2014-02-07 04:48:03 - Trends in US Grocery Retailing - a new market research report on companiesandmarkets.com
Wal-Mart leads in grocery retailing, with 25% value share in 2012. Following Wal-Mart, the second and third leading grocery retailers in the US are Kroger and Safeway with 8% and 3% value shares, respectively. Wal-Mart has a strong national presence, and is therefore able to capture a large proportion of the US population. Due to its size and pricing power, Wal-Mart is often able to offer the lowest prices among competitors across many channels, a clear draw for consumers searching for value. Kroger, which also operates stores in several channels, is further expanding its operations with its Marketplace format, which are supermarkets bordering on hypermarkets, with expanded general merchandise sections.
The record-setting drought in 2012 affecting the Midwest damaged major crops,
such as corn and soybeans, affecting not just prices for those commodities but for other products along the supply chain, such as milk, beef and packaged foods. Because of this pass-through effect, the impact will continue to last over several years to come, increasing food price inflation above the overall average.
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