^Really interesting article.  Thanks for posting that.

Edited December 12, 20186 yr by jeremyck01

Whole Foods has 1.4% of the national grocery market. 

 

In other shocking news, low income people shop at cheap stores.

This is also a huge problem in rural areas and small towns. Being stuck in a town(I am just outside of West Jefferson) with only two stores-a Dollar General and a Family Dollar-I have to drive 8 miles one way or nearly ten the other to get to a real grocery store. Thank God they are going to build an actual Kroger in this area at some point. Part of the problem with smaller towns is not income, but population. They need a certain population level for a real grocery store. 

 

*There was an actual grocery store here but it closed maybe 5-8 years ago I think.

Edited December 11, 20186 yr by Toddguy

9 hours ago, MikeInCanton said:

Whole Foods has 1.4% of the national grocery market. 

 

In other shocking news, low income people shop at cheap stores.

 

Cheap doesn't have to mean crappy foods. Yet that's all that these predatory retailers offer. If poor people liked crappy foods, they wouldn't be developing amazing urban gardens in their neighborhoods, some of which have become entrepreneurial operations that supply local restaurants. Let's see these retailers actually ask their shoppers what they want and creatively work with suppliers. 

18 minutes ago, KJP said:

 

Cheap doesn't have to mean crappy foods. Yet that's all that these predatory retailers offer. If poor people liked crappy foods, they wouldn't be developing amazing urban gardens in their neighborhoods, some of which have become entrepreneurial operations that supply local restaurants. Let's see these retailers actually ask their shoppers what they want and creatively work with suppliers. 

Even an Aldi would be better than these Dollar Stores for fresh foods.  And Aldi is not expensive at all.  

Aldi announced plans last year for another 900 stores nationwide:

 

https://www.usatoday.com/story/money/business/2017/06/12/aldi-open-another-900-stores-us/102682342/

 

... and its even cheaper sister chain, Lidl, is coming to the US soon, too.  I visited one of those in Germany, and the decor was on par with a Save-a-Lot, but it did have more fresh and healthier frozen/packaged foods than a typical Dollar General or Family Dollar in the US.

I'm a big fan of Aldi myself.  They are much better now than they were in years past. Lots of fresh produce and good prices on cereal and frozen fruits and vegetables. The small stores fit well in urban neighborhoods too. 

And small towns, too.  One problem with a mega-grocery like a Kroger or Giant Eagle is that if they locate in small town X, small town Y and Z will likely also lose their small old-school grocery and those people will have to drive to small town X.

Also, at least in the Cleveland area, Dave's has a good record of locating full-service groceries in urban neighborhoods that might otherwise qualify as deserts (which is something of a flexible term).  There's one in Akron that was specifically recruited to come there to fill a perceived need, and then a number in underserved parts of greater Cleveland.

 

As for Aldi, they have some pretty solid middle-class credibility at this point.  They're not just positioning themselves as a better alternative to dollar stores.  Yes, they've set up shop in East Akron (Arlington), Summit Lake, and out by the old Rolling Acres--all distressed areas.  But they're also in Fairlawn, Medina, Tallmadge, Green, Stow, and Wadsworth.  That's a pretty comprehensive presence in Akron's middle-class suburbia.

2 hours ago, Gramarye said:

Also, at least in the Cleveland area, Dave's has a good record of locating full-service groceries in urban neighborhoods that might otherwise qualify as deserts

 

Truth.

 

https://www.google.com/maps/@41.4922239,-81.6579122,3a,75y,222.41h,89.48t/data=!3m6!1e1!3m4!1sUYymi25zgJ5PD8SBjgkuJg!2e0!7i13312!8i6656

5 hours ago, Gramarye said:

Also, at least in the Cleveland area, Dave's has a good record of locating full-service groceries in urban neighborhoods that might otherwise qualify as deserts (which is something of a flexible term).  There's one in Akron that was specifically recruited to come there to fill a perceived need, and then a number in underserved parts of greater Cleveland.

 

As for Aldi, they have some pretty solid middle-class credibility at this point.  They're not just positioning themselves as a better alternative to dollar stores.  Yes, they've set up shop in East Akron (Arlington), Summit Lake, and out by the old Rolling Acres--all distressed areas.  But they're also in Fairlawn, Medina, Tallmadge, Green, Stow, and Wadsworth.  That's a pretty comprehensive presence in Akron's middle-class suburbia.

 

I'm always shocked at how many grocery store options are available in Akron, from higher end to lower.  There really is something for everyone and such a variety for the population size of Akron. 

9 hours ago, X said:

And small towns, too.  One problem with a mega-grocery like a Kroger or Giant Eagle is that if they locate in small town X, small town Y and Z will likely also lose their small old-school grocery and those people will have to drive to small town X.

 

And small towns X, Y and Z might lose their drugstores and the gas station might cut their better foods such as fruit and prepared dishes.

I recall driving back from Chicago in 2001 or so and Forbes was on TAM talking about the corner stores and their prices.   I was driving or else I would have called and suggested that he could invest, and use his clout to get others to, and still make money if they were so out of line.

 

They weren't.  Their expenses were very high.   Distributors wouldn't deliver to them or would charge a premium because they had to put a guard on the truck.   And yes, this was necessary.  They dealt with lots of "shrinkage" and had to pay for security and security systems.  Usually no insurance, or it was very expensive.

 

The Dollar stores, which also get robbed a lot, are an improvement.   Mostly because they are a big chain and have clout.   But they can't really afford to stock much perishables.

2 hours ago, jeremyck01 said:

 

I'm always shocked at how many grocery store options are available in Akron, from higher end to lower.  There really is something for everyone and such a variety for the population size of Akron. 

 

Definitely one of the most saturated grocery markets (per capita) I've ever personally encountered.  One reason I'm not surprised at all that Kroger hasn't made a play for this area despite being headquartered in Ohio.  And since the Dave's came in, I haven't really detected any talk of any food deserts anywhere in the area.  Maybe there's one hiding off the radar somewhere, but if we've got East Akron covered, it's unlikely that there's an even more vulnerable population in the area.

 

The higher end market is really saturated here, too, for the size of this burg.  One reason (among many) independent specialty grocery West Point Market couldn't make it after they sold their prime location in Wallhaven to the developer who brought in the 365, and tried to make it in a cheaper but less visible location off the main drag in Fairlawn.