Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
I'm from Western NY (grew up there) - I still don't get the obsession with Wegmans. Just another grocery store to me. I'd rather not see Wegmans buy it, just so I don't have to see 1000 posts on Facebook from all my friends blabbering about Wegmans... I have a lot of friends here who moved from ROC as well and you'd think it was the holy grail or something. I don't get it.
I have only experienced Wegman's in Northern Virginia, and I just have to say, there's something about it. My husband and I called it the "Disneyland of grocery stores". I loved their prepared foods. I loved that they sent a magazine with recipe ideas for the month and everything you needed was right in one section of the store. And at least in Northern VA (competition was Safeway, Giant and a couple of Harris Teeters) their prices blew away the others, enough for us to drive 30 minutes to go there once or twice a month.
The new Publix in Indian land has *some* of that type of charm going for it. They send out little magazines. You can go in and sample a meal with the ingredients right next to it to make that meal that evening. But man, I do miss Wegmans. All of us, including the ROCcies can't be totally wrong, right?
I don't think they "desire" to have an HT on every corner. I think that was part of the reason you saw the 201Central concept (even though I have no idea if that's been successful so far). But they "desired" to take away potential locations from Publix.
Coincidentally I visited my first 201 Central out in Weddington today. There is a Harris Teeter right across the street, of course. I just don't understand why they didn't turn our local doubled-up locations into the proper Teeter (at Shoppes at Ardrey Kell) and a 201 Central in the former Lowes location.
I'll admit I wasn't expecting much when I walked into the 201 Central but it's definitely wildly different than a grocery store. A slew of craft beer and wine, plus kegs and only a few aisles of "specialty" foods (I take that with a grain of salt when I pass Grey Poupon and French's mustard on my way to the checkout).
It felt like a much more nicely decorated Total Beverage or Total Wine to me, but with only about 75% of the selection you'd find in that type of store.
We'd definitely visit the Hunter's Crossing store more if it were a 201 Central instead of yet another Harris Teeter.
By the way, I arrived early for my appointment in that shopping center so I spent about 30 minutes in the parking lot waiting and eyeing the new 201 Central for traffic. Saw 3 people leave with small purchases from the store. It was 3:30 on a Monday, but traffic was definitely less than you'd see with a regular grocery store. Just not sure 201 Central is necessarily a recipe for success for HT either.
Florida-based Publix Super Markets is weighing a bid for Matthews-based Harris Teeter Supermarkets after the grocer said last month it was considering selling the company. Dutch grocer Royal Ahold also has expressed interest. Publix Super Markets Said to Be Mulling a Bid for Harris Teeter - Bloomberg
Last year people were saying it would be Food Lion that goes down and Harris Teeter would prevail, but I knew Food Lion would will not leave without putting up a fight and lowering prices, also you have to know they are all competing with Super Center Walmarts now.
Food Lion has struggled for years. I can only see more stores closing.
Quote:
Originally Posted by SunnyKayak
Florida-based Publix Super Markets is weighing a bid for Matthews-based Harris Teeter Supermarkets after the grocer said last month it was considering selling the company. Dutch grocer Royal Ahold also has expressed interest. Publix Super Markets Said to Be Mulling a Bid for Harris Teeter - Bloomberg
Ahold USA - 32%
Private Equity - 22%
Publix Super Markets - 22%
Kroger Company - 18%
None of the above - 6%
If Ahold USA becomes successful in acquiring Harris Teeter, what is the likelihood of reacquiring Bi-Lo with Winn Dixie under the umbrella? Ahold USA would extend its reach into the deep southern United States and Florida.
If Publix Super Markets acquires Harris Teeter, they would be in for a rapid expansion into Delaware, Maryland, Virginia and the District of Columbia. Publix usually does not acquire entire chains and is organic in its growth.
Kroger Company could acquire Harris Teeter if it wanted to extend its reach into the Carolinas again under a regional banner.
Location: The place where the road & the sky collide
23,813 posts, read 34,657,307 times
Reputation: 10256
Quote:
Originally Posted by Carolina Knight
Food Lion has struggled for years. I can only see more stores closing.
Ahold USA - 32%
Private Equity - 22%
Publix Super Markets - 22%
Kroger Company - 18%
None of the above - 6%
If Ahold USA becomes successful in acquiring Harris Teeter, what is the likelihood of reacquiring Bi-Lo with Winn Dixie under the umbrella? Ahold USA would extend its reach into the deep southern United States and Florida.
If Publix Super Markets acquires Harris Teeter, they would be in for a rapid expansion into Delaware, Maryland, Virginia and the District of Columbia. Publix usually does not acquire entire chains and is organic in its growth.
Kroger Company could acquire Harris Teeter if it wanted to extend its reach into the Carolinas again under a regional banner.
Each of the chains has something to gain. Harris Teeter would take Ahold south with overlap in DE, MD, & VA. It would take Publix up to DE. Kroger has been checking out locations in the Philadelphia market & the Teeter acquisition would take them to DE as well as reaching southern markets.
I wonder if this is nothing more than Ruddick Corporation of Charlotte (aka Harris Teeter) deciding to get out of the high end grocery market while the getting is still good.
Certainly they must see the writing on the wall. Despite what the media says, the average household income in the USA continues to drop, each quarter the number of people on food stamps and other EBT programs continues to hit new records, and for most people, the wealth isn't coming back. Hence, the market for the type of grocery store that Harris Teeter and Publix play in, is shrinking. And if either tries to expand into the vast area that makes up much of the South outside of the large cities. (and for that matter most of the USA) they will be doing direct battle with Walmart and that is a war that HT knows it will lose. The stores that do succeed in this market, Ingles/Lowes in this area do so because they understand their local market and provide something that Walmart doesn't. This is why FoodLion as failed. It's Northern European management can't figure it out.
Hence, IMO, Ruddick is selling out because it knows a shake out is coming and they want to get as much money as they can for their investment in HT before it does. These investors will go on to something else. Meanwhile, the handful of grocery stores left will continue to battle over an ever shrinking demographic their high end stores are aimed at.
(BTW, this is why Publix will never knock Winn Dixie/Bilo out of the way.)
I wonder if this is nothing more than Ruddick Corporation of Charlotte (aka Harris Teeter) deciding to get out of the high end grocery market while the getting is still good.
Certainly they must see the writing on the wall. Despite what the media says, the average household income in the USA continues to drop, each quarter the number of people on food stamps and other EBT programs continues to hit new records, and for most people, the wealth isn't coming back. Hence, the market for the type of grocery store that Harris Teeter and Publix play in, is shrinking. And if either tries to expand into the vast area that makes up much of the South outside of the large cities. (and for that matter most of the USA) they will be doing direct battle with Walmart and that is a war that HT knows it will lose. The stores that do succeed in this market, Ingles/Lowes in this area do so because they understand their local market and provide something that Walmart doesn't. This is why FoodLion as failed. It's Northern European management can't figure it out.
Hence, IMO, Ruddick is selling out because it knows a shake out is coming and they want to get as much money as they can for their investment in HT before it does. These investors will go on to something else. Meanwhile, the handful of grocery stores left will continue to battle over an ever shrinking demographic their high end stores are aimed at.
(BTW, this is why Publix will never knock Winn Dixie/Bilo out of the way.)
I think this may be the exact discussion Ruddick Corporation/Harris Teeter had in their boardroom when Publix entered this market. With pressure from below (Walmart) and pressure from the side (Publix), they are probably wondering just how long their small chain could last against these two.
I do think Publix is considering the pros and cons of instant expansion in to many prime locations by aquiring HT as a way to capture the higher end market that Walmart does not serve. People may like the prices of prepackaged goods at Walmart, but there are some things where people don't like the quality of what Walmart offers (meat, produce for example). Also, again location - many don't want to trek to Walmart when they have a quality choice in their neighborhood.
I don't think it is as much as worrying about pressure from Publix because I have no doubts that HT would hold its own against Publix, but more of an matter of taking advantage of Publix's willingness to buy the chain.
I don't think it is as much as worrying about pressure from Publix because I have no doubts that HT would hold its own against Publix, but more of an matter of taking advantage of Publix's willingness to buy the chain.
No one knows if Publix is willing to buy HT, and actually most of the articles suggest they're not.
All the reports say that they received two offers from private equity firms before anything was ever announced about them willing to sell. To me, that doesn't suggest that they had made a decision to get out while the getting was good. As I said previously, it sounds more like they got a couple offers out of the blue and were pleasantly surprised by the numbers, so they figured they might as well see how much someone else might give them and potentially start a bidding war. It still doesn't mean they will actually sell or that the Harris Teeter stores will look any different if they do sell.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
