Grand Union, Wayne, NJ, is taking advantage of its current financial health to remodel stores, test new formats, and pump up marketing. The company told analysts it will spend $290 million to remodel an estimated 175 stores, build new store prototypes and alternative formats, and invest in technology to increase store efficiency and improve customer service.
Grand Union president-chief merchandising officer Gary Philbin said the company has begun to see benefits from recent efforts to strengthen vendor relationships and step up merchandising and sales promotion. Grand Union has funded new marketing efforts by reinvesting savings from expense control measures.
Over the last 20 months, Grand Union has rebuilt its senior management team, bringing in execs with an average of 25 years experience at top food retailers. The chain has 221 stores throughout New England.