Shaw’s seizing opportunity to change impressions

Written By Unknown on Minggu, 27 Juli 2014 | 16.30

Shaw's Supermarkets is getting an unexpected chance to showcase the progress of turnaround efforts initiated since new owners took over the West Bridgewater-based chain last year.

It's among the regional grocery chains benefiting from the turmoil at Market Basket that has left shelves bare at the Tewksbury company's 71 stores and boycotting customers shopping elsewhere.

A Cerberus Capital Management-led investor group acquired Shaw's — often criticized by customers in the past for its high prices — from Supervalu Inc. last year as part of a larger $3.3 billion deal.

"They've been running those stores better, including better pricing and promotions than when it was owned by Supervalu," said grocery analyst Andrew Wolf of BB&T Capital Markets in Boston. "Most shoppers don't know that because they haven't been to Shaw's in a long time. This action is going to force a certain amount of people to go to Shaw's, and they're going to discover, 'Hey, it's a little better than I remember.' "

Customers boycotting Market Basket — in solidarity with an employee push to pressure its board to reinstate fired CEO Arthur T. Demoulas — have been taping their grocery receipts from competing supermarkets on Market Basket doors.

"We've definitely seen an up-tick in the number of customers," Shaw's spokesman Jeff Gulko said. "It started initially the tail-end of last week, but the first real noticeable bump-up was Monday going into Tuesday, and it's remained since. (Our) 18,500 associates are working around the clock to make sure that we have the products on our shelves that folks come to get — whether they're our shoppers or folks that are coming to our stores for the first time."

The company's two distribution centers, in Methuen and Maine, have adjusted, adding shipments and trucks, he said.

Hannaford, Stop & Shop and Wegmans declined comment on any business boost that they're seeing as a result of Market Basket's employee uprising.


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