Unhappy Consumers Still Shop Chain Stores

Discussion
Jul 17, 2003
George Anderson

By George Anderson


A report from the nonprofit Boston Consumers’ Checkbook says consumers are
unhappy with large chain retail stores, even as they continue to shop in them
anyway.


Stop & Shop’s and Shaw’s Supermarkets’ prices in the Boston market were
said to be higher than Demoulas and Hannaford. The Boston Globe reports that
Consumers’ Checkbook’s market basket evaluation found “national brand products
would cost about 18 percent less at Demoulas than at Stop & Shop. For a
family spending $125 per week, an 18 percent savings would total more than $1,100
over a year.”


Barry Berman, executive vice president of procurement and marketing, Stop &
Shop disagreed with the findings. He told the Boston Globe, ‘Our research tells
us our customers like our stores, our prices, and the quality of the products
we offer to them. I think it shows in the market share we have.’


Roche Brothers, Sudbury Farms and Trader Joe’s were given high quality ratings
compared to the chains, which were perceived less favorably by consumers.


Large chain stores in other formats, such as DIY, also fared poorly in the
Consumers’ Checkbook evaluations.


Moderator’s Comment: If consumers are so unhappy, why
do they continue to shop at the very stores they criticize?


Three words – location, location, location.
[George
Anderson – Moderator
]

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