E-Commerce Times Talkback
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See Full StoryAlbertson's is stepping into the breach left by online grocers
that collapsed under their own cost structure. Because Albertson's
is leveraging its brick-and-mortar presence to fill online orders,
officials believe it will have the staying power that upstarts lacked.
Buoyed by the failures of Webvan and Homeruns.com, Albertson's,
which was already pursuing an online grocery effort in Seattle,
moved quickly to pick up Webvan customers there.
The number of supermarkets offering a full consumer direct channel has doubled in the last year. The market is led, not by home-made services such as Albertsons, nor by companies buying up the pure-play leftovers like Ahold (peapod) nor Safeway (groceryworks). The market is led by small community chains such as GA foods in northwest indiana, snyders IGAs in Oklahoma city as well as small regional chains such as D'Agostino in NYC, Lowes Foods in North Carolina and Farm Fresh in Virginia. These supermarket operators are making money today in their consumer direct efforts by understanding what they can leverage (stores, labor, marketing and customers) and what they cannot (building web, IT or DC infrastructure. Welcome aboard Albertsons.

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