Will Stop & Shop Be Able To Survive After Its Store Closures?

In May, Stop & Shop announced its plan to close an unspecified number of underperforming grocery stores in the Northeast to ensure the long-term health of the business.

The announcement, made by JJ Fleeman, CEO of parent company Ahold Delhaize USA, during an investor presentation, emphasized the need for decisive actions as the company focused on stronger market areas. Despite the closures, Stop & Shop remained committed to investing in store remodels and maintaining competitive prices. The company had already remodeled over 190 stores by the time of the announcement and emphasized its dedication to social responsibility initiatives, including supporting in-school food pantries and reducing waste.

On July 12, Stop & Shop specified that it plans to shut down 32 underperforming locations in Connecticut, Massachusetts, New Jersey, New York, and Rhode Island, providing a list of the specific locations. They will close on or before Nov. 2, 2024, according to the company’s press release.

The closures of Stop & Shop have spurned various reactions and social media posts. Many local communities are reeling from the news and concerned about the detrimental effects of store closures in their areas.

On Reddit, Stop & Shop forum members — including a supposed grocery manager with one year of experience and an eight-year veteran — both expressed frustration with declining work conditions, prioritizing displays over restocking, and excessive workloads without benefits. They criticized high prices, poor product quality, and incompetent management, noting chronic understaffing and lax hiring practices, leading to unreliable employees. Both are concerned about the company’s future viability and are contemplating leaving.

In Connecticut, local officials were surprised to learn about Stop & Shop’s closure of five stores, as Torrington Mayor Elinor Carbone found out through social media and had to reach out to the company for confirmation.

Meanwhile, in Worcester, Massachusetts, District 1 City Councilor Jennifer Pacillo is urging the city to take action to prevent the closure of the Stop & Shop at Lincoln Plaza. Local customers are concerned about losing a convenient store in their working-class neighborhood.

Stop & Shop’s plan to close eight locations in Massachusetts, including the crucial Brockton store, has left residents concerned about limited grocery options. Shoppers expressed disappointment over the closure, highlighting the store’s importance in the community. Mayor Robert Sullivan criticized the decision, noting it would force locals to travel further for groceries. He also mentioned how promises were made that the Brockton store would not be one of the locations being closed. A Stop & Shop spokesperson acknowledged the difficulty of the decision but emphasized it was necessary for the brand’s future growth.

Other locations set to close include 10 stores in New Jersey, seven in New York, and two in Rhode Island.

Last year, Stop & Shop expanded the use of Marty the Robot, created by Badger Technologies, across over 300 stores in the Northeast. Marty now conducts product checks to improve shelf availability and detects misplaced items, in addition to spotting floor hazards. The robot’s enhanced capabilities allow store associates to focus more on customer service. Marty also supports community initiatives like the “Feed it Forward” campaign. Equipped with advanced technology, Marty enhances real-time inventory tracking and store efficiencies, contributing to a better shopping experience and improved operational accuracy for Stop & Shop.

“Marty has delivered tremendous value for us already in terms of creating a safer in-store environment, and we’re excited to announce these new automated shelf-scanning capabilities, which will deliver even more value for customers and associates. With Marty’s new ability to find and fix on-shelf product availability and to confirm pricing information, associates can spend even more time with shoppers.”

Gordon Reid, president of Stop & Shop, via Supermarket News

Marty the Robot and other similar robots are also meant to improve retailers’ omnichannel operations.