A grocery chain planning an Arizona expansion is continuing to sign leases for massive stores across the Valley even as the company says it's not sure when or where it will open shops.
Idaho-based WinCo inked deals on sites in east Mesa and Glendale in late 2010, after at least a year of scouting in Gilbert, Phoenix and other cities.
The employee-owned discount chain isn't ready to say much about its Arizona plans, said Michael Read, WinCo's vice president of public and legal affairs.
"It's clear we're interested and we've looked and are looking," Read said. "But in terms of timing, potential sites, where - it's far too early to comment. In this economy, we've actually scaled back expansion plans."
Still, the company signed a lease for a 139,000-square foot former Costco at the southeast corner of Power Road and Southern Avenue, according to CB Richard Ellis' quarterly retail report. WinCo leased a Glendale site in the same quarter.
Also, WinCo is considering a store at the southeast corner of Pecos Road and Market Street in Gilbert. That site has generated some opposition, as it would take up part of Main Street Commons, a development that was first pitched as an upscale center like Kierland Commons. Many of the higher-end projects within Main Street Commons withdrew plans during the recession.
WinCo's stores are larger than traditional grocery stores at about 90,000 square feet. The chain touts low prices and keeps costs down by having customers bag their own groceries and by keeping the décor simple.
"It's not fancy by any means, but it's very much just a large supermarket," Read said. "What we focus on is low pricing. We strive to be the area's supermarket low price leader in every market where we operate."
Shoppers could find lower prices as WinCo's presence would put more pressure on competitors. The Valley is already one of the nation's most competitive markets, with Walmart, Fry's Albertson's, Safeway, Costco, Trader Joe's, Fresh ‘N Easy, Sunflower Market and now even Target jostling for their place in the grocery industry. The pressure helped push Chandler-based Bashas' into a Chapter 11 bankruptcy reorganization last year, though it did emerge after shuttering some of its Bashas', Food City and AJ's Fine Foods locations.
WinCo is owned by its employees and had been expanding in recent years, with 78 stores in Idaho, California, Utah, Washington, Oregon and Nevada. It employs 14,000 and has annual sales of nearly $5 billion. Forbes magazine listed WinCo as the nation's 65th largest privately-held company in its most recent rankings.
moonbat posted at 11:31 am on Sun, Jan 23, 2011.
This does not really seem like all that good an idea, considering the saturation we have here of food stores. They already seem to be stepping all over each other.
KatieBug posted at 1:31 pm on Sun, Jan 23, 2011.
I hope they do build one on Pecos and Market. There are actually no close grocery stores, and I am forced to shop at Wal-Mart... which have good prices on some things but not as nearly as cheep as WinCo! I love WinCo and glad they are thinking about moving to Arizona. They have such good deals, my parents stock up at one of the WinCos in California and bring it out here when they visit! :)
Hellraiser posted at 2:34 pm on Sun, Jan 23, 2011.
I have shopped at Winco in Oregon and am happy that they are coming here. They have the best prices by far over any other grocery chain. Not fancy but good variety and great prices.
The strong will survive and the competition is good for consumers.
loubator posted at 2:35 pm on Sun, Jan 23, 2011.
Meanwhile, Fresh and Easy keeps announcing more store closings. Is WinCo getting a tax-break?
Another question. When I want to comment on a story on the Trib, I log in. Why doesn't the Trib put me back to the story I want to comment on? I've been going back to the home page then clicking on the story again. Is there an easier way?
AZMomma posted at 4:31 pm on Sun, Jan 23, 2011.
Shopped at WINCO while on a trip to the NW, loved it !
Not sure how it will survive here in Valley, since we have long been the most competitive Grocery market in the US, going back to the late 1960's.
All comers are welcome, since it keeps consumer prices down.
grammakc posted at 6:59 pm on Sun, Jan 23, 2011.
I have shopped at Winco in the NW; the folks down here will love it as much as I do. I find the prices at Winco much lower than any of the stores down here in Arizona.
Maybe it is time for the stores in Arizona to really face some stiff competition!
Because Winco is employee owned, they are very customer friendly.
nybill38 posted at 9:37 pm on Sun, Jan 23, 2011.
this company sounds very much like Megafoods, anyone remember them? This is the exact same concept
DrunkenMonkey posted at 7:54 am on Mon, Jan 24, 2011.
Whatever happened to the grocery stores that actually catered to the customers? Nowadays, cashiers are often rude.
Wal-mart is the worst. I was in a Wal-mart the other day and tried to go down 3 different isles, but couldn't as the employees stocking the shelves had the isle completely blocked. I even stood there waiting for them to move aside and let me by but they didn't. One lady looked straight at me, then turned her back on me (I was directly behind her) and she continued to stock the shelves as if I wasn't even there. I reported this to the store manager.
I was waiting in line in a Wal-mart in Colorado, when the cashier just took his sign out, slammed it on the counter, and told me I had to go to another register, he was closed. I just took my cart full of groceries to customer service and called for a manager. I told her what happened, and told her she could have that gentleman put up all these groceries when he got back and I would find another place to spend my money. I left the cart with her and went to the competition.
I had one cashier at Superstition Ranch Market (last year) told me I needed to take my groceries out of the hand held basket I set on the belt. I asked for an application. I told her if I was gonna have to do their work for them, I might as well get paid for it...
No one trains the cashiers how to bag, and no one ever checks to see if they are doing it right... I've had food and fly spray put in the same bags.
Back in the day, I had a job after school, working in a grocery store. We wore ties, were extremely polite to the customers, went out of our way to help them find something, bagged the groceries and took them to the car for them. We brought the shopping carts back with us, so there weren't shopping carts all over the parking lots scratching the paint on the cars. If anyone was on the isle we were working on, we made it a point to insure we were not in their way. We used paper bags, not this crappy plastic bags. What good is a bag if you can only get one or two items in it???
Back to the basics people...
Shack2 posted at 4:02 pm on Tue, Jan 25, 2011.
We are full time RVer but winter in Mesa. When traveling thru any of the states where Winco is located I try to hit them. They have the best bulk section and win hands down on their Carrot cake. They use REAL ingredients as opposed to mousse fillings for the fruit. Personnel are friendly and helpful. Prices are moderate, maybe a bit lower. One con for me is they only take cash or debit card. Looking forward to their presence here in the valley.
swoerner posted at 10:50 pm on Wed, Jan 26, 2011.
Use to go out of my way to shop at Winco in the NW, I can't wait to see it come here. Put one in Chandler please! The variety can't be beat. 6-10 choices on mac n cheese and everything else. The meat dept has high quality for a fantastic price. Look at Wal-Mart.
091468mr posted at 8:06 am on Thu, Jan 27, 2011.
Welcome aboard, WinCo. Your presence will be a positive for the Phoenix area. BTW
091468mr posted at 8:08 am on Thu, Jan 27, 2011.
BTW, Bashas got what they deserved. And, not near enough. They're high priced, family owned and greedy. Sam Walton started the 1st Walmart in 1962 the year I graduated high school. Look what his low prices have gained for his family and co. Bashas started their stores in 1932 some 30 years prior to Sam Walton and look what their greed has wrought upon their family.
mn89005 posted at 9:46 am on Thu, Jan 27, 2011.
Two years back I discovered WinCo during a short stay in Idaho and it quickly became my grocery store of choice. I asked one of the employees if they had a store in Arizona and she said no. I filled out a customer comment card suggesting and requesting that they do so. I even spoke to several of their office people about it. Just a coincidence I am sure, but this is great news. Once you shop at Winco and see the difference in their prices and their customer service, especially the latter, you will become a loyal customer also. Good for them - I am anxious for this to be a reality.
MissTricities posted at 9:12 am on Thu, Feb 24, 2011.
I just moved to AZ from Kennewick,Wa and I have to say I sure miss my local WINCO up North cause that's the only place I would shop at for food because of there prices and not to sure if every winco is 24hrs but the 2 in Tri-Cities was[beam]
I really hope they start that winco here in AZ cause by far they got the BEST prices that I've seen. MISS my WINCO back home[sad]
mryhln posted at 1:25 pm on Sun, Feb 19, 2012.
I shopped at WinCo in Salem, Oregon for years! Started shopping there way back in the 80's. It was originally Waremart. I can't wait for one to open up in the East Valley! Market and Pecos would be a great place for me!