Safeway to close 3 AZ Stores

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storewanderer
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Safeway to close 3 AZ Stores

Post by storewanderer »

Not real surprised... Southwest division needs to install 8 self checkouts in every store to allow for front end capacity at the level of the average competitor in.Arizona.

http://www.fox10phoenix.com/news/arizon ... the-valley
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Re: Safeway to close 3 AZ Stores

Post by arizonaguy »

storewanderer wrote: June 19th, 2018, 10:50 pm Not real surprised... Southwest division needs to install 8 self checkouts in every store to allow for front end capacity at the level of the average competitor in.Arizona.

http://www.fox10phoenix.com/news/arizon ... the-valley
The 32nd St. / Thunderbird store is in a "transitional" area that seems to have transitioned for the worse in recent years. There's also really no reason to drive by the store unless one is going to the immediate area. The better parts of the area are served by the Tatum / Greenway Safeway and the Cave Creek Rd / Union Hills Dr Albertsons. It does beg the question as to why they closed the Albertsons at Tatum / Shea (which arguably is in the best part of the general area) unless, as I suspect, the property owner is trying to turn the former Albertsons into a Whole Foods Market (and move them from the tiny store across the street).

The 59th Ave / Thunderbird store is also in a "transitional" area although retail in that area seems pretty healthy and it's in a healthy shopping center. It simply doesn't get a lot of business especially not compared to a very busy Fry's store across the street. Interestingly enough 59th. Ave / Thunderbird has a fuel center. Safeway has closed the other 2 stores in this general area over the past few years (67th Ave / Peoria and 51st Ave / Olive) but there is an Albertsons 2 miles away at 51st Ave / Cactus that seems to preform decently well.
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Re: Safeway to close 3 AZ Stores

Post by architect »

arizonaguy wrote: June 20th, 2018, 6:26 am
storewanderer wrote: June 19th, 2018, 10:50 pm Not real surprised... Southwest division needs to install 8 self checkouts in every store to allow for front end capacity at the level of the average competitor in.Arizona.

http://www.fox10phoenix.com/news/arizon ... the-valley
The 59th Ave / Thunderbird store is also in a "transitional" area although retail in that area seems pretty healthy and it's in a healthy shopping center. It simply doesn't get a lot of business especially not compared to a very busy Fry's store across the street. Interestingly enough 59th. Ave / Thunderbird has a fuel center. Safeway has closed the other 2 stores in this general area over the past few years (67th Ave / Peoria and 51st Ave / Olive) but there is an Albertsons 2 miles away at 51st Ave / Cactus that seems to preform decently well.
This store seems to have been underperforming for a while, as Safeway retained the old three bulb fluorescent fixtures throughout center-store when doing its Lifestyle remodel, indicating cost cutting. Most of the stores which Safeway did this at were either low volume or scheduled to be replaced.
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Re: Safeway to close 3 AZ Stores

Post by SamSpade »

The third store is a Tucson Albertsons, 6363 E. 22nd Street. https://www.kgun9.com/news/state/safewa ... in-phoenix
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Re: Safeway to close 3 AZ Stores

Post by arizonaguy »

SamSpade wrote: June 20th, 2018, 11:35 pm The third store is a Tucson Albertsons, 6363 E. 22nd Street. https://www.kgun9.com/news/state/safewa ... in-phoenix
This is what I would consider a "duplicative" store in a marginal area. There's a Safeway 1 mile south at Wilmot / Golf Links.
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Re: Safeway to close 3 AZ Stores

Post by arizonaguy »

architect wrote: June 20th, 2018, 8:38 pm
arizonaguy wrote: June 20th, 2018, 6:26 am
storewanderer wrote: June 19th, 2018, 10:50 pm Not real surprised... Southwest division needs to install 8 self checkouts in every store to allow for front end capacity at the level of the average competitor in.Arizona.

http://www.fox10phoenix.com/news/arizon ... the-valley
The 59th Ave / Thunderbird store is also in a "transitional" area although retail in that area seems pretty healthy and it's in a healthy shopping center. It simply doesn't get a lot of business especially not compared to a very busy Fry's store across the street. Interestingly enough 59th. Ave / Thunderbird has a fuel center. Safeway has closed the other 2 stores in this general area over the past few years (67th Ave / Peoria and 51st Ave / Olive) but there is an Albertsons 2 miles away at 51st Ave / Cactus that seems to preform decently well.
This store seems to have been underperforming for a while, as Safeway retained the old three bulb fluorescent fixtures throughout center-store when doing its Lifestyle remodel, indicating cost cutting. Most of the stores which Safeway did this at were either low volume or scheduled to be replaced.
It's the one "surprise" store of these 3 stores though. It's in arguably the best neighborhood of the 3 stores and is in a very healthy shopping center. I'd argue that the nearby Albertsons seemed more likely to close (although it did get a fairly recent LLC remodel). This store also has a fuel center (which Safeway typically didn't install on its poorer preforming stores) and formerly had self checkout (another sign of a higher preforming store as only the highest volume stores in the Phoenix area ever had it). My guess is that the Walmart Supercenter and WinCo 2 miles north at 59th Ave, / Bell Rd. along with pricing pressure from the Fry's (which also has added a fuel center over the last 5 years) as well as demographic shifts have done it in.
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