, New York, and New Jersey, which Ripley's Believe It or Not! deemed "The World's Largest Dairy" and Fortune magazine listed as one of the "100 Best Companies to Work For". Opened in 1969 with seven employees in Norwalk, Connecticut, the chain now includes six stores in Connecticut and New York. The newest location opened on September 18, 2019 in Paramus, NJ.
In 1969, Stew Leonard opened the Clover Farms Dairy store in Norwalk.
Expansion
Stew Leonard acquired land for a second store in Danbury, CT, in the mid-1980s. The store opened in 1991. Stew Leonard's announced plans to open a store in Yonkers, NY, in 1997. The store opened in September 1999. The Leonard family began working to open a store on Long Island, in 2002. However, plans to open a store across from the Republic Airport in Farmingdale, NY fell through. In 2015, Stew Leonard's announced plans to open a store in Farmingdale in early 2016; the store opened in January 2016. A store in Newington, Connecticut was announced in February 2006 and opened in April 2007.
Tax fraud
In 1993, Stew Leonard, Sr. was convicted of having committed tax fraud via an elaborate scheme to divert more than $17.1 million in cash register receipts over a 10-year period. The fraud, which involved a computer program designed to skim off sales, was directed by Stew Leonard, Sr., in concert with the company's CFO and store manager. Skimmed cash was placed in bundles in Leonard, Sr.'s office fireplace, to be later moved offshore or disguised as gifts. Leonard, Sr. was caught in June 1991 carrying $80,000 cash en route to the island of Saint Martin. Leonard, Sr. pled guilty to the charges and, in 1993, was sentenced to 52 months in prison. He ultimately served 44 months before being released in June 1997.
Short-weighting
In 1993, shortly after Stew Leonard, Sr. and three other company executives had pled guilty in the tax fraud case, the Connecticut Department of Consumer Protection charged Stew Leonard's with short-weighting customers on multiple products. The department measured a 47% violation rate, compared with a statewide average of 7.2%. Stew Leonard, Jr. and Tom Leonard denied that these actions were intentional and claimed, "a larger percentage of products checked were, in fact, overweight than underweight", and, "we corrected every before the inspector even left the store."
The New York Times called Stew Leonard's the "Disneyland of Dairy Stores." The stores are not set up like traditional grocery stores; the aisle configurations guide customers to walk through the entire store. As customers walk through the aisles, they are greeted by various employees dressed up in costumes and by animatronic characters, called the "Farm Fresh Five", that perform songs and dance. The stores also feature petting zoos and outdoor cafes in the warmer months, and offer tasting booths and a variety of prepared meals year round. "Anyone who comes from Connecticut or thereabouts knows this landmark chain of grocery stores where mechanized cows sing and roosters crow," according to a writer for the Sun-Sentinel of Florida.
Corporate philosophy
The store is notable for its customer service policy, which greets shoppers at each store's entrance, etched into a three-ton rock: 1. The customer is always right. 2. If the customer is ever wrong, re-read rule #1.
