- The Washington Post reports this morning that supermarket wars are brewing in northern Virginia, as numerous competitors look to take advantage of the high growth rate occurring there.
The Post reports, “Over the next year, Harris Teeter will open three supermarkets -- all of them in Loudoun County. Safeway will open stores in Fairfax City, Herndon and Mount Vernon, but just one in Maryland. And Wegmans, which built its first Washington area store in Sterling, will open another one in Fairfax City.” And this doesn’t even include the competition coming from the likes of Whole Foods, Trader Joe’s, Food Lion, and Shopper’s Food Warehouse.
The paper estimates that some $8.2 billion in annual sales are generated by the region, and questions whether Safeway and Ahold-owned Giant could be vulnerable in the new environment.
- The grocery price wars continue in the UK, as Tesco announced an average nine percent reduction on 500 grocery items, which will total about $153 million (US). The company also has created a service on its website that allows consumers to do price comparisons with its competition, including Asda, Sainsbury and Morrison’s.
- Ahold announced that it is selling its 32-unit, Brazilian G. Barbosa chain to a US investment firm, Acon Investments. Terms of the deal were not disclosed, but speculation is that Ahold will make more than $100 million (US) on the sale.