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hypotenoos t1_j9tlni5 wrote

Wegman’s isn’t cheaper

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HarpPgh OP t1_j9tmooo wrote

That’s besides the point, I’d also say Wegmans product selection specifically in fresh foods is significantly better quality. But ultimately, it doesn’t matter because they aren’t even allowed to enter Pittsburgh market to then price compare in the first place

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dunkirkFitz t1_j9ty2ls wrote

I don't know why the rumor keeps going around and around, but there is no deal, no contract, no handshake agreement, nothing that keeps Wegmans from coming into Pittsburgh (or for GE to expand elsewhere). There never has been one.

The reason Wegmans doesn't enter the Pittsburgh market is that they want their individual stores to be within 4 hours of their distribution centers OR clustered in a group of about 5 stores. Erie's two stores are a little more than 2 1/2 hours from Rochester's distribution center. North Carolina and Boston's stores are clustered. Yes, Virginia Beach is an outlier.

In order for it to make sense, Wegmans would need to open 3-5 stores in quick succession in this area to make the logistics work and be worthwhile. Wegmans only opens about 5 stores or less a year so Pittsburgh would be a full commitment. In the early 2010's Wegmans did scout out possible community locations that would make sense for their logistics (Cranberry/Robinson/Southpoint served from Rochester along I-79, or Monroeville/Hampton/Cranberry served from Pottsville along the Tpk).

Obviously, nothing came from that and I don't believe it will anytime soon. There's no indication they are expanding in this direction but the reasons for that aren't a handshake deal.

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hypotenoos t1_j9u885v wrote

Also it’s worth noting where Wegman’s builds. Even in their home town I think only 1 store is actually inside Rochester city limits with a couple just outside near the border.

In Buffalo they have 1 store in the city and it’s in the fancy part of town.

Wegman’s is a suburban store- not urban.

Now look at the handful of GE’s you can find in neighborhoods throughout Pittsburgh. In the city itself. They are different creatures.

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dunkirkFitz t1_j9ubr3h wrote

This is very true....land price is key. Their smallest stores are the size of the Wexford Market District. Their AVERAGE store size is a little bigger than the Settler's Ridge Market District. Their biggest stores are 30% bigger than that. The cost per square foot between suburbs and city, not to mention parking and traffic flow, is very prohibitive.

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hypotenoos t1_j9ui6ok wrote

I think it’s a bit of the Sheetz vs GetGo thing too. There is a philosophical difference involved when locating stores in urban settings.

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tesla3by3 t1_j9uqr51 wrote

And as far as I know every Giant Eagle in the city limits with the possible exception of the Shadyside market district have been supermarkets for 40 years or more. Possibly parkway center as well, which though technically in the city limits is definitely in a suburban-esque area.

You’re not going to see many new construction supermarkets in cities like Pittsburgh.

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hypotenoos t1_j9urh4k wrote

Yeah that is to my point. Wegman’s isn’t staying out if the city because of a big conspiracy.

It’s just not their business model.

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hypotenoos t1_j9tn9v0 wrote

I think Wegman’s knows what they are doing. They faced plenty of hurdles around Buffalo many years ago when they had to deal with Tops who had a long established homefield advantage and plenty of deep connections to local developers who controlled much of the available land.

Over time profits outweighed loyalty and Wegman’s is very established there and I’d say it has supplanted Tops entirely in the WNY market.

I feel like people imagine many of these conspiracies without appreciating how challenging it is for a grocery story to expand its footprint and supply chain.

I also wouldn’t compare a typical Wegmann’s to a regular Giant Eagle, but instead a Market District.

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psychopez t1_j9umhf8 wrote

<jingle>Tops never mops. Look at their floors....</jingle>

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TSOD t1_j9u7je1 wrote

Basing the whole point on a rumor that has never been verified by anyone, even as Wegmans expands into places like NYC and NJ that are even more territorial and corrupt with zoning and permits.

They're in like 9 states now. They've taken hold in territory all across the country that used to belong to even bigger chains than Giant Eagle. Sometimes it's not a conspiracy.

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HarpPgh OP t1_j9ur2vc wrote

You’re obviously missing the point of the post and was stated that this isn’t about the handshake deals Giant eagle may or may not be doing to have a monopolistic hold over Pittsburgh but an understanding of why we’re missing the convenience of smaller locations for produce, milk, eggs, in Pittsburgh in our neighborhoods.

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