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.
Club retailers are looking beyond their low prices and bulk offerings to draw in customers by turning to digital innovations and expanded grocery offerings.
Sam’s Club unveiled several initiatives earlier this week to help it stand out. The Walmart-owned chain is opening a store next week in Grapevine, Texas, where customers will use the retailer’s Scan & Go app and AI-based receipt verification technology instead of checkout counters. It’s a move that aims to “take friction out” of the shopping experience, Sam’s Club President and CEO Chris Nicholas said during a Groceryshop panel this week.
That’s not all. Nicholas told Omni Talk that the store will have more refrigeration space, a big sushi island — “People love sushi,” he noted — and a mural painted by a local artist. (Costco has also tried its hand at sushi counters stateside and reportedly seen success.)
Meanwhile, Costco CFO Gary Millerchip told investors at the end of September that the chain is lowering prices on its Kirkland Signature products. This included lowering the price of Kirkland Signature boneless chicken tenderloins by 13%, he said. Other private label price cuts included reducing standard foil by $2, to $29.99; macadamia nuts by $5, to $13.99; two-pack baguettes by $1, to $4.99; and 3-liter of Spanish olive oil by $4, to $34.99.
Costco has also recently added more international food products such as paneer cheese, Punjabi cookies and fried tofu kimbap as well as Kirkland Signature products like organic golden maple syrup and aerosol whipped cream, Millerchip said.
“We've got some great items coming up this next year in Kirkland Signature that will continue to enhance that value proposition to our members,” Millerchip said, noting that shifting some of its production capabilities from overseas to local markets has helped the chain pass savings along to customers.
In case you missed it
Albertsons appeals to wealthy, suburban consumers
A recent Placer.ai report looking at Albertsons’ third-quarter foot traffic noted that wealthy and suburban consumer segments are more likely to visit Albertsons’ banner stores than younger consumer segments.
The report stated that Albertsons captured 14% of “ultra wealthy families” compared to just over 11% of “upper suburban diverse families” and around 7% of “young professionals” as well as “educated urbanities.” These findings also show that Albertsons has strong growth potential among young, educated segments of shoppers, Placer.ai noted.
Food Bazaar sets up shop in vacant Stop & Shops
The regional grocer has moved into several former Stop & Shop locations — one in Hempstead, New York; another in Carlstadt, New Jersey; and a third in Brooklyn, New York, Newsday reported earlier this week.
The local news outlet noted that Food Bazaar plans to continue entering storefronts previously occupied by Stop & Shop, with two set to open on Oct. 18 in Bridgeport, Connecticut, and Piscataway, New Jersey.
Instacart expands partnership with streaming provider
Instacart announced Wednesday that it is growing its partnership with Roku. The expanded tie-up will offer CPG advertisers broader scale and insights through new interactive ad formats — including shoppable ads and home screen ad formats — as well as enhanced targeting capabilities and closed-loop measurement, according to the press release.
Impulse find
Back to the Future shopping carts
Imagine never having to deal with a shopping cart’s broken, squeaky or stuck wheel again.
Introducing Palletrone, a flying shopping cart (yes you read that right).
Developed by researchers at SeoulTech University, the Palletrone is a drone-based floating cart that is designed to hover and transport goods over any terrain, including bags full of groceries across supermarket floors, Fast Company reported earlier this month.
The cart is able to keep itself level — even when loaded unevenly — and has a handle that people can use to steer it around.
The Palletrone can theoretically carry up to 25 pounds but has only been tested with just under 6.5 pounds of weight, meaning it’s not quite ready for a weekly grocery haul.
