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The impact of supercenters on traditional food retailers in four markets

The impact of supercenters on traditional food retailers in four markets Focuses on the impact of supercenters on traditional food retailers in four markets, including two small cities (Victoria, Texas; Gainesville, Georgia) and two large cities (Columbus, Ohio; Omaha, Nebraska). Consumer surveys were conducted in order to assess the effects of the entry of Meijer, Wal‐Mart, Kmart, and Target supercenters. The results show supercenters can gain from 15 to 20 percent of primary shoppers and an even greater proportion of secondary shoppers. Furthermore, the supercenter primary shoppers, and especially those of Wal‐Mart and Meijer, identified low price and assortment more often as the reason for store choice. In comparison, traditional supermarket primary shoppers were less willing to trade off locational convenience or, in some cases, quality and assortment. Wal‐Mart is predicted to continue to rapidly gain share at the expense of competitors who do not differentiate themselves in some significant way. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png International Journal of Retail & Distribution Management Emerald Publishing

The impact of supercenters on traditional food retailers in four markets

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Publisher
Emerald Publishing
Copyright
Copyright © 2000 MCB UP Ltd. All rights reserved.
ISSN
0959-0552
DOI
10.1108/09590550010319931
Publisher site
See Article on Publisher Site

Abstract

Focuses on the impact of supercenters on traditional food retailers in four markets, including two small cities (Victoria, Texas; Gainesville, Georgia) and two large cities (Columbus, Ohio; Omaha, Nebraska). Consumer surveys were conducted in order to assess the effects of the entry of Meijer, Wal‐Mart, Kmart, and Target supercenters. The results show supercenters can gain from 15 to 20 percent of primary shoppers and an even greater proportion of secondary shoppers. Furthermore, the supercenter primary shoppers, and especially those of Wal‐Mart and Meijer, identified low price and assortment more often as the reason for store choice. In comparison, traditional supermarket primary shoppers were less willing to trade off locational convenience or, in some cases, quality and assortment. Wal‐Mart is predicted to continue to rapidly gain share at the expense of competitors who do not differentiate themselves in some significant way.

Journal

International Journal of Retail & Distribution Management – Emerald Publishing

Published: May 1, 2000

Keywords: Stores; Hypermarkets; Retailing; Consumer behaviour; Surveys; Supermarkets

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