In Rochester, New York, WHEC-TV News has a story suggesting that “Wegmans shoppers may be seeing a drop in satisfaction, according to an annual report from the American Customer Satisfaction Index.
“The index measures customer satisfaction on a scale of 0 to 100. Wegmans got a score of 78 — a 6% drop from the previous report — with customers reporting that they’re less pleased with store layout, staff courtesy, checkout speed, and other in-store experiences.
“Overall, supermarkets had an average index of 78, a 1% drop compared to the last report. The report also measured the satisfaction for online retailers (stable at 79), general merchandise (increased to 79), and specialty retailers (increased to 80).”
According to the story, “Other grocery stores in the Rochester region fared better average in the satisfaction index. Trader Joe’s got a score of 86, a 2% increase, with the report saying there seems to be a growth in brand loyalty. For wholesale clubs, BJ’s score increased 3% to an index of 80 and Costco’s score fell by 1% to 81.”
This story coincides with one from CT Insider, which notes that “as Wegmans heads into its second calendar year in Connecticut, the company’s new store in Norwalk has yet to build a customer base to match nearby stalwarts like Stew Leonard’s and ShopRite — nor the next closest Wegmans in Westchester County, New York.”
CT Insider goes on:
“Wegmans drew 57,400 visitors to the Norwalk store in December and 54,000 last month, according to a CT Insider review of Placer.ai data, with those numbers falling well short of the monthly visitor counts for ShopRite and Stew Leonard’s in Norwalk.
“Stew Leonard’s, according to the data, drew 98,400 visitors in December and 68,300 last month.
“A Wegman’s spokesperson could not be reached immediately Wednesday for information on whether the Norwalk store is meeting its internal expectations; whether it expects any gains in patronage this year and going forward; and whether the Norwalk store’s performance would play into any considerations for future expansion in Connecticut.”
KC’s View:
This is quite literally where I live and shop, so I have some perspective on this.
First, it is important to point out that this new Wegmans opened in a corridor that is very competitive. In addition to Stew Leonard’s and ShopRite, there are a Trader Joe’s and a Costco a stone’s throw away. And a Whole Foods. And a local independent, Palmer’s. Also two Stop & Shops and a new Target (though these three are barely mediocre, to be honest). Plus, a little farther away, a Bug Y and a Fresh Market. And Sprouts is said to be coming to the area.
Also, as I pointed out when Wegmans opened, whole Stew Leonard’s never has had a competitor like Wegmans, it is equally true that Wegmans never has had a competitor like Stew Leonard’s.
I make a habit of regularly checking out parking lots when I’m out and about, and I will say that the Placer.ai data does not surprise me. On busy Saturdays and during the holidays, it was my sense – not exactly a scientific study – that Stew Leonard’s lot was a lot more crowded than Wegmans’.
There’s something else. Again, this is not scientific, and completely anecdotal, but the folks who I talk to around town have told me that they’ve been underwhelmed by the new Wegmans. They’ve expressed dissatisfaction with fresh foods – especially produce and meat – and even with the private label packaged goods.
I shop there for specific things – I really like their protein bowls, for example – but I must admit that Wegmans’ offerings hasn’t had a significant impact on my shopping habits.
I’ve also heard these kinds of observations from people I know up and down the east coast who have access to Wegmans – many say that it seems to have lost a step, that perhaps its growth has gotten to the point where it is impossible to maintain its core value proposition to the degree it could when the company was smaller. “They’re good enough,” one person said to me. “But good enough never used to be good enough.”
Let’s be clear. Wegmans, even if it has lost a step, is still better and quicker than many of the nation’s supermarkets. Over the years, it has set a standard for food marketers and a high bar for consumer expectations.
And, we simply do not know if these stories, and my anecdotal “evidence,” reflect any sort of discernible and worrying pattern across the company.
It is almost industry heresy to suggest that Wegmans could be less than it was – but even heretics occasionally have a point. (Think Galileo.)
I’d be willing to bet that the Wegman family is paying attention – this isn’t just their business, but their legacy. They know that little problems and small concerns eventually can add up to larger issues that can undermine a value proposition.
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