Safeway debuts ‘The Market’ small format store

LONG BEACH, Calif. Safeway responded to Tesco last week with the opening of a new, smaller-format store it’s dubbed ‘The Market.’

The 15,000-square-foot store in the affluent Belmont Shores area of Long Beach, Calif. is basically a sawed-off version of its Lifestyle stores. The Market has the same upscale look with a wood flooring at the entrance and an emphasis on prepared meals and freshly made food-to-go with a deli and bakery.  

The store also has a large wine section with more than 1,000 wines and a wide selection of its private label “O” Organics products, including a section in the produce area dedicated to organics. The Market also has a large floral stand near the front of the store along with a Starbucks and offers self-checkout registers, something that most Vons stores in Southern California don’t have and are a key feature in Tesco’s Fresh & Easy stores.

While the launch of ‘The Market’ is an obvious response to Tesco’s arrival in California, it seems to be targeting more affluent customers with products and pricing similar to its standard stores.  Safeway plans to have as many as four The Market stores open by the end of 2008 and could open as many as 50 per year if the concept is successful.