"I think we are headed in the right direction and gaining back the customers that we had," said Kim Brown, Giant vice president of public affairs and community relations. "We're also looking to cultivate new customers. There are so many things we're doing in the stores that will attract new customers."
Other factors could be playing a part: For instance, people are eating at home more.
Jim Hertel, managing partner at Williard Bishop LLC, a food retail consulting and research firm in Chicago, said supermarkets that are well-run are benefiting from the recession because people are buying groceries and eating more cheaply at home rather than spending money at restaurants. He said inflation in food prices is also helping many grocery companies.
Hertel said Giant's 3.6 percent increase in sales is well above that of most grocery stores, which is 1 percent to 2 percent.
"There's probably a number of different factors that go into it," he said. "Improvements in stores almost always produce a sales increase."
Many customers say they definitely notice the changes at Giant stores.
Tom Allred, 62, a retired bookkeeper, said there is a better selection of health foods. He also likes that the aisles are less crowded.
"I spend a lot of time looking around," said Allred, "and I was always in the way of people before."
He shops at Wegman's too, but said he likes his neighborhood grocer. Allred said he hasn't noticed much change in Giant's prices.
The grocer has announced plans to update or replace 100 stores. It completed 30 last year and is on track to complete a similar number this year.
Among the changes at its stores, including the York Road location in Towson, are wider aisles and brighter lights. Hand-held scanners enable customers to ring up sales as they shop, and a remote deli system lets customers continue to shop while their cold cuts are being sliced. The company replaced its logo for the first time since 1963 and introduced brighter uniforms for employees.
The grocer is opening a new store Thursday in Timonium.
David J. Livingston, a grocery analyst and managing partner for Wisconsin-based DJL Research, said that it's possible that Giant is better, but it will be hard for the company to gain market share amid the new competition from other grocery stores.
"I see [Giant] improving, but I don't think they're gaining market share," Livingston said.
And not all shoppers are pleased with the new Giant.
Susan Cooper, 60, who has shopped at Giant for 26 years, said she had gotten used to the way things were organized in the store before the renovations. She said Giant has stopped carrying products it once did. She also hasn't noticed the price changes.
"I haven't noticed any change in my overall tab," she said.
Giant sales by quarter
Quarter/year Sales
Q1/2005 -3.6 percent
Q2/2005 -4.7 percent
Q3/2005 -2.3 percent
Q4/2005 -1.0 percent
Q1/2006 -2.5 percent
Q2/2006 -0.9 percent
Q3/2006 -0.5 percent
Q4/2006 -2.1 percent
Q1/2007 -1.1 percent
Q2/2007 -1.0 percent
Q3/2007 -1.8 percent
Q4/2007 -0.5 percent
Q1/2008 -1.5 percent
Q2/2008 -1.5 percent
Q3/2008 0.7 percent
Q4/2008 1.1 percent
Q1/2009 3.6 percent
