The Friday Checkout is a weekly column providing more insight on the news, rounding up the announcements you may have missed and sharing what’s to come.
Even with inflation firmly in the rear view mirror, people are continuing to place heavy emphasis on price when shopping for groceries — so it’s hardly surprising that the ability to provide value is a key predictor of success in the latest edition of Dunnhumby’s Retailer Preference Index, released this week.
That finding is particularly noteworthy because it is juxtaposed with Dunnhumby’s conclusion that e-commerce lost ground as a determiner of financial performance in the grocery industry last year for the first time since the analytics company launched the index nearly a decade ago.
Taken together, those factors propelled grocers best known for providing value, such as Lidl, up in the list at the expense of more digitally savvy retailers like Amazon, which moved down. The top ten grocers in the RPI ranking included a who’s who of discount players, including Market Basket, Aldi and WinCo Foods.
Dunnhumby noted that top performers in its Retailer Preference Index won their spots by taking friction out of the shopping experience through time-honored tactics like keeping shelves stocked and moving customers through stores quickly — not by relying on e-commerce. Target was second only to Amazon in the index’s digital pillar, yet it was one of the biggest overall decliners in the list, underscoring the importance shoppers place on a dependable brick-and-mortar experience when deciding where to direct their spending.
Many grocers have spent heavily in recent years to win shoppers through technological innovations, and those future-focused investments have certainly been impactful in building ties with shoppers. But as Dunnhumby’s research demonstrates, sometimes the surest path to success runs through the past.
In case you missed it
Los Angeles fire destroys local grocery stores
As the death toll climbs from the devastating fires in the Los Angeles area, people are also being impacted by the destruction of stores in the area.
Gelson’s Palisades store was “completely lost to the fires,” the grocer’s President and CEO Ryan Adams said in a statement Wednesday. A Ralphs store in Palisades has also burnt down, NBC News reported.
“This store was more than just a place to shop—it was a cornerstone of the community, and we grieve this loss alongside the team members, customers, and neighbors who called it their own,” Adams said.
Mobile tech focuses on in-person shopping
Innovations in mobile technology are rolling out across retail — and now they’re zeroing in on the store experience, according to a new study by Incisiv conducted in collaboration with Verizon Business and Cisco.
By 2026, 42% of retailers plan to implement mobile apps with in-store features — more than double the 19% that currently do, according to the findings released Tuesday.
Retailers have rolled out scan-and-go checkout, list-making tools and other in-store app features, and it appears new features are on the horizon as in-person shopping continues to dominate over digital.
Still no toast to alcohol sales across Maryland grocers
Legislators in the state have tried for years to allow alcohol sales in more grocery stores, but booze is reportedly not a top political agenda item this year.
While Gov. Wes Moore has indicated support for allowing liquor sales in Maryland grocery stores, state Senate President Bill Ferguson recently told The Baltimore Sun that pushing for that policy change isn’t a priority, even though he would support the sale of beer and wine at those stores.
Impulse find
Is the sushi restaurant at Wegmans’ Manhattan store finally opening?
New Yorkers have been waiting for over a year for the Japanese restaurant at the Wegmans at 499 Lafayette St. — and hopefully won’t have to wait much longer.
Time Out reported this week that the restaurant, called Next Door at Astor Place, has indirectly announced an update on its opening: a job posting to be the restaurant manager says that it is slated to open “in early 2025.”
“Led by chef Oliver Lange and our exceptional team, you will help deliver delicious contemporary Japanese cuisine which draws inspiration from around the world,” according to the job posting cited by Time Out.