New Grocery Outlet owners bring vision and fun

Jeremy and Monika Medhaug have big plans for the Rainier-based Grocery Outlet, and they have the track record to bring their big vision to life, as the two have a combined 60 years of business experience between them.

The Medhaugs have been working together as a business team for more than two decades, overseeing three pharmacies at national brands such as Sav-On and Walgreens. While Jeremy was working his way up the corporate ladder at the beginning of his career at Costco in Las Vegas, Nev., Monika was opening her own successful business, Rabbit Fire Hair Salon in Budapest, Hungary.

How they came together is a charming love story in and of itself. Monika flew from Budapest to Las Vegas for the wedding of her sister who was marrying Jeremy's best friend and roommate. It didn't take long for sparks to start flying and a long-distance relationship ensued until Monika relocated to the United States.

Monika joined Jeremy in the pharmaceutical management business in Las Vegas, where they also simultaneously ran a restaurant in Boulder City, Nevada, just south of Las Vegas. Their delivery car was painted black-and-white like a police car and in place of the word "police" on the side of the vehicle it read, "pizza," and "protect and serve" was replaced with "perfect and serve." As it seems obvious these two enjoy their work and have a lot of fun while doing it, the Medhaug's developed a reputation in the business community to the point that, in 2015, Grocery Outlet came knocking.

"We didn't leave Walgreens until 2017 but, in 2015, Grocery Outlet started head hunting us and asked us if we were interested in owning our own grocery store," Jeremy said. "We weren't, and we brushed them off."

Monika added, "We were very skeptical of the [business] model. What they do is they secure the building for us and secure the product and we operate the building. It's a completely separate entity from Grocery Outlet."

Instead, the two decided to get into a new line of business. "Jeremy became a general contractor and I went back to college and became a broker and we were going to flip houses," said Monika. "We started, and then COVID hit and nobody wanted us in their house." In April of 2023, the couple had a change of heart and became interested in exploring an opportunity with Grocery Outlet. While they waited for a local opportunity, Grocery Outlet tapped the Medhaugh's for help with other locally-owned stores.

"What our job used to be with running pharmacies at the three corporations we worked at, they saw our work ethic and that we focus on what the model is of what the corporations were working for, and we ended up becoming the fixers," Jeremy said, "So if a store manager would run down a store, Monika or myself would be asked to go into that store, clean the store up and get it back up to operational standards, and then move on, especially with produce."

When the Rainier store was listed for sale at the beginning of the year, the two jumped at the opportunity as it was "the right place at the right time." Jeremy and Monika drove up from West Linn, Ore., and met the prior owners and decided to take the plunge, signing the papers on May 1 and officially taking the reins. "We want to make sure you guys have everything," Monika said. "The store has to be tight, full, clean, and the produce has to be piled tall, gorgeous and picture ready."

Concurring, Jeremy said, "We'd like the community to know that if there's anything that they want that we can source for them we are people that will get on the call and make the phone call to get the products that the community wants. We want to make it so nobody has to go outside of town."

According to Jeremy, potential distribution opportunities are there for local food makers looking to get their products on shelves. "They give us the ability to source," he said. "We just need to get it authorized and, once it's authorized, we can test it in our store and, if sales are good in our store, then we send samples to Grocery Outlet Incorporated and might even be able to get it into other stores to distribute."

Referencing an employee at the Newberg Grocery Outlet whose son and daughter have been producing salsa from an old family-recipe, Jeremy said, "It's a really good salsa, and we told him that we can get that authorized in. He went out and got licensed and has a kitchen he can make it in, and they're making batches for restaurants right now. He's authorized through the Department of Agricultural and now has product codes and everything's good to go," Jeremy said.

Currently living in West Linn and commuting to Rainier, Jeremy and Monika have plans for activities and Grocery Outlet promotions, which include the unveiling of a treasured mascot that will be featured prominently in a range of campaigns. The Rainier Grocery Outlet is located at 215 W. B St. and is open seven days a week from 8 a.m. to 9 p.m.