It doesn't need to run things as a separate division or region. Like I said before, Kroger *supposedly* localizes each store to the store and not to the division like Albertsons does, therefore the former Hiller's stores should still largely carry the same items they did before (and by the way, other Kroger stores like Ralphs DID have that concept). The specialized programs at Paul's don't necessarily conflict with Albertsons' systems (like, say, if they had their own loyalty/rewards card, which for what it's worth, they DID) and help give the stores a local identity.architect wrote:Honestly, this difference in approach demonstrates the competency in management between Kroger and Albertsons. Since Hiller's was a chain of only 6 stores, there is no economically feasible way to retain these stores as a separate division and manage separate marketing/merchandising efforts for these locations alone. Although Kroger can (and often does) take ideas from chains they acquire, some specialized programs can either be too complex to manage (such as the Hiller's bar concept) or require an order of certain products in extremely low volumes (which is usually cost-prohibitive). On the other hand, Albertsons attempts to manage (but not import) exclusive programs from Paul's will stretch the company's resources and ultimately just delay the process of integrating these stores in the Albertsons fold.pseudo3d wrote:With all due respect, I think there is a bit of a difference. I believe Kroger closed the stores for a longer time to redecorate, and I don't think they kept any of the Hiller's programs (wide beer selection, the bar in the new store) while Albertsons at least kept a few of the programs as a test run (the donuts, and I've heard McCall's clothing dept.)storewanderer wrote: Kroger did to Hiller's what Albertsons just did to "Paul's." The bottom line is if these changes fail, the customers will shop elsewhere and stores will ultimately close. The customers are the boss and they always vote with their feet.
Both had owners who were sell-outs, though.
Tying this back in with Harris Teeter, which IS large enough to run as a separate division, converting to Kroger would require a massive change of systems that Harris Teeter isn't equipped for and would generally be a downgrade in all categories but price. The idea would be that the stores cross-pollinate to create a better supermarket, but historically acquisitions means that the identity largely dissolves as new management finds new ways to cut corners and homogenize.