Sprouts plans 13 more stores for the second half of the year

Sprouts Farmers Markets announced that it plans to open 13 stores in six states during the second half of 2019. Openings are slated for Virginia, Florida, California, Maryland, North Carolina and Arizona.

The company recently opened it's first Pennsylvania store in Philadelphia, and a store is scheduled to open on June 5 in Marlton, which will be Sprouts' first location in New Jersey.

Sprouts said it expects to have 340 stores in 22 states by the end of the year.

Giant opens six stores in four states

Giant Food Stores announced last month that it opened six new stores in four states. Five of the stores were Shop n' Save stores that Giant converted to Martin's Food Markets, and one was a newly constructed Giant to replace a closed store nearby.

Giant acquired the Shop n' Save locations from Supervalu last November and received approval to close the deal from the FTC in February. The stores are in Pennsylvania, Maryland, Virginia, and West Virginia (2). The Giant location is in Warrington, PA.

Giant, a wholly-owned subsidiary of Ahold Delhaize USA, now operates 178 supermarkets in Pennsylvania, Maryland, Virginia and West Virginia.

The company recently opened its first Giant Heirloom Market in Philadelphia, and has plans to open three more of the urban-format grocery stores in Philadelphia this year.

Walmart wins bid for liquor license in PA

Walmart submitted the top bid for a restaurant liquor license earlier this year for a store in South Union Township in southwestern Pennsylvania. It's the first liquor license in PA for Walmart, assuming the company files the required application and is awarded the license.

"We want Walmart customers in Fayette County to save money so they can live better," said a Walmart spokesperson, predictably.

According to Shawn Kelly from the Liquor Control Board, if Walmart is granted approval for the license, they will have to turn a portion of their store into a cafe that measures at least 400 square feet and has at least 30 chairs. Walmart would also be limited to selling 192 ounces of beer (approximately two six-packs) per transaction for off-premises consumption.

It is expected that Walmart will apply for a permit to sell up to three liters of wine per retail transaction.

Walmart isn't the first big box store in Pennsylvania to acquire a liquor license. A Target store in Plymouth Township (Montgomery County) has had a restaurant liquor license since last November. Several supermarkets and convenience stores - as well as movie theaters - already own liquor licenses in the state.

Lidl applies for $9.5 million in PA redevelopment grants

It was revealed last month that Lidl is seeking $9.5 million in Pennsylvania redevelopment grants for six stores, three of which are planned for Philadelphia - South Columbus Blvd. in South Philly, Butler Street in Port Richmond, and Roosevelt Blvd. in Northeast Philly.

The three other stores Lidl is seeking grants for are in Dover Borough (York County), Easton (Northampton County) and Ridley Township (Delaware County). The Ridley location opened last year and was Lidl's first store in the state.

In a story published on Philly.com, Lidl Spokesperson Will Harwood explained that Lidl often works with local government agencies and applies for available investment programs when they expand into new markets, including those that require remediation or rehabilitation.

The $9.5 million would come from Pennsylvania's Redevelopment Assistance Capital Program, which is designed to support redevelopment projects that officials deem capable of having a big economic impact. Six million would be for the three Philadelphia sites.

Walmart to spend $83 million on PA remodels this year

Walmart announced last month that it plans to spend approximately $83 million this year to remodel 15 Pennsylvania stores. Stores set for improvements include locations in Harrisburg, Philadelphia and Quakertown, among others.

The $83 million planned for Pennsylvania stores is part of about $11 billion in total capital expenditures planned by the company in fiscal 2020. Nationwide, Walmart plans to add 1,200 autonomous floor scrubbers, 300 autonomous shelf-scanners, 1,200 FAST unloaders and 900 pickup towers to stores around the country. In addition, the company plans to expand online grocery pickup to 1,000 more stores and add another 800 stores.

Grocery Outlet to open 40 new stores in 2019

Grocery Outlet, the California-based discount food retailer, has quietly ramped up its growth as competitors like Aldi and Lidl are making much more industry noise. Earlier this year the company opened its 300th store, and 40 new stores are expected for 2019.

Grocery Outlet, which purchased Amelia's stores in Greater Philadelphia a few years ago, operates stores in Pennsylvania, Oregon, Washington, Idaho, Nevada and California. Southern California represents their largest region, with 70 locations.

According to a recent story in Supermarket News, Grocery Outlet offers 40% - 70% off nationally recognized brands. They purchase from manufacturers that have excess inventory and pass their savings on to consumers. As a result of this opportunistic approach, the lineup of products often varies with each shopping trip. And since the stores are locally owned (not franchised), the product lineup may also vary from store to store. Each owner has the ability to choose what products they want to buy and sell.

"People love to save money, there's no question," said Phil Lempert, founder and editor of SupermarketGuru.com. "If you can combine that with a treasure hunt, from a consumer standpoint, it's great."

Although the products may differ from week to week, Grocery Outlet's inventory is predominantly made up of national brands, unlike Aldi and Lidl, who only offer a limited amount of national brands.

Recently Grocery Outlet has addressed its millennial customers, who are often their most vocal shoppers. Millennials seek both value and high quality, as well as an understanding of 'the experience of the food," according to Vice President of Marketing Layla Kasha. As a result, Kasha describes a new store in Los Angeles as "modern and hip, focusing on clean lines and a design aesthetic that matches the surrounding area."

Nationally, the model seems to be working, as Grocery Outlet recently surpassed $2 billion in annual sales, according to Supermarket News.

Lidl to open first store in PA

Lidl announced that its first Pennsylvania store will open next week in Folsom. The company, which operates about 10,000 stores in 29 countries, has 59 operating U.S. stores throughout New Jersey, Delaware, Maryland, Virginia, North Carolina, South Carolina and Georgia.

Lidl announced earlier this month that it plans to purchase 27 Best Supermarkets, mostly in New York.

In Pennsylvania, Lidl also has plans for stores in Philadelphia and Montgomery County.

Lidl to acquire 27 Best Market stores in New York and New Jersey

Lidl announced today that it plans to purchase 27 Best Market supermarkets in New York and New Jersey for an undisclosed amount. Twenty four of the Best Market stores are located in Long Island. The deal is expected to close early next year, and all of the acquired stores will be converted to the Lidl banner.

Lidl currently operates 59 stores in Virginia, North Carolina, South Carolina, Georgia, Maryland, Delaware and New Jersey. In addition, stores are under construction in Pennsylvania and are expected to open in 2019.

Both companies said that all Best Market employees in New Jersey and New York will have guaranteed employment opportunities with Lidl, and will be offered positions with wages and benefits equal or better than what they currently have.

Best Market opened its first store in 1994 and has grown relatively quickly. The company has opened or acquired 11 stores since 2015.

Grocery Outlet to close Royersford, PA store

The Grocery Outlet in Royersford, PA announced that it will close on October 30, but township residents and several government and elected officials are pleading with the company to keep the store open.

There is a Giant supermarket down the road, and several supermarkets in the Route 422 corridor.

The Grocery Outlet currently has more than 300 independently-operated stores in California, Idaho, Nevada, Oregon, Pennsylvania and Washington.

Sprouts opens in Philly

Sprouts Farmers Market opened its first Pennsylvania store last month at Lincoln Square in Philadelphia. At 32,000 square feet, the store carries about 19,000 products, 90% of which are natural or organic, according to the company. In addition, 6,100 products are non-GMO and 7,100 are gluten free.

Sprouts currently operates 316 stores in 19 states. The company plans to open about 30 new stores per year, according to Chief Financial Officer Brad Lukow.

Weis Markets launching same-day delivery via Shipt

Weis Markets announced that it will rollout same-day delivery via Shipt beginning on September 6 in 11 markets throughout Pennsylvania, Delaware and Maryland. Shipt, based in Alabama and owned by Target, said the rollout will give nearly 2.6 million households access to products delivered from Weis in as soon as one hour.

The same-day service will serve as another online option for Wies customers, as the supermarket chain already has its Weis 2 Go click-and-collect grocery service available at about 90 stores. Weis operates 2016 stores in Pennsylvania, Delaware, Maryland, New Jersey, New York, West Virginia and Virginia.

Giant opens new, improved store in Feasterville

Earlier this month Giant Food opened its new Feasterville, PA location. The new store is 66,000 square feet, approximately 25 percent larger than the store down the street that closed a day before the new Giant opened.

The new location includes an expanded fresh produce department with more organic selections, fresh-squeezed juices, in-store cut fruit, and a full salad bar. It also features a Beer & Wine Eatery with over 400 types of beer available. According to a news release, Giant is partnering with 13 local breweries from Pennsylvania and New Jersey, all of which are featured in the store.

In addition, the new Giant includes a full-service pharmacy with pharmacists available seven days a week, and a Starbucks-on-the-Go kiosk.

Giant currently has 171 stores in four states.

The Fresh Market to close 15 stores

The Fresh Market announced yesterday that it plans to close 15 stores in nine states. None of the closings are in Pennsylvania, New Jersey or Delaware.

The closings are expected to take place in the next two to four weeks. Four of the stores are in Illinois, two in Georgia, two in Virginia, and one each in Indiana, Kentucky, North Carolina, New Hampshire and Tennessee.

There are currently five Fresh Market stores in Pennsylvania, two in New Jersey and one in Delaware.

"Over the last eight months, our company has been executing a turnaround plan, and we've seen great progress," said CEO Larry Appel. "However, for a variety of reasons unique to each retail location, that progress is not evenly distributed and, as a result, we have decided to close these long-term under-performing stores."

The Fresh Market, which currently operates 176 stores in 24 states, has had several stores closings in recent years as competition - both online and brick-and-mortar - has adversely impacted sales.

Giant to open e-commerce hub in Lancaster County, PA

Giant Food Stores recently announced a $22 million investment in Lancaster County, PA. The grocery retailer plans to launch a new e-commerce hub, remodel four stores, lower prices, and open a fuel station in Lititz.

According to a company press release, the e-commerce hub "will be designed with a unique format that offers curbside pickup orders, where online orders are delivered right up to customers' cars parked outside of the hub." Giant also says that the operation will bring 150 new jobs to the community.

The hub will be about 38,000 square feet, allowing Giant and Peapod to serve up to 40% more shoppers. It will be the fifth such facility that Giant has opened in Pennsylvania with Peapod.

Giant expands Peapod service in PA

Giant announced last week that Peapod's shopping and delivery services have become available to customers in a dozen new Pennsylvania zip codes, including stores in Reading, Birdsboro and Temple. The company says that 109 of the 170 stores under the Giant and Martin's banners are now within the geography of Peapod's delivery range.

Through the Peapod website or mobile app, customers can have groceries delivered as soon as the next day after the order has been placed. First-time customers get $20 off their first order and 60 days free delivery.

Giant, Martin's and Peapod are subsidiaries of Ahold Delhaize USA.

Giant adding stores and fuel stations in PA

Ahold Delhaize USA announced last month that Giant will undertake a $70 million capital spending plan that includes six new supermarkets, major remodels to two stores, and five new fuel stations in the next two years. 

New stores are planned for East Stroudsburg and Walnutport, and new stores will replace older locations in Feasterville-Trevose, State College, Warrington and Broomall.

The stores being remodeled are in West Chester and Shrewsbury.

The company also said it would continue to invest in its Beer & Wine Eateries, of which Giant currently has 59. Overall, the grocery retailer has 171 stores in Pennsylvania, Maryland, Virginia and West Virginia.

Sprouts confirms South Philly store but isn't coming to South Jersey

Sprouts Farmers Market announced that its first Pennsylvania store, under construction in South Philadelphia, will open before the end of the year. The 32,000 square foot store will be part of Kimco Realty's Lincoln Square development that includes Target, PetSmart and approximately 350 apartments.

It had been reported since last spring that Sprouts was coming to South Philadelphia and the vacant Macy's space at the Moorestown Mall in New Jersey. However, a spokesperson for PREIT, the mall's owner, said the company is moving forward with another grocer for the site.

Sprouts operates 280 stores in 15 states.

PA ranks second in organic food sales

According to a report published by the U.S. Department of Agriculture, Pennsylvania trails only California in the sale of organic products. Statewide consumption of organic foods in Pennsylvania has increased by about ten times over the past decade, and has doubled from 2015 and 2016.

Nationwide, organic food sales reached $43 billion last year, an increase of 8.4% over the previous year.

"The demand has increased so much," said Cheryl Cook, deputy secretary for market development at the Pennsylvania Department of Agriculture. "We could quadruple and quintuple the production and still not fill the demand."

Consumer neuroscience firm Nielsen told Progressive Grocer that despite the increase in organic sales in recent years, price perception remains the greatest barrier to organic purchases, even though prices are in general decline.

Redner's closing its Doylestown, PA store

Redner's Warehouse Market announced earlier this month that it plans to close its Doylestown Point Plaza store on March 31. Redner's currently operates 44 grocery stores and 21 Quick Shoppes in Pennsylvania, Maryland and Delaware.

"The lease on this location is approaching its end and the property owner presented us with an offer to end the lease early," said Redner's President and CEO Ryan Redner. "Based on the offer, non-renewal of said lease would prove to be the most beneficial direction to take for the company."

Doylestown Point Plaza is owned by Goodman Properties.

Lidl shifting strategy, may consider leasing, smaller stores

Lidl announced earlier this month that it is changing its real estate strategy and may now consider leasing sites, and opening stores in the 10,000 to 21,000 square foot range. Up until now the company has said it would only purchase properties where it would construct 36,000 square foot stores.

William Harwood, Lidl's director of communications, said the change in strategy is an effort to "accelerate our site acquisition along the East Coast." Harwood also noted that Lidl is looking for opportunities in urban areas where larger sites are harder to find.

Harwood claimed that Lidl is "very pleased with how customers have taken to the 47 stores we have opened over the past six months."

However, industry analysts speculate that Lidl's shift in real estate strategy may be due to disappointing results.

A report released by inMarket showed that the first Lidl stores opened in June with a 2.6% share of customer visits in the markets in which it was operating. Its share slid to 2.3% in July and 1.7% in August before rebounding in September to 1.9%. inMarket's chief marketing officer said that he will have a better feeling for the discount grocer's future once holiday traffic is analyzed.

Lidl recently backed out of planned deals in New Jersey, Pennsylvania, Virginia and Ohio.