[CONFIRMED] Albertsons FL converting to Safeway

[arizonaguy]

Nice write up.

To me it appears that Albertsons/Safeway is trying to create a "best of both worlds" scenario by mashing up elements of the old Albertsons and Safeway chains. The problem is that neither chain was particularly healthy before the merger and, thus far, the combined entity isn't really bringing any new ideas to the table.

This concept may buy them time in Florida to decide whether or not they want to expand it (either organically or through acquisition) or whether or not they want to pull the plug on the whole operation.

Having former United executive in charge of the Houston division leads me to believe that they want to try to use Houston as a testing ground for multiple formats as United was another 60 store operation with several formats / banners.

[storewanderer]

I am really concerned the combined entity needs some new ideas (not just rehashed Safeway ideas which seems to be most of what is happening lately, as they seem to have run out of Albertsons ideas to bring to the table which appear to be performing questionably at best). They probably really need to tap United for ideas. I think the Albertsons LLC Management needs to remember their old slogan when they took over the 700 poorly performing Albertsons Inc. Stores in 2006: "New Ideas at Work." They need to live by that slogan and come up with new ideas. More than just a burrito bar in Chicago and a burger bar in downtown (uptown?) Dallas. New ideas that will make the shopper who is going to Wal Mart instead of Safeway in rural Colorado just as happy as the shopper who cross shops between Safeway and Whole Foods in San Francisco.

[architect]

I am really concerned the combined entity needs some new ideas (not just rehashed Safeway ideas which seems to be most of what is happening lately, as they seem to have run out of Albertsons ideas to bring to the table which appear to be performing questionably at best). They probably really need to tap United for ideas. I think the Albertsons LLC Management needs to remember their old slogan when they took over the 700 poorly performing Albertsons Inc. Stores in 2006: "New Ideas at Work." They need to live by that slogan and come up with new ideas. More than just a burrito bar in Chicago and a burger bar in downtown (uptown?) Dallas. New ideas that will make the shopper who is going to Wal Mart instead of Safeway in rural Colorado just as happy as the shopper who cross shops between Safeway and Whole Foods in San Francisco.

I definitely agree with this! The biggest issue facing the combined Albertsons/Safeway is a lack of identity across most of their banners, with United/Market Street being the exception. For example, in DFW, Tom Thumb was once known as "the" grocery chain in the area, and was known both for its level of service and upscale product selection. When Safeway took over, they erased every semblance of localism which TT ever had, allowing their market share to be withered away by Kroger, Walmart, and a myriad of other competitors. Similar story with Randall's in Houston. The best grocers today are successful by setting themselves apart, either by selection (Wegmans, Trader Joes) or a strong sense of local identity (Publix, HEB). Even Kroger is able to offer something unique through their Marketplace stores, extensive private-label selection, and local marketing. In contrast, most of the chains which Albertsons now owns just feel generic, and honestly lifeless.

Although the Florida Safeway renovations are a definite improvement over what was there before, there is still little which sets these stores apart from Publix. I don't see this experiment working over the long haul unless if they are able to build a stronger identity for these stores, especially in a market that has almost no existing connection with the Safeway brand.

[pseudo3d]

I am really concerned the combined entity needs some new ideas (not just rehashed Safeway ideas which seems to be most of what is happening lately, as they seem to have run out of Albertsons ideas to bring to the table which appear to be performing questionably at best). They probably really need to tap United for ideas. I think the Albertsons LLC Management needs to remember their old slogan when they took over the 700 poorly performing Albertsons Inc. Stores in 2006: "New Ideas at Work." They need to live by that slogan and come up with new ideas. More than just a burrito bar in Chicago and a burger bar in downtown (uptown?) Dallas. New ideas that will make the shopper who is going to Wal Mart instead of Safeway in rural Colorado just as happy as the shopper who cross shops between Safeway and Whole Foods in San Francisco.

Wait, where does Albertsons (or Tom Thumb) in DFW have a hamburger restaurant? Unless you're talking about a Market Street, how did I miss that?

[storewanderer]

I think it is the new store being built downtown? I thought it was in the news article.

[pseudo3d]

I think it is the new store being built downtown? I thought it was in the news article.

Looks like the deli will also fry hamburgers in addition to making sandwiches (but it also has a wine and beer bar). So in terms of Albertsons, new ideas, and competition, what will make it truly competitive with Publix? Is the answer just "lower prices"?

[pseudo3d]

Albertsons Florida Blog has received new photos over it. AFB thinks it looks nice with the "Citrus City Café" eating area and community bulletin board, as well as local aesthetic touches (another photo has local street names over the aisles). It's not all smoke and mirrors either...the Oakland Park store had a heated case with Cuban bread (according to yelp), something I think you'd be hard to pressed to find in most Albertsons/Safeway stores. Unfortunately, reviews are that things are still pretty pricey (if not moreso than before).

[storewanderer]

I have to laugh at the photo of "Safeway Signature Key Lime Pie." In Altamonte Springs last week, the available Key Lime Pie was a thaw and sell item from some third party provider. Not a store made item and they made no effort to hide that fact. Maybe that will change.

My impression is they have fair prices on staple items but very high on everything else. They are missing the mark on pricing like they always do.

[arizonaguy]

I have to laugh at the photo of "Safeway Signature Key Lime Pie." In Altamonte Springs last week, the available Key Lime Pie was a thaw and sell item from some third party provider. Not a store made item and they made no effort to hide that fact. Maybe that will change.

My impression is they have fair prices on staple items but very high on everything else. They are missing the mark on pricing like they always do.

Heh... sounds just like a typical Safeway.

[veteran+]

I have to laugh at the photo of "Safeway Signature Key Lime Pie." In Altamonte Springs last week, the available Key Lime Pie was a thaw and sell item from some third party provider. Not a store made item and they made no effort to hide that fact. Maybe that will change.

My impression is they have fair prices on staple items but very high on everything else. They are missing the mark on pricing like they always do.

At least the pie is n't greenish...........lol

Florida folks know Real key lime pie and is made with Key Limes and no green food dye.