Safeway will begin making two of its own-label brands — “O Organics” and “Eating Right” –- available in other retail chains, and believes that the brands have the potential of generating $1 billion in sales in the next few years. Brandweek Cited on MorningNewsBeat.com Brandweek (Sept. 12, 2008)
On Friday, Safeway opened its Lifestyle format in Bellevue, Washingon, replacing an older Safeway supermarket. The store is the first of its kind in the Seattle market. The upscale Lifestyle format features a gelato bar, a nut bar, wine cellar, fireplace, sushi bar, and a Starbucks. Progressive Grocer (June 30, 2008)
Although net income dipped due to a year-earlier tax gain, Safeway reported same store sales growth of 4.5% and identical store sales growth (excluding remodeled and relocated stores) or 4.4% in the 4th quarter. Revenue increased 6.8% to $13.36 billion, partly as a result of greater fuel sales. Gross margin fell from 29.1% to 28.7%, [...]
An AP article also makes predictions about: food safety issues, “bad” foods fighting back, “new” sugars and milk sold by the species of cow from which it comes. On the topic of glammed-up groceries, Safeway is planning “lifestyle” stores that will feature larger departments, wood-like flooring, specialty food bars and soft lighting. AP on Seattle Post-Intelligencer [...]
Steve Burd, chairman, president and chief executive officer, of Safeway described the format as an experiment, rather than a launch, at an investors conference in Pleasanton, CA, this week. He didn’t cite the size or configuration of this experimental new format, though Safeway has been reported to be searching for 20,000-square-foot sites, suggesting that they [...]
SupermarketNews.com writes that the retailer has reportedly hired Cornish & Carey Commercial, a Santa Clara, CA-based real estate brokerage, to find 20,000-square-foot locations in the San Jose area. In September, Steve Burd, Safeway chairman, president and chief executive officer, said that his company would monitor Tesco’s experience with the small-store format and consider a competitive response. Supermarket News (Dec. [...]
The decision to award points at other retail stores and online sellers comes shortly after Kroger’s decision to partner with Safeway’s Blackhawk prepaid gift card subsidiary. Previously, Kroger awarded points only for purchases in Kroger-owned stores. Supermarket News (Dec. 6, 2007)
Blackhawk Network Inc., a wholly-owned Safeway subsidiary, is a leader in the third-party, prepaid gift card market, with pretax profits expected to double this year to about $100 million. Sales are estimated to reach about $170 million, a small portion of Safeway’s $40 billion in annual revenue, but an important area of growth for a [...]