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Grocery stores fight for shares Photo by Jim Craven The Medford area's newest Safeway store on Highway 62 is making a new marketing push as competition heats up in the local grocery market with the opening of two new Albertson's stores this year. By DAVID PRESZLER The grocery game rages on with new fervor in Medford. The opening of several new stores and the pending arrival of another large player have shaken up the market, motivating stores to shore up their customer bases. "We're all going after the same customer," says Safeway spokeswoman Bridget Flanagan. "We, like all retailers, do what we need to do to protect our market share. We are obviously aware that new stores have opened." Albertson's opened two new Medford stores this year and Safeway's Crater Lake Plaza store opened just under a year ago. Fred Meyer recently finished remodeling its north Medford store, and WinCo -- another large chain -- plans to open a store next year in the former Kmart building. All the changes have fueled increased marketing. The biggest pushes seem to be coming from the largest companies -- Safeway, Albertson's and Fred Meyer. Following its store openings, Albertson's has sent several mailings to showcase its services. Meanwhile, Fred Meyer and Safeway have mailed offers for instant rebates if shoppers spend a certain amount. One of Safeway's recent mailings was a direct comparison between its prices and those at Albertson's, based on an October price check. The mailing lists two pages of common products that were cheaper at Safeway. Flanagan says Safeway uses comparisons aimed at a specific competitor from time to time to remind customers of its virtues. "We think those facts talk to the customer," she says. "We're not blind to the competition. We see what they are doing. We're not bashful about telling people that there's some real good value. We just want to make sure that our customers remember us and come see us." Albertson's spokeswoman Anne Alenskis says the company doesn't comment about its competition's tactics but has seen such comparisons done in other places. She says Albertson's recent direct mailings are simply aimed at informing customers about the services offered at the stores. "We do that every place we open a new store," she says. She says the company isn't surprised by competition but doesn't focus on it. "We market to the neighborhood, no matter who's across the street," she says. "All we can do is be the best supermarket." Fred Meyer spokesman Rob Boley declined to discuss the store's specific marketing strategy but noted that it does have the advantage of offering customers more than groceries. "We have a significant advantage because of our one-stop shopping," says Boley. "You can buy an air compressor, a silk blouse and something for dinner at the same place." Boley says there's always been lots of competition in the Medford area because of its status as a regional retail hub. Not all the grocers have stepped up promotions. Sherm Olsrud, owner of Sherm's Thunderbird and Food 4 Less, says his stores have just continued to operate as usual. He says sales at the Thunderbird store haven't been hurt by the opening of Albertson's across Jacksonville Highway. As long as the stores continue to serve the customer, Olsrud says he's not too concerned about new stores coming in. "We've seen a lot of them and we'll see more," he says. "If we do our job, we'll be here. We've been here a long time and we hope to be here a while more." Today's Business Index Mail Tribune Copyright � The Mail Tribune 1999, Medford, Oregon USA