A hand-held scanner that enables consumers to ring up purchases as they shop and a remote deli ordering system are among the innovations that Giant Food will bring to area stores as part of its latest strategy aimed at reversing eroding sales and regaining market share.
The region's largest grocery chain, which has been losing customers to new competitors, plans to announce these and other initiatives today as part of a plan to "reinvigorate our brand," Robin Michel, the grocer's general manager, said in an interview.
Landover-based Giant previously announced moves to spruce up stores and win back shoppers after its acquisition by Dutch conglomerate Royal Ahold, which consolidated its operations under New England-based Stop & Shop. Giant's reputation for high quality, customer service and employee morale suffered in the aftermath, at a time when it faced an onslaught of competition from upscale chains such as Wegmans and Whole Foods, and discounters that included Wal-Mart.
Michel acknowledged that the 73-year-old grocery chain had lost some of what made it the area's pre-eminent grocer, such as good service and personal relationships between customers and employees, and said Giant would revive some of its traditions.
"This was something that was held to be important for Giant for a long time, and we lost sight of that," said Michel, who grew up in Baltimore shopping at Giant and joined the company last spring.
"When people say to us that we have lost market share, I tell them that we have more competition than ever before," said Michel, who estimates that 19 food retail outlets have opened in the market in the past 18 months. "We have to be better than we ever have been before. I got that."
In addition to the new technology, Giant plans to install brighter, more current signs at all its stores. There will be a renewed emphasis on customer service, and employees will get trendier uniforms. Michel said she wants Giant to go back to a time when shoppers had personal relationships with store employees, many of whom have worked for the company for years.
The grocer will also look at offering new food options, such as single-serving desserts in the bakery and gluten- and wheat-free foods.
The 185-store chain will stick to a plan announced last fall to remodel or replace 100 stores in three years. Many of Giant's older supermarkets are smaller and outdated in comparison to newer stores with wider aisles. Some of the underperforming stores were closed.
