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David Livingston

Principal
DJL Research

Save-A-Lot Delivers to Bring In New Shoppers

August 26, 2010

FROM RETAILWIRE:
Instead of taking more traditional approaches to a new store opening, a Save-A-Lot in Louisiana decided to go directly to potential customers in the area with bags of free groceries. What do you think of Save-A-Lot's approach to attracting shoppers to its new store in Louisiana?      [more...]

MY COMMENTARY:

Save-A-Lot has been opening stores in the food deserts of New Orleans, however, as soon as Wal-Mart reopened, they were made redundant.

Typically I'm finding Save-A-Lot in Louisiana under-performing, even when they are the only store in the food desert. It's mostly a cultural thing. First, consumers don't see Save-A-Lot as a low priced store if there is a Wal-Mart nearby. Then, in Louisiana a successful store needs tobacco, alcohol, freshly baked French bread, and locally manufactured Cajun foods. What you end up with at Save-A-Lot is a food desert inside a food desert, since Save-A-Lot in Louisiana looks like a Save-A-Lot in Ohio.

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