Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Webvan Group (WBVN) -- Ignore unavailable to you. Want to Upgrade?

To: dkgross who wrote (401)	5/9/2001 6:52:24 PM
From: Glenn Petersen	Read Replies (1) \| Respond to of 464

Actually, I think that the AMT occasionally serves a useful purpose, particularly in the case of "free" stock. There need to be some consequences. From today's Chicago Tribune: "The company is willing to concede the market to Peapod and Webvan for now. The volume for these services is less than the volume of one of Jewel's stores..." chicagotribune.com Jewel puts online supermarket plans on shelf By Ameet Sachdev Tribune staff reporter May 9, 2001 Jewel-Osco has backed off plans to create an online supermarket because it does not see enough consumer demand yet for the service, company executives said Tuesday. President Pete Van Helden said in an interview that the timing is not right for an Internet version of Jewel, given that other online grocers, such as Peapod Inc. and Webvan Group Inc., are struggling to turn a profit. Peapod and Webvan both offer Internet grocery shopping and home delivery in the Chicago area. Jewel-Osco was Peapod's online partner until this year, when the Internet grocer decided to go with different food suppliers to cut costs. The termination of the contract ended a 10-year relationship between Jewel and Peapod that began in 1990. At first, Peapod employees picked up items at a Jewel store in Evanston, and Jewel later opened an exclusive warehouse for the online grocer in Niles. When Peapod ended the partnership, Jewel said it was developing its own Internet strategy that could be unveiled as early as next year. But after further thought, Jewel decided that it was "prudent to take a cautious approach," said Jim Gentile, senior vice president of marketing and merchandising for Jewel-Osco. The company is willing to concede the market to Peapod and Webvan for now. The volume for these services is less than the volume of one of Jewel's stores, Van Helden said. Jewel-Osco has 275 stores in Illinois and Wisconsin. "We're prepared if the customer wants it," he said. He was referring to the fact that Jewel-Osco's parent company, Albertson's Inc., offers online shopping in Seattle. Rather than focus on Internet shoppers, Jewel is placing more attention on improving customer service at its stores. The goal is to make the supermarket a one-stop shopping source for time-starved customers.