retail news in context, analysis with attitude

The Washington Post this morning reports that Ahold-owned Giant of Landover is considering selling one its local grocery warehouses.

According to the story, “the region's largest supermarket chain operates two warehouses in Jessup -- one that stocks perishable foods and one that stocks dry groceries. The company, which is owned by Dutch conglomerate Royal Ahold, said it has tentatively agreed to transfer ownership of the dry groceries warehouse to Jessup Logistics, an affiliate of C&S Wholesale Grocers, by the end of the year ... Giant said it hopes to finalize the agreement with Jessup Logistics within three months and that the deal would allow the grocery to streamline its supply chain and focus on delivering fresh foods. Customers would not experience a change in service, it said.”
KC's View:
The question is whether such a move will make Giant - a company that many perceive as having abandoned many of its local roots - better able or less able to cater to local needs and desires.

The folks I talk to suggest that the latter is a lot more likely...