New Kroger gas station

[HCal]

Kroger is adding a gas station to Foods Co in Bakersfield (White Ln.).

Not that this area needs any more gas stations (Fastrip is right across the street), but I'm glad to see they haven't completely stopped investing in California...

[storewanderer]

Based on the other thread Kroger seems to be doing quite a bit of remodeling at Ralphs. So I don't think they've stopped investing. We can comment on how their remodels look and I can throw out the negative comment that when the remodels look as bad as they do, why do they bother doing them? But they are spending millions on remodels.

Outside California a large percentage of Kroger operations have a fuel station. I am not sure which Smiths lack fuel- I know some in Las Vegas lack fuel but in Nevada outside Las Vegas every Smiths has fuel and has for some time.

Back 10 years or so ago there was a big push within Kroger to get fuel stations added to as many stores as possible. The district manager's and division president's bonus was based on finding sites for fuel stations. So this is why you have some very creative fuel stations where they build across the street from the store, take over some existing gas station near the store, etc. The Ralphs people never seemed to get very into doing this the way the rest of Kroger did- but they did take over a couple existing gas stations (one in San Diego, one in Woodland Hills) across the street from stores.

So this FoodsCo site since it is a Smiths building/lot layout they are very familiar with developing fuel stations on this type of plot and I am surprised it did not happen 10 years ago. But better late than never.

Did Fastrip turn on its chip readers yet? The NorCal ones still haven't done it on the pumps or even inside their store, and I went to one in AZ recently that did have Chip turned on inside the store but still swipe only at the pumps. I mean 7-Eleven still is swipe too at like half of its stations in Reno area but every month or so they upgrade one station.

I also think this is pretty safe evidence that this store is not getting divested...

They have added self checkout to multiple NorCal FoodsCos in 2023. That also took investment.

[ClownLoach]

Based on the other thread Kroger seems to be doing quite a bit of remodeling at Ralphs. So I don't think they've stopped investing. We can comment on how their remodels look and I can throw out the negative comment that when the remodels look as bad as they do, why do they bother doing them? But they are spending millions on remodels.

Outside California a large percentage of Kroger operations have a fuel station. I am not sure which Smiths lack fuel- I know some in Las Vegas lack fuel but in Nevada outside Las Vegas every Smiths has fuel and has for some time.

Back 10 years or so ago there was a big push within Kroger to get fuel stations added to as many stores as possible. The district manager's and division president's bonus was based on finding sites for fuel stations. So this is why you have some very creative fuel stations where they build across the street from the store, take over some existing gas station near the store, etc. The Ralphs people never seemed to get very into doing this the way the rest of Kroger did- but they did take over a couple existing gas stations (one in San Diego, one in Woodland Hills) across the street from stores.

So this FoodsCo site since it is a Smiths building/lot layout they are very familiar with developing fuel stations on this type of plot and I am surprised it did not happen 10 years ago. But better late than never.

Did Fastrip turn on its chip readers yet? The NorCal ones still haven't done it on the pumps or even inside their store, and I went to one in AZ recently that did have Chip turned on inside the store but still swipe only at the pumps. I mean 7-Eleven still is swipe too at like half of its stations in Reno area but every month or so they upgrade one station.

I also think this is pretty safe evidence that this store is not getting divested...

They have added self checkout to multiple NorCal FoodsCos in 2023. That also took investment.

The fact that they are willing and able to operate fuel stations off property, unlike Albertsons Cos., could also indicate that if a store was divested they could still keep the fuel station. They don't appear to be as "connected."

I think that the maintenance issue is the main problem right now at the Ralphs division. They're doing shoddy work to these stores that notorious cheapskates like Walmart would never tolerate. They do plenty of work, but it is absolutely horrible. I can imagine when you have vendors allowed to slap down whatever color and shape of tile they got in the clearance aisle that as the Store Manager you'd probably prefer to just use duct tape to hold down the rest of the floor so at least it will match... I have also complained to Kroger corporate and the Health Dept about the fact that perishables from Ralphs regardless of department do not last to their best-by date which is a problem I do not experience from any other grocery store, but nobody seems to care. Clearly Kroger has directed them to set the temperatures to whatever the maximum upper limit is to save on their energy bills. I would question freight processing, but the frozen foods that tell a story like ice cream are perfectly fine with zero evidence of thawing due to being left out too long.

The remodels we can debate the poor choice of design or the limited scope (as they do not change any drywall, just scrape off old signs/decor and apply new on top even if there are odd shapes or cutouts), but they do fully reset all the aisles in center store to include a new/different assortment which might mean more to the customer than what color the wall is painted.

[pseudo3d]

Based on the other thread Kroger seems to be doing quite a bit of remodeling at Ralphs. So I don't think they've stopped investing. We can comment on how their remodels look and I can throw out the negative comment that when the remodels look as bad as they do, why do they bother doing them? But they are spending millions on remodels.

Outside California a large percentage of Kroger operations have a fuel station. I am not sure which Smiths lack fuel- I know some in Las Vegas lack fuel but in Nevada outside Las Vegas every Smiths has fuel and has for some time.

Back 10 years or so ago there was a big push within Kroger to get fuel stations added to as many stores as possible. The district manager's and division president's bonus was based on finding sites for fuel stations. So this is why you have some very creative fuel stations where they build across the street from the store, take over some existing gas station near the store, etc. The Ralphs people never seemed to get very into doing this the way the rest of Kroger did- but they did take over a couple existing gas stations (one in San Diego, one in Woodland Hills) across the street from stores.

So this FoodsCo site since it is a Smiths building/lot layout they are very familiar with developing fuel stations on this type of plot and I am surprised it did not happen 10 years ago. But better late than never.

Did Fastrip turn on its chip readers yet? The NorCal ones still haven't done it on the pumps or even inside their store, and I went to one in AZ recently that did have Chip turned on inside the store but still swipe only at the pumps. I mean 7-Eleven still is swipe too at like half of its stations in Reno area but every month or so they upgrade one station.

I also think this is pretty safe evidence that this store is not getting divested...

They have added self checkout to multiple NorCal FoodsCos in 2023. That also took investment.

The fact that they are willing and able to operate fuel stations off property, unlike Albertsons Cos., could also indicate that if a store was divested they could still keep the fuel station. They don't appear to be as "connected."

A few years ago, Kroger took over an Exxon gas station that was across the street from a store in a shopping center and turned it into a Kroger gas station and convenience store (this was about the time the convenience store operation was divested). They get merchandise from and are hired by the adjacent store, and would absolutely go with another store if the store was sold or closed for whatever reason.

[HCal]

Did Fastrip turn on its chip readers yet? The NorCal ones still haven't done it on the pumps or even inside their store, and I went to one in AZ recently that did have Chip turned on inside the store but still swipe only at the pumps. I mean 7-Eleven still is swipe too at like half of its stations in Reno area but every month or so they upgrade one station.

I have recently visited Fastrip locations in Bakersfield and Delano which have NFC readers inside the store, but not at the pumps.

I think some Fastrip locations are corporate and others are franchised, so it may vary.

[ClownLoach]

Based on the other thread Kroger seems to be doing quite a bit of remodeling at Ralphs. So I don't think they've stopped investing. We can comment on how their remodels look and I can throw out the negative comment that when the remodels look as bad as they do, why do they bother doing them? But they are spending millions on remodels.

Outside California a large percentage of Kroger operations have a fuel station. I am not sure which Smiths lack fuel- I know some in Las Vegas lack fuel but in Nevada outside Las Vegas every Smiths has fuel and has for some time.

Back 10 years or so ago there was a big push within Kroger to get fuel stations added to as many stores as possible. The district manager's and division president's bonus was based on finding sites for fuel stations. So this is why you have some very creative fuel stations where they build across the street from the store, take over some existing gas station near the store, etc. The Ralphs people never seemed to get very into doing this the way the rest of Kroger did- but they did take over a couple existing gas stations (one in San Diego, one in Woodland Hills) across the street from stores.

So this FoodsCo site since it is a Smiths building/lot layout they are very familiar with developing fuel stations on this type of plot and I am surprised it did not happen 10 years ago. But better late than never.

Did Fastrip turn on its chip readers yet? The NorCal ones still haven't done it on the pumps or even inside their store, and I went to one in AZ recently that did have Chip turned on inside the store but still swipe only at the pumps. I mean 7-Eleven still is swipe too at like half of its stations in Reno area but every month or so they upgrade one station.

I also think this is pretty safe evidence that this store is not getting divested...

They have added self checkout to multiple NorCal FoodsCos in 2023. That also took investment.

The fact that they are willing and able to operate fuel stations off property, unlike Albertsons Cos., could also indicate that if a store was divested they could still keep the fuel station. They don't appear to be as "connected."

A few years ago, Kroger took over an Exxon gas station that was across the street from a store in a shopping center and turned it into a Kroger gas station and convenience store (this was about the time the convenience store operation was divested). They get merchandise from and are hired by the adjacent store, and would absolutely go with another store if the store was sold or closed for whatever reason.

They have multiple Ralphs gas stations that are a mile or more from the grocery store. I can't imagine that they're 100% dependant on the parent grocery store.

[SoCalShopper1023]

There’s a Ralphs branded fuel station that opened in Pasadena, CA a few years ago (in a former 76 station). What’s interesting is that it is right across the street from a Food 4 Less.

I know Kroger also operates Food 4 Less branded fuel stations (I’ve seen one in Highland, CA). So in my opinion, it would made more sense to have given it the Food 4 Less name instead of Ralphs. Especially since there’s no Ralphs stores in the surrounding area.

[storewanderer]

The F4L stations seem to be typical Kroger fuel stations (booth in middle of pumps).

I have only seen two Ralphs fuel stations that follow the typical Kroger fuel station model- one in Murrieta and the other was a store in Bakersfield (Stockdale) that closed and the fuel station was demolished.

The other Ralphs fuel stations I've encountered are all unusual. The Pasadena one and Woodland Hills ones are both former 76 units with large buildings but you still just pay at a window and cannot enter for anything and little merchandise is sold via the window (maybe some cigarettes and candy maybe not even that). The San Diego one you can actually enter and purchase items from and it has what presents as a fairly legitimate but small convenience store.

Smiths Division has about 10 off-site fuel stations with full convenience stores. A couple of these are in Salt Lake City and are former corporate Sinclair sites that Smiths purchased many years ago. These sites were branded "Smiths Express" and are "separate stores" which were remodeled to be identical to a Loaf N Jug in merchandising and were ordering merchandise from Coremark as if they were a Kroger c-store and had higher convenience store type pricing. One in Mesquite, NV is a former Chevron in front of Smiths and that c-store is stocked from the main Smiths and has the same prices as the main Smiths. Then they have a handfull of former Loaf N Jug sites that are blocks/miles from the Smiths Store in town that were retained instead of being sold to EG Group. I am not sure how those are run.

King Soopers and Dillons also operate a handfull of former Loaf N Jug or Kwik Shop sites that were retained instead of being sold to EG Group. In the case of King Soopers many of these were in the store parking lot so they are attached to the main store now. I'm not sure how the detached locations work.

Fred Meyer also has at least a couple stations they operate with a full c-store that was taken over from another party. These seem to follow the pattern of the Mesquite Smiths- store items at store prices.

Frys has one site with a full c-store again taken over from maybe an Arco operator at Rural/Ray in Tempe? This one also follows the pattern of the Mesquite Smiths- store items at store prices.

I am curious how many full c-stores Kroger actually runs. I suspect the number is still close to 100.

[arizonaguy]

Frys has one site with a full c-store again taken over from maybe an Arco operator at Rural/Ray in Tempe? This one also follows the pattern of the Mesquite Smiths- store items at store prices.

There's actually a second Fry's store with a full convenience store. It was taken over by a Chevron operator at 64th St/ Greenway in Phoenix (Scottsdale mailing). Prices there are the same as the main store (I've bought milk there).

[ClownLoach]

The F4L stations seem to be typical Kroger fuel stations (booth in middle of pumps).

I have only seen two Ralphs fuel stations that follow the typical Kroger fuel station model- one in Murrieta and the other was a store in Bakersfield (Stockdale) that closed and the fuel station was demolished.

The other Ralphs fuel stations I've encountered are all unusual. The Pasadena one and Woodland Hills ones are both former 76 units with large buildings but you still just pay at a window and cannot enter for anything and little merchandise is sold via the window (maybe some cigarettes and candy maybe not even that). The San Diego one you can actually enter and purchase items from and it has what presents as a fairly legitimate but small convenience store.

Smiths Division has about 10 off-site fuel stations with full convenience stores. A couple of these are in Salt Lake City and are former corporate Sinclair sites that Smiths purchased many years ago. These sites were branded "Smiths Express" and are "separate stores" which were remodeled to be identical to a Loaf N Jug in merchandising and were ordering merchandise from Coremark as if they were a Kroger c-store and had higher convenience store type pricing. One in Mesquite, NV is a former Chevron in front of Smiths and that c-store is stocked from the main Smiths and has the same prices as the main Smiths. Then they have a handfull of former Loaf N Jug sites that are blocks/miles from the Smiths Store in town that were retained instead of being sold to EG Group. I am not sure how those are run.

King Soopers and Dillons also operate a handfull of former Loaf N Jug or Kwik Shop sites that were retained instead of being sold to EG Group. In the case of King Soopers many of these were in the store parking lot so they are attached to the main store now. I'm not sure how the detached locations work.

Fred Meyer also has at least a couple stations they operate with a full c-store that was taken over from another party. These seem to follow the pattern of the Mesquite Smiths- store items at store prices.

Frys has one site with a full c-store again taken over from maybe an Arco operator at Rural/Ray in Tempe? This one also follows the pattern of the Mesquite Smiths- store items at store prices.

I am curious how many full c-stores Kroger actually runs. I suspect the number is still close to 100.

Murrieta is definitely the standard Kroger model and they do have employees go back and forth across the parking lot to staff and cart over merchandise. But all the other Ralphs stations I've seen in SoCal are unusual, again sometimes 3+ miles from the actual store (Lake Forest, if it's still even there at El Toro and Trabuco?).

Remember too the incredible liability of sending employees driving either in their own car or company car between the store and gas station... Whenever you hear those accident commercials from the lawyers on TV like "I got my client $29 Million Dollars!" what they don't mention is that the responsible party was a commercial business with very deep pockets. So if that employee was driving between the store and gas station on the clock and they hit someone causing serious injury then the store would be liable for anything above and beyond their insurance. It is much, much cheaper and easier to just staff the gas station as a separate operation especially in California. That kind of direction would come from their lawyers and might actually be the reason why they are almost exclusively buying other gas stations in the neighborhood and hanging a Ralphs sign; they can just hire a low paid manager for the station and a couple keyholders.