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Strategies & Market Trends : Anthony @ Equity Investigations, Dear Anthony, -- Ignore unavailable to you. Want to Upgrade?


To: Kailash who wrote (19865)3/12/1999 2:31:00 AM
From: FrozenZ  Read Replies (1) | Respond to of 122087
 
<PPOD> Here in L.A. we have a chain of stores called Pink Dot that goes around delivering groceries and things in VW bugs painted with Polka Dots on them. They leave you a list and you can call and order. It never occurred to me or anyone I know to even try it and I hate grocery shopping. Just by the looks of their stores and cars they don't appear to be getting rich on it but they're still around.



To: Kailash who wrote (19865)3/12/1999 9:04:00 AM
From: Alan Smithee  Respond to of 122087
 
PPOD. The difference is margins. Stores like Safeway, Kroger, Fred Meyer operate at relatively low margins in any event, due in part to the cost of operation. Those big buildings, cashiers, checkers, bag boys and stockers are expensive. So is 24 hour operation, which a lot of stores have gone to.

The online operations have a central warehouse, cheap space, and keep their overhead down. You can debate how profitable the online operations will ultimately be, but I don't think the Safeways of the world can handle their core business and do the online thing.