Tight times benefit grocery stores

| Print |  Email
Archives - November 2008
Saturday, November 01, 2008

STATEWIDE The economic slowdown hasn’t kept grocery-store carts from rolling.

As companies small and large operating across the Oregon business landscape reel from the economic downturn, value-oriented grocery stores are holding their own — for now.

“In terms of overall traffic, it’s up,” says Joe Gilliam, president of the 300-member Northwest Grocery Association. “Unfortunately, [it’s] at the expense of our friends in the restaurant industry.”

Last month, Costco Wholesale Corp., the bulk grocery retailer, announced a 7% increase nationwide in fourth-quarter profit, with overall revenue  up 13% from last year.  At Kroger, the parent company of Fred Meyer, overall earnings increased 12% in its second quarter ending in August compared to last year, according to filings with the Securities and Exchange Commission.

Gilliam sees a profound shift in consumers’ shopping habits at grocery stores. He says more people are seeking bargains with coupons and even more are buying in bulk. “People are filling their pantries more than they did in the past,” he says.

Gilliam also notes more shoppers fleeing high-end grocery stores such as Whole Foods to more value-based stores such as Winco Foods and Safeway. “Everyone is trying to make their bucks stretch,” he says.

The value of Whole Foods Market stock has dropped more than 30% since this time last year.  And restaurants? Total sales are down 4% for the year.     

JASON SHUFFLER


Have an opinion? E-mail This e-mail address is being protected from spambots. You need JavaScript enabled to view it

 

 

More Articles

Political Clout

November/December 2014
Wednesday, October 22, 2014
BY KIM MOORE

Businesses spend billions of dollars each year trying to influence political decision makers by piling money into campaigns.


Read more...

Old school: Paulsen's Pharmacy maintains old fashion ethos

The Latest
Thursday, December 18, 2014
121914-pharmacy-thumbBY MEGHAN NOLT

VIDEO: Under the radar — complete with a soda counter, the traditional Paulsen's Pharmacy looks to compete with big box retailers.


Read more...

The short list: 5 hot coffee shops for entrepreneurs

Contributed Blogs
Friday, November 14, 2014

CupojoeBY JESSICA RIDGWAY

Oregon entrepreneurs reveal their favorite caffeine hangouts.


Read more...

The short list: 4 companies engaged in a battle of the paddles

The Latest
Thursday, December 04, 2014
pingpongthumbBY JACOB PALMER | OB DIGITAL NEWS EDITOR

Nothing says startup culture like a ping pong table in the office, lounge or lobby.


Read more...

Growing a mobility cluster

News
Friday, October 31, 2014
0414 bikes bd2f6052BY LINDA BAKER | OB EDITOR

Why are there so few transportation startups in Portland?  The city’s leadership in bike, transit and pedestrian transportation has been well-documented.  But that was then — when government and nonprofits paved the way for a new, less auto centric way of life.


Read more...

Tackling the CEO-worker pay gap

January-Powerbook 2015
Thursday, December 11, 2014
BY OREGON BUSINESS STAFF

An SEC rule targets the disparity between executive and employee compensation, reigniting a long-standing debate about corporate social responsibility.


Read more...

The clean fuels opportunity

News
Monday, November 10, 2014
111014-dirtyfuel-thumbBY KIM MOORE | OB RESEARCH EDITOR

A market for low-carbon transportation fuels has a chance to flourish in Oregon if regulators adopt the second phase of the state’s Clean Fuels Program.


Read more...
Oregon Business magazinetitle-sponsored-links-02
SPONSORED LINKS