Rite Aid finally updating acquired PayLess stores

[Super S]

It looks like Rite Aid is finally making a big effort to remodel the remaining unremodeled former PayLess/Pay 'N Save stores, most of which have not been remodeled in fifteen years or more. I have now seen three recent remodels: Kelso, WA; Sherwood, OR; and today, one that caught me a bit off guard: Tigard, Oregon, which was a well-preserved former PayLess that even still had the lighted PHARMACY sign inside. I did not get a chance to go inside, but could see that the old sign was gone, the walls were redone, and that the store has consolidated into a slightly smaller space, which should do away with shelves blocking off parts of the store.

I have said this before: It was fun stumbling across the occasional intact interior from the PayLess & Pay 'N Save days. However, in this day and age stores need to be updated in order to stay competitive. Rite Aid might be watching as some chains that failed to update, such as Kmart, are failing. They are also responding to the fact that Walgreens continues expanding, not to mention Walmart, Fred Meyer, and the supermarket pharmacies such as Safeway. Target has even gotten into the pharmacy game in recent years. Rite Aid has finally realized they need to do something to stay in the game.

[submariner]

It looks like Rite Aid is finally making a big effort to remodel the remaining unremodeled former PayLess/Pay 'N Save stores, most of which have not been remodeled in fifteen years or more. I have now seen three recent remodels: Kelso, WA; Sherwood, OR; and today, one that caught me a bit off guard: Tigard, Oregon, which was a well-preserved former PayLess that even still had the lighted PHARMACY sign inside. I did not get a chance to go inside, but could see that the old sign was gone, the walls were redone, and that the store has consolidated into a slightly smaller space, which should do away with shelves blocking off parts of the store.

I have said this before: It was fun stumbling across the occasional intact interior from the PayLess & Pay 'N Save days. However, in this day and age stores need to be updated in order to stay competitive. Rite Aid might be watching as some chains that failed to update, such as Kmart, are failing. They are also responding to the fact that Walgreens continues expanding, not to mention Walmart, Fred Meyer, and the supermarket pharmacies such as Safeway. Target has even gotten into the pharmacy game in recent years. Rite Aid has finally realized they need to do something to stay in the game.

Agreed, it's one thing to upkeep the old decor, but most places end up letting it yellow and decay long after useable life.

[storewanderer]

Rite Aid is sure guilty of that.

Rite Aid has good momentum as far as their sales and profit trends go. In my view, the employees in the stores seem pretty friendly, in stock conditions have improved dramatically, and pricing is below CVS and Walgreens (no bargain by any means but below). I think the new management, with their grocery background, due to the ongoing financial performance improvement, has finally been able to focus more on the store experience and merchandising. Old management was very hindered by the company's financial situation then hindered by the messy Eckerd purchase that I believe set Rite Aid back about five years.

[Super S]

Rite Aid is sure guilty of that.

Rite Aid has good momentum as far as their sales and profit trends go. In my view, the employees in the stores seem pretty friendly, in stock conditions have improved dramatically, and pricing is below CVS and Walgreens (no bargain by any means but below). I think the new management, with their grocery background, due to the ongoing financial performance improvement, has finally been able to focus more on the store experience and merchandising. Old management was very hindered by the company's financial situation then hindered by the messy Eckerd purchase that I believe set Rite Aid back about five years.

In some of the larger, unremodeled PayLess stores, it was common to have large sections of the store blocked off by shelving. Anything from a few corners up to a third of the store. When not blocked off, there were simply large gaps on the shelves all over the stores. This looked really bad. I think some of these stores, as they consolidate into smaller spaces, are looking more well-stocked simply by rearranging things while not adding anything new to inventory.

Rite Aid, in some areas of the Northwest, was in a hurry when they acquired PayLess. They closed some of the larger stores and replaced them with smaller ones which had odd layouts, and closed others with little notice and no replacement, which has resulted in spotty location coverage when compared to Walgreens. Their actions early on sent a lot of people to competitors.

[kr.abs.swy]

They recently remodeled the store in Albany, Oregon, and walled off a portion of the former space. This is a store in a strip mall with an Albertsons and would have to have been a PayLess (although I don't know that for certain).

[storewanderer]

It is interesting to see Rite Aid investing in these older, larger, strip mall based Payless Stores in the Northwest now. I think this is due to a number of factors. Many are in shopping centers that have sort of, revitalized. Maybe the grocer has moved out but people like Ross or some other random thing have come in to help bring foot traffic to the centers. Some of these centers were largely dark for a while. Given that Rite Aid sells many of the same items as a grocery store often at a higher price, it is actually better for them to not be in with a grocery store at this point.

[Alpha8472]

There was this really rundown former Thrifty drug store near my house. I had given up hope that it would ever be remodeled. I needed to buy some medications really quickly today. I was shocked to see that the entire store had been remodeled into the new Rite Aid Wellness format.

I was in awe of what I saw. The entire store looked like it was brand new. The floors were brand new and had a wood grain pattern. Even the walls had wood grain. The aisles were all arranged into little groups for each department. The fluorescent lighting was replaced by warm colored spotlights. Instead of a Pharmacy sign, there was a Pharmacist sign. The entire feel of the store was very upscale and posh. It was like visiting a Whole Foods Market. They even had a larger selection of organic and natural foods. The Wine aisle was really fancy and looked like it was stocked with quite a huge selection.

The Thrifty ice cream counter is still present in the store, but it was joined with the main checkout counter. Previously this store had Thrifty checkstands. Now it has a counter style checkout with many checkouts.

Rite Aid by far has the best drugstore decor of any major chain. I wonder if any other stores in my area have been transformed recently.

[Super S]

A few days ago I visited the Rite Aid in Warrenton, Oregon. This is another former PayLess, and is undergoing a remodel. Like others, it is being consolidated into a smaller space. What I found interesting, however, is that the pharmacy had been moved to the back center of the store, maybe because it was in the area which is now walled off. Many of the former PayLess stores have kept the pharmacy in the same spot after remodels. This Rite Aid in particular has hung in there, as there has been a LOT of new retail development along that area of highway 101 in the last few years.