DISCUSSION

'Groceries on the Go' is Going, Gone at Bashas'

Written by George Anderson
By George Anderson

Bashas' is getting out of the home grocery delivery business because it just doesn't make financial sense anymore.

"Less than half of one percent of our customers use Groceries on the Go," Kristy Nied, a spokeswoman for Bashas', told The Arizona Republic. "Profit is a penny on the dollar, and factor in gas prices and the amount of labor it took to deliver groceries and field the calls," she said.

Bashas' program, which charged $14.95 for same-day and $9.95 for next-day delivery in Tucson and Phoenix, was hurt as consumers looked for a means to cut costs in the current economic environment.

With Bashas' exit from grocery delivery business, Safeway remains the sole major grocery chain in the state to offer home delivery.

Discussion Questions: Will the tough economic conditions around the U.S. lead others to exit the grocery delivery business? What is your prognosis for online grocery coming out of the current economic rough patch?

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